Prop 1A Wins Backers expect legal challenge to new Seattle Social Housing tax

Seattle voters have decisively approved a new business tax intended to fund a Social Housing program, achieving a remarkable 69% support in a recent election. This tax will levy a 5% charge on companies compensating their employees over $1 million, projected to generate around $50 million annually. The advocacy group House Our Neighbors, instrumental in promoting the measure, emphasizes that this funding is critical for addressing the city's pressing housing and homelessness challenges. Despite a concerted effort from corporate interests, including significant spending and lobbying against the measure, the voters' choice signals a demand for progressive housing solutions. The approval is particularly significant as it positions the city to create a more inclusive housing strategy, catering to a wider range of income levels.

However, the group anticipates potential legal challenges from those opposing the tax, hinting at ongoing tensions between corporate interests and social advocates. As Mayor Bruce Harrell prepares for reelection, this outcome may complicate his political landscape, given his previous endorsement of a competing proposal. The election results not only reflect voter priorities but also set the stage for future debates on housing policy in Seattle.