12 property tax bills advanced

BOISE – Twelve property tax relief bills were introduced in the House on Thursday, and they and dozens more will be the subject of a three-day public hearing starting Jan. 30.

House Revenue and Taxation Committee Chair Dolores Crow, R-Nampa, said she conferred with leadership and decided introducing all the bills was the only fair way to proceed.

As a result, the first 12 bills – they include all seven proposals from a legislative interim committee that held well-attended hearings around the state – all were unanimously approved for introduction by the committee, without discussion.

“We’re going to have lists like this next week, too, probably,” Crow said. “Three or four days of ‘em.”

In addition to the seven interim committee bills, the measures introduced Thursday included three from Crow and two from House Minority Leader Wendy Jaquet, D-Ketchum.

Few were there to see the bills introduced, however, because none of them was on the agenda.

“I don’t even know what’s in these. I haven’t looked at them,” Crow said, pointing to the stack of bills. “There was nothing hush-hush or anything.” Asked why the bills didn’t appear on the committee’s agenda, she said, “Just an oversight, I guess.”

Crow said she’ll have her committee introduce all property tax bills that she receives from lawmakers by 4 p.m. Jan. 27. That deadline will allow the measures to be addressed at the public hearings, she said.

“It’s the only practical way I could think of to get it done,” she said. “Otherwise, I can assure you that some of ‘em wouldn’t be heard.”

At the conclusion of Thursday’s Revenue and Taxation Committee meeting, Crow advised committee members not to discuss the bills with the media.

“I would caution you not to say a whole bunch to the media about ‘em,” she told the panel. “That’s why we’re having open hearings. … Just use a little common sense.”

Rep. Dennis Lake, R-Blackfoot, who co-chaired the interim committee, said, “I’m tickled that we’re going to print all of the bills that are out there. I think the work of the interim committee has set the standard of what we’re going to talk about. It’ll be interesting to see how the big hearings turn out.”

The hearings will begin at 9 a.m. each day at Boise City Hall, which has a much larger meeting room than anything at the state Capitol. Crow said if there are still bills left to be heard after the three days, they’ll be heard in the committee’s regular Statehouse meeting room.

Lake said, “It’s slow, it’s cumbersome, but it’s moving forward. I hope we can come out with some positive results.”

Sen. Shawn Keough, R-Sandpoint, who co-chaired the interim panel with Lake, said, “I am pleased that the bills that are the recommendations of the interim committee have been introduced into the system, so that we can begin having debates on the merits of them.”

Keough said she’s also pleased the chairman has indicated she is open to other bills and will allow hearings on them.

“I think it’s critical that the ideas for property tax reform, which are being put forward by the people in our legislative districts, be introduced for debate,” she said.

The bills introduced Thursday:

“HB 418, sponsored by Crow; Rep. Jim Clark, R-Hayden Lake; and Rep. Mike Moyle, R-Star; would replace half the property tax funding for schools with money from the state general fund, and cap school property tax budgets at 3 percent growth a year plus new construction. Retroactive to Jan. 1, 2006.

“HB 419, sponsored by the same three lawmakers, would eliminate the “forgone balance” that allows local government agencies that forgo tax increases to recoup some of the forgone taxes in later years. Also retroactive to Jan. 1.

“HB 420, from the same three lawmakers, would put a moratorium on increases in taxable values for one year.

“HB 421, from the interim committee, would increase the homeowner’s exemption to $75,000, up from the current maximum of $50,000, and index it for inflation. Retroactive to Jan. 1.

“HB 422, interim committee, would expand the “circuit breaker” exemption for low-income seniors and the disabled, raising the income threshold to qualify to $28,000, from $22,500 a year, and raising the maximum benefit to $1,320, from $1,200. Retroactive to Jan. 1.

“HB 423, interim committee, would count land value in the homeowner’s exemption.

“HB 425, interim committee, would set up a tax deferral program for seniors.

“HB 424, interim committee, would replace half of current property taxes that fund schools with money from the state general fund.

“HB 426, interim committee, would allow schools to charge impact fees on new residential construction.

“HB 427, interim committee, would attempt to close a property tax loophole for land speculators and developers while still protecting farmers who subdivide their land from tax increases if they haven’t yet sold off the lots.

“HB 428, from Jaquet, would close the same loophole in a different way, by completely repealing the law that created that loophole and adding a provision that subdividing alone doesn’t remove the farm exemption from land still being farmed.

“HB 429, also from Jaquet, would repeal the $75 million cap lawmakers imposed last year on an existing property tax replacement program for schools.

This year, that cap left schools short more than $8 million.