2023 AWB Legislative Review | Page 30

2023 legislative review
Sen . Lynda Wilson , R-Vancouver , is ranking member and Sen . Christine Rolfes , D-Bainbridge Island , chairs the Senate Ways & Means Committee .
taxes & budget
HB 1018 hog fuel tax exemption
Passed / AWB Supported sponsor : Rep . Steve Tharinger , D-Port Townsend
This bill extends a sales and use tax exemption for hog fuel , created from wood waste or forest debris for use as biomass . Biomass is a source of renewable energy and an important option for utilities to comply with clean energy requirements . This bill will help make biomass and renewable energy more economically viable for mills , which support familywage jobs in rural communities . This bill will increase certainty for paper and pulp mills navigating economic uncertainty . The legislation passed 96-0 in the House 37-12 in the Senate .
SB 5096 supporting employee ownership
Passed / AWB Supported
sponsor : Sen . Mike Padden , R-Spokane Valley
This bill provides a B & O tax credit for companies that switch to an employee ownership structure , such as a cooperative , employee stock ownership plan or employee ownership trust . The credit covers up to 50 % of conversion costs for businesses to make the switch . Studies show that expanding employee ownership increases wages , employee wealth , and job satisfaction and retention . The bill won unanimous approval in both the House and Senate .
HB 1422 tax exemption for reusable packing materials
Failed / AWB Supported sponsor : Rep . Larry Springer , D-Kirkland
AWB supported this bill to provide a sales and use tax exemption for reusable packing materials . A reusable pallet industry has evolved as businesses have worked to reduce waste , with shippers renting or leasing reusable packing materials . However , wooden pallets that are reused are taxed , whereas those that are thrown away are not . The bill would have clarified laws for numerous businesses and industries , solving a problem that has been around for decades . The bill moved out of the House Committee on Finance but unfortunately stalled in the Rules Committee .
HB 1573 extending tax preferences for dairy , etc .
Passed / AWB Supported sponsor : Rep . Alicia Rule , D-Blaine
This bill extends the expiration date of B & O tax preferences for dairy , fruit and vegetable , and seafood processors for 10 more years . Unfortunately , other states tax the sale of exported products out of Washington , creating a competitive disadvantage for our farmers and processors . Extending the exemption will maintain a level playing field for Washington ’ s businesses in a highly competitive global market , while protecting jobs in these industries . The bill moved easily through both chambers , passing the House 77-19 and the Senate 44-4 .
30 association of washington business