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Dear Friends and Neighbors,
It is an honor to serve the people of the wonderful 17th District here in Olympia. Thank you for your support and for entrusting me to represent our shared values. My top priority is to listen to you and be your voice in the Legislature.
While we may not agree on every issue, I am committed to working with colleagues on both sides of the aisle to find commonsense solutions that move Washington forward. I look forward to the good work we can accomplish together this year.
Taxes and Spending to Dominate the 2026 Session
As the 60-day 2026 legislative session begins, the most common concern I’m hearing is affordability. The cost of living continues to rise, and families are feeling the strain with groceries, housing, fuel, and utilities.
Despite the largest tax increase in state history passed last year, new taxes already dominate the narrative in Olympia this year. Here are some of the proposals currently being discussed:
1. Proposed millionaires’ income tax
Backed by Gov. Bob Ferguson, lawmakers are discussing a 9.9% state income tax on individuals earning over $1 million annually. This would represent a major shift for Washington, which currently has no income tax, and would likely face constitutional and legal challenges.
2. Business & Occupation (B&O) and corporate taxes
New proposals would expand tax changes affecting large corporations, including B&O tax surcharges or progressive rates on large employers to fund education, healthcare and other public services.
3. A 1% wealth tax on assets over $100 million
Last year, lawmakers debated a 1% tax on financial intangible assets above $100 million, such as stocks, bonds, and mutual funds. While it did not advance, early reports indicate it will be reintroduced this session.
4. A 5% payroll tax on wages above $125,000
This proposal would impose a tax on jobs at a time when the state projects zero job growth in 2026. Similar to a tax already in place in Seattle, it would apply a 5% tax to salaries exceeding $125,000. Supporters say it could generate billions annually for housing, education, and healthcare. The truth is, it would unfairly tax large employers, penalize high-wage work, discourage job growth, and destabilize revenue by tying funding for essential services to a volatile payroll tax.
5. Higher property tax growth rates
Last year, the majority party proposed increasing property tax growth caps from the current 1% to population growth plus inflation (up to 3%) through bills such as HB 2049 and SB 5812. Although those proposals collapsed, they are expected to be reconsidered this year.
Bipartisan Effort for Washington
Washington is once again facing serious budget challenges in 2026, which will be addressed through the supplemental operating budget. Lawmakers must balance funding for education, public safety, infrastructure, and environmental priorities amid continued economic uncertainty.
As these discussions continue, it is critical that we avoid placing additional burdens on families already managing tight budgets. Before raising taxes or fees, the state should use existing revenue more responsibly.
Legislation I’m Sponsoring
In addition to working on the supplemental operating budget and opposing further tax increases, I am focused on several other policy priorities. Below are two bills I am currently sponsoring, with more in development. I am also a co-sponsor on numerous bipartisan bills, including several sponsored by Democrats. Good ideas deserve consideration regardless of who introduces them. Click here to see all the bills I’m sponsoring.
House Bill 2224 – would give cities and towns a more straightforward, voter-approved way to set up a local fire protection district to handle fire and emergency medical services. Instead of using a complex petition process, a city can propose a district, explain how it will be funded, and let voters decide. If approved, the new district would take over the city’s fire department, along with its staff, equipment, and funding, while protecting firefighters’ jobs and benefits.
House Bill 2308 – would strengthen enforcement of Washington’s auto insurance requirements, promoting fairness and public safety for all. A driver’s failure to provide proof of insurance during a traffic stop would result in a significant fine. The measure prioritizes accountability by allowing vehicle impoundment for repeat offenders or uninsured drivers who cause accidents, helping ensure that people injured in crashes are not left with unpaid medical bills or repair costs. The goal is to reduce uninsured driving, protect accident victims, and provide clearer guidance for law enforcement.
I will continue to keep you updated on these bills and other significant issues throughout the session.
Virtual Town Hall – Save the Date
Be sure to save the date for our 17th district virtual town hall meeting. Join me, Sen. Paul Harris, and Rep. Kevin Waters via Zoom on Wednesday, Feb. 18, at 6:30 p.m. Click here to register.
Helpful Resources to Stay Informed and Connected
There are many ways to stay informed and engaged with the Legislature:
My legislative website | Contact information, news releases, email updates, videos, opinion pieces, bills, and more.
The Capitol Buzz | A weekday roundup of legislative news. Click on the link to subscribe.
Track a bill| Find information on specific bills.
Testify or comment on a bill | Use these links if you want to testify or comment on a specific bill.
You can also view the bills I’m sponsoring by visiting my website and clicking “Sponsored Bills.”
The Week Ahead | Sent every Friday, this publication provides a look at which bills will receive public hearings in House committees and offers links on how to weigh in on them. Sign up by clicking here.
You can also stay connected by following us on social media and sharing our content.
Please Continue Reaching Out
As the session moves forward, I want to hear from you. Your ideas and feedback matter, and they help me better represent our district. Please stay engaged and reach out anytime as we navigate these important issues together.
It is an honor to serve you in Olympia.
Sincerely,
David Stuebe
