Tri-City Regional Chamber of Commerce
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Legislative Activity

Letter to Washington Legislation expressing concerns about additional business taxes

4/30/2025

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Letter to Washington Legislation expressing concerns about additional business taxes

In response to the increasing discussion around increasing business taxes as an option for securing more money for the state budget, the Chamber participated in the following sign-on letter with the Association of Washington Businesses
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Letter to Congress relating to B-SALT Deductions

4/30/2025

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​Letter to Congress relating to B-SALT Deductions

In response to changes to the tax deductibility of State and Local Taxes from Federal Taxation, the Chamber participated in the following sign-on letter with the US Chamber of Commerce. 
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Highlighted Bills from the April 25 Session Spotlight

4/24/2025

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Highlighted Bills from the April 25 Session Spotlight

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Senate Bill #5814

Modifying the application and administration of certain excise taxes.
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House Bill #2081

Modifying business and occupation tax surcharges, rates, and the advanced computing surcharge cap, clarifying the business and occupation tax deduction.
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House Bill #2084

Increasing funding for K-12, health care, and public safety by repealing or modifying tax preferences.
Learn More

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Highlighted Bills from the April 18 Session Spotlight

4/17/2025

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Highlighted Bills from the April 18 Session Spotlight

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Senate Bill #5798

Concerning property tax reform
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Senate Bill #5408

Allowing for corrections to wage and salary disclosures.
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Senate Bill #5217

Expanding pregnancy-related accommodations.
Learn MOre

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What Happens when a Bill is Amended in the Opposite Chamber?

4/16/2025

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​What Happens when a Bill is Amended in the Opposite Chamber?

A Simple Guide to the Washington State Legislative Process

In Washington State, legislative proposals may originate in either the House of Representatives or Senate. However, for a proposal to be enacted into law, it must receive approval from both the legislative chambers. This process can become complex, particularly when one chamber amends a proposal already passed by the other chamber.

The following outlines the process that occurs when a bill is amended in the second chamber, the subsequent response of the original chamber, and the procedures undertaken to reconcile these differences.

Step 1: Passage of a Bill in One Legislative Chamber 

Consider a scenario where a bill is introduced in the House of Representatives. It undergoes a series of committee hearings and debates culminating in a vote on the floor of the house. Upon successful passage, the bill is forwarded to the senate for further consideration.

Step 2: Modifications by the Second Chamber 

Upon reaching the Senate, the bill undergoes a comparable procedure: it is assigned to a committee for discussion and a potential amendment. Subsequently, it is presented to the full senate for a vote. 

If the Senate approves the bill without alterations, it proceeds directly to the governor for ratification. 

Conversely, if the Senate incorporates amendments, the bill must be returned to the House of Representatives, the chamber of its origin, for further consideration.

Step 3: Review of Amendments by the Original Chamber

Following the modification of the bill, the original chamber, in this instance, the House, must determine whether to accept the amendments proposed by the Senate. The House is presented with two options:

• Concur (agree): Should the House concur with all the amendments introduced by the Senate, a vote to "concur" is cast. This concurrence signifies the acceptance of the revised bill, which is then deemed finalized and forwarded to the governor for signing.

• Do not concur (disagree): Conversely, if the House does not concur with the Senate's amendments, a vote to "not concur" is cast. In such a scenario, the bill cannot progress until both chambers reach agreement on the final version.

Step 4: Establishment of a Conference Committee

In instances where the originating chamber rejects amendments, a conference committee is typically required. This committee is a select group comprising members from both the House and the Senate tasked with reconciling the discrepancies between the two versions of the bill.

The conference committee convenes privately to negotiate and reach a compromise. Upon reaching an agreement, they draft a conference report that encapsulates the final version of the bill.

Step 5: Final Approval of the Compromise Bill

Subsequently, the conference report is submitted to both the House and the Senate for a conclusive vote. At this juncture, no further modifications are permissible. Both chambers are required to approve the report in its entirety, as presented. 
If both the House and Senate endorse the conference report, the bill is forwarded to the governor, who may either enact it into law or exercise a veto. Conversely, if either chamber rejects the report, the bill is rendered unsuccessful and does not become a law.

Significance of the Process

This procedural framework ensures that both legislative chambers play an equitable role in determining the final version of the law. It also facilitates a thorough examination of any amendments and fosters collaboration among lawmakers to achieve consensus.

 Although the process may be protracted, it is structured to promote compromise and comprehensive scrutiny before the enactment of a bill into law.

For those interested in tracking the progression of bills through the Washington State Legislature, the official website can be accessed at: https://leg.wa.gov/learn-and-participate/
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Highlighted bills from the April 10th Session Spotlight

4/11/2025

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House Bill #1353

Establishing a self-certification program for accessory dwelling unit project permit applications.
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House Bill #1273

Improving student access to dual credit programs.

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Senate Bill #5360

Concerning environmental crimes.
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Learn More
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Highlighted Bills from the April 4 Session Spotlight

4/3/2025

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House Bill #1648

Modifying child care provider qualifications.
More Information

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​House Bill # 1226
House Bill # 1227
Senate Bill # 5801
Senate Bill # 5160
Senate Bill #5161

2025 Transportation Budgets

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House Bill #1975

Amending the climate commitment act
MOre Information
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Washington State’s 2025 Transportation Budget: A Turning Point in Infrastructure Funding

4/2/2025

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​Washington State’s 2025 Transportation Budget: A Turning Point in Infrastructure Funding

In the past week, the Washington State Legislature introduced two major transportation budget proposals—one from the Senate and one from the House—that aimed to tackle the state’s urgent infrastructure and funding needs. Both proposals reflect growing concerns over how to sustainably finance transportation systems as traditional revenue sources, such as the gas tax, become less reliable in the face of evolving technologies and consumer behavior.

Key Components of the Budget Proposals

1. Gas Tax Increase:

Both the Senate and House proposals include raising the state’s gas tax, which is a primary source of transportation revenue. The Senate’s plan proposes a 6-cent per gallon increase beginning July 1, 2025, with a 2% annual adjustment to account for inflation. The House version goes further, proposing a 9-cent increase, also indexed to inflation. These increases are projected to generate $1.5 billion and $1.8 billion respectively over six years.

2. Electric and Hybrid Vehicle Fees:

To address the declining gas tax revenue as more drivers adopt fuel-efficient and electric vehicles, both proposals introduced higher registration fees for these vehicles. The goal is to ensure that all drivers contribute to maintaining the state’s transportation infrastructure regardless of the fuel type.

3. Sales Tax Reallocation:

A key element of the House plan is the reallocation of 0.3% of the state’s sales tax revenue, amounting to approximately $800 million annually, directly into the transportation budget. This aims to create a more stable, long-term funding source that is not solely dependent on user fees such as fuel taxes.

4. Project Commitments and Maintenance:

Both proposals prioritize the completion of existing projects, preserve the current infrastructure, and improve road safety. The Senate’s six-year budget plan commits approximately $9.2 billion to these efforts and also addresses a projected $1 billion shortfall in the 2025–27 transportation budget, securing funding commitments through 2031.

Challenges in Crafting a Sustainable Budget

While both chambers agree on the urgency of addressing transportation funding, several challenges complicate the path to a final budget agreement:

1. Balancing Revenue and Public Burden:

Raising gas taxes and vehicle fees, while necessary for funding, could place a heavier burden on Washington residents, especially those with lower incomes or living in rural areas where driving is essential. Lawmakers must balance the need for revenue with fairness and affordability.

2. Gaining Public Support:

Public resistance to tax hikes and new fees remains a persistent obstacle. Legislators must clearly communicate the long-term benefits of the proposed changes, such as safer roads, less congestion, and job creation, to build public understanding and support.

3. Political Consensus:

Reaching bipartisan agreement is critical but can be difficult, as lawmakers may prioritize different funding methods or infrastructure investments. The budget must reconcile these differences to gain enough votes for passage.

4. Adaptation to Changing Transportation Trends:

As electric vehicles become more common and fuel efficiency improves, traditional revenue sources such as gas tax will continue to decline. Washington must begin transitioning to a more resilient funding model that reflects this reality, possibly through mileage-based fees or the broader use of general tax revenues.

Potential Solutions and the Path Forward

To address these challenges, legislators have been exploring a combination of traditional and innovative funding strategies. These include:

• The implementation of equitable fee structures ensures that all vehicle types contribute fairly.

• Reallocating existing tax revenues such as state sales tax to reduce reliance on user fees.

• Engaging the public with transparent messaging about how funds will be used and why investments are needed.

• Planning for future shifts by studying long-term trends and developing alternative funding models that align with changing vehicle usage patterns.

The 2025 transportation budget discussions represent a pivotal moment for Washington State. With thoughtful negotiations and forward-thinking solutions, the legislature has the opportunity to create a more equitable, sustainable, and effective transportation system that meets both current demands and future challenges.
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A Cap Worth Keeping: How HB 2049 Threatens Property Tax Stability and Housing Affordability in Washington

4/2/2025

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Washington's Property Tax Cap: A Proven Safeguard at Risk Under HB 2049

The Origin of the 1% Property Tax Cap
In 2001, Washington voters overwhelmingly approved Initiative 747 (I-747), a measure aimed at limiting the growth of property taxes. Led by tax reform advocate Tim Eyman, the initiative restricted local governments from increasing their regular property tax levies by more than 1% per year, unless a higher rate was approved directly by voters. The intent was to protect homeowners, seniors, and small businesses from unpredictable tax hikes that could threaten housing stability and economic security.

For over two decades, this law has provided predictability and accountability in property tax policy, balancing the funding needs of local governments with the financial realities of Washington residents.

What HB 2049 Proposes — And Why It Matters

In 2025, House Bill 2049 seeks to undo this balance by removing the 1% cap on property tax increases. If passed, HB 2049 would allow local governments to raise property tax levies beyond the 1% limit without voter approval, giving taxing authorities far more leeway without public input or oversight. While the bill is intended to increase funding for K-12 education and public safety, it eliminates a key taxpayer protection that has shielded residents from volatile and unaffordable tax increases.
​Negative Impacts of House Bill 2049

• Removes voter oversight, allowing tax increases without public approval.
• Enables sharp, unpredictable property tax hikes, creating financial instability.
• Raises the cost of homeownership, making it harder for families to stay in their homes.
• Increases rental housing costs, as property taxes are passed through to tenants.
• Discourages housing development, particularly for affordable and entry-level homes.
• Raises pre-construction costs, making land banking and project financing more difficult.
• Worsens Washington’s housing shortage, especially for low- and moderate-income households.
• Undermines 20+ years of tax stability, eroding a proven safeguard against housing insecurity.
Link to State Bill Site
Bill Overview
How to Testify Guide
Click to make your opposition known
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House Bill 1722 - Secondary career education

4/1/2025

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I am writing on behalf of the Tri-City Regional Chamber of Commerce to express our strong support for House Bill 1722, which seeks to review and revise state restrictions affecting students participating in secondary career and technical education (CTE) programs and other state-approved career pathways. As an organization committed to fostering a skilled and prepared workforce, we believe that this legislation is a crucial step toward enhancing student learning opportunities and better preparing our youth for successful careers.

​CTE programs provide students with practical skills and real-world experiences that are essential for their future employment. By reevaluating and potentially removing unnecessary state-imposed barriers, HB 1722 will enable more students to fully engage in these valuable programs. This increased participation not only enriches students' educational experiences but also equips them with the competencies required in today's dynamic job market.

Furthermore, aligning state regulations with federal standards, as proposed in HB 1722, ensures that educational policies are consistent and supportive of student advancement. By facilitating smoother transitions from education to employment, this bill will contribute to a more robust and capable workforce, ultimately benefiting the economic growth and competitiveness of Washington State.

This bill also helps Washington businesses by preparing students with the skills they needed to join the workforce. When students can learn job-related skills early, they become stronger candidates for employment after graduation. Local businesses benefit from a larger pool of workers who are ready to contribute on day one. HB 1722 supports both students and employers by ensuring that education matches the needs of current jobs.

We believe that HB 1722 is an important step toward building a stronger future workforce in Washington. It provides students with more opportunities to learn and grow and helps businesses find skilled workers in their own communities. For these reasons, the association encourages lawmakers to support House Bill 1722.
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