H-3672              _______________________________________________

                                                   HOUSE BILL NO. 1693

                        _______________________________________________

State of Washington                              49th Legislature                              1986 Regular Session

By Representatives G. Nelson,  Grimm, Tilly, Hine and Allen

Read first time 1/22/86 and referred to Committee on Ways & Means.

AN ACT Relating to limitations on regular property tax levies; amending RCW 84.55.010 and 84.55.020; creating a new section; and repealing RCW 84.55.015.

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

        Sec. 1.  Section 20, chapter 288, Laws of 1971 ex. sess. as last amended by section 2, chapter 218, Laws of 1979 ex. sess. and RCW 84.55.010 are each amended to read as follows:

          Except as provided in this chapter, the levy for a taxing district in any year shall be set so that the regular property taxes payable in the following year shall not exceed one hundred six percent of the amount of the largest previous regular property ((taxes lawfully levied)) tax levy for such district ((in the highest of the three most recent years in which such taxes were levied for such district)) plus an additional dollar amount calculated by multiplying the increase in assessed value in that district resulting from new construction, improvements to property, and any increase in the assessed value of state-assessed property by the regular property tax levy rate of that district for the preceding year.

        Sec. 2.  Section 21, chapter 288, Laws of 1971 ex. sess. and RCW 84.55.020 are each amended to read as follows:

          Notwithstanding the limitation set forth in RCW 84.55.010, the first levy for a taxing district created from consolidation of similar taxing districts shall be set so that the regular property taxes payable in the following year shall not exceed one hundred six percent of the sum of the amount of the largest previous regular property ((taxes lawfully levied)) tax levy for each component taxing district ((in the highest of the three most recent years in which such taxes were levied for such district)) plus the additional dollar amount calculated by multiplying the increase in assessed value in each component district resulting from new construction and improvements to property by the regular property tax rate of each component district for the preceding year.

NEW SECTION. Sec. 3.  Section 4, chapter 218, Laws of 1979 ex. sess. and RCW 84.55.015 are each repealed.

NEW SECTION. Sec. 4.     This act applies to taxes payable in 1987, and thereafter.