A version of this testimony was presented to the Senate Ways & Means committee on 2/6/2026.
My name is Ryan Frost, and I’m the Director of Budget and Tax Policy at the Washington Policy Center. We oppose Senate Bill 6346.
State spending has doubled since 2015, outpacing population and inflation growth by 50%. In 2017, the legislature faced a shortfall and raised taxes. In 2019, a larger shortfall and more taxes. In 2021, again. In 2025, same story.
Between the capital gains tax, the long-term care payroll tax, B&O increases, and other new taxes, the legislature is collecting tens of billions in new revenue. Every dollar of that was spent, then billions more beyond that, culminating in last year’s $12 billion shortfall and the largest tax increase in state history.
Each round of tax increases funded new permanent spending commitments that outpaced revenue, produced the next deficit, and became the justification for the next tax increase. While 23 other states are cutting taxes, Washington is raising them at record pace. Despite that, we are still facing more multi-billion-dollar deficits.
In 2014, Washington had the 6th best business tax climate in the country, now we have the 6th worst – the largest drop of any state.
Legislators and supporters of higher taxes have been using terms like “fair share” and “regressive” to justify new taxes for a decade. Not once have those new taxes resulted in meaningful reductions to the sales tax, the B&O tax, or property taxes. Currently, over 80% of all tax revenue in Washington comes from businesses and the top 20% of earners.
Our current level of spending and taxation is not sustainable, and no amount of political messaging will obscure that fact.
I urge a no vote. Thank you.
