1999 Legislation
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HOUSE BILL NO. 285 – Library dist/budget increase/electn

HOUSE BILL NO. 285

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Daily Data Tracking History



H0285...............................................by REVENUE AND TAXATION
LIBRARY DISTRICTS - BUDGET INCREASE - Amends existing law to provide for an
election within a library district to allow the library district to
increase its budget from property tax sources; to provide when the election
may be held; and to provide the required sixty-six and two-thirds percent
majority of the voters voting.

02/19    House intro - 1st rdg - to printing
02/22    Rpt prt - to 2nd rdg
02/23    2nd rdg - to 3rd rdg
02/24    3rd rdg - PASSED - 65-2-3
      AYES -- Alltus, Barraclough, Bell, Bieter, Black, Boe, Bruneel,
      Callister, Campbell, Chase, Clark, Crow, Cuddy, Deal, Denney,
      Ellsworth, Field(13), Field(20), Gagner, Gould, Hadley, Hammond,
      Hansen(23), Hansen(29), Henbest, Hornbeck, Jaquet, Jones, Judd,
      Kellogg, Kempton, Kendell, Kunz, Lake, Limbaugh, Mader, Marley,
      McKague, Meyer, Montgomery, Mortensen, Moyle, Pischner, Pomeroy,
      Reynolds, Ridinger, Ringo, Robison, Sali, Schaefer, Sellman, Smith,
      Smylie, Stevenson, Stoicheff, Stone, Taylor(Taylor), Tilman, Tippets,
      Trail, Watson, Wheeler, Williams, Zimmermann, Mr Speaker
      NAYS -- Barrett, Loertscher
      Absent and excused -- Geddes, Linford, Wood
    Floor Sponsor - Kellogg
    Title apvd - to Senate
02/25    Senate intro - 1st rdg - to Loc Gov
03/09    Rpt out - rec d/p - to 2nd rdg
03/10    2nd rdg - to 3rd rdg
03/11    3rd rdg - PASSED - 27-3-5
      AYES--Andreason, Boatright, Bunderson, Burtenshaw, Cameron, Crow,
      Danielson, Darrington, Davis, Deide, Frasure, Ingram, Keough,
      McLaughlin, Noh, Richardson, Riggs, Risch, Sandy, Schroeder,
      Sorensen, Stegner, Stennett, Thorne, Twiggs, Wheeler, Whitworth
      NAYS--Branch, Geddes, Hawkins
      Absent and excused--Dunklin, Ipsen, King, Lee, Parry
    Floor Sponsor - Bunderson
    Title apvd - to House
03/12    To enrol
03/15    Rpt enrol - Sp signed
03/16    Pres signed - to Governor
03/26    Governor signed
         Session Law Chapter 381
         Effective: 03/26/99

Bill Text


H0285


                                                                        
 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fifth Legislature                 First Regular Session - 1999
                                                                        

                             IN THE HOUSE OF REPRESENTATIVES

                                    HOUSE BILL NO. 285

                            BY REVENUE AND TAXATION COMMITTEE

 1                                        AN ACT
 2    RELATING TO LIMITATIONS ON BUDGET REQUESTS;  AMENDING  SECTION  63-802,  IDAHO
 3        CODE,  TO  PROVIDE  FOR AN ELECTION WITHIN A LIBRARY DISTRICT TO ALLOW THE
 4        LIBRARY DISTRICT TO INCREASE ITS BUDGET FROM PROPERTY TAX SOURCES, TO PRO-
 5        VIDE WHEN THE ELECTION MAY BE HELD AND TO PROVIDE THE  REQUIRED  MAJORITY;
 6        AND DECLARING AN EMERGENCY.

 7    Be It Enacted by the Legislature of the State of Idaho:

 8        SECTION  1.  That  Section  63-802, Idaho Code, be, and the same is hereby
 9    amended to read as follows:

10        63-802.  LIMITATION ON BUDGET REQUESTS -- LIMITATION  ON  TAX  CHARGES  --
11    EXCEPTIONS.  (1)  Except as provided in subsection (2) of this section for tax
12    year 1995, and each year thereafter, no taxing district shall certify a budget
13    request for an amount of property tax revenues to  finance  an  annual  budget
14    that exceeds the greater of:
15        (a)  The  dollar  amount of property taxes certified for its annual budget
16        for any one (1) of the three (3) tax years preceding the current tax year,
17        whichever is greater, which amount may be increased by a growth factor  of
18        not  to  exceed  three  percent (3%) plus the amount of revenue that would
19        have been generated by applying the levy of the previous year, not includ-
20        ing any levy described in subsection (3) of this section, to any  increase
21        in  market  value  subject  to taxation resulting from new construction or
22        change of land use classification as evidenced by the value shown  on  the
23        new  construction  roll  compiled pursuant to section 63-301A, Idaho Code;
24        and by the value of annexation during the previous calendar year, as  cer-
25        tified by the state tax commission for market values of operating property
26        of public utilities and by the county assessor; or
27        (b)  The  dollar  amount of property taxes certified for its annual budget
28        during the last year in which a levy was made; or
29        (c)  The dollar amount of the actual budget request, if  the  taxing  dis-
30        trict is newly created; or
31        (d)  In  the  case of school districts, the restriction imposed in section
32        33-802, Idaho Code; or
33        (e)  In the case of a nonschool district for which less than  the  maximum
34        allowable  increase  in  the dollar amount of property taxes is  certified
35        for annual budget purposes in any one (1) year, such a  district  may,  in
36        any  following year, recover the foregone increase by certifying, in addi-
37        tion to any increase otherwise allowed, an amount not to exceed  one  hun-
38        dred  percent  (100%) of the increase originally foregone. Said additional
39        amount shall be included in future calculations for increases as  allowed;
40        or
41        (f)  In  the case of cities, if the immediately preceding year's levy sub-
42        ject to the limitation provided by this section, is less than  0.004,  the
43        city  may  increase  its  budget by an amount not to exceed the difference


                                          2

 1        between 0.004 and actual prior year's levy multiplied by the prior  year's
 2        market  value  for  assessment  purposes.  The  additional  amount must be
 3        approved by sixty percent (60%) of the voters voting on the question at an
 4        election called for that purpose and held on the date in May  or  November
 5        provided by law, and may  be included in the annual budget of the city for
 6        purposes of this section ; or
 7        (g)  A library district may submit to the electors within the district the
 8        question of whether the budget from property tax revenues may be increased
 9        beyond  the  amount  authorized  in  this section, but not beyond the levy
10        authorized in section 33-2724, Idaho Code. The additional amount  must  be
11        approved  by  sixty-six  and  two-thirds  percent (66 2/3%) or more of the
12        voters voting on the question at an election called for that  purpose  and
13        held  on the May or November dates provided by section 34-106, Idaho Code.
14        If approved by the  required  minimum  sixty-six  and  two-thirds  percent
15        (66 2/3%)  of  the  voters  voting  at the election, the new budget amount
16        shall be the base budget for the purposes of this section .
17        (2)  No board of county commissioners shall set  a  levy,  nor  shall  the
18    state  tax  commission approve a levy for annual budget purposes which exceeds
19    the limitation imposed in subsection (1) of this section, unless authority  to
20    exceed  such  limitation  has  been  approved  by  a  majority  of  the taxing
21    district's electors voting on the question at an election called for that pur-
22    pose and held pursuant to section 34-106, Idaho Code, provided  however,  that
23    such voter approval shall be for a period of not to exceed two (2) years.
24        (3)  The  amount of property tax revenues to finance an annual budget does
25    not include revenues from nonproperty tax sources, and does not include  reve-
26    nue  from levies that are voter approved for bonds, override levies or supple-
27    mental levies, plant facilities reserve fund  levies,  school  emergency  fund
28    levies or for levies applicable to newly annexed property or for levies appli-
29    cable to new construction as evidenced by the value of property subject to the
30    occupancy  tax  pursuant  to section 63-317, Idaho Code, for the preceding tax
31    year.

32        SECTION 2.  An emergency existing  therefor,  which  emergency  is  hereby
33    declared to exist, this act shall be in full force and effect on and after its
34    passage and approval.

Statement of Purpose / Fiscal Impact


                       STATEMENT OF PURPOSE

                             RS09072C1

The purpose of this legislation would be to amend 63-802, Idaho
Code, to allow the electors of a public library to create a new
property tax levy base and establish a new base district budget
amount. The new base would have to be approved by sixty-six and
two-thirds percent (66-2/3%) of the voters at an election for
that purpose held on the uniform election date in May or
November. The new base could not exceed the allowed maximum
limit.

Public libraries are facing increasing demands from the public to
provide new sophisticated electronic services, including access
to the Internet, CD-ROM databases, and video resources. These
services are important for both the education of the public and
for economic development. The legislature has recognized the
importance of this kind of information through their funding of
the Educational Technology Initiative and the LiL1 project. More
sophisticated services require a higher level of training for
library staff members. The cost of traditional materials is also
increasing more rapidly than the cost of inflation. Most public
library districts levy at less than half their allowed levy
limit. Their low base at the time the property tax limitation in
63-802, Idaho Code, was passed has made it impossible for many of
them to adequately provide the new services that the public
demands while also maintaining traditional services.

Because a number of library districts have already experienced
increased demands for service, and expect more when the LiL1
databases become available, they may need to use this legislation
at the May elections in 1999. Therefore, an emergency clause has
been included.

                            FISCAL NOTE

There would be no fiscal impact on the State of Idaho. The dollar
amount of property taxes within the library district would be
raised to a proposed amount if the required 66 2/3% majority
voting in the election voted in favor of the increase.

CONTACT:  Lynn Melton
         Idaho Library Association
         939-0756
         
STATEMENT OF PURPOSE/ FISCAL NOTE   Bill No.      H 285