Commentary By Joseph A. Lypowy

As a member of the NFIB (National Federation of Independent Business), I recently read their report stating the NFIB opposes a Property Tax Constitutional Convention.

Two of the main reasons for their stance is that the proposed convention is forbidden from recommending cuts in government spending to reduce taxes and also, because all proposals must be revenue neutral.

Transfer From One Pocket To The Other

Which means, you can only lower property taxes if you raise taxes somewhere else.

Currently there is a “uniformity clause” in the state constitution which prohibits local governments from charging a higher property tax rate for business owners.

The NFIB is concerned that the result of a convention would be to increase business property taxes to be higher than residential taxpayers.

New Taxes Would Be Passed On To Consumers

I happen to agree with the NFIB and would like to point out, that in the long run, such increases would only be passed on to the consumer, or help to stagnate the economy.

I believe that a Property Tax Constitutional Convention would be nothing more than another political “smoke and mirrors act” by the politicians.

Scams Like Business Improvement Districts

It would be a gimmick to pass on their budgetary costs to the private sector in the same manner as business improvement districts and various business surcharges.

Only Way To Cut Taxes Is To Cut Spending

The reality is that the only way to cut taxes is to cut spending. This is not rocket science; it is common sense. School taxes represent the largest slice of the property tax pie, and one way is, for school districts to offer school vouchers.

Private Schools Deliver Education At Lower Cost

It is a proven fact that private schools can deliver educational services at a much lower cost, so why not allow taxpayers to take their education dollars to where they’ll get the most for their money.

Why not reduce property taxes by cutting phony-baloney administrative jobs, refusing to spend money on stupid expenditures like astro-turf for school athletic fields, not wasting tax dollars on changes of government, cutting the amount of state mandated red tape, and putting an embargo on expenses for legions of hired consultants and lawyers.

If Dover Politicians Kept Campaign Promise To
Cut Spending, We Wouldn't Have A 22% Tax Increase

In Dover Township, if the new mayor and council had kept their campaign promises to cut spending, we would not have been hit with a 22% tax increase, would we?

Joseph A. Lypowy

This article prepared for publication 4/30/05.