Republican State Sen. John Braun told Woodland business leaders Tuesday during a Woodland Chamber of Commerce Luncheon at the Oak Tree Restaurant that affordability remains the issue he hears about most as lawmakers prepare for the 2026 legislative session.
Although Braun is running against Rep. Marie Gluesenkamp Perez, having launched his campaign in November, the Q&A and his Woodland address mainly focused on the upcoming session.
He opened his remarks by outlining what he sees driving financial pressure for residents, from food and gas to childcare and housing. Braun said those costs continue to rise faster than wages and that the state’s policy choices play a role.
“The top priorities are simple. It's affordability, affordability, affordability,” he said.
According to the Office of Program Research (OPR), the state faces a $4.3 billion shortfall in the 2027-29 biennium. Braun told the room he believes Washington’s financial problems stem from overspending rather than a lack of revenue.
“You can't tell me you're serious about spending if, when faced with a financial difficulty, you just go take more money and spend more money,” he said.
He said Democrats will likely pursue new tax proposals during the upcoming session. He warned that a possible income tax on high earners, even if aimed at adjusted gross income above $1 million, would eventually expand to affect smaller employers.
Ahead of the legislative session, Senate Democrats have discussed an income tax of 9.9 percent on adjusted gross income above $1 million, projected to draw an estimated $3 billion from about 20,000 affected households. He echoed statements made by State Rep. Peter Abbarno to the Chamber of Commerce late November by suggesting the Democrats in power would expand an income tax to lower earners.
“I don't believe it's gonna pay out like they think it is, which means the next year, they ratchet it down to $500,000. Then the next year, they ratchet down to $250,000 and pretty soon, we all have an income tax,” he said.
Braun also fielded a question about how Democrats will justify such a tax. He argued that the arguments will focus on emotional appeals involving schools and social services.
“They're gonna use your heartstrings, is what they're gonna do,” he said.
Woodland Chamber President Neil Butler asked Braun how the state plans to address school funding challenges, particularly rising insurance and energy costs that districts cannot control. Braun said those increases are tied to state policy.
“On insurance, it's a 100% tied to policy passed by the Democratic majority,” Bruan said.
He added that insurance and liability costs have grown sharply at the state level and said the state now pays about $500 million per year in tort liability.
Another question from the audience asked Braun about tariffs enacted by the Trump administration and how they affect local employers. Braun said tariffs can serve a purpose but often come with consequences for smaller companies, calling them “a mixed bag.” He said while the administration has used some tariffs effectively, they should be used incrementally to allow the economy to adjust.
“They have, I think, diagnosed the problem correctly, which is that over the decades, the U.S. has put ourselves in a bad position relative to our trading partners … we are not getting the type of deal we should be getting,” Braun said. “It's a fine line between when that tariff expense ends up being borne by whoever that good is coming from, say China, or it's being passed on to the consumer, and when it's being passed on to the consumer, that contributes to an affordability issue just like taxes.”