The Tier 2 Early Adopter Incentive: $0.30 per sq ft, paid by your utility
The Tier 2 Early Adopter Incentive pays $0.30 per square foot of gross floor area to owners whose Tier 2 compliance application Commerce approves, applied for by 1 July 2027. Your utility pays it from its public utility tax credit, first come first served; partial and zero payments are possible.
How much
| Gross sq ft | Base, $0.30 | Enhanced ceiling, $0.75 | Our max fee |
|---|---|---|---|
| 20,001 | $6,000 | $15,001 | $3,900 |
| 25,000 | $7,500 | $18,750 | $3,900 |
| 30,000 | $9,000 | $22,500 | $3,900 |
| 40,000 | $12,000 | $30,000 | $3,900 |
| 50,000 | $15,000 | $37,500 | $3,900 |
- Base: $0.30 per sq ft of gross floor area, excluding parking and unconditioned or semi-heated space.
- Enhanced, multifamily only: with a signed anti-displacement agreement and rent schedule, $0.75 per sq ft or the estimated cost of compliance, whichever is lower, and never below the base. A cheap filing therefore usually means the base rate: on 30,000 sq ft a $3,900 fee yields the $9,000 base, not $22,500.
How it is applied for and paid
- The incentive application sits inside the Tier 2 compliance application in the Clean Buildings Portal. The QEM completes it; every owner signs, each with a Secure Access Washington account. Management companies and associations can designate a portal user through shared access.
- Commerce reviews applications in the order received, then notifies the owner and the utility.
- Your utility pays, usually against a W-9, from its public utility tax credit. A building served by two utilities is paid proportionally by fuel. Qualifying utilities with more than 25,000 customers must participate.
Will the money be there?
The fund is $150M in total. As of 24 September 2026 Commerce reported about $11.8M awarded, over $6M paid by utilities and $138M left. The statewide pot is unlikely to be the limit; each utility's tax credit is. Commerce says "partial and zero incentive payments are possible depending on the participating utility's available PUT credit".
Our rule: we quote the incentive as an estimate and never make our fee depend on it. If someone tells you the incentive is "guaranteed" or that you'll "keep the difference", ask them who pays if the utility's credit runs out.
Why the extension doesn't get you this
The two-year extension delays the Energy Management Plan and O&M program; the incentive needs the full package, and incentive applications close on 1 July 2027. Extension or full filing?