The Washington Roundtable, Association of Washington Business, Bellevue Chamber of Commerce, Seattle Metropolitan Chamber of Commerce, and Greater Spokane, Inc. issued the following joint statement today in response to the Washington State House and Senate proposed operating budgets:
“The House and Senate budget proposals would both continue the trend we’ve seen over the last several years of spending more money than the state has coming in.
Both plans increase spending to roughly $80 billion — approximately $8 billion above the prior biennium — and rely heavily on withdrawals from the Budget Stabilization Account (Rainy Day Fund) and other one-time resources.
While the budgets are projected to balance over four years — a goal we support — that balance depends on new income tax revenue assumptions and leaves an ending fund balance under $1 billion, an amount that is unlikely to cover future maintenance-level costs and collective bargaining agreements, or be able to absorb any meaningful economic volatility.
We understand that legislators are navigating unpalatable trade-offs to manage this budget, which is why budget sustainability – practices that align spending with realistic revenue growth; economic development – including strategies that grow revenues through economic activity; and affordability – acknowledging that business tax increases ripple through the economy – must be priorities going forward.
We remain committed to partnering with lawmakers on these priorities.”
