Letter: Further debate of property tax cap is needed

Thursday, Dec. 2, 2004 | 9:05 a.m.

Your Nov. 16 editorial, headlined "Capping tax a sound idea," was right on message but way off the tax target.

Capping real estate property taxes in Clark County at 6 percent is an invitation to trouble. Should property values here continue to overheat, an unrealistic 6 percent would promote an excessive expansion of government and/or elevate government employee salaries and benefits far beyond their current lofty levels. Excessive salary increases further exacerbate taxpayers' problems, having to finance both higher salaries and the already underfunded, defined benefit, government worker pensions.

Thousands of homeowners who are just getting by today -- those earning just above minimum wage, the elderly and military retirees -- may be forced to sell or refinance their homes. There are fairer and more rational methods to control taxes. For example, indexing schemes like using the CPI with a more rational cap than 6 percent, a 21-year average tax cap or a simple flat-tax increase of 3 percent per year.

Much has been said lately about the horrors of California's Proposition 13. Some say it is the cause of all California's ills. Perhaps, but I haven't seen any real evidence. If it is so draconian, why hasn't it been repealed? There are many states that would like to be in California's position, current debt and all. Before making a decision we all may regret, why not have property tax experts air in public and in the Legislature the pros and cons of this tax law. We just might learn something.

RICHARD RYCHTARIK