Municipal Governments as Apologetics?

[Anonymous]

I received my tax notice in the mail today. In years past, when the markets were rising, it was pretty easy to understand why your taxes went up. It was because market values had increased. As market value assessment was the bedrock principle on which values were based, the municipalities had little explaining to do.

Also, it was pretty easy to see why so many municipal governments have accepted Market Value Assessment as their basis of tax assessment — over history, the tendency has been for house prices to rise significantly, so therefore, taxes would go up over time, which is definitely good for the municipality. I’m sure that during the real estate boom, they absolutely loved it.

Well, it’s a different animal now with prices falling dramatically. Most taxpayers expect “what’s good for the goose is good for the gander”. Meaning, if taxes were allowed to go up so fast during the boom, they should be allowed to decrease just as fast during the bust — correct?

Well, enter the true meaning of MVA — a way of collecting taxes in a way that serves the interest of the municipality. With my tax notice was a pamplet labelled

Quote:

HOW CAN THE ASSESSED VALUE OF MY HOUSE INCREASE WHEN THE MARKET IS DECREASING?”

I saw the title and chuckled. I set the pamphlet aside without reading it, telling my wife we’ll have some comedy time at lunch around the table; I would read it then. The title reminded me of a question about Mormon doctrine that doesn’t make sense, with some kind of convoluted answer meant to justify it, when its inherently unexplainable or irrational. In short, the municipal government was acting a an apologetic on Market Value Assessment, just as members act as apologetics toward points of LDS Doctrine.

So, from the pamphlet, here is the explaination to the question “HOW CAN THE ASSESSED VALUE OF MY HOUSE INCREASE WHEN THE MARKET IS DECREASING?”.

Quote:

“While an increase in assessed value may appear to be an error, the assessed value can increase even while housing values decrease due to what is known as the “recapture rule”. Rules require that all county property appraisers increase the assessed value of your homestead proerty annually by the lesser of either 3% OR the perent change in the consumer Price Index (CPI). For 2010, that increase in the CPI is 2.7%.

Even though the market value of most homes has declined, by law, the assessed value could still incrase a full 2.7% this year.”

So, there you have it –Market VAlue Asssesment only relies on Market Value Assessment to the extent it suits the entity that invented it! If it doesn’t suit their purposes, the principle no longer applies, with rules and different assumptions put in place.

Reminds me of a folklore tale from the mission field. Two elder’s are debating a point of doctrine with an elderly non-member woman. The non-member makes an assertion, to which the Elder’s reply. “No, that is false — look here, it says so right in the Bible!”. To which the non-member lady responds by ripping out the page from the Bible saying “Well it doesn’t say it anymore!!!!!”.

Now I recognze that some might think I’m being disrespectful to the apologetics. Not my intent — just sharing my stream of consciousness thinking as I read my tax notice today, and wanted to share.

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