Senate budget leader cautious about new state revenue forecast

FOR IMMEDIATE RELEASE
Sept. 25, 2026
MEDIA CONTACT:
Eric Campbell | (360) 786-7503

PUYALLUP… Although the year’s third quarterly revenue forecast makes the state’s budget picture brighter, the budget leader for Senate Republicans says Olympia’s focus should be on following through on calls to save money and avoid new spending.

The forecast, approved today by the state Economic and Revenue Forecast Council, has revenue for the 2025-27 budget cycle at $76.2 billion – up $22 million – and nearly $82.6 billion for the 2027-29 cycle, which represents an increase of $430 million.

Sen. Chris Gildon, R-Puyallup, is a member of the council as Republican leader on the Senate Ways and Means Committee. He noted that despite the positive forecast, Washington’s labor market continues to show signs of weakness between thousands of lost private-sector jobs and an unemployment rate higher than the national average.

Following today’s meeting Gildon offered this assessment:

“Although a positive forecast is always welcome, it’s important to recognize that most of the predicted increase comes with an asterisk – because that’s tied to a tax that wouldn’t be collected until 2029, if it’s still on the books then. I would be more encouraged by an increase that is based on anticipated growth in economic activity, but that’s not the case here.

“This is not a green light to go back to the out-of-control spending that has our state on track for its third budget shortfall in three years. It concerns me that the governor’s budget director explicitly instructed executive-branch agencies to avoid expanding programs and services, due to the predicted shortfall, yet I’m told the Department of Commerce is asking for a billion-dollar increase. That’s not the spending restraint we need, and it helps explain why state government is on such shaky financial footing.

“There’s one more forecast before the Legislature convenes in January. I hope it’s positive. Either way the majority Democrats need to set their spending dreams aside, because the state budget is still like a house of cards. Republicans will be ready with cost-saving reforms and other savings ideas that can keep it from falling down.”