The Washington state 2023 legislative session is fast approaching, and one group is urging lawmakers to prioritize investments over budget cuts.
Traci Underwood, policy director with the Seattle-based nonprofit Economic Opportunity Institute, said the federal government and the state have made major investments in public welfare during the pandemic.
She said policies such as the federal Child Tax Credit, which reduced child poverty to record lows, and stimulus checks helped families through difficult times.
"What we know from all of that is that they have had massive positive impacts on people and households and families, and we need to continue to do that," Underwood said. "Now's not the time to step back. The problem's not fixed."
While factors such as inflation and high fuel costs could persuade lawmakers that cuts are needed to keep the economy going, Underwood noted the state needs to address massive wealth and racial disparities.
She said legislators should invest in programs that improve the public good, not automatically start with budget cuts.
"Affordable and accessible health care, fair taxes that provide ample funding for these programs," she said, "Stable and dignified work for all people - so thinking about family paid medical-leave funding and language access, and child care compensation."
Underwood added that lawmakers also should invest in programs that create economic stability, such as a guaranteed income pilot project and establishing baby bonds, which would create a pool of money for children that they could access when they turn 18.
Underwood said everybody deserves to live safe and stable lives.
"Right now, that's really tenuous for a lot of people," she said. "And so, we have the means, we have the ability to make this happen, which is exciting, and so that's something that I hope that we all work towards this coming legislative session."
The legislative session begins on January 9th.
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West Virginia lawmakers are clamping down on corporations trying boost environmentally and socially responsible investing. A new report by EcoConsult Solutions finds their actions will likely cost taxpayers at least $9-million, and perhaps as much as $29-million dollars annually. Senate Bill 262, passed last year, restricts the state from investing in companies deemed to be energy boycotters. Among those boycotted include BlackRock, Goldman Sachs, JP Morgan Chase, Morgan Stanley and Wells Fargo.
Jim Kotcon, chair of the West Virginia Sierra Club, said restricting long-term financial investments in the form of bonds could end up costing residents and taxpayers by reducing the amount of money the state has for public services and programs.
"This appears to be an effort by the state government to help bail out the coal industry and to deny the real cost of climate change on West Virginia citizens," Kotcon said.
More than two dozen states are suing the federal government over a U.S. Department of Labor rule change on environmental, social and governance, or ESG, in workplace retirement accounts. The rule allows 401(k) providers to consider climate change and other issues when making investments.
Kotcon said environmental groups believe state investment funds should take into consideration environmental and social factors, especially since West Virginia communities are struggling to cope with increased flooding and extreme weather events driven by climate change.
"It has become sort of an extremist initiative," he said, "trying to penalize financial institutions that are attempting to do the right thing."
More than a dozen states so far have passed or have pending bills that would pull state funds from investments deemed to be adverse to the oil and gas industry, according to the report.
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A Minnesota House committee heard testimony Thursday about the governor's proposed spending plan for education. As these talks unfold, public polling indicates voters want to see more dollars go toward improving public schools.
Gov. Tim Walz's plan calls for boosting the general education funding formula over the next two years and tying it to inflation, while adding more staff such as counselors and social workers.
State Education Commissioner Willie Jett touted the overall proposal during the committee meeting.
"We must never lose sight of the fact that a well-supported educator workforce is fundamental and critical to the survival of our schools, and the well-being and academic success of our students," he said.
Nationally, a new American Federation of Teachers poll found 66% of voters think the government spends too little on education, and nearly 70% want to see more funding. The governor's plan closely aligns with education priorities among legislative Democrats. Republicans, who are in the minority this session, have voiced concerns that too much surplus money would go to underperforming schools.
Minnesota is also looking at boosting unemployment insurance aid to include hourly school workers when they struggle to stay employed over the summer. Rep. Emma Greenman, DFL-Minneapolis, said it's encouraging to see more conversation about helping support staff.
"If your district is like my district," she said, "you're hearing a lot about the staffing shortages, about the need for 'paras' - I hear a lot about that from parents and teachers - about the bus driver shortage."
By "paras," she meant paraprofessionals who help in clasrrooms.
In the AFT poll, teacher shortages and unsafe campus environments were listed as among the most serious problems at schools. The survey was conducted in late December and included input from 1,500 registered voters nationwide.
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Gov. Greg Gianforte delivered his State of the State address to the Montana Legislature Wednesday night, discussing his plans for the state's hefty budget surplus.
Lawmakers are looking at a surplus of $2.5 billion. Republican Gianforte's top priority for the money is tax cuts.
Rose Bender, director of research for the Montana Budget and Policy Center, said the governor's proposal disproportionately benefits wealthy Montanans.
"The governor's income-tax cut proposal gives the wealthiest 1% of Montanans, on average, $6,000 each year in tax cuts, while middle-income families or those near the median income receive on average $50," Bender explained.
Bender noted most of the other tax cuts proposed, such as a property tax rebate, also would skew toward higher-income Montanans. However, she said a child tax credit the governor touted in his speech would be helpful for people with more modest incomes. The proposal would provide $1,200 to families with children age six and under, similar to a federal Child Tax Credit, which expired at the end of 2021.
Bender argued the Montana Legislature should do more this session to make health care costs more affordable and invest in child care, which is costly for families. She added other issues need addressing, as well.
"Montana's experiencing a serious housing crisis, and investing some direct state dollars into long-term housing solutions for families living on lower incomes should be another priority," Bender contended.
In his speech, Gianforte also asked lawmakers to focus on education reforms this year, including what he's calling more "parental rights." The session is scheduled to adjourn April 25.
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