Survey results
In my last email update, and during my telephone town hall, I asked you to share your thoughts with me on a couple of important issues. I am happy to share those results with you:

1. Do you support ending the death penalty in Washington state?

• Yes – 44%
• No – 51%
• Undecided – 5%

2. Do you support Common Core in Washington state?

• Yes – 20%
• No – 59%
• Undecided – 21%

3. Do you support the governors “cap and trade” tax proposal for Washington businesses?

• Yes – 18%
• No – 75%
• Undecided – 7%

4. With revenue up over $3 billion, do you support Gov. Inslee’s plan to raise taxes by $1.5 billion this year?

• Yes – 15%
• No – 80%
• Undecided – 5%

We are well into the 2015 legislative session, and while much work remains to be done, I am pleased to report we are making progress! I am happy to provide you with this update on the work taking place at the Capitol in recent weeks.

Budget writers are already meeting in both the House and Senate, putting us ahead of previous efforts to write the biennial budget. As a member of the House Appropriations Committee, I remain optimistic that we can complete a budget within the 105-day legislative session. With revenue up $3 billion, the state has the means to fund its obligations without raising taxes.

I believe we deserve a government that is efficient and effective. By reforming government operations, I believe we can achieve this goal. As the ranking member on the House General Government and Information Technology Committee, I am committed to finding inefficiencies in the way government conducts its business. With oversight of 68 state agencies, this committee plays a critical role in ensuring our tax dollars are spent wisely.

To help achieve that, I have introduced bills to reform government operations, and am happy to report they are receiving public hearings and moving through the legislative process. I introduced House Bill 1358 to end the practice of bonding sales tax on transportation projects. This bill is awaiting a vote in the House Transportation Committee, and I am hopeful it will come before the full House for a vote this session.

I also introduced House Bill 1357, which would eliminate the Certificate of Need requirement for kidney dialysis centers. Many in rural districts like ours have to travel long distances to receive treatment, which adds to the cost of receiving treatment, and is a burden on patients and caregivers alike. A Certificate of Need is issued by the state Department of Health after a lengthy and costly application process. This adds an unnecessary layer of bureaucracy to our health care system, and in turn, drives up costs. This bill is scheduled for a vote in the Health Care Committee, and I am looking forward to getting it passed on to the House floor.

Another reform bill I introduced is House Bill 1749, due to concerns brought to me by a group of constituents. This legislation would eliminate the requirement for people who undertake work on their own homes for the purposes of resale, known a “property flipping,” to register with the Department of Labor and Industries as a contractor. This policy was designed simply to raise revenue through fees and fines, and it ties up investigative and administrative resources at Labor and Industries. This fix will give people more flexibility to make improvements to their property. It is scheduled for a vote in committee next week, and I look forward to it moving on to the full House.

I also introduced another bill, House Bill 1930, to reform additional practices at the Department of Labor and Industries. Last year, a complaint against the Western Hockey League (WHL) alleged member clubs were violating the Minimum Wage Act, which launched a lengthy, costly and unnecessary investigation. There are currently a number of exemptions to the Minimum Wage Act on the books, and my bill would include amateur athletes among those exempted. Hundreds of amateur athletes play in the WHL. These young athletes receive invaluable training and educational opportunities, including college scholarships. And, many go on to play professionally. By unnecessarily targeting WHL clubs, it could jeopardize the future of countless youth who want to pursue this career path, as well as those who rely on these organizations for employment. This bill is scheduled for a vote in committee next week as well.

For years we have been hearing about the need for meaningful tax reform in Washington state from both Democrats and Republicans. That is why next week I will be introducing the largest reform to the Business and Occupation tax in our states history. In order to remain a leader nationally and a competitor globally, we must have a 21st century tax code that is fairer, flatter and more flexible. I look forward to sharing more details with you in the coming days!

It is an honor to represent you in Olympia, and I look forward to hearing from you on issues important to our communities!

The 2015 legislative session is picking up steam as committees begin to hold public hearings on bills under consideration.  There are many issues coming before us in the Legislature, with several hundred bills already filed. Constituents from all across the 35th Legislative District have been visiting me and sharing their concerns and priorities. I am always grateful to hear from you firsthand, and hope you will continue to share your concerns and ideas with me throughout the year.

Telephone town hall

Join my telephone town hall Feb. 9. Your voice has been, and will continue to be, the most important way for me to ensure I vote in ways reflective of the diverse 35th District. This is why I am hosting an hour-long telephone town hall on Monday, Feb. 9 from 6:00 p.m. to 7:00 p.m. To take part in the call, just dial 360-355-3025. The phone line will open shortly before the call begins. To ask me questions directly during the call, just press star (*) on your telephone keypad.

This week, I testified before the House Transportation Committee on a reform bill I introduced to help address the high costs of projects in Washington. House Bill 1358 would end the practice of bonding sales tax obligations on transportation projects. This would directly affect the amount of money we are able to put into actual projects.  By paying the sales tax on projects upfront, we eliminate increased interest payments and costs which we incur over the life of the bond, and well after the project is complete. You can view my testimony here. This bill will be voted on in committee on Feb. 3.

Budget hearings are currently underway in the House Appropriations Committee, and we are learning more about the governor’s proposals. I have heard from many of you concerned with proposals to raise taxes by about $1.5 billion. I share your concerns and will continue to seek solutions which prioritize state spending, especially given the increase in revenue collections which are up over 8 percent for this budget cycle. It’s time for government to budget based on what tax payers are willing to provide, not simply spend as it wants.

I also heard concerns about the governor’s carbon tax proposals which would have a major impact on the price we pay at the pump. This is particularly concerning to the 35th District as many workers drive long distances for work. Transportation improvements are necessary for improved safety, congestion relief and freight mobility. Yet, we must rebuild the public trust after high-profile project delays and overruns, such as cracked pontoons of the 520 bridge and Bertha, before expecting taxpayers to simply pay more for these projects.

I would like to hear from you on an issue that is receiving some attention in Olympia this session. House Bill 1739 has been introduced to abolish the death penalty in Washington state. I have had meetings with constituents who feel strongly about this issue making arguments both for and against it. Please take a moment to fill out this brief survey to share your view on the death penalty in Washington state.

Please take a moment to fill out the survey by clicking here.

Finally, in the coming days and weeks our committee work will turn to voting on bills, to determine if they will move on for further consideration. I hope you will take the time to contact me throughout the session on issues important to you and our community. My door is always open, and I am happy to listen to your concerns and ideas. You play a critical role in the legislative process and together we can make it morning again in America.

It was a busy first week in Olympia as I and my colleagues in the House and Senate took the oath of office and began the 2015 legislative session. The opening ceremonies highlighted the rich traditions of the Legislature and Washington state and provided an opportunity to look forward to doing the people’s work over the next 105 days.

For the first several weeks of session, committee work will be spent receiving updates from state agencies and other groups, and learning more about legislative proposals. I am the ranking member on the General Government and Information Technology Committee, and serve on the Appropriation Committee. Throughout session, I will keep you informed on the issues coming before these, and other House committees.

Below are some of the issues I am focused on as session gets underway:

Fund Education First

The oath I took this week makes clear our obligation to “…uphold the Constitution and laws of the United States of America, [and] the Constitution and laws of the State of Washington….” I take this responsibility seriously and believe this pledge starts with fully funding K-12 education, which our constitution states is our paramount duty. My bill to fully fund education first, House Bill 1001, was formally introduced. House Bill 1001 would require the Legislature to send the governor a stand-alone education budget by March 31^st in biennial budget years and February 15^th in supplemental budget years. I am working with my colleagues in the House in order to get this important bill a hearing.

Budget

This week, Gov. Inslee delivered his State of the State Address and laid out his agenda and priorities for 2015. I am disappointed to report that he offered no new ideas or solutions to address the issues we are facing in Washington. The governor simply dusted off previous speeches and proposals and called for the Legislature to raise taxes on Washingtonians by $1.5 billion, breaking a promise he made back in 2012.  I disagree with Gov. Inslee and believe we must focus our efforts on prioritizing state spending and making simple, but effective reforms to state government. Revenue collections in Washington are up over 8 percent for this budget cycle as the economy begins to stabilize. Many in the state, including in the 35^th Legislative District, are still recovering from the Great Recession and I am committed to ensuring they are not forgotten in the budget writing process.

Contact me

The most important part of my job is to be a voice for you. As bills are introduced and issues arise during the legislative session, I encourage you to contact my office to share your thoughts with me. You play a critical role in the legislative process and I am always happy to meet with you on issues important to our communities. I also encourage you to come to Olympia to testify in committee on bills important to you. My Legislative Assistant, Josiah Rowell, will also be happy to assist you with making an appointment or dealing with a state agency.

I hope this legislative update finds you well and enjoying the holiday season. As we prepare to celebrate Christmas, I want to take a minute to update you on some of the things I have been working on since my last update.

Funding Education First

As I travel across the district it is clear to me that parents, teachers and administrators are looking to the Legislature to fully fund education. We have a mandate from both our constitution and our Supreme Court to prioritize K-12 education in Washington. Earlier this month I introduced a bill that would do just that. House Bill 1001 would require a stand-alone education budget be passed and sent to the governor’s desk by March 31^st in biennial budget years and February 15^th in supplemental budget years. Additionally, House Bill 1001 requires the governor to submit a separate education budget proposal to the Legislature with K-12 appropriations based on existing revenues and without assuming new taxes.

Passing a stand-alone education budget is good for Washington and our students. Fully funding the public education of our children is a duty we must take seriously. However, for too long our kids’ needs have taken a back seat to partisan politics in Olympia. This bill prioritizes our students, and provides school districts with budget predictability which is essential to planning for the needs of their community. I am looking forward to working with my colleagues on both sides of the aisle to get this bill the hearing it deserves.

Other bills of interest

I have long believed we need to have a serious conversation about reforming the way state government operates. In addition to my Fund Education First bill, I am also working on bills that would reform important aspects of our state government. First, I am working on a bill to end the practice of the state collecting sales tax on its own transportation projects. The money collected on these projects, which are bonded out for many years, is deposited back into the general fund. Not only does this inflate the cost of projects, it also reduces our ability to fund more projects across the state, including projects like the Belfair Bypass.

A second reform bill I am working on is critical for small businesses in our state. I have been working with members of leadership, staff and stakeholders on a proposal to modernize our business and occupation tax. Changes would provide flexibility and predictability for business owners, giving them a better chance to succeed and the opportunity to grow. I look forward to releasing more details in the coming weeks.

Finally, I am working on a bill which would end a requirement on health care providers that I believe is unnecessary and restricts patient’s access to care. Currently, state law requires certain providers to obtain what is called a Certificate of Need in order to open or expand treatment centers in Washington. The state determines whether facilities can expand in a community, adding an unnecessary layer of red tape to people’s health care choices. My bill removes the requirement for kidney dialysis centers because I believe we should be providing our most vulnerable citizens with more options for treatment.

For updates on these and other bills introduced during session, visit my Bill Sponsorship page.

New Committee Assignments

Last week I received my committee assignments for the next two years. I was named as the Ranking Member on the newly formed General Government and Information Technology Committee. This committee considers issues relating to the organization and structure of state government and audits of state government programs and agencies.

Additionally, I was appointed to serve on the Appropriations Committee. This committee considers the general operating budget and fiscal issues including pension related policies. I am grateful to House Republican Caucus leaders for entrusting me with this responsibility in just my second term. I look forward to working towards a sustainable operating budget that prioritizes state spending and does not raise taxes.

District Office Closing

With the 2015 session quickly approaching, my district office in Belfair is closing down and my staff is moving back to Olympia. If you have a question, concern or idea to share with me, please contact my Olympia office. I am always pleased to be of assistance!

Merry Christmas

Finally, from my family to yours, I wish you all a very merry Christmas, and a prosperous new year. I am honored to serve you in the Washington State House of Representatives, and I look forward to hearing from you on the issues that matter most in our communities.

It is an honor to serve as your 35th District state representative. I am pleased to report that strong bipartisan work was done on many fronts again this year, most notably the supplemental state operating budget. We were able to apply additional funding for K-12 education to move us closer to compliance with the 2012 state Supreme Court’s McCleary education funding order and freeze tuition at state colleges for a second year in a row.

Personally, I enjoyed working alongside colleagues on both sides of the aisle to find solutions to matters, such as finding innovative solutions to funding school construction to accommodate the lower class sizes we are funding as part of our commitment to K-12 education, as well as legislation to better support our service men and women. While all my bills did not pass, I take heart in knowing that, regardless of political party, we can come together and work from a place of common ground.

Below is a brief update on legislation I sponsored this year, details on my new district office in Belfair, information on the state’s election-year restrictions and how we can best serve you when contacting my office for assistance.

My legislation

House Bill 2130 is a measure to streamline programs that assist current military members and veterans transition into civilian life. Building upon 2006 legislation establishing the Veterans’ Innovations Program (VIP), this legislation combines the Defenders’ Fund and Competitive Grant Program simplifying internal processes for the Washington Department of Veterans’ Affairs. Funds appropriated to VIP will still be used to increase awareness of the program to veterans and active duty service members. Funds from this program can now also be used to develop partnerships to assist members in completing the application process, along with education, training and employment assistance. Additionally, the bill expands these services to members of the National Guard. This bill was signed into law by Gov. Jay Inslee on April 2.

House Bill 2797 would have put as much as $700 million toward building schools to reduce K-3 class sizes and comply with the state Supreme Court’s McCleary order to fully fund education. We will have to come up with innovative solutions like this in order to ensure our schools have the space to accommodate smaller class sizes and the additional teachers required. This bill passed with a strong bipartisan vote of 90-7 in the House, but did not make it through the Senate.

House Bill 2264 would have refined our state’s business and occupation tax (B&O) structure and help small businesses succeed. This measure would have offered businesses relief from the state’s B&O tax, which is the tax applied to businesses’ gross receipts. “Gross receipts” is defined as gross income, or total sales receipts before payroll and other business expenses. Different rates are applied at various rates based on business activity classifications, such as manufacturing, retail, or service sectors. Instead of the current structure of B&O tax and credits for certain industries, this bill would have given businesses a choice of three deductions from the B&O tax in each filing year:

• costs of goods sold;
• 30 percent of gross revenue; or
• up to $300,000 in employee compensation.

Businesses could choose whichever deduction results in a greater benefit to their tax liability. This bill did not receive a hearing in the House.

New district office address, phone number

As part of ensuring government is closest to the people it serves, I just reopened my interim 35th District legislative office in Belfair. My legislative aide, Kevin Shutty, staffs the office during regular business hours. Please feel free to stop by if you need assistance working with a state agency, finding a service or have an idea to make our district and state a better place to live and work. The new address and phone number are as follows:

Evergreen Building, Space A, Office 2
24160 N.E. State Highway 3
Belfair, WA 98528
(360) 552-2635

Election-year restrictions

We want you to know what is happening in Olympia, and how it affects you. However, this is an election year, and under the provisions of a 1991 law (created by Initiative 134) there are limits on what and when we can mail to you. After this e-mail update, the soonest we can send another is just before the 2015 legislative session.

However, the initiative does permit us to respond to your direct requests for information, and we encourage you to write or call whenever you have a question or a comment to share on legislation or other matters. Please be sure to be clear that you would like a response from our office to ensure we are not contacting you outside of the ethics provisions explained above.

As always, my door is open. I welcome your feedback and we’re happy to help you in any way we can. If you need a speaker for a community event, or would like to meet with me one-on-one, please contact my district office.

I am truly honored to serve as your state representative and be your voice in the Legislature. This year’s 60-day session adjourned on time, March 13. With only supplemental budgets to complete in this short timeframe, we did not expect heavy lifting of a massive transportation or general tax increase package. There was still talk about new and higher taxes, but those were shelved with the tight timeline of the session. Below is a brief update on legislation I worked on this year as well as highlights from the final state supplemental operating budget.

Legislation I worked on this year

I generally do not introduce many bills, but rather try to work on legislation requested of me or that I see as being critical to addressing core government services, like K-12 education, caring for our most vulnerable and supporting our military and veterans. Here are a few bills I worked on this year:

House Bill 2264 would offer businesses relief from the state’s business and occupation (B&O) tax, which is the tax applied to businesses’ gross receipts. “Gross receipts” is defined as gross income, or total sales receipts before payroll and other business expenses. Different rates are applied at various rates based on business activity classifications, such as manufacturing, retail or service sectors. Instead of the current structure of B&O tax and credits for certain industries, the bill would have given businesses a choice of three deductions from the B&O tax in each filing year:

• costs of goods sold;
• 30 percent of gross revenue; or
• up to $300,000 in employee compensation.

Businesses could have chosen whichever deduction results in a greater benefit to their tax liability. This change could have created thousands of private-sector jobs we need right now. Putting people back to work should be a top priority as we work to rebuild our state’s economy. The bill died in the House committee process. You can find more information on solutions I support to create jobs in Washington here.

House Bill 2130, which builds upon 2006 legislation establishing the Veterans’ Innovations Program (VIP), combines the Defenders’ Fund and Competitive Grant Program simplifying internal processes for the Washington Department of Veterans’ Affairs. Funds appropriated to VIP will still be used to increase awareness of the program to veterans and active duty service members. Funds from this program will also be used to develop partnerships to assist members in completing the application process, along with education, training and employment assistance. Additionally, the bill expands these services to members of the National Guard. This legislation passed the House and Senate unanimously and is currently awaiting the governor’s signature to become law.

House Bill 2797 would have authorized the sale of $700 million in bonds backed by lottery revenue for grants dedicated to constructing classrooms for full-day kindergarten, as well as K-3 class-size reduction. Four other states sell lottery-backed bonds and continue to enjoy strong credit ratings. In the landmark McCleary decision, the state Supreme Court laid out clear goals for the Legislature to meet with regard to class size and full-day kindergarten by 2018. This bill would have ensured we began building additional classrooms and schools to accommodate smaller class sizes to meet the deadline. The bill passed the House, but died in the Senate.

Highlights from the state supplemental operating budget

Building on the strong, bipartisan budget last year, the Legislature passed a state supplemental operating budget that both sides of the aisle could support. I voted “yes” on the budget for several reasons, including:

• College tuition rates remain frozen for students;
• We prevented tax increases, (Democrats had proposed to increase taxes on bottled water, recycled fuel, prescription drugs, e-cigarettes, and eliminate the sales tax exemption for out-of-state shoppers);
• Of the $155 million in new spending, nearly two-thirds are directed toward education funding, which is critical to meet the mandates in the McCleary order;
• It increases the state’s ending-fund balance to $315 million, up from $56 million in the two-year budget passed last year; and
• The Legislature’s business was completed on time without the need for a special session.

Here’s the breakdown of how the state will spend the additional $155 million:

• Public education (K-12) – $56 million (36 percent)
• Higher education – $41.7 million (27 percent)
• Early learning – $20,000
• All non-education funding (includes protecting our most vulnerable, developmentally disabled people, Medicaid health care services, etc.) – $57.2 million (37 percent)

Like any compromise, there were things in the budget I did not like. But, I did appreciate that everyone sat at the table and was able to reach a responsible and sustainable spending plan that balances over four years. Voters want to know we are spending their money wisely and working together to do what is right for our communities. The budget passed by a vote of 85-13 in the House and 48-1 in the Senate.

Please know that my door is always open and I welcome your feedback – call, e-mail and write with your comments and suggestions. My legislative aide, Kevin Shutty, is available during normal business hours to assist constituents with dealing with a state agency or locating a state service. I always make myself available to meet with constituents and speak at local civic group events. Please contact Kevin if you would like to schedule a time to meet with me.

Again, thank you for all your support and your assistance this session as we waded through many bills. I look forward to seeing you around the 35th District.

Thank you for allowing me to be your voice in the state Legislature. We’re in the final week of the 60-day session and a lot is taking shape. We voted on the three main supplemental state budgets – operating, capital and transportation – and are continuing to vote on bills that are needed to complete the budgets as well as many others. I have faith we will finish our work on time, March 13, and without new and higher taxes.

I also want to thank you for all the feedback I received on the questionnaire I mailed out earlier this session. We received more than 1,000 responses, which is great! Below are brief details on the budgets passed this week and the next steps for them as well as the results from the 35th District survey.

The budgets

The supplemental state operating budget: One of the main reasons I voted against the budget put forward by the House majority party is that it relied on $100 million in new and higher taxes to balance. The argument given for needing these tax increases is to add more money to K-12 education. I’m all for fully funding K-12 education. The 2013-15 budget that included an additional $1 billion investment in schools paved the way to meet this goal by the mandated deadline of 2018. Additionally, I believe we should fund education before any other program, not gamble on unpopular tax increases – some of which voters have repealed in a statewide ballot measure. This is the wrong time to ask more from taxpayers, many of whom have not yet recovered from the Great Recession.

The supplemental state capital budget: This is the state budget that funds our brick and mortar infrastructure projects around the state. This spending plan is critical to ensuring we support cities and counties with necessary infrastructure, such as water and sewer upgrades. These projects create jobs and help with economic development in our communities. Tied to this budget is a bipartisan measure, House Bill 2797, which I cosponsored. It would put as much as $700 million toward building schools to reduce K-3 class sizes and comply with the state Supreme Court’s Jan. 9 order in the McCleary decision to fully fund education. In the January order, the state Supreme Court reinforced the urgency for action in this area stating, “…Make no mistake enhanced funding for full-day kindergarten and class-size reduction is essential, but the State must account for the actual cost to schools of providing these components of basic education.”

House Bill 2797 also attempts to fulfill the requirements of I-728, which passed by 71.7 percent in 2000, and in all counties. It directed state lottery revenues to be dedicated to education construction for “providing improvement or additions to facilities to support class-size reductions…” We cannot promise lower class sizes without the classroom space to house our students and teachers.

The supplemental state transportation budget: This is the budget that is used solely for building transportation infrastructure and studying transportation tax policy. The budget is funded through state gas taxes and other vehicle fees. I voted against this budget because I did not support the $450,000 allocated to the State Transportation Commission to study the transition from the gas tax to a road user fee, also known as a Vehicle Miles Traveled (VMT) tax. Privacy concerns aside, a VMT would impact rural areas the most because folks in those areas drive more miles to get to the grocery store, work and to local schools.

Another flaw in this budget was the additional funding for the 520 Bridge cost overruns. As has been widely reported, issues with the bridge pontoons has created a situation where all of the $250 million contingency reserve set aside for cost overruns on this mega-project have already been exhausted. So, this budget included $172 million more for the 520 Bridge project. Yes, we need to finish this project, but funding more of the same without serious reforms and legislative oversight is concerning to me and, I think, the general taxpayer.

I think we can do better for the citizens of Washington by spending our gas tax dollars more wisely and enacting reforms that ensure responsible expenditures and accountability on costly mega-projects.

Your responses to 35th District survey

I appreciate all the feedback you offered on the mailed survey earlier this year. Your feedback helps me represent you to the best of my ability. As we vote on crucial measures, my goal is to share your voice and do what is best for the 35th District. Here are the questions and your responses:

1. Some lawmakers want to raise the state gas tax by as much as 10.5 cents per gallon. Would you be willing to pay 10.5 cents more per gallon to help pay for transportation projects in the state?

2. If you could pick one issue that is most important to you, what issue would that be?

3. The state Supreme Court recently sent an order to the Legislature saying lawmakers need to put more money into K-12 education and teacher salaries right away despite the fact that we spend an additional $1.6 billion in K-12 education in last year’s budget. Do you agree with the state Supreme Court’s order?

As we quickly approach interim, please remember my door is always open and I welcome your calls and e-mails. I also make myself available to speak to local civic groups and meet with constituents throughout the year. Please contact my office anytime if you would like to schedule a time to meet with me or a speaking opportunity.

Again, thank you for the privilege of serving you.

Thank you for allowing me to serve as your state representative in the 35th Legislative District. It’s truly an honor.

The legislative session is just past the halfway point and we have three short weeks to go until we adjourn on March 13. This week, we passed more than 100 bills out of the House to meet our deadline to move bills over to the Senate for consideration. The House is now considering Senate bills and our House bills that are necessary to implement the supplemental budget.

Join me for a town hall meeting Feb. 22

It’s the perfect time in the session to update constituents on what is happening in the Legislature. There are still some issues that are being discussed, such as new and higher taxes, that could impact our friends, neighbors and family members. The details of the meeting are as follows:

Saturday, Feb. 22 town hall meeting
Belfair
2 – 3 p.m.
Theler Community Center, Evergreen Room
22871 N.E. State Route 3
No RSVP is required

If you are unable to attend the event, please feel free to contact my office with your questions, comments and suggestions. I look forward to seeing you Saturday.

It’s an honor to serve you.

We are now finishing up the third week of the 60-day legislative session in Olympia. I appreciate the trust you have put in me to weigh the many heavy issues we are discussing, including:

• A transportation tax package;
• Low Carbon Fuel Standards for Washington state;
• Education funding and teacher COLAs; and
• Job creation and retention policies, such as business and occupation tax reform.

Join my telephone town hall Feb. 5. Your voice has been, and will continue to be, the most important way for me to ensure I vote in ways reflective of the diverse 35th District. This is why I am hosting an hour-long telephone town hall on Wednesday, Feb. 5 at 6:30 p.m. To take part in the call, just dial toll-free 1-800-761-5294. The phone line will open shortly before the call begins. To ask me questions directly during the call, just press star (*) on your telephone keypad.

Job creation and retention should be the Legislature’s top priority. Growing the economy with good-paying, private-sector jobs is the way to fund K-12 education fully, provide for public safety and support the services needed by our most vulnerable residents.

I introduced House Bill 2264 to jumpstart job creation in our state. The bill would refine our state’s business and occupation tax (B&O) structure and help small businesses succeed by offering a flexible tax structure. Specifically, it would offer businesses choices of relief from the state’s B&O tax, which is the tax applied to businesses’ gross receipts. “Gross receipts” is defined as gross income, or the total sales receipts before payroll and other business expenses. Different rates are applied based on business activity classifications, such as manufacturing, retail, or service sectors.

Instead of the current structure of B&O tax and credits for certain industries, House Bill 2264 would give businesses a choice of three deductions from the B&O tax in each filing year:

• costs of goods sold;
• 30 percent of gross revenue; or
• up to $300,000 in employee compensation.

Businesses could choose whichever deduction results in a greater benefit to their tax liability. This is one step the Legislature could take right now to create a business-friendly environment for job creators and I hope it receives serious consideration.

I recently sent out a short mailer with a survey to 35th District residents. You can also take the survey online by clicking here. Your feedback helps me serve you in meaningful ways.

As always, if you have a question, solution or comment, please feel free to contact my office.