Declares that it is good public policy to impose reasonable constraints on the authority of large taxing districts to impose unduly burdensome tax increases.

Provides that the regular property tax levy for each taxing district, other than the state or a port district with an assessed value of over one hundred billion dollars, may be set at the amount which would be allowed otherwise under chapter 84.55 RCW if the regular property tax levy for the district for taxes due in prior years beginning with 1986 had been set at the full amount allowed under this chapter including any levy authorized under RCW 52.16.160 that would have been imposed but for the limitation in RCW 52.18.065, applicable upon imposition of the benefit charge under chapter 52.18 RCW.