Senate increases spending in 2013-15 budget passed Saturday

By: Emily Makings
12:00 am
June 10, 2013

On Thursday, the House passed a 2013-15 budget (ESHB 1057), and over the weekend, the Senate passed one as well (ESSB 5034). The House version would spend $322.2 million more than the Senate in terms of near general fund-state plus opportunity pathways (NGFS+). The House would leave $593.7 million in total reserves, and the Senate would leave $597 million.

Both proposals represent movement from the versions passed by each chamber in April. The June 6 House version spends $792.3 million less than the April 12 House version. The June 8 Senate version spends $49.4 million more than the April 5 Senate version.

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Some changes in the June 8 Senate version:

  • It still recognizes that many part-time state, higher ed, and K-12 employees will be eligible for health care through the Health Benefit Exchange. The April 5 proposal assumed this would save $82.3 million, net of premium reimbursements for employees. But, the bill that formalizes this (SB 5905) was amended in April after the budget passed. Among the changes to SB 5905 are a provision allowing eligibility for the Public Employees Benefits Board plans for part-time positions through collective bargaining. The June 8 budget assumes that moving some part-time employees to the exhange would save $41.9 million, net.
  • The April 5 version made reductions to Temporary Assistance for Needy Families totaling $184 million; the June 8 version reduces appropriations for the program by $147 million. This is due to smaller assumed caseload savings and to not capping the number of families eligible for Working Connections Child Care.

In addition to the budget bill, the House passed ESHB 2034, which would increase several taxes. According to a document from the House Office of Program Research, revenues from this bill (about $186.4 million) would be used for K-12 and higher education.

The June 8 Senate plan could include three separate bills that would raise revenues: PSSB 5871 (applying the sales tax to purchases by non-residents — but they could apply for a refund); PSSB 5872 (restoring the estate tax — Bracken decision); and PSSB 5873 (telecommunications taxation). Revenues from these bills would go to things like the housing and essential needs program; aged, blind and disabled cash programs; and vendor rate increases for child care providers.

According to Erik Smith of Washington State Wire:

[Senate leaders are] talking about passing separate bills that enact a handful of tax hikes—some $300 million worth. But they expect the House to deal. They’re saying they are going to hold back until they get what they want—big picture reform measures on K-12 education, workers’ comp, state-employee health benefits, and sustainable spending practices in the future.

The special session ends tomorrow, but, as passed last week, the House and Senate proposals are still quite a ways apart.

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