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Resolution No. 604 Declaring intent to adopt Legislation to authorize a sales and use taxCITY OF YELM RESOLUTION NUMBER 604 A Resolution of the City Council of Yelm, Washington Declaring Intent to Adopt Legislation to Authorize a Sales and Use Tax for Affordable and Supportive Housing in Accordance with Section 82.14.540 RCW. Whereas, in the 2019 Regular Session, the Washington State Legislature approved, and the Governor signed, Substitute House Bill 1406 (Chapter 338, Laws of 2019) which is codified at Section 82.14.540 RCW; and Whereas, Section 82.14.540 RCW authorizes the governing body of a city or county to impose a local sales and use tax for the acquisition, construction or rehabilitation of affordable housing or facilities providing supportive housing, and for the operations and maintenance costs of affordable or supportive housing; and Whereas, the tax will be credited against state sales taxes collected within the City of Yelm and, therefore, will not result in higher sales and use taxes within Yelm and will represent an additional source of funding to address housing needs in Yelm; and Whereas, the tax must be used to assist persons whose income is at or below sixty percent of the median income in the City of Yelm; and Whereas, the City has established a Homelessness Task Force which will be providing a report to the City Council quantifying the scope of the homeless and houseless issue in Yelm along with recommendations as to how the City may facilitate solutions; Whereas, the City Council of Yelm has determined that imposing the sales and use tax to address this need will benefit its citizens; and Whereas, in order for a city or county to impose the tax, within six months of the effective date of Section 82.14.540 RCW, or January 28, 2020, the governing body must adopt a resolution of intent to authorize the maximum capacity of the tax, and within twelve months of the effective date of SHB 1406, or July 28, 2020, must adopt legislation to authorize the maximum capacity of the tax; and Whereas, this resolution constitutes the resolution of intent required by Section 82.14.540 RCW; and Whereas, the City Council now desires to declare its intent to impose a local sales and use tax as authorized by Section 82.14.540 RCW as set forth herein; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YELM AS FOLLOWS: Section 1. Resolution of Intent. The Yelm City Council declares its intent to adopt legislation to authorize the maximum capacity of the sales and use tax authorized by Section 82.15.540 RCW within one year of the effective date, or by July 28, 2020. Section 2. Further Authority; Ratification. All City officials, their agents, and representatives are hereby authorized and directed to undertake all action necessary or desirable from time to time to carry out the terms of, and complete the actions contemplated by, this resolution. All acts taken pursuant to the authority of this resolution but prior to its effective date are hereby ratified. Section 3. Effective Date. This resolution shall take effect immediately upon its passage and adoption. Approved this 14th day of January, 2020 J Foster, Mayor Attest: kP Eft x-' Lori Lucas, City Clerk Page 2 of 2