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Panel hears testimony on HB 1408 to create sustained sales-tax funding for community preservation authorities

2165383 · January 29, 2025
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Summary

Lawmakers heard testimony on House Bill 1408, which would direct a portion of sales-and-use tax from specified stadiums to two Community Preservation and Development Authorities (CPDAs) and require JLARC review and biennial reporting by the CPDAs.

State Representative Sharon Tomiko Santos, sponsor of House Bill 1408, told the Technology, Economic Development and Veterans Committee that the bill would create a dedicated funding source for community preservation and development authorities, citing the Seattle Chinatown-International District and Pioneer Square as examples of neighborhoods the measure would serve.

The bill would require the Department of Revenue and the state treasurer to deposit 30% of sales-and-use tax on retail sales at qualified facilities into a new CPDA state account beginning Jan. 1, 2026. Deposits would be split equally between two subaccounts for operating and capital purposes. The bill sets a statutory expiration date of Jan. 1, 2037, but allows extension depending on a JLARC review due Dec. 1, 2034.

Why it matters: Proponents said the funding is intended to help…

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