The latest state revenue forecast presented today showed $95.7 million more than expected in revenues through the 2011-13 biennium, but legislators didn’t get too excited about it. The state general fund budget is about $30 billion and lawmakers still face a $1 billion revenue shortfall they must close this session.

Rep. Ed Orcutt, a member of the Economic and Revenue Forecast Council, put the slightly improved revenue picture in perspective.

“If you had a ten dollar bill in your pocket and somebody gave you a penny, would you feel richer?” Orcutt said.

The Legislature was awaiting the report before making expected budget proposals the next two weeks prior to scheduled adjournment on March 8. Sen. Ed Murray, another economic forecast member, predicted the Legislature could approve a budget without needing a special session but council members declined to discuss budget talks in detail.

Murray said today’s report was the first sign the state’s economy is stabilizing since the recession began, but added: “Our (financial) problems are not solved.”

Added Rep. Ross Hunter: “We’re still in a pretty deep (financial) hole.”

Visit www.erfc.wa.gov to read the entire revenue forecast report.   

By Mark Johnson, VP Government Affairs

The state Senate Tuesday unanimously passed SB 6280 that enhances the current penalty for pharmacy robberies by 12 months.

The bill, sponsored by Sen. Mike Carrell (R-Lakewood), is a top priority of the Washington Retail Association to curb this rising and dangerous crime. The bill now goes to the House of Representatives for further consideration.

Posted Feb. 15, 2012

By Jan Teague, President/CEO

There is a new Gallup poll out this week that says there are more conservatives in the country, outnumbering liberals nearly two-to-one.  This is the third straight year that this is the case.  While moderates sit in the middle somewhere, the poll indicates that in the Democratic Party 38 percent consider themselves moderate.  Independents are mostly moderate also (41 percent) but 35 percent are conservative and 20 percent are liberal.  It seems to me that the reasons for this are about the poor economy and the lack of jobs.  But there are less obvious reasons behind the shifting tide.

I think that the assault on our liberties is also causing people to become more conservative.  Younger voters love their personal liberties and don’t appreciate big government telling them what to do.  We have many examples of this in our state legislature right now. 

We are just a few days into the legislative session and there is talk of putting the Department of Ecology in charge of deciding what to do with any product for sale that they decide is harmful to the environment.  There is talk about not letting private health insurance operate in this state unless it is a part of the government system.  There is talk about banning the citizens’ use of plastic bags.  People are asking me, then what is next?  There is talk about controlling what people do in their cars.  Right now it’s smoking, what next?  I think as the legislature gears up, I could make this list of liberal left wing bills much longer.  Can the moderates control the fervor?  It’s hard to say because tied in with all of this big-government style public policy is the fact that it is an election year and everyone knows that voting records matter when unions, trial attorneys and environmental groups hand out PAC checks.  These big three far outspend the conservative PACs every year.

Posted Jan. 13, 2012

By Jan Teague, President/CEO

Governor Gregoire plans to ask the state Supreme Court to rule on whether Tim Eyman’s initiative to require a 2/3 vote before taxes can be raised is constitutional. This week the high court ruled the state must provide adequate basic education but left it up to the Legislature to figure out how to fund it. 

Gregoire wants to lift the 2/3 vote requirement so that more tax ideas can be passed this year for session.  It seems to me that it would be difficult to get that done since it is a short session and an election year when legislators don’t really want to vote for tax bills.  So what is the hurry when the 2/3 initiative can be overturned next year by the Legislature with a simple majority vote?  And, the Supreme Court ruling says we must fully fund education by 2018 giving us six more years to figure it out.    

There is speculation that the political tide is turning and more fiscal conservatives, some Democrats included, will not want to overturn the 2/3 vote requirement next year.  Or, that the Republicans might take over leadership and the 2/3 vote would not pass.  If conservatives take over leadership, the answer will be to make further cuts to other programs, cut government, and maybe cut union dominance out of the political picture. 

Posted Jan. 6, 2012