Emily Makings

Department of Health asks for a 325.5% increase to its general fund–state budget

Given the COVID-19 pandemic, the Department of Health (DOH) has been the recipient of an unusually large amount of federal funds in 2019–21 and 2021–23. (In the chart below, federal funds are included as part of “all funds.”) Meanwhile, general fund–state (GFS) spending for DOH increased by 23.1% in 2019–21 and 35.7% in 2021–23. The […]

Should the working families tax credit be treated as an appropriation or a revenue reduction?

The Department of Revenue (DOR) is one of just 10 agencies that have requested smaller general fund–state (GFS) budgets for 2023–25 than 2021–23. It is asking for a GFS budget reduction of $290.4 million (by far the largest reduction among the agencies). This is due to DOR’s request for a technical correction to the accounting […]

The full cost of the Fair Start for Kids Act begins to come into focus

[Updated 10/12/22] The Department of Children, Youth, and Families (DCYF) has proposed a 2023–25 budget that would increase its general fund–state (GFS) spending by $1.270 billion (57.3%). The increase represents 8.1% of total GFS requests made by agencies. Only public schools and the Department of Social and Health Services requested larger increases in GFS spending—and […]

Agency budget requests for 2023–25 would increase spending substantially

Most state agencies have now submitted their 2023–25 operating budget requests to the Office of Financial Management (OFM). If the requests were adopted as is by the Legislature, they would increase general fund–state (GFS) spending by 28.5% over 2021–23. (For context, the Economic and Revenue Forecast Council estimates that GFS revenues will increase by 3.4% […]

Milliman: Current statutory maximum for paid family and medical leave premiums is “too low”

Financial problems with the state’s paid family and medical leave (PFML) program surfaced at the beginning of this year. (For more information, read our analysis of the situation, including background information and a review of legislative changes this year.) Consequently, the Legislature required the Office of Financial Management (OFM) to contract with an entity for […]

Document recording surcharges are not yielding the revenues expected for housing programs

Washington has four document recording surcharges that are used to fund homelessness programs. Today the Department of Commerce told the House Appropriations Committee that revenues from these fees are falling short of estimates. (Commerce’s presentation to the committee is available here.) Indeed, Commerce’s 2023–25 budget request includes a placeholder at maintenance level that would address […]

Washington’s minimum wage will increase by 8.6% in 2023

The Department of Labor & Industries (L&I) has announced that the state minimum wage will increase from the current $14.49 an hour to $15.74 an hour in calendar year 2023. The 8.6% increase is the largest non-step increase since the minimum wage has been indexed to inflation. In 1998, when the prevailing minimum wage was […]

Comparing revenue forecasts

As Kriss wrote last week, the September revenue forecast for 2021–23 and 2023–25 is down $452 million compared to the June revenue forecast. However, revenues for these biennia are expected to be $1.636 billion above the February revenue forecast (on which the current budget was based). The governor will propose a 2023–25 operating budget after […]

States, local governments, and nonprofits qualify for refundable clean energy tax credits under Inflation Reduction Act

The federal Inflation Reduction Act (IRA), which was signed by President Biden in August, includes $270.7 billion (over the 2022–2031 period) in new and expanded clean energy tax credits. (The cost estimate from the Joint Committee on Taxation is available here.) Notably, most of these tax credits will essentially be refundable for states and local […]

Average workers’ compensation rates could increase by 4.8% next year (the largest increase since 2011)

The Department of Labor & Industries (L&I) has proposed increasing average workers’ compensation rates by 4.8% for 2023. This would be the largest increase since 2011, and the fifth-highest increase going back to 1999. Under this proposal, base rates would increase for 286 risk classes (out of 325). According to L&I, wage inflation is a […]