In a new report, Pew provides data on how state finances have recovered (or not) from the Great Recession. As we showed in a pair of December reports, Washington’s spending and revenues are higher than their pre-recession peaks. But that’s not the case for all states.

Of the Pew report, Opportunity Washington writes,

If rising expenditures are a measure of fiscal health (an arguable proposition), our state is in extraordinary shape . . . . We’re in fifth place in expenditure growth, behind North Dakota, Colorado, Hawaii, and Texas. This is before taking into account the 18.3 percent jump in spending approved by the Legislature and signed by the governor this year.

As I noted earlier this morning, the 18.3 percent jump from 2017–19 to 2019–21 is now an 18.4 percent jump, accounting for vetoes. But even before considering the substantial increase in spending adopted for 2019–21, there is also a considerable jump in Washington’s spending within the 2017–19 biennium, from FY 2018 to FY 2019, due to the implementation of McCleary-related spending increases. State spending in Washington increased by 6.6 percent from FY 2017 to FY 2018 and by 13.2 percent from FY 2018 to FY 2019 (including the 2019 supplemental).

Pew’s overall spending figures go from FY 2008 to FY 2018, so assuming that spending in other states grew at a more normal rate in FY 2019, Washington would probably rise in the rankings if FY 2019 were included.

Other notes from the Pew report:

• Inflation-adjusted, per-pupil state spending on higher education dropped from FY 2008 to FY 2018 in all but 11 states. Washington’s spending dropped by 14 percent, which ranked Washington in the middle of the states.
• Inflation-adjusted, per-pupil state revenues for K–12 education for school years 2008 to 2016 were down for 29 states. Washington’s state revenues for K–12 increased 12 percent, the 8^th highest in the nation. And that’s before most of the McCleary funding was implemented.
• Inflation-adjusted change in local revenue from state coffers from FY 2008 to FY 2016 dropped in all but 24 states. Washington’s state funding to local governments increased by 17.2 percent, the 4^th highest in the country. (Of course, the relative amount doesn’t mean the level is adequate, as our counties might say, given that they may sue the state over unfunded mandates.)
• Washington is one of 27 states that had more in their rainy day funds in FY 2018 than in FY 2007. According to Pew, in FY 2018, Washington could have operated 24.3 days on rainy day funds, which ranked 24^th. (As we have written, although Washington’s reserve levels have significantly improved since the recession, they would be even higher if legislators hadn’t spent the extraordinary revenues we’ve experienced over the past few biennia and if they hadn’t diverted revenues away from the general fund to avoid required transfers to the rainy day fund.)