Published date: March 25, 2025
Week 11 Report
The 2025 legislative session is at the 2/3rds point, with 10 weeks down and 5 weeks to go. With only 8 business days until the next bill cutoff, policy committees are finishing their work for the session. Yet, the heavy lifting is just now starting.
This week, the Senate Democrats unveiled their revenue package. https://senatedemocrats.wa.gov/blog/2025/03/20/senate-democrats-release-2025-revenue-proposal/ A day later, the House Democrats released their revenue package. https://housedemocrats.wa.gov/blog/2025/03/21/house-democrats-introduce-proposed-revenue-bills-2/
Both packages contain a version of an intangibles tax, that imposes a property tax on certain intangible assets like stocks, bonds and index funds, and both revenue packages contain a version of lifting the current property tax 1% limit. The House version has a B&O tax increase while the Senate has a payroll tax.
These revenue bills announcements come days after the state revenue forecast provided more bad news about the state tax collections; showing a $845 million decrease. The estimated budget shortfall is now about $16 billion over the next four years. The Senate proposal would raise an estimated $17 billion over the next two budget biennia while the House proposal raises about $15 billion. These revenues will help pay for the operating budgets, which are scheduled to be unveiled on Monday, March 24th, with hearings on Tuesday, and committee action on Thursday; with the Senate expected to pass its budget on Saturday while the House will do the following Monday. Once that is done, the chambers will begin negotiating a final budget agreement.
The transportation budgets are also expected to be unveiled on Monday and to follow the same timeline. The Senate transportation budget proposal is expected to be in four parts: a current law budget (no new revenue), a budget based on additional resources, an associated revenue bill, and a bond bill. The House transportation budget is expected to be a budget based on the assumption of additional revenue, with an associated revenue bill and a bond bill. Both are rumored to contain a gas tax increase and various fees. The Senate version may have some general fund money included while the House version is not expected to receive help from the general fund.
These budgets raise the question of how many tax votes these legislators are willing to take. There are rumors that the operating budgets will address the shortfall by a 50% revenue/50% cuts approach. A lot of the Legislature are relatively new and have not experienced tough budget cuts or votes. Whether they can coalesce around budget solution by April 27th, the end of the 105-day legislative session, is speculative, and Michael Shaw, WA Chapter Lobbyist is pessimistic.
The capital budgets are not expected for another week.
Law & Justice (Senate) – SHR 4 and Virtual JACB – 3/24 @ 10:30am
SHB 1733 – Public Hearing – Increasing the reimbursement cap for moving and relocation expenses incurred by persons affected by agency displacements. (Remote Testimony Available).
Environment & Energy (House) – HHR B and Virtual JLOB – 3/24 @ 1:30pm
SSB 5033 – Exec Session – Concerning sampling or testing of biosolids for PFAS chemicals.
Labor & Workplace Standards (House) – HHR D and Virtual JLOB – 3/25 @ 10:30am
E2SSB 5061 – Public Hearing – Requiring certain wages in public works contracts to be at least the prevailing wage in effect when the work is performed. (Remote Testimony Available).
Environment, Energy & Technology (Senate) – SHR 1 and Virtual J.A. Cherberg – 3/25 @ 1:30pm
2SHB 1503 – Public Hearing – Furthering digital equity and opportunity in Washington state. (Remote Testimony Available).
State Government, Tribal Affairs & Elections (Senate) – SHR 2 and Virtual J.A. Cherberg – 3/25 @ 1:30pm
E2SHB 1549 – Public Hearing – Modifying the responsible bidder criteria for public works projects. (Remote Testimony Available).
SHB 1967 – Public Hearing – Modifying bonding requirements in the design portion of design-build public works projects. (Remote Testimony Available).
Appropriations (House) – HHR A and Virtual JLOB – 3/25 @ 4:00pm
HB 1198 – Public Hearing – Making 2025-2027 fiscal biennium operating appropriations.
Transportation (House) – HHR B and Virtual JLOB – 3/25 @ 4:00pm
HB 1227 – Public Hearing – Making transportation appropriations for the 2025-2027 fiscal biennium. (Hearing is on the Proposed Substitute.)
HB 2043 – Public Hearing – Concerning transportation resources. (Hearing is on the Proposed Substitute.)
Transportation (Senate) – SHR 1 and Virtual J.A. Cherberg – 3/25 @ 4:00pm
SB 5160 – Public Hearing – Making supplemental transportation appropriations for the 2023-2025 fiscal biennium. (Hearing is on the Proposed Substitute.) (Remote Testimony Available).
SB 5161 – Public Hearing – Making transportation appropriations for the 2025-2027 fiscal biennium. (Hearing is on the Proposed Substitute.) (Remote Testimony Available).
Ways & Means (Senate) – SHR 4 and Virtual JACB – 3/25 @ 4:00pm
SB 5167 – Public Hearing – Making 2025-2027 fiscal biennium operating appropriations. (Hearing is on the Proposed Substitute.)
Environment & Energy (House) – HHR B and Virtual JLOB – 3/26 @ 4:00pm
ESSB 5627 – Exec Session – Improving safe excavation practices and preventing damage to underground utilities.
Law & Justice (Senate) – SHR 4 and Virtual JACB – 3/27 @ 10:30am
SHB 1733 – Exec Session – Increasing the reimbursement cap for moving and relocation expenses incurred by persons affected by agency displacements.
Appropriations (House) – HHR A and Virtual JLOB – 3/27 @ 4:00pm
HB 1198 – Exec Session – Making 2025-2027 fiscal biennium operating appropriations.
Transportation (House) – HHR B and Virtual JLOB – 3/27 @ 4:00pm
HB 1227 – Exec Session – Making transportation appropriations for the 2025-2027 fiscal biennium.
Transportation (Senate) – SHR 1 and Virtual J.A. Cherberg – 3/27 @ 4:00pm
SB 5160 – Exec Session – Making supplemental transportation appropriations for the 2023-2025 fiscal biennium.
SB 5161 – Exec Session – Making transportation appropriations for the 2025-2027 fiscal biennium.
Ways & Means (Senate) – SHR 4 and Virtual JACB – 3/27 @ 4:00pm
SB 5167 – Exec Session – Making 2025-2027 fiscal biennium operating appropriations.
Labor & Workplace Standards (House) – HHR D and Virtual JLOB – 3/28 @ 10:30am
E2SSB 5061 – Exec Session – Requiring certain wages in public works contracts to be at least the prevailing wage in effect when the work is performed.
State Government, Tribal Affairs & Elections (Senate) – SHR 2 and Virtual J.A. Cherberg – 3/28 @ 10:30am
HB 1633 – Exec Session – Concerning prime contractor bidding submission requirements on public works contracts.
E2SHB 1549 – Exec Session – Modifying the responsible bidder criteria for public works projects.
SHB 1967 – Exec Session – Modifying bonding requirements in the design portion of design-build public works projects.