RECENT NEWS

Justices hear challenge to tax increases
The Washington state Supreme Court heard arguments Tuesday in a tax-challenge case that ultimately could give tax rebates to residents who bought liquor or extended warranties since July 2005. Alternatively, the court could let the taxes stand, while striking down the voter approval requirement of the state spending-limit law. Voters adopted that law in 1993 when they approved Initiative 601 . . . "This case boils down to whether or not the state will be held accountable for breaking the law," said Jason Mercier, of the Olympia-based Evergreen Freedom Foundation, who attended the hearing....Read More

Save 601 arguments heard by State Supreme Court
Oral Arguments: WA St. Farm Bureau Federation, et al. vs. Gov. Christine Gregoire, et al. (In 2005, the legislature increased certain taxes w/o sending them to the voters for approval - can those taxes be collected?)

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Click this link to view or listen to the hearing in full.

State Supreme Court Hears Spending Limit LawsuitEvergreen Freedom Foundation | Jason Mercier
OLYMPIA—Today the State Supreme Court heard oral arguments in a lawsuit brought against the state for violations of the people's Taxpayer Protection Act (I-601) passed in 1993. Earlier this year a Snohomish County Superior Court judge found the state violated I-601 by adopting the 2005 budget and various tax increases in excess of the established spending limit without a vote of the people as required by law......Read More

Deja vu, WA Supreme Court decisions, and your pocketbook
King 5 News | Terry Corbell
As Washington state budget writers sharpen their pencils in preparing Gov. Christine Gregoire’s spending plan for the next two-year cycle, recent developments are raising eyebrows for many taxpayers... . . Read More

I-601: Are WA officials violating historic right of 'no taxation without representation?'
King 5 News | Terry Corbell
By the time you read this column, the State Expenditure Limit Committee will have probably met behind closed doors to establish the Legislature’s new spending limit. That means a new spending limit will take effect a mere two weeks before the Washington Supreme Court hears oral arguments on the fate of the Taxpayer Protection Act. It’s also known as Initiative 601.. . . Read More

I-601 spending limitation will be missed when it’s gone
Tacoma News Tribune | Richard S. Davis
In 1993, Washington voters, pursuing their populist predilection, passed Initiative 601, a limit on state taxing and spending. Over the years, lawmakers amended the measure many times. Like any statute, an initiative can be amended. It takes a supermajority of the legislature in the first two years after it has been adopted. After that, only a simple majority is required. Lawmakers, however, generally defer to the will of the voters, at least initially . . . Now, as the result of a lawsuit brought by some of 601’s biggest fans, the state Supreme Court may toss the voter approval requirement. In July 2005 a group including several statewide business groups and the Evergreen Freedom Foundation filed suit challenging the state’s 2005-2007 budget. They argued that the Legislature, which narrowly adopted the budget on party line votes, improperly transferred funds to raise the spending limit, illegally raised taxes to boost spending above the proper limit, and should have referred to the voters the tax increases, which included taxes on cigarettes and liquor and the new estate tax.. . . Read More

Will WA Supreme Court grant taxpayers transparency in state spending, taxes?
King 5 News | Terry Corbell
No matter where you live in the Evergreen State, you’ll be soon be financially affected by a legal case before the Washington Supreme Court. The state’s highest court is about to render a monumental decision about transparency in questionable state spending practices affecting the amount of taxes you pay. The court will hear oral arguments Nov. 28 about the spending limits contained in Initiative 601 that voters approved on Election Day 13 years ago. . . Read More

Wash. State Exceeded Its Spending Limit
On June 9 Snohomish County (Washington) Superior Court Judge James Allendoerfer filed a letter with the court indicating he believes the state exceeded its spending limit. His ruling came in response to a motion filed by plaintiffs in a lawsuit that has been in the courts since July 2005. Allendoerfer wrote, "I have concluded ... [the] final expenditure limit for FY 2005 [is] too high by $250 million. ... [The] final expenditure limits for FY 2006 and FY 2007 [are] too high by another $250 million." The letter is not an official order. Allendoerfer instructed the parties in the suit to send him proposed orders to sign reflecting his conclusions . . . Read More

Releases
Judge Rejects Attorney General’s Claim that I-601 is Unconstitutional, May 01, 2006
State Treasurer’s duties under I-601, April 05, 2006
Court Makes Transcript of Ruling in I-601 Lawsuit Available, April 05, 2006News Articles
Wash. State Exceeded Its Spending Limit, July 26, 2006
Washington State May Collect Disputed Taxes, Court Says, July 26, 2006
Save liquor store receipts! Court may throw out surcharge, June 05, 2006
Washington Judge Voids Tax Hikes, June 01, 2006
Liquor buyers told to keep receipts, May 31, 2006
Are state officials engineering a slow death for I-601?, May 16, 2006
Save your receipts: Tax refund possible for liquor purchases, May 16, 2006
State to continue collecting disputed taxes, May 13, 2006
Liquor tax case goes before high court, May 12, 2006
Groups perform dance of defiance to WA state spending, May 04, 2006
Judge tosses liquor tax, May 03, 2006
Judge rules against tax hikes, May 02, 2006
Attorney general plans to appeal spending ruling , April 01, 2006
Judge sees through Legislature’s fiscal sleight of hand, March 29, 2006
Zarelli hopes for special session, March 28, 2006
Taxpayers lose in Legislature's card game, March 27, 2006
Incriminating e-mails: How WA lawmakers avoided I-601 spending limits, March 21, 2006
Judge Throws Out Illegal Tax Hikes, March 20, 2006
Court ties up state tax increases, March 18, 2006
Some of state's taxes invalid, judge rules, March 18, 2006
County judge strikes state raise in taxes, March 18, 2006
Taxes tossed? Snohomish County judge rules against state money-shifting, March 17, 2006
Spending limit's legality placed in spotlight, March 08, 2006