Permitting and licensing

AN ACT Relating to improving regulatory efficiency by integrating 1
executive order 25-03, concerning permitting and licensing processes, 2
into chapter 43.42A RCW; amending RCW 43.42A.005, 43.42A.010, 3
43.42A.020, 43.42A.030, and 43.42A.040; and adding new sections to 4
chapter 43.42A RCW. 5
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:6
Sec. 1. RCW 43.42A.005 and 2014 c 68 s 1 are each amended to 7
read as follows: 8
((On December 30, 2013, the Washington state auditor's office 9
issued a performance audit report, finding that state agencies could 10
shorten the time it takes to submit, review, and make decisions on 11
business permit applications through simple improvements. In response 12
to the performance audit findings, the legislature intends to improve 13
the predictability and efficiency of permit decisions by making 14
information about permitting assistance and timelines more readily 15
available to the public. )) The legislature finds that providing 16
((citizens and businesses )) those applying for credentials with 17
better information about ((permit)) credential decisions will assist 18
their planning and decision making ((, promoting )) and promote 19
economic development. Making ((permit)) credential performance data 20
readily accessible to ((citizens)) applicants helps them hold 21
Z-0474.3
HOUSE BILL 2198
State of Washington 69th Legislature 2026 Regular Session
By Representatives Richards, Leavitt, Ryu, Dufault, Zahn, Rule,
Bronoske, Reeves, and Fosse; by request of Governor Ferguson
Prefiled 12/26/25. Read first time 01/12/26. Referred to Committee
on State Government & Tribal Relations.
p. 1 HB 2198
government accountable to a high level of customer service and 1
timeliness. Finally, requiring agencies to track the time it takes to 2
issue ((permits)) credentials equips agency leaders with key 3
information that can assist them in improving overall project 4
schedules, better allocating resources, and identifying additional 5
opportunities to better serve the public. 6
Sec. 2. RCW 43.42A.010 and 2014 c 68 s 2 are each amended to 7
read as follows: 8
The definitions in this section apply throughout this chapter 9
unless the context clearly requires otherwise. 10
(1) "Agency" means the following executive branch agencies and 11
offices of statewide elected officials: 12
(a) Department of agriculture; 13
(b) Department of archaeology and historic preservation;14
(c) Department of ecology; 15
(d) Department of fish and wildlife; 16
(e) Gambling commission; 17
(f) Department of health; 18
(g) Department of labor and industries; 19
(h) Department of licensing; 20
(i) Liquor ((control)) and cannabis board; 21
(j) Department of natural resources; 22
(k) Parks and recreation commission; 23
(l) Department of revenue; 24
(m) Department of transportation; ((and))25
(n) Utilities and transportation commission;26
(o) Department of children, youth, and families;27
(p) Department of enterprise services;28
(q) Department of financial institutions;29
(r) Department of social and health services;30
(s) Employment security department;31
(t) Energy facility site evaluation council;32
(u) Washington medical commission;33
(v) Washington state board of nursing;34
(w) Washington state health care authority;35
(x) Washington state office of financial management;36
(y) Washington state patrol;37
(z) Washington state pollution liability insurance agency;38
(aa) Washington student achievement council;39
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(bb) State lottery commission;1
(cc) Workforce training and education coordinating board;2
(dd) Chiropractic quality assurance commission; and3
(ee) Any other cabinet agency designated by the governor as 4
issuing credentials. 5
(2) "Backlog applications" means completed applications for 6
credentials that, as of the last day of the reporting period, have 7
not received a final decision within the published decision time 8
established by the issuing agency under RCW 43.42A.030(2)(k).9
(3) "Cabinet agency" means an executive branch agency whose chief 10
executive officer is appointed by, serves at the pleasure of, and 11
reports directly to the governor, but is not governed by an 12
independent board or commission.13
(4) "Completed application" means an application for a credential 14
in which the applicant has provided all information and materials 15
required by the agency and the agency has determined the application 16
is ready for substantive review and final decision.17
(5) "Credential" means a state-issued permit, license, 18
certification, or other regulatory approval required for an 19
individual, business, or organization to engage in a regulated or 20
commercial activity. Credentials include regulatory approvals tied to 21
business, occupational, professional, or environmental activities. 22
"Credential" does not include approvals:23
(a) Related to eligibility for public assistance or benefits;24
(b) Related to participation or billing in medicaid or other 25
state or federal health programs;26
(c) Issued primarily for recreational or personal use, including 27
noncommercial driver, vehicle, or vessel transactions;28
(d) Related to vital records;29
(e) Related to grants, loans, or financial awards;30
(f) Required for multidecade environmental or land-use 31
obligations beyond initial application approval;32
(g) Required solely for securities filings;33
(h) Issued by or to tribal governments;34
(i) Issued by the Washington student achievement council under 35
chapter 28B.85 RCW for degree-granting institutions to operate in the 36
state; or37
(j) That the agency and the office jointly determine should be 38
excluded from the definition of a credential. Upon approval by the 39
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office, an excluded credential is not subject to any requirement of 1
this chapter unless otherwise expressly provided. 2
(6) "Final decision" means the agency's determination that 3
concludes the agency's review of the application and includes any 4
decision, which may include but is not limited to approval, 5
provisional approval, denial, withdrawal, or otherwise closing an 6
application for a credential.7
(7) "Office" means the office ((of)) for regulatory innovation 8
and assistance. 9
(8) "Pending applications" means the number of completed 10
applications for credentials for which, as of the last day of the 11
reporting period, a final decision has not been made.12
Sec. 3. RCW 43.42A.020 and 2014 c 68 s 3 are each amended to 13
read as follows: 14
(1) ((By June 30, 2014, each agency shall prepare and submit to 15
the office an inventory of all the business permits indicated in the 16
December 30, 2013, performance audit report by the state auditor.17
(2)))(a) Each agency shall track and record the time it takes to 18
make ((permitting)) credential decisions. 19
(b) Agencies are encouraged to track all relevant information 20
that can assist ((Washington businesses )) credential applicants in 21
determining how long a ((permit)) credential process will take so 22
that the ((businesses)) applicant may successfully plan their 23
activities and make sound investment choices, reduce ((permitting)) 24
costs to the taxpayers in the form of unnecessary or duplicate staff 25
work, and avoid ((permitting)) decision delays that can result in 26
higher costs and lost revenue. 27
(c) ((At a minimum, each)) Each agency shall track and record the 28
following information for each ((permit)) credential application it 29
receives or decision it issues((:30
(i) The application completion time, which is the time elapsed 31
from the initial submission of an application by an entity seeking a 32
permit to the time at which the agency has determined that the 33
application is complete; and34
(ii) The permit decision time, which is the time elapsed from 35
receipt of a complete application to the agency's issuance of a 36
decision approving or denying the permit )) and, on or before March 37
1st of each year, shall submit to the office the data required under 38
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this section and section 6 (1) of this act for the prior calendar 1
year. Reports must include, at a minimum, the following information:2
(i) Application counts:3
(A) The number of applications received during the reporting 4
period;5
(B) The number of pending applications on the last day of the 6
reporting period; and7
(C) The number of backlog applications on the last day of the 8
reporting period;9
(ii) Processing times:10
(A)(I) Application completion time: The number of calendar days 11
from initial receipt of an application to the date the agency 12
determines the application is complete; and13
(II) Credential decision time: The number of calendar days from 14
the date an application is determined to be complete to issuance of a 15
final decision.16
(B) For each processing time metric, agencies shall report the 17
average and median processing time for all applications completed or 18
decided during the reporting year, regardless of receipt date; and19
(iii) Other identifying or statistical data required by the 20
office after consultation with reporting agencies.21
(d) Each agency shall ensure that the information reported under 22
(c) of this subsection is consistent with the credential catalog 23
maintained under RCW 43.42A.030, including:24
(i) The name and type of each credential entry;25
(ii) The statutory or regulatory authority for the credential and 26
any associated fees;27
(iii) Application and credential fee amounts; and28
(iv) A description of the published decision time for each 29
credential, as described in RCW 43.42A.030(2)(k). 30
(((3) Each agency shall calculate, for each permit it has 31
identified in its inventory, the following performance data:32
(a) The average application completion and permit decision times 33
for each permit, as measured by the times tracked for ninety percent 34
of applications or permit decisions, excluding the five percent that 35
took the shortest and the five percent that took the longest;36
(b) The maximum application completion time, excluding 37
applications that were withdrawn or never completed; and38
(c) The maximum permit decision time.39
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(4) Each agency shall report to the office, as provided in this 1
subsection (4).2
(a) By March 1, 2016, each agency shall report the times 3
calculated under subsection (3) of this section for the period from 4
January 1, 2015, to January 1, 2016.5
(b) By March 1, 2018, and March 1, 2020, each agency shall report 6
based on the times tracked and calculated since the previous 7
reporting period.8
(c) In each of the reports required under this section, each 9
agency shall submit an updated inventory of permits. Each agency 10
shall identify any permits listed in its inventory for which the 11
agency has not yet posted permit processing times and other 12
information as required under RCW 43.42A.030 and an estimated date 13
for such posting prior to June 30, 2015.14
(5))) (2) The reporting required in this section applies to:15
(a) Applications received on or after January 1, 2025;16
(b) Applications the agency determines are complete on or after 17
January 1, 2025; or18
(c) Applications where the agency makes a final decision on or 19
after January 1, 2025.20
(3) When calculating decision times for reporting under this 21
section and section 6 of this act:22
(a) Agencies shall calculate time using calendar days; and23
(b) Agencies may exclude days attributable to circumstances 24
outside the agency's control. If days are excluded, the agency shall 25
identify the reason.26
(4) Agencies may exclude an application from reporting under this 27
section only if the agency demonstrates to the office that:28
(a) The application is no longer active; or29
(b) Required data for one or more reporting elements in 30
subsection (1) of this section are permanently unavailable. 31
Applications may not be excluded due to data system deficiencies for 32
applications received on or after January 1, 2025. The agency must 33
obtain office approval and provide documented justification 34
demonstrating that the unavailability is not the result of a failure 35
to collect information required under this chapter.36
(5) The office shall make available to the legislature, upon 37
request, the individual agency reports submitted under ((subsection 38
(4) of)) this section. 39
p. 6 HB 2198
Sec. 4. RCW 43.42A.030 and 2024 c 54 s 51 are each amended to 1
read as follows: 2
(1) To provide meaningful customer service that informs project 3
planning ((and decision making by the citizens and businesses served, 4
each agency must make available to permit applicants the following 5
information through a link from the agency's website to the office's 6
website, as provided in subsection (4) of this section:7
(a) A list of the types of permit assistance available and how 8
such assistance may be accessed;9
(b) An estimate of the time required by the agency to process a 10
permit application and issue a decision;11
(c) Other tools to help applicants successfully complete a 12
thorough application, such as:13
(i) Examples of model completed applications;14
(ii) Examples of approved applications, appropriately redacted to 15
remove sensitive information; and16
(iii) Checklists for ensuring a complete application.17
(2) Each agency shall update at reasonable intervals the 18
information it posts pursuant to this section.19
(3)(a) Agencies must post the information required under 20
subsection (1) of this section for all permits as soon as 21
practicable, and no later than the deadlines established in this 22
section.23
(b) The agency shall post the permit inventory for that agency 24
and the information required under subsection (1)(a) and (c) of this 25
section no later than June 30, 2014.26
(c) The agency shall post the estimates of application completion 27
and permit decision times required under subsection (1)(b) of this 28
section based on actual data for calendar year 2015 by March 1, 2016, 29
and update this information for the previous calendar year, by March 30
1st of each year thereafter.31
(d) Agencies must consider the customer experience in ensuring 32
all permit assistance information is simple to use, easy to access, 33
and designed in a customer-friendly manner.34
(4))), improves credential processing times, and creates a 35
single, authoritative source of information for applicants, the 36
office shall, in consultation with Washington technology solutions 37
and state agencies with authority to issue credentials, establish and 38
maintain on the office's website a statewide credential catalog and 39
central online repository of credential information.40
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(2) Each agency shall prepare and maintain entries in the 1
statewide credential catalog for all credentials the agency issues. 2
Information provided for the catalog may be provided by hyperlink to 3
the agency's original source where appropriate. At a minimum, each 4
catalog entry must include the following information for each 5
credential if available:6
(a) The credential name;7
(b) Type of credential, including "permit," "license," 8
"certification," or "other";9
(c) Description or purpose of the credential;10
(d) Citation to any statutory, regulatory, or other legal 11
authority for the credential;12
(e) Application fee, if imposed;13
(f) Credential or program fee, if imposed;14
(g) Citation to any statutory, regulatory, or other legal 15
authority to collect such fees;16
(h) Credential requirements, including application requirements, 17
required forms and documents, and a description of all steps in the 18
application process;19
(i) Application method including whether the application is 20
electronic or paper, and where the application may be obtained;21
(j) Instructions for submission of the application, including 22
online, mail, or in-person submission;23
(k) The published decision time, meaning the time to review and 24
make a final decision on a completed application, consistent with 25
section 6 (1) of this act. Prior to determining published decision 26
times, agencies shall report any existing statutory deadlines or 27
agency-established approval times for informational purposes, which 28
may not be used for refund determinations;29
(l) Description of any statutory, regulatory, or other authority 30
governing application processing timelines;31
(m) Description of the credential validity period, which means 32
how long the credential remains valid;33
(n) Description of any appeal process available to applicants 34
whose application is denied;35
(o) A summary of required postapproval actions, including 36
inspections, monitoring, recordkeeping, continuing education 37
requirements, or associated dependencies;38
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(p) Opportunities identified by the agency to streamline approval 1
processes and reduce unnecessary, duplicative, or obsolete 2
requirements;3
(q) Description of available credential assistance and how such 4
assistance may be accessed; and5
(r) Tools to assist applicants submitting complete and timely 6
applications, including checklists, examples, or other online 7
resources.8
(3) To ensure agencies can ((post the required information online 9
with minimal expenditure of agency resources, Washington technology 10
solutions shall, in consultation with the office of regulatory 11
assistance, establish a central repository of this information, 12
hosted on the office of regulatory assistance's website. Each agency 13
shall include at least one link to the central repository from the 14
agency's website. Agencies shall place the link or links in such 15
locations as the agency deems will be most customer -friendly and 16
maximize accessibility of the information to users of the website.17
(5) The office shall ensure the searchability of the information 18
posted on the central repository, applying industry best practices 19
such as search engine optimization, to ensure that the permit 20
performance and assistance information is readily findable and 21
accessible by members of the public )) prepare, update, and transmit 22
catalog information in a way that maximizes accessibility and 23
usability, the office shall, in consultation with Washington 24
technology solutions and state agencies with authority to issue 25
credentials:26
(a) Establish the technical standards, data formats, and 27
submission methods for catalog entries;28
(b) Design and maintain the statewide credential catalog and 29
central repository so that information is searchable, machine 30
readable where practicable, and readily findable and accessible by 31
members of the public;32
(c) Ensure that the statewide credential catalog and central 33
repository are hosted and maintained as a single authoritative source 34
for state-issued credential information; and35
(d) Provide agencies with any necessary templates, guidance, and 36
technical assistance to support implementation.37
(4) Each agency must update, at reasonable intervals, the 38
information it submits to and posts through the statewide credential 39
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catalog and central repository under this section. Agencies must, at 1
a minimum, ensure that catalog entries are updated when:2
(a) Statutory or regulatory authorities governing the credential 3
are amended;4
(b) Fees or published decision times change; or5
(c) Application methods, submission instructions, or appeal 6
processes are materially modified.7
(5) Information required under this section must be incorporated 8
into, and may be delivered through, the office's website and any 9
central online repository established under this chapter. The office 10
shall ensure that the catalog and repository allow applicants to:11
(a) Identify all credentials required for their activities;12
(b) Access current application materials, instructions, and 13
assistance tools; and14
(c) Understand applicable timelines, fees, and appeal rights.15
Sec. 5. RCW 43.42A.040 and 2014 c 68 s 5 are each amended to 16
read as follows: 17
(1) ((By September 30th of 2016 and each even-numbered year 18
thereafter up to and including 2020, the office shall publish a 19
comprehensive progress report to the economic development committees 20
of the house of representatives and the senate and to the governor on 21
the performance of agencies in tracking permit timelines and other 22
efforts to improve clarity and predictability of regulatory 23
permitting. The report must include at a minimum for each agency a 24
summary of the data reported by the agency to the office under RCW 25
43.42A.020(4).26
(2))) The office shall post ((the)) a comprehensive progress 27
report on its website detailing the performance of agencies in 28
tracking credential timelines and other efforts to improve clarity 29
and predictability of regulatory credential application processes. 30
The report must include at a minimum for each agency a summary of the 31
credential information reported by the agency to the office under RCW 32
43.42A.020 to provide a complete picture of credential timeliness, 33
fees, and process improvement efforts . The report must be easily 34
accessible and designed in a customer-friendly format.35
(((3))) (2) Beginning with the ((2016 report )) 2027 reporting 36
period, the office must identify ((permits)) credentials with 37
processing and decision times that are most improved and processing 38
and decision times that are most in need of improvement, as indicated 39
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by the performance data collected under RCW 43.42A.020. Each agency 1
may include a statement describing any process improvements the 2
agency has identified for implementation in order to improve 3
processing and decision times. 4
NEW SECTION. Sec. 6. A new section is added to chapter 43.42A 5
RCW to read as follows: 6
(1) After consultation with the office and the governor's office, 7
each cabinet agency shall establish efficient and appropriate 8
deadlines for the time to review and make a final decision on 9
completed applications for each type of credential as follows:10
(a) 25 percent of the agency's credentials by January 1, 2027;11
(b) 50 percent of the agency's credentials by January 1, 2028;12
(c) 75 percent of the agency's credentials by January 1, 2029; 13
and 14
(d) 100 percent of the agency's credentials by January 1, 2030.15
(2) These deadlines constitute the published decision time and 16
must be made publicly available through the central repository 17
established under RCW 43.42A.030. 18
(3) Unless prohibited or restricted by the state or federal 19
statute authorizing the agency to issue the credential, the agency 20
shall refund the application fee if the agency fails to meet its 21
published decision time after receiving a completed application. If 22
the agency does not impose an application fee, no refund is required. 23
Fees received by the energy facility site evaluation council under 24
RCW 80.50.071 or other statutory reimbursement programs are not 25
subject to refund. A refund shall not affect the final disposition of 26
the application. Refunds must be reported as part of the agency 27
performance data submitted under RCW 43.42A.020. 28
(4) Information required under this section must be incorporated 29
into the performance reports and central repository postings required 30
under RCW 43.42A.020 and 43.42A.030. 31
(5) The office may, at its discretion, exclude any credentials 32
from the refund provisions of this section or grant additional time 33
to establish processing time deadlines. 34
NEW SECTION. Sec. 7. A new section is added to chapter 43.42A 35
RCW to read as follows: 36
The office shall establish guidance for agencies on the reporting 37
requirements in this chapter, including how to calculate reporting 38
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metrics, approved alternative processing or reporting methodologies, 1
and circumstances where data may be excluded. The office may approve 2
exceptions proposed by agencies when necessary to ensure accuracy, 3
accommodate statutory timelines, or reflect program-specific 4
operational requirements. Guidance adopted under this section applies 5
to all reporting and performance requirements under this chapter.6
--- END ---
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