Budget & Taxes (State Budget)

in committee · Washington · House Jan 12, 2026

HB 1614: Modifying the capital gains tax.

HB 1614 modifies Washington's capital gains tax rules by replacing the business and occupation tax credit with a new nonrefundable capital gains tax credit, closing technical loopholes, and clarifying how credits apply to taxpayers. It requires brokers and barter exchanges to report transactions, limits credit use to the tax year of the sale (with no carryforwards), and mandates monthly transfers from the general fund to education accounts based on tax reductions. The bill directly affects taxpayers with capital gains, brokers, and state education funding streams, while ensuring no net change to state tax collections. Key provisions include standardized treatment for spouses/domestic partners and new rules for adjusting transfer amounts to education funds. The changes take effect for 2025 tax years and expire January 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesCloses tax loopholes and mandates education funding via tax reductions, aligning with fiscal responsibility and public service support.90% confidence

Sub-Topics Business Taxes State Budget Tax Credits

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in committee · Washington · House Jan 12, 2026

HB 1198: Making 2025-2027 fiscal biennium operating appropriations.

This bill establishes the state's operating budget for the 2025-2027 fiscal biennium, allocating specific funds to Washington state government agencies and legislative bodies. It provides $122.3 million for the House of Representatives, $92.9 million for the Senate, and $14.2 million for the Joint Legislative Audit Committee for salaries and operations across both fiscal years. Funding includes conditions, such as $75,000 for a cost task force that lapses if related legislation isn't enacted by June 2025. The bill directly affects state agencies and legislative operations by setting their annual spending limits for this two-year period.

Topics ✓ Budget & TaxesSupports Budget & TaxesAllocates $122.3M for House, $92.9M for Senate, and $14.2M for Audit Committee, directly funding legislative operations under fiscal biennium budget.95% confidence

Sub-Topics Appropriations Audits & Accountability State Budget

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in committee · Washington · House Jan 12, 2026

HB 2057: Concerning the identification and review of new programs.

HB 2057 requires Washington State agencies to identify and track new programs funded by the state. Specifically, the state auditor must publish an annual draft list (by July 1) of all new programs from the previous fiscal year, including program names, descriptions, funding amounts, and agencies involved. Three years after a program's initial funding, the auditor must conduct a review to assess its effectiveness, efficiency, and alignment with original goals, then recommend improvements or termination. This law directly affects state agencies creating new programs, the state auditor, and legislative committees overseeing budget decisions. The bill aims to ensure taxpayer money is used efficiently by mandating regular reviews of new state initiatives.

Topics ✓ Budget & TaxesSupports Budget & TaxesRequires annual tracking and review of state-funded programs to ensure fiscal responsibility and effectiveness, promoting accountable budget management.90% confidence

Sub-Topics Audits & Accountability State Budget

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in committee · Washington · House Jan 12, 2026

HB 1806: Ensuring that commercial fishing revenue benefits communities most dependent on the industry.

HB 1806 redirects 50% of commercial fishing landing tax revenue to the cities or counties where fish are first landed, primarily benefiting rural coastal communities in southwest Washington that rely heavily on the fishing industry. The bill amends tax collection rules to ensure this portion - previously going to the state general fund - directly supports local public safety and infrastructure needs in these communities. Key provisions specify that 50% of the "landing tax" paid by commercial fishers on certain species (like salmon) must be distributed locally, while smaller percentages fund state conservation accounts and the general fund. This policy change takes effect January 1, 2027, aiming to align tax revenue with community needs.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedirects existing tax revenue to fund local public safety and infrastructure in rural communities, aligning with fund allocation for essential services.95% confidence ✓ TransportationSupports TransportationRedirects funds to local infrastructure needs, directly supporting transportation infrastructure in coastal communities reliant on fishing industry.85% confidence

Sub-Topics Business Taxes Sales Tax State Budget

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in committee · Washington · Senate Jan 12, 2026

SB 5812: Investing in the state's paramount duty to fund K-12 education and build strong and safe communities.

SB 5812 aims to increase funding for K-12 education and public safety across Washington state. The bill proposes to increase the levy authority for state and local property tax limits from one percent to three percent, providing more revenue flexibility for local governments and school districts. It also adjusts the school funding formula, including changes to enrichment levies and per-pupil limits, with the intent to ensure equitable funding for all school districts, particularly those in rural or historically underinvested areas.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases property tax levy authority (1% to 3%) to boost K-12 education funding and public safety, directly advancing state budget allocation for public services.95% confidence ✓ EducationSupports EducationIncreases K-12 funding via higher property tax levy limits and adjusts school funding formula for equitable distribution, particularly for rural districts.95% confidence

Sub-Topics Property Tax State Budget K-12 Education School Funding

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in committee · Washington · House Jan 12, 2026

HB 2079: Increasing alcohol taxes.

House Bill 2079 proposes to increase the tax rates on several types of alcoholic beverages sold in Washington state. Specifically, it doubles the additional tax on fortified wine from approximately 23 cents to 46.88 cents per liter and on other wines (excluding cider) from one cent to two cents per liter. The bill also significantly raises the additional tax on cider to $0.0563 per liter and doubles the additional tax on beer and strong beer from $2 to $4 per barrel. These tax adjustments primarily affect alcohol distributors, producers, and ultimately consumers, with most of the collected additional revenue directed to the state general fund.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill increases alcohol tax rates across multiple beverage types, directly raising state revenue through higher taxation, aligning with fiscal responsibility and budget funding.95% confidence

Sub-Topics State Budget

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in committee · Washington · House Jan 12, 2026

HB 1880: Protecting the sole authority of the legislature to determine and make appropriations.

HB 1880 prevents courts from ordering the legislature to appropriate additional state funds or redirect existing funds. It directly affects any entity or individual suing the state over funding disputes, such as local governments or service providers. The bill establishes that the legislature alone holds authority over all budget decisions and blocks legal claims seeking court mandates for increased funding or reallocation of state money. This policy change removes judicial remedies for challenges to budget allocations, ensuring legislative control over appropriations.

Topics ✓ Budget & TaxesSupports Budget & TaxesPrevents courts from mandating state fund appropriations, reinforcing legislative control over budget decisions per bill's explicit purpose.95% confidence

Sub-Topics Appropriations Debt & Bonds State Budget

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in committee · Washington · House Jan 12, 2026

HB 1778: Sharing state sales tax revenues with local governments and not increasing the state or local sales tax rate.

HB 1778 requires Washington State to transfer 20% of monthly sales tax revenues collected to a dedicated local sales tax account starting January 1, 2026. This directly affects local governments (counties, cities, transportation authorities, and other local taxing jurisdictions) that collect sales taxes under state law. The bill mandates monthly transfers of these funds, with distributions made to local entities in proportion to their previous month's sales tax collections. It does not change existing sales tax rates but ensures a consistent revenue share from state collections. The bill amends existing law to implement this monthly distribution process beginning in 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesTransfers 20% of state sales tax revenue to local governments, increasing their funding without raising tax rates. This strengthens local budgeting and fiscal management by providing dedicated revenue streams.90% confidence

Sub-Topics Business Taxes Sales Tax State Budget

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in committee · Washington · House Jan 12, 2026

HB 1417: Establishing an embodied carbon tax on cigarettes.

HB 1417 imposes a new $0.0015 per cigarette tax based on the carbon emissions from cigarette production ("embodied carbon"), starting October 1, 2025. The tax increases every five years beginning October 2030 by 25% plus the annual inflation rate (measured by CPI), rounded to the nearest cent. This tax applies to cigarette manufacturers or sellers who collect it at the point of sale, with all revenue deposited into the state's general fund. The bill directly affects cigarette producers and retailers by adding this carbon-based tax to existing cigarette excise taxes.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes new carbon-based cigarette tax, directing revenue to general fund, increasing state tax revenue and budget resources.95% confidence ✓ EnvironmentSupports EnvironmentTax on cigarette production carbon emissions incentivizes emission reduction, directly advancing environmental protection through carbon pricing.90% confidence

Sub-Topics Business Taxes State Budget Climate Change

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in committee · Washington · Senate Jan 12, 2026

SB 5810: Making 2025-2027 fiscal biennium operating appropriations and 2023-2025 fiscal biennium second supplemental operating appropriations.

SB 5810 is a budget bill allocating funds for Washington State's 2025-2027 fiscal biennium operations. It provides specific appropriations for state agencies, including $61.7 million for the House of Representatives and $46.3 million for the Senate in fiscal year 2026, along with $14.1 million for the Joint Legislative Audit Committee. The bill includes a provision requiring the audit committee to review juvenile rehabilitation programs, focusing on staffing, safety, programming, and gender equity, with a report due by July 2026. It directly affects state government operations and agencies funded through this legislation. This is a routine appropriations bill, not a policy change.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill allocates $61.7M for House, $46.3M for Senate, and $14.1M for audit committee in 2025-2027 budget, advancing fiscal management and appropriations.95% confidence ✓ Criminal JusticeSupports Criminal JusticeRequires audit of juvenile rehab programs focusing on staffing/safety, aligning with rehabilitation improvement indicators in criminal justice reform.80% confidence

Sub-Topics Appropriations Audits & Accountability State Budget Juvenile Justice

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