PORT ANGELES — Legislative conversations in Clallam County have turned toward the federal level.
Clallam County Commissioner Mark Ozias spent time meeting with representatives and federal officials during the first week of March at the National Association of Counties’ legislative conference.
“It was not as useful as it has been previously because of change in the federal administration and general levels of chaos,” Ozias told the Clallam County commissioners during their Monday work session, noting there was less participation from federal agencies this year.
Uncertain status
While in Washington, D.C., Ozias said he heard talks of revoking local governments’ ability to issue tax-exempt municipal bonds, which help fund public projects.
“That’s a major issue,” Commissioner Randy Johnson said.
Given the uncertain status of many federal funds, Ozias said he tried to determine the viability of funds that already had been issued, such as the $35 million RECOMPETE grant, the $80 million secured for the rebuilding of the Hurricane Ridge lodge and the more than $15 million for the Feiro Marine Life Center.
“No member of Congress had any more information than any other on what is going on,” Ozias said. “There’s really just a significant lack of information, and a lot of people are scrambling to try to figure out what’s happening and how to respond to it.”
Ozias, who also sits on the Washington State Association of Counties (WSAC) Legislative Steering Committee, also discussed state-level bills.
Washington’s cutoff for bills to be passed from their house of origin is Wednesday. That means any bills that do not pass out of the chamber in which they were introduced will be considered dead unless they are necessary to implement the budget.
There are still many bills alive in major policy areas that would have local impacts, however.
In the world of housing, Senate Bill 5471 would generally allow middle housing in unincorporated growth and urban growth areas. Middle housing is between single-family homes and large apartment complexes.
The bill passed the Senate unanimously and is now moving through the House.
SB 5576 would allow local governments to implement a short-term rental tax, with the funds from that tax to be used specifically for housing and housing infrastructure. That bill is awaiting a vote on the Senate floor.
Another housing-focused bill, SB 5659, would require local municipalities to approve a certain number of housing permits each year, proportional to the share of the state’s total housing shortage. Those who did not fill the quote would face penalties in terms of distribution of Real Estate Excise Tax (REET) funding.
“They (WSAC) are pushing against that, because we can’t control if developers develop housing in communities or not,” Ozias said. “If the penalty isn’t appropriate to the mechanism, then it doesn’t work.”
In the realm of public defense, Ozias said that, given the tight budget constraints of this legislative session, there isn’t enough support due to the level of funding that would be required to support the bill.
However, he said there are still conversations happening as to whether this year’s budget could include a line item for public defense to help counties in the short term.
“(That would) take pressure off a lot of other (budget) arenas,” Ozias said.
Revenue wise, House Bill 1334 won’t make it out of committee, Ozias said. That bill would have expanded the property tax cap to 3 percent or the rate of inflation, whichever is less.
However, Ozias said the Senate seems to be working on a companion bill, with additional limitations for how that revenue could be used.
In the world of behavioral health, HB 1813 is still alive. That would require a realignment of behavioral health crisis services for Medicaid enrollees during the Health Care Authority’s re-procurement of medical assistance services.
“We’re hoping that that moves forward, because it would give us a little more local flexibility,” Ozias said.
Ozias also mentioned HB 1791, which would “try and harmonize some of the uses between REET 1 and REET 2.”
Currently, REET 1 is dedicated primarily to capital projects and limited maintenance. REET 2 funds are to be used for homeless facilities and affordable housing projects.
The bill would remove some of the restrictions placed on REET revenue and allow municipalities to use funds from either REET tax to fund projects authorized by the other type of REET.
“It seems to have a pretty good chance to move forward,” Ozias said.
________
Reporter Emma Maple can be reached by email at emma.maple@peninsuladailynews.com.
