This bill amends RCW 82.04.050 to explicitly classify the rental or lease of individual storage space at self-service storage facilities as a retail transaction for the purposes of business and occupation taxes, as well as sales and use taxes. The new legal language clarifies that while the rental or lease of real property is generally presumed to be a rental or lease, individual storage space at self-service facilities is treated as a "sale at retail" or "retail sale." This amendment aims to ensure that the rental of storage space is subject to the same tax regulations as other retail transactions, thereby clarifying tax obligations for businesses in this sector.

In addition to the storage space provisions, the bill introduces new definitions related to recreational activities and services, categorizing charges for activities such as golf and amusement park access as retail sales, while providing exceptions for certain events like competitive tournaments and educational institution activities. It also specifies that admission charges to fairs, carnivals, and festivals, as well as certain nonprofit day camps, are not considered retail sales. Furthermore, the bill mandates that revenue generated from these changes be allocated to agencies and programs focused on establishing and preserving cooperatively owned manufactured home communities and affordable housing initiatives, with the act set to take effect on January 1, 2026.