Gov. Inslee says extending taxes not an increase

OLYMPIA — Gov. Jay Inslee, on his first full day in office Thursday, said he may support extending two taxes set to expire in June if it helps balance the budget or satisfy a court order to better fund public schools.

And Inslee, a Democrat, rejected the idea that by continuing a tax on beer and a surcharge in the business and occupation tax for certain services that he is violating a campaign pledge to not increase taxes.

“I do not believe we would be increasing taxes if we extend the existing tax rates in that regard. And the reason I believe that is it’s true,” he said at a news conference.

“They do not raise taxes on people over the existing level that in fact are being paid today,” he said. “Since they do not increase taxes, they’re not a tax increase. That’s a numerical, mathematical conclusion that Huskies and Cougars, no matter where you went to school, can agree with on a mathematical basis.”

Jason Mercier, director of the Center for Government Reform of the Washington Policy Center, disagreed.

“Under state law, breaking the promise to sunset those temporary tax increases would qualify as a tax increase and trigger the protections of the state’s supermajority for taxes law,” he wrote in an email.

“While the governor did not officially commit to breaking the promise made to those currently subject to these ‘temporary tax increases,’ extending them would qualify as a tax increase under the law and run afoul of what the voters were promised,” he wrote.

On June 30, a 0.3 percent increase to the business and occupation tax paid by lawyers, accountants and others and a 50-cent-per-gallon tax on beer are scheduled to expire. Lawmakers approved the temporary increases in 2010 to help plug a budget gap.

Keeping them in place could bring in around $635 million in the next two-year budget.

Former Gov. Chris Gregoire called for extending the taxes in her final budget proposal which went to lawmakers in December.

She also proposed higher taxes on gas, soft drinks, candy and gum in order to fill a projected $900 million deficit and avoid further spending cuts by state agencies.

Inslee last month did not embrace any of the revenue ideas.

“Gov. Gregoire’s budget reflects the seriousness of the challenges ahead and Gov.-elect Inslee appreciates her thoughtful effort and determination to address Washington’s fiscal reality,” he said in a prepared statement at the time. “The upcoming legislative session, Gov.-elect Inslee will lay out his own budget priorities that reflect his vision for state government and his commitment to create a lasting economic recovery with secure jobs for Washington’s middle-class.”

Jerry Cornfield: 360-352-8623; jcornfield@heraldnet.com.

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Local News

A firefighter stands in silence before a panel bearing the names of L. John Regelbrugge and Kris Regelbrugge during the ten-year remembrance of the Oso landslide on Friday, March 22, 2024, at the Oso Landslide Memorial in Oso, Washington. (Ryan Berry / The Herald)
‘Flood of emotions’ as Oso Landslide Memorial opens on 10th anniversary

Friends, family and first responders held a moment of silence at 10:37 a.m. at the new 2-acre memorial off Highway 530.

Julie Petersen poses for a photo with images of her sister Christina Jefferds and Jefferds’ grand daughter Sanoah Violet Huestis next to a memorial for Sanoah at her home on March 20, 2024 in Arlington, Washington. Peterson wears her sister’s favorite color and one of her bangles. (Annie Barker / The Herald)
‘It just all came down’: An oral history of the Oso mudslide

Ten years later, The Daily Herald spoke with dozens of people — first responders, family, survivors — touched by the deadliest slide in U.S. history.

Victims of the Oso mudslide on March 22, 2014. (Courtesy photos)
Remembering the 43 lives lost in the Oso mudslide

The slide wiped out a neighborhood along Highway 530 in 2014. “Even though you feel like you’re alone in your grief, you’re really not.”

Director Lucia Schmit, right, and Deputy Director Dara Salmon inside the Snohomish County Department of Emergency Management on Friday, March 8, 2024, in Everett, Washington. (Ryan Berry / The Herald)
How Oso slide changed local emergency response ‘on virtually every level’

“In a decade, we have just really, really advanced,” through hard-earned lessons applied to the pandemic, floods and opioids.

Ron and Gail Thompson at their home on Monday, March 4, 2024 in Oso, Washington. (Olivia Vanni / The Herald)
In shadow of scarred Oso hillside, mudslide’s wounds still feel fresh

Locals reflected on living with grief and finding meaning in the wake of a catastrophe “nothing like you can ever imagine” in 2014.

Everett mall renderings from Brixton Capital. (Photo provided by the City of Everett)
Topgolf at the Everett Mall? Mayor’s hint still unconfirmed

After Cassie Franklin’s annual address, rumors circled about what “top” entertainment tenant could be landing at Everett Mall.

Everett
Everett man sentenced to 3 years of probation for mutilating animals

In 2022, neighbors reported Blayne Perez, 35, was shooting and torturing wildlife in north Everett.

Dorothy Crossman rides up on her bike to turn in her ballot  on Tuesday, Aug. 1, 2023 in Everett, Washington. (Olivia Vanni / The Herald)
Everett leaders plan to ask voters for property tax increase

City officials will spend weeks hammering out details of a ballot measure, as Everett faces a $12.6 million deficit.

Starbucks employee Zach Gabelein outside of the Mill Creek location where he works on Friday, Feb. 23, 2024 in Mill Creek, Washington. (Olivia Vanni / The Herald)
Mill Creek Starbucks votes 21-1 to form union

“We obviously are kind of on the high of that win,” store bargaining delegate Zach Gabelein said.

Lynnwood police respond to a collision on highway 99 at 176 street SW. (Photo provided by Lynnwood Police)
Police: Teen in stolen car flees cops, causes crash in Lynnwood

The crash blocked traffic for over an hour at 176th Street SW. The boy, 16, was arrested on felony warrants.

The view of Mountain Loop Mine out the window of a second floor classroom at Fairmount Elementary on Wednesday, Jan. 10, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
County: Everett mining yard violated order to halt work next to school

At least 10 reports accused OMA Construction of violating a stop-work order next to Fairmount Elementary. A judge will hear the case.

Imagine Children's Museum's incoming CEO, Elizabeth "Elee" Wood. (Photo provided by Imagine Children's Museum)
Imagine Children’s Museum in Everett to welcome new CEO

Nancy Johnson, who has led Imagine Children’s Museum in Everett for 25 years, will retire in June.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.