Contact: Carl Gipson, Deputy Communications Director
(360) 956-3482

Washington State Business Journal

The purpose of this publication is to inform Washington businesses of state policy that will impact them and to provide recommendations for action that will help resolve the state's anti-business climate. This is a brief introduction to our print journal, which will be mailed quarterly. Businesses will also receive periodic online updates. If you know of anyone who would benefit from the information we provide, please ask them to contact Carl Gipson.

WHAT IS THE WASHINGTON STATE BUSINESS JOURNAL?
Washington suffers from a severe anti-business climate. Businesses of all sizes are finding it difficult to survive here, and the state is losing jobs as businesses leave the state or shut down. This must be resolved. That is why, in mid-January, EFF is launching a new quarterly print publication called the Washington State Business Journal. The journal will inform and motivate business owners and interested citizens who want to help restore the business-friendly environment our state has been known for in the past.

UNDERPAID STATE EMPLOYEES?
In 2001, the average per capita income in Washington for the private sector was $37,892, while the average government employee salary for the same period was $42,089.

The discrepancy is much wider in rural counties. In Thurston County, a government worker earns an average of $14,400 a year more than his counterpart in the private sector. In Kitsap County the difference is $30,000. Only in King County do private sector workers average more than government workers, and only by $5,000.

From September 2001 to September 2002, Washington lost more than 55,000 private sector jobs, while government added 4,500.

WHAT TO LOOK FOR IN THE COMING LEGISLATIVE SESSION
Legislators will have their job cut out for them as they find ways to resolve the state's anti-business policies. EFF will be offering recommendations in the areas of state budgeting, workers' compensation, unemployment insurance, transportation, regulatory reform, ergonomics, tort reform, health care, and more.

LOCKE RECOGNIZES "PRIORITIES OF GOVERNMENT"
Governor Locke's budget team has developed an innovative new budget model that bases state spending on identifying the core functions of government and balancing the budget within forecasted revenue, rather than maintaining the status quo. EFF has been recommending this kind of priority-based budgeting for years, and legislators now have tools at their disposal that will allow them to budget responsibly. The question is, will they use them?

Read more about the governor's new model.

AGENCY POLICIES HARMING BUSINESSES
EFF has addressed the problems inherent in the state's unemployment insurance and workers' compensation programs in numerous publications.

In-Brief: "Unemployment Insurance in Washington: A hand up or a hand out?"

More on unemployment insurance:

http://www.effwa.org/highlighters/v12_n22.php
http://www.effwa.org/highlighters/v12_n21.php
http://www.effwa.org/highlighters/v12_n20.php

Commentary: "Reform L&I before increasing rates"

CHILE BREAKS NEW GROUND IN UNEMPLOYMENT INSURANCE
Chile was the first country in the western hemisphere to set up a social security system, and the first country in the world to reform it using individual investment accounts. It has again broken new ground by becoming the first country to use individual accounts in an unemployment insurance system. Chile's move should prod the United States to rethink the way it provides a safety net for unemployed workers.

Read EFF's complete Policy Highlighter (written by Bill Conerly, PH.D).

TRANSPORTATION SOLUTIONS: AFTER THE DEFEAT OF R-51
Referendum 51 was resoundingly defeated in November for several reasons. Among them: a lack of accountability measures, a well-founded distrust of government, and the fact that the $7.8 billion tax package did not reduce congestion.

So now what? Individuals and businesses are still losing too much time to traffic congestion. If R-51 wasn't the solution, what is?

In-Brief: "Transportation Solutions: After the defeat of R-51"

HIGH TAXES LINKED TO POOR ECONOMY

A recent study published by the Fraser Institute (Canada) and the National Center for Policy Analysis shows a direct correlation between low taxes and economic growth. Their report, titled Economic Freedom of North America, indicates that businesses grow faster and operate more efficiently when government costs and regulations are minimal. Conversely, when government increases taxes and regulations, the economy suffers.

Washington ranks as one of the 15 worst states to conduct business in when it comes to taxes and regulations.

WASHINGTONVOTES.ORG
We'd like to introduce WashingtonVotes.org, a legislative tracking website that allows individuals and businesses to find impartial information on legislation that will have a direct impact on their lives and livelihoods. WashingtonVotes.org provides plain-English bill summaries, and you can search for bills by topic, legislator, or bill number.

See it for yourself.

CONTACT EFF
The Evergreen Freedom Foundation is committed to restoring Washington's business-friendly environment. Please feel free to pass this page on to anyone you know who may be interested in receiving future e-mails updates or the quarterly print version of our Washington State Business Journal.

Evergreen Freedom Foundation P.O. Box 552, Olympia, WA 98507 Phone: (360) 956-3482, Fax: (360) 352-1874 Email: effwa@effwa.org