With Western Australia's hope of securing a bigger share of the GST all but extinguished, the state opposition has attacked the Barnett government for failing its mission.
A meeting of treasurers in Canberra on Thursday failed to agree on a new formula for distributing GST revenue.
While federal Treasurer Joe Hockey told reporters after the meeting he would continue to consult the states and territories before making a decision, the WA opposition believes all hope is lost.
Labor leader Mark McGowan said the state government had talked about convincing the rest of Australia to change the carve-up "as though it was a done deal".
"It was all bluff and bluster," Mr McGowan told reporters.
The state government had squandered the mining boom by overspending without considering a slump in the iron ore price, he said.
"The Barnett government failed to plan for a rainy day and the rainy day has now arrived."
WA Treasurer Mike Nahan said the state had indeed been hit by a "double whammy", but it was untenable that GST revenue was still being cut while the iron ore price continued to drop.
However, he took heart that Mr Hockey was sympathetic to WA's plight.
"Joe Hockey understood the issue, listened to the debate," Dr Nahan told ABC radio.
"I was on my lonesome ... there wasn't going to be unanimity out of there.
"He did the right thing by stepping back and reserving his decision."
Mr McGowan said he expected little if any change.
Mr Hockey raised the need for the state to undertake "politically painful reform" as other states had done.
However, Dr Nahan said the state had done a lot, including privatisation.
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