5-5-2006
Court makes transcript of ruling in
I-601 lawsuit available to the public
Although Gov. Chris Gregoire stated that the government would appeal Snohomish County Court Judge James Allendoerfer’s ruling which invalidated several new taxes, as of April 4, the Attorney General’s office had not signed a proposed order that would enable such an appeal to go forward. A transcript of the Mar. 17 hearing is now available at www.save601.org.

During the hearing, Allendoerfer ruled that, “the Legislature exploited a loophole in I-601 for the express purpose of artificially increasing the expenditure limit so as to avoid a vote by the people on the new taxes included in the biennium budget.” Allendoerfer explained that the Legislature had used a budget gimmick that “could end all meaningful expenditure limits in the state of Washington, and deprive the taxpayers of ever having an opportunity to vote on new taxes.”

“We are thankful the judge made this particular ruling, but are disappointed the estate tax couldn’t be among the taxes thrown out,” said Washington State Grange President Terry Hunt. “What’s important about this case is recognizing the spending limits that were put in place by the voters,” he said.

I-601 provides that when government spending exceeds certain limits, new tax and revenue measures are not effective until referred to a vote of the people. In 2005, the Legislature created an estate tax in Washington state, however, that tax was not impacted by this ruling, since revenues from this new tax are directed away from the general fund.

Allendoerfer ruled that the Legislature’s budget shell games were “a palpable attempt at dissimulation.” He further explained: “The word dissimulation, per Webster’s dictionary, means ‘to hide under a false appearance.’”

“I-601 was a barrier to out-of-control government spending. The current Legislature has discovered tricks to circumvent the will of the people, and now it is up to voters to elect people who will keep the people’s will at heart,” said Carolyn Logue, Washington State Director for NFIB.

For more information, visit www.save601.org.