Property tax caps are currently in place and have been since 2008. The issue now is should they become permanent. On November 2, 2010 voters will decide. Senator David Long encourages tax payers to vote in favor of tax caps, but Fort Wayne Community Schools say it will take away funding they need.
Senator Long and the Hoosier Property Tax Reform Alliance held an event today encouraging tax payers to vote in favor of making tax caps permanent. Long says “This is a pro tax payer issues and a bill that puts taxpayers first.”
Long says passing it will benefit home owners. It will also stop opponents from taking the issue to court. Long says “If the public fails to vote the tax caps into the constitution the opponents will file an immediate law suite, probably November 3rd, trying to get the caps declared unconstitutional.”
Among those opposed to permanent caps are local governments and schools. Kathy Friend with Fort Wayne Community Schools says “The tax caps reduce the amount of revenue that a school district normally would be allowed to collect. As a tax payer's bill is capped at a certain level, then those moneys wouldn't be paid and school districts won't get those moneys.”
Since the temporary cap went into effect in 2008, Fort Wayne Community School District says they've lost $2.6 million in capital projects and transportation.
Senator Long says Ball State had done a study that proves permanent tax caps will help the economy. But Fort Wayne community says it's too soon to vote on this, because the full impact of tax caps won't be known until next year.