Hearing complaints over property taxes, some Georgia lawmakers look to limit rising values
Mamertine @ Mamertine @lemmy.world Posts 2Comments 237Joined 2 yr. ago
Mamertine @ Mamertine @lemmy.world
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If they cap the rate the house can be assessed for at 3% growth per year, they won't have enough money to keep the state running if the actual rate of inflation is consistently around 5%.
Generally, the state is the biggest employer in any given state. If they don't have the money to give it raises that match the rate of inflation, the state employees have less purchasing power than they did a year ago.
Any social programs would have that same obstacle.
This is treating a symptom, and it's going to have repercussions.
Each state taxes differently. I'm not familiar with Georgia's specifics. I live in MN. School funding is done via property tax and supplemented with a per student amount from the state. If the property tax is capped to 3% a year, if property tax is the primary funding for schools, teacher raises would be have to be capped to 3% a year.
New developments or places with higher turnover (tax assessed value resets when the house is sold) could be able to pay significantly more for teachers than older stable neighborhoods. That excentuates the suburban flight.