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State Representative Barbara Bailey - 10th Legislative District

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News from Washington House Republicans.
 

 
FOR IMMEDIATE RELEASE

April 11, 2005

 


House budget proposal risks future health care funding, says Bailey

A $26 billion state budget approved by the House of Representatives late Friday night puts long-term funding of health care at risk, says Rep. Barbara Bailey, ranking Republican on the House Health Care Committee.

The measure, Senate Bill 6090, passed along party lines, 55-41. It increases spending by 12 percent above the current two-year spending level, using a half-billion dollars in new taxes to cover new spending.

Bailey said in order for lawmakers to circumvent the state’s spending limit law, the budget shifts $109 million away from Washington’s Health Services Account, which is used to provide health care for low-income families, senior citizens and the state’s most vulnerable residents.

"There’s some real fuzzy math being used with this account. First, the supplemental budget to cover the remaining four months of this biennium transferred $45 million into the Health Services Account without any explanation. Now this new budget transfers $109 million out of this account with very little explanation," said Bailey, R-Oak Harbor.

"This is playing with money dedicated for the Basic Health Plan, Medicaid for children, immunizations and a whole list of health services for our state’s most needy.
"If this budget goes forward, it will bring this fund down too low. What’s more troublesome is that in 2008, the Health Services Account will be in a deficit of $38 million. And in 2009, we’ll have a deficit of $144 million," added Bailey. "This is simply not sustainable."

Bailey offered an amendment to prevent money from being transferred from the Health Services Account into the state’s general fund. The amendment was rejected along party lines.

"The taxpayers of the state rely on us to offer good, honest reporting of the way we do business here. However, this is not a transparent budget," said Bailey. "This budget plays shell games with the Health Services Account and the losers are the recipients of those services."

Bailey also noted that with projected revenues $1.65 billion higher than the current budget, tax increases are unnecessary and will likely hurt a fragile economy which is barely beginning to recover.

"This budget is unsustainable and shifts away from priorities in government. Without tax increases, we will still have a 7 percent increase in additional revenue. Most businesses and working families would think it was great if their incomes could grow as fast," said Bailey. "This budget has all the wrong priorities. That’s why I couldn’t support it."

The measure now goes back to the Senate where a conference committee will be created to work out the final details.

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

 
 

House Republican Communications - (360) 786-7031 * 408 John L. O'Brien Bldg. * Olympia, WA 98504-0600