HomeMy WebLinkAbout3318 RESOLUTION NO. 3318
A RESOLUTION of the City Council of the City of
Bremerton, Washington, declaring the intent of the City to pass an
ordinance to authorize a sales and use tax for affordable and
supportive housing in accordance with substitute house bill 1406
(chapter 338, laws of 2019), and other matters related thereto.
WHEREAS, in the 2019 Regular Session,the Washington State Legislature
approved, and the Governor signed, Substitute House Bill 1406 (Chapter 338, Laws of 2019)
("SHB 1406"); and
WHEREAS, SHB 1406 authorizes the governing body of a city or county to
impose a local sales and use tax for the acquisition, construction or rehabilitation of affordable
housing or facilities providing supportive housing, for the operations and maintenance costs of
affordable or supportive housing, and for providing rental assistance to tenants; and
WHEREAS, the tax will be credited against state sales taxes collected within the
City and,therefore, will not result in higher sales and use taxes within the City and will represent
an additional source of funding to address housing needs in the City; and
WHEREAS, the tax must be used to assist persons whose income is at or below
sixty percent of the City median income; and
WHEREAS,the City is struggling with affordable housing issues. Many people in
the City are paying a major portion of their income on rent. There are people living in places that
are not meant to be housing, such as cars or streets. Others are on the verge of homelessness. The
City has determined that imposing the sales and use tax, credited against state sales taxes
collected within the City, to address this need will benefit its citizens. The revenue from this
ordinance will assist those who are in most need of housing assistance; and
WHEREAS, in order for a city or county to impose the tax, within six months of
the effective date of SHB 1406, or January 28, 2020, the governing body must adopt a resolution
of intent to authorize the maximum capacity of the tax, and within twelve months of the effective
date of SHB 1406, or July 28, 2020, must adopt legislation to authorize the maximum capacity of
the tax; and
WHEREAS, this resolution constitutes the resolution of intent required by SHB
1406; and
WHEREAS, the City Council now desires to declare its intent to impose a local
sales and use tax as authorized by SHB 1406 as set forth herein;NOW THEREFORE,
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Affordable Housing
Sales & Use Tax
THE CITY COUNCIL OF THE CITY OF BREMERTON, WASHINGTON,
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. Resolution of Intent. The City Council declares its intent to pass an
ordinance to authorize the maximum capacity of the sales and use tax authorized by SHB 1406
within one year of the effective date of SHB 1406, or by July 28, 2020.
SECTION2. Further Authority;Ratification. All City officials,their agents,
and representatives are hereby authorized and directed to undertake all action necessary or
desirable from time to time to carry out the terms of, and complete the actions contemplated by,
this resolution. All acts taken pursuant to the authority of this resolution but prior to its effective
date are hereby ratified.
SECTION 3. Severability. If any one or more sections, subsections, or
sentences of this resolution are held to be unconstitutional or invalid, such decision shall not
affect the validity of the remaining portion of this resolution and the same shall remain in full
force and effect.
SECTION 4. Effective Date. This Resolution shall take effect and be in force
immediately upon its passage. -7
PASSED by the City Council of the City of Bremerton, Washington this
day ofAvs64_ , 2019.
(... LA
ERIC YO GER, ouncil President
APPROVED AS TO FORM: ATTEST:
./y•e•..74474A *1 4i,I al 'Clr'r- or fig Oed0
ROGER A. LUBOVICH, City Attorney ANGEL: OODS, City Clerk
R:\Legal\Legal\Resolutions\Finance\Resolution of Intent to Implement HB 1406-Final.doc
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Affordable Housing
Sales& Use Tax