Disclaimer: This update is current through January 30th, 2026 – stay engaged for future updates
As the 2026 Washington State legislative session moves forward, several bills with potential implications for short-term rentals (STRs), responsible hosts, and the broader housing and tourism ecosystem are under consideration. Some proposals directly affect STR operators, while others reflect broader housing, land-use, or tourism policy trends that warrant attention.
Below is a high-level summary of the key bills currently on the table, along with our position and the considerations guiding our engagement.
HB 2559 – Targeted Affordable Housing Tax on Short-Term Rentals
Status: Oppose
HB 2559 would authorize cities, counties, and towns to impose a new local excise tax of up to 4% exclusively on short-term rentals, with revenue dedicated to affordable housing programs and related services.
While we strongly support investments in affordable housing, this bill takes a targeted approach that singles out short-term rentals, rather than applying broadly across the lodging sector or housing market. The tax would apply only to STR operators regardless of scale, location, or impact, and would be layered on top of existing lodging and sales taxes.
Public engagement on HB 2559 has been significant. Looking at individual registrants (with each person counted once), 91% registered in opposition, reflecting widespread concern about fairness, effectiveness, and whether targeting short-term rentals alone meaningfully addresses housing affordability challenges.
HB 2583 – Broad-Based Lodging Tax for Arts, Tourism, and Public Facilities
Status: Other / Monitoring
HB 2583 proposes a broader-based approach to lodging-related taxation by applying evenly across hotels, motels, and short-term rentals. Unlike targeted proposals, this framework distributes responsibility more equitably across the lodging sector.
Revenue generated under HB 2583 would support the arts, tourism promotion, and community facilities – sectors that are closely connected to short-term rentals and local economies. These investments help sustain the very destinations and experiences that drive responsible tourism.
Because the bill applies uniformly and supports industries aligned with hosting and tourism, we view HB 2583 as a more balanced approach and will continue to engage as it moves through the legislative process.
HB 2480 – Residential Development in Commercial and Mixed-Use Zones
Status: Neutral / Information Gathering
HB 2480 focuses on zoning and land-use policy, prohibiting certain cities and counties from excluding residential development in areas zoned for commercial or mixed-use purposes.
The bill is intended to expand housing opportunities by increasing flexibility in where residential development can occur. While it does not directly regulate short-term rentals or impose STR-specific requirements, broader land-use changes can influence housing markets and local policy decisions over time.
At this stage, we are continuing to review the bill and assess whether its implementation could have downstream implications for short-term rentals. We will update our position as additional information becomes available.
HB 2465 – Water Recreation Facility Safety Guidance
Status: Support / Monitoring
HB 2465 directs the Washington State Department of Health to develop a standardized safety guide for water recreation facilities, such as pools or hot tubs, and requires short-term rentals with these amenities to post the guidance in a visible location near the facility.
We support the goal of responsible hosting and guest safety. However, the original bill defers critical details to future Department of Health guidance and rulemaking, raising questions about how the requirements would ultimately be defined, implemented, and enforced. We will continue to monitor these issues as part of our engagement on the bill.
HB 2639 – Cannabis Provision at Short-Term Rentals
Status: Oppose
HB 2639 would allow the provision of cannabis products to guests at short-term rentals. We do not support this bill due to the significant liability, safety, and compliance risks it creates for hosts.
Verifying age, ensuring lawful use, and managing impairment-related risks would be difficult in a short-term rental setting. Many hosts already choose not to provide alcohol, even in Washington wine country, due to liability concerns and sensitivity to guests who are in recovery or those looking for a substance-free environment. Introducing cannabis into the guest experience adds unnecessary liability and risk without clear benefits for hosts or guests.
👉 Read an external analysis of HB 2639 and its implications for hosts
What Comes Next
As the session moves toward key legislative cutoffs, including the February 4 policy committee deadline, we will continue tracking which bills advance and where additional engagement would be most impactful. After this milestone, the legislative landscape will become clearer, allowing for a more focused assessment of proposals that are likely to move forward.
We will be active as legislation progresses and provide additional analysis where warranted to ensure members and stakeholders remain informed and engaged.