We are in the homestretch of the 2010 legislative session. From now until the scheduled adjournment date of March 11, state lawmakers will make decisions that will impact our economy and the lives of citizens for years to come.

The backdrops for these decisions are high unemployment and a $2.7 billion budget shortfall, with each being closely tied to one another. We know a stronger economy improves our budget situation, and both issues must be addressed with comprehensive solutions.

Too many people are out of work, have seen their wages reduced or are worried about losing their jobs. This is putting a financial strain on families, individuals and small businesses, and it is hurting our economy. We must preserve jobs and improve our business climate so our state is positioned for a full economic recovery.

So, how do we get there? We can start by focusing on private-sector jobs. Unfortunately, as government has grown, private-sector jobs have disappeared. From February 2008 to December 2009, more than 7,800 government jobs were added in our state, while 173,500 private-sector jobs were lost. Our focus should not be on jobs that are reliant on tax dollars to create and sustain them.

We must also address the long-standing needs of our businesses. I support a plan that would provide them regulatory relief, health care reform and clean, low-cost energy. It would assist all sectors of our economy — from small businesses to the Boeing Company — and solidify our economic foundation. The space of this column does not allow me to go into the details of this plan, but you can find them by going to http://houserepublicans.wa.gov/our-solutions/.

We know when people are working they generate more activity in our economy, which creates more revenue, and they use fewer state services. This is the nexus between our economy and state budget, both of which are facing serious challenges.

The proceeding information is not meant to be partisan but, rather, to offer contrast. There are two very different approaches to the budget shortfall in Olympia. The first one, supported by a majority of Democrats, relies on new tax increases, federal bailout dollars and one-time state fund transfers. I feel this is unsustainable, short-sighted and harmful to our economy. It is not how responsible families and employers budget, nor is it how state government should operate.

A second approach, which I support, is to reject tax increases, prioritize state government and reform our budget process. There are solutions on the table that would accomplish these goals.

First, we do not need to raise taxes to balance our budget. This is one of the reasons I voted against Senate Bill 6130, which has been signed into law and suspends the voter-approved Taxpayer Protection Act (Initiative 960). With this taxpayer protection pushed aside, taxes will now be increased by nearly $1 billion.

Second, we must use these tough times as an opportunity for real reform in state government. This means prioritizing to focus on education, public safety and services for our most vulnerable citizens. When our state spends hundreds of millions of dollars on running insurance companies, liquor stores and vast technological services, it takes resources away from priorities.

Finally, our budget process must be reformed. We need guidelines to ensure budget sustainability, accountability and transparency. I am sponsoring legislation that would require exceptional state revenue to be deposited into the state’s “rainy day fund” during good economic times; prohibit the governor or the Legislature from proposing an operating budget deemed unsustainable; require the Legislature to adopt a balanced budget; and establish a state spending limit.

I value your input on sound solutions that will lead to a stronger economy and sustainable state budget. Together, we can build healthier communities and enhance the lives of citizens.

Rep. Barbara Bailey (R-Oak Harbor) represents the 10th Legislative District and is assistant ranking member on the House Ways and Means Committee. She can be contacted at bailey.barbara@leg.wa.gov or 360-786-7914.