Washington State Senate Majority Leader Jamie Pedersen’s business interests are intertwined with legislation he’s helping to pass, according to findings from the citizen watchdog organization We the Governed.

Potential Conflicts of Interest

Glen Morgan, founder of We the Governed, argues that government officials may be legally profiting from laws they help enact. He stated, “I think people need to start paying attention to more, in our state, to this kind of internal grifting operation that exists in government, where insiders pass laws that they personally profit from, and they make lots of money off of it.” He emphasized the ethical implications, describing it as “unethical” and “reeking of corruption and insider dealing.”

Pedersen's Role at McKinstry

Morgan’s investigation revealed that Pedersen is the Executive Vice President of construction company McKinstry. He observed that Pedersen, heavily involved in recent tax bills like the Climate Commitment Act (CCA) and the millionaire’s tax, is leveraging the CCA to generate business for his employer.

“He’s making somewhere around a quarter million to half million dollars a year from McKinstry,” Morgan explained. “McKinstry is a company that, in his part-time job in the Legislature, he’s essentially writing bills that create laws that send business directly to his company.” McKinstry reportedly receives sole-source, no-bid contracts for environmental building standard reviews and benefits from Climate Commitment Act funds.

Financial Ties and Lobbying Efforts

Morgan further noted that Pedersen’s financial records show he is a percentage owner of McKinstry, receiving dividends that have increased alongside the passage of legislation he supports. “So that’s money that comes right back into his pocket,” Morgan said.

According to Morgan, Pedersen has also lobbied the ethics board and the Public Disclosure Commission to limit public access to information regarding McKinstry’s clients. “So we’re only seeing a fraction of, actually, how much influence that business that he works for…and he’s making strategic business decisions for them on a regular basis,” Morgan stated. “And then when he goes down to the Legislature, he gets to pass the laws that profit and allow his company to grow exponentially directly as a result of those laws.”

Legal Considerations

KIRO host John Curley pointed out that Pedersen’s actions are not currently illegal under Washington state law, as lawmakers are permitted to profit as long as they do not own more than 10% of the company. Pedersen owns 1% of McKinstry.