OLYMPIA, Wash. - Budget-balancing resembles high-wire juggling for
Washington state lawmakers lately. Both the House and Senate released
their budget proposals on Tuesday; both include raising similar amounts
of revenue - under $1 billion - to close a budget shortfall of $2.8
billion.
So, each proposal is already being scrutinized and coming up lacking. The grassroots group
Fuse Washington
says the budgets are generally aiming in the right direction, although
they continue to rely heavily on deeper cuts to education, health and
senior services. Jim Dawson,
Fuse Washington's campaign director, says at first glance, the legislators appear to be overlooking many ways to bring in more cash.
"There is a lot more revenue they could generate through closing other
tax loopholes, making polluters pay their fair share, and raising some
targeted 'sin taxes' on nonessentials like candy and gum and bottled
water."
The Senate budget proposal does include closing some loopholes, as well
as temporarily raising the sales tax three-tenths of a penny and hiking
cigarette taxes. The House has not yet released its particulars. In the
next few weeks, they'll be heard in legislative committees in an
attempt to reconcile them.
Dawson points out that state budget cuts have already resulted in
thousands of people losing jobs and services like health care, and that
the safety net can only stretch so far.
"This is in the context of over $3.6 billion in cuts that were already
made. And so, when you compare the two, you're looking at about $4 in
cuts to every $1 in new revenue sources. The package is not big enough."
A common complaint about raising taxes is that they are are harmful to
the economy or will cost jobs, but Dawson cites a study released last
year by the
Center for Budget Policy and Priorities (
www.cbpp.org/fils/5-13-09sfp.pdf).
It shows in the last recession, the states that managed to raise taxes
recovered more quickly by keeping their safety nets in place.