Gov. Jay Inslee will propose a mix of spending cuts and at least $1 billion in new revenue next week when he releases his proposed budget, according to David Schumacher, director of the state Office of Financial Management.
But Inslee’s proposal won’t provide full funding for Initiative 1351, the measure voters approved in November to shrink school class sizes, Schumacher said in a briefing with reporters Tuesday.
The details come a month before legislators begin work on closing the state’s budget shortfall, which Financial Management estimates at roughly $2.35 billion for 2015-17 spending cycle. Roughly $1.2 billion of that would be the cost of meeting the state Supreme Court order known as the McCleary decision that mandates lawmakers fully fund education. Also considered in that mix is nearly $600 million in raises for state employees and $400 million in cost-of-living pay increases for teachers.
To close that $2.35 billion budget gap, Inslee will propose more new revenue than cuts, according to Schumacher.
“After seven years of cuts, the ability to get significant amounts of revenue from quote ‘efficiencies’ is just not there anymore,” Schumacher said Tuesday afternoon.
He did not specify what taxes Inslee will seek to raise. In 2012, while running for governor, Inslee pledged to veto any “new taxes.” But since being elected, he has repeatedly said dealing with McCleary and other needs will require new revenue.
As required by law, the governor also will submit a budget that shows what state spending would look like with no new revenue. Schumacher said that plan would require massive cuts to universities, social services and prisons.
Inslee spokespeople declined to comment further, but released a statement Tuesday afternoon broadly outlining the governor’s budget goals.
“The governor will propose major investments in the areas of early learning, kindergarten through 12th grade and STEM training, as well as in a higher education budget focused on keeping college affordable,” according to the statement.
A spokesperson for state Senate Republicans did not immediately respond to a request for comment. But GOP leaders previously have said they’d consider taxes only as a last resort. Republicans have not even agreed on the size of the budget shortfall, questioning whether worker and teacher pay raises are necessary.
