BILL REQ. #:  S-4079.1 

Read first time 01/14/08.   Referred to Committee on Government Operations & Elections.

     AN ACT Relating to voter approval for use of banked levy capacity; and reenacting and amending RCW 84.55.092.

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

Sec. 1   RCW 84.55.092 and 1998 c 16 s 3 are each reenacted and amended to read as follows:
     (1) The regular property tax levy for each taxing district other than the state may be set at the amount which would be allowed otherwise under this chapter if the regular property tax levy for the district for taxes due in prior years beginning with 1986 had been set at the full amount allowed under this chapter including any levy authorized under RCW 52.16.160 that would have been imposed but for the limitation in RCW 52.18.065, applicable upon imposition of the benefit charge under chapter 52.18 RCW.
     (2) A taxing district is required to submit an authorizing proposition to the voters in order to increase the regular property tax levy by an amount authorized under this section. The submitted proposition must be: (a) Approved by a majority of the voters of the taxing district voting on the proposition; and (b) voted on at an election held not more than twelve months prior to the date in which the proposed regular property tax is to be levied.
     (3) The purpose of this section is to remove the incentive for a taxing district to maintain its tax levy at the maximum level permitted under this chapter, and to protect the future levy capacity of a taxing district that reduces its tax levy below the level that it otherwise could impose under this chapter, by removing the adverse consequences to future levy capacities resulting from such levy reductions.