Sunday, February 28, 2010

Three Bills that Help King County: SB 6051, HB 3027, SB 6424

Monday, 3/1/2010, in the House Finance Committee will vote in Executive Session SB 6051 (King County Hotel Taxes), HB 3027 (Seattle Hotel Taxes), and SB 6424 (County/City Excise Taxes).

HB 3027 - Regarding the governance and financing of the Washington state convention and trade center.
ESSB 6051 - Concerning lodging taxes.
ESSB 6424 - Concerning local excise tax authorities for counties and cities.

All three of these bills could really help King County, and Seattle.


Mr Baker said...

SB 6051 was passed out of committee without amendments. The rules for title of a bill are strict, kind of, the bill was passed as "lodging taxes", so inserting parking taxes and then making those taxes go to something other than arts goes against the intent of the bill.
They are likely going to have to work with the Senate on HB 6051 (most likely) and/or they are going to be very limited with what they can do with SB 6051 on the House side.
They could just pass an arts funding bill SB 6051 (unlikely as-is).
Or they could pass HB 2912. Hopefully that gets many of the restrictive amendments stripped out.

bmac said...

since it passed out of the house finance comitte today doesnt that mean its done?? i thought it already went thru the senate, God this stuff is confusing. I saw the part that you referenced in regards to tourism includes professional sports. Is there enough funding witht his tax to come up with 75 mill for Key Arena, it doesnt look like it when you read the bill. will there be a chance we can use this tourism tax on Key Arena??

Mr Baker said...

SB 6051 passed out of committee, now it has to pass the House Floor. If it passed the House Floor without any amendments then it would be done, and off to the Gov to sign.
The problem with this bill is that it only deals with the lodging tax, and not the Safeco Parking tax, not the car rental tax, there is a clerical error that prevents it from helping Yakama. Sooooo, it does nothing to help workforce housing.
It is, currently, an arts bill. and a community center in Federal Way.
There might be enough money for something like KeyArena. There could be enough, if you project ylthe tax out over 20 years, and slice it up, it is possible.
This is a bit of a mess.

The House has to work with the Senate Ways & Means Committee on HB 2912, that is what this will come down to.

Peter said...

"The House has to work with the Senate Ways & Means Committee on HB 2912, that is what this will come down to."

the senate didnt change it one bit and passed it out of committee.
if they passed it as is out of committee, doesn't that mean the senate is not gonna change it?

Mr Baker said...

HB2912 has a striking amendment from Ed Murray. I just listened to the committee podcast. I would like to read the striking amendment before commenting. My guess is that it is just like SB 6051 without errors.

So, if this is just the lodging tax then the other stadium taxes live on until next session.

Mr Baker said...

Joe Zarelli asked if this bill, with the striker, is just like the one they already passed out of committee. Murray said it pretty much was, and that they had made some mistakes when passing it to the other side.

I wish they would put a fiscal note on these things that were meaningful reading. I had to go find a spreadsheet from another bill just to see the old revenue projections.

Peter said...

"So, if this is just the lodging tax then the other stadium taxes live on until next session."

so they're waiting until next year for keyarena/safeco/husky stadium?

Mr Baker said...

If the bill is written just like SB 6051, addressing just the lodging taxes, then the other taxes still exist until the bonds are paid off.
Something else could be done with them nex year.

I really need to see the bill when it hits the Senate Floor.

Bmac said...

i could be dead by next year. I want it this year. Im sick of waiting, what is this 5 or 6 years in a row to some degree of being turned down. I highly doubt next year will be any different. Same people ,same agendas. I literally hate this state politically. I just dont see how this public would agree to taxpayer money being used for an arena. Unfortunately i think it will end up as a private arena and that sucks cuz it will mean eastside. It needs to be in Seattle

Mr Baker said...

HB 2912 is now just like SB 6051

below is the striking amendment. It reads the same, except the Yakama dates are now right.

I wish this had a fiscal note that wasn't a story problem.

Peter said...

bmac is right. how much longer are we supposed to wait? will ballmer stay in if we tell him no again? i know as i said before that they didn't really get a proposal worth anything until the economy was horrible, and i understand the state's budget problems, but it is starting to get frustrating.

Mr Baker said...

As Brian mentioned at SC, he did not expect anything this year, but next year.

4Culture was planning on laying off starting at the beginning of 2011. they have a problem right now. This bill extends that hotel tax pretty much forever.
Not all of it has been spoken for.
That is a start.

bmac said...

i suppose i just don't understand why we can wait til next year, what's so important about next year, I dont get the timing of things. Has he spelled it out. All i know is that "wait til next year" is used in baseball and its never a good feeling.

Mr Baker said...

Great point, I don't know what Brian knows.

I do think the attempt to do this now is a surprise, the economy is crap, and if you look at HB 2912, they stripped all of the sales tax credits out of those laws, ending a bunch of revenue streams. I would rather have them pass This SB 6051/HB 2912 bill now that is just extends the lodging tax and gives control over to the county, than pass HB 2912 the way it was. If that is the choice.

Btw, those taxes are also not funding workforce housing. I guess that's what happens when the House stripped all those other taxes out of thier bill.
I wonder how Frank Chopp is taking having to wait another year for that.
Oh well, hopefully we can all get what we want next year.

Anonymous said...

Ahhhh...Next year. Where hope and desperation spring enternally for long suffering hoop heads like myself. I'd just like to see some movement---Anywhere. Hell, I'd welcome the Emerald City Center guys back into the fray for some glimmer of hope. I do know this, (I really I was wrong)aint nothing happening while McGinn is in the mayor's office. He's too busy fighting windmills.

Mr Baker said...

I would prefer to wait for the legislation to pass, but, since Brian said it, I'll mention it too; the bill the has just the hotel tax generates about 17 million in 2015 and increases with inflation to about 20 million in 2020. So, it goes up a little every year.

Brian said, "The small silver lining that we’re stuck with accepting is that they passed the taxes in a way that they are now authorized, but King County will never agree to utilize them. What that sets up for the next couple of years is the concept of King County making a request to change what they can be used for and the legislature authorizing those “pre-exising taxes” to be used the way the county wants them to at the counties request. They can make the duel claims that they are simply respecting the autonomy of the county to spend their own money as they see fit and that they are not authorizing any new taxes for sports. It does set up the future game marginally better as we continue to lower our expectations.".

Federal way wants to build a public space, meeting hall, commuity building. That could consume 5 million a year.
The arts 4culture would consume 37%, that is another 7 to 9 million (depending on the year you are looking at the revenue).
The rest of the money has not been spoken for, yet.

The bill has not passed yet, but, if it does then we may be able to turn to King county, and a fund that can not supplant existing funds, and can not be used for metro-jails-human services.

King county would want to turn back to the state and ask for a sales tax credit, or something.

Mr Baker said...

King5 just reported, I think in error, that HB 2912 passed from the Senate.