WAWG
By Diana Carlen
Lobbyist, Washington Association of Wheat Growers
Washington state legislators are gearing up for the upcoming legislative session, which will begin on Jan. 8, 2024, but prior to that, they will be hosting their annual Assembly Days in Olympia. This is an opportunity for legislative committees to hold work sessions and for legislators to outline priorities for the 2024 Legislative Session.
Cap and trade revenues keep going up
Washington state has brought in over $1.4 billion in revenues from their carbon auctions this year. At this pace, the state is expected to bring in a billion more than anticipated by next year. How to spend the increased revenue will be part of the discussions during the upcoming legislative session.
Washington state has also been fluctuating as either the highest or second highest fuel prices in the nation. Instead of recognizing the impacts of the Climate Commitment Act (CCA) on increased fuel prices, Gov. Jay Inslee and legislators who supported passage of the CCA have blamed the petroleum industry for price gouging.
Gov. Inslee has stated that he will be proposing legislation next year modeled after legislation recently passed in California. Specifically, the legislation would require oil companies throughout the entire supply chain to open their books and be transparent about their profits. The proposed legislation would also establish penalties if it was shown that price gouging was indeed occurring.
State wants to link with other carbon markets
Washington State Director of Ecology (Ecology), Laura Watson, recently announced that the state will pursue linking Washington state’s carbon market to the carbon markets in California and Quebec. In announcing this decision, Ecology released a preliminary analysis report on Oct. 12 for cap and trade linkage criteria. The reason for linking the carbon markets is the hope that it will drive the price down to purchase credits and in turn, help lower fuel prices heading into an election year.
Ecology sued over exempt fuel issue
Back in June, the Washington Farm Bureau (WFB) and the Washington Trucking Association (WTA) filed a Petition for Rulemaking with Ecology requesting that Ecology initiate the rulemaking process to ensure the guaranteed exemption for agriculture under the Climate Commitment Act is facilitated and develop a mechanism by which those who have been unlawfully charged are reimbursed.
On Aug. 11, Ecology denied the petition. In September, the WFB and WTA filed a lawsuit in Thurston County challenging the denial of the Petition for Rulemaking. The lawsuit seeks to have the court compel Ecology to engage in rulemaking that is compliant with the CCA.
Signatures being collected on six ballot measures
A conservative political donor is currently funding signature gatherers to qualify six ballot measures in Washington state, including measures that would repeal the state’s cap-and-trade program and the capital gains tax; a measure to prohibit state, counties, cities, and other local jurisdictions from imposing or collecting income taxes; and a measure that would allow employees to opt out of the state’s long term care insurance program.
Proponents of the ballot measures must gather around 400,000 signatures for each initiative from registered voters by the end of the year. If successful, all six initiatives would be submitted to the Democrat-controlled legislature in January.
Minimum wage to increase
The Washington State Department of Labor & Industries (L&I) announced the increase in the minimum wage to $16.28 an hour. The raise takes effect Jan. 1, 2024. The federal minimum wage remains set at $7.25 an hour.
L&I also calculates new minimum salary thresholds for overtime exempt employees. This change impacts how much executive, administrative, and professional workers plus computer professionals and outside salespeople must earn in salary to be exempt from the requirement to pay workers’ overtime. The 2024 threshold for employers is two times the minimum wage. That means an exempt employee will have to earn at least $1,302.40 a week ($67,724.80 a year).