WA Senate Republican proposal aims to close budget gap without new taxes

State Senate Republicans released a budget proposal Tuesday they said would close the state’s multi-billion-dollar budget gap without raising any new taxes. Though the ideas are likely to face challenges in a Democratic-controlled legislature and with a Democratic governor in power.

"There is a third way," said Sen. Chris Gildon, R-Puyallup. "It’s not a decision of all cuts or all taxes. There is a reasonable middle ground."

Gildon, the Republican budget lead in the Senate, said the proposal increases funding for education and maintains social services without creating new sources of revenue. The proposal has $75.6 billion in spending over the next two years, a 5% increase compared to the current two-year budget cycle.

Instead, the caucus is proposing nearly $14 billion dollars in savings through funding the Working Families Tax Credit using Climate Commitment Act dollars, closing funding gaps using surplus money from various accounts and pausing planned expansions for state-subsidized child care.

Washington State Capitol and Senator Gildon

"In effect, they passed a bill in 2021 and 2022, they put the bill on layaway," he said. "Well, the layaway period is over and the bill is due now. Rather than assume those additional costs, we simply forego those additional costs."

The Republican proposal also forgoes funding around $4 billion in pay raises for state workers that were previously negotiated in collective bargaining agreements.

They are instead proposing giving employees a $5,000 bonus instead, saying legislators have to decide between pay increases for state employees and service providers, or maintaining affordability for everyone.

This budget realizes that we simply cannot afford to do that without raising taxes this year," Gildon said. "No matter which way you slice and dice the budget, it is not feasible."

Gildon argued the budget shortfall is around $6.6 billion, as opposed to a $15 billion figure floated by Governor Bob Ferguson during his own budget recommendation proposal last month.

The senator said the smaller deficit calculation is based on the price of maintaining current levels of government services, and excluding program expansions and state worker pay increases.

What they're saying:

Even as Ferguson released his recommended cuts, the governor said it was a priority to fully fund those government worker raises.

"You all provide critical services to the people of our state, which I value," he said on February 27. "That’s why we must honor the collective bargaining agreements negotiated with those workers. That is a contract, and we’re gonna honor that.

In a statement, Senate Democratic budget writer June Robinson of Everett said while she appreciates Republican engagement, choices like going back on collective bargaining agreements are "unsustainable."

A budget that shifts costs and relies on short-term fixes doesn’t set us up for long-term success," she said. "That’s why I am committed to a balanced approach — one that includes responsible reductions but also the progressive revenue options needed to sustain core services."

A request for comment to the governor’s office on the Republican budget proposal was not immediately returned.

What's next:

Budget discussions could be greatly reshaped by an updated revenue forecast that will be presented on March 18.

When asked, Gildon acknowledged there was risk in releasing the caucus’ proposal now, as the forecast "could make our proposal a little stronger, or a little weaker." But he said it was important to get the proposal out now for public scrutiny.

Albert James is a television reporter covering state government as part of the Murrow News Fellowship program – a collaborative effort between news outlets statewide and Washington State University

The Source: Information for this article comes from the Olympia News Bureau.

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