WA HB1042

County treasurers may charge taxing districts (school districts, fire districts, water districts, etc.) a cost recovery fee for billing, collecting, and distributing property taxes on their behalf

The fee is capped at 1% of a district's tax roll for counties over 250,000 population and 2% for smaller counties, with the first $50,000 of each district's collections excluded from the calculation

Recovered costs must be credited to a county treasurer's cost recovery fund to support ongoing tax collection operations, exempt from budget limitations and indirect charges

Taxing districts may levy additional property taxes to reimburse themselves for these county treasurer cost recovery fees, exempt from the limits in chapter 84.55 RCW

County treasurers must notify affected taxing districts of the fee amount by September 1st each year, and capitalized expenditures may only be recovered over the useful life of the asset