WA governor pressed to veto 1.8B piece of Democrats tax bill

Washington's hospitality and food industries are pressing Governor Bob Ferguson to veto a section of House Bill 2081 that imposes a 0. 5% surcharge on food wholesalers. This surcharge, combined with an overall tax increase, threatens to raise food prices for consumers, according to industry leaders. The Washington Hospitality Association and Washington Food Industry Association argue that the surcharge disproportionately affects their sector while exempting significant corporations like Boeing and tech firms. The bill aims to generate $1.

86 billion to help close a projected budget shortfall of $9. 4 billion over the next four years. House Majority Leader Joe Fitzgibbon indicated that removing the surcharge could necessitate a special legislative session to adjust the budget. The proposed tax changes would impact approximately 191,000 taxpayers, with a projected revenue of nearly $2. 1 billion for the next budget.

Notably, about $100 million of the surcharge revenue is expected to come from food wholesalers. Despite opposition, the bill passed with majority Democratic support, leading to concerns over its long-term implications for food affordability.