IN THIS ISSUE:

Initiative 2066
If passed, would prohibit state and local governments from restricting access to natural gas.

Voter’s Pamphlet: Initiative Measure No. 2066 concerns regulating energy services, including natural gas and electrification. This measure would repeal or prohibit certain laws and regulations that discourage natural gas use, and/or promote electrification, and require certain utilities and local governments to provide natural gas to eligible customers.

A "yes" vote supports the following:

A "no" vote opposes the following:

Initiative 2109
If passed, would repeal the capital gains excise tax imposed on long-term capital assets by individuals with capital gains over $250,000. Current State law does not apply a “State” capital gains tax to real estate, federal tax law does. Note: BOMA was instrumental in preventing the inclusion of commercial real estate in the state capital gains tax.

Voter’s Pamphlet: Initiative Measure No. 2109 concerns taxes. This measure would repeal an excise tax imposed on the sale or exchange of certain long-term capital assets by individuals who have annual capital gains of over $250,000. This measure would decrease funding for K-12 education, higher education, school construction, early learning, and childcare.

A "yes" vote supports the following:

A "no" vote opposes the following:

The capital gains tax levies a 7% tax on the sale or exchange of long-term capital assets, such as stocks, bonds, and business interests. It doesn’t apply to real estate sales* and only covers gains above $262,000 (up from $250,000 for the 2022 tax year, as the floor is tied to inflation). So if someone has $263,000 in taxable capital gains, they would only pay the 7% tax on the $1,000 above that $262,000 threshold. 

*Note that if the capital gains tax remans in place after the election, there will be bills introduced in the 2025 legislative session to make real sales subject to the tax.

Lawmakers approved the tax in 2021. It took effect after the state Supreme Court upheld it in a ruling last year. The first payments were due in April 2023.

Each year, up to $500 million from the tax is deposited into a state account for schools, early learning, and child care programs. Any tax collections beyond that amount go to an account that helps pay for school construction and renovations.

Initiative 2117
If passed, would prohibit carbon tax credit trading and repeal provisions of the 2021 Washington Climate Commitment Act (CCA), a state law that provided for a cap and invest program designed to reduce greenhouse gas (GHG) emissions by 95% by 2050.

Voter’s Pamphlet: Initiative Measure No. 2117 concerns carbon tax credit trading. This measure would prohibit state agencies from imposing any type of carbon tax credit trading, and repeal legislation establishing a cap and invest program to reduce greenhouse gas emissions. This measure would decrease funding for investments in transportation, clean air, renewable energy, conservation, and emissions-reduction.

A "yes" vote supports the following:

A "no" vote opposes the following:

The carbon tax trading program started on Jan. 1, 2023, and the first emissions allowance auction was held on Feb. 28, 2023. It has raised $2.15 billion to date. By law, the revenue generated must be spent to cut pollution, create jobs and help communities respond to climate change. They are getting spent in the state’s current operating, capital and transportation budgets.  The largest share is going to transportation for such things as the purchase of electric school buses, free public transit for youth, air quality monitoring, and electric vehicle chargers. A portion is also covering the cost of providing a one-time $200 credit on the residential electricity bills of thousands of low- and moderate-income families.

Part of BOMA Greater Seattle’s mission is to represent the best interests of commercial real estate through advocacy. One of the most effective ways to do this is to meet in person with lawmakers running for re-election and candidates for office to inform them about commercial real estate and the industry’s importance to the state’s economy.

To date, in 2024, your BOMA team met with 40 lawmakers running for state office where we have engaged in with them about the economic and regulatory and taxation issues that impact our industry.

BOMA is a party neutral organization. We support lawmakers from both political parties that consider and advance the economic vitality of our industry. We share with them that:

Below is a list of state level candidates we have engaged so far in 2024:

Candidate Mark Mullet for Governor (D)
Bob Ferguson (D)
Candidate Dave Reichert (R)
Lt. Governor Denny Heck (D
Secretary of State Steve Hobbs (D)
Pierce County Executive Kelly Chambers (R)
Rep. Amy Walen (D-48)
Sen. Annette Cleveland (D-49)
Sen. Ron Muzzall (R-10)
Sen. Curtis King (R-14)
Rep. Greg Cheney (R-18)
Rep. Mike Chapman (D-25)
Sen. Mark Schoesler (R-09)
Sen. John Braun (R-20)
Rep. Andrew Barkis (R-02)
Rep. Michelle Caldier (R-26)
Rep. Marcus Riccelli (D-3)
Rep. Jeremie Dufault (R-15)
Rep. April Connors (R-8)
Rep. Keith Goehner (R-12)
Rep. Mike Steele (R-12)
Rep. Tom Dent (R-13)
Sen. Chris Gildon (R-25)
Rep. Kristine Reeves (D-30)
Rep. Peter Abbarno (R-20)
Rep. Mari Leavitt (D-28)
Sen. Jeff Wilson (R-19)
Rep. Larry Springer (D-45)
Rep. Jake Fey (D-27)
Rep. Cindy Ryu (D-32)
Rep. Drew Stokesbary (R-31)
Sen. Curtis King (R-14)
Sen. Derek Stanford (D-1)
Candidate Brad Benton (R-18)
Candidate Jim Henderson (R-26)
Candidate Jason Ritchie (D-5)
Candidate Maia Espinoza (R-28)
Candidate John Gibbons (D-23)

State Commercial Real Estate Tax Issues:

* BOMA’s efforts were critical in defeating versions of these bills in 2024 that would have negatively impacted commercial real estate.

State Commercial Regulatory Issues:

State Commercial Real Estate General Issues: