Washington State Legislative Update 

Week of Feb 9 – 13, 2026

It was a whirlwind weekend in the Washington State Legislature, as fiscal committees heard testimony and voted on bills ahead of the Monday, February 9 deadline for measures to advance out of those committees. That cutoff marked a critical juncture in the session, further winnowing down the universe of proposals that can continue moving forward this year. With that milestone now behind them, both chambers are pivoting to the next phase: extended caucus meetings, lengthy floor sessions, and strategic negotiations as lawmakers work toward the February 17 deadline for bills to pass out of their house of origin in order to remain viable.

Rules Committee

Before bills reach the floor, however, they must clear a pivotal and often decisive hurdle, the Rules Committees in both the House and Senate. Once a bill has been approved by its policy and, if necessary, fiscal committee, it is referred to Rules, where members determine whether the measure will be placed on the floor calendar and in what order. In practical terms, Rules serves as another gatekeeper, deciding which proposals are positioned for debate and which may quietly stall without ever receiving a vote. While the fundamental role of the Rules Committees is similar in both chambers, the mechanics differ. In the House, Rules meetings are not publicly announced and deliberations occur behind closed doors. In contrast, the Senate’s Rules process is open to public observation, offering greater transparency into how decisions are made about floor scheduling.

A key factor in whether and when a bill is pulled to the floor is the anticipated level of controversy and the amount of debate time it will require. During the early days of floor action, leadership in both chambers typically prioritize measures that are broadly supported or relatively straightforward, allowing them to move efficiently through the process. More contentious or complex bills, particularly those expected to generate lengthy debate or many amendments, are often held until later in the floor calendar, frequently surfacing during extended evening sessions as deadlines draw near.

 SB 6346

Following a record-breaking public hearing last Friday, the Senate Ways & Means Committee advanced the Millionaire’s Tax, SB 6346 (Pedersen, D-43), on Monday, February 9. The public hearing drew unprecedented engagement, with nearly 81,000 individuals signing in and more than 200 people providing testimony. On Monday, the committee adopted Senator Pedersen’s substitute bill and passed the measure without adopting any of the 11 amendments offered by Republican members. The effect of the sub is:

  • Increases the distribution amount for public defense services from 5% to 7%;
  • Allocates 10% of the revenues for public defense services to cities and provides an alternate distribution mechanism for counties;
  • Increases the charitable deduction from $50,000 to $100,000;
  • Specifies that income excluded from federal AGI, including tribal treaty income, is also exempt from the state tax calculation unless a specific provision in state law requires otherwise;
  • Authorizes a deduction for contributions to a capital construction fund by commercial fisherman and vessel operators where the amounts reduced federal taxable income;
  • Increases the small business B&O tax credit to exempt approximately the first $300,000 of business income with a complete phaseout at $600,000;
  • Specifies that DOR will continue with implementation efforts regardless of litigation;
  • Expands the intent section.

Revenue Forecast

Anticipate majority Democrats to schedule floor action on the Millionaire’s Tax later in the floor timeframe than earlier – likely Monday, February 16, as it will undoubtedly accrue a number of floor amendments and debate will be robust as Senate Republicans attempt to kill or slow down the bill. Monday, February 16 will play another key role in the state’s budget process, as the Economic and Revenue Forecast Council convenes to adopt the official revenue forecast. Budget writers in both chambers rely on this forecast as they refine spending plans, make adjustments to account for economic trends, and ensure proposed spending aligns with projected revenues. Operating budgets are expected to be released and heard during the week of February 22, with the Transportation and Capital budgets typically following shortly thereafter.

Important Dates:

  • February 9 – Fiscal Committee Cutoff – House of Origin
  • February 17 – Floor Cutoff
  • February 25 – Policy Committee Cutoff – Opposite House
  • March2 – Fiscal Committee Cutoff – Opposite House
  • March 6 – Floor Cutoff
  • March 12 – Sine Die

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Brynn Brady

Ceiba Consulting, Inc.

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