HB 2734 imposes an excise tax on sugar-sweetened beverages (like soda and energy drinks) to fund nutrition assistance programs. The tax revenue would directly support the Supplemental Nutrition Assistance Program (SNAP), food assistance programs, and fruit/vegetable incentive initiatives for low-income residents. The bill specifically prevents state-level waivers that could reduce SNAP funding, ensuring dedicated revenue for food security. It aims to reduce consumption of sugary drinks while addressing disproportionate food insecurity affecting communities of color and low-income households in Washington.
SB 5989 changes how Washington State distributes revenue from aircraft fuel taxes. Starting July 2026, 0.5% of this tax (increasing to 1% after 2027) will fund the aeronautics account for aviation projects, while the remaining 6.5% minus that amount goes to the state general fund. The bill requires the Department of Transportation's aviation division to track and annually report on airport projects funded through this account, including state grants, federal matching funds, and local contributions. These reports must detail each project's description, funding sources, and outcomes for the legislature. The law takes effect July 1, 2026, and mandates ongoing transparency about how these funds support airport infrastructure.
HB 2528 standardizes how cities and counties under Washington’s Growth Management Act can impose a 0.25% real estate sales tax to fund capital projects. It requires tax revenue to be used exclusively for specific infrastructure like roads, parks, airports, and affordable housing projects, with limits on how much can fund homelessness housing (capped at 25% of funds or $100,000, whichever is greater). Cities must identify these projects in their budget and may need voter approval for new taxes, while ensuring funds align with comprehensive planning requirements. The bill updates existing law to create uniform rules across jurisdictions, replacing inconsistent local approaches.
HB 2621 expands Washington's senior property tax relief program to cover more residents. It increases income thresholds for full exemption (from $50,000 to $70,000 for moderate income, and $60,000 to $80,000 for lowest income) and raises the property value cap for full exemption (to $500,000). Eligibility includes residents 61+ or disabled retirees, veterans with 40%+ disability rating, and surviving spouses 57+. The bill also streamlines how exemptions transfer when moving homes and requires clearer reporting on how property tax revenue is used. This directly affects seniors and disabled homeowners with limited income who own their primary residence.
HB 2451 modifies Washington State's tax increment financing (TIF) rules to help local governments fund public improvements. It allows cities, counties, and other local jurisdictions to use increased property tax revenue from designated "increment areas" (geographic zones where property values rise after designation) to pay for eligible projects like roads, water systems, affordable housing, and park facilities. The bill sets limits: an increment area cannot exceed $200 million in assessed value (adjusted annually by the consumer price index) or 20% of a jurisdiction's total assessed value, whichever is smaller. It clarifies which costs qualify, including infrastructure, affordable housing development, and administrative expenses directly tied to TIF implementation. This bill directly affects local governments seeking to finance public projects through targeted tax revenue growth within specific zones.
HB 2270 allows small Washington cities (population under 5,000) to use up to 15% of their prior year's lodging tax revenue for infrastructure, secondary roads, recreational facilities, and tourist law enforcement - previously restricted to tourism promotion or facilities. Cities must hold public hearings, publish notices in local media, and seek community input before shifting funds. The bill amends existing law to create this flexibility while maintaining tourism funding as the primary requirement for lodging tax revenues.
SB 6294 allows Washington counties and cities to impose new real estate excise taxes (up to 0.25% for general capital projects, and up to 0.5% specifically for affordable housing) to fund local infrastructure and housing. Local governments must use the tax revenue exclusively for qualifying projects like roads, parks, airports, and affordable housing developments, with specific requirements for documenting housing funds and prioritizing homelessness-related facilities. The bill creates a dedicated affordable housing account for competitive grants to nonprofits and public housing programs, while ensuring funds for existing pre-2019 homeless housing projects remain protected. It applies directly to local governments seeking new revenue streams and to housing providers receiving grants under the new system.
HB 2628 requires the state budget outlook work group to update Washington's official budget outlook quarterly to reflect the most recent revenue forecasts, in addition to annual updates in January (based on the governor's proposed budget) and November (to account for fiscal year adjustments). The bill mandates that these updates include detailed projections of state revenues and expenditures, key budget drivers, and clear explanations of the assumptions used. It directly affects the budget work group and all state agencies responsible for providing budget data. This ensures the legislature and governor have current, accurate budget information for decision-making.
SB 6093 imposes a tax on large companies' payroll expenses above a threshold (based on the additional Medicare tax threshold) to create the Well Washington Fund. Starting July 1, 2027, 51% of the tax revenue will fund healthcare (including Medicaid), higher education, food assistance programs, and housing initiatives. The bill directly affects large Washington-based companies with significant payroll, while supporting residents relying on these public services. The fund will help offset state budget shortfalls caused by federal funding cuts, with revenues specifically designated for these programs.
HB 2592 directs that taxes collected on aircraft fuel must be deposited directly into the state's aeronautics account, rather than other designated funds. This bill specifically amends Washington’s tax code (RCW 82.21.030) to redirect proceeds from the aircraft fuel tax - defined under RCW 82.42.010 - to the aeronautics account, as established in RCW 82.42.090. The policy change affects entities purchasing or selling aircraft fuel within Washington, ensuring these tax revenues fund aviation-related programs. It does not alter the tax rate or create new taxes, only specifies where existing aircraft fuel tax revenue is allocated. This is a technical adjustment to existing tax code, not a new funding mechanism.
