Washington Governor Jay Inslee on Tuesday signed the state’s capital, operating, and transportation budgets, officially designating funds and tax increases to pay for state programs for the next two years.
Along with existing programs, the budgets fund expanded college grants for low and middle-income students, an expansion of the state’s mental health system, and the first phase of hybridizing the state’s ferry system. While signing the state’s $52.4 billion operating budget, Inslee called out a looming funding challenge for state – fixing culverts, the large pipes that allow streams to flow under roadways, but can prevent salmon from reaching their spawning grounds.
A federal court case means the state has to fix hundreds of culverts around the state, and Inslee used budget flexibility to force an increase in the total money going to the projects, warning that legislators would have to add even more money in coming years.
Two tax bills targeting wealthy corporations and individuals were included in the package of bills signed by Inslee on Tuesday.
One hits professional service companies like accounting, architecture, and engineering firms, along with large computing companies with a tiered up-charge on the state’s Business and Occupation tax. The revenue from the tax would expand college grants for low and middle-income college students.
Another tax bill would convert the state’s current flat real estate excise tax to a tiered system, increasing the taxes collected on properties more than $1.5 million, decreasing the collection on properties less than $500,000, and leaving the rate for homes in the middle the same. (AP)
