Jobs Bills and Spending Reforms Move Through Legislature

Democratic legislators have had a hard time getting any give-back from state employees this year. While there was never any serious effort to reopen contract negotiations to rightsize compensation packages, they did make a run at a furlough program during the regular session. Yesterday, the Senate passed a scaled-back version of the plan. Rachel La Corte reports on the bill's sstatus.

The Senate has approved a measure that directs agencies to trim about $50 million in payroll costs through furloughs and other steps...

Under the measure, if the agencies don't present a plan on how they'll make the cuts, they will have to shut down for one day a month for 10 months starting in July.

Under the bill the Senate originally passed in January, lawmakers were looking at making government shut down for a total of 13 days if other cost-cutting measures weren't taken...

A lot of workers are exempted. Sen. Joe Zarelli makes the right point.

What this does is draw out savings on a temporary basis," said Sen. Joe Zarelli, R-Ridgefield. "Our problem is not temporary. Our goal ought to be to find reform."

Furloughs, which do nothing to address staffing or compensation structures, are not reform.

La Corte's story also reports that the Senate passed a temporary tax exemption for data centers. The Washington Research Council examined the effect such operations had on local economies (full report here, executive summary here).

More on the data centers and the House's massive proposed bond issue for construction projects in the Olympian. The House job package faced legitimate skepticism when first offered during the special session. It appears from the story that the skeptics are softening, though it's not clear why.

Gov. Chris Gregoire and state Treasurer Jim McIntire had been skeptics when Dunshee announced a larger plan for school renovations in 2009. But spokeswoman Karina Shagren said Tuesday that Gregoire is “still intrigued by the idea” and is exploring it.

Chris McGann, spokesman for the treasurer, said McIntire’s main objection had related to the size of the bond and a lack of a revenue source to pay off the bonds.

“We’re working with the governor, Rep. Dunshee and the Senate to see if there is a way to do what he’s trying to do without jeopardizing the state’s credit rating,” McGann said.

The credit rating is important. But what about the other issue - borrowing long-term to fuel a temporary uptick in construction employment? Stay skeptical.