Housing

HB 1183 reforms building codes and development regulations for cities and counties in Washington to encourage affordable and sustainable building practices. The bill mandates that cities allow for increased housing density, reduced parking requirements, and streamlined permitting when adding residential units within existing commercial or mixed-use buildings. It also provides flexibility in setback and roof height rules for existing buildings undergoing residential retrofits and for new construction or retrofits meeting "passive house" energy efficiency standards. These changes aim to reduce regulatory barriers for converting existing structures into homes and promote energy-efficient construction.

This bill modifies Washington's covenant homeownership program, which provides down payment and closing cost assistance to eligible first-time homebuyers from historically marginalized communities. It raises the household income eligibility threshold for participants from 100% to 140% of the area median income. The bill also introduces a provision allowing for full loan forgiveness after five years for participants whose household income is at or below 80% of the area median income at the time of the loan. Additionally, it adjusts the membership of the program's oversight committee.

HB 1094 creates a property tax exemption for nonprofit organizations that loan, lease, or rent property to government entities (like cities, counties, or state agencies) for character-building, benevolent, protective, or rehabilitative social services - such as youth programs, homeless shelters, or community health initiatives. It directly affects qualifying nonprofits that provide these services and government agencies using their facilities. The key provision expands existing tax exemptions by allowing property used by government for these purposes to be exempt, even if owned by a nonprofit. This policy change aims to reduce costs for nonprofits and governments delivering essential community services, effective July 2025.