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Getting rid of property taxes might not be wise

Turtle Mountain Star of Rolla, North Dakota

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Property taxes are aggravating. More so, I think, because they have reached a high point in many North Dakota communities. We also make them work hard, supporting city, parks, school and county operations. And we have a sense that high property taxes get boosted by special assessments, a different beast but one closely related.

There's a direct relationship between local governmentschools, parks, police and fire departments and property taxes. The more local government you have, and the higher the level of local governmental services, the higher your property taxes will be. It's a given.

Reacting to high property taxes is a proposed initiated measure to get rid of them. What a relief that would be. How can you not sign on to such a good deal?

The other shoe that falls is that state government would have to pick up the tab for local government. After all, the state is a much more efficient tax collector than the county. Then there would be no problem getting rid of those fat surpluses that the state has been enjoying. What a deal.

I don't think we should get rid of property taxes for a number of reasons:

That direct relationship between local government and citizen would get derailed. There would be less control over how much local service is enough. Not every community would agree to the same standard of service. We get back into those one-size-fits-all problems, where large communities can put together financing for things a small community might not be able to afford.

There's also, along this line, a loss of a degree of accountability. When a person gets their property tax bill and it curdles their sweet disposition, then they can call up their neighbors on the school board, park board and city commission and dish out some dissatisfaction. Legislators are one step farther away when it's time for some high-energy feedback.

With the state picking up the tab for local government, you can bet what you pay in property tax that sales and income tax rates will go up. You will pay at least the same amount in taxes, but in different ways, often in ways that arc less dis-cernable. The state's surpluses are not a guarantee of future economic dividends for the state. If things would get tight for the state Legislature, lawmakers would likely reduce any property tax replacement before it trimmed its own agenda.

Viewing the state, even one with a state bank, as a free-spending uncle, good times or bad, would be a mistake.

In other words, eliminated property taxes would not necessarily reduce your taxes.

If you believe it would be easier to control rising state taxes than rising property taxes, I would like to correct that notion. Elected officials, no matter what level, are tax-reduction adverse, and the farther they are away from you and your vote, the more adverse they are.

And perhaps the most important reason for not eliminating property taxes is that we would be giving up local control. Whomever collects the taxes and pays the bills has the greatest interest in controlling how those funds are spent. In the beginning, there would platitudes about continuing local control, but time would erode those commitments.

Local government is the closest to real democracy that we get. You know your vote counts in park/city and school elections, and you may have to convince yourself that it counts in state or national elections. The same stands if local taxes pay for local services.

I can't believe I'm sticking up for property taxes. But as painful as they might be, I'd rather pay them than give up local control to the Legislature.

Think twice before you sign any petition asking for the elimination of property taxes. Consdier the consequences.



Copyright 2010 Turtle Mountain Star, Rolla, North Dakota. All Rights Reserved. This content, including derivations, may not be stored or distributed in any manner, disseminated, published, broadcast, rewritten or reproduced without express, written consent from SmallTownPapers, Inc.

© 2010 Turtle Mountain Star Rolla, North Dakota. All Rights Reserved. This content, including derivations, may not be stored or distributed in any manner, disseminated, published, broadcast, rewritten or reproduced without express, written consent from DAS.

Original Publication Date: May 10, 2010



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