Incentives - Housing Development

Multi-Family Tax Exemption Program FAQs

Thank you for your interest in the City of Spokane's Multi-Family Tax Exemption (MFTE) program. We hope the following information will help to answer some of the most frequently asked questions.

Q: How do I tell if my property could qualify for the MFTE?
A: First, we need to confirm that your property is within a "target area". The target areas are described in the MFTE procedural handout (Procedure MFTE6.pdf). For general purposes, a map of the MFTE target areas is available on the back page of that handout. For assessment at the parcel level, the MFTE target areas can be viewed on our in-house IMap system, available either through staff assistance or at a public access terminal at the Current Planning counter, 3rd floor of City Hall. (Under the Layers tab, open "Building and Planning", then "Zoning", and then "Multi-Family Tax Credit." Once that layer loads, open the "Search" tab and type in either the property street address or parcel number.)

Q: Is there anything else about my project besides its location that determines its eligibility for the MFTE program?
A: Yes, you must create at least 4 new residential units in one building (common wall construction). More information is available in the MFTE procedural handout referenced above and online at http://www.developingspokane.org/docs/Procedure_MFTE6.pdf.

Q: How do I apply for the MFTE program?
A: BEFORE YOU GET YOUR BUILDING PERMIT, fill out the application form available online at http://www.developingspokane.org/docs/MFTE_application_form_09.pdf, sign it, and deliver it to Teri Stripes, Incentives Specialist, along with preliminary site and building plans, your check for $450 (plus $80 for each additional unit with a maximum variable fee of an additional $560) made payable to "City of Spokane," and some photos of the property in its current state. Please email the photos to tstripes@spokanecity.org.

Q: How long does it take before my MFTE application is approved?
A: If an application is complete when submitted, staff can tell the applicant in less than an hour whether or not it will be recommended to City Council for their approval. Contact Teri Stripes, Incentives Specialist, 625-6597, tstripes@spokanecity.org to schedule an appointment if you would like to accomplish this in person. After that, it will be placed on the City Council agenda for their Monday night meeting about 2 weeks later.

Q: Once the project is completed, what needs to be done for the tax exemption to take effect? A: A completed Application for Final Certificate, emailed photos of the finished project, and your $350 check made payable to "City of Spokane" should be submitted to Teri Stripes, Incentives Specialist.

Q: When is the tax exemption actually reflected in my property tax bill from the Assessor?
A: The exemption doesn't start until January of the calendar year following the year in which the Final Certificate of Tax Exemption is filed and recorded with the Auditor's Office. For example, a Final Certificate recorded anytime during 2007 would result in a reduced tax bill for 2008.

Q: What is the annual reporting requirement?
A: Each year for the duration of the tax exemption, an Annual Report form should be completed and submitted to Teri Stripes, Incentives Specialist, within 30 days of the anniversary date of when the Final Certificate was originally recorded with the Auditor’s Office.

Q: If I sell my tax exempt building or condominium, does the tax exemption pass on to the buyer?
A: Yes, the property tax exemption travels with the parcel number. So the purchaser will receive a property tax bill from the Assessor that reflects the tax exemption, and they will also be subject to the annual reporting requirements for the remaining duration of the tax exemption.

For further assistance, contact: Teri Stripes, Incentives Specialist
City of Spokane, Economic Development, 808 W. Spokane Falls Blvd. Spokane, WA 99201 (509) 625-6597, FAX: (509) 625-6013, tstripes@spokanecity.org