FINAL BILL REPORT

SB 5019

                                   C 33 L 87

BYSenators McCaslin and Lee

Permitting excess levies to assist the creation of sewer and water districts to be less than one dollar and twenty-five cents per one thousand dollars of assessed value.

Senate Committee on Governmental Operations

House Committe on Local Government

SYNOPSIS AS ENACTED

BACKGROUND:

The first step in the creation of a new sewer or water district is the presentation of a petition, signed by voters who support the proposed district, to the county legislative authority.  If approved, the proposition goes to a vote within the proposed district.  Two questions appear on the ballot.  The first question calls for voters to decide whether the district should be formed.  The second question is whether an excess property tax levy should be approved.  The excess levy, appearing on the ballot as a request for $1.25 per thousand dollars of assessed value, is to cover the new district's startup costs.

Though the district formation proposition commonly passes, the excess levy often fails.  It is suggested that an excess levy would have a greater chance of passage if a lower rate could appear on the ballot.

SUMMARY:

The excess property tax levy proposition called for in sewer and water district formation elections is allowed to be less than $1.25 per thousand dollars of assessed value.  The amount of the excess levy is to be specified in the petition that commences the formation process.

VOTES ON FINAL PASSAGE:

      Senate    46     0

      House 97   0

EFFECTIVE:July 26, 1987