February 19, 2010
Governor Christine Gregoire
Office of the Governor
P.O. Box 40002
Olympia, WA 98504-0002
Dear Governor Gregoire:
Your bundle of tax proposals to address the current revenue shortfall is a bundle of trouble for our state’s weak economy and has some unintended consequences.
An entire segment of the state’s suffering retail community composed of small businesses sells a high percentage of the items you propose to tax. At 7-Eleven stores, for example, fully half of a typical store’s income comes from motor fuel, bottled water, candy, cigarettes and soft drinks. These stores will be disproportionately impacted by your tax package.
The Washington Retail Association has consistently urged elected leaders to make as many spending cuts as possible before risking further layoffs, a prolonged recession and still more store closures in addition to those already claimed in this recession. The WRA strongly encourages you to reconsider your tax approach.
All taxpayers are struggling with less money and have made cuts in their own budgets as money got tight. WRA challenges you and this Legislature to put more of your energies into cutting programs the taxpayers can no longer afford.
We sincerely hope you and the Legislature will take the time necessary to reorder state government financial priorities to meet the obvious economic realities and avoid a still more crippling economic slowdown.
Best regards,
Jan Teague
President, CEO
Washington Retail Association
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