- Average property tax bills would be reduced immediately by about one-third by shifting school operating costs and the cost of protecting abused and neglected children to the state's budget. This reduction would show up on your May, 2008 property tax bill.
- A cap on property taxes would be imposed at 1% of a home's "true value". I found it odd the plan used the term "true value" since we abandoned that property tax valuation method in favor of the fair market value approach. I'm assuming that is a "scrivener's error."
- The property tax reduction will be funded by a one percentage point increase in the state's sales tax and by tapping the state's surplus.
- A County Tax Board would be created as a single point of accountability to review spending plans by each taxing district, including schools, libraries and fire departments.
- Major capital improvement projects funded by property taxes will be subject to voter approval by public referendum.
- Caps of 2% and 3%, respectively, will be imposed on rental properties and business properties. The caps would be written into the state's constitution.
- Elected township and county assessors will be eliminated. In its place, a single, qualified assessor will be appointed by the county council to oversee a professionally trained staff.
Tuesday, October 23, 2007
Daniels Property Tax Plan
I have to say I'm disappointed in Gov. Mitch Daniels' property tax reform/relief proposal he unveiled with much fanfare tonight in a live, televised addressed. It is certainly a step in the right direction, but I'm not convinced it goes far enough. Here are the highlights of what Daniels is proposing: