FINAL BILL REPORT

HJR 4231

BYRepresentatives Hine, Ballard, Wang, Haugen, Phillips, Locke, Morris, Spanel, Rasmussen and Pruitt; by request of Governor Gardner

Authorizing six-year property tax levies.

AS PASSED LEGISLATURE JUNE 5, 1990

BACKGROUND:

The constitution limits the combined rate of most property taxes that may be imposed on any property by the state and other taxing districts to one percent of its highest and best value.

However, certain property taxes may be imposed in excess of the one percent limitation.  Among other excess property tax levies, voters of taxing districts other than the state, may authorize the following excess property tax levies:  1) an excess levy for a single year (one or two years for a school district) that may be used for any legal purpose of the taxing district; 2) excess levies for up to six years by school districts that may be used for the construction, modernization, or remodelling of school facilities; and 3) excess levies for a number of years to retire general obligation bonds issued for capital purposes, not including the replacement of equipment.

The voter approval necessary to authorize these excess levies is a 60 percent vote of voters voting on the ballot proposition, with a 40 percent validation requirement on the number of voters who vote on the proposition.

SUMMARY:

Under this proposed constitutional amendment, voters of any taxing district, other than the state, could authorize excess property tax levies for up to six years for any legal purpose of the taxing district.

The authority of voters to authorize excess property tax levies for a number of years to retire general obligation bonds is not altered.

The extent of the supermajority approval of the ballot proposition authorizing excess property tax levies in not altered.

This constitutional amendment will be placed on the ballot in the general election to be held on November 6, 1990.  A simple majority vote is required for approval and ratification.

VOTES ON FINAL PASSAGE:

      House 80  14

      Senate    35    11

EFFECTIVE:Thirty days after the general election if proclaimed by the governor.