Washington Legislature set to adjourn 105-day session
Rachel LA Corte | Hagadone News Network | UPDATED 3 years, 6 months AGO
OLYMPIA, Wash. (AP) — Washington lawmakers are preparing to wrap up their work Sunday, with final votes on a two-year budget, a new capital gains tax and a low-carbon fuel standard all happening as they move to adjourn their 105-day legislative session.
The two-year $59 billion state budget plan was released publicly Saturday following negotiations between House and Senate Democratic budget writers. The Democratic-led House passed the budget on a 57-40 vote and sent it to the Senate for a final vote.
“If this pandemic has taught us anything it has taught us how interconnected we are,” said Democratic Rep. Lillian Ortiz-Self. “This is a budget that is focused on recovery for everyone.”
In addition to state funds, the budget uses billions of federal dollars in spending on pandemic relief, ranging from learning loss in schools to child care grants to rental assistance.
Republicans said that while there were things they liked in the budget— including the funding of a tax credit for low-income workers and families — they opposed the inclusion of taxes, including a new capital gains tax that cleared the Legislature Sunday afternoon and is now headed to Gov. Jay Inslee for his signature.
“This budget unnecessarily relies on new taxes,” said Republican Rep. Drew Stokesbary.
The 7% tax on the sale of stocks, bonds, and other high-end assets in excess of $250,000 for both individuals and couples would start in January 2022. The new tax is expected to bring in about $415 million in 2023. The measure is certain to face an immediate court challenge by opponents, who argue it’s a tax on income that violates the the state constitution.
Another of the few remaining bills approved by the Legislature Sunday included a measure that would require fuel producers and importers to reduce greenhouse gas emissions associated with gasoline and other transportation fuels. The Senate passed the measure on a 26-23 vote Sunday, followed by a 54-43 vote in the House. The bill directs the Department of Ecology to adopt a clean fuels program similar to ones in California and Oregon. It would require fuel producers to start reducing the carbon intensity in their products starting with 0.5% in 2023 and working up to 20% below 2017 levels by 2038.
Like a cap-and-trade measure that has already passed the Legislature, any implementation of the measure hinges on the passage of a transportation revenue package, which lawmakers have said would be taken up at a later date after the regular session has ended.