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RESOLUTION No. 2054 <br />A RESOLUTION OF THE ANACORTES CITY COUNCIL DECLARING THE <br />INTENT OF THE CITY OF ANACORTES TO ADOPT LEGISLATION TO <br />AUTHORIZE A SALES AND USE TAX FOR AFFORDABLE AND <br />SUPPORTIVE HOUSING IN ACCORDANCE WITH SUBSTITUTE HOUSE <br />BILL 1406 (CHAPTER 338, LAWS OF 2019), AND OTHER MATTERS <br />RELATED THERETO. <br />WHEREAS, in the 2019 Regular Session, the Washington State Legislature approved, and <br />the Governor signed, Substitute House Bill 1406 (Chapter 338, Laws of2019) ("SHB 1406"); and <br />WHEREAS, SHB 1406 authorizes the governing body of a city or county to impose a local <br />sales and use tax for the acquisition, construction or rehabilitation of affordable housing or <br />facilities providing supportive housing, and for the operations and maintenance costs of affordable <br />or supportive housing; and <br />WHEREAS, the tax will be credited against state sales taxes collected within the City and, <br />therefore, will not result in higher sales and use taxes within the City and will represent an <br />additional source of funding to address housing needs in the City; and <br />WHEREAS, the tax must be used to assist persons whose income is at or below sixty <br />percent of the City median income; and <br />WHEREAS, many people are paying well beyond 30% of their income on rent and the <br />City has determined that imposing the sales and use tax to address this need will benefit its citizens; <br />and <br />WHEREAS, in order for a city or county to impose the tax, within six months of the <br />effective date of SHB 1406, or January 28, 2020, the governing body must adopt a resolution of <br />intent to authorize the maximum capacity of the tax, and within twelve months of the effective <br />date of SHB 1406, or July 28, 2020, must adopt legislation to authorize the maximum capacity of <br />the tax; and <br />WHEREAS, this resolution constitutes the resolution of intent required by SHB 1406; and <br />WHEREAS, the City Council now desires to declare its intent to impose a local sales and <br />use tax as authorized by SHB 1406 as set forth herein; <br />NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF <br />ANACORTES AS FOLLOWS: