All Roll Calls
Yes: 130 • No: 111
WashingtonHB 24422025-2026 Regular SessionHouseWALLET
Providing local governments tax resources and fund flexibility.
Sponsored By: April Berg (Democratic)
Became Law
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Bill Overview
Analyzed Economic Effects
12 provisions identified: 2 benefits, 1 costs, 9 mixed.
Housing tax helps low income renters
Local housing tax money can buy, fix, or build affordable or supportive housing. It can also run and maintain those homes and give rental help to tenants. At least 60% of this money must go to affordable housing and related facilities and operations. Housing and services funded this way are for households at or below 60% of area median income, or up to 80% if the homes are for owner‑occupants. Local administrative costs are capped at 10% each year.
Clinic levy funds only for clinics
Counties that use the clinic levy must spend the money only to run, maintain, or build public health clinics. A public health clinic can be a fixed site or a mobile clinic run by a public agency. Services include primary care, dental, reproductive health, and disease control. They also include substance use treatment, maternal and child health, behavioral health, and help with health plan enrollment and referrals.
Voter-approved property tax hikes last 10 years
The law lets local districts ask voters to raise property tax levies for up to 10 years, up from 6. The ballot must show the first-year dollar rate and the limit factor or index for later years. Multi-year votes must be at a primary or general election.
Extra local tax on property sales
Your city or county can add up to 0.25% to each real estate sale. The money must fund capital projects listed in the local capital plan, like streets, parks, and similar work. It can also help plan, buy, build, or fix shelters and affordable housing that are part of an interlocal housing effort. Governments must name the projects in their budget, and they may put at least the greater of $100,000 or 25% of available funds toward housing projects while showing streets and parks still have two years of funding. If the governor finds planning noncompliance, a city or county’s power to use this extra real estate tax is paused until fixed.
Rules for housing tax caps and bonds
The state revenue department collects qualifying local housing sales taxes at no cost to local governments. Each city or county has a yearly payout cap based on its 2019 taxable sales times its rate; extra money over the cap goes to the state for that year. In very large counties, at least 30% of money from activity in big cities must be spent inside those cities. Cities and counties can issue bonds for housing and related facilities, and may pledge up to 50% of the tax to repay them. The housing sales tax ends 20 years after it first starts in a city or county. No more than 10% of the tax may replace existing local funds.
County property tax for health clinics
Counties can add up to $0.05 per $1,000 of assessed value to fund public health clinics. You can estimate it as assessed value × 0.00005 per year. Beginning January 1, 2027, this clinic levy does not count under some property tax caps, and the first‑year cap does not apply. Also beginning January 1, 2027, its yearly growth is limited to the lesser of 101% or 100% plus inflation (fixed at 101% in counties under 10,000 people).
Property taxes for veterans and disability
Beginning January 1, 2027, counties must levy $0.025 per $1,000 of assessed value each year for developmental disabilities and mental health services. They must also levy at least $0.01125 per $1,000 for a veterans’ assistance fund. You can estimate these as assessed value × 0.000025 and × 0.00001125 each year. The money is limited to community disability and mental health services, veterans’ assistance, indigent veterans’ remains, and related administration.
Small sales tax for family services
Your city or county may add up to 0.01% to sales and use tax for children and family services. The money funds child care, perinatal support, before‑ and after‑school youth services, workforce capacity, shelter and rental help, and client transportation. If a city adopts this tax, the county must give a credit so the combined city and county rate for this tax stays at 0.01% or less.
New rules for city fire districts
Starting July 1, 2026, city or town council members serve as fire district commissioners for city‑created districts unless the city shifts control. A city can place an elected board in charge at formation, or hand control to an appointed three‑member board later until the next election. If the district has only full‑time paid staff, it must have five commissioners; if its budget is $10,000,000 or more, it must have seven. New districts (except in cities over 500,000 people) must hold a commissioner election within two years.
One temporary tax rule ends in 2027
Section 403 of this law ends January 1, 2027. The rules created by that section stop on that date.
When these new local taxes start
Most of this law takes effect July 1, 2026. Sections 201 and 202 take effect January 1, 2027. Sections 402 and 404 also take effect January 1, 2027. Property‑tax levy and proration changes in listed sections apply to taxes collected in 2027 and after. Section 401 ends on January 1, 2027.
Wider uses for rental car tax
Counties can now spend rental car sales tax money on criminal justice purposes, in addition to stadium projects and related debt. The money still cannot subsidize any professional sports team. The law does not change who pays the rental car tax or the tax rate.
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Sponsors & Cosponsors
Sponsor
April Berg
Democratic • House
Cosponsors
Alex Ramel
Democratic • House
Cindy Ryu
Democratic • House
Davina Duerr
Democratic • House
Gerry Pollet
Democratic • House
Janice Zahn
Democratic • House
Lisa Parshley
Democratic • House
Nicole Macri
Democratic • House
Sharon Wylie
Democratic • House
Shaun Scott
Democratic • House
Steve Bergquist
Democratic • House
Steve Tharinger
Democratic • House
Strom Peterson
Democratic • House
Tarra Simmons
Democratic • House
Timm Ormsby
Democratic • House
Roll Call Votes
House vote • 3/11/2026
Final Passage as Amended by the Senate
Yes: 51 • No: 45 • Other: 2
Senate vote • 3/5/2026
3rd Reading & Final Passage as Amended by the Senate
Yes: 26 • No: 22 • Other: 1
House vote • 2/17/2026
3rd Reading & Final Passage
Yes: 53 • No: 44 • Other: 1
Actions Timeline
Effective date 7/1/2026*.
3/25/2026HouseChapter 221, 2026 Laws.
3/25/2026HouseGovernor signed.
3/25/2026legislatureSpeaker signed.
3/12/2026legislaturePresident signed.
3/12/2026legislatureDelivered to Governor.
3/12/2026legislaturePassed final passage; yeas, 51; nays, 45; absent, 0; excused, 2.
3/11/2026HouseHouse concurred in Senate amendments.
3/11/2026HouseThird reading, passed; yeas, 26; nays, 22; absent, 0; excused, 1.
3/5/2026HouseRules suspended. Placed on Third Reading.
3/5/2026HouseCommittee amendment(s) adopted as amended.
3/5/2026HousePlaced on second reading by Rules Committee.
3/3/2026HousePassed to Rules Committee for second reading.
3/2/2026HouseMinority; without recommendation.
3/2/2026HouseMinority; do not pass.
3/2/2026HouseWM - Majority; do pass with amendment(s).
3/2/2026HouseFirst reading, referred to Ways & Means.
2/19/2026HouseThird reading, passed; yeas, 53; nays, 44; absent, 0; excused, 1.
2/17/2026HouseRules suspended. Placed on Third Reading.
2/17/2026HouseFloor amendment(s) adopted.
2/17/2026House1st substitute bill substituted.
2/17/2026HouseRules Committee relieved of further consideration. Placed on second reading.
2/12/2026HouseReferred to Rules 2 Review.
2/9/2026HouseMinority; do not pass.
2/7/2026HouseMinority; without recommendation.
2/7/2026House
Bill Text
Session Law
3/31/2026
Bill as Passed Legislature
3/12/2026
Engrossed Substitute
2/17/2026
Substitute Bill
2/3/2026
Original Bill
1/13/2026
Related Bills
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SB 6260 — Implementing efficiencies and programming changes in public education.
SB 6228 — Removing a tax exemption for the warehousing and reselling of prescription drugs.
HB 2034 — Concerning termination and restatement of plan 1 of the law enforcement officers' and firefighters' retirement system.
HB 2689 — Concerning the working connections child care program.
HB 2487 — Concerning taxes imposed on insurers operating within the state.
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