by Brian

 "Our new Constitution is now established, and has an appearance that promises permanency; but in this world nothing can be said to be certain, except death and taxes."  Benjamin Franklin

Earlier this month Gov. Chris Gregoire released her 2010 supplemental state budget,
which would fill a $2.6 billion hole in the budget for 2009–11 through
service eliminations, reductions or suspensions. As required by law,
she submitted a budget based on currently available revenue. And she basically said she hates it.

Senator Rosa Franklin recently wrote a guest editorial in The Seattle Times calling for an overhaul of our state's regressive tax system.  If we are going to really deal with school funding we are going to have to talk about taxes.  No politician in this day and age can consider reelection without having a default position of no new taxes.  But given the projected $2.6 billion shortfall, something must be done.

Last month I participated in a policy symposium where our task was to prioritize the implementation of the education reform bill, ESHB 2261.  It's feeling more and more like an exercise in futility to talk about education reform when it requires funding that just isn't there.

The present taxation system was cobbled together over the last hundred years or so, and little of it makes sense in the 21st century.  People who earn less than $20,000 pay 17.3% of their income to state taxes.  People who earn between $99,000 and $198,000 pay 7.6% of their income.  In tough economic times like these state revenues dwindle because spending decreases, and a big piece of our tax system is the sales tax.

Seven years ago the Gates Commission recommended the tax-reform plan that Senator Franklin has championed. It calls for an income tax, which is a tough, but necessary sell. In their report to the legislature in 2003 the members of the commission said it might take ten years before their recommendations would be enacted.  Looks like they were right on that one.

If we are serious about education reform and funding, and we must be, then we need to overhaul our regressive tax system and create a state income tax.  If we don't the only options will be to drastically cut public services or raise taxes and make our present system even more regressive.  If we truly want a world class education system in Washington State we're going to have to find a better way to pay for it.