WA Democrats Pitch $65B Supplemental Budget Plans

OLYMPIA, WA — Democratic leaders in the state House and Senate unveiled supplemental budget proposals over Presidents Day, which lawmakers said will aid the state's ongoing pandemic recovery by investing in schools, housing, childcare, behavior health and economic recovery programs.

Included in the nearly $65 billion proposals is $2 billion from the state's general fund for the Move Ahead Washington transportation initiative, along with hundreds of millions for shelters, affordable housing, schools and salmon habitat protection efforts.

Senate Democratic officials said tax incentives included in their proposal were designed to support small businesses and health clinics, along with a program to attract more film productions to Washington. One part of the House plan would also suspend the sales tax over Labor Day weekend for purchases under $1,000.

"After two difficult and challenging years, Washingtonians are ready to look to the future with hope, and this budget provides an optimistic vision for our state," said Sen. Christine Rolfes (D-Bainbridge Island), chair of the Senate Ways & Means Committee. "This budget delivers for working families, our schools, the environment and takes bold steps to reduce poverty and homelessness."

Here are a few other highlights from the Senate's proposal:

• $345 million to stabilize school districts that experienced enrollment declines.
• $232 million for wage increases and other compensation changes for state employees.
• $209 million for various salmon recovery projects across the state, including the Duckabush estuary restoration project.
• $208 million to increase rates for vendors providing services to individuals with a developmental disability or with long-term care needs.
• $199 million in total funds to extend the Medicaid transformation project for five years
• $172 million to address the physical and social emotional needs of students.
• $125 million for reinvestment grants to communities disproportionately impacted by criminal laws and penalties for illegal drug sales, possession, and use.
• $100 million to address workforce shortages and other challenges in behavioral health
• $95 million to increase rates for Working Connections Child Care, Behavioral Rehabilitation Services, Child Visitation, and Combined In-Home Services.
• $93 million for costs associated with resentencing, as required under State v. Blake.
• $75 million for the Farmers-to-Families Food Box Program.
• $58 million for clients living in a shared living situation under the Liang settlement.
• $41 million to transition encamped individuals from rights-of-way to permanent housing.
• $38 million for expansions within the Aged, Blind, or Disabled program.
• $29 million in total funds for projects within the Information Technology pool.
• $29 million for nursing education and support within higher education.
• $18 million for cybersecurity training programs within higher education.
• $18 million for a benefit increase for eligible retirees of TRS1 and PERS1.
• $17 million for investments in the Early Childhood Education & Assistance Program.

Senate Democratic leaders said their plan relied on no new "general taxes" and would leave $2.4 billion in reserves. The Democratic plan drew criticisms from Republican leaders, including Rep. Drew Stokesbary (R-Auburn), who said the proposals failed to provide enough tax relief.

"After spending two years under lockdowns and enormous financial stress, families across our state are now facing the highest inflation rate in over forty years, which is costing the average household an extra $250 per month," Stokesbary said. "That is why it is deeply disappointing that, despite record revenue growth, the majority party's budget proposal does not provide any real tax relief for working families."

The Senate version of the supplemental budget had a hearing Monday in the Ways & Means Committee, and a vote on the House version is scheduled for Saturday. This year's 60-day legislative session will conclude on March 10.