The 25% Property Tax Initiative (I-864) cuts $550 million per year in property taxes that go to local governments like counties, cities and other local taxing districts. But last week, a second property tax initiative for 2004 was filed that cuts property taxes $400 million more, but this time the target will be the portion of the property tax going to state government.

Voters will get the chance in 2004 to cut their property taxes $1 billion per year. Struggling taxpayers need meaningful relief and our state’s sluggish economy needs a big boost. A sizeable reduction in property taxes will do both and is decades overdue. In 1980, we paid $1 billion in property taxes. In 2003, citizens paid $6.25 billion. That burden is obscene and unsustainable.

The latest property tax initiative comes with a seemingly impossible claim — lower taxes for citizens but no revenue loss for government. But that’s exactly what it does. The new initiative generates $400 million per year in new tax revenue that automatically reduces the state property tax levy dollar-for-dollar.

It is the first initiative I’ve ever heard of that saves taxpayers money but doesn’t cost the government a penny. This initiative asks voters to break up a government-protected monopoly — a worthy objective by itself — and rewards them with a permanent reduction in this state’s obscene property tax.

It’s the most unique tax initiative I’ve ever done.

Here’s how the initiative lowers taxes for citizens but doesn’t cost the government a penny:

For years, tribal casinos have had a monopoly on machines, technically called electronic video lottery terminals, because state government has prevented competitors from offering them. These establishments, which are licensed by the Washington State Gambling Commission (minicasinos, some taverns, some bowling alleys, non-profit charity bingos, etc.), have asked the Legislature to allow them to compete with the tribal casinos and their level-playing-field legislation generates $400 million per year in tax revenue.

The new initiative — called Just Treat Us The Same — would allow establishments licensed by the Washington State Gambling Commission to offer the same type and number of machines as tribal casinos with resulting tax revenues used to reduce state property taxes. That’s $400 million per year in additional tax revenue that the state must turn around and give back to the taxpayers by lowering the state property tax levy.

For five years, voters have consistently approved tax initiatives that have sought to lessen our state’s huge tax burden. Voters have accepted these reform initiatives because they were reasonable. These two initiatives for 2004 both specifically exempt property taxes that are voter-approved and property taxes that go to schools and education. In fact, Just Treat Us The Same not only leaves schools and education funding unaffected, it leaves all state programs unaffected because the initiative doesn’t cost the government a penny.

Both proposals are smart, balanced, reasonable measures that voters will enthusiastically embrace.

The challenge, of course, is getting them both qualified for the ballot. Does the support exist for both? I believe that it does. Voters deserve the chance to marry together lower state property taxes with lower local property taxes. That’s $1 billion per year in property tax savings being offered to voters in 2004.

Just Treat Us The Same promotes a principle universally embraced by the citizens of Washington — equal treatment under law. With Just Treat Us The Same, voters are being given the opportunity to endorse the principle of equal treatment with regard to tribal casinos and their competitors. There should be competition and a more level playing field. Government-protected monopolies are divisive, discriminatory, and just plain bad public policy.

As you can imagine, supporters of the tribal casinos’ monopoly aren’t happy with this initiative.

From the Olympian newspaper: "State Democratic Sen. Margarita Prentice of Seattle laughed at Eyman’s claim that nontribal casinos want to be treated the same as tribes. ‘They want to be treated the same as tribes? Maybe we could go in and steal their land. Herd them into areas that weren’t their own. Wipe out all their natural resources and the way they made a living. And then criticize them,’ Prentice said."

Margarita Prentice needs a valium.

From the Spokesman Review in Spokane: Democratic State Rep. John McCoy of Tulalip called it "economic racism." "By doing this, you’ll effectively kill tribal gaming," he said.

Gimme a break. It’s like Bill Gates saying that if some kid is allowed to build a computer in his garage that he’ll put Microsoft out of business.

Lower taxes for citizens, no revenue loss for government, while leveling the playing field and allowing competition with a government-protected monopoly — those are principles the voters will enthusiastically embrace.

I ask our supporters to continue focusing like a laser beam on getting the 25% Property Tax Initiative I-864 qualified for the ballot. I’m setting up a separate grassroots group to push this new initiative. Both property tax initiatives must get 200,000 signatures by July 2 to qualify for the November ballot. A valuable public debate on important issues will result.

Tim Eyman lives in Mukilteo and heads up Voters Want More Choices, a taxpayer-protection organization (425-493-8707, www.VotersWantMoreChoices.com).