Building on temporary authority granted in 2017, SB 5195 streamlines and makes permanent the authority for cities to use their Real Estate Excise Tax (REET) II revenues for the “planning, acquisition, construction, reconstruction, repair, replacement, rehabilitation, or improvement of facilities for those experiencing homelessness and affordable housing projects.” SB 5195 is sponsored by Sen. Patty Kuderer (D–Clyde Hill).

The current authority for this financing tool is set to expire at the end of 2019. That authority includes more stringent restrictions that require cities to certify that they have met all other unmet capital needs before using these funds for housing and homelessness purposes.

We would like your feedback as to whether calling housing an eligible “capital project” would trigger a new requirement to plan for housing under our capital facilities planning process. Please contact Carl or Shannon with input.

Dates to remember

AWC and individual cities will be supporting this proposal in the Senate Housing Stability & Affordability Committee on Monday, January 21 at 1:30 pm.