The bill amends RCW 82.14.540 to enhance the framework for affordable and supportive housing sales and use taxes in Washington State. It introduces new definitions for "nonparticipating city," "nonparticipating county," "participating city," and "participating county," which clarify the tax imposition criteria. The bill allows counties and cities to impose a sales and use tax to fund affordable housing initiatives, with specific tax rates established based on whether a city or county is participating and whether they levy a qualifying local tax. The legislation also outlines the conditions under which these taxes can be imposed, including the requirement for a resolution of intent and subsequent legislation within specified timeframes.

Additionally, the bill stipulates that funds collected from these taxes can only be used for acquiring, rehabilitating, or constructing affordable housing, funding operations and maintenance costs, or providing rental assistance. It sets income eligibility criteria for beneficiaries of the housing services, allowing support for individuals and families earning up to 60% of the median income, or up to 80% if the housing is intended for owner occupancy. The bill also mandates annual reporting on the collection and use of the revenue, and it establishes a 20-year expiration for the tax once imposed.

Statutes affected:
Original Bill: 82.14.540