State, local budgets to take hits because of … Canada?

Canadian visitors shopping for Washington souvenirs will soon find them costing less as of July 1. In fact, nearly every retail item will be cheaper for them.

Our northern neighbor British Columbia (and also Ontario) is set to change methods of taxing, and in doing so has made residents eligible for sales-tax exemptions when visiting Washington state. The provinces are ditching their provincial sales tax in favor of a harmonized value-added tax, in conjunction with the Canadian federal government.

Washington state law allows tax exemptions for residents of states and provinces where the sales tax rate is three percent or less. Since the new Canadian taxing structure isn’t technically a sales tax anymore, BC will join our southern neighbors in Oregon as being tax-exempt here.

This could be a boon for northern Washington retailers that might see an influx of Canadian shoppers, but it will certainly hamper the budgets of local governments and the state. Officials learned of this news on Tuesday afternoon, just a few weeks before the new tax is set to take effect, catching them by surprise. The City of Bellingham, for example, could see anywhere from a $400,000 to $1 million budget hit each year. Canadian visitors will continue using local infrastructure but their tax revenue will now be gone, essentially forcing local jurisdictions to do more with less. The impact to the state's revenue is unclear at this point.

For more, check out coverage on both sides of the border, at the Bellingham Herald and Vancouver Sun. See Bellingham Rep. Kelli Linville’s thoughts on the matter here. You might also recall efforts last year to end the out-of-state tax exemption—more on that here.

(Photo by Jessica Rabbit @ flickr)

Calling all reform and accountability wonks

Yesterday, the Joint Legislative Audit and Review Committee, chaired by Rep. Troy Kelley, met in Olympia. This is the bi-partisan group that meets regularly to discuss performance audits, program evaluations, and other studies geared to making our government more efficient, effective and accountable. Reps. Kathy Haigh, Sharon Nelson and Deb Wallace also serve on the committee.

Yesterday's meeting included a recap of JLARC-related news from the 2010 legislative session, including four new performance audit assignments: new stormwater permit requirements passed in the transportation budget, Medicaid cost-containment strategies, cost and use of helicopters in suppressing wildfires, and a review of the new lottery marketing strategy (as passed in this year's SB 6409).

The group also looked at two reports presented by JLARC staff: a preliminary report on Information-Sharing and Medicaid Reinstatement for Individuals Released from Confinement and the proposed final report on the Analysis of the Costs and Benefits of Accepting Bankcards at WSDOT.

These meetings are not for the casual observer, but if you really want to get into the nitty-gritty of how our state government is trying to make things work better, have at it! You can watch the meeting here. JLARC's next meeting is May 19.

House members board the Bus for a ride down the Infobahn

What happens when you combine some higher ed legislative leaders in Olympia with the tech-savvy next-generationers at the Washington Bus?

Synergistic videoconferencing political-forum magic.

The Bus is hosting a video conference tonight with state reps. Deb Wallace, Bob Hasegawa, and Scott White, all boarding the bus to talk public Higher Ed from 6 to 8 pm. Fans of the Bus, the legislators, or technological marvel in general can join in at Grey Gallery and Lounge on Capitol Hill.

The festivities start with a viewing of President Obama's State of the Union address followed by the 2-D legislators talking about your future.

Grey. SOTU. Bus. Good times.

Moeller hosting forum to discuss Gov proposals about Vancouver's school for blind and deaf

“Hey, not so fast there, Governor.”

That’s the message southwestern Washington lawmakers are broadcasting about a plan to change who has the ultimate say-so at the Schools for the Blind and the Deaf in Vancouver.

State Rep. Jim Moeller from Vancouver testified in a Senate committee hearing yesterday morning against the proposal in Senate Bill 6491. He said later that the ideas in the bill have received “neither the appropriate level of fiscal scrutiny nor the appropriate level of public involvement.”

Moeller has arranged a public forum to discuss the legislation this Saturday, Jan. 23, at 10 a.m. The forum will be held in hearing room A on the first floor of the John L. O’Brien Building on the Capitol Campus in Olympia. Citizens can call or e-mail Moeller for driving directions. His Olympia phone number is 360-786-7872, his local Clark County phone number is 693-0804, and his e-mail address is moeller.jim@leg.wa.gov.

State Rep. Jim Jacks, another Vancouver and 49th Legislative District Democrat, as well as fellow Vancouver Democratic state Reps. Deb Wallace and Tim Probst, who both represent the 17th Legislative District, share Moeller’s concerns about the proposal. The legislation would transfer governance of the Washington State School for the Blind and the Washington State Center for Childhood Deafness and Hearing Loss to the state Office of Superintendent of Public Instruction.

The legislation was requested by the governor. It directs that the state Superintendent of Public Instruction would make all appointments that are now made by the governor for the two facilities. Currently, the State School for the Blind is under the direction of the school’s superintendent, who works with a board of trustees. The governor appoints the school’s superintendent and the trustees. The governor also appoints the director of the Washington State Center for Childhood Deafness and Hearing Loss, as well as the center’s board of trustees.

Moeller points out that “I simply haven’t heard any concrete reasoning, either financial or otherwise, for making such a dramatic change in the way these two long-standing, very successful institutions are governed. There is no specific information about how such a reorganization would save money or improve services provided to these unique populations. It seems to me that proponents of this idea haven’t done enough to involve the most obvious stakeholders. Students, parents and advocates for children who attend these facilities must certainly be involved in the process.

“I understand that our state is facing a huge budget and revenue crisis,” Moeller added. “I know that we have to make some very big changes in the way we do things. But let’s not make changes just for the sake of making changes – especially not if the proposed changes are not even going to save money, anyway, and certainly not if the proposed changes are going to foul up a perfectly sound system of governance at these two schools.”

All interested parties are certainly invited and encouraged to attend the forum. Staff from the governor’s office will be there, and interpreters and Braille copies of the legislation will be provided.

Want to give your legislators a piece of your mind?

You read the news. You know the state is facing enormous challenges. You have opinions and you want to share them with people who can use them, right? Many of our legislators are hosting meetings in the next week and they'd love to hear from you.

Tonight
Town Hall at 6:30 with the 48th LD delegation (Senator Rodney Tom and Reps. Ross Hunter and Deb Eddy) at Kirkland City Hall (123 5th Avenue)

Town Hall at 6:30 with Rep. Tim Probst of the 17th LD at the Creekside Estates Clubhouse (5101 NE 121st Ave, Vancouver)

Tele-town hall at 6 with Rep. Marko Liias from the 21st LD


Saturday
Town Hall at 10 a.m. with the 49th LD delegation (Senator Craig Pridemore and Reps. Jim Moeller and Jim Jacks) at the Public Service Center, 6th floor commissioners hearing room (1300 Franklin Street, Vancouver)

Coffee hour at 10 a.m. with Rep. Bob Hasegawa from the 11th LD at Renton Village Starbucks (601 S. Grady Way, Renton)

Town Hall at 11 a.m. with Rep. Deb Wallace from the 17th LD at Fisher's Landing Transit Center (3510 SE 164th Ave, Vancouver)

Town Hall at 10 a.m. with Rep. Steve Conway from the 29th LD at Bates Community College South Campus (2201 S 178th St., Tacoma)


Tuesday, January 12
Tele-town hall at 6:30 with Rep. Pat Sullivan from the 47th LD


Thursday, January 14
Tele-town hall at 6:30 with Rep. Ruth Kagi from the 32nd LD

Photos from Vancouver area education forum

This week, state Reps. Deb Wallace and Tim Probst hosted a two-part forum to talk about the basic education funding bill passed last session and gather feedback about the work taking place now to implement the many changes outlined in the bill.

Wallace and Probst invited staff from the Office of the Superintendent of Public Instruction, the State Board of Education, and the Professional Educator Standards Board to talk about that work.

On Tuesday evening, more than a dozen community members gathered for a broad discussion about the bill, and on Wednesday evening, more than 50 teachers and educators participated in a discussion focused more on the changes that will affect teacher certification and accountability.

The discussions were lively and participants shared compelling personal stories that shed light on how these changes may, or may not, have a positive effect on student learning.

K-12 funding reforms moving along - Wallace and Probst want feedback

Today and tomorrow the Quality Education Council is meeting to discuss details of where we're at with implementation of the basic ed funding bill passed last session.

Of particular interest, the QEC is looking at Superintendent Randy Dorn's proposal for a new pupil transportation funding system. Currently, the formulas used to dole out transportation money to school districts only account for about two-thirds of the costs resulting in districts having to pony up hundreds of millions of dollars to make up the difference.

The QEC will also look at Dorn's proposed funding values for the "prototype school" model that the Legislature will use to fund basic education. The "prototype school" model is a way of clearly and easily calculating how many teachers, administrators and support staff it takes for, say, a high school with 600 students. The model also outlines what class size the state is funding, how much is going for things such as technology, utilities, textbooks and other costs associated with operating a safe, healthy school.

Dorn estimates that his proposal will require just over $3 billion of additional funding per year.

The QEC will ultimately send their recommendations to the Legislature in the upcoming 2010 session. That's why many legislators are actively seeking feedback about the proposals.

In fact, Vancouver-area residents are encouraged to attend a public meeting tonight and tomorrow night hosted by Reps. Deb Wallace and Tim Probst. The meetings begin at 6:30 and are at York Elementary School. Kathie Durbin at The Columbian has a great overview of what kind of discussion to expect.

Rep. Williams to hold virtual town hall on Tuesday

Residents of the 22nd Legislative District - which includes the northern portion of Thurston County and the cities of Lacey, Olympia and Tumwater - will have the opportunity to participate in a virtual town hall with Rep. Brendan Williams on Tuesday, July 14.

At around 6:00 p.m., Rep. Williams will call nearly 30,000 households in the district and invite them to stay on the line with him for a live town hall. He will update participants on the state budget and the recently-concluded 2009 Legislative Session. Participants will also have the opportunity to press *3 to ask Rep. Williams a question directly.

The more technically-inclined can follow the town hall right here on The Advance and post questions for Rep. Williams on the liveblog.

Virtual town halls - also known as "tele town halls" - aren't a replacement for traditional in-person meetings. But they offer elected officials another method to communicate with constituents, and make it easier for people to have a chance to speak directly with their state representative without having to drive anywhere or arrange for child care. Other House members who have taken advantage of this new technology include Rep. Marko Liias, Rep. Laura Grant, Rep. Larry Seaquist and Rep. Deb Wallace.

Washington needs more people to go to college

The Legislature has asked for the most comprehensive review of our state's higher education system in more than 30 years.

Rep. Deb Wallace, who chairs the Higher Education Committee, says that with baby boomers beginning to retire, changes in technology, and jobs in the 21st century requiring specific skills it is especially important to ensure our higher education system is meeting the needs of both students and industry.

For the first time in U.S. history the current generation of college going age students is less educated than their parents. This is due in part to the opportunities offered to returning WW II veterans after the war. Wallace hopes a combination of expanded education benefits for veterans, new federal tax credit programs and state support through the state need grant will help to expand the ability for students to attend school.

According to the Higher Education Coordinating Board, we need to produce about 40 percent more college degrees by the year 2030 to adequately meet the workforce needs of employers. That equals an additional 11,400 four-year degrees, 9,300 graduate degrees, and 10,300 two-year degrees.

Where will these new degree-earners come from? The HECB says a better job must be done helping minorities go to college and recruiting current workers to go back to school. In addition, expanding use of online and hybrid courses can increase access for those who don't live close to a college campus.

And that's where the new "System Design Plan" comes into play. The plan will include:

• Recommendations to increase undergraduate and graduate educational attainment levels for Washington by the year 2030.
• Recommendations to determine when and where to locate new campuses and higher education centers.
• “Rational rules for growth” to help guide expansion and coordination of the higher education system in Washington over the next several decades.
• Recommendations to increase higher education for under-served areas and populations.

The next meeting of the System Design Study Group is July 20 in Everett. Final recommendations are due to the Legislature in December.

Deb and Dave talk education

Rep. Dave Quall (fondly called "Coach" by many in Olympia) chairs the House Education Committee. Rep. Deb Wallace chairs our House Higher Education Committee.

The two of them took some time last week to chat about education, how K-12 and higher ed overlap in many ways, and how the two of them are tackling critical education issues in light of the state's budget challenges.You can listen here.

Their conversation is one of many in a series of Capitol Ideas podcasts. Capitol Ideas is a way to let House Democrats chat informally and personally about their work in Olympia.

Lots of students ask for a little budget love

Hundreds of community and technical college students organized by the Council for Unions and Student Programs came to Olympia today to press lawmakers to make affordable and accessible higher education in Washington a priority.

Their pleas come amidst prospects of increased tuition and cuts that might range around 20 percent at colleges.

Rep. Deb Wallace, who chairs the House Higher Education Committee, and Rep. Reuven Carlyle spoke to the students and reinforced that education is one of the most important investments we can make.

They've been working hard to minimize budget impacts to colleges but admit it's a tough year. With only half the session down, there's still a lot of work to do until anyone knows how much budget love our colleges will get.

Coming soon - big cuts to state's colleges

Now that legislators are really starting the process of crunching budget numbers, it's becoming (painfully) clear that the magnitude of the coming cuts mean big changes for many people. Like college students who likely face higher tuition and trouble registering for classes that fill up quickly because of fewer teachers.

Rep. Deb Wallace, Chair of the House Higher Education Committee, spoke to TVW's Austin Jenkins on Inside Olympia about what's in store for our state's colleges and universities in the wake of budget reductions as high as 20 percent.

The show will air on TVW tonight but you can watch it online now.

Legislators agree that higher ed more important than ever

Today, higher education leaders in the House and Senate gathered for a discussion about how, despite the state's economic woes, higher education can and must be used as a bridge to 21st century jobs.
Representative Deb Wallace, who chairs the House Higher Education Committee, emphasized repeatedly that we cannot turn back on our goal of educating more people to higher levels.

To this end, the House and Senate are proposing numerous measures that will help more students tap into financial aid, and support education and training programs that put people to work in high-demand, family wage jobs.
In addition to participating legislators, Rep. Phyllis Gutierrez Kenney introduced two students who spoke up about their personal ambitions of going to college and how aid programs have been the key to attaining that dream.
Roxana Garcia from the University of Washington spoke of growing up in a single-parent household amidst rising gang activity and negative influences. She said state grants were the key to her going to college and she encouraged lawmakers to preserve what she called an "investment in the lives of intelligent young adults, but more importantly, an investment in the future of Washington state."
Felicia Perl from the University of Puget Sound talked about the challenges of growing up in the foster care system and having to navigate a path to college without the support of family or parents. She also urged lawmakers to not seek short-term budget relief at the expense of devastating long-term effects.
You can read more about today's press event here.

Happy Earned Income Tax Credit Day!

The Earned Income Tax Credit (EITC) came about in 1975 to help low- and moderate-income folks keep more money in their pocket. Sadly, a lot of folks eligible to claim the credit don’t.

The Tri-City Herald reports:

Last year, 365,000 state residents applied for the credit, bringing about $655 million into the state's economy. Another estimated $65 million went unclaimed.

That's why the state has proclaimed today as Earned Income Tax Credit Day to raise awareness of this federal credit that goes unused by about 15 percent to 17 percent of people entitled to it.

Rep. Deb Wallace is actually going to be in Vancouver on Monday morning as part of a bi-state effort with Oregon to raise awareness about a public-private partnership program known as the Free File Alliance. The Alliance provides free tax preparation services and e-filing for the very folks the EITC is intended to help.

New committee chairs are now official

Legislators in the House D Caucus finally approved the committee structure and chairs for the 2009-2011 session. Committees and Chairs are:

Agriculture and Natural Resources: Brian Blake (Aberdeen)
Audit Review and Oversight: Mark Miloscia (Federal Way)
Capital Budget: Hans Dunshee (Snohomish)
Commerce and Labor: Steve Conway (Tacoma)
Community and Economic Development and Trade: Phyllis Gutierrez Kenney (Seattle)
Early Learning and Children’s Services: Ruth Kagi (Lake Forest Park)
Ecology and Parks: Dave Upthegrove (Des Moines)
Education: Dave Quall (Mount Vernon)
Education Appropriations: Kathy Haigh (Shelton)
Environmental Health: Tom Campbell (Roy)
Finance: Ross Hunter (Medina)
Financial Institutions and Insurance: Steve Kirby (Tacoma)
General Government Appropriations: Jeannie Darneille (Tacoma)
Health and Human Services Appropriations: Eric Pettigrew (Seattle)
Health Care and Wellness: Eileen Cody (Seattle)
Higher Education: Deb Wallace (Vancouver)
Human Services: Mary Lou Dickerson (Seattle)
Judiciary: Jamie Pedersen (Seattle)
Local Government and Housing: Geoff Simpson (Covington)
Public Safety and Emergency Preparedness: Christopher Hurst (Enumclaw)
Rules: Frank Chopp (Seattle)
State Government and Tribal Affairs: Sam Hunt (Olympia)
Technology, Energy and Communications: John McCoy (Tulalip)
Transportation: Judy Clibborn (Mercer Island)
Ways and Means: Kelli Linville (Bellingham)

Additionally, two vice chairs were also selected:
Ways and Means: Mark Ericks (Bothell)
Capital Budget: Timm Ormsby (Spokane)

Note the major change in committee structure with the creation of the Ways and Means committee. It replaces what was the Appropriations Committee. Now, the Education Appropriations, General Government Appropriations, and Health and Human Services Appropriations committees are standing committees (instead of sub-committees) and they will make funding recommendations to the new Ways and Means committee.