2841 AMH **** LONG 158

HB 2841 ‑ H AMDS to AMD (2841 AMH **** LONG 150)130 ADOPTED 2-7-96

By Representative Smith

     On page 1 of the amendment, after line 4, insert:

     "NEW SECTION. Sec. 1. (1) A joint select property tax reform study committee is hereby created, composed of twelve members, with six members of the senate, three from each of the two largest caucuses, to be appointed by the president of the senate; and six members of the house of representatives, three from each of the two largest caucuses, to be appointed by the speaker of the house of representatives.  The speaker of the house of representatives and the president of the senate shall designate cochairs of the committee.  Staff support for the committee shall be provided by senate committee services and house of representatives office of program research as mutually agreed by the cochairs of the committee.  The committee may also use the research services provided to the legislature by the department of revenue under RCW 82.01.060(4).

(2) The committee shall complete a thorough review of Washington's property tax system, addressing at least the following issues:

(a) The advisability of enacting a property tax deferral program as a method of alleviating the effects of large and unanticipated increases in taxes on residential property;

(b) The advisability of providing property tax relief by setting base years for property tax valuation computation, limiting property tax valuation increases to two percent per year over the base year until ownership of the property changes, and limiting the tax assessed on owner-occupied property claimed as a principal place of residence; and

(c) The effect of any proposed property tax reforms on:

(i) The ability of local governments, including both senior and junior taxing districts, to provide essential services;

(ii) The tax burdens upon commercial and residential taxpayers, and upon residential taxpayers by age and income group; and

(iii) Real estate values, housing markets, and construction of and access to new housing.

(3) The committee shall submit its final report to the legislature before January 1, 1997."

     On page 4 of the amendment, line 1, strike sections 7, 8, and 9.

     Renumber sections consecutively, correct any internal references accordingly, and correct the title.

EFFECT:  Provides a property tax reform study committee.  Strikes deferral program.