BILL REQ. #:  H-0653.1 

Read first time 01/20/09.   Referred to Committee on Finance.

     AN ACT Relating to a mid-year revaluation of real property upon a substantial decline in residential property values; amending RCW 84.40.020, 84.12.270, and 84.36.005; and creating a new section.

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

Sec. 1   RCW 84.40.020 and 2005 c 274 s 364 are each amended to read as follows:
     (1) Except as provided in subsection (2) of this section, all real property in this state subject to taxation shall be listed and assessed every year, with reference to its value on the first day of January of the year in which it is assessed. Such listing and all supporting documents and records shall be open to public inspection during the regular office hours of the assessor's office((: PROVIDED, That)). However, confidential income data is hereby exempted from public inspection as noted in RCW 42.56.070 and ((42.56.210)) 42.56.230. All personal property in this state subject to taxation shall be listed and assessed every year, with reference to its value and ownership on the first day of January of the year in which it is assessed((: PROVIDED, That)), but if the stock of goods, wares, merchandise or material, whether in a raw or finished state or in process of manufacture, owned or held by any taxpayer on January 1 of any year does not fairly represent the average stock carried by such taxpayer, such stock shall be listed and assessed upon the basis of the monthly average of stock owned or held by such taxpayer during the preceding calendar year or during such portion thereof as the taxpayer was engaged in business.
     (2) Where the Case-Shiller home price index for the Seattle-Tacoma-Bellevue metropolitan statistical area shows an annual decline in home prices from July 1 to July 1 of more than seven and one-half percent in any year, all real property in this state subject to taxation shall be listed and assessed every year, with reference to its value on July 1 of the year in which it is assessed.

Sec. 2   RCW 84.12.270 and 2001 c 187 s 3 are each amended to read as follows:
     (1) The department of revenue shall annually make an assessment of the operating property of all companies; and between the fifteenth day of March and the first day of July of each year shall prepare an assessment roll upon which it shall enter and assess the true and fair value of all the operating property of each of such companies as of the first day of January of the year in which the assessment is made, except as provided in subsection (2) of this section. For the purpose of determining the true and fair value of such property the department of revenue may inspect the property belonging to said companies and may take into consideration any information or knowledge obtained by it from such examination and inspection of such property, or of the books, records, and accounts of such companies, the statements filed as required by this chapter, the reports, statements, or returns of such companies filed in the office of any board, office, or commission of this state or any county thereof, the earnings and earning power of such companies, the franchises owned or used by such companies, the true and fair valuation of any and all property of such companies, whether operating or nonoperating property, and whether situated within or outside the state, and any other facts, evidence, or information that may be obtainable bearing upon the value of the operating property((: PROVIDED, That)). In no event shall any statement or report required from any company by this chapter be conclusive upon the department of revenue in determining the amount, character, and true and fair value of the operating property of such company.
     (2) Where the Case-Shiller home price index for the Seattle-Tacoma-Bellevue metropolitan statistical area shows an annual decline in home prices from July 1 to July 1 of more than seven and one-half percent in any year, all operating property in this state subject to taxation shall be listed and assessed every year, with reference to its value on July 1 of the year in which it is assessed. For the purposes of this subsection (2), operating property does not include personal property.

Sec. 3   RCW 84.36.005 and 1961 c 15 s 84.36.005 are each amended to read as follows:
     All property now existing, or that is hereafter created or brought into this state, shall be subject to assessment and taxation for state, county, and other taxing district purposes, upon equalized valuations thereof, fixed with reference thereto on the first day of January, or the first day of July as required under RCW 84.40.020 and 84.12.270, at twelve o'clock meridian in each year, excepting such as is exempted from taxation by law.

NEW SECTION.  Sec. 4   This act applies to taxes levied for collection in 2010 and thereafter.