by Paul W. Taylor, TVW, Washington State Standard
October 19, 2026
This article was first published by TVW.
Washington’s largest state agency is preparing for a difficult 2027 budget by pursuing two strategies at once: pulling back where it can while trying to modernize how it delivers services.
In an interview on TVW’s “Inside Olympia,” Department of Social and Health Services Secretary Angela Ramirez told host Austin Jenkins the retrenchment could include leaving vacant positions unfilled, consolidating systems, renegotiating contracts and narrowing eligibility for some programs. She said DSHS has already identified about $5 million in savings, including roughly $1 million annually from changing a telecommunications vendor, in a biennial budget that totals $26 billion.
At the same time, DSHS is proposing technology investments intended to improve efficiency. One decision package would authorize an artificial intelligence pilot to identify SNAP food assistance cases for additional review and help reduce the program’s error rate. According to the USDA, Washington’s SNAP payment error rate climbed nearly 1 percentage point in 2025 to 6.98% but, even with the increase, the state’s error rate was below the national figure of 10.62%. Ramirez stressed that AI would not make eligibility decisions but be a new powerful tool for decision makers.
“I think it’s both. I don’t think it’s binary,” Ramirez said. “I think we have to think about how to be innovative.”
The strategy comes as federal changes to Medicaid, SNAP and other programs create additional administrative and financial pressures for the agency. Ramirez said DSHS is spending millions responding to new requirements while confronting an already tight state budget.
Retrenchment is also affecting DSHS’ unionized workforce. The state’s largest government-employee union has ratified a 2027-29 contract with no general pay increase in the first year, although the agreement reopens wage negotiations for the second year. Ramirez said some vacancies could remain unfilled, while limited resources constrain wages, travel and training.
And she acknowledged that finding efficiencies will not be enough to avoid consequences for some clients.
“Least harm does not mean no harm,” Ramirez said.
Ramirez said the broader goal is to combine cost-cutting with streamlined technology, better access to services and a more results-driven agency, even as DSHS responds to federal changes and state budget constraints.
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