Blog

States will feel the impact of federal deficit reduction

In my column today, I discuss the growing reliance of state governments on federal funding. In 2008, before the stimulus act, federal funds accounted for about 26 percent of total state spending. With the stimulus, that share rose to nearly 35 percent in 2010, returning to pre-stimulus levels next year, long before state revenues recover. […]

New interstate comparison of business taxes – WA still high

The Council on State Taxation released its annual report on business taxes. The research, conducted by Ernst & Young LLC, is the most comprehensive analysis available. The press release highlights document the lingering effects of the recession (data are for 2010). Key findings of the study include: After falling by 0.9% in FY2009, state and […]

Governors expect tough times to linger

News from the National Governors Association summer meeting in Salt Lake City was decidedly grim. State governments, beneficiaries of stimulus dollars that sustained spending during the worst days of the recession, continue to face ongoing fiscal challenges. As the governors watch the debt and deficit debates in D.C., most acknowledge the end of federal assistance. […]

Minnesota shutdown ending with budget agreement

Minnesota’s two-week government shutdown appears to have been resolved. I wrote about it in this column, drawing a comparison with the federal debt ceiling and deficit showdown. The Republican legislature and Democratic governor travel down a well worn road to covering budget gaps. The deal raises the revenue Dayton sought — $1.4 billion — but […]

A business perspective on recent legislative session

That’s what I try offer in this commentary in Crosscut. Here’s how I frame it. Legislative post mortems generally report that business interests had a good session. That’s a fair but incomplete conclusion. The progress made this year in Olympia will improve Washington’s economic competitiveness. However, much more remains to be done. Let’s look first […]

Protecting state pension funds

Following up on Jay Inslee’s proposal for the state to invest a small part of pension funds in start-up companies, Erik Smith examines the issue at Washington State Wire. We’ve been skeptical of the idea in the past. The simple, singular goal of the investment board is, well, Smith has a good quote from the […]

Washington wins some, falls some in competitiveness rankings

In my column in the Puget Sound Business Journal today (subscriber content), I comment on Washington’s favorable ranking in a new study by the U.S. Chamber of Commerce. Washington ranks 10th on its measure of entrepreneurship and innovation, scoring well on STEM (science, technology, engineering and mathematics) job concentration and job growth. Other high marks […]

Improved competitiveness from legislative session, but just a start

That’s the theme of today’s column. Employers have been cheered by some legislative outcomes. Nonetheless, it’s amazingly difficult to get the right things done in Olympia. The state’s abundant assets — trade, technology, natural resources, brilliant innovators and skilled workers — keep us competitive, but tax, regulatory and labor policies and inconsistencies weigh heavily on […]

Washington ranks #40 in new Economic Freedom Index

The Mercatus Center at George Mason University recently released Freedom in the 50 States. Here’s how they describe the index: This study comprehensively ranks the American states on their public policies that affect individual freedoms in the economic, social, and personal spheres. It updates and expands on the Center’s inaugural edition, published in 2009. For […]

WRC's 79th Annual Meeting

…was a great success last night. Thanks to all who attended and sponsored the event, the WRC board and executive committee, outgoing chair Anne Bryant and incoming chair Gary Strannigan. We're going into the 80th year with momentum.