I am extremely disappointed in Mitch Daniels. He is simply pandering...
The Governor and members of the Indiana House and Senate should not hold a special session to address property taxes, the very idea is absurd. They have known what is coming for a long time. The property tax increase is due to increased spending by local governmental units and the State cutting its direct subsidy of local property taxes.
The only reason our politicians (Dems and Reps) are acting concerned about property taxes is because they are afraid of losing their precious elected positions...
My first choice would be to eliminate property taxes entirely. I hate the fact that you can never really own real property.
Here is my solution to Indiana's property tax problem since our elected officials will refuse to abolish property taxes:
1. Indiana should fund all programs that it directs. This means some of the items paid for with local property taxes would end up being funded directly by the state.
2. Indiana should stop using property taxes for any reason. A very, very small percentage of property taxes are currently used for the Indiana rather then local government. That should stop.
3. Indiana should immediately stop subsidizing local property taxes. This is a bad policy and never should have been done in the first place. Each local government should fund their local functions with local dollars.
4. Indiana would save a lot of money by implementing #3. Indiana should immediately lower the Indiana State income tax rate from 3.4% to 2.4%. In turn Indiana should then allow each County to increase their own local income tax as much as 1%.
This is a revenue neutral proposition. It just forces local Government to pay for itself.
Just look it what is happening right now. Right now the members of the Indiana House, Indiana Senate, and Mitch Daniels are all blaming the tax increase on local Government. At the exact same time local Government officials are all blaming the State government.
The only way to fix this problem is to split local Government and State government.
What do you think?