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Agency Recommendation Summaries

Department of Revenue

  Average Annual FTEs Near General Fund State Other Funds Total Funds
  (Dollars in Thousands)
Current Budget 1,540.3 880,229 55,929 936,158
2025-27 Maintenance Level 1,540.3 880,205 55,929 936,134
Difference from 2025-27 Original 0.0 (24) 0 (24)
% Change from 2025-27 Original 0.0% (0.0%) 0.0% (0.0%)

2026 Policy Other Changes

Administrative Reduction 0.0 (265) 0 (265)
Land Banking Legislation 0.40 87 0 87
Move to State-Owned ELG 0.0 1,859 383 2,242
Remove Data Center Preference 0.40 105 0 105
Remove Prescription Reseller Pref. 0.40 223 0 223
Working Families Tax Credit to CCA 0.0 (498,000) 569,000 71,000
2026 Policy Other Changes Total 1.2 (495,991) 569,383 73,392

2026 Policy Comp Changes

WPEA General Government 0.0 8,154 807 8,961
2026 Policy Comp Changes Total 0.0 8,154 807 8,961

2026 Policy Central Services Changes

Audit Services 0.0 3 0 3
DES Central Services 0.0 42 7 49
GOV Central Services 0.0 49 7 56
Legal Services 0.0 104 14 118
OFM Central Services 0.0 2,154 305 2,459
Self-Insurance Liability Premium 0.0 563 80 643
WTS Central Services 0.0 136 24 160
2026 Policy Central Services Changes Total 0.0 3,051 437 3,488
Total Policy Changes 1.2 (484,786) 570,627 85,841
2026 Policy Level 1,541.5 395,419 626,556 1,021,975
Difference from 2025-27 Original 1.2 (484,810) 570,627 85,817
% Change from 2025-27 Original 0.08% (55.1%) 1,020.3% 9.2%

Policy Changes

Administrative Reduction

Funding is reduced to reflect a reduction in administrative services. (General Fund - State)

Audit Services

Adjustments are made for each agency's anticipated cost of audits performed by the Washington State Auditor. (General Fund - State)

DES Central Services

Adjustments are made to reflect each agency's anticipated share of charges from the Department of Enterprise Services for Capitol Campus costs; real estate, risk management, and small agency services; the Perry Street and Capitol Campus child care centers; enterprise applications, and other items. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

GOV Central Services

Adjustments are made to reflect each agency's anticipated share of charges from the Office of the Governor for the Office of Equity. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

Land Banking Legislation

The department will implement and administer the tax components in land banking legislation. (General Fund-State) (General Fund - State)

Legal Services

Adjustments are made for each agency's anticipated cost of legal services provided by the Office of the Attorney General. Funding provided in the central service model is not all inclusive, as legal services expenditures are based on consumption. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

Move to State-Owned ELG

The department will move to the Edna Lucille Goodrich state-owned building and this funding will be used for upfront costs associated with the relocation. (General Fund-State) (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

OFM Central Services

Adjustments are made to reflect each agency's anticipated share of charges from the Office of Financial Management for existing statewide applications, the One Washington program, and other central services. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

Remove Data Center Preference

The department will expire existing and new refurbishment certificates for rural county data centers and for data centers in counties with populations over 800,000 as of July 1, 2026. Replacement server equipment is removed from from the "eligible server equipment" definition. (General Fund-State) (General Fund - State)

Remove Prescription Reseller Pref.

Funding is provided to repeal the 0.138 percent preferential B&O tax rate for resellers of prescription drugs. (General Fund-State) (General Fund - State)

Self-Insurance Liability Premium

Adjustments are made to reflect each agency's share of actuarially projected costs of the self-insurance liability premium. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

WPEA General Government

Funding is provided for a collective bargaining agreement with the Washington Public Employees Association on behalf of general government employees, which includes a general wage increase of 3 percent, effective July 1, 2025, and of 2 percent effective July 1, 2026; provision of a starting wage of $18 per hour and addressing of compression and inversion, effective July 1, 2025; retroactive wildfire rest and recouperation leave, effective July 1, 2025; a prescribed fire premium, effective July 1, 2025; targeted job classification increases, effective July 1, 2025; annual lump sum payments for employees of CDHR and WSSSB, for the current biennium only; and increased paid bereavement leave. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

WTS Central Services

Adjustments are made to reflect each agency's anticipated share of charges from Washington Technology Solutions for the Office of Cybersecurity, the state network, enterprise services, small agency IT services, enterprise architecture and data management, Microsoft 365 licenses, and other items. (Business License Account - State, General Fund - State, Unclaimed Personal Property Account - Non-Appropriated, other funds)

Working Families Tax Credit to CCA

The fund source for 2025–27 working families tax credit remittances is shifted from general fund to the climate commitment act one time. (General Fund-State, Climate Commitment Account-State) (Climate Commitment Account - State, General Fund - State)