Governor Jay Inslee’s recent
veto of ESHB 1652 demonstrated both his allegiance to the special
interests that helped finance his election (Read: Teacher’s Union), and exposed
his own hypocrisy as well. The bill would have deferred the payment of Impact
Fees on construction until closing, instead of at the time of permitting as the
law currently dictates.
The bill enjoyed wide bipartisan
support, passing the House with 73 votes, the senate with 34, and back to the
house with 83 votes in concurrence. It was a good bill that would have been an
immense help to small and moderate-sized homebuilders and their suppliers, by
easing the cash outlay required to begin construction. Local Impact Fees —
which cover schools, roads, parks, etc. — vary, averaging around $2,500 per
house, but are much higher in other parts of the state.
School districts have 10 years
from the time it's collected to spend Impact Fee money, so the period between permitting and payment — essentially the time required to build a home, which averages somewhere between 60 and 90 days — is
negligible to them in the overall scheme of things, but critically important to small builders.
Inslee stated all through his
election campaign he would do whatever was necessary to help small business and
spur the construction industry because it’s such a huge contributor to our
state’s economy. Yet when he had the chance, he caved in to the greedy teachers
union. Pathetic…