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SECOND
SUBSTITUTE SENATE BILL 5965
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Passed
Legislature - 2002 Regular Session
State of Washington 57th Legislature 2002
Regular Session
By
READ FIRST TIME 02/12/2002.
Authorizing
local option real estate excise taxes for affordable housing purposes.
AN
ACT Relating to local option real estate excise taxes for affordable housing
purposes; and adding a new section to chapter 82.46 RCW.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
NEW
SECTION. Sec. 1. A
new section is added to chapter 82.46 RCW to read as follows:
(1)
Subject to subsections (4) and (5) of this section, the legislative authority
of any county may impose an additional excise tax on the purchase and sale of
real property in the county at the rate of one-half of one percent of the
selling price. The proceeds of the tax shall be used exclusively for the
development of affordable housing including acquisition, building,
rehabilitation, and maintenance and operation of housing for very low, low, and
moderate income persons and those with special needs.
(2)
Revenues generated from the tax imposed under this section shall be placed in
an affordable housing account administered by the county. Disbursements from
the account shall be made following a competitive grant and loan process. The
county legislative authority shall determine a mechanism for receiving grant
and loan applications, and criteria by which the applications shall be approved
and funded. Eligible recipients of grants and loans from the account shall be
private nonprofit, affordable housing providers, the housing authority for the
county, or other housing programs conducted or funded by a public agency, or by
a public agency in partnership with a private nonprofit entity.
(3)
The taxes imposed under this section shall be imposed in the same manner and on
the same occurrences, and are subject to the same conditions, as the taxes
under chapter 82.45 RCW, except that the tax shall be the obligation of both
the purchaser and the seller, as determined by the county legislative
authority, with at least one-half of the obligation being that of the
purchaser. The county may enforce the obligation through an action of debt
against the purchaser or seller or may foreclose the lien on the property in
the same manner prescribed for the foreclosure of mortgages. The imposition of
the tax is effective thirty days after the election at which the tax is
authorized.
(4)(a)
No tax may be imposed under this section unless approved by a majority of the
voters of the county voting, for a specified period and for a specified maximum
rate. This vote must follow either:
(i)
The adoption of a resolution by the county legislative authority proposing this
action; or
(ii)
The filing of a petition proposing this action with the county auditor, signed
by county voters at least equal in number to ten percent of the total number of
voters in the county who voted in the preceding general election.
(b)
The ballot proposition shall be submitted to the voters of the county at the
next general election occurring at least sixty days after a petition is filed,
or at any special election prior to this general election called for this
purpose by the county legislative authority.
(5)
No tax may be imposed under this section unless the county imposes a tax under
RCW 82.46.070 at the maximum rate and the tax was imposed by January 1, 2003.
(6) A plan for the expenditure of the proceeds of the tax imposed
by this section shall be prepared by the county legislative authority at least
sixty days before the election if the proposal is initiated by resolution of
the county legislative authority, or within six months after the tax has been
authorized by the voters if the proposal is initiated by petition. Prior to
the adoption of this plan, the elected officials of cities located within the
county shall be consulted and at least one public hearing shall be held to
obtain public comment. The proceeds of the tax shall be expended in
conformance with this plan.
