HOUSE JOINT RESOLUTION NO. 4205
State of Washington 51st Legislature 1989 Regular Session
By Representatives Wang, Holland, Nelson, Sayan and Brekke; by request of Governor Gardner
Read first time 1/18/89 and referred to Committee on Revenue.
BE IT RESOLVED, BY THE SENATE AND HOUSE OF REPRESENTATIVES OF THE STATE OF WASHINGTON, IN LEGISLATIVE SESSION ASSEMBLED:
THAT, At the next general election to be held in this state there shall be submitted to the qualified voters of the state for their approval and ratification, or rejection, an amendment to Article VII, section 2 of the Constitution of the state of Washington, and an amendment to Article VII of the Constitution of the state of Washington by adding a new section thereto.
Article VII, section 2. Except as hereinafter provided and notwithstanding any other provision of this Constitution, the aggregate of all tax levies upon real and personal property by the state and all taxing districts now existing or hereafter created, shall not in any year exceed one per centum of the true and fair value of such property in money: PROVIDED, HOWEVER, That nothing herein shall prevent levies at the rates now provided by law by or for any port or public utility district. The term "taxing district" for the purposes of this section shall mean any political subdivision, municipal corporation, district, or other governmental agency authorized by law to levy, or have levied for it, ad valorem taxes on property, other than a port or public utility district. Such aggregate limitation or any specific limitation imposed by law in conformity therewith may be exceeded only
(a) By any
taxing district when specifically authorized so to do for a specified
purpose and period of time by a majority of ((
at least three-fifths of
the)) electors thereof voting on the proposition to levy such additional
tax submitted not more than twelve months prior to the date on which the
proposed levy is to be made and not oftener than twice in such twelve month
period, either at a special election or at the regular election of such taxing
district, at which election the number of persons voting "yes" on
the proposition shall constitute (( three-fifths of a number equal to forty
per centum of the total votes cast in such taxing district at the last preceding
general election when the number of electors voting on the proposition does not
exceed forty per centum of the total votes cast in such taxing district in the
last preceding general election; or by a majority of at least three-fifths of
the electors thereof voting on the proposition to levy when the number of
electors voting on the proposition exceeds forty percentum of the total votes
cast in such taxing district in the last preceding general election: PROVIDED,
That notwithstanding any other provision of this Constitution, any proposition
pursuant to this subsection to levy additional tax for the support of the
common schools may provide such support for a two year period and any
proposition to levy an additional tax to support the construction, modernization,
or remodelling of school facilities may provide such support for a period not
exceeding six years)) a simple majority of the total votes cast in such
(b) By any taxing district otherwise authorized by law to issue general obligation bonds for capital purposes, for the sole purpose of making the required payments of principal and interest on general obligation bonds issued solely for capital purposes, other than the replacement of equipment, when authorized so to do by majority of at least three-fifths of the electors thereof voting on the proposition to issue such bonds and to pay the principal and interest thereon by an annual tax levy in excess of the limitation herein provided during the term of such bonds, submitted not oftener than twice in any calendar year, at an election held in the manner provided by law for bond elections in such taxing district, at which election the total number of persons voting on the proposition shall constitute not less than forty per centum of the total number of votes cast in such taxing district at the last preceding general election: PROVIDED, That any such taxing district shall have the right by vote of its governing body to refund any general obligation bonds of said district issued for capital purposes only, and to provide for the interest thereon and amortization thereof by annual levies in excess of the tax limitation provided for herein, AND PROVIDED FURTHER, That the provisions of this section shall also be subject to the limitations contained in Article VIII, Section 6, of this Constitution;
(c) By the state or any taxing district for the purpose of paying the principal or interest on general obligation bonds outstanding on December 6, 1934; or for the purpose of preventing the impairment of the obligation of a contract when ordered so to do by a court of last resort.Article VII, section ....
(1) The relative percent of state tax revenue for each biennium from business privilege taxes, sales and use taxes, and income tax on individuals shall be maintained within three percentage points of their relative percent in the first full biennium after the changes authorized by this amendment.
(2) The legislature may enact and may authorize income taxes. Income from property is not property within the meaning of this article, and a tax on income is not a tax on property.
(3) The legislature may by law coordinate the administration and collection of the income taxes with the income tax laws, regulations, and procedures of the United States. The legislature may adopt by reference any federal statutes relating to federal income taxes, including future amendments thereto.
(4) There shall be a revenue limit for the state based on the average rate of personal income growth for the previous five years. The legislature shall provide a method for transferring revenues collected in excess of the revenue limit to the revenue fund authorized by subsection (5) of this section. Any change to a revenue limit established under this section, or any legislation to increase revenues over the revenue limit, or any change to any operative provision of the enabling legislation shall require a three-fifths majority of both houses of the legislature.
(5) The legislature shall create a revenue fund to provide for future fiscal crises and budget stabilization. Any revenue collected in excess of the revenue limitations and any unobligated balances in the general fund at the end of the biennium shall be deposited or transferred to this fund. The balance in the fund at the end of any biennium shall not exceed five percent of that biennium's authorized general fund appropriations for operating purposes; however, upon declaration of an emergency by the governor, the legislature shall have the power to authorize the distribution of any funds in excess of the five percent limitation. Any withdrawals from the fund, except when the general fund receipts are less than forecasted, shall require a three-fifths majority of both houses of the legislature.
BE IT FURTHER RESOLVED, That the foregoing amendment shall be construed as a single amendment within the meaning of Article XXIII, section 1 of the state Constitution.
The legislature finds that the changes contained in the foregoing amendment constitute a single integrated plan for state fiscal needs. If the foregoing amendment is held to be separate amendments, this joint resolution shall be void in its entirety and shall be of no further force and effect.
BE IT FURTHER RESOLVED, That the secretary of state shall cause notice of the foregoing constitutional amendment to be published at least four times during the four weeks next preceding the election in every legal newspaper in the state.