HB 2359 modifies Washington state law to change how a 0.1% sales tax revenue can be used for affordable housing and related services. It requires at least 60% of the funds to be spent on building or maintaining housing for low-income residents (at or below 60% of county median income), including veterans, the homeless, and people with disabilities, or on behavioral health facilities. The bill also mandates that 15% of new housing units must be reserved for people living near the facility, and allows local governments to use bonds and interlocal agreements to finance these projects. This law affects counties and cities that impose the tax, directing funds toward specific housing and services while ensuring community-focused allocation.
SB 6256 creates a property tax exemption for unoccupied real estate owned by nonprofit entities that will be used for affordable housing within three years. It directly affects nonprofits planning to develop or renovate housing for households earning at or below 50% of the area median income (as defined by HUD). Key provisions require nonprofits to secure financing from specified sources (like state housing programs or affordable housing levies) and maintain at least 75% occupancy by qualifying households to qualify for full exemption. Partial exemptions apply if occupancy falls below 75%, calculated based on the proportion of qualifying units. The bill expands existing exemptions to cover unoccupied properties during development or renovation, ensuring tax relief aligns with future affordable housing use.
SB 5885 would allow Washington cities to grant increased density bonuses for affordable housing developments on properties owned by religious organizations. To qualify, at least 20% of units must be affordable to households earning 80% or less of the area median income for 50 years, with binding obligations ensuring affordability even if the property changes hands. Religious organizations would pay all development fees and must comply with federal fair housing laws prohibiting discrimination. Cities must create policies to implement this upon request from religious groups seeking such developments.
SB 5884 expands a sales and use tax deferral program to incentivize redevelopment of underutilized property in qualifying cities (with populations of 135,000-275,000). It directly affects property owners who develop affordable housing - both rental and homeownership - for low- or moderate-income households, as defined by federal income thresholds. The key mechanism allows qualifying developers to defer paying sales and use taxes on eligible projects, provided they maintain affordable housing for at least 10 years. This applies to vacant land, partially used land, or underutilized property (like surface parking lots) identified by city authorities as suitable for affordable housing redevelopment.
House Bill 1494 modifies existing property tax exemptions for new and rehabilitated multiple-unit dwellings in urban centers. The bill clarifies definitions related to "affordable housing" and the population requirements for cities to qualify for these exemptions. A key provision expands the definition of "rehabilitation improvements" to include modifications to occupied buildings that increase the number of multi-family housing units. These changes do not extend the duration of the exemptions or expand them to include conversions of market-rate buildings to affordable housing. The bill primarily affects property owners, developers, and residents involved with multi-unit housing projects in designated urban areas.
HB 1732 limits large investment and business entities from purchasing additional single-family homes in Washington to increase housing affordability for residents. It prohibits entities owning more than 25 single-family homes (business entities) or any investment entity (like real estate trusts managing pooled investor funds) from buying more homes, with exemptions for nonprofits, necessary renovations, or short-term development projects. Violators face civil penalties up to $100,000 per violation and must sell the property to a third party within one year. The law aims to address Washington’s housing crisis, where investor ownership has risen significantly while home prices have surged 55% since 2018. It adds these provisions as a new chapter in Washington’s consumer protection law (Title 19 RCW).
This bill, SB 5729, aims to encourage the construction of affordable housing in Washington state by streamlining the project permit application process for local governments and developers. It requires local governments to determine if an application is complete within 28 days, or it is automatically deemed complete. The bill also allows applications certified by licensed professional engineers or architects to be deemed complete by building departments. Furthermore, it introduces a "deemed approved" mechanism if local governments conduct more than six reviews or requests for information without demonstrating clear violations. Finally, it mandates combining environmental review with permit review and limits the process to one open record hearing and one closed record appeal.
SB 5732 amends Washington's Growth Management Act to require counties and cities to track housing permit applications and close the housing availability gap. It directs local governments to foster housing supply in rural areas, ensure sufficient land is available for new housing developments, and monitor regional progress toward housing goals. Failure to meet these requirements could trigger sanctions under the law. The bill targets local planning under the Growth Management Act, focusing on measurable accountability for housing supply rather than direct construction.
HB 1491, "Promoting transit-oriented housing development," aims to increase housing options and density near public transportation throughout Washington state. The bill directs cities planning under the Growth Management Act to align their land use policies with transit infrastructure development. It does this by amending various state laws and introducing new definitions for housing types, such as "cottage housing" and "courtyard apartments," and clarifying "affordable housing." This legislation seeks to maximize state investments in mass transit by fostering the creation of vibrant, walkable, and accessible communities that include diverse housing options.
SB 5553 creates a sales and use tax deferral program for developers converting underutilized commercial buildings or constructing new multifamily housing in areas with housing shortages. It requires at least 10% of units to be affordable to low-income households for 10 years and mandates completion within three years (with a possible 24-month extension). Cities must adopt specific application, approval, and appeal processes, and developers must verify they would not build without the incentive. This directly affects developers of qualifying affordable housing projects and local governments implementing the program.
