A proposed ballot measure in North Dakota that could largely end property taxes has sparked a heated debate among supporters and opponents. The constitutional initiative aims to eliminate property taxes based on assessed value and would require the Legislature to replace the lost revenue. However, opponents are concerned about the impact on crucial state services such as Medicaid expansion, education programs, hospitals, and infrastructure projects.
Supporters argue that the state has enough resources to fill the revenue gap, pointing to the state’s oil tax savings and potential cuts to “corporate welfare” as potential funding sources. The Keep It Local coalition, comprised of over 100 organizations, has formed to oppose the measure, describing it as a rash solution to a complex issue.
While a similar measure failed in 2012, supporters are optimistic about the current political climate and expect a closer vote margin. If passed, the measure would set the replacement revenue from the state at the amount of property taxes levied in 2024. However, opponents argue that local governments may need to implement other forms of property taxation to address revenue shortfalls.
Critics also point out the potential impact on local municipalities, such as Fargo, where property taxes make up a significant portion of the budget dedicated to essential services like police and fire departments. With a glowing financial outlook for the state, the debate over the potential elimination of property taxes is likely to intensify in the lead-up to the 2024 election.
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