The proposals being bandied about in Tallahassee are again poor long-term solutions and perpetuate the current problems – uncontrolled spending and wide disparity from property to property.
Until Michael Mayo’s column (Sun Sentinel 10/14/07) no one ever published the details of this previously suggested solution- everyone pays 1% at full assessment.
Now that there are some numbers to work with, here’s my revised suggestion:
– All full-time residents pay 1% full assessment.
– The maximum annual increase cannot exceed the federal cost of living index, or alternatively the ACCRA Cost of Living Index, or 3%, whichever is greater.
– All businesses pay 1.5% full assessment. Maybe 2%?
– Property assessments are revised to reflect the value of the property based on current usage, not the ‘potential usage if property converted to other use’. This is a local decision that needs to be addressed. For example, if you own a boat yard, you are assessed at the value of what the property could be worth if condos were developed. How dumb is that?
– EXEMPTIONS:
o Low-income seniors can continue with the current program
o Schools- pay .5%
o Low-income veterans with permanent disability pay no property taxes (entire household must qualify as low income)
I think the above will come pretty close to getting us to the current tax collections. Let’s get Christ to make a deal with the Seminoles and remove some of the existing sales tax exemptions to make up the difference. BTW at 1%, I’ll pay a lot more personally, and it will hurt, but it will also open the door to moving to another location if desired because.
ALTERNATIVE SOLUTIONS:
1. Take your assessed property value with you when you move, so you keep the same tax base. This is a short term fix to a long term problem and perpetuates all that is currently wrong. With the 1% solution, portability is no longer a problem.
2. Double the homestead exemption. This does nothing to fix the disparity that already exists among current homeowners and doesn’t help snowbirds and businesses.
3. Increase sales tax- highly publicized as unfair to the poor, but maybe needs to come back.
4. Increase sin tax- cigarettes and alcohol- why not?
5. State income tax- This is probably the most fair, yet will draw big lobbying against. However, I’d rather be taxed on my income than my property and I think the working class would agree. For example, just because I bought a waterfront home that accelerates in value faster than other areas, does not mean that my income rises as fast. If I had my preference, I’d go to .5% property tax and some level of income tax.