The bill seeks to enhance local governments' financial capabilities by allowing them to impose additional excise taxes on real estate transactions, capped at 0.5 percent, and introduces a new sales and use tax of up to 0.01 percent specifically for services benefiting children and families. The generated revenues must be allocated exclusively for capital projects, including affordable housing and facilities for the homeless. Key amendments expand the allowable uses for excise tax revenues to include nuisance property abatement and establish a new county public utility tax, limited to 3 percent, aimed at assisting low-income residents with utility costs. The bill also mandates voter approval for certain tax measures and emphasizes transparency in the allocation of tax revenues.

Additionally, the bill modifies existing property tax laws to ensure that the combined rate of regular property tax levies does not exceed one percent of a property's true and fair value, introducing provisions for reductions in levies if this limit is exceeded. It allows for annual increases in property tax levies for up to ten consecutive years, enhancing the ability of taxing districts to propose multi-year levy increases. The bill also introduces a new sales and use tax on retail car rentals, set at one percent, with specific revenue allocations for public sports facilities and youth sports activities. Overall, these amendments aim to provide local governments with more robust funding mechanisms while ensuring taxpayer protections against excessive taxation.

Statutes affected:
Original bill: 82.46.075, 82.14.530, 71.20.110, 84.52.043, 36.62.090, 84.52.010, 84.55.005, 84.55.050, 82.14.049