Washington State March Revenue Forecast

Washington State March Revenue Forecast

The Washington State Revenue Forecast Council presented their March Revenue Forecast this morning.  This latest revenue forecast is quite positive!  Expected revenue for the next four years is expected to increase by $3.3 billion with $1.34 billion this biennium and $1.95 billion in the next.  Much of this increase comes from stronger than expected retail sales as well as strong residential real estate transactions.  This increased revenue returns the state to where it expected to be before the pandemic hit.  For this biennium alone, increased revenues combined with reserves, brings the state to a net surplus of nearly $3 billion.

This increased revenue comes at the same time the state is set to receive nearly $4.3 billion in federal relief.  Because of the higher than expected revenues and the federal relief funds, the legislature’s budget proposals are now expected to be released sometime next week.  The legislature is currently weighing their options on how to spend much of what will be one time money on various state program needs. 

With the higher than expected revenue and federal relief funds, we are continuing to push the legislature to close the gap in underfunding and make significant investments in Medicaid long-term care providers’ rates.  We continue to meet with key legislators to discuss different options and spending levels for increasing Medicaid funding, as well as, one time spending on infection control improvements and perhaps even HVAC replacement.  Over the next few weeks, as the budgets are released, we will seek your help to secure these Medicaid rate improvements, as well as, spending of federal relief funding on long term care COVID related matters.

 

Questions?

Contact:

David Carter | Director, Health Care Finance & Policy

C 360.888.5702

PrintArchiveLibrary

March 17, 2021