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Fiscal Note - HB 2325, Tourism Self-Supported Assessment Program (Preliminary 1/27/2026)

Summary

This is the Multiple Agency Fiscal Note Summary for 2325 HB, titled Tourism Self-Supported Assessment Program, with a Preliminary date of 1/27/2026. The Administrative Office of the Courts judicial impact note checks No Fiscal Impact, and the Office of Attorney General is listed as fiscal note not available. The Department of Commerce note says assessment funds would go into a separate non-state Tourism Assessment Account and are not subject to legislative appropriation, and that projected total fees are indeterminate. Using the .004% fee rate it attributes to California, the note estimates the account would generate $228,969,927 per fiscal year.

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

Cite this document

“Fiscal Note - HB 2325, Tourism Self-Supported Assessment Program (Preliminary 1/27/2026).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2026-01-28-a33764-d293366-2325-fn-preliminary-01-27-26-463ff38021/, SHA-256 f82b3321dc6600545446a240a40f9dc02e952dbed8d66c21ec564632589eb25e.

Full text

                                         Multiple Agency Fiscal Note Summary
    Bill Number: 2325 HB                                     Title: Tourism Self-Supported Assessment Program

 Estimated Cash Receipts
   Agency Name                                 2025-27                                                  2027-29                                       2029-31
                             GF-State       NGF-Outlook         Total                GF-State NGF-Outlook                Total        GF-State   NGF-Outlook              Total
   Department of                     0                0                     0          594,354     594,354               594,354       1,188,708   1,188,708             1,188,708
   Commerce

             Total $                    0                0                  0             594,354         594,354        594,354       1,188,708      1,188,708          1,188,708


   Agency Name                                               2025-27                                           2027-29                                2029-31
                                                     GF- State       Total                              GF- State      Total                   GF- State      Total
   Local Gov. Courts                               No fiscal impact

   Loc School dist-SPI
   Local Gov. Other
   Local Gov. Total

 Estimated Operating Expenditures
Agency Name                              2025-27                                                    2027-29                                                    2029-31
                    FTEs GF-State NGF-Outlook                  Total            FTEs GF-State NGF-Outloo                Total         FTEs    GF-State       NGF-Outlook      Total
Administrative         .0             0             0                   0            .0             0             0              0      .0               0               0            0
Office of the
Courts
Office of Attorney Fiscal note not available
General
Department of          1.0     207,697         207,697         207,697            1.2       202,303        202,303      796,657        1.5         5,512          5,512      1,194,220
Commerce

          Total $      1.0     207,697         207,697         207,697           1.2        202,303        202,303      796,657        1.5         5,512          5,512      1,194,220

Agency Name                                      2025-27                                                2027-29                                    2029-31
                                 FTEs       GF-State            Total                FTEs        GF-State             Total          FTEs     GF-State            Total
 Local Gov. Courts               No fiscal impact

 Loc School dist-SPI
 Local Gov. Other
 Local Gov. Total

 Estimated Capital Budget Expenditures
  Agency Name                                     2025-27                                             2027-29                                       2029-31
                                 FTEs           Bonds            Total               FTEs           Bonds              Total         FTEs          Bonds            Total
  Administrative Office of            .0                 0                       0          .0                0                  0       .0                   0               0
  the Courts
  Office of Attorney             Fiscal note not available
  General
  Department of Commerce              .0                 0                       0          .0                0                  0       .0                   0               0

                       Total $      0.0                  0                       0         0.0                0                  0      0.0                   0               0




        FNPID: 75828

  FNS029 Multi Agency rollup
Agency Name                        2025-27                     2027-29                        2029-31
                       FTEs    GF-State      Total   FTEs   GF-State     Total     FTEs    GF-State      Total
 Local Gov. Courts     No fiscal impact

 Loc School dist-SPI
 Local Gov. Other
 Local Gov. Total


Estimated Capital Budget Breakout




 Prepared by:   Marie Davis, OFM                                          Phone:            Date Published:
                                                                          (360) 890-1163    Preliminary 1/27/2026




     FNPID: 75828

 FNS029 Multi Agency rollup
                                           Judicial Impact Fiscal Note

Bill Number:         2325 HB                Title:    Tourism Self-Supported Assessment Program                 Agency: 055-Administrative Office of
                                                                                                                        the Courts

Part I: Estimates
 X        No Fiscal Impact

Estimated Cash Receipts to:

     NONE


Estimated Expenditures from:
     NONE


Estimated Capital Budget Impact:
          NONE




     The revenue and expenditure estimates on this page represent the most likely fiscal impact. Responsibility for expenditures may be
     subject to the provisions of RCW 43.135.060.
     Check applicable boxes and follow corresponding instructions:
        If fiscal impact is greater than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete entire fiscal note
        form Parts I-V.
        If fiscal impact is less than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete this page only (Part I).
          Capital budget impact, complete Part IV.

     Legislative Contact:        Martha Wehling                                               Phone: 360-786-7067             Date: 01/08/2026
     Agency Preparation:         Adam Lewis                                                   Phone: 3607055310               Date: 01/13/2026
     Agency Approval:            Chris Stanley                                                Phone: 360-357-2406             Date: 01/13/2026
     OFM Review:                 Gaius Horton                                                 Phone: (360) 819-3112           Date: 01/15/2026

     207,594.00                                                                                                                           Request # 018-1
      Form FN (Rev 1/00)                                                1                                                                 Bill # 2325 HB
FNS061 Judicial Impact Fiscal Note
Part II: Narrative Explanation
II. A - Brief Description Of What The Measure Does That Has Fiscal Impact on the Courts
  House Bill 2325 creates a tourism self-supported assessment program to fund statewide tourism promotion by levying annual fees on
  tourism-related businesses, subject to industry ratification. It establishes a ratepayer oversight board to manage funds and program
  effectiveness, ensures confidentiality of business data, and provides enforcement mechanisms for nonpayment.
II. B - Cash Receipts Impact
  No impact

II. C - Expenditures
  This bill will have no fiscal impact on the Administrative Office of the Courts.

Part III: Expenditure Detail
III. A - Expenditure By Object or Purpose (State)
 NONE
III. B - Expenditure By Object or Purpose (County)
 NONE
III. C - Expenditure By Object or Purpose (City)
 NONE
III. D - FTE Detail
 NONE
III. E - Expenditures By Program (optional)
     NONE


Part IV: Capital Budget Impact
 IV. A - Capital Budget Expenditures

        NONE

 IV. B1 - Expenditures by Object Or Purpose (State)
         NONE


IV. B2 - Expenditures by Object Or Purpose (County)
        NONE


IV. B3 - Expenditures by Object Or Purpose (City)
        NONE

IV. C - Capital Budget Breakout
 Identify acquisition and construction costs not reflected elsewhere on the fiscal note and dexcribe potential financing methods

        NONE
No impact




   207,594.00                                                                                                                      Request # 018-1
    Form FN (Rev 1/00)                                                  2                                                          Bill # 2325 HB
FNS061 Judicial Impact Fiscal Note
                            Individual State Agency Fiscal Note

Bill Number:      2325 HB                Title:     Tourism Self-Supported Assessment Program                 Agency: 103-Department of
                                                                                                                      Commerce

Part I: Estimates
      No Fiscal Impact

Estimated Cash Receipts to:
 ACCOUNT                                                    FY 2026             FY 2027             2025-27              2027-29            2029-31
 General Fund-State           001-1                                                                                           594,354        1,188,708
                                          Total $                                                                             594,354        1,188,708


Estimated Operating Expenditures from:
                                                       FY 2026               FY 2027              2025-27              2027-29              2029-31
 FTE Staff Years                                              1.0                   1.0                 1.0                   1.2                 1.5
 Account
 General Fund-State       001-1                                     0            207,697             207,697               202,303               5,512
 General Fund-Private/Local                                         0                  0                   0               594,354           1,188,708
    001-7
                                       Total $                      0            207,697             207,697               796,657           1,194,220


Estimated Capital Budget Impact:

    NONE




   The cash receipts and expenditure estimates on this page represent the most likely fiscal impact. Factors impacting the precision of these estimates,
   and alternate ranges (if appropriate), are explained in Part II.

  Check applicable boxes and follow corresponding instructions:
      If fiscal impact is greater than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete entire fiscal note
  X
      form Parts I-V.
      If fiscal impact is less than $50,000 per fiscal year in the current biennium or in subsequent biennia, complete this page only (Part I).

      Capital budget impact, complete Part IV.

      Requires new rule making, complete Part V.


   Legislative Contact:     Martha Wehling                                                  Phone: 360-786-7067              Date: 01/08/2026
   Agency Preparation:      Lucas Rubstello                                                 Phone: (206) 613-7565            Date: 01/27/2026
   Agency Approval:         Lucas Rubstello                                                 Phone: (206) 613-7565            Date: 01/27/2026
  OFM Review:               Marie Davis                                                     Phone: (360) 890-1163            Date: 01/27/2026

Form FN (Rev 1/00) 207,584.00                                                                                                     Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                              1                                                             Bill # 2325 HB
Part II: Narrative Explanation
II. A - Brief Description Of What The Measure Does That Has Fiscal Impact
Significant provisions of the bill and any related workload or policy assumptions that have revenue or expenditure impact on the responding agency
by section number.

 HB 2325 establishes a statewide tourism assessment program within the Washington State Tourism and Marketing
 Authority (WTMA) that intends to provide resources to market Washington as a premier travel destination. The program
 is designed to be self-sustained through funds collected from participating tourism industry businesses.

 The WTMA is to create a Ratepayer Oversight Board that oversees the management of the tourism assessment program
 and the tourism assessment account. With sustained funding for both investment and management of statewide tourism
 efforts

 Existing Section 12(4) requires the Department of Commerce to provide administrative assistance and service as the fiscal
 agent for the Washington Tourism Marketing Authority. The department assumes this assistance continues regarding the
 creation of the tourism assessment program as outlined in Section 12(3) of this bill. The tourism assessment program
 includes the creation of the Ratepayer Oversight Board by the WTMA.


 Section 4 – Ratepayer Oversight Board

 Section 4(1): The WTMA is the appointing authority for the creation of the new ratepayer oversight board, consisting of
 10 members with at least 2 representatives from each sector identified in Section 2(4)

 Section 4(2)(a)-2(d): Outlines the board’s initial membership selection, terms, future appointments, and member removals.

 Section 4(3): The ratepayer oversight board provides oversight of the tourism assessment funds and programming,
 including:
     Section 4(3)(a) – Approving annual budget and expenditure plan.
     Section 4(3)(b) – Provide annual report to the WTMA.

 Section 4(4): The ratepayer oversight board will elect a chair and meet at least quarterly.

 Section 5– Assessments

 Section 5(1): The ratepayer oversight board is to design the tourism assessment program, which includes the following:
     Section 5(1)(a) – Sector specific classifications
     Section 5(1)(b) – Assessment methodology and rates for each business sector
     Section 5(1)(c) – Develop a referendum process for ratification
     Section 5(1)(d) – Opt-out provisions
     Section 5(1)(e) – Revenue thresholds for businesses assessed in each sectors
     Section 5(1)(f) – Program team length
     Section 5(1)(g) – Develop appointment process for the ratepayer oversight board

 Section 5(2): Per ratification according to Section 6, the WTMA will collect from all participating tourism businesses in
 the state an annual assessment to be calculated as a percentage of gross revenue

 Section 6– Ratification Mechanism

 Section 6(1)(a): Within 3 years of the effective date of this legislation, the ratepayer oversight board shall conduct a
 referendum among affected businesses to ratify the tourism assessment program. Should the ratification fail, the board
 may resubmit the same or modified proposal beyond the three-year limitation.

Tourism Self-Supported Assessment Program                                                                         103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                                             Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                          2                                                          Bill # 2325 HB
 Section 6(1)(b): Each assessed business is to have a weighted vote based on projected assessment paid by that business

 Section 6(1)(c): Outlines the assessed business being part of one industry sector and one sector-segment. For voting
 purposes, should a business be in multiple industry sector or sector segments, they will be included in which it earns the
 most gross revenue

 Section 6(1)(d): A sector’s assessment can only be approved by a majority votes of their respective sector.

 Section 6(2): Assessments go into effect once ratified by vote and collected on an annual basis.

 Section 6(3): Costs of referendums authorized in Section 6 are to be paid by the authority and reimbursed by the fund.

 Section 7 – Assessment Collection and Accounting

 Section 7(1): The WTMA collects assessments annually from participating businesses.

 Section 7(2): Assessment funds are deposited in a non-state separate Tourism Assessment Account. Assessment funds are
 not considered state funds and are not subject to legislative appropriation.

 Section 7(2)(a): Funds must be used solely for tourism promotion.

 Section 7(2)(b): Must be used to cover administrative and enforcement costs.

 Section 8 – Non-Payment and Enforcement

 Section 8(1): Failure to pay an assessment constitutes a debt to the state.

 Section 8(2): The WTMA may impose a penalty of up to 10% of the unpaid assessment and bring civil action in court to
 recover unpaid assessments

 Section 13 – WTMA Membership

 Section 13(c): Expands the board from nine members to thirteen.
II. B - Cash receipts Impact
Cash receipts impact of the legislation on the responding agency with the cash receipts provisions identified by section number and when appropriate,
the detail of the revenue sources. Description of the factual basis of the assumptions and the method by which the cash receipts impact is derived.
Explanation of how workload assumptions translate into estimates. Distinguished between one time and ongoing functions.

 Cash Receipt Impacts:

 Section 7(2)(b) allows for the tourism assessment program to cover administrative costs. Expenditures incurred by the
 Department of Commerce as outlined in this fiscal note will be billed to the Ratepayer Authority Board to be reimbursed
 to the state. The Department of Commerce assumes that funds will be available for reimbursement of expenses in FY 29
 per section 6(1)(a) that requires the Ratepayer Oversight Board to conduct a referendum on the assessment program by
 that time.

 Estimated amounts:

 FY 29: $594,354
 FY 30: $594,354
 FY 31: $594,354


Tourism Self-Supported Assessment Program                                                                          103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                                              Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                           3                                                          Bill # 2325 HB
 Estimated revenue impact for the described tourism assessment program:

 HB 2325 establishes an industry assessment program that would result in the collection of fees to support state tourism
 initiatives. Per Section 7, assessment funds are to be deposited in a separate non-state Tourism Assessment Account.
 Funds are not to be considered state funds and are not subject to legislative appropriation.

 Projected total fees to be collected are indeterminate as the participating industries are yet to be identified nor ratified by
 participating industries. The process of assessment development is outlined in Sections 5 and 6 of this act.

 Estimated funding amounts collected for the Tourism Assessment Account can be made by using values from a
 comparable program in California and using Department of Revenue data, comprehensive of the state tourism and
 hospitality industries business and occupation (B&O) tax paid in fiscal year 2025. The following assumptions are made:
 • The assessment is based on the gross business income. In 2025, there were 28,487 businesses that paid B&O tax
 totaling $57,242,481,643 in gross business revenue.
 • The 2025 B&O revenue paid to the state totaled $201,538,567.
 • In a similar model proposed in this bill, the state of California assesses up to a .004% fee rate to participating
 industries. Applying that to Washington’s tourism and hospitality industry’s gross business revenue, the Tourism
 Assessment Account would generate $228,969,927 per fiscal year.

 Estimated Revenue for Tourism Assessment Account:
 FY 29: $228,969,927
 FY 30: $228,969,927
 FY 31: $228,969,927
II. C - Expenditures
Agency expenditures necessary to implement this legislation (or savings resulting from this legislation), with the provisions of the legislation that result
in the expenditures (or savings) identified by section number. Description of the factual basis of the assumptions and the method by which the
expenditure impact is derived. Explanation of how workload assumptions translate into cost estimates. Distinguished between one time and ongoing
functions.

 The Department of Commerce (department) assumes that prior to the tourism assessment program to be in place and funds
 available in the tourism assessment account, defined in section 6(1)(a) as within three years of effective date (FY29), to
 cover administrative costs as outlined in section 7(2)(b) the state will be responsible for the administrative fiscal impacts
 incurred by the WTMA, the Department of Commerce and the Ratepayer Oversight Board.


 Section 4– Ratepayer Oversight Board

 General Assumptions:
 In alignment with the expectations set in Section 12(a) the department assumes it will provide administration support in
 the creation of the Ratepayer Oversight Board. This includes the appointment process of initial and future members,
 meeting support, document creation and retention, logistical and general operational management.

 Commerce assumes the need of .30 FTE Program Manager to support the work of the Ratepayer Oversight Board.

 With Attorney General’s Office consultation, Assistant Attorney General support of 30 hours in the first year of enactment
 and 15 hours per year thereafter.

 Section 5– Assessments

 General Assumptions:
 The department assumes it is to provide program management services to the Ratepayer Oversight Board for the creation
 of the tourism assessment program. This includes but is not limited to tourism sector research, process development,
 program guidelines and operational support.


Tourism Self-Supported Assessment Program                                                                                103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                                                    Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                              4                                                             Bill # 2325 HB
 Commerce assumes the need of .30 FTE Program Manager to support the development and execution of the tourism
 assessment program.

 Section 6 – Ratification Mechanism

 Section 6(1)(a): Within 3 years of the effective date of this legislation, the ratepayer oversight board shall conduct a
 referendum among affected businesses to ratify the tourism assessment program. Should the ratification fail, the board
 may resubmit the same or modified proposal beyond the three-year limitation.

 Section 6(3): Costs of referendums authorized in Section 6 are to be paid by the authority and reimbursed by the fund.

 General Assumptions:
 The department assumes the need for a .30 FTE Program Manager to provide program management services to the
 Ratepayer Oversight Board for the development and execution of the referendum process. This includes but is not limited
 to referendum process development, industry outreach and communication, voting tabulation and record keeping.

 With the requirement for a referendum being conducted within three years of the effective legislative date, the department
 assumes funds will be available in the Tourism Assessment Account to pay for referendum costs, which include
 administrative and operational costs.

 Section 7– Assessment Collection and Accounting

 Section 7(1): The WTMA collects assessments annually from participating businesses.

 Section 7(2): Assessment funds are deposited in a non-state separate Tourism Assessment Account. Assessment funds are
 not considered state funds and are not subject to legislative appropriation.

 Section 7(2)(b): Must be used to cover administrative and enforcement costs.

 General Assumptions:
 The department assumes it is to provide budget support for the collection of fees, and operations around the tourism
 assessment account and administrative costs are to be covered by the account.

 This work is to be completed by .25 FTE of a Budget Analyst

 Section 8 (NEW SECTION) – Non-Payment and Enforcement

 Section 8(1): Failure to pay an assessment constitutes a debt to the state.

 Section 8(2): The WTMA may impose a penalty of up to 10% of the unpaid assessment and bring civil action in court to
 recover unpaid assessments

 General Assumptions:
 With consultation from the Attorney General’s Office, enforcement of Section 8(2) would require legal costs to the
 WTMA. It is assumed that total annual enforcement costs, after the first referendum is ratified, to be .75 FTE Assistant
 Attorney General. This assumes assessments will be leveled on at least six tourism sectors identified in Section 10, a
 minimum of 5 unpaid assessments in each of the six sectors annually, and a minimum of 30 enforcement action per year
 at 40 hours of AAG time per enforcement action.

 Section 9 – Records and Confidentiality

 General Assumptions:
 Commerce assumes the need of .10 FTE Program Manager for records management for the program.

Tourism Self-Supported Assessment Program                                                        103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                            Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                  5                                                 Bill # 2325 HB
 Total Staffing Impacts

 1.0 FTE Program Manager (Management Analyst 4), FY27-31, to manage the overall program in the creation and
 execution of the tourism assessment program. This includes but is not limited to the creation of the Ratepayer Oversight
 Board, record management and general operational support. Participates in networking events and general stakeholder
 relations aspects of the program. After year three (FY 29), FTE costs are to be covered by available funds in the tourism
 assessment account.

 .25 FTE Budget Analyst 3, FY29-31, to provide budget support for the creation and operations around the collection and
 distribution of industry assessment fees. FTE costs are to be covered by available funds in the tourism assessment account.

 .20 FTE Commerce Specialist 3, FY29-31 to manage program procurement and contracting processes. This position will
 act as the program contracts manager, create applicable program templates, manage post-award contract specifics as it
 relates to disbursement of Tourism Assessment Account funds. FTE costs are to be covered by available funds in the
 tourism assessment account.



 In person Meetings

 HB 2325 section 13(c) increases WTMA headcount from 9-13. Current funding supports one in-person meeting per year.

 One annual in-person meeting is also assumed for the Ratepayer Authority Board.

 Historical meeting costs are used to set a per person cost to estimate fiscal impact.

 Avg meeting cost for 9 WTMA members is estimated at:
 • $5,200 in travel
 • $1,000 in facilities costs
 • Per person cost of 689$

 Fiscal impact from WTMA board expansion is estimated at $2,756 annually starting in FY 27 and ongoing.

 Fiscal impact for the Ratepayer Authority Board is estimated at $6,201 plus one member of the department for
 administrative support at $689. Total annual cost of $6,809 for FY 27 and FY 28. After year three (FY 29), costs are to be
 covered by available funds in the tourism assessment account, for FY 29 and on only the departments costs will be
 recorded within state expenditure.

 Estimate of legal fiscal impact of the bill if enacted:

 AAG hours year 1 for advice: 30hrs, $210 per hour, totaling $6,300
 AAG hours for advice each year thereafter: 15hrs, $210 per hour, totaling $3,150

 AAG 1,560 annual hours, FY29-31, to provide legal services regarding assessment non-payment and enforcement per
 Section 7. FTE costs are to be covered by available funds in the tourism assessment account.



 Salaries and Benefits
 FY27: $138,065
 FY28: $138,065
 FY29: $194,127

Tourism Self-Supported Assessment Program                                                       103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                           Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                  6                                                Bill # 2325 HB
 FY30: $194,127
 FY31: $194,127

 Goods and Services
 FY27: $11,300
 FY28: $8,150
 FY29: $338,000
 FY30: $338,000
 FY31: $338,000
 *Includes AGO Costs for advisement and assessment/enforcement of non-payment.

 Travel
 FY27: $9,565
 FY28: $9,565
 FY29: $3,445
 FY30: $3,445
 FY31: $3,445
 *Includes travel costs for in-person meetings. Costs reduce in FY 29 as Ratepayer Authority moves expenses to the
 established tourism assessment account.

 Capital Outlays
 FY27: $5,000

 Intra-agency Reimbursement
 FY27: $43,767
 FY28: $43,767
 FY29: $61,538
 FY30: $61,538
 FY31: $61,538

 Total Costs
 FY27: $207,697
 FY28: $199,547
 FY29: $597,110
 FY30: $597,110
 FY31: $597,110

Part III: Expenditure Detail
III. A - Operating Budget Expenditures
Account Account Title          Type          FY 2026           FY 2027      2025-27      2027-29         2029-31
 001-1      General Fund       State                   0          207,697     207,697      202,303            5,512
 001-7      General Fund       Private/Lo              0                0           0      594,354        1,188,708
                               cal
                                 Total $               0         207,697      207,697       796,657       1,194,220




Tourism Self-Supported Assessment Program                                                103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                    Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                 7                                          Bill # 2325 HB
 III. B - Expenditures by Object Or Purpose
                                                     FY 2026              FY 2027              2025-27              2027-29              2029-31
  FTE Staff Years                                               1.0                  1.0                 1.0                 1.2                1.5
  A-Salaries and Wages                                                           93,287               93,287            224,454             262,334
  B-Employee Benefits                                                            44,778               44,778            107,738             125,920
  C-Professional Service Contracts
  E-Goods and Other Services                                                     11,300               11,300            346,150             676,000
  G-Travel                                                                        9,565                9,565             13,010               6,890
  J-Capital Outlays                                                               5,000                5,000
  M-Inter Agency/Fund Transfers
  N-Grants, Benefits & Client Services
  P-Debt Service
  S-Interagency Reimbursements
  T-Intra-Agency Reimbursements                                                  43,767               43,767            105,305             123,076
  9-
                                Total $                           0             207,697              207,697            796,657           1,194,220

 III. C - Operating FTE Detail: List FTEs by classification and corresponding annual compensation. Totals need to agree with total FTEs in
          Part I and Part IIIA

  Job Classification                                Salary            FY 2026         FY 2027          2025-27          2027-29           2029-31
  Budget Analyst 3                                       80,483                                                                    0.1             0.3
  Commerce Specialist 3                                  88,795                                                                    0.1             0.2
  Management Analyst 4                                   93,287               1.0              1.0               1.0               1.0             1.0
                              Total FTEs                                      1.0              1.0               1.0               1.2             1.5

III. D - Expenditures By Program (optional)
  Program                                                    FY 2026           FY 2027             2025-27             2027-29           2029-31
  Office of Economic Development and                                                207,697            207,697           796,657          1,194,220
  Competitiveness (700)
                                              Total $                               207,697            207,697           796,657          1,194,220



 Part IV: Capital Budget Impact
  IV. A - Capital Budget Expenditures
       NONE

 IV. B - Expenditures by Object Or Purpose
        NONE

IV. C - Capital Budget Breakout
 Acquisition and construction costs not reflected elsewhere on the fiscal note and description of potential financing methods.
       NONE

 IV. D - Capital FTE Detail: FTEs listed by classification and corresponding annual compensation. Totals agree with total FTEs in Part IVB.

      NONE

Part V: New Rule Making Required
Provisions of the bill that require the agency to adopt new administrative rules or repeal/revise existing rules.




Tourism Self-Supported Assessment Program                                                                                 103-Department of Commerce
Form FN (Rev 1/00) 207,584.00                                                                                                     Request # 15-700-1
FNS063 Individual State Agency Fiscal Note                               8                                                             Bill # 2325 HB
                                              Multiple Agency Ten-Year Analysis Summary
 Bill Number                                     Title
 2325 HB                                         Tourism Self-Supported Assessment Program


This ten-year analysis is limited to the estimated cash receipts associated with the proposed tax or fee increases.

Estimated Cash Receipts
                                              Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year   2026-35
                                                 2026        2027        2028        2029        2030        2031        2032        2033        2034        2035       TOTAL
Administrative Office of the Courts                      0         0           0           0           0           0           0           0           0           0              0
Department of Commerce                                   0         0           0     594,354     594,354     594,354     594,354     594,354     594,354     594,354    4,160,478
 Partially Indeterminate Impact
                                      Total              0         0           0     594,354     594,354     594,354     594,354     594,354     594,354     594,354    4,160,478




 FNS067 Multiple Agency Ten-Year Analysis Summary                                     1
                                                                    Ten-Year Analysis
 Bill Number                             Title                                                                    Agency
 2325 HB                                 Tourism Self-Supported Assessment Program                                055 Administrative Office of the Courts

This ten-year analysis is limited to agency estimated cash receipts associated with the proposed tax or fee increases. The Office of Financial Management
ten-year projection can be found at http://www.ofm.wa.gov/tax/default.asp .

Estimates
 X     No Cash Receipts                                Partially Indeterminate Cash Receipts                                Indeterminate Cash Receipts

 Name of Tax or Fee    Acct
                       Code




 Agency Preparation: Adam Lewis                       Phone:    3607055310                Date: 1/13/2026 8:11:44 am
     Agency Approval: Chris Stanley                   Phone:    360-357-2406              Date: 1/13/2026 8:11:44 am
        OFM Review:                                   Phone:                              Date:

 FNS066 Ten-Year Analysis                                                             1
                                                                           Ten-Year Analysis
 Bill Number                                     Title                                                                  Agency
 2325 HB                                         Tourism Self-Supported Assessment Program                              103 Department of Commerce

This ten-year analysis is limited to agency estimated cash receipts associated with the proposed tax or fee increases. The Office of Financial Management
ten-year projection can be found at http://www.ofm.wa.gov/tax/default.asp .

Estimates
      No Cash Receipts                                   X     Partially Indeterminate Cash Receipts                              Indeterminate Cash Receipts

Estimated Cash Receipts

 Name of Tax or Fee           Acct    Fiscal        Fiscal      Fiscal      Fiscal        Fiscal        Fiscal      Fiscal       Fiscal      Fiscal      Fiscal     2026-35
                              Code   Year 2026     Year 2027   Year 2028   Year 2029     Year 2030     Year 2031   Year 2032    Year 2033   Year 2034   Year 2035   TOTAL
 Tourism Assessment           NEW                                             594,354       594,354      594,354      594,354     594,354     594,354     594,354   4,160,478
 Program



                      Total                                                    594,354      594,354      594,354      594,354     594,354     594,354     594,354   4,160,478

       Biennial Totals                                               594,354                     1,188,708               1,188,708              1,188,708           4,160,478



Narrative Explanation (Required for Indeterminate Cash Receipts)
 Cash Receipts impacts:

 Section 7(2)(b) allows for the tourism assessment program to cover administrative costs. Expenditures incurred by the Department of Commerce as outlined in this fiscal
 note will be billed to the Ratepayer Authority Board to be reimbursed to the state. The Department of Commerce assumes that funds will be available for reimbursement
 of expenses in FY 29 per section 6(1)(a) that requires the Ratepayer Oversight Board to conduct a referendum on the assessment program by that time.

 Estimated amounts:

 FY 29: $594,354
 FY 30: $594,354
 FY 31: $594,354
 FY 32: $594,354
 FY 35: $594,354

 FNS066 Ten-Year Analysis                                                                    1
                                                                        Ten-Year Analysis
 Bill Number                               Title                                                                        Agency
 2325 HB                                   Tourism Self-Supported Assessment Program                                    103 Department of Commerce

This ten-year analysis is limited to agency estimated cash receipts associated with the proposed tax or fee increases. The Office of Financial Management
ten-year projection can be found at http://www.ofm.wa.gov/tax/default.asp .

Narrative Explanation (Required for Indeterminate Cash Receipts)

 FY26-35 total: $4,160,478


 Estimated revenue impacts for the described tourism assessment program:

 HB 2325 establishes an industry assessment program that would result in the collection of fees to support state tourism initiatives. Per Section 7, assessment funds are
 to be deposited in a separate non-state Tourism Assessment Account. Funds are not to be considered state funds and are not subject to legislative appropriation.

 Projected total fees to be collected are indeterminate as the participating industries are yet to be identified nor ratified by participating industries. The process of
 assessment development is outlined in Sections 5 and 6 of this act.

 Estimated funding amounts collected for the Tourism Assessment Account can be made by using values from a comparable program in California and using Department
 of Revenue data, comprehensive of the state tourism and hospitality industries business and occupation (B&O) tax paid in fiscal year 2025. The following assumptions
 are made:
 • The assessment is based on the gross business income. In 2025, there were 28,487 businesses that paid B&O tax totaling $57,242,481,643 in gross business
 revenue.
 • The 2025 B&O revenue paid to the state totaled $201,538,567.
 • In a similar model proposed in this bill, the state of California assesses up to a .004% fee rate to participating industries. Applying that to Washington’s tourism and
 hospitality industry’s gross business revenue, the Tourism Assessment Account would generate $228,969,927 per fiscal year.

 Estimated Revenue for Tourism Assessment Account:
 FY 29: $228,969,927
 FY 30: $228,969,927
 FY 31: $228,969,927
 FY 32: $228,969,927
 FY 33: $228,969,927
 FY 34: $228,969,927
 FY 35: $228,969,927

 FY26-35 total: $1,602,789,489




 FNS066 Ten-Year Analysis                                                                  2
                                                              Ten-Year Analysis
Bill Number                           Title                                                           Agency
2325 HB                               Tourism Self-Supported Assessment Program                       103 Department of Commerce




Agency Preparation: Lucas Rubstello              Phone:   (206) 613-7565          Date: 1/27/2026 5:22:19 pm
  Agency Approval: Lucas Rubstello               Phone:   (206) 613-7565          Date: 1/27/2026 5:22:19 pm
      OFM Review:                                Phone:                           Date:

FNS066 Ten-Year Analysis                                                      3


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