All Roll Calls
Yes: 145 • No: 96
WashingtonHB 14912025-2026 Regular SessionHouseWALLET
Promoting transit-oriented housing development.
Sponsored By: Julia Reed (Democratic)
Became Law
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Bill Overview
Analyzed Economic Effects
12 provisions identified: 6 benefits, 0 costs, 6 mixed.
20-year property tax break near transit
New or rehabbed apartments located fully or partly in a station area can get a limited 20-year property tax exemption. To qualify, the homes must meet the law’s affordability rules and any required housing density. The owner must record a covenant or deed that keeps the affordable homes for at least 50 years. Cities or counties approve these exemptions for eligible station-area properties.
Law depends on 2025 funding
This law is canceled if the omnibus appropriations act does not provide funding for it, by name, by June 30, 2025. If funding is not provided by that date, the act is null and void.
Fee breaks for housing and childcare
Projects in a station area that claim the multifamily property tax exemption get a 50% cut in certain impact fees. Cities can reduce impact fees by up to 80% or fully waive them for low‑income housing and early learning facilities if a covenant is recorded. A childcare site gets a full waiver if at least 25% of users are state‑subsidized; if it falls below 25% in a year, the owner pays 20% of the fee within 90 days. Early learning facilities cannot be charged higher impact fees than similar retail or office uses. Smaller homes must be charged lower fees based on size, bedrooms, or trips. Buildings by a regional transit authority and emergency or domestic violence shelters are not charged these impact fees.
Affordable set-asides near stations
Station-area buildings must keep affordable units for at least 50 years. They must do one of these: 10% affordable units; or 10% workforce units if at least 10% of all units are 3+ bedrooms; or 20% workforce units. A building is exempt if it already had density at or above the new level before Jan 1, 2025, if it is under stricter city rules adopted before Dec 31, 2025, or if the city has a mandatory affordable-housing program under state law. Cities must list which density and affordability rules apply to exempt parcels in their plan or code.
Bigger, denser housing near transit
Cities must allow more building near transit. Minimum average FAR is 3.5 in rail station areas and 2.5 in bus station areas. A city may exempt up to 25% of bus areas if the rest average at least 3.0 FAR. Cities cannot ban multifamily housing in station areas or set FAR or units-per-acre caps below these levels. Cities may vary FAR by block as long as the station-area average meets the rule. Buildings with all units affordable/workforce for 50 years, or permanent supportive housing, get a +1.5 FAR bonus. Floor area for three-bedroom units does not count toward FAR; a city may require those units to be affordable to use this break.
Faster permits for infill housing
Many infill and middle‑housing projects in urban growth areas are now exempt from major environmental review if they meet listed criteria. This lowers red tape and speeds approvals for homes built in planned urban areas. The exemptions follow the rules in the updated state environmental law.
State help to build near transit
The state can fund city grants, when appropriated, to pay for water, sewer, stormwater, transportation, parks, planning, and staff to support station‑area housing. The state may also pick up to three large park‑and‑ride sites in a very large county to pilot transit‑oriented and affordable housing. Pilot sites must meet location and size rules. The state can replace highway covenants with ones that require affordable housing for these pilot sites.
No required parking near stations
Cities cannot require off-street parking for new homes or mixed-use buildings in station areas. ADA spaces and short-term delivery spots are still allowed. If a project chooses to add extra parking, a city may require some spaces go to affordable units and may fold unbundled parking fees into the rent for those units. A city can get a certified safety-based exception, and areas within one mile of very large airports can keep parking rules.
Deadlines and state backup rules
Cities must align station‑area rules on a set schedule. Some must comply by the earlier of Dec 31, 2029 or their first progress report after Dec 31, 2024; others must comply within six months after their first plan update due after Dec 31, 2024. By those deadlines, cities must remove conflicting local rules. The state publishes a model ordinance by June 30, 2027; if a city misses deadlines, the model preempts local rules until the city complies. The state can approve comparable local plans adopted by June 30, 2026, with limited appeals. Cities need state approval to change station‑area designations and can seek a five‑year extension in high‑displacement areas with an anti‑displacement plan.
No extra environmental review for no parking
For project permits inside station areas, agencies cannot use the lack of on-site parking to trigger a major environmental review. This rule applies only in station areas defined in state law. It shortens permitting for housing and other station-area projects that follow the parking ban.
Credits and fairer impact fee rules
Local rules must credit land or system improvements a developer provides against impact fees when those items are in the capital plan and required for approval. Cities may charge fees to recover costs of earlier system improvements that serve new growth, but not to fix existing deficiencies. Officials must allow case‑by‑case fee adjustments for unusual situations and consider developer studies when setting a project’s fee. Jurisdictions must define reasonable service areas, update their codes on the set schedule, and use clarified definitions for public facilities and system improvements.
Rules for station-area tax breaks
Cities with station areas must adopt clear standards for handling property tax exemption applications. The rules must set application steps, income and rent limits, demolition and site use, and building requirements. Sections 12–19 take effect for property taxes collected in 2026 and later. The auditing and reporting rules for this tax program end on January 1, 2058 unless renewed.
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Sponsors & Cosponsors
Sponsor
Julia Reed
Democratic • House
Cosponsors
Adison Richards
Democratic • House
Alex Ramel
Democratic • House
Beth Doglio
Democratic • House
Cindy Ryu
Democratic • House
Davina Duerr
Democratic • House
Edwin Obras
Democratic • House
Emily Alvarado
Democratic • House
Gerry Pollet
Democratic • House
Greg Nance
Democratic • House
Joe Fitzgibbon
Democratic • House
Julio Cortes
Democratic • House
Lauren Davis
Democratic • House
Lisa Parshley
Democratic • House
Liz Berry
Democratic • House
Mary Fosse
Democratic • House
Natasha Hill
Democratic • House
Nicole Macri
Democratic • House
Sharlett Mena
Democratic • House
Shaun Scott
Democratic • House
Shelley Kloba
Democratic • House
Strom Peterson
Democratic • House
Tarra Simmons
Democratic • House
Timm Ormsby
Democratic • House
Roll Call Votes
House vote • 4/22/2025
Final Passage as Amended by the Senate
Yes: 57 • No: 39 • Other: 2
Senate vote • 4/15/2025
3rd Reading & Final Passage as Amended by the Senate
Yes: 30 • No: 18 • Other: 1
House vote • 3/5/2025
3rd Reading & Final Passage
Yes: 58 • No: 39 • Other: 1
Actions Timeline
Effective date 7/27/2025.
5/13/2025HouseChapter 267, 2025 Laws.
5/13/2025HouseGovernor signed.
5/13/2025legislatureDelivered to Governor.
4/25/2025legislaturePresident signed.
4/24/2025legislatureSpeaker signed.
4/23/2025legislaturePassed final passage; yeas, 57; nays, 39; absent, 0; excused, 2.
4/22/2025HouseHouse concurred in Senate amendments.
4/22/2025HouseThird reading, passed; yeas, 30; nays, 18; absent, 0; excused, 1.
4/15/2025HouseRules suspended. Placed on Third Reading.
4/15/2025HouseFloor amendment(s) adopted.
4/15/2025HouseCommittee amendment not adopted.
4/15/2025HousePlaced on second reading by Rules Committee.
4/11/2025HousePassed to Rules Committee for second reading.
4/8/2025HouseMinority; do not pass.
4/7/2025HouseWM - Majority; do pass with amendment(s).
4/7/2025HouseReferred to Ways & Means.
3/27/2025HouseAnd refer to Ways & Means.
3/26/2025HouseMinority; without recommendation.
3/26/2025HouseHSG - Majority; do pass with amendment(s).
3/26/2025HouseFirst reading, referred to Housing.
3/7/2025HouseThird reading, passed; yeas, 58; nays, 39; absent, 0; excused, 1.
3/5/2025HouseRules suspended. Placed on Third Reading.
3/5/2025House3rd substitute bill substituted.
3/5/2025HouseRules Committee relieved of further consideration. Placed on second reading.
3/4/2025House
Bill Text
Session Law
5/16/2025
Bill as Passed Legislature
4/30/2025
Third Substitute
3/3/2025
Second Substitute
2/27/2025
Substitute Bill
2/17/2025
Original Bill
1/21/2025
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