Seattle’s booming economy has worsened an acute housing shortage.
In response, the city council recently passed a new tax that will impose a levy on companies with annual revenues of $20 million of about $275 per full-time employee every year. The new so-called “Amazon tax” takes effect in January 2019, and is expected to raise almost $45 million a year for five years.
Roughly 60% of the revenue will help fund new affordable housing, and 40% will go toward emergency services for the homeless. Seattle leads the nation in crane count for major U.S. metros, but the new tax may throw cold water on the hot construction market.
The city is coping with a growing homeless population, and many supporters of the head tax argue that the growth of tech companies like Amazon has contributed to the problem. Highly paid tech workers have been buying homes at a rapid pace, with prices rising quickly.
Related Stories
Codes and Standards | Oct 30, 2018
San Francisco plans tougher seismic building codes
Recommendations include addressing geotechnical issues like those faced by Millennium Tower.
Codes and Standards | Oct 26, 2018
Tall Mass Timber code proposals approved at Intl. Code Council public comment hearings
Proposals now go to online voting; final outcome expected in December.
Codes and Standards | Oct 25, 2018
Low-income neighborhoods could benefit most from green roofs
Those areas face the biggest risk from extreme heat.
Codes and Standards | Oct 24, 2018
Building design critical to prevent school shootings
Safety must be balanced with welcoming environment.
Codes and Standards | Oct 23, 2018
Codes in Florida Panhandle made buildings vulnerable to Hurricane Michael
Less stringent codes in northern parts of state linked to devastation.
Codes and Standards | Oct 19, 2018
Global Green Tag production certification standard will launch in U.S. at end of year
Australian program recognized by WELL, claims compliance with LE.
Codes and Standards | Oct 18, 2018
Federally-backed rebuilding of public buildings often leaves them vulnerable to future storms
FEMA dollars pay for reconstruction, but local decision-makers ignore climate change impacts.
Codes and Standards | Oct 17, 2018
Philadelphia plumbing code will now allow for more use of plastic pipes in high rises
Of the 50 largest U.S. cities, Philadelphia is one of just six that still require metal pipes.
Codes and Standards | Oct 16, 2018
New Disaster Recovery Reform Act will support adoption of updated building codes
Provides incentives for communities to modernize and enforce codes.
Codes and Standards | Oct 12, 2018
Boston ‘housing emergency’ prompts regional initiative for new residential construction
Mayors of 15 cities set goal of 185,000 new homes by 2030.