Thurston County transit officials, accused of violating state law by using government resources to promote a local ballot measure, settled the case Friday for $80,000.

The state attorney general’s office had sued Intercity Transit and its governing board, saying agency officials used public funds, employee labor, transit facilities and consultant contracts to promote a measure on the March 1999 ballot.

The measure would have increased the county’s sales tax to fund Intercity Transit operations and offset budget deficits.

Under the settlement, the agency will pay $15,000 in civil penalties, with an additional $45,000 suspended as long as agency officials comply with various conditions. The agency also agreed to reimburse $20,000 in operational or marketing accounts that were used in the campaign.