Proposition 13 was passed by California voters 32 years ago this month and in New Jersey the governor is trying to get a similar property tax reform on the ballot. Gov. Chris Christie’s proposal would set an annual 2.5% cap on property taxes.
The measure is more in line with Massachusetts’s Proposition 2 ½, which passed in the shadow of Proposition 13. Proposition 2 ½, steered to victory by taxpayer activist Barbara Anderson, celebrates its 30th anniversary this year. Anderson held meetings with Howard Jarvis a number of times in preparing her initiative. It seems Proposition 13’s progeny could populate more of the country.
Of course, the New Jersey property tax proposal is not law, yet. The Garden State does not have the initiative process so the governor has to convince the legislature to put the measure on the ballot. Then the people will get a chance to vote on it.
A recent Wall Street Journal editorial noted that 50-years ago, New Jersey’s property tax was about average when measured against other states. At that time, the state had no income or sales tax. However, over that 50-year span, the Garden State established a 9% income tax and a 7% sales tax while increasing property taxes about 30% above the national average.
New Jersey is not the only state in which the natives are restless over property taxes. While the value of homes has dropped in most places in the country, property taxes have often risen – 25-percent of cities raised property taxes in 2009 according to the National League of Cities. Recently, Philadelphia raised property taxes nearly 10-percent.
In many locales, assessment appeals have increased dramatically.
One wonders what the California property tax rates would look like without Proposition 13 in place.
A couple of years ago, Anderson wrote a column for the Salem News in Massachusetts recounting her support from Jarvis, and telling of a bronze bust of Howard she received from the Howard Jarvis Taxpayers Association to honor her service to the taxpayers.
She concluded the column by noting that taxpayers were again being pressured in Massachusetts and "Once again, it is time for taxpayers to assert themselves and defend their homes. Somewhere, Howard Jarvis wishes us taxpayers well."
The same might be said for taxpayers of New Jersey and other states, today.