Rift over debt limit stalls lawmakers in Olympia

  • The Associated Press
  • Monday, May 23, 2011 1:07pm
  • News

The Associated Press

OLYMPIA — State lawmakers are now dealing with a new rift that threatens to stall the end of the special session.

Gov. Chris Gregoire has called an afternoon meeting with House and Senate leaders to figure out whether they can agree how to handle the state’s debt limit.

The Senate has wanted a constitutional amendment that would eventually reduce the state’s usage of bonds from 9 percent to 7 percent of state revenues.

But Democratic Rep. Hans Dunshee of Snohomish says his colleagues are unwilling to even support a plan to create a suggested debt limit of 8 percent.

Dunshee says the curbs would lead to cuts for a variety of construction projects, including schools. He says that could force local governments to pay an increased share.

The current special session ends Wednesday.

Earlier today, lawmakers reached a tentative agreement on how to close the state’s $5 billion budget shortfall, finding the elusive compromise after weeks of talks.

Budget negotiators struck the pact in a meeting this morning. They declined to discuss specifics of the spending plan and will spend the day compiling the details before presenting it to their respective colleagues and the public Tuesday.

“We’ve got a deal,” said Sen. Ed Murray, D-Seattle, as lawmakers from both parties and chambers emerged from a conference room. Gregoire has been involved in the negotiations for days. Murray said he expects they will be able to pass the budget by Wednesday.

The Legislature wasn’t able to reach a deal on the spending plan when its regular session ended a month ago, leading the Democratic governor to call them back for 30 days of overtime.

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