H-165                _______________________________________________

                                                    HOUSE BILL NO. 166

                        _______________________________________________

State of Washington                              50th Legislature                              1987 Regular Session

By Representatives Haugen, Brough, Unsoeld, Madsen, May, Sayan, Nutley, L. Smith, Ferguson, Holm, Todd, Belcher, Basich, P. King, Hargrove, Spanel, Cooper and Hine

Read first time 1/20/87 and referred to Committee on Local Government. Referred to Committee on Ways & Means 2/13/87.

AN ACT Relating to property taxes; and amending RCW 84.52.010 and 84.52.043.

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

        Sec. 1.  Section 84.52.010, chapter 15, Laws of 1961 as last amended by section 101, chapter 195, Laws of 1973 1st ex. sess. and RCW 84.52.010 are each amended to read as follows:

Except as is permitted under RCW 84.55.050, all taxes shall be levied or voted in specific amounts((, and)).

The rate percent of all taxes for state and county purposes, and purposes of taxing districts coextensive with the county, shall be determined, calculated and fixed by the county assessors of the respective counties, within the limitations provided by law, upon the assessed valuation of the property of the county, as shown by the completed tax rolls of the county, and the rate percent of all taxes levied for purposes of taxing districts within any county shall be determined, calculated and fixed by the county assessors of the respective counties, within the limitations provided by law, upon the assessed valuation of the property of the taxing districts respectively((:  PROVIDED, That)).

When ((any such)) a county assessor ((shall)) finds that the aggregate rate of tax levy on any property ((will exceed)), that is subject to the limitations set forth in RCW 84.52.043 ((and RCW)) or 84.52.050, as now or hereafter amended, ((he)) exceeds the limitations provided in either of these sections, the assessor shall recompute and establish a consolidated levy in the following manner:

          (1) ((He shall include for extension on the tax rolls)) The full certified rates of tax levy ((certified to him)) for state, county, county road district((s)), and city ((and school district)) or town purposes shall be extended on the tax rolls in amounts not exceeding the limitations established by law:  PROVIDED, That in the event of a levy made pursuant to RCW 84.34.230, the rates of levy for county((,)) and county road district((, and school district)) purposes shall be reduced in such uniform percentages as will result in a consolidated levy by such taxing districts which will be no greater on any property than a consolidated levy by such taxing districts would be if the levy had not been made pursuant to RCW 84.34.230((,)); and

          (2) ((He shall include for extension on the tax rolls)) The certified rates ((percent of the tax levies certified to him)) of tax levy subject to these limitations by all ((other)) junior taxing districts imposing taxes on such property((, other than port districts and public utility districts, reduced by him in such uniform percentages as will)) shall be reduced or eliminated as follows to bring the consolidated ((tax)) levy of taxes on such property within the provisions of ((such)) these limitations:

(a) First, the certified property tax levy rates of those junior taxing districts authorized under RCW 36.68.525, 36.69.145, and 67.38.130 shall be reduced on a pro rata basis or eliminated;

(b) Second, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates of flood control zone districts shall be reduced on a pro rata basis or eliminated;

(c) Third, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates of all other junior taxing districts, other than fire protection districts, public hospital districts, metropolitan park districts, and library districts, shall be reduced on a pro rata basis or eliminated;

(d) Fourth, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates authorized to fire protection districts under RCW 52.16.140 and 52.16.160 shall be reduced on a pro rata basis or eliminated; and

(e) Fifth, if the consolidated tax levy rate still exceeds these limitations, the certified property tax levy rates authorized to fire protection districts under RCW 52.16.130, and the certified property tax levy rates of public hospital districts, metropolitan park districts, and library districts, shall be reduced on a pro rata basis or eliminated.

        Sec. 2.  Section 134, chapter 195, Laws of 1973 1st ex. sess. and RCW 84.52.043 are each amended to read as follows:

          Within and subject to the limitations imposed by RCW 84.52.050 as amended, the regular ad valorem tax levies upon real and personal property by the taxing districts hereafter named shall be as follows:

(1) The levies of the senior taxing districts shall be as follows:  (a) The levy by the state shall not exceed three dollars and sixty cents per thousand dollars of assessed value adjusted to the state equalized value in accordance with the indicated ratio fixed by the state department of revenue to be used exclusively for the support of the common schools; (b) the levy by any county shall not exceed one dollar and eighty cents per thousand dollars of assessed value; (c) the levy ((for)) by any road district shall not exceed two dollars and twenty-five cents per thousand dollars of assessed value;  and (d) the levy by ((or for)) any city or town shall not exceed three dollars and thirty-seven and one-half cents per thousand dollars of assessed value:  PROVIDED FURTHER, That counties of the fifth class and under are hereby authorized to levy from one dollar and eighty cents to two dollars and forty-seven and one-half cents per thousand dollars of assessed value for general county purposes and from one dollar and fifty-seven and one-half cents to two dollars and twenty-five cents per thousand dollars of assessed value for county road purposes if the total levy for both purposes does not exceed four dollars and five cents per thousand dollars of assessed value:  AND PROVIDED FURTHER, That counties of the fourth and the ninth class are hereby authorized to levy two dollars and two and one-half cents per thousand dollars of assessed value until such time as the junior taxing agencies are utilizing all the dollar rates available to them((:  AND PROVIDED FURTHER, That the total property tax levy authorized by  law without a vote of the people shall not exceed nine dollars and fifteen cents per thousand dollars of assessed value)).  Levies at the rates provided by existing law by or for any port or public utility district shall not be included in the limitation set forth by this proviso.

          Nothing herein shall prevent levies at the rates provided by existing law by or for any port or power district.

          It is the intent of the legislature that the provisions of this section shall supersede all conflicting provisions of law including section 24, chapter 299, Laws of 1971 ex. sess. and section 8, chapter 124, Laws of 1972 ex. sess.

(2) The aggregate levies of junior taxing districts and senior taxing districts, other than the state, shall not exceed five dollars and fifty-five cents per thousand dollars of assessed valuation.  The term "junior taxing districts" shall include all taxing districts other than the state, counties, road districts, cities, towns, port districts, and public utility districts.

(3) The limitations provided for in this section shall not apply to:  (a) Levies by port districts and public utility districts;(b)excess property tax levies authorized in Article VII, section 2 of the state Constitution;  and (c) levies for emergency medical care or emergency medical services imposed under RCW 84.52.069.