Washington Business Fall 2017 | Legislative Review & Vote Record | Page 7

introduction A Record that Should Never be Broken Gary Chandler AWB Vice President, Government Affairs The 2017 legislative session produced some good outcomes, particularly around education funding, but it was tarnished by unfinished work on the capital budget and the Hirst water ruling, as well as the governor’s veto of a tax- relief measure for manufacturers. And at 193 days, it was needlessly — and unacceptably — long. The longest legislative session in Washington history Tying performance to finances is nothing new in the came to a disappointing close July 20 as lawmakers left private sector. Maybe it’s time to consider it for our state’s town with some important work left unfinished — namely, elected officials. passing a capital budget and a permanent fix for the Hirst Despite the unnecessary length of the session, there were water ruling that’s holding up economic development in some positive outcomes and education funding is at the top rural communities. of the list. It’s disappointing not only because of the unfinished work The 2017-19 state budget added $7.3 billion to K-12 and the missed opportunities ­— or even the ever-lengthening funding over the next four years, an amount that Gov. Inslee duration of our state’s legislative sessions — but because of and legislators believe is enough to satisfy the Supreme how unnecessary it was to take a session scheduled to end in Court’s McCleary ruling. That’s in addition to $4.5 billion April and stretch it into mid-summer. added since 2013. The political landscape was no different after 193 days As the bipartisan group of lawmakers noted in their report than it was after 105 days. Nothing changed. There’s really no to the Supreme Court, the latest increase more than doubles reason the budget that was adopted June 30, barely avoiding state funding for K-12 public schools since the 2012 McCleary a partial government shutdown, couldn’t have been adopted ruling, and for the first time since the 1980s, it makes education April 23. funding more than 50 percent of the state budget. So why do lawmakers keep doing this? That’s a remarkable increase in school funding in a To be fair, it’s not easy to craft a budget that adds billions relatively short amount of time and it’s an achievement that of dollars to K-12 funding while trying at the same time to should be celebrated. avoid cutting important programs and raising taxes. We should also be celebrating a tax reduction for But the main reason, I believe, is because we have let them manufacturers, but unfortunately Gov. Inslee used his do it. For years now, lawmakers have been routinely going veto pen to strike down a provision in the 2017-19 budget into overtime without serious consequences. that would have lowered the business and occupation One special session is nothing. Two isn’t surprising. Three (B&O) tax for manufacturers. special sessions are now the norm. The reduction would have benefitted small- and medium- It used to be the July 1 start of a new fiscal year and the sized manufacturers greatly, and given rural communities threat of a government shutdown if a budget wasn’t approved a needed boost. As we noted immediately following the by then was a real motivator. But this year’s record-setting governor’s veto, the B&O tax reduction was agreed upon session, and the 2015 session that ended just 10 days earlier in good faith by a bipartisan group of legislators and it was on July 10, prove that doesn’t even work anymore. approved with a bipartisan supermajority in both chambers. What can we do about it? One idea is to consider changing The governor’s veto, and the Legislature’s failure to the state constitution to require lawmakers to complete their override the veto, were two of several missed opportunities work in 105 days. If they go beyond 105 days, there would be that made 2017 the year lawmakers finally fixed McCleary, no per diem. but still came up short in the longest session ever. special edition 2017 5