Senate Bill Report SB 5336 — Population Criteria for the Main Street Trust Fund Tax Credit (January 17, 2023)

Summary

Senate Bill Report on SB 5336, as of January 17, 2023, for an act relating to population criteria for the main street trust fund tax credit. The bill clarifies that local governments with a population greater than 190,000 can continue to be eligible for the Washington State Main Street Program tax incentives if they were previously designated when the population of the local government was less than 190,000. The background section states a population of 192,169 for the city of Vancouver, Washington, as of 2021. Persons testifying under PRO are Senator Annette Cleveland, Prime Sponsor; Brian Enslow, City of Vancouver; and Michael Walker, Vancouver Downtown Association. The bill takes effect ninety days after adjournment of the session in which it is passed.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Full text

                             SENATE BILL REPORT
                                   SB 5336

                                       As of January 17, 2023

Title: An act relating to population criteria for the main street trust fund tax credit.

Brief Description: Concerning population criteria for the main street trust fund tax credit.

Sponsors: Senators Cleveland, Wilson, L., Frame and Mullet.

Brief History:
     Committee Activity: Business, Financial Services, Gaming & Trade: 1/17/23.


                                      Brief Summary of Bill
           • Clarifies that local governments with a population greater than 190,000
             can continue to be eligible for the Washington State Main Street
             Program tax incentives if they were previously designated to be eligible
             for the program when the population of the local government was less
             than 190,000.


SENATE COMMITTEE ON BUSINESS, FINANCIAL SERVICES, GAMING & TRADE

     Staff: Clint McCarthy

     Background: The Washington State Main Street Program (Program) provides technical
     assistance for local comprehensive downtown or neighborhood commercial district
     revitalization initiatives. The Department of Archeology and Historic Preservation (DAHP)
     operates the Program through a contract with the Washington Trust for Historic
     Preservation. DAHP provides initial site evaluations by technical specialists, training for
     local programs and staff, and design and implementation assistance to local governments,
     businesses, organizations, and property owners undertaking revitalization initiatives.

     In 2021, the Legislature expanded the total business and occupation (B&O) tax or public
     utility tax (PUT) credit allowed under the Main Street Tax Incentive Program to 75 percent,



     This analysis was prepared by non-partisan legislative staff for the use of legislative
     members in their deliberations. This analysis is not part of the legislation nor does it
     constitute a statement of legislative intent.

Senate Bill Report                               -1-                                            SB 5336
     for contributions made to the state Main Street Trust Fund beginning in calendar year 2021.
     The program continued to be limited to local governments with a population of less than
     190,000.

     As of 2021, the U.S. Census data reports that the city of Vancouver, Washington, has a
     population of 192,169. In 2022, the Legislature clarified that the Program criteria for a
     population less than 190,000 within a local government's boundary is to be determined at
     the time of designation by amending the Program chapter associated with RCW
     43.360.030. Similar language found in the Washington Main Street Program Tax
     Incentives chapter RCW 82.73.030 was not adjusted to account for the time of designation.

     Summary of Bill: The Washington Main Street Program Tax Incentives chapter clarifies
     the Program criteria for having a population less than 190,000 within a local government's
     boundary is to be determined at the time of designation.

     Appropriation: None.

     Fiscal Note: Requested on January 13, 2023.

     Creates Committee/Commission/Task Force that includes Legislative members: No.

     Effective Date: Ninety days after adjournment of session in which bill is passed.

     Staff Summary of Public Testimony: PRO: This is a technical fix to the bill that was
     passed in 2022. This bill is important to the people of Vancouver to ensure the continuation
     of the program. Without this program, we would not have so many of the valued
     improvements that have enriched our downtown community. The provisions that apply to
     the tax credit piece were not updated with the program authorizing statute. Downtown
     Vancouver has been in transition for the past four years trying to achieve a city center. We
     want to create a vibrant city center and improve the quality life of our residents.

     Persons Testifying: PRO: Senator Annette Cleveland, Prime Sponsor; Brian Enslow, City
     of Vancouver; Michael Walker, Vancouver Downtown Association.

     Persons Signed In To Testify But Not Testifying: No one.




Senate Bill Report                            -2-                                        SB 5336


File and source

File

2023-01-19_a30404_d248118_bill-report-5336-sbr-bfgt-ta-23.pdf

Size

7,625 bytes

SHA-256

273dbeae1ebc518acccab83dbcdb1e9f0e105e6d4a7580f717f2dbaf1b25bc08

Our copy

2023-01-19_a30404_d248118_bill-report-5336-sbr-bfgt-ta-23.pdf

Original

app.leg.wa.gov