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Never is a pretty long time. I agree that Prop 13 as it stands is a problem, but keep in mind that as a dollar amount our property taxes are at least at the mean nationwide. While California has always had more boom and bust than say North Dakota, we have never had such a sharp, broad-based and long reduction in real-estate prices. Property tax receipts always went up, even in previous dips. Not so this time.
The problem is thought prop 13 will cause constant gridlock
Your problem in Kali is spending and entitlements. You could have had surpluses and put them into a trust fund but instead your lawmakers blew through it like a crackhead in a ***** house.
California*
California has some of the lowest property taxes in the US, lack of revenue and constant gridlock has caused California to go from first to worst.
So then exempt seniors. Prop 13 caused a number of problems for California:
First, it decoupled property taxes from the market value of the property. Second, it required that all bills that are not budget neutral (so anything that costs anything) pass the state legislature by a 2/3 majority.
The property tax feature has effectively defunded all local government. Making local governments dependent on bail-outs and revenue dispersal from the state government in Sacramento. This concentrated power in Sacramento. But while the power was being shifted from local governments to Sacramento, Prop 13 also imposed a 2/3 majority requirement on all budget decisions. This meant that while Sacramento had more and more authority, it was institutionally prevented from using that authority effectively.
Nicely put. The 2/3 majority, more than anything, has led to the gridlock and lack of responsible government. The rise in the use of the ballot initiative was in response to this, it became easier to increase spending using the ballot box than the legislature. People seem to always assume the the California legislature is full of Democrats, not true.
Nicely put. The 2/3 majority, more than anything, has led to the gridlock and lack of responsible government. The rise in the use of the ballot initiative was in response to this, it became easier to increase spending using the ballot box than the legislature. People seem to always assume the the California legislature is full of Democrats, not true.
Exactly, thanks to Prop 13, Californian schools went from being first in the US to the worst of the worst.
Prop 13 passed in 1978, over 30 years ago. I wonder how California had an economic boom in the 1980's, pioneering the microcomputer industry, porn industry, etc. As someone who was in my 20's back then, it seemed with every new interest I developed the cutting edge people were in california. All with prop 13 in place.
Fast forward 30 years, and the state is in a shambles It's not the fault of years of liberalism, of public sector unions gone wild, of illegal immigration. No it's that damn prop 13 that was passed in 1978. Lag time before the problems it caused finally showed up. don't you know.
So then exempt seniors. Prop 13 caused a number of problems for California:
First, it decoupled property taxes from the market value of the property. Second, it required that all bills that are not budget neutral (so anything that costs anything) pass the state legislature by a 2/3 majority.
The property tax feature has effectively defunded all local government. Making local governments dependent on bail-outs and revenue dispersal from the state government in Sacramento. This concentrated power in Sacramento. But while the power was being shifted from local governments to Sacramento, Prop 13 also imposed a 2/3 majority requirement on all budget decisions. This meant that while Sacramento had more and more authority, it was institutionally prevented from using that authority effectively.
Homes are taxed on the purchase value and re-valued when renovated ... and then increased each year but to a limit. The housing bubble artificially increased home values (multiple times over) well above the actual home value. Now that the bubble has burst the values are declining back to reality but to date they are still over-valued. Most people in California that are not seniors are paying tax based on inflated values. Repealing Prop 13 will mainly impact seniors.
California has some of the lowest property taxes in the US, lack of revenue and constant gridlock has caused California to go from first to worst.
I don't think property rates are really very meaningful on their own. Californians pay a middle of the pack amount of property taxes per year because their property values are so high. Even with the Prop 13 effect CA residents spend plenty of money on property tax.
I happen to agree Prop 13 needs to be repealed, but you seem to have forgotten that its existence was a powerful reaction by voters to the legislature's out of control taxation and spending. Democrats were in control at the time.
I oh so do love the race to the bottom. Don't like the Midwest or Northeast move south, of course when Korea or Indonesia offer you a better deal...see ya Texas.
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