Bloomfield School Superintendent Dan Sichting on Friday described the reform plan as a "shift in taxes."
"It's a shift in taxes. You're not paying less taxes. It's a shift," he added.
House Bill 1001 places caps on property tax that homeowners, rental property, business and farm owners pay, he noted.
* The maximum amount that a homeowner will pay is 1 percent of assessed valuation.
* The maximum amount that a rental property owner will pay is 2 percent of assessed valuation.
* The maximum amount that a farm and business owner will pay is 3 percent of assessed valuation.
"Because of those caps your assessed valuation really determines the amount of property tax revenue you generate for the following funds: Debts service, capital projects, transportation, bus replacement and retirement severance bond payments," Sichting explained.
The state has assumed control of the general fund and special education fund, he added. They will provide revenue to support those two funds.
According to the Legislative Services Agency:
* In 2009, Bloomfield School District will lose $13,057.
* In 2009, Linton-Stockton School District will lose $85,711.
* In 2009, Eastern Greene School District will lose $4,137.
But the losses are much greater the next year, according to Sichting.
* In 2010, Bloomfield School District will lose $110,924.
* In 2010, Linton-Stockton School District will lose $241,408.
* In 2010, Eastern Greene School District will lose $70,805
But the legislature set up a fund to offset some of the losses.
Sichting explained, "What the legislature did is set up a fund of $75 million to lessen impact of the circuit breaker in 2009-10."
In 2009, Bloomfield School District would not receive any of that fund because its losses are not 5 percent of the levy, he explained.
"But in 2010 because we lost $110, 924 we would receive some money of that fund," Sichting explained. "The net loss in 2010 would be reduced to $60,115."
In 2010, the Bloomfield High School will be paid off and $300,000 will go off the tax rolls, he said.
"So this isn't going to hurt the Bloomfield school District as much," he added.
But the current elementary renovation will add $447,000 to the tax rolls, he noted.
House Bill 1001 also gives counties the authority to raise the local option income tax by .5 percent, Sichting said.
This increase would also offset the total revenue loss, he added.
According to Legislative Services Agency in 2009, if Greene County adopted the local option income tax increase the revenue loss would be:
* $381 at the Bloomfield School District
* $16,983 at Linton-Stockton School District
* Zero at Eastern Greene School District
Without increasing the local option income tax, Greene County will lose over $1 million in 2010, Sichting noted.
That's a substantial loss among all taxing units in 2010, he said.
Guess who really looses? The Public Servants like Police and Fire, that is where the Cities and Towns will cut so they can keep the status quo elsewhere.
The Police and Fire are already operating on shoestrings anyway, crime will not be deterred and firemen will continue to die in greater numbers because the police and fire will begin laying off employees. WE THE PEOPLE always suffer, when it takes longer for the Sherrifs Department to get to your house during a robery because there is not enough manpower and likewise when your house is burning down and it takes 20 minutes for the fire department to show up all because of the budget cuts in the public servant areas, we will suffer!
Why dont they cut garbage workers, extra hire and temporary employees? OH NO! we cant do that... we need the temps and extra hire people to help us count more of your money! GET A LIFE!
What about the free trade policies Mitch supported where we lost all our industries that paid the property tax. Now that they are gone the burden falls on the little guy.
Be prepared for the fall campaign. Mitch will tell us we never have had it so good!!!
Then see what he does for us in the second term when he can't run again and has nothing to lose.
You ain't seen nothing yet.
Ken,
I told you this would happen. For the first half of his time in office Mitch was the Satan of the middle class; now he is the great savior of the middle class. This is not about anything but being re-elected.
I am 100% with America on this part -
"You can choose if you are going to pay a sales tax just do not buy something.
Property tax is immoral. Unless you want to tell people to just not own property then homeowners are forced, at gunpoint, to pay for services that everyone is getting. (If you do not believe it is at gunpoint then dont pay the tax and refuse to leave your land and see who shows up to remove you.)"
As for the Mitch haters, It's pretty apparent either you don't work or are in a union. At least Mitch tried to do something for this state which is more than anyone can say for Obannon who sat on his behind for eight years while Indiana sank lower and lower.
Taxes pay for the "free" services so many people have come to expect, decent roads, good schools, free libraries, care for the indigent.... the system basically takes from those that "have" to provide a standard for everyone. There is rarely such a thing as a tax cut....."shift" is exactly what happens. How often in the home budget does one quit paying a bill and the service is still provided...somehow people seem to expect governments to provide services without charging, it can't be done. Now the issue is will our local officials be willing to face the local residents, and raise the County Option Tax? We see how this bill may affect schools, I would like to know the impact on county services.
Since when is Sichting a tax expert?
You can choose if you are going to pay a sales tax just do not buy something.
Property tax is immoral. Unless you want to tell people to just not own property then homeowners are forced, at gunpoint, to pay for services that everyone is getting. (If you do not believe it is at gunpoint then dont pay the tax and refuse to leave your land and see who shows up to remove you.)
I would also like to call for the end of payroll tax deductions. Everyone should have to take cash up to the court house and pay for social security and medicare and income tax and county tax every month. Lets see then how many people like the tax burden and we will see then just who will pay up.
Home school your kids and buy a 4 wheel drive truck. If we needed a football team we could just round up the young ones from the deep mines and suit em up like we used to.
I would also like to call for an amoratorium(?) on the gas tax: federal and state wide. I guess people who work for the govermnment might have to lose thier jobs just like everyone in the private sector! Are public workers some kind of royalty? No body demanded people pay money at gunpoint for the people at kpt, the porkplant,sunbeam,ge,thompsons,cordfactory or etc, etc, etc, to keep their jobs. So you threaten to take my families home away from us so we can have overbloated union construction projects or butt tons of goverment agents that do nothing but strip liberties away from citizens.
I guess we need more rich people to tax, but what happens when there is not any of them left and I dont see lots of them here in Greene County.
How about our leaders create some industry to put people to work producing something in the private sector. Maybe build an interstate or a new coal gasification plant. Thats right, I forgot, coal is the devil and we need to fix the road in front of your house first. Well I will just run out and heat my house with a windmill next winter and no industry will ever locate here because of the lack of any sort of transportation infrastructure.
I might not even have to worry about heating the house next winter anyway, the county will take it and sell it for nothing to some rich guy who already owns a dozen houses all over town that he bought off tax sales and is renting out to poor people, in dumpy conditions, for 600.00 a month.
That is what he has to charge because the tax is so high. I cant afford that so I will just go on hud, live off heating assistance and the circle will start all over.
I guess then I wont be paying for the services I will be accepting them. Sounds like that just might be a good plan. I have seen some them hud condos. Not too bad....no lawn to mow.
Just wait until you pay the sale's tax on a car or other big ticket items and see how much you really "saved". Mitch really put one over on us. Please continue hitting me in the head with a hammer, it feels so good when it stops!
Thanks goodness, we elected My Man Mitch and his cronies such as Elvis. We will be headed to one County-wide school system. Thanks to the Gov.
It's not a shift, it's an increase. The property taxes won't go down until 2010, supposedly. The sales tax increase is almost immediate - Effective April 1st!