So much for basking in the glow of election night victories by Washington’s state legislators. The culprit for a new cloud hanging over the Legislature goes by the seemingly harmless name of Economic and Revenue Forecast Council. On Wednesday, the council doused any lingering celebrations with these cruel facts:The state faces a $900 million deficit for the next two-year budget ending in mid-2015.
A four-year outlook shows an even greater projected revenue shortfall of $1.1 billion through 2017.
These figures, grim as they are, don’t even accommodate a court-ordered requirement to increase state spending on public education.
Our advice to the lawmakers: Do your homework, and prepare to make some tough budget decisions when your next session starts on Jan. 14.
Whether the state budget can be balanced (as required by law) without increasing revenue is hotly debated. Gov. Chris Gregoire, who retires at the end of the year, says it can’t be done without new revenue, perhaps tax increases. Governor-elect Jay Inslee, also a Democrat, disagrees and repeats his campaign vow that a combination of new efficiencies plus new revenue that would just naturally come through economic growth can accomplish the trick.