NFIB also registers opposition to expanding the class of plaintiffs in wrongful death lawsuits
State Director Patrick Connor reports from Olympia on the small-business agenda for the legislative week ending March 22
Week 10 of the Washington State Legislature’s 2019 session was fairly quiet on the small-business front as policy committees primarily considered bills originating in the opposite chamber.
A few more bills were introduced this week, most dealing with fiscal matters. Curiously, companions House Bill 2148 and House Bill 5989, tax preferences for new or expanded data centers in urban counties, were introduced almost simultaneously with this Seattle Times guest editorial by Microsoft calling for higher B&O taxes on certain service businesses.
Microsoft opines that higher taxes are needed on large tech companies like itself, along with smaller business providing “… professional, engineering, technical and other similar services” to provide ongoing funding for higher education programs effectively training its own future workforce. A whiff of hypocrisy seems to be emanating from the east side of Lake Washington.
In other fiscal news, this week’s revenue forecast indicated budgeteers will reap a windfall of more than $550 million beyond earlier projections, adding about $4.5 billion to state coffers just from current taxes as the state economy continues to grow. This should push total tax collections to nearly $50.6 billion for the 2019-21 state operating budget – a 16 percent increase over the current two-year budget.
As expected, majority Democrats insist this is not enough to fully fund basic or higher education, mental health, orca recovery, a $675 million pay bump for public employees, or other favored spending add-ons. As if on cue, minority Republicans countered that revenues are adequate for the state’s spending needs, despite introducing a tax increase proposal or two of their own. The House is expected to release, and perhaps approve, its budget proposal next week. The Senate will offer its budget plan following that. An increase in B&O taxes on services, a graduated real-estate excise tax, and a capital gains tax are all still rumored to be under consideration in one or both chambers.
Here are the bills of interest to small business that saw some activity this week.
Tax and Fiscal
- NFIB signed in supporting HB 1059, extending the due date to April 15 for annual B&O tax filings. The Senate Ways & Means Committee heard the bill and has it scheduled for executive action next week.
Labor
- NFIB again objected to SB 5740, requiring certain workers be automatically enrolled in a state-managed retirement program. The bill was heard in the House Consumer Protection & Business Committee.
- Although it is not on our tracking list, NFIB posed several questions to the Department of Labor & Industries (L&I) and the House Labor & Workplace Standards Committee during the public hearing on SB 5258. The bill seeks to enhance protections for isolated workers from sexual assault or harassment. Our questions were about public disclosure of client lists the bill would require janitorial and security firms to file with L&I. We are awaiting the department’s response.
Environment
- NFIB again went on record opposing HB 1110, a low carbon fuel standard, which was heard and approved this week in the Senate Energy, Environment & Technology Committee.
- HB 1257, allowing a patchwork of local government energy codes and requiring costly electric vehicle charging stations at new buildings, was approved by the House Appropriations Committee. NFIB opposes the bill.
- We again opposed SB 5116, the green energy mandate, which was heard in the House Finance Committee.
- We signed in opposed to SB 5981, a new cap-and-trade proposal heard in the Senate Energy, Environment & Technology Committee.
Health Care
- We signed in supporting HB 1523, adding standard benefit-design health plans to the state’s Health Benefit Exchange. The Senate Health & Long-Term Care Committee, which approved an amended version of the companion Senate bill, is considering this measure.
- NFIB also again showed its support of SB 5887, allowing policyholders to use a subset of allowed visits to a chiropractor or massage or other therapists without prior authorization from their health insurer. This allows workers to get prompt treatment for minor injuries or discomfort, generally without missing any work. The House Health Care & Wellness Committee has already scheduled the bill for executive action next week.
Other
- NFIB expressed its continued opposition to SB 5163, expanding the class of plaintiffs able to sue for wrongful death lawsuits. The bill was heard in the House Civil Rights & Judiciary Committee.
Previous Reports From the State Capitol
