Prop. 15 Empowers Big Business, Destroys Small Business

California’s state and local governments, and the public sector unions that exercise nearly absolute control over the politicians who supposedly oversee them, have always had an insatiable desire for higher taxes. The economic impact of the COVID-19 pandemic has added even more urgency to their insatiable quest for more money from taxpayers, but through the years their basic game plan and goals have been remarkably consistent.

For example, the so-called “Split Roll” property tax increase which has finally made it onto the November 2020 state ballot in the form of Prop. 15, is something that has been proposed for years by California’s government unions and their supporters. This new tax is designed to undermine the historic 1978 Prop. 13, which limits property reassessments to when there is a change in ownership, and from that baseline keeps increases to maximum of two percent per year. Prop. 13 also freezes the property tax rate at one percent, although countless local “fees” have elevated the actual amount owners have to pay.

The way Prop. 15 is being sold to voters is based on its impact being restricted to commercial properties. Because residential properties are unaffected by Prop. 15, at least initially, proponents expect voters who own homes to not feel threatened by the measure. The airwaves are already saturated with ads in support of Prop. 15. To paraphrase, the themes are “make the wealthiest corporations pay their fair share,” “relieve the crowded classrooms,” “help local communities respond to the impact […] Read More