As King County’s new sales tax was approved, the county also named an inspector general to address reported fraud in government spending programs. The timing put a tax increase beside an accountability drive and created a conflict over whether taxpayers should send more money into a department under review.
The King County Council approved the ordinance on Oct. 6. It adds one cent to each $100 in taxable purchases, with proceeds directed to a program managed by the Department of Community and Human Services, or DCHS. That department had already drawn criticism over reported fraud and weak handling of public funds, prompting the county’s new Inspector General Division.
The legal opening came from Engrossed Substitute House Bill 2442. Democratic lawmakers passed the measure in February along party lines, allowing counties to impose the 0.01 percent levy through an ordinance. Washington had a history of requiring votes for tax increases, according to Republican opponents, who viewed that safeguard as both taxpayer protection and an accountability check.
Rep. Shaun Scott, a Democratic sponsor, said state and federal budget restraints left local governments needing authority to pay for basic services. He argued that extra oversight provisions were unnecessary because independent audits already take place. Scott also acknowledged that lawmakers had not specifically written fraud prevention into the measure.
Rep. Chris Corry, who opposed the legislation, said the change could expand government, make tax increases less transparent, and push more financial pressure onto cities and counties. He argued that the state was shifting its own budget problem onto local governments while weakening the public’s ability to hold elected officials accountable.
Then the county audit put DCHS’s financial controls under a sharper spotlight. A review completed by the King County Auditor’s Office in August 2025 found that the department did not consistently use internal safeguards as grant funding expanded. DCHS handles nearly 90% of county grants, while combined awards rose from $922 million in 2019 and 2020 to $1.87 billion in 2023 and 2024.
Auditors identified improper payments, including potential fraud, across multiple programs and contracts. A 2024 risk assessment classified nearly half of the department’s 359 taxpayer-funded grants as high risk. The audit also found that DCHS lacked clear written procedures, training, and checklists for reviewing invoices. Some grantees spent significantly outside their contract budgets without proper amendments or adequate oversight.
The review covered three juvenile diversion programs and an education and community empowerment program serving youth and families. Auditors concluded that DCHS had not done enough to manage its financial risk. The department did not respond to the request for comment, and the King County Council had not provided an on-record response by publication.
Why It Matters
At stake is more than the extra amount paid at the register. The source describes public grants growing rapidly while the department’s basic safeguards failed to keep pace. That creates a trust problem for residents: they are being asked to finance services through an agency whose handling of existing money is already under scrutiny.
The dispute also shows how pressure moves through the public system. State lawmakers say counties need room to provide services when higher levels of government face budget limits. Critics answer that shifting taxing power downward can blur responsibility, especially when local officials must explain both the tax and the spending. Taxpayers, county leaders, grantees, and people meant to receive services all have a stake.
Several questions remain open. Will the Inspector General Division produce stronger invoice checks and contract monitoring? Will DCHS show that new revenue is protected by clearer rules? And will state and county officials give residents a clear account of who is responsible when improper payments occur? DCHS did not respond for the article, leaving those accountability questions unresolved.
Source: The Liberty Daily
