Junto Boys

WHY TAXES SHOULD MEAN TERM LIMITS

Since all politics is local I think we should term-limit these local cretins to one opportunity per person. I wouldn't even let the school board member run for county commissioner. Once you’ve had your 2-4 yea term, you need to head back to the private sector and live in the world you created. Why do I feel that way? Read on.

Property values have gone up so quickly in Orange County that the government is receiving a tremendous tax base boon. The downside is people are being priced out of their own homes due to the increases. The solution could have been easy, reduce tax rates. Their solution is clever and therefore more cynical. Like the state’s $25,000 homestead exemption, the county created a program called “SAVE OUR HOME.” If you own the home you live in, your property taxes cannot increase but by a few percentage points a year. If you’re an investor there's no such relief. This has two consequences.

First, the people who cannot afford to own their homes will be paying higher rental rates to make up for the higher taxes. It’s not only a tax on the poor, but the higher rental rates will make it even harder for these people to save the down payment to eventually buy. It also makes it harder for owners to keep up with repairs. So the poor will be paying more and more for less and less.

Second, property owners that once saw Orlando real estate as a good buy will realize that they’re better taking the capital gain on the appreciation and running. The investment money that was driving this boom will leave to invest elsewhere else in the world. This will cause a slowdown in growth and possibly stagnation.

There is something like 12 high rise luxury apartment buildings being planned for downtown. Any change in the current real estate market could hurt these builders and create half constructed eye sores in the downtown area. The increased tax base that politicians are counting on could dry up.

This decision is based on getting votes from home owners that will be giddy with delight while renters will blame landlords instead of politicians for their troubles. In fact, the requisite do-gooders will probably be banging down the door of city hall demanding the government step in against these greedy owners.

Trish and I both own houses and we’re building a third. Most people would sell them and put their money into the new construction. We’ve decided to use those homes as an investment. We could take that same money and invest it in Colorado, India or even real estate stocks, but we’ve chosen Orlando.

Why should our property tax burden be connected to our behavior? As Americans we have the right to life, liberty, property and equal protection under the law. How is the government’s selective taxation constitutional?

We'll never get the Supreme Court to see this obvious violation. They can only find phantom rights and vague interpretations of old laws. The only way to limit this opportunistic approach to vote getting is to allow no one to run for re-election. They can only buy our votes if they're on the inside.