Bill > HB1717

This bill establishes a local sales and use tax remittance program to support the development of affordable housing, defining "affordable housing" as residential units where housing costs do not exceed 30% of a household's monthly income for renters or 38% for owners, and specifying income thresholds for "low-income" and "moderate-income" households. Cities and counties (referred to as "governing authorities") can create this program by adopting a resolution and holding a public hearing, outlining application, approval, and appeal processes. Eligible organizations, such as nonprofit developers and public housing authorities, can apply for this remittance for "qualifying projects" that dedicate at least 50% of residential units to low or moderate-income households for a minimum of 40 years. If approved, these organizations can receive a remittance of 100% of local sales and use taxes paid on materials and labor for the project, provided the project is completed within three years of approval (with potential extensions) and continues to meet affordability requirements for 40 years. The program is set to take effect on January 1, 2027, and applies to projects receiving a certificate of completion by December 31, 2036.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=1717&Year=2025&Initiative=false