East King Chambers Align on Housing, Transportation, and Budget Priorities Ahead of 2026 Session

Today the East King Chambers Coalition convened to refine its 2026 legislative agenda, with housing supply, transportation and last‑mile connections, public safety, energy, and tax policy at the forefront. The coalition emphasized practical solutions that keep the Eastside competitive, protect employers and workers, and support city partners charged with implementation.

Housing Supply as the Affordability Engine

Coalition members underscored that increasing housing supply remains the most reliable path to improved affordability, especially for middle‑income workers who don’t qualify for subsidies but are increasingly priced out of ownership and, in some markets, rentals. Context from the Growth Management Act era to today framed a sustained underproduction problem that has strained households and employers alike.

“Housing supply is really the only true path for housing affordability... Since 2010 the urban counties have produced fewer than one housing unit for each new household form.” — Randy Bannecker, Bannecker Public Affairs

The state is forecasting 1.6 million additional people over 20 years. In today’s market, it “roughly” takes two household incomes to afford the median‑priced home; rents for a two‑bedroom in places like Kirkland are nearing affordability ceilings.

Members also noted that when housing near jobs is out of reach, workers “drive until they qualify,” which hurts reliability, workforce readiness, and community engagement.

Regulatory Tools That Work With the Market

The coalition pressed for targeted, flexible tools that reduce time, cost, and uncertainty so projects can pencil. Priorities include broader use of the multifamily tax exemption (MFTE), streamlined permitting and State Environmental Policy Act (SEPA) exemptions for infill, condominium reform to unlock attainable ownership, and allowing impact fees to be paid at certificate of occupancy instead of upfront. Members also flagged the value of ground‑floor commercial flexibility to avoid long‑term vacancies where retail is not viable.

“Unleashing the market through multifamily tax exemption… is important because it brings the private sector in to providing housing... We need to make sure that we are enabling densities that can leverage [transit] investment.” — Randy Bannecker, Bannecker Public Affairs

Transportation, Transit, and the Last Mile

Transportation discussions centered on two practical realities: not all cities benefit equally from major transit investments, and even where rail and frequent service exist, last‑mile connections still limit utility. Members highlighted employer workarounds and called for state and regional solutions that better match growth mandates to mobility options.

The coalition’s transportation paper now includes Bellevue’s Grand Connection among priority projects. Members emphasized preservation and maintenance amid aging infrastructure and recent bridge strikes affecting freight corridors.

Tax Proposals and Economic Competitiveness

The coalition anticipates a largely defensive session on taxes, with renewed interest in a higher real estate excise tax (REET), payroll taxes, and taxes on services. Speakers warned that layering additional costs on transactions, housing, and employers could chill investment and dampen mobility in the real estate market.

Coalition Process and Timeline

This year’s agenda process is deliberately early to help chambers brief boards, align with city partners, and prepare for a short election‑year session. The coalition incorporated utility feedback on energy items, thanked the legislature for progress on public safety training incentives (House Bill 2015), and will monitor new bills against established umbrella positions. Drafts are moving to chamber boards for approval in November, with final adoption targeted before Thanksgiving.

Conclusion

Bellevue and Eastside employers need predictable taxes, streamlined permitting, and mobility solutions to keep hiring and investment here at home. The coalition’s agenda reflects that pragmatism: grow supply, fix what slows projects, and align transportation with where we’re adding people and jobs. Watch for board approvals in November and join us at upcoming policy briefings; subscribe to our newsletter for session‑long updates.