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Show builu nuwtj, nui JUil atuwu mi. Looks and runs great 86 KAWASAKI !S For O j Against Cj 1 s Initiative i A it TAX AND SPENDING LIMITATIONS cl til 3l :s VULCAN-750- , j Official Ballot Title: Shall a law be enacted to: i ( 1 ) implement limitations on growth in: (a) state government appropriations to 85 of the difference between the total personal income of the current year and the prior year, and (b) local government revenues to W the increase in state per capita income plus the growth rate of population of the local government unit; (2) limit, except for legally-incurre- d debt: (a) residential property taxes to 3 4 of 1$ of fair market value, and (b) property taxes to of fair market value; and (3) require voter approval of local gove-rnment proposals for new taxes or increases in y taxes? i IMPARTIAL ANALYSIS Initiative A proposes three different tax and limitations on state spending and local governments. They are: 1. Spending limitation on state government and revenue limi-tation on local government These limitations already exist in law. Initiative A implements them using personal income and population estimates adopted by the Department of Employment Security. Under the limitation state spending may not increase by more than 85 of the growth in personal income from year to year. Local government revenues may not increase by more than 90 of the growth in state per capita income plus the growth rate of population of the local government unit. Fiscal Impact Until personal income and population estimates are adopted by the Department of Employment Security, the impact of the spending and revenue limitations cannot be estimated. The limitation could significantly restrict some local budgets. 2. Limitations on property taxes a. Limitations under current law Property tax is used to provide a variety of services to These include police, fire, paramedic, education, neai sewer, and garbage collection. Property tax limitations already exist. They are property's fair market value, services provided, ana p cation and hearings on proposed tax increases. (i) There are a variety of types of property, ''.j property, personal property, and homes. Each has value." Fair market value is what a willing buyer wou! Lfors seller. This fair market value is the full value of the prop ; classes of property. However, the fair market value ft small businesses includes a 20 reduction from intangible assets (like real estate fees, water T1--' residential property receives an additional 25 redu jyd on a residential exemption. This means cars are taxed but homes are taxed on a smaller percentage of tne J Page 16 |