This bill amends and adds sections in chapter 70A.65 RCW to require that revenues from the state's climate commitment act allowance auctions be used in part to fund major highway and bridge projects and to change how auction programs are run and how proceeds are allocated. It creates a carbon emissions reduction account in the state treasury, specifies the climate investment account as the repository for most auction receipts (subject to exceptions), and amends RCW 70A.65.100 to add detailed auction procedures, participant registration and bid‑guarantee rules, purchase and holding limits, confidentiality protections for bidding information, requirements to hire an independent contractor to run auctions and a financial services administrator, limits on auction frequency (up to four per year plus reserves with parallel future‑vintage auctions at least twice annually), and reporting deadlines (auction notices at least 60 days prior, summary results and postauction proceeds reports within 60 days). The bill prescribes fiscal‑year specific first‑deposit priorities and splits of auction proceeds (including specific dollar first deposits for FY2023–FY2026–2037 and a 50/50 split to the carbon emissions reduction account and remaining accounts beginning FY2038), directs transfers to the multimodal transportation account in FY2025 and requires the Office of Financial Management during FY2026–2037 to prorate obligations and direct 50% of any additional proceeds to the multimodal transportation account after each auction. It also limits purchases (covered/opt‑in entities 25% of an auction; general market participants 4% per auction and 10% aggregate until linkage with jurisdictions without that limit), authorizes the department to design auctions for linkage with other jurisdictions, and sets spending and labor‑standards rules for projects funded from the climate investment account. The act takes effect July 1, 2025 and includes an emergency/necessity clause. Important details are missing from the provided text: the specific state agency referred to only as “the department” is not identified, the actual amended language for RCW 70A.65.240 and 70A.65.250 is not included here, several definitions (for example “covered entity,” “opt‑in entity,” “general market participant,” and “registered entity”) are not shown, and one subsection is cut off mid‑sentence so the full scope of a confidentiality exemption and any other omitted provisions cannot be confirmed from these extracts.

If enacted, the bill would create a steady, legally prioritized flow of greenhouse gas allowance auction money toward major transportation projects and related emissions‑reduction work: large first-dollar deposits go to a new carbon emissions reduction account each fiscal year, remaining proceeds go to climate investment and air quality accounts, and from FY2026–2037 half of any additional auction proceeds are directed into the multimodal transportation account. The bill also requires up to four auctions a year with new auction procedures, participant caps, confidentiality rules, contractor and financial administrator hires, and public reporting deadlines, and it sets labor and equity standards for projects funded from the climate investment account; the act takes effect July 1, 2025. Practically, state transportation projects (including major bridge and corridor projects named in the bill) and agencies that build or receive those funds stand to gain a new, recurring revenue source, while the department that runs the auctions, the Office of Financial Management, and the state treasurer take on new operational and transfer duties and reporting obligations. Entities that buy allowances will face purchase limits, registration and bid‑guarantee requirements, and confidentiality restrictions. Important implementation details remain unclear in the excerpts provided—most notably which specific agency is “the department,” full amended language for some account rules, and definitions for participant categories—so exact timelines and administrative costs are uncertain.