Bill Text: OR SJR9 | 2011 | Regular Session | Introduced
Bill Title: Proposing revision of Oregon Constitution relating to ad valorem property taxation; and requiring approval by a two-thirds majority.
Spectrum: Unknown
Status: (Failed) 2011-06-30 - In committee upon adjournment. [SJR9 Detail]
Download: Oregon-2011-SJR9-Introduced.html
76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 2693
Senate Joint Resolution 9
Printed pursuant to Senate Interim Rule 213.28 by order of the
President of the Senate in conformance with presession filing
rules, indicating neither advocacy nor opposition on the part
of the President (at the request of Senate Interim Committee on
Finance and Revenue)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Proposes revision of Oregon Constitution relating to ad valorem
property taxation. Requires Legislative Assembly to provide by
law for continuation of local option tax levies. Lowers maximum
allowable taxes to $3.33 per $1,000 of real market value for
public school system and $6.67 per $1,000 of real market value
for government operations other than public school system.
Applies to tax years beginning on or after July 1, 2012.
Refers proposed revision to people for their approval or
rejection at next primary election.
JOINT RESOLUTION
Be It Resolved by the Legislative Assembly of the State of
Oregon, two-thirds of all the members of each house concurring:
PARAGRAPH 1. { + The Constitution of the State of Oregon is
revised by repealing section 11, Article XI, and by adopting the
following new section 11 in lieu thereof: + }
{ + SECTION 11. + } { + (1) For tax years beginning on or
after July 1, 2012, the Legislative Assembly shall provide by law
for the continuation of local taxing district levies as follows:
(a) Permanent tax rates that are in place continue until the
rates are increased or decreased by a vote of the people of the
taxing district.
(b) Temporary local option tax rates that are in place continue
until the date the rates are scheduled to end according to a
measure passed by the voters of the taxing district before the
effective date of this section.
(2) The Legislative Assembly shall provide by law a mechanism
through which a local taxing district may seek the approval of
the voters of the taxing district for temporary local option tax
levies and changes to permanent tax rates subject to the
limitations of section 11b of this Article. + }
PARAGRAPH 2. Section 11b, Article XI of the Constitution of the
State of Oregon, is revised to read:
{ + Sec. 11b. + } (1) { - During and after the fiscal year
1991-92, taxes - } { + Taxes + } imposed upon any property
shall be separated into two categories: One which dedicates
revenues raised specifically to fund the public school system and
one which dedicates revenues raised to fund government operations
other than the public school system. The taxes in each category
shall be limited as set forth in the table which follows and
these limits shall apply whether the taxes imposed on property
are calculated on the basis of the value of that property or on
some other basis:
MAXIMUM ALLOWABLE TAXES
For Each $1000.00 of
Property's Real Market Value
____NOTE_TO_WEB_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
Fiscal YSchoOthersthan Schools
____NOTE_TO_WEB_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
1991-1992 $15.00 $10.00
1992-1993 $12.50 $10.00
1993-1994 $10.00 $10.00
1994-1995 $ 7.50 $10.00
1995-1996 $ 5.00 $10.00
{ +
through
2013-2014
2014-2015 $ 3.3$ 6.67 + }
and thereafter
____________________________________________________________
END OF POSSIBLE IRREGULAR TABULAR TEXT
____________________________________________________________
Property tax revenues are deemed to be dedicated to funding the
public school system if the revenues are to be used exclusively
for educational services, including support services, provided by
some unit of government, at any level from pre-kindergarten
through post-graduate training.
(2) The following definitions shall apply to this section:
(a) 'Real market value' is the minimum amount in cash which
could reasonably be expected by an informed seller acting without
compulsion, from an informed buyer acting without compulsion, in
an { - ' - } arms-length ' transaction during the period for
which the property is taxed.
(b) A 'tax' is any charge imposed by a governmental unit upon
property or upon a property owner as a direct consequence of
ownership of that property except incurred charges and
assessments for local improvements.
(c) 'Incurred charges' include and are specifically limited to
those charges by government which can be controlled or avoided by
the property owner.
(i) because the charges are based on the quantity of the goods
or services used and the owner has direct control over the
quantity; or
(ii) because the goods or services are provided only on the
specific request of the property owner; or
(iii) because the goods or services are provided by the
governmental unit only after the individual property owner has
failed to meet routine obligations of ownership and such action
is deemed necessary to enforce regulations pertaining to health
or safety.
Incurred charges shall not exceed the actual costs of providing
the goods or services.
(d) A 'local improvement' is a capital construction project
undertaken by a governmental unit
(i) which provides a special benefit only to specific
properties or rectifies a problem caused by specific properties,
and
(ii) the costs of which are assessed against those properties
in a single assessment upon the completion of the project, and
(iii) for which the payment of the assessment plus appropriate
interest may be spread over a period of at least ten years.
The total of all assessments for a local improvement shall not
exceed the actual costs incurred by the governmental unit in
designing, constructing and financing the project.
(3) The limitations of subsection (1) of this section apply to
all taxes imposed on property or property ownership except
(a) Taxes imposed to pay the principal and interest on bonded
indebtedness authorized by a specific provision of this
Constitution.
(b) Taxes imposed to pay the principal and interest on bonded
indebtedness incurred or to be incurred for capital construction
or improvements, provided the bonds are offered as general
obligations of the issuing governmental unit and provided further
that either the bonds were issued not later than November 6,
1990, or the question of the issuance of the specific bonds has
been approved by the electors of the issuing governmental unit.
(4) In the event that taxes authorized by any provision of this
Constitution to be imposed upon any property should exceed the
limitation imposed on either category of taxing units defined in
subsection (1) of this section, then, notwithstanding any other
provision of this Constitution, the taxes imposed upon such
property by the taxing units in that category shall be reduced
evenly by the percentage necessary to meet the limitation for
that category. The percentages used to reduce the taxes imposed
shall be calculated separately for each category and may vary
from property to property within the same taxing unit. The
limitation imposed by this section shall not affect the tax base
of a taxing unit.
{ - (5) The Legislative Assembly shall replace from the
State's general fund any revenue lost by the public school system
because of the limitations of this section. The Legislative
Assembly is authorized, however, to adopt laws which would limit
the total of such replacement revenue plus the taxes imposed
within the limitations of this section in any year to the
corresponding total for the previous year plus 6 percent. This
subsection applies only during fiscal years 1991-92 through
1995-96, inclusive. - }
PARAGRAPH 3. { + Section 11k, Article XI of the Constitution
of the State of Oregon, is repealed. + }
PARAGRAPH 4. Section 8, Article VIII of the Constitution of the
State of Oregon, is revised to read:
{ + Sec. 8. + } Adequate and Equitable Funding. (1) The
Legislative Assembly shall appropriate in each biennium a sum of
money sufficient to ensure that the state's system of public
education meets quality goals established by law, and publish a
report that either demonstrates the appropriation is sufficient,
or identifies the reasons for the insufficiency, its extent, and
its impact on the ability of the state's system of public
education to meet those goals.
(2) Consistent with such legal obligation as it may have to
maintain substantial equity in state funding, the Legislative
Assembly shall establish a system of Equalization Grants to
eligible districts for each year in which the voters of such
districts approve local option { - taxes - } { + tax
levies + } as described in { + section 11, + } Article XI
{ - , section 11 (4)(a)(B) - } of this Constitution. The amount
of such Grants and eligibility criteria shall be determined by
the Legislative Assembly.
PARAGRAPH 5. The Constitution of the State of Oregon is revised
by creating a new section 11m to be added to and made a part of
Article XI, such section to read:
{ + SECTION 11m. + } { + (1) The revision of sections 11 and
11b of this Article, the repeal of section 11k of this Article
and the revision of section 8, Article VIII of this Constitution,
by Senate Joint Resolution 9 (2011) do not apply to tax years
beginning before July 1, 2012.
(2) The revision of sections 11 and 11b of this Article, the
repeal of section 11k of this Article and the revision of section
8, Article VIII of this Constitution, by Senate Joint
Resolution 9 (2011) apply to tax years beginning on or after July
1, 2012.
(3) This section is repealed January 1, 2016. + }
PARAGRAPH 6. { + The revision proposed by this resolution
shall be submitted to the people for their approval or rejection
at the next primary election. + }
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