TOP STORIES
Lawmakers agree on partial budget fix, go home for the holidays
Legislators wrapped up the special session last week after agreeing on a plan that cuts $480 million from the state’s $1.4 billion budget shortfall. It relies on a combination of cuts, transfers and delayed payments. Lawmakers called it the best deal they could craft in a short amount of time, but others were critical, saying they should have done more. “Don’t be impressed by the $480 million lawmakers have come up with,” The News Tribune declared in an editorial blasting the group as a “do-nothing Legislature.” They will return to Olympia Jan. 9 for the start of the 2012 regular session.

Six-year budget outlook shows a $2.85 billion shortfall by 2017
After taking a hiatus, the state Office of Financial Management has published a new six-year budget outlook – and it’s not reassuring. The document shows the state with a $2.85 billion shortfall by 2017. As reporter Austin Jenkins notes in a blog post, part of the shortfall is because the outlook assumes the Legislature gets around to funding initiatives 728 and 732, the voter-approved measures to reduce class size and boost teacher pay.

Gregoire, legislators propose reforms targeting lottery, initiatives and more
A day after lawmakers concluded their special session, Gov. Chris Gregoire proposed a number of government reform measures, including a plan to possibly privatize the state lottery. Doing so could produce more money for the state, which would be used to fund higher education and early learning programs. The idea, which comes on the heels of voters’ decision to privatize the state liquor system, is a welcome indication that the governor is willing to explore more ways to privatize non-essential government functions. In addition, Gregoire said she is issuing an executive order to expand Lean process improvements, directing all state agencies to adopt the Lean principles made popular by Toyota and embraced locally by Boeing and other private-sector employers. Boeing, Virginia Mason and other private employers will help the state implement the processes. And a group of legislators introduced a constitutional amendment that would require citizens’ initiatives to identify a source of new funding to pay for costs they create.

$60 million early learning grant, proposed education reforms aim to improve state’s schools
Washington’s schools received a boost Friday with news that the state will receive $60 million in federal grant money over the next four years. The Race to the Top-Early Learning Challenge grant will help pay for expanding the state’s kindergarten readiness assessment, expanding the quality rating and improvement system, and funding awards and incentives for those who work with and care for young children. Earlier in the week, Gov. Gregoire announced a series of education reform proposals, including a new teacher and principal evaluation system.

Don’t wait – Register now for AWB Legislative & Lobby Days, Jan. 17-18
Want to cross something off your “to do” list? Register now for AWB’s Legislative & Lobby Days. Our two-day event is happening earlier in the legislative session next year, and we’re expecting higher attendance as a result. Don’t let the date sneak up you. It starts Jan. 17 with Legislative Day, an event featuring moderated panel discussions with legislators and industry leaders talking about budget and taxes, labor and workforce and education and workforce training issues. Gov. Chris Gregoire is our lunch keynote speaker. The day culminates with our Legislative Reception, a premiere event that will bring legislators and business leaders together at the Red Lion Hotel in Olympia. Then join us the next morning for Lobby Day as we travel to the Capitol to meet directly with your legislators. They need to hear directly from employers about how their decisions impact business, so please consider making time for this event. Go online and register today – and make sure you secure a hotel reservation before rooms sell out. You can also show your support through sponsorship. Contact Anne Haller at 800.521.9325.

Gregoire appoints nine to oversee Health Benefits Exchange
Gov. Chris Gregoire appointed nine members to the governing board of the state’s new Health Benefits Exchange last week, including Don Conant, chairman of AWB’s Health Care Committee, and AWB member Bill Baldwin, a partner in The Partners Group. The exchange is considered a key part of the national health reform law. Other members are: Steve Appel, wheat and barley farmer and past president of the Washington Farm Bureau; Doug Conrad, professor of health services, University of Washington; Melanie Curtice, partner, Stoel Rives; Dr. Ben Danielson, medical director, Odessa Brown Children’s Clinic; Phil Dyer, senior vice president, Kibble & Prentice/USI; and Teresa Mosqueda, legislative and policy director, Washington State Labor Council. The appointed chair is Margaret Stanley, retired executive director, Puget Sound Health Alliance and former senior vice president at Regence BlueShield.

Supreme Court will hear health care arguments in March
The Supreme Court announced today that it will hear three days of oral arguments on the federal health reform law at the end of March. The arguments fill the entire court calendar that week, an unprecedented amount of time, The Associated Press reported. The timing means that a final decision on the Patient Protection and Affordable Care Act will likely come before Independence Day.

Find out what Phyllis Campbell told SPU students about banking, change management and careers
Phyllis Campbell, chairman of the Pacific Northwest for JPMorgan Chase & Co. shared her insight on banking, change management and careers last month as part of The AWB Distinguished Speaker Series at Seattle Pacific University’s School of Business. Now her address is available for all to hear as a free download in iTunes. For more than a decade, the AWB Distinguished Speaker Series has brought prominent business leaders to the school to deliver real-world insight into issues explored in the classroom. Previous speakers have included John Stanton, chairman of the board of Trilogy International Partners, Bonnie Wurzbacher, senior vice president at The Coca-Cola Company, and Scott Carson, president and CEO of Boeing Commercial Airplanes.

Puget Sound Partnership releases draft Action Agenda, seeking comments
The Puget Sound Partnership recently released the draft Action Agenda and is taking comments on it through Jan. 20. AWB staff will be working the AWB Puget Sound Partnership Subcommittee to develop written comments. Members can help by providing comments to AWB staff as early as possible. Please send comments to AWB’s Brandon Houskeeper.

State jobless rate drops to 8.7 percent
Washington recorded more than 12,000 new jobs in November, dropping the unemployment rate from 9.1 percent to 8.7 percent, officials reported last week. “This is the kind of job growth we need to make a good dent in the unemployment rate,” said Greg Weeks, director of the Employment Security Department’s labor-market information office.

Task force wants state to raise $21 billion for transportation
A governor-appointed task force is recommending Washington raise an additional $21 billion over 10 years to spend on roads, bridges, buses, ferries and other transportation needs, The News Tribune reported. The money would likely require voter approval. A bipartisan group of lawmakers plan to start work next month on developing something to put on the ballot, possibly in November.

Redistricting Commission releases new maps
The state’s Redistricting Commission released two new legislative maps on Friday, one for the northern parts of Western Washington and another for southwest Washington and the Olympia Peninsula. Republican Gary Alexander of Thurston County is among the incumbents displaced by the map, The Olympian’s Brad Shannon reported. The bipartisan commission is attempting to agree on new boundaries by a Jan. 1 deadline.

No Fast Facts in your inbox next week – Happy Holidays!
This is the final Fast Facts newsletter of the year. Publication will resume Tuesday, Jan. 3. Also, please note that AWB’s office will be closed Friday, Dec. 23, Monday, Dec. 26 and Monday, Jan. 2 for the Christmas and New Year’s holidays.

KEY HEARINGS, MEETINGS
Reminder: Environmental Affairs Council meeting Wednesday
The AWB Environmental Affairs Council meeting that was scheduled for Dec. 12 has been moved to Wednesday at 8:30 a.m. For more information, contact AWB’s Brandon Houskeeper.

AWB Transportation Committee to meet Jan. 5
AWB’s Transportation Committee will meet Jan. 5 from 10 a.m.-noon at AWB. The date is intended to allow time for the upcoming special session to adjourn and for the Connecting Washington Task Force to complete its work. We will provide a reminder and materials as the date draws closer. If you have topics you would like to see on the agenda, please notify AWB’s Amber Carter.

AWB EVENTS & RESOURCES
AWB Spring Meeting set for June 12-13 in Spokane
Save the date: AWB’s Spring Meeting will be held June 12-13 in Spokane. The meeting, which is normally held in May, is being pushed back next year so it can include a gubernatorial debate and AWB’s endorsements for governor and attorney general. Those activities have historically occurred at AWB’s Policy Summit in September.

New, low cost 401(k) program for AWB Members!
AWB is pleased to announce a new member service, the BenefitGuard 401(k) Plan. You don’t need to be a Fortune 500 company to have benefits like one! The plan is full-service and low cost and can be tailored to your company’s specific needs. The plan takes care of all the paperwork, the plan audit and IRS filings so that your time is spent taking care of your business. To find out how to take care of this powerful retirement plan option, please call us toll free at 866.670.4015 or go to http://www.awbbenefitguardplan.com/.

THEY SAID IT
“When I was growing up, America’s space program was the symbol of aspiration. For me, the fascination with space never ended. I never stopped dreaming what might be possible.” ~ Paul Allen, regarding his plan to build an enormous airplane and spaceship system

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