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State Representative Barbara Bailey - 10th Legislative District

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FOR IMMEDIATE RELEASE

Nov. 29, 2007

 


Bailey: 'We are re-enacting the will of the people'

Legislature approves reinstatement of I-747 limit

"I am very excited that we are re-enacting the will of the people with a 1 percent tax levy limit," Rep. Barbara Bailey said today, just before voting to approve legislation to reinstate provisions of Initiative 747.

The Washington Supreme Court ruled against the initiative Nov. 8. Lawmakers gathered today in Olympia during a one-day special session to restore the 1 percent levy limit.

"When you live in a rural district that has a fair number of people who are on fixed incomes or living paycheck-to-paycheck, the last thing in the world you'd want to do is make it extremely easy for property taxes to be raised beyond the citizens' wishes," said Bailey, R-Oak Harbor. "If you really want to get people stirred up, start talking about their property taxes. When this ruling came down from the Supreme Court, I had a flood of people calling and contacting my office. If there was one thing that was very evident, the people knew exactly what they were voting for, and they want 1 percent."

The House of Representatives voted today, 86-8, to reinstate the limit. The Senate soon followed in passing the measure, House Bill 2416, and sent it to the governor.

Under the provisions, Bailey said if taxing districts need more money for local services, they can make their case with voters who can choose whether or not to increase the 1 percent limit.

"There's nothing in this bill that will limit local governments and taxing districts from meeting their needs. All they would have to do is make their case to the voters if they need more," Bailey added.

The 10th District lawmaker said she was disappointed that a Republican proposal to provide a $400 rebate to property owners who paid taxes on their primary residence in 2007 was not allowed to advance. Instead, majority party lawmakers approved a bill that would allow families with incomes under $57,000 to defer paying 50 percent of their property taxes. The unpaid portion would not have to be paid off until the house is sold, but interest would be accrued each year at 7 percent or higher. Bailey, who voted against the measure, said that could cost homeowners thousands of dollars, and put their homes in jeopardy.

"It's a very deceptive bill. Homeowners would have been better off if the Legislature adopted the 1 percent limit and adjourned the special session. Instead, we have a bill that has the potential of getting a lot of people in long-term financial trouble," noted Bailey. "In the old line, 'the government is here to help you,' people should be very leery of this program. A deferral would have the state place a lien on your home, which could be very hazardous to your mortgage and your equity."

The deferral measure, Senate Bill 6178, contains an emergency clause that allows the measure to become law immediately upon the governor's signature. Bailey offered an amendment to remove the emergency clause.

"Let's be clear that this emergency clause will circumvent the ability of a referendum by the people. There are many unanswered questions about this bill. We need the full 90 days to let this measure sit while the people have an opportunity to consider it. The first date affected by this bill doesn't take place until April when the first half of the property taxes are due. I really cannot find anything in the bill that would require an emergency action," said Bailey.

The amendment was rejected on a 58-37 vote.

"This is not tax relief. It's a tax deferral. You would still owe the taxes, plus the accrued interest," she added. "A better plan would have been to give back to property owners some of their hard-earned money in the form of a rebate or simply lower taxes."

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For more information, contact: John Sattgast, Public Information Officer: (360) 786-7257
 

 
 

House Republican Communications - (360) 786-7031 * 408 John L. O'Brien Bldg. * Olympia, WA 98504-0600