Washington faces increasing wildfire risk driven by climate change, accumulated forest fuels, expanding development in fire-prone areas, significant changes in the federal firefighting workforce, and rising suppression costs. In response, the Washington State Legislature enacted House Bill (HB) 1168 in 2021 to establish a multi-year investment framework focused on reducing wildfire risk, limiting damages, and improving community resilience.

This report evaluates the economic impacts of fully funding HB 1168 at $125 million for the biennium through 2027, measuring both long-term avoided damages and near-term economic activity. In our central estimate, each $125 million biennium prevents 31,000+ acres of escaped wildfire. Key economic findings include:

• $8.14 saved per $1 spent: A $125 million biennium prevents over $1 billion in firefighting costs, property damages, and economic disruption, corresponding to a benefit-cost ratio of over 8 to 1.

• Near-term economic stimulus: Separate from long-term savings, this funding supports nearly 1,100 jobs statewide, generates nearly $100 million in labor income, and contributes $174 million in economic output through 2027.