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Lingering consequence

By John Horgan
Tuesday, May 6th, 2008 at 8:43 am in Uncategorized.

Thirty years after California (and San Mateo County) voters overwhelmingly approved Proposition 13, the landmark property tax initiative, its significant after-effects continue to linger. One of those consequences can be found in Burlingame, where the average price of a single-family residence has topped the $1 million mark. Burlingame, in spite of its seeming affluence, is in something of a financial pickle. The town needs to spend at least $39 million to upgrade its aging storm drain system. It tried to get a bond issue passed and failed. The measure went down to defeat due, in part, to stiff resistance from people who bought their homes relatively recently and are being taxed at close to full market value. Meanwhile, long-term residents receive the benefit of Prop. 13’s tough restrictions on annual tax hikes. The argument of the newcomers is that they would pay much more for that proposed bond. Now, Burlingame authorities are taking another look at how to pay for those needed infrastructure improvements. And the question is: Will they bow to the howls of the minority and seek a funding mechanism that requires only a simple majority vote for approval and spreads the burden more evenly or will they go back to the electorate again with a more traditional bond that has a mandatory two-thirds threshold along with the Prop. 13 wrinkle? No one will be surprised if it’s the former route.

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One Response to “Lingering consequence”

  1. Lois Says:

    Won’t people just leave Prop. 13 alone. We fought for it because taxes were killing us, many losing their homes because of the taxes. If people think their property taxes are too high, fight to have your taxes lowered. I think government has grown too big, there is a lot of wasteful spending. People have become too dependent on government. I’m not a scholar on economics, but I do know I shouldn’t spend more than I take in. I say government has to stop the outlandish wage and pension, perks in the system, for government employees. It’s like putting the fox in the henhouse. Most government jobs are nothing more than welfare jobs. Less government, more individual responsibility.

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