Governor Bob Ferguson comment on proposed $12B in taxes
Trump Administration cuts and chaos continue to cast shadow over state budget
OLYMPIA — Governor Bob Ferguson offered the following statement on the Legislature’s proposal for $12 billion in taxes:
“I thank legislators for their hard work as we balance a budget with a $16 billion shortfall. While our budget situation is currently challenging, it may soon become dire with additional cuts and chaos from the Trump Administration. We must defend Washington in the face of that.
“Federal funds make up 28 percent of our state budget. That includes billions of dollars for Medicaid, K-12 education, child welfare and early learning, disaster recovery and response, unemployment insurance and more. Every day, funding is canceled, frozen or denied by the Trump Administration and Elon Musk. Last week, FEMA denied our request for emergency relief funds for November’s bomb cyclone. We don’t know exactly why — they did not offer a reason — but we know we met the criteria set out for this funding. The administration is attempting to cut $160 million in public health funding.
“Significant federal cuts loom for Medicaid, early learning, K-12 education, scientific research, health care and emergency response.
“Families are also bearing the burden of the Trump Administration’s tariffs, making everything from groceries to car repairs more expensive. Tariffs will hit Washington — one of the most trade dependent states in the nation — especially hard. Nearly $120 billion in exports and imports flowed through Washington state ports last year. Approximately 40 percent of our jobs are tied to trade. Tariffs on our biggest trading partners will be damaging to our economy, and particularly hurt our farmers.
“We must ensure Washington is in the best possible financial position to weather more cuts and damaging economic policies from a Trump Administration that weaponizes funding to punish those it disagrees with and forces them into compromising their values.
“We need a balanced approach, using a reasonable amount of progressive revenue and adopting solutions to reduce our spending.
“At a time of great economic uncertainty and assaults by the Trump Administration on core state services for working families, raising $12 billion in taxes is unsustainable, too risky and fails to adequately prepare Washington state for the crisis that looms ahead.
“That said, the Legislature has made progress on key issues in its updated revenue proposals. Legislators are working hard and putting in long hours. They have moved away from their reliance on an untested wealth tax and made progress on addressing our regressive tax system.
“We will continue to work together to produce a budget that supports a strong economy, and the people of Washington.”
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