January 7, 2010

Session starts Monday; you'll play an important role

The 2010 legislative session starts Monday. You know this will be a brutal—and quick—session. In just 60 days, from Jan. 11 to March 11, lawmakers will decide how to deal with the additional $2.6 billion deficit: cut, cut, cut; or craft common sense solutions that include revenue increases and closing tax loopholes.

These hotlines again will become daily with a combination of unvarnished information you need to know—the facts you can use in talking to legislators and friends and in letters to the editor to make the case against more devastating cuts.

They will also include frequent calls to action. We have one later in this message. Your participation with phone calls and e-mails will back up the constant presence of AFSCME green shirts at the Capitol.

Legislators by human nature look to the path of least resistance in finding solutions—and if they don’t see or hear from our members about the human impact of the proposed cuts on the vulnerable, public safety and this state’s quality of life, they will cut, cut, cut.

So for this last pre-session hotline, here are some facts you can use, followed by a rundown of key hearings on the budget and other issues next week and then a call to action.

JUST THE FACTS: TAX LOOPHOLES

Momentum is building to close or suspend some of the $14.8 billion (yes, billion with a B) in likely tax breaks to help solve our budget problem without resorting to devastating cuts. See for yourself. Read state Department of Revenue's latest Tax Exemption report.

Do we really need tax exemptions for gold bullion dealers and for condominium maintenance when programs and institutions that provide quality services are on the chopping block?

By the way, other cities, counties and states are looking at closing loopholes or finding other ways to ease the burden.

From DeKalb, Ill., to Texas to St. Louis to Detroit to Topeka, governments are looking at recapturing tax incentives to companies that had asked for the tax breaks but did not create promised jobs—or are actually slashing their workforces. (SOURCE: Associated Press, 1/3/10)

And in California, Republican Gov. Arnold Schwarzenegger is asking the Obama Administration to waive rules requiring that the state spend its own money on programs in order to receive federal funds. That could save the state billions of dollars. (SOURCE: Wall Street Journal, 12/31/09)

Here, there is now talk there may be additional federal stimulus money and that could certainly ease our budget situation. But at a press forum in Olympia yesterday, Gov. Chris Gregoire said any influx of federal dollars wouldn’t necessarily translate into saving programs, institutions and jobs here. It could mean less of an appetite to raise revenue. She’ll announce her tax package next week, but it may not be fully fleshed out until the end of the month when the U.S. Congress finishes work on jobs package.

The Longview Daily News also reports today that at the forum Gregoire “defended her proposal to close parts or all of 10 state institutions, including part of the Naselle Youth Camp for young offenders.

“’I've yet to meet a legislator who says, “Close the institution in my backyard,”’ Gregoire said. ‘We have to make some tough business decisions.’”

So, we have to continue to make the case that even there may be no silver bullet even with federal help, quality services shouldn’t be targeted just for the sake of making cuts.

Other legislative leaders, too, did talk about additional sacrifices they may ask state employees to make. But The Olympian newspaper reports that the top Senate leader, Sen. Lisa Brown of Spokane, “wants a conversation with the Washington Federation of State Employees” on common sense solutions.

“I would like to work with the federation and with state employees knowing that there are jobs on the line,” Brown told The Olympian. “I would like to work with them on what they think are the least-worst options.”

The Olympian added that state workers are “not keen” about temporary layoffs, like closing offices one day a month, without a “clear nexus between saving jobs and, in effect, pay cuts” – given the fact that state employees “already gave up $1 billion in pay, jobs, health care and other benefits in budget cuts last year.” For instance, layoffs still came with the $300 million cut from pensions funding—the money was diverted elsewhere. There was no connection between saving jobs and that state employee sacrifice.

KEY HEARINGS NEXT WEEK


Several hearings on the governor’s proposed—and constitutionally required—all-cuts budget take place during the first week of session. They include:

JAN. 12

Senate Higher Education and Workforce Development Committee holds a work session on the governor’s proposed supplemental budget, 10 a.m., Senate Hearing Room 3, John A. Cherberg Building.

Senate Ways and Means Committee holds a work session on the supplemental operating and capital budgets, 3:30 p.m., Senate Hearing Room 4, John A. Cherberg Building.

JAN. 13

House General Government Appropriations Committee holds a work session and public hearing on the parts of the supplemental budget covering General Government, Natural Resources and Corrections, 6:30 p.m., House Hearing Room C, John L. O’Brien Building.

House Health and Human Services Appropriations Committee also holds a work session and public hearing, on health and human services parts of the budget, 6 p.m., House Hearing Room B, John L. O’Brien Building.

House Ways and Means Committee holds a work session on the governor’s budget, 3:30 p.m., House Hearing Room A, John L. O’Brien Building.

Senate Ways and Means Committee is set to meet, but the agenda hasn’t been set. Watch for update is it’s a budget hearing.

JAN. 14

House Health and Human Services Appropriations Committee continues its public hearing, on health and human services parts of the budget, 1:30 p.m., House Hearing Room B, John L. O’Brien Building.

House Higher Education Committee holds a work session on higher education budget issues, 1:30 p.m., House Hearing Room D, John L. O’Brien Building.

House Ways and Means Committee holds a public hearing on the health and human services parts of the budget, 3:30 p.m., House Hearing Room A, John L. O’Brien Building.

Senate Ways and Means Committee is set to meet, but the agenda hasn’t been set. Watch for update is it’s a budget hearing.

OTHER HEARINGS OF INTEREST INCLUDE:

Senate Human Services and Corrections Committee, review of the Maurice Clemmons case, 8 a.m., 1/15/10, Senate Hearing Room 1, John A. Cherberg Building.

House General Government Appropriations Committee, public hearing on the State Auditor’s Office State Government Performance Review, 8 a.m., 1/12/10, House Hearing Room C, John L. O’Brien Building. The House Ways and Means Committee holds a work session on the same topic, 3:30 p.m., 1/11/10, House Hearing Room A, John L. O’Brien Building.

CALL TO ACTION


As we begin the new year our state is faced with some stark choices about our future and the things we value.

These are the types of choices legislators will face when they return to Olympia on Jan. 11 to decide how to close the $2.6 billion deficit the state faces due to the recession.  

We need to send a loud and clear message that legislators should not balance the budget on the backs of working families, our kids, the most vulnerable, and the environment.

That is why we are joining organizations across the state to deliver thousands of petitions to the Capitol on the first day of session.

To sign it, go to www.wfse.org > Take Action > Take Action to Prevent Devastating Cuts.

Last year the legislature cut $3.6 billion from the state budget for 2009 -2011.

These substantial spending reductions have cut into the muscle and bone of our education and healthcare systems, programs that support kids, the elderly and disabled, and projects that clean up toxic waste sites and protect clean air and water.

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