March 30, 2009

Bailey, House Republicans work to improve state budget process 10th District lawmaker wants to prevent current budget problem
from happening again, supports no-new-taxes approach 

Rep. Barbara Bailey and her House Republican colleagues are working to improve the state budget process with a package of legislation focused on sustainability, transparency and accountability. The 10th District lawmaker believes the process needs to be changed to prevent current budget problems from happening again.

"State lawmakers must use these tough times as an opportunity to improve the budget process. It's not about getting through the next two years with a patchwork budget; it's about ensuring our state never finds itself in this position again," said Bailey, R-Oak Harbor. "The legislative package I'm supporting would ensure this goal, and I'm hopeful it will continue to resonate with people and gain momentum in Olympia."

The House Ways and Means Committee held a work session March 16, on the eight Republican budget proposals. Bailey, assistant ranking Republican on the committee, appreciated the majority party's acceptance of the work session, but was disappointed that no public input was allowed and no action was taken on the measures.

"We appreciated the opportunity to discuss our ideas in a legislative setting, but we are disappointed the public was not allowed to participate," said Bailey. "It's hard to understand why there's resistance to improve our budget process." 
 
Democrats have been reluctant to embrace change in the budget process. This week -- two-thirds of the way through the legislative session -- they will finally put forth their plans to address the state's $8.8 billion budget shortfall.

Bailey has made her position clear since day one of the legislative session. 
 
"The parameters of the budget problem have been clear for awhile. It's long overdue for solutions and decisions," said Bailey. "The first step is committing to a no-new-taxes approach. When declining consumer spending is adversely affecting revenue, we cannot take money out of the pockets of hard-working families and employers. The second step is restructuring state government, including prioritizing education, public safety and protection of our most vulnerable citizens."
 
The eight House Republican budget proposals represent reforms that would prevent large shortfalls in the future. Bailey believes if the measures had been in place the last four years, the budget shortfall would be much smaller today. The proposals are:

House Bill 2228, sponsored by Bailey, would prohibit the governor or Legislature from proposing a budget deemed unsustainable in the ensuing biennium, or the biennium after that one.

"When our governor signed the last operating budget, she said that she didn't like it and that it was unsustainable. We need to prevent this scenario in the future," said Bailey. "State lawmakers should never pass a budget that they know cannot be sustained with expected revenue."

House Bill 1458 would require a fiscal note, or how much the legislation would cost, to be established before final passage of any bill before the Legislature. The measure is also sponsored by Bailey.

"When I tell people that state lawmakers vote on bills without knowing their costs, they are surprised. You wouldn’t buy a car without knowing how much it cost, right?" said Bailey. "The concept is simple -- state lawmakers should never pass legislation before they know how much it will cost taxpayers."

House Bill 1655 would require the Legislature to adopt a balanced budget. While the governor is statutorily obligated to propose a balanced budget, there is no requirement for the Legislature to adopt one.

"We currently operate under a system in which state lawmakers could turn to the practice of borrowing or issuing bonds in order to pay for daily, ongoing expenses of state government," said Bailey. "We need to prevent this irresponsible practice."

House Bill 1654 would establish a period of public and legislative review for the state's major appropriations bills. Also called the "The Budget Sunshine Act," it would require a five-day waiting period before either legislative body could vote on the operating, capital or transportation budgets.

"Only good things can come from allowing not only state lawmakers, but the public, more time to review state budgets," said Bailey. "This transparency is needed."

House Bill 1902 would simplify budget language for the public by eliminating all of the dedicated accounts contained in the near general fund. These accounts, such as the health services account, the water quality account and the education trust legacy account would be rolled into the general fund.

"Our budget process is so confusing for the public. If we can simplify it, we will create more public trust," said Bailey. "We need citizens to be involved and provide their input. The more they understand the budget, the more they will be inclined to share their views with their state lawmakers."  

House Joint Resolution 4207 would establish a state spending limit for the fiscal year beginning July 1, 2010. The fiscal limit mirrors the original language found in the voter-approved Initiative 601 by limiting expenditures to an increase in the state's population and inflation growth over the previous three years.

"It's unfortunate that we would have to change our state constitution just to give voters what they wanted when they passed Initiative 601," said Bailey. "This approach would put important protections in place to prevent large budget shortfalls in the future."   

House Joint Resolution 4209 would require exceptional state revenue to be deposited into the state's "rainy day fund" during good economic times.

"Some state lawmakers get excited when they have a budget surplus. But instead of putting this money aside for a rainy day, there has been an effort to spend and commit it to new or expanded state programs," said Bailey. "The state needs to do a better job of saving in good economic times. This would create a cushion for when difficult times arrive."

House Bill 1657 would establish that the paramount duty and first priority of the Legislature is to fund education. The bill would require a separate education budget be enacted before any other general spending plan could be adopted.

Bailey doesn't believe the proposals are partisan and feels they are based on common sense.

"These reforms would deliver better state government. At a time of an unprecedented budget shortfall and rising unemployment, taxpayers need to know that state government is efficient, transparent and accountable," said Bailey. "These are not partisan concepts; they are just good budgeting principles."

The 2009 legislative session is scheduled to run through April 26.

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For more information, contact: John Handy, Assistant Director: (360) 786-5758