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Employers share perspective at annual Legislative Day & Hill Climb
State Rep. Greg Nance, D-Bainbridge Island, talks with AWB members about transportation issues during the 2025 AWB Legislative Day & Hill Climb.
Successful event: Thank you to the many who braved the snow to attend AWB’s 2025 Legislative Day & Hill Climb last week. It was a productive day meeting with legislators and hearing from the state’s top leaders on key issues.
New governor’s remarks: Gov. Bob Ferguson spoke with AWB members during lunch at Saint Martin’s University, building on themes from his inaugural address. He called for the state to budget within its means and avoid revenue assumptions that contributed to the state’s billion-dollar shortfall. Watch the full address.
“I’m determined as governor to make sure we learn from mistakes that we made as a state in making decisions on how we budgeted,” Ferguson said.
New Commerce leader: In a Q&A with AWB President Kris Johnson, new Washington State Director of Commerce Joe Nguyễn said he wants to take a “customer-centric” approach to serving businesses. Watch the discussion.
“My job is economic development for Washington state,” Nguyễn said. “How do we provide a framework to help inspire our colleagues in the Legislature to make decisions that actually drive business here?”
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Super Bowl ads encourage Washingtonians to learn about the state budget
Super Bowl ads: During the Super Bowl on Sunday, the Budget Breakdown campaign explored the state’s budget shortfall with the help of 10-year-olds on the playground.
Having fun with a serious issue: The nonpartisan educational campaign aims to educate the public about the budget shortfall using the state’s own data.
“We simply wanted to show that the budget challenge in Olympia maybe isn’t that complicated, and hopefully in a way that’s memorable even after a few beers,” said Paul Graves, president of Enterprise Washington.
Learn more: Visit www.budgetbreakdown.org.
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Tell lawmakers to reject measures that would increase the minimum wage, property tax revenue
Public hearings are scheduled this week on bills that would raise costs on employers and Washingtonians. Add your voice to the debate by telling state lawmakers to reject these proposals.
Minimum wage increase: House Bill 1764/Senate Bill 5578 would raise the state’s minimum wage to $25 per hour by 2031 and also mandate paid vacation and bereavement time.
- Unexpected impacts: A higher minimum wage would also raise the salary threshold for overtime-exempt employees, requiring many more employers to start paying overtime.
- Act now: Click here to sign in to note your position on HB 1764. Click here to sign in to note your position on HB 5578. Complete the forms and submit by 9:30 a.m. Tuesday.
Property tax revenue growth: House Bill 1334 would eliminate a voter-imposed 1% cap on annual property growth and replace it with a 3% limit, increasing the cost of homeownership and making housing more expensive.
- Act now: Click here to sign in to note your position on HB 1334. Complete the sign-in form and submit by 7 a.m. Tuesday.
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Survey data shows WA employer views on economy, tariffs
Data from AWB’s latest quarterly employer survey is now available. The report provides a snapshot on how 400+ employers view the economy, their businesses, public policy priorities, and more.
Slightly more optimistic: Just over half of respondents anticipate growth in their businesses in the next six months, a more hopeful outlook compared to six months ago.
Taxes, regulations weigh heavy: The same with previous surveys, employers overwhelmingly rank overall tax burden, government regulations and inflation as their top challenges.
Tariff worries: A new question asked manufacturing and agricultural respondents about tariffs, as the Trump administration announced new tariffs this month on imports from Canada, Mexico and China.
- 54% said they were concerned that tariffs and retaliatory tariffs would negatively impact their business.
Go deeper: View the full report.
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Redbook data shows Washington’s economic strengths and weaknesses
The 2025 Competitiveness Redbook is available now. The Redbook offers a data-driven look at Washington’s economy, showing how we compare to other states on 60 economic indicators.
📈 Economic growth: Washington ranked second in GDP growth nationwide. And the data shows Washington remains a trade-driven state with the third-highest rate of exports per capita.
💡Energy: Washington continues to have the cheapest electricity for residential customers in the nation, thanks to hydroelectric power.
- Washington’s industrial customers have the fifth-most affordable electricity in the nation, down from the No. 1 spot last year as our costs go up and energy prices decline elsewhere.
💲High business costs: Washington employers continue to pay nearly half of all state and local taxes. The state also has:
- The highest minimum wage in the nation, the second-highest unemployment benefits paid, and a workers’ compensation system that pays the most benefits per covered worker.
Get a copy: To order copies of the 2025 Competitiveness Redbook, contact AWB’s Jason Hagey at JasonH@awb.org. View an online version here.
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UW, WSU to welcome new leaders
The University of Washington and Washington State University have named new presidents of their schools, with both appointments representing historic milestones.
Robert. J. Jones was named the 34th president of UW last Monday. Jones is concluding a nine-year term as Chancellor of the University of Illinois Urbana-Champaign and will become the first African American to serve as UW President.
“His inspiring and barrier-breaking personal journey, highly regarded scholarship and decades of transformative leadership convinced us that Chancellor Jones is the ideal person to build upon President Ana Mari Cauce’s legacy,” said UW Board Chair Blaine Tamaki.
Elizabeth Cantwell was appointed WSU’s 12th president on Thursday. Cantwell currently serves as president of Utah State University and will succeed retiring WSU President Kirk Schulz. When she assumes the role on April 1, she will become WSU’s first female president.
“Her experience in leading university systems and national research labs, combined with her tenacity and leadership will be invaluable as we navigate the complexities of the modern higher education landscape,” said WSU board chair Lisa Keohokalole Schauer.
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You’re invited: meet the new Department of Ecology director
Meet-and-greet: All AWB members are invited to meet with Casey Sixkiller, the new director of the Washington State Department of Ecology, at noon Wednesday, Feb. 19 at the AWB offices, 1414 Cherry St. SE in Olympia.
About the new director: Sixkiller previously served as the administrator for EPA Region 10, which covers Alaska, Idaho, Oregon and Washington. Gov. Bob Ferguson appointed him to lead the Department of Ecology.
RSVP: There will be an opportunity to talk with Sixkiller and ask questions. Lunch will be served. Please RSVP to AWB’s Nick Johnson at nickj@awb.org.
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EMPLOYMENT LAW
Lindsey Hueer, AWB’s lead on employment law issues, is monitoring this bill and others:
- Minimum wage increase: Senate Bill 5578 and House Bill 1764 sponsored by Sen. Rebecca Saldaña, D-Seattle, and Rep. Sharlett Mena, D-Tacoma, would raise the state’s minimum wage to $25 an hour by 2031. The bills would also mandate employers provide paid vacation and bereavement time. The bill would require a full-time employee to receive at least three weeks of paid vacation a year, with employees eligible to take vacation after 90 days of employment. A higher minimum would also raise the salary threshold for overtime-exempt employees, requiring many more employers to start paying overtime. This legislation would add significant strain on Washington employers who already pay the nation’s highest minimum wage and other costs. AWB asks members to sign in ‘con’ before the hearings at 10:30 a.m. Tuesday in their respective committees. Click here to sign in to the hearing on SB 5578; click here to sign in to the hearing on HB 1764. (Note: The bills are identical.)
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TAX & FISCAL POLICY
Max Martin, AWB’s tax and fiscal policy director, is tracking this proposal and others:
- Property tax revenue growth: A proposal to triple how much local governments can increase property tax revenue annually has returned this session. Sponsored by Rep. Gerry Pollet, D-Seattle, House Bill 1334 would eliminate a voter-imposed 1% cap on annual property tax growth and replace it with a 3% limit. AWB opposes this bill since it would increase homeownership costs and make housing more expensive. This is not the time to impose additional burdens on taxpayers. Washington state has a spending problem, not a revenue problem. To show your opposition to this bill, sign in ‘con’ before the hearing at 8 a.m. Tuesday in the House Finance Committee.
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EDUCATION & WORKFORCE
Emily Wittman, AWB’s workforce and education lead, is tracking these proposals:
- Registered apprenticeships: House Bill 1777, sponsored by Rep. Suzanne Schmidt, R-Spokane Valley, expedites consideration of apprenticeship programs already approved by the federal government, significantly expanding access to apprenticeship for all employers in Washington. AWB will testify in support at a hearing at 1:30 p.m. Tuesday in the House Postsecondary Education & Workforce Committee. To show your support for this bill, sign in ‘pro’ before the hearing.
- Career opportunities for students: Students engaged in career and technical education programs face barriers to employment due to their age. House Bills 1414 and 1722, both sponsored by Rep. April Connors, R-Kennewick, would allow students to receive their credentials and begin their careers before their 18th birthday. AWB encourages members to show support for both bills this week. HB 1414: Sign in ‘pro’ for the hearing at 4 p.m. Tuesday. HB 1722: Sign in ‘pro’ before the hearing at 8 a.m. Wednesday in the House Labor & Workplace Standards Committee.
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HEALTH CARE
Emily Wittman, AWB’s lead on health care policy, is engaging on this bill and others:
- Health care mergers: A proposal that requires the Attorney General to approve mergers and affiliations between health care entities is back this session. Sponsored by Rep. Jamila Taylor, D-Federal Way, House Bill 1881 aims to preserve access to health care services, but actually regulates consolidation of any provider, including chiropractors, therapists, optometrists, podiatrists, and physical therapists. The bill does not address the cost drivers that influence health care affiliations, including low Medicaid reimbursement rates and increasing cost of operations. If mergers are denied, communities could lose access to all health care services in their region. AWB will testify in opposition during a hearing at 10:30 a.m. Tuesday in the House Civil Rights & Judiciary Committee. To show your opposition to this bill, sign in' ‘con’ during the hearing.
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ENVIRONMENT
Peter Godlewski, AWB’s specialist for energy, environment and water legislation, is covering a number of bills, including:
- Lead-free cookware: AWB supports House Bill 1756, a cleanup bill clarifying a law passed last year to ensure cooking materials are free from lead. The bill is up for a hearing Tuesday in the House Environment and Energy Committee.
- Clean buildings: AWB also supports Senate Bill 5514, which increases the compliance pathways for the clean buildings performance standard. The Senate Environment, Energy & Technology Committee will hold a hearing on the bill Wednesday.
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HOUSING
Morgan Irwin, AWB’s expert on land use and housing policy, is engaging on these proposals:
- Rent control: A proposal to limit rent increases to 7% annually continues to move through the Legislature. House Bill 1217 is scheduled for executive session at 4 p.m. today in the House Appropriations Committee, where it may be voted out of committee. AWB has opposed this proposal from the start and will continue to oppose it.
- Archaeology standards: Senate Bill 5609 would require the state Department of Archaeology and Historic Preservation to develop standards for local governments to follow. AWB opposes this bill because it contains no limitations for drafting model legislation and may impact local building projects. It is scheduled for a hearing at 1:30 p.m. Tuesday in the Senate Environment, Energy & Technology Committee.
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DATA PRIVACY
Morgan Irwin, AWB’s lead on data privacy issues, is monitoring this proposal:
- Consumer data: House Bill 1671, sponsored by Rep. Shelley Kloba, D-Kirkland, would add new consumer rights requirements for personal data. In AWB’s view, this bill is not workable or fixable. The bill’s sponsors did not negotiate with industry and the legislation would essentially end loyalty programs for grocery stores and hotels. It also includes a private right of action, which AWB opposes. The bill is scheduled for executive session at 10:30 a.m. Friday in the House Technology, Economic Development, & Veterans Committee.
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Republican lawmaker urges hearing on bill to use excess CCA funds for road projects
State Rep. Andrew Barkis, R-Olympia, is calling for a public hearing on a bill that would direct Climate Commitment Act revenue toward road projects. House Bill 1324 would allow the restricted funds to be used to address an $11 billion backlog of transportation projects.
“Washington’s roads are in dire need of repair,” Barkis said. “We rank 47th nationally in road quality, face an increasing number of bridges in poor condition, and have a highway system in the early stages of failure.”
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Nomination of Bob Battles to Board of Industrial Appeals moves forward in state Senate
The Senate Labor Committee held a hearing Friday to confirm former AWB government affairs director Bob Battles, who was appointed last fall as business representative on the Board of Industrial Insurance Appeals.
TVW has video of the hearing. After passing out of committee, Battles’ nomination now will go to the full Senate floor.
Battles had also previously served on AWB’s board while working in the private sector as a labor law attorney.
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Advanced manufacturing and aerospace workforce survey open
Manufacturers are invited to give input in a short survey from the AWB Institute and Aerospace Futures Alliance. The survey is a chance to share your thoughts and experiences with workforce development.
Your responses will help guide the direction of career connected programs to meet workforce needs in these industries. The survey closes March 3.
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Nominations sought for AWB's Board of Directors
As a member-driven association, AWB's robust Board of Directors is an important source of strength. Nominations are now open for diverse business leaders from across the state, and from employers of all sizes, to serve on the AWB Board.
The nomination deadline is March 15. Send nominee names and contact information to Bonnie Millikan.
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Advertising opportunities available in Washington Business Magazine
AWB has once again partnered with Overland, Kansas-based Strategic Value Media, a leading nationwide provider of print and digital media solutions to the national, state and local trade and membership associations, to help put together the Spring 2025 edition of Washington Business magazine.
A representative from Strategic Value Media may contact you by email or phone to inquire if you want to advertise in the magazine. Please know this is a legitimate call and that SVM is partnering with AWB to provide you with this resource for advertising your products and services.
To learn more about advertising opportunities, please email info@svmmedia.com.
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Spring Meeting coming up May 13-15 — nominate speakers
Nominate expert voices: As we finalize the agenda for our upcoming Spring Meeting May 13-15 in Vancouver, we’d love your suggestions on a few great speakers to invite to the event. Whether top local voices or nationally known leaders, let us know who you think could help us move the ball forward on key issues like:
- Leveraging AI in business: What’s next in this fast-moving field?
- Mergers, acquisitions and private equity: How to keep main street businesses thriving.
- Cyber Security, innovation, and robotics: An update on aall things technology.
- Economists: General or industry specific.
- Workforce: Apprenticeships, internships, upskilling, on-the-job training programs.
- Global Affairs: The big picture in changing times.
- International security: Impacts on Washington employers
- Trade, tariffs: What do changes mean for our export-driven economy?
- Immigration: The latest updates.
Sponsorships available: Sponsoring this statewide event is a great way to show your support for keeping our state competitive. Contact the AWB Events team to learn more about sponsorship opportunities.
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"We're not in a recession, but we have a significant budget shortfall. There were decisions that were made along the way that helped lead us to the shortfall. I'm determined as governor to make sure we learn from mistakes that we made as a state in making decisions on how we budgeted, assuming certain revenue growth that economic experts said was not going to happen. We shouldn't do that. That doesn't make sense to me.” ~ Gov. Bob Ferguson, speaking to AWB members during AWB’s Legislative Day & Hill Climb last week.
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