SENATE BILL REPORT

                   SB 5407

              As Reported By Senate Committee On:

             Government Operations, March 1, 1995

Title:  An act relating to allowing voters to approve ballot propositions protecting a portion of metropolitan park district property taxes from prorationing.

Brief Description:  Allowing voters to protect a portion of metropolitan park district property taxes from prorationing.

Sponsors:  Senators Winsley, Haugen, Oke and Wojahn.

Brief History:

Committee Activity:  Government Operations:  2/7/95, 3/1/95 [DPS].

SENATE COMMITTEE ON GOVERNMENT OPERATIONS

Majority Report:  That Substitute Senate Bill No. 5407 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Haugen, Chair; Sheldon, Vice Chair; Drew, Hale, Heavey, McCaslin and Winsley.

Staff:  Eugene Green (786-7405)

Background:  The Metropolitan Park District of Tacoma is the only metropolitan park district in the state.  A metropolitan park district is authorized to impose two regular property tax levies, one at a maximum rate of $0.50 per $1,000 of assessed valuation and a second levy at a maximum rate of $0.25 per $1,000 of assessed valuation.  Although both of these levies are subject to the $5.90 limit on combined levy rates, the $0.50 levy is placed in a higher status than the $0.25 levy for purposes of prorationing.

To the extent possible, the Metropolitan Park District of Tacoma wants to protect its lower status levy, $0.25 per $1,000 of assessed valuation, from prorationing.

Summary of Substitute Bill:  A metropolitan park district with a population of 150,000 or more (Tacoma) may submit a ballot proposition to the voters authorizing the protection of all or a portion of its $0.25 levy from prorationing by placing the levy outside the $5.90 limit (actually the $9.50 limit if one includes the state school levy of $3.60 per $1,000 of assessed valuation), but under the constitutional 1 percent limitation.  The levy is for six years, and is approved by simple majority vote.

Substitute Bill Compared to Original Bill:  The substitute bill clarifies that any potential reduction of levies between $9.50 and $10.00 is adjusted so that the Metropolitan Park District levy is reduced or eliminated before any other levies in this category are affected.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  It is with voter permission and will protect our funding.

Testimony Against:  None.

Testified:  Dr. Richard Moe, Jim Montgomerie, Wayne Fanshier, Metropolitan Park District, Tacoma (pro); Pete Spiller, Fire Districts.