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 all budgeted funds, the conference report would appropriate $133.580 billion in 2023–25. That’s $3.191 billion more than the Senate had proposed and $1.561 billion more than the House had proposed. (Much of the difference comes from increased use of federal funds, particularly from changes to the hospital safety net assessment program.)

The budget does not include general tax increases. In 2023–25, it would increase revenues by $54.2 million by making changes to the hospital safety net program (HB 1850) and by $28.2 million from allowing the Department of Revenue to enter into settlement agreements with holders of unclaimed property (HB 1742). It would decrease revenues by $8.0 million in 2023–25 by shifting certain insurance premium taxes from the NGFO to the auto theft prevention authority account (HB 1682).

The conference report would transfer $1.302 billion from the Washington rescue plan transition account (WRPTA, an unrestricted reserve account) to the general fund–state (GFS). It would also transfer $40.0 million from the Washington student loan account to the GFS, $50.0 million from the model toxics control operating account (MTCA) to the GFS, and $30.0 million from the state treasurer’s service account to the GFS. (The transfer from MTCA was not included in the earlier proposals from either the Senate or the House.) It would transfer $89.9 million from the GFS to the wildfire response, forest restoration, & community resilience account and it would transfer $49.0 million from the GFS to the home security fund account.

According to the budget outlook, the conference report would leave an unrestricted NGFO ending balance of $105 million in 2025–27. It balances over four years in part because the conference report assumes higher than normal reversions (appropriations not spent). Assumed reversions are not as high as in the House-passed budget, but the budget would not balance over four years if it assumed the Senate’s level of reversions.

Constitutionally-required transfers to the budget stabilization account (BSA) would be made, and there would be no withdrawals from the BSA. After the transfer from the WRPTA, the WRPTA’s balance would be $798 million. Total reserves would be $3.034 billion in 2025–27, which is 8.4% of revenues and resources.

The conference report was released today at noon; the legislative session ends tomorrow.