by
<a href="mailto:carls@awcnet.org">Carl Schroeder</a>, <a href="mailto:shannonm@awcnet.org">Shannon McClelland</a> | Jan 28, 2019
<strong><a target="_blank" href="https://app.leg.wa.gov/billsummary?BillNumber=1168&Initiative=false&Year=2019">HB 1168</a></strong>, sponsored by Rep. Mari Leavitt (D–University Place), is the companion to <strong><a target="_blank" href="https://app.leg.wa.gov/billsummary?BillNumber=5025&Year=2019&Initiative=false">SB 5025</a></strong>.
HB 1168, sponsored by Rep. Mari Leavitt (D–University Place), is the companion to SB 5025. These bills would exempt materials and services associated with “self-help housing” from sales tax, and the sale of the home from REET. “Self-help housing” is most commonly understood as the Habitat for Humanity model, where a low-income home buyer participates in the construction of their home with a nonprofit agency.
An official fiscal note has not been produced yet, but the advocates advise us that they expect a $400-$500k annual hit to local tax revenues as a result of these exemptions being provided to the roughly 150 homes constructed under this model in a normal year.
AWC would appreciate feedback from our cities on this proposal. Please contact Shannon or Carl and share your thoughts.
Dates to remember
HB 1168 is scheduled for a hearing in the House Finance Committee at 1:30 pm on Thursday, January 31.