FRIDAY, APRIL 18 (download
and print a PDF version)
Finally, some balance
in the House
Democratic leaders in the House of
Representatives this week issued their long-awaited budget proposal. It is the
first of the three proposals floated so far that includes some new revenue to offset
some of the massive cuts needed to address a $2.6 billion shortfall. For every
three dollars in cuts, there is one dollar in new revenue. That money comes from
a 0.2 percent sales tax increase, ending the sales tax exemption on candy and
gum, boosting the tax on hard liquor and cigarettes, and some kind of Kontinuous
Keno™.
It narrowly passed House
Appropriations on Thursday by a 15-14 vote, with Rep. Kelli Linville
(D-Bellingham) the only one to break party lines. But a number of House
Democrats have expressed reservations about the tax increases. The most
controversial of them all is the 0.2% sales tax hike that would cost you an
extra two cents on a $10 purchase. As you read this, Democratic leaders are
working to round up the necessary 50 votes, so the whole thing is very much in a
state of flux. We hope they keep their balance.
By including these modest revenue
proposals House Democratic leaders were able to avoid some of the most egregious
cuts in health care for children, scale back the tuition hikes for college
students, and yes, to give public employees small raises to help their families
cope with big increases in out-of-pocket health care costs. (Actually, unlike
the annual COLA teachers get, the one-time 2% raise offered state employees in
September 2004 won't even do that.)
Governor Locke largely praised House
Democrats' efforts to stave off cuts, but of course, everyone was more
interested in what he thought of the tax increases. "It's not my
preference," he said of the sales tax increase. "I think we can resort
to other types of sin taxes."
But a disturbing editorial consensus
appears to be emerging from the state's major newspapers. Reaction to the
proposed sales tax hike is mixed and nearly all of them share some support for
more sin taxes, but only if the money goes to things "more important than
pay raises" (Seattle P-I) or if that revenue is kept away from
public employees "fortunate enough to have jobs" (from Tacoma's News
Tribune).
The disconnect between quality
public services and what they cost appears to be spreading from the voting booth
to editorial boards. In the past, media pundits have been quick to decry the
contradiction between voting to reduce class sizes, grant school employees
cost-of-living raises and improve the quality of home health care while also
voting to restrict taxes. Anyone can see the contradiction. But when it comes to
making a choice about which voter mandate to drop from the table, it's always
public employees that lose. It may seem less risky politically (we'll see about
that), but the cumulative effect is strangled schools and agencies that can't
afford to hire or keep good workers.
The House budget is not perfect and
there are some things that need to be changed—like the proposed closure of
Fircrest School that would actually cost the state $1.5 million this
biennium—but it represents a significant step forward from the shamefully
extreme all-cuts proposals made by the Gov. Locke and the State Senate. We thank
the House Democrats advocating this budget for their leadership and their
willingness to take tough conscientious votes. We encourage all State
Representatives, especially the Democrats, to support and improve this budget
and force Senate Republicans once again to defend the harm they propose.
Sen. West still supports Up-Yours
pharmacology
In a rare moment of candor and
contrition Thursday, Senate Majority Leader Jim West (R-Spokane) said:
"This entire matter was my fault. I was wrong in keeping (the bill from a
vote), but I'm trying to fix it and move on."
Unfortunately, he was talking about
the bill banning up-skirt photography and not HB 1214, the effort to provide
real prescription drug reform. Aggressively opposed by the pharmaceutical
industry, the bill continues to languish without a fair vote after passing the
House 10 weeks ago, 64-33.
Unlike the up-skirt bill, Sen. West
has not offered (that we know of) to trade the drug bill's consideration for
that of another bill hung up in the House. But like the up-skirt bill, it would
be a slam-dunk to pass if allowed a fair vote. Last year, the Senate passed a
bill very similar to this year's House-approved version on a 28-20 vote.
Significant changes in HB 1214 addressed complaints about last year's version by
replacing an agency-controlled board with a public-private governing structure,
and accepting private plans and individual participants in the program sooner.
But clearly, the most significant
change to HB 1214 happened in the Senate Health Care Committee where, under
pressure from Republican leaders including Sen. West, it was entirely gutted.
Despite the fact that it was amended beyond recognition (assuming you don't
recognize the GOP's "placebo" drug bill), if HB 1214 is allowed a vote
and passes—even in its amended form—it can be fixed by a conference
committee that hashes out the differences between bills amended by either house.
So let the Senate vote on HB 1214!
An update on business
competitiveness
Like so many newspapers around the
state, we want to do everything we can to keep you informed of the progress of
legislation to make Washington more 'competitive." For, as it turns out,
the competitiveness agenda of Corporate Washington tends to affect working
people. Negatively.
A Yakima Herald-Republic story
this week reported many items on business' bold agenda from workers'
compensation to minimum wage appear to be in trouble. But notably, National
Federation of Independent Business lobbyist Carolyn Logue said, "If the one
thing we do is get out of here with no new taxes, we’ve had a good year."
Hmmm.
Here's an update on some of these
issues:
UNEMPLOYMENT INSURANCE REFORM: At
long last, with barely over a week to go in the regular legislative session,
labor has now been able to see an overview of what the business community would
like to do to reform the state's Unemployment Insurance system. Labor
representatives are beginning to analyze that proposal and to work on putting
together a counterproposal.
WORKERS' COMPENSATION REFORM: Similarly,
the Department of Labor and Industries has shared a draft bill, and labor
representatives have agreed to work on it and continue discussions next week.
It
is not clear whether business groups will continue with these talks, as they
have indicated they intend to focus on unacceptable "reforms" like SB
5378, which would require four-quarter averaging to sharply reduce benefits,
especially for injured workers in construction, agriculture and those new to the
workforce.
MINIMUM WAGE: Of the 13
bills(!) introduced this session attacking the minimum wage law, only one passed
either house. SB 5697, which essentially would end the automatic inflationary
adjustments as approved by voters in 1998, passed the Senate 25-24 last month,
but remains in House Commerce and Labor Committee were it has missed several
cutoff deadlines.
ERGONOMICS REPEAL: Also
apparently dead in House Commerce and Labor, thanks to strong opposition from
chairman Rep. Steve Conway (D-Tacoma), is SB 5161, the ergonomics repeal bill
that passed the Senate. Given the notable lack of public acrimony regarding this
particular JobSafetyKiller™ issue lately, it's probably safe to say that the
business community is counting on the Building Industry Association of
Washington's initiative to repeal the rule.
Good news on apprenticeship
A couple of good labor-supported
apprenticeship bills have passed the Senate and are now headed to the governor's
desk for signature.
HB 1061 would authorize associate
degree pathways at community and technical colleges for participants in
apprenticeship programs. This will help apprentices earn academic credentials in
addition to the portable technical certification they earn through
apprenticeship. WSLC Education and Safety Director Randy Loomans says this is an
excellent way to promote apprenticeship, especially among parents who tend to
understand the value of college degrees more than apprenticeship certification:
"It elevates apprenticeship to a place that it should have been long
ago."
HB 2202 creates a new apprenticeship
program for cosmetologists. A group of salons frustrated with the quality and
diversity of what they were getting from private schools sought and received
labor's support for this effort. Participants in this two-year program, like all
apprentices, will earn while they learn (with wage progression), make $18 an
hour with benefits at non-tipping salons, and will get their licenses in
cosmetology, barbering and manicuring by completing the program and passing the
appropriate exam.
Charter schools: Dead or alive?
Labor has long opposed charter
schools because they would siphon tax dollars away from cash-strapped public
schools (among many other reasons). Measures to allow charter schools in
Washington have been repeatedly introduced and always rejected by legislators
and by voters.
This year, the effort takes the form
of SB 5012, which was successfully jammed through the Senate on a mostly
party-line 26-23 vote last month. This bill is especially troublesome because it
expressly prohibits employees of new charter schools from being members of the
bargaining units in the sponsoring districts. That means if a custodian at a
charter school wanted to join the International Union of Operating Engineers,
the union would have to negotiate a separate contract... just for him. The goal
is unit fragmentation which discourages unionization.
On a split vote, SB 5012 passed the
House Education Committee but was referred to House Appropriations where it
faces opposition and has since missed a cutoff deadline. However, hope is not
lost among charter schools proponents. They have been buoyed by a commitment
(real or imagined) to revive the bill for a vote. This week newspaper ads have
appeared urging people to call the Legislative Hotline in support of SB 5012.
We urge you
to do the opposite. Call 1-800-562-6000
and say
"No" to SB 5012.
PREVIOUS EDITIONS of
the WSLC Legislative Update:
April
11 -- NO MORE TAX EXEMPTIONS!
April
4 -- Senate OKs class-warfare budget; plus, AWB: Creating jobs for the good
of humanity
March
28 -- All-cuts budget alarms voters; plus transportation proposals and
election bills
March
21 -- Paying a price for neglect (re" Home care workers' contract; plus
a bill roundup)
March
14 -- Job-Killing Bulls--- (re: Olympia rhetoric that pro-workers bills are
all "job killers")
March
7 -- What a Difference a House Makes
Feb.
21 -- Workplace safety in jeopardy (re: BIAW ergo initiative, blocking WISHA
inspections)
Feb.
14 -- MORE business tax breaks?! (re: digging a deeper budget hole
with no accountability)
Feb. 7 -- Commerce and ANTI-Labor? (re: workers'
comp, minimum wage and transportation)
Feb. 3 -- Now is the time... to pay less? (re:
workers' comp and minimum wage)
Jan. 24 -- Drug bill off to a strong start;
competagogues go after ergonomics rule again
Jan. 17 -- It's the Economy, Stupid! (re:
"competagogues" and Washington's business environment)
Jan.
10 -- A Question of Priorities (re: explosion of corporate influence
on government)