OLYMPIA, Wash. – Governor Bob Ferguson held a press conference to discuss his latest budget proposal, highlighting major investments in transportation and housing.
Ferguson’s proposal includes $1 billion for three new ferries and $2.1 billion for transportation maintenance, marking the largest investment in preservation in two decades.
“We have a housing crisis in our state. We need to act like it.” Ferguson said. The proposal allocates $244 million for housing investments, the largest supplemental budget investment in housing to date.
Ferguson also announced an executive order to establish the Department of Housing.
Funding for these programs will come from various sources. Ferguson mentioned amending a $63 million tax break for data centers for fiscal year 2027 and a preferential tax rate for prescription drug wholesalers.
Separate from his budget proposal, Ferguson advocated for a millionaire tax, stating, “Millionaires should contribute more towards our shared prosperity.” Ferguson emphasized the inequality in the current tax system, noting that Washington families in the bottom 20% pay 13.8% of their income in taxes, while the top 1% pay only 4.1%. “That is untenable. We are facing an affordability crisis,” Ferguson said.
The state legislature may consider adding the millionaire tax to the budget in the upcoming session, though any proceeds would not be realized until 2029.
Despite potential delays, Ferguson remains committed to his vision. “My north star is a stronger, more affordable Washington for every single Washingtonian,” he said.
The upcoming legislative session in January will provide updates on the state budget, including the potential addition of the millionaire tax.
