Gov. Bob Ferguson speaks to reporters at the state Capitol on Feb. 27, 2025 about his plans to cut state spending by about $4 billion over four years. (Photo by Bill Lucia/Washington State Standard)
Governor Bob Ferguson has unveiled a plan to save nearly $4 billion to help address Washington’s historic $15 billion budget shortfall. His proposal maintains key investments in K-12 education, public safety, housing assistance, Medicaid, and cash benefit programs while implementing strategic spending reductions.
Ferguson’s plan focuses on government efficiency, pausing or phasing in new spending, scaling back recent expenditures, and limiting the replacement of one-time federal funding. Notable savings include consolidating office spaces, reducing travel expenses, and adjusting state-funded marketing efforts. Additionally, Ferguson proposes a gradual increase in childcare reimbursement rates rather than an immediate hike, saving $144 million.
To further cut costs, Ferguson suggests a one-day-per-month furlough for most state employees, generating $300 million in savings over two years. His approach builds on Governor Inslee’s $3 billion in proposed reductions, collectively trimming the deficit by $7 billion.
Ferguson emphasized the need for fiscal responsibility while protecting essential services. “This challenge demands thoughtful leadership,” he stated. “We must prioritize while safeguarding Washingtonians’ core needs.”
State agencies have identified an additional $1 billion in potential savings, which will be reviewed by the Legislature as they work to close the budget gap.
The full list of Ferguson’s current proposals is available here for the supplemental budget, and here for the 2025-27 biennium.