TULALIP, Wash. — Tribal gas stations in Washington are experiencing a significant surge in business as drivers seek lower prices amid rising fuel costs.
A spokesperson with the Tulalip Tribe told KIRO 7 that demand for gas at its stations has been brisk over the past few weeks.
The lower prices at these locations are the result of state fuel tax refunds and sometimes federal excise tax exemptions provided to tribes. These financial incentives allow tribal stations to offer fuel at rates significantly lower than the current state average.
Tanya Burns, Chief Administrative Officer with the Tulalip Tribe, said the past several weeks have seen a major increase in customers at the tribe’s fueling locations.
“It’s been tough for everyone; it’s been hitting our wallets pretty hard,” Burns said. While she did not provide specific volume figures, she noted the change has been “significant.”
The lower prices are tied to specific tax policies regarding tribal land. According to the Washington Policy Center, an independent non-profit that analyzes state policy, tribal gas stations receive a refund on state fuel taxes. The IRS also grants tribes exemptions on federal excise taxes for fuel. These tax advantages increase purchasing power when the tribe secures its fuel supplies.
Burns attributed the tribe’s ability to offer lower prices to “smart buying, we have flexibility and strong supplier relationships,” as well. The price difference between tribal and non-tribal stations can range from 30 cents to 40 cents per gallon, or more, depending on location.
Current price data highlights the gap between tribal stations and the state average. AAA reported the Washington state average for a gallon of regular fuel was $5.37 as of April 3. In comparison, GasBuddy records show the Tahoma station in Fife at $4.80, the Tulalip Market in Marysville at $4.85, and Angel of the Winds Fuel in Arlington at $4.69. High costs for diesel fuel have driven even more traffic to tribal pumps. The statewide average for diesel is nearly $6.74, while many tribal locations offer it for less.
Burns, who owns a diesel vehicle, described the current market as difficult for many drivers.
“As someone who owns a diesel myself, being asked to pay $6 a gallon is kind of unreal,” said Burns.
The savings are particularly relevant for independent business owners and commercial drivers. Burns noted that operators of heavy machinery are increasingly turning to tribal stations to manage their expenses.
“If you’re someone who’s supporting your family by operating your dump truck, if that’s your own business, for example, that’s someone who’s coming and trying to fit themselves into our fuel station and not a normal truck stop because, like I said, every dollar counts,” she said.
Burns added that another convenience store and gas station may soon be under development by the Tulalip Tribe as it continues to expand to meet customer demands.