{"id":2382274,"date":"2024-12-20T11:29:01","date_gmt":"2024-12-20T16:29:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/washingtons-operating-budget-could-reach-87-billion-by-the-2027-2029-biennium-washington-examiner\/"},"modified":"2024-12-20T11:32:34","modified_gmt":"2024-12-20T16:32:34","slug":"washingtons-operating-budget-could-reach-87-billion-by-the-2027-2029-biennium-washington-examiner","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/washingtons-operating-budget-could-reach-87-billion-by-the-2027-2029-biennium-washington-examiner\/","title":{"rendered":"Washington\u2019s operating budget could reach $87 billion by the 2027-2029 biennium &#8211; Washington Examiner"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">28<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fwashingtons-operating-budget-could-reach-87-billion-by-the-2027-2029-biennium-washington-examiner%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2382274&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The state of \u200cWashington is facing \u200da <a href=\"https:\/\/amzn.to\/3YuVZYV\">significant operating budget shortfall<\/a>, which could potentially reach as high as \u2064$16 billion\u2062 for the 2025-2029 biennium. Initial estimates from the state \u200cOffice of Financial Management \u200bsuggested a shortfall between $10-12 billion, but more recent \u200cstatements indicate a revised estimate of approximately $14 billion. Governor jay Inslee has acknowledged the possibility of the shortfall being even\u2064 more substantial. If these figures hold \u200btrue, Washington&#8217;s operating \u200dbudget for the\u2062 2027-2029 biennium\u200b could soar to $87 billion, \u2062representing a 10% increase over \u2064Inslee&#8217;s proposed budget\u2063 for the \u2062upcoming \u200bbiennium and\u200b a 17% increase from the\u200d <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bruce-springsteen-postpones-remaining-2023-concert-dates-as-he-recovers-from-illness\/\" title=\"Bruce Springsteen delays 2023 concerts due to illness recovery.\">current \u200cbudget<\/a>. The\u2062 Washington\u200d Research Council\u2064 has recently updated\u200c its projection of the \u200cbudget shortfall \u200bto around $4.8 billion.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Washington&rsquo;s operating budget could reach $87 billion by the 2027-2029 biennium<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_1916389\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>(The Center Square)&nbsp;&ndash;&nbsp;In October it was&nbsp;<strong><a href=\"https:\/\/www.thecentersquare.com\/washington\/article_9cf2e72a-921c-11ef-89ac-5b48787ffa3a.html\" target=\"_blank\" rel=\"noreferrer noopener\">revealed<\/a><\/strong>&nbsp;that the state operating budget faced a potential $5 billion shortfall for the 2025-2027 biennium. While that figure has changed slightly, the shortfall amount for the four-year outlook has altered drastically in recent weeks, though the number depends on who you ask and when you ask them.<\/p>\n<div class=\"article-paywall\">\n<p>Initially, the state Office of Financial Management estimated the budget shortfall between 2025-2029 could be between $10-12 billion. However, an official from Governor Jay Inslee&rsquo;s Office&nbsp;<strong><a href=\"https:\/\/www.thecentersquare.com\/washington\/article_092e880a-b684-11ef-9154-174f2e0d697f.html\">remarked<\/a><\/strong>&nbsp;at a meeting last week that the estimate was now around $14 billion.<\/p>\n<p>Though Inslee&rsquo;s office and the official later said it was an error, Inslee himself later went on to say at a press conference for his 2025-2027 operating budget that the shortfall could be even higher, to the tune of $16 billion.<\/p>\n<p>If that were to be accurate, along with the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-driver-behind-washington-states-budget-shortfall-washington-examiner\/\" title=\"The driver behind Washington state\u2019s budget shortfall - Washington Examiner\">latest revenue forecast<\/a> by the state Economic and Revenue Forecast Council, the state would have to increase its operating budget spending in the 2027-2029 biennium to $87 billion, a 10% increase from Inslee&rsquo;s&nbsp;<strong><a href=\"https:\/\/www.thecentersquare.com\/washington\/article_58a9661e-bcb7-11ef-a4ed-47faaddbfd90.html\">proposed<\/a><\/strong>&nbsp;operating budget for the upcoming biennium, and a $13 billion and 17% increase from the current biennial budget&nbsp;<strong><a href=\"https:\/\/www.thecentersquare.com\/washington\/article_533f47cc-b0da-11ef-9571-371aab16ecd2.html\" target=\"_blank\" rel=\"noreferrer noopener\">spending<\/a><\/strong>.<\/p>\n<p>According to the Washington Research Council, the latest update on the 2025-2027 budget shortfall puts the figure at $4.8 billion. If Inslee&rsquo;s $16 billion figure were accurate, it would leave the remaining $11.2 billion in the 2027-2029 biennium.<\/p>\n<p>ERFC&rsquo;s latest revenue forecast&nbsp;<strong><a href=\"https:\/\/erfc.wa.gov\/sites\/default\/files\/public\/documents\/meetings\/rev20241120_0.pdf\">estimates<\/a><\/strong>&nbsp;that the total revenue for the Near General Fund-State accounts, where money for the operating budget originates, at $75.8 billion.<\/p>\n<p>Those revenue forecasts are based in part on estimated annual tax money the state will receive and are used to determine whether or not the state operating budget balances over the four year period, as required by state law. That same law, enacted in 2012, allows the state to assume a 4.5% annual revenue growth in the second biennium of a four-year outlook, though it has yet to do so.<\/p>\n<p>WRC, a Washington-based think tank, puts the four-year shortfall much lower than Inslee&rsquo;s $16 billion, at either $7.8 billion or $11.1 billion; the difference is based on whether or not new collective bargaining agreements are approved. The CBAs alone, if approved, will increase the 2025-2027 shortfall to $6.3 billion.<\/p>\n<p>That $1.3 billion is among other new spending the state is taking on and which is responsible for the budget shortfall despite record revenue levels.<\/p>\n<p>During ERFC&rsquo;s last revenue forecast&nbsp;<strong><a href=\"https:\/\/tvw.org\/video\/washington-state-economic-and-revenue-forecast-council-2024111078\/?eventID=2024111078\">meeting<\/a><\/strong>, OFM Director Pat Sullivan attributed the budget shortfall to &ldquo;a combination of things. There&rsquo;s a significant maintenance level increase [and] a number of investments that we&rsquo;ve made over the years. We funded a number especially housing a number of programs with federal COVID money you know when those programs work there&rsquo;s a there&rsquo;s pressure to use <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/amid-rising-gas-prices-calls-emerge-to-suspend-federal-state-taxes\/\" title=\"Amid Rising Gas Prices, Calls Emerge To Suspend Federal, State Taxes\">general fund money<\/a> to replace the COVID dollars.&rdquo;<\/p>\n<p>Other new major spending increases for the 2025-2027 budget include:<\/p>\n<ul class=\"wp-block-list\">\n<li>$526 million in reduced revenue forecasted for the biennium.<\/li>\n<li>$461 million to pay for programs or services previously covered by federal funds<\/li>\n<li>$1 billion for Fair Start for Kids, which was signed into law in 2021 but has been gradually&nbsp;<strong><a href=\"https:\/\/dcyf.wa.gov\/sites\/default\/files\/pubs\/EPS_0059.pdf\">implemented<\/a><\/strong>.<\/li>\n<\/ul>\n<p>In an October&nbsp;<strong><a href=\"https:\/\/researchcouncil.org\/wp-content\/uploads\/AnatomyofaShortfall.pdf\">report<\/a><\/strong>, the WRC argued that &ldquo;the Legislature is facing a substantial 2025&ndash;27 budget shortfall of its own making. This situation was entirely foreseeable. The Legislature has known that revenues would come in more slowly beginning in 2023&ndash;25. Nevertheless, the state increased spending by 15.8% at a time when revenues were expected to increase by just 3.5%.&rdquo;<\/p>\n<p>However, if Inslee&rsquo;s $16 billion figure is accurate it&rsquo;s not certain what new spending will be responsible for it.<\/p>\n<p>In an email to The Center Square, WRC Senior Research Analyst Emily Makings wrote, &ldquo;I have no idea where the $16 billion figure came from, but it must include policy increases that the governor didn&rsquo;t even include in his proposal.&rdquo;<\/p>\n<\/div>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_1916389\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"1916389\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Washington&#8217;s budget may hit $87 billion by 2027-2029<\/p>\n","protected":false},"author":1,"featured_media":2382275,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2024\/04\/AP24014160623172-1024x683.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[47169,47170,47168,4086,32076],"class_list":["post-2382274","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-87-billion","tag-2027-2029","tag-operating-budget","tag-washington","tag-washington-examiner"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2024\/04\/AP24014160623172-1024x683.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2382274","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2382274"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2382274\/revisions"}],"predecessor-version":[{"id":2382278,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2382274\/revisions\/2382278"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2382275"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2382274"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2382274"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2382274"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}