SB 6003 — Concerning the capital budget.

1004.1002.

FOR THE SECRETARY OF STATE p.Tumwater Area Access (40000011) Appropriation:

3State SSBBuilding 6003Construction TumwaterAccount Area— AccessState. (40000011) Appropriation:

State Building Construction Account—State.

1005.1003.

$0 TOTAL.p.

2 SB 6003 TOTAL.

1006.1004.

2025 c 414 s 1012 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF COMMERCE 2025-27 High Efficiency Electric Appliance Rebates (HEAR) Program (40000666) The appropriation in this section is subject to the following conditions and limitations:

(1)(a) (($25,000,000)) $42,000,000 of the appropriation is provided solely for the department to administer grants to eligible third-party administrators for heat pump and other high-efficiency electric equipment rebates, with a focus on low and moderate-income households, renters, nonprofit organizations, and small businesses.

State incentives and rebates for installation of high-efficiency electric equipment, including electrical panel upgrades, provide a benefit to the public consistent with the state's energy strategy and climate mandates by reducing greenhouse gas emissions from the built p.

4 SSB 6003 environment.

The department shall administer the grant program in a manner that seeks to maximize greenhouse gas emissions reductions.

(b) $5,000,000 of the appropriation is provided solely for the department to administer grants to eligible third-party administrators for heat pumps for adult family homes.

(2) The department shall implement a statewide high-efficiency electric equipment program consistent with the following:

(a) Aid the transition of residential and commercial buildings away from fossil fuels by providing education and outreach resources for the installation of high-efficiency electric heat pumps and other high-efficiency electric equipment;

(b) Provide grants, coordination, and technical assistance to eligible third-party administrators to promote the adoption of high- efficiency electric heat pump equipment for space and water heating;

and (c) Develop strategies to ensure that the program serves low- income households, vulnerable populations, and overburdened communities, including dedicating at least 40 percent of the program funding for this purpose.

For the purposes of this subsection (2)(c), "overburdened communities" has the same meaning as in RCW 70A.65.010 and "vulnerable populations" has the same meaning as in RCW 70A.02.010.

(3) For the purposes of this section, "eligible third-party administrators" include, but are not limited to, nonprofits, utilities, housing providers, community action agencies, and community-based organizations.

Appropriation:

Climate Commitment Account — State.

(($30,000,000)) $47,000,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

(($120,000,000)) $188,000,000 TOTAL.

(($150,000,000)) $235,000,000 Sec.

1007.

FOR THE DEPARTMENT OF COMMERCE 2025-27 Behavioral Health Facilities (40000667) p.The appropriation in this section is subject to the following conditions and limitations:

5 SSB 6003 The appropriation in this section is subject to the following conditions and limitations:

(e)p. A commitment by the applicant to maintain and operate the beds or facility for a time period commensurate to the state investment, but for at least a 10-year period;

3 SB 6003 (e) A commitment by the applicant to maintain and operate the beds or facility for a time period commensurate to the state investment, but for at least a 10-year period;

p.(h) A financial plan demonstrating the applicant's ability to maintain and operate the facility;

6 SSB 6003 (h) A financial plan demonstrating the applicant's ability to maintain and operate the facility;

(5) (($70,000,000)) $61,767,000$66,700,000 of the state building construction account — state appropriation in this section is provided solely for competitive community behavioral health grants to address regional needs and noncompetitive closure prevention grants.

(a) Crisis relief centers and stabilization facilities that offer access to mental health and substance use care for no more than 23 hours and 59 minutes per patient, at a time, and are not subject to federalp. funding restrictions that apply to institutions of mental diseases;

4 SB 6003 federal funding restrictions that apply to institutions of mental diseases;

p.(c) Grants to community providers to increase long-term intensive inpatient psychiatric treatment services and capacity for children and minor youth including, but not limited to, services for substance use disorder treatment, sexual assault and traumatic stress, anxiety, or depression, and interventions for children exhibiting aggressive or depressive behaviors in facilities that are not subject to federal funding restrictions;

7 SSB 6003 (c) Grants to community providers to increase long-term intensive inpatient psychiatric treatment services and capacity for children and minor youth including, but not limited to, services for substance use disorder treatment, sexual assault and traumatic stress, anxiety, or depression, and interventions for children exhibiting aggressive or depressive behaviors in facilities that are not subject to federal funding restrictions;

(f)p. Facilities that provide substance use disorder intervention, assessment, and treatment services with secure withdrawal management and stabilization treatment beds that are not subject to federal funding restrictions that apply to institutions of mental diseases;

and5 (g)SB 6003 (f) Facilities wherethat behavioralprovide healthsubstance supportiveuse services,disorder suchintervention, asassessment, harmand reductiontreatment services with secure withdrawal management and physicalstabilization healthtreatment services,beds that are offerednot withinsubject p.to federal funding restrictions that apply to institutions of mental diseases;

8and SSB(g) 6003Facilities where behavioral health supportive services, such as harm reduction and physical health services, are offered within the same facility as behavioral health services and that are not subject to federal funding restrictions that apply to institutions of mental diseases.

(6) $10,000,000 of the state building construction account—stateaccount — state appropriation in this section is provided solely for one crisis stabilization facility in the King county region consistent with the settlement agreement in A.B., by and through Trueblood, et al., v.

(7) (($49,847,000)) $58,080,000$53,147,000 of the appropriation in this section is provided solely for the following list of projects:

$1,850,000$1,800,000 CrisisFrontier ReliefBehavioral &Health: Sobering Center.

$773,000 Everett Health Engagement Hub Expansion.

$515,000 Frontier Behavioral Health:

$18,480,000 RecoverySkagit CaféCounty BuildingCrisis Acquisition.Stabilization.

$2,050,000 Skagit County Crisis Stabilization.

$5,050,000 Yakima(9) BehavioralDuring Healththe Hub.2025-2027 fiscal biennium, where the department has awarded a grant for the operation of a crisis diversion or stabilization facility located in Pierce county that is not subject p.

$1,545,0006 (9)SB During6003 theto 2025-2027federal fiscalfunding biennium,restrictions wherethat theapply departmentto hasinstitutions awardedof amental grantdiseases, for the operationdepartment ofmay aamend crisisthe diversioncontract orassociated stabilizationwith facilitythe locatedgrant in Pierceorder county that is not subject to federalauthorize fundingthe restrictionsfacility that apply to institutionsbe ofused mentalfor diseases,any thecommunity departmentdevelopment mayblock amendgrant thenational contractobjective. associated with the p.

9 SSB 6003 grant in order to authorize the facility to be used for any community development block grant national objective.

and (e)p. Recommendations for statutory language that would codify the grant program on an ongoing basis including:

7 SB 6003 (e) Recommendations for statutory language that would codify the grant program on an ongoing basis including:

p.(ii) Monitoring and compliance requirements;

10 SSB 6003 (ii) Monitoring and compliance requirements;

1008.1005.

2025 c 414 s 1018 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF COMMERCE 2025-27 Public Works Board (40000672) The appropriations in this section are subject to the following conditions and limitations:

(1) (($10,000,000)) $43,000,000 of the state building construction account— state appropriation((, $90,000,000)) and $366,500,000 of the state taxable building construction account — state appropriation((, and $265,000,000 of the public works assistance account— state appropriation)) in this section are provided solely for the public works board to award new or reimburse previously authorized grants and loans to local governments for infrastructure projects in accordance with chapter 43.155 RCW.

When reimbursing projects that are awarded funding by the board under this appropriation authority, the department and the board must first spend funding available from the state taxable building construction account— state appropriation and the state building construction account— state appropriation in this section.

((When the state building construction account— state and state taxable building p.

11 SSB 6003 construction account—state appropriations provided in this section are fully spent, the department and the board may then award and reimburse projects using up to $265,000,000 from the public works assistance account—state appropriation, but only to the extent that there is a sufficient balance in the public works assistance account — state to support additional project awards and reimbursements.)) (2) $10,000,000 of the natural climate solutions account — state appropriation in this section is provided solely for the board to make emergency grants to local governments for public works projects that were impacted by the weather event described in emergency proclamation 25-07.

(3) The ((state building construction account — state appropriation and the state taxable building construction account— state appropriation)) appropriations in this section are subject to the provisions of section 8018 of this act.

Appropriation:

Natural Climate Solutions Account —State.

$10,000,000 State Building Construction Account — State.

(($10,000,000)) $43,000,000 State Taxable Building Construction Account — State.

(($90,000,000)) $366,500,000 ((Public Works Assistance Account —State.

$265,000,000)) Subtotal Appropriation.

(($365,000,000)) $419,500,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

$1,460,000,000 TOTAL.

(($1,825,000,000)) $1,879,500,000 Sec.

1009.

(1)(a) The appropriation in this section is provided solely for grants or deferred loans to local governments and public utility p.districts to defray the cost of waiving a portion of or all of the fees normally applied to developers for utility connection charges and related street improvements related to new affordable housing projects for low- and moderate-income households.

12 SSB 6003 districts to defray the cost of waiving a portion of or all of the fees normally applied to developers for utility connection charges and related street improvements related to new affordable housing projects for low- and moderate-income households.

Street improvements are eligible if the improvements are related directly to the utility extension or connectionp. and are adjacent to the new housing units being constructed.

8 SB 6003 connection and are adjacent to the new housing units being constructed.

and p.(iii) Makes recommendations regarding continuation or expansion of the pilot program and recommended future funding levels.

13 SSB 6003 (iii) Makes recommendations regarding continuation or expansion of the pilot program and recommended future funding levels.

(a)p. "Affordable housing" means residential housing that requires payment of monthly housing costs, including utilities other than telephone, of no more than 30 percent of the household's income.

9 SB 6003 (a) "Affordable housing" means residential housing that requires payment of monthly housing costs, including utilities other than telephone, of no more than 30 percent of the household's income.

(6) $2,550,000The of the appropriation in this section is providedsubject solelyto for the Skywayprovisions Homeownershipof project.section 8018 of this act.

(((6))) (7) The appropriation in this section is subject to the provisions of section 8018 of this act.

$0 p.Future Biennia (Projected Costs).

14 SSB 6003 Future Biennia (Projected Costs).

1010.1006.

(1) (($133,000,000)) $202,171,000$216,770,000 of the state building construction account — state and (($402,000,000)) $410,663,000$530,730,000 of the statep. taxable building construction account — state appropriations are provided solely for the new construction, acquisition, or acquisition and rehabilitation of affordable housing projects that serve and benefit low-income and special needs populations including, but not limited to, people with chronic mental illness or behavioral health conditions, farmworkers, people who are homeless, and people in need of permanent supportive housing.

10 SB 6003 state taxable building construction account—state appropriations are provided solely for the new construction, acquisition, or acquisition and rehabilitation of affordable housing projects that serve and benefit low-income and special needs populations including, but not limited to, people with chronic mental illness or behavioral health conditions, farmworkers, people who are homeless, and people in need of permanent supportive housing.

(a)Of (($53,000,000)) $62,882,000 of the stateamounts building construction account — state and (($162,000,000)) $190,896,000 of the state taxable building construction account — state appropriations are provided solelyin forthis multifamilysubsection rental(1): housing projects.

(a) (($53,000,000)) $55,070,000 of the state building construction account — state and (($162,000,000)) $229,430,000 of the state taxable building construction account — state appropriations are provided solely for multifamily rental housing projects.

(b) $50,000,000 of the state taxable building construction account—stateaccount— state appropriation is provided solely for affordable housing projects that serve and benefit low-income people with developmental or intellectual disabilities.

The department must consider prioritizing funding under this p.subsection for housing that serves individuals who are exiting residential habilitation centers or facilities.

15(c) SSB$100,000,000 6003of subsectionthe state taxable building construction account—state appropriation is provided ((solely)) for permanent supportive housing thatprojects servesin individualsaccordance whowith arethe exitingapple residentialhealth habilitationand centershomes orrapid facilities.permanent supportive housing program created in RCW 43.330.187.

(c) (($100,000,000)) $50,000,000 of the state taxable building construction account—state appropriation is provided solely for permanent supportive housing projects in accordance with the apple health and homes rapid permanent supportive housing program created in RCW 43.330.187.

(d) (($30,000,000)) $44,311,000$61,700,000 of the state building construction account— state appropriation and (($45,000,000)) $66,467,000p. of the state taxable building construction account — state appropriation in this section are provided solely for the development of homeownership projects affordable to first-time low-income households.

11 SB 6003 $86,300,000 of the state taxable building construction account—state appropriation in this section are provided solely for the development of homeownership projects affordable to first-time low-income households.

Of the amounts provided in this subsection (1)(d), $2,500,000 of the state building construction account— state appropriation is provided solely for the Orchard Gardens project.project, and $8,000,000 of the state taxable building construction account — state appropriation is provided solely for the Kulshan Community Land Trust:

(e)(i)(A)Thornton $17,500,000Village ofFerndale theproject. state taxable building construction account— state appropriation is provided solely for the northwest cooperative development center to provide subgrants for the acquisition and preservation of mobile or manufactured home communities where at least 50 percent of the preserved homes are and will remain occupied by low-income households.

Funding(e)(((i)(A) $17,500,000)) $30,000,000 of the state taxable building construction account — state appropriation is provided undersolely this((for subsectionthe (1)(e)(i)northwest maycooperative bedevelopment usedcenter to provide subgrants)) to provide grants for the purposeacquisition and preservation of avoidingmobile householdor displacementmanufactured duehome tocommunities salewhere orat otherleast transactions50 percent of the preserved homes are and ensuringwill p.remain occupied by low-income households.

16Funding SSBprovided 6003under this subsection (1)(e)(((i))) may be used for the purpose of avoiding household displacement due to sale or other transactions and ensuring preservation of housing affordability for low-income households for a minimum of 40 years and may be awarded only to eligible organizations as defined in RCW 59.20.030.

(B)(((B))) $2,500,000Of the amounts provided in this subsection (e), $17,500,000 of the state taxable building construction account —state— state appropriation is provided solely for the Baysidenorthwest Housingcooperative project.development center to provide subgrants for the purposes of this p.

(ii)12 $10,000,000SB 6003 subsection, and $2,500,000 of the state taxable building construction account—account—state state appropriation is provided solely for the northwestBayside cooperativeHousing developmentproject. center to provide subgrants to organizations that are mobile home park cooperatives or manufactured housing cooperatives, as those terms are defined in RCW 59.20.030, for critical improvements, repairs, and infrastructure upgrades to promote the preservation of mobile or manufactured home communities as affordable housing.

(((ii) $10,000,000)) (f) $20,000,000 of the state taxable building construction account—state appropriation is provided solely ((for the northwest cooperative development center to provide subgrants)) to provide grants to organizations that are mobile home park cooperatives or manufactured housing cooperatives, as those terms are defined in RCW 59.20.030, for critical improvements, repairs, and infrastructure upgrades to promote the preservation of mobile or manufactured home communities as affordable housing.

(f)Of the amounts provided in this subsection (f), $10,000,000 of the state taxable building construction account—stateaccount — state appropriation is provided solely for eligiblethe organizationsnorthwest undercooperative RCWdevelopment 43.185A.040center to acquire,provide acquiresubgrants and renovate, or prepare real property for rapidthe conversionpurposes intoof permanentthis supportivesubsection. housing, transitional housing, indoor emergency housing, tiny homes, or indoor emergency shelters, with a primary focus on serving people with extremely low-incomes who are experiencing sheltered and unsheltered homelessness, including families with children, unaccompanied youth and young people, older adults, and people with disabilities.

(((f))) (g) $10,000,000 of the state taxable building construction account— state appropriation is provided solely for eligible organizations under RCW 43.185A.040 to acquire, acquire and renovate, or prepare real property for rapid conversion into permanent supportive housing, transitional housing, indoor emergency housing, tiny homes, or indoor emergency shelters, with a primary focus on serving people with extremely low-incomes who are experiencing sheltered and unsheltered homelessness, including families with children, unaccompanied youth and young people, older adults, and people with disabilities.

The department may approve funding only for projects that result in increased shelter or housing capacity for extremely low-incomelow- income people and households.

In awarding funding pursuant to this subsection (1)(f),(1)(((f))) (g), the department shall prioritize the acquisition of multifamily housing units and housing projects that rapidly move people experiencing sheltered or unsheltered homelessness into housing, including, but not limited to, individuals living in unsanctioned encampments, the public rights-of-way, or other public spaces.

Amounts provided in this subsection (1)(f)(1)(((f))) mayp. not be used for operating or maintenance costs, supportive services, or debt service.

p.13 SB 6003 (g) may not be used for operating or maintenance costs, supportive services, or debt service.

17(((g) SSB$50,000,000)) 6003(h) (g)$100,000,000 (($50,000,000)) $94,978,000 of the state building construction account—state appropriation is provided solely for affordable housing preservation projects, which may include, but are not limited to:

(iii) Projects rehabilitating affordable multifamily housing impacted by the weather event described in the governor's emergency proclamation 25-07.

(iv) The funding provided under this subsection (g)(((g))) (h) is not subject to the 60-day application period in RCW 43.185A.150.

(h)(((h))) (($5,000,000))(i) $13,300,000$5,000,000 of the state taxable building construction account — state appropriation in this section is provided solely for facilities housing low-income migrant, seasonal, or temporary farmworkers.

Funding may also be provided, to the extent qualifiedp. projects are submitted, for projects that address health and safety.

p.14 SB 6003 qualified projects are submitted, for projects that address health and safety.

18(((i))) SSB(j) 6003 (i) The department shall strive to invest at least 10 percent of the appropriations provided under (a) and (d) of this subsection (1) for either affordable multifamily rental housing or homeownership projects, or both, benefiting low-income households in federally recognized Indian tribes in the state of Washington.

(2) $3,000,000(($3,000,000)) $4,500,000 of the state building construction accountaccount— — state appropriation is provided solely for the department to provide preconstruction and technical assistance awards in accordance with RCW 43.185A.170.

(3) (($5,000,000))$5,000,000 $10,000,000 of the state building construction account—account — state appropriation in this section is provided solely for affordable housing urgent repair grants to be provided on an ongoing basis.

Grants may be awarded for urgent repairs that are in the planning or construction phase or repairs that have been completed.

Funds provided in this section are available on a reimbursement basis only.

1915 SSBSB 6003 (4) (($57,738,000)) $103,208,000$66,988,000 of the state taxable building construction account—state appropriation is provided for the following list of projects:

$2,050,000 AmericanAfrican LegionDiaspora VeteranCultural HousingAnchor andVillage. Resource Center.

$7,000,000 American Legion Veteran Housing and Resource Center.

$3,000,000 CasaCity MiA.of Port Angeles Multifamily Housing Pipeline.

$4,050,000 City of Port Angeles Multifamily Housing Pipeline.

$1,750,000)) CloverdaleHomestead Cottages.Community Land Trust.

$3,450,000 Everett Bridge Housing.

$3,850,000 Hidden Village Mobile Home Park.

$4,050,000 Homestead Community Land Trust.

$443,000 LakeLincoln CityStreet AffordableStudios. Housing.

$7,050,000 Lincoln Street Studios.

$2,050,000 MontlakeSPS Homes.Habitat Boulevard Affordable Homeownership Net Zero $5,050,000 St.

$6,050,000 Odd Fellows Lodge 20 Affordable Housing.

$5,050,000 Richland Transitional Veterans Home.

$150,000 SPS Habitat Boulevard Affordable Homeownership Net Zero.

$5,050,000 St.

$1,545,000 ThorntonThrive VillageCenter Ferndale.Tacoma.

$8,000,000 Thrive Center Tacoma.

$2,050,000 WestYWCA RichlandNorth Homeownership.Central Washington.

$1,520,000 YWCA North Central Washington.

p.(6) The department must strive to allocate all of the amounts appropriated in subsections (1) through (3) of this section within the 2025-2027 fiscal biennium in the manner prescribed in each subsection.

20 SSB 6003 (6) The department must strive to allocate all of the amounts appropriated in subsections (1) through (3) of this section within the 2025-2027 fiscal biennium in the manner prescribed in each subsection.

p.

16 SB 6003 State Building Construction Account—State.

(($145,500,000)) $230,770,000 State Taxable Building Construction Account— State.

(($459,738,000)) $597,718,000 Subtotal Appropriation.

(($605,238,000)) $828,488,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

$2,420,952,000 TOTAL.

(($3,026,190,000)) $3,249,440,000 Sec.

1007.

2025 c 414 s 1022 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF COMMERCE 2025-27 Clean Energy Fund Program (40000679) The appropriation in this section is subject to the following conditions and limitations:

(1) $26,000,000 of the state building construction account — state appropriation in this section is provided solely for competitive grants to eligible entities for predevelopment, design, and construction of projects that provide a public benefit through research, development, demonstration, or deployment of clean energy technologies that save energy and reduce energy costs, reduce harmful air emissions, or increase energy independence for the state.

Priority must be given to projects that benefit vulnerable populations and overburdened communities, including tribes.

(2) Entities eligible for grant funding under this section include local governments, federally recognized tribal governments and tribes' contracted service providers, public and private utilities that serve retail customers in the state, for-profit entities, research institutions, nonprofit organizations, and state agencies.

(3) To be eligible, a project must be consistent with the state energy strategy adopted under chapter 43.21F RCW and policies under chapter 19.405 RCW.

To the extent practicable, the department must prioritize projects that build upon Washington's strengths in aerospace, maritime, information and communications technology, grid p.

17 SB 6003 modernization, advanced materials, and decarbonizing the built environment.

(4) The department must invite stakeholders to participate in the design and implementation of grant programs funded under this section.

The department must consider equity and environmental justice when developing the program structure and opportunities for applicant participation.

(5) When soliciting and evaluating proposals, awarding contracts, and monitoring projects under this section, the department must:

(a) Ensure that competitive processes, rather than sole source contracting processes, are used to select all projects;

(b) Ensure that a public benefit results from the use of public funds through due diligence and monitoring of contracted projects, including ensuring compliance with all applicable laws related to the project selection process, project monitoring, and contracting;

and (c) Prioritize projects for funding that leverage the greatest amount of matching funds, such as local levy funding.

(6)(a) The department must require project applicants to:

(i) Disclose all sources of public funding invested in a project;

and (ii) Identify by name any former or current state of Washington employees employed by the applicant or its governing body in the 24 months preceding the application submittal.

The identification must include the person's separation date and job title or position held.

If the department determines that a conflict of interest or other violation of chapter 42.52 RCW exists, the application must be disqualified from further consideration.

(b) If, after a grant has been awarded, the department finds that a grantee has violated chapter 42.52 RCW, either in procuring or performing under the grant, the department in its sole discretion may terminate the grant funding by written notice.

If the grant is terminated, the department must reserve its right to pursue all available remedies under law to address the violation.

(7) The department must specify the requirements in subsections (5) and (6) of this section in funding contracts entered into by the department under this section.

(8) $5,000,000 of the state building construction account — state appropriation and $30,000,000 of the climate commitment account — state appropriation in this section ((is)) are provided solely for grants to tribes for clean energy development projects.

Eligible uses of p.

18 SB 6003 grant funding include planning, predesign, design, construction, project predevelopment, and deployment of clean energy projects that contribute to achieving the state's greenhouse gas emissions reduction goals and related policies.

The department must collaborate with tribes in the design and development of this grant program.

(9) $4,000,000 of the climate commitment account—state appropriation in this section is provided solely for the Pacific Northwest national laboratory test bed.

The appropriation in this subsection is contingent upon the receipt of federal funding in sufficient amounts to complete the project.

(10) The state building construction account — state appropriation in this section is subject to the provisions of section 8018 of this act.

Appropriation:

(($145,500,000))$31,000,000 $219,671,000Climate StateCommitment Taxable Building Construction Account — State.

(($459,738,000))(($4,000,000)) $513,871,000$34,000,000 Subtotal Appropriation.

(($605,238,000))(($35,000,000)) $733,542,000$65,000,000 Prior Biennia (Expenditures).

(($2,420,952,000))$140,000,000 $2,934,168,000 TOTAL.

(($3,026,190,000))(($175,000,000)) $3,667,710,000$205,000,000 Sec.

1011.1008.

2025 c 414 s 6103 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF COMMERCE Anaerobic Digester Development (92001947) The ((reappropriation)) appropriations in this section ((is)) are subject to the following conditions and limitations:

((The reappropriation is subject to the provisions of section 7032 of this act.)) (1) $23,200,000 of the appropriations in this section is provided solely for grants for cost share agreements regarding anaerobic digester development and maintenance projects at dairies.

Grants awarded must have at least a 15 percent nonstate match and be awarded through a competitive process that considers:

(a) The amount of greenhouse gas reduction expected to be achieved by the proposal;

and p.

21 SSB 6003 (b) The amount of untreated effluent expected to be reduced by the proposal.

(2) $500,000 of the appropriation in this section is provided solely for the department to contract with the Washington State University energy extension program to provide technical assistance in the administration of the competitive grant process and to provide ongoing support to dairies and digester operators regarding opportunities to enhance digester function, advance nutrient recovery, and improve the economic sustainability of on-farm digesters.

Reappropriation:

Climate Commitment Account — State.

$13,700,000 Appropriation:

Climate Commitment Account — State.

$10,000,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

(($0)) $40,000,000 TOTAL.

(($13,700,000)) $63,700,000 Sec.

1012.

(1)The appropriation in this section is subject to the provisions of section 8018 of this act, except that $5,000,000 of the appropriation in this section is provided solely for low-income home rehabilitation projects impacted by the weather event described in the governor's emergency proclamation 25-07.

Eligible projects are not limited to rural areas and may be located in any flood-impacted area of the state.

(2) The appropriation in this section is subject to the provisions of section 8018 of this act.

2219 SSBSB 6003 Future Biennia (Projected Costs).

(($20,000,000))$20,000,000 $40,000,000 TOTAL.

(($25,000,000)) $50,000,000$30,000,000 Sec.NEW SECTION.

1013.Sec.

20251009. c 414 s 1027 (uncodified) is amended to read as follows:

FORA THEnew DEPARTMENTsection OFis COMMERCEadded 2026to Local2025 andc Community414 Projects(uncodified) (40000709) The appropriations in this section are subject to theread followingas conditionsfollows: and limitations:

(1)FOR ExceptTHE asDEPARTMENT providedOF forCOMMERCE underHousing subsectionAccelerator (12)Framework of(40001944) The appropriation in this section,section is subject to the departmentfollowing mayconditions notand expendlimitations:  the(1) The appropriation in this section unlessis andprovided untilsolely for the nonstatedepartment shareto develop a housing accelerator framework with the goals of projecteliminating costsbarriers haveto beenbuilding eitherhousing, expendedreducing orthe firmlycost committed,of orhousing both,production infor andevelopers amountand sufficientconsumers, toaccelerating completehousing development milestone timelines, and increasing the projectproduction orof ahousing distinctunits phasestatewide, that are attainable and sustainable.  (2) The department shall collaborate with state agencies, including but not limited to, the department of revenue, the projectdepartment thatof islabor useableand toindustries, the publicdepartment forof ecology, the purposeWashington intendedstate bybuilding code council, local governments, and appropriate interest groups in implementing this section.  (3) In undertaking the legislature.development of the framework, existing studies and reports, including from Executive Order 25-02, and information provided by state agencies and interest groups in subsection (2) in this section must be utilized.

The department may use this appropriation to enter a contract with a third-party expert.  (4) The housing accelerator framework may include, but is not limited to, consideration and evaluation of:  (a) Opportunities to simplify grant application processes among funders.  (b) State housing program process, policy and regulation reforms, including, but not limited to:  (i) Maximum awards;  (ii) Zoning;  (iii) Permitting and construction regulations;  (iv) Performance building and energy code pathways;  (v) Stormwater regulations and flexibility;  (vi) Public works contracting and labor and wage requirements;  (vii) Project affordability and tax incentives;  p.

20 SB 6003 (viii) Regulatory exemptions;  and (ix) Existing and new revenue potentials to fund new housing developments.  (c) Measures of success and timeline in order to meet the goals and objectives of this section.   (5) By October 1, 2026, the department must submit the framework to the governor and appropriate committees of the legislature, including recommendations that give the best result to implement a housing accelerator program.  Appropriation:

State Building Construction Account — State.

$350,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

$0 TOTAL.

$350,000 NEW SECTION.

Sec.

1010.

A new section is added to 2025 c 414 (uncodified) to read as follows:

FOR THE DEPARTMENT OF COMMERCE Land Banking (40001945) The appropriation in this section is subject to the following conditions and limitations:

The appropriation is to support land banking legislation.

Appropriation:

State Building Construction Account — State.

$2,000,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

$0 TOTAL.

$2,000,000 NEW SECTION.

Sec.

1011.

A new section is added to 2025 c 414 (uncodified) to read as follows:

FOR THE DEPARTMENT OF COMMERCE Washington State Green Bank (40001946) The appropriation in this section is subject to the following conditions and limitations:

(1) $11,500,000 of the appropriation in this section is provided solely to the department of commerce for a grant to the Washington state green bank to provide agreements for residential credit enhancements and commercial clean energy financing for projects that p.

21 SB 6003 address one or more purposes in subsection (2) of this section.

In contracts for grants to the Washington state green bank authorized under this section, the department must include provisions that require the Washington state green bank to remain an independent, nonprofit corporation recognized as exempt from federal income taxation for the public benefit during the term of the grant.

(a) $3,000,000 of the appropriation in this subsection (1) is provided solely for the Washington state green bank for agreements to support a residential credit enhancement model that includes partnerships with lenders and contractors to provide energy efficiency upgrades, solar installations, electrical vehicle chargers, and emergency HVAC replacements.

Where possible and feasible, energy efficiency upgrades should provide electric equipment and infrastructure.

Funding must prioritize low to moderate-income families and households unable to access traditional financing.

Families and households above moderate income are eligible but must not be prioritized.

(b) $8,500,000 of the appropriation in this subsection (1) is provided solely for the Washington state green bank for agreements to implement the requirements of subsections (3)(a)(iii) and (iv) of this section for commercial energy efficiency, including, but not limited to, meeting clean buildings performance standard compliance and helping small businesses and tribes in procuring clean energy and pursuing fleet electrification projects.

(2) Projects funded by this section must meet one or more of the following objectives:

(a) Promoting investments in qualified clean energy projects;

(b) Increasing significantly the pace and level of investments in qualified clean energy projects at the state and local levels;

(c) Improving the standard of living of the residents of Washington state by promoting the more efficient and lower cost development of qualified clean energy projects and providing financing for qualified clean energy projects that will create high- paying, long-term jobs;

(d) Fostering the development and consistent application of transparent underwriting standards, standard contractual terms, and measurement and verification protocols for qualified clean energy projects;

(e) Promoting the creation of performance data that enables effective underwriting, risk management, and pro forma modeling of p.

22 SB 6003 financial performance of qualified clean energy projects to support primary financing markets and to stimulate the development of secondary investment markets for qualified clean energy projects;

and (f) Achieving a level of financing support for qualified clean energy projects necessary to help abate climate change through development, demonstration, and deployment of clean energy technologies that save energy and reduce energy costs, reduce harmful air emissions, or increase energy independence for the state.

Priority must be given to projects that benefit vulnerable populations, including tribes and communities with high environmental or energy burdens, and complement and supplement other clean energy and energy efficiency programs and initiatives in this state;

(3)(a) In grants to the Washington state green bank authorized under this section, the department must include provisions that require the Washington state green bank to establish guidelines, screening processes, and evaluation and selection criteria to be used by lenders operating under the credit enhancement model.

For all other applicants and project types, the Washington state green bank shall directly offer financial products and structures, including soliciting and evaluating project proposals and monitoring projects under this section.

For grants authorized under this section, the department of commerce must require the Washington state green bank to:

(i) Ensure that selective processes and criteria, rather than sole source contracting processes, are used to select all lender partners, contractors, and projects, except as otherwise noted in this section;

(ii) Conduct due diligence activities associated with the use of public funds including, but not limited to, oversight of the project selection process, project monitoring, and ensuring that all applications and contracts fully comply with all applicable laws including disclosure and conflict of interest statutes;

(iii) Develop rules, policies, and procedures that specify the eligibility of borrowers and any other terms or conditions of the financial support to be provided by the Washinton state green bank before financing support is provided for any qualified clean energy project;

(iv) Develop and offer a range of financing structures, forms, and techniques for qualified clean energy projects, including, but p.

23 SB 6003 not limited to, loans, credit enhancements, guarantees, warehousing, securitization, and other financial products and structures;

(v) Leverage private investment in qualified clean energy projects through financing mechanisms that support, enhance, and complement private investment;

(vi) Ensure that financing entities providing funds under this section provide funding in a reasonable and transparent manner that is in the financial interest of the borrowers and is consistent with state consumer protection standards;

and (vii) Assess reasonable fees for the financing support and risk management activities provided by the Washington state green bank.

(b) After the original amount of all funds appropriated under subsection (1) of this section have been lent out by the Washington state green bank, the funds revolved are not subject to Executive Order 21-02 or prevailing wage requirements;

(4)(a) Consistent with chapter 42.52 RCW, the ethics in public service act, a project applicant must identify in application materials any state of Washington employees or former state employees employed by the firm or on the firm's governing board during the past 24 months.

Application materials must identify the individual by name, the agency previously or currently employing the individual, job title, or position held, and separation date.

If it is determined by the department of commerce or the Washington state green bank that there is a conflict of interest or situation that is likely to constitute a violation of the chapter 42.52 RCW, the applicant may be disqualified from further consideration for award of funding.

(b) If the department of commerce or the Washington state green bank finds, after due notice and examination, that there is a conflict of interest or a situation that is likely to constitute a violation of chapter 42.52 RCW, or any similar statute, involving a recipient of funding under this section, the department of commerce or the Washington state green bank may terminate the funding agreement in its sole discretion by written notice with a reservation of rights to pursue all available remedies under law to address the violation.

(5) Requirements in subsection (4) of this section must be specified in funding agreements issued by the department of commerce and the Washington state green bank.

(6) $1,000,000 of the appropriation in this section is provided solely for a grant to the Washington state green bank for program p.

24 SB 6003 administration costs.

In the grant authorized under this subsection, the department of commerce must include provisions that require the Washington state green bank to:

(a) Collect and make available to the public in a centralized database on an internet website maintained by the Washington state green bank information regarding rates, terms, and conditions of all financing support transactions, unless the disclosure of such information includes a trade secret, confidential commercial information, or confidential financial information;

(b) Work with market and program participants to provide information regarding best practices for overseeing qualified clean energy projects and information regarding other appropriate consumer protections;

(c) Prepare an annual report for the public on the financing activities of the Washington state green bank, including other sources of funding for the projects, for submittal to the governor and appropriate committees of the legislature on November 1st of each year, beginning fiscal year 2027;

and (d) Undertake such other activities as are necessary to carry out the provisions of this section.

(7) The department may use up to three percent of amounts appropriated in this section for administrative expenses.

Appropriation:

Climate Commitment Account — State.

$12,500,000 Prior Biennia (Expenditures).

$0 Future Biennia (Projected Costs).

$0 TOTAL.

$12,500,000 NEW SECTION.

Sec.

1012.

A new section is added to 2025 c 414 (uncodified) to read as follows:

FOR THE DEPARTMENT OF COMMERCE 2027 Local and Community Projects (40001947) The appropriation in this section is subject to the following conditions and limitations:

(1) The department may not expend the appropriation in this section unless and until the nonstate share of project costs have been either expended or firmly committed, or both, in an amount sufficient to complete the project or a distinct phase of the project that is useable to the public for the purpose intended by the p.

25 SB 6003 legislature.

If the grantee is found to be out of compliance with provisions of the contract, the grantee shall repay to the state general fund the principal amount of the grant plus interest calculated at the rate of interest on state of p.Washington general obligation bonds issued most closely to the date of authorization of the grant.

23 SSB 6003 Washington general obligation bonds issued most closely to the date of authorization of the grant.

196th/ScriberNortheast CreekYouth Controland StructureFamily Removal.Services Creativity Project.

$500,000$175,000 23rdWhite &Salmon CherryValley Renovation/Construction.Pool.

$1,236,000$500,000 4thPort Stof NWPort StormwaterAngeles ImprovementMulti-User Project.Marine Trades Building.

(($773,000)) $1,073,000 Accessibility Renovations for Community Homes.

$155,000 Adams County Fire Protection District 6 Fire Hall.

$418,000 Airlift Northwest Hangar.

$3,250,000 Airway Heights Public Safety Campus.

$907,000 Alatheia Building Project.

$263,000 Alliance Place.

$500,000 Allyn Community Hub.

$72,000 Anacortes Early Learning Center - Whitney Campus.

$42,000 Anderson Is.

Emergency Communications System.

$8,000 Aquatic Center at MLK Jr.

Park.

$257,000 Aquatic Resource Mitigation Program.

$309,000 Arlington Boys & Girls Club Fire Safety.

$200,000 ASHHO Cultural Community Center.

$927,000 Asia Pacific Cultural Center.

$1,030,000 Astria Toppenish Hospital Roof Replacement.

$567,000 Auburn Ave Theater Rebuild.

$500,000 Ballard Boys & Girls Club Security Fence & Lights.

$80,000 Battle Ground Downtown Revitalization Design.

$515,000 Baw Faw Grange.

$12,000 Bayview Trail Lake Stevens.

$500,000 p.

24 SSB 6003 Bayview Trail Marysville.

$500,000 Beerbower Park.

$253,000 Bellevue Downtown Integration.

$250,000 Bellevue Family YMCA and Housing.

$250,000 Bellingham Central Library Interior Renovation.

$1,030,000 Benston Hall Kitchen and Septic Renovation.

$175,000 Benton REA's Wildfire Resilience Project.

$1,000,000 BGC Roof & HVAC Project.

$412,000 Boat Yard Expansion Project.

$500,000 Boys & Girls Clubs of Benton and Franklin Counties Prosser.

$515,000 Bremerton Masonic Temple Kitchen Renovation.

$247,000 Brier Park Bathroom Rebuild.

$489,000 Camano Island Legion Veterans Comprehensive Health Initiative.

$300,000 Camas Washougal Firefighters Safety Equipment.

$155,000 Camp Thunderbird (Summit Lake Outdoor School) Water System.

$525,000 Capitol Theatre Capital Improvements.

$100,000 Cashmere Branch Library ADA (Cashmere).

$33,000 Castle Rock Impound/Storage Facility.

$370,000 CAYA Center Predevelopment.

$225,000 Center Senior Living Assisted Living Housing.

$395,000 Central Washington Fair Barns.

$400,000 Cham Community Center.

$1,000,000 Chehalis Recreation Park.

$50,000 Chelan Co.

Emergency Management Facility.

$500,000 Chelan Eagles.

$15,000 Chief Leschi Park.

$58,000 City of Elma HVAC Replacement Project.

$206,000 City of Lakewood - Edgewater Park Improvement Project.

$360,000 City of Langley City Hall Solar Plus Storage.

$257,000 City of Sunnyside Downtown Gazebo Rebuild.

$257,000 City of Sunnyside:

Community Pool.

$515,000 City of Sunnyside:

Tina Knoth Park Soccer Field Development.

$515,000 City of Tukwila HVAC Replacement.

$773,000 Civic Center Renovation.

$1,000,000 Clallam EOC.

2526 SSBSB 6003 ClarkMAPS CountyRedmond PublicYouth Safety.Center.

$1,500,000 CleAmerican ElumIndian BoysCommunity &Center. Girls Club Clubhouse.

$103,000$2,000,000 ClymerCity Museumof ElevatorSeattle AndWomen's ADASoftball Upgrades.Field Equity.

$230,000$1,500,000 CollinsSeattle GrangeChinese #893.Garden and Cultural Center.

$158,000$2,500,000 Columbia(9) ParkThe Eastappropriation Boatin Launchthis Replacement.section is subject to the provisions of section 8018, chapter 414, Laws of 2025.

$750,000 Community Center Entryway Improvements.

$103,000 Community Center HVAC.

$206,000 Community Library Building Project.

$400,000 Community Roots Mill Plain Housing Project.

$1,000,000 Community Wildlife Readiness-Simcoe Mountains.

$26,000 Completion of New Fire Station - Franklin County Fire.

$1,000,000 Coulee City Rodeo Grounds Improvements.

$464,000 Coupeville BGC Gymnasium Project.

$515,000 Creating A More Accessible State Arboretum.

$900,000 Crescent Grange.

$300,000 Critical Equipment, Research, and Rearing Capacity.

$1,718,000 Culinary Upgrade To Battle Ground Public Schools.

$278,000 Darrington Wood Innovation and Education Center.

$145,000 Daybreak Star Infrastructure Project.

$600,000 DeMolay Sandspit Park Improvements.

$515,000 Des Moines Marina Steps.

$1,030,000 Distribution System Enhancements.

$625,000 Dry Creek Grange.

$28,000 Dundee Hill Community Homes.

$376,000 East Adams Rural Healthcare:

Central Monitoring System.

$232,000 East Wenatchee City Hall.

$150,000 Eastside Terrace Club Kitchen Renovation.

$74,000 Eatonville Community Stadium & Lighting.

$800,000 ED Safer Rooms.

$1,030,000 Edgewood Grange.

$217,000 Edmonds Food Bank.

$103,000 Edwin Pratt Memorial Park.

$155,000 El Centro de la Raza Mercado Project.

$1,030,000 Elks Park Little League Fields Renovations.

$103,000 Emergency Fueling Station.

$500,000 Emergency Power Generators Yakima County Fire District 12.

$295,000 Energy-Efficient Lighting Upgrade.

$26,000 p.

26 SSB 6003 Enumclaw LED Lighting.

$1,029,000 Everett Boys & Girls Club Kitchen Renovation Project.

$309,000 Excelsior Wellness Site Infrastructure Project.

$915,000 Expanded Facility for South Kitsap Helpline.

$263,000 FareStart Barista & Customer Service Job Training Class.

$309,000 FEMA Omak Floodplain Impact Pre-design.

$515,000 Ferndale Library and Campus EV and Solar Initiative.

$515,000 Fishing Pier at Spanaway Lake.

$773,000 Five Mile Prairie Grange.

$23,000 Float Our Future.

$103,000 Food Distribution and Storage Improvements.

$341,000 Foss Waterway Commercial Pump Out.

$103,000 Freedom Center.

$338,000 Friends of Lopez Island Pool.

$523,000 Frontier Park - Goat Barns.

$103,000 Fruitland Grange #999.

$67,000 Garrison Springs Creek Restoration Project.

$515,000 Gig Harbor Sports Fields.

$1,030,000 God's Pantry Building.

$45,000 Grand Cinema.

$618,000 Grandview Police Center.

$550,000 Grandview Splash Pad.

$108,000 Grant County Animal Outreach Shelter Building.

$256,000 Grid-Scale Coordination for WA.

$700,000 Habitat for Humanity Site Acquisition.

$300,000 Handicap Ramp and ADA Bathroom Additions.

$182,000 Haynie Grange Facilities Modernization Project.

$170,000 Healing Headquarters:

A Campaign for Rebuilding Hope.

$250,000 Heating Vitalization and Collying System.

$177,000 Heritage Heights Remodel Phase 4 Generator.

$258,000 Historic Museum Restoration & Preservation Project.

$150,000 Historic Slavonian Hall.

$515,000 Historic Theatre Restoration.

$377,000 Hopkins Ditch ESA ITP Application Grant.

$52,000 Hotel Lincoln Historic Restoration Project.

$250,000 Improvements to Low-Income Child Care Center.

$225,000 Inland Grange.

$98,000 Integrated Care Clinic.

$1,030,000 p.

27 SSB 6003 Interurban Trail Connection - Milton to Edgewood.

$779,000 Issaquah Bomb Cyclone Recovery.

$1,400,000 Issaquah's Creeks to Peaks.

$103,000 Jenkins Creek Recreational Trail.

$500,000 Julia Butler Hansen House.

$115,000 Kettle River Grange Windows & Doors.

$67,000 King Co.

Water Dist.

54 Treatment Modernization.

$1,030,000 Kitsap Lake Park Accessibility Improvements.

$321,000 Klickitat Natural Resource Conservation Center.

$103,000 KVH Orthopedics and Surgical Services Remodel/Renovation.

$618,000 La Center Downtown 2.0.

$400,000 Lake Boren Park.

$335,000 Lake Chelan Community Center Gymnasium Project.

$475,000 Lake Chelan Health Emergency Medical Services Building.

$1,097,000 Lake City Community Mural Project.

$23,000 Lake Forest Park, Lakefront Park.

$1,030,000 Lake Gardner Regional Park Dock.

$78,000 Lake Stevens Library.

$350,000 Latino Civic Alliance Workforce Training & Small Business Hub.

$515,000 LeMay Grit City Robotics Center.

$500,000 Lions Park Community Center.