HomeMy WebLinkAbout1995RESOLUTION NO. 1995
A RESOLUTION of the City Council of the
City of Kent, Washington, declaring the intent of
the City Council to adopt legislation to authorize a
sales and use tax for affordable and supportive
housing in accordance with Substitute House Bill
1406 (Chapter 338, Laws of 2019).
RECITALS
A. In the 2019 Regular Session, the Washington State
Legislature passed, and the Governor signed, Substitute House Bill 1406
(Chapter 338, Laws of 2019) ("SHB 1406").
B. SHB 1406 authorizes the governing body of a city or county to
impose a local sales and use tax for the acquisition, construction or
rehabilitation of affordable housing or facilities providing supportive
housing, and for the operations and maintenance costs of affordable or
supportive housing.
C. The tax will be credited against state sales taxes collected
within the City and, therefore, will not result in higher sales and use taxes
within the City and will represent an additional source of funding to address
housing needs in the City.
1 Sales and Use Tax for Affordable
Housing
D. Additional funding is desirable to address the City's housing
need, and the City Council has determined that imposing the sales and use
tax to address this need will benefit its citizens.
E. The tax must be used to assist persons whose income is at or
below sixty percent of the City median income.
F. In order for the City to impose the tax, within six months of
the effective date of SHB 1406, or January 28, 2020, the City Council must
adopt a resolution of intent to authorize the maximum capacity of the tax,
and within twelve months of the effective date of SHB 1406, or July 28,
2020, must adopt legislation to authorize the maximum capacity of the tax.
G. This resolution constitutes the resolution of intent required by
SHB 1406, and the City Council now desires to declare its intent to impose
a local sales and use tax as set forth herein.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY RESOLVE AS FOLLOWS:
RESOLUTION
SECTION 1. - Resolution of Intent. The City Council declares its
intent to adopt legislation to authorize the maximum capacity of the sales
and use tax authorized by SHB 1406 within one year of the effective date of
SHB 1406, or by July 28, 2020.
SECTION 2. - Severability. If any one or more section, subsection,
or sentence of this resolution is held to be unconstitutional or invalid, such
decision shall not affect the validity of the remaining portion of this
resolution and the same shall remain in full force and effect.
2 Sales and Use Tax for Affordable
Housing
SECTION 3. - Corrections by City Clerk. Upon approval of the city
attorney, the city clerk is authorized to make necessary corrections to this
resolution, including the correction of clerical errors; resolution, section, or
subsection numbering; or references to other local, state, or federal laws,
codes, rules, or regulations.
SECTION 4. - Effective Date. This resolution shall take effect and
be in force immediately upon its passage.
DANA RALPH, MAYOR
KIMBERLEA,�;",,L KOMOT--CIT-YMERK
APPROVED AS TO FORM:
ARTHUR ITZPATRIC, ,�CITY ATTORNEY
October 1, 2019
Date Approved
October 1, 2019
Date Adopted
3 Sales and Use Tax for Affordable
Housing
KENT
FINANCE ADMINSTRATION
Paula Painter, CPA, Director
22O4th Avenue South
Kent, WA 98032
Fax: 253-856-6255WÀ9HrNoreñ
PHONE: 253-856-5260
March L9,2020
Jessica Hicks
Tax Administration Manager
Department of Revenue
Re: city of Kent Adoption of Sales and use Tax for Affordable Housing
Dear Ms. Hicks,
On October 1, 20L9, the City Council adopted Resolution No. 1995 which declared its
intent to adopt legislation to authorize the maximum capacity of the sales and use tax
authorized by SHB 1406 within one year of the effective date of SHB 1406, or by July
28,2020.
On November 19,2OL9, the City Council adopted Ordinance No.4341 which imposed a
sale and use tax rate of .0073 percent to help fund affordable housing activities pursuant
to RCW 82.L4.540. The City of Kent does not levy a Qualifying Local Tax as defined in
RCW 82.t4.540. Accordingly, the maximum authorized rate is .0073 percent.
I have attached the enabling City Council resolution and ordinance for your records.
Please feel free to contact Robert Goehring, CFE, CPA, City Auditor (253-856- 5262 or
rgoehring@kentwa.gov) if you have any questions.
Si rely,
a
ula Painte CPA
Finance Director
City of Kent
Attachments:
Certified copy of Resolution No. 1995 declaring intent to adopt enabling legislation
imposing the Affordable Housing sales/use tax
Certified copy of Ordinance No. 4341 imposing the Affordable Housing sales/use tax
KENT
CITY CLERK
Kimberley A. Komoto
City Clerk
22O4th Avenue South
Kent, WA 98032
Fax: 253-856-6725WasHtNGtoñ
PHONE: 253-856-5728
STATE OF WASHINGTON
COUNTY OF KING
I, Kimberley A. Komoto, Clerk of the City of Kent, Washington, do hereby
certify that the attached is a true and correct copy of the orig¡nal Resolution No. 1995
as it appears on file and of record in my office and of the whole thereof.
In testimony whereof, I have fixed my hand and affixed the seal of the City of Kent
this 20th day of March, 2020.
Kimberley A.
City'Clerk
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o Mayor Dana Ralph
City of Kent Administrat¡on
Derek M. Matheson, CAO