Revenue Justice, Worker Solidarity, and Bold Leadership on the Budget
This past week brought a major turning point in the fight for economic justice and public investment. From powerful rallies to transformative tax proposals, legislators and advocates made clear that austerity is not the answer. FAN stood alongside our partners in demanding a fair budget rooted in equity, dignity, and community care.
Monday: Rally for Progressive Revenue – Fund Our Future!
On March 17, hundreds gathered in Olympia for the Fund Our Future Rally, led by Invest in WA Now and the Balance Our Tax Code (BOTC) coalition, with strong representation from labor, faith leaders, and grassroots advocates. The rally sent a clear message: Washington must raise progressive revenue to fund housing, education, healthcare, and essential services—instead of making cuts that hurt those already struggling.
With a $15 billion budget shortfall looming, rally speakers called for action that addresses the root of the problem—our state's upside-down tax code. Washington remains the second most regressive tax system in the nation, where the poorest 20% households pay three times more in taxes as a percentage of income than the richest 1%.
“In the richest state in the richest country in the history of the world, there’s no excuse for budget cuts that hurt working families. It’s time to stop asking the poor to subsidize the wealthy—and start investing in a future where everyone can thrive.” said Rep. Shaun Scott.
“Progressive revenue is not a fringe issue—it’s a survival issue,” added Rep. Natasha Hill. Sen. Noel Frame declared: “The wealth is there. The question is whether we have the political will to go get it and reinvest it in our communities.”
Participants met with legislators and urged swift action on revenue justice, aligning with the tax proposals unveiled later in the week (see Thursday).
At a press conference also on Monday, U.S. Senator Patty Murray joined state lawmakers to warn that Washington’s social safety net is also under threat from national proposals. Murray described a growing effort in Congress to gut Medicaid and food assistance programs, part of a broader “all-out assault on programs that serve low-income and marginalized people.”
“We cannot allow these attacks on Medicaid to succeed—not at the federal level, and not through backdoor budget cuts in our own state,” Murray stated. “This is about our values as a state and as a nation.”
Her remarks come as state leaders weigh deep budget cuts unless progressive revenue is adopted. FAN echoes this call: Medicaid, food assistance, and safety net services are lifelines that must be protected.
Later that day, two FAN-supported bills had public hearings:
- SB 5284 – Recycling Reform Act would implement Extended Producer Responsibility (EPR), holding corporations accountable for the life cycle of packaging waste. This is a key step toward environmental justice and sustainability.
- SB 5123 – Student Protections in Public Schools seeks to strengthen anti-discrimination protections for LGBTQ+ and marginalized youth, ensuring public schools are safe, inclusive spaces for all.
Tuesday: Revenue Forecast & Workers’ Rights Hearings
Tuesday’s Economic and Revenue Forecast showed a sobering $845 million drop in expected revenue, deepening the urgency for new revenue sources.
Two key bills were heard:
- SB 5041 – Unemployment Benefits for Striking Workers: FAN supports this labor rights measure to allow striking workers access to unemployment insurance.
- SB 5714 – Bail Agent Regulation Reform: Prevents bounty hunters from enforcing civil immigration warrants or sharing immigration status—protecting immigrant rights and due process.
Wednesday: Workers Walk Out, Tenants Speak Up
State employees at the Attorney General’s Office walked out, protesting proposed furloughs and budget cuts that would strain staff and reduce services. This unprecedented action echoed the broader call for a budget that doesn’t sacrifice public workers.
At the same time, housing advocates packed a hearing room for HB 1217 – Rent Stabilization, pushing for predictable, fair housing policies in the face of ongoing rent hikes. While industry opposition was strong, so was grassroots testimony supporting this tenant protection bill.
Thursday: Senate Democrats Unveil Bold Progressive Revenue Package
In a historic move, Senate Democrats unveiled a comprehensive tax reform plan designed to raise $17 billion over the next two budget cycles, while making the system more equitable. The package includes:
🔹 1% Wealth Tax on Financial Intangibles
A 1% tax on stocks, bonds, and other financial assets above $50 million (excluding retirement accounts, homes, and farmland). Expected to raise $4 billion per year, funding public education.
🔹 5% Payroll Tax on High-Income Compensation
Applies to large employers for salaries above the Social Security threshold. Exempts businesses already paying Seattle’s JumpStart tax. Expected to raise $2.3 billion annually for schools, healthcare, and social services.
🔹 Adjustment of Property Tax Growth Cap
Raises growth limit from 1% to a rate tied to population and inflation. Exempts seniors and people with disabilities from the state property tax. Expected to raise $779 million over four years.
🔹 Repeal of Ineffective Tax Exemptions
Closes 20 outdated or inequitable tax loopholes, including for in-state hauling and gold bullion. Adds $1 billion in revenue.
🔹 State Sales Tax Reduction
Reduces the state sales tax from 6.5% to 6%, easing the burden on low- and moderate-income residents. Estimated to reduce revenue by $1.3 billion annually—partially offset by the wealth and payroll taxes.
Sen. Majority Leader Jamie Pedersen: “This proposal reflects what we've heard from our communities: the wealthiest few should share more of the responsibility of investing in the services people need.”
Sen. Noel Frame, Chair of Finance: “Rather than doubling down on a regressive tax code, we’re asking the wealthiest to finally do their part.”
Sen. June Robinson, Chair of Ways & Means: “This plan protects essential services and puts the state on stronger financial footing for years to come.” | 
