Lawmakers approved the measure with a 25-22 vote, moving to create a 401(k)-style system that workers can use.

The bill before Congress would not create a new tax. Legally, consumers are responsible for paying their state's sales tax on Internet purchases now -but few do when the tax isn't automatically added to their online bill.

State lawmakers are going down to the wire to negotiate a budget deal, but they haven't even agreed on whether the numbers they're using are real or imaginary.

Both legislative budgets for Washington state begin with a sizable overall increase in state spending, and both focus on school funding.

With just two weeks left in their 105-day session, Washington lawmakers are running out of time to pass a state budget that puts at least $1 billion more into public schools to answer a state Supreme Court ruling, protects the poor and doesn't rely on gimmicks.

Retirement officials say they are reviewing information on pay raises that helped some government workers increase the values of their pensions, after an Associated Press investigation.

State Senate Democrats helped pass a budget Friday they didn't much like. With the GOP driving the process, Democrats are working to bargain for what they can.

The GOP-led state Senate issued its budget proposal Wednesday, highlighting $1.2 billion in "spending constraints and savings" and no new taxes - a different approach from Gov. Jay Inslee's.

They are tasked with patching a projected deficit of more than $1.2 billion for the next two-year budget ending in mid-2015.

Washington's budget shortfall has grown to $1.2 billion, officials said Wednesday, as increased reliance on government services overpowered relative stability in the state's economy.Washington's budget shortfall has grown to $1.2 billion, officials said Wednesday, as increased reliance on government services overpowered relative stability in the state's economy.

State lawmakers are going down to the wire to negotiate a budget deal, but they haven't even agreed on whether the numbers they're using are real or imaginary.

Both legislative budgets for Washington state begin with a sizable overall increase in state spending, and both focus on school funding.

Ten ideas to cut waste and balance the buget without raising taxes, including more efficient K-12 funding, spending high education tax dollars more wisely and rein in state employee salaries and benefits.

The latest round of cuts proposed by Gov. Chris Gregoire would increase public-school class sizes, eliminate subsidized health care for the working poor and release hundreds of inmates early.

The elections on November 6, 2012 didn't just focus on the candidates; voters considered more ballot measures this year than in any other previous year, and the decisions mean a lot for the states.

The Washington state Legislature has approved a supplemental budget, setting them up for a final adjournment of an overtime legislative session.

To better understand best practices in Medicaid reform, we explore five recent state-level Medicaid reforms and their ability to simultaneously reduce costs, maintain or increase access, and survive the politics of reform.

Ten ideas to cut waste and balance the buget without raising taxes, including more efficient K-12 funding, spending high education tax dollars more wisely and rein in state employee salaries and benefits.

The plan is aimed at reducing regulatory burden, and increasing permit predictability by suggesting the suspension of some growth management requirements, the suspension of agency rulemaking, and shortening permitting decisions.

state budget writers need is a paradigm shift to reality-based budgeting, a shift from the prevailing budget-writing paradigm, ongoing programs are assumed to continue and spending is assumed to go up, up, up. These assumptions represent the easy route for legislators, but a very expensive path for taxpayers.

there is no shortage of ideas for fixing the budget. The demand for government services is virtually infinite, but the resources to pay for them are not. This is why legislators must do the job for which they were hired—prioritize the role of government within existing resources.

Public education is a huge expense in state budgets.  It is important to know how much of the taxpayer dollars actually reach the classroom and what the taxpayers are getting for that investment.  Here are questions to ask of legislators, school board members and school officials.

Washington State Treasurer Jim McIntire has learned some lessons from the fast and loose Wall Street accounting that plunged the country into recession - he's learned to obfuscate and mislead. When current and prospective bond holders look to Treasurer McIntire to understand the condition of the state's pension fund, they'd best beware.

Treasurer McIntire appears to be going beyond simple carelessness or cleverness. Treasurer McIntire is leading bond holders to believe the State Actuary's grim Risk Assessment fully reflects the condition of the pension fund. In fact, the situation is much worse. And Treasurer McIntire knows it.

Video of Bob Williams addressing the underfunded state pension fund problem facing so many states.  He states that the public cannot afford the benefits and suggests defined contribution programs as a solution.

Many governors and state legislators are using accounting gimmicks and federal stimulus funds to temporarily balance their budgets. When federal funds run out in a year or two, these states will face a spending cliff, necessitating a significant downsizing of their state budgets.

Paper arguing for an alternate form of fiscal discipline, known as Budgeting for Outcomes (BFO), which combines strategic planning, zero-based budgeting and performance budgeting in a workable, common-sense package.. BFO would help the governor and/or legislature, in California as it has in other states, build the budget in a way that delivers the results citizens want at a price they are willing to pay.

Lawmakers approved the measure with a 25-22 vote, moving to create a 401(k)-style system that workers can use.

Retirement officials say they are reviewing information on pay raises that helped some government workers increase the values of their pensions, after an Associated Press investigation.

Washington’s multibillion-dollar pension problem was not created overnight, so it will take time to eliminate these unfunded liabilities. Starting these reforms will require the conviction to do what is in the best interest of all citizens and state workers, not just narrow special interests.

The majority leader of the state Senate has developed a plan under which the state would transition away from offering government employees pensions. Instead, new employees and those younger than 45 would have a 401(k) system.

A judge has ruled that the Legislature acted illegally last year when it eliminated an annual increase in benefits to retirees in two older state pension plans.

The elections on November 6, 2012 didn't just focus on the candidates; voters considered more ballot measures this year than in any other previous year, and the decisions mean a lot for the states.

While access to a pension fund's financial report usually takes a minimum amount of effort to locate a copy through Google, Nevada takes a unique approach that complicates research.

The $390 million increase in the state contribution to numerous pension plans in 2013-15 is about $51 million more than the Office of Financial Management had been assuming.  Local governments are hit for another $460 million.

One of the most contentious proposals the Washington State Legislature considered this year was the plan to reform the state's pension system. Initial estimates show the reforms of SB 6378 will save approximately $1.3 billion over 25 years.

While there are rumors that lawmakers may wait for the June 18 Revenue Forecast to see if the recent improvement in state economic activity can help bridge the budget divide, state law may make waiting that long a bit tricky.

A few Washington state lawmakers kicked off the first 30-day Special Session yesterday to finish work on the 2013-15 operating budget. They need to come to an agreement but shouldn't forget to bring the public back into the conversation before holding votes.

Time to add a new diagram to the state budget and policy playbook--your state's highest paid employee is probably a football or basketball coach.

Washington’s financial management system does not efficiently meet agency or state needs because of fragmented, outmoded technology.

The bombshell Oregon Medicaid study released this week should give all states pause as they consider plans to expand Medicaid under the Affordable Care Act. States must now ask what the point of Medicaid is in the first place. 

With a special session all but guaranteed for the Legislature to finish its work on the 2013-15 budget, a simple bill being considered by the Senate Ways and Means Committee today could have a fundamental impact on future budget debates.

The Washington Senate Majority Coalition released its $33.2 billion 2013-15 blueprint for the state today at a noon press conference with Republican and Democrat budget writers speaking.

Not only are title only bills (essentially blank pieces of legislation) not the most transparent way to introduce changes to state law (or perhaps too translucent) but they are used by lawmakers to circumvent the state Constitution.

Washington’s multibillion-dollar pension problem was not created overnight, so it will take time to eliminate these unfunded liabilities. Starting these reforms will require the conviction to do what is in the best interest of all citizens and state workers, not just narrow special interests.

Up to this week the Washington State Legislature had been doing a decent job of adhering to its rules that require a five-day public notice before a bill is heard in a hearing.

A bipartisan bill to ensure tax preferences identify legislative intent and have performance metrics was introduced today in the Washington state legislature.

While sitting parched in the Senate Ways and Means Committee hearing yesterday on various tax increase bills, I was very enticed, intrigued rather, by the testimony of Steve Gano representing Miller Coors explaining the impact of extending the "temporary" and expiring beer taxes.

California lawmakers from both parties are concerned by the past rushing of legislation and a result they are asking voters to pass a state constitutional amendment requiring all bills to be in print and online for 72 hours before final passage

Several proposed supermajority for taxes constitutional amendments have already been introduced. The question remaining is what, if anything, lawmakers will do with the bills.

To help prevent union strong-arming that fleeces taxpayers, we should know precisely what public union officials are demanding and what government employers are offering in any collective negotiation about employment terms and conditions.

Gov. Inslee: We will provide efficiency, effectiveness and transparency. We will introduce performance metrics where it counts, giving us the data we need to fix what's broken, cut what we don't need and replace rhetoric with quantifiable results.

And it isn’t just individuals who must reconfigure budgets, the states are looking at smaller “paychecks” as well.

A coalition of good government, media and business groups are encouraging state lawmakers to adopt the Washington Policy Center's proposed legislative transparency reforms.

Just as state spending should identify performance outcomes, tax preferences should as well.

Retiring Washington State Auditor Brian Sonntag eleased his final annual report highlighting the need for ongoing open government reforms.

State and local politicians may think they can relax as third quarter tax revenues showed 12 consecutive quarters of growth year over year. But that would be a mistake in light of pension investments that again failed to erase any of more than $5 trillion owed to government workers.

What better way for legislators to kick off the New Year than by ensuring the people have a seat at the table as laws are being drafted and debated?

Selling tax hikes as a "temporary" budget solution is hardly a new tactic for government officials. Just give the state a bit more for a little longer, they say, and the brighter budget future just around the corner will finally arrive. Such was the case when Washington State temporarily tripled its tax on beer.

This map looks at state government budgets - specifically, how much of each state's budget comes from the federal government. Mississippi tops the list with 49% of its general revenue coming from Washington; Alaska, by contrast, gets only 24% of its general revenue from the feds.

A National Insistute on Retirement Security brief on proposals to freeze local and state defined benefit pension plans in a shift to defined contribution plans that limit taxpayer risk ignores is what protections are needed against endemic public pension corruption and offers no explanation of who is going to sacrifice to pay this massive hidden debt.

Requiring a supermajority vote for taxes or voter approval is the overwhelming will of the people of Washington State.

Legislatures adopt real transparency protections to involve the public in the public debate.

The "State of the States" report released this week puts hidden state and local debt at $7.3 trillion, stating: "States do not account to citizens in ways that are transparent, timely or accessible." If state and local governments fail to act decisively now, cities, towns and counties will go bankrupt, and states could fall beyond a fiscal event horizon into perpetual debt.

The U.S. Census Bureau today released its Annual Survey of State Government Finances for 2011, and it shows the "revenue crisis" politicians have been blaming on the Great Recession is false.

From Fiscal Years 2007 through 2011, politicians and government pension fund managers blew all the money taxpayers and government workers contributed. All of the $611 billion that was supposed to be invested is gone. So is the $609 billion earned on investments. According to the latest U.S. Census Bureau Annual Survey of Public Pensions: State-and-Locally-Administered Defined Benefit Data, more than $1.22 trillion came in to the pension plans and more than $1.29 trillion went out instead of growing to pay guaranteed future benefits. Those promised benefits grew by about $1 trillion over the same period. 

Spending in Washington state is projected to increase from $31.083 million in 2011-13 to $33.793 million in 2013-15.

Members of a state and municipal workers organization recently got a dose of reality on pension reform at a gathering of public workers who have benefited from defined contribution plans for 40 years. A key fact from the presentations was stated by Ken Parker, city manager of Port Orange, Florida: "Note: the only way a governmental entity can truly fix its cost related to retirement is to change from a Defined Benefit Plan and adopt a Defined Contribution Plan."

Of all accounting frauds state leaders commit to push devastating costs onto future generations, the worst is deluding citizens about the security of so-called catastrophe insurance funds. Hurricane Sandy and a tsunami scare in Hawaii at the same time should be warning enough for governors to start paying the premiums.

When a "premier global consulting and actuarial" firm proves in its first Public Pension Funding study that those government pensions are doomed, it is past time for action. Milliman's study showing a 33 percent increase in pension debt over official numbers from a minute change in accounting should be enough to spur reform.

Washington State was selected as one of 15 states to design plans that would more effectively deliver their care and coordinate the Medicare-Medicaid programs.

Governor Gregoire this morning opened a 2-day state conference on LEAN and the impact this tool is having in Washington State.

No matter what the Government Accounting Standards Board says or how grossly state and local politicians pervert new guidelines to continue looting workers' pension funds, reality will triumph when the real reckoning comes. Just ask the National Association of Bond Lawyers, municipal bond rating agencies and actuaries who do the calculations.

Anyone interested in the state and local government pension crisis - and all Americans should pay attention to this hidden $4.6 trillion hidden black hole in our economy - must read Alicia H. Munnell's new book, "State and Local Pensions: What now?" It is the best primer on this complex issue except for one missing factor: Reality.

The Washington Policy Center published the results of our legislative tax survey that asked legislators and candidates (including gubernatorial) the following question: If Initiative 1185 is adopted, would you vote to allow the people of Washington to have the opportunity to vote on a state constitution amendment to require a supermajority vote in the legislature to raise taxes?

When a widely recognized world pension expert refers to current defined benefit and defined contribution plans as "dysfunctional," it is time for politicians to stop their lying and denying that this fiscal catastrophe is spiraling out of control.

When State Budget Solutions started looking at real total state debt, just the staggering size of the numbers alone did not tell the whole story. So how to get a fix on the real burden taxpayers must bear in each state? Per capita is the usual way. But even that does not tell the whole story.

The worst news is that earnings on investments were a negative $14.2 billion, a $66 billion decline from the same quarter last year. These pension funds paid out $53.4 billion in the second quarter, putting a year-over-year hole of at least $68 billion in capacity to pay future benefits.

If current state and municipal workers and retirees refuse to accept their fair share of sacrifice on retirement benefits, the looming taxpayer backlash will sweep away a century of progress. Workers must act voluntarily now because politics and law never will resolve this crisis before the money runs out, and legal protections they are counting on may be as false as politicians' promises.

State collective bargaining law prevents the legislature, and the public, from knowing the process that determines employment contract costs. The current system undermines transparency and public accountability for the tax dollars being spent through the state payroll.

Maryland Gov. Martin O'Malley told Democratic faithful gathered at the national convention Tuesday that "Democratic governors are balancing budgets," when he knows that is a lie, especially in the Old Line State. Twenty Democratic governors account for about 53 percent of total state debt, according to a study released last week by State Budget Solutions.

With only a few months left in her term as Governor of Washington, Chris Gregoire is continuing full speed ahead with her efforts to cement LEAN management principles in state practice.

Vice presidential candidate Rep. Paul Ryan of Wisconsin and New Jersey Gov. Chris Christie put on cheery faces for the faithful this week at the Republic National convention, but both know the catastrophe states are hurtling toward because of hidden debt.

They just keep on letting politicians pick their pockets. Latest official public pension data - the most optimistic available -- compiled by Census show investments administered by states fell short more than $1.2 trillion even by their own trick accounting from Fiscal Year 2007 through 2011. Yet managers scraped off at least $45 billion in "Other Payments" to enrich a handful of insiders.

"Unsustainable" is the word state officials heard from experts for the first time at their annual National Conference of State Legislatures gathering here, where one of four sessions on the pension crisis drew a standing-room only crowd of more than 300.

When U.S. Sen. Dick Durbin of Illinois tried to fire up a ballroom full of state legislators here Tuesday morning, he used the phrase "states rights." It popped up a few other times as the National Conference of State Legislatures met to its annual "Build Strong States" summit. The only problem: There is no such thing as "states rights."

We're going to pay enough for 2,000 "Curiosity" Mars rover missions, but the money will produce no government services or benefits of any kind. Yet, nowhere does a state legislative directive on pensions approved Tuesday mention how states are going to pay this debt.

National Conference of State Legislatures members meeting here ended their first day with even more bad news about municipal bonds, debt interest that takes more than 20 cents of every dollar they spend each year and that pays for essential public works, among other things.

The word "taxpayer" appears only 14 times in 165 pages of the Securities and Exchange Commission's Report on the Municipal Securities Market released Tuesday. Only two of those mentions in the body of the report refer to looking out for our interests.

While access to a pension fund's financial report usually takes a minimum amount of effort to locate a copy through Google, Nevada takes a unique approach that complicates research.

When adopting for the third time the state's supermajority requirement for tax increases in 2007 with the passage of Initiative 960, voters also approved the requirement for a non-binding advisory vote for any tax increase not first sent to the voters for ratification.

Question: When does 80 percent of something equal 100 percent? Answer: Never, except in the fantasy world of public pension accounting. The American Academy of Actuaries Tuesday sent a letter to Sen. Orrin Hatch, R-Utah, puncturing that fantasy in a committee report he released six months ago.

Push past the spin. Most public workers covered by defined benefit pension plans - and taxpayers stuck with the tab - don't have to wait years to find out what's happening to their money. They can get quarterly reports from the Top 100 funds representing 89.4 percent of "financial activity."

The Washington State Secretary of State's Office has certified I-1185 for the November ballot. If approved by voters, I-1185 will mark the fifth time in the last 20 years that voters have adopted the requirement for tax increases to receive a supermajority vote or voter approval.

If our states and municipalities were trauma victims, they would be bleeding out while doctors argued about injuries. Even as financial gurus Paul Volcker and Richard Ravitch studied the municipal and state fiscal crisis for a report released this week, public pension debt alone grew to an untreatable $4.6 trillion, according to analysis released Wednesday by economist Andrew Biggs for State Budget Solutions.

While the debate continues over the scope of the tax increases in the federal health care law, a state level tax could be in store for Washingtonians if lawmakers decide to expand Medicaid under the new discretion granted by the recent Supreme Court ruling.

Anybody who doubts whether public pensions can push state and local governments beyond a fiscal event horizon into a black hole of perpetual debt should read an auditor's note in Montana's latest annual report: "The Unfunded Actuarial Accrued Liability amortization period is infinite ...."

Though somewhat lost in the background of the recent U.S. Supreme Court ruling on the constitutionality of the federal health care law, the Court's decision to give states discretion on whether to pursue the law's expansion of Medicaid could have the biggest impact on state budgets going forward.

It may be equally as worrisome to know that the Department of Labor is also engaging in the practice of publishing one set of rosier numbers, only to amend them to the real numbers days later, thereby avoiding dissemination of the worst numbers.

Public pensions just keep falling further and further behind. In fact, they have fallen so far they never can get up again. The local and state pension crisis got at least $300 billion worse in the first quarter of this year compared to 2011, according to analysis of latest data released by the U.S. Census Bureau. That added at least $1.5 trillion to the shortfall -- calculated at $800 billion to more than $4 trillion as of 2010 -- future taxpayers must make up on top of all other taxes and rate hikes.

Despite the obvious need for maintaining these funds, many state lawmakers deplete or insufficiently fund the reserves to cover costs elsewhere, leaving constituents to fend for themselves during bouts of extreme weather.

Based on a state brief in the Washington state roll-your-own cigarette "tax" lawsuit heard in court today, Washington state lawmakers may be able to ignore a law without first repealing it by passing a new law.

Washington State Auditor candidate Rep. Mark Miloscia and Secretary of State candidate Sen. Jim Kastama are unhappy with the decision by the Office of Financial Management to advise agencies to not comply with a state requirement to undergo a quality management assessment.

The economic outlook from today's Washington state revenue forecast was virtually unchanged from the expectations in February providing taxpayers with good and bad news about the health of the state's budget.

a better alternative to leaving 18 years of state policy and repeated voter support of the requirement to secure a supermajority vote to raise taxes in the hands of Judges: Lawmakers providing voters the opportunity to consider a constitutional amendment.

Now, 70 percent equals 100 percent. The people crashing municipal and state pension plans into a bottomless fiscal abyss just released a "study" they claim finds them "solidly funded" despite irredeemable losses in the recession and lagging growth since. They did it by lowering their standards. No problem, they expect taxpayers to make up the difference.

Along with building the initial 2013-15 budget proposal, Governor Gregoire's staff is currently engaged in negotiations with state employee unions to forge the 2013-15 state labor contracts that will bind the next Governor for the first few years of his term.

Maybe average Wisconsin voters didn't consciously know each household must pay $1,563 in extra taxes every year for the next 30 years just to fund public pension shortfalls. But they probably realized they don't have a pension anymore, even if they have jobs. And any lucky enough to have jobs know that before Scott Walker became governor, they were paying higher taxes while working harder and longer at lower pay with slashed benefits.

In a decision that guarantees the state's 18 year old voter-approved 2/3 vote requirement for tax increases will remain at the forefront of the public debate, King County Superior Court judge ruled that the tax protection requirement is unconstitutional. This means the state Supreme Court one way or another will finally be forced to rule on the issue instead of punting as it has done in the pas

The purpose of the emergency clause is to allow state government to respond quickly to true public emergencies, like a large-scale natural disaster or wide-spread epidemic disease. Yet over the years lawmakers have routinely abused the exemption by attaching emergency clauses to 954 bills since 1997, including 23 bills during the 2012 legislative session.

It may have taken nearly 80 years, 1,128,904 voters (59%) and 5 State Supreme Court Justices but Washington's prohibition-era government monopoly on the sale of liquor has finally ended.

Politicians are forcing public pensions to take more risks with taxpayer money and public workers' retirements. Recent accounting reforms actually will make the crisis worse, according to a study just released by three economists. They call for "drastic reform." Congress actually has the power to impose something drastic now.

This all boils down to who gets to pick taxpayers' pockets first, public pensioners or municipal bond investors? More people are waking up to the hard reality that when it comes to state and local government, somebody has to lose money over the next few decades. The National Association of Bond Lawyers is worried enough about it to issue "Considerations" for advising clients who think they're getting safe investments.

Despite an organized campaign to stop public pension reform, reality is beginning to break through.  One recent report outlines a possible path to long-term solutions and another details the necessity of states and municipalities finding their own way because federal bailout is impossible.  And Chicago Mayor Rahm Emanuel released a plan that could have been based on both reports.

Hey, young public employees, what are you going to do when your pension checks bounce after you paid in for decades? That is what will happen in many - maybe all - states and municipalities sooner or later if they do not reform right now. If you want to see the future, just look at Illinois. One citizen there did, and came up with a real reform plan that might work.

The unrestricted ending fund balance rests at $46 million with another $265 million in the constitutionally protected budget reserve account. Because the budget reserve account requires a vote of lawmakers to access, the immediate flexibility built in the budget to avoid another special session or across-the-board cuts is only $46 million out of a $31.1 billion budget.

Public employees should take their pension money now and run to avoid risk of getting reduced benefits - or nothing - in the future. It's the best deal for them and for taxpayers. A growing chorus of credible voices including the Government Accountability Office, a Federal Reserve bank and now the Harvard Kennedy School Mossavar-Rahmani Center for Business and Government confirm state and local government finances are "spiraling out of control" and even draconian reforms only make it "more likely" that future benefits will paid in full.

Governor Gregoire will begin negotiations with state employee unions tomorrow to determine the terms of the 2013-15 state union contracts. These 2013-15 Collective Bargaining Agreements are to be finalized by October 1 of this year - a month before the next Governor is chosen.

Hey, young public employees, what are you going to do when your pension checks bounce after you paid in for decades? That is what will happen in many - maybe all - states and municipalities sooner or later if they do not reform right now. If you want to see the future, just look at Illinois. One citizen there did, and came up with a real reform plan that might work.

When is a budget cut not a budget cut? When agencies still have the authority to spend money but lawmakers assume agencies won't spend all of it

Even though Governor Gregoire is not running for re-election and come January 2013 we'll have either Governor Inslee or McKenna at the helm, Gregoire will finalize the state's 2013-15 CBAs by October 1 of this year - a month before the next Governor is chosen.

One of the most contentious proposals the Washington State Legislature considered this year was the plan to reform the state's pension system. Initial estimates show the reforms of SB 6378 will save approximately $1.3 billion over 25 years.

This is what it sounds like when the Federal Reserve Bank screams: "Much has been written about the various headwinds restraining economic activity over the near term. However, our economy also has other headwinds to confront over the medium- to-longer-term. ... the finances of some state and local governments are also under stress and in need of serious adjustments."  - Federal Reserve Bank of Cleveland President Sandra Pianalto

Raise of hands of those that think the new budget will survive the June Revenue Forecast?

Though it took an early morning 2nd Special Session, lawmakers finally approved a revised 2011-13 budget but more importantly adopted several significant structural reforms.

According to the Office of Financial Management, however, that figure was based on the Governor's November budget being implemented as proposed. With changes in caseloads, the revenue forecast and actions taken in December the savings lost figure isn't that high but there is a cost with each day's delay without a budget.

Budget drama year after year, coupled with declining quality in public services, eventually become more important than mere tax breaks. Instead of squabbling over cuts or finding some sort of gimmick that both parties can agree to, legislators should consider rolling back some of the state's tax breaks for already-established companies.

The charge for lawmakers has not changed: Adopt a balanced budget within the revenue forecast that is sustainable and gimmick free.

Last week was National Sunshine Week, when open government defenders worked to highlight the need for government officials to be transparent and accountable to the citizens they serve. Among those writing about the need for more transparency reforms was Washington State Attorney General Rob McKenna.

There are simple changes that could be made in Washington State to help provide additional transparency and access for the public to participate in the legislative process, including extending the transparency protections to all bils and extending the notification process for public hearings to 72 hours.

The Washington House Ways and Means committee adopted several bills including HB 2762 to require all tax exemptions to sunset. Among the amendments adopted in committee was adding a referendum clause to the bill. If the bill is adopted by the House and the Senate, it would not be the first time voters were asked to automatically repeal tax exemptions.

Among the major differences between the two budgets is the long-term sustainability. The House Democrat budget does not repeal I-728/732 and utilizes a $405 million K-12 apportionment and levy delay gimmick resulting in a substantial projected shortfall in the next budget. The Senate GOP budget, however, assumes full repeal of I-728/732 and does not rely on the K-12 apportionment gimmick.

The Washington state legislature should require 72-hour public notification before any bill could receive a public hearing

A statement by Washington State Senate Majority Leader Lisa Brown acknowledging that the underlining structural problem in the budget is not addressed by the Senate Democrat's budget proposal.

As state lawmakers struggle to close budget gaps and reduce deficits, many are scrambling to find new sources of revenue, often in the form of new taxes. To bolster revenue, states like Texas and Illinois are honing in on a new type of tax, a "skin" tax, aimed at strip clubs in the state.

The Washingto state legislature's prospects of avoiding a 2012 Special Session to balance the budget will likely hinge on the Senate's appetite for budget gimmicks or the House's willingness to back down from its proposal to kick $405 million of K-12 school payments down the road into the next budget.

For the first time since Washington state lawmakers adjourned the "budget balancing special session last december without actually balancing the budget, there is a glimmer of hope that they'll be able to get the job done during the remaining 21 days of the 2012 Regular Session.

The last thing Washington State needs to have happen is for even more time to be wasted floating and polling "felony" budget gimmicks. It is past time to move forward with a truly balanced and sustainable state budget.

Contrary to popular belief, lawmakers are not required to adopt a balanced budget under state law. The Governor is only required to propose one. The Senate Ways and Means Committee adopted a bill that "the Legislature may not enact, nor may the Governor sign into law, a budget bill that makes appropriations from the state General Fund for that fiscal year in an amount that exceeds state General Fund Revenues, as forecast by the Economic and Revenue Forecast Council."

One of the most recognizable measurements of the state's fiscal health is the multi-year budget outlooks. These updates, however, are not done on a regular basis in Washington state. This is why the many bipartisan sponsors of HB 2607 hope to require regular six-year budget outlooks to be published.

Washingon lawmakers should end this debate once and for all by providing Washingtonians the opportunity to vote on a constitutional amendment reaffirming the policy during the 2012 general election.

It is encouraging to see the House State Government Committee take the first step toward putting LEAN management requirements that improve agency efficiency into law.

If all the Washington state legislature does is balance the budget for 2011-13, this session will be a failure. Lawmakers need to finally provide predictability to clients of state services, citizens and businesses by demonstrating they are putting the state's budget roller coaster out of service.

Meanwhile, lawmakers can take a significant step toward reducing the burden the present tax imposes on business owners. Policymakers should streamline the cost complying with the B&O tax by centralizing its administration.

The state's searchable budget transparency website has a new feature: Washington's "Vendor Checkbook." This is the equivalent of the state's checkbook.

After watching the Legislature play the "Grinch that Stole the Balanced Budget" earlier this week it was encouraging to open an early Christmas present offered by the Governor today.  At a press conference this morning in Olympia Governor Gregoire unveiled several reform initiatives.

Since the current situation did not provide enough urgency for lawmakers to enact meaningful and sustainable changes to state spending, the Governor should provide extra incentive by issuing an executive order with date-certain across-the-board cuts absent legislative action to help ensure this problem does not drag out till the last possible moment for action.

The Washington  Governor should have enhanced budget cutting authority, but the Legislature for the most part could avoid this authority from ever being utilized by adopting sustainable budgets and providing a meaningful reserve fund to help the state weather all but the most extreme economic downturns.

If Washington state lawmakers aren't going to balance the budget before going home for the holidays they should at least provide the Governor with discretionary budget cutting authority so she can start to make immediate surgical reductions.

Economic turmoil in Europe could play a huge role in our state budget debate.

Under the 2/3 requirement, if a broad consensus cannot be reached in the Legislature to increase citizens' tax burden, a simple majority of lawmakers can put a tax referendum on the ballot for the voters to consider. This is likely what will occur now that the Governor has indicated she wants a March vote for Washingtonians to consider her half a billion dollar sales tax increase.

It is exciting to see voters embrace the idea of focusing government efforts on strict enforcement of the public health, safety and drinking-age laws related to liquor sales, while leaving the business of distributing, pricing and selling liquor products to the competitive marketplace.

In these tough budget times it is very encouraging to see Washington officials exploring ways to improve service delivery. It is equally impressive to see Boeing providing the state access to its Lean experts at no cost to help with this reform.

Illustrating once again the need for the Legislature to have the authority to make budget decisions concerning state employee compensation, state employee unions have rejected the Governor's request to make changes to the portion taxpayers pay for their health care.

Unions exist to fight for their members, not to advocate for policy that is in the best interest of taxpayers. This why it is incumbent on the Legislature to have the authority to weigh all spending requests equally in the context of the priorities of all taxpayers and citizens and not be cut out of budget decisions totaling millions of dollars.

The Washington Policy Center proposes seven ideas for balancing the budget that, if adopted, would put Washington on the path to long-term financial stability so lawmakers do not feel they have to increase the financial burden they place on citizens by raising tax rates.

Read Bob Williams', SBS President and Senior Fellow of the Freedom Foundation, letter to Washington state's Governor Christine Gregoire offering recommendations to get the state to a sustainable budget.

Governor Gregoire announced this morning she is calling a special session to start November 28 to address the state's $1 billion plus budget deficit and utlined her goals for the session.

Washington state's 2011 Personnel Detail is now available on the state's budget transparency website in a searchable way.

Washington state pensions are in worse shape than state officials would have citizens believe. Andrew G. Biggs writes that the largest failing of the state's current pension system is the nature of elected leaders to make benefit promises without paying for them.

If Washington state lawmakers are going to send voters a proposed tax referendum they should also put a constitutional amendment enforcing the four-time voter approved 2/3 vote requirement for tax increases on the ballot.

Legal filings by the State of Washington defend the four-time voter approved 2/3 vote requirement for tax increases, but the only sure way to end this debate once and for all is for Washingtonians to have the opportunity to vote on a constitutional amendment.

It is becoming increasingly likely the Governor may be forced to call a special session or order blunt across-the-board cuts before the legislature is scheduled to convene in January 2012.

Today the Washington State Office of Financial Management sent agency budget directors a memo requesting that they prepare for budget reductions of up to 10% in a 2012 supplemental budget.

With the August 2 deadline less than a week away before the federal government reaches its debt limit, state budget officials across the country are preparing for the potential impact on state budgets depending on what Congress and the President agree (or don't agree) to.  According to at least one state budget director, there will be "no happy endings" for states regardless of what occurs.

Several House Democrats have joined the Washington Education Association (WEA) and the League of Education Voters to file a lawsuit to overturn the four-time voter approved 2/3 vote requirement for tax increases.

Washington State has been given a "stable" rating for its response to balancing the state's budget. That said, clouds remain on the horizon that could impact the state's future credit rating.

At the request of Governor Gregoire, State Auditor Brian Sonntag released a report last week detailing the state's current use of performance-based contracting and identifying opportunities for improvements.

An examination of how state employee compensation in Washington state impacts state spending.

The Washington state revenue forecast showed a negative $12 million difference between the March and June forecasts for the two budgets yet the impact on the ending fund balance for 2011-13 showed a reduction of $575 million.  How does that math work?

Last week Governor Gregoire signed a proposal to consolidate several administrative agencies and create a review process to help identify opportunities for some competitive contracting.  he Governor's signature on SB 5931 is an important step in the right direction to help streamline state government and begin to restore balance concerning competitive contracting and the state's 2002 civil service reform.

The 2009-11 supplemental budget (rolled into the 2011-13 budget) Governor Gregoire signed Wednesday is already projected to end in an $84 million deficit thanks to Thursday's revenue forecast.

The emergency clause has worried supporters of a new initiative to end the state's prohibition era liquor monopoly. They believe SB 5942 could short circuit voters' opportunity to consider their new liquor reform proposal.

While awaiting Senate confirmation of his appointment as U.S. Ambassador to China, outgoing U.S. Commerce Secretary and former Washington Governor Gary Locke is still pushing Priorities of Government (POG) budgeting.

While the main focus of the just concluded special session was to finally finish work on the state budget and other necessary government reforms, the House Democrats also found time to lay the groundwork to in effect sue the voters over their passage of I-1053, which ratified a requirement that tax increases require a 2/3 vote.

The Washington State Senate today adopted a proposal to consolidate several administrative agencies and create a review process to help identify opportunities for some competitive contracting.

What is the drop dead deadline for the 2011-13 budget to be adopted in Washinton State, and will lawmakers face misdemeanor charges if they fail to meet that deadline?

The Washington State House Ways and Means committee took the first steps to setting up a tax fight on the floor of the House during the special session.

Reading the tea leaves of I-728, 732, I-884 and I-1098, it appears the voters supported the policies of I-728 and I-732 when they were "free" and wouldn't hurt the budget or require tax increases but were against them when asked to raise taxes to pay for them.

Proposed tax increases will take center stage Wednesday in the Washignton State Senate Ways and Means Committee despite the promise from legislative leadership and the Governor that the special session would be focused on only those bills necessary for finishing the budget.

The realities of public pension liabilities have finally dawned on legislators in statehouses from coast to coast. As huge pension debt looms on the horizon, both Democratic and Republican lawmakers are taking steps to reign in pension costs in their best attempt to keep the problem from growing.  Not every state is taking action, and those that are have caught on slowly.

Apparently 105 days won't be enough for the Washington State Legislature to finish the budget this year.

Based on the balance sheet, of the three legislative budget proposals, the House Republicans' spends the least while the Senate proposal leaves the most savings in the protected Rainy-Day account.

States are getting down to the nitty-gritty of budget cuts as they hack away millions of dollars in order to salvage their shortfalls. While some states are managing to balance their budget woes, others are still deliberating their budgets for the next fiscal year.

This session's most important bill, the budget, and proves once again the Legislature's rules requiring 5-day notice forpublic hearings are insufficient to ensure to the public has an opportunity to participate in a meaningful way.

It is past time to take "felony gimmicks" off the table completely.

As Washington state lawmakers prepare for the consensus bad news awaiting at tomorrow's revenue forecast, a number of troubling potential budget gimmicks have begun to surface to "balance" the budget.

We hope all lawmakers will have the opportunity to go on the record next year on whether the public should be provided adequate time to participate in the legislative process. Better yet, they should adopt these much-needed legislative transparency protections into law.

The House demonstrated last night how efficiently it could move priority legislation when the public is cut out of the process. HB2011, introduced just this past Saturday, was the last bill acted on by the House last night and passed by a vote of 59-36.

Minnesota Governor Mark Dayton's move to raise the state income tax to be the highest in the nation ignores the fact that recent similar efforts have not been successful.

As states across the country struggle to balance their budgets perhaps no single issue is hampering their options more than the federal restrictions of the Medicaid program. This is why Congress needs to provide states Medicaid flexibility.

This past week the Washington legislature decide to change its process for providing notice of public hearings on draft and substitute bills.

Attorney General Rob McKenna and State Auditor Brian Sonntag, two of the state's strongest advocates for transparent and accountable government, have written a letter to legislators encouraging them to adopt a constitutional amendment to improve legislative transparency. 

Combined with her other calls for pension reforms and agency consolidation, Governor Gregoire's budget represents a good framework for the Legislature to debate how best to move Washington forward in a sustainable, core-function focused way.

Governor Gregoire announced this morning her proposals for agency consolidations as recommended by her Budget Transformation Committee.

In Washington state, forecasted revenue for both the current and next budget is forecasted to drop by $1.2 billion but the state's budget director voted against part of the revenue forecast questioning the numbers.

The Washington State Governor's Higher Education Funding Task Force briefed lawmakers on the various reform options that are being discussed to reset the state's role in higher education.

With potentially millions in savings at stake, the Washington State Legislature and Governor should find a way to implement a policy that the cheapest effective drug wins regardless of whether it is a generic or brand name.

It is time to re-evaluate the so-called 2002 Civil Service Reform in Washington State that put state unions in the driver's seat and policy makers in the back seat when it comes to certain budget decisions.

Fiscal stress and strain continues in the fifty states this week as more legislators look for ways out of the black holes in which they find themselves. Solutions sought by states include delayed retirement, increased pension contributions, and furloughs.