ith budget woes growing even more painful for state government, dire comments from Gov. Chris Gregoire and a few other Democrats remind us of a family desperately discussing over the kitchen table how to cut the costs of a new Cadillac.
The brakes must be paid for. They certainly can’t take out the steering system. Of course, an engine will be needed. Can’t do without the headlights. Then, the wise grandmother walks into the kitchen and suggests, “Those accessories are all essential, but do we really have to buy a Cadillac?”
Gregoire and legislators are still smarting from having to cut billions from the state budget earlier this year, when they wisely avoided tax increases. But now as they confront a new projected deficit of $2.6 billion, they argue that there simply are no more acceptable cuts available, and tax increases will be necessary.
But listen to Granny. Aren’t there other, better ways to deliver government services and programs? Why not reform that delivery system?
Gregoire spoke directly to the hearts of Washingtonians on Thursday: “I can’t cut hospice care. I can’t cut maternity care. I can’t cut all state need grants. I can’t do that. That’s not my values, and I don’t believe it’s the values of the people of the state of Washington.” Well, gosh, it’s not. But other informed leaders are suggesting sensible ways to save money without hurting the most vulnerable citizens, and the argument is based on a simple theory: reform state government systemwide.
“This is the time when we have to talk in a fresh new way,” said state Sen. Joe Zarelli of Ridgefield, lead Republican on the budget-writing Senate Ways and Means Committee. And this is not mere rhetoric coming from Zarelli. He’s got plenty of specific suggestions.
For example, does the state really have to continue paying 88 percent of health care premiums for state workers? Couldn’t the workers pay more themselves, as we see throughout the private sector? The Kaiser Family Foundation reports that the 2008 private-sector average employer payment was 84 percent of single coverage and 73 percent of family coverage.
Also, couldn’t a small, say, $2 prescription co-pay be added to the Basic Health plan? We suspect so.
Instead of conjuring up horror stories about increased suffering by those who are most dependent on state services and programs, why not consider ways to reform the way those services and programs are provided?
Last May, Zarelli announced “Ten Legislative Proposals for Structural Reform,” and backed it all up with accompanying legislation. Those recommendations include limiting tuition waivers; eliminating subsidies of career students; applying an asset test for the Basic Health plan; search more diligently for opportunities to privatize government services; change bilingual education from “come into the system and stay as long as you need” to immersion types of programs that have succeeded in other states; and put new state employees on a defined contribution pension plan instead of a defined benefit plan (state higher education faculty overwhelmingly have chosen to contribute to their retirement plan).
For the long-term, if and when the recovery arrives, Zarelli recommends directing extraordinary revenue growth into the Rainy Day Fund.
More details about how to reform state government and make it more efficient are available at src.leg.wa.gov/zarelli (click on “Budget tidbits”).
Any talk about increasing taxes should occur only after all efforts to reform state government have been exhausted. Taxpayers — and the needy among us — deserve a tenacious approach to making services and programs more efficient.
