George Runner: Attempts to change Proposition 13 are misguided - The Union of Grass Valley
There’s been no shortage of attempts in recent years in the State Legislature to overhaul Proposition 13 — California’s landmark initiative protecting homeowners and small business owners from out-of-control property taxes. Multiple bills have taken aim at the proposition, but the most popular among these bills pushes the so-called “split roll” property tax, which would eliminate Prop. This split roll idea is especially favored by lawmakers who are eager to bring more money into state coffers. A recent study from Pepperdine University shows that split roll would increase property taxes on businesses by an estimated $6 billion. But the same study also shows that split roll could trigger the loss of nearly 400,000 jobs and cost California’s economy a total of $71. 8 billion in output within the first five years. Supporters of split roll often point to the “lost revenue” they claim has been caused by Prop. Yes, property taxes are a major source of state revenue, but Prop. 13 opponents won’t tell you that even with taxpayer protections, actual property tax revenue has grown steadily since voters approved Prop. 13 in 1978. For the fiscal year of 2014-2015 property taxes accounted for $52 billion in revenue. That’s up from $34. 2 billion for the fiscal year of 2004-2005. Prop. Source: www.theunion.com
