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HomeMy WebLinkAbout07/15/2025 - Work Study - Packet171. Meeting Location: Contact us: Council Phone (360) portor hard 4407 216 Prospect Street cityhall@portorchardwa.gov Port Orchard, WA 98366 www.portorchardwa.gov City Council Work Study Session Tuesday, July 15, 2025 6:30 PM Pursuant to the Open Public Meetings Act, Chapter 42.30 RCW, the City Council is conducting its public meeting in a hybrid format with options for in -person attendance in the Council Chambers at City Hall or remote viewing and participation via Zoom (link below). The meeting is streamed live on the City's YouTube channel, click here. Remote Access Link: https://us02web.zoom.us/j/84495413309 Zoom Meeting ID: 844 9541 3309 Zoom Call -In: 1 253 215 8782 Guiding Principles Are we raising the bar in all of our actions? Are we honoring the past, but not living in the past? Are we building positive connections with our community and outside partners? Is the decision -making process building a diverse, equitable, and inclusive community? 1. Call to Order A. Pledge of Allegiance 2. Discussion Items A. Community Event Center Presentation (Bond) Estimated Discussion Time: 45 minutes B. Post Legislative Session Update (Shelly Helder, Gordon Thomas Honeywell Governmental Affairs) Approx. Discussion Time: 30 minutes C. Multi Family Tax Exemption (Bond) Estimated Discussion Time: 30 Minutes D. Downtown Revitalization Grant Program (Mayor/Archer) Estimated Discussion Time: 10 minutes E. Public Comment Interactions (Mayor) Estimated Discussion Time: 10 minutes 3. Good of the Order 4. Adjournment July 15, 2025 Meeting Agenda ADA Requirements In compliance with the American with Disabilities Act, if you need accommodations to participate in this meeting, please contact the City Clerk's office at (360) 876-4407. Notification at least 48 hours in advance of meeting will enable the City to make arrangements to assure accessibility to this meeting. REMINDER: Please silence all electronic devices while City Council is in session. To subscribe to our general news & public notices click the link: http://portorchardwa.gov/subscribe For current City Council member and contact information, please visit https://portorchardwa.gov/departments/city- council/. For Committee Membership please visit https://portorchardwa.gov/city-council-advisory-committees/. July 15, 2025 Meeting Agenda 2 Ong City of Port Orchard ORCHARD 216 Prospect Street, Port Orchard, WA 98366 1.. (360) 876-4407 • FAX (360) 895-9029 Agenda Staff Report Discussion Items: Community Event Center Presentation (Bond) Estimated Discussion Time: 45 minutes Meeting Date: July 15, 2025 Prepared By: Nick Bond, AICP, Community Development Director Presenter: Nick Bond, AICP, Community Development Director Summary and Background: The City's Community Event Center project team has prepared a presentation to the City Council to provide an update on the project design and schedule. Relationship to Comprenhensive Plan: The Community Event Center project is identified as a capital project in the City's Comprehensive Plan and Downtown Subarea Plan. Recommendation: Staff Recommends that the City Council review the presentation materials and ask any questions of our design consultants after their presentation. Alternatives: N/A Attachments: 250702 POCEC Master Schedule.pdf 240126 Orchard Plaza_SD.pdf 240909 Shoreline Habitat Improvement Plan.pdf 250715 POCEC Floor Plans.pdf 250715 POCEC Renderings.pdf 250702_POCEC _Feature Wall.pdf 3 PORT ORCHARD COMMUNITY EVENTS CENTER MASTER PLAN SCHEDULE LEGEND •PERMITTING • DESIGN TASKS . DESIGN DELIVERABLES KRL .PO .KPFD YEAR 2025 2026 MONTH APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC WEEK STARTING DATE ILA TASK 5 SHORELINE Final State & Federal Approvals Shoreline Restoration Design & Permit Documents SDP, LDAP & Building/MEP Permitting Submittal City Permit Reviews City Comments SCHEDULE PENDING SHORELINE STATE & FEDERAL APPROVALS Resubmittal City Permit Reviews City Permit Approval City 3rd Party Constructability Review Shoreline Finalize Bid Set 100% Bid Ready Construction Documents 5 POCEC POCEC Construction Documents POCEC Construction Documents (Mech/Elec Refrigerants) PO Design Meetings (Fridays, every 2 weeks starting 5/30) KRL Design Updates Meetings & Revisions SDP & LDAP Permitting Submittal City Permit Reviews City Comments Resubmittal City Permit Reviews City Permit Approval CURRENT SCHEDULE Building/MEP Permitting Submittal City Permit Reviews City Comments Resubmittal City Permit Reviews City Permit Approval City 3rd Party Constructability Review POCEC Finalize Bid Set 100% Bid Ready Construction Documents ORCHARD PLAZA Orchard Plaza Construction Design & Permit Documents SDP, LDAP & Building/MEP Permitting Submittal City Permit Reviews City Comments Resubmittal SCHEDULE PENDING SHORELINE STATE & FEDERAL APPROVALS City Permit Reviews City Permit Approval City 3rd Party Constructability Review Orchard Plaza Finalize Bid Set 100% Bid Ready Construction Documents 7/2/2025 7-11 47 PORT ORCHARD YACHT SALES ; t is PORT ORCHARD BOAT LAUNCH /9 / / L iri 0 30 60 90 SCALE: 1=60' PORT ` ORCHARD ^' OBSERVATION DECK ORCHARD MARINA STATION � `�� �> MARINA LAUNDRY \ PUBLIC r %% PARKING PUBLIC ,T' k RESTROOM KITSAP BANK N FUTURE DEVELOPMENT ORCHARD PLAZA ILLUSTRATIVE SITE PLAN ORCHARD PLAZA I CITY OF PORT ORCHARD EXISTING BUILDING �� t��, KPG Seattle 3131 Elliott Avenue, Suite 400 Seattle, WA 98121 206.286.1640 Tacoma I Wenatchee I KPG.com k L• • Cs� •� PHOTO EXAMPLE OF THE PAVER MIX GRADIENT Q PHOTO EXAMPLE OF SPONSORSHIP PAVERS DECORATIVE PAVER TYPE 1 1/8" SCORE JOINT CEMENT CONCRETE a,a ° da PAVEMENT, ° SIDEWALK OR DRIVEWAY NOTE CLEAN SCORE JOINT BY SAWCUT. NO RADIUS ON EDGE. NO SMOOTH FLANGE TOOLING ON EITHER SIDE OF JOINT. SCORE JOINT DETAIL NTS I M ... HRT-40 *'18 HRT-38 **13 HRT-60 "08 EXAMPLE OF PAVER MIX 1 S.. HRT-30*'20 HRT-34*'33 HRT-20"36 EXAMPLE OF PAVER MIX 2 o 'H HCB-15''85 HRT-15 "75 -RT-27 "42 EXAMPLE OF PAVER MIX 3 0 8' MANUFACTURER: WAUSAUIILE PRODUCT: H -SERIES ESTATE CEO HEX ARCHITECTURAL PAVER (8"x4"THICK) COLOR/FINISH: MIX 1 (HRT-40**18, HRT-38**13, HRT-60**08), MIX 2 (HRT-30**20, HRT-34**33, HRT-20**36), MIX 3 HCB-15**85, HRT-15**75, HRT-27**42) CEMENT CONCRETE PAVEMENT ) " TOOLED RADIUS PLANTING AREA PLANTER EDGE DETAIL W 3/8" EXPANSION DECORATIVE PRECAST PAVER OR 5'X5' JOINT SCORED CEMENT CONCRETE PAVEMENT. d. SEE DETAIL THIS 7 daT SHEET CEMENT CONCRETE DECORATIVE s d PAVEMENT, PRECAST PAVER, SIDEWALK OR TYP. SEE DETAIL a 4 DRIVEWAY THIS SHEET. a GROUT JOINT, TYP. I' PHOTO EXAMPLES OF DRIVEABLE CONCRETE PAVERS IN A PARKING LOT; PAVER COLORS TO MATCH PLAZA DECORATIVE PAVERS DECORATIVE PAVER TYPE 2 PHOTO EXAMPLE OF A WOOD PATH THROUGH BIORETEN110N PLANTER WOOD BOARDWALK PATH DECORATIVE PAVER, TYP. 2' DIA. DRAIN HOLE, LOCATE AT LOWEST ELEVATIONS AT 4'-0" O.C. SPACING FILL WITH PEA GRAVEL FILTER FABRIC DECORATIVE PAVER DETAIL SECTION GROUT JOINT DETAIL EXPANSION JOINT DETAIL NTS NTS NTS OF WAgy DATE BY APPR. REVISIONS 20040-PLAZ-URB-DETd.9 Approved By FILENAME 7nnn(��nn -r Sul' Ube O JS 12/2023 �% Q •y ENGINEERING MANAGER DATE DESIGNED BY JS DATE 1212023 Zo ~ PROJECT MANAGER DATE DRAWN BY DATE HW PROJECT ENGINEER DATE CHECKED BY 12/2023 DATE y0 2ss ExP. o21�'V�\,�4iC� SCA PE Aµr PHOTO EXAMPLE OF CEMENT CONCRETE PAVEMENT WITH DECORATIVE SANDBLASTED BAND INTEGRAL COLORED CONCRETE BAND PHOTO EXAMPLE OF WOOD DECK PLATFORM WOOD DECK PLATFORM JOINT SAND BETWEEN CONCRETE PAVERS, TYP. BUILDING EDGE OR CIP CONCRETE SEATWALL EXPANSION JOINT, TYP. SEE DETAIL, THIS SHEET N4" SAND -ASPHALT SETTING BED TACK COAT OF EMULSIFIED OR CUT -BACK ASPHALT ON CEMENT CONCRETE BASE 4' CEMENT CONCRETE PAVEMENT 4" CSTC COMPACTED SUBGRADE PHOTO EXAMPLE OF CEMENT CONCRETE PAVEMENT WITH DECORATIVE SANDBLASTED TREATMENT CEMENT CONCRETE PAVEMENT WITH SANDBLASTED FINISH NOTE: DETAIL TO BE PROVIDED AT NEXT SUBMITTAL 2' X 2' SCORED CEMENT CONCRETE SIDEWALK NOTE: DETAIL TO BE PROVIDED AT NEXT SUBMITTAL 2' X 4' SCORED CEMENT CONCRETE WATERFRONT PATH PHOTO EXAMPLE OF METAL WAYFINDING INLAY IN CONCRETE TRAIL WAYFINDING INLAY PHOTO EXAMPLE OF DRIVABLE TURF PAVING PRODUCT REINFORCED TURF PAVING 6 EXAMPLE OF PRECAST SEAT PRECAST SEAT WALL MANUFACTURER: FORMS+SURFACES PRODUCT: DISPATCH UTTER & RECYCLE RECEPTACLE MODEL: SLDIS-220 WITH "LITTER" LID OPENING COLOR/FINISH: POWDERCOATED, SILVER TEXTURE LITTER AND RECYCLE RECEPTACLE PHOTO EXAMPLE OF WOOD BENCH TOP WITH SEGMENTED ARM RESTS MANUFACTURER: SPORTWORKS PRODUCT: OAHU NO SCRATCH BIKE RACK COLOR/FINISH: STAINLESS STEEL POWDERCOATED, SILVER, SURFACE MOUNTED BIKE RACK PHOTO EXAMPLE OF WIRE MESH RAILING ALONG WATERFRONT EDGE WIRE MESH GUARD RAIL PHOTO EXAMPLE OF DRINKING FOUNTAIN WITH BOTTLE REFILL STA110N AND PET STA110N DRINKING FOUNTAIN PHOTO EXAMPLE OF DECORATIVE SCREEN PANEL IN LANDSCAPE PLANTER ARCHITECTURAL SCREEN PANEL PHOTO EXAMPLE OF REMOVABLE PHOTO EXAMPLE OF SHADE STRUCTURE SAFETY BOLLLARD TO SHOW SHAPE AND SCALE. REMOVABLE BOLLARD SHADE STRUCTURE NOTE: ART ELEMENTS TO BE DETERMINED. PUBLIC ART FEATURE PHOTO EXAMPLES OF ELECTRICAL POWER BOLLARDS WITH LOCKING ELECTRICAL DOOR COVER AND UGH11NG ELECTRICAL POWER BOLLARD Di PHOTO EXAMPLE OF BENCH SWING. BENCH SWING PHOTO EXAMPLE OF MANUAL SWING GATE AND RECEIVER LATCH POST MANUAL SWING GATE AND LATCH POST r -'I:TJI :.1 Y -Ty PHOTO EXAMPLE OF STANDARD BENCH PzInirw 7 CONSTRUCTION NOTES APPROXIMATE MEAN / HIGH WATER MARK ORCHARD PLAZA / SCOPE BOUNDARY DECK/BUILDING . OVERHANG, TYP.- CEC SITE MODIFICATIONS; PLANTER CONFIGURATION REVISED SINCE 60% CEC SUBMITTAL PORT ORCHARD COMMUNITY EVENT CEt (CEC) E E O 0 0 0 N PARKING LOT PLANTER; INSTALL 24" TOPSOIL TYPE A AND 2" BARK OR WOOD CHIP MULCH, TYP. PLANT WITH ROADWAY MIX; SEE SCHEDULE, SHEET L1.02. ORNAMENTAL PLANTER AREA; INSTALL 18" TOPSOIL TYPE A AND 2' BARK OR WOOD CHIP MULCH, TYP. SEE PLANTING SCHEDULE, SHEET L1.02. 0 BIORETENT10N PLANTER; INSTALL 18" BIORETENTION MEDIA AND TOPDRESS WITH 3" COARSE COMPOST, TYP. PLANT WITH BIORETENT10N MIX; SEE SCHEDULE, SHEET LS1.02. ECO-TURF AREA; INSTALL 6" TOPSOIL TYPE A AND HYDROSEED WITH FLOWERING ECO-TURF MIX, TYP. 50 DECORATIVE ROCK AREA; SEE DETAIL, SHEET L1.03. 06 LANDSCAPE LOG; SEE DETAIL, SHEET L1.03. 07 LANDSCAPE BOULDER; SEE DETAIL, SHEET [1.03. 09 PUBLIC ART FEATURE, TBD. 10 REINFORCED TURF PAVING. SEE URBAN DESIGN DETAILS. 11•RESTORATION AREA; AMEND NATIVE SOIL WITH 2' FINE COMPOST AND TOPDRESS WITH 2" BARK OR WOOD CHIP MULCH, TYP. PLANT WITH RESTORATION MIX; SEE SCHEDULE, SHEET LS1.02. 1Q ARCHITECTURAL SCREEN PANEL. SEE URBAN DESIGN DETAILS. 11 - Q PLANT UNOL ----PLANT QUANTITY SEE SHEETS L1.02 - L1.03 FOR LANDSCAPE SCHEDULE, DETAILS AND GENERAL NOTES. PLANTING LEGEND NATIVE/ADAPTED MIX FOR SUN 0 0 D D NATIVE POLLINATOR MIX NATIVE SHORELINE MIX BIORETENTION MIX FLOWERING ECO-1URF MIX O OQ PRELIMINARY PLANT SCHEDULE ro 0 T E E 0 0 O N SYMBOL BOTANICAL NAME/ COMMON NAME QTY SIZE REMARKS TREES 0 Ti CORNUS KOUSA X NUTTALU 'KN4-43'/ STARLIGHT DOGWOOD 7 2" CAL B&B; WELL -BRANCHED 4 1 tint 12 RHAMNUS PURSHIANA/ CASCARA 6 6-7' HT. 3-5 CANES MIN. 1" MIN. CAL PER CANE 13 ACER CIRCINATUM/ VINE MAPLE 5 6-7' HT. 3-5 CANES MIN. 1" MIN. CAL PER CANE 0 15 PINUS CONTORTA VAR. CONTORTA/ SHORE PINE 3 6'-7" HI. B&B; HIGH -BRANCHED T7 METASEQUOIA GLYPTOSTROBOIDES 'SOUL FIRE'/ SOUL FIRE DAWN REDWOOD 2 4'-5' HT. B&B; HIGH -BRANCHED NATIVE/ADAPTED MIX FOR SUN Si ARCTOSTAPHYLOS X 'PACIFIC MIST'/ PACIFIC MIST MANZANITA 2 GAL CONT. 42" O.C. TRI. SP. TYP. S2 CISTUS X CRISPATUS 'WARLEY ROSE'/ WARLEY ROSE ROCKROSE 2 GAL CONT. 42" O.C. TRI. SP. Ti?. 4,200 SF S5 SPIREA BETUIJFOLIA VAR. LUCIDA/ SHINY -LEAVED SPIREA 2 GAL CONT. 36" O.C. TRI. SP. TYP. S7 VACCINIUM OVATUM 'SCARLET OVATION'/ EVERGREEN HUCKLEBERRY 2 GAL CONT. 36" O.C. TRI. SP. TYP. G2 DESCHAMPSIA CESPITOSA/ TUFTED HAIR GRASS 1 GAL CONT. 24" O.C. TRI. SP. TYP. G3 FES1UCA IDAHOENSIS 'SISKIYOU BLUE'/ SISKIYOU BLUE IDAHO FESCUE 1 GAL CONT. 24" O.C. TRI. SP. TYP. GC1 ARMERIA MARITIMA/ SEA THRIFT 1 GAL CONT. 15" O.C. TRI. SP. TYP. GC2 ERIGERON GLAUCUS 'SEA BREEZE'/ SEA BREEZE FLEABANE 1 GAL CONT. 15" O.C. TRI. SP. TYP. GC3 ARCTOSTAPHYLOS UVA-URSI 'MASSACHUSETTS'/ MASSACHUSETTS KINNIKINNICK 1 GAL CONT. 24" O.C. TRI. SP. TYP. GC4 PENSTEMON PINIFOIJUS 'MELON'/ MELON PINELEAF BEARDTONGUE 1 GAL CONT. 18" O.C. TRI. SP. TYP. P1 ACHILLEA MILLEFOLIUM 'WALTHER FUNCKE'/ WALTHER FUNCKE COMMON YARROW 1 GAL CONT. 18" O.C. TRI. SP. TYP. NATIVE POLLINATOR MIX G2 DESCHAMPSIA CESPITOSA/ TUFTED HAIR GRASS 1 GAL CONT. 24" O.C. TRI. SP. TYP. GC4 FRAGARIA CHILOENSIS/ BEACH STRAWBERRY 1 GAL CONT. 18" O.C. TRI. SP. TYP. 750 SF P2 CAMASSIA QUAMASH/ COMMON CAMMAS 1 GAL CONT. 18" O.C. TRI. SP. TYP. P3 COREOPSIS LANCEOLATA/ LANCELEAF TICKSEED 1 GAL CONT. 18" O.C. TRI. SP. TYP. P4 LOMATIUM UTRICULATUM/ SPRING GOLD 1 GAL CONT. 18" O.C. TRI. SP. TYP. P5 LUPINUS IJTORALIS/ SEASHORE LUPINE 1 GAL CONT. 24" O.C. TRI. SP. TYP. P6 SIDALCEA CAMPESWRIS/ MEADOW CHECKERMALLOW 1 GAL CONT. 18" O.C. TRI. SP. TYP. P7 SYMPHYOTRICHUM SUBSPICATUM/ DOUGLAS ASTER 1 GAL CONT. 18" O.C. TRI. SP. TYP. GENERAL NOTES 1. ALL PLANT MATERIALS SHALL MEET THE AMERICAN STANDARD FOR NURSERY STOCK, ANSI Z60.1 MOST CURRENT VERSION. 2. PLAN, MAINTAIN AND WARRANTY PER SECTION 8-02 OF THE SPECIAL PROVISIONS. 3. DO NOT SUBSTITUTE SPECIES WITHOUT THE APPROVAL OF ENGINEER. 4. INSTALL 2" BARK OR WOOD CHIP MULCH OVER ALL DISTURBED AREAS NOT BEING PLANTED OR SEEDED, UNLESS OTHERWISE NOTED. 5. PROPERTY RESTORATION TO BE DONE AS DIRECTED BY THE ENGINEER. 6. ALL SINGLE -STEM DECIDUOUS TREES SHALL MEET WSDOT "STREET TREE GRADE" STANDARD AND SHALL BRANCH AT MIN 6' HT. ABOVE FINISH GRADE. NATIVE SHORELINE MIX .4 i 4 51 ARCTOSTAPHYLOS X 'PACIFIC MIST'/ PACIFIC MIST MANZANITA 2 GAL CONT. 42" O.C. TRI. SP. TYP. S5 SPIREA BETULIFOIJA VAR. LUCIDA/ SHINY -LEAVED SPIREA 2 GAL CONT. 36" O.C. TRI. SP. Ti?. 2,930 SF S6 MAHONIA AQUIFOIJUM 'COMPACTA'/ COMPACT OREGON GRAPE 2 GAL CONT. 48" O.C. TRI. SP. TYP. S4 ROSA NUTKANA/ NOOTKA ROSE 2 GAL CONT. 48" O.C. TRI. SP. TYP. S7 VACCINIUM OVATUM 'SCARLET OVATION'/ EVERGREEN HUCKLEBERRY 2 GAL CONT. 36" O.C. TRI. SP. TYP. G2 DESCHAMPSIA CESPITOSA/ TUFTED HAIR GRASS 1 GAL CONT. 24" O.C. TRI. SP. TYP. G2 LEYMUS MOWS/ AMERICAN DUNE GRASS 1 GAL CONT. 24" O.C. TRI. SP. TYP. GC4 FRAGARIA CHILOENSIS/ BEACH STRAWBERRY 1 GAL CONT. 18" O.C. TRI. SP. TYP. GC3 ARCTOSTAPHYLOS UVA-URSI 'MASSACHUSETTS'/ MASSACHUSETTS KINNIKINNICK 1 GAL CONT. 24" O.C. TRI. SP. TYP. P3 COREOPSIS LANCEOLATA/ LANCELEAF TICKSEED 1 GAL CONT. 18" O.C. TRI. SP. Ti?. P4 LOMATIUM UTRICULATUM/ SPRING GOLD 1 GAL CONT. 18" O.C. TRI. SP. TYP. P5 LUPINUS IJTORAIJS/ SEASHORE WPINE 1 GAL CONT. 24" O.C. TRI. SP. TYP. P6 SIDALCEA CAMPESTRIS/ MEADOW CHECKERMALLOW 1 GAL CONT. 18" O.C. TRI. SP. TYP. P7 SYMPHYOTRICHUM SUBSPICATUM/ DOUGLAS ASTER 1 GAL CONT. 18" O.C. TRI. SP. TYP. BIORETENTION MIX + + S8 CORNUS SANGUINEA 'MIDWINTER FIRE'/ MIDWINTER FIRE DOGWOOD 2 GAL CONT. 60" O.C. TRI. SP. TYP. S9 SAIJX PURPUREA 'NANA'/ DWARF BLUE ARCTIC WILLOW 2 GAL CONT. 42" O.C. TRI. SP. Ti?. 1,930 SF G4 CAREX DENSA/ DENSE SEDGE 1 GAL CONT. 24" O.C. TRI. SP. Ti?. P8 IRIS DOUGLASIANA/ DOUGLAS IRIS 1 GAL CONT. 18" O.C. TRI. SP. TYP. FLOWERING ECO-TURF MIX 100 SY SEE SHEET L1.04 FOR PLANT PALETTE EXAMPLE IMAGES 9 TREE PLANTING NOTES LANDSCAPE BOULDER EXAMPLE IMAGE NOTE: NA11VE STONE, SIZED APPROX. 15"-24" TRUNK WIND PREVAILING TREE STAKE) TREE STAKE STAKING PLAN ROOT BALL 2' DIA. WOOD STAKE; STAKES SHOULD BE LOCATED OUTSIDE OF ROOT BALL AND SHALL NOT INTERFERE WITH PERMANENT BRANCHES NON-ABRASIVE RUBBER TREE TIES ROOT FLARE SHALL BE LOCATED ABOVEGROUND LINE; TOP OF ROOT BALL SHALL BE FLUSH WITH FINISH GRADE I NISH GRADE BARK OR WOOD CHIP MULCH); KEEP AWAY FROM TREE TRUNK OPSOIL TYPE A SCARIFY SUBGRADE PRIOR TO TOPSOIL INSTALLATION RECOMPACT SUBGRADE BELOW ROOT BALL TO PREVENT SETTLING TYPICAL EVERGREEN TREE PLANTING DETAIL NTS 6' MIN. BRANCH HT ABOVE FINISH GRADE NON-ABRASIVE RUBBER TREE TIES 2" DIA. WOOD STAKE; STAKES SHOULD BE LOCATED OUTSIDE OF ROOT BALL AND SHALL NOT INTERFERE WITH PERMANENT BRANCHES -ROOT FLARE SHALL BE LOCATED ABOVE GROUND LINE; TOP OF ROOT BALL SHALL BE FLUSH WITH FINISHED GRADE 2" BARK OR WOOD CHIP MULCH; KEEP AWAY FROM TREE TRUNK FINISHED GRADE TOPSOIL TYPE A SCARIFY SUBGRADE PRIOR TO TOPSOIL INSTALLATION RECOMPACT TOPSOIL BELOW ROOT BALL TO PREVENT SETTLING TYPICAL DECIDUOUS TREE PLANTING DETAIL NTS 1. TREE PIT SHALL NOT BE LESS THAN (3) TIMES ROOTBALL DIAMETER. 2. CUT ALL TIES AND REMOVE BURLAP ROOTBALL. 3. REMOVE ALL PLASTIC AND TWINE. 4. BACKFILL TOPSOIL TYPE A AROUND ROOT BALL IN 6" LIFTS AND LIGHTLY RECOMPACT RACH LIFT; FTER BACKFIWNG, WATER IN ROOT BALL TO SETTLE THE SOIL. 5. PLANT TREES WITH ROOT FLARE ABOVE FINISHED GRADE; DO NOT COVER TOP OF ROOTBALL WITH SOIL. LARE SHALL BE LOCATED GROUND LINE; TOP OF ROOT HALL BE FLUSH WITH GRADE OR WOOD CHIP MULCH; NAY FROM BASE OF PLANT GRADE TYPE A ACT TOPSOIL BELOW \LL TO PREVENT SETTLING SUBGRADE PRIOR ;OIL INSTALLATION DETAIL CEMENT CONC SIDEWALK 3' LENGTH NON -TREATED WOOD 2' X 10" WITH EYEBOLTS EACH END COMPAil TYPICAL TREE GRATE PLANTING DETAIL NTS 2'X10"X3'WITH EYEBOLTS EACH END 10 GA. GALVANIZED WIRE WITH ) " DIA. RUBBER HOSE, TURNBUCKLE AND EYEBOLTS )TER TREE IN PIT .E GRATE & FRAME; DETAILS THIS SHEET PEA GRAVEL LAYER GA. GALVANIZED WIRE WITH 1z" DIA. 3BER HOSE, TURNBUCKLE & EYEBOLTS, HTEN TO HOLD TREE UPRIGHT 'ENT CONC 2B AND GUTTER TOPSOIL TYPE A, BACKFILL AROUND ROOTBALL SCARIFY ALL SIDES OF PIT LANDSCAPE LANDSCAPE DETAILS 2 .H. -__ __ 1L: F— _ ______ _ _ _ - J -T _ �1i" .3 rli�1 �t. �� #1I .. Gtv� ____ _ ___ „ r - ice(' I � •, � I„ 3 ELI i ;i tl` ,ti ' a N TREES NATIVE POLLINATOR MIX ` NATIVE SHORELINE MIX -30 :i mss' r! bli „ � lit '� . :� ;✓� ' t b tr - .. ____ ______/ _____ _______________ NATIVE/ADAPTED MIX FOR SUN BIORETENTION MIX FLOWERING ECO-TURF MIX 0 NO. DATE BY APPR. REVISIONS W A S Approved By 20000-PLAZ-LS-DET.dwg �E�ABET 61, KPG L FILENAME � ���g b�° CITY OF PORT ORCHARD LANDSCAPE ENGINEERING MANAGER DATE DESIGNED BY SCHEMATIC Js 1212023 Seattle ORCHARD PLAZA LANDSCAPE DETAILS 3 PROJECT MANAGER DATE DRAWN BY DATE q�60,JT��,3131 Elliott Avenue, Suite 400 DESIGN SCHEMATIC DESIGN HW 2/2023 ypSohpYPk �`1'4 4� Seattle,WA98121 206.286.1640 PROJECT ENGINEER DATE CHECKED BY DATE Cq PE µG Tacoma I Wenatchee I KPG.com LS1.04 KPG PROJ. No. 20040 SHT OF ___ 11 GENERAL NOTES 1. ALL WORK SHALL BE COMPLETED IN ACCORDANCE WITH CITY GUIDELINES, PSE REQUIREMENTS, WSDOT/APWA STANDARD PLANS, STANDARD SPECIFICATIONS, SPECIAL PROVISIONS, AND THESE PLANS. 2. UTILITY LOCATION (DIAL -A -DIG) PRIOR TO CONSTRUCTION SHALL BE THE RESPONSIBILITY OF THE CONTRACTOR. CONFLICTS SHALL BE BROUGHT TO THE ATTENTION OF THE ENGINEER FOR RESOLUTION. 3. ALL JUNCTION BOXES PLACED IN SIDEWALKS, WALKWAYS AND SHARED USE PATHS SHALL HAVE LOCKING AND SKID RESISTANT LIDS AND FRAMES. 4. JUNCTION BOXES IN HARDSCAPE SHALL BE INSTALLED TO ALIGN WITH THE JOINTING/SCORING. SEE SITE ELEMENTS PLAN. CONSTRUCTION NOTES CONSTRUCT PEDESTRIAN LUMINAIRE POLE FOUNDATION. FURNISH AND INSTALL PSE KING LIGHTING PEDESTRIAN LUMINAIRE FIXTURE, POLE, AND ALL ASSOCIATED EQUIPMENT PER ILLUMINAT10N DETAILS. QQ FURNISH AND INSTALL CATENARY LIGHTING SYSTEM, INCLUDING NECESSARY POLES, FOUNDATIONS, WIRING, AND CONTROLS PER MANUFACTURERS RECOMMENDATIONS. FURNISH AND INSTALL LINEAR BENCH LIGHTING. INSTALL WATERPROOF FITTINGS FOR ALL EXPOSED CONDUITS. FOR LINEAR UNDERLIGHTING MOUNTING DETAILS, SEE URBAN PLANS. FURNISH AND INSTALL RECEPTACLES ON BENCHES. FOR LOCATIONS SEE URBAN PLANS. CONSTRUCT PLAZA LUMINAIRE POLE FOUNDATION. FURNISH AND INSTALL LUMINAIRE POLE, PLAZA LIGHTING FIXTURES, AND ALL ASSOCIATED EQUIPMENT PER ILLUMINAT10N DETAILS. LUMINAIRE SCHEDULE AND WIRING NOTES TO BE PROVIDED AT LATER SUBMITTAL. AFFIX CATENARY MESSENGER CABLE TO PLAZA LUMINAIRE POLE. O7 FURNISH AND INSTALL ILLUMINATED/ELECTRICAL POWER BOLLARD. LUMINAIRE SCHEDULE AND WIRING NOTES TO BE PROVIDED AT LATER SUBMITTAL. LIGHTS TO BE INSTALLED AS PART OF CEC CONTRACT. FOR PRELIMINARY LIGHTING PRODUCT INFORMATION SEE SHEET IL02. LEGEND EXISTING NEW DESCRIPTION PEDESTRIAN LUMINAIRE & POLE C8 PLAZA LUMINAIRES & POLE ----- LINEAR BENCH LIGHTING --- CATENARY LIGHTING ® m O] 9 v JUNCTION BOX TYPE 1, 2 P CONDUIT CONSTRUCT10N NOTE ILLUMINATION BOUNDARY ILLUMINATION PLAN ILLUMINATION PLAN PSE King Lighting Pedestrian Luminaire Fixture: King Luminaire P4 Optical System K723 Falconridge Jr. (Pedestrian & Roadway scale available) Pole: Structura Beam pole I.A Bench Lighting Underbench, detail -integrated flexible, wet location rated strip. Fixture to measure 0.71 " in width x 0.67" in height x continuous length. Fixture to be constructed of UV resistant, waterproof polyurethane. LED Linear USA Venus TC 3D IP67 VarioLED Flex- VENUS TC-3D-W930-494-1P67 Nk Illuminated Bollards BEGA System Bollards with 180 or 360 degree light distribution and safety guard. Luminaire can be adjusted independent of anchor bolt orientation. Available in 5.5" to ' 10.5" diameter. Receptacles optional. i .Ii Without components With adjustable With lockable door, With passive infrared With emergency With drive -through With 240V receptacle Wood bollard tube LED floodlight and GFCl outlet motion sensor lighting battery protection for electric vehicle charging Catenary Messenger Cable System Fixtures: EXTON 4" Frosted LED EXTON 6" HOTH Frosted Shade 4 1/8" "G" Envelope fixture and 6" dia. Exton Kore with Hoth Shade to be combined in catenary system to create a layered appearance. Plaza Lights EXTON — KORE-EX5 LED "G" ENVELOPE DIRECT CABLE MOUNTI 78 (181mm) (104mm) Kore-EX5 LED Frosted "G" Envelope, Direct Cable Mount, Aluminum or Black Finish (EX5-K-C-GEF-AUBLK) Kore-EX5 LED Frosted "G" Envelope Modules. Features a 27K, 5W LED source with an integral current controller for 24V DC operation. Anodized Aluminum (AL) or Black (BLK) finish. System and Remote Power Supply ordered separately to create a complete System. EXTON — KORE-EX5 LED DIRECT CABLE MOUNT MODULE 5 -7/16' (138mm) 0 6" (152mm) Kore-EX5 LED 6" Hoth Frosted Shade Module, Direct Cable Mount, Aluminum or Black Finish (EX 5 -K -C -H OTH-6-FR-AL/BLK) Fixtures: Poles: Selux Olivio Structura - Bol 8'-24' Round Plaza poles with adjustable accents. Pole to tapered and measure 18' tall with 4 adjustable fixture heads straight wood outputting 45001m per head. Fixture to have a poles flood beam spread and measure 8" in diameter x 17-3/4" in height. Fixture to be constructed of die-cast aluminum. Selux - Olivio SX 960 1 1-9 11 IL ILLUMINATION PLAN ILLUMINATION PLAN Ecolag ical Land Services HABITAT IMPROVEMENT PLAN Revised September 9, 2024, April 18, 2023 Port Orchard Community Events Center Port Orchard, Washington Prepared for Rice Fergus Miller, Inc. 275 5th Street, Suite 100 Bremerton, WA 98337 Prepared by Ecological Land Services, Inc. 1157 3rd Avenue, Suite 220A • Longview, WA 98632 (360) 578-1371 • Project Number 2521.07 (360) 377-8773 14 n C C C Q CU - C CC CC LL C a CC WASHINGTON PROJECT o Blaine • ynden VICINITY MAP Fernda' WHATCOM SITEhhhhh1 0 52 SCALE IN MILES SAN 9 Bellingham JUAN�a• �/��.. A Friday SKAGIT .concrete W [~ Beak Bay acodes Sedro-Woolley lcunt Vernon a W t Clallam Bay .• .--i •.� 47.5426° Latitude t P°rt ped Darringt°n Angeles Arlington own end 3 -122.6391° Longitude ° se°aim Maryville SNOHOMISH Q N Forks CLALLAM EveneO A O LOCATION MAP ° portly low MulkiYteo Ouiloene Ltrwpoulsb000dsnorelme 2 Monroe 2 W O O M U a [~ JEFFERSON Kelalach Brinno Redmond a O Z W W F� �"I Queers KITSAP _ Seattle o iCarnation Breoerton Issaquah VJ W e W O x d SITEouinaf s l Buries Renton North Bend A. F*4 F~i—i c i/] A ' Teholah Kent cigHamor Auburn KING Pacific Beach GRAYS Enumclaw o CogalieBeach HARBOR Shelton 4,�i Puyallup ict ° DuPont Carbonado Ocean Shores Aberdeen E / s a Olympia Roy 7 ° MontesanomActor PIERCE dl" N G j R 1 E Westport remne Eamnwle oekvNe THURSTON ML Rain 6 1 % sons Raymond Centralia Chehalis LEWIS o T Bond Ocean Park ° PACIFIC o An Ell Morton Winbck Toledo 24 N Long Beach WAHKIAKUM C 0 mann asne Tough en A O Cathlamet Rock AMT st. COWLITZ Helens w oA py 31 38 Longview Kalama N SKAMANIA O woodland CLARK Ridgefield Z W Grote �AroundCarson .. r u o Stevenson z z U NOTE: Vancouver N. Bonneville C Quadrangle topographic map from USGS. Camas waahnhgal a O rzl F � .-- ic 1 �; i;' J:. :��♦` / \ \ \' ___ 7' ""t\ 1 R ! `� `. a Vd : e S." O S ! SITE I 1. ` BM 13 2 O NUJ i O '511-G1 _ N I oO 17..... - ° 2 <N. v_ ~ a — I— _____ I• f •jtl LU )� :S : U 1<9�• ,', � :, I > ___ ,, W� 15 LEGEND: Site Boundary Parcel Boundary OHWM - 75Shoreline Buffer 130' Shoreline Buffer 1' Contours Existing Building Existing Concrete — — — — Existing Seawall ® Existing Ornamental Landscaping o Historic Creosote Pilings (8 Total) V) Mean Higher High Water (9.18') Highest Astronomical Tide (11.53') Historic Creosote Pilings - 24" Diameter 25' Long (Above and Below Ground) 2 / F / / /, / / / ///,///// • .I___-_ ___ //// 1- A& . / / -. /- - Port Orchard Marina 'o F (Port of Bremerton) x 9i .i Parcel # v do 262401-1-001-2004 -;:?yµ'�''•� G v"t _ ti 5 _ �.i�� —�! /� '' �.y4 9' q•F, fie`i.ra `Y. , O i' W va�1ry ' 14 O City of Port Orchard w o d Waterfront Park and Downtown o ntown Parking z Sinclair Inlett e Types .ors-._�rB.yS•j�` dais. Highest Astronomical Tide 11.53' > :' � -- � v w v Mean Higher High Water 9.18' -- ,4\ a O w N / 6 O — Existing Concrete / • , ..,,� � / s"' Kitsap Bank tg Q Drive Through •;r,. o0 jT"/ / j 'y:...,,,." �� 4650-011-001-0001 ,r,x� xw �i F h Existing Existing a A d Buildin/ '3' Parking —_ _ �,•::h H � a��.` g '/ Lot 11������� 1 'M ern s ti _7L4 i '-1 Y 13 11' , • � 4'V Yl k-, ` Ln `` ` O q OO NOTE(S): 1. Aerial from Google Earth TM (8/15/2020). O N 2. Existing conditions survey provided by KPFF Engineering. V C 3. Shoreline Jurisdiction encompasses entire site. W ti It), +5' Mean Low Lower. �. 3 > �'oc^.r^ -O��OMm ^ .:?:.:.. Sinclair Inlet � Type S USZ Zone 1 Deep Shore Zone Highest Astronomical Low Shore Zone TV2 '•:.� !Ib 10' MeanLowLower `�';":" _ ° USZ Zone 2 I Mean Low Lower ,r� `.: •^ • %' ` aOr�w Water -2.53' a a w F I-si�.. LEGEND: Site Boundary Parcel Boundary O F OHWM M a U r , I �y.:.: •.....v:. — — 75Shoreline Buffer r O V w I- y;,',t:, , 1' Contours Qd a % Existing Building w Z w S �I � � .;.��•}`�..,,r; J"t.{` Existing Concrete — — / — Existing Seawall i ,I / -:'.:�':: ® Existing Ornamental Landscaping a A d Historic Creosote Pilings (8 Total) Existing Existing / ,.._Y.....;: r, o a M i �` i•'t, CD N Mean Higher High Water 9.18 N C° �\ ♦ Concrete Building .: g g ( ) y 00 ♦ .�� / Highest Astronomical Tide (11.53) U) - Mean Low Lower Water (-2.53') v n° ♦ (� +5' Mean Low Lower Water (2.47') ♦ -10' Mean Low Lower Water (-12.53) M USZ Zone 1 - HAT (11.53) to MHHW (9.18) z Historic Creosote Pilings \ ♦ 24" Diameter189 sq. ft, a ♦°: ' • .`YV y; .. 0 USZ Zone 2 - MHHW (9.18') to +5' MLLW (2.47') cn a 25' Long (Above and Below Ground) << _ / t 1 2,603 sq. ft. p Mean Higher High 6 �! NOTE(S): 0 Low Shore Zone - +5' MLLW (2.47') to -10' MLLW -12.53' IL TM 9,623 s . ft. n Water 9.18' � 1. Aerial from Google Earth (8/15/2020). q o O'" 2. Existing conditions survey provided by KPFF Engineering. 0 Deep Shore Zone Below 10' MLLW (-12.53') V 3. Shoreline Jurisdiction encompasses entire site. 19,929 sq. ft. W Co V_ LEGEND: h / Site Boundary / Parcel Boundary / 'o F ;� /7/ OHWM � Mean Low Lower / ° 1' Contours ;� // i Mean Higher High Water 9.18' Water -2.53' — 75' Shoreline Buffer Sinclair Inlet / / i/zZ Z / i Mean Higher High Water (9.18') o " O N 9 9 Type S / / / /// ii/ / A � o n Highest Astronomical Tide (11.53) "� 3� �i 7/,, /i. / , 7 O F Mean Low Lower Water (-2.53') �� ,�� i -1/ y�// I / w w Proposed 1' Contours (5) Proposed16" DIA In -Water Piles � i/�i�� ,/ / a ~ z U A Proposed Deck (2,944 sq. ft.) �/ ��� Proposed Building / / \ i / i // // / Proposed Bench i -7-.-'-'\ i / _ w O Proposed Piles 77/, / // i \ °J Proposed Retaining Wall / Proposed Deck 2 / / hr' / ® Proposed Walking Trail / / / A \ " m ProposedAsphalt /7 / / / / / i / J i ��.o Proposed Impervious Surface / / / / / / // / / i / i��� / 0 Proposed Concrete / / // /� %� / /ice 7/ / 7 ....;................ z z Temporary Cofferdam and Win walls / / i i �� Hi Est Astronomical �� p ry Wingwalls // / / / / g �.......... -�FzvF Proposed Retaining Wall with (5) / / i / //_// Tide 11.53 /\- \ z z v 16" DIA Piles / i// // / / / i i / /.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'.'... a W Proposed Retaining Wall with (10) / / / :... i.:.:.....:......:... \ a a w N ii' / :+:•. ; ¢ a a Proposed Restoration j �/ �//ii // / / /� ���� t: :•:t ' :: ;�:'�:'::''`'' QO• t .1 ......... / I I Q z Historic Creosote Pilin s to be / // / / / ' • •:�%:•'•'•'� • • • +••••�•�•�•� �•� Removed (8 Total) / / / �� / / / +:'�. :•:•:•'•' I 0.20 tons (per PSNHCC) /� / —_� / / .•. : .;.•:.•.«+#`«........... / a //'•' // / / /1 N II Shoreline to be Exposed ,�i / / '/'/7 _ Jam/ *'� o Q a / Retaining Wall Supported : / - 3,336 s . ft. /// / / /// _ _ by(5)16 DIA Piles / z //// / / j //////ri�'i'�'i'�'i'�'i'�'�'�'�'+'�'+'+ �.�'� / a A \ /f//////// / i`++ o r.:. // / I o M / Historic Creosote Rilings I I l / //// /�� / N 24" Diameter \\ 1 I I I I / / / /// , , , , , , .... / / X / 25' Long (Above and Below Ground) \`1 1 II I I I I ii / /� 240 LF Temporary+Sheetpile / / / to be RemovedI �l 11 1 1 1 1 1 11 H Cofferdam. Includes (2) / / / I w a �' \/ �I111111 'if/( Wingwalls / / / H MJ o L �� IIIjl�1 XIi / / // o Z N w / / / :/�1�111111 II / a / / /� / I I I I I I I I l l / / /\�/ I / / Port Orchard �' p / /1/11/ / Community '0 L NOTES : l I /� /i Events Center �� / // O a 1. Site plan provided by KPFF Engineering. j/\ / / / / E V .a 2. Shoreline Jurisdiction encompasses entire // / . / // site. / C�/ •,S W C) 0 0 m N N v 0) C E i 0 U 20- N 0 15- N C i HAT: 11.53 O 10- µHHW: 9.18 a m co 5— MLLW +5: 2.47 J JJ K 0- 0 b MLLW: -2.53 0 E -5- GRATED DECK HANDRAIL BY LANDSCAPE - 16'0 PILE 20- 15 — HAT: 11.53 10— MHHW: 9.18 5— MLLW +5: 2.47 0— MLLW: -2.531 -5— HANDRAIL BY LANDSCAPE EXISTING GRADE (Seawall) TOP OF RETAINING WALL 16' EVENTS CENTER PROMENADE RETAINING WALL TEMPORARY SHEET PILE CAISSON SHORE ARMOR SHALL COMPLY MATH WSDOT STANDARD SPECIFICATION 9-03.11(2) (10' STREAMBED COBBLES) OR 9-13.5(1), QUARRY SPALLS, TIP NOTES: 1. TEMPORARY SHEET PILE NOT AT SIMILAR. 2. FINAL GRADING SHOWN. 3. DEMOLISHED SEAWALL NOT SHOWN. 4. TOP FACE OF TIDE POOLS SHALL BE BETWEEN EL 4.0 AND EL 10.0. TOP OF RE TM C WALL 18' CONCRE-E DECK E4EVT5 CENTER PRC6ENAPE E111S1NG GRADE (Seawall) r ` RETAINING WALL It SHORE ARMOR SIRALL COMPLY WITH WSDOT STANDARD 61T1 9-03.11(2) (10' SI PMBEO CEBLES) OR 9-13.5(1), MARRY SPAS REAINING WALL AND DECK �1 NOTE(S): 1. Site plan provided by KPFF Engineering. RETAINING WALL AND SHEET PILE 20- 15 — HAT: 11.53 10— MHHW: 9.18 5— MLLW +5: 2.47 0— MLLW: -2.53 c7 -5 GRATED DECK HANORAIL LANDSCAPES 1� TOP OF Y RETAINING WALL \11 CONCRETE DECK 1111111111 EXISTING GRADE / 5. (Seawall) 16'0 PILE i / a 16' EVENTS CENTER PROMENADE RETAINING WALL / 12' SHORE ARMOR SHALL COMPLY WITH WSDOT STANDARD SPECIFICATION 9-03.11(2) (10' STREAMBED COBBLES) OR 9-13.5(1), QUARRY SPALLS RETAINING WALL AND DECK 3� Q N M M N Lo N _ I rn Ln 3 0 rn w Q '� a C C 0 rn J 0 Tn a 0 H 0 z YI O N O Vc W Photo 1 was taken from along Bay Street east of the project site. It looks northwesterly along Bay Street with the Kitsap Bank building visible in the upper right just below the tree branches. Photo 2 was taken from the same location and looks north across the proper- ties along Bay Street. The Kitsap Bank drive thru is in the upper left. The Port Orchard Marina is beyond the building, parking, and vegetation in this photo. Photo 3 was taken from the entrance to the Port Orchard Marina northeast of the project site. It looks southwest- erly back toward the Kitsap Bank Building. This view shows the ex- tent of seawall below the bank and wood handrail. 1157 3rd Ave., Suite 220A DATE: 2/13/23 Photoplate 1 Longview, WA 98632 DWN: JB Site Photos Phone: (360) 578-1371 Port Orchard Community Events Center ECo Fax: (360) 414-9305 PRJ. MGR: JB Rice Fergus Miller ogicai PROJ.#: 2521.07 Port Orchard, Washington Land Services Photo 4 was taken along the path from the Waterfront Park in downtown Port Orchard east of the project site. It looks westerly along the path to- wards the bank and shows the rub- ble consisting of concrete chunks and rip rap, which was placed to protect the seawall. Photo 5 was taken from the path where the handrail begins. It looks southwest- erly along the path and handrail with the bank building to the left. The rubble in this area is largely rip rap chunks covered with barnacles. The proposed overwater deck will be situated in this area. Photo 6 was taken from the same location as Photo 5 and looks northeasterly to show the extent of the shoreline rubble from a different angle. The overwater deck will end at the hand- rail angle on the right. Beyond the handrail, the property is managed by the City of Port Orchard as part of the Waterfront Park. a 1157 3rd Ave., Suite 220A DATE: 2/13/23 Photoplate 2 Longview, WA 98632 Site Photos Phone: (360) 578-1371 DWN: JB Port Orchard Community Events Center ECo Fax: (360) 414-9305 PRJ. MGR: JB Rice Fergus Miller 0ga�Icai PROJ.#: 2521.07 Port Orchard, Washington Land Services Photo 7 shows the rubble along the shore- line covered with barnacles. This photo also shows the steep angle of the shoreline in this area as it goes beneath the waterline. Photo 8 was taken from the northwest cor- ner of the project site and the sea- wall. It looks northeasterly along the path and the west end of the bank building. A large concrete patio is formed in this area, which will be removed as part of the project and the shoreline restored through grad- ing. Photo 9 was taken from the same location as Photo 8. It looks southerly along the west edge of the project site showing the west end of the bank, a narrow parking area to the right, and the building with the 7-11 mini mar- ket in the upper left. 1 157 3rd Ave., Suite 220A DATE: 2/13/23 Photoplate 3 Longview, WA 98632 DWN: JB Site Photos Phone: (360) 578-1371 Port Orchard Community Events Center ��� Fax: (360) 414-9305 PRJ. MGR: JB Rice Fergus Miller Ecological PROJ.#: 2521.07 Port Orchard, Washington Land Services Photo 10 was from the same location as Photos 8 and 9 on Photoplate 3. It looks westerly along the shoreline where the rubble continues. Photo 11 was taken from the east end of the bank building to show the existing vegetation within the onsite land- scaped areas. This vegetation com- munity provides no function for the shoreline buffer and do not provide habitat for wildlife. Photo 12 was taken from the parking area between the bank and 7-11 building (Photo 9). It looks back toward the corner of the seawall to show its ex- tent as well as the concrete pilings that will be removed as part of the shoreline restoration. 1157 3rd Ave., Suite 220A DATE: 2/13/23 Photoplate 4 Longview, WA 98632 Site Photos Phone: (360) 578-1371 DWN: JB Port Orchard Community Events Center ECo Fax: (360) 414-9305 PRJ. MGR: JB Rice Fergus Miller 0ga�Icai PROJ.#: 2521.07 Port Orchard, Washington Land Services Photo 13 shows a closer view of the creo- sote pilings and a portion of the old sheet pile that will be removed as part of the shoreline restoration. Photo 14 shows the creosote pilings and sheet pile that will be removed as viewed from the corner of the sea- wall. There are 8 creosote pilings that appear to be about 25 feet long. The sheet pile in this area extends into the deeper water and is sur- rounded by the barnacle covered rocks. Photo 15 was taken to show some pilings that appear to be composed of con- crete that occur below the water. They are visible in the upper left cor- ner and next to the large rocks. These pilings were not accounted for in the shoreline restoration calcu- lations in the PSNHCC but their re- moval will also improve the shore- line on this property. ' 1157 3rd Ave., Suite 220A DATE: 2/13/23 Photoplate 5 Longview, WA 98632 DWN: JB Site Photos Phone: (360) 578-1371 Port Orchard Community Events Center Fax: (360) 414-9305 PRJ. MGR: JB Rice Fergus Miller Ecological PROJ.#: 2521.07 Port Orchard, Washington Land Services 3/17/2023 1:13 PM C:\Users\Emilio\Box\ELS\WA\Kitsap\Port Orchard\2521-Rice Fergus Miller\2521.07-POCEC Seawall Permitting\2521.07-Figures CAD Only\2521.07_SMP.dwg Emilio UP III II H TT -- I I I I I I I I c H STAIR 4 96 SF OFFICE OFFICE OFFICE OUTDOOR 61 SF 63 SF 64 SF KIDS AREA OPERABLE PARTITION OFFICE - STAFF WORK ■ 165 SF I - - i i I ROOM O BREAK ROOM IIII 594 SF - - 183 SF ' •'i I I Hflj Ill/ OFFICE - 165 SF KIDS COLLECTION DATA ELEV 2 MDF 34 SF _ 86 SF 42 SF STAFF RR = ADA RR TWEEN SPRINKLER i COLLECTION 133 SF 80 SF JAN 70 SF 32S ■ °O ELEC ROOM FUTURE O 264 SF RESTROOM 74 SF EVENT LOAD TEEN COLLECTION 169 SF I ao • I � I ao FUTURE TENANT SPACE 1,071 SF Ni if!1 I ILJ I I I I / \ I OUTDOOR // // TEEN AREA I ---- ----------------- ------------- ---------- fl ----------- --- ° ------------- ici OO / / / / / , \ -/ H H H H H H H' 00 OO■OO OOOO 0 OO� O O O I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I LIBRARY STACKS 3,893 SF LIBRARY ASSISTANCE DESK I I OFFICE OFFICE 143 SF 239 SF TECH PRINT/COPY SELF CHECK 00 o 0o LIBRARY 0 PROGRAM O 688 SF OPERABLE PARTITION PROGRAM STORAGE 0 53SF a ALL GENDER HRESTROOMS 358 SF o SHARED BUILDING LOBBY 1,166 SF F - ........ 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Q Mosquito Fleet / Ferry Routes MPd IAYVI5t[t I \_ 10 y' 4 4 9 12 9 Snnl I � q s Nautical Map Information ILSTU010 SC p:i J nvr.r. 4 r j Historic Locations Flora / Fauna DAS MAG s `� NnT imleben) 16 n 14 V '22 24 24 '1� 1 Strax . t7 n n 16 24 � ! 23 20 Q 9 rkBn 2 24 +62 f T 25 22 22 nw $ t 26 v...e. 28 24 9 0 C'P ri i2 19 27 1 4 Y 14 01 16 17 7 18 1 292 19 21 a 14 23 W 30 72 23 25 22 20 19 263 9 2� P4 2] 34 ` fi 29 30 36 Cites PORT ORCHARD CEC DESIGN DEVELOPMENT WALL ELEVATION SCALE: 3/16"=1'-0" FEATURE WALL: DISCOVERABLE OPPORTUNITIES 7.02.2025 + 44 '"''�.u',-_�.c� --_ --,•,:nom_..,;, CITY OF PORT ORCHARD rte`: Y 4 A GISLATIVE UPDATE July 15, 2025 Shelly Helder 45 OVERVIEW & OUTCOMES OF THE 2025 LEGISLATIVE SESSION EXPECTATIONS & PREPARATION FOR THE 2026 LEGISLATIVE SESSION NEXT STEPS 46 • Funds all state agency operations Revenue growth has slowed — 2022-24 revenues grew at 5.2% annually, starting in 2025 reduced to 3.5% $77.8 billion budget for 2025-27, $2.3 billion in reserves $4.3 billion in new taxes • Funds public and nonprofit construction projects _(excluding transportation) • $7.5 billion budget • Funded by the combination of bond capacity, federal funds, dedicated sources, etc. • $201.3 million allocated for local community projects _($23 1.8 million in 2023) _ • Average local community project award: $604,000 y Expected $ I billion shortfall in 2025-27 • Some projects delayed due to reduced revenues • No new projects _ Taxes, fees and transfer from operating resulting in $3.2 "1 — billion over the next 6 years • $15.5 billion budget for 25- 27 47 • Request: $3.55 million to address funding gap • Request made in both capital and transportation budgets • $ I million included in final capital budget • Water resource mitigation pilot project • Goal: Educate the Legislature on the challenges and urgency • Request: $8 million • Limited funding availability in transportation budget 48 OTHER IMPORTANT TOPICS Public Safety • Passed: House Bill 2015, public safety funding • Basic Law Enforcement Academy Classes 7\ Housing & Homelessness Mandates ;V" ) • Amended Senate Bill 5184, parking minimums ;.,/ • Defeated: House Bill 1380, use of public property Infrastructure Funding • Strong advocacy to defeat large diversion of Public Works Assistance Account funding • Likely to see reductions to operating expenditures, no new revenue • The 2025-27 Capital budget left $349 million in bond capacity for 2026 • The 2025-27 Transportation budget focused on completing what was started, maintenance & preservation, state obligation to address fish culverts • Any bill introduced, but did not pass, in the 2025 session will be eligible for reconsideration + any new proposals • HB 1380 (public spaces), HB 1 195 (STEP housing), HB 1622 (Al collective bargaining), HB 1443/SB 5332 (mobile dwellings) 50 AWC LEGISLATIVE PRIORITIES DEVELOPMENT Legislative Priorities Committee Meeting Membership Survey Input from Large City Advisory Committee Legislative Priorities Committee Meeting 2 Legislative Priorities Committee Meeting 3 Priorities Recommended to the AWC Board Input from Small AWC Staff Research AWC Board Adopts Cities Advisory Potential Priorities Legislative Priorities Committee Supplemental "short" sessions are best for continuing priorities or emergent items Funding requests: Legislature likes to be "last dollar in" Most successful budget requests have buy -in from the delegation Require detailed information like pictures, maps and project budget Policy items: Does the City have a unique story to tell? Ex: Foster Pilot Are we adding to or differentiating from the efforts of other partners? Coordinate with delegation well in advance of session 52 • Identify 2026 needs • Draft 2026 Legislative Agenda • Meet with delegation members to discuss possible priorities and ensure alignment • Develop final proposed priorities • City Council adopts Legislative Agenda 53 QUESTIONS? t 1H! GORDON THOMAS HONEYWELL GOVERNMENT RELATIONS 2025 Bills Likely to Return in 2026 Below is a list of bills that did not make it through this legislative session. Although all bills that did not pass will automatically be reintroduced and reconsidered during the 2026 session, the list below highlights legislation that is expected to receive significant discussion during the 2026 session. We encourage you to review and prepare for the continuation of these policy discussions. Misdemeanor Charge Dismissal Framework: House Bill 1113, sponsored by Rep. Darya Farivar (D -46th LD), establishes a framework for courts of limited jurisdiction to dismiss certain misdemeanor and gross misdemeanor charges if defendants comply with court -ordered conditions aimed at rehabilitation. Courts may dismiss charges upon a defendant's substantial compliance with conditions over a continuance period of 6 to 12 months, which must be tailored to support rehabilitation and address factors such as behavioral health disorders, housing instability, or employment challenges. Exclusions include serious offenses such as DUI - related crimes, domestic violence, firearm -related charges, animal cruelty, and offenses involving sexual motivation or minors. Neighborhood Cafes: House Bill 1175, sponsored by Rep. Mark Klicker (R -16th LD), mandates that cities and towns allow neighborhood cafes and stores in residential areas, with provisions regulating parking, hours of operation, and additional local controls such as maximum square footage. Neighborhood cafes serving alcohol must also offer food, and stores in residential zones are prohibited from selling nicotine products. The bill exempts certain actions related to its implementation from environmental review under the State Environmental Policy Act (SEPA) and requires cities planning under the Growth Management Act to incorporate these requirements into their comprehensive plan updates in 2027, while other cities must implement the requirements within two years of the bill's effective date. Commerce Oversight of Shelter Permitting: House Bill 1195, sponsored by Rep. Strom Peterson (D -21st LD), facilitates the siting, permitting, and operation of permanent supportive housing, transitional housing, indoor emergency housing, and indoor emergency shelters. Counties and cities must approve permit applications for these facilities through administrative processes, prohibiting local comprehensive plans or regulations from precluding such developments in residential or commercial zones within urban growth areas contiguous with cities. The Department of Commerce is empowered to resolve disputes, enforce compliance, and withhold certain revenues from noncompliant local governments, while exemptions apply to critical areas, natural hazard zones, and lands of long-term commercial significance. GTH-GOV 55 Competency Evaluations: House Bill 1218, sponsored by Rep. Darya Farivar (D -46th LD), introduces significant changes to Washington State's forensic mental health system, focusing on competency evaluation and restoration services. The bill aims to reduce demand for forensic services, improve diversion options, and enhance community -based behavioral health services. Key provisions include expanding the role of forensic navigators to assist individuals referred for competency evaluation for class B and C felonies and misdemeanors, streamlining outpatient competency restoration eligibility, and requiring courts to dismiss charges if restoration is deemed unlikely. Additionally, it establishes a Behavioral Health Diversion Incentive Program to reduce inpatient competency referrals, creates a Behavioral Health Diversion Fund, and mandates counties to develop diversion plans to reduce jail time for individuals with behavioral health needs. Wildfire Building Codes: House Bill 1254, sponsored by Rep. Davina Duerr (D -1st LD), mandates phased statewide adoption of the International Wildland Urban Interface Code (IWUIC) to address wildfire risks. The bill requires the State Building Code Council to adopt the IWUIC by November 1, 2029, following the creation of statewide wildfire hazard maps, and allows local governments to use optional IWUIC codes until the statewide maps are finalized. The bill also mandates IWUIC application in high -risk areas identified through mapping, permits local governments to adopt amendments with fire marshal approval, and establishes a grant program to support mapping efforts. Even -Year Local Elections: House Bill 1339, sponsored by Rep. Mia Gregerson (D -33rd LD), allows local governments to move their elections from odd -numbered to even -numbered years to boost voter turnout. The bill introduces a new option for cities, towns, and special purpose districts to transition their elections to even -numbered years through mechanisms such as legislative adoption of an ordinance, voter approval of a referred ordinance or charter amendment, or voter -initiated initiatives or charter amendments. Key provisions include requirements for two public hearings held at least 30 days apart, adjustments to elected officials' term lengths to align with the new schedule, and a funding contingency clause making implementation dependent on specific appropriations by June 30, 2025. Homelessness Regulation Framework: House Bill 1380, sponsored by Rep. Mia Gregerson (D - 33rd LD), establishes a framework for regulating the use of public property by individuals experiencing homelessness, requiring such regulations to be "objectively reasonable" in terms of time, place, and manner. The bill applies to laws enacted by cities, towns, counties, and the state, including those governing capitol building lands. It allows individuals to challenge unreasonable laws in court and assert an affirmative defense, prohibits monetary damages, and includes an emergency clause for immediate enactment. Public Defense Funding Reform: House Bill 1592, sponsored by Rep. Strom Peterson (D -21st LD), revises Washington State's public defense funding structure by shifting significant financial responsibility to the state and establishing new requirements for counties and cities. Beginning in fiscal year 2026, the state will cover 50 percent of public defense costs and assume responsibility for costs exceeding a five-year average of county and city expenditures, while GTH-GOV 56 counties must redirect supplanted funds to programs such as diversion, behavioral health services, and affordable housing. The bill also mandates robust data collection and reporting requirements, establishes eligibility standards for state funding, and allows rural counties to request the Office of Public Defense (OPD) to take over public defense services. Al and Collective Bargaining: House Bill 1622, sponsored by Rep. Lisa Parshley (D -22nd LD), requires employers to bargain over the adoption or modification of artificial intelligence (Al) technologies that impact wages or performance evaluations. Bargaining is not required for updates to existing Al technologies made by third parties that do not meaningfully affect wages or evaluations. The bill also ensures existing contracts are not subject to the new requirements until they expire, are renewed, or reopened. Independent Jail Oversight: Senate Bill 5005, sponsored by Senator Rebecca Saldana (D -37th LD), establishes the Washington Jail Council within the Office of the Governor to oversee and improve the state's jail system. The council's purpose is to promote transparency, ensure safe and humane conditions for jail employees and incarcerated individuals, encourage rehabilitative reforms, and reduce litigation risks. The council is tasked with monitoring jail operations, conducting annual surveys, publishing reports, investigating systemic issues, and participating in unexpected fatality review teams to issue recommendations to the legislature and governing jail authorities. Juvenile Interrogations: Senate Bill 5052, sponsored by Sen. Jesse Salomon (D -32nd LD), clarifies law enforcement authority to contact juvenile witnesses and victims not suspected of criminal activity. It specifies that attorney consultation requirements apply only to juveniles detained based on probable cause of criminal involvement, ensuring law enforcement can interact with juvenile witnesses and victims without triggering these requirements. The bill also adds provisions to ensure the admissibility of lawfully obtained evidence and includes legislative intent to provide consistent statewide interpretation of juvenile law enforcement interactions. Prevailing Wage Adjustments: Senate Bill 5061, sponsored by Sen. Steve Conway (D -29th LD), requires annual adjustments to prevailing wage rates for most public works contracts to ensure wages reflect current rates during the duration of a project. The bill exempts small works roster projects and residential construction from the adjustment requirement and requires residential construction projects to include a designation in the contract, with provisions for reclassification to commercial rates if necessary. Expanded Weapon -Free Zones: Senate Bill 5098, sponsored by Sen. Javier Valdez (D -46th LD), expands weapon -free zones to include neighborhood, community, or regional park facilities where children are likely to be present, state or local public buildings, and county fairs during public operating hours. Exceptions are provided for gun shows, color guards, and honor guards during permitted events, museum staff handling firearms as part of collections or exhibitions, and concealed pistol license holders in specific circumstances. Municipalities are required to post signage at common access points, and violations are classified as gross misdemeanors. The GTH-GOV 3 57 definition of "weapon" is updated to include additional instruments capable of causing death or bodily injury. Short -Term Rental Tax: Engrossed Substitute Senate Bill 5576, sponsored by Sen. Liz Lovelett (D -40th LD), authorizes counties, cities, and towns in Washington State to impose a new local excise tax on short-term rental lodging transactions facilitated through short-term rental platforms. The bill establishes the framework for the tax, its rate, collection, and use of proceeds, as well as administrative requirements. Local governments may impose the tax at a rate not exceeding 4%, with proceeds deposited into the "essential affordable housing local assistance account" to fund affordable housing -related purposes, including construction, operations, rental assistance, and social services. Local governments may retain up to 15 percent of revenue for administrative costs and are required to publish annual reports on expenditures. Clear and Objective Development Regulations and Design Standards: Senate Bill 5613, sponsored by Sen. Jesse Salomon (D -32nd LD), amends Washington's Growth Management Act to require cities and counties to adopt clear and objective development regulations and design standards for residential development. The Department of Commerce must form a stakeholder work group to analyze barriers to housing and develop model codes, which cities and counties must adopt or submit alternatives for approval by the Department by January 1, 2029. The bill expands the jurisdiction of the Growth Management Hearings Board to address noncompliance and allows alternative approval processes for aesthetic considerations if they do not reduce density below comprehensive plan levels. Mandatory Hearing Examiners: Senate Bill 5719, sponsored by Sen. Jesse Salomon (D -32nd LD), mandates changes to Washington State law regarding the use of hearing examiners for land use and development decisions by counties and cities. Counties fully planning under the Growth Management Act (GMA) and cities with populations over 2,000 must adopt hearing examiner systems for quasi-judicial land use decisions, such as plat approvals, planned unit developments, variances, and conditional uses. Hearing examiner decisions are designated as final and appealable only through the courts, with jurisdictions allowed to specify whether substantial weight must be given to administrative decision -makers in appeals. Counties not fully planning under the GMA and cities with populations of 2,000 or less may adopt hearing examiner systems, but are not required to do so, with optional legislative review processes also permitted. Permit Streamlining: Senate Bill 5729, sponsored by Sen. Chris Gildon (R -25th LD), streamlines the permitting process for affordable housing construction by deeming professionally prepared applications complete upon submission and limiting local governments' ability to impose substantial modifications. Applications consistent with development regulations and infrastructure capacity are deemed approved after six reviews unless violations are demonstrated, and certain types of projects are excluded from site plan review. The bill also imposes professional liability insurance requirements for engineers and architects and GTH-GOV 4 58 compliance restrictions to ensure adherence to development regulations and housing affordability standards. GTH-GOV 59 Washington final budgets FY 2025-27: Selected impacts on cities For more information, please visit the fiscal. wa.gov website for legislative budget proposals and A !tSHI TION the Office of Financial Management website at ofm. wa.gov for the Governor's proposed budget. OF WASHINGTON CiiiES Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget Operating budget - Shared revenues Liquor profits (Liquor $98.9 million $98.9 million Revolving Account) Liquor taxes (Liquor Excise $89.4 million $88 million Tax Account) Cannabis Excise Tax $47.2 million (due to reduced forecast) $44.2 million Municipal Criminal Justice $51.7 million • $60.3 million Assistance Account • $266,000 for reimbursement for mandatory arrest for repeat offenders. City -County Assistance $34.6 million (due to reduced REET revenues) $43.8 million Account (6050) Fire Insurance Premium Tax $14.6 million $16.9 million Operating budget - Programs General Government Pensions • Final Rates adjusted to account for UAAL reduction • Select Committee on Pension Policy to study under SB 5294: implications of possible Plans 1 merger (as suggested • PERS employer rate: 8.86% by SB 5085) or LEOFF 1 restatement (as suggested • PSERS employer rate: 9.1% by HB 2034). Report by January 9, 2026. • LEOFF 2 employer rate: 5.12% • Pension rates adjusted to take into account SB 5357. • $143,000 for implementing changes to military service New employer rates: credits. 0.01% increase to state contributions to pay ■ PERS 5.38% for additional benefits (HB 1007). ■ PSERS 6.91% • $1.06 million for implementing retire/rehire expansion - LEOFF 2 employer rate: 5.32% (HB 1056). • $199,000 to implement moving 911 operators to PSERS (HB 1055). • $12 million increase for 2024-25 state appropriations to LEOFF 2 system. • 0.13% increase in state employer contributions to PSERS to fund movin 911 o erators to PSERS. PERS 1 COLA • 0.12% increase in employer contributions provided for No PERS 1 COLA included. PERS 1 COLA in SB 5350. Page 1 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 60 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget • 0.08% increase for state and local government employer contributions for PERS 1 COLA in HB 1985. Paid Family & Medical Leave • $30,000 to implement changes to paid leave • $10.8 million for additional staff to process PFML Program premiums calculations (SB 5286). customer and employer inquiries. • $2.9 million to implement changes of employer access • $8.9 million completing statutorily required PFML to paid leave data (SB 5586). implementation. • $250,000 for an ESD study on impacts of PFML job • $5 million to implement changes to PFML job protection standards on utilization of PFML benefits. protections. • $5.6 million to increase PFML program staffing for processing claims and customer service. • $7.3 million for staffing to complete PFML technology upgrades for statutorily required components of PFML. • $100,000 for ESD report on how to collect demographic information of PFML and UI program participants. Miscellaneous HR & labor • $15.4 million to LTSS program to implement IT • $851,000 to implement restriction on including provisions of interest project. unnecessary driver requirements in job applications (SB • $3.54 million for PFML and LTSS programs for 5501). outreach to underserved communities, perform • $852,000 to implement UI benefits for striking workers program evaluation, data management, and enhance (SB 5041). customer experience. • $102,000 to implement changes to public employee • $21.2 million to cover anticipated shortfall in federal bargaining (SB 5503). funding for unemployment insurance program. • $1.73 million to L&I to implement repeal of ban on musculoskeletal injuries rules (SB 5217). • $572,000 to implement "good faith" standard for self - insured employers (HB 1521) • $15.4 million to LTSS program to implement IT project. • $64.2 million transfer from LTSS account to GE to repay 2024 startup costs. • $4.2 million to implement benefits portability for the WA Cares Fund (HB 2467). • $400,000 to fund a third party contracted PTSD study for public safety workers and nurses. Report to legislature required June 30, 2025. • $844,000 to incorporate all protected classes into Page 2 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 61 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget Equal Pay & Opportunity Act (HB 1905). • $404,000 to implement changes to temporary total disability benefits (HB 1927). • $2.23 million to implement increased safety for construction cranes (HB 2022). • $611,000 to implement new definition of family member for paid sick leave SB 5793 . Municipal Research and $6.8 million $6.8 million Services Center $2.2 million for procurement technical assistance. Municipal Revolving - Sweep of $5 million from State Auditor municipal revolving Account account balance of local audit fees. Elections - $500,000 to UW to study local government compliance with voting and elections laws and recommend best practices. Public safety & Criminal Justice Training for law • $3.4 million for six additional classes. Funds 23 Basic • Funds 23 BLEA classes per year in 2026 and 2027, enforcement Law Enforcement Academy (BLEA) classes in 2024 with two per year in each of four regional academies in and 2025, with at least three classes in Spokane each Arlington, Pasco, Spokane, and Vancouver. Remaining year and the remainder at the Burien campus. classes in Burien. • $12 million for six additional BLEA classes, starting in • Reinstates 25% local match for BLEA and basic 2024, at three new regional training academies: corrections officer training programs. Pasco, Snohomish, and Clark County. • $4.4 million to eliminate 25% local government match for BLEA. • $50,000 to study establishing a regional BLEA and/or corrections officer academ on the Kitsa Peninsula. Crisis intervention training $1.8 million for Trueblood phase one regions. $1.8 million for Trueblood phase one, two, and three regions. Co -responder team funding $5.3 million to cities and counties to assist with alternative $5.2 million to cities and counties to assist with alternative response, including: response, including: • $4 million to AWC to provide funds to cities to create • $4 million to AWC to provide funds to cities to create alternative response team programs around the state. alternative response team programs around the state. • $2 million to support behavioral health co -responder • $1.2 million to support Whatcom County alternative services on non law enforcement emergency medical response team. response teams. Law enforcement behavioral $5 million to the CJTC for law enforcement wellness $5 million to the CJTC for officer wellness programs, health & suicide prevention programs, including: including: program Page 3 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 62 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget • $3 million for grants to local law enforcement • $3 million for grants to local law enforcement agencies agencies for wellness programs. for wellness programs. • $2 million for a wellness app. • $2 million for a wellness app. $1.3 million for first responder wellness HB 2311). Multijurisdictional drug task $2.7 million, replacing the funds redirected from the Byrne Funding not included. forces grant program, including $50,000 for three roundtables to review policies, regulations, and fiscal investments in multijurisdictional drug task forces and report to legislature. Public safety funding Funding not included. • $100 million for public safety funding grants to support recruiting, hiring, retaining, and training officers and co - responders (HB 2015). • $635,000 to CJTC to administer grants. Retail crime task force $2.2 million Funding not included. $1 million for a statewide organization to conduct a retail crime pilot program focused on diversion -oriented programs. Drug & gang prevention $1 million grant program. $1 million grant program. Impaired driver safety $1.1 million $1.2 million account Small & rural court facilities $2 million for grant matching funds to small rural $1 million for grant matching funds to increase small rural grants for increased municipal county courts for increasing court security, court security. security Public defense and • $611,000 to OPD for a rural public defense program Funding not included. prosecution recruitment and (SB 5780). training • $442,000 to OPD for public defense recruitment and internship program. • $694,000 to CTJC for a rural prosecution program. Public defense grants $900,000 to cities. • $900,000 for grants to cities. • Additional $2.7 million for public defense grants to cities. Vacating & resentencing $115.8 million in continued response to the State v. Blake • $7.7 million to AOC to refund legal financial obligations under State v. Blake decision, including: vacated under Blake and an additional $1.7 million for decision & refunding LFOs • $11.5 million to assist cities with costs of complying the activities of the AOC including contracting with with the State v. Blake decision. AOC must cities and counties to disburse legal financial collaborate with cities to adopt a standardized obligations. Page 4 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 63 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget process, including coding for application to Blake • $7.6 million to AOC to assist cities and counties with convictions, costs to comply with Blake. • $51.4 million to the Administrative Office of the Courts • $8.6 million to the Office of Public Defense to assist to establish a direct refund process to individuals and cities and counties with public defense services related an additional $1.6 million for the activities of the office to Blake, including SPAR grants. relating to resentencing and refunding legal financial obligations and costs. • $5.2 million to the Office of Civil Legal Aid to continue legal information, advice, assistance, and representation for individuals eligible for civil relief under State v. Blake. • $3.4 million to the Administrative Office of the Courts for resentencing or vacating convictions. • $963,000 to the Office of Public Defense to provide statewide attorney training, technical assistance, and data. Therapeutic courts _reporting. $29.6 million for therapeutic courts: Funding not included. • $9 million to the Health Care Authority to maintain funding for new therapeutic courts created or expanded during 2021. • $20.6 million to the Administrative Office of the Courts for therapeutic court pro rams. Medicated assisted opioid $17.3 million to expand opioid disorder medication in city, Funding not included. treatment in jails county, regional, and tribal jails. Human Services Community Behavioral Significant investments in the community behavioral Continued investments in the community behavioral health Health health system, including: system, including: • $55 million for community treatment (PACT) teams. • $78.5 million for assertive community treatment (PACT) • $4.5 million for mental health services for mentally ill teams. offenders in county or city jails and connection to • $4.1 million for mental health services for mentally ill services after release from confinement, offenders in county or city jails and connection to • $21.5 million for crisis triage, relief, or stabilization services after release from confinement. centers. • $38.1 million for clubhouse programs. • $11.6 million for clubhouse programs. • $17 million for substance use disorder peer support • $17 million for substance use disorder peer support services. services. • $61.2 million to support the housing needs of • $46.5 million for the recovery navigator program, individuals with behavioral health disorders. Includes including funding for recovery navigator teams to funds for crisis response teams, housing programs, Page 5 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 64 Final 2023-25 (as amended by 2024 I Final 2025-27 suaalemental) budaet Forensic mental health provide outreach and case management services for law enforcement assisted diversion. • $44.4 million for behavioral health mobile crisis response teams. • $2.6 million for a substance use or drug overdose prevention campaign (HB 1956 or SB 5906). • $3 million for health engagement hubs. • $3.7 million for street medicine teams. • $1.3 million for a public health nurse pilot • $5.2 million to expand distribution of naloxone and $1.2 million to purchase supply of naloxone for first responders. • $900,000 for public health vending machines • $3 million to increase access to buprenorphine and $1.5 million to establish high -intensity community - based teams to provide buprenorphine to people with opioid use disorder. • $1.4 million for young adult post inpatient housing (HB 1929). • $2.2 million for behavioral health crisis system coordination (SB 6251) • $4 million for opioid and fentanyl data dashboards. $108.7 million for forensic mental health and to continue implementation of the Trueblood Settlement, including: • $18.2 million to phase -in Trueblood settlement competency evaluations, competency restoration, forensic navigators, crisis diversion and supports, education and training, and workforce development. • $14.3 million to improve the timeliness of competency evaluation services for individuals in local jails. • $10.3 million to provide behavioral health and stabilization services in King County. • $7.6 million to DSHS to hire additional forensic evaluators to provide in -jail competency and community -based evaluations. • $8 million, including $7 million for Trueblood phase one and phase two regions. $8 million to continue diversion grant programs. recovery navigators, stabilization teams, and more. • $14 million for a substance use or drug overdose prevention campaign. • $9.5 million for health engagement hub pilot program sites (SB 5536). • $5.3 million to continue existing street medicine contracts with Tacoma, Everett, and Spokane, as well as King and Kitsap County. • $6.9 million to expand distribution of naloxone to community health programs, other community settings, and first responders. • $2 million to increase access to buprenorphine. • $2.7 million to launch a tele-buprenorphine hotline to increase access to medications for opioid use disorder. • $4.5 million for young adult post inpatient housing. $18.2 million to phase -in Trueblood settlement competency evaluations, competency restoration, forensic navigators, crisis diversion and supports, education and training, and workforce development. $14.3 million to improve the timeliness of competency evaluation services for individuals who are in local jails. $8 million, including $7 million for Trueblood phase one and phase two regions. Page 6 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 65 Final 2023-25 (as amended by 2024 I Final 2025-27 suoolemental) budaet Foundational public health I $301.2 million I $300.2 million Housing & Homelessness Housing and homelessness • $150 million for covenant homeownership program (HB 1474). • $150 million to transition those living in encampments to safer housing, requiring $120 million to be used for those living on state -rights -of -way. • $130 million for HEN program. • $136 million for emergency housing and rental assistance. • $62 million for grants to support O&M costs of permanent supportive housing. • $45.6 million for homeless services contracts. • $43 million for grants to local government to maintain programs impacted by loss of document recording fees. • $34 million for grants for local governments for homeless housing programs and services. • $29 million for homeless families, youth prevention and diversion. • $14 million for Consolidated Homeless Grant Program. • $4.2 million for foreclosure prevention assistance. Land Use & Environment Stormwater nonpoint • $5.2 million to study the tire chemical 6PPD's impact pollution on stormwater runoff and determine best management practices to filter out/treat. • $2.7 million to develop a strategy and recommendations to eliminate 6PPD in tires. • $200 million for covenant homeownership program. • $137 million for HEN program. • $117.6 million for grants to local governments to maintain programs impacted by loss of document recording fees. • $111 million for grants for local governments and NGOs for homeless housing programs and services. • $90 million to transition those living in encampments to safer housing. • $30.4 million for homeless families, youth prevention and diversion. • $25 million for grants to support building operations, maintenance and service costs of permanent supportive housing projects. • $22.5 million for housing assistance, including rental subsidies, permanent supportive housing, and low- and no -barrier housing beds for unhoused individuals. • $6.5 million for the Consolidated Homeless Grant Program. • $1.2 million for foreclosure prevention assistance. • $1 million for diversions services for those at risk of losing stable housing or are homeless that are determined to have a high probability of returning to stable housing. $8.5 million for Ecology to address and mitigate 6PPD (tire chemical lethal to salmonids), including to identify effective management practices for stormwater treatment. Including: • $4.4 million to identify effective best management practices to treat 6PPD in stormwater. • $2.7 million to develop a strategy and recommendations to eliminate 6PPD in consumer products. Page 7 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 66 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget PFAS and water quality $100,000 for Dept. of Health to convene a nonregulatory • $4 million to investigate and monitor sources and stakeholder forum to discuss solutions to PFAS impacts of PFAS, including a study of how to manage contamination of surface and groundwater. discharges at municipal wastewater treatment facilities. • $196,000 to implement SB 5033, required PFAS testing of biosolids. Growth Management Act • $20 million for updating comprehensive plans, with • $22.5 million for local government climate planning Planning Grants funding also provided to incorporate HB 1220 (2021) implementation. and SB 5412 (SEPA exemption for housing). • $18 million for updating comprehensive plans and • $41 million for integrating new climate planning development regulations to comply with the Growth requirements into comprehensive plans (HB 1181). Management Act. • $10 million for greenhouse gas reduction sub element • $3.8 million to support implementation of various land of comprehensive plans (HB 1181). use bills (HB 1096 (lot splitting), HB 1183 • $6 million for grants and technical assistance for (development regulations), HB 1491 (transit density), planning for housing supply. SB 5148 (housing element audits), SB 5509 (childcare • $2 million to implement HB 1110 (middle housing). zoning), SB 5559 (subdivision reform), & SB 5587 • $3 million for grants to local governments to (housing gaps report & infill housing). implement SB 5290 (local permit review). • $1.7 million to increase middle housing. • Proviso stating that smaller cities and counties will receive proportionally more Growth Management Act grant funding and technical assistance than larger jurisdictions. Clean energy technologies • $50 million to implement programs and incentives that • $5 million to support local governments in siting and promote alternative fuel vehicles, permitting clean energy projects. • $138 million ($69 million/year) for development of • $13 million to assist owners of public buildings conduct community electric vehicle charging infrastructure, energy audits. • $39 million ($19.5 million/year) for grants to provide • $10 million to assist local governments, local solar and battery storage community solar projects for organizations, and tribes to access federal tax public assistance organizations serving low-income incentives and grants. communities. • $10 million to support municipalities in siting and permitting of clean energy projects. • $20.5 million for grants to assist owners of public buildings conduct energy audits. Transfer to capital budget: • $138 million for community electric vehicle charging infrastructure. • $39 million for grants to community solar projects. Adds from Climate Commitment Act revenue): Page 8 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 67 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget • $800,000 to establish a Washington State green bank. • $2.5 million to create a web portal for state and federal grant opportunities and to conduct marketing and outreach. • $5 million to assist local governments, local organizations, and tribes to access federal tax incentives and grants. • $4.5 million to support local governments and organizations, and tribes in applying for and reporting on federal grant awards. • $600,000 for cities and counties to establish permitting processes using the National Renewable Energy Lab's online software Climate mitigation and • $10 million in Fire Wise grants to local governments $1.9 million for coastal hazard monitoring and resilience, resiliency and landowners to reduce forest fuels wildfire risk, including grant technical assistance to local governments • $4 million in BIL funding for coastal climate hazards and tribes. for assessing vulnerabilities with communities, provide technical assistance, and increase local capacity to implement effective projects. • $1.7 million for wildfire reconstruction grants. See Growth Management Planning Grants for climate planning. Urban and Community $6 million in assistance to local communities to increase $3 million for investment in urban forestry. Forest Grant Program their capacity for urban forestry activities and programs. Public Works & Infrastructure Public Works Assistance - $288 million transfer from PWAA to state general fund in Account (PWAA) FY 2026. See also PWAA under Capital Budget. Local Solid Waste Financial • $24 million for Local Solid Waste Financial Assistance $24 million for Local Solid Waste Financial Assistance Assistance grants. grants. • $500,000 for Ecology to inform the development of legislative proposals for design and implementation of a producer responsibility program for consumer packaging. Page 9 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 68 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget Utility assistance $35 million for grant funding through existing network of $25 million for grant funding through existing network of federal low-income home energy assistance. federal low-income home energy assistance. $300,000 for Commerce to develop recommendations for a statewide energy assistance program for low-income households $150 million for public and private utilities to provide one- time bill rebates for low- and moderate -income residential electricity customers. $300,000 for a feasibility study of a statewide low-income assistance program for water utility customers. Capital budget Public Works & Infrastructure Public Works Assistance $400 million $365 million*: Account (PWAA) • Continues $114 million ($57 million/year) transfer for • $265 million from PWAA. Move Ahead WA Account. • $100 million in state construction bonds. • $35 million for Water Pollution Control Revolving Account. New and historic diversions from PWAA total resources • $3.5 million for Drinking Water Assistance Account. (estimated at $754 million in 2025-27): • $5 million for CARE revolving loans. • $288 million to the general fund (new) • $300,000 for study on public utilities relocation costs. • $114 million ($57 million/year) transfer to general fund (temporary redirection of existing transfers to the Move Ahead WA Account). • $41 million to Water Pollution Control Revolving Account. • $25 million to Drinking Water Assistance Account. *Enough to protect existing commitments and allow PWB to potentially offer a new loan round in 2025-27. See also PWAA under Operating Budget. Stormwater Financial $68 million $60 million Assistance Program Puget Sound Nutrient $9 million $10 million Reduction WWTP Grant Program Page 10 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 69 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget Drinking Water State • $131 million for DWSRF Construction Loan Program. • $120 million for water system infrastructure construction Revolving Fund Loan • $3.5 million for DWSRF State Match dollars for projects through DWSRF. Program (DWSRF) federal funds. • $25 million for DWSRF state match dollars from PWAA. Water Pollution Control $670 million, including: $614 million including: Revolving Loan Program • $200 million federal • $214 million federal • $435 million state • $400 million state • $35 million from PWAA $41 million PWAA Centennial Clean Water $40 million $40 million Grant Program Community Economic $25 million for CERB Capital Construction funds. $81.3 million for CERB Capital Construction. Revitalization Board (CERB) Broadband grants and loans $200 million, including: $1.3 billion, including: • $50 million for State Broadband Office as match for • $114 million as match for Broadband Equity, Access, Broadband Equity, Access, and Deployment state and Deployment state grants program from IIJA. grants program from IIJA. • $1.2 billion federal. • $150 million federal. • $75,000 for a State Broadband Office feasibility study for increasing broadband access in unserved areas through satellite networks. • $95.6 million federal as match for Broadband Equity, Access, and Deployment (BEAD) program state rants. Regional Approaches Grant - $2 million Program Land Use & Environment Puget Sound Restoration • $120 million for Salmon Recovery Funding Board • $105 million for Salmon Recovery Funding Board and Salmon Recovery (SRF) grants, plus an additional $25 million for (SRF) grants, plus an additional $20 million for riparian Grants riparian area grants. area grants. • $70 million for Puget Sound acquisition and • $60.5 million for Puget Sound acquisition and restoration, including estuary/salmon restoration. restorations. • $8 million for Washington Coastal Restoration & • $9.6 million for Washington Coastal Restoration & Recovery. Recovery. $11.3 million to address PFAS at three water treatment $14.5 million to address PFAS cleanup. PFAS & Water Quality facilities. Remedial Action Grants $115 million $84.4 million Page 11 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 70 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget Urban and Community $13.5 million $6.2 million Forest Grant Program Floodplains by Design Grant $67 million $75.7 million Program Aquatic Lands $5.8 million $4.3 million Enhancement Account Washington Wildlife & $120 million $120 million Recreation Program Youth recreational facilities $10.4 million for specific projects. $7.6 million for specific projects. Youth and community $12.5 million $19.8 million for specific projects. outdoor athletic facilities Fish Barrier Removal Board $70.4 million to fund identified projects and agency $32.5 million to fund identified projects and agency administration. administration. Air quality & greenhouse $36.4 million to Ecology: • $10.1 million for landfill methane capture grants. gas reduction • $21.4 million for Improving Air Quality in • $4.1 million for community participatory budgeting Overburdened Communities Initiative, program for mitigating climate change impacts on • $15 million for landfill methane capture grants. overburdened communities. • Directs $5 million to a specific landfill methane project. Clean energy & climate $150 million to Commerce: . $10 million for Clean Energy Community grants. resilience and mitigation • $50 million for Clean Energy Fund program. • $23 million for Community EV charging grants • $50 million for energy retrofits and solar power for . $26 million for Clean Energy Fund program. public buildings. • $30 million for Weatherization Plus Health grants. • $40 million for Weatherization Plus Health program. . $20 million for Solar and Energy Storage grants. • $11 million for Energy Retrofits for Public Buildings Adds (from Climate Commitment Act revenue): grants. • $4 million of clean energy retrofit dollars for grants • $5 million for Clean Buildings Performance grants. (administered by AWC) for energy audits to city - owned tier 1 & 2 covered buildings. • $25 million for green jobs and infrastructure grants. Extended 2023-25 appropriation of clean energy retrofit • $50 million for Clean Energy Community non- dollars for grants (administered byAWC) for energy audits of competitive grants. city -owned tier 1 & 2 buildings into FY2026. • $38 million for Community Solar Resilience Hubs* • $105 million for Community EV Charging grants* • $45 million for Clean Building Performance grants. • $45 million for hard -to -decarbonize sector and economic develo ment rants. Page 12 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 71 Final 2023-25 (as amended by 2024 I Final 2025-27 suoolemental) budaet *Transfer from operating budget Housing & Homelessness Housing Trust Fund Additional investments in housing and shelters $527 million, including: • $180.6 million for housing to benefit low-income and special needs populations, including permanent supportive housing. • $100 million for Apple Health & Homes. • $81.3 million for identified projects. • $69 million for housing for those with developmental disabilities. • $60 million for affordable homeownership (80-100% AMI). • $30 million for affordable housing preservation. • $21 million for acquisition and preservation of mobile homes. • $20 million for rapid conversion or acquisition of housing to address extremely low-income and unhoused populations. • $83.2 million for Inflation Reduction Act (IRA) HOMES Program. • $60 million for Connecting Housing to Infrastructure (CHIP) grants to local governments (80% AMI or less). • $50 million to match private investment for grants and loans to support high -capacity transit -oriented development of at least 80 units (TOD). Dedicates $4 million to a local project • $40 million for weatherization. • $12.2 million for contaminated property redevelopment grants for affordable housing. $605 million, including: • $536 million for housing to benefit low-income and special needs populations, including permanent supportive housing, including: • $215 million multifamily rental housing. • $100 million for Apple Health & Homes. • $75 million for first-time low-income homeownership. • $62 million for identified projects. • $50 million for housing for those with developmental disabilities. • $50 million for affordable housing preservation. • $30 million for mobile home park preservation. • $10 million for rapid conversion or acquisition of housing to address extremely low-income and unhoused populations. • $5 million for farmworker housing. • $5 million for urgent repair grants. • $90 million for Connecting Housing to Infrastructure (CHIP) grants to local governments. • $22 million for identified projects. • $14.7 million for recovery residences grants. • $9 million for youth shelters and housing. • $8 million for identified transit -oriented housing projects. • $5 million for low-income home rehabilitation grants. Page 13 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 72 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget • $6 million for rural home rehabilitation. • $5 million for Landlord Mitigation. Human Services Behavioral Health $287.5 million for behavioral health capacity grants, $119.8 million, including: Community Capacity including: • $70 million for competitive community behavioral health • $29.4 million for competitive community behavioral grants to address regional needs, including: preventing health grants to address regional needs. closure of existing facilities, youth and adult bed • $24 million for intensive behavioral health treatment capacity, facilities that serve specialized populations, facilities for long term placement of patients with crisis relief centers, and more. complex needs. • $49.8 million for 11 specific local crisis stabilization • $18 million for grants to community providers to projects. increase capacity to serve children and minor youth. • $7.5 million for grants to community providers to prevent closure of existing behavioral health facilities. • $181.5 million for 33 projects for regional behavioral health and substance use services. • $1 million for competitive community behavioral health grants. • $4.2 million for opioid recovery and care access. • $48.4 million for regional behavioral health and substance use rojects. Crisis Stabilization Facility — $5 million $15 million, including: Trueblood • $5 million for Phase 3 Trueblood facility. • $10 million for one crisis stabilization facility in south King County. Transportation budget Statutory transfers to local • $512.1 million • $494 million governments • Additional $36.2 million over next 3 biennia for city distribution of 6 -cent increase to motor vehicle fuel tax. Transportation Improvement • $287 million, including:$3.9 million to Small City $310.8 million, including: Board (TIB) Pavement and Sidewalk Program. • $3.9 million to Small City Pavement and Sidewalk • $14.6 million for Complete Streets grants. Program. • $9 million in preservation funding for cities. • $24.6 million for Complete Streets grants. Page 14 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 73 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget • $9.3 in preservation funding for cities. Legislature intends to provide an additional $21 million in 2027-29 for the Complete Streets Program. Safe Routes to Schools $98 million $83.3 million Grants Pedestrian and Bicycle $90.7 million $81.7 million Safety Programs & Grants $5 million to assist local jurisdictions in addressing emergent issues related to safety for pedestrians and bicyclists. Safety and Active - • $33.2 million for the Sandy Williams Connecting Transportation Communities Pilot Program for projects to reconnect communities bifurcated by state highways. • $500,000 for grants to local jurisdictions to implement network -wide traffic conflict screening programs. Freight Mobility Strategic $50.9 million, including: $44.2 million, including: Investment Board • $731,000 for duties and best practices study for • $35.5 million for recommended project list. preventing or mitigating the impacts of freight projects on overburdened communities (HB 1084). • $400,000 to develop a truck parking solutions implementation plan. • $43.8 million for recommended project list. • $5.2 million for projects identified in consultation with the Board and other stakeholders. Fish passage • Retains proviso language to coordinate with Fish • Retains proviso language to coordinate with Fish Barrier Barrier Removal Board on watershed approach to Removal Board on watershed approach to include local include local culverts. culverts. • Adds language to explore innovative funding • Includes language allowing partnerships to leverage partnerships to leverage state and local funds to state and local funds to match opportunity for federal match opportunity for federal funding under BIL. funding under BIL. Homeless encampments $13.5 million to address homeless encampments on $9.2 million to address homeless encampments on WSDOT-owned rights -of -way in coordination with local WSDOT-owned rights -of -way in coordination with local governments, including: governments and social service organizations to direct • $1 million for safety improvements and debris cleanup people to housing and prevent future encampments. in Seattle. • A minimum of $2 million dedicated to litter removal. • $1 million in coordination with the City of Tacoma. • $1 million in coordination with the City of Spokane. • $1 million in coordination with the City of Spokane. • $1 million for safety improvements and debris cleanup • $1.5 million to contract with the City of Fife. in Seattle. Page 15 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 74 Final 2023-25 (as amended by 2024 Final 2025-27 supplemental) budget • $1 million in coordination with the City of Tacoma. See also Housing and Homelessness in Operating • $1.2 million to contract with the City of Fife. budget See also Housing and Homelessness in Operating budget Rural mobility grant $32.7 million $32.2 million Alternative fuel and electric • $33.7 million for clean alternative fuel vehicle • $25 million for clean alternative fuel vehicle charging vehicle infrastructure charging and refueling infrastructure program. and refueling infrastructure program. • $2 million for an e -bike lending library and ownership • $3.5 million for an e -bike lending library and ownership program offering competitive grants. program offering competitive grants. • $15 million (from Climate Commitment Act revenue). Federal fund exchange pilot • $7.1 million for a federal fund exchange pilot program $17.5 million for a federal fund exchange pilot program of program of Transportation Block Grant population funding and Transportation Block Grant population funding and state state funds at an exchange rate of 95 cents in state funds at an exchange rate of 95 cents in state funds per $1 funds per $1 in federal funds. in federal funds. Studies - • $250,000 to update the 2013 memorandum of understanding between AWC and WSDOT for the construction, operations and maintenance responsibilities for city streets as part of state highways. • $140,000 for the JTC to update the 2019 assessment of city transportation funding needs. • $200,000 for the JTC to study alternative new methods for local governments to fund sidewalk improvements. FHA bridge load rating - $5 million for the County Road Administration Board to provide grant dollars to counties and cities for the costs associated with obtaining a new federal highway administration load rating. Page 16 of 16 Final 2025-27 budgets: City impacts 1 4/26/2025 75 GORDON THOMAS HONEYWELL GOVERNMENT RELATIONS Bills Impacting Cities 2025 Legislative Session Below is a list of bills that passed this session and impact city operations and interests, or will likely require a change in city code. We encourage you to review and prepare for the requirements outlined in the following bills. Criminal Justice Managing Sexually Violent Predators: House Bill 1133, sponsored by Rep. Mari Leavitt (D -28th LD), introduces procedures for obtaining records relevant to civil commitment determinations for sexually violent predators, clarifies legal processes, and imposes restrictions on offenders' eligibility for supervision compliance credits. The bill formalizes a civil investigative demand process for prosecuting agencies to access records from public agencies, prohibits compliance credits for offenders concurrently serving less restrictive alternatives, and updates cross- references to align with the new procedures. It also includes a severability clause to preserve the act's validity if any provision is deemed invalid. The Governor signed the bill on April 16 and the bill goes into effect on July 27, 2025. Comprehensive Firearm Regulation: House Bill 1163, sponsored by Rep. Liz Berry (D -36th LD), establishes a permit -to -purchase system and new training requirements for firearm purchases and concealed pistol licenses (CPLs). Key provisions include mandatory permits for firearm purchases requiring fingerprints, certified safety training, and eligibility checks, as well as enhanced CPL requirements such as live -fire training. Firearm dealers must verify permits and maintain transaction records, while the Washington State Patrol oversees permit issuance, background checks, and annual reporting on permit and CPL data. The Governor signed the bill into law on May 20 and the bill goes into effect on May 1, 2027. Court Interpreter Standards: House Bill 1174, sponsored by Rep. Strom Peterson (D -21st LD), seeks to enhance language access in the legal system by updating interpreter standards and procedures. The bill replaces outdated terminology, establishes criteria for appointing credentialed interpreters, and requires courts to develop language access plans that include procedures for identifying needs, appointing interpreters, and translating materials. Interpreter costs are not borne by individuals with limited English proficiency in government -initiated proceedings, and the Administrative Office of the Courts must reimburse participating state courts for half of interpreter costs, subject to funding. The bill was signed by the Governor on April 16 and goes into effect on July 27, 2025. Fingerprint Background Checks: House Bill 1385, sponsored by Rep. Jamila Taylor (D -30th LD), expands fingerprint -based background checks for individuals working with vulnerable populations, including children, the elderly, and individuals with disabilities. The bill broadens GTH-GOV 76 the definitions of "applicant" and "qualified entity" to include volunteers and contractors, updates terminology to reflect a broader population, and authorizes the Washington State Patrol to facilitate state and national fingerprint -based criminal history checks for noncriminal justice purposes. It also ratifies the National Crime Prevention and Privacy Compact, authorizes federally recognized tribes to conduct background checks, and grants rulemaking authority to the Washington State Patrol to implement the new provisions. The bill was signed by the Governor on April 16 and goes into effect on July 27, 2025. Civil Asset Forfeiture Reform: House Bill 1440, sponsored by Rep. Roger Goodman (D -45th LD), establishes a new framework to standardize civil asset forfeiture procedures, replacing existing processes in various statutes. Key provisions include extended deadlines for contesting forfeitures, shifting the burden of proof to seizing agencies to establish forfeiture by "clear, cogent, and convincing evidence," protections for innocent owners and community property interests, and revenue allocation prioritizing victim restitution and behavioral health programs. The act applies to seizures occurring on or after January 1, 2026. The Governor signed the bill on May 17. Hope Card Modernization: House Bill 1460, sponsored by Rep. Dan Griffey (R -35th LD), expands and streamlines the hope card program to improve accessibility, content, and trauma -informed support for protection order petitioners. The bill removes the requirement to include physical characteristics of the restrained person, adds firearm -related restrictions to the card's content, and ensures petitioners can obtain cards without waiting periods or fees. It also mandates the Administrative Office of the Courts to oversee implementation, collaborate with expanded stakeholder groups, and ensure consistent court practices. The Governor signed the bill on May 12 and the bill goes into effect July 27, 2025. Rape Pregnancy Sentencing: House Bill 1484, sponsored by Rep. Osman Salahuddin (D -48th LD), expands the list of aggravating circumstances that courts may consider when imposing exceptional sentences for rape. The bill broadens existing law to include cases where rape results in pregnancy, removing the limitation to child victims, thereby allowing courts to impose sentences above the standard range for adult victims as well. Additionally, it corrects a statutory reference related to sexually explicit conduct to align with the appropriate subsection. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Speeding Prevention Technology: House Bill 1596, sponsored by Rep. Mari Leavitt (D -28th LD), titled the BEAM Act, mandates the use of Intelligent Speed Assistance (ISA) devices for certain drivers with excessive speeding violations. The bill defines excessive speeding as driving 10 mph or more above the limit in areas with speed limits of 40 mph or less, or 20 mph or more above the limit in areas with higher speed limits. ISA devices monitor and limit vehicle speed based on GPS data, with protections for data privacy and penalties for tampering. Drivers must pay associated costs, including a $21 monthly fee, which funds program administration and financial assistance for indigent participants. The Governor signed the bill into law on May 12 bill takes effect on January 1, 2029. Protection Order Reforms: Senate Bill 5202, sponsored by Sen. Jesse Salomon (D -32nd LD), enhances the protection order process to better support survivors of abuse and address firearm GTH-GOV 77 restrictions. The bill requires ongoing acceptance of electronic protection order petitions, allows previously protected minors to renew orders as adults, and provides mechanisms to modify or terminate ex parte orders in specific circumstances. It also expands the definition of unlawful firearm possession to include untraceable or undetectable firearms when an individual is under certain protection orders, elevating such possession to a class B felony. Courts of limited jurisdiction must allow electronic and mail submissions for protection order petitions by January 1, 2026, and provide electronic notifications about case progress, including firearm surrender updates and reminders about court appearances. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Law Enforcement Classification: Senate Bill 5209, sponsored by Sen. John Lovick (D -44th LD), formally recognizes the Department of Labor and Industries as a limited authority Washington law enforcement agency. This designation aligns L&I with other state agencies that enforce laws within specific subject areas, such as the Department of Natural Resources and the Liquor and Cannabis Board. The bill does not grant new enforcement powers to L&I but acknowledges its existing role within its specialized jurisdiction. The Governor signed the bill on April 8 and the bill goes into effect on July 27, 2025. Officer Certification Process: Senate Bill 5224, sponsored by Sen. John Lovick (D -44th LD), enhances the certification and commissioning processes for law enforcement and corrections officers. The bill updates definitions, mandates background checks for officers transferring between agencies, and establishes procedures for certification lapse and reinstatement. It also revises the process for commissioning railroad police officers, requires all law enforcement personnel to complete basic training within specified timeframes, and mandates public access to hearing transcripts and decisions. The Governor signed the bill on May 19 and the bill goes into effect on July 27, 2025. Law Enforcement Training: Senate Bill 5356, sponsored by Sen. Tina Orwall (D -33rd LD), expands training requirements for law enforcement, prosecutors, and Title IX investigators to improve responses to sexual and gender -based violence. The bill mandates the Washington Criminal Justice Training Commission (CJTC) to develop trauma -informed curricula for patrol officers and peace officers, with separate training programs for responding to sexual violence and gender -based violence. It adds the Washington Student Achievement Council as an advisor, updates child testimony provisions to allow testimony outside the defendant's presence for minors under 18, and requires periodic retraining for officers. The Governor signed the bill on April 22 and the bill goes into effect on July 1, 2026. Ferry Conduct Rules: Senate Bill 5716, sponsored by Sen. Deborah Krishnadasan (D -26th LD), expands transit conduct rules to include the Washington State Ferries. The bill modifies the definition of "transit authority" to explicitly add the Washington State Ferries, ensuring that existing prohibitions on behaviors such as smoking, littering, playing loud music, spitting, carrying hazardous materials, consuming alcohol without authorization, obstructing operations, and damaging property apply to ferry passengers and facilities. Violations remain classified as misdemeanors, and no other changes to the law are made. The Governor signed the bill on May 12 and the bill goes into effect on July 27, 2025. GTH-GOV 78 Public Safety Funding: House Bill 2015, sponsored by Rep. Debra Entenman (D -47th LD), establishes mechanisms to enhance funding for local law enforcement recruitment, retention, training, and public safety initiatives. The bill creates a supplemental criminal justice account, a local law enforcement grant program, and authorizes a local option sales tax for criminal justice purposes. Grant funds may be used to support hiring, training, and retaining law enforcement officers, peer counselors, and behavioral health personnel, with a focus on co -response teams and community policing efforts. Recruiting lateral hires is not an eligible use of these funds. Revenue generated from the optional sales tax can be used for criminal justice purposes, including domestic violence services, public defense, diversion programs, and behavioral health improvement. Cities and counties can impose a sales and use tax for criminal justice purposes at a rate of 0.1% by June 30, 2028. After that, the tax may be imposed, but by voter approval. The bill sunsets the local law enforcement grant program and supplemental criminal justice account on June 30, 2028, and terminates reporting requirements on December 31, 2029. The Governor signed the bill on May 19 and it goes into effect on July 27, 2027. Economic Development Tourism Promotion Assessment: Senate Bill 5492, sponsored by Sen. Marcus Riccelli (D -3rd LD), establishes an advisory group to evaluate the feasibility of an industry -funded self - supported assessment for statewide tourism promotion. The bill highlights the economic importance of the tourism industry, which generates $23.9 billion annually and supports over 230,000 jobs, while noting that state funding for tourism marketing lags behind competing states. It removes outdated provisions related to the initial appointments of the Tourism Marketing Authority board, reorganizes subsections for clarity, specifies the composition and responsibilities of the advisory group, and authorizes the Tourism Marketing Authority to incur expenditures for this purpose until June 30, 2026. The Governor signed the bill on April 30 and the bill goes into effect on July 27, 2025. Associate Development Organization Funding Adjustments: Senate Bill 5677, sponsored by Sen. Adrian Cortes (D -18th LD), standardizes performance reporting requirements and clarifies funding allocations for associate development organizations (ADOs). The bill removes additional reporting obligations for ADOs in counties with populations over 1.5 million, ensuring uniform performance measures statewide. It specifies that the Department of Commerce must submit biennial performance results of ADO contracts to legislative committees by December 31 of each even -numbered year and prohibits the use of state general funds for local matching requirements. The bill maintains the locally matched allocation of up to $0.90 per capita for urban counties with a funding cap of $300,000 per organization, and retains the base allocation of $40,000 for rural counties. The Governor signed the bill on May 20 and the bill goes into effect on July 27, 2025. Environment Hydrofluorocarbon Emissions Reduction: House Bill 1462, sponsored by Rep. Davina Duerr (D - 1st LD), aims to reduce greenhouse gas emissions associated with hydrofluorocarbons (HFCs) by transitioning to low and ultra -low global warming potential (GWP) refrigerants, promoting the GTH-GOV 4 79 use of reclaimed refrigerants, and establishing a regulatory framework to support these goals. The bill sets phased prohibitions on high-GWP HFCs starting in 2030, with increasingly stringent thresholds by 2033, while providing exemptions for reclaimed refrigerants and certain federally allowed uses. It also establishes a Refrigerant Transition Task Force to study barriers and opportunities for the transition and directs the Department of Ecology to adopt rules requiring low-GWP refrigerants in specific sectors by 2035. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Clean Buildings Compliance: House Bill 1543, sponsored by Rep. Beth Doglio (D -22nd LD), expands compliance options for building owners under Washington's clean buildings performance standards. The bill allows the Department of Commerce to develop alternative metrics for energy use and greenhouse gas emissions, alongside existing energy use intensity (EUI) targets, and provides conditional compliance pathways for building owners who meet these alternative metrics. It broadens exemptions for compliance, including historic preservation and financial hardship, and introduces requirements for Tier 2 buildings, such as benchmarking and operations planning, while prohibiting penalties from being passed on to tenants. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Cap -and -Trade Adjustments: House Bill 1975, sponsored by Rep. Joe Fitzgibbon (D -34th LD), amends Washington's Climate Commitment Act to refine auction price containment mechanisms, ceiling prices, and the Department of Ecology's authority to amend rules for linkage with other jurisdictions. The bill requires the Department to conduct market dynamic analysis, perform economic modeling, and adjust compliance obligations and reporting deadlines to ensure program implementability. It establishes a fixed price ceiling for 2026- 2027, introduces flexibility in emissions reporting deadlines, and includes funding and severability provisions. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Fire Service Wildfire Mitigation Standards: House Bill 1539, sponsored by Rep. Kristine Reeves (D -30th LD), establishes a work group to study and recommend wildfire mitigation and resiliency standards. Co-chaired by the Insurance Commissioner and the Commissioner of Public Lands, the group includes representatives from state agencies, the insurance industry, local emergency management, fire chiefs, small forest and rural landowners, utilities, and legislative members. Key tasks include aligning wildfire property mitigation standards with national benchmarks, enhancing community -level efforts, improving data sharing, increasing consumer transparency, and proposing a homeowner grant program to support retrofitting homes for wildfire resistance. The bill creates a new section of law, which will expire on December 31, 2025. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Prescribed Fire Liability: House Bill 1563, sponsored by Rep. Adam Bernbaum (D -24th LD), establishes the Prescribed Fire Claims Fund Pilot Program to address liability concerns and encourage the use of prescribed and cultural burns for forest health and wildfire prevention. The program, administered by the Office of Risk Management in consultation with the GTH-GOV 5 80 Department of Natural Resources, provides reimbursement for eligible losses caused by burns conducted under approved plans and permits. Reimbursement is capped at $2,000,000 per claim, with funding drawn from the newly created Prescribed Fire Claims Account. The bill creates a time -limited pilot program, with an expiration date of June 30, 2033, and includes an emergency clause to ensure immediate implementation upon passage. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Emergency Services Theft: Senate Bill 5323, sponsored by Sen. Judy Warnick (R -13th LD), enhances penalties for theft and possession of firefighter and EMS equipment critical to emergency response. The bill classifies theft or possession of such property as first -degree offenses if the loss significantly hinders emergency response or exceeds $1,000 in value, and expands coverage to property taken from fire department vehicles, stations, and EMS facilities. It aims to address theft of equipment essential to emergency services with heightened penalties. The Governor signed the bill on May 15 and the bill goes into effect on July 27, 2025. Fire Loss Reporting: Senate Bill 5419, sponsored by Sen. John Lovick (D -44th LD), centralizes fire loss reporting with the Insurance Commissioner and strengthens confidentiality protections for insurers. The bill requires insurers to report fire losses within 90 days of closing a claim or conducting significant adjustments, including details such as property address, date of loss, and cause of loss. Confidentiality protections exempt fire loss reports from public disclosure and civil subpoenas, while allowing limited information sharing with law enforcement and regulatory agencies. The Governor signed the bill on May 12 and the bill goes into effect on July 27, 2025. Homelessness and Human Services Pet -Friendly Emergency Shelters: House Bill 1201, sponsored by Rep. Mari Leavitt (D -28th LD), requires local governments to incorporate companion animal cosheltering into their emergency management plans and operations. Political subdivisions must identify emergency shelters that can accommodate persons with companion animals, provide companion animal emergency preparedness information on their websites, and ensure compliance with FEMA disaster assistance policies. The bill emphasizes the importance of addressing gaps in public preparedness and cosheltering opportunities during disasters or extreme weather events. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Homeless Housing Funding: House Bill 1260, sponsored by Rep. Suzanne Schmidt (R -4th LD), modifies the distribution of document recording surcharge funds to ensure cities operating their own homeless housing programs receive proportional shares without county administrative deductions. The bill limits county administrative costs to 10 percent of retained funds and allows cities to use up to 10 percent of their share for administrative costs. It prohibits counties from deducting administrative costs from funds distributed to cities operating their own homeless housing programs. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Homelessness Data Collection: House Bill 1899, sponsored by Rep. Janice Zahn (D -41st LD), revises the state homeless census by removing the annual mandate and allowing the GTH-GOV 81 Department of Commerce to set the schedule. The bill eliminates requirements for coordination with federal HUD standards, as well as provisions for an online housing referral system, continuous case management, and an organizational quality management system. Confidentiality protections for personal information remain intact, and the Department must continue to publish annual summary data by county. The bill was signed by the Governor on April 24 and goes into effect on July 27, 2025. Mobile Market Program: Senate Bill 5214, sponsored by Sen. Sharon Shewmake (D -42nd LD), establishes a mobile market program within the Department of Health to expand access to fresh, healthy foods for participants in the Women, Infants, and Children (WIC) and Senior Farmers Market Nutrition Programs. The program, contingent on funding from the U.S. Department of Agriculture, aims to support local farmers while addressing nutritional needs in underserved communities through nonprofit -operated mobile markets. The Department is authorized to define the program through rulemaking and may seek federal approval to allow mobile markets to accept program benefits. The act will take effect on March 1, 2026. The Governor signed the bill on April 22. Essential Needs Program Expansion: Senate Bill 5232, sponsored by Sen. Claire Wilson (D -30th LD), expands eligibility and funding flexibility for the Essential Needs and Housing Support (ENHS) program. It clarifies that ENHS is not an entitlement program, allows low or extremely low-income elderly or disabled adults to receive support without requiring a referral from the Department of Social and Health Services, and permits the use of funds for direct cash assistance tied to housing stability plans. The bill also aligns administrative expense rates with other Home Security Fund programs and removes certain eligibility requirements, such as citizenship or Social Security number status. The Governor signed the bill on May 20 with a partial veto removing section five of the bill regarding the expansion of eligibility for the program. The bill goes into effect on July 27, 2025. Nonprofit Property Tax Exemption: House Bill 1094, sponsored by Rep. Amy Walen (D -48th LD), expands property tax exemptions for nonprofit -owned properties loaned, leased, or rented to government entities or other nonprofits to provide character -building, benevolent, protective, or rehabilitative social services. It clarifies that the sale of donated merchandise by nonprofits is an exempt use if proceeds further the organization's mission. The bill specifies that these changes apply to taxes levied for collection starting in 2026. The bill was signed by the Governor on April 7 and goes into effect on July 27, 2025. Housing Condominium Warranty Reform: House Bill 1403, sponsored by Rep. Jamila Taylor (D -30th LD), simplifies condominium construction and warranty requirements to promote homeownership and streamline development of smaller buildings and accessory dwelling units. The bill introduces changes to implied warranties, express warranties, and the applicability of construction standards for condominiums and multiunit residential buildings. It provides an express warranty alternative for certain condominiums, exempts accessory dwelling units from specific construction standards, and includes transitional provisions phasing in new definitions GTH-GOV 7 82 and standards by 2028. The Governor signed the bill on May 7 and the bill goes into effect on July 27, 2025. Eviction Court Commissioners: House Bill 1621, sponsored by Rep. Nicole Macri (D -43rd LD), authorizes superior courts to appoint housing court commissioners to expedite unlawful detainer proceedings and address delays caused by increased eviction filings. The bill allows courts, with county legislative approval, to appoint attorneys as commissioners to handle eviction cases, requiring appointees to undergo training in landlord -tenant law and eviction procedures. Commissioners may perform duties such as holding hearings, issuing orders, and supervising cases under the oversight of superior court judges, with the bill effective immediately upon passage. The Governor signed the bill on May 13 and the bill goes into effect immediately. Homeownership Assistance Expansion: House Bill 1696, sponsored by Rep. Jamila Taylor (D - 30th LD), expands the Covenant Homeownership Program to address racial disparities in homeownership. The bill raises the eligibility threshold from 100 percent to 120 percent of the area median income (AMI) and allows county -specific adjustments based on housing needs. It introduces loan forgiveness for down payment and closing cost assistance loans after five years of repayment for participants with incomes at or below 80 percent of AMI, replacing the prior requirement of repayment upon sale of the home. Additionally, the bill modifies the oversight committee's membership, replacing a representative of community -based affordable housing developers with one from nonprofit housing counseling organizations to focus more on addressing historical inequities in homeownership. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Affordable Housing Development: Senate Bill 5587, sponsored by Sen. Annette Cleveland (D - 49th LD), titled the "Affordable Housing Action Act," seeks to address affordable housing shortages by requiring counties to report biennially on housing gaps and progress in meeting housing needs at various income levels. The bill prioritizes state funding for public works projects that encourage infill development or increase affordable housing in counties with identified housing gaps and prohibits local governments from imposing conditions that undermine affordability. It also mandates collaboration between the Washington Center for Real Estate Research, the Washington Housing Finance Commission, and the Office of Financial Management to develop metrics for assessing housing needs and progress. The Governor signed the bill on May 20 and the bill goes into effect on July 27, 2025. Property Tax Exemptions for ADUs: Senate Bill 5529, sponsored by Sen. Chris Gildon (R -25th LD), expands property tax exemptions for accessory dwelling units (ADUs) rented to low-income households to include counties with populations between 900,000 and 1,500,000, in addition to counties with populations of 1,500,000 or more. For counties with populations between 900,000 and 1,500,000, the exemption applies only to detached ADUs, and a resolution must be passed by the city or county legislative authority to authorize the exemption. The bill strengthens compliance requirements, including annual verification of tenant income, restrictions on rent charged, and prohibitions on exemptions for ADUs occupied by immediate family members, while requiring tenant support policies and administrative oversight GTH-GOV 83 mechanisms. The Governor signed the bill on May 7 and the bill goes into effect on July 27, 2025. Eviction Notice Procedures: House Bill 1003, sponsored by Rep. Peter Abbarno (R -20th LD), standardizes eviction notice requirements by mandating certified mail sent from within the state to the recipient's last known address. The bill extends the waiting period for tenants to respond to eviction notices sent by mail from one day to five days and requires termination notices to specify the date by which the recipient must vacate the premises or comply with specified terms. The bill was signed by the Governor on April 11 and goes into effect on July 27, 2025. Rent Stabilization: House Bill 1217, sponsored by Rep. Emily Alvarado (D -34th LD), caps annual rent increases at seven percent, prohibits increases during the first 12 months of tenancy, and establishes stricter notice requirements for rent increases. The bill includes exemptions for newly constructed units, public housing authorities, and certain nonprofit -owned properties, while also capping security deposits and move -in fees at one month's rent. Tenants may terminate leases without penalty for unauthorized rent increases, and the bill mandates a social vulnerability assessment on the impacts of rent stabilization by 2028. The bill takes effect immediately. Common Interest Community Governance: Senate Bill 5129, sponsored by Sen. Jamie Pedersen (D -43rd LD), modernizes and consolidates laws governing common interest communities (CICs), including condominiums, cooperatives, and homeowners' associations. The bill streamlines governance, clarifies rights and responsibilities, and addresses emerging issues such as electric vehicle charging stations and heat pumps. Key updates include revised rules for meetings, voting, and reserve accounts, as well as protections against unreasonable restrictions on heat pump and EV charging station installations. Most provisions take effect on July 27, 2025, with some delayed until January 1, 2026, or January 1, 2028. The bill was signed by the Governor on April 17. Manufactured Home Sales: Senate Bill 5298, sponsored by Sen. Noel Frame (D -36th LD), expands notification and procedural requirements for the sale of manufactured/mobile home communities to enhance tenant and eligible organization purchase opportunities. It requires owners to notify tenants, tenant organizations, and various state and local entities of an intent to sell, and introduces specific content, timing, and delivery requirements for such notices. The bill emphasizes good faith during negotiations, allows eligible organizations to compete to purchase, mandates updates to the Department of Commerce on the sale status, and provides remedies for noncompliance, such as injunctive relief and damages. The Governor signed the bill on May 7 and the bill goes into effect on July 27, 2025. Tenant Protections: Senate Bill 5313, sponsored by Sen. Jamie Pedersen (D -43rd LD), expands tenant protections by prohibiting rental agreements from including provisions such as nondisclosure agreements about lease terms, class action waivers, mandatory arbitration agreements unless specific conditions are met, or late fees for rent paid within five days of the due date. It also prohibits landlords from requiring tenants to pay rent exclusively through electronic means and clarifies existing restrictions on attorney fees and arbitration agreements. GTH-GOV 9 84 Tenants may recover damages, including up to two times the monthly rent, court costs, and attorney fees for violations, with the bill applying prospectively to leases entered into or renewed after its effective date. The Governor signed the bill on May 7 and the bill goes into effect on July 27, 2025. Human Resources Minor Work Hours: House Bill 1121, sponsored by Rep. Stephanie McClintock (R -18th LD), revises restrictions on the working hours of 16- and 17 -year -old minors enrolled in career and technical education (CTE) programs. The bill directs the Department of Labor and Industries to update its rules to allow these minors to work the same number of hours and days during school weeks as they are permitted to work during nonschool weeks, provided the work is performed for an employer approved by their program. The effective date for these changes is July 1, 2026, and "career and technical education program" is defined to include Core Plus programs approved by the Office of the Superintendent of Public Instruction or the minor's school district. The bill was signed by the Governor on April 21 and goes into effect on July 1, 2025. Paid Family Leave Expansion: House Bill 1213, sponsored by Rep. Liz Berry (D -36th LD), expands worker protections and modifies employer responsibilities under the Paid Family and Medical Leave program. Key provisions include reducing the minimum claim duration from eight to four hours, expanding employment restoration rights to employees regardless of employer size, and requiring health benefits to be maintained during leave. The bill also establishes a grant program for small employers with fewer than 50 employees to offset costs associated with employee leave, including temporary worker wages and health care benefits. The Governor signed the bill on May 17 and the bill goes into effect on January 1, 2026. Local Government Retirement Enrollment: House Bill 1270, sponsored by Rep. Dan Bronoske (D -28th LD), expands automatic enrollment in deferred compensation plans to include employees of counties, municipalities, and other political subdivisions offering their own plans. The bill allows these entities to automatically enroll newly hired employees in their respective plans while maintaining the option for employees to opt out. It excludes local plans from the automatic enrollment requirements of the state plan and requires enrollment to align with the terms of their plan documents. The bill was signed by the Governor on April 24 and goes into effect on July 27, 2025. Self -Insured Employer Decertification: House Bill 1275, sponsored by Rep. Shaun Scott (D -43rd LD), establishes reimbursement requirements for decertified self -insured employers to cover worker compensation payments made by the Department of Labor & Industries. The bill authorizes the department to pay compensation owed to claimants on behalf of decertified employers and mandates that these employers reimburse the department through periodic charges, paid at least quarterly. Additionally, the bill grants the department rulemaking authority to implement these provisions. The bill was signed by the Governor on April 16 and goes into effect on July 27, 2025. GTH-GOV 10 85 Employee Personnel Records: House Bill 1308, sponsored by Rep. Julia Reed (D -36th LD), enhances employee rights to access and correct their personnel records. Employers must provide personnel files at no cost within 21 calendar days of a request and furnish discharge statements upon request. Employees may annually petition for the removal of irrelevant or erroneous information, with the right to include a rebuttal, and are granted a private right of action to enforce these provisions. Statutory damages escalate based on delays in compliance, and public employers must adhere to existing public records laws. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Criminal Record Protections: House Bill 1747, sponsored by Rep. Lillian Ortiz -Self (D -21st LD), strengthens protections for job applicants and employees with criminal records under the Washington Fair Chance Act. The bill prohibits employers from inquiring about criminal records until after a conditional job offer, bars adverse actions based on arrest records or juvenile convictions, and requires employers to document specific factors when making decisions based on adult conviction records. It increases penalties for violations, expands exemptions for positions under federal contracts prohibiting hiring individuals with criminal records, and revises enforcement provisions to allow the attorney general to waive penalties for minor violations. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Paid Sick Leave Expansion: House Bill 1875, sponsored by Rep. Osman Salahuddin (D -48th LD), amends paid sick leave laws to allow employees and transportation network company (TNC) drivers to use accrued paid sick leave for immigration -related proceedings involving themselves or their family members. It specifies acceptable verification documentation, such as a written statement or documentation from an advocate, attorney, or clergy member, and prohibits verification requirements that disclose personally identifiable information about immigration status or protections. The bill retains all other aspects of paid sick leave policies, including accrual rates and carryover limits, while adding privacy protections for immigration -related information. The bill was signed by the Governor on April 25 and goes into effect on July 27, 2025. Expanded Bargaining Rights for Law Enforcement: Senate Bill 5040, sponsored by Senator Derek Stanford (D -1st LD), expands the definition of "uniformed personnel" for collective bargaining to include more law enforcement officers and other public safety employees. The bill removes population thresholds that limited applicability to certain cities, towns, and counties, and includes law enforcement officers employed by municipal airports. It broadens the scope of collective bargaining rights and employment -related provisions, potentially impacting negotiations on wages, working conditions, and benefits for covered personnel. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Unemployment Benefits for Strikes: Senate Bill 5041, sponsored by Sen. Marcus Riccelli (D -3rd LD), allows workers unemployed due to strikes to qualify for temporary unemployment benefits under specific conditions. Disqualification for benefits ends either two weeks after the strike begins or upon its termination, and benefits are subject to a one -week waiting period. Employers involved in strikes bear the financial responsibility for benefits paid, and the Department of Employment Security must submit annual reports on the impact of strikes GTH-GOV 11 86 through 2035. The bill takes effect on January 1, 2026, with key provisions expiring on December 31, 2035. Hate Crime Victim Protections: Senate Bill 5101, sponsored by Sen. Javier Valdez (D -46th LD), expands workplace protections and rights for victims of hate crimes, aligning them with those afforded to victims of domestic violence, sexual assault, and stalking. The bill ensures victims can take leave for legal, medical, or safety -related purposes, request reasonable safety accommodations, and are protected from workplace discrimination. It incorporates hate crimes committed through online or internet-based communication and establishes confidentiality requirements for related information, with an effective date of January 1, 2026. Workplace Immigration Coercion Protections: Senate Bill 5104, sponsored by Sen. Bob Hasegawa (D -11th LD), prohibits workplace coercion based on immigration status and establishes penalties for violations. The bill defines coercion as threats related to an employee's or their family member's immigration status to deter them from exercising rights under labor laws and treats each act of coercion against each employee as a separate violation. Civil penalties range from $1,000 for a first violation to $10,000 for subsequent violations, adjusted for inflation every three years starting in 2028, and are deposited into the supplemental pension fund. It ensures confidentiality for employees during investigations, sets a clear process for complaints and appeals, and prohibits employers from using withheld records to challenge penalties. The act is set to take effect on July 1, 2025. Islamic Holidays Recognition: Senate Bill 5106, sponsored by Sen. Yasmin Trudeau (D -27th LD), recognizes Eid al-Fitr and Eid al-Adha as days of significance. Eid al-Fitr, marking the end of Ramadan, and Eid al-Adha, commemorating the Islamic tradition of sacrifice, are defined based on the lunar Islamic calendar, causing their dates to shift annually. The bill specifies these recognitions are symbolic and do not create entitlements to time off or other benefits. The bill was signed by the Governor on April 8 and goes into effect on July 27, 2025. Pregnancy Accommodations Expansion: Senate Bill 5217, sponsored by Sen. T'wina Nobles (D - 28th LD), strengthens workplace accommodations for pregnancy and related health conditions. The bill broadens the definition of "employer" to include those with one or more employees and religious or sectarian organizations not organized for private profit, ensures paid breaks for expressing milk without requiring the use of paid leave, and mandates that the Department of Labor and Industries provide online educational materials outlining employer and employee rights. Additionally, it allows breastfeeding individuals to request a delay or exemption from jury service by submitting an attestation form, without requiring a doctor's note, and extends eligibility for jury duty excusal or delay to individuals breastfeeding or expressing milk for infants under 24 months, rather than the previous 12 -month threshold. The Governor signed the bill on May 20 and the bill goes into effect on January 1, 2027. Pension Service Credit Expansion: Senate Bill 5306, sponsored by Sen. Jeff Holy (R -6th LD), allows retired LEOFF Plan 2 members to purchase service credit for unpaid leave without returning to work. Members can purchase up to two years of service credit based on their salary at the time the leave was granted, adjusted for cost -of -living and other pay increases during the leave period. The bill does not alter the existing maximum service credit limit for GTH-GOV 12 87 unpaid leaves of absence or the requirement to pay employer, member, and state contributions plus interest. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Public Bargaining Reorganization: Senate Bill 5435, sponsored by Sen. Bill Ramos (D -5th LD), reorganizes public employee collective bargaining laws into subchapters for improved clarity and usability. The bill does not introduce substantive changes but restructures the chapter to enhance navigability and repeals two outdated or redundant sections. It also directs the code reviser to update cross-references throughout the law to reflect the new structure. The Governor signed the bill on May 16 and the bill goes into effect on July 27, 2025. Law Enforcement Arbitration: Senate Bill 5473, sponsored by Sen. Steve Conway (D -29th LD), makes minor adjustments to grievance arbitration procedures for law enforcement personnel. The bill clarifies that arbitration requests must align with procedures established in collective bargaining agreements and removes the requirement for staggered term expirations for arbitrators on the roster, simplifying roster management. No recent actions, hearings, or amendments have been reported. The Governor signed the bill on April 30 and the bill goes into effect on July 27, 2025. Driver's License Requirements: Senate Bill 5501, sponsored by Sen. Derek Stanford (D -1st LD), prohibits employers from requiring a valid driver's license as a condition of employment unless driving is an essential job function or related to a legitimate business purpose. Employers are also restricted from including such requirements in job postings unless driving is reasonably expected to be essential. The bill establishes enforcement mechanisms, allowing investigations, penalties, and damages for violations, and expands the department's rulemaking authority to cover the entirety of relevant employment law. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Public Employee Bargaining: Senate Bill 5503, sponsored by Sen. Javier Valdez (D -46th LD), revises public employee collective bargaining processes to strengthen worker protections and streamline procedures. The bill requires the Public Employment Relations Commission (PERC) to mandate proof submissions during organizing petitions, allows PERC to set hearing dates without party consent, and updates processes for consolidating bargaining units and selecting interest arbitrators. It also prohibits public employers from requiring workers to waive statutory claims in grievance settlements. The Governor signed the bill on May 20 and the bill goes into effect on July 27, 2025. Liquor/Cannabis Expanded Alcohol Service: House Bill 1515, sponsored by Rep. Julia Reed (D -36th LD), modernizes the regulation of alcohol service in public spaces through temporary authorizations expiring on December 31, 2027. It allows local governments to request approval from the Liquor and Cannabis Board (LCB) for expanded outdoor and indoor alcohol service in public spaces under specific conditions, including shared service areas, flexible barriers, and joint operating plans for events. Jurisdictions hosting international sports events in June or July 2026 GTH-GOV 13 may also request expanded service, with reporting requirements due by September 1, 2026. The Governor signed the bill on May 19 and the bill goes into effect on July 27, 2025. Brewery Food Service Flexibility: House Bill 1602, sponsored by Rep. Kevin Waters (R -17th LD), expands food service options for domestic breweries and microbreweries by allowing subcontracting or subleasing arrangements with third -party food service providers, such as mobile food units or independent food establishments, to meet food service requirements tied to certain liquor licenses. The bill ensures subcontracted or subleased areas are substantially separated from nontax-paid alcohol storage and updates the definition of "restaurant" to include breweries and microbreweries using subcontracted food services. Additionally, it aligns dog -friendly premises rules with the new food service options and clarifies licensing adjustments and health compliance responsibilities. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Cannabis Advertising Regulations: Senate Bill 5206, sponsored by Sen. Drew MacEwen (R -35th LD), revises cannabis retailer advertising regulations to limit content, placement, and proximity to sensitive locations. The bill prohibits advertising within 1,000 feet of game arcades admitting persons under 21, increases allowable signage on licensed premises to four signs on the building's main entrance side, and exempts small signs with general information from advertising restrictions. It prohibits transit -related ads, content depicting alcohol or tobacco, and advertising practices targeting youth, while allowing local authorities to enforce stricter rules. The Governor signed the bill on May 20 and the bill goes into effect on January 1, 2026. Local Tax Policy Changes Public Safety Funding: House Bill 2015, sponsored by Rep. Debra Entenman (D -47th LD), establishes mechanisms to enhance funding for local law enforcement recruitment, retention, training, and public safety initiatives. The bill creates a supplemental criminal justice account, a local law enforcement grant program, and authorizes a local option sales tax for criminal justice purposes. Grant funds may be used to support hiring, training, and retaining law enforcement officers, peer counselors, and behavioral health personnel, with a focus on co -response teams and community policing efforts. Recruiting lateral hires is not an eligible use of these funds. Revenue generated from the optional sales tax can be used for criminal justice purposes, including domestic violence services, public defense, diversion programs, and behavioral health improvement. The bill sunsets the local law enforcement grant program and supplemental criminal justice account on June 30, 2028, and terminates reporting requirements on December 31, 2029. The Governor signed the bill on May 19 and the bill goes into effect on July 27, 2025. Agritourism Tax Relief: House Bill 1261, sponsored by Rep. Sam Low (R -39th LD), amends existing law to provide tax relief for incidental uses on open space land, farm and agricultural land, and timberland. It expands definitions for "appurtenance" and "incidental use," allowing compatible activities such as farm festivals, weddings, and minor structural upgrades without removal of tax classification unless limits are exceeded. The bill also reduces the lookback period for calculating back taxes from seven years to four years for certain removals of farm GTH-GOV 14 and agricultural land classification occurring after September 1, 2025. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Small Airport Funding Flexibility: House Bill 1650, sponsored by Rep. Tom Dent (R -13th LD), expands the allowable uses of local real estate excise tax (REET) revenues to include capital projects for airports with fewer than 10,000 annual enplanements, as determined by Federal Aviation Administration data, and those included in the Washington Aviation System Plan or National Plan of Integrated Airport Systems. The bill clarifies exclusions related to airport fuel systems, explicitly excluding the installation or improvement of fuel systems for distributing leaded fuel at airports, and adjusts terminology for consistency. It also reorganizes subsection references to accommodate these new provisions. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Real Estate Excise Tax Flexibility: House Bill 1791, sponsored by Rep. Dave Paul (D -10th LD), expands allowable uses of local real estate excise tax revenues to include affordable housing and homelessness projects. The bill removes prior restrictions on using REET funds for operations and maintenance of capital projects and explicitly allows their use for planning, acquisition, construction, and improvement of facilities for affordable housing and homelessness. It also introduces a tax exemption for the sale of "qualified space" in affordable housing developments to nonprofit organizations, housing authorities, or public corporations for community purposes. The bill was signed by the Governor on April 24 and goes into effect on July 27, 2025. Local Tax Notifications: Senate Bill 5315, sponsored by Sen. Chris Gildon (R -25th LD), standardizes notification requirements for local tax changes and bond retirements to improve tax administration and compliance. The bill requires local authorities to provide written notification to the Department of Revenue for any local sales and use tax changes, including supporting documentation such as ordinances, legal descriptions, and maps in cases of annexation. It also mandates public facilities districts to notify the department at least 75 days before retiring bonds issued for regional center projects. The bill enhances the Department of Revenue's ability to administer local tax changes by requiring written notifications and additional documentation for annexations and ensures timely communication regarding bond retirements. The Governor signed the bill on May 12 and the bill goes into effect on July 27, 2025. Community Center Exemptions: Senate Bill 5516, sponsored by Sen. Steve Conway (D -29th LD), expands property tax exemptions for community centers to include surplus university property acquired by nonprofits for conversion into facilities offering nonresidential community services. The bill maintains exemptions for surplus school district property and allows community centers to loan or rent space to other parties. Tax exemptions will apply to qualifying properties for tax years 2026 through 2035, and minor technical adjustments are made to numerical formatting and references to new subsections. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. GTH-GOV 15 90 Planning/Land Use/Building Permits Urban Services to Tribal Lands: House Bill 1039, sponsored by Representative Peter Abbarno (R -20th LD), modifies the Growth Management Act to allow cities and federally recognized Indian tribes to contract for the extension of urban governmental services beyond urban growth boundaries to tribal lands under specific conditions. It establishes a legal framework for agreements between cities and tribes to extend services to tribal lands contiguous to city boundaries, with a deadline of December 31, 2028. The bill introduces a narrowly tailored exception to restrictions on urban development outside urban growth areas, facilitating urban development on tribal lands through mutual agreements. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Residential Driveway Parking: House Bill 1061, sponsored by Rep. Sam Low (R -39th LD), allows residential property owners to park vehicles across their driveways if permitted by local ordinances or resolutions. The bill applies only to driveways no longer than 50 feet and ensures that such parking does not obstruct sidewalks, other driveways, or the roadway. Technical changes standardizing numerical references in the statute are also included. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Lot Splitting: House Bill 1096, sponsored by Rep. Andrew Barkis (R -2nd LD), facilitates administrative lot splitting to expand middle housing and affordable ownership opportunities in cities under the Growth Management Act. The bill allows residential lots to be split into two through a streamlined administrative process without predecision public hearings, provided conditions such as compliance with development regulations, mitigation of renter displacement, and restrictions on further splitting are met. Cities with comprehensive plan updates due in 2027 must incorporate the requirements into their next update, while others must implement them within two years of the bill's effective date (July 27, 2025). Growth Management Compliance: House Bill 1135, sponsored by Rep. Davina Duerr (D -1st LD), strengthens requirements for jurisdictions to amend noncompliant plans under the Growth Management Act before achieving compliance. The bill specifies that the Growth Management Hearings Board cannot issue a finding of compliance unless the jurisdiction has amended the portion of its plans or regulations previously found noncompliant, and allows individuals with standing to participate in compliance hearings. It also emphasizes prioritization of compliance hearings and reiterates existing timelines for board findings. The bill was signed by the Governor on April 7 and goes into effect on July 27, 2025. Retrofit Housing: House Bill 1183, sponsored by Rep. Davina Duerr (D -1st LD), facilitates affordable and sustainable housing development by reforming building codes and development regulations. It adjusts setback and roof height limits for retrofits and passive house construction, prohibits facade modulation and upper -level setbacks for certain residential projects, and restricts off-street parking requirements for affordable housing. Additionally, it establishes maximum size limits for affordable housing units and requires local governments to incorporate these provisions into their regulations during their next comprehensive plan update. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. GTH-GOV 16 91 Boundary Review Process: House Bill 1304, sponsored by Rep. Brandy Donaghy (D -44th LD), modifies the filing and review process for notices of intention submitted to boundary review boards. It establishes the effective filing date of a notice as the earlier of the chief clerk's sufficiency determination or automatic sufficiency after deadlines. The bill also introduces criteria for sufficiency, procedures for correcting insufficient notices, and mandates timely review, while aligning existing timelines for board actions with the new framework. The bill was signed by the Governor on April 11 and goes into effect on July 27, 2025. Accessory Dwelling Unit Self -Certification: House Bill 1353, sponsored by Rep. Alex Ramel (D - 40th LD), establishes a framework for cities to create self -certification programs for accessory dwelling unit (ADU) permit applications. Registered architects may self -certify compliance with applicable building codes for detached ADU projects, streamlining the permitting process. Cities must adopt rules requiring random audits of at least 20% of self -certified applications annually, penalties for failed audits, and professional liability insurance for participating architects. The bill clarifies that self -certified permits are treated as equivalent to those issued after full project review and includes safeguards such as reporting requirements and indemnification agreements signed by property owners, contractors, and architects. The bill was signed by the Governor on April 7 and goes into effect on July 27, 2025. Disabled Veteran Parking: House Bill 1371, sponsored by Rep. Ed Orcutt (R -20th LD), expands parking privileges for persons with disabilities to include veterans with a 70% or higher disability rating who use service animals. Veterans qualifying under the new criteria are entitled to parking placards, special license plates, or identification cards free of charge, and must provide documentation as required by the Department of Licensing. The bill also establishes reporting requirements and administrative processes, with the act taking effect on October 1, 2025. The Governor signed the bill on May 17. Transit -Oriented Development: House Bill 1491, sponsored by Rep. Julia Reed (D -36th LD), promotes transit -oriented development and affordable housing by requiring cities to allow multifamily housing in station areas near major transit stops and adopt minimum floor area ratios (FAR) for residential and mixed -use development. Rail station areas must have an average FAR of at least 3.5, while bus station areas must have an average FAR of at least 2.5 or 3.0 if up to 25% of bus station areas are exempted. Additional provisions include affordability requirements for residential developments, parking restrictions, a grant program to assist cities, a model TOD ordinance, antidisplacement measures, a surplus property pilot program, impact fee reductions, property tax exemptions, prohibitions on restrictive covenants, and categorical environmental exemptions for certain developments. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Affordable Housing Exemptions: House Bill 1494, sponsored by Rep. Alex Ramel (D -40th LD), amends property tax exemption laws for new and rehabilitated multiple -unit dwellings in urban centers. The bill refines definitions, strengthens affordability requirements, enhances administrative oversight, and introduces antidisplacement measures to ensure alignment with housing needs. Key changes include clarifying affordability requirements for exemptions, updating transit proximity criteria, adding tenant relocation assistance provisions, and GTH-GOV 17 92 expanding eligibility for 20 -year exemptions to cities with populations of at least 15,000. No new exemptions may be granted after January 1, 2032, and no extensions after January 1, 2046. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Diaper Changing Stations in Public Restrooms: House Bill 1562, sponsored by Rep. Victoria Hunt (D -5th LD), requires the installation of baby diaper changing stations in public restrooms under specific conditions. Newly constructed public buildings and those undergoing restroom renovations costing $15,000 or more must include a baby diaper changing station in at least one restroom accessible to women and one accessible to men, or in a gender -neutral restroom. Exemptions apply to health care facilities with single -patient restrooms, industrial or commercial buildings that prohibit entry to minors, and cases where installation is deemed infeasible or noncompliant with accessibility standards. Building owners or operators may remove a changing station if it is misused according to manufacturer standards. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Historic Landmark Designations: House Bill 1576, sponsored by Rep. Amy Walen (D -48th LD), prohibits designating properties as historic landmarks without the written consent of the property owner if the designation would restrict the use, alteration, or demolition of the property. The bill requires cities and code cities to adopt or amend regulations within one year to comply with the bill's requirements for properties zoned for residential or mixed use, with automatic preemption of conflicting local regulations if they fail to do so. Exceptions are provided for properties within historic districts established through local preservation ordinances or for properties more than 125 years old. The Governor signed the bill on May 12 and the bill goes into effect on July 27, 2025. Electric Security Alarms: House Bill 1688, sponsored by Rep. Lisa Parshley (D -22nd LD), establishes statewide standards for the installation and operation of electric security alarm systems in jurisdictions without existing regulations. The bill requires compliance with international safety standards, warning signage, height requirements, and perimeter barriers, while allowing local governments to regulate or prohibit these systems through specific ordinances. Systems installed before the adoption of local regulations may continue to operate if they meet statewide standards. The bill was signed by the Governor on April 16 and goes into effect on July 27, 2025. Conversion of Existing Buildings: House Bill 1757, sponsored by Rep. Amy Walen (D -48th LD), facilitates the addition of housing units within existing buildings in commercial, mixed -use, or residential zones by limiting local government restrictions. Cities must adopt ordinances to comply by June 30, 2026, and are prohibited from imposing additional permitting requirements beyond those generally applicable to residential development in the zone, though change of use permits may be required. The bill restricts cities from denying permits based on nonconformities such as parking or setbacks unless significant detriment to the surrounding area is demonstrated and exempts unchanged portions of buildings from energy code compliance solely due to the addition of dwelling units. The Governor signed the bill on May 7 and the bill goes into effect on July 27, 2025. GTH-GOV 18 93 Building Permit Exclusion: House Bill 1935, sponsored by Rep. Davina Duerr (D -1st LD), excludes building permits from the definition and procedural requirements of "project permits." The bill refines the definition of "project permit" by explicitly removing building permits and adjusts related statutory provisions to align with this exclusion. These changes clarify the scope of project permits and streamline the application of procedural requirements for local governments. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Housing Accountability Act: Senate Bill 5148, sponsored by Senator Jessica Bateman (D -22nd LD), introduces a state -level review process for housing elements and related development regulations adopted by counties and cities under the Growth Management Act. The bill requires jurisdictions to submit these plans to the Department of Commerce for compliance review, with a decision issued within 90 days, and prohibits noncompliant jurisdictions from denying affordable or moderate -income housing developments without specific exceptions. It also establishes mandatory targeted reviews for up to 10 jurisdictions annually and directs the Department to publish minimum compliance standards within six months of the bill's effective date. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Preemption on Parking Requirements: Senate Bill 5184, sponsored by Sen. Jessica Bateman (D - 22nd LD), establishes statewide limitations on minimum parking requirements for residential and commercial developments. Residential parking is capped at 0.5 spaces per multifamily dwelling unit and one space per single-family home, while commercial parking is capped at two spaces per 1,000 square feet. Exemptions are provided for affordable housing, senior housing, small residences, licensed childcare centers, and certain facilities, with accessible parking requirements under the ADA remaining unaffected. Cities and counties may request variances based on safety studies, and areas near major airports are exempt. The bill repeals prior parking requirement laws and directs the State Building Code Council to review accessible parking standards. Cities and counties with a population between 30,000 and 50,000 must implement the requirements within three years of the effective date of the bill. Cities and counties with a population of 50,000 or greater must implement the requirements of this act within 18 months of the effective date of the bill, which is July 27, 2025. The Governor signed the bill into law on May 7. Energy Facility Appeals: Senate Bill 5317, sponsored by Sen. Keith Goehner (R -12th LD), exempts certain local government actions related to Energy Facility Site Evaluation Council (EFSEC)-certified energy facilities from appeals under state siting laws. The bill shields actions taken by cities or counties in partnership with EFSEC for technical assistance, advice, or reviews related to certified energy facilities from challenges based on inconsistency with preempted local codes. This amendment clarifies EFSEC's authority and limits the grounds for appealing local government actions in energy facility siting and operation. The Governor signed the bill on May 12 and the bill goes into effect on July 27, 2025. Middle Housing Expansion: Senate Bill 5471, sponsored by Sen. Keith Goehner (R -12th LD), authorizes counties to permit middle housing, such as duplexes and triplexes, in urban growth areas (UGAs) and Limited Areas of More Intensive Rural Development (LAMIRDs) under certain GTH-GOV 19 94 conditions. The bill limits development standards and permitting processes for middle housing to be no more restrictive than those for single-family housing and allows up to four residential units per lot in these areas if infrastructure requirements, such as sewer service, are met. It also exempts county actions implementing these provisions from appeals under the State Environmental Policy Act (SEPA) and review by the Growth Management Hearings Board (GMHB). The Governor signed the bill on May 20 and the bill goes into effect on July 27, 2025. Child Care Zoning: Senate Bill 5509, sponsored by Sen. Emily Alvarado (D -34th LD), mandates that cities, towns, and code cities allow child care centers as a permitted use in all non- industrial zones, with reasonable restrictions such as requirements for pickup and drop-off areas. The bill also requires jurisdictions to update their zoning regulations based on their comprehensive plan update schedule or, for non-GMA jurisdictions, within two years of the bill's effective date. Child care centers must also be conditionally approved in industrial and light industrial zones, except near high -hazard facilities, and cities retain flexibility to permit child care centers in other zones. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Comprehensive Plan Deadline Extension: Senate Bill 5558, sponsored by Sen. Keith Goehner (R -12th LD), adjusts Growth Management Act compliance timelines for comprehensive plan updates, design review processes, and housing density regulations. The deadline for Benton, Chelan, Cowlitz, Douglas, Franklin, Kittitas, Skamania, Spokane, Walla Walla, and Yakima counties to update their plans is extended to December 31, 2026, with subsequent updates due every 10 years. Cities must align design review and housing density requirements with their next periodic updates, while capital facilities plan updates for housing density compliance are deferred until June 30, 2034. The bill also aligns Accessory Dwelling Unit ordinance timelines with periodic updates. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Unit Lot Subdivisions: Senate Bill 5559, sponsored by Sen. Liz Lovelett (D -40th LD), streamlines the subdivision process for residential developments within urban growth areas by establishing procedures for "unit lot subdivisions." The bill introduces definitions for terms such as "parent lot," "unit lot," and "unit lot subdivision" and requires cities and towns in counties planning under growth management laws to adopt regulations allowing unit lot subdivisions. It mandates clear, objective, and streamlined procedures, prohibits public predecision meetings or hearings except where required by law, and specifies implementation deadlines tied to comprehensive plan updates or within two years of the bill's effective date. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Cladding Material Regulation: Senate Bill 5571, sponsored by Sen. Jessica Bateman (D -22nd LD), prohibits cities, code cities, and counties from mandating or excluding specific exterior cladding materials that comply with the state building code, with certain exceptions. Exceptions include historic districts, wildfire safety areas, and jurisdictions with unique architectural themes, such as Bavarian -style requirements. The bill also allows local governments to mandate fire-resistant siding materials for wildfire protection without violating the prohibition. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. GTH-GOV 20 95 Shared Streets Framework: Senate Bill 5595, sponsored by Sen. Emily Alvarado (D -34th LD), establishes a framework for "shared streets" where pedestrians, bicyclists, and vehicles share roadway space under modified traffic rules. The bill allows local authorities to designate nonarterial highways as shared streets, provided they develop procedures for doing so, and permits state highways to be designated as shared streets only if they are primary roads through a central business district. Key provisions include modified right-of-way rules, exemptions from certain existing traffic regulations, and the ability for local authorities to set speed limits as low as 10 miles per hour without requiring a traffic study. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Permitting: Senate Bill 5611, sponsored by Sen. Jesse Salomon (D -32nd LD), streamlines local land use permitting processes and expands the use of binding site plans to include commercially zoned property allowing multifamily residential uses. It prohibits local governments from requiring or requesting deadline extensions at the initial submission of a project permit application, introduces refund provisions for permit fees if deadlines are missed, and mandates annual performance reporting on permit timelines. The bill also ensures equitable treatment of condominiums and cooperatives in zoning and permitting processes. The Governor signed the bill on May 7 and the bill goes into effect on July 27, 2025. Child Care Facilities: Senate Bill 5655, sponsored by Sen. Deborah Krishnadasan (D -26th LD), standardizes occupancy load calculations for child care centers in multi -use buildings, such as churches, to encourage repurposing existing spaces. The bill requires that occupancy loads be calculated solely based on the areas used for child care services, aligning building code enforcement and fire safety standards with this method. Legislative findings emphasize the public benefit of using existing buildings for child care rather than new construction. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Public Works - Procurement Public Works Bidding Requirements: House Bill 1549, sponsored by Rep. Mary Fosse (D -38th LD), modifies responsible bidder criteria for public works projects to enhance compliance with apprentice utilization and training requirements. The bill requires bidders on projects subject to apprentice utilization requirements to submit an apprentice utilization plan, with templates developed or approved by the Department of Labor and Industries (L&I), and exempts bidders who met utilization requirements on their previous project. It revises training requirements to focus on recent public works experience or completion of specific training, and mandates contracting agencies verify compliance using publicly available information. L&I must publish compliance records and maintain training completion data. Sections of the bill take effect in 2026 and 2027, with phased expiration dates. The bill was signed by the Governor on April 16 and goes into effect on July 27, 2025. Subcontractor Licensing Requirements: House Bill 1633, sponsored by Rep. Natasha Hill (D -3rd LD), tightens requirements for subcontractor listing and licensing in public works bidding. The bill requires subcontractor names for HVAC, plumbing, and electrical work to be submitted "at" the published bid submittal time rather than "within one hour after." Prime contract bidders GTH-GOV 21 96 must provide proof of licensing for listed subcontractors, with errors in proof of licensing corrected within 48 hours of submission. It removes outdated provisions, including legislative intent language and reporting requirements, and eliminates licensing as a specific reason for substituting a subcontractor. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Prevailing Wage Oversight: House Bill 1821, sponsored by Rep. Julio Cortes (D -38th LD), expands the definition of "interested party" under prevailing wage laws to include joint labor- management cooperation committees and Taft -Hartley trusts, allowing these entities to monitor and enforce compliance. The bill regulates access to certified payroll records, restricting their use to filing complaints and prohibiting use for union organizing or commercial activities. It includes provisions for the expiration and effective dates of certain sections to ensure continuity. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Design -Build Bonding: House Bill 1967, sponsored by Rep. Janice Zahn (D -41st LD), clarifies bonding requirements for design -build public works contracts by exempting non -construction services and aligning bond amounts with construction costs. The bill specifies that performance and payment bonds are required only for the construction portion of the contract and must be in an amount no less than the value of that portion. It also provides procedural clarity regarding the timeline for bond submission. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Public Works - Transportation EV Installer Certification: Senate Bill 5528, sponsored by Sen. Marko Liias (D -21st LD), establishes specialized certification requirements for electricians installing electric vehicle supply equipment (EVSE) on public works projects. Installations must be performed by individuals certified through the Electric Vehicle Infrastructure Training Program (EVITP) or a comparable accredited program, with exemptions for apprentices supervised by certified journey -level electricians and for contracts executed before the act's effective date. The Department of Labor and Industries is authorized to adopt rules for implementation, and the act takes effect on January 1, 2026. Toll Rate Process: Senate Bill 5702, sponsored by Sen. Bill Ramos (D -5th LD), streamlines the toll rate -setting process by exempting the Transportation Commission from the Administrative Procedure Act (APA) when exercising its tolling authority. The bill establishes a new, expedited process for setting and adjusting toll rates, toll exemptions, and administrative fees, while maintaining public transparency and input. Key provisions include public notice at least 30 days before toll rate changes, adoption of toll rates in open meetings with remote participation options, emergency toll adjustments to meet legal or financial obligations, and transparency through publication of toll rates and policies on the Commission's website. The Governor signed the bill on May 16 and the bill goes into effect on January 1, 2026. Transportation Funding and Reforms: Senate Bill 5801, sponsored by Sen. Marko Liias (D-21), makes extensive changes to transportation funding, infrastructure, tolling, public -private GTH-GOV 22 97 partnerships, and environmental considerations. Key provisions include a 6 -cent per gallon fuel tax increase starting July 1, 2025, with annual inflation adjustments, higher electric vehicle registration fees, and new fees for luxury vehicles, motor homes, vessels, and aircraft exceeding specified price thresholds. The bill also establishes new grant programs for transit safety and active transportation, authorizes the acquisition of hybrid diesel-electric ferries, and requires environmental justice assessments for certain transportation investments. It repeals the Transportation Innovative Partnership Act, replacing it with a new public -private partnership framework, and reduces the number of voting members on the Transportation Commission from seven to five. The bill includes multiple effective dates, with some provisions phased in through 2028. The Governor signed the bill on May 20 and the bill includes various effective dates. Highway Land Leasing: House Bill 1774, sponsored by Rep. Jake Fey (D -27th LD), authorizes the Washington State Department of Transportation (WSDOT) to lease unused highway land for community purposes under specified conditions. The bill expands eligible lessees to include public agencies, tribes, state historical societies, and nonprofit organizations, and establishes criteria for evaluating leases, including benefits to overburdened communities and lessee qualifications. Lease agreements must incorporate community benefits, limit use to designated purposes such as housing and salmon habitat restoration, and require legislative approval for nonprofit leases exceeding five years. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Solid Waste Organic Waste Management: House Bill 1497, sponsored by Rep. Beth Doglio (D -22nd LD), establishes new standards for organic waste management across jurisdictions, businesses, schools, and multifamily buildings. Key provisions include mandatory color -coded waste collection containers by 2028, phased organic waste collection for multifamily residences, and penalties for businesses generating significant organic waste that fail to comply with management requirements. The bill also promotes food waste reduction in schools, expands farm -to -school programs, and updates the state building code to ensure sufficient space for organic waste collection in new buildings. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Photovoltaic Module Recycling: Senate Bill 5175, sponsored by Sen. Sharon Shewmake (D -42nd LD), extends deadlines for photovoltaic module stewardship plans and establishes an advisory committee to recommend program improvements with a focus on environmental justice. Manufacturers must submit stewardship plans by January 31, 2030, or within 30 days of their first sale, and sales without an approved plan are prohibited after January 31, 2031. The advisory committee, supported by an independent consultant, will develop recommendations for a safe and equitable recycling system, with a report due to the legislature by December 1, 2028. The bill was signed by the Governor on April 22 and goes into effect on June 30, 2025. Extended Producer Responsibility: Senate Bill 5284, sponsored by Sen. Liz Lovelett (D -40th LD), establishes an extended producer responsibility (EPR) program for consumer packaging and GTH-GOV 23 98 paper products to enhance recycling and reduce waste. Producers must join or form producer responsibility organizations (PROs) to implement and finance statewide programs for waste reduction, recycling, and composting, meeting performance targets for recycling rates, source reduction, and postconsumer recycled content. The bill also requires curbside recycling in urban areas by 2030, mandates equity considerations to reduce service disparities, and includes penalties for noncompliance. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Utilities Sewage Spill Notifications: House Bill 1670, sponsored by Rep. Victoria Hunt (D -5th LD), establishes new requirements for public notification of sewage spills. The bill mandates the Department of Ecology to develop a public -facing website by July 1, 2026, featuring timely and detailed information about sewage spills, including spill volume, treatment level, location, duration, and impacted waters. The website must also be designed to effectively communicate with individuals with limited English proficiency. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. Utility Cost Securitization: House Bill 1990, sponsored by Rep. Peter Abbarno (R -20th LD), authorizes electrical, gas, and water utilities to use securitization financing for disaster -related costs and other rate recovery expenditures. The bill replaces prior provisions for "conservation investment" with broader "rate recovery expenditures" and establishes a framework for the issuance of "rate recovery bonds." It includes protections for bondholders, procedures for financing orders, and imposes non -avoidable rate recovery charges on customers, with adjustments to ensure timely bond repayment. The Governor signed the bill on May 17 and the bill goes into effect immediately. PFAS Biosolids Management: Senate Bill 5033, sponsored by Sen. Jeff Wilson (R -19th LD), establishes requirements for PFAS sampling, testing, and reporting in biosolids. The Department of Ecology must publish guidance on sampling requirements by July 1, 2026, and facilities generating biosolids must conduct quarterly sampling for PFAS chemicals starting in 2027, with results due by September 30, 2028. The bill also requires an advisory committee to provide input on testing standards and directs the Department of Ecology to report PFAS levels and recommendations to the Legislature by July 1, 2029. Excavation Safety Reform: Senate Bill 5627, sponsored by Sen. Bill Ramos (D -5th LD), makes significant amendments to Washington's Underground Utility Damage Prevention Act, focusing on improving excavation safety, enhancing utility damage prevention, and clarifying responsibilities for excavators and facility operators. Key changes include introducing new definitions such as "blind boring," "design locating," "force majeure," "positive response," and "work -to -begin date"; prohibiting blind boring without physical exposure of underground facilities; requiring excavators to provide a "work -to -begin date" in their notice and prohibiting excavation until positive response is received; mandating the use of a free web -based platform for submitting excavation notices; and increasing civil penalties for violations to as much as $25,000 for damaging hazardous facilities. The bill also expands the safety committee's role to GTH-GOV 24 99 review complaints and authorizes the Utilities and Transportation Commission to enforce violations. The Governor signed the bill on May 16 and the bill goes into effect on July 27, 2025. Utility Connection Waiver: Senate Bill 5662, sponsored by Sen. Marcus Riccelli (D -3rd LD), allows municipal utilities to waive connection charges for affordable housing, emergency shelter, and permanent supportive housing, contingent on recorded covenants that restrict property use and include price restrictions and household income limits. Counties east of the Cascade Mountains with populations exceeding 500,000 may waive these charges without requiring upfront funding, provided a covenant is recorded to ensure the property remains dedicated to eligible uses. Developers must repay waived charges if the property is converted to ineligible uses. The Governor signed the bill on May 19 and the bill goes into effect on July 27, 2025. Water Policy Water System Classification: House Bill 1615, sponsored by Rep. Michelle Caldier (R -26th LD), clarifies classification criteria for public water systems and prohibits the use of default population numbers to reclassify systems from Group B to Group A. The bill ensures that actual usage data is used for classification and limits local governments from imposing additional requirements on Group B systems that conflict with these provisions. It declares an emergency, making the act effective immediately upon passage. The bill was signed by the Governor on April 16 and goes into effect immediately. The Governor signed the bill on April 16 and the bill goes into effect immediately. Water System Oversight: House Bill 1947, sponsored by Rep. Andrew Engell (R -7th LD), expands regulatory oversight of certain Group B public water systems to require satellite management agency operation under specified conditions. The bill clarifies that existing satellite management agency requirements apply specifically to Group A systems and introduces new criteria for Group B systems, including those requiring water treatment, providing fire flow, having atmospheric storage, or serving 10 or more service connections. It also authorizes local boards of health to adopt stricter standards for Group B systems and clarifies enforcement responsibilities for the Department of Health and local health jurisdictions. The bill was signed by the Governor on April 11 and goes into effect on July 27, 2025. Precode Water Rights: Senate Bill 5212, sponsored by Sen. Sharon Shewmake (D -42nd LD), modifies water rights law to allow the filing of adjudication claims for precode water uses in Water Resource Inventory Area 1 (WRIA 1), encompassing Whatcom and Skagit counties. The bill aligns WRIA 1 adjudication procedures with those used in the Yakima Basin, ensuring that claims for precode water uses can be included in the process. Claims filed under the new provisions are subordinate to certain pre-existing water rights, including those established before July 27, 1997, and do not impair existing water rights. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. GTH-GOV 25 100 Behavioral Health Health Information Disclosure: House Bill 1287, sponsored by Rep. Alicia Rule (D -42nd LD), aligns confidentiality rules for licensed and credentialed professionals with existing health care information disclosure standards under chapter 70.02. The bill introduces new provisions allowing the disclosure of health care information under specific circumstances and ensures that disclosures permitted under chapter 70.02 are explicitly permissible under these sections. No recent actions, hearings, or amendments have been reported. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Criminal Insanity Reform: House Bill 1359, sponsored by Rep. My-Linh Thai (D -41st LD), establishes a task force to review and modernize laws related to criminal insanity and competency to stand trial. The task force will include representatives from state agencies, courts, advocacy groups, and individuals with lived experience in the forensic mental health system, and is tasked with addressing barriers to administration, fairness, efficiency, and public safety. Additionally, the bill recodifies and decodifies sections of existing statutes to improve clarity and coherence, with a contingency clause requiring funding by June 30, 2025, for the act to take effect. The Governor signed the bill on May 19 and the bill goes into effect on July 27, 2025. Juvenile Diversion Reform: House Bill 1391, sponsored by Rep. Julio Cortes (D -38th LD), expands and standardizes juvenile diversion programs to reduce reliance on formal court processes and improve youth outcomes. The bill raises the age limit for diversion agreements to a juvenile's 21st birthday, prohibits parents or guardians from preventing juveniles from entering diversion agreements, and ensures completed diversions are not part of a juvenile's criminal history. It mandates improved data collection and reporting on diversion outcomes, disaggregated by demographics. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Mental Health Parity: House Bill 1432, sponsored by Rep. Tarra Simmons (D -23rd LD), updates mental health parity laws to improve access to mental health and substance use disorder (MH/SUD) services. The bill mandates that health plans provide MH/SUD coverage consistent with generally accepted standards of care and eliminates barriers by standardizing medical necessity determinations and utilization review processes. It also prohibits restrictive utilization management practices for initial outpatient visits, requires compliance with federal parity standards, and authorizes the insurance commissioner to adopt rules for implementation. The Governor signed the bill on May 12 and the bill goes into effect on July 27, 2025. Co -Response Services: House Bill 1811, sponsored by Rep. Osman Salahuddin (D -48th LD), enhances behavioral health crisis response by integrating co -response teams and establishing statewide training programs. It defines "co -response" as a multidisciplinary partnership between first responders and human services professionals to address behavioral health crises and complex medical needs, restricts regional crisis lines from dispatching law enforcement, and expands peer support privilege protections to co -response professionals. The bill also directs the University of Washington School of Social Work to establish a crisis responder GTH-GOV 26 101 training academy by January 1, 2026, with statewide expansion by January 1, 2027, offering optional certification in best practices for crisis response. The Governor signed the bill on May 19 and the bill goes into effect on July 27, 2025. Mental Health Sales Tax Funding for Capital Facilities: Senate Bill 5696, sponsored by Sen. Curtis King (R -14th LD), expands the allowable uses of local sales and use tax revenue dedicated to chemical dependency and mental health treatment programs to include the construction of new facilities and modifications to existing facilities necessary for the delivery of these programs. The bill also recognizes these programs, along with therapeutic court programs, as integral to local government public safety efforts. The tax rate and other existing provisions remain unchanged. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Involuntary Treatment Counsel: Senate Bill 5745, sponsored by Sen. Manka Dhingra (D -45th LD), mandates counties to administer or fund legal representation for individuals detained under the Involuntary Treatment Act, with reimbursement mechanisms clarified. The bill authorizes the Health Care Authority to contract with the Office of Public Defense for representation at state facilities upon county request, and specifies the Attorney General's role in representing state -operated facilities in related proceedings. It updates definitions for "state hospital" and "state facility" and declares an emergency, taking effect immediately. The Governor signed the bill into law on May 12. Child Care Early Learning Facilities: House Bill 1314, sponsored by Rep. Lisa Callan (D -5th LD), expands and refines the early learning facilities grant and loan program to increase flexibility, address emergencies, and support capacity growth. The bill separates funding accounts, designates them as the Ruth LeCocq Kagi early learning facilities revolving and development accounts, and allows emergency grants for projects addressing natural disasters or health and safety threats. It also prohibits requiring matching funds from applicants facing financial hardship and prioritizes projects that increase capacity, such as converting ECEAP slots to full -day or extended -day programs. The bill was signed by the Governor on April 7 and goes into effect on July 27, 2025. ECEAP Eligibility Expansion: House Bill 1351, sponsored by Rep. Adam Bernbaum (D -24th LD), modifies eligibility criteria and enrollment rules for the Early Childhood Education and Assistance Program (ECEAP). The bill revises the definition of an "eligible child" to include children at least three years old by August 31 of the school year, adjusts income thresholds, and introduces new eligibility pathways for children meeting specific risk factors or participating in certain early learning programs. It includes phased implementation and contingent effective dates tied to the enactment of Senate Bill 5752. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. Child Care Workforce: House Bill 1648, sponsored by Rep. Tom Dent (R -13th LD), modifies child care provider qualification requirements by extending certification deadlines, creating alternative training pathways, and recognizing work experience as a qualification. The bill GTH-GOV 27 102 extends the implementation deadline for a community -based training pathway to August 1, 2030, or five years from the date of hire for providers hired after the bill's effective date, whichever is later. It also caps the cost of community -based training at $250 per person, ensures training pathways are accessible in multiple languages and culturally relevant, and requires the Department of Children, Youth, and Families to convene a stakeholder group to identify strategies for improving qualification processes and report to the legislature by December 1, 2026. The Governor signed the bill on May 15 and the bill goes into effect on July 27, 2025. Miscellaneous Vehicle Rescue Immunity: House Bill 1046, sponsored by Rep. Mari Leavitt (D -28th LD), provides civil liability immunity to individuals who forcibly enter locked vehicles to rescue vulnerable persons or domestic animals under specific conditions. The bill defines "vulnerable person" to include minors or individuals with certain impairments and "domestic animal" as household pets, excluding livestock. Immunity applies if the rescuer acts in good faith, determines the vehicle is locked, believes imminent harm is likely, notifies law enforcement or 911, uses only necessary force, and remains with the rescued individual or animal until authorities arrive. The Governor signed the bill on April 30 and the bill goes into effect on July 27, 2025. Consumer Protections in Real Estate Transactions: House Bill 1081, sponsored by Rep. Brandy Donaghy (D -44th LD), establishes consumer protections for owners in solicited real estate transactions. The bill applies to transactions executed on or after January 1, 2026, where a buyer actively solicits the purchase of property not publicly listed for sale. It ensures property owners have the right to an appraisal at the buyer's expense, the ability to cancel purchase contracts without penalty under specific conditions, and requires clear disclosure of these rights in contracts. The bill exempts transactions involving licensed real estate brokers and ties violations to the Consumer Protection Act. The bill was signed by the Governor on April 21 and goes into effect on July 27, 2025. Public Facilities District Sales Tax Credit Extension: House Bill 1109, sponsored by Rep. Cindy Ryu (D -32nd LD), extends the maximum duration for public facilities districts to collect sales and use tax credits from 40 to 55 years. The bill also clarifies statutory language by replacing "the regional center" with "a regional center" to improve consistency. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. 911 Funding Allocation: House Bill 1258, sponsored by Rep. Timm Ormsby (D -3rd LD), mandates revenue sharing of county 911 excise taxes with municipalities operating public safety answering points. The bill applies to counties east of the Cascade Mountains with populations between 530,000 and 1,500,000 that operate regional 911 systems transferring emergency calls to municipal systems. Beginning in 2026, counties must transfer a portion of excise tax revenues quarterly to municipalities handling emergency call disposition and dispatch. The Governor signed the bill on May 15 and the bill goes into effect on July 27, 2025. GTH-GOV 28 103 Oath of Office Timing: House Bill 1573, sponsored by Rep. Lisa Parshley (D -22nd LD), revises the timeline for local elected officials in counties, cities, towns, and special purpose districts to take the oath of office. The bill specifies that the oath must be taken between the final certification of election results and the day before the term of office begins, removing previous options for earlier oath -taking and clarifying the timeline. It also includes minor language adjustments for consistency. The Governor signed the bill on May 17 and the bill goes into effect on July 27, 2025. PRA Exemption for Employees Involved in Investigation: House Bill 1934, sponsored by Rep. Rob Chase (R -4th LD), expands privacy protections for individuals in employment investigations by requiring redactions of names, images, job titles, email addresses, and phone numbers of complainants, accusers, and witnesses in investigative records. It also mandates voice alterations in audio recordings to ensure anonymity while retaining inflection and tone. The bill includes an exception for elected officials, whose names and titles will not be redacted after investigations conclude, and clarifies that disclosure of redacted information requires consent. The Governor signed the bill on May 15 and the bill goes into effect on July 27, 2025. Public Records Exemptions Review: Senate Bill 5049, sponsored by Senator Jeff Wilson (R -19th LD), clarifies the Sunshine Committee's meeting schedule by specifying it must meet four times a year, replacing the previous language requiring quarterly meetings. The bill does not alter the committee's composition, duties, or support structure, which remains focused on reviewing public disclosure exemptions, developing criteria for evaluations, and recommending whether exemptions should be continued, modified, or terminated. The bill takes effect on July 27, 2025. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Public Risk Pools Exemption: Senate Bill 5102, sponsored by Sen. Bob Hasegawa (D -11th LD), exempts proprietary financial data of public risk pools from public disclosure. This includes formulas, data used for calculating member contributions or assessments, and actuarial analyses and reports. The bill seeks to expand the scope of information exempt from public disclosure to safeguard sensitive proprietary information related to public risk pools' financial operations. The Governor signed the bill on April 19 and the bill goes into effect on July 27, 2025. Electrical Inspector Qualifications: Senate Bill 5265, sponsored by Sen. Curtis King (R -14th LD), expands the eligibility criteria for electrical inspectors by recognizing out-of-state experience. Individuals with a journey -level electrician certificate issued by the Washington Department of Labor and Industries and at least eight years of electrical construction trade experience, four of which must follow licensure or certification by examination in another state with a reciprocal licensing agreement, would qualify for inspector positions. The bill retains provisions regarding the appointment, duties, and compensation of electrical inspectors, as well as the funding source for their salaries and expenses, which are paid from the electrical license fund. The bill takes effect on July 27, 2025. The bill was signed by the Governor on April 22 and goes into effect on July 27, 2025. Unclaimed Property Management: Senate Bill 5316, sponsored by Sen. Paul Harris (R -17th LD), updates unclaimed property laws concerning funeral contracts, virtual currency, reporting GTH-GOV 29 104 thresholds, and administrative procedures. Prearrangement funeral service contracts are presumed abandoned after specified criteria, including the beneficiary's death or reaching 107 years of age. The bill mandates liquidation of virtual currency within 30 days before reporting, lowers reporting and notification thresholds, and establishes a six -year statute of limitations for holders to request refunds for property delivered in error. The bill was signed by the Governor on April 8 and goes into effect on July 27, 2025. Community Center Libraries: Senate Bill 5365, sponsored by Sen. Jeff Wilson (R -19th LD), expands the allowable uses of park and recreation district facilities to include public library spaces under specific conditions. The bill clarifies that community centers classified as recreational facilities may house public libraries, provided the library occupies less than 50% of the usable space within the center and is operated in accordance with laws governing public libraries. No other changes to the statute are made by this bill. The Governor signed the bill on May 13 and the bill goes into effect on July 27, 2025. GTH-GOV 30 105 GORDON THOMAS HONEYWELL GOVERNMENT RELATIONS 2025-27 Budget 2025 Legislative Session General Overview The 2025 legislative session convened on January 13 and was scheduled for 105 days. As with all odd -numbered years, 2025 marked the beginning of Washington State's biennial budget cycle. The Legislature's primary responsibilities were twofold: to develop and adopt biennial operating, capital, and transportation budgets, and to debate, advance and adopt policy. The session began amidst significant turnover: 24 new legislators joined the House and Senate, nine new state senators took office, and several statewide executive positions changed hands, including newly elected Governor Bob Ferguson, Attorney General Nick Brown, Insurance Commissioner Patty Kuderer and Commissioner of Public Lands Dave Upthegrove. These changes led to notable shifts in dynamics both within the Legislature and between the legislative and executive branches. Budget Shortfall While a broad array of policy topics was on the agenda, the dominant issue throughout the session was a multi -billion -dollar operating budget shortfall. Revenue forecasts in September and November 2024 projected that expenditures would outpace revenues in both the current and upcoming biennia. The precise size and causes of the shortfall remain debated, but contributing factors likely included increased contractual obligations to state employees, the expiration of temporary federal COVID relief funding, and inflationary pressures. Just before the session began, a leaked email from Senate Democrats previewed a plan to reform Washington's regressive tax code by introducing new taxes targeted at the state's highest earners and largest corporations. Beyond the budget, legislators grappled with a record number of policy proposals. Key themes included housing affordability, parental rights, unemployment benefits for striking workers, and public safety —including firearm regulations. A total of 2,387 bills were introduced (1,305 in the House, 1,082 in the Senate), with only 433 ultimately passing the full Legislature. On March 18, the state's revenue forecast was updated, projecting a $900 million drop in the four-year outlook compared to November 2024, bumping the budget deficit to $15 billion and further complicating budget negotiations. As required by law, the Legislature had to adopt a budget that balanced over two biennia, or four years, (2025-27 and 2027-29) prompting discussions around both spending cuts and new revenue sources. GTH-GOV 106 Governor Ferguson released his own operating budget proposal, demonstrating how the Legislature could reduce spending at the agency level to reduce pressure on the general fund. In addition to continuing $3 billion in programmatic cuts proposed by outgoing Governor Jay Inslee, Ferguson added another $4 billion in reductions. He emphasized protecting vulnerable populations, investing $100 million in law enforcement and public safety, and improving the state's ferry system. However, he also warned that deeper cuts at the federal level — potentially affecting critical services like Medicaid —required Washington State to be adaptable, adjusting to meet the needs of Washingtonians should cuts go into effect. This appeared to mean the Legislature should not exhaust all possible revenue options during the 2025 session. Revenue Proposals Democratic lawmakers in both chambers released initial revenue proposals aimed at addressing the shortfall. Though the specifics varied, both proposals centered on increasing taxes on wealth and financial assets and lifting limits on property tax growth. The proposals were expected to generate $14-17 billion over four years. Senate Democrats' Initial Revenue Proposal (March 2025): • 5% employer payroll tax on payroll expenses exceeding the Social Security threshold ($176,100), for businesses with $7 million+ in total payroll. • Adjust property tax levy growth to reflect population and inflation (replacing the 1% cap). • $10 per $1,000 financial intangible asset tax (stocks, bonds, etc.) for those with over $50 million in assets. • Repeal 20 tax exemptions deemed ineffective. • State sales tax rate reduction from 6.5% to 6%. House Democrats' Initial Revenue Proposal (March 2025): • Additional 1% B&O tax surcharge on taxable income over $250 million. • Increase in existing financial institution surcharge from 1.2% to 1.9% for institutions with income exceeding $1 billion. • $8 per $1,000 financial intangible property tax, with the first $50 million exempt. • Property tax levy cap increased to 3%, reflecting population and inflation. Following public hearings for each revenue bill, budget writers integrated these revenue assumptions into their respective proposed spending plans. Governor Ferguson, however, criticized the magnitude of the proposed revenue increases, particularly the wealth tax components, citing likely legal challenges and a strong probability that the tax would be unable to provide immediate fiscal relief. He urged lawmakers to consider deeper budget cuts and more conservative revenue options. GTH-GOV 107 Roughly ten days before adjournment, Democrats unveiled a revised revenue package, removing the most controversial proposals and scaling back others in response to the Governor's concerns. The package included the following (April 2025): • Capital gains and estate tax increase. • Business and occupation tax increase, and an increase to the Advanced Computing Surcharge (ACS) cap. • Tax on services and nicotine products, including a prepayment on sales tax for certain businesses. • Excise tax on zero emission vehicle tax credits. • Modified tax preferences for certain industries. • Lifting the state and local property tax cap (later abandoned in final negotiations after pushback from Governor Ferguson). These changes were projected to generate approximately $12 billion, though further revisions to the proposals eventually brought the projected revenue closer to $9 billion over four years. For more details about each proposal's final form, please see the Legislature Adopted Revenue document. Outcomes The Legislature adopted both new revenue and programmatic cuts or delays to support a balanced budget over four years. The Legislature advanced cost -saving measures by unwinding or delaying several statutory programs, including: • Delay implementation of 2023 law related to the Aged, Blind, and Disabled (ABD) Assistance Program, requiring recipients to pay the state back if they receive federal SSI disability payments for the same time period as the state assistance. • Eliminates a 2023 law that created the Washington Employee Ownership Program that allows businesses to sell to an employee ownership structure. • Delays the implementation of a 2024 law that addressed families receiving assistance through Temporary Assistance for Needy Families (TANF). Families receiving TANF must assign their rights to child support to the state as partial reimbursement for receiving assistance. The law would have required DSHS to pass through all child support regardless of TANF assistance; that is delayed until 2029. The Legislature adjourned Sine Die on April 27 at approximately 6 p.m., having passed balanced budgets and accompanying revenue legislation in both chambers. There was much speculation that Governor Ferguson may veto some revenue bills, prompting a special session. Ultimately, the Governor honored the Legislature's work and signed all three budgets and accompanying revenue bills into law. Not surprisingly, the Governor did utilize partial veto authority to cut a total of $25 million in the operating budget, mostly attributed to studies and programs. 3 GTH-GOV 108 Budget Summaries Operating Budget The proposed state operating budget for the 2025-27 biennium is based on the March 2025 revenue forecast, which projects $71.0 billion in General Fund revenue, and assumes 3.5% average annual growth rate over two years. Annual average growth in revenues was 5.2% over fiscal year (FY) 2022 through FY 2024; an annual average growth of 3.5% reflects a decline in revenue growth to support the state budget. For reference, the 2023-25 biennial budget totaled $71.9 billion. Total proposed spending for 2025-27 Operating Budget includes $77.9 billion from the General Fund and $150.4 billion across all funds. Of the increase in spending from 2023-25 to 2025-27, $4.4 billion from the General Fund and $6.8 billion overall are needed just to maintain current services, even without new programs. Budget writers reported that the key cost drivers included inflation in K-12 salaries, growing caseloads in childcare, low-income medical assistance, and long-term care. The budget funds and approves collective bargaining agreements for state employees, including for those who are not union -represented and does not include any furloughs or benefit changes. The General Fund is projected to end with a $225 million balance. Total reserves are estimated at $2.3 billion, including $2.1 billion in the Budget Stabilization Account. The four-year outlook for 2027-29 anticipates a $673 million General Fund balance and $3.6 billion in reserves. Transfers were made out of the General Fund, including: • $77 million to the Disaster Response Account • $70.1 million to the Home Security Fund. Transfers into the General Fund include: • $288 million from the Public Works Assistance Account • $110 million from the State Treasurer's Service Account • $89 million from the Washington Student Loan Account. Investments made in the Operating Budget include maintaining funding to the following areas: • $93 million for emergency food assistance programs • $1.2 billion for homelessness and affordable housing including: o $200 million for the covenant homeownership program o $137 million for the housing essential needs program o $117 million for grants to local governments to maintain shelter space historically funded through document recording fee revenues o $111 million for grants to local governments and nonprofit organizations for homeless housing programs and services o $90 million to transition those living in encampments to safer housing o $25 million for grants to support permanent supportive housing 4 GTH-GOV 109 • $100 million is allocated to law enforcement grants • $20 million to expand resources for crime victims • $25 million to improve support for refugee and immigrant communities The 2025-27 budget also includes $4.4 billion in new revenue, primarily from increases to the business & occupation tax, capital gains and estate taxes, and excise taxes on services. For more information on the revenue package approved by the Legislature this session, please refer to the Legislature Adopted Revenue document. Transportation Budget Transportation Budget writers faced a multi -billion shortfall over the budget's 10 -year spending plan. This was exacerbated with the March 2025 revenue forecast, which projected a further $1.7 billion decrease in the fuel tax from the prior year's forecast. The fuel tax represents 44% of all forecasted transportation revenues, which presented significant challenges to balance the budget in the next four years. The final negotiated 2025-27 biennial transportation budget totals $15.5 billion, which is lower than both the House and Senate's initial proposals. Of the $15.5 billion, approximately 60% ($9.2 billion) is allocated for capital expenditures, and approximately 40% ($6.2 billion) will pay for ongoing operating expenditures. The final budget relies on a variety of new and existing revenues, including a 6 -cent fuel tax increase, and increases in several fees such as truck weight fees, passenger weight fees, filing fees and more. While the Legislature considered revenue proposals to replace the fuel tax, such as the road usage charge — a fee modeled after a program in Virginia that is calculated based on a car's average miles per gallon — the Legislature chose to not advance those proposals and instead increased revenues through the state's traditional transportation funding sources. Click here for a full list of new revenue sources. Despite these increases, some planned projects were delayed, in order to maintain a balanced budget. The budget also includes a permanent transfer of 0.1% of the state sales tax to transportation, beginning in 2028, adding $300 million annually. Capital Investments & Project Adjustments Most capital funding supports ongoing projects from previous legislative packages and the Climate Commitment Act (CCA). However, many state and local projects not yet under contract have been deferred. To view the final 2025-27 Transportation Budget, click here. • Fish passage barrier removal receives $1.09 billion this biennium —$125 million more than the last —and $1.12 billion is committed in future budgets. • Washington State Ferries funding supports construction of a new hybrid -electric ferry and related electrification. The first vessel conversion is delayed by one year, with bids for new vessels due in May 2025. Fleet preservation funding increased by $100 million for 2025-27. • Highway maintenance and preservation remains flat for 2025-27 but increases by $200 million in 2027-29. 5 GTH-GOV 110 Climate Commitment Act (CCA) Appropriations totaled $1.36 billion for the 2025-27 biennium, including the following key investments: • $127 million for ferry terminal electrification • $33 million for the Sandy Williams Connecting Communities program • $26.2 million for port electrification competitive grants • $7.5 million for the high-speed rail program Cost Management & Program Changes To manage costs, the budget reduces or eliminates certain programs and administrative expenses. Savings include reduced travel for agency staff, expanded flexibility for WSDOT project delivery, and authorization for in-house ferry work. While funding for bike and pedestrian safety programs was preserved, reductions were made to transit coordination, rideshare, and transportation demand management grants. Public Safety & Enforcement New investments total $30 million for driver safety, including over $18 million for work zone speed cameras and $10 million for young driver education. An additional $16 million supports the Washington State Patrol, funding training, bonuses, and new trooper classes. Capital Budget The state's capital budget funds infrastructure and building construction for state and local communities through direct appropriations and grant programs. A percentage of the operating budget is dedicated to paying bonds issued to fund the budget. Of the three budgets, revenues in the capital budget were the most stable although not as ample as in previous years. In recent years there was an influx of funding into the capital budget from the federal government through American Rescue Plan (ARPA) funds that did not occur for the 25-27 biennium. Key Investments The 2025-27 Capital Budget appropriates $4.5 billion in new bond capacity and $7.5 billion in total funds, including cash, federal funds, and other revenue sources. To view the final 2025-27 Capital Budget and the associated project lists and grant programs, click here. Below are some highlights of the investments made within the final Capital Budget: • $975 million for construction of and improvements to K-12 buildings • $827 million for natural resources • $605 million for the Housing Trust Fund • $129 million for behavioral health facilities • $365 million for the Public Works Assistance Account to finance infrastructure projects for cities, counties, and special purpose districts. Existing revenue streams are predicted to give the PWAA some $754 million in resources through the 2025-27 biennium. This year's budgets make a one-time additional diversion of $288 million on top of preexisting diversions of $180 million. To offset that, the capital budget gives the Board $100 million in state construction bonds and authority to spend $265 million from the GTH-GOV 111 PWAA, which protects existing commitments and allows the Board to offer a new loan round. • $81 million for the Community Economic Revitalization Board to assist communities with financing publicly owned economic development infrastructure improvements to encourage new business development and expansion. • $32.5 million for the Brian Abbott Fish Barrier Removal Board to award grants for local culvert replacements. • $125 million for grant programs funding local clean energy and climate resilience and mitigation projects. 7 GTH-GOV 112 GORDON THOMAS HONEYWELL GOVERNMENT RELATIONS Operating Budget Revenue Provision Capital Gains & Estate Tax - SB 5813 • Applies an additional 2.9% excise tax on an individual's Washington capital gains exceeding $1m (current rate is 7% making the total 9.9%); 7% rate is maintained for capital gains between $250,000 and $1 million. • Increases the estate exclusion amount to $3m (current exclusion is $2.193m) and then increases annually with the Seattle CPI. • Increases the tax rates for Washington taxable estates of descendants dying on or after July 1, 2025: Washington Taxable Estate Value Current Rate New Rate $0 to $1,000,000 10% 10% $1,000,000 to $2,000,000 14% 15% $2,000,000 to $3,000,000 15% 17% $3,000,000 to $4,000,000 16% 19% $4,000,000 to $6,000,000 18% 23% $6,000,000 to $7,000,000 19% 26% $7,000,000 to $9,000,000 19.5% 30% $9,000,000 and up 20% 35% GTH-GOV 2025-27 Total4-Year $321.6 million $635.5 million 113 Qualified Family -Owned Business Interest may be deducted from the taxable value of an estatE the deduction is less than $2.5 million, the business interest exceeds 50% of the decedent's est the heir must continue the business for three years from the date of death. B&O Increases, Advanced Computing Surcharge Cap - HB 2081 • B&O on businesses with a gross income over $5 million is increased to 2.1 percent beginning October 1, 2025. B&O on businesses in the following categories is increased to .5% (currently these categories ht variety of rates between .471% and .484%): manufacturing, extracting, wholesaling, retailing, radioactive waste cleanup, retail of digital goods, research and development by nonprofits, insurance agents, childcare, treatment of chemical dependency, salmon canners, commercial airplanes or components of airplanes or tooling used in airplane manufacturing, printing mater and publishing of periodicals and magazines other than newspapers, highway and government contractors, cold storage warehousing, and radio and television broadcasting. • B&O increase to 1.8 percent for contests of chance. • B&O tax of .5% on businesses with at least $250 million in Washington taxable income; the tax only on income in excess of $250 million and is in addition to other B&O taxes paid. Exempted: income related to manufacturing activities, the sale of food, food stamp purchases, prescriptio drugs, petroleum products, fuel, timber, and timber products. Farmers and financial institution exempt. Taxpayers who pay an advanced computing charge (below) are exempt. • B&O tax on financial institutions is increased to 1.5%. • Under current law, advanced computing businesses with a worldwide revenue in excess of $25 billion are subject to a 1.22% advanced computing surcharge, and the total amount is capped a million per year per taxpayer. The tax is increased to 7.5% and the amount per taxpayer is capF at $75 million per year per taxpayer. By FY 2028, the number of enrollments in computer scien 4 -year state universities must increase. Excise Tax on Zero -Emission Vehicle (ZEV) Credits HB 2077 Background: Consistent with the Federal Clean Air Act (CAA), Washington has adopted Californ emission standards for new motor vehicles. Manufacturers are required to sell a specified percentage of vehicles that are ZEV or obtain credits equal to that percentage (e.g. 22% in 202` GTH-GOV 2 114 35% in 2026; 43% in 2027). Manufacturers can trade credits with other manufacturers and can "bank" credits for up to 4 years for use in a future year and can be transferred to another state• has adopted California's emission standards. • 2% excise tax is imposed on ZEV credits sold from one manufacturer to another. 10% excise tax is imposed on ZEV credits once carried over by a manufacturer to be used in a fu model year • Exemptions: Credits transferred to other states are not taxed. Manufacturers with credits unde 25,000 for a specific model year. Retail Sales on Services, Nicotine, and Pre -Payment - SB 5814 The following services are classified as "retail" and subject to retail sales and use tax and retailir B&O tax. o Investigation, security services, security monitoring services, and armored car services, including background checks, security guard and patrol services, personal and event security, armored car transportation of cash and valuables, and security system service! and monitoring. This does not include locksmith services. o Temporary staffing services (excludes hospitals) o Custom software and customization of prewritten computer software o Imposes a sales tax on digital automated services, which is any service that primarily involves the application of human effort by the seller, and the human effort originated after the customer requested the service; excludes telehealth and telemedicine service! • Imposes a 3% B&O tax on gross income derived from advertising, which excludes web hosting services and services rendered in respect to printing, publishing, radio, and television. • Imposes a 3% B&O tax on gross income derived from high technology services (IT consulting, custom website development, IT training services and technical support). • Expands the definition of nicotine products to include products that contain nicotine, whether derived from tobacco or created synthetically, and subjects them to the "other tobacco product tax GTH-GOV 115 • Requires taxpayers who file a monthly combined excise tax return with $3m or more taxable retail sales during the 2026 calendar year to make a one-time prepayment of state sales tax, which must be paid June 25, 2027. Repealing Tax Preferences — SB 5794 l $148.5 million • A B&O tax (.5%) and retail sales tax (6.5% + local sales tax) are imposed on the sale of precious metals (gold, silver, platinum, rhodium, and palladium) and bullion. • A B&O tax is imposed on the gross receipts from the rental or lease of individual self-service storage space at self -storage facilities; 1.5% for businesses with a taxable income of less than $1 million and 1.75% for businesses with a taxable income over $1 million. I - Estimated Totals $3.854 billion Additional Revenue -Generating Policy Adopted by the Legislature Marriage License Fee/Domestic Violence Support — HB 1498 • Imposes a new $100 fee on marriage licenses Discover Pass Increase — SB 5390 • Increases the cost of a Discover Pass from $30 to $45. Mortgage Fee — SB 5686 $236.7 million $9.54 billion • Imposes an $80 fee for each residential mortgage loan originated, with the exception of reverse mortgage loans issued to seniors over 61. Public Safety Sales Tax — HB 2015 • Authorizes cities and counties to each impose a .01 sales tax increase to fund public safety. School Enrichment Levies— HB 2049 GTH-GOV 11 116 • Background: Schools are funded through state funding and local property tax levies. Local enrichment levies are voter -approved property tax increases to fund elements beyond basic education. The levy is capped at the lesser of $2.50/$1,000 AV or a per student amount (depending on school size is either $3,149.60 or $3,779.62). The per student amount increases by the Seattle CPI each year. It is that amount that this bill increases, thereby allowing larger local enrichment property tax levies until 2031. • The bill increases the per student amount to be the Seattle CPI plus $500 in 2026. For smaller school districts, the increase in 2027-2030 is 3.3 percent above the Seattle CPI. In 2031, all school districts have a maximum per student limit of $5,035. • The bill creates a work group and report back on changes to school funding formulas. If state funding does not increase to fund education at a similar pace, schools will be increasingly funded with local levies. Transportation Budget Revenue Provision & Summary 6 -Year Total Implementation Date Fuel -Related Increases Fuel Tax & Establishes Indexing $1.448 billion July 1, 2025 • Imposes a 6 cent increase to the current 49.4 cent rate in fiscal year (FY) 2026. • The entire higher rate is inflated by 2% each year starting in FY 2027. • Of the increased amounts, 2.5% is distributed to cities and 2.5% is distributed to counties. Increases Diesel Differential Tax Rate $166 million July 1, 2025 • Imposes a 3 cent increase to the Special Fuel Tax rate above the gasoline rate in FY 2026, and another 3 cent increase in FY 2028. • The 6 cent increase is inflated by 2% each year starting in FY 2029. • Of the increased amounts, 2.5% is distributed to cities and 2.5% is distributed to counties Fees Due at the Time of Vehicle Registration Increases Truck Weight Fees $317 million January 1, 2026 • Sets gross weight fees at $30 per ton, up to 40,000 lbs for schedule B trucks and 52,000 lbs for schedule A trucks, including the freight project fee and additional fee in the calculation. GTH-GOV 117 • Gross weight fees are inflated by 2% each year starting in FY 2027. Increases Passenger Weight Fees • Increases the passenger weight fee for heavier vehicles as follows: Weight Current Fee New Fee 0 - 4,000 lbs $35 $35 4,001- 6,000 lbs $55 $75 6,001 - 8,000 lbs $75 $90 8,001 and over $82 $110 Increases Filing Fees • Increases the $4.50 registration filing fee to $6 and the $5.50 title filing fee to $6.50. • The majority of the funds ($89 million) from the fee increases is retained by counties, but $5 million is to be deposited into the Highway Safety Account Increase Abandoned Recreational Vehicle Fee • Increases the fee from $6 to $8 and changes the administrative allocation up to 10% Sales and Use Taxes Increases Motor Vehicle Sales and Use Taxes • Increases the additional sales tax assessment on motor vehicles from 0.3% to 0.5% Increases Rental Car Tax & Establishes Corporate Peer to Peer Car Sharing • The 5.9% additional rental car tax is increased to $11.9% on January 1, 2026 and then adjusted down to 9.9% on January 1, 2027 • These rates are applied to peer-eto-peer car transaction involving a vehicle exempted from retail sales or use tax. True peer -to -peer transactions involving personal car sharing by individuals would not be subject to taxation. Establishes a Recreational Vessels Tax • Imposes a 0.5% sales and use tax on recreational vehicles $317 million $5 million $3 million $257 million $205 million $7 million Half of the increase occurs January 1, 2026 The second half of the increase occurs January 1, 2029 January 1, 2026 January 1, 2026 January 1, 2026 Rental Car Tax: January 1, 2026 Peer -to -Peer Car Transaction: January 1, 2027 July 1, 2026 Establishes Luxury Vehicle Tax I $202 million I January 1, 2026 I GTH-GOV 6 118 • Imposes a luxury tax of 8% on a portion of the retail sale, lease or transfer of a vehicle. Applies to the portion of the selling price or value that exceeds $100,000. • The deduction of $100,000 is increased by 2% per year. This does not apply to motor vehicles that have a gross weight fee rating above 10,000 lbs other than motor homes. Commercial motor vehicles are also exempt. There is no exception for the value of a trade-in vehicle. Establishes a Luxury Aircraft Tax $21 million April 1, 2026 • Imposes a 10% luxury tax on a portion of the retail sale, lease, or transfer of an aircraft. • Applies to the portion of the selling price or value that exceeds $500,000 of a non- commercial aircraft. • There is no exception for the value of a trade-in aircraft. Other Taxes and Fees Increases Tire Disposal Fees $117 million January 1, 2026 • Increases the existing $1 tire replacement fee to $5. • Increase the amount retained by the retailer to 25 cents Establishes a WSDOT Work Zone Violation Fee $138 million July 1, 2026 • Background: WSDOT is beginning implementation of a speed safety camera work zone pilot program that ends in FY 2030, unless extended. Current policy provides a $0 fine for the 1st offense. • First offense fines are increased to $125 until the pilot program concludes. Increases fees for Standard Driver's License and Identicards $74 million October 1, 2025 • Increases the current $9 per year fee for driver's licenses and identicards to $10 per year in FY 2026. • The per -year fee amounts are increased to $1 per year every three years in the future to approximate inflation. Removes Toll Exemption for Transit and Ride Share Vehicles $6 million October 1, 2025 GTH-GOV 119 • Directs the Transportation Commission to remove current toll exemptions for public and private transit buses, vans and rideshare vehicles on bridges. Public and private school buses may be exempted. • Anticipated to primarily apply to the Tacoma Narrows Bridge and the 520 bridge. Washington State Ferries (WSF) Specific Increases Increases Capital Vessel Surcharge $47 million October 1, 2025 • Increases the current 50 cent fee to $1 in October 2025. • Requires an additional 10 cent increase in October 2027 and an additional 10 cent increase in October 2029. Imposes a Credit Card Surcharge on Riders $24 million March 1, 2026 • Imposes a rider surcharge to cover credit card transactions currently paid by Washington State Ferries. Total Revenue Raised over 6 years $3.208 billion GTH-GOV 120 GORTON THOMAS HONEYWELL coVrRNMt ii un a rrorrs City of Port Orchard 2025 End of Session Legislative Report June 18, 2025 Dear City of Port Orchard, It was a pleasure to advocate for the City of Port Orchard throughout the 2025 legislative session. The 2025 session was the first of the two-year legislative biennium, and the Legislature had the primary task of adopting new biennial budgets. This task proved to be more difficult than recent years due to lower than projected revenue growth and increased obligations from program expansions. Additionally, the Governor directed the Legislature to address the double digit billion -dollar budget deficit by first making significant cuts to spending. These cuts primarily impacted the operating budget but placed an additional strain on the development of the capital budget. For these reasons, it was a difficult year to secure new funding. Larger dollar requests faced an even harder path. Although the City did not receive full funding, the final capital budget includes $1 million toward the Port Orchard Downtown Reconstruction project! This would not have been possible without an active and supportive legislative delegation: Senator Deborah Krishnadasan, Representative Michelle Caldier and Representative Adison Richards. All three members of the City's delegation worked collaboratively to represent the City's interests. Now that session is over, legislators will turn their focus to interim work. Due to the long session, this is a short interim and a non -election year for the Legislature. However, there were 8 legislators appointed to their positions following the last election, which means they will be campaigning to retain their seats during the fall's special election. Looking ahead, the 2026 session will be a short 60 -days and the second year of the two-year legislative cycle. The Legislature will focus on creating supplemental budgets, will consider bills that were introduced this year but did not pass, and develop new legislation. The ever-changing political climate requires adaptive and consistent advocacy. I look forward to working with the City throughout the interim months to continue advancing Port Orchard's priorities and preparing for the 2026 legislative session. Thank you, Shelly Helder GTH-GOV 121 Overview of the 2025 Legislative Session The 2025 Legislature convened for a 105 -day session beginning on January 14 and concluded on time on April 27. Legislators had a challenging task of balancing new biennial budgets, which were agreed upon in the final hours of the session. A total of 2,387 pieces of legislation were introduced this session, and the Legislature passed 433 bills into law. As the first year of the legislative biennium, the Legislature established new committee structures, committee chairs, and selected new leadership. In November 2024, Democrats captured nine executive state office positions and flipped two previous Republican seats in the Legislature. The Democrats held the majority in the House of Representatives (59-39) and the Senate (30-19). This means Democrats had a 60 percent majority of each chamber, allowing them to approve bonds and transfers out of the budget stabilization account without support from Republicans. It also allowed Democrats in the House of Representatives to adopt new rules that limit the length of debate on the House floor and limit the ability for staff from the Governor's Office to access the floor. Although the state's political landscape remains relatively the same, the Legislature saw high turnover this year following retirements and lawmakers moving to different elected or appointed positions. As transitions occurred over the weeks leading up to and during the session, 24 new "freshman" legislators were welcomed. Democrats from both Chambers prioritized public schools, affordable housing and health care, a clean environment, and safe communities. Additionally, Governor Bob Ferguson was inaugurated as the 24th Governor of Washington State. Much of the legislative session was marked with tensions between the Governor and the Legislature, with the Governor finding himself more aligned with Republicans and moderate Democrats. Legislative Agenda Items Port Orchard Community Event Center The Port Orchard Community Event Center will feature space for community events and the Kitsap Regional Library. Design, planning, and property acquisition are well underway, though the City will not be ready for construction in the 2025 fiscal year. Although there was no funding request for this project this session, it remains a City priority and something we continue to discuss with the city's legislative delegation. Bay Street Sea Level Rise — Climate Resilience Funding The City has received federal funding for design and partial construction to raise Bay Street, utilities, and adjacent businesses along the City waterfront, to ensure public access in the event of sea level rise. The City requested state funding to address the $3.55 million funding gap to complete the project. Recognizing the lack of resources and high demand on the state's transportation budget, we strategically submitted a request to both the capital and transportation budgets. The state's capital budget writers were keenly aware of the lack of transportation resources and were GTH-GOV 122 resistant to allocate capital budget funds toward transportation projects. For this reason, we renamed this project to be the Port Orchard Downtown Reconstruction Project. This title ensured the project was not immediately eliminated from consideration during capital budget deliberations. Further, since this project is prompted due to climate change and sea level rise, we pursued the Climate Commitment Act revenues that are allocated to both the capital and transportation budget. Senator Krishnadasan submitted the funding request to both the transportation and capital budgets. Rep. Richards submitted the funding request to the House capital budget and Rep. Caldier submitted the funding request to the House transportation budget. The entire delegation was supportive of the project. The Senate proposed transportation budget included this project on the list of projects that would be eligible for funding if the Senate's proposed new revenue was adopted. No funding was allocated to the project in the Senate capital budget. The House capital budget included $1 million for the project but nothing in the House transportation budget. Once budgets were released, we worked with the 26th district legislators to try to increase the appropriation to further bridge the funding gap. Unfortunately, there was no additional funding available in either the transportation or capital budget. The final capital budget that passed the legislature and was signed into law includes $1 million for the Port Orchard Downtown Reconstruction Project. Although this is less than what is needed, it is still on the higher end of awards granted to local community projects. The average size award this year was $604,000. The capital budget was $1.5 billion smaller than it was in 2023, which meant every pot of money had less to distribute. Municipal Water Supply — Foster Pilot Program The City of Port Orchard was chosen by the state for a water resource mitigation pilot project to address municipal water supply challenges after the Foster decision. The City has invested over $1 million in City funds for this pilot project, which has not yet resulted in an Ecology -approved water supply. The City requested the Legislature adopt solutions to provide municipalities a path to sustainable water permitting and usage, as required to accommodate growth under the Growth Management Act. With two new members of the City's legislative delegation and over two dozen new members in the Legislature, the primary task this session was to educate lawmakers on the challenges and urgency of addressing municipal water supply. This priority will be ongoing throughout the interim and into the 2026 session. Sedgwick Roundabouts at SR-16/SR-160 Intersections The City continued to request investment for improvements at the intersection of Sedgwick Road (State Route 160) and State Route 16. The City has funded temporary improvements to these intersections to provide short-term relief; however, long-term improvements are needed. The City proposes two compact roundabouts at the SR -16 and SR -160 interchanges. Prior to current inflation rates, the project was estimated to cost $6 million. GTH-GOV 3 123 This session we submitted funding requests in both the House and Senate for budget writers' consideration. The House and Senate developed contrasting budget proposals. The Senate proposal included significant new revenue and a list of eligible local projects that could be funded if revenue was adopted. The House proposal took a different approach and did not include funding for any local projects despite raising new revenue. The new revenue in the House proposal was invested in finishing existing projects that had cost increases, addressing the state's obligation to improve fish culverts and maintenance and preservation of state highways. The final budget is a blend of the two approaches in that it raises new revenue but does not allocate funding to any new projects, including the Sedgwick Roundabouts. Policy Priorities Police Training Academy and BLEA The City asked the Legislature to fund a study on the feasibility of a regional police training academy on the Kitsap Peninsula and additional Basic Law Enforcement Academy Classes. The state operating budget funds 23 Basic Law Enforcement Funding courses in 2026 and 2027, with two per year in each of the four regional training academies in Arlington, Pasco, Spokane, and Vancouver. It does not include a study to consider expanding regional training facilities in other locations in the state. It also reinstates the requirement that cities pay 25% of the cost of each officer's training. This is a reduced investment from what the Legislature allocated in the 2023-25 budget but is similar to amounts allocated to law enforcement training prior to 2023. The Legislature maintained investment levels for co -responder programs, allocating $4 million to the Association of Washington Cities to provide grants to create alternative response team programs throughout the state. GMA Reform The City requested the Legislature update the Growth Management Act (GMA) so that cities can grow within urban areas. There were dozens of bills introduced making changes to the GMA to promote growth, primarily housing development, in cities. The majority of those proposals amend the GMA to mandate local conditions for development. See the attached document titled 2025 Bills Impacting Cities for a comprehensive list of bills that passed the Legislature. Penalty on Vacant Buildings There were no bills considered that specifically discouraged landowners from allowing buildings to sit vacant. Not directly applicable but tangentially related, Senator Emily Alvarado (D -Seattle) introduced Senate Bill 5755 which requires the Department of Commerce to solicit letters of interest from owners or developers of retail or commercial properties with substantial potential for redevelopment as residential or mixed -use properties providing market rate and affordable housing supply. The bill had a public hearing in the Senate Housing committee but did not advance. Oppose New Housing & Homelessness Mandates GTH-GOV 124 In recent years, the Legislature, on both sides of the aisle, has not honored local decision - making, opting instead to establish statewide mandates. In many cases, the Legislature preempted local land use controls with a desire to improve housing affordability as the stated justification for the preemption. That theme continued for the 2025 Legislative Session with the Legislature approving those proposals. Throughout the session, Democrat lawmakers concentrated on three key pillars: enhancing housing stability for renters (stability), increasing the overall housing supply (supply), and expanding financial subsidies for housing development (subsidy). As a result of this emphasis, the Legislature passed House Bill 1217, regulating rent increases. To address housing supply, the Legislature continued its trend of focusing on local government mandates by approving Senate Bill 5814 mandating a reduction in parking requirements for new construction projects in cities with a population over 30,000, House Bill 1096 and Senate Bill 5633 allowing lot splitting and unit lot subdivision, and House Bill 1491 mandating density around light rail and bus rapid transit. Additionally, the Legislature made significant investments in the state's Housing Trust Fund, allocating substantial resources to subsidize the construction of affordable housing units across Washington. Here are some of the highlights: • $605 million for the Housing Trust Fund. • $90 million for Connecting Housing to Infrastructure (CHIP) grants to local governments. • $14.7 million for recovery residences grants. • $9 million for youth shelters and housing. • $5 million for low-income home rehabilitation grants. DID NOT PASS: Homelessness Regulation Framework: House Bill 1380, sponsored by Rep. Mia Gregerson (D -33rd LD), proposed a framework for regulating the use of public property by individuals experiencing homelessness, requiring such regulations to be "objectively reasonable" in terms of time, place, and manner. The bill would have allowed individuals to challenge unreasonable laws in court and assert an affirmative defense, prohibit monetary damages, and include an emergency clause for immediate enactment. The bill received significant consideration in the House but was never approved by the chamber. Transportation Revenue As part of the final transportation budget and associated revenue, the Legislature imposed a 6 - cent increase to the current 49.4 cent rate. The entire higher rate is then inflated 2 percent each year. Of the increased amounts (both the 6 -cent and inflationary increases), 2.5 percent is distributed to cities and 2.5 percent is distributed to counties. This revenue -sharing with locals is significant since recent packages have not provided local distributions. The legislature also considered but did not advance alternative transportation revenue sources such as Senate Bill 5726/House Bill 1921, sponsored by Sen. Bill Ramos (D -5th LD) and Rep. Jake Fey (D -27th LD), which would have established a road usage charge. After public input on these two proposals, budget proposals chose to advance a gas tax rather than a road usage charge at this time. The road usage charge discussion is likely to continue into future years. GTH-GOV 5 125 As part of one of the state's largest investments in housing infrastructure, the 25-27 capital budget includes $90 million for Connecting Housing to Infrastructure (CHIP) grants. Additionally, the following proviso language was included in the final 2025 transportation budget: $200,000 is for the joint transportation committee to conduct a study and make recommendations on alternative new methods for local governments to fund sidewalk improvements, including but not limited to establishing a sidewalk utility. The study must review revenue options utilized in other states and make evaluations based on fairness, stability, adequacy, regressivity, simplicity, and the effect on economic vitality. A preliminary report is due to the office of the governor and the transportation committees of the legislature by December 15, 2025. The final report is due to the office of the governor and the transportation committees of the legislature by June 30, 2026. Infrastructure Funding The primary source of infrastructure funding for local governments is the Public Works Assistance Account (PWAA), also referred to as the Public Works Trust Fund. The account is funded through a combination of revenue sources, including a statutory allocation of a percentage of certain taxes, repayments from local government loans and interest earned. It also receives funding from bond proceeds when authorized by the legislature. The PWAA is a stable account that is often raided when the state is facing a challenging budget. The 2025 session was no exception. Both the House and Senate budget proposals included sweeps of funds from the PWAA. The Senate proposal took it one step further by diverting the revenue that is otherwise dedicated to the account and using it to pay for fish culverts. Due to the advocacy of local governments around the state, this concept did not advance. In the 2025-27 budget the Legislature transferred $288 million from the PWAA to the state's general fund. All the revenues dedicated to the account remain intact and the legislature provided additional bond authority of $100 million for the 25-27 biennium. Overall, the legislature did not make new investments in infrastructure resources, but they also didn't eliminate existing resources. Bill Tracking List Below is the list of bills we tracked for the City during the 2025 session and the City's position on the bill, if one was taken. This list includes the bills that died and those that passed into law and is organized by the topics listed on the City's Policy Statements document. General Government Bill # Abbrev. Title Short Description Status Sponsor Position Authorizing cost HB 1042 County treasurer costs recovery for county H Finance Wylie (Dead) treasurers. Concerning law HB 1056 Law enf. misconduct enforcement and local H Civil R & Judi Farivar (Dead) corrections agency GTH-GOV 126 (SSB misconduct through 5066) investigations and legal actions. Incentivizing cities and counties to attract and HB 1095 Law enforcement (Dead) funding retain commissioned H Finance Walen law enforcement officers. HB 1100 Creating a local sales Local sales and use tax H Finance Jacobsen (Dead) and use tax. Public facilities Concerning public HB 1109 districts facilities districts. Del to Gov Ryu Support Concerning ESHB accountability and Misdemeanor 1113 access to services for H Rules 3C Farivar dismissal (Dead) individuals charged with a misdemeanor. Improving public safety by implementing evidence -based HB 1138 Criminal interview interview practices H Community (Dead) practices that increase the Safe Peterson reliability of statements collected during criminal investigations. Allowing small 2SHB Small business 1175 businesses/residential establishments in H Rules C Klicker (Dead) (Dead) residential zones. Concerning building 2SHB Building codes code and C 139 L 25 Duerr 1183 development regulation reform. SHB 1212 Concerning the siting (Dead) (ESSB Childcare center siting of childcare centers. H Approps Alvarado 5509) Facilitating law HB 1250 Law enf agency enforcement and (Dead) accreditation corrections agency H Approps Barnard accreditation. HB 1299 (Dead) Minimum parking Concerning minimum (ESSB requirements parking requirements. H Local Govt Peterson 5184) GTH-GOV 127 Modifying the annual HB 1334 Property tax revenue regular property tax H Finance Pollet (Dead) growth revenue growth limit. Allowing objectively SHB 1380 Public property reasonable regulation H Rules R Gregerson Oppose (Dead) regulations of the utilization of public property. Concerning the county criminal justice HB 1428 Criminal justice assistance account H Approps Rule (Dead) assistance and municipal criminal justice assistance account. HB 1435 Creating a law (Dead) Law enf. hiring grants enforcement hiring H Approps Abell (2SSB 5060) grant program. Incentivizing cities and HB 1436 Law enf. counties to increase officers/increase officers/increase employment of H Finance Abell (SB 5285) commissioned law enforcement officers. Modifying the E2SHB Responsible bidder responsible bidder 1549 (SB criteria criteria for public C 63 L 25 Fosse 5476) works projects. SHB 1592 Public defense Concerning public (Dead) services defense services. H Approps Peterson (SB 5404) ESHB Allowing bargaining 1622 Collective over matters related (Dead) bargaining/Al use to the use of artificial H Rules 3C Parshley Oppose (SSB intelligence. 5422) Concerning revenues from the excise tax on HB 1694 City & county REET real estate H Finance Thai (Dead) revenues transactions imposed by cities and counties under RCW 82.46.035. HB 1704 Cannabis Increasing cannabis (Dead) revenue/local gov. revenue distributions H Approps Schmidt to local governments. Creating a sales and HB 1717 Affordable use tax remittance (Dead) housing/sales tax program for H Approps Leavitt (SB 5591) affordable housing. GTH-GOV 128 HB 1772 (Dead) Shared streets Establishing shared H Reed Support (ESB streets. Transportation 5595) Sharing state sales tax HB 1778 State sales tax revenues with local (Dead) revenues governments and not H Approps Dufault increasing the state or local sales tax rate. Increasing the flexibility of existing Local real estate funding sources to SHB 1791 excise tax fund public safety and other facilities by C 159 L 25 Paul modifying the local real estate excise tax. Increasing the ESHB availability of 1923 Passenger -only ferries passenger -only ferries H Rules 3C Nance (Dead) by establishing the mosquito fleet act. Concerning the Project permit definition of project SHB 1935 definition permit and project C 102 L 25 Duerr permit application. Improving public safety funding by providing resources to local governments and ESHB Public safety funding state and local Del to Gov Entenman Support 2015 criminal justice agencies, and authorizing a local option tax. Investing in the state's ESHB K-12 education paramount duty to 2049 (SB funding fund K-12 education Del to Gov Bergquist 5812) and build strong and safe communities. 2SSB Creating a law 5060 Law enforcement enforcement hiring S Rules X Holy Support (Dead) personnel (HB 1435) grant program. Concerning law SSB 5066 enforcement and local S Ways & (Dead) Law enf. misconduct Hansen (HB 1056) corrections agency Means misconduct through GTH-GOV 129 investigations and legal actions. Concerning three of SSB 5085 Closed retirement Washington state's S Rules 3 Robinson (Dead) plans closed retirement plans. Concerning underinsured motorist SB 5107 Local gov. vehicle coverage for local S Loc Gov Boehnke (Dead) insurance government employees. Concerning cost -of - living adjustments for SB 5113 plan 1 retirees of the (Dead) Plan 1 retiree COLAs teachers' retirement S Ways & Boehnke (HB 1292) system and public Means employees' retirement system. ESSB Common interest Concerning common C 119 L 25 Pedersen 5129 communities interest communities. ESSB Minimum parking Concerning minimum 5184 (HB Del to Gov Bateman requirements parking requirements. 1299) Modifying small works SB 5220 City small works roster requirements S Loc Gov Shewmake (Dead) rosters for cities. Incentivizing cities and SB 5285 Law enf. counties to increase (Dead) officers/increase employment of S Loc Gov Holy (HB 1436) commissioned law enforcement officers. SB 5404 (Dead) Public defense Concerning public S Law & Trudeau (SHB services defense services. Justice 1592) Allowing small SB 5421 Small business S Loc Gov Shewmake (Dead) businesses/residential establishments in residential zones. SSB 5422 Collective Allowing bargaining over matters related S Ways & (Dead) (ESHB bargaining/Al use to certain uses of Means Bateman Oppose 1622) artificial intelligence. SB 5453 Concerning public Public defense S Ways & (Dead) defense recruitment Slatter (HB 1956) recruitment and retention. Means SB 5476 Responsible bidder Modifying the S State (Dead) criteria responsible bidder Gov/Trib Hasegawa GTH-GOV 10 130 (E2SHB criteria for public 1549) works projects. Concerning compliance with siting, development permit processes and SB 5497 standards, and (Dead) Housing & shelters requirements for S Housing Alvarado (2SHB permanent supportive 1195) housing, transitional housing, indoor emergency housing, or indoor emergency shelters. Public employee Concerning public SSB 5503 bargaining employee collective Del to Gov Valdez bargaining processes. ESSB 5509 Childcare center siting Concerning the siting Del to Gov Alvarado (SHB of childcare centers. 1212) SB 5547 Cannabis Increasing cannabis S Ways & (Dead) revenue/local gov. revenue distributions Means Wagoner to local governments. Providing a sales and SB 5553 Multifamily use tax incentive for S Ways & Salomon (Dead) housing/tax multifamily affordable Means housing. Streamlining the ESB 5559 UGA subdivision process subdivision process inside urban growth Del to Gov Lovelett areas. SSB 5573 Electric security alarms Concerning electric security alarm S Rules X Chapman (Dead) systems. ESSB Providing state 5576 Affordable housing funding for essential S Rules 3 Lovelett (Dead) funding affordable housing (HB 1763) programs. Concerning affordable housing development in counties not closing Affordable housing the gap between SSB 5587 dev. estimated existing Del to Gov Cleveland housing units within the county and existing housing needs. GTH-GOV 11 131 ESB 5595 Shared streets Establishing shared Del to Gov Alvarado Support (HB 1772) streets. Creating a categorical exemption for multiunit housing SB 5612 Multiunit development within (Dead) housing/SEPA the incorporated areas S Housing Salomon in an urban growth area under the state environmental policy act. Concerning the development of clear E2SSB and objective Residential 5613 standards, conditions, S Rules 3 Salomon development (Dead) and procedures for residential development. SSB 5614 Impact fees Concerning impact S Rules X Salomon (Dead) fees. Concerning project SB 5615 Residential housing permit applications for (Dead) permits residential housing S Housing Salomon units. SB 5633 Subdivision of land Concerning the S Loc Gov Lovelett (Dead) subdivision of land. SB 5650 Cannabis local excise Authorizing a local S Ways & (Dead) tax excise tax on cannabis. Means Wagoner ESSB Local gov. hearing Concerning local 5719 government hearing S Rules 3 Salomon (Dead) examiners examiners. Encouraging construction of ESB 5729 Housing permitting affordable housing by S Rules 3 Gildon (Dead) streamlining the permitting process. Expanding local taxing authority to fund ESB 5775 Public safety/local tax public safety and S Rules 3 Slatter Support (Dead) community protection focused programs and services. SSB 5798 Property tax Concerning property tax reform. S Rules Pedersen SB 5812 Investing in the state's K-12 education S Ways & (ESHB funding paramount duty to Means Wellman 2049) fund K-12 education GTH-GOV 12 132 and build strong and safe communities. GMA Reform Bill # Abbrev. Title Short Description Status Sponsor Position Extending governmental services HB 1097 Gov. services beyond the urban growth area in H Local Low (Dead) beyond UGA Govt specific circumstances. Local Ensuring that local government ESHB government planning complies with the growth C 17 L Duerr 1135 planning management act. 25 Urban growth Expanding urban growth area HB 1164 area boundaries for residential H Local Connors (Dead) boundaries development. Govt Concerning compliance with siting, 2SHB development permit processes and 1195 Housing & standards, and requirements for H Rules (Dead) shelters permanent supportive housing, C Peterson Oppose (SB 5497) transitional housing, indoor emergency housing, or indoor emergency shelters. HB 1235 Ensuring compliance with the housing (Dead) GMA housing H element requirements of the growth Peterson (E2SSB element Housing 5148) management act. Housing & Homelessness Mandates Abbrev. Bill # Short Description Status Sponsor Position Title Residential Providing additional parking flexibility in C 137 L SHB 1061 parking residential neighborhoods. 25 Low E2SHB Increasing housing options through lot Del to Lot splitting Barkis 1096 splitting. Gov Local gov. SHB 1160 design Concerning local government design H Walen (Dead) review. Rules C review Improving housing stability for tenants subject to the residential landlord - tenant act and the manufactured/mobile home landlord- EHB 1217 Residential tenant act by limiting rent and fee increases, requiring notice of rent and Del to Alvarado (SSB 5222) tenants fee increases, limiting fees and deposits, Gov establishing a landlord resource center and associated services, authorizing tenant lease termination, creating parity between lease types, and GTH-GOV 13 133 providing for attorney general enforcement. ADU self- Establishing a self -certification program C 22 L SHB 1353 certification for accessory dwelling unit project 25 Ramel permit applications. HB 1438 Housing Ensuring efficient approval of certain H Local (Dead) permit housing permit applications. Govt Connors Oppose approval 2SHB 1443 Mobile (Dead) dwellingsl Concerning mobile dwellings. Rules R Gregerson Oppose (SSB 5332) E2SSB GMA Ensuring compliance with the housing Del to 5148 (HB housing element requirements of the growth Bateman 1235) element management act. Gov Improving housing stability for tenants subject to the residential landlord - tenant act and the manufactured/mobile home landlord- tenant act by limiting rent and fee SSB 5222 increases, requiring notice of rent and S Ways (Dead) Residential fee increases, limiting fees and deposits, & Trudeau (EHB tenants establishing a landlord resource center Means 1217) and associated services, authorizing tenant lease termination, creating parity between lease types, and providing for attorney general enforcement. SSB 5332 S Ways (Dead) Mobile Concerning mobile dwellings. & Shewmake Oppose (2SHB dwellings 1443) Means ESSB Land use Streamlining and clarifying local Del to permitting governments' land use permitting Salomon 5611 workload workloads. Gov Infrastructure Funding Bill # Abbrev. Title Short Description Status Sponsor Position HB 1387 Prevailing Concerning the prevailing H Labor & (Dead) wage/public wages on public works. Workpl Schmidt (SB 5293) works Establishing new sources of HB 1921 Transportation transportation revenue based H (Dead) (SB 5726) revenue on motor vehicle use of public Transportation Fey roadways. GTH-GOV 14 134 Requiring certain wages in E2SSB Public works public works contracts to be 5061 at least the prevailing wage in S Rules 3 Conway (Dead) wages effect when the work is performed. SB 5293 Prevailing Concerning the prevailing S Labor & (Dead) wage/public King (HB 1387) works wages on public works. Comm Establishing new sources of SB 5726 Transportation transportation revenue based S (Dea(DB revenue on motor vehicle use of public Transportation Ramos 1d921) roadways. SSB 5804 Fish habitat restoration Concerning fish habitat restoration. S Rules 2 Trudeau Oppose Police Training Academy Bill # Abbrev. Title Short Description Status Sponsor Position Increasing local law enforcement officers by authorizing a local sales and use tax credited Local law HB 1896 against the state portion to hire additional H enf. Abell (Dead) officers and increasing the number of basic Finance officers law enforcement courses offered by the criminal justice training commission. GTH-GOV 15 135 Ong City of Port Orchard ORCHARD 216 Prospect Street, Port Orchard, WA 98366 1.. (360) 876-4407 • FAX (360) 895-9029 Agenda Staff Report Discussion Items: Multi Family Tax Exemption (Bond) Estimated Discussion Time: 30 Minutes Meeting Date: July 15, 2025 Prepared By: Nick Bond, AICP, Community Development Director Presenter: Nick Bond, AICP, Community Development Director Summary and Background: In 2024, the City Council requested that a discussion of the multi -family tax exemption (MFTE) program be placed on a future agenda for discussion. This discussion was on hold pending completion of the City's Comprehensive Plan Update and Middle Housing ordinance. Now that those items have been completed, staff have prepared a discussion of the previous MFTE program as well as options for utilizing the program going forward. The State of Washington has authorized cities to adopt Multi -Family Tax Exemption (MFTE) programs since 1995, pursuant to RCW 84.14. These programs are intended to support the development of multifamily housing and, in some cases, affordable housing in urban areas experiencing growth pressures. Port Orchard adopted its MFTE program in 2016 to incentivize the construction of new multifamily housing, including affordable units, by providing a limited property tax exemption on the value of residential improvements for a period of eight or twelve years. Since 2016, the City entered five MFTE agreements supporting the construction of 442 apartment units, with two projects (totaling 97 units) reserving 20% of units as affordable housing in exchange for a 12 -year exemption. Several other multi -family projects have been constructed since 2016 without participating in the MFTE program. Under the repealed framework, there were two types of 8 -year exemptions and a 12 year exemption. The 8 -year exemptions targeted redevelopment and encouraging projects with structured parking. The 12 -year exemption required that 20% of units be rented at 10% below HUD fair market rent for the duration of the MFTE approval. Increasing housing supply has been shown to be effective in combatting rent increases. As many new apartments became available in 2021 and 2022, data shows that vacancy rates climbed above 5% and rents in Port Orchard stopped increasing at the rates seen between 2014 and 2021 when vacancy rates were below 5%. MFTE does not significantly impact the property tax revenues received by the City or junior taxing districts. Instead, the savings that go to developers is shifted to other properties 136 in Port Orchard resulting in very small property tax increases for the duration of the MFTE approval. (See the attached "What is Tax Shift" document produced by Commerce.) At the same time, the city receives numerous one-time revenues such as impact fees, connection charges, permit fees, and a boost in Sales Tax and REET revenue related to the construction and sale of new housing units. In October 2023, the City Council repealed Port Orchard Municipal Code (POMC) Chapter 3.48, eliminating the City's previously adopted MFTE program. This decision followed extended policy review and deliberation, including ongoing discussions at the Land Use Committee and during the City's Housing Action Plan (HAP) development. In June 2023, the City adopted its Housing Action Plan, which included recommendations for reestablishing a revised MFTE program tailored to local housing and affordability goals. The City's 2024 Comprehensive Plan, adopted after the repeal of Chapter 3.48, reaffirms support for MFTE as a policy tool to address housing needs, directing staff to evaluate options for reimplementation. The Land Use Committee revisited the topic in June 2025 and, recognizing the importance of aligning any future program with Council priorities, requested that the full Council be briefed to provide staff with guidance and direction regarding the potential re-establishment of an MFTE program. Relationship to Comprenhensive Plan: In June 2023, the City adopted its Housing Action Plan, which included recommendations for reestablishing a revised MFTE program tailored to local housing and affordability goals. This plan is referenced in the 2024 Comprehensive Plan. The City's 2024 Comprehensive Plan reaffirms support for MFTE as a policy tool to address housing needs, directing staff to evaluate options for reimplementation. Recommendation: Staff recommends that the City Council discuss options for MFTE and provide direction to staff. Alternatives: Suggested alternatives are outlined in the attached presentation. Attachments: MFTE Presentation 071525.pptx Commerce MFTE - FACTSHEET What is Tax Shift - 2023 0126.pdf 137 City Council Work Study July 15, 2025 138 MFTE Types • • 8-YUdr ffLUPUL Ly 1d2S rIAUI1LPUlUii • No strings attached. • City can choose to impose eligibility requirements. 12 -Year Property Tax Exemption • 20% of units must be affordable. • City must adopt minimum density requirements. • City defines affordability with some state parameters. • Extensions now possible. 20 -Year Property Tax Exemption (new) • 20% of units must be affordable for 99 years. • Must be located near transit with 15 -minute service. • City must adopt inclusionary zoning. • All MFTE projects must be in urban center (to be defined by City) 139 MFTE - Basics eveloper doh not pay property tax on v property for residential units for 8, 12, or years. •Developer pays property tax based on pre -development valuation plus value of any non-residential development added to property. •The savings to the developer is not lost revenue to City or junior taxing districts. It is shifted to the rest of the tax base proportionately based on assessed valuation. •The value of the new MFTE buildings is not captured in annual 1% increase to property tax levy. This increase is permanently lost until the value of the building is added to tax rolls. 140 Previous MFTE Affordabl Projects : • Overlook Apartments (The Charleston (shown)) : 39 Units • Sedgwick Apartments (Pottery Creek Phase 2): 192 Units • Salmonberry Apartments: 24 Units • Plisko Apartments: 58 Units Market Rate 8 -Year MFTE Projects: • Sedgwick Multifamily (Pottery Creek Phase 1): 136 Units • The Ramsey (In permitting): 99 Units • Blueberry Apartments: 108 Units Approvals 141 Case Study Overlook Apartments (The Charleston) vs. Peyseno Apartments 142 Overlook vs. Peysno Apartments PeterJ Boissonneau 2025 WEB TAX STATEMENT Po County Treasurer POO Boo 169 Printed:0710112025 Port Orchard, WA98366 Account Number 302402-3-062-2009 First Halt Duo April 30th $0.00 FAC PORT ORCHARD LLC Second Half $1,000.54 2302 N 77TH ST Dee October 31st SEATTLE, WA 96103 Total Due 2025 ...a....o r... tea.. $1,000.54 Past Due Amounts $0.00 Properly Devxipfon: cc. 50n.nsew r,u LandValue: g229,2ao mlo,oaA,si, erflG n Po[irloH CF LOTSCAxe o ociHE cm' of PoaTercHFRo 5HORl arcoaoro uuoEa �u,snvcuuurrauonoasriu=rn.�meare.e,nouc nu uawoucrmr�niyso.rk PUT rq. p6Tr0.s �31m5x-21 Hut5r0 Varue: $8,341,560 Location Address: Multiple addresses relic Personal Properly Value: SO Distribution of Your 2025 Taxes Current Year (2025) Details 0.5% PUD 316.26 Taxable Value $229,200 22% PORT §4335 Tax CodeArea 0810 Levy Rate 8.721692 3.1% REGIONAL LIBRARY 962 y0 Gene'l Property Tax $1,536.05 7.4% COUNTY 5148.46 VoterApproved Rate 23 16% 129% CITY 5257.60 VoterApproved Tax $462.97 22.3% FIRE y4550 Noxious Weed $2.06 232% LOCAL SCHOOL 546200 Total 2025 Charges $2,001.00 20.4% STATE GENERAL $567.50 Past Due Unpaid Amounts 2023 $0.00 $0.00 To view details of each levy change 00 00 2022+ Poor $0.00 $0.00 su Kit—pC CoBounty Treasurer Kitsap CovnTy Treasurer PO Box 169 Port Orchard, WA98366 PAYSENO LANE II LLC 7563 CLOVER VALLEY RD SE PORT ORCHARD, WA 90367 2025 WEB TAX STATEMENT Printed: 07/0112025 Recountrrumner 312402-2-022-2009 First Halt Dun April 301h $0.00 Second Half Due October 31st $63,374.34 Total Due 2025 ... r.�.4,x.nr ..m.aar. $63,374.34 Past Due Amounts $0.00 00045 cescription:ae'axrwrcnam sec eouxourrurcxoaustmxrescoeomuposawortoeunu: ue. Land Value: 5426 500 rr5p5,cx ono ns oloatxao or sv..urascoueFn uuo Iar51W exuov 9 meo, a ury p5awror Etding Value. 514.165840 cation Address, Mulllpk addressesmfle Personal Property Value: SO Distribution of Your 2025 Taxes Current Year (2025) Details 05% PUD 304550 Taxable Value $14,532,340 2.2% PORT 32,03860 Tax CodeArea 0810 Levy Rate 8.721692 3.1% REGIONAL LIBRARY g3 gg7 g0 General Property Tax $97,392.07 7.4% COUNTY 39,409.70 VoterApproved Rate 23.16% 12.9% CITY $16,292.10 VoterApproved Tax $29,354.51 22.3% FIRE $2024520 Noxious Weed $2.10 23.2% LOCAL SCHOOL $29,345.50 Total 2025 Charges $126,748.68 20.4% STATE GENERAL $35,982.90 Past Due Unpaid Amounts To view details of each levy change, go to 12023 50.00 150.00 150.00 I 143 Overlook vs. Payseno Apartments • Overlook Apartments (12 -year MFTE): • Total Units: 39 • Affordable Units: 8 Units with reduced rent • Annual property tax bill: $2,001.08 • Estimated annual tax savings is $84,722. (prorated based on Payseno tax bill per unit) • Estimated 12 -year tax savings to developer is $1,016,665 • Estimated value of rent relief to qualified tenants is $17,280 annually ($2,160 per unit). • Estimated 12 -year tax savings to qualified tenants is $207,360 ($25,920 per unit) • Payseno Apartments (no MFTE): • Total Units: 57 • Annual property tax bill: $126,748.68 144 Is Port Orchard Meeting Its Housing Targets? • Yes, Port Orchard has residents of its 10,500 - person target (2020-2044). • Port Orchard has grown at 4.6-6.59% for the past 3 years. Growth would need to slow to 1.6% over the next 19 years meet target. • Port Orchard has added 1,856 housing between 2020 and 2025. • Port Orchard has been especially good at building housing for households >120%AMI 998 100-120%AMI x.1676 80-100%AMI 507 50-80%AMI 540 30-50% AMI 619�- Totals 0-30% AMI, non-PSH 288 Current Supply: 0-30% AMI, PSH 8,610 Housing Units* New Supply Needed: Emergency Temporary Housing 19 3,704 Housing Units -500 500 1,500 2,500 Baseline Supply (2020) Built 2020-2024 • Remaining New Supply Needed (2024-2044) 145 Has Increasing Housing Supply Stabilized Housing Prices/Rents? 146 City Stabilized Vacancy U Arlington 10.00% 8.00% 6.0095 a 4.00% 2.00% ❑ Auburn ❑ Bainbridge Island AJ ❑ Battle G round fl Bellevue ❑ Bellingham ❑ Black Diamond ❑ Blaine ❑ Bonney Lake ❑ Bothell ❑ Bremerton ❑ Buckley ❑ Burien ❑ Burlington ❑ Camas ❑ Carnation ❑ Centralia ❑ Chehalis ❑ Chelan ❑ Cheney ❑ Chewelah ❑ Cie Elum ❑ College Place ❑ Colville N m t .--i N m t - N m t - N m t - N CV] V - N m a .-i N m a .-i N m a .--i N m a .--i N m V .--i N m a .--i a a a a Cr a a a a a a a a cfa a a 0000000 a a 00000 a a a 0000000000 City(StabilizedVacancy) •O O 4 O O O 4 O O O O O O O O O O O O O O O O 4 O O O 4 O O O O O O O O O O O O O O O O N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N Port Orchard Tohi—,r Prdhlir i 4--, ,- nch- 147 Average Rent city Average Rent fl Pacific ❑ Pasco ❑ Port Angeles Q Port Orchard $2,00O ❑ Port Townsend ❑J Poulsbo ❑ Prosser ❑ Pullman ❑ Puyallup 5:.5C0fl Quincy ❑ Rainier ❑ Raymond C ❑ Redmond ❑ Renton - $1,00O ❑ Richland ❑ Ridgefield ❑ Roy ❑ Royal City 5500 ❑ Ruston City (Average Rent) • Bainbridge Island • Bremerton $O• Gig Harbor cv m cv m T .H iv m v 1 v m 't ,1 N m (NJ m T .H (NJ m 'r .H (NJ m T 1 N m 't ,H N m T .H N m ■ Port Orchard 00000000000000000000000000000000000000000000 P 148 Median House Price 51,400,004 51,200,004 51,000,000 $800,004 $600,000 $400,Oa4 $200,000 $0 N M t rl N m 0 ri N M C N m 0 H N m 0 H N m 0 ri N m 0 ri N M 0 ri N m 0 ri N M 0 m 0 N C 0 0 C C C C C C C C C CrCY C C C C C C C C C C C C C C C C C C C C C Cr C C C C C 0 0 C C C C C C V a UI UI UI UI m UI CO UI n r n r 03 00 00 03 rn rn CO m o 0 0 0 - - - - N N N N - m CO CO t 31 .H .H .H .H .H .H .H .H .H .H .H .H .H . .H .H .H .H .H .H .H . .H N N N N N N N N N N N N N N N N N N N N N a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N - View on Tableau Public City P U Cie Elum ❑ College Place ❑ Colville ❑ Connell ❑ Coulee City ❑ Coupeville ❑ Covington ❑ Dayton ❑ Deer Park ❑ Des Moines ❑ DuPont ❑ Duvall ❑ East Wenatchee ❑ Eatonville ❑ Edgewood ❑ Edmonds ❑ Ellensburg ❑ Enumclaw ❑ Ephrata City(Median House Price) • Bainbridge Island • Bremerton • Gig Harbor • Port Orchard • Poulsbo • Seattle + I C,7. a Share 149 Which building types are IIInot being developed? • Middle Housing (except McCormick Village) • Small Scale <12 units • Mixed Use Shopfront Buildings • 429 Bay Street (waterfront) • Ramsey Apartments (in permitting, has MFTE) • Affordable Ownership Units • Riverstone - Housing Kitsap • Apartments with underground parking • Apartments taller than 3 -stories • Downtown/Redevelopment 150 III Which being building types are developed? • Detached Houses • Does not qualify for MFTE • Garden Apartments • 656 Units with MFTE • 889 Units constructed or under construction without MFTE • 423 Units Permitted without MFTE but not moving forward or on hold. • McCormick Village Mixed Housing Rentals (Detached House, ADU, 4-plex, 8-plex) • Not in MFTE eligible area. • Special overlay district and subarea plan. 151 Pros and Cons of MFTE •Increases housing supply helps to help prevent rent increases. •12 -year exemption provides modest rent relief to tenants. •Helps City achieve goals (development in centers, downtown redevelopment, etc.) •Some projects do not pencil without MFTE (423 units permitted by not moving forward). MFTE could help these projects pencil. •Tax Shift - Tax burden for these units shifted to other property owners in Port Orchard. •High administrative cost for affordable units •Annual reporting •Annual auditing •Annual calculation of utility allowance •Contract administration •Application processing 152 Are Existing Units Worth Affordable MFTE the Tax Shift? HUD Fair Market Rent and Maximum Rents Includinc Utility Allowance 2025 Efficiency/Studio One -Bedroom Two -Bedroom Three -Bedroom Four -Bedroom 10O Below Fair Market Rent 3 1,269.90 $ 1411.20 1.851.30 $ 2.416.50 $ 2.781.00 Maximum Rent Charged After Subtracting Utilty Allowance S 1,058.90 S 1,188.20 S 1,598.30 S 2,132.50 S 2,465.00 Income Limits by Family Size and Unit Type 2025 FamilySize 1 2 3 4 5 6 7 8 40% Median Income Studio/Efficiency $ 34,807.50 $ 39,780.00 $ 44,752.50 $ 49,725.00 $ 53,703.00 $ 57,681.00 $ 61,659.00 $ 65,637.00 65°Io Median Income 1 -Bedroom $ 56,562.19 $ 64,642.50 $ 72,722.81 $ 80,803.13 $ 87,267.38 $ 93,731.63 $ 100,195.88 $ 106,660.13 75% Median Income 2 -Bedroom $ 60,913.13 $ 69,615.00 $ 78,316.88 $ 87,018.75 $ 93,980.25 $ 100,941.75 $ 107,903.25 $ 114,864.75 80% Median Income 3 -Bedroom $ 69,650.00 $ 79,600.00 $ 89,550.00 $ 99,450.00 $ 107,450.00 $ 115,400.00 $ 123,350.00 $ 131,300.00 153 Recommendations MFTE 8 -Year • Mixed -Use Shopfront Buildings jEspecially downtown redevelopment and in other designated centers). • Apartments with underground parking or minimum density requirement (50 units per acre). • Increase property tax per acre after 8 years and reduce stormwater impacts. • Small scale middle housing redevelopment projects (12 or fewer units) • Small scale infill projects don't have the same economies of scale compared to large projects and increase assessed valuation per acre. • Projects where units are for sale (condos, townhomes). • Creates home ownership opportunities for low- and moderate - income households. • Projects taller than 3 -stories. • Buildings 4 -stories and taller are more expensive to build, result in higher valuation/acre. 154 Recommendatio ns for 12 - and 20 -Year MFTE Efficiency/Stu dio FY 2025 HUD Fair Market $ Rent Including Utilities 1,411.00 10% Below Fair Market $ Rent 1,269.90 20% Below Fair Market $ Rent 1,128.80 25% Below Fair Market $ Rent 1,058.25 Total Utility Allowance 211.00 • Staffing Implications - Housing Coordinator • Auditing and Reporting • Improve benefits to tenants • Increase savings from 10% below market rent to 20% or 25% below market rent. One -Bedroom 1,568.00 1,411.20 1,254.40 1,176.00 223.00 Two -Bedroom Three -Bedroom Four -Bedroom $ $ $ 2,057.00 2,685.00 3,090.00 $ $ $ 1,851.30 2,416.50 2,781.00 $ $ $ 1,645.60 2,148.00 2,472.00 $ $ $ 1,542.75 2,013.75 2,317.50 $ $ $ 253.00 284.00 316.00 155 •Easy to administer compared to 12 -year program. •Will help city achieve goals for downtown and other targeted areas. •Can increase city's property tax revenue by delivering high value projects compared to typical non-MFTE •Additional staffing resources supported by application fee. •Greater rent savings for tenants (at least 20% below HUD fair market rent). •A more clearly defined rental allowance framework. •Could require more stringent affordability requirements, 20% below HUD fair market rent. •Could require more units in the complex be made affordable, minimum of 20% of units. Staff Recommendation 156 HI Questions 157 GROWTH MANAGEMENT SERVICES SHORT GUIDE FOR COUNCILS AND STAKEHOLDERS What is Tax Shift? MFTE (Multifamily Housing Tax Exemption) programs can be an effective way of incentivizing market -rate and affordable housing options. To understand how it works stakeholders often ask, "Where does the money come from to pay for the exemption?" This question can be hard to answer because of how property taxes work in Washington State. When making decisions about an MFTE program, it is important to consider possible tax and revenue impacts. Generally, these impacts can be distributed in two ways: o Foregone tax revenues that are not collected, which reduce total revenues for a city and other taxing districts (e.g., the port, county, school district, state, etc.). O A shift of tax obligations to all other payers of property taxes in these districts, where there is an increase in taxes collected to offset the losses from the exemption. How these costs are distributed depends on two things: O Levy limits provided under RCW 84.55.010 mean that property tax levies are restricted to no more than a 1% increase in revenue from the assessed value from the previous year. This restricts how much cities and other districts can raise property taxes on these properties to make up this difference and can mean that deferred taxes will be foregone revenue for these jurisdictions. O However, projects that receive MFTEs could still increase that total levy. Under WAC 458-12-342, county assessors must assess building value during construction and add it to these levy limits, which may not be removed from the total levy amount before the final certificate for exemption is received and the exemption begins. The amount of tax shift versus deferred revenue depends in part on the practices of the county assessor. However, there are currently no requirements for assessors to consider MFTE in these levy limits. If cities do not consider these effects, an MFTE can shift most or even all of the exempted tax obligations to other properties. Washington State Department of !j Commerce Tax Shift Considerations If an MFTE is supported through tax shifts, there are some important policy considerations: O Communities may be less likely to support incentives for market -rate development that use property tax increases, especially for high -end projects that do not seem to provide public benefits. O Shifted tax obligations are not usually calculated, meaning that the full impacts of this program may not be transparent, especially to affected property owners. O Depending on the popularity of the program, the total increases in property taxes could be equivalent in magnitude to affordable housing levies that would require voter approval and have tighter requirements (ROW 84.55.150). Foregone Revenue Considerations On the other hand, if a city foregoes tax revenue to support MFTEs, there may be other policy concerns: O Communities will have reduced long-term tax revenues from the MFTE program, especially if they will be foregoing most or all of the exempted tax revenue. This can have a significant fiscal impact on local budgets. O Other taxing districts may be impacted by tax exemptions but are not in a position under the statute to object to a community's MFTE program This can have some significant effects on special districts that cannot make up for this lost revenue in other ways. O The total budget impacts may be more unpredictable, especially without limitations on the number of exemptions issued by the community. However, placing limits on the number and value of exemptions could affect the ability of the MFTE program to meet housing goals. Under typical situations, total property tax levies will increase by 1 % over the previous year (plus new development): New construction is added to the total tax base by the assessor... Total Tax Levy Amount El Encreaseiyea r 2 a ...increasing the value o f of the tax base. a as°oB oo°o°uoo ` g°og°og°ooa Year If new construction value is added to the levy limit but exempted from property taxes through the MFTE, property tax obligations will be shifted to the rest of the tax base: Tax exempted properties add to the property tax levy limit... 2 ...but these tax obligations will be covered by non-exempt properties. IoIoIIoI Year However, if exempted value is taken out of the levy limit in some way, the tax levy amount will decrease. This will reduce tax revenue, but note that this is not usually done by assessors in practice. Tax exempted properties that do not contribute to the levy lid... X Q ... would not shift tax obligations o but will result in foregone revenue. Q o 0 0 0 0 0 0 Year 159 Ong City of Port Orchard ORCHARD 216 Prospect Street, Port Orchard, WA 98366 1.. (360) 876-4407 • FAX (360) 895-9029 Agenda Staff Report Discussion Items: Downtown Revitalization Grant Program (Mayor/Archer) Estimated Discussion Time: 10 minutes Meeting Date: July 15, 2025 Prepared By: Charli Archer, City Attorney Presenter: Charli Archer, City Attorney Summary and Background: The City Council directed the Mayor to investigate the operational and legal issues regarding establishing a potential grant program to provide funds to local businesses for aesthetic and other building improvements as part of the downtown revitalization efforts. The City Attorney, Mayor, and Finance Department reviewed similar programs offered by other agencies and provided a summarizing memoranda that describes these programs, as well as the legal parameters surrounding the adoption and implementation of such a grant program. Generally, Washington cities generally have broad authority to promote economic development and community revitalization through various loan and grant programs funded by sources such as state or federal grants, or through partnerships with local nonprofit groups or, in some instances, with private entities. Relationship to Comprenhensive Plan: Chapter 6 - Economic Development Recommendation: The City Council requested a discussion item regarding the potential establishment of a grant program to provide funds to local businesses for aesthetic and other building improvements as part of the downtown revitalization efforts. Alternatives: Do not discuss and provide alternative direction. Attachments: Memo re Downtown Revitalization Grant Program.pdf 160 INSLEE ®BEST TO: City of Port Orchard City Council CC: Mayor Putaansuu FROM: City Attorney's Office DATE: July 10, 2025 RE: Legal Issues For Potential Downtown Revitalization Grant Program for Local Businesses I. Question Posed and Short Answer The City Council identified the revitalization of the City's downtown as a policy priority. In furtherance of that goal, the Council has requested a legal analysis regarding the following issue: Can the City establish a grant program to provide funds to local businesses for aesthetic and other building improvements as part of the downtown revitalization efforts? Yes. Washington cities generally have broad authority to promote economic development and community revitalization through various loan and grant programs funded by sources such as state or federal grants, or through partnerships with local nonprofit groups or, in some instances, with private entities. However, the expenditure of public funds is subject to evaluation against the prohibition on the gift of public funds set forth in the Washington state Constitution, which requires certain safeguards are utilized for these types of grant programs to prevent municipalities from `gifting' their money for the sole benefit of private businesses. II. Authority and Analysis A. Statutory Authority for Local Grant Programs for Businesses Multiple provisions in Washington law grant cities and code cities broad authority to support local welfare by establishing funding programs. This includes RCW 35.21.010 and 35A.11.020, which grant and vest authority to support funding improvements in cities and code cities alike, RCW 35.21.703, which promotes engagement in economic development programs, RCW 35.21.278, which permits contracts with community service organizations for public improvements, and Chapters 39.89 and 39.104, which authorize municipalities to finance community and local revitalization programs. Thus, there is a legal foundation in Washington law that supports the implementation of municipal grant programs. 11076748.1 -366922- 0001 Inslee Best Doezie & Ryder P.S. Main: 425.455.1234 Fax: 425.635.7720 insleebest.com 161 Page 2 of 3 B. Navigating the Prohibition on the Gift of Public Funds Although there is a mutual benefit derived from a healthy relationship between a local government and the for-profit businesses operating within its jurisdiction, local grant programs that provide local funds to assist such businesses implicate Article 8, Section 7 of the Washington State Constitution, commonly known as the Public Gift of Funds doctrine. This doctrine prohibits local governments from gifting public funds to private businesses except in "necessary support of the poor and infirm." Additionally, funding is allowed when the expenditure accomplishes a fundamental government purpose or is supported by adequate legal value that the city receives in exchange. While courts will recognize some activities as fundamental government purposes (including police community caretaking functions), giving monetary assistance to private, for- profit businesses has never been classified as such an activity. The legal question at issue is whether "revitalizing downtown businesses" or "enhanced business goodwill" are definitive enough to show legal consideration. Court cases have established that some local government payments to private entities are not unlawful but, since private businesses generally do not have a legal claim for certain disruptive government activities or for alleged violations of legal duties owed to the entire community, payments to businesses to resolve complaints may be legally invalid gifts.' Despite this prohibition in the state Constitution, a longstanding opinion from the Washington Attorney General creates room for federal funds to be distributed by a local municipality to private entities. The opinion concludes that the state constitution's gifting prohibition did not apply to a city's lawful use of a federal grant of funds to the city, reasoning that the gifting prohibition in Article 7 only forbids a local government from improperly giving its own money and that local governments act "only as a conduit" when receiving and disbursing federal grant funds.2 As a result, many successful downtown facade improvement programs, based on a mix of grant and loan programs, have been implemented across the state, using HUD Community Development Block Grants (CDBG) and American Rescue Plan Act (ARPA) funds.3 C. Community Grant and Loan Programs in Other Jurisdictions 1 See, Eugster v. City of Spokane, 139 Wn. App. 21, 156 P.3d 912 (2007) (upholding a settlement between the City and a developer, finding the settlement was not a gift of public funds); Warburton v. Tacoma School Dist. No. 10, (1960) (City's settlement of claim against school district was a valid compromise but the Court left the question of whether the settlement was a gift of public funds unanswered while the dissent supported reversal under the gift of funds doctrine). 2 AGO 1970, No. 24 (Nov. 5, 1970). 3 ARPA funds were made available to state and local governments in response to the COVID-19 pandemic. These funds were required to be obligated by December 31, 2024, with requirements to expend those obligations by December 31, 2026. 162 Page 3 of 3 A number of Washington cities and counties have implemented downtown revitalization programs aimed at providing funding to local businesses to improve building facades, repair damage, and otherwise assist with improving the overall look of local businesses. The programs are a mix of grant and loan programs and are implemented by the municipality or through partnerships with local organizations. • Port Angeles Facade and Sign Improvement Program: Established in 2009, this program uses CDBG funds to provide matching funds to business and property owners for renovations, enhancements, and building improvements along the commercial corridors in the City. Applicants can request a 50% match of project costs from the City, with a maximum of $10,000 for facade improvements and/or $1,000 for signage improvements. • Auburn Facade Improvement Grant Program: Since 2015, the Auburn City Council has allocated $100,000 per year to be awarded to owners of buildings and/or businesses in the downtown Auburn business improvement area • Richland Commercial Facade Improvement Program. Provides local businesses up to $20,000 matching reimbursement to fund exterior building improvements. • Yakima Facade Improvement Program: Administered by the Downtown Association of Yakima since 2015. Grant is a 50/50 matching grand with funds disbursed upon completion of the project. • Centralia Facade Improvement Grant Program: Administered by the Centralia Downtown Association, offers 50% match of improvement costs up to $5,000 • Washington Main Street Program: State assistance with communities that are part of the Program; available to communities who have an independent 501(c)(3) or (c)(6) nonprofit organization dedicated solely to downtown revitalization. The Port Orchard Bay Street Association (POBSA) is a 501(c)(6) that may qualify for this program. Additional Small Business Funding ptions: In addition to the programs above, which primarily deal with structural and facade improvements, the Department of Commerce provides multiple grants and loan programs for small businesses to encourage growth and to support ongoing operations. These programs include the Small Business Flex Fund and the Owner -Occupied Commercial Real -Estate Loan Program (CRE). In conclusion, while the direct gifting to private businesses from the City's general fund is likely to face a legal challenge, funds made available to the City from federal grant programs, or through participation in partnerships such as the Main Street Program (partnering with POBSA) would allow the City to distribute funds through a local grant program for building improvements and facade updates in the furtherance of revitalizing downtown Port Orchard. 163