"The Official Portrait of Miss InDiana"

"The Official Portrait of Miss InDiana"
aka "Miss Victory"

Thursday, October 25, 2007

Property Tax Solution: ELIMINATION

While we applaud the Governor for listening to us and for considering repeal as a solution, we are not convinced it repeal is not possible. We like the fact that the governor is introducing referendums, so that the taxpayer has the final say on big public expenditures because we want a say in how our money is spent. We want our public officials to be accountable to the public.

We would like Dr. Styring's plan to be given serious public debate and the numbers of Governor Daniels plan compared and made public.

4 comments:

Anonymous said...

would love to see it but it is not political reality in this state. a real political solution requires compromise. perhaps the 1% cap is one that has to be made.

keep the faith and maybe win the lawsuit. however, now that there is a plan from a major player out there, i would be interested in dialog regarding the benefits and risks of it.

personally, this is going to lower my property taxes $9,000, lower than they were pre-2003. in addition, i will know that the city and schools can not sock me with levies above 1%. the perfect storm effect (change in assessment + increased market value + higher levies + shift due to inventory tax) that raised them so much would be in control permanently.

i wish you the best in achieving your goal. until then, i'm with the governor until i hear a compelling case that there is a reasonable political chance for elimination.

Anonymous said...

Kenley admitted, on the Garrison show this morning, That he wants to remove Articke 10, Section 1 (FAIR AND EQUAL TAXATION)from the constitution. So they can get the 1%, 2%, 3% Mitch-crap through.

See: SJR 16 from last session>>The amended text appears on the LSO's website...

SENATE JOINT
RESOLUTION No. 16
_____

DIGEST OF INTRODUCED RESOLUTION


Citations Affected: Articles 8, 10, and 13 of the Constitution of the State of Indiana.
Synopsis: Elimination of authority to impose property taxes. Adds Article 10, Section 10.5 of the Constitution to prohibit the imposition of ad valorem property taxes by the general assembly or a political or municipal corporation. Strikes out Article 10, Section 1 (authorization to impose property taxes) and Article 13, Section 1 (municipal debt limitation based on the taxable value of property). Makes a conforming amendment to Article 8, Section 2. Establishes the effective date and requires the General assembly to provide by law revenue to pay after property tax collections are terminated obligations of a political or municipal corporation in Indiana to which the corporation pledged property tax revenue. This proposed amendment has not been previously agreed to by a general assembly.
Effective: This proposed amendment must be agreed to by two consecutive general assemblies and ratified by a majority of the state's voters voting on the question to be effective.


Weatherwax, Hume, Miller,
Drozda, Waltz, Steele,
Young R Michael, Kruse, Nugent, Waterman, Walker, Delph


January 23, 2007, read first time and referred to Committee on Tax and Fixcal Policy.





Introduced
First Regular Session 115th General Assembly (2007)

PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2006 Regular Session of the General Assembly.
SENATE JOINT
RESOLUTION No. 16

A JOINT RESOLUTION proposing an amendment to Articles 8, 10, and 13 of the Constitution of the State of Indiana concerning taxation.
Be it resolved by the General Assembly of the State of Indiana:
SOURCE: ; (07)SJ9620.1. --> SECTION 1. The following amendment to the Constitution of the State of Indiana is proposed and agreed to by this, the One Hundred Fifteenth General Assembly of the State of Indiana, and is referred to the next General Assembly for reconsideration and agreement.
SOURCE: CON 8; (07)SJ9620.2. --> SECTION 2. ARTICLE 8, SECTION 2 OF THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED TO READ AS FOLLOWS: Section 2. The Common School fund shall consist of the Congressional Township fund, and the lands belonging thereto;
The Surplus Revenue fund;
The Saline fund and the lands belonging thereto;
The Bank Tax fund, and the fund arising from the one hundred and fourteenth section of the charter of the State Bank of Indiana;
The fund to be derived from the sale of County Seminaries, and the
moneys and property heretofore held for such Seminaries; from the fines assessed for breaches of the penal laws of the State; and from all forfeitures which may accrue;
All lands and other estate which shall escheat to the State, for want of heirs or kindred entitled to the inheritance;
All lands that have been, or may hereafter be, granted to the State, where no special purpose is expressed in the grant, and the proceeds of the sales thereof; including the proceeds of the sales of the Swamp Lands, granted to the State of Indiana by the act of Congress of the twenty eighth of September, eighteen hundred and fifty, after deducting the expense of selecting and draining the same.
Taxes on the property of corporations, that may be assessed by the General Assembly for common school purposes.
SOURCE: CON 10; (07)SJ9620.3. --> SECTION 3. ARTICLE 10 OF THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED BY ADDING A NEW SECTION TO READ AS FOLLOWS: Section 1.5. Neither the General Assembly nor a political or municipal corporation in the State may provide by law for the imposition of ad valorem property taxes.
SOURCE: CON 10-1; (07)SJ9620.4. --> SECTION 4. THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED BY STRIKING OUT ARTICLE 10, SECTION 1.
SOURCE: CON 10-1; (07)SJ9620.4. --> SECTION 5. THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED BY STRIKING OUT ARTICLE 13, SECTION 1.
SOURCE: CON 10-1; (07)SJ9620.4. --> SECTION 6. THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED BY ADDING THE FOLLOWING SCHEDULE:
SCHEDULE
(a) As used in this SECTION, "effective year" means the calendar year that immediately follows the calendar year in which amendments to the Constitution of the State of Indiana contained in this resolution are approved in a general election under Article 16, Section 1 of the Constitution of the State of Indiana.
(b) To avoid constitutionally prohibited impairment of the obligation of contracts, the General Assembly shall provide by law for revenue from any source to pay after the effective year obligations of a political or municipal corporation in the State to which the corporation pledged ad valorem property tax revenue.
(c) Subject to subsection (d), the amendments to the Constitution of the State of Indiana contained in this resolution apply only to ad valorem property taxes imposed for an assessment
date (as defined in IC 6-1.1-1-2) after January 15 of the effective year.
(d) Subject to subsection (e), the amendments referred to in subsection (c) do not prohibit the collection of ad valorem property taxes:
(1) imposed for an assessment date (as defined in IC 6-1.1-1.2) in or before the effective year; and
(2) first due and payable in or before the effective year.
(e) Collections of ad valorem property taxes referred to in subsection (d) may occur after the effective year.

Anonymous said...

doesn't the same constitution say that "corporations" pay for school taxes and individuals cannot hold two lucrative positions (such as city employee and city councilor). and now they are concerned about the constitution?

Anonymous said...

You bet your arse it does! That is covered in SJR 15 from last year--Article 8, Section 2.

If they get these things through, you'd better make plans to move to Tennessee...Anything closer than two states away will get taken down with Indiana...

Proof that the General Assembly was violating our Indiana Constitution, here it is!!
SJR 0015 -- Constitution of the State of Indiana concerning taxation.
http://www.in.gov/apps/lsa/session/billwatch/billinfo?year=2007&session=1&request=getBill&docno=0015&doctype=SJR
DIGEST OF INTRODUCED BILL
Prohibition of property taxes for school operating costs. Amends the Constitution of the State of Indiana to prohibit the taxation of property for the support of the common schools, except for costs related to transportation and capital projects. This proposed amendment has not been previously agreed to by a general assembly.
SENATE JOINT
RESOLUTION No. 15
http://www.in.gov/legislative/bills/2007/RES/SJ0015.1.html

A JOINT RESOLUTION proposing an amendment to Articles 8 and 10 of the Constitution of the State of Indiana concerning taxation.
Be it resolved by the General Assembly of the State of Indiana:
SOURCE: ; (07)SJ9604.1. --> SECTION 1. The following amendment to the Constitution of the State of Indiana is proposed and agreed to by this, the One Hundred Fifteenth General Assembly of the State of Indiana, and is referred to the next General Assembly for reconsideration and agreement.
SOURCE: CON 8; (07)SJ9604.2. --> SECTION 2. ARTICLE 8, SECTION 2 OF THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED TO READ AS FOLLOWS: Section 2. The Common School fund shall consist of the Congressional Township fund, and the lands belonging thereto;
The Surplus Revenue fund;
The Saline fund and the lands belonging thereto;
The Bank Tax fund, and the fund arising from the one hundred and fourteenth section of the charter of the State Bank of Indiana;
The fund to be derived from the sale of County Seminaries, and the moneys and property heretofore held for such Seminaries; from the fines assessed for breaches of the penal laws of the State; and from all forfeitures which may accrue;
All lands and other estate which shall escheat to the State, for want of heirs or kindred entitled to the inheritance;
All lands that have been, or may hereafter be, granted to the State, where no special purpose is expressed in the grant, and the proceeds of the sales thereof; including the proceeds of the sales of the Swamp Lands, granted to the State of Indiana by the act of Congress of the twenty eighth of September, eighteen hundred and fifty, after deducting the expense of selecting and draining the same.
Taxes on the property of corporations, that may be assessed by the General Assembly for common school purposes.
SOURCE: CON 10; (07)SJ9604.3. --> SECTION 3. ARTICLE 10 OF THE CONSTITUTION OF THE STATE OF INDIANA IS AMENDED BY ADDING A NEW SECTION TO READ AS FOLLOWS: Section 9. (a) Except as provided by subsection (b), property may not be taxed for common school purposes.
(b) The General Assembly may authorize the assessment of taxes for the following common school purposes:
(1) Transportation costs.
(2) Capital project costs and debts related to capital projects.
Below is our Indiana Constitution, Article 8 - Common Schools. It already prohibits the taxation of any 'property' except the "property of corporations". What, are they wanting to do to Article 8 is what they did with the 'inventory tax'??
I would prefer that they left Article 8 alone, and simply followed it as written. Article 8 Section 2 -- as written -- prohibits the GA from taxing private residential property for the common schools!!
YES, I know that they are doing it anyway. BUT, if they manage to get this into our Constitution, then they will SOAK us, and it will be Constitutional!
REMEMBER, the ONLY time that taxation of property is listed anywhere in the funding scheme is the last funding item below -- and embraces ONLY taxation on the property of corporations !!
http://www.in.gov/legislative/ic/code/const/art8.html
Section 2. The Common School fund shall consist of the Congressional Township fund, and the lands belonging thereto;
The Surplus Revenue fund;
The Saline fund and the lands belonging thereto;
The Bank Tax fund, and the fund arising from the one hundred and fourteenth section of the charter of the State Bank of Indiana;
The fund to be derived from the sale of County Seminaries, and the moneys and property heretofore held for such Seminaries; from the fines assessed for breaches of the penal laws of the State; and from all forfeitures which may accrue;
All lands and other estate which shall escheat to the State, for want of heirs or kindred entitled to the inheritance;
All lands that have been, or may hereafter be, granted to the State, where no special purpose is expressed in the grant, and the proceeds of the sales thereof; including the proceeds of the sales of the Swamp Lands, granted to the State of Indiana by the act of Congress of the twenty eighth of September, eighteen hundred and fifty, after deducting the expense of selecting and draining the same;
Taxes on the property of corporations, that may be assessed by the General Assembly for common school purposes.
SJR15 had ONE reading only -- on 11 January 2007. It was authored by Senators Hume, Weatherwax and R. Young, and had its First (and only) reading on 11 January 2007. It was referred to Committee on Tax and Fiscal Policy.
If any of you have kept the 'rants' that I wrote concerning Article 8 and the Common School Fund, dig them out and send them to the above Senators, and anyone else you can think of.
While it appears that this Resolution has died, it would be interesting to have the above senators explain why they think it important to amend our Constitution at Article 8. Write to all three of them!! Perhaps one of them will somehow admit that the use of private residential property taxes to support the common schools is unconstitutional!
Something like...
*****
Dear Senator Hume,
I've become aware that you authored SJR-15, a prohibition of property taxes for school operating costs. As a property owner, this topic has great interest for me.
Would you please explain the impetus that occassioned SJR-15? In other words, what compelled you and Senators Waxman and Young to author this Resolution?
Any information you might offer would be greatly appreciated.
Sincerely,
John & Jane Taxpayer
*****
You might want to peruse SJR-16 also, as it contains similar information.
All Resolutions of the GA can be found here:
http://www.in.gov/apps/lsa/session/billwatch/billinfo?year=2007&session=1&request=getJointResolutions