• Embed Doc
  • Readcast
  • Collections
  • CommentGo Back
Download
 
S
TICKER 
S
HOCK 
:
 
W
HY PROPERTY TAXES AR HY PROPERTY TAXES AR HY PROPERTY TAXES AR HY PROPERTY TAXES ARE GOING THROUGH THE E GOING THROUGH THE E GOING THROUGH THE E GOING THROUGH THE ROOF IN MINNESOTAROOF IN MINNESOTAROOF IN MINNESOTAROOF IN MINNESOTA
 
Jeff Van Wychen
Minnesota 2020 Fellow February 10, 2008
 
EY 
F
INDINGS
______
 
The average Minnesota homest2002 to 2008. Even after adjusproperty tax increase has been n
 
Growth in homestead property government revenue. Total stapupil school revenue have all fa
 
 While homestead values have iproperty taxes on a statewide badeclined modestly over the last
 
The primary cause of homestealocal governments. Local govera combination of cuts in publicproperty taxes.
 
Real per capita local governmengovernment revenue since 2002disproportionately on local gov 
 
Structural changes to the propeshare of the property tax burde
 
State policies are the primary caState leaders who are truly inter
______________________
ad property tax has increased by approxiting for inflation in government purchasesearly 30 percent.taxes from 2002 to 2008 cannot be attribewide real per capita county and city/tow len over this six year period.creased since 2002, this does not explain tsis. The homestead share of statewide estis
 
ix years.property tax increases from 2002 to 200nments have struggled to make up for theservices, reductions in infrastructure invest revenue has fallen much more rapidly th. The burden of dealing with state budgetrnments and local property taxpayers.ty tax system enacted by the legislature haaway from businesses and apartments anuse of real homestead property tax increasested in accountability must start by recog
1
____________
ately 70 percent from, the average homesteadted to growth in localrevenue and real perhe growth in homesteadmated market value hasis cuts in state aid toloss of state aid throughtment, and increases inen real per capita statedeficits has fallenve also shifted a largeron to homesteads.s over the last six years.nizing this fact.
 
I
NTRODUCTION
____________________
The average property tax on a MinnEven after adjusting for inflation in the chomestead property taxes have grown ov The explosion in homestead propertand on a rapid growth in homestead valThe graph below compares the grow government revenue from 2002 to 2008.
____________________________________________________________________________________
sota homestead is expected to increase by 71 percost of government services, the increase is nearly e
 
r four times more rapidly than that of other classtaxes has been mistakenly blamed on increases ies. The real culprits are tax policies enacted by sth in the average Minnesota homestead property 
2
____________________________________________
 
ent from 2002 to 2008.0 percent. Statewide, reales of property.local government spendingate government leaders.ax to changes in local
of 00

Leave a Comment

You must be to leave a comment.
Submit
Characters: ...
You must be to leave a comment.
Submit
Characters: ...