Washington 2025-2026 Regular Session

Washington House Bill HB1883

Introduced
2/7/25  

Caption

AN ACT Relating to the Washington customized employment training program;

Summary

HB 1883 extends and revises Washington’s customized employment training program tax preference. The bill makes legislative findings that employer-specific worker training benefits businesses, workers, and communities, and states an intent to help attract and retain jobs in Washington by continuing the program. It extends the expiration date of the existing tax credit tied to the customized employment training program, conditioned on a performance review showing that a sufficient share of participating businesses completed training and repaid program loans or allowances. The bill also amends the tax credit structure for participants in the program. It allows a credit equal to a percentage of payments made to the employment training finance account, permits unused credits to be carried forward to a later tax year, and requires repayment with interest if a participant fails to meet statutory requirements. Participants claiming the credit must file an annual tax performance report. In addition, the bill requires the Washington State Board for Community and Technical Colleges to submit a report to the Legislature on program use, participating industries, geographic distribution, employee training outcomes, wages, retention, credentials earned, and efforts to broaden participation. HB 1883’s main legal effect is to amend the state’s tax code provisions governing the customized employment training program and to create new reporting and review requirements. It also establishes a tax preference performance statement and classifies the credit as serving a general purpose of workforce and skill development, with the stated public policy goal of helping existing businesses expand and retain jobs in Washington. The bill includes an expiration date for the new or extended provisions, making the tax preference temporary unless later extended. The available context shows no recorded committee debate or votes, so there is no documented public sentiment from hearings or floor action in the provided materials. Based on the bill text alone, the measure appears generally supportive of workforce development and business retention, with its findings and policy statements framed positively toward employers, workers, and economic development. The main point of potential contention is fiscal and policy oversight: the bill extends a tax preference and ties continuation to performance benchmarks, reporting, and review. That structure suggests lawmakers may be balancing support for job training and business incentives against concerns about tax expenditures, accountability, and whether the program delivers measurable benefits. The reporting requirements and repayment provisions indicate an effort to address those concerns by documenting outcomes and limiting misuse.

Impact

HB 1883 amends Washington statutes governing the customized employment training program and related tax credit provisions, extending the program’s expiration date and modifying eligibility, carryforward, repayment, and reporting rules. It creates new sections establishing legislative findings, a tax preference performance statement, and a framework for later evaluation of whether the credit should continue. The bill affects participating businesses, training institutions, and the Washington State Board for Community and Technical Colleges by imposing annual reporting and program outcome reporting requirements.

Sentiment

No committee transcripts or votes were provided, so there is no direct record of legislative debate or formal support/opposition in the supplied materials. The bill text itself reflects a favorable sentiment toward workforce training, business retention, and job creation, while also emphasizing accountability through performance review and reporting.

Contention

The likely area of contention is whether extending a tax credit for employer-specific training is an appropriate use of state tax policy and whether the program produces enough measurable public benefit to justify continuation. Supporters would emphasize workforce development, job retention, and business expansion; skeptics would focus on the cost of the tax preference, the need for proof of effectiveness, and whether the reporting and repayment safeguards are sufficient.

Companion Bills

WA SB5682

Crossfiled Concerning the Washington customized employment training program.

Previously Filed As

WA SB5682

AN ACT Relating to the Washington customized employment training program;

WA HB1320

Modifying business and occupation tax rates to fund programs and services to benefit Washingtonians.

WA HB1319

Enacting a wealth tax on the ownership of stocks, bonds, and other financial intangible property.

WA SB5663

Revised for 1st substitute: Concerning entirely online course offerings at community and technical colleges.

WA SB5384

Conducting a review of Washington's riparian programs.

WA SB5115

Creating the Washington dream act service incentive program.

WA HB2047

AN ACT Relating to eliminating the Washington employee ownership program;

WA SB5814

AN ACT Relating to funding public schools, health care, social services, and other programs and services to benefit Washingtonians by modifying the application and administration of certain excise taxes;

WA SR8693

Honoring the Washington State Leadership Board Programs.

WA SB5796

Enacting an excise tax on large employers on the amount of payroll expenses above the social security wage threshold to fund programs and services to benefit Washingtonians.

Similar Bills

No similar bills found.