Seattle voters approved Proposition 1A, a new employer tax intended to fund social housing, in the February 11, 2025 special election. The City of Seattle’s archive records 137,857 votes for 1A and 51,010 against; voters also chose 1A over the City Council’s alternative, Proposition 1B. Amazon and Microsoft each contributed $100,000 to support the 1B campaign, according to Axios reporting published February 10, 2025. That establishes their support for the alternative—not opposition to social housing in every form.
What Seattle voters approved
Proposition 1A, submitted by Initiative Petition 137, imposes a 5% tax on annual compensation above $1 million paid in Seattle to an employee. Employers pay the tax; it is not a tax directly imposed on workers. The official voter pamphlet said at least 95% of the revenue would go to the Seattle Social Housing Developer. King County Elections’ February 11, 2025 voter pamphlet describes the measure and its funding allocation.
The City of Seattle Archives records 137,857 yes votes and 51,010 no votes on 1A. In the separate preference question, 112,126 voters chose 1A and 65,497 chose 1B. These are the archive’s recorded results, not a separately dated election-night tally. City of Seattle Archives: Ballot Initiatives.
How the two ballot questions worked
The ballot presented two questions. First, voters decided whether either funding measure should pass. If a majority answered yes, a second question determined which alternative voters preferred. The official pamphlet identified 1A as the initiative and 1B as the alternative proposed by the Seattle City Council and Mayor. King County Elections’ 2025 voter pamphlet.
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How Proposition 1A differed from Proposition 1B
Both measures concerned funding the Seattle Social Housing Developer, but they used different sources and structures.
| Ballot measure | Revenue source | Scale and duration | How it was selected |
|---|---|---|---|
| Proposition 1A | New 5% employer tax on annual compensation above $1 million paid in Seattle to an employee. | Ongoing tax; the pamphlet said at least 95% of revenue would be allocated to the developer. | Received more votes than 1B in the second question: 112,126 to 65,497, according to the City of Seattle Archives. |
| Proposition 1B | Existing city payroll expense tax revenue. | Proposed $10 million from each of the next five annual budgets, subject to conditions for the developer to receive the funding. | The City Council and Mayor’s alternative; fewer voters preferred it in the second question. |
Source for the measures’ terms: King County Elections’ February 11, 2025 voter pamphlet. Source for the recorded preference totals: City of Seattle Archives.
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What Amazon and Microsoft’s donations show
Axios reported on February 10, 2025, that Amazon and Microsoft had each contributed $100,000 to support the Proposition 1B campaign. Because 1B was the Council’s alternative to 1A, the donations indicate support for that alternative. They do not, by themselves, establish that either company opposed social housing generally. Axios Seattle, February 10, 2025.
What happened after the vote
Seattle Finance says the tax took effect January 1, 2025. The city began collecting first payments from employers for tax year 2025 in January 2026; the stated filing and payment deadline for that year was January 31, 2026, with subsequent filings quarterly. For current filing requirements, consult the city’s Social Housing Tax page.
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On February 10, 2026, the Seattle City Council unanimously approved legislation to begin transferring revenue to the Seattle Social Housing Developer. The action authorized the start of transfers; it is not evidence that specific homes had already been acquired or occupied. The Council reported that the developer’s interim CEO said the revenue would allow it to begin the process of acquiring its first building and house hundreds of Seattleites that year. That was a stated plan, not a confirmed outcome. Seattle City Council, February 10, 2026.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What the Seattle Social Housing Developer does
Seattle voters established the developer through Initiative 135 in February 2023 as a public development authority. Its role is to develop, own, and maintain social housing. The voter pamphlet describes that housing as permanently affordable and publicly owned; the Council’s 2026 account characterizes the planned housing as mixed-income and a public asset. King County Elections’ 2025 voter pamphlet; Seattle City Council, February 10, 2026.
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