OLYMPIA, WA – Governor Bob Ferguson has introduced a plan to save approximately $4 billion in response to what he describes as a historic $15 billion budget shortfall. His proposals aim to maintain investments in education, public safety, housing assistance, and Medicaid while identifying cost-saving measures across state agencies.
“Our state faces a historic budget shortfall,” Ferguson said. “This challenge demands thoughtful leadership and a commitment to fiscal responsibility. My team and I have scoured state spending for savings and efficiencies. We must prioritize while protecting the core needs of Washingtonians.”
Ferguson’s approach includes reducing government spending through efficiency improvements, reconsidering unimplemented spending plans, and scaling back some recent budgetary commitments. Among the proposed cost-saving measures is a furlough program requiring most state employees to take one unpaid day off per month for two years, a move projected to save $300 million. He also suggests consolidating state office spaces, eliminating unnecessary leases, and reducing travel expenses for state employees. Additionally, Ferguson proposes modifying previously expanded spending, such as gradually increasing childcare provider rate hikes instead of implementing them all at once.
In response, Sen. Chris Gildon, R-Puyallup, the Republican budget leader in the Senate, welcomed the governor’s savings proposals while expressing concerns about some aspects of the plan.
“The governor has vowed to come up with spending reductions, and I appreciate that he has delivered these savings ideas less than halfway into our session,” Gildon said. “Notably, this is a full month sooner than the former governor managed when he first took office.”
Gildon noted that while Ferguson estimates the budget gap at $15 billion, non-partisan Senate budget analysts place the figure closer to $6.7 billion when considering the cost of maintaining current government services. He pointed to the $4 billion allocation for state-worker pay raises as a key distinction in budget priorities.
“Some of the cost-saving ideas, particularly 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.”
Despite these concerns, Gildon indicated that Republicans would likely incorporate several of Ferguson’s cost-saving ideas into their own budget discussions while exploring additional areas for potential reductions.
“Overall, if Republicans were to write a new operating budget, we would likely incorporate many of the governor’s cost-savings suggestions,” he said. “However, we believe there are additional opportunities beyond what he offered today, and we would be glad to share those with the governor as we identify them.”
As budget negotiations continue, both parties acknowledge the need to avoid new tax increases where possible, with Ferguson and Republican lawmakers emphasizing fiscal responsibility in addressing the state’s financial challenges.
