Breaking News: Arm of Democratic Party to Oppose Daniels Property Tax Plan

The teachers unions dislike the Governor's property tax reform plan?

I am shocked. Shocked, I say.

From the Courier-Journal:

INDIANAPOLIS -- The state teachers' union urged lawmakers yesterday not to shift funding for school operating costs from property taxes, saying that revenue is stable and protects education during economic downturns.

Leaders of the Indiana State Teachers Association said a tax plan offered by Gov. Mitch Daniels and introduced in the General Assembly could jeopardize school programs.

"We believe real property-tax relief can occur and, at the same time, adequate funding for public schools can be maintained," said the association's president, Nate Schnellenberger.

The governor's plan eliminates property-tax levies that are dedicated to the school general fund and school transportation fund and moves those costs into the state budget to help reduce property-tax bills. The plan does the same with child-welfare costs.

The state would increase the sales tax by a percentage point -- to 7 percent from 6 percent -- to help pay those costs.

Already, the state pays for 85 percent of school operating costs, with the remaining 15 percent paid by real estate owners through property taxes. Daniels' plan would eliminate that remainder.

So, um, why weren't they complaining about this when that 85% slipped away from them?

Why is that remaining 15% so important?

Association leaders said that because the sales and income taxes that fund the state budget are more susceptible to recession, eliminating the share of school costs paid by property taxes could pose a problem. In tight times in the past, lawmakers have let schools generate more funds from property taxes to make up for shortfalls in state revenue.

Translation: In the past, the state has allowed property taxes to skyrocket during economic downturns, making those economic downturns worse.

He said the state could achieve similar savings for homeowners by taking over half the cost of school construction, which is currently paid entirely by property owners.

Translation: Please pay for new school construction. That's more important than doing anything to fix property taxes or provide better education for children. Heck, pick up half of the cost of school construction, so that we can double what we are spending on school construction *cough* designer school architects like Jim Schellinger *cough* and you'll kindly pick up the new portion of the tab.

Thanks, but no thanks. Indiana needs to spend more on teaching students, and less on constructing these fancy designer schools.