2026 Session Ends With Major Wins On Notice Reform

Housing providers secured important notice reform victories in 2026, but the broader policy environment in Olympia remains challenging heading into the interim.

By Chester Baldwin, Association Lobbyist

As the 2026 legislative session comes to a close, one thing is clear: this was a challenging year for housing providers in Washington.

From the industry’s perspective, the session was largely defensive. A number of proposals were introduced that would have increased costs, expanded liability, and made it more difficult to operate housing in a stable and predictable way.

But there is also an important positive story to tell.

This year, we were successful in stopping many of the most harmful bills, and we secured one of the most meaningful process wins for housing providers in recent years with the passage of HB 2664 and HB 2452.

Major Notice Reform Win

For years, housing providers have faced increasing confusion and litigation risk tied to notice and service requirements, especially around outdated certified mail rules.

HB 2664 addresses that problem in unlawful detainer and related notice contexts by modernizing service rules, removing outdated certified mail requirements in key situations, and bringing greater clarity to how notices may be served.

HB 2452 makes a similar fix for rent increase notices, including in manufactured housing communities, by moving away from the old certified mail framework and allowing service under more practical standards.

Taken together, these bills are a major win for housing providers. They improve predictability, reduce avoidable disputes, and help ensure that important legal processes are not derailed by technicalities.

We were actively engaged in moving both bills forward and making the case for why these reforms were needed.

Assuming the Governor signs them, both measures will take effect on June 10, 2026.

A Session Spent Playing Defense

While these notice reform bills were important victories, much of the session was spent blocking harmful proposals.

Several bills would have made the housing and business climate in Washington more difficult. Some would have imposed new costs. Others would have increased liability or weakened tools for addressing safety and community conditions.

We were successful in stopping many of these proposals, but several advanced further than they should have. That matters because it signals that many of these ideas are likely to return next year.

Stopping HB 2489 Mattered

One of the most important defensive wins this year was stopping HB 2489.

Had it passed, the bill would have significantly restricted the ability of local governments to address encampments and enforce public space laws unless very specific shelter conditions were met. In practice, that would have made it much harder for communities to respond to public safety concerns and would have had real impacts on surrounding properties, businesses, and neighborhoods.

For housing providers, those impacts matter. Public safety matters. Neighborhood conditions matter. And local governments need practical tools to respond when public spaces become unsafe.

Tax Pressure Continues, With One Positive Exception

The broader policy environment remains difficult.

Lawmakers continue to pursue new taxes and expanded revenue sources, even as the state budget has grown dramatically in recent years. This session included a new income tax in SB 6346, continued tax base expansion through bills such as SB 6113, and ongoing discussion of additional ideas, including applying the business and occupation tax to rent.

At the same time, SB 6346 included one important benefit for associations and nonprofits.

Beginning July 1, 2026, nonprofit organizations will be exempt from sales tax on live presentations, including trainings, seminars, and similar events. For associations that regularly provide education and professional development, that is a meaningful and immediate benefit.

There was also one additional positive tax development this year. SB 6347 which reduces estate tax rates back to pre-2025 levels. While Washington’s estate tax remains high by national standards, this is still a step in the right direction.

The Work Continues

Although session has ended, the work is far from over.

Many of the proposals that were stopped this year are likely to return. At the same time, Washington is entering a major election cycle, with every House member and 24 Senators up for reelection, along with many new lawmakers expected to enter the Legislature.

That makes the interim critical.

The next session is being shaped now through elections, relationship-building, and ongoing conversations with lawmakers, especially new lawmakers who are still developing their understanding of housing policy.

The 2026 session showed both what we are up against and what is possible when the industry stays engaged.

We secured meaningful notice reform wins, stopped a number of harmful proposals, and continued to make the case for practical housing policy in Olympia.

I will continue that work on behalf of our members in the months ahead.