Sen. Drew MacEwen, R-Shelton, and Rep. Michelle Caldier, R-Gig Harbor, have proposed constitutional amendments in the Senate and House of Representatives aimed at providing property-tax payers with relief and certainty.
The identical proposals provide a viable alternative to historic property-tax increases being advocated by Democratic majorities in both chambers as Washington citizens suffer from an affordability crisis.
Either Senate Joint Resolution 8205 or House Joint Resolution 4207, if adopted by lawmakers and approved by voters, would create a “homestead” property-tax exemption for the first $250,000 of equalized assessed valuation for a qualifying property.
“Washington is in the middle of a housing crisis. Raising property taxes would make the affordability crisis in our state even worse. Lifting or eliminating the 1% cap on annual growth of property-tax rates not only goes against the will of the voters; it is downright cruel and could do more to force middle- and low-income taxpayers out of their homes,” said MacEwen.
“This constitutional amendment would provide real relief for taxpayers, while protecting them against government efforts to reach further into their pockets,” added Caldier.
The 1% limitation on property-tax increases was originally created in 2001 by voter-approved Initiative 747. The policy was later readopted by lawmakers in 2007 after being struck down by a legal challenge.
Under the law, individual taxing districts, such as cities and other local-government units, may increase their property-tax rates by no more than 1% a year without voter approval.
The majority party in the Legislature has proposed lifting or completely removing the 1% limit to support increases in government spending. Senate Bill 5798 would let state and local property-tax rates climb according to inflation plus population growth, with no limit. House Bill 2049 would allow property-tax rates to grow by up to 3% a year without voter input.
“Tripling the growth rate of the property-tax limit – or worse – at a time when families are already on the edge financially is deplorable,” warned MacEwen. “We should be making it easier for young people to afford a home, helping landlords keep their rental properties available and accessible, and letting our senior Washingtonians live in dignity in the homes they have sacrificed for so long to keep.”
“This is the time to help struggling families and our senior citizens, who are already paying more for groceries, gas, utilities and health care. This is not the time to make it more expensive for them to live in their own homes,” said Caldier.
Caldier also noted that increases in property taxes will make school levies and bonds more difficult to pass.
“We hear the majority members complain about Washington’s tax code being regressive – as though they don’t realize their efforts to increase property taxes would take our state even further in that direction,” added MacEwen. “Exempting the first $250,000 of a property’s value favors those with lower-valued properties, making it the progressive approach. The majority should be rushing to join us in adopting this legislation so the people can have their say in November.”
If either MacEwen’s or Caldier’s proposal receives the necessary two-thirds majority support in the Senate and House, an amendment to Article VII of the Washington state constitution creating the tax exemption would be placed on the next statewide general-election ballot.
For more information:
Sen. Drew MacEwen
(360) 786-7668 | Drew.MacEwen@leg.wa.gov
Rep. Michelle Caldier
(360) 786-7802 | Michelle.Caldier@leg.wa.gov