Washington Democrats Responsible For Major Tax Hikes While Families Struggle

While Washington families face rising costs on everything from gas to groceries, state Democrats successfully enacted a tidal wave of tax hikes that will make life more expensive for virtually every state resident. Governor Bob Ferguson signed seven tax and fee increases into law July 28th, including on property, fuel, housing, liquor, and even health care.  

Among the most harmful proposals, HB 2049 introduces a massive 55% increase in local property tax levies by 2031. Worse yet, the tax hike favors wealthy districts and punishes poorer communities. The long-term ramifications for Washington taxpayers are immense, with their tax burden projected to increase by $5.75 billion over the next decade. Washington Democrats are selling this as an education investment; in reality, it is a tax increase that disproportionately impacts lower-income families in a state that has the third highest rate of homelessness in the country. 

At the pump, HB 1409 raises gas prices by an estimated 5 to 25 cents per gallon by tweaking Washington’s Clean Fuels Program. That may not sound like much to legislators eager to spend more, but it’s a real hit to rural commuters, delivery drivers, and working families who rely on their vehicles. It’s another regressive tax that will hit low-income residents the hardest. 

SB 5083 imposes new price caps on state contributions to public employee health plans, shifting the burden to families. According to estimates, this will increase costs by an average of $1,400 per year for a family of four. For public school teachers, correctional officers, and state employees, it is effectively a pay cut disguised as a policy fix. Instead of raising state taxes directly, this bill shifts costs to employees without calling it a tax. 

The list goes on. HB 2015 authorizes an additional 0.1% in local sales and use taxes, raising the cost of everything from diapers to dental work. SB 5786 hikes liquor license fees by an average of 50% across restaurants, grocers, and small businesses. HB 1858 expands document recording fees, raising the cost of housing transactions. Finally, HB 1488 increases property taxes through conservation districts and automatically raises the cap every three years for inflation, creating a permanent mechanism for tax increases with little public scrutiny. 

Together, these bills represent a coordinated effort to grow government at the expense of the taxpayer. Washington Democrats have chosen to burden families rather than examine their own spending habits. 

In contrast, Washington House Republicans offered a series of solutions through their Fix Washington agenda. They proposed balancing the budget using existing revenues, reinstating a state spending limit, and introducing performance-based spending. Their proposals to exempt essential items from sales tax, streamline teacher certification, and make government more efficient reflect a clear alternative to rectify Washington’s problems from the spending side rather than pillaging the pockets of its citizens.  

If Washington lawmakers instead continue down the road of high taxes, more residents will follow the example of Amazon founder Jeff Bezos. Soon after the state’s 7% capital gains tax took effect, Bezos moved to Miami, in the true zero income tax state of Florida – and took his wealth and investment dollars along with him. The Evergreen State lost 50% of the projected revenue from the new tax as a result. 

That should serve as a lesson to lawmakers of what is to come for the broader state budget if families continue to flee to friendlier economic environments in the wake of these big-government policies enacted this year by Governor Ferguson, as is already happening on a large scale in California.