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Evergreen Ledger

SHB 1216

In Committee

House

Capital budget

Concerning the capital budget.

This status may be delayed. See Action History below for the latest updates.

How does a bill become law?
  1. Introduced: The bill is filed and assigned a number.
  2. Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
  3. Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
  4. Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
  5. Governor: The Governor reviews the bill and decides whether to sign or veto it.
  6. Signed: The bill has been signed into law.
Introduced: April 3, 2025
Last Action: January 12, 2026
Status: H Rules X
Companion Bill:
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AI Analysis

This analysis was generated by AI and may contain errors. It is not legal advice. Always refer to the official bill text for authoritative information.
People & CommunitiesPeople-leaningCorporate & Wealthy Interests

This bill establishes a $10.6 billion capital budget for Washington State for the 2025-2027 biennium, funding construction, renovation, and infrastructure projects across state agencies, education, natural resources, transportation, and human services. It includes reappropriations of unspent funds, new planning and reporting requirements for major projects, and sustainability standards. The bill also authorizes future funding estimates and debt service for bond issuance.

  • Adopts a $10.6 billion capital budget for 2025-2027, funding projects across state agencies, education, natural resources, transportation, and human services.
  • Includes reappropriations of unspent funds from prior biennia, totaling over $3 billion, and authorizes future biennia funding estimates.
  • Provides funding for broadband infrastructure ($1.5 billion), behavioral health facilities ($107 million), early learning facilities ($50 million), and housing trust fund projects ($536 million).
  • Imposes new requirements for major projects over $10 million, including predesign reviews, life-cycle cost analysis, and sustainability standards (e.g., LEED Silver).
  • Requires agencies to submit progress reports twice yearly and follow allotment and reporting rules, with exceptions for emergency repairs and minor works.

Who is affected

  • State and local governments — State agencies, local governments, and public institutions that receive capital funding for construction, renovation, or infrastructure projects; must comply with project planning, reporting, and match requirements.
  • Educational institutions — Public schools, colleges, and universities that receive funding for K-12 and higher education facilities; must follow design, construction, and reporting standards.
  • Nonprofits and community organizations — Nonprofit organizations, tribes, and community groups that apply for grants for facilities, broadband, behavioral health, or environmental projects; must meet eligibility, match, and reporting requirements.
  • General public — Residents who benefit from improved infrastructure, broadband access, behavioral health services, parks, and environmental cleanup; may be impacted by project delays or funding changes.
  • State employees and contractors — State employees and contractors involved in designing, building, or managing capital projects; must follow new planning, reporting, and sustainability standards.
Effective: July 1, 2025Fiscal impact: The bill appropriates $10.6 billion in capital funding for the 2025-2027 biennium, including reappropriations of unspent funds from prior biennia. It includes projected future costs of $3.2 billion for the 2027-2029 biennium and $5.8 billion for subsequent biennia. Debt service for new bonds is estimated at $1.1 billion over the next six years. The bill also authorizes transfers between accounts and reappropriations of federal funds.
Model: Intel/Qwen3-Coder-Next-int4-AutoRoundGenerated: Mar 19, 2026 at 10:43 PM

Pro/Con Analysis

Stronger case for benefits

Potential Benefits (5)

  • The $536 million Housing Trust Fund appropriation includes targeted investments in permanent supportive housing ($100M), affordable homeownership ($28M), and preservation of existing affordable units ($50M), directly addressing Washington’s acute housing shortage for low-income families, seniors, and people with disabilities.

    HousingPeopleRef: Sec. 1025 (Housing Trust Fund)

  • The $107 million for behavioral health facilities will expand crisis care, inpatient psychiatric beds, and peer respite centers across underserved regions, directly addressing the state’s behavioral health workforce and access gaps—especially for people on civil commitments or diverted from state hospitals.

    HealthcarePeopleRef: Sec. 1016 (Behavioral Health Facilities)

  • The $1.5 billion broadband infrastructure appropriation—especially the $230M state match for federal BEAD grants—will expand high-speed internet access in rural, tribal, and low-income urban areas, enabling remote work, education, telehealth, and small business growth.

    Business & EmploymentPeopleRef: Sec. 1001 (Broadband Infrastructure)

  • The $50 million for early learning facilities—including $45M for grants to private providers and $8.6M for school districts—will expand access to affordable, high-quality childcare and pre-K, especially in rural counties and child care deserts, supporting working families and school readiness.

    EducationPeopleRef: Sec. 1005 & 1012 (Early Learning Facilities)

  • The bill includes $50M for affordable housing preservation and $20M for emergency shelters and rapid conversion projects, directly protecting existing low-income housing stock and rapidly moving unsheltered people into safe shelter—critical for addressing Washington’s homelessness crisis.

    HousingPeopleRef: Sec. 1025 (Housing Trust Fund - Preservation & Emergency Shelters)
Potential Concerns (5)

  • The bill allocates $536 million to the Housing Trust Fund for affordable housing, but many programs require applicants to demonstrate nonstate matching funds, which excludes very low-income households and small nonprofits without access to capital.

    HousingPeopleRef: Sec. 1025 (Housing Trust Fund)

  • Early learning facility grants prioritize rural counties and extreme child care deserts, but the application process and match requirements may still favor larger, better-resourced providers over small community-based programs.

    EducationLean peopleRef: Sec. 1005 & 1012 (Early Learning Facilities)

  • The $107 million for behavioral health facilities includes requirements for 10-year facility commitments and licensing, which may favor established hospitals over newer or smaller community providers seeking to expand capacity.

    HealthcarePeopleRef: Sec. 1016 (Behavioral Health Facilities)

  • The $28 million for homeownership projects serves first-time low-income households, but income caps (80% AMI, or up to $100K in many areas) exclude very low-income families and may primarily benefit working-class families near the poverty line.

    HousingPeopleRef: Sec. 1025 (Housing Trust Fund - Homeownership)

  • Climate and clean energy programs (e.g., Multifamily Efficiency Grants, Clean Energy Community Grants, Solar and Energy Storage Grants) prioritize overburdened communities, but many require substantial nonstate match, technical expertise, or project scale that favors larger nonprofits, utilities, or local governments over grassroots community organizations.

    EnvironmentPeopleRef: Sec. 1013, 1014, 1015, 1026, 1027, 1028, 1029, 1030, 1031, 1032 (Clean Energy & Climate Programs)

Who Is Most Affected

Low-income households and vulnerable populationsPositive Impact

Low-income families, seniors, and people with disabilities who rely on affordable housing, behavioral health services, broadband, and early learning programs will benefit from expanded access and capacity.

Nonprofits and community organizationsMixed Impact

Community-based nonprofits, tribes, and small providers will gain new funding to expand facilities and services, though match requirements may limit participation by very small or under-resourced organizations.

Local governments and public utilitiesPositive Impact

Local governments and public utilities will benefit from broadband, water, and transportation infrastructure grants, especially those in rural or underserved areas.

Educational institutionsPositive Impact

Public K-12 schools, colleges, and universities will receive significant capital funding for facilities, HVAC, and broadband, improving learning environments and operational resilience.

State agencies and employeesPositive Impact

State agencies (e.g., DSHS, DOH, Ecology) will receive funding for facility upgrades, environmental cleanup, and behavioral health infrastructure, supporting service delivery and compliance.