Transcript Highlights:

• bonds and tax credits.
• It's silent on the 9% federal tax credits, as well as those state tax credits.
• those 4% tax credits.
• those 4% tax credits.
• The tax credit. The tax credit.

Summary: Assembly Budget Subcommittee 5 on State Administration heard two housing-related trailer bill items tied to the Governor’s reorganization plan. The first item would codify the creation of a new Housing and Homelessness Agency and a Business, Consumer Services and Housing Agency structure; the second would further streamline the state housing finance system by creating a Housing Development and Finance Committee and reserving most private activity bond capacity for affordable housing. Administration officials said the changes are intended to reduce duplication, speed awards to construction, and make housing funding more predictable and efficient. Agency leaders described recent housing investments and implementation steps, including work groups, coordination with Finance, the Controller, and the Treasurer’s Office, and development of new guidelines and staffing. Members raised concerns about limited funding, the need for better program-by-program outcome data, youth homelessness, excess sites, and fraud prevention. The Interagency Council on Homelessness presented new three-year action plan metrics, including goals to increase exits from unsheltered homelessness to 70% and move more people into permanent housing, while also noting current performance data and quarterly public reporting. The Legislative Analyst’s Office said it had no concerns with the first trailer bill, but supported the general concept of the second while recommending changes, including removing or revising the proposed 50% bond-cap floor for the new committee and adding attention to 9% and state tax credits. Public commenters, including local governments, nonprofit developers, housing authorities, and advocacy groups, largely supported the reorganization and streamlining goals, but several urged stronger protections for deeply affordable housing, earlier reallocation of unused bond authority, continued access to 9% credits, and more funding for housing programs. No votes were taken in the portion provided; the chair closed item one and moved to item two after member and public testimony.

Transcript Highlights:

• And so this RS is basically saying take out a 4% from the tax credit and a 5% from the tax credit for
• Senator Zito: Any time we can give tax dollars back or relieve the tax burden of the people of the state
• Because that's not a tax credit. That's just a gift.
• And so if we can, any time we can give tax dollars back or relieve the tax burden of the people of the
• tax credit they get back for this program.

Committee: Senate Education

Transcript Highlights:

• , and excludes travel vans from the tax.
• There's no RTA tax in other Washington counties.
• RV dealers agree with me this is again a loss of sales tax for Washington State.
• plus $1,342 RTA excise tax, so that total of taxes are...
• $2.RTA excise tax.

Bills: HB2305 , HB2601 , HB2604

Committee: House Transportation

Keywords: vehicle registration, travel vans, motor homes, transportation regulation, HB2601, motorcycle weight fee, motorcycle registration, vehicle licensing, Department of Licensing, weight-based fee, motor home fee, RV registration, scale weight, vehicle weight, RCW, Washington state, registration fees, license fees, vehicle fee schedule, fee distribution

Transcript Highlights:

• So tax conformity is important.
• The Tax Foundation, which we're all familiar with, has it about $268 million.
• But if you look at the 155, the Tax Commission's low was about $111 million.
• I would also note they have a higher corporate income tax rate than Idaho does.
• But the average senior, first, we don't tax Social Security. So Idaho does not tax Social Security.

Committee: House Revenue and Taxation

Transcript Highlights:

• Under current law, would there be a tax penalty or consequences, or would the taxes be the same until
• Tax dollars are at a premium.
• </c> lowincome housing tax credit program. lowincome housing tax credit program.
• um tax of the tax because of the of the um tax of the tax uh<00:42:47.160><c> process.
• credit</c> um different tax exemption or tax credit um different tax exemption or tax credit statutes

Committee: House Housing

Transcript Highlights:

• tax receipts.
• not speak specifically to property taxes.
• Those revenues would include property taxes as provided by the Constitution, local business tax as provided
• by statute, as well as communication services tax and the municipal utility service tax.
• We've gotten rid of sales tax, rent tax, business sales tax.

Summary: The Committee on Community Affairs met with a quorum present and took up SB 122, which would repeal Chapter 205 on local business taxes while allowing municipalities to continue imposing a gross-receipts-based business tax on merchants. Senator Trumbull presented the bill for the sponsor, and committee members questioned what services local governments fund with local business tax revenue and whether the bill should be considered alongside broader property tax changes. County and city representatives opposed the bill, arguing that local business taxes are capped home-rule revenues used for general fund services such as public safety, zoning and licensure checks, economic development, and business support, and warning that repeal would shift costs to residential taxpayers and reduce local flexibility. Senator Shreve said he would vote no because of ongoing property tax discussions, while Senator Pizzo said he would support the bill but wanted clearer accounting of how the revenue is spent. The committee voted 5-1 to report SB 122 favorably. The committee then held a housing panel discussion focused on Florida’s housing shortage, affordability, and supply constraints. Dr. Samuel Staley said Florida is in a housing crisis driven largely by insufficient supply, arguing that the state needs roughly 100,000 additional units per year just to keep up with in-migration and that local planning systems often do not prioritize housing enough. He urged more emphasis on measurable impacts, streamlined permitting, accessory dwelling units, smaller lot sizes, and other market-responsive tools. Ann Ray of the Shimberg Center said Florida is seeing more single-family and multifamily construction but that production is concentrated in a handful of counties, while condo construction remains limited; she also noted that rents and home prices spiked sharply in the early 2020s and remain above pre-2020 levels, with nearly 905,000 low-income renters cost-burdened. Leslie Deutsch of John Burns Research said the national housing market is slow, Florida has a severe affordability problem, and builders are lowering prices and offering incentives but still face high land, labor, materials, and insurance costs. In committee discussion, senators focused on whether Florida should encourage more density, including townhomes, build-to-rent products, modular housing, and redevelopment of existing sites rather than relying on large new subdivisions. Members also discussed the role of local zoning, impact fees, density bonuses, and state incentives tied to housing targets. Several senators said Florida’s growth and affordability challenges require updating land development codes and planning for where future residents will live without overbuilding rural or environmentally sensitive areas. The chair closed by emphasizing that density can support affordability and that Florida should use existing footprints more efficiently.

Transcript Highlights:

• Do you know what their tax rate is that they charge? The tax rate currently is zero. It's inactive.
• These taxes are not forgiven.
• Tax payments may be considered delinquent even when the taxing unit's office is closed on a payment due
• . ...tax delinquency date if the taxing unit's office is closed on that day, so long as the payment is
• The tax office was closed for up to two weeks, including on the delinquency date for property taxes.

Bills: HB22 , SB250 , SB375 , SB536 , SB845 , SB1633 , SB1944 , SB1957 , SB2081 , SB2137 , SB2262 , SB2299 , SB2419 , SB2452 , SB2522 , SB2549 , SB2594 , SB2605 , SB2631 , SB2639 , SB2675 , SB3029 , SJR60 , HB22 , HB1392 , HB2525

Committee: Senate Local Government

Transcript Highlights:

• , the most regressive tax in the state.
• , an income tax on anyone will ultimately be an income tax on everyone.
• after tax after tax.
• After last year's most regressive tax increase in history, we have...
• After last year's most regressive tax increase in history, we have new taxes on clothes, on bottles,

Summary: House and Senate Republican leaders opened by criticizing several Democratic-backed measures they said would raise costs for Washington residents, including a utility surcharge in House Bill 2275, expanded producer responsibility for clothing, and a new tire fee in House Bill 2421. They framed the session around affordability concerns and argued that the majority was advancing taxes and fees that would make living and doing business in Washington more expensive. They also said the state should focus on transparency and accountability rather than new charges and restrictions. Much of the question period focused on immigration-related issues and public safety. The leaders condemned recent comments by Governor Ferguson and Attorney General Brown about events in Minnesota, saying the incidents should be investigated carefully without inflaming tensions. They opposed a Senate bill addressing face coverings for law enforcement and another proposal to fine the Northwest Detention Center if state inspectors are denied access, arguing both were attempts to regulate or pressure federal authorities. They also criticized a bill that would bar certain ICE agents from future law enforcement jobs in Washington, saying it would not improve public safety and would distract from the state’s shortage of officers. The leaders also discussed several other bills and policy ideas. They said a House bill limiting local anti-camping enforcement was delayed and expected back next week, with cities concerned about implementation and liability. They expressed general support for restoring College Bound funding for private universities, but said it should be handled through the budget without new taxes. They backed a bill to increase reporting and accountability for nonprofit and housing-related programs, citing concerns about fraud and misuse of public funds. They also strongly opposed a bill they said would make the initiative process harder, calling it undemocratic and a continued effort to reduce voter influence.

Transcript Highlights:

• Our estate tax has been raised several times and we now have the highest death tax in the country.
• authority for state tax authority, which represented a modest tax cut for many, this body reverted local
• So if history is prologue, an income tax on millionaires today will be an income tax on people like you
• But regardless of who pays an income tax, the economic data makes it clear that an income tax represents
• rich people left to tax.

Summary: The House convened for the opening day of the 2026 regular session of the 69th Legislature with roll call, the Pledge of Allegiance, the national anthem, a prayer, and a tribal welcome from Squaxin Island Tribe member Chris Peters and other tribal leaders. Justice Mary Yu administered the oath of office to Representatives Hall, Obras, Thomas, Salahuddin, and Zahn. The Speaker also recognized the service of Justice Yu, the late Senator Bill Ramos, the late Speaker Emeritus Frank Chopp, and Trooper Tara Marissa Gooding. The Speaker and Republican leader Stokesbary delivered opening remarks focused on the session’s priorities and challenges, including affordability, taxes, housing, public safety, and the impact of federal policy on Washington. The House adopted several organizational resolutions and motions. House Resolution 4665, notifying the Governor that the House was organized and ready to do business, passed. House Concurrent Resolution 4406, setting the Governor’s address to the Legislature, and House Concurrent Resolution 4407, returning bills and resolutions to the normal process for consideration, both passed. Senate Concurrent Resolution 8407, establishing cutoff dates for the 2026 session, also passed. The House suspended rules to move various measures, referred introduced bills to committees, and approved House Resolution 4667 adopting the permanent House rules. The Speaker announced committee assignment changes, including new appointments for Representatives Engel, Hall, Parshley, and Zahn, and reminded members of pink slip deadlines. A House delegation then reported back from the Governor’s office, saying he welcomed the Legislature and was ready for the session. The House adjourned until the next day, with a pro forma session and the Governor’s State of the State address scheduled for the following morning.

Transcript Highlights:

• It is a contingent tax rate bill. ...they doing it to control costs for Americans?
• give tax breaks to their allies, to millionaires, billionaires, and corporations.
• And Republicans have said no new taxes this year.
• </c><00:16:08.079><c> this</c> have had said said no new taxes this have had said said no new taxes this
• So, um, it's a millionaire's tax.

Transcript Highlights:

• They are the federal tax and a state tax.
• When employers are complying with paying state taxes, they get a discount on their federal taxes.
• And that base tax rate can range from 0.1% to 6.2%. Pool charges, or a pool tax, can vary.
• So the tax rate that Virginia businesses pay for this federal tax is 0.6%, which is, on an annual basis
• The fund is primarily financed through the tax scheme that I explained a few slides ago, and those taxes

Transcript Highlights:

• The bill is actually a double tax because most of our products are already paying the sales tax.
• The bill is actually a double tax because most of our products are already paying the sales tax.
• ,</c><00:15:41.080><c> which</c> We strongly oppose this tax, which We strongly oppose this tax, which
• </c> The bill is actually a double tax The bill is actually a double tax because<00:15:54.080><c> most
• So, it's a huge tax, 56%. retailer. So, it's a huge tax, 56%.

Transcript Highlights:

• </c> for a homestead tax for a homestead tax refund.<00:02:47.600><c> So</c><00:02:47.760><c> this</c
• </c> with the rising property taxes. with the rising property taxes.
• </c> it is for property taxes it is for property taxes um um um due due due it's<00:03:07.280><c> for
• </c> that tax. that tax.
• </c> &gt;&gt; And it's bad tax policy. &gt;&gt; And it's bad tax policy.

Transcript Highlights:

• Yamach noted, state entities do not file taxes, so we don't claim tax credits.
• </c> housing tax housing tax credit<00:39:25.920><c> um</c> credit um credit um so<00:39:28.079><c> so
• </c><00:39:46.960><c> burden</c> because they have no income tax burden because they have no income tax
• </c><00:40:06.400><c> return</c> credit because they have no tax return credit because they have no tax
• </c><00:41:10.400><c> credits</c><00:41:11.400><c> but</c> taxes so we don't claim tax credits but taxes

Committee: House Housing

Summary: The committee heard testimony on several housing-related measures. SB 38 SD2 drew mixed testimony on changes to 21H projects, with HHFDC supporting and county and community groups split between support and opposition. In discussion, members focused on how county legislative bodies can alter projects in ways that increase costs, including changes to AMI mixes and fee waivers. The committee later recommended passage with amendments, limiting county changes that would impose stricter conditions than HHFDC, stricter AMI requirements, or reduced fee waivers; the motion passed with one member voting with reservations and two members excused. A major portion of the hearing focused on SB 71 SD2, which would revise the rental housing revolving fund. Catholic Charities Hawaiʻi, Hawaiʻi YIMBY, and NAAP Hawaiʻi opposed the bill, arguing it would weaken support for deeply affordable units, eliminate the 5% set-aside for households at or below 30% AMI, and create a funding gap for households between 60% and 120% AMI. Supporters of the bill, including public housing and some development interests, emphasized the need to redirect funding and make the program more flexible. In decision-making, the committee described the bill as making comprehensive changes that would narrow Tier 2 toward higher-income projects and favor shorter loan terms, then moved it out with amendments. The committee also heard and advanced several other measures with little or no opposition: SB 40 SD2 on state finances, SB 378 on HHFDC, SB 572 SD1 on housing, SB 1229 ST2 on the dwelling unit revolving fund, and SB 602 on the Hawaiʻi Public Housing Authority all received support testimony and were moved forward. For SB 65 SD2, HPHA and other agencies supported the measure, and HPHA testified it sought roughly $8 million to $10 million for repair and maintenance of units not covered by CIP funds. The committee also took up SB 826 SD1 on the low-income housing tax credit, where HHFDC, the Tax Foundation, and DHHL expressed confusion over the bill’s intent and whether it would bar state agencies from using LIHTC financing; no action was taken on that item in the excerpt. SB 944 SD2 on LIHTC transferability drew support and a suggestion to keep clarifying language that notifies the tax department, and the committee indicated it would keep the provision in.

Transcript Highlights:

• The bill changes tax administration that requires taxing authorities that have not levied any millage
• This is not a new tax exemption.
• This is not a new tax exemption.
• tax exempt, that The university itself will get the tax exemption when they buy something that is tax
• There's a tax on that. Then there's a tax when There's a tax on that.

Committee: Senate Appropriations

Transcript Highlights:

• and business taxes and excise taxes.
• tribes at all, or just motor tax, like the motor vehicle tax?
• I'm going to say that states aren't allowed to tax... ...tax.
• And the tribe can tax its own people, but the tribe can also tax non-Indian folks that come here and
• They had 30% of their tax base was tax exempt. 30% of their tax base was tax exempt, and there were some

Committee: Joint Tribal and State Relations Committee

Summary: The committee met at Spirit Lake Tribe and heard an extended discussion with Spirit Lake tribal leaders and program directors about government-to-government relations with the state. Chairwoman Street and others outlined a number of concerns and requests, including taxation of tribal and trust lands, state school support for non-beneficiary students, homelessness services, Indian-managed health care, gaming/e-tabs, the Feather Alert system, industrial farming near waterways, tourism and cultural issues, and the need for more consistent tribal consultation. Committee members responded that many of these issues had previously been passed along without direct action, and several members emphasized the committee’s role in education, communication, and preparing possible legislation or resolutions for the next session. Tribal representatives also offered to provide training on treaties, IHS 638, and compact services to help legislators better understand tribal jurisdiction and billing issues. A major portion of the meeting focused on Spirit Lake Fish and Wildlife concerns, especially jurisdictional “gray areas” around hunting and fishing on the reservation, recognition of tribal licenses, and the boundary of the reservation around Spirit Lake/Devils Lake. Tribal officials said they wanted a co-stewardship agreement or MOU with the state to clarify jurisdiction, improve cooperation, and address invasive species and aquatic nuisance species. Committee members discussed whether to draft legislation or a resolution directing the executive branch and state agencies to negotiate such an agreement, and they asked for further input from the North Dakota Game and Fish Department at a future meeting. The committee also discussed county involvement in land status changes and trust land issues, with Spirit Lake leaders describing a past Benson County resolution that tried to block fee-to-trust transfers and saying it was later rescinded. The committee then heard from Benson County tax equalization director Randy Thompson, who explained how the county values land and handles tax-exempt, inundated, and fee-to-trust parcels. Members asked about the impact of tax-exempt lands on county services and discussed prior legislation that helped counties with large tax-exempt bases. The committee also received a presentation from Dr. Steven Smith of Sisseton Wahpeton College, who described the college’s programs, economic impact, and funding needs, including support for non-beneficiary students and workforce training. Members asked about expanding tribal college education into correctional settings, and Smith said the idea was worth exploring through the tribal college system. Finally, HHS interim medical services director Christoph Framing presented remotely on 1115 Medicaid waivers and the IMD exclusion, explaining current state funding mechanisms for inpatient and residential behavioral health services and the bill draft directing HHS to pursue a waiver for IMD payments.

Transcript Highlights:

• bonds and tax credits.
• those 4% tax credits.
• those 4% tax credits.
• The tax credit. The tax credit.
• Their bill does not address the 9% tax credits or enhanced state tax credits.

Transcript Highlights:

• These are primarily rural counties with dominant federal lands, therefore low tax base. tax base.
• Madam Chair, Representative, but they still pay GRT taxes. They'll still pay sales taxes.
• They'll pay property taxes. They'll pay other taxes imposed.
• So we can all agree that this is an extra tax on top of raised taxes for rent, raised taxes for mortgages
• of our income tax structure.

Committee: House House Health & Human Services

Transcript Highlights:

• This is not a new tax exemption.
• This is not a new tax exemption.
• This is not a new tax exemption.
• There's a tax on that. Then there's a tax when... There's a tax on that.
• incentives and tax cuts, I think this legislature gave a billion-dollar tax break to Florida.

Bills: S0006 , S0026 , S0206 , S0532 , S0576 , S1012 , S1110 , S1178 , S1192 , S1758 , S1760 , S7046 , S7048

Committee: Senate Appropriations

Summary: The Appropriations Committee met and considered a large agenda of bills, reporting several measures favorably. Early action included SB 6, a settled claim bill involving the Department of Children and Families and the estate of Leila Estrada and Sapphire Williams, which was approved for $3.8 million. The committee also passed a cybersecurity internships bill creating a Department of Commerce program with Cyber Florida, and SB 532, which lets clerks of court retain the full amount of certain excess revenue and clarifies foreclosure-sale procedures. Veterans housing measures, CS for CS for SB 1602 and SB 1604, were approved to create a pilot program and a related trust fund for vacancy relief and risk mitigation for veteran housing. The committee also favorably reported SB 1110 on Medicaid and insurance coverage for orthotics and prosthetics, with emotional testimony from a student and family describing the high cost and importance of activity-specific prosthetics. Members also approved CS for CS for SB 1012 after adopting an amendment that removed inmate emergency and specialty medical service compensation provisions while retaining changes to the contractor-operated institutions inmate welfare trust fund. Another bill, CS for CS for SB 1614, was narrowed by a delete-all amendment to focus on limiting the use of excess fees for new building construction by local governments. All of these measures were reported favorably after brief debate, with some support testimony submitted in writing or waived. The most extensive discussion centered on CS for CS for SB 17, a major Medicaid and public assistance overhaul. The bill would create a Joint Legislative Committee on Medicaid Oversight, allow the Legislature to retain its own actuary, tighten Medicaid program oversight, update encounter-data reporting, set performance standards for managed care plans, revise pharmacy benefit manager rules, and require DCF to implement SNAP fraud-reduction and payment-accuracy reforms, including photo IDs on EBT cards and updated work requirements. It also would direct agencies to seek federal waivers for Medicaid work requirements for able-bodied adults and expanded behavioral health services. After lengthy questioning and testimony, the committee adopted amendments adding a transitional medical benefits glide path for people who gain employment and later lose Medicaid eligibility, and exempting hospice patients with six months or less to live. Supporters argued the bill would improve accountability, reduce fraud, and save money, while opponents warned it would create administrative burdens, increase paperwork, and cause eligible people to lose coverage or food assistance. The committee ultimately reported the bill favorably as amended.

Transcript Highlights:

• We passed a 75-cent sales tax increase in the metro.
• </c><00:08:44.640><c> transportation</c> Uh that's sales tax for transportation Uh that's sales tax for
• No, we should be cutting taxes. We had $10 billion in tax increases 2 years ago.
• When is enough taxes $10 billion. When is enough enough?
• So, he's being taxed on something he doesn't even own.