This has been an unfortunate week for the taxpayers of this state. Yesterday, the governor signed Senate Bill 6130 into law. This suspends the Taxpayer Protection Act of 2007 (I-960). I fought against this legislation and joined my Republican colleagues and moderate Democrats in voting against it. With the will of the voters pushed aside, Democrats are now free to raise your taxes.

On Tuesday, Senate Democrats shared their 2010 supplemental operating budget and it included $918 million in new tax increases. A 0.3 percent sales tax increase is part of their plan. You can find more information below.

Also on Tuesday, House Democrats unveiled their supplemental operating budget. Their plan includes $857 million in new tax increases, but they cancelled a news conference yesterday that would have revealed what taxes they would raise.

It is hard to say what new tax increases Southwest Washington families, individuals and businesses will have to endure when it is all said and done. But it is safe to assume it will be in the neighborhood of $1 billion. This approach will only hurt our economy more and push our serious budget problems down the road. 

I will continue to advocate for: no tax increases; responsible state spending; priorities of government; and reform in our budget process. There are solutions on the table that could be voted on in the remaining days of the legislative session. 

The bottom line is we must be accountable and transparent with tax dollars, and put our budget on a path of sustainability. Olympia needs to break from the status quo and belief that the only way to create new revenue is to raise taxes. More taxes will only put more people out of work. If the state wants to create revenue, it should stop reaching into its citizens’ pockets for more money, and instead let them keep their money to help create jobs.   

 

Jaime Herrera
State Representative
herrera.jaime@leg.wa.gov
http://houserepublicans.wa.gov/herrera/
(360) 786-7850


House Democrats’ supplemental operating budget

To address the state’s $2.7 billion budget shortfall, House Democrats want to raise taxes, rely on federal dollars and transfer funds from other dedicated state accounts. They propose spending nearly $31 billion, leaving only $269 million in reserves. While they still have not unveiled what taxes they plan to increase, here is a breakdown of their proposal: 

  • $857 million in new tax increases;

  • $641 million in federal dollars;

  • $236 million in budget transfers;

  • $653 million in state spending cuts; and

  • $311 million from state reserves.


Senate Democrats’ proposed tax increases

Here is a snapshot at the new tax increases Senate Democrats are proposing:

  • Limit or repeal tax incentives (Senate Bill 6873): $518 million

  • 0.3 percent sales tax increase: $313 million

  • $1.00 per pack cigarette tax increase: $86 million

  • Total tax increases proposed: $918 million (2009-11); $2 billion (2011-13)