Senate committee hears Zarelli's proposed constitutional amendment, budget transparency bill

February 3, 2009

OLYMPIA…Sen. Joseph Zarelli didn’t have to look far to make a case for Senate Joint Resolution 8209 today. He simply reminded his colleagues on the Senate Ways and Means Committee about the budget situation they must address over the next few months. 

“As I thought through where we’re at today, and how we got here, it became apparent to me that the extraordinary revenue we saw in 2005-07 was tied to one industry sector – and unfortunately the budgeting practices were tied to that,” said Zarelli, R-Ridgefield. 

When revenue collections are exceptionally large, as they were in 2005-07, SJR 8209 would automatically move revenue collected in excess of 133 percent of the state’s 10-year revenue growth average into the rainy-day fund. 

Zarelli proposed a constitutional amendment for the 2007 session to establish the rainy-day fund. A similar measure introduced later that session by Sen. Lisa Brown, Senate Democrat leader, ended up qualifying for the ballot, where it received overwhelming support from voters. Brown is the first co-sponsor of SJR 8209. 

Last month Zarelli suggested the projected gap lawmakers must close when writing the 2009-11 state operating budget could reach $7.5 billion. Had the change represented by SJR 8209 been made prior to 2005, Zarelli estimates that difference would be nearly $5 billion smaller. 

The Ways and Means committee also gave Senate Bill 5073 a public hearing today. It’s a budget-transparency measure which would fold into the state’s general fund what are known as “near general fund” accounts for public safety education; health services; violence reduction and drug enforcement; K-12 education (the student achievement fund and education legacy account); pension funding stabilization; and water quality, plus an equal justice sub-account. 

“Year after year people inside and outside Olympia get confused about how much the Legislature is spending and what it’s being spent on. I think it’s important, especially given the budgetary constraints we’re in this year, that everybody be able to see and understand the same numbers,” Zarelli said. “To me it makes no sense to continue to have these different accounts.” 

Zarelli sees his measures as complementary and was glad the public hearings were back-to-back. 

“I think these two things together will capture some of the pieces that make it very difficult to write sustainable budgets over the long term.”  

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For more information contact Eric Campbell
at (360) 786-7503 or campbell.eric@leg.wa.gov