AN ACT Relating to capital budget; making appropriations and authorizing expenditures for capital improvements; amending RCW
43.19.501; amending 2019 c 413 ss 1009, 1015, 1029, 1030, 1035, 1041, 1042, 1043, 1051, 1059, 1060, 1073, 1078, 1093, 2001, 2002, 2010, 2030, 2037, 2038, 2039, 2041, 2072, 2075, 2080, 2086, 2091, 2093, 2094, 2096, 2098, 3007, 3008, 3009, 3010, 3011, 3016, 3022, 3023, 3026, 3028, 3030, 3031, 3032, 3034, 3036, 3038, 3052, 3056, 3062, 3064, 3081, 3096, 3097, 3115, 3119, 3120, 3123, 3129, 3131, 3132, 3135, 3137, 3141, 3143, 3144, 3145, 3149, 3150, 3151, 3152, 3153, 3156, 3160, 3204, 3223, 3230, 3232, 3236, 3242, 3247, 3252, 3253, 3254, 3255, 3274, 3275, 3294, 5012, 5032, 5033, 5034, 5035, 5060, 5072, 5079, 5093, 5098, 5101, 7001, and 7002 (uncodified); adding new sections to 2019 c 413 (uncodified); creating a new section; making appropriations; repealing 2019 c 413 ss 3099 and 3296 (uncodified); and declaring an emergency.
PART 1
GENERAL GOVERNMENT
Sec. 1001. 2019 c 413 s 1009 (uncodified) is amended to read as follows:
FOR THE DEPARTMENT OF COMMERCE
Building Communities Fund Program (30000803)
The reappropriation in this section is subject to the following conditions and limitations:
(1) $1,455,000 of the amount reappropriated in this section is provided solely for the Byrd Barr place, formerly known as Centerstone, building renovation project.
(2) $220,000 of the amount reappropriated in this section is provided solely for El Centro de la Raza boiler fan and master plan for rehabilitation. This amount is not subject to the match requirements, pursuant to RCW
43.63A.125.
State Building Construction Account—State | . . . . | $1,675,000 |
Prior Biennia (Expenditures) | . . . . | (($19,184,000)) |
Future Biennia (Projected Costs) | . . . . | $0 |
TOTAL | . . . . | (($20,859,000)) |
Sec. 1002. 2019 c 413 s 1015 (uncodified) is amended to read as follows:
FOR THE DEPARTMENT OF COMMERCE
2017-19 Housing Trust Fund Program (30000872)
The reappropriations in this section are subject to the following conditions and limitations: ((The))
(1) Except as provided in subsection (2) of this section, the reappropriations are subject to the provisions of section 6005 ((of this act)), chapter 413, Laws of 2019.
(2) $1,000,000 of the Washington housing trust account—state reappropriation from section 6005(1)(e), chapter 413, Laws of 2019 and $1,500,000 of the state taxable building construction account—state reappropriation from section 6005(1)(e), chapter 413, Laws of 2019 are instead provided solely for the purchase of the two south annex properties. The state board for community and technical colleges must transfer the two south annex properties located at 1534 Broadway and 909 East Pine street in Seattle to Capitol Hill Housing to provide services and housing for homeless youth or young adults for a minimum of fifty years. The transfer agreement between the state board for community and technical colleges and Capitol Hill Housing must specify a mutually agreed transfer date and require Capitol Hill Housing to cover any closing costs with a total purchase price of nine million dollars for the two properties. The contract between the department and Capitol Hill Housing must provide that Capitol Hill Housing will be responsible for maintaining and securing the property until it is developed. The contract must also specify that, if Capitol Hill Housing does not construct at least seventy affordable housing units on the site by 2028, this funding must be fully repaid to the state or the land must revert back to the state.
State Building Construction Account—State | . . . . | $17,165,000 |
State Taxable Building Construction Account—State | . . . . | $73,139,000 |
Washington Housing Trust Account—State | . . . . | $7,513,000 |
Subtotal Reappropriation | . . . . | $97,817,000 |
Prior Biennia (Expenditures) | . . . . | $13,972,000 |
Future Biennia (Projected Costs) | . . . . | $0 |
Sec. 1003. 2019 c 413 s 1029 (uncodified) is amended to read as follows:
FOR THE DEPARTMENT OF COMMERCE
2019-21 Housing Trust Fund Program (40000036)
The appropriations in this section are subject to the following conditions and limitations:
(1) $129,050,000 of the state taxable building construction account—state appropriation and (($45,950,000))$46,950,000 of the state building construction account—state appropriation are provided solely for production and preservation of affordable housing. Of the amounts in this subsection:
(a) $35,000,000 of the appropriation is provided solely for housing projects that provide supportive housing and case-management services to persons with ((behavioral or)) chronic mental illness. When evaluating applications for this population, the department must prioritize low-income supportive housing unit proposals that show:
(i) Evidence that the application was developed in collaboration with one or more health care entities that provide behavioral health care services to individuals eligible for the housing provided under this subsection;
(ii) A commitment by the applicant to provide, directly or through a formal partnership, necessary treatment and supportive services to the tenants and maintain the beds or housing units for at least a forty-year period;
(iii) Readiness to begin structural modifications or construction resulting in a fast project completion;
(iv) Program requirements that adhere to the key elements of permanent supportive housing programs including choice in housing and living arrangements, functional separation of housing and services, community integration, rights of tenancy, and voluntary recovery-focused services; and
(v) To achieve geographic distribution, the department must prioritize projects in rural areas as defined by the department per RCW
43.185.050 and unserved communities with the goal of maximizing the investment and increasing the number of supportive housing units in rural, unserved communities.
(b) $10,000,000 of the appropriation in this section is provided solely for competitive grant awards for modular housing which includes high quality affordable housing projects that will quickly move people from homelessness into secure housing and are significantly less expensive to construct than traditional housing. These funds must be awarded to projects with a total project development cost per housing unit of less than $125,000, excluding the value of land, off-site infrastructure costs, and any capitalized reserves, compliant with the Americans with disabilities act, and with a commitment by the applicant to maintain the housing units for at least a fifty year period.
(c) $10,000,000 of the appropriation in this section is provided solely for a state match or state matches on private contributions that fund the production and preservation of affordable housing. Awards must be made using a competitive process. If any funding remains unallocated after the first fiscal year during the 2019-2021 fiscal biennium, the department may allocate the remaining funding through its annual competitive process for affordable housing projects that serve and benefit low-income and special needs populations in need of housing.
(d)(i) $10,000,000 of the appropriation in this section is provided solely for housing preservation grants or loans to be awarded competitively.
(ii) The funds may be provided for major building improvements, preservation, and system replacements, necessary for the existing housing trust fund portfolio to maintain long-term viability. The department must require a capital needs assessment to be provided prior to contract execution. Funds may not be used to add or expand the capacity of the property.
(iii) To allocate preservation funds, the department must review applications and evaluate projects based on the following criteria:
(A) The age of the property, with priority given to buildings that are more than fifteen years old;
(B) The population served, with priority given to projects with at least 50 percent of the housing units being occupied by families and individuals at or below 50 percent area median income;
(C) The degree to which the applicant demonstrates that the improvements will result in a reduction of operating or utilities costs, or both;
(D) The potential for additional years added to the affordability period of the property; and
(E) Other criteria that the department considers necessary to achieve the purpose of this program.
(e)(i) $7,000,000 of the appropriation in this section is provided solely for loans or grants to design and construct ultra-high energy efficient affordable housing projects.
(ii) To receive funding, a project must provide a life-cycle cost analysis report to the department and must demonstrate energy-saving and renewable energy systems either designed to reach net-zero energy use after housing is fully occupied or designed to achieve the most recent building standard of the passive house institute US as of the effective date of this section.
(iii) The department must consider, at a minimum and in any order, the following factors in assigning a numerical ranking to a project:
(A) Whether the proposed design has demonstrated that the project will achieve either net-zero energy use when fully occupied or will achieve the most recent building standard of the passive house institute US as of the effective date of this section;
(B) The life-cycle cost of the project;
(C) That the project demonstrates a design, use of materials, and construction process that can be replicated by the Washington building industry;
(D) The extent to which the project leverages nonstate funds;
(E) The extent to which the project is ready to proceed to construction;
(F) Whether the project promotes sustainable use of resources and environmental quality;
(G) Whether the project is being well managed to fund maintenance and capital depreciation;
(H) Reduction of housing and utilities carbon footprint; and
(I) Other criteria that the department considers necessary to achieve the purpose of this program.
(iv) The department must monitor and track the results of the housing projects that receive ultra-high energy efficiency funding under this section.
(f) (($45,950,000))$46,950,000 of the appropriation in this section is provided solely for the following list of housing projects:
Bellwether Housing (Seattle). . . .$6,000,000
Capitol Hill Housing Broadway (Seattle). . . .$6,000,000
Crosswalk Teen Shelter and Transitional Housing
Project (Spokane). . . .$1,000,000
Ethiopian Community Affordable Housing (Seattle). . . .$3,000,000
FUSION Emergency Housing for Homeless Families
(Federal Way). . . .$3,000,000
Highland Village (Airway Heights). . . .$5,500,000
Home At Last (Tacoma). . . .(($1,500,000))
$2,500,000
Interfaith Works Shelter (Olympia). . . .$3,000,000
NorthHaven Affordable Senior Housing Campus
(Seattle). . . .$1,000,000
Pateros Gardens (Pateros). . . .$1,400,000
Roslyn Housing Project (Roslyn). . . .$2,000,000
SCIDpda North Lot (Seattle). . . .$9,000,000
Seattle Indian Health Board - Low Income Housing
(Seattle). . . .$1,000,000
Tenny Creek Assisted Living (Vancouver). . . .$1,750,000
THA Arlington Drive (Tacoma). . . .$800,000
(g) $6,000,000 of the appropriation for Capitol Hill Housing Broadway (Seattle) in (f) of this subsection is provided solely for the purchase of the two south annex properties. The state board for communi