Middletown transcript., 1916-08-05
BOARD OF EDUCATION
Where is the Money to Come From
to Pay Expenses
FAIR AND JUST TAX SYSTEM


practically from the establishment of
the system in 1929. For school purposes
it assesses the "clear rental value of
lands" the value of personal property
las horses, cattle, etc, and a certain
assessment as a head or capitation
assessment. On these several forms Of
assessment the rate is uniform. Since
the assessment of farms thus yields
only a very low total assessment for a
school district It must necessarily be
true that the tax rate will be relatively
high; therefore, at the high rate, the
amount of taxes paid by the personal
property owner and by the capitation
assessment will be very high in COM
parison with what it would be, at the
same rate, if land were assessed at its
real value. For instance, one school
district in New Castle County, now
raises its school taxes on total valua-
ton for the district of $13, 655, and must
fix it's rate at S1.33 per hundred. For
the same territory and for the same
persons the county assessments total
S45, 300. The school tax assessment is
thus Just 80 per cent of the county
assessment. To raise the same amount
of school tax on the county assessment
would have required rate of .33 on the
hundred dollars of assessment. This
shows clearly that the high rate on the
school assessment bears very hard on
the personal property owners and capi
tation tax payers, and very lightly on
the payers on ''rental values" When
all tax payers see this state of affairs
and feel its. injustice, and are given a
chance to express their preference, it
does seem as if the sense of fairness
and Of spirit of equal rights to all must
produce power and impetus to abandon
the present system for one that shall be
fairer, squarer and more essentially
democratic, that is, more fully based
on an utter disregard Of class distinc-
tions in society.
To the question which must have
arisen often in the mind of any reader
who has carefully followed the Boards
series of statements about proposed
changes, the question, Where is the
money to come from to pay for all the
contemplated increases of expendi-
tures?" there are two replies. FIRST,
most of the additional expenditures
proposed are to be paid out of state
funds. The state collects no local taxes.
Therefore expenditure Of state moneys
cannot impose increased burdens on
local taxpayers. Of course, it is recog-
nized that if more is appropriated for
education, less can be appropriated for
other purposes. However, it is known
that the states revenues have increased
)nsiderably. Therefore the question
will be, shall a large part of the in
crease go for education or for other
purposes? 1t is for the citizens to make
up their minds, then to inform their
representative, then to keep the repre-
sentatives in mind of their desires. If
the increase is not appropriated partly
for education, it is almost sure to go for
something else; citizens must decide
and must see to it that their represent
tatives are advised and kept advised of
their constituents desires. That is
truly triumphant democracy" The
second reply to the source of revenue
for school purposes is contained in the
statement already made, namely if all
values are properly taxed for school
purposes, the entire valuation will be
so largely increased that the tax rate
can be everywhere lowered, and yet an
increased revenue can be secured
Higher school taxes are not generally
opposed, but higher school taxes under
conditions where the biggest part of
the burden falls on one class, this is
bitterly opposed when there is rank
ling sense of injustice felt toward the
system. Given a tax system that is re-
garded as fair and just, bearing equally
on every class of citizen, and increases
of amounts of taxes levied are not only
probable butvery certain. In the forms
of sociables and other money raising
plans. it has been shown that parents
are willing to contribute to school bet
terment with an unsparing and un-
stinted readiness. By far the most
forcibe single objection urged to Con-
soIidation roots itself in the tax system.
Thus. Consolidation demands new school
buildings: new school buildings require
increased taxes; the present taXsystem
imposes an unfair and an unduly large
part of the tax on the personal property
owner and capitation taxpayer These
persons are often renters, and will not
be in that particular district very long.
Hence. why should they agree to help
paw for an expensive school building in
the present district, then move in a
wear or two and there again find them
selves similarly burdened, especially
when the benefits of new school build
ings add to the value of neighboring
farms? Practically all school better
ments that cost money will be very
slow in coming until this tax system is
changed, but certainly Consolidation of
schools upon any large and significant
scale cannot be hoped for while one
class of citizens are forced to pay the
bill and different el ass of citizens reap
the benefits Of increase in the value of
their property.