Name: Proposition 15 will destroy local businesses, hinder post-pandemic recovery
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Proposition 15 will destroy local businesses, hinder post-pandemic recovery

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By | Orange County RegisterWith a dozen propositions on our ballot the disinformation campaigns can be confusing. The spin from the proponents of Proposition 15 has been the worst I have seen in a long while.Let me be very clear. There is no loophole that Proposition 15 needs to close, and this is not about our children or their education.Proposition 15 is about trying to pass the largest property tax increase in California history and begin to tear apart historic Proposition 13 protections on everyone, homeowners, renters and businesses.All properties are taxed in the same manner whether commercial of residential based on our state constitution, not Prop. 13. And it was the state legislature in Sacramento that defined when a change of ownership occurred for reassessment purposes, not Prop.13.If the state legislature wanted to change the rules they could.&nbsp; But they won’t. They have been saving this “loophole” political spin for just this moment.And by the way, business and non-homeowner occupied properties have always paid the highest percentage of the property tax base in California.&nbsp; Only 37 percent of the property tax base is now being paid for by homeowner occupied property, down from 42 percent when Prop. 13 passed.Proposition 15 would raise property taxes on fundamentally every commercial property in California.&nbsp; And while this was a really terrible idea last year, it will now destroy any hope of a return to a robust economy in California, and that means more job losses.If Proposition 15 passes it will not just impact large corporations. The claim that most of the revenue will be provided by just a few large corporate properties is a red herring. Most small businesses rent their space and have what is known as a “triple net lease” which means they are responsible for paying any increase to the property tax bill.Think about every business in your neighborhood. Your favorite restaurant, your grocery store, where you get your hair cut, the vet who takes care of your pet, your nail salon, your gym, your child’s day care center, your grandparent’s senior residential care home, the movie theater you used to be able to go to…every local business will have their property tax or rent bill raised.Which means you will be paying more at the register.What is even worse is using our children as a reason to pass this $11.5 billion tax increase.&nbsp; Prop. 15 places schools at the lowest priority for receiving any new revenue.&nbsp; It’s no surprise to learn that Sacramento bureaucrats get first shot at the new money stream.Next, counties will need to take their cut just to try and implement the new assessment process.&nbsp; County assessors up and down the state are opposed to Proposition 15 because of the costs and difficulties in trying to implement this badly written initiative.After local government and special districts take the next chunk, schools will end up with less than 30 percent of any revenue.There is also no guarantee that a dollar will see the inside of a classroom. Nothing is written in Proposition 15 that states how these new tax dollars need to be spent.Does California need tax reform? Of course.&nbsp; Do we need to figure out why our state spends almost half it’s budget on education without seeing a credible return on our investment? Absolutely. But pouring more of our money into the black hole being dug by government bureaucrats is not the way to accomplish any of this.The Chan Zuckerberg Initiative, a foundation funded by Mark Zuckerberg of Facebook has funded over $10 million in support of Proposition15 and attempted to convince other tech billionaires to do the same. I can only speculate on why Zuckerberg has no problem going after my neighborhood small business owner.I am sure, if he even shops or uses services in California, he won’t have a problem paying more for a gallon of milk, a dozen eggs or a visit with his pet to the vets.&nbsp; But I can’t afford to pay more, and I care about the businesses in my community staying open.&nbsp; So I am voting No on Proposition 15.Carolyn Cavecche is CEO and president of the Orange County Taxpayers Association.We invite you to use our commenting platform to engage in insightful conversations about issues in our community. We reserve the right at all times to remove any information or materials that are unlawful, threatening, abusive, libelous, defamatory, obscene, vulgar, pornographic, profane, indecent or otherwise objectionable to us, and to disclose any information necessary to satisfy the law, regulation, or government request. We might permanently block any user who abuses these conditions.Get the latest news delivered daily!Follow UsMost PopularClose

By | Orange County RegisterWith a dozen propositions on our ballot the disinformation campaigns can be confusing. The spin from the proponents of Proposition 15 has been the worst I have seen in a long while.Let me be very clear. There is no loophole that Proposition 15 needs to close, and this is not about our children or their education.Proposition 15 is about trying to pass the largest property tax increase in California history and begin to tear apart historic Proposition 13 protections on everyone, homeowners, renters and businesses.All properties are taxed in the same manner whether...

Proposition 15 will destroy local businesses, hinder post-pandemic recovery

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