2023 AWB Legislative Review | Page 7

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Session Yields Decidedly Mixed Results

Dave Mastin AWB Vice President , Government Affairs
On the positive side , the employer community was able to work with legislators to bring some important issues to the 50-yard-line and find solutions . On the other hand , it was an extremely difficult year in employment law , and we see continued challenges ahead .
Housing is a great example of an issue that brought people together , but it ’ s not the only one . In this “ year of housing ,” lawmakers passed no less than nine bills to increase Washington ’ s housing supply , including legislation to speed up permitting of new development , condominium reform to encourage construction of condos and townhomes , and legislation to increase “ missing middle ” housing such as duplexes , triplexes , fourplexes , townhomes and cottage housing .
Did we get everything we wanted ? No . But did we make solid progress addressing the state ’ s housing shortage ? Absolutely .
Another great example is sustainable aviation fuel . Lawmakers overwhelmingly passed a bill aimed at boosting production of SAF here in Washington , and it ’ s already paying dividends . In July , a Silicon Valley-based startup broke ground in Moses Lake on a plant that will produce SAF on the site of a former beet sugar plant , and a Dutch company is moving forward with plans for a plant in Washington that will eventually produce 30 million gallons of SAF per year .
We also saw meaningful movement on energy facility siting , an issue that ’ s only going to become more important in the coming years as the switch to electric cars accelerates . However , there remains much more work to be done in this area . And it ’ s important to note that at the same time lawmakers are working on ways to make it easier to expand energy production , some are also pursuing efforts to eliminate natural gas and remove hydro-electricity-producing dams on the Snake River .
Despite the successes we saw on housing and other issues , there ’ s no denying the 2023 session saw some major disappointments as well . A big one was on the issue of taxes and the budget .
A year ago , when they had a $ 15 billion surplus , lawmakers spent everything without providing any significant tax relief . Coming off that spending spree , the Legislature still had the ability this year to pass some strategic , targeted tax reductions to spur economic growth , but chose not to . In fact , many legislators spent the entire session talking about ways they could raise taxes , including raising the real estate excise tax and lifting the voter-approved cap on property tax increases . In the end , those two proposals didn ’ t pass but look for them to return next year .
Employment law is another area where we encountered major challenges . We saw a host of new policies that will increase cost , reduce opportunities for economic growth and create uncertainty for the employer community . This includes overturning an initiative passed by voters 20 years ago prohibiting the state Department of Labor & Industries from adopting rules related to ergonomics , something the department could already regulate without creating costly new rules .
At a time when employers are facing multiple challenges , including high inflation and ongoing workforce shortages , lawmakers can help by providing stable , consistent policies .
Going into the 2024 session , it ’ s my hope that the Legislature will build upon the pragmatic , solutionsoriented successes we saw this year on issues like housing , and that it wasn ’ t a one-off experience . At the same time , I ’ m concerned that the mindset where taxes are the solution to every problem continues to grow stronger . special edition 2023 7