In November the people of Washington will vote onInitiative 1033. The measure is sponsored by Tim Eyman and would createa new revenue limit for the state, counties and cities with the goal ofannually reducing property taxes. Eyman calls Initiative 1033 the“Lower Property Tax Act of 2009.” Initiative 1033 is the latest in aseries of initiatives considered by voters which seek to control thegrowth of state government, though it is the first to include localgovernments under its requirements, and it is the first to focusprimarily on providing ongoing tax rebates to property owners.
According to the state’s Office of Financial Management, passage ofInitiative 1033 would result in approximately $5.9 billion in stateproperty tax rebates and $2.8 billion in local property tax rebatesgoing to citizens by 2015. At the same time state and local revenueavailable for spending increases would grow each year by an amountbased on population growth plus inflation. Eyman argues that Initiative1033 attempts to close loopholes created by the legislature to anearlier voter approved initiative, Initiative 601. Enacted by voters in1993, Initiative 601 sought to improve on the shortcomings ofInitiative 62 adopted in 1979.
Here is WPC's brief review of theprevious state revenue and spending limits, a similar law in Colorado,and of Initiative 1033: Citizens’ Guide to Initiative 1033
