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Orcutt says Supreme Court decision devastating for
homeowners
Ruling increases urgency to pass meaningful
property tax relief in 2008 session
Today's
state Supreme Court ruling overturning
Initiative 747 goes against the voters of Washington and could cost
some people their homes, says
Rep. Ed Orcutt,
ranking Republican on the
House Finance Committee.
Orcutt strongly disagreed
with the court's assessment that voters were misled about the effects of
I-747 when they approved a 1 percent annual limit on property tax
increases in 2001.
"I'm disappointed and
surprised that the court could rule that the citizens didn't understand
the effects of Initiative 747. It was quite clear that the voters knew
what they were doing. People are fed up with rising property taxes. Even
with the 1 percent limit under I-747, those taxes have continued to rise
drastically," said Orcutt, R-Kalama.
"Taxpayers were seeking
property tax relief and they knew that's what I-747 would do. It sought
to force local government to limit the amount of their budget
increases," added Orcutt. "Homeowners knew very well what they were
doing. I don't know why the court could think anything different."
Orcutt said nothing has
changed in the views of the voters since 2001. He pointed to Tuesday's
general election results in which voters rejected
House Joint Resolution 4204. That measure would have made it easier
to raise property taxes by allowing school levies to pass with only a
simple majority.
"This ruling goes against
75 years of taxpayers saying they want limits on property taxes. In
1932, when the first legislation was adopted requiring a 60 percent vote
on levies, and just this week when voters opted to maintain the
supermajority, Washingtonians have consistently said they want limits on
property taxes and property tax increases," noted Orcutt. "I don't know
how the court could ignore all of that."
The 18th District lawmaker
said the ruling could have widespread implications on the housing market
and for current homeowners.
"Even under the 1 percent
limit, overall taxes have risen by 5 percent. That's due to excess
levies. This ruling jumps the lid up to 6 percent which could mean
dramatic tax increases for homeowners," said Orcutt. "People are already
struggling to pay their property taxes and this will make it even more
difficult for them. This will be devastating toward the Legislature's
goal of increasing home ownership. It could put first-time home buyers
out of the market and it could cost some people their homes."
Orcutt said the court
decision increases the urgency to pass meaningful property tax relief
during the 2008 legislative session, which begins in January.
"Legislation exists that I
introduced in the 2007 session to reinstate provisions of I-747.
Unfortunately, Democrats repeatedly blocked those bills and chose to
wait for the Supreme Court's decision. Now we have a ruling, we have
homeowners that could lose their homes, we have a new barrier against
first-time homebuyers, and we're going in to the January legislative
session with a surplus of more than a billion dollars. My legislation is
ready for action and there are no more excuses for delays," said Orcutt.
"In my view, the Democrats
and the governor can do one of two things: either they join with us to
uphold the will of the people and provide meaningful property tax
relief, or they can arrogantly turn their backs on the voters of
Washington and allow massive tax increases to force people from their
homes and steal the dream of home ownership from our citizens. I hope
they make the right decision," concluded Orcutt.
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For more information, contact:
John
Sattgast, Senior Information Officer: (360) 786-7257
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