By Cathy Dahlquist
State Representative, R-31st
I cannot say I was thrilled the majority Democrats kept the Legislature in session an extra 30 days, but holding out for critical reforms that will aid private-sector job recovery was worth it.
As your first-year lawmaker, my effort was focused on getting Washington working again – both in the sense of helping employers regain the confidence to begin hiring and ensuring state government is responsive to the citizens it serves. I am pleased to report there were some key reform measures passed this year.
At the beginning of session, bipartisan proposals to address much-needed workers’ compensation and unemployment insurance reforms were brought forward. Companies statewide have been calling for changes in these programs to ensure they can afford to keep people employed.
I am pleased to report unemployment insurance reforms in Senate Bill 5135 and House Bill 1091 were signed into law in February. Together they provide employers a much-needed tax reduction this year and prevent a sharp tax increase next year. They also create a more stable and long-term fix by recalculating the unemployment insurance tax rates for employers.
However, despite dire warnings from the state auditor regarding the solvency of the accident and pension funds in the system, House Democrats refused to vote on the bipartisan workers’ compensation insurance reforms contained in Senate Bill 5566.
House and Senate Republicans alongside Senate Democrats agreed critical adjustments to the workers’ compensation system had to happen this year if we were going to ensure injured workers received the benefits they deserve.
Washington is an outlier in the areas of workers’ compensation costs and rates. Other states’ rates have stayed steady or gone down while Washington’s have continued to increase. In 2010 and 2011, rates increased by more than $300 million. Additionally, an Upjohn Institute study commissioned by the state Department of Labor and Industries pointed out that Washington awards pensions at a rate nine times the national average.
Clear to all of us was the need for change in the system. On day 28 of the 30-day special session, compromise workers’ compensation legislation, House Bill 2123, was debated and passed in both chambers, and then sent to the governor. This bill represents what can happen when legislators, even those in the minority party, stand firm and do what is right for employers and employees.
The reforms in House Bill 2123 address the fund insolvency issues and are projected to save $1.12 billion over four years. Most importantly, it gives workers injured on the job more financial security and choices to do what is best for their health and their families.
There were some hard-fought victories this year that will go a long way to helping employers and workers. I appreciate everyone who called and wrote me with feedback on these and other major issues we faced in the regular and special legislative sessions.
If constituents or civic groups in the 31st District would like to meet with me during the interim to discuss legislative issues, please contact my office at 360-786-7846 or cathy.dahlquist@leg.wa.gov.
Thank you for allowing me to serve our communities.