HomeMy WebLinkAbout042625 - 2025-27 State Operating and Transportation Budget UpdateALERT: BE CAUTIOUS This email originated outside the organization. Do not open attachments or click on links if you are not expecting them.
<https://members.wsac.org/emailimages/1738102890615-Legislative_Action_Alert_MC_Banner.png>
Update - 2025-27 State Operating and Transportation Budgets
LSC Members,
The final 2025-27 State Operating and Transportation Budget bills were released this morning. While WSAC staff are still working to analyze the proposals comprehensively, we want to
share some initial impressions and information with you.
First, it appears that the budget proposals overall are very supportive of local governments in general and counties specifically. In what has proven to be a very challenging budget
development process, counties have fared well, and the legislature has maintained strong support in the proposed Operating and Transportation Budgets. While some cuts will impact counties
they are not as severe as we feared. At the same time, there are also new and increased investments that will benefit counties.
Here's what we know so far for the 25-27 State Operating Budget:
* $4.4 billion in new revenue is assumed (primarily from ESHB 2081, ESSB 5813, and ESSB 5814).
* All state-shared revenues are maintained, including liquor profits and taxes, cannabis taxes, streamlined sales tax, county criminal justice assistance, and the city-county assistance
account.
* Public defense funding is increased by $8.3 million per year, to $27.2 million for the biennium (compared to $10.6 million previously).
* Grant funding for comprehensive land use plan updates is reduced to $18 million (compared to $20 million).
* Grant funding to support adopting the new planning requirements for climate change in county comprehensive land use plans is maintained ($22.544 million).
* $100 million in new funding is provided for local law enforcement grants.
* The recovery navigator program funding is reduced by 20%. While this is a cut, it represents a compromise, as the original Senate proposal eliminated it completely.
* $15 million is provided for crisis relief (or "23-hour") centers.
* BECCA program funding is reduced by $10 million to only $4 million.
* The Municipal Research Services Center (MSRC) is fully funded at $6.827 million.
* The state's share of election costs is fully funded ($38.448 million).
* Funding for Foundation Public Health Services is reduced by $40 million.
* The Operating Budget includes a $288 million funding transfer from the Public Works Assistance Account.
* The ending balance is $225 million, and $2.3 billion in total reserves.
Here's what we know so far for the 25-27 State Transportation Budget:
* New revenue includes a 6-cent per gallon gas tax increase that goes into effect on 7/1/2025. The 6-cent per gallon tax will increase by 2% each year beginning 7/1/2027.
* New revenue also includes a permanent dedication of .1% of the current state sales tax.
* $1.09 billion is included to meet state requirements for restoring fish passage.
* $359 million is appropriated for ferry system preservation.
* $127 million for ferry terminal electrification.
* The Federal Fund Exchange Pilot Program is funded at $22 million.
* $9.661 million of the new gas tax proceeds are distributed to counties.
* Vehicle registration and title filing fees are increased, resulting in $29.699 million in new revenue for counties.
* CRAB's new grant program for local roads is not funded in 2025-27, but is anticipated to receive $21.029 million in 2027-29.
A full analysis will be available by mid-week on the WSAC website.
While the 2025-27 State Capital Budget bill has not been released yet, we expect it later this evening.
Have a great weekend!
This is a message from Washington State Association of Counties <https://members.wsac.org/admin-portal/email-engine/link/MTg4NzI0LWU2NjllOUJkSG0zSw==/0/lUFQBBwGVoR7YWVxj45qqCc9---plus---wtGVFmCdwjDLm
3KZD1yQwqVT0KGTTbNukVRAKkfxMnsHNG7WoMOZ9UbAj6i7g---equals------equals--->
Having trouble reading this email? Try viewing it in your browser <https://members.wsac.org/webview/MTg4NzI0LWU2NjllOUJkSG0zSw==>
You can change your contact details and preferences here <https://members.wsac.org/admin-portal/email-engine/link/MTg4NzI0LWU2NjllOUJkSG0zSw==/2/M2mZMkypye---plus---GE---plus---Bwpj3RRkF9aII0r8DWMS1v
o0Fc7EHyaVbCOF84K1M2pG1PHN0Cl0xkIwvAsowpaRVrvI3utw---equals------equals--->
Want to unsubscribe from these emails? Click here <https://members.wsac.org/admin-portal/email-engine/unsubscribe-confirmation/MTg4NzI0LWU2NjllOUJkSG0zSw==>
Powered by ToucanTech <https://members.wsac.org/admin-portal/email-engine/link/MTg4NzI0LWU2NjllOUJkSG0zSw==/4/ggH4WkoD1flS---slash---oIx2YFciv---slash---LE8S7uyjJszM7T4coU99mde---slash---iQcDWrdQdAfM
FodLWkA1T5OVWECOGS---slash---tIAY---slash---Q---slash---Q---equals------equals--->
<https://members.wsac.org/admin-portal/email-engine/open/MTg4NzI0LWU2NjllOUJkSG0zSw==>
H