Chapter 3.17
SALES AND USE TAX FOR AFFORDABLE AND SUPPORTIVE HOUSING
Sections:
3.17.010 Administration and collection.
3.17.010 Administration and collection.
The administration and collection of the tax imposed by this chapter shall be in accordance with the provisions of RCW 82.14.540 as amended from time to time. [Ord. 869 § 1 (Exh. A), 2019]
3.17.020 Credit against state’s share of tax – Imposition of sales and use tax for affordable and supportive housing.
A. Imposition. There is imposed a sales and use tax as authorized by RCW 82.14.540 upon every taxable event, as defined in Chapter 82.14 RCW, occurring within the city of Shoreline. The tax shall be imposed upon and collected from those persons from whom the state of Washington sales tax or use tax is collected pursuant to Chapters 82.08 and 82.12 RCW.
B. Tax Rate. The rate of the tax imposed by this section shall be 0.0073 percent of the selling price or value of the article used.
C. Tax Deduction. The tax imposed by this section shall be deducted from the amount of tax otherwise required to be collected or paid to the Washington State Department of Revenue under Chapter 82.02 or 82.12 RCW. The Department of Revenue shall perform the collection of such taxes on behalf of the city at no cost to the city.
D. Tax Distribution. The Washington State Department of Revenue shall calculate the maximum amount of tax distributions for the city based on the taxable retail sales in the city in state fiscal year 2019, and the tax imposed by this section shall cease to be distributed to the city for the remainder of any state fiscal year in which the amount of tax exceeds the maximum amount of tax distribution for the city as properly calculated by the Department of Revenue. Distributions to the city that have ceased during a state fiscal year shall resume at the beginning of the next state fiscal year. [Ord. 869 § 1 (Exh. A), 2019]
3.17.030 Purpose of tax.
A. The city may use moneys collected by the tax imposed by SMC 3.17.020 or bonds issued may be used solely for the following purposes:
1. Acquiring, rehabilitating, or constructing affordable housing, which may include new units of affordable housing within an existing structure or facilities providing supportive housing services under RCW 71.24.385; or
2. Providing the operations and maintenance costs of new units of affordable or supportive housing; or
3. Providing rental assistance to tenants.
B. The housing and services provided under subsection A of this section may only be provided to persons whose income is at or below 60 percent of the median income of the city.
C. In determining the use of funds under this section, the city must consider the income of the persons to be served, the leveraging of the resources made available under SMC 3.17.020, and the housing needs of the city.
D. The administrative services director, or designee, shall report annually to the Washington State Department of Commerce, in accordance with rules adopted by that department, on the collection and use of the revenue from the tax imposed under SMC 3.17.020. [Ord. 869 § 1 (Exh. A), 2019]
3.17.040 Expiration of tax.
A. The tax imposed by the city under SMC 3.17.020 shall expire 20 years after the date on which the tax is first imposed. The administrative services director, or designee, shall provide notice to the city council and the city manager of the expiration date of the tax each year beginning three years before the expiration date.
B. If there are any changes to the expiration, the administrative services director, or designee, shall promptly notify the city council and the city manager. [Ord. 869 § 1 (Exh. A), 2019]