| Momentum Bucket | Viable |
| Legal Title | AN ACT Relating to the capital budget; |
| Bill Description | Concerning the capital budget. |
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What this bill does
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This bill is the 2026 supplemental capital budget for the 69th Legislature. It amends multiple uncodified sections of the 2025 capital act (2025 c 414), adds new uncodified sections, repeals some uncodified sections, and makes many new appropriations and reappropriations across state accounts. The changes are primarily budgetary and procedural: creating new grant programs and work groups, adjusting funding amounts and sources, adding reporting and contracting rules, and setting conditions and timelines for use of the appropriations. It declares an emergency to make these capital appropriations effective through June 30, 2027.
Major programmatic changes include new or expanded capital funding and rules for early learning facilities (large new appropriations from the Ruth LeCocq Kagi early learning facilities accounts, limits on administrative use, and a requirement that the Department of Children, Youth, and Families develop a methodology tied to the caseload forecast council to identify school-district-level facility needs). The bill establishes a global war on terror memorial work group to study and recommend a memorial on the capitol campus and sets membership, meeting, reporting, fundraising, and staffing rules and a deadline to convene before July 15, 2026. It provides substantial Commerce appropriations for heat pump and other appliance rebate programs (HEAR), behavioral health facility grants with detailed award criteria and prioritization (including requirements to demonstrate licensing/certification, commitments to serve publicly funded persons or persons subject to involuntary commitment, coordination with HCA/DSHS/DOH, and contractual commitments to hold capital improvements for at least 10 years), and a variety of housing and preservation appropriations (construction, acquisition, preservation, urgent repair and mobile/manufactured home assistance, with specified affordability durations and prioritization rules).
The bill also creates or funds several other entities and processes: a Housing Accelerator Framework with required interim and final reports (deadlines in the text), a grant to the Washington State Green Bank with conditions on nonprofit status, disclosure, leverage and reporting requirements, and initial funding release triggers; many project-specific appropriations and reappropriations across agencies (Departments of Commerce, Health, Ecology, Social and Health Services, Veterans Affairs, Enterprise Services, OSPI, higher education institutions, parks, and natural resources); and requirements for expedited coordination, prevailing wage, cultural resources consultation, and reimbursement-only funding in many programs. The extracts provided are incomplete in places, and some reporting dates and cross-references to other sections (for example, section 8018 and several amended uncodified sections) are not fully present or appear inconsistent across the extracts, so specific procedural details and some deadlines could not be verified from the material supplied.
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Why it matters
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If enacted, this bill directs large new and reallocated capital investments across state priorities through June 30, 2027 — notably boosting funds for early learning facilities, behavioral health capacity and stabilization projects, affordable housing preservation and new construction (including pilots for moderate-income and homeownership programs), clean energy and electrification programs (heat pump rebates, EV charging, weatherization, a Clean Energy Fund and a Washington State Green Bank grant), and many local community, tribal, parks, school, and natural resources projects. State agencies such as the Department of Commerce, Department of Children, Youth, and Families, Department of Social and Health Services, Department of Health, Department of Enterprise Services, and others will need to distribute and manage these grants and contracts under new rules: many awards require nonstate matches or firm commitments before reimbursement, site control, prevailing wage and long‑term use or affordability commitments (often ten years for behavioral health and 40 years for preserved housing), capped administrative fees, specific prioritization (for rural areas, extreme child care deserts, vulnerable or overburdened communities), and new reporting and consultation duties. Providers and local governments that receive funds should expect more administrative steps up front (financial plans, licensing/certification coordination, construction reviews, and compliance monitoring) and potential repayment obligations if contract terms aren’t met.
Several new program governance and timing requirements create concrete near‑term work for agencies and stakeholders: a state work group on a global war on terror memorial must meet and report early (initial meeting before July 15, 2026), the Department of Commerce must produce a housing accelerator framework (draft Oct. 1, 2026; final June 30, 2027), the Green Bank must meet leverage and transparency benchmarks before additional funds and begin annual public reporting starting in fiscal 2027, and behavioral health grant programs include deadlines for progress reports and coordination with health agencies. Important implementation details are missing or unclear in the provided text — for example several provisions refer simply to “the department” without naming which agency, section 8018’s constraints are not included, and many sections are truncated — so precise eligibility, matching rules, and some prioritization mechanics remain uncertain from the material shown.
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| Official Documents | View Full Bill Text |
| Date Introduced | 02/26/2026 |
| Originating Chamber | House |
| Biennium | 2025-26 |
| Total Campaign Dollars Backing Bill | $1,232,114.25 |
| BUDGETS |
| Hearing | House Capital Budget (Public) |
| Hearing | House Capital Budget (Public) |
| Hearing | House Capital Budget (Executive) |