Deal ends legal fight and allows Tulalips a cut of sales tax

OLYMPIA — The Tulalip Tribes have reached an agreement with the state and Snohomish County to end years of litigation and begin sharing millions of dollars in sales tax receipts generated at the Quil Ceda Village shopping center.

Under a deal months in the making, the tribe would receive a sliver of the state’s sales tax collections this budget cycle, with the sum growing to an estimated $30.2 million in 2025. Snohomish County, meanwhile, would continue receiving all its regular sales tax allotment.

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But the fate of the three-party accord hinges on the Legislature. It must give Gov. Jay Inslee authority to negotiate sales tax sharing compacts with federally recognized tribes.

That effort will start Thursday with hearings in the House and Senate on bills empowering the governor to act. Terms of a revenue split and capital investment — the key components of those bills and any future compacts — are drawn from the memorandum of understanding involving the state, county and tribes.

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