RCW 67.28.080
Definitions.
The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
(1) "Acquisition" includes, but is not limited to, siting, acquisition, design, construction, refurbishing, expansion, repair, and improvement, including paying or securing the payment of all or any portion of general obligation bonds, leases, revenue bonds, or other obligations issued or incurred for such purpose or purposes under this chapter.
(2) "Municipality" means any county, city or town of the state of Washington.
(3) "Operation" includes, but is not limited to, operation, management, and marketing.
(4) "Person" means the federal government or any agency thereof, the state or any agency, subdivision, taxing district or municipal corporation thereof other than county, city or town, any private corporation, partnership, association, or individual.
(5) "Tourism" means economic activity resulting from tourists, which may include sales of overnight lodging, meals, tours, gifts, or souvenirs.
(6) "Tourism promotion" means activities, operations, and expenditures designed to increase tourism, including but not limited to advertising, publicizing, or otherwise distributing information for the purpose of attracting and welcoming tourists; developing strategies to expand tourism; operating tourism promotion agencies; and funding the marketing of or the operation of special events and festivals designed to attract tourists.
(7) "Tourism-related facility" means real or tangible personal property with a usable life of three or more years, or constructed with volunteer labor that is: (a)(i) Owned by a public entity; (ii) owned by a nonprofit organization described under section 501(c)(3) of the federal internal revenue code of 1986, as amended; or (iii) owned by a nonprofit organization described under section 501(c)(6) of the federal internal revenue code of 1986, as amended, a business organization, destination marketing organization, main street organization, lodging association, or chamber of commerce and (b) used to support tourism, performing arts, or to accommodate tourist activities.
[
2013 c 196 s 2
. Prior:
2007 c 497 s 1
;
1997 c 452 s 2
;
1991 c 357 s 1
;
1967 c 236 s 1
.]
NOTES:
Effective date
—
2013 c 196:
See note following RCW 67.28.1816
.
Intent
—
1997 c 452:
"The intent of this act is to provide uniform standards for local option excise taxation of lodging." [
1997 c 452 s 1
.]
Severability
—
1997 c 452:
"If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected." [
1997 c 452 s 24
.]
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
Effective date, application
—
1991 c 357:
"This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect after immediately [effect immediately (May 21, 1991)]. This act applies retroactively to all actions taken under chapter
67.28
RCW on or after January 1, 1990." [
1991 c 357 s 5
.]
Clarification of permitted use or purpose: 2000 c 256.
RCW 67.28.120
Authorization to acquire and operate tourism-related facilities.
Any municipality is authorized either individually or jointly with any other municipality, or person, or any combination thereof, to acquire and to operate tourism-related facilities, whether located within or without such municipality.
[
1997 c 452 s 7
;
1979 ex.s. c 222 s 1
;
1973 2nd ex.s. c 34 s 1
;
1967 c 236 s 5
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
RCW 67.28.125
Selling convention center facilities
—
Smaller counties within national scenic areas.
The provisions of this section shall apply to any municipality in any county located in whole or in part in a national scenic area when the population of the county is less than 20,000. The provisions of this section shall also apply to the county when the county contains in whole or in part a national scenic area and the population of the county is less than 20,000.
(1) The legislative body of any municipality or the county legislative authority is authorized to sell to any public or private person, including a corporation, partnership, joint venture, or any other business entity, any convention center facility it owns in whole or in part.
(2) The price and other terms and conditions shall be as the legislative body or authority shall determine.
[
1991 c 357 s 2
.]
NOTES:
Effective date, application
—
1991 c 357:
See note following RCW 67.28.080
.
RCW 67.28.130
Conveyance or lease of lands, properties or facilities authorized
—
Joint participation, use of facilities.
Any municipality, taxing district, or municipal corporation is authorized to convey or lease any lands, properties or facilities to any other municipality for the development by such other municipality of tourism-related facilities or to provide for the joint use of such lands, properties or facilities, or to participate in the financing of all or any part of the public facilities on such terms as may be fixed by agreement between the respective legislative bodies without submitting the matter to the voters of such municipalities, unless the provisions of general law applicable to the incurring of municipal indebtedness shall require such submission.
[
1997 c 452 s 8
;
1979 ex.s. c 222 s 2
;
1973 2nd ex.s. c 34 s 2
;
1967 c 236 s 6
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
RCW 67.28.140
Declaration of public purpose
—
Right of eminent domain.
The acts authorized herein are declared to be strictly for the public purposes of the municipalities authorized to perform same. Any municipality as defined in RCW 67.28.080
shall have the power to acquire by condemnation and purchase any lands and property rights, both within and without its boundaries, which are necessary to carry out the purposes of this chapter. Such right of eminent domain shall be exercised by the legislative body of each such municipality in the manner provided by applicable general law or under chapter
8.12
RCW.
[
1967 c 236 s 7
.]
RCW 67.28.150
Issuance of general obligation bonds
—
Maturity
—
Methods of payment.
To carry out the purposes of this chapter including, but not limited to, financing loans or grants to nonprofit organizations or public housing authorities for affordable workforce housing within one-half mile of a transit station, any municipality has the power to issue general obligation bonds within the limitations now or hereafter prescribed by the laws of this state. Such general obligation bonds must be authorized, executed, issued, and made payable as other general obligation bonds of such municipality. However, the governing body of such municipality may provide that such bonds mature in not to exceed forty years from the date of their issue, may provide that such bonds also be made payable from any special taxes provided for in this chapter and may pledge such special taxes to the repayment of the bonds, and may provide that such bonds also be made payable from any otherwise unpledged revenue, which may be derived from the ownership or operation of any properties.
[
2015 c 102 s 1
;
1997 c 452 s 9
;
1984 c 186 s 56
;
1967 c 236 s 8
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
Purpose
—
1984 c 186:
See note following RCW 39.46.110
.
RCW 67.28.160
Revenue bonds
—
Issuance, sale, form, term, payment, reserves, actions.
(1) To carry out the purposes of this chapter including, but not limited to, financing loans or grants to nonprofit organizations or public housing authorities for affordable workforce housing within one-half mile of a transit station, the legislative body of any municipality has the power to issue revenue bonds without submitting the matter to the voters of the municipality and may pledge the special taxes provided for in this chapter to the repayment of such revenue bonds. However, the legislative body must create a special fund or funds for the sole purpose of paying the principal of and interest on the bonds of each such issue, into which fund or funds the legislative body may obligate the municipality to pay all or part of amounts collected from the special taxes provided for in this chapter, and/or to pay such amounts of the gross revenue of all or any part of the facilities constructed, acquired, improved, added to, repaired, or replaced pursuant to this chapter, as the legislative body determines. The principal of and interest on such bonds is payable only out of such special fund or funds, and the owners of such bonds must have a lien and charge against the gross revenue pledged to such fund.
(a) The revenue bonds and the interest thereon issued against the fund or funds constitutes a claim of the owners thereof only as against such fund or funds and the revenue pledged therefor, and does not constitute a general indebtedness of the municipality.
(b) Each revenue bond must state upon its face that it is payable from such special fund or funds, and all revenue bonds issued under this chapter are negotiable securities within the provisions of the law of this state. The revenue bonds may be registered either as to principal only or as to principal and interest as provided in RCW 39.46.030, or may be bearer bonds. The revenue bonds must be:
(i) In such denominations as the legislative body deems proper;
(ii) Payable at such time or times and at such places, as determined by the legislative body;
(iii) Executed in such manner and bear interest at such rate or rates, as determined by the legislative body; and
(iv) Sold in such manner as the legislative body deems to be for the best interests of the municipality, either at public or private sale.
(c) The legislative body may at the time of the issuance of the revenue bonds make covenants with the owners of such bonds as it may deem necessary to secure and guaranty the payment of the principal thereof and the interest thereon, including but not being limited to covenants to set aside adequate reserves to secure or guaranty the payment of such principal and interest, to pledge and apply thereto part or all of any lawfully authorized special taxes provided for in this chapter, to maintain rates, charges, or rentals sufficient with other available moneys to pay such principal and interest and to maintain adequate coverage over debt service, to appoint a trustee or trustees for the bond owners, to safeguard the expenditure of the proceeds of sale of such bonds and to fix the powers and duties of such trustee or trustees and to make such other covenants as the legislative body may deem necessary to accomplish the most advantageous sale of such bonds. For revenue bonds issued for the purpose of funding affordable workforce housing projects within one-half mile of a transit station, where such revenue bonds are reasonably expected to be awarded to projects that can expend the funds within three years after bond issuance, the legislative body must require that the aggregate debt service on all such outstanding revenue bonds be limited to no more than fifty percent of the revenue collected under RCW 67.28.180
(3)(d)(ii), and that at least ten percent of the aggregate proceeds of all such outstanding revenue bonds be committed to finance one or more projects by an authority under chapter
43.167
RCW to promote sustainable workplace opportunities near a community impacted by the construction or operation of tourism-related facilities. The legislative body may also provide that revenue bonds payable out of the same source may later be issued on a parity with revenue bonds being issued and sold.
(d) The legislative body may include in the principal amount of any such revenue bond issue an amount for engineering, architectural, planning, financial, legal, and other services and charges incident to the acquisition or construction of public stadium facilities, convention center facilities, performing arts center facilities, and/or visual arts center facilities, an amount to establish necessary reserves, an amount for working capital, and an amount necessary for interest during the period of construction of any facilities to be financed from the proceeds of such issue plus six months. The legislative body may, if it deems it in the best interest of the municipality, provide in any contract for the construction or acquisition of any facilities or additions or improvements thereto or replacements or extensions thereof that payment therefor may be made only in such revenue bonds.
(e) If the municipality fails to carry out or perform any of its obligations or covenants made in the authorization, issuance, and sale of such bonds, the owner of any such bond may bring action against the municipality and compel the performance of any or all of such covenants.
(2) Notwithstanding subsection (1) of this section, such bonds may be issued and sold in accordance with chapter
39.46
RCW.
[
2015 c 102 s 2
;
1997 c 452 s 10
;
1983 c 167 s 168
;
1979 ex.s. c 222 s 3
;
1973 2nd ex.s. c 34 s 3
;
1967 c 236 s 9
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
Liberal construction
—
Severability
—
1983 c 167:
See RCW 39.46.010
and note following.
RCW 67.28.170
Power to lease all or part of facilities
—
Disposition of proceeds.
The legislative body of any municipality owning or operating tourism-related facilities acquired under this chapter shall have power to lease to any municipality or person, or to contract for the use or operation by any municipality or person, of all or any part of the facilities authorized by this chapter, including but not limited to parking facilities, concession facilities of all kinds and any property or property rights appurtenant to such tourism-related facilities, for such period and under such terms and conditions and upon such rentals, fees and charges as such legislative body may determine, and may pledge all or any portion of such rentals, fees and charges and all other revenue derived from the ownership and/or operation of such facilities to pay and to secure the payment of general obligation bonds and/or revenue bonds of such municipality issued for authorized tourism-related facilities purposes.
[
1997 c 452 s 11
;
1979 ex.s. c 222 s 4
;
1973 2nd ex.s. c 34 s 4
;
1967 c 236 s 10
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
RCW 67.28.180
Lodging tax authorized
—
Conditions.
(1) Subject to the conditions set forth in subsections (2) and (3) of this section, the legislative body of any county or any city, is authorized to levy and collect a special excise tax of not to exceed two percent on the sale of or charge made for the furnishing of lodging that is subject to tax under chapter
82.08
RCW.
(2) Any levy authorized by this section is subject to the following:
(a) Any county ordinance or resolution adopted pursuant to this section must contain, in addition to all other provisions required to conform to this chapter, a provision allowing a credit against the county tax for the full amount of any city tax imposed pursuant to this section upon the same taxable event.
(b)(i) In the event that any county has levied the tax authorized by this section and has, prior to June 26, 1975, either pledged the tax revenues for payment of principal and interest on city revenue or general obligation bonds authorized and issued pursuant to RCW 67.28.150
and
67.28.160
or has authorized and issued revenue or general obligation bonds pursuant to the provisions of RCW 67.28.150
and
67.28.160, such county is exempt from the provisions of (a) of this subsection, to the extent that the tax revenues are pledged for payment of principal and interest on bonds issued at any time pursuant to the provisions of RCW 67.28.150
and
67.28.160
. However, so much of such pledged tax revenues, together with any investment earnings thereon, not immediately necessary for actual payment of principal and interest on such bonds may be used: (A) In any county with a population of one million five hundred thousand or more, for repayment either of limited tax levy general obligation bonds or of any county fund or account from which a loan was made, the proceeds from the bonds or loan being used to pay for constructing, installing, improving, and equipping stadium capital improvement projects, and to pay for any engineering, planning, financial, legal and professional services incident to the development of such stadium capital improvement projects, regardless of the date the debt for such capital improvement projects was or may be incurred; (B) in any county with a population of one million five hundred thousand or more, for repayment or refinancing of bonded indebtedness incurred prior to January 1, 1997, for any purpose authorized by this section or relating to stadium repairs or rehabilitation, including but not limited to the cost of settling legal claims, reimbursing operating funds, interest payments on short-term loans, and any other purpose for which such debt has been incurred if the county has created a public stadium authority to develop a stadium and exhibition center under RCW 36.102.030
; or (C) in other counties, for county-owned facilities for agricultural promotion until January 1, 2009, and thereafter for any purpose authorized in this chapter.
(ii) A county is exempt under this subsection with respect to city revenue or general obligation bonds issued after April 1, 1991, only if such bonds mature before January 1, 2013. If any county located east of the crest of the Cascade mountains has levied the tax authorized by this section and has, prior to June 26, 1975, pledged the tax revenue for payment of principal and interest on city revenue or general obligation bonds, the county is exempt under this subsection with respect to revenue or general obligation bonds issued after January 1, 2007, only if the bonds mature before January 1, 2035. Such a county may only use funds under this subsection (2)(b) for constructing or improving facilities authorized under this chapter, including county-owned facilities for agricultural promotion.
(iii) As used in this subsection (2)(b), "capital improvement projects" may include, but not be limited to a stadium restaurant facility, restroom facilities, artificial turf system, seating facilities, parking facilities and scoreboard and information system adjacent to or within a county owned stadium, together with equipment, utilities, accessories and appurtenances necessary thereto. The stadium restaurant authorized by this subsection (2)(b) must be operated by a private concessionaire under a contract with the county.
(c)(i) No city within a county exempt under (b) of this subsection may levy the tax authorized by this section so long as said county is so exempt.
(ii) No city within a county with a population of one million five hundred thousand or more may levy the tax authorized by this section.
(iii) However, in the event that any city in a county described in (c)(i) or (ii) of this subsection (2) has levied the tax authorized by this section and has, prior to June 26, 1975, authorized and issued revenue or general obligation bonds pursuant to the provisions of RCW 67.28.150
and
67.28.160, such city may levy the tax so long as the tax revenues are pledged for payment of principal and interest on bonds issued at any time pursuant to the provisions of RCW 67.28.150
and
67.28.160
.
(3) Any levy authorized by this section by a county that has a population of one million five hundred thousand or more is subject to the following:
(a) Taxes collected under this section in any calendar year before 2013 in excess of five million three hundred thousand dollars may only be used as follows:
(i) Seventy percent from January 1, 2001, through December 31, 2012, for art museums, cultural museums, heritage museums, the arts, and the performing arts. Moneys spent under this subsection (3)(a)(i) must be used for the purposes of this subsection (3)(a)(i) in all parts of the county.
(ii) Thirty percent from January 1, 2001, through December 31, 2012, for the following purposes and in a manner reflecting the following order of priority: Stadium purposes as authorized under subsection (2)(b) of this section; acquisition of open space lands; youth sports activities; and tourism promotion. If all or part of the debt on the stadium is refinanced, all revenues under this subsection (3)(a)(ii) must be used to retire the debt.
(b) From January 1, 2013, through December 31, 2015, all revenues under this section must be used to retire the debt on the stadium, until the debt on the stadium is retired. On and after the date the debt on the stadium is retired, and through December 31, 2015, all revenues under this section in a county of one million five hundred thousand or more must be deposited in the special account under (e) of this subsection.
(c) From January 1, 2016, through December 31, 2020, all revenues under this section must be deposited in the stadium and exhibition center account under RCW 43.99N.060
.
(d) On and after January 1, 2021, the revenues under this section must be used as follows:
(i) At least thirty-seven and one-half percent of the revenues under this section must be deposited in the special account under (e) of this subsection.
(ii) At least thirty-seven and one-half percent of the revenues under this section must be used:
(A) For contracts, loans, or grants to nonprofit organizations or public housing authorities for affordable workforce housing within one-half mile of a transit station, as described under RCW 9.91.025
or for housing, facilities, or services for homeless youth; or
(B) To repay:
(I) General obligation bonds issued pursuant to RCW 67.28.150
to finance such contracts, loans, or grants; or
(II) Revenue bonds issued pursuant to RCW 67.28.160
to finance a fund to make such contracts, loans, or grants; or
(III) Revenue bonds issued pursuant to RCW 67.28.160
to finance projects authorized by an authority under chapter
43.167
RCW to promote sustainable workplace opportunities near a community impacted by the construction or operation of tourism-related facilities.
(iii) The remainder must be used for capital or operating programs that promote tourism and attract tourists to the county.
(e) At least forty percent of the revenues distributed pursuant to (a)(i) of this subsection must be deposited in a special account. The account may only be used for the purposes of (a)(i) of this subsection.
(f) School districts and schools may not receive revenues distributed pursuant to (a)(i) of this subsection.
(g) Moneys distributed to art museums, cultural museums, heritage museums, the arts, and the performing arts, and moneys distributed for tourism promotion must be in addition to and may not be used to replace or supplant any other funding by the legislative body of the county.
(h) For the purposes of this section:
(i) "Affordable workforce housing" means housing for a single person, family, or unrelated persons living together whose income is at or below 80 percent of the median income, adjusted for household size, for the county where the housing is located; and
(ii) "Tourism promotion" includes activities intended to attract visitors for overnight stays, arts, heritage, and cultural events, and recreational, professional, and amateur sports events. Moneys allocated to tourism promotion in a county with a population of one million or more must be allocated to local public organizations and nonprofit organizations formed for the express purpose of tourism promotion in the county. Such organizations must use moneys from the taxes to promote events in all parts of the county.
(i) No taxes collected under this section may be used for the operation or maintenance of a public stadium that is financed directly or indirectly by bonds to which the tax is pledged. Expenditures for operation or maintenance include all expenditures other than expenditures that directly result in new fixed assets or that directly increase the capacity, life span, or operating economy of existing fixed assets.
(j) No ad valorem property taxes may be used for debt service on bonds issued for a public stadium that is financed by bonds to which the tax is pledged, unless the taxes collected under this section are or are projected to be insufficient to meet debt service requirements on such bonds.
(k) If a substantial part of the operation and management of a public stadium that is financed directly or indirectly by bonds to which the tax is pledged is performed by a nonpublic entity or if a public stadium is sold that is financed directly or indirectly by bonds to which the tax is pledged, any bonds to which the tax is pledged shall be retired. This subsection (3)(k) does not apply in respect to a public stadium under chapter
36.102
RCW transferred to, owned by, or constructed by a public facilities district under chapter
36.100
RCW or a stadium and exhibition center.
(l) The county may not lease a public stadium that is financed directly or indirectly by bonds to which the tax is pledged to, or authorize the use of the public stadium by, a professional major league sports franchise unless the sports franchise gives the right of first refusal to purchase the sports franchise, upon its sale, to local government. This subsection (3)(l) does not apply to contracts in existence on April 1, 1986.
(4) If a court of competent jurisdiction declares any provision of subsection (3) of this section invalid, then that invalid provision is null and void and the remainder of this section is not affected.
[
2021 c 27 s 2
;
2015 c 102 s 3
;
2011 1st sp.s. c 38 s 1
;
2010 1st sp.s. c 26 s 8
;
2007 c 189 s 1
; (2008 c 264 s 2 expired July 1, 2009);
2002 c 178 s 2
;
1997 c 220 s 501
(Referendum Bill No. 48, approved June 17, 1997);
1995 1st sp.s. c 14 s 10
;
1995 c 386 s 8
. Prior:
1991 c 363 s 139
;
1991 c 336 s 1
;
1987 c 483 s 1
;
1986 c 104 s 1
;
1985 c 272 s 1
;
1975 1st ex.s. c 225 s 1
;
1973 2nd ex.s. c 34 s 5
;
1970 ex.s. c 89 s 1
;
1967 c 236 s 11
.]
NOTES:
Effective date
—
2021 c 27:
See note following RCW 82.14.530
.
Findings
—
Intent
—
2008 c 264:
"The legislature finds that locally funded heritage and arts programs build vital communities and preserve community history and culture. It further finds that within existing revenue sources, local jurisdictions should have the capability to preserve these programs in the future.
The locally funded heritage and arts program in the state's most populated county was established in 1989 using a portion of hotel-motel tax revenues. This program was structured to provide for inflation and an expanding population of the county.
In 1997, the legislature acted to assure the future of the heritage and arts program by creating an endowment fund using these same local funds. This funding mechanism has proved to be inadequate and unless immediately modified will result in a seventy-five percent reduction of funds for the program.
This act will provide a stable and predictable flow of funds to the program, provide for inflation and an expanding population, and assure the future viability of the program within existing revenue flows." [
2008 c 264 s 1
.]
Effective date
—
2008 c 264:
"This act takes effect July 1, 2008." [
2008 c 264 s 5
.]
Retroactive application
—
2002 c 178:
"This act applies retroactively to events occurring on and after September 1, 2001." [
2002 c 178 s 6
.]
Effective date
—
2002 c 178:
"This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect immediately [March 27, 2002]." [
2002 c 178 s 7
.]
Referendum
—
Other legislation limited
—
Legislators' personal intent not indicated
—
Reimbursements for election
—
Voters' pamphlet, election requirements
—
1997 c 220:
See RCW 36.102.800
through
36.102.803
.
Severability
—
Effective dates
—
1995 1st sp.s. c 14:
See notes following RCW 36.100.010
.
Severability
—
1995 c 386:
"If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected." [
1995 c 386 s 17
.]
Effective date
—
1995 c 386:
"This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately [May 16, 1995]." [
1995 c 386 s 18
.]
Effective date
—
1991 c 336:
"This act shall take effect January 1, 1992." [
1991 c 336 s 3
.]
Purpose
—
Captions not law
—
1991 c 363:
See notes following RCW 2.32.180
.
Effective date
—
1986 c 104:
"This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect April 1, 1986." [
1986 c 104 s 2
.]
Severability
—
1985 c 272:
"If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected." [
1985 c 272 s 2
.]
RCW 67.28.1801
Credit against sales tax due on same lodging.
Tax collected under RCW 67.28.180
on a sale of lodging shall be credited against the amount of sales tax due to the state under chapter
82.08
RCW on the same sale of lodging.
[
1998 c 35 s 2
.]
NOTES:
Validation of taxes imposed and collected and actions taken
—
Effective date
—
1998 c 35:
See notes following RCW 67.28.181
.
RCW 67.28.181
Special excise taxes authorized
—
Rates
—
Credits for city or town tax by county
—
Limits.
(1) The legislative body of any municipality may impose an excise tax on the sale of or charge made for the furnishing of lodging that is subject to tax under chapter
82.08
RCW. The rate of tax shall not exceed the lesser of two percent or a rate that, when combined with all other taxes imposed upon sales of lodging within the municipality under this chapter and chapters
36.100, *67.40, 82.08, and
82.14
RCW, equals twelve percent. A tax under this chapter shall not be imposed in increments smaller than tenths of a percent.
(2) Notwithstanding subsection (1) of this section:
(a) If a municipality was authorized to impose taxes under this chapter or *RCW 67.40.100
or both with a total rate exceeding four percent before July 27, 1997, such total authorization shall continue through January 31, 1999, and thereafter the municipality may impose a tax under this section at a rate not exceeding the rate actually imposed by the municipality on January 31, 1999.
(b) If a city or town, other than a municipality imposing a tax under (a) of this subsection, is located in a county that imposed taxes under this chapter with a total rate of four percent or more on January 1, 1997, the city or town may not impose a tax under this section.
(c) If a city has a population of four hundred thousand or more and is located in a county with a population of one million or more, the rate of tax imposed under this chapter by the city shall not exceed the lesser of four percent or a rate that, when combined with all other taxes imposed upon sales of lodging in the municipality under this chapter and chapters
36.100, *67.40, 82.08, and
82.14
RCW, equals fifteen and two-tenths percent.
(d) If a municipality was authorized to impose taxes under this chapter or *RCW 67.40.100, or both, at a rate equal to six percent before January 1, 1998, the municipality may impose a tax under this section at a rate not exceeding the rate actually imposed by the municipality on January 1, 1998.
(3) Any county ordinance or resolution adopted under this section shall contain a provision allowing a credit against the county tax for the full amount of any city or town tax imposed under this section upon the same taxable event.
(4) In determining the effective combined rate of tax for purposes of the limit in subsections (1) and (2)(c) of this section, the tax rate under RCW 82.14.530
is not included.
[
2015 3rd sp.s. c 24 s 703
;
2004 c 79 s 8
;
1998 c 35 s 1
;
1997 c 452 s 3
.]
NOTES:
*Reviser's note:
A majority of chapter
67.40
RCW was repealed by 2010 1st sp.s. c 15 s 14, effective November 30, 2010. RCW 67.40.020
was repealed by 2010 1st sp.s. c 15 s 15, effective December 30, 2010.
Construction
—
2015 3rd sp.s. c 24:
See note following RCW 36.160.030
.
Validation of taxes imposed and collected and actions taken
—
1998 c 35:
"If a municipality was authorized to impose taxes under chapter
67.28
RCW or RCW 67.40.100
or both with a total rate exceeding four percent before July 27, 1997, any taxes imposed and collected by the municipality on or after July 27, 1997, are validated by this act to the extent the taxes were imposed at rates that would be permitted under chapter
67.28
RCW as amended by this act. All actions taken in connection with the collection and administration of taxes validated under this section, including crediting the taxes against the amount of sales taxes due to the state under chapter
82.08
RCW, are also validated by this act to the extent the actions taken would be permitted under chapter
67.28
RCW as amended by this act." [
1998 c 35 s 4
.]
Effective date
—
1998 c 35:
"This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect immediately [March 12, 1998]." [
1998 c 35 s 5
.]
Savings
—
1997 c 452:
"This act does not affect any existing right acquired or liability or obligation incurred under the sections amended or repealed in this act or under any rule or order adopted under those sections, nor does it affect any proceeding instituted under those sections. As provided in RCW 1.12.020, the sections amended or repealed in this act are continued by section 3 of this act for purposes such as redemption payments on bonds issued in reliance on taxes imposed under those sections. Any moneys held in a fund created under a section repealed in this act shall be deposited in a fund created under section 4 of this act." [
1997 c 452 s 23
.]
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
RCW 67.28.1815
Revenue
—
Special fund
—
Uses for tourism promotion and tourism facility acquisition and operation.
Except as provided in RCW 67.28.180, all revenue from taxes imposed under this chapter shall be credited to a special fund in the treasury of the municipality imposing such tax and used solely for the purpose of paying all or any part of the cost of tourism promotion, acquisition of tourism-related facilities, or operation of tourism-related facilities. Municipalities may, under chapter
39.34
RCW, agree to the utilization of revenue from taxes imposed under this chapter for the purposes of funding a multijurisdictional tourism-related facility.
[
2008 c 264 s 3
;
1997 c 452 s 4
.]
NOTES:
Findings
—
Intent
—
Effective date
—
2008 c 264:
See notes following RCW 67.28.180
.
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
RCW 67.28.1816
Lodging tax
—
Tourism promotion.
(1) Lodging tax revenues under this chapter may be used, directly by any municipality or indirectly through a convention and visitors bureau or destination marketing organization for:
(a) Tourism marketing;
(b) The marketing and operations of special events and festivals designed to attract tourists;
(c) Supporting the operations and capital expenditures of tourism-related facilities owned or operated by a municipality or a public facilities district created under chapters
35.57
and
36.100
RCW; or
(d) Supporting the operations of tourism-related facilities owned or operated by nonprofit organizations described under 26 U.S.C. Sec. 501(c)(3) and 26 U.S.C. Sec. 501(c)(6) of the internal revenue code of 1986, as amended.
(2)(a) Except as provided in (b) of this subsection, applicants applying for use of revenues in this chapter must provide the municipality to which they are applying estimates of how any moneys received will result in increases in the number of people traveling for business or pleasure on a trip:
(i) Away from their place of residence or business and staying overnight in paid accommodations;
(ii) To a place fifty miles or more one way from their place of residence or business for the day or staying overnight; or
(iii) From another country or state outside of their place of residence or their business.
(b)(i) In a municipality with a population of five thousand or more, applicants applying for use of revenues in this chapter must submit their applications and estimates described under (a) of this subsection to the local lodging tax advisory committee.
(ii) The local lodging tax advisory committee must select the candidates from amongst the applicants applying for use of revenues in this chapter and provide a list of such candidates and recommended amounts of funding to the municipality for final determination. The municipality may choose only recipients from the list of candidates and recommended amounts provided by the local lodging tax advisory committee.
(c)(i) All recipients must submit a report to the municipality describing the actual number of people traveling for business or pleasure on a trip:
(A) Away from their place of residence or business and staying overnight in paid accommodations;
(B) To a place fifty miles or more one way from their place of residence or business for the day or staying overnight; or
(C) From another country or state outside of their place of residence or their business. A municipality receiving a report must: Make such report available to the local legislative body and the public; and furnish copies of the report to the joint legislative audit and review committee and members of the local lodging tax advisory committee.
(ii) The joint legislative audit and review committee must on a biennial basis report to the economic development committees of the legislature on the use of lodging tax revenues by municipalities. Reporting under this subsection must begin in calendar year 2015.
(d) This section does not apply to the revenues of any lodging tax authorized under this chapter imposed by a county with a population of one million five hundred thousand or more.
[
2013 c 196 s 1
;
2008 c 28 s 1
;
2007 c 497 s 2
.]
NOTES:
Effective date
—
2013 c 196:
"This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 2013." [
2013 c 196 s 3
.]
RCW 67.28.1817
Lodging tax advisory committee in large municipalities
—
Submission of proposal for imposition of or change in tax or use
—
Comments.
(1) Before proposing imposition of a new tax under this chapter, an increase in the rate of a tax imposed under this chapter, repeal of an exemption from a tax imposed under this chapter, or a change in the use of revenue received under this chapter, a municipality with a population of five thousand or more shall establish a lodging tax advisory committee under this section. A lodging tax advisory committee shall consist of at least five members, appointed by the legislative body of the municipality, unless the municipality has a charter providing for a different appointment authority. The committee membership shall include: (a) At least two members who are representatives of businesses required to collect tax under this chapter; and (b) at least two members who are persons involved in activities authorized to be funded by revenue received under this chapter. Persons who are eligible for appointment under (a) of this subsection are not eligible for appointment under (b) of this subsection. Persons who are eligible for appointment under (b) of this subsection are not eligible for appointment under (a) of this subsection. Organizations representing businesses required to collect tax under this chapter, organizations involved in activities authorized to be funded by revenue received under this chapter, and local agencies involved in tourism promotion may submit recommendations for membership on the committee. The number of members who are representatives of businesses required to collect tax under this chapter shall equal the number of members who are involved in activities authorized to be funded by revenue received under this chapter. One member shall be an elected official of the municipality who shall serve as chair of the committee. An advisory committee for a county may include one nonvoting member who is an elected official of a city or town in the county. An advisory committee for a city or town may include one nonvoting member who is an elected official of the county in which the city or town is located. The appointing authority shall review the membership of the advisory committee annually and make changes as appropriate.
(2) Any municipality that proposes imposition of a tax under this chapter, an increase in the rate of a tax imposed under this chapter, repeal of an exemption from a tax imposed under this chapter, or a change in the use of revenue received under this chapter shall submit the proposal to the lodging tax advisory committee for review and comment. The submission shall occur at least forty-five days before final action on or passage of the proposal by the municipality. The advisory committee shall submit comments on the proposal in a timely manner through generally applicable public comment procedures. The comments shall include an analysis of the extent to which the proposal will accommodate activities for tourists or increase tourism, and the extent to which the proposal will affect the long-term stability of the fund created under RCW 67.28.1815
. Failure of the advisory committee to submit comments before final action on or passage of the proposal shall not prevent the municipality from acting on the proposal. A municipality is not required to submit an amended proposal to an advisory committee under this section.
[
1998 c 35 s 3
;
1997 c 452 s 5
.]
NOTES:
Validation of taxes imposed and collected and actions taken
—
Effective date
—
1998 c 35:
See notes following RCW 67.28.181
.
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
RCW 67.28.183
Exemption from tax
—
Emergency lodging for homeless persons
—
Conditions.
(1) The taxes levied under this chapter shall not apply to emergency lodging provided for homeless persons for a period of less than thirty consecutive days under a shelter voucher program administered by an eligible organization.
(2) For the purposes of this exemption, an eligible organization includes only cities, towns, and counties, or their respective agencies, and groups providing emergency food and shelter services.
[
1992 c 206 s 5
;
1988 c 61 s 2
.]
NOTES:
Effective date
—
1992 c 206:
See note following RCW 82.04.170
.
Effective date
—
1988 c 61:
See note following RCW 82.08.0299
.
RCW 67.28.184
Use of hotel-motel tax revenues by cities for professional sports franchise facilities limited.
No city imposing the tax authorized under this chapter may use the tax proceeds directly or indirectly to acquire, construct, operate, or maintain facilities or land intended to be used by a professional sports franchise if the county within which the city is located uses the proceeds of its tax imposed under this chapter to directly or indirectly acquire, construct, operate, or maintain a facility used by a professional sports franchise.
[
1997 c 452 s 13
;
1987 1st ex.s. c 8 s 7
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
Severability
—
1987 1st ex.s. c 8:
"If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected." [
1987 1st ex.s. c 8 s 17
.]
RCW 67.28.186
Exemption from tax
—
Temporary medical housing.
The taxes on lodging authorized under this chapter do not apply to sales of temporary medical housing exempt under RCW 82.08.997
.
[
2008 c 137 s 3
.]
NOTES:
Effective date
—
2008 c 137:
See note following RCW 82.08.997
.
RCW 67.28.200
Special excise tax authorized
—
Exemptions may be established
—
Collection.
The legislative body of any municipality may establish reasonable exemptions for taxes authorized under this chapter. The department of revenue shall perform the collection of such taxes on behalf of such municipality at no cost to such municipality. Except as expressly provided in this chapter, all of the provisions contained in RCW 82.08.050
and
82.08.060
and chapter
82.32
RCW shall have full force and application with respect to taxes imposed under the provisions of this chapter.
[
2004 c 79 s 9
;
1997 c 452 s 14
;
1993 c 389 s 2
;
1991 c 331 s 2
;
1988 ex.s. c 1 s 23
;
1987 c 483 s 3
;
1970 ex.s. c 89 s 2
;
1967 c 236 s 13
.]
NOTES:
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.
RCW 67.28.220
Powers additional and supplemental to other laws.
The powers and authority conferred upon municipalities under the provisions of this chapter shall be construed as in addition and supplemental to powers or authority conferred by any other law, and nothing contained herein shall be construed as limiting any other powers or authority of such municipalities.
[
1967 c 236 s 15
.]
RCW 67.28.8001
Reports by municipalities
—
Summary and analysis by department of commerce.
(1) Each municipality imposing a tax under chapter
67.28
RCW [this chapter] shall submit a report to the department of commerce on October 1, 1998, and October 1, 2000. Each report shall include the following information:
(a) The rate of tax imposed under chapter
67.28
RCW [this chapter];
(b) The total revenue received under chapter
67.28
RCW [this chapter] for each of the preceding six years;
(c) A list of projects and activities funded with revenue received under chapter
67.28
RCW [this chapter]; and
(d) The amount of revenue under chapter
67.28
RCW [this chapter] expended for each project and activity.
(2) The department of commerce shall summarize and analyze the data received under subsection (1) of this section in a report submitted to the legislature on January 1, 1999, and January 1, 2001. The report shall include, but not be limited to, analysis of factors contributing to growth in revenue received under chapter
67.28
RCW [this chapter] and the effects of projects and activities funded with revenue received under chapter
67.28
RCW [this chapter] on tourism growth.
[
2023 c 470 s 2111
;
1997 c 452 s 6
.]
NOTES:
Explanatory statement
—
2023 c 470:
See note following RCW 10.99.030
.
Intent
—
Severability
—
1997 c 452:
See notes following RCW 67.28.080
.
Savings
—
1997 c 452:
See note following RCW 67.28.181
.