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Public schools make up 44.0% of NGFO budget in 2023–25; the cost of new K–12 policies is estimated to double in 2025–27

As passed by the Legislature, the 2023–25 operating budget increases appropriations for public schools from funds subject to the outlook (NGFO) by $2.908 billion (compared to the enacted 2022 supplemental). Of the increase, $2.563 billion is the cost of continuing current services, adjusted for inflation and enrollment (the maintenance level). Just $345.6 million is due […]

Major appropriations in the 2023–25 operating budget

The chart below shows how the maintenance level (the cost of continuing current services, adjusted for enrollment and inflation) and new policy changes are distributed among the budget areas. As I wrote yesterday, compensation and service provider rate increases make up a significant share of new policy spending in the 2023–25 operating budget. In this […]

Compensation and provider rate increases make up 43% of new policies in the 2023–25 operating budget, net of significant savings from reducing unfunded pension liabilities

The 2023–25 operating budget as passed by the Legislature includes $4.707 billion in appropriations for new policies from funds subject to the outlook (NGFO). Of that, $2.823 billion is appropriated for increased compensation and increased service provider rates. At the same time, the budget saves $803.8 million from lower contribution rates toward unfunded actuarial accrued […]

New policies in the operating budget would increase appropriations by $4.707 billion

The 2023–25 operating budget deal would increase appropriations from funds subject to the outlook (NGFO) by $5.642 billion (compared to the enacted 2022 supplemental). Of that, maintenance level changes (the cost of continuing current services, adjusted for enrollment and inflation) total $935.7 million and policy level changes total $4.707 billion. (See here for an overview […]

Negotiated operating budget would increase appropriations by 8.8%

The conference report for the 2023–25 operating budget would appropriate $69.767 billion from funds subject to the outlook (NGFO), an increase of 8.8% over 2021–23 (as enacted in the 2022 supplemental). That is $388.0 million more than appropriated in the Senate-passed proposal and $360.7 million less than appropriated in the House-passed proposal. In terms of […]

Capital budget compromise would increase appropriations by 10.9%

The compromise 2023–25 capital budget deal was released today, and the House has already passed the proposed compromise (ESSB 5200 and SHB 1148). SHB 1148, the bond bill, would authorize $4.186 billion in general obligation bonds. The compromise does not include the housing bond referendum proposed by Gov. Inslee. Nevertheless, the compromise proposal would appropriate […]

The Senate- and House-passed operating budgets include different assumptions about contributions toward unfunded pension liabilities; the Legislature has passed a policy bill that takes the Senate’s route

Washington’s public employee pension systems are well funded, with the exception of the Public Employees’ Retirement System (PERS) plan 1 and the Teachers’ Retirement System (TRS) plan 1. For years, the state has been making additional contributions toward the unfunded actuarial accrued liability (UAAL) in these two plans. Currently, the state pays a minimum contribution […]

Legislature passes bill that would modify the outline of the yet-to-be-implemented Washington student loan program and remove sustainability requirements

The Legislature has passed EHB 1823, which would make changes to the Washington student loan program statute. (Gov. Inslee has not yet signed the bill.) I wrote about an earlier version of the bill here. The student loan program was enacted last year (RCW 28B.93) and the 2022 supplemental operating budget appropriated a total of […]

Public schools funding in the capital budgets and a proposed new grant program for school construction

The Senate-passed capital budget would appropriate $876.4 million from all funds for public schools in 2023–25, and it assumes that the appropriations for the funded projects would total $6.868 billion over 10 years. The capital budget approved by the House Committee on Capital Budget would appropriate $844.1 million from all funds for public schools in […]

Comparing the Senate and House capital budgets

The Senate passed its capital budget (ESSB 5200) on March 24. It has not yet passed its bond bill (SSB 5201). As approved by the Ways & Means Committee, the bond bill would authorize $4.167 billion in general obligation bonds. The House has not yet passed either its capital budget (SHB 1147) or its bond […]