IS IT TRUE that the Evansville Vanderburgh School Corporation’s Board voted last night to increase the tax rate on property in Vanderburgh County by 11.1%?…that the rate increase was approved to go from 54 cents per $100 assessment to 60 cents per $100 of assessment?…that this amounts to an increase of $60 in taxes for every $100,000 that your home is assessed for UNLESS you are one of the diligent people who has succeeded in having your assessed value reduced to reflect the DROP in housing values?…that if your home’s assessment recently was adjusted downward by 10% that mathematically this rate increase will not result in a tax increase at all?…that if the schools had a need for $540 from every $100,000 of assessed value last year and they need the same $540 this year but the assessments have fallen, that the only way for EVSC to remain revenue neutral is to raise the rate?…that the property owners of Vanderburgh County would be well served to concentrate on DOLLARS instead of RATES?
IS IT TRUE that we can expect similar RATE INCREASES in the next two years to make up for what is certain to be at least two more years of falling assessments?…that Indiana’s system of adjustment for assessment can run nearly two years behind actual market values?…that is why our assessments stayed high or even increased when our values started falling?…that is also why our assessments will continue to fall for a couple of years after our values stabilize?…that the CAP on the total amount of tax that can be levied will limit the effectivity of increasing the rate?…that in a falling market that the RATE to CAP ratio will only result in real dollar tax increases up to the point where the CAP is met?…that once again property owners all over Indiana need to concentrate on DOLLARS and not RATES?
IS IT TRUE that if values fell to ZERO as they have nearly done in some areas of urban squalor where crime, prostitution, and drugs drive families out and create abandonment zones then our schools will be in real trouble?…that in about the 3rd grade we all learned that ZERO times any number EQUALS ZERO?…that means that ANY RATE AT ALL times ZERO is ZERO?…that a falling market exposes a real weakness in PROPERTY TAX CAPS?…that in a rising market with market price assessment and a cap that things tend to work well and rate adjustments are seldom necessary?…that learning how to deal with falling real estate values is negatively affecting more than just schools?…that banking, credit, municipal budgets, family budgets, and yes schools are having to learn to cope with the ugly realities associated with the restricted cash flow that accompanies housing market meltdowns?
IS IT TRUE that learning is the operative word in this whole undesirable scenario?…that if Indiana can actually use cognitive thinking and cooperation to craft a way to adjust the property taxing process to assure adequate funding for EDUCATION and GOVERNMENT without handing politicians a blank check to finance cronyism and waste that it will be a testament to our education system that we can do so?…that defunding education on the basis of diminished valuation of real estate will not only make us a poor state from a net worth perspective but it will assure that we will become a dumb one too?
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