Interim committee looking at property tax relief proposals
An interim Legislative committee is looking at two proposals deigned to lessen people’s property tax burden.
Sen. Don Schaible (R-Mott), the chairman of the Senate Education Commitee, said his proposal is based on action in the 2013 session, when the state took on a larger share of the cost of education. That bill requires a school district to levy 60 mills. Schaible said his proposal would lower that requirement to 30 mills. That comes with a price tag of $330 million per biennium. Schaible suggests that come from the profits of the state's Legacy Fund.
In addition, Schaible says the tax would be expressed in dollar amounts, rather than a mill levy.
"The state would pick up over 80 percent of the cost of education, creating substantial property tax relief," Schaible told the interim Taxation Committee. "It also provides transparency and clarity in budget and spending, and gives clarity to the taxpayer."
Sciiable said if people are worried about the property tax, they should be involved with the budget and spending, and know the justification for the spending.
Meanwhile, Sen. Tracy Potter (D-Bismarck) is suggesting an income tax credit for property taxes paid.
"It's about a $100 million to a $120 million biennial figure," Potter said. "It's money that goes directly to the taxpayers."
Potter said the state is doing well fiscally, and the money for his tax credit would come from the state's General Fund.
The Committee is hoping to make a recommendation to the 2023 Legislative session.