Former Washington Attorney General Rob McKenna isn’t buying Olympia’s latest rebrand. Calling the so-called “millionaire tax” a “gimmick” and a “marketing ploy,” McKenna boiled it down to what it actually is: a state income tax — something Washington voters have rejected nine times since the 1930s.

That’s not a typo. Nine.

Now Democrats are back for attempt number ten, this time dressed up as a 9.9% tax on income over $1 million starting in 2028. Just a tiny, harmless tax on the “rich,” they say. Nothing to see here.

McKenna points out the inconvenient constitutional problem. Washington’s constitution treats income as property — and property taxes must be uniform. Multiple state Supreme Court rulings have upheld that interpretation. Income isn’t some abstract concept floating in the ether. It’s your property.

But instead of asking voters (again), Democrats appear content to pass it legislatively and let the courts sort it out later. McKenna predicts exactly what would happen: a swift legal challenge, a Superior Court ruling bound by precedent, and a fast track to the state Supreme Court.

In other words, this isn’t bold policy leadership. It’s a legal gamble with taxpayers’ money.

And here’s the bigger issue: if voters have rejected an income tax nine times — including a constitutional amendment that failed by a whopping 77% — what does it say about lawmakers who keep trying anyway?

If it’s truly just a narrow “millionaire tax,” why not put it before voters and let them decide?

Because deep down, everyone knows this isn’t about millionaires.

It’s about finally cracking the door open on a statewide income tax — and hoping the courts, not the voters, finish the job. Read more at MyNorthwest.com.

Another day, another marathon hearing on Senate Bill 6346 — the 9.9% “millionaire’s tax” that Democrats insist is about fairness, the future, and apparently Sen. Jamie Pedersen’s kids.

The bill would slap a 9.9% tax on income over $1 million starting in 2028, with first payments due in 2029 — assuming the courts don’t intervene first. And they very well might. Just two years ago, lawmakers overwhelmingly approved Initiative 2111 prohibiting state and local income taxes.

Minor detail.

As the hearing opened, Pedersen leaned into the emotional appeal, arguing the wealthy should “pay their share.” Meanwhile, Committee Chair Rep. April Berg revealed there were 19,000 duplicate sign-ins and 200 fraudulent entries on the bill’s comment page — suggesting “manipulation.”

Even after cleaning that up, more than 100,000 unique individuals signed in with concerns.

That’s not astroturf. That’s a tidal wave.

But instead of engaging, Berg barred lawmakers from questioning testifiers. So much for transparency.

Union leaders, color-coordinated and ready, declared the tax code “broken.” Business leaders warned the tax would hit employers — especially owners who show a big year on paper but need capital to reinvest. And this comes after last year’s B&O hikes, surcharges, and expanded service taxes.

Translation: the cost pile keeps growing.

Supporters like Excel designer Jabe Blumenthal argued that voluntary donations from the wealthy aren’t serious policy — bake sales won’t fund government. Fair point. But neither will ignoring constitutional landmines and voter history.

Opponents, including Adrien Jones, made the simpler case: maybe the problem isn’t revenue — maybe it’s spending.

And then there was Tim Eyman, accusing Pedersen of trying to influence Supreme Court justices — a claim Pedersen flatly denied. The chair muted Eyman’s mic, because nothing says “confidence” like cutting off critics mid-sentence.

Now the bill heads to executive session, where Democrats will decide whether to send it to the House floor.

Here’s the real question: if voters banned income taxes, if courts have historically ruled income is property, and if six figures worth of Washingtonians are signing in opposition…

Why is Olympia still trying to jam it through?

Because this isn’t about millionaires.

It’s about breaking the seal. Read more at Center Square.

Some of the state’s most prominent business voices — including the Washington Roundtable, Association of Washington Business, Bellevue Chamber, Seattle Metro Chamber, and Greater Spokane Inc. — are waving a caution flag at Democrats’ latest budget maneuver.

Why? Because the House and Senate supplemental budgets balloon spending to roughly $80 billion — about $8 billion more than the last biennium — while plugging a multi-billion-dollar deficit by raiding the Rainy Day Fund and crossing their fingers on a brand-new income tax.

Yes, that income tax.

The one voters have rejected 10 times.

Democrats and Gov. Bob Ferguson insist it will “only” hit millionaires. Critics note that a simple majority in a future session could lower that threshold. Minor detail.

Meanwhile, total state spending has doubled since 2015. Last year’s eye-popping deficit — pegged by Democrats at $16 billion — was patched with cuts and the largest tax hike in state history. And yet, somehow, here we are again staring at another shortfall, now around $2.3 billion.

The chambers’ joint statement is unusually blunt: both budgets continue the pattern of spending more than the state takes in, lean heavily on one-time funds, and assume income tax revenues that won’t even start flowing until 2029 — if the courts allow it.

That’s right. The whole four-year “balanced” outlook depends on a legally questionable tax that could be injuncted before a dime is collected.

Even under the rosiest assumptions, the ending fund balance would sit under $1 billion — hardly a cushion for economic downturns, collective bargaining costs, or, say, reality.

Sen. June Robinson calls this “maintenance-level” spending. Republicans call it a “spending addiction.” The business community is diplomatically suggesting lawmakers align spending with realistic revenue growth.

Translation: maybe stop assuming an income tax fairy will save the day.

At some point, when spending has doubled in a decade and deficits keep reappearing right after record tax hikes, the problem isn’t revenue.

It’s discipline. Read more at Center Square.

Seattle’s new City Budget Office Director, Aly Pennucci, says “all options are on the table” as the city stares down a deficit of $125–$140 million next year — potentially ballooning past $300 million by 2029.

That’s not a rounding error. That’s a pattern.

Pennucci, freshly confirmed after serving in an interim role under Mayor Katie Wilson, cautioned that budget numbers are a “moving target.” Fair enough. But what’s not moving is the city’s habit of spending first and scrambling later.

In written remarks, Pennucci promised a “clear-eyed multi-year process” that includes both “cost savings and progressive revenue.” In Seattle-speak, “progressive revenue” usually means new or higher taxes.

And Mayor Wilson has already floated ideas:
– A 2% city capital gains tax to fund more homelessness spending.
– A vacancy tax on office building owners.

There’s just one awkward detail. Downtown Seattle’s office vacancy rate is hovering between 34.7% and 35.6%, according to Cushman & Wakefield — among the highest in any major U.S. city. So naturally, the solution might be… taxing empty buildings more.

Meanwhile, the outgoing mayor’s $8.9 billion 2026 budget relied on one-time fixes, including redirecting $277 million from the payroll tax (originally sold for housing and climate programs) into the general fund to cover core services.

In other words: shuffle the money, plug the hole, promise sustainability later.

Now the city is back facing another shortfall, with leadership warning that some community needs may have to wait while they “reach a longer-term solution.”

Seattle residents and businesses might reasonably ask: after record spending, redirected taxes, and years of “progressive revenue,” why does the math never work?

At $242,354 a year, the new budget director’s job is to solve a structural deficit. The real question is whether City Hall will finally tackle structural spending — or just reach for another structural tax. Read more at Center Square.

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