SB 5621, sponsored by Sen. Mike Padden (R–Spokane Valley), would prohibit cities from imposing any tax or excise on the revenues of county-owned sewage and water facilities. The bill would allow cities to impose fees on counties to mitigate impacts directly attributable to the sewage facility and water facility if they are reasonably necessary and use of the revenues is limited to that mitigation.

The bill was filed in response to a dispute between a city and county and includes an alternative resolution process if the city and county do not come to agreement on mitigation.

Given the potential impact to cities’ taxing authority, AWC is carefully reviewing this proposal and would encourage cities to do the same and provide us with feedback.

Dates to remember

SB 5621 is scheduled for hearing in the Senate Committee on Housing & Local Government on Wednesday, January 12 at 10:30 am.