Even before being sworn into office, Gov. Bob Ferguson managed to raise some hackles on both sides of the political aisle.
The Democrat presaged his first term with a proposal to cut the two-year state budget by 6 percent – approximately $4 billion – in response to an expected deficit. As columnist Danny Westneat of The Seattle Times summarized: “The move seemed to confound as well as anger people across the political spectrum — some conservatives because they didn’t buy it, and some progressives because they felt blindsided by an ally.”
In that, it appears that Ferguson is off to a strong start. With the state facing pressing problems and with a budget shortfall looming on the horizon, Ferguson must adhere to his progressive principles while also pushing back against his party’s most destructive predilections.
The state’s Office of Financial Management has predicted a $4.3 billion shortfall in state revenue over the next two years. In the two years following that, a deficit of $6.7 billion is expected. For Republicans, in general, that leads to talk of austerity and reductions in state spending. For many Democrats, the reaction is to consider new taxes to make up for the shortfall.
Jay Inslee, who left office this month after 12 years as governor, recommended a first-in-the-nation wealth tax on billionaires. Ferguson said people advocating for such a policy are “not living in reality. . . . There is not some $12 billion revenue source that is magically going to appear.”
That runs counter to Democrats’ approach from recent years. In 2021, seeking additional funding for public schools, early education and child care, lawmakers passed a capital gains tax. The Climate Commitment Act, implemented in 2023, charges polluting companies to help pay for climate initiatives.
Each of those revenue-generating laws were upheld by voters in November. Initiatives that would have repealed them were rejected by more than 60 percent of voters – results that should serve as a lesson for lawmakers from both parties.
The lesson? Washington voters are willing to tax wealthy residents and large corporations when those taxes are designated for a specific purpose. Education funding and climate change are important issues for Washingtonians, and there is a large public appetite for addressing them. But that should not be conflated with a general desire to tap into the state’s wealth every time there is a budget shortfall.
That philosophy should guide Ferguson as he eases into the governor’s office. During last year’s campaign, he focused on policing and public safety, schools and affordable housing. Washington taxpayers likely agree with those priorities and will support initiatives to directly address them. But they also will rebel against general revenue increases that are not accompanied by efforts to reduce spending.
Ferguson said: “We need a review of state operations. We need that. It’s time.” He also reiterated his priorities by adding, “The final budget must invest a higher percentage of the total budget toward K-12 schools” and by detailing an effort to pay for increased law enforcement.
Serious budget discussions will not begin until the next revenue forecast in March. And lawmakers often greet a governor’s budget proposal with little more than a wink and a nod.
Thus far, however, Ferguson has demonstrated pragmatism rather than adhering to partisan dogma. Legislators would be wise to follow his lead.