Bill > HB2100

This bill establishes a new payroll expense tax on large operating companies to create the Well Washington Fund Account in response to anticipated federal budget cuts. The tax will apply to companies with more than 20 employees and over $5 million in gross receipts, specifically targeting wages above $125,000 (the Additional Medicare Tax threshold) at a rate of 5%. Beginning July 1, 2027, 51% of the collected tax revenues will be deposited into the Well Washington Fund Account, with the remaining 49% going to the state's general fund. The funds will be used to support critical services including higher education, healthcare (especially Medicaid), cash assistance programs, and energy and housing programs. The bill also creates a 25-member Well Washington Fund Oversight and Accountability Board to provide guidance and ensure the fund's effectiveness in mitigating potential federal funding reductions. The legislature's rationale stems from concerns about H.R. 1, which they believe will substantially cut federal funding in key public sector spending areas, potentially impacting hundreds of thousands of Washingtonians by reducing access to healthcare, food assistance, and other essential services. The bill includes detailed provisions for tax collection, appeals processes, and administrative procedures to implement this new funding mechanism.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=2100&Year=2025&Initiative=false