Sales Tax Hike in the Works?

As we wrote earlier, there is growing support for a sales tax increase among legislative Democrats. This morning Austin Jenkins writes on the shifting momentum in Crosscut. He reports that significant legislative leaders have put the tax back into play for several reasons: it's easy to explain, quickly raises the desired revenue, can be made temporary, and distributes the pain broadly.

Jenkins identifies a potential roadblock in the governor, who has released her own smorgasbord tax plan.

Gregoire is clearly concerned that a sales tax hike might dissuade would-be consumers from making big purchases, like buying a new car , that are vital to the state’s revenue recovery. Asked if she would veto a sales tax increase if that’s what the legislature sends her, Gregoire replied: “I’m not going to put a line in the sand, but I’ve made it clear I find it troubling.” That certainly leaves an opening.

Yesterday,a Jerry Cornfield reported in the Everett Herald that the search for new money is intense, as legislative Democrats want to boost spending much more than Gregoire proposed.

It is expected the House and Senate will be looking to raise in the neighborhood of $1 billion to sustain programs serving public schools and college students and providing medical care and social services for the poor.

Over the next few days both chambers will release their tax-and-spending plans. Let them know that you expect them to rein in spending and focus on putting people back to work.