As the Legislature debates whether to have the state take over funding for county social service programs, the future of the 12 percent property tax buydown plan appears to be slightly shaky.
That “bucket” of money – which comes from oil taxes – would be used to pay for the takeover of the county responsibility for social services. But the House wants to study it for two years. And there is a question if the 12 percent will be there for the second year of this biennium.
"We're having some real trouble balancing teh books," said House Majority Leader Al Carlson (R-Fargo). "But every county and city has budgeted for 2017, and they have figured that 12 pecent into their budgets."
Carlson said there will be some money for property tax relief in the second year of the biennium. But he said it may be less than in the first year.
"It coukd be, but that's by no means definite," Carslon said. "There are only some big pools of money out there -- the impact grants and the property tax money are the only ones set out for us to look at. We'll have to make hard choices on both of them."
Carslon says there are few options.
"I've dug up every cream can," Carlson said. "There's nothing left in the basement of the Capitol."
Senate Majority Leader Rich Wardner (R-Dickinson) said even if the property tax relief plan may not be at 12 percent for the second year, the Legislature has done other things to cut property taxes – such as having the state fund most of K-12 education.
"$735 million that would be on the property owner if it weren't for the last eight years," Wardner said. "We took 115 mills off the table."
