Category: housing

City Council, Density, housing

On Narrow Vote, Council Gets Rid of Local Appeal Process that Delays Land Use Legislation

 

Opponents of Seattle land-use legislation will still be able to appeal to King County Superior Court or the Growth Management Hearings Board.

By Erica C. Barnett

On the narrowest possible vote, the Seattle City Council approved legislation yesterday that will eliminate one of several avenues for opponents to appeal land-use legislation, such as the city’s comprehensive plan. The bill, sponsored by Councilmember Eddie Lin, eliminates pre-legislative appeals to the city’s hearing examiner while still allowing people to appeal legislation to the state Growth Management Hearings Board or to King County Superior Court after it passes.

Currently, hearing-examiner appeals are one of many tools that people and organizations opposed to apartment construction use to delay or stop development.

Yesterday’s four-hour meeting, which I covered live on Bluesky, featured the kind of over-the-top rhetoric that has long characterized debates about housing in Seattle. Public commenters who opposed new housing, mostly older white homeowners, argued that denser housing harms the environment by removing individual trees when homeowners sell their houses to developers (opponents refer to these lawn-based tree removals as “clear-cutting”), and contribute to climate change that kills salmon, orcas, and birds.

Although opponents have repeatedly raised the specter of Seattle turning into New York City (the horror!) the comprehensive plan, currently delayed indefinitely by an appeal that began at the hearing examiner’s office, would in fact allow modest new density in a few dozen small areas citywide, all within a block or two of major transit stops.

One speaker suggested that the city just convert all the vacant commercial buildings downtown into housing and let renters live there. (This isn’t really a new idea: “Solutions” that involve moving all renters into segregated areas are exactly what we have now, with new rental housing mostly confined to highways and busy arterial roads). Another said councilmembers who supported Lin’s appeal reform bill are just like Trump, because they’re taking away the civil rights of local density opponents the same way Trump is taking away the civil rights of Black voters and immigrants.

Councilmember Rob Saka, a former Facebook attorney and Air Force veteran who proposed an amendment to Lin’s bill that would have restored the appeals the underlying legislation sought to eliminate, also invoked “civil rights” in a speech excoriating his colleagues for violating “fundamental due process rights, free speech rights, the right of people to petition their government for redress of grievances. These rights form the bedrock of our democracy, and these rights are enshrined in our Constitution,” Saka said.

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Later, after Lin confirmed with a staffer that there’s no Constitutional right to appeal land-use legislation to a hearing examiner in Seattle, Saka said, “Even if it’s not a right, we heard dozens of people today say, from their perspective, that it is a right.” As I noted yesterday, that is not actually a point—just because a political faction uses highfalutin language about “rights” and “democracy,” that doesn’t mean their feelings trump the law. Allowing property owners to endlessly delay housing for renters by appealing land-use changes is arguably pretty anti-democratic in itself, especially when it halts legislation before the public legislative process can begin.

After Saka’s amendment failed (even Maritza Rivera voted against it), the final vote ended up being a nail-biter. Rivera, the council’s most consistent opponent of pro-housing legislation, said she of course wants to see more housing, but doesn’t support “taking something away” from her constituents. Debora Juarez, a former elected councilmember who was appointed to serve out Cathy Moore’s term last year, said she wanted to “err on the side of giving a little bit more… because that’s due process, and that’s what the people want.”

Bob Kettle, who represents downtown, Queen Anne, and Magnolia, ended up casting the surprise swing vote (Joy Hollingsworth, who abstained from voting in committee, voted no), but not before chiding housing proponents, mostly younger renters, for using rhetoric he called inappropriate.

Kettle says it's not "right to declare our neighbors are weaponizing" the appeals process because of the war in Iran and the gun violence epidemic. Of course he is only chiding people on the pro-housing side. The anti-housing folks have been vitriolic, but he isn't tone policing them.

— Erica C. Barnett (@ericacbarnett.bsky.social) 2026-07-29T00:35:34.683Z

Lin, who’s emerging as a pro-housing star on the council, said little before the final vote, which took place at nearly 6:30pm. Earlier in the meeting, however, he did take a moment to respond to commenters who likened new housing to toxic waste and highway expansions. “I don’t think housing and future residents are toxic waste or pollution that need to be studied for years and years and years on end,” Lin said. “I believe housing is a human right.”

Although yesterday’s 5-4 vote to eliminate hearing examiner appeals won’t prevent housing opponents from challenging land use changes in court or to the state Growth Management Hearings Board, the change will allow the legislative process to move forward during appeals, and puts Seattle in line with Bellevue, Everett, King County, Tacoma, King County, and many other local jurisdictions that don’t allow this kind of pre-legislative appeal.

City Council, housing, Mayor Wilson

With Major Reforms Years Away, City Could Make Temporary Changes to Housing Fees Next Year
Downward trend: Permits to build new housing have continued to plummet, exacerbating Seattle’s housing shortage.

By Erica C. Barnett

Although a proposal to temporarily slash the Mandatory Housing Affordability fees paid by developers in most residential zones appears dead for this year, the City Council’s land use chair, Eddie Lin, said to expect legislation early next year that will address what housing developers have identified as a critical problem:  The fees, which pay for affordable housing, have become make-or-break for new housing projects thanks to the skyrocketing price of construction since MHA passed seven years ago.

As we’ve reported, developers sought a two-year, 80 percent reduction in MHA fees earlier this year, arguing that the development “pipeline” in Seattle is drying up; without the temporary cut, they argue, they won’t be paying any MHA fees because new housing simply won’t get built.

Mayor Katie Wilson had planned to propose a bill backed by the Housing Development Consortium, a large coalition of affordable housing developers and advocates, when the deal fell apart. Groups like the Seattle Renters Commission argued that cutting MHA fees would eliminate a key source of funds for affordable apartments, and council support for the bill also seemed on the verge of evaporating when Wilson pulled the bill.

Lin, who supported Wilson’s proposal in principle, said he supports both short-term MHA. fee relief and long-term reform. “MHA was never supposed to be a completely static thing. … It should be more responsive to updates in our zoning, updates into the housing ecosystem.” But, Lin added, “that’s going to take years, and we need to do something in the short term. And I think the pressure for that is only going to continue to build as permits continue to plummet.”

So far this year, according to the city’s housing dashboard, developers have filed permits have been filed to build just 1,137 new housing units citywide, down from 8,600 during the same period in 2020, when new permits were at their peak.

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“Hopefully we’ll be able to do something in early 2027” to provide a short-term solution to MHA fee pressure, Lin said.

In a bit of positive news, the latest report on MHA, from the city’s Office of Housing, shows that fees brought in about $47 million last year, reversing what appeared to be a long-term decline. But the gains are likely short-term, for a couple of reasons. First, more than half of last year’s MHA fees, around $24 million, came from just four large apartment buildings, according to the report—and nearly half of that amount, $10.6 million, came from a bond-financed senior housing project for the nonprofit Horizon House, a large windfall from an unusual type of project.

The second reason next year’s MHA fees are likely to drop off is that most of the remaining 2025 money, more than $20 million, comes from new housing (generally townhouses) in areas zoned for low-density developments. These low-rise (or LR) zones are almost certain to see a major drop-off in new housing permits thanks to legislation, passed last December. that allows up to eight apartments per lot in former single-family areas, which are not subject to MHA fees.

The Office of Housing report acknowledges this new reality, noting that “MHA-applicable townhome development could fall off going forward,” as developers start building in neighborhood residential areas to spare themselves the expense of MHA fees.

“Until we update MHA, especially in the LR zone, we’re going to see development in neighborhood residential, for better or worse,” Lin said. “Because why would you build an LR if you can build the same thing in neighborhood residential?”

City Council, Density, housing, Utilities

Seattle May Actually Limit Anti-Housing Land Use Appeals; More People Will be Eligible for Utility Discounts

 

1. The Seattle City Council’s land use committee will vote tomorrow on a proposal, from Councilmember Eddie Lin, to eliminate an appeals process that allows activists to halt pro-density legislation before it becomes law. Currently, anyone can stop or delay city land use decisions by filing an appeal with the city hearing examiner under the State Environmental Policy Act, arguing that the city hasn’t done enough environmental review before proposing legislation that would change city land use law.

Speaking to PubliCola on Tuesday, Lin said the vast majority of appeals are filed by a relatively small group of activists and attorneys with long experience appealing  complicated land use laws.

“The fact that we often see the same people appeal  again and again shows that 99 percent of Seattleites, if not 99.9 percent, do not find [hearing examiner appeals] a way to engage” on land use issues, Lin said. “This is a small number of people engagnig who have the resources” to file complex legal appeals.

Lin’s legislation would remove the right to appeal land use decisions to a hearing examiner, requiring opponents of land use legislation to appeal directly to the state Growth Management Hearings Board or King County Superior Court. Eliminating the local appeals process allows legislation to go into effect while the activists and lawyers appeal through the other two available avenues. Had the legislation been in place when the council took up the remaining parts of the long-overdue Comprehensive Plan update, the council would have spent the last few months meeting to discuss important amendments to the plan; instead, it’s stalled until next year at the earliest.

“I’ve never been a big fan of our SEPA appeals process,” Lin said. “I’ve seen the decades-long delays [it caused] to Fort Lawton housing and the Burke-Gilman Trail,” two projects that have been stalled for years by a seemingly endless series of environmental appeals. (Opponents argue that it’s better for the environment to move cyclists next to a busy arterial roadway rather than the current path where, it just so happens, a lot of industrial businesses like to drive their trucks.)

Activists lined up earlier this month to denounce the legislation as a reckless giveaway to developers that would allow them to “clearcut” Seattle, sacrificing trees, orcas and birds to apartments in Seattle’s suburban-style single-family neighborhoods. The land use committee will discuss Lin’s proposal tomorrow at 9:30; so far, there’s just one amendment, from Council President Joy Hollingsworth. It would add a 30-day public comment period to every land use decision that would be exempted from hearing examiner appeals by Lin’s legislation.

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2. On Tuesday, the council approved legislation PubliCola covered last month that aims to increase participation in the city’s Utility Discount Program by increasing the threshold for eligibility from 70 percent of the state median income to 60 percent of Seattle’s muchhigher median income next year, with two more bumps—to 70 percent  of Seattle median in 2027 and 80 percent in 2028. Both those increases will require separate legislation.

The bill’s sponsor, Dan Strauss, initially seemed surprised at the lack of controversy surrounding the proposal, which would result in slight utility rate increases and would make UDP one of the easiest income-based programs to apply for. A press availability to discuss the bill (and other topics) enticed just one reporter (me), and the vote on Tuesday was unanimous—and even followed by a rare burst of applause for every council member.

One challenge the program has faced is getting more eligible people to sign up; at the end of last year, only about 36 percent of eligible Seattle residents were participating in the program. To apply, visit the city’s Utility Discount Program page.

homelessness, housing, Mayor Wilson, Police, public disclosure, Transit

This Week on PubliCola: July 12, 2026

A wide-ranging interview with the mayor, a proposal to replace universal free meals at school with means-tested vouchers, serious questions about public disclosure at the homelessness author, and more.

By Erica C. Barnett

Monday, July 6

Sound Transit’s Bespoke Wayfinding System Is Unnecessarily Baffling

The regional light-rail agency has made significant changes to its wayfinding signage over the past few years, in what the agency calls an effort to make the signs easier to understand. But many of the new features, such as the removal of location information from station exits, are more confusing than clarifying.

Tuesday, July 7

Wilson Turns Off Stadium Surveillance Cameras

Mayor Katie Wilson kept her word on surveillance cameras in the stadium district, cutting power to the cameras immediately after the World Cup games ended. But the future of police camera surveillance in Seattle still hangs in the balance as the city waits for a security audit by the NYU Policing Project to wrap up later this year.

Homeless Authority Director Tells Staff Not to Trust the Media

After the city and county announced they were taking control of the region’s homeless service contracts, a process that will lead to layoffs at the King County Regional Homelessness Authority, KCRHA’s director Kelly Kinnison sent an all-staff email telling her employees not to believe what they read in the media, “especially outlets with low journalistic standards with a history of one-sided, agenda-driven, or incorrect reporting.”

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Thursday, July 9

Mayor Katie Wilson at Six Months In: “Incredibly Proud of What We’re Accomplishing”

In part one of my interview with Mayor Wilson, she discussed the accomplishments she’s proudest of in her first six months; why the city is still sweeping encampments without providing shelter or services; the prognosis for her plan to add 1,000 new shelter beds in her first year, and much more.

Council Proposal Would Delay Universal School Lunch Program, Fund Means-Tested Food Vouchers Instead

A proposal from City Council President Joy Hollingsworth would undo one of the items Wilson ticked off on her list of signature achievements, by replacing a plan to use the city’s families and education levy to fund universal school meals with one that would provide vouchers for meals on weekends and holidays to low-income kids. Hollingsworth said her proposal was more fair because it would largely benefit low-income Black kids in places with more food insecurity, as opposed to helping all kids, including some whose parents could afford to pay for school lunches.

Mayor Katie Wilson Says She’s “Doing a Reset” on Housing Agenda, “Very Hopeful” About Police Chief

In part 2 of our interview, Mayor Wilson talked about some of the pushback she’s gotten on her affordability agenda. We also discussed the $175 million budget deficit the city is facing next year, and whether the police department will face cuts or if other city departments, as usual, will have to take bigger cuts to keep SPD’s budget growing.

Friday, July 10

KCRHA CEO Sought to Shield Records From Public Disclosure, Emails Suggest

Emails between KCRHA CEO Kinnison and agency staff suggest that Kinnison sought to exempt many of her emails from public disclosure through a number of methods, including “sensitivity labels” designed to ensure some emails wouldn’t show up in records request searches. Kinnison also appears to have put an IT manager, rather than a certified public disclosure officer, in charge of doing initial searches for records. Kinnison’s decisions raise questions about whether the agency has withheld records from disclosure that it is legally required to produce.

Affordability, City Council, housing, Mayor Wilson, Police, Taxes

Mayor Katie Wilson Says She’s “Doing a Reset” on Housing Agenda, “Very Hopeful” About Police Chief

In Part 2 of our interview, the mayor talks about the police chief and potential cuts to SPD’s budget, the future of the city’s CARE alternative first responder team, and what’s happening with her affordability agenda.

By Erica C. Barnett

PubliCola sat down this week with Mayor Katie Wilson to talk about how her agenda is going at six months in. This is Part 2 of our interview, which took place at City Hall on Tuesday morning. Read Part 1 here.

PubliCola (ECB):  Let’s shift gears to SPD. You decided to keep Police Chief Shon Barnes when you came in. You said you’re going to evaluate his performance and decide how to proceed. Have you made any progress on that evaluation?

Mayor Katie Wilson (KW): I am very hopeful about the relationship that Chief Barnes and I are building, and the work that we’re doing with Chief Barnes and SPD, especially around neighborhood of policing models.

ECB: So are you planning to keep him on as chief?

KW: I’m not making an announcement right now. [Pauses]. Yes, I’m retaining Chief Barnes, and we’re working on a number of things.

ECB: Are you concerned by any of the stuff that has come out on PubliCola and elsewhere about anti-LGBTQ statements and actions by Barnes, his deputies, and SPD officers, and the culture of SPD in general?

KW: Absolutely. And that’s one of the things that we’re working on. I think obviously SPD is a complicated department with a complicated history, and I also don’t think that leadership change changes that. So there’s really deep work that needs to happen within the department, and I’m confident that through a partnership with Chief Barnes, we can make some progress.

ECB: Barnes has said a few times now that he plans to keep hiring at the same pace even though the department’s own budget director said SPD will have to slow down hiring to stay within the budget. Councilmember Bob Kettle has said the same thing. At the same time, I’ve heard that you asked SPD to come up with $20 million in cuts. What would that level of cut look like, and what will you do if the police chief disagrees and keeps hiring?

KW: I’m the mayor. This is ultimately direction that’s coming from my office. We have not directed SPD to slow hiring at this point, and we are working with them very closely with the aim of making sure that they remain within their budget for this year,

ECB: And will there be budget cuts to SPD next year?

KW: We have asked all departments, including SPD, to model cuts, and we’re in that deliberative budget process. There are many things, many variables, but we have asked all departments to model cuts, anticipating that all departments will need to take some kind of cut.

ECB: If you propose an actual cut, conservative media like KOMO are going to scream that you’re defunding the police. How likely is it that we’ll actually see cuts to the police budget?

KW: That’s not just up to me, that’s also up to the council. Big picture, we’re in a very challenging budget situation, where we’re facing a shortfall of $175 million. Plus, JumpStart [tax] revenues are certainly not increasing significantly. And so we’ll have to make some hard decisions across the board.

“It is an option to dig deeper into JumpStart, which means basically cuts to affordable housing. Capital gains tax is an option, but it’s not something where we would see revenue in the short term.  Obviously, raising JumpStart is also an option. We’re still working on other progressive revenue ideas, but we don’t have a silver bullet.”

ECB: Your fire district proposal would have really helped with the budget. Obviously, it’s not happening. So, what else is left? Raiding JumpStart even more?

KW: I mean, yes, it is an option to dig deeper into JumpStart, which means basically cuts to affordable housing. Capital gains tax is an option, but it’s not something where we would see revenue in the short term. It might take a couple years to get that up and running, so that doesn’t [help with] next year’s budget. Obviously, raising JumpStart is also an option. We’re still working on other progressive revenue ideas, but we don’t have a silver bullet.

For me, the bottom line is, we are going to be trying to preserve programs and services that directly serve Seattle residents, that contribute to a city that’s affordable and livable, and support our most vulnerable communities. So there’s definitely values guiding where we might choose to cut. And we’re also in the process now of talking with each council member to understand what their priorities are, the things that they would absolutely want to be preserved, so that we can try to transmit a budget where they see their priorities represented.

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ECB: What’s going to happen to the CARE Team [whose authority was sharply curtailed in the last police contract]? Do you see a way forward for them?

KW: Obviously there are constraints in the police contract, but we’ve been working with the CARE Team and with SPD, and there’s plenty of work out there. There’s plenty of people in crisis, so it’s really a matter of how do we get the CARE team to a place where they’re serving people in crisis. And I think there’s a lot of opportunities to do that, that may be in some cases outside of the 911 dispatch system. So we’re working on making sure that we’re fully utilizing that team.

ECB: CARE is integrated into the 911 dispatch system [911 is known as the CARE Department]—what would it mean to take them out of that system?

KW: I haven’t heard like the latest on what that looks like, but I know that we’ve been working with them and SPD, to try to make sure that they’re not sitting idle.

ECB: If you talk to [CARE Department Chief] Amy Barden, she would say, ‘We’re supposed to be a co-equal department with the fire and police departments, and we can’t go into parking lots‘ [because of the contract].

KW: Yeah, I’m, very, very aware.

ECB: You’ve announced legislation that would ban rental junk fees, and you decided not to move forward with proposals to change the three-day notice requirement for evictions and overturn the roommate law. You’ve also delayed changes to the Mandatory Housing Affordability program that developers say they need to move housing projects forward. The comprehensive plan update is delayed by a lawsuit, which is outside your control. Is there anything else moving forward on affordability this year?

KW: There’s so many pieces to housing. I ran on affordable and abundant housing, and the things that you need to do to advance it are legion. I think what I realized is that for a lot of constituencies on the outside, they want to see more of a vision on housing, and when we’re moving forward with just one piece, then people look at that and they’re like, ‘Oh, that’s your vision on housing, but what about this, what about this, what about this?’ And it kind of accentuates that feeling of, ‘Why weren’t we brought in?’

“In this very difficult budget process, I think the fight is going to be over how to retain funding for existing food security programs at the city. There was a lot that was added in the last budget cycle as one-time, like the expansion of Fresh Bucks, so we are going to have to figure out in this budget how to maintain those.”

So I think what we’re trying to do here is a little bit of a reset, where we can set a table, bring people in, and look at what is it going to take to accelerate housing, from the private market all the way to affordable housing and permanent support housing. Including people’s concerns about displacement, which are totally valid. We’re going to keep it a tight process, but what I’m hoping will come out of that is a little bit more of, ‘Here’s our work plan on housing for the next four years.’ And so that is a process that we’re about to embark on that I think will give us a more coherent vision for housing affordability.

When I think about affordability, housing is core, obviously, but food is a big part of this. Free preschool lunches—I think that’s a really impactful investment that we’re making. Honestly, in this very difficult budget process, I think the fight is going to be over how to retain funding for existing food security programs at the city. There was a lot that was added in the last budget cycle as one-time, like the expansion of Fresh Bucks, so we are going to have to figure out in this budget how to maintain those.

Obviously, the FEPP levy implementation included significant expansions of subsidized child care and preschool program that are certainly affordability investments. I think there’s a larger conversation around child care, which is also not just about subsidy, but also about the supply side, and what it takes to open and operate childcare. We’re working with the business community on what they’re doing to facilitate childcare. That’s a conversation that I think we’re going to be teeing up before the end of the year, but it’s not going to result in policy before the end of the year.

ECB The best thing about the World Cup for me, and I think for a lot of people, has been being able to just walk around in Pioneer Square without cars, and there’s food trucks and there’s excitement and there’s people, and it’s just a vibe. So have you given any thought to taking some of the lessons from that experience, like pedestrianizing the streets, or allowing food trucks, or any of the other things that have made downtown an exciting place to be over these past few weeks?

KW: I think that the last few weeks in Seattle have been amazing, and people are discovering their city anew, and we’ve been doing a lot of thinking about how do we keep that momentum going, how do we do more of this? Obviously, I’m a big fan of pedestrianizing spaces, and I think that the vitality of our city depends on having of people-centered spaces where people can go and hang out and go to restaurants and all that. So yeah, we’re thinking about how we can carry that forward, and I don’t have any specific plans to announce right now, but we’re working on that.

Affordability, housing, Mayor Wilson

Proposal to Temporarily Cut Fees on New Housing Is Dead (For Now), Negotiators Say

By Erica C. Barnett

A proposal that would have given developers an 80 percent break on Mandatory Housing Affordability fees for two years is dead, according to an email to members of the Housing Development Consortium sent by HDC director Patience Malaba yesterday afternoon.

In her message to HDC members,, Malaba wrote, “After careful consideration, I informed the Mayor’s Office that HDC was withdrawing its support for advancing the proposal at this time. Following that decision, the Mayor’s Office chose not to move the legislation forward on a summer, pre-budget timeline and instead will convene a stakeholder workgroup to continue refining the proposal and related policy considerations.”

Wilson’s office confirmed that the proposal isn’t moving forward. “this month,”

Instead, Wilson said in a statement to PubliCola, “we will be setting a table with labor, affordable housing providers, community-driven organizations, and market rate developers to identify shared, collaborative solutions and make sure that our city and region takes every action possible to 1) expedite and encourage housing production 2) support community-driven development, 3) build the critical affordable housing  our city and region needs and 4) prevent displacement of low-income households and Black, Indigenous, and People of Color communities.”

Developers who have been waiting for the legislation say its failure will jeopardize about 30 projects immediately, and make new housing projects far less likely, at a time when market-rate housing development has slowed to a trickle.

The HDC, which represents affordable housing developers, had been negotiating with the mayor’s office for months over the proposal to temporarily reduce MHA fees, which private-market developers must pay as part of the 2016 “grand bargain” that allowed taller buildings in exchange for payments into an affordable housing fund.

Behind the scenes, a number of HDC members and advocacy groups raised concerns over the last several weeks that the MHA “holiday” would lead to the end of the program itself, which is based on the principle that “housing should pay for housing.” New housing, according to this logic, causes displacement and other harms, and MHA fees offset those harms.

Downtown Emergency Service Center Daniel Malone sent an email to Wilson last month expressing “deep concern” about the proposal, which he said would reduce local funding for the kind of housing-first projects DESC builds at a time when federal funding may dry up.

“As we explore solutions and mitigation strategies in preparation for unprecedented federal disinvestment in our existing programs, we will need to rely more on local resources than ever before,” Malone wrote. “Allowing housing developers to receive the benefits of upzoning to only create luxury apartments for the few who can afford them isn’t a solution; it adds to our problems by decreasing the production of affordable housing units.”

Opponents of the temporary fee reduction reportedly sought concessions like a cap on the number of new apartment buildings that could take advantage of the break on MHA fees, along with “backfill” of MHA revenue that would be “lost” due to the fee reduction by other city funding sources.

However, since many of these hypothetical new building projects wouldn’t happen, at least according to the developers who would build them, without the fee reduction, it’s misleading to describe these as “lost” revenues.

Scott Berkley, an organizer with Tech 4 Housing, said the group was “disappointed to see this worthwhile proposal fed to the insatiable maw of the Seattle Process. We encourage the mayor and city council to move beyond a revenue source that demands middle and working class renters fund affordability, while expecting nothing of our city’s wealthiest homeowners and corporations.”

Nicole Macri, a state legislator and deputy director of strategy for the Downtown Emergency Services Center, said there are better ways to reduce costs for developers than slashing MHA fees, even temporarily. The city could, for example, “refund permit fees, or a portion of permit fees, if you deliver the project in X amount of months, or give a partial sales tax exemption for projects” that are finished on time, Macri said. “There are many things the city can control, including the permitting fee,” without giving developers a temporary break on MHA fees, she said.

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The city’s budget process starts in August and ends in November, meaning that any “stakeholder workgroup” process would be delayed until next year, past the point when many developers have said they will have to cancel projects that won’t pencil out with MHA fees attached. The fees range from $6.75 per square foot in the small “urban industrial” zone to $50.46 per square foot in places like north Beacon Hill, with most fees ranging between $10 and $20 a square foot.

In a statement, the leadership of the pro-housing group Seattle YIMBY urged Wilson “to show true leadership on housing by making hard choices to prioritize the homes that can be built right now. Our housing crisis was not caused by having too little process. Seattle has a critical window to show the region we are ready to act, ready to deliver thousands of new homes, millions in new tax revenue, and millions more for affordable housing as we start building again.”

MHA originated at a time before large majorities of Seattle residents agreed that building more housing, not just purpose-built low-income housing, is an urgent need. It also began at a time when development was booming, and for years, it produced tens of millions of dollars of funding for affordable housing projects. But fees have plummeted in recent years, going from a high of $74 million in 2021 to an estimated $22 million last year, because of a precipitous drop in the number of housing projects in the pipeline. UPDATE: Actual MHA revenues last year were $47 million, according to numbers published on July 20, thanks mostly to several large apartment buildings. We’ll have more on this in a separate post.

Emily Thompson, a partner at GMD Development, said a lot of developers are currently in their fifth or six round of “corrections,” which occur just before a permit is issued. “I think that shows the applicant is slow playing it because as soon as you get our permits you have to start” the development process. As for the argument that giving developers a break will reduce MHA proceeds, Thompson says, “Any amount of zero dollars is zero dollars”—that is, if developers don’t build because of MHA fees, there won’t be any MHA proceeds anyway.

Development has slowed precipitously since its peak in 2020 and early 2021. So far this year, developers have only filed permits for 1,134 units of housing. By this time in 2020, in comparison, there were more than 8,600 units in the pipeline, which increased to more than 20,000 units by the end of that year.

Meanwhile, according to data provided by the Housing Roundtable, a group of developers who had been pushing for the MHA “holiday,” more than 50,000 units that were going through the city’s development pipeline between 2023 and 2025 have since been canceled.

PubliCola has reached out to Malaba and Mayor Wilson’s office and will update this post when we hear back.