Ferguson presents plan for $7 billion in budget cuts

Governor Bob Ferguson has announced $7 billion in budget cuts that will reduce state payrolls, institute furlough days and other spending moves to address the state’s $15 billion budget shortfall.

“I believe we can build a more sustainable future for Washingtonians, one that is both fiscally responsible and remains true to our values,” Ferguson said.

Ferguson announced the cuts February 27. He said $4 billion in cuts his administration has identified comes on top of $3 billion in budget cuts proposed by former Governor Jay Inslee.

Among the reductions, Ferguson said he will require state employees to take one furlough day per month, saving $300 million over the next two years. Troopers patrolling roads and prison and state hospital staff members are exempt.

Ferguson said he also is scaling back one-time federally funded programs. For example, a lease on a warehouse used by the Department of Health during the pandemic will end, saving $4.4 million over four years.

The food bank program, which received $12 million per biennium in 2019, was expanded to $128 million in 2021-23 with one-time federal funding during the pandemic. Since then, the legislature has maintained that support, but Ferguson now proposes reducing its funding to $82 million for the next biennium.

The Washington State Department of Ecology and Washington State Parks will share office space to save $2.4 million over four years.

Ferguson said he will also reduce out-of-state travel by half, in-state travel by 25 percent and spending on equipment by 10 percent. Another $1 billion worth of budget savings were suggested by different agencies, but the governor said he needed more time to review before recommending them to the legislature.

“These [budget cut proposals] are not, of course, final decisions,” Ferguson said. “These are proposals we were making to the legislature for their consideration. We will, of course, be working with both parties in the next few months.”

Ultimately, the legislature will debate all the spending proposals, and it is safe to say not all will be in agreement with Ferguson’s cuts.

While Senator Chris Gildon (R-Puyallup) applauded Ferguson for delivering these proposals a month in advance, he has concerns.

“The proposal for state-employee furloughs are concerning,” Gildon said. “This plan sends a message to taxpayers: public servants will receive higher pay using $4 billion more of your tax dollars, and in return, you will receive 12 fewer days of service from them each year for two years. I doubt the people of our state will see this as a fair deal.”

And Democrats have said they are not in favor of cuts to programs residents depend on, and have favored adding additional revenues through taxes and fees to balance the budget.

Senator June Robinson (D-Everett) welcomed the proposals but emphasized that these cuts alone won’t create a sustainable system for Washingtonians, given the nature of federal funding.

“We appreciate the work the governor and state agencies have done to reach this point,” Robinson said. “Like them, we recognize that budget reductions are necessary and will carefully consider all the options that have been identified.”

Despite uncertainty over federal government funding, Ferguson said he is keeping his promise not to cut funding for K-12 public schools, public safety, homeless and housing assistance and Medicaid.

Additionally, Ferguson said that he will maintain funding for the collective bargaining agreements and Temporary Assistance for Needy Families program.

A new revenue forecast is due in March, Ferguson said, and will give a better idea of just how big the deficit is and how deeply the government must cut.

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