This bill aims to reduce state property taxes by $2.1 billion, specifically targeting the tax levies for the support of common schools in Washington. It amends RCW 84.52.065 to adjust the tax rates, changing the current rates from three dollars and sixty cents to $3.60 per $1,000 of assessed value. Additionally, it modifies the rates for taxes levied for collection in calendar years through 2021, changing the combined rate from two dollars and forty cents to $2.40 and from two dollars and seventy cents to $2.70 for specific years. The bill also introduces a new provision that establishes the amount of property taxes levied for collection in 2027, which will be determined by reducing the highest lawful levy for that year by $2.1 billion.

Furthermore, the bill clarifies that for taxes collected in fiscal year 2019, the funds will be directed to the education legacy trust account for the support of common schools. It sets a limit on the aggregate rate for state property taxes at $3.60 per $1,000 of assessed value for taxes levied in 2022 and thereafter, with a provision that if the aggregate rate exceeds this limit, the rates must be reduced on a pro-rata basis. The act applies to taxes levied for collection in 2027 and beyond, ensuring that the adjustments made will have a long-term impact on property tax rates in Washington.

Statutes affected:
Original bill: 84.52.065