Governor signs Barnard bill into law, boosting clean energy jobs, investment, and advanced nuclear manufacturing

Washington cannot afford to lose economic development opportunities because state timelines fail to match the real-world pace of federal approval. For certain clean energy transformation projects, including those tied to advanced nuclear manufacturing, years of federal review can push construction past deadlines tied to local tax incentives, putting investment and job creation at risk through no fault of the project itself.

House Bill 1210 was designed to close that gap, and Gov. Bob Ferguson has now signed it into law.

For Rep. Stephanie Barnard, R-Pasco, the bipartisan measure represents a major legislative win and the culmination of three years of work on one of her top priorities. The new law updates Washington’s targeted urban property tax exemption so that qualifying clean energy transformation business facilities, including those connected to advanced nuclear manufacturing, can remain eligible even when federal certification takes longer than the state’s original timelines anticipated.

“This is a big moment, not just because the bill is now law, but because it means Washington is choosing to compete for the kinds of projects that can shape our economic future,” Barnard said. “I have worked on this legislation for three years because I believe our state should not lose jobs, investment, and industrial growth simply because state policy fails to account for the realities of the federal process. My bill makes our economic development tools more practical, more responsive, and more aligned with the opportunities in front of us, especially for emerging sectors like advanced nuclear manufacturing.”

Under existing law, cities may offer a 10-year local property tax exemption on eligible improvements for qualifying industrial and manufacturing facilities built in designated targeted urban areas. But for clean energy transformation business facilities that require certification by a federal regulatory commission, the approval process can stretch well beyond the standard construction timeline.

House Bill 1210 gives cities the authority to grant up to two additional 24-month extensions when delays are beyond the project owner’s control, and the applicant is acting in good faith.

That added flexibility is especially important for industries built around long development and regulatory timelines. In Washington, that includes advanced nuclear manufacturing, a growing sector with the potential to bring significant private investment, strengthen energy innovation, and create family-wage jobs in communities prepared to support that work.

The bill also strengthens accountability. For qualifying projects, cities must verify that labor standards and application commitments have been met and consult with the Department of Labor and Industries to confirm available compliance information, including prevailing wage and apprenticeship requirements during construction. The measure also requires documentation related to post-construction prevailing or family-living-wage jobs.

“My bill does not lower the bar. It preserves strong standards while making sure Washington is not unintentionally shutting the door on major clean energy investment,” Barnard added. “That matters for communities like the Tri-Cities, where economic development, advanced nuclear manufacturing, energy innovation, and family-wage jobs go hand in hand. This is about making sure Washington is ready when opportunity shows up.”

Supporters of the bill said the policy change is especially important in parts of the state such as the Tri-Cities, where the energy sector is growing and where targeted urban area tools could help support large-scale projects, private investment, and significant job creation. Testimony on the bill noted the City of Richland has already designated thousands of acres for development under the program and that expanding flexibility for clean energy businesses could help build on that momentum.

House Bill 1210 passed the House on a bipartisan vote of 80-14 and the Senate on a bipartisan vote of 28-20. The bill takes effect June 11, 90 days after adjournment of the 2026 legislative session.

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Washington State House Republican Communications
houserepublicans.wa.gov