Governor Inslee’s ambitious spending plans in his Budget makes it clear that new revenue must be considered if he is going to get everything he wants. Since funding for our higher education agreements and SEBB agreement are big ticket items, we need to support new revenue. Yesterday, the Senate Ways and Means Committee considered two new revenue sources in SB 5129: Capital Gains (a new tax) and an increase to the B&O (Business and Occupation) tax.
Capital gains (since it is a new tax source) faces the toughest road ahead. On the other hand, a slight change to the B&O tax looks more likely to pass (of the two being considered).
I expect different sources will also be considered in the future including changing the local levy caps that school districts may ask local taxpayers to fund in maintenance and operations levies.