State property tax reduction

AN ACT Relating to reducing state property taxes by 1
$2,100,000,000; amending RCW 84.52.065; and creating a new section.2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:3
Sec. 1. RCW 84.52.065 and 2022 c 56 s 13 are each amended to 4
read as follows: 5
(1) Except as otherwise provided in this section, subject to the 6
limitations in RCW 84.55.010, in each year the state must levy for 7
collection in the following year for the support of common schools of 8
the state a tax of ((three dollars and sixty cents )) $3.60 per 9
((thousand dollars )) $1,000 of assessed value upon the assessed 10
valuation of all taxable property within the state adjusted to the 11
state equalized value in accordance with the indicated ratio fixed by 12
the state department of revenue. 13
(2)(a) In addition to the tax authorized under subsection (1) of 14
this section, the state must levy an additional property tax for the 15
support of common schools of the state. 16
(i) For taxes levied for collection in calendar years 2018 17
through 2021, the rate of tax is the rate necessary to bring the 18
aggregate rate for state property tax levies levied under this 19
subsection and subsection (1) of this section to a combined rate of 20
((two dollars and forty cents )) $2.40 per ((thousand dollars)) $1,000 21
H-3702.1
HOUSE BILL 2743
State of Washington 69th Legislature 2026 Regular Session
By Representatives Couture, Orcutt, Abell, Barnard, Dufault, Keaton,
Dye, Marshall, Abbarno, Ley, Ybarra, Barkis, Corry, Schmidt, and
Jacobsen
Read first time 02/27/26. Referred to Committee on Finance.
p. 1 HB 2743
of assessed value in calendar year 2019 and ((two dollars and seventy 1
cents)) $2.70 per ((thousand dollars )) $1,000 of assessed value in 2
calendar years 2018, 2020, and 2021. The state property tax levy 3
rates provided in this subsection (2)(a)(i) are based upon the 4
assessed valuation of all taxable property within the state adjusted 5
to the state equalized value in accordance with the indicated ratio 6
fixed by the state department of revenue. 7
(ii) For taxes levied for collection in calendar year 2022 and 8
thereafter, the tax authorized under this subsection (2) is subject 9
to the limitations of chapter 84.55 RCW. 10
(b)(i) Except as otherwise provided in this subsection, all taxes 11
collected under this subsection (2) must be deposited into the state 12
general fund. 13
(ii) For fiscal year 2019, taxes collected under this subsection 14
(2) must be deposited into the education legacy trust account for the 15
support of common schools. 16
(3) For taxes levied for collection in calendar years 2019 17
through 2021, the state property taxes levied under subsections (1) 18
and (2) of this section are not subject to the limitations in chapter 19
84.55 RCW. 20
(4)(a) For taxes levied for collection in calendar year 2022 and 21
thereafter, the aggregate rate limit for state property taxes levied 22
under subsections (1) and (2) of this section is ((three dollars and 23
sixty cents)) $3.60 per ((thousand dollars)) $1,000 of assessed value 24
upon the assessed valuation of all taxable property within the state 25
adjusted to the state equalized value in accordance with the 26
indicated ratio fixed by the state department of revenue.27
(b) If the aggregate rate of state property taxes levied under 28
subsections (1) and (2) of this section for collection in any 29
calendar year after 2021 exceeds $3.60 per $1,000 of assessed value, 30
each rate must be reduced on a pro rata basis until the aggregate 31
rate no longer exceeds $3.60 per $1,000 of assessed value.32
(5) For property taxes levied for collection in calendar years 33
2019 through 2021, the rate of tax levied under subsection (1) of 34
this section is the actual rate that was levied for collection in 35
calendar year 2018 under subsection (1) of this section.36
(6) The amount of property taxes levied under this section for 37
collection in calendar year 2027 are as provided in this subsection. 38
The amount levied under subsection (1) of this section is determined 39
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by reducing the part I highest lawful levy for calendar year 2027 by 1
$2,100,000,000. 2
(7) As used in this section, "the support of common schools" 3
includes the payment of the principal and interest on bonds issued 4
for capital construction projects for the common schools.5
NEW SECTION. Sec. 2. This act applies to taxes levied for 6
collection in 2027 and thereafter.7
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