Only two of this year’s six statewide initiatives passed and all of the measures translated in a strong anti-tax sentiment from Washingtonians. But the City of Kirkland may come out a winner thanks to its planning.
Initiatives 1100 and 1105, both to privatize liquor sales in the state of Washington, were defeated. While it was clear from first returns that 1105 would fail in a landslide 65-34 percent, 1100 held on until Nov. 3. It eventually went down to defeat 53-47 percent.
The failure of both measures has a direct impact on city budgets. For Kirkland, city planners adjusted the budget for passage of one or both of the measures.
“It could have cost the city over $1 million during the next two years,” said Director of Finance Tracey Dunlap. “They can now put that money back into the budget.”
The city planned for a loss of $730,000 during the biennium. Kirkland would have also lost an additional $300,000 after annexation during that time period.
Voters sent a strong message against new taxes with a trio of measures that were on the ballot.
Measure 1053, sponsored by anti-tax activist Tim Eyman that will put back in place restrictions on future tax increases, passed with 65-percent approval. The largest portion of the initiative puts restrictions on the legislature to have two-thirds majority to pass tax increase.
A measure to tax “adjusted gross income” above $200,000 for individuals and $400,000 for joint-filers, reduce state property tax levies, reduce certain business and occupation taxes and direct any increased revenues to education and health failed with just 34 percent of the vote in favor and 65 percent rejecting initiative 1098.
Initiative 1107, which repeals taxes on candy, soda, bottled water and reduce tax rates for certain food processors, passed easily with 62 percent in favor and 38 rejecting the measure. Passage of 1107 could cost local cities money as well. The impact is not clear for Kirkland, but less money for the state and county could trickle down to city governments, said Dunlap.
“The repeal of the water and candy tax is not really significant to us but we do get a portion of the sales tax. It is probably small enough it won’t affect us much. We are going to watch this cautiously,” said Dunlap. “No one really knows where it will go from here.”
Prop. 1 in King County would have added a 0.2 percent increase to sales tax for use on criminal justice and fire protection. The measure failed 55-44 percent and Dunlap said that it could trickle down to the city.
Also, an initiative (1082) to authorize employers to purchase private industrial insurance went down to defeat with 59 percent against and 41 percent in favor.
All votes have to be certified by Nov. 23.
