BILL REQ. #:  H-0049.1 

Prefiled 12/30/08. Read first time 01/12/09.   Referred to Committee on Finance.

     AN ACT Relating to annual revaluations of property for property tax purposes; amending RCW 84.41.030 and 84.41.041; adding new sections to chapter 84.41 RCW; creating a new section; making appropriations; and providing expiration dates.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1   RCW 84.41.030 and 1996 c 254 s 7 are each amended to read as follows:
     (1) Each county assessor shall maintain an active and systematic program of revaluation on a continuous basis, and shall establish a revaluation schedule which will result in revaluation of all taxable real property within the county at least once each four years and physical inspection of all taxable real property within the county at least once each six years. Each county assessor may disregard any program of revaluation, if requested by a property owner, and change, as appropriate, the valuation of real property upon the receipt of a notice of decision received under RCW 36.70B.130((, 90.60.160,)) or chapter 35.22, 35.63, 35A.63, or 36.70 RCW pertaining to the value of the real property.
     (2) Not later than January 1, 2014, all taxable real property within a county shall be revalued annually and all taxable real property within a county shall be physically inspected at least once each six years. This mandate is conditional upon the department of revenue providing the necessary guidance and financial assistance to those counties that are not on an annual revaluation cycle so that they may convert to an annual revaluation cycle including, but not limited to, appropriate data collection methods and coding, neighborhood and market delineation, statistical analysis, valuation guidelines, and training. The department shall assist any county assessor requesting assistance in the valuation of industrial property estimated to exceed twenty-five million dollars in real and personal property value.

Sec. 2   RCW 84.41.041 and 2001 c 187 s 21 are each amended to read as follows:
     Each county assessor shall cause taxable real property to be physically inspected and valued ((at least once every six years)) in accordance with RCW 84.41.030, and in accordance with a plan filed with and approved by the department of revenue. Such revaluation plan shall provide that a reasonable portion of all taxable real property within a county shall be revalued and these newly-determined values placed on the assessment rolls each year. Until January 1, 2014, the department may approve a plan that provides that all property in the county be revalued every two years. If the revaluation plan provides for physical inspection at least once each four years, during the intervals between each physical inspection of real property, the valuation of such property may be adjusted to its current true and fair value, such adjustments to be based upon appropriate statistical data. If the revaluation plan provides for physical inspection less frequently than once each four years, during the intervals between each physical inspection of real property, the valuation of such property shall be adjusted to its current true and fair value, such adjustments to be made once each year and to be based upon appropriate statistical data.
     The assessor may require property owners to submit pertinent data respecting taxable property in their control including data respecting any sale or purchase of said property within the past five years, the cost and characteristics of any improvement on the property and other facts necessary for appraisal of the property.

NEW SECTION.  Sec. 3   A new section is added to chapter 84.41 RCW to read as follows:
     (1) The annual property revaluation grant account is created in the state treasury. Moneys in the account may be spent only after appropriation. Moneys in the account may be used only for grants as provided in section 4 of this act.
     (2) Any funds remaining in the annual property revaluation grant account on January 1, 2014, shall be deposited in the general fund.
     (3) This section expires July 1, 2014.

NEW SECTION.  Sec. 4   A new section is added to chapter 84.41 RCW to read as follows:
     (1) The department of revenue shall administer a grant program to assist counties with: (a) Converting to an annual revaluation system for property tax valuation; (b) replacing computer software used for revaluations in counties where the software was purchased from commercial vendors and will not be supported by the vendor or others after January 1, 2010; or (c) the acquisition of software and integral hardware in counties currently administering an annual revaluation program where the assessor's property records are not stored in an electronic format or where the current software does not have the capacity to store, manage, and process property record components used in the valuation process. A county may use grant money to purchase computer hardware or software, repair or upgrade existing computer hardware or software, or provide necessary training related to computer hardware or software. No county is eligible for grants under this section totaling more than five hundred thousand dollars.
     (2) This section expires July 1, 2014.

NEW SECTION.  Sec. 5   The sum of five million dollars, or as much thereof as may be deemed necessary by the department of revenue, is appropriated for the fiscal year ending June 30, 2010, from the general fund solely for expenditure into the annual property revaluation grant account created in section 3 of this act.

NEW SECTION.  Sec. 6   The sum of five million dollars, or as much thereof as may be deemed necessary by the department of revenue, is appropriated for the fiscal year ending June 30, 2011, from the general fund solely for expenditure into the annual property revaluation grant account created in section 3 of this act.

NEW SECTION.  Sec. 7   The sum of two hundred fifty-four thousand dollars, or as much thereof as may be necessary, is appropriated for the fiscal year ending June 30, 2010, from the general fund to the department of revenue for the purposes of this act.

NEW SECTION.  Sec. 8   The sum of two hundred fifty-four thousand dollars, or as much thereof as may be necessary, is appropriated for the fiscal year ending June 30, 2011, from the general fund to the department of revenue for the purposes of this act.

NEW SECTION.  Sec. 9   If specific funding for the purposes of this act, referencing this act by bill or chapter number, is not provided by June 30, 2014, in the omnibus appropriations act, this act is null and void.