WA State Government Spending
Permalink +Tue, Dec 15, 2009, 3:00 pm // Craig Mayberry
To add a comment, login or register.
• Some correctional institutions to be closed
• School district's levy lid lift to be increased to 30%
• Basic Health Plan to be ended
• General Assistance for the unemployable to be ended
• Prescription drug assistance for 85,00 seniors to be suspended
• Maternity support for 50,000 pregnant mothers to be suspended
• Hospice assistance to be cut
• Financial aid to over 12,000 low income students to be ended
• Levy equalization to be suspended
I was heavily involved in the budgeting process at Intel Corporation for a number of years and I learned a lot about the games that get played in the budgeting process. At Intel we would start with the existing budget and then add spending depending on how much was available. A zero increase in the budget was generally considered a maintenance budget with maybe a slight increase for wages and benefits. Department managers were expected to fight for higher budgets and make strong cases about why they needed more money. As would be expected, they wanted to cut the critical programs Intel could not do without, it was part of the game. My role as a finance manager was to be the check and balance on the system, to test the legitimacy of the requests and balance all of the various departments to see who really needed the money. Budgeting was a very painful process, but generally the process worked.
In watching the state budgeting process there are some critical differences. As can be seen from the Governor's list above, politicians trot out all the key programs they know people will not want cut to make their case for more money. That is to be expected and is what the department managers should do. However, there are two inherent flaws in the system. First, the spending base is not based on the last budgeted number, but a “maintenance budget” which is much higher than the current budget. (I would love to see a politician claim with a straight face they need to increase spending by 17% just to provide the same level of service.) The $2.6 billion shortfall is because the revenue is not living up to a desired 17.2% increase in spending from the 2009-11 budget ($30.1 billion) to the 2011-13 budget ($35.3 billion). The other flaw is the lack of any real checks and balances in the system. My role as financial manager was to play the role of shareholder and push back on spending. In principle, legislators should probably play that check and balance role, but they do not. Voters are too far removed from the process to have enough information to adequately play that role. The budgeting process will never lead to appropriate results for the citizens of this state as long as these two flaws exist.
One way to put some checks and balances into the system, and correct the fatal flaws that currently exist, is to move to a low, medium and high priority budget system. Each department would be categorized as low, medium, or high, and then depending on expected revenue, a budget would be established based on a percentage increase (or decrease) from the prior budget. At current revenue levels spending can increase by 3.7% over the 2007-09 budget even with the December revenue level. This allows a 4% increase for high priority departments, 0% growth for medium priority, and a 15% budget cut for low priority programs. The outlook for 2011-13 is much improved with high priority programs getting a 8.5% increase, medium a 4% increase and low priority a 2% increase. Adjustments can then be made; the money can be taken from one part of the budget and given to another part of the budget. For example, deeper cuts in higher education can be moved to K-12 education, or the cuts in low priority programs can be deeper and the money moved to health care. I have put together an Excel spreadsheet with all of the operating budget departments. You can easily create your own budget by changing the percentages for high, medium, and low programs, change the priority category of the department, or make other specific adjustments. I was hoping to be able to make it available though this blog, but it only allows pictures, so if you want a copy of the spreadsheet email me at ckmayberry@clearwire.net and I would be happy to send it to you.
This approach at least ensures that money is going to critical programs and decisions are more transparent and easier to follow. It also allows the formulas to act as some measure of checks and balances on the system when politicians are not willing to play that role. It is hard to take politicians seriously when they make exorbitant claims of the deep budget cuts to be made to key programs, when in fact no such cuts need to happen. Despite the apparent hype, Washington State revenue and spending has gone up each year, and the trend will likely continue. It would be great for politicians to hand out 10% budget increases every year and never have to make a hard decision, but those days are over. The new reality is that the economy is not going to grow much over the next 3-5 years. Every level of government wants more money, but whenever one level takes more it comes at the expense of another level. For instance, an increase in taxes at the federal level means citizens in Washington have less to spend and therefore will buy fewer goods, leading to a further decline in sales tax revenue. The problem is not the amount of money, but flaws in the process that do not allow the appropriate checks and balances. Fix the flaws and then we can have a more realistic budget conversation.
The picture of the front table of Craig's multi-table spreadsheet. You can email him and he will send you the Excell spreadsheet. See article for what he suggests you might accomplish with it.UPDATE: City of Bham Moonlighting Issue - More Documents
Mon, Jan 30, 2012, 10:58 pm // Riley Sweeney
Riley updates us on the latest facts coming to light about City of Bellingham employee moonlighting2 comments; last on Feb 01, 2012
Compliance, Noncompliance and Invalidity in Whatcom County
Sun, Jan 29, 2012, 10:16 pm // Wendy Harris
The County's rural planning actions have not just failed to comply with the GMA...they have contradicted the goals of the GMA.2 comments; last on Feb 01, 2012
A Worm’s Eye View of our local WorkSource Center
Wed, Jan 25, 2012, 9:42 am // Riley Sweeney
Riley visits the local WorkSource center and interviews the regional director
0 comments
Watch out for basement flooding
Thu, Jan 19, 2012, 9:03 pm // Paul de Armond
Stormwater surge may back up sewers
5 comments; last on Jan 21, 2012
The Political Junkie interviews Kathy Kershner
Thu, Jan 19, 2012, 4:29 pm // Riley Sweeney
Riley discusses the Jail, Jack Louws, and an impartial council with our new Council Chair
1 comments; last on Jan 20, 2012
SOPA - A Step in Destroying Democracy
Thu, Jan 19, 2012, 12:17 am // John Servais
NWCitizen.com went black for Wednesday, Jan 18, 2012, as a protest against proposed legislation, SOPA and PIPA. Here is what was posted.1 comments; last on Jan 19, 2012
Why SOPA is so terrible
Tue, Jan 17, 2012, 6:28 pm // John Servais
On Wednesday, thousands of websites will go dark to show opposition to SOPA. I will be posting a single article explaining who SOPA is so bad.0 comments
Planning Commissioner Mocks Environmental Concern For Coal Terminal
Sat, Jan 14, 2012, 11:06 pm // Wendy Harris
Planning Commissioner Onkels should recuse himself from review of environmental impacts at GPT.2 comments; last on Jan 16, 2012
Jack Petree, Olympia, the Whatcom Council and Obama’s Inner Circle
Wed, Jan 11, 2012, 8:04 am // Riley Sweeney
Latest from the Political Junkie on a variety of subjects
7 comments; last on Jan 15, 2012
Commmunity Governance at its Best
Mon, Jan 09, 2012, 8:27 pm // Tip Johnson
We have a new mayor!
4 comments; last on Jan 10, 2012
Property Rights Protected Under Lake Whatcom Stormwater Proposal
Sun, Jan 08, 2012, 11:02 pm // Wendy Harris
The County's proposed stormwater regulations for Lake Whatcom will increase development without improving water quality2 comments; last on Jan 20, 2012
Riley Rouses Row Over Domestic Violence
Sun, Jan 08, 2012, 1:21 am // John Servais
Issue is County Council member Kathy Kershner and how our social service programs are funded.3 comments; last on Jan 08, 2012
Some thoughts on the Occupy Bellingham issue
Sun, Jan 01, 2012, 12:05 am // John Servais
A third note on Jan 1 about the Herald photos with links. And previous thoughts on the trivia around the militarized evictions.9 comments; last on Jan 10, 2012
Kelli Linville has taken oath as mayor
Fri, Dec 30, 2011, 2:07 pm // John Servais
Kelli assumes office of mayor at midnight Dec 316 comments; last on Jan 02, 2012
Bellingham Herald removes comments
Fri, Dec 30, 2011, 11:59 am // Wendy Harris
Decide for yourself if this blog comment, posted under my own name, should have been flagged and removed from the Bellingham Herald Online Edition.1 comments; last on Dec 30, 2011
Herald Permits Censorship of Pro-Occupy Bellingham Comments
Fri, Dec 30, 2011, 11:14 am // Wendy Harris
Anyone can "flag" a blog posting, resulting in immediate removal of your comment, regardless of merit. This is occuring for comments supporting OB.1 comments; last on Dec 30, 2011
City Exceeds Scope of Occupy Bellingham Eviction
Wed, Dec 28, 2011, 8:26 pm // Wendy Harris
The City infringed on the public’s right to peaceful assembly in a public park by enforcing an inappropriate public safety law2 comments; last on Dec 30, 2011
Dan Pike Issues Order to Evict Occupy Bellingham
Tue, Dec 27, 2011, 11:55 am // Riley Sweeney
Riley questions Pike's timing, and Occupy's choice of tactics2 comments; last on Dec 28, 2011
Updates from The Political Junkie
Tue, Dec 20, 2011, 2:19 pm // Riley Sweeney
Where Riley provides more info on the City of Bellingham employees moonlighting issue and Crawford's ethical troubles
0 comments
Dock Increases Risk of Invasive Species on Lake Whatcom
Sun, Dec 18, 2011, 8:43 pm // Wendy Harris
Relocation of a dock to Bloedel Donovan Park underscores failure to protect Lake Whatcom from invasive species0 comments
Sam Crawford Faces Ethical Concerns . . . AGAIN
Thu, Dec 15, 2011, 12:44 pm // Riley Sweeney
Local blogger Shane Roth files ethical complaint over Crawford's sweetheart deals
3 comments; last on Dec 16, 2011
Planning Commission Fails to Remove Cherry Point From Birch Bay Mitigation Plan
Wed, Dec 14, 2011, 7:05 am // Wendy Harris
Claiming it is unfair to treat large property owners different than small property owners, the Commission refuses to remove industrial areas from buffer mitigation proposal.0 comments
Rick Perry, Can We Talk?
Tue, Dec 13, 2011, 9:58 am // Riley Sweeney
Riley has a conversation with Rick Perry
2 comments; last on Dec 16, 2011
For Gift Ideas, Think Beyond Parker Brothers
Sat, Dec 10, 2011, 9:32 am // Riley Sweeney
Riley discusses his love of board games and some good gift ideas
2 comments; last on Dec 11, 2011
The Political Junkie needs your input
Thu, Dec 08, 2011, 12:47 pm // Riley Sweeney
Please take my reader's survey, I'm planning 2012
0 comments
Loophole Benefits SSA and Undermines Birch Bay Mitigation Proposal
Wed, Dec 07, 2011, 7:00 am // Wendy Harris
Tell the Planning Commission to eliminate this loophole2 comments; last on Dec 14, 2011
Washington United for Marriage: It’s Time!
Tue, Dec 06, 2011, 11:12 am // Riley Sweeney
Riley attends a public meeting on equality
0 comments
The Cole Train: Loads of BS
Sun, Dec 04, 2011, 4:53 pm // Tip Johnson
Wherein the sooty prospect of economic necessity rears its ugly head
2 comments; last on Dec 04, 2011
Update on Cherry Point Buffer Mitigation Proposal
Fri, Dec 02, 2011, 1:08 pm // Wendy Harris
Planning Staff's recommended revision will not prevent SSA from reducing wetland buffers.0 comments
UPDATE: City’s response focused on favoritism, not lost revenue
Wed, Nov 30, 2011, 5:51 pm // Riley Sweeney
More on the city employee moonlighting issue0 comments
TPJ Exclusive: Little Documented Oversight for City Employee Moonlighting
Mon, Nov 28, 2011, 4:29 pm // Riley Sweeney
The Political Junkie breaks a story of employee moonlighting within city of Bellingham
7 comments; last on Nov 30, 2011
Deer me!
Sat, Nov 26, 2011, 3:30 pm // Tip Johnson
O.K. Who's in charge of all these ungulates?14 comments; last on Dec 01, 2011
County Proposal Includes New Cherry Point Buffer Mitigation Requirements
Tue, Nov 22, 2011, 9:29 pm // Wendy Harris
The County's new mitigation proposal is unlikely to be adequate for Cherry Point's industrial impacts to habitat buffers3 comments; last on Nov 24, 2011
CameraGate: Red-light safety or city revenue?
Mon, Nov 21, 2011, 1:00 am // Guest writer
With budget woes, Bellingham passes on safety in favor of cash. Starting in 2008, Bellingham officials were coached by ATS on how to get Red Light cameras through…
26 comments; last on Nov 29, 2011
Cameras, not coal, decided the election
Sat, Nov 19, 2011, 8:24 pm // Paul de Armond
Looking at the numbers for the Bellingham elections
11 comments; last on Nov 22, 2011
Election Analysis: What does it take to win a county seat?
Fri, Nov 18, 2011, 12:28 pm // Riley Sweeney
Riley examines Maginnis/Crawford and Kremen/Larson
0 comments
Election Analysis: Dropoff, Lynden Suburbs and the “Buys Bounce”
Thu, Nov 17, 2011, 5:20 pm // Riley Sweeney
Riley looks at Lynden and coins some new phrases.
0 comments
Political Junkie Election Analysis: Louws/Ericksen
Wed, Nov 16, 2011, 12:31 pm // Riley Sweeney
Riley takes a look at Louws/Ericksen in the search for moderate Republicans
1 comments; last on Nov 17, 2011
Kelli Linville is elected Mayor of Bellingham
Tue, Nov 15, 2011, 5:21 pm // John Servais
Results are posted as of 5:21 pm. Use links at top of right side column.2 comments; last on Nov 15, 2011
Padden Trails Rezone – You Should Be Worried
Tue, Nov 15, 2011, 9:43 am // Dick Conoboy
The Padden Trails rezone effort is a misuse of the Infill Tool Kit on the outskirts of Bellingham.
8 comments; last on Nov 16, 2011
Still over 6,000 ballots to count
Mon, Nov 14, 2011, 4:52 pm // John Servais
Kelli Linville takes safe lead for mayor of Bellingham. Sam Crawford is leading for county council.1 comments; last on Nov 14, 2011
New links
Colbert Super PacCurrent Interest
Bham Camera ScamColbert Super Pac
Local Blogs & News
Bellingham HeraldBham Politics & Economics
Bhm Herald Politics Blog
Bob Sanders
Cascadia Weekly
Citizen Ted
Ferndale Record
Foothills Gazette
Get Whatcom Planning
HamsterTalk
KGMI
Latte Republic
Lynden Tribune
MikeatthePort
Northern Light
Northwest Review
Sweeney Politics
Twilight Zoning
Wally Wonders
Western Front - WWU
Whatcom Watch
Local causes
Bham Camera ScamBham CofC political blog
Chuckanut Mountains
Citizens of Bellingham
City Club of Bham
Community Wise Bellingham
Conservation NW
Cordata & Meridian
Futurewise - Whatcom
Jail - local mega plans
Lake Whatcom
N. Cascades Audubon
N. Sound Conservancy
Neighborhood Schools Coalition
No Leaky Buckets
NW Holocaust Center
RE Sources
Transition Whatcom
WA Conservation Voters
Publisher recommended
Americans Elect 2012Bham Politics & Economics
Community Wise Bellingham
Guardian Unlimited
Paul Krugman - economics
Redistricting WA state
Sweeney Politics
Watts Up With That? - climate
WikiLeaks.ch
NwCitizen 1995 to 2008
Early Northwest CitizenWeather & Climate
Cliff Mass Weather BlogClimate Audit
NW Radar
Two day forecast
Watts Up With That? - climate
Cascadia
Crosscut SeattleJoel Connelly
Orcinus
Portland Indy Media
Seattle Indy Media
Washington Votes
Leisure
Adventures NWEdge of Sports
Entertainment NNW
Famous Internet Skiers
Sailing Anarchy
Worth checking out
Al-Jazeera onlineAlaska Dispatch
AlterNet.org
Americans Elect 2012
Antiwar.com
Arab News
Asia Times
Atlantic, The
Buzz Flash
Common Dreams
counterpunch
Daily Beast, The
Daily Kos
Daily Mirror
Drudge Report
FiveThirtyEight
Foreign Policy in Focus
Guardian Unlimited
Gulf News
Haaretz
Huffington Post
Innocence Project, The
Intrnational Herald Tribune
James Fallows
Jerusalem Post
Juan Cole
Le Diplo
Media Matters
Middle East Times
MoveOn.org
Nation, The
New American Century
News Trust
NMFA
numbers
Online Journal
Palestine Daily
Palestine News
Paul Krugman - economics
Personal bio info
Politico
Progressive Review
Project Vote Smart
Reuters
Sea Shepherd
Slate
Talking Points Memo
The Onion
Tom Paine.com
truthout
War and Piece
WikiLeaks.ch
ynetnews.com
Governments
Auditor election pageBellingham
Bham - PFD
Candidate Filings
Election Results
Redistricting WA state
Skagit County
The White House
WA State Access
WA State Elections
WA State Legislature
Whatcom Auditor
Whatcom County
Other - for whatever
Ban Red Light CamsBushFlash.com
Chickehhawks
Coal quandary
Doonesbury
George Bush
Info Clearing House
Mainstreampolitics
Michael Moore
Nat Geo on Coal Trains
Reality News
The Crisis Papers
Third World Traveler
Unity08
Washington Outsiders
Less active
Bellingham RegisterCarl Weimer
Eye on Whatcom
John Watts
Post-Oklahoman Confessions
The American Telegraph
Quiet, offline or dead
David HackworthGitmo prisoner 345
Mega Awesome
Not in my county
Parkenfarker
Pro-Whatcom