Tuesday, July 10, 2007

Mitch Daniels blunders...

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?

Mike Sylvester
By at

3 comments:

Robert Enders said...

Property taxes are mostly a local issue. I say "mostly", because the state does have the right to step in and prevent local governments from wasting money on ballparks and shopping malls. But they don't, so you all will have to start voting for local politicians who are willing to bring spending under control.

For that matter, I do not want my state tax dollars going to bail out places like Carmel and Gary. They dug their own hole, they can lie in it.

10 July, 2007 20:25
Mike Kole said...

My wife and I were discussing over dinner tonight the very comment you highlighted: that property taxes have the effect of demonstrating that one does not own property, but merely rents it, with government as the landlord.

This is a point to exploit. Understand that my wife is a Democrat, and comes from a far-left tradition... although each waking day she seems to move to the right as she sees the injustice of the real-life play of policy. In the Indianapolis area, due to the property tax fiasco, elderly homeowners on fixed incomes are increasingly facing the 'prospect' of having to sell their homes, as they cannot afford the enormous increases in property taxes.

It is clearly a mess, and unjust. We need to pay for government, but the method by which the elderly bear a large burden to educate children who are not their own is unjust. We need to move to user fees for services we consume, for economic and moral reasons.

10 July, 2007 22:05
Anonymous said...

I do not actually own any property at this point in my life, but I plan on it in the future. It is rather disappointing to think that even if I own my own place I still have to pay for it.

11 July, 2007 10:25

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