HB 160 - Property Tax

[kralspaces]

Read it here: http://legis.state.nm.us/Sessions/09%20Regular/bills/house/HB0160.pdf

This addresses what was wrong with HB 366 back in 2001. It removes the re-evaluation of houses at sale to current market values which has caused a serious disparity in property tax between you and your new neighbor.

Fortunately for the old timers on this forum, this bill has no effect on you personally but will have a heavy burdon on your children when you quit deed your houses to them. If they keep the house, they will have to pay the higher taxes.

Unfortunately, the new house bill doesn't have a chance in a year when there is a shortage of tax dollars for all state and local governments.

[kralspaces]

Why are you paying more property tax for your property than the owners of 500 N Main (BofA) and 400 N Penn (Wells Fargo) properties?

Answer: Because the City has owned both of these buildings since 1983 and Government entities do not pay property tax. I had no idea and when I shared this information with serveral others (including the RDR) this morning they were not aware either. How many more properties are owned by the City and collecting ZERO tax.

By the way, I left another letter to the editor to counter Steve Henderson's position on the Feb 3rd tax levy vote. I was waiting to get the last word and I hope it helps make some sense of all these bond and levy request.

[kralspaces]

saw, can you comfirm that the City owns 500 N Main and 400 N Penn. I was told this afternoon that both buildings are privately owned and financed by bonds which apparently make them tax exempt. When I was at the Assessor's office this morning their online system has the City of Roswell listed as the owner of both buildings. I need to verify before my letter to the editor gets published on Sunday. Thanks

[kralspaces]

Sneak Preview:

Property Tax Reform Needed

Ms Alma Wilson’s letter to the editor regarding yet another bond issue expresses the frustration of many property owners in Roswell. In the last 18 months, we have been asked to pass 3 local bonds last March and 4 State bonds last November all to be paid for through property tax rate increases. Now we are being asked again to pass another property tax levy this week. Ms. Wilson wants to know if these requests are ever going to stop? More bonds or levy’s are not the answer for the revenue requirements of the State, County or City. Property Tax reform is needed throughout the State of New Mexico. There are 5 bills in this year Legislation that address the injustice of the New Mexico Property Tax Code. They are HB0160, HB0251, HB0261, HB0258 and SB0181. All can be viewed at the New Mexico Legislature web site: http://legis.state.nm.us/lcs/default.aspx . Five separate bills that have been written to address the inequalities and injustice of our current Tax Code sends a strong message that there is definitely something very wrong. It all started in 2001 with the passage of HB0366. That bill’s intention was to protect the property owner from ‘run away’ property tax increases by putting a cab on how much increase can occur in one year at 3%. That part of the bill was great for the property owner and fulfilled the intent of the bill. However, HB0366 was loaded down with other criteria that worked against new property owners. The intent of this other criteria was to generate more tax revenue by re-evaluating a new ‘market value’ of the property every time the property is sold (or any kind of title change) and use that in it’s formula to determine the new tax base for the property. For those of you who purchased your homes prior to 2001, you are in good shape because you pay tax on the lesser tax base. For those of you who purchased your property after 2001, you pay tax on a higher tax base, sometimes 2-3 times more. So when a property tax bond issue or levy comes up and is passed, you will also pay more. We just elected a new president who stated that we should all share the wealth. Well, I believe we should all share the tax burden. The property tax base disparity between 2 properties with the same appraised value is unjust, plain and simple. So Mr. Steve Henderson, ENMU-R Board President, while I sympathize with your financial woos at the University, now is not the right time to ask the property owners for more money through a property tax rate increase. As City Counselor, maybe it is the right time for you to look closer at the property tax exemptions given by City Hall to what should be private property. Sorry. Try again in 2 years after the property tax reform has been implemented. Well, at least that is my ‘hope’.

[saw]

I am working on it. Will let you know ASAP

[Swadlo]

Do not forget Christmas by Kribbs. They got a sweetheart Dael of a loan from the city and included in the deal was a 25 year exemption from the property tax's roll. City council approved it.

Swadlo

[kralspaces]

A message was sent. No matter how little the amount, enough is enough. I highlighted the most important part of the following extraction from the RDR: http://www.roswell-record.com/main.asp?SectionID=49&SubSectionID=112&ArticleID=38915

"The ENMU-R board, which proposed a mil levy to help support the college and its programs, was less successful. The measure was defeated 1,057 to 821.

"We were only asking for a small mil levy, so we were hopeful that it would pass," said Community College Board member Mireya Trujillo. "This would have really helped."

However, she said she is confident that the college's leadership can find ways to budget carefully and find new revenue sources, and continue to serve the community."

[kralspaces]

HB 160 passed the first hurtle: http://legis.state.nm.us/Sessions/09%20Regular/bills/house/HB0160BI1.pdf

[kralspaces]

Image that... a town hall meeting to discuss bonds for the next election in this little NM town. That would never happen here and it should.

http://www.alamogordonews.com/news/ci_11675520

[kralspaces]

This was an interesting piece for me. Besides the disparity in property taxes, I also have a serious problem with our anti private business GRT tax structure. This article introduces yet another valid concern for citizens unless you already work for the Government.


http://www.abqjournal.com/opinion/guest_columns/09912555971opinionguestcolumns02-09-09.htm

[saw]

Kral: Read your article in the RDR today; have a question or two:

How do we set the value on these properties unless there is a detailed appraisal every three years or so?

Your concern is that my house, which I bought 20 years ago, is now worth as much as yours which you bought one year ago. However, I paid only $100,000.00 for mine and you paid $200.000.00 for yours. A detailed appraisal is the only way to assess the value of my house now. Right?

An appraisal is the only way to determine the value of your house because what you paid for your house may not be what the house is worth. Right?

Now your house may drop in value because you purchased your house during an inflated time of housing prices, while mine might go up in value because I bought my house during a recession. Do you think that we should still pay the same taxes?

An appraisal might find my property to be worth much less than what I can sell it for, what then? (The charm value or I just love that old house.)

What if all of the property values drop in a matter of three years, do we all get a tax reduction?

[kralspaces]

This is a bad bill. The City and County have bond committements and this bill reduces the amount of tax dollars they will receive to pay off those bonds. Where will the money come from for those commitments.