Tag Archives: Property Taxes

Political Gimmicks and Agency Reports

Political Gimmicks and Agency Reports

Anatomy of the Democrats’ Broken Promise on Property Tax Cuts
Fact:  
Gov. Dayton and the Democrats sent local governments $292 million in new state aids and promised property taxes would go down statewide as a result.  
Fact: 
The statewide property tax levy went up $125 million to the highest level in state history to support local government spending increases.

Democrat solution: 

Conjure up a simulated reporting scenario that shows property taxes going down!  

First, the Facts


The official Department of Revenue report (Click here for Full Report) shows property taxes in Minnesota are INCREASING …

+ 1.2% for counties
+ 1.6% for cities
+ 2.0% for towns
+ 1.7% for counties
+ 1.2% for special districts

In fact, 2014 is poised to report the highest property tax levy in Minnesota history, rising $125 million or 1.5% in total statewide.  (Click here for the 2013 vs 2014 comparison report from the non-partisan Senate Research staff)
 

Look at Property Taxes Where You Live!


Only 1 out of 7 cities, counties and townships lowered property taxes, and almost half of all school districts raised property taxes. 

  • 74 out of 87 counties either raised property taxes or kept them flat (85%).
  • 731 out of 853 cities either raised property taxes or kept them flat (86%).
  • 1646 out of 1911 townships either raised property taxes or kept them flat (86%).
  • 151 out of 331 school districts either raised property taxes or kept them flat (46%).

(Click here to see what happened where you live) 

 

But Democrats Still Claim Property Taxes Declined.  What Gives?


Democrats created some slick messaging and reporting to convince the public of their property tax “reduction”.

1.  They refer to property tax reductions for certain types of properties only, while forgetting to mention that 8 out of 12 property types increased. 
(Click here for  the 2013 vs 2014 comparison report from the non-partisan Senate Research staff)
 

2.  They advertise only certain cherry-picked jurisdictions where taxes went down, but forget to mention any of the 86% of jurisdictions statewide where property taxes did not go down.  (Click here for Full Report by taxing jurisdiction)
 
3.  They requested a “Simulation Report” from the Department of Revenue to show property taxes collected by local governments minus the estimated state credits that are projected to be claimed.  In the arcane world of state agency reporting, the distinction of a “Simulation Report” is important. Rather than relying on the actual reported property tax levies from local governments in the traditional state agency report formats included above, Democrats needed a one-off simulated scenario relying on projections of state credits to create a scenario they could present to the public to show a “reduction” in property taxes. And they included in the state credits an offset of the estimated renters credit, which does not go the actual property tax payer.

So Why Not Just Say What Actually Happened?


Gov. Dayton and the Democrats made a promise they could not keep.

They passed significant funding increases to local governments in their budget last year, promising it would lower taxes.  Then they doubled down in a July 30, 2013 press conference where they promised property taxes would go down $121 million.  And even using their own “new” math by simulating projected estimates of state credits, they were $113 million off of their July promise.  And all that after spending $292 million on local governments to achieve it.

With an election coming up, it is no surprise that Democrats would try to find some way to spin it.
Ideas That Work!

 
In contrast, the Republican budget produced a better result for property taxpayers in 2013.  Despite DFL attempts to buy down property taxes in 2014, the statewide property tax levy actually increased $4 million more than under the Republican’s budget in 2013.
 
Republicans know that property taxes are controlled at the local level by city councils, county commissioners and school boards. Controlling local government spending and making sure that those local spending decisions are transparent to taxpayers is the solution.

Advertisements

Minnesota Property Taxes To Rise..

But of course…With a DFL controlled House and Senate along with the Governor’s Office one expects this.

Tax and spend and when they run out of Taxpayers money..Tax some more..

This from my former Rep whom unseated the Socialist in office. But with redistricting, leaning towards getting more DFL office holders…He unfortunately is not my rep anymore…Have the Socialist once again..

A recently released non-partisan report shows property taxes are rising in Minnesota, even as Gov. Mark Dayton and fellow Democrats try to convince citizens otherwise.

 

The property tax simulation from non-partisan House research staff indicates taxes on existing properties will rise by $13 million under the budget Dayton and the Democrat majorities passed this year. Democrats in St. Paul continue to tout the fact they spent $400 million to reduce property taxes but, in actuality, they are still projected to rise.

 

What’s worse is there is a projected 6.5-percent increase on agricultural properties. This burden is on top of new taxes on farm equipment repairs, higher energy rates due to new solar power mandates and a warehousing/storage services tax Dayton and the Democrats passed this year. Agriculture is a key component in our economy and our farmers deserve far better.

 

A key point is this: State government does not directly control property taxes. Local officials do. The state can provide local governments with $400 more in revenue, but there is no guarantee this will be used to buy down property taxes. We trust our local officials to make smart decisions and be good stewards of our tax dollars, but they make the final call on property taxes.

 

Dayton and Democrats will try to take credit for reducing taxes, but a report from the Dept. of Revenue shows Minnesotans in every income bracket will pay more. Their new budget for 2014-15 increases state spending by $3 billion, while raising taxes and fees on all of us by around $2.5 billion.