The proposed bill seeks to enhance transit-oriented development in Washington by amending the Revised Code and introducing new provisions, including a 20-year ad valorem property tax exemption for new housing projects that meet specific criteria. These criteria require that at least 20% of the units be affordable to low-income households for a minimum of 50 years. Local jurisdictions are tasked with implementing regulations to ensure compliance with these affordability standards. The bill also introduces definitions for key terms related to transit stations and outlines the responsibilities of local authorities in designating station areas and managing housing project applications. Additionally, it updates income thresholds for low-income and moderate-income households and specifies that no new exemptions will be granted after January 1, 2032.

Further amendments focus on the process for obtaining and maintaining tax exemptions for multiunit housing developments, including defined timeframes for assessments and the possibility of extensions for construction deadlines. Enhanced reporting requirements for property owners receiving tax exemptions are also included, along with penalties for noncompliance. The bill addresses impact fees for early learning facilities and low-income housing, allowing for exemptions and reductions in fees for qualifying projects. It introduces a sales and use tax deferral program to encourage the conversion of underutilized commercial properties into affordable housing, mandating that at least 10% of units in multifamily projects be affordable. Overall, the legislation aims to promote affordable housing options near transit hubs while ensuring accountability and flexibility in local jurisdictions' management of these programs.

Statutes affected:
Original Bill: 84.14.010, 84.14.030, 84.14.060, 84.14.070, 84.14.090, 84.14.100, 84.14.110, 82.02.060, 43.31.565, 82.45.060, 82.59.007, 82.59.010, 82.59.020, 82.59.030, 82.59.040, 82.59.070, 82.59.130, 82.59.080