Seattle to tax large businesses

SEATTLE — Seattle leaders on Monday unanimously approved a tax on large businesses such as Amazon and Starbucks to fund the fight against homelessness after weeks of heated debate and raucous hearings.

The City Council backed a compromise plan that will charge large businesses about $275 per full-time worker each year, lower than the $500 per worker initially proposed. The so-called head tax would raise about $48 million a year to pay for affordable housing and homeless services.

The debate over who should pay to solve a housing crisis exacerbated by Seattle’s rapid economic growth comes amid skyrocketing housing prices and rising homelessness. The Seattle region had the third-highest number of homeless people in the U.S. and saw 169 homeless deaths last year.

Council members who sponsored the initial proposal said $48 million annually wasn’t enough to address the city’s urgent housing needs.