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Another day, another $300 million added to the state budget problem

The Caseload Forecast Council met this morning. Although the news generally was mixed-to-positive, the bottom line effect was bad news: Increased medical utilization costs added $301 million to maintenance-level costs. Here’s the worksheet for the two bienniashowing the detail. And here’s the Seattle Times report pegging the shortfall now at about $1.3 billion before making […]

Handicapping the economy – mixed reviews ahead of the 3/20 state revenue forecast

Kriss has written (here and here) that the next state revenue forecast will likely come in below the November numbers, adding to the budget woes that will dominate the closing weeks of the legislative session. As has been the case through much of this frustrating semi-recovery, expectations continue to be mixed. Economist Mark Perry has […]

The legislative education funding challenge: How do you solve a problem like McCleary?

My column in the current issue of AWB’s Washington Business considers the state budget problem. It was written weeks ago, but holds up I think. With next week’s revenue forecast likely to be down (and a new caseload forecast tomorrow apt to show increased costs), the challenge is a bit tougher than it looked in […]

May Washington's public pension system never be this interesting . . .

“Pensions are complicated, and when they are not causing huge problems, they are boring.” I’ve mentioned that Josh Barro line before, and I probably will again, because it’s pure truth. These days, pensions are certainly not boring, as the situation in Illinois illustrates spectacularly. Yesterday, the Securities and Exchange Commission charged the state with securities […]

State Senate sets city limits on Seattle sick live ordinance

Business groups opposing Seattle’s controversial paid sick leave ordinance won one yesterday, as the state Senate passed ESB 5276 on a strong bipartisan vote, 29-20. The city’s ordinance would have applied the rule to employers operating in the city, regardless of whether the firm was located within Seattle city limits.The Senate bill sets limits, city […]

With supermajority for taxes out, what's next?

I take a stab at answering that in my column today. The crux: After 20 years, voters understand how the supermajority requirement works. If they want it in the constitution, they first must elect a Legislature that will place it on the ballot. They should begin by making it an issue in the 2014 campaign. […]

Elway poll shows limited appetite for new transportation funding – the search continues

A new Elway Poll underscores the challenge facing legislators and the broad coalition working to fund essential transportation improvements in the state. The Seattle Times reports: A Stuart Elway poll of 412 registered voters found that 72 percent oppose a higher gas tax and 62 percent oppose an increase in the car tab. The poll has a margin […]

Why state pension reforms are coming

Sunday’s Seattle Times carries an excellent analysis of the state pension system by reporter Drew DeSilver. The crux: An analysis by The Seattle Times suggests that the system’s promised benefits are much bigger, and its real assets smaller, than official numbers indicate. The analysis, using market-based data and methods, pegs the total gap between the […]

Taxing Tech: Seattle Times op-ed emphasizes benefits of tax incentives

Legislators wanting to exercise their new taxing authority by boosting tech taxes should first read an important commentary in today’s Seattle Times by Susan Sigl and Bryan Mistele. Sigl, head of the Washington Technology Industry Association, and Mistele, founder and CEO of INRIX, remind policymakers of the economic importance of the industry to the state […]

Reactions to state supreme court rejection of supermajority requirement

This morning’s supreme court ruling has prompted a host of first reactions. Gov. Jay Inslee likes the decision. The state Supreme Court did the right thing today in ruling that a supermajority requirement for ordinary legislation would alter our system of government. The supermajority requirement gave a legislative minority the power to squelch ideas even […]