Measure 4: How the election results will impact property taxes
Oct 31, 2024
NORTH DAKOTA (KXNET) — North Dakotans will be voting on Measure 4 soon and if passed, it would eliminate property tax here in the state.
Get out and vote. That's what voters for and against North Dakota Initiated Measure 4 want everyone to do this November.
The measure is designed to prohibit the state and local government from levying taxes on the assessed value of a home.
If voters approve the measure, the state government would be required to replace property tax revenue in an amount equal to the amount of tax revenue levied on personal property. The initiative is similar to a 2012 measure that was defeated by more than 70%.
But, this one has been in the works since 2018 by the chair of the End Unfair Property Tax Committee, Rick Becker.
He says the measure greatly benefits North Dakotans as the state will cover the amount paid by the taxpayer that normally comes from their property taxes.
"The state must replace to every school, city, county, township everything that they're currently getting in taxes, we keep that amount. The second thing is that there's reform then beyond that with the cities and the counties and the schools need above that amount that the state replaces there still in charge of their budgets there still in charge of raising the money," said Becker.
Becker says the state has such a large amount of money coming from sales tax, income tax, and taxes on oil and coal, that the state would not have to cut services or raise taxes if Measure 4 passes.
State lawmakers explain Measure 3’s impact on Legacy Fund
"In North Dakota, we don't have to raise more money. We already have enough because we have excess money in funds in North Dakota as well as wasteful spending that can be cut that the people of North Dakota would prefer to get cut. We use that money and that's why the state doesn't need to cut any services and doesn't need to raise anyone's taxes the money is already there," Becker explained.
However, Chad Oban, chair of the Keep It Local Coalition and critic of Measure 4, says there is no plan in place to replace the $3.15 billion in lost revenue from property taxes if Measure 4 passes.
"There's no plan in the constitutional measure that folks are going to be voting on on how we are going to replace that revenue. It's a bit of a fairytale to suggest that we are going to be able to snap our fingers and come up with $3.15 billion. Folks need to realize that our property taxes pay for our schools, our law enforcement, our roads, they pay for our libraries, they pay for our parks, all the things that make North Dakota great," said Oban.
Oban points to North Dakota's legacy fund which is close to $10 billion.
"The legislature is mandated to reimburse political subs at 2024 levels. What if a political sub needs a new school, a new fire truck, all these different things, the proponents will just say raise other taxes. We'll if you're in a small town, you don't have sales tax base, you don't just have a base to raise other taxes you're going to come to Bismarck and have to sing for your supper in order to get a new fire truck," explained Oban.
Although these are two different perspectives, there can only be one outcome this November. And it's all up to you.
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