H-3377              _______________________________________________

                                                   HOUSE BILL NO. 2481

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Representatives Baugher, Chandler, Jesernig, Hargrove, Inslee, Rector, Jones, Rayburn and Kirby

Read first time 1/12/90 and referred to Committee on Revenue.

AN ACT Relating to the deferral of special assessments and/or real property taxes; and amending RCW 84.38.030.

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

        Sec. 1.  Section 28, chapter 291, Laws of 1975 1st ex. sess. as last amended by section 11, chapter 222, Laws of 1988 and RCW 84.38.030 are each amended to read as follows:

(1) A claimant may defer payment of special assessments and/or real property taxes on his or her property that is receiving an exemption under RCW 84.36.381 through 84.36.389 and such additional property that comprises the residential parcel on up to eighty percent of the amount of his or her equity value in said property if the following conditions are met:

          (((1))) (a) The claimant must have owned, at the time of filing, the residence on which the special assessment and/or real property taxes have been imposed.  For purposes of this subsection, a residence owned by a marital community or owned by cotenants shall be deemed to be owned by each spouse or cotenant.  A claimant who has only a share ownership in cooperative housing, a life estate, a lease for life, or a revocable trust does not satisfy the ownership requirement.

          (((2))) (b) The claimant must have and keep in force fire and casualty insurance in sufficient amount to protect the interest of the state in the claimant's equity value:  PROVIDED, That if the claimant fails to keep fire and casualty insurance in force to the extent of the state's interest in the claimant's equity value, the amount deferred shall not exceed one hundred percent of the claimant's equity value in the land or lot only.

          (((3))) (c) In the case of special assessment deferral, the claimant must have opted for payment of such special assessments on the installment method if such method was available. (2) The acreage limitation of RCW 84.36.383(1) shall not apply to deferrals of tax under this chapter.  A claimant whose residence qualifies for deferral may defer payment of special assessments and/or real property taxes upon additional acreage included in the residential parcel.

(3) A taxing authority whose special assessment and/or real property tax is deferrable under this chapter shall not foreclose upon property that is eligible for deferral but shall require the owner to file a declaration to defer the special assessment and/or real property tax.