RICHMOND
Voters may get a say this fall on a "homestead exemption," but legislators probably won't flesh out the details of that tax relief until next year's General Assembly session.
A House of Delegates subcommittee Wednesday killed SB496, which would have laid out how a homeowner tax-relief program would work. The bill was sponsored by Sen. Ralph Northam, D-Norfolk. The Senate is still weighing a measure that calls for a referendum during the November election on a constitutional amendment for property tax relief. The amendment would allow localities to exempt or defer up to 20 percent of real estate taxes on homes.
Northam's bill was the last that would have set up a way to implement the constitutional amendment. With its spiking, legislators would have to draft and approve another bill during next year's session. The exemption program could still be in place by early 2009.
"It's just a delay," said Del. Kenny Alexander, D-Norfolk. "It's going to happen."
- Richard Quinn
English-only bill to protect employers fails
A Senate committee narrowly rejected a measure Wednesday that would have protected employers from lawsuits if they fired workers for not speaking English on the job.
In a 7-7-1 vote, the Senate Committee on General Laws and Technology defeated HB1472, according to the General Assembly's Web site. The decision was split along party lines, with Democrats opposing the legislation.
- Jen McCaffery
Bill that helps military with DMV issues advances
A bill that would help protect military personnel from having their vehicles sold while they are deployed passed the Senate on Wednesday and appears to be on its way to becoming state law.
The legislation sponsored by Del. Terrie Suit, R-Virginia Beach, would require the state Department of Motor Vehicles to inform individuals who inquire about the title of a vehicle they want to sell that it belongs to a soldier, sailor or airman.
Military personnel already have the option to list their military status with DMV at the time they title or register their vehicle, according to agency spokeswoman Melanie Stokes.
Under SB521, if the owner of a towing company or a storage facility wanted to sell a vehicle believed to be abandoned and inquired with DMV about its title, he or she would be informed that it is owned by a military enlistee.
- Julian Walker
Opt-out from No Child Left Behind gets OK
A bill that could have the state withdraw from participating in the No Child Left Behind Act has passed both chambers of the General Assembly.
SB490 is a variation of a bill signed into law each of the past few years; it passed the House on Wednesday, 92-5. It reads that if the U.S. Department of Education doesn't grant Virginia waivers from certain standards of the law - such as testing non-English speakers' reading comprehension of English - then the state Board of Education will look at a plan to withdraw from the regulations of the federal law. The bill would make the state board develop the plan to withdraw by summer 2009.
But the move could jeopardize hundreds of millions of dollars of federal funding, so Del. Chris Saxman, R-Staunton, added a clause to the bill. He wants to ensure that if the state board develops a plan for pulling out of the federal program, it should also look at how to keep as much related money as possible.
- Richard Quinn
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Bring on the Chaos...
If it fosters any kind in Richmond and the local area i'm all for it. no matter the cost. Because we've been handing over money hand over fist to developers to build around this area to the point of saturation. Time that we have a council that listens to the people, not the bank roll. So if (and that's a mighty big if) the homestead exemption passes and causes the chaos that Mr. Barrett talks about then this should finally get the people off their collective butts and out to the polls. if it doesn't then this area deserves the continuing raping of the land, your wallets, all the while Mr. Barrett, Runnymede, Myra, and other get rich.
Your best interests they do not have at heart. Just their wallets... proof is they are will to sell your kids down the river by removing funding from them, but they have never curtailed by one percentage point the amount given to developers... think about that...
Well, Actually
Clearly posters herein just don't have the facts. In the years since 1994, the longest period for which data is available, the assessments for commercial property have actually increased at a higher rate than that for residential property. Now it is true that for a few years, residential did increase faster than commercial, but again, the point is that our current system if equitable, fair, and self correcting. That is, if assessments increase at a high rate, council can reduce the tax rate, which is exactly what they have done. Greenmun and his anti tax cohorts at the Taxpayers organization will not be satisfied until residential taxpayers pay nothing. In fact, if this exemption passes, tax rates will rapidly escalate, meaning that even owner occupied homeowners will pay higher real estate taxes, and to qualify for the exemption, they will need to get in line with 106,000 other homeowners, prove their identidy, prove them own the home, and prove they don't rent out the property, all to still pay higher taxes. Thanks, Greenmun.
Developer Barrett - enemy of homeowners
Yup, there you have it folks - guys like Mike Barrett and his Chamber pals work overtime to block any effort to allow homeowners to have only the possibility of some much needed tax relief. The local business lobby applies political pressure to deny homeowners any tax relief whatsoever. For many years the average increases in assessed value for commercial property in Va Beach have lagged far behind the skyrocketing increases on our homes. Where were Mike and his business pals to cry "foul" and lobby for 'equity" in tax increases for business assessments to be kept on par with those of Beach homeowners? They were silent. Commercial property owners have enjoyed a comparatively free ride since 2001. Now they howl "unfair" when they might have to pay more of their fair share? Pitiful.
Well, you may certainly be
Well, you may certainly be correct. But already many political leaders in the Senate have taken the courageous path and voted no on this initiative. Now I don't know their motivation in detail except to say most realize that it was that type of thinking that put the Commonwealth at risk of bankruptcy because of the car tax debacle, and it took a letter from Moody's Investors Services to the Governor to restore the sanity of those who would have sold our future down the river. The Homestead Exemption has the potential to cause as much or greater damage to the finances of local government as the car tax debacle created for the Commonwealth. So if you really support decision making that is in the public interest, there is no way you can vote for the Homestead Exemption and come back home and say you did what was right for Virginia. The order of magnitude of this potential loss of local real estate revenue is far greater than the normal scarcity that councilmembers face at budget time. This could cause fiscal chaos.
This will pass sooner or later.
Frankly I don't see how any elected official in Virginia could vote against these types of bills. It might be bad policy in some folks eyes, but it is a politician's dream come true. "I voted to reduce your taxes." Is there a better line in politics? And here is an example of the Democratic folks voting to reduce taxes on the residents and voters. I don't believe they can vote "No" on this one. JMO
Looking forward to the Political issues this will cause...
Actually, if there is a worst case scenario with this issue I say bring it on. Personally, I don't see the "all hell breaking loose" scenario that Mr. Barrett always talks about when there is any inclination of a tax break. And believe me, each time there is talk of a tax break for the last three years he and Myra are always the first to say that kids and schools will suffer but interestingly enough there is never any reduction in development. so money will keep going to projects instead of the kids...
But I look forward to the political fall out. so many times you hear "vote the bums out" but nothing is every done. If this causes double digit increases then this may finally be the tipping point. the only way to get the "bums" out is to vote them out. when only 17% of the electorate shows up then we are giving tacit approval for mismanagement and pocket lining. hopefully this will change if this truly becomes the worst case scenario
Homestead Exemption
If this exemption were approved in Norfolk, here is the likely effect. If you assume that your implemented the exemption at the full 20% level, and still needed to increase tax revenues from the real estate tax by 10% next year, then the tax rate would need to go from $1.11 to $1.40 per $100 of assessed value. That means residents would still pay 1.8% more in real estate taxes than the year before, while businesses would pay 27% more. Think of the political implications of this action. Renters who will pay the increases will feel that they have been treated unfairly, businesses will be angry but will pass these costs through to their customers, and the worst reaction will be left to the anti tax zealots who will want to know why they didn't receive a 20% reduction in real estate taxes. When you break this down and really look at the implications, it is not only bad public policy, but it has serious political implications as well. Best solution, tell your Senators Miller and Northam that you will be quite satisfied to let this initiative be passed over. It simply is not worth the chaos, conflict, and fiscal disruption that it is destined to cause.