BILL REQ. #:  H-0924.1 

Read first time 02/04/09.   Referred to Committee on Local Government & Housing.

     AN ACT Relating to housing self-sufficiency income standards; amending RCW 36.22.179; adding new sections to chapter 43.185C RCW; and creating a new section.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   (1) The legislature finds that due to the number of jobs that pay wages that are inadequate to enable individuals and families to afford suitable housing in their community, many Washington state households are often forced to either choose substandard or overcrowded housing or risk falling into homelessness. The legislature finds that access to appropriate housing is critical to the health and well-being of Washington's residents as well as to the state's overall economic and social health stability. The legislature furthermore finds that jobs in Washington state should pay wages that enable households to afford decent housing and therefore be housing self-sufficient.
     (2) The legislature establishes a goal to increase the percentage of households who are ultimately able to obtain and retain housing without government subsidies or other public support by increasing the percentage of jobs that pay wages that meet or exceed housing self-sufficiency income standards as determined by the department of community, trade, and economic development under section 2 of this act.

NEW SECTION.  Sec. 2   A new section is added to chapter 43.185C RCW to read as follows:
     The department shall establish two housing self-sufficiency income standards based upon the cost of housing, which includes mortgage or rent payments and other associated housing expenses, such as utilities other than telephone, for each county in the state. The housing self-sufficiency income standards must also consider other basic household living expenses, such as transportation, food, and health care. The housing self-sufficiency income standards must be based upon the costs needed to support: (1) One adult individual; and (2) two adult individuals and one preschool-aged child and one school-aged child. These income standards must be translated into an equivalent hourly wage rate assuming one full-year, full-time earner for the self-sufficiency income standards for each county. By December 31, 2009, the department shall deliver to the appropriate committees of the legislature the housing self-sufficiency income standards and a report that details the number and percentage of individuals statewide and in each county who earn less than the housing self-sufficiency income standards, as well as the number and percentage of individuals statewide and in each county who earn an amount equivalent to or more than the housing self-sufficiency income standards.

NEW SECTION.  Sec. 3   A new section is added to chapter 43.185C RCW to read as follows:
     All eligible organizations receiving financing, including grants, loans, or other financing support, to conduct affordable housing activities from state housing-related funding sources, including the Washington housing trust fund and housing or homeless-related surcharges, including those in chapter 36.22 RCW, or from the Washington state housing finance commission shall, as a condition of the financing award, agree to pay all employees and contractors wages of an amount equivalent to or greater than the housing self-sufficiency income standards for their county. Such wages must be paid to these employees and contractors beginning before or upon the receipt of the financing for a period of no less than one year following the completion of the affordable housing activity or until the termination of employment or contract.

Sec. 4   RCW 36.22.179 and 2007 c 427 s 4 are each amended to read as follows:
     (1) In addition to the surcharge authorized in RCW 36.22.178, and except as provided in subsection (2) of this section, an additional surcharge of ten dollars shall be charged by the county auditor for each document recorded, which will be in addition to any other charge allowed by law. The funds collected pursuant to this section are to be distributed and used as follows:
     (a) The auditor shall retain two percent for collection of the fee, and of the remainder shall remit sixty percent to the county to be deposited into a fund that must be used by the county and its cities and towns to accomplish the purposes of ((this)) chapter 484, Laws of 2005, six percent of which may be used by the county for administrative costs related to its homeless housing plan, and the remainder for programs which directly accomplish the goals of the county's local homeless housing plan, except that for each city in the county which elects as authorized in RCW 43.185C.080 to operate its own local homeless housing program, a percentage of the surcharge assessed under this section equal to the percentage of the city's local portion of the real estate excise tax collected by the county shall be transmitted at least quarterly to the city treasurer, without any deduction for county administrative costs, for use by the city for program costs which directly contribute to the goals of the city's local homeless housing plan; of the funds received by the city, it may use six percent for administrative costs for its homeless housing program.
     (b) The auditor shall remit the remaining funds to the state treasurer for deposit in the home security fund account. The department may use twelve and one-half percent of this amount for administration of the program established in RCW 43.185C.020, including the costs of creating the statewide homeless housing strategic plan, measuring performance, providing technical assistance to local governments, ((and)) managing the homeless housing grant program, and establishing and maintaining the housing self-sufficiency income standards under section 2 of this act. The remaining eighty-seven and one-half percent is to be used by the department to:
     (i) Provide housing and shelter for homeless people including, but not limited to: Grants to operate, repair, and staff shelters; grants to operate transitional housing; partial payments for rental assistance; consolidated emergency assistance; overnight youth shelters; and emergency shelter assistance; and
     (ii) Fund the homeless housing grant program.
     (2) The surcharge imposed in this section does not apply to assignments or substitutions of previously recorded deeds of trust.