OLYMPIA — Washington state lawmakers wrapped up a difficult 105-day session Sunday, approving a $77.8 billion two-year budget balanced through spending cuts and $9.4 billion in new taxes. Democrats defended the budget as a necessary response to declining tax revenues and rising costs. Republicans criticized the plan, warning the tax hikes would make Washington less affordable for working families.
Gov. Bob Ferguson, who took office in January, praised increased education funding, more resources for police hiring, and efforts to preserve the state’s rainy day fund. However, he stopped short of fully endorsing the budgets, saying he would review them line by line.
Lawmakers also passed a $15.5 billion transportation budget funded partly by a 6-cent gas tax increase, with bipartisan support for investments in ferries, highways, and fish habitat restoration. A separate $7.5 billion capital budget will fund affordable housing, school construction, and behavioral health facilities.
Major legislation included capping rent hikes statewide and extending unemployment benefits to striking workers — wins for progressive Democrats. Republicans opposed changes to a parental rights initiative, arguing Democrats undermined voter intent.
A proposed wealth tax passed the Senate but stalled in the House amid concerns about legal challenges and the governor’s opposition. Business groups criticized the overall tax package, warning of higher costs for consumers.
The session ended on a somber note, with lawmakers honoring the late Sen. Bill Ramos and mourning other recent losses in the state political community.