Taxes Hurt the Economy, So Why is the Governor Talking About Them?

TVW's Inside Olympia host, Austin Jenkins, writes in Crosscut that Jay Manning, the governor's chief of staff, reinforced the governor's "new willingness" to raise taxes.  Manning made the comments in an Inside Olympia interview last week. The remarks are as familiar as they are unwelcome.

“I guess I would be surprised if this $1.7 billion hole in the budget was closed exclusively with cuts,” Manning concluded during the TVW interview.

We hear some form of the refrain during every shortfall. Note the $1.7 billion figure - that's up from early reports. From the taxers' perspective, the larger the projected deficit, the more urgent the need for new revenues -- which is not to say that the budget gap is trivial. And, with today's report of declining consumer confidence, it's less likely that robust holiday sales will be pouring into the state treasury. The shortfall may grow.

Last month governor told AWB members that she understood that tax increases were not the answer.

Gregoire largely dismissed the prospect for any tax increase to help close the gap.

... "Tell me a tax that you're going to increase that will give you $1 billion that doesn't hurt business, hurt individuals, hurt our recovery."

As she clearly implied, there isn't one. Not for a $1 billion problem, not for a $1.7 billion problem. She's since changed her tune, but the facts haven't changed.

Tax hikes hurt business, hurt individuals, and hurt our recovery. So they should be off the table.