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Washington state Legislature

WA Legislature adjourns; AWB's statement on 2024 legislative session

Avoiding the worst: The Legislature adjourned "sine die" on Thursday after a 60-day session. Some of the most adverse proposals failed to pass, but we are disappointed in the amount of time lawmakers spent debating ways to increase taxes and regulations on employers. See AWB's full statement on the 2024 session.

  • Notably, a bill to extend unemployment insurance benefits to striking workers -- which the unemployment insurance system was never designed to do and would have raised UI costs for all WA employers --  failed. AWB members played a key role in sharing employers' perspectives with lawmakers.
  • For the second year in a row, proposals to enact statewide rent control, raise the annual property tax cap, and increase real estate taxes (120 members signed a letter in opposition) failed. We encourage lawmakers to look for ways to increase the number of homes rather than add new housing costs and regulations.

New regulations: Unfortunately, legislation that will create additional hurdles for employers did cross the finish line, including bills that will restrict the ways in which employers can communicate with their employees, restrict non-competition agreements, and require additional data collection by employers for H-2A workers.

Positive steps: Lawmakers approved interstate compacts for social workers, teachers and physician assistants that will help address workforce shortages. They also extended tax incentives for semiconductor manufacturing and voted for a new task force on artificial intelligence -- a group that will study how to address AI with appropriate protections while also nurturing innovation.

Read more: The Washington State Standard has five key takeaways from the 2024 session.

Washington state Senate chambers

What's in the trio of budgets enacted by the Legislature

Spending growth: The Legislature approved a $71.9 billion supplemental operating budget on the last day of the session. The plan will spend another $2.1 billion through June 2025, a 3% increase from the $69.8 billion biennial budget enacted last spring.

  • The budget is nearly 16% higher than Washington’s total spending from the 2021-2023 and more than double the size of the budget from just 10 years ago. "It’s our hope that lawmakers will slow the growth in spending and put more into reserves to better prepare for a potential downturn in the economy," AWB President Kris Johnson said.
  • Under the budget, reserves will drop to $2.6 billion over the next four years. The budget also drains the reserve fund the Legislature created during the pandemic.

Capital funding: The final capital budget passed unanimously, adding $1.3 billion in new spending for construction projects, including:

  • $127.5 million for the state's Housing Trust Fund
  • $105 million for community electric vehicle charging
  • $87 million for behavioral health community capacity grants
  • $68 million for career and technical education projects
  • $25 million for Energy Northwest to develop next-generation nuclear reactors

Looming transportation deficit: Lawmakers passed a supplemental transportation budget totaling $14.6 billion. The final plan keeps major projects on track, but shows the state will have a nearly $1 billion budget deficit in the next biennium. Budget highlights include:

  • $100 million for pavement preservation for the rest of the biennium, and $80 million in each of the next two biennia
  • Funding for major road projects, including Highway 167/SR 509 Puget Sound Gateway, I-405, and Highway 520 improvements
  • Ferry support, including funding for crew increases and new boat construction

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AWB to recap 2024 legislative session in webinar on Tuesday

Concise wrap-up: A lot happened over the 60-day day legislative session. Join AWB's government affairs team at 10 a.m. Tuesday via Zoom as they discuss the most important bills in the 2024 session and what they mean for your business.

  • Learn about the bills that passed, those that didn't, and issues to watch throughout the year and in the 2025 session

Member exclusive: AWB's 2024 Legislative Review webinar, presented by Alaska Airlines, is free of charge and available exclusively to AWB members. Register now.

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National Civics Bee qualifying rounds kick off Wednesday

Civics savvy: Middle school students across state will test their civics knowledge this spring in the 2024 National Civics Bee. It starts Wednesday with the first of five qualifying contests, hosted by the Tacoma-Pierce Chamber of Commerce.

  • Students will compete in a live quiz about American governance and the Constitution. The event will be held from 10:30 a.m. to 12:30 pm. at Pierce College Puyallup, in the Arts and Allied Health theater. Anyone is welcome to attend.

More competitors: Washington state's competition has expanded to include five chamber partners this year, bringing in more students across the state. Chambers in Ellensburg, Port Orchard, Vancouver and Walla Walla will host their contests later in March and April. Click here for a full schedule.  

  • The three top scorers from each qualifying competition will win cash prizes and advance to the National Civics Bee Washington State Finals on June 29 in Olympia.

Civic health: The National Civics Bee, now in its second year in Washington, aims to boost civic engagement among young people. Americans’ civic knowledge has been declining, with less than half able to name the three branches of government in a 2022 survey.

Graphic showing the years of AWB's third decade in operation

AWB 120 looks at Depression-era employer milestones

Tumultuous time: The third decade of AWB's existence coincided with the start of the worst economic downturn in history. Still, the decade saw the formation of major Washington firms and an expansion of AWB's employer advocacy, as well as a national perspective on the growing Great Depression:

  • "The further you get from Wall Street the less you hear depressive talk... If we could stifle Wall Street's stock reports it will do more to kill off depression than any other one thing."

Legislative scope expands: A legislative bureau founded by the Federated Industries of Washington (an early iteration of AWB) expands to include loggers, bankers and manufacturers, providing information and analysis on bills and legislative activity.

  • Dome is built: In 1928, the Washington State Legislative Building was completed. At 287 feet, it became the world's fourth tallest masonry dome at the time. It cost the state $7 million ($128 million in today's dollars).

Alaska's origins: Alaska Airlines began in 1932 when two different companies started flying in Anchorage: McGee Airways and Star Air Service. The airlines merged and underwent several other consolidations before the company was renamed Alaska Airlines in 1944.

Graphic for AWB's 2024 Spring Meeting

AWB's 2024 Spring Meeting to look ahead to fall elections

Consequential year: Early bird pricing is available through March 31 for AWB's annual Spring Meeting, scheduled for May 8 in Vancouver, Washington. Join us to learn about legislation relevant to employers, look ahead to the critical fall elections, and network with fellow business leaders in this growing waterfront city.

  • "We are going to be discussing the most important elections cycle that will occur in the last decade. All the content will be condensed into one day. Don't miss this opportunity to hear insider information from the experts," said Ron Arp, president of the business leaders group Identity Clark County.

What to expect: The meeting, open to all employers and professionals, is a unique opportunity to:

  • Hear timely, relevant keynote addresses on the state of politics and the economy
  • Find out what the recently concluded legislative session means for your business
  • Build a strong professional network

Three weeks to secure best price: Register now before ticket prices increase on April 1. Pre-sale tickets for AWB members are available for $369. We'll be announcing keynote speakers and panelists in future editions of Fast Facts.

Sponsorship opportunities: Contact Carly Michael to become a sponsor and enjoy complimentary ticket(s).

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 OTHER NEWS

More legislative leaders plan departures

State Sen. Lynda Wilson, R-Vancouver, and Sen. Karen Keiser, D-Des Moines, are the latest legislative leaders to announce they won't seek re-election this fall. Since 2021, Wilson has been the Republican leader on the Senate Ways & Means Committee, the Senate's budget-writing committee. She was first elected to the Legislature in 2014.

Keiser has served in the Legislature since 2005 and is the current chair of the Senate Labor & Commerce Committee. Since 2018, she has been President Pro Tempore, presiding over the Senate when the lieutenant governor is unavailable.

New cosmetic regulations go into effect in January 2025

The Toxic-Free Cosmetics Act, which restricts the manufacture, distribution, and sale of cosmetic products that contain one or more of nine chemicals or classes of chemicals, will take effect on Jan. 1, 2025. The Legislature passed the law in 2023.

The state Department of Ecology is seeking feedback on the technical assistance program and the rulemaking process. Ecology is developing technical assistance to help small cosmetics manufacturers determine if their products contain any of the nine chemicals and chemical classes in the law, and to support efforts to use safer ingredients and reformulate products. Learn more about the support program.

Subscribe to this email list for updates.

Nomination deadline is Friday for AWB's Board of Directors

Nominations are due Friday for AWB's Board of Directors. As a member-driven association, AWB's robust board is an important source of strength. We are seeking nominations of diverse business leaders from across the state, and from employers of all sizes, to serve on the AWB Board.

Send nominee names and contact information to Bonnie Millikan.

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 AWB EVENTS & RESOURCES

Graphic for AWB's employment law webinar series

Next up: What employers need to know about wage and hours laws

Strategies for success: AWB's HR & Employment Webinar Series continues on April 6 with a session on wage and hours laws. The 90-minute course will cover legislative updates, strategies for compliance, and risk mitigation techniques.

Comprehensive series: The full series is ideal for CEOs, HR managers, payroll personnel, and other department managers. You can watch all of them with on-demand access, which includes all six webinar recordings, instructor slides, and a wrap-up package that will include all webinar materials, extra information, and sample documents.

Get credit: Upon request, in-person attendees can obtain continuing education credits through SHRM or HRCI.

Learn more and register here.

Awards presentation

Employer excellence nominations open; two new awards added to honor diversity and workplace safety

Nominate a business: Nominations are now open for AWB's 2024 Washington Excellence Awards and Manufacturing Excellence Awards. The awards recognize achievements across a range of categories from innovation and environmental practices to supporting veterans in the workplace.

  • Winners will be announced at the Evening of Excellence awards gala in November. Check out highlights from the 2023 awards event.

New award categories: The 2024 awards include 11 categories, including eight open to all employers and three recognizing excellence in manufacturing. We've added two new awards, including:

  • Diversity Award: Honors a Washington state business prioritizing diversity through minority business leadership, employee recruitment, retention, and/or community engagement.
  • Workplace Safety Award: Honors an exceptional business for unwavering commitment to safety, seen through effective protocols, employee training, and proactive hazard prevention.

Employers are also encouraged to submit self-nominations. See a description of all the award categories here.

Get on the bus tour: AWB will feature the Manufacturing Excellence Award finalists on the 2024 Manufacturing Week Bus Tour. Nominating your own business (or a business you know) is one of the best ways to get featured on the tour.

Click here for the nomination form.

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AWB HealthChoice now available to companies in Clark County

New health benefit option: Clark County businesses and their employees and families now have access to high-quality, affordable health benefits through AWB HealthChoice. LifeWise Health Plan of Washington has teamed up with HealthChoice to provide coverage to Clark County companies.

Statewide coverage: Up until now, AWB HealthChoice plans were not available in Clark County. But now, coverage is truly statewide with LifeWise Health Plan of Washington.

Who can participate: Plans are available for companies with two or more employees in the following industries: manufacturing, agriculture, communications, construction, hospitality, professional services, transportation, technology and retail/wholesale. Coverage is available for a March 1, 2024 effective date.

Get your free quote: For more information and a quote, please contact your insurance producer or Helen Siggins at ProPoint: helens@propointservices.com.

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 POST OF THE WEEK

Post of the week

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 THEY SAID IT

"After making significant progress last year to address the state’s housing crisis, these measures would have taken us backward by making housing more expensive at a time when we need to make it more affordable.” ~ AWB President Kris Johnson, as quoted in the States Newsroom story, Tax on expensive real estate sales in Washington is not happening.
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