Sometimes you're shaken to the core – sometimes,�Sometimes the face is gonna fall,

Sometimes you're beaten to the call –sometimes,�Sometimes you're taken to the wall -�But you don't give in!�

Sometimes by Midnight Oil

August Community Meeting

August 8, 2026

Land Acknowledgment

We acknowledge that the land on which we live is the traditional territory of Coast Salish peoples. Their presence is imbued in the lands and waters surrounding us. May we nurture our relationship with our Native neighbors, and our shared responsibilities to their homelands where we all reside today.

�Introduction To The Issaquah Spotlight�

Initiative 645

What Would I-645 Do?

Initiative 645 would do two things:�

• Repeal the 9.90% tax on individual income exceeding $1 million included as part of SB 6346 (the so-called “Millionaire’s Tax”)�
• Require that individual income be treated as “property” that may be taxed only at a uniform rate not exceeding 1%.

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The Problem That SB 6346 Addressed:

• An expanding state population�
• Reduced federal support�
• A serious budget shortfall caused in part by unreliable sources of tax revenue

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• WA is 5^th in median household income, but 25^th in % of household income paid in state and local taxes; and the per capita % of our state’s GST applied to the state’s general fund has decreased over the years:

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• Washington’s tax structure is the second-most regressive one in the country (only in Florida do people pay proportionately more in state taxes as you progress to the bottom of the income scale):

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People in Washington at the top of the income scale keep enjoying proportionately greater and greater riches:

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SB 6346 Sought To Address The Situation:

• It establishes a new tax starting in 2028 on the portion of annual personal incomes (federal AGI) exceeding $1 million – BUT NOTE:
• Everyone’s annual income up to $1 million is exempt
• Sales proceeds from anyone’s home or other real property is exempt
• Income from the disposition of any family-owned business is exempt
• Capital gains and certain B&O tax payments are credited against the tax
• Charitable contributions up to $100,000 are deductible, as are up to 80% of loss carryforwards

• Affects only ~21,500 of Washington’s ~3.8 million taxpayers (about 6/10^ths of 1%) - and certainly not anyone whose lifestyle will be materially altered by it.�
• Income exceeding $1 million is taxed in 41 other states.

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What Will Revenues From The Tax Fund?

The ~$3.5 billion/year in additional tax revenues will fund:

• General fund programs:
• K-12 education (43%)
• Health care
• Higher education
• Human services
• Other essential services
• As well as other programs:
• The Fair Start For Kids Account (child care and early learning)
• Local government mitigation ($200 million/year)
• Free school meals for an additional 272,000 K-12 students ($140 million/year)
• Expansion of the Working Families Tax Credit (a lifeline to 460,000 additional needy households)

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Offsetting Tax Relief Under SB 6346:

• ~40% of revenues from the new tax pay for reductions in other, more regressive taxes

• Why? Because SB 6346:
• --Eliminates sales tax on various things (including diapers, personal care products and many over-the-counter drugs)
• --Doubles the revenue threshold at which businesses pay B&O tax - making ~70% of all Washington businesses exempt from B&O tax
• --Rolls back or eliminates a variety of other regressive taxes and related surcharges

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What Will Happen If Initiative 645 Passes?

• The new tax under SB 6346 (the so-called “Millionaire’s Tax”) would be repealed, but the various taxes that SB 6346 reduces or eliminates would not be restored.�
• As a result: I-645 would blow a huge hole in the state’s budget.�
• Since Washington must balance its state budget, the Legislature would be forced to do one or both of two things - either:

(1) provide the needed funding by increasing other, more regressive taxes; or

(2) impair or eliminate programs funded by the SB 6346 tax.�

• Who would benefit from I-645’s passage? You guessed it: The ~21,500 wealthy Washington taxpayers who otherwise would pay a relatively painless tax.

The Arguments Made By Proponents Of I-645:

Argument No. 1:

“The tax is unfair in that its burden falls exclusively on a relatively few very wealthiest people.”

�Rebuttal:

• It’s the very wealthiest people who by far pay proportionately the least in state taxes. The tax makes our overall state tax system more fair.

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Argument No. 2:�“The tax is unfair in that it’s only individuals who must pay it – profitable companies won’t be subject to the tax.”

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Rebuttal:

• There are already state taxes that are paid only by individuals (like estate taxes). There also are already state taxes that are only paid by companies (like B&O taxes and payroll taxes) – and companies pay way more in the taxes that apply only to them than individuals will pay under the so-called “Millionaire’s Tax.”

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Argument No. 3:

“SB 6346 included no safeguards against a reduction in the $1 million threshold. There’s nothing in SB 6346 to keep the Legislature from reducing the threshold in the future to $500,000, or 100,000, or to zero dollars.”�

Rebuttal:

• Highly unlikely: Reducing the threshold would make the tax more regressive, defeating one of its purposes; Gov. Ferguson has promised to veto any bill to reduce the threshold; and the Democrats have made it plain they don’t want to.
• But even if there were a reasonable risk that the threshold might be reduced, this at most is an argument for establishing the desired safeguards - not an argument for doing away with the tax altogether.

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Argument No. 4:

“The tax is a stalking horse – it’s just a prelude to the adoption of a generally-applicable graduated income tax in our state.”�

Rebuttal:

• The tax established by SB 6346 might or might not open the door to a general graduated state income tax – whether a graduated income tax is permissible under our state’s constitution will be determined in a challenge to the tax brought by the proponents of I-645.
• But even if that were the case – even if the proponents’ court challenge were to end up leaving Washington free to include a generally-applicable graduated state income tax as part of an overall reform of its tax system, making its tax system less regressive and more stable - why exactly would that be a bad thing? (Most states have such a tax.)

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Argument No. 5:

“The tax will drive super-wealthy business owners (and, along with them, their businesses) to other states.”�

Rebuttal:

• It’s farfetched to think that the tax will prompt any such exodus.
• Washington is #8 in Forbes 2026 list of best states for businesses, and 11^th in CNBC’s 2026 list. So even if a business’s owner were inclined to relocate to avoid an essentially painless individual tax, why would that person incur put the business to the substantial expense and risks involved in a move?
• The argument in any case is a boogeyman. The tax isn’t projected overall to reduce state tax revenues - it’s projected to increase them.

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Election Results And �The Upcoming General Election

Congressional Races

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Washington’s 8th District

Kim Schrier (D) 53.52%

Spencer Moline (R) 15.77%

Trinh Ha (R) 14.96%

Other Dem votes 2.42%

Other Rep votes 13.16%

�Washington’s 1st District

Suzan DelBene (D) 53.08%

Mary Silva (R) 26.33%

Other Dem votes 12.98%

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Washington’s 9th District

Adam Smith (D) 47.79%

Doug Basler (R) 21.89%

Other Dems 29.10%

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Washington’s 3rd District *

Marie Glusenkamp-Perez (D) 36.47%

John Braun (R) 39.58%

Other Dem votes 18.48%

Other Rep votes 3.13%

State Legislative District Races

5th

Pos. 1* Zach Hall (D) 44.93% Pos. 2 Lisa Callen (D) 57.75%

Michelle Bennett (R) 43.04% Patrick Peacock (R) 42.16%

Other Dem votes 9.39%

41st

Pos. 1 Janice Zahn (D) 72.19% Pos. 2 My-Linh Thai (D) 66.42%

Elle Nguyen (R) 26.61% Michael Rosen (I) 33.22%

45th

Senator Manka Dhingra (D) 90.42%

Pos. 1 Roger Goodman (D) 72.95%

JoAnn Tolentino (R) 26.79%

Pos. 2 Vanessa Kritzer (D) 62.84%

John Gibbons (R) 20.78%

Other Dem votes 15.99%

State Legislative District Races

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47th

Senator Claudia Kauffman (D) 59.13%

Kristina Soltys (R) 40.74%

Pos.1 Debra Jean Entenman (D) 37.84%

Cobi Clark (L) 30.05%

Other Dem votes 19.91%

Pos. 2 Chris Stearns (D) 59.99%

Ted Cooke (R) 39.83%

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12th

Pos.1* Stacy Willoughby (D) 49.41% Pos, 2 Mike Steele (R) 41.32%

Brian Burnett (R) 50.51% Maggie Adams (D) 33.47%

Other Rep votes 25.14%

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King County Race

Assessor

Rob Foxcurran 46.90%

Dominique M Scarimbolo 19.17%

Christopher Roberts 18.69

Judicial Races

Supreme Court

Justice Position #01

Colleen Melody 53.14%

Scott Edwards 29.15%

Justice Position #03

David Stevens 34.93%

Jaime Michelle Hawk 33.37%

Mike Diaz 31.38%

Justice Position #05

Theo Angelis 36.05%

Dave Larson 31.94%

Justice Position #07

Debra Stephens 54.67%

Todd Bloom 26.89%

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Supporting Our Immigrant Neighbors

No Flock In Issaquah Update

No Flock in Issaquah

City proposed City Ordinance on July 20th.

• Did not include “closed loop” or local data storage option.�

City Council indefinitely paused further discussion of City Ordinance, effectively banning all ALPR systems in Issaquah.

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Quarterly Meetings With Rep. Schrier’s Staff

Indivisible WA8 Teams - Updates And News

Postcards

SIGN UP TODAY �TO WRITE GOTV POSTCARDS �TO SWING STATES for the 2026 MIDTERMS

Postcards 4 WA

• https://postcards4wa.org/
• WA State Postcards in support of progressive candidates in close races in state/local races
• Complies with WA PDC
• Considered a donation-in-kind
• Getting spun up now, but will focus on the general
• Actions
• Postcards, Donations

GOTV

GOTV Zines and Canvassing in the 5th

87 Days Until the November 3rd Election

What are we going to do in that time?

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What issue or race is top of mind for you?

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How do you personally want to “do the work”?

What is the most effective way for IndWA8 organize to support you to “do the work”?

Upcoming Events

Issaquah Overpass Sign Waving

Tuesdays @4:30pm���Weekday Overpass Demonstration - Made Possible by Volunteers Like You!

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Brewed Awakening

August 13th

10am-12pm @ Metropolitan Market- Sammamish (upstairs area)��2nd Thursday

of the month�

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Two Indivisible trainings this month on election protection: the actions you and those around you can take to ensure every eligible voter can vote, every vote is counted, and the results are honored and the winners seated:

�Wednesdays - August 19 & 26 - 5:00-6:00 pm

Register here:

Find even more events on our Indivisible WA-8 webpage:

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Indivisible-wa8.com

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Take Heart…Good Things Are Happening

When People Mobilize, Good Things Can Happen

In The World Of Politics:

Thank You for Coming Today