Last week, Gov. Bob Ferguson signed the state’s new two-year operating budget into law. The $78 billion spending plan contains nearly $10 billion in new and increased taxes and fees, and represents the fourth consecutive operating budget that spends more than predicted revenue collections. It raises spending by $6 billion – an 8% increase – at a time when we have a budget shortfall.
The result, the unsustainable budgeting in Olympia continues.
Taxes
As part of their record tax and fee increases, the majority party got very creative and found new ways to dip into your wallet.
- HB 2049 | Property tax spikes: 55% increase of local school district property tax levy authority.
- SB 5801 | Gas and transportation taxes: Increases in gas taxes, additional license fees, and more.
- HB 2081 | Business tax increases: Across-the-board business tax increases and additional punitive business tax surcharges on certain industries.
- SB 5814 | Sales tax expansion: Applies sales tax to critical business services, including temporary staffing, digital services, and security services, and applies tobacco taxes to nicotine products.
- SB 5813 | Capital gains income and death taxes: Increases tax rates for the capital gains income and estate taxes.
- HB 2077 | Tesla tax: Punitive excise taxes on the sale or banking of zero-emission credits held by Tesla.
- SB 5794 | Eliminating tax incentives: Eliminates tax incentives for gold and bullion, low-income energy credits, and storage spaces.
- SB 5390 | Discover Pass: 50% hike in the cost of a Discover Pass.
- SB 5583 | Hunting and fishing licenses: 38% fee increase for a hunting and fishing license.
- SB 5083 | Insurance premiums: Shifts health care costs from state employees to working families ($1,400 per year/family of four).
- HB 2061 | Concession fees: 10% tax on duty-free stores.
- SB 5786 | Liquor license fees: Increases in the cost of liquor licenses for grocers, restaurants, bars, and more.
- HB 1858 | Document recording fees: Applies document recording fees to substitutions or assignments of deeds of trust.
- HB 1488 | Another property tax increase: Conservation district property tax increase.
- HB 2015 | Another sales tax increase: Local sales and use tax increase.
- HB 1392 | Another insurance premium increase: Additional taxes on private health insurance.
- HB 2003 | Another fishing license increase: Enhanced fee on salmon fishing.
A state budget is about priorities. The majority party chose to cut support for single parents, the aged, blind, disabled, and crime victims. Instead, they prioritized things like:
- Giving six weeks of unemployment benefits to striking workers
- Paying $154 million for non-citizen healthcare
- Giving $4 million in grants to activist groups
- Retaining DEI funding
- Funding for a study on reparations in Washington state
In the end, taxes were raised, other dedicated accounts were robbed, priorities were misplaced, and we’re almost guaranteed to be looking at another significant budget hole next biennium, because state government has not been right-sized.
The continued assault on our Second Amendment rights continues in Olympia. The governor signed HB 1163 into law. The bill requires a “permit to purchase” a firearm in Washington state beginning on May 1, 2027. The five-year permit requirements include an extensive background check and proof of a recent firearms training course. The details of this approved “training course” have not yet been set. There are serious concerns about where those courses will be held and how much they will cost. Will rural areas have access to these courses? Will the “supply” of these courses meet the “demand” as people seek to exercise their rights? Time will tell.
-- Brian Burnett, 12th Legislative District, WA
