AWC priority companion bills diverge in committee; but both are still alive and on the move. Unfortunately, a proposal we oppose is also still active.

Both HB 2620 and SB 6411 would still expand the Multifamily Tax Exemption (MFTE) program in two ways:

• To include all cities and towns in the state; and
• To authorize, as a local option, an extended tax abatement to continue to preserve affordable units or to create new affordability set-asides within buildings that have previously benefited from the program.

An amended version of SB 6411 passed out of committee and makes the following changes:

• Adds city area median income to the definition of low income and moderate-income household to determine affordability for the program.
• Requires projects that use the 12-year exemption to provide low- and moderate-income households of a variety of sizes proportional to the property as a whole.
• Clarifies the process for county assessors to record the value of qualifying construction projects.
• Adds notification requirements for occupants of affordable housing units before the exemption expires.
• Directs cities and counties to conduct an analysis on the benefit to the public of the exemption.
• Requires jurisdictions and developers to provide at least one form of tenant protection.
• Directs the Department of Commerce to work with stakeholders to review and consider revising required reporting requirements.

The version we are most concerned about, HB 2746, has significant amendments proposed in committee. The bill was scheduled for committee vote last Friday, but no action was taken.

In order to stay alive, each bill must pass out of its fiscal committee by Tuesday, February 11.

Dates to remember

SB 6411 is scheduled for a public hearing at 10 am on Monday, February 10 in the Senate Ways & Means Committee and for a committee vote at 10 am on Tuesday.

Both HB 2620 and HB 2746 are scheduled for a committee vote at 8 am on Monday, February 10 in the House Finance Committee.