WA SB5138

Amends RCW 36.100.040 to add a statutory definition of "community-initiated equitable development" as strategic investments directed by communities that have experienced historical social and economic vulnerabilities, aimed at offsetting disparities, preventing displacement, and improving access to opportunities

Requires 50% of lodging tax revenue collected by public facilities districts under chapter 245, Laws of 2018 to be distributed to the county where the convention and trade center is located for community-initiated equitable development and affordable housing programs

Allows cities with convention and trade centers to receive quarterly payments from public facilities districts derived from short-term rental lodging taxes, provided the city has repealed its own short-term rental operator tax

Applies to public facilities districts in counties with populations of 1.5 million or more (King County), specifically those acquiring, owning, and operating convention and trade centers

Effective July 27, 2025, with an expiration date of July 1, 2035