Budget

Gov. Inslee’s budget would balance over four years, but total reserves at the end of 2025–27 would be just $2.411 billion

Yesterday the Economic and Revenue Forecast Council (ERFC) adopted an official budget outlook based on Gov. Inslee’s operating budget proposal. It estimates that the budget would leave an unrestricted ending balance in funds subject to the outlook (NGFO) of $275 million over four years. But there is uncertainty about the economy and the constitutionality of […]

Gov. Inslee proposes a historically large $4 billion bond referendum to reduce homelessness, on top of historically large regular capital bond bill

The biggest-ticket policy item in Gov. Inslee’s budget proposals is $4 billion in bonds for homelessness and housing programs, which would have to be approved by voters. State debt is limited by the state constitution. Under Article VIII, Section 1, the principal and interest payments on the state debt cannot exceed 8.25% of average general […]

Governor would fund Washington student loan program and shift more of its funding from the general fund to the workforce education investment account

In 2022, the Legislature enacted E2SHB 1736, which creates the Washington student loan program. Many program details were left to be determined later, with recommendations due from the Washington Student Achievement Council by Dec. 1, 2022. (The report has not yet been published.) However, E2SHB 1736 did specify that loans will not be issued unless […]

Gov. Inslee’s budget proposal would continue to fund the working families tax credit; two prefiled bills would make changes to the program

On Inside Olympia last month, Gov. Inslee talked about his budget proposals and said, “In fact, we’re actually doing a tax cut in this budget because it funds the working families tax credit. So 400,000 Washingtonians will get a tax cut starting February 1, if they apply for it.” The governor isn’t referring to a […]

What inflationary increase will be funded when school salaries are rebased this year?

Although almost half of the new policy spending in Gov. Inslee’s 2023–25 budget proposal would be used to increase employee compensation and provider rates, a relatively small portion of that would be for school employees. The state increased allocations for school salaries as part of its response to the McCleary decision on school funding (beginning […]

Increased employee compensation and provider rates make up almost half of proposed new policies for 2023–25

Under Gov. Inslee’s proposed 2023–25 operating budget, appropriations from funds subject to the outlook (NGFO) would increase by $4.854 billion to fund new policies. (The cost of continuing current services is expected to increase by an additional $1.401 billion.) Many of the new policy proposals are related to employee compensation or increasing the rates paid […]

Policy reductions in the governor’s 2023 supplemental would help to balance the 2023–25 budget

Gov. Inslee’s 2023–25 operating budget proposal is funded via the increased revenue forecasts since the current budget was adopted and a transfer of $2.1 billion in reserve funds (from the Washington rescue plan transition account) to the general fund–state (GFS). Policy level reductions in the proposed 2023 supplemental to the 2021–23 budget also help to […]

Governor’s 2023–25 budget proposal would increase NGFO funding for new policies by $4.854 billion

As I noted on Wednesday, Gov. Inslee’s 2023–25 operating budget proposal would increase appropriations from funds subject to the outlook (NGFO) by 9.8%, or $6.255 billion. That includes the maintenance level plus new policies. (The maintenance level is the cost of continuing current services, adjusted for enrollment and inflation.) Under the governor’s proposal, the NGFO […]

Gov. Inslee’s 2023–25 operating budget proposal would increase NGFO spending by 9.8%, use WRPTA

Gov. Inslee proposes increasing 2023–25 appropriations from funds subject to the outlook (NGFO) by 9.8% over enacted 2021–23 appropriations. Appropriations would total $70.380 billion for the biennium. The governor’s budget would not increase taxes. (Since the current budget was adopted, the NGFO revenue forecast has increased by $3.078 billion over the 2021–23 and 2023–25 period.) […]