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Posts tagged: sales tax increas

Gregoire: Devastating cuts or sales tax increase

OLYMPIA — Voters could be asked to approve a half-cent sales tax increase next March to help replace a portion of the $1.7 billion in cuts the Legislature will face when it convenes next week for a special session.
Gov. Chris Gregoire said this morning she would propose an “all-cuts” budget that will affect schools, colleges, social services for the poor and elderly and public safety.
“You will see more devastating cuts,” Gregoire said.
She will also ask legislators to let voters approve, through a March referendum, raising increase the state’s sales tax from 6.5 percent to 7 percent for three years, starting in August.
That would raise an estimated $494 million in fiscal 2013, which the referendum would require to be split so that $411 million goes offset proposed cuts to education, $42 million would offset proposed cuts to long-term care and developmental disability services and $41 million would replace proposed cuts to public safety programs.
Gregoire denied that she was proposing cuts to key programs as a “scare tactic” to push through a tax increase.
“These are not hypothetical cuts, they are real,” she said. “I’m being honest with the people of Washington.”

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About this blog

Jim Camden is a veteran political reporter for The Spokesman-Review.

Jonathan Brunt is an enterprise reporter for The Spokesman-Review.

Kip Hill is a general assignments reporter for The Spokesman-Review.

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