SB 5662, sponsored by Marcus Riccelli (D–Spokane), makes a technical adjustment to requirements for waivers of municipal utility connection charges.
Cities and towns may waive connection charges for property owners providing emergency shelter, transitional housing, permanent supportive housing, or affordable housing. Currently, the city utility must fund the waiver using general funds or grant dollars, to ensure that utilities would not need to recoup the loss in revenues from the waiver by adjusting customer rates, thereby saving the same customers that are intended to benefit from the waived connection costs from experiencing increased utility rates.
SB 5662 changes the requirement for the city utility to use general funds and grant dollars for this purpose if the developer records a covenant that prohibits using the property for purposes other than those stated above.
The covenant must cover price restrictions and household income limits, and stipulate that, if the property is converted to a use other than emergency shelter, transitional housing, permanent supportive housing, or affordable housing, the property owner must pay the applicable connection charges in effect at the time of conversion.
Please contact AWC staff with your city’s feedback on the bill regarding potential impacts, benefits and challenges.
Date to remember
SB 5662 is scheduled for public hearing in the Senate Local Government Committee on Monday, February 17, at 1:30 pm.