The beat goes on

Greetings
Well, it's been awhile since I've written anything but it's only because I've been pretty busy. However, there has been a lot going on.
First of all, I wrote a guest column for my local paper, the Peninsula Gateway, on the property tax issue. Below is a copy of that article:

( My wife and I have had the pleasure of living in the Gig Harbor area since 1975. Both of our children attended peninsula schools and currently have businesses here. We’re also blessed with six wonderful grandchildren.We built our home ourselves and we love our neighborhood. We have trees that we planted as seedlings that are now sixty feet tall. We have a tree house that our daughter played in when she was four years old, and now our grandchildren play there. This is not just a piece of dirt to us. This is our home. And now, in our supposed “golden years” we and many people we know are now facing the real possibility of being taxed out of our homes. And you could be next.

Our property taxes have gone up 400% in just the last five years. And there is absolutely nothing to prevent the same thing from happening over the next five years. Without a change in our property tax system , I believe that’s it’s only a matter of time until home ownership, long a part of the American dream, will only be available to the wealthiest of families.

Under current Washington law, all real property (with few exceptions) must be taxed at 100% of fair market value.. And to explain the basic unfairness of this system, I use the example of purchasing stock at 10$ per share If that stock rises to $100 per share, there is no tax paid on the $90 profit until the stock is sold. However if a person buys a home for $100,000 and that house rises to $500,000 in value, the property owner must pay tax on the $400,000 profit even though they don’t have that money in their pocket unless they sell their home. We’re being taxed for unrealized gains year after year. And we’re basically penalized for pride in home ownership. This is just wrong and totally unacceptable.

Please don’t think that this will change because of the legislature’s recent reinstatement of the1% cap on levy increases that fund our basic services .

I believe that what we desperately need is a system where we are only taxed on the purchase price of our homes plus a reasonable and predictable increase each year. Then we could actually budget for our property taxes which is impossible under our current system. Now we have the reinstatement of the 1% cap many wanted, but that is a separate issue from rising property assessments. This is what we need to change.

If you believe that paying tax on unrealized profit is unfair, you are not alone. And all the new “tax deferral” program really does is put a lien on your home. And to add to the insanity, you’re charged 7% interest for those deferred taxes. Wonderful. It will take an amendment to our state’s constitution to change our current property tax laws. They cannot be changed by the initiative process. Only our elected state representatives can make the changes we need, so please let them know how you feel.

I feel like now I must fight for my beloved home. And I will not quit until we have a reasonable, just and predictable property tax system in our state. I did not ask for this fight. Believe me, I would much rather spend time with my grandchildren than get involved in tax politics. It can be a nasty business . But I love my land. It’s my share of the American dream, and I will not let it be taxed away.. I have started a blog to provide a journal of these efforts at http://fightingoutofcontroltaxation.blogspot.com. And I will be attending a rally on January 14^th, on the capitol steps at 11:00 to keep this issue in front of our lawmakers. That is the opening day of the 2008 legislative session. It is being organized by Property Owners for Predictable Tax Now. For more information please go to www.predictabletax.com. This is a volunteer group of people who have been working on these issues for two years. We would love to see you there. It’s the American way.)

Writing this article was an interesting process in itself. I would hope that if anyone reads this blog, that they might consider contacting their local newspapers and either writing a letter to the editor or at least talk to the editors and let them know how you feel. It has a lot more impact than you realize.

After writing this article, I received several e-mails and phone calls, and if there was one common thread in my feedback, it's the fact that everyone who responded was either retired or about to be. And every person was truly concerned about losing their homes to our antiquated and bottomless property tax system.

I also recently met with my district's state senator, Derek Kilmer. Although I found Senator Kilmer to be a sincere and likable person, I have mixed feelings at this point . I will talk more about this meeting in my next post after I've had an opportunity to digest my frustrations.

To be cont'd , Pat

Meeting with my first legislator

Greetings-
Well, what a day. I finally had my first face to face meeting with one of our local legislators on the property tax issue. I met with Larry Seaquist from the 26th district who happens to be a democrat. I really had no idea what to expect, but I have to admit, I liked him.
I did learn one thing right off the bat though, and that was not to just throw out generalities without some facts to back them up. For example, the minute I said I believe there's a lot of waste in government, his immediate reply was "Where?" And I could not answer with specific facts. He showed me that there is still much work to do on my learning curve and also not to generalize without the information to back it up. I'll try not to let that happen again.
As I understood Mr. Seaquist, he's in favor of a system that would freeze our property valuations at the purchase price for tax purposes. But he also said that is just a part of the big picture. He also believes that we need major "tax reforms" in Washington state. But at this time, he did not get into any specifics. I look forward to speaking with him in the future.
I also believe that I learned another big lesson today. It's a lot easier to sit around with your friends and complain about "politicians" then it is to sit across from one and look them in the eye . I saw decent man , a retired navy man and someone who really cares deeply about the issues.
The problems we face today are so great that we absolutely must figure out how to get our politicians to somehow begin to "really put their heads together" to work for the public good. They could really get a lot done if they'd quit worrying so much about who gets re-elected. They could really get a lot done if they would stop worrying so much about who gets the credit.
As far as I can tell, the way our system works now, a Republican could have a terrific idea to solve a problem and the Democrats will attack it because it was a republican idea. And the reverse is also true if the person with the good idea is a Democrat. The madness must stop. The words that were said by president Abraham Lincoln many years ago still ring true today. " a house divided against itself cannot stand"
It's late, I'm tired and it's been a long day... more to come..Be well, Pat

It's getting interesting

Greetings-
This has truly been an interesting few days . So much has happened. I'm very encouraged about this property tax struggle. First of all the state legislature in a special session actually restored the basic tax limit on tax increases to the 1% that the voters passed by a large majority. Although this was a step in the right direction and can prevent taxing bodies from just going berserk, I still don't think our problems are solved for several reasons. For one thing, this new 1% cap does absolutely nothing to protect us from "banked capacity" which still allows local taxing bodies to raise taxes as much as 30% in some cases without any public input Also even though I am strongly against frivolous and irresponsible taxation, I personally wonder if 1% is enough to fund our necessary services.
Also as far as the new "tax deferral " goes, all it really does is put a lien on your property until you sell, and on top of that they have the unmitigated gall to charge 7% interest on those deferred taxes. Isn't that special? And most importantly of all, these changes do absolutely nothing to stop the out of control increases in assessed valuations that caused my property taxes to rise 400% in just five years.
Considering all this, a good question would be why am I so encouraged about the possibility of changes in our property tax system? There are actually several reasons;
1) First of all, EVERYONE that I talk to about property taxes is totally fed up with the brutal and draconian increases in their property tax each year. I believe that this public outrage, not only in our state, but all across the United States, has to proceed changes in our system.
2) I have also been fortunate enough to have already set up appointments to meet with 2 out of 3 of my district's legislators. And it's just a matter of co-ordinating schedules to meet with the third representative. He's already agreed to our meeting. I'm finally going to have a chance to sit down face to face with three people who actually have the power to implement change. The only way we can make changes in our current property tax system is by an amendment to the state constitution. We can not do it by initiative like I-747 or proposition 13 in California. I can't wait to have the opportunity to hear their opinions on these issues and to share mine and my friends with them, as well. I'm very excited at the opportunity to expand my understanding of these issues. Sort of like entering into the lion's den if you know what I mean. (Although seriously, I have heard that our districts legislators are truly decent people. We shall see)
3) In addition, our local newspaper, the Peninsula Gateway, has allowed me to write an article on the property tax issue as a guest columnist. Once again, I am honestly excited to do what I can in a small way to help educate and inform people in my community. I hope that others around the state go to their local representatives and their local papers and try and do what they can as well.
4) And last but not least, as I have gone online and done some research, I've found that homeowners all over this wonderful country are as fed up as I am. There is talk of "tax revolts" in almost every state in the union. I think that people are finally realizing that the" foxes have somehow taken over the hen house," and it's time to take to take it back. Cool. It's really getting interesting.
to be continued..Be well...Pat