This bill introduces a new section to chapter 82.04 of the Revised Code of Washington, establishing a business and occupation tax surcharge specifically for operators of private detention facilities. Starting July 1, 2026, individuals or entities operating such facilities will be required to pay a surcharge on their Washington taxable income if their annual gross receipts exceed $1,000,000.

The surcharge is set at a rate of one percent of the taxable income derived from the operation of a private detention facility, as defined in existing law. This measure aims to impose additional financial responsibilities on private detention facility operators, potentially generating revenue for the state while addressing the operations of these facilities.