SPRING 2012

Thrive Washington Presents a Positive Policy Agenda

The new Thrive Washington series points the way to budget sustainability and economic vitality.
By: Richard S. Davis
Thrive Washington Presents a Positive Policy Agenda

As lawmakers wrestle with the budget deficit, passionate observers surround the grapplers in the ring. Some people may not be interested in how legislators cut several billion dollars from projected spending, but they won’t be found in Olympia this session. And they won’t be found in the business community, which has a vital stake in state fiscal policy.

This is nothing new to Washington Business readers. The Association of Washington Business has long championed budget sustainability and competitive tax and regulatory policies. Thrive Washington, a partnership between the Washington Roundtable and Washington Research Council, is a research and communications effort to promote that integrated business agenda.

When we launched Thrive Washington last fall, we had a simple objective: Provide good, workable policy recommendations for restructuring state government and stimulating economic vitality. Like AWB, the Washington Alliance for a Competitive Economy, and other state and local business groups, we recognized the opportunity and obligation to offer constructive solutions to the vexing problems facing our business and political leaders.

The initial work product is a series of white papers —short, prescriptive research reports that examine fundamental public policies, diagnose problems and recommend solutions. We review the academic literature, look at best practices from business and government, and apply lessons learned to inform this state’s policymakers.

Three years into the fiscal downturn, optimism is hard to sustain. As I brief business and civic groups on economic and budget issues, I know people fervently look for good news, the signal that things are turning around. But a candid assessment of the short-term outlook is generally bleak. (I’ve learned to ask the wait staff to remove sharp objects from the tables before I begin my presentations.)

It makes no sense to deny the transformative nature of the deepest, longest recession since World War II. The reality must be confronted. But at the same time, we must look beyond the crisis. Policymakers must use this time to restructure, develop new ways to do what must be done, and jettison extraneous programs and policies launched in another time.

That’s what we try to do in Thrive Washington. We acknowledge current fiscal realities, but we do not let them constrain our policy recommendations for the future.

Our first paper, “Charting a New Course,” examines how other states are handling their fiscal crises, restructuring governmental operations, tackling spending and rebuilding public confidence. Subsequent publications will offer more detail on how Washington can build a sustainable state budget, control health care spending, improve health care outcomes and stimulate economic activity.

Some of the ideas will be familiar to AWB members. We advocate smart contracting out to capitalize on private sector efficiencies. We recommend ways for lawmakers to manage better the size and compensation of the state workforce. We call for management reorganization and regulatory reform.

A common — and optimistic — theme runs through all of the Thrive Washington recommendations. As stated in “Charting a New Course,” we believe the coming transformation of state government “does not require Washingtonians to lower their expectations. Smaller government can be more responsive, efficient, productive and accountable… [B]y setting state spending at a sustainable level, state officials can spur investment and job creation, thus stabilizing revenues to support essential public services.”

I think optimism, while scarce, is warranted. Working together, we can help the Legislature understand that the right decisions made now will have profound, positive long-term consequences. Let them hear from you.

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