OLYMPIA – It’s apparently all in, or all out, for Washington state’s involvement in the liquor business.

After studying two proposals to take over the state’s liquor distribution system, the Office of Financial Management is calling for a pass on both. Voters could still order that system sold, and remove the state’s involvement in wholesale and retail liquor sales, by passing Initiative 1183.

If that measure fails, the system stays as is, at least for a while.

In a letter Wednesday to the Liquor Control Board, OFM Director Marty Brown said the two proposals from private companies to take over the liquor warehousing system “do not represent ‘net positive benefit’ to the state or local governments.” Because of that, OFM officials say, state law doesn’t allow the board to accept either proposal….

To read the rest of this post, go inside the blog.

OLYMPIA — After studying two proposals for taking over the state's liquor distribution system, the state Office of Financial Management is calling for a pass on both.

In a letter to the Liquor Control Board, OFM Director Marty Brown says the proposal's “do not represent 'net positive benefit' to the state or local governments.”

Selling the state's liquor warehouse has been a popular proposal in the Legislature, where many members believe the state has no business in the liquor business. Some budget proposals in the last session counted on revenue from the sale of the warehouse to help close the gap between expected revenues and scheduled expenses, but critics questioned whether the revenue estimates were realistic.

Opposition to state control of liquor has generated three ballot initiatives in the last two years, the most recent being Initiative 1183 on the Nov. 8 ballot and would get the state out of the wholesale and retail end of liquor sales

Before I-1183 was filed, the Legislature passed a law requiring a study of the possible financial benefits of selling or leasing the state's warehouse and distribution system, while maintaining its retail stores.  Companies were invited to submit bids, and OFM was directed to examine them and make a recommendation to the Liquor Control Board, which has ultimate authority over the state's booze business.

Only two companies bid. . .

To read more of this post, go inside the blog.

OLYMPIA — Gov. Chris Gregoire is asking state employees' unions to reopen their contracts and agree to higher health insurance costs.

In a letter to the unions, Office of Financial Management Director Marty Brown cites the projected imbalance of $1.4 billion between projected state revenues and scheduled state expenses in General Fund programs.

“Due to the continuing decline in revenue, the state is requesting that the coalition of unions agree to reooeb the 2011-13 health care benefits agreement in order to negotiate a reduction in the employer premium contribution,” Brown says in the letter.

He acknowledges that unions have made concessions in their current contract, which was approved by the Legislature earlier this year. “However, because of the seemingly unrelenting pressure that the Great Recession has had on revenues and increased caseloads, state employees may be called upon yet again to sacrifice.”

OLYMPIA — The folks at the Office of Financial Management and Legislative Evaluation and Accountability Program have developed a new website for looking up who makes what in state government.

The website is a follow-up to the release last month of all the people who got their money from the state in 2010, from University of Washington Head Football Coach Steve Sarkisian, who pulled down just under $2 million*, to several folks who were at $0.

It's an interesting site, but we like ours better. For most searches, it's faster. It may also be easier to use, although that could be a function of being in on the discussions to design it. Try both out and decide for yourself.

* Obligatory disclaimer: Sarkesian's salary, and those of other coaches and athletic department staff connected with UW and Washington State Univeristy,  isn't paid out of state tax dollars, but from revenue generated by ticket sales and other athletic department endeavors. This creates a bit of an apples-to-oranges comparison when lining up his salary with, say, Gov. Chris Gregoire. But it's still a lot of money, regardless of its source.

OLYMPIA — The state’s top “numbers guy,” Office of Financial Management Director Victor Moore, will be leaving that job to take over as top operator at the State Investment Board.

Moore has served as head of OFM for five years, since Gov. Chris Gregoire first took office in January 2005. He’s been a state official for 30 years, first as a budget officer with Evergreen State College in 1980, a budget analyst for Senate Ways and Means in 1983, and first worked for OFM in 1986 on transportation and capital construction. He served as staff coordinator for the House Appropriations Committee from 1991 through 2004.

Although not a well-known face outside of Olympia, he’s highly regarded by members of both parties in the Capitol. Seldom in front of the cameras, he’s usually close at hand during gubernatorial press conferences and briefings. At those times, when a detail question or a technical aspect of a budget or policy bill comes up, Gregoire will frequently look up and say “Victor.” and have him give the answer.

He will become the job of chief operating officer of the State Investment Board after the session is over. Although this year and last have been particularly difficult budgets, with major cuts last year and an attempt to both cut and raise taxes this year, Moore said that wasn’t a factor in his decision. Good years or bad, he said, the budget is always difficult.

Replacing Moore at OFM will be Gregoire’s legislative director, Marty Brown, who was OFM director from 1999 through 2005.