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Committee cut-off week

By Jan Teague, President/CEO

 

There are a lot of bills being passed out of committee this week.  It's amazing to watch the business of the legislature and listen carefully.  I have a few observations that should be no surprise. 

 

Bills get out of committee simply because it is an election year and there is pandering going on to the constituents.  Bills with enough votes to pass out of committee are held up.  Legislators can say they would have voted for a bill, knowing the chair plans to hold it up.  This keeps the legislators in a sweet spot of being supportive to constituents and blaming the hold up on the chair, who happens to be in a safe seat with no re-election problems. 

 

This is part of the business of staying in leadership.  It's confusing to try and figure out exactly what to be concerned about.  So many bad bills get tossed out there, one wonders if they were all passed, just exactly how bad would it be for business? 

 

At the same time this avalanche of bad news gets tossed around, the Democrats who are in charge won't see certain people.  That is to say, they won't see or spend time meeting with business people.  It's not universal, it's more subtle and yet noticeable.  Last week, some legislative leaders were invited to a business luncheon and at the last minute did not show up.  They sent representatives, but for the most part, no critical information was shared.  I did notice there was some defensiveness about the budget process and the fact that negotiations were ongoing.  It turns out that the Republicans don't think things are progressing fast enough.  Democrats are sending out the message in their speeches that committee bills are not a distraction from the budget and various activities always go on at the same time.   

 

I think that most of this is posturing for the fast approaching election cycle that has Republican conservatives hoping for the opportunity to take over at least one house or the leadership of the Governor's office.  While we are a nonpartisan group, I would love to see balance back in the Legislature where business access is not so limited, and the dialogue on public policy can always include positive responses to pro-business bills, positive responses to lean and efficient government and not just negative regulatory business blockades.   

In its rush to raise revenue, Legislature must do good, not damage

By Mark Johnson, VP Government Affairs

 

Senate Bill 6061 by Senators Cheryl Pflug and Ed Murray seeks to alter the non-resident sales tax exemption by requiring non-residents to apply for a refund of the sales tax they would be required to pay in Washington State.  Currently, non-residents show the retailer their ID and do not have to pay sales tax on items. 

 

A fiscal note developed by the Department of Revenue shows the bill will raise $40 million in increase sales tax revenue in 2013-15.  This is great for the state but not so great for the retailers.  In order for the state to gain $40 million it means that my members would lose million of dollars in sales. The really sad part is that this will mean jobs and store closures.  A survey conducted by the chambers of commerce along the Oregon border showed some retailers depending on 60 percent of their sales from Oregonians, many of whom are encouraged to shop due to the immediate sales tax break they now receive. 

 

While I can sympathize with the state's financial woes, I think it is a terrible idea to put more Washington workers on the street and close more Washington businesses in order to raise more tax dollars.

 

Senate Bill 6061 is a bad idea and needs to die in committee.