The Dickinson press., 1916-05-13
TAX INCREASE CAUSED
BY LOCAL SUBDIVISIONS

] speculation has been INDUCED in. by
various newspaper writer's and edi-
tors as to the responsibility for this
increase. That there has been such
/ an increase is admitted even by the
most casual observer of current af-
fairs, but as to the cause responsible
for the increase there is a marked
difference of opinion. When there is
a marked increase in the tax bills
for any n year, the average prop
erty owner at once turns his atten-
ton to the state government and
seeks there for the cause of the in
creased tax burden. The state gov
eminent operates in the white light
Of publicity.-Every. newspaper of
statewide circulation and many
local papers are at great pains and
expense to obtain information con-
corning the conduct of the state gov
eminent, while the local subdivisions,
the counties, cities, township and
school districts, operate with very
little attention being paid to their
affairs. Not only do the newspapers
often fail to obtain the simplest in
formation concerning local subdivis-
ions, but even the aggressive and
wide awake citizen does not endeavor
to inform himself concerning local
matters.
That the tax burden in North Da-
kota has increased with considerable
rapidity is indicated by the following
compilation which contains the total
tax for all purposes, state and local
for the years indicated:
Total Tax for
All Purposes State Tax
Year State and Local Levy
1890 S 2,336,540 S 427,629
1913 12,888,853 1,365,918
1914 13,987,467 1,325,167
1915 1~5,86O,133 ~1,611,639
While it is of interest to note the
total tax levy in 1890 was ~$2,336,540
| and that by 1915 it had increased to
$15,860,132 and that the total in
| crease during this period of twenty
three years was Alb per cent, yet when
we consider the increase during the
past three years, from 1913 to 1915
inclusive, we find it amounts to but
80 mills. In other words, during the
twenty-three years period to 1913, the
average increase in the total tax
burden of the state since statehood
was 18 per cent, while during the
past three years it has been but 1917
per cent.
While it is also interesting to note
that the state tax increased from
$427, 629 in 1890 to $1,333,462 in 1912,
or PIP per cent, and during the past
| three years it has increased to
$1,611, 639 or 21 per cent. In other
words, during the twenty-three years
of statehood to December 31st, 1912,
there was an average increase per
year in the taxes levied for state
purposes of 9.2 per cent, while dur
| ing the past three years from De-
cember 31st, 1912, to December 31st,
| 1915, there was an average increase
per year in the taxes levied for state
| government of Z per cent.
That the portion of taxes paid for
| state purposes, show a constant de-
crease as compared with taxes paid
for all purposes is indicated by the
fact that in 1890 17.16 per cent of
all taxes paid for all purposes were
paid for state purposes. Five years
later it was Is per cent; in 1890 it
was almost 16 per cent; in 1905 it
was 14.54 per cent; in 1910 it was
1925 per cent; in 1912 it was 11.12
per cent; in 1913 it was 1859 per
cent; in 1918 it was 9.47 per cent
| and in 1915 it was 1915 per cent.
It will be observed that during the
past three years the portion of all
taxes used for state purposes was
less than at any time during state
hood. The lowest year being that OF
1914.
The rate of levy for all purposes,
state, county, city, school and town
| ship, has increased from 26.2 mills
in 1890 to 42.3 mills in 1915, while
the total valuation of the state has
| increased from $88,896,291 in 1890 to
1914, 1854 in 1915. Turning to
the state levy we find an entirely
different tale. In 1890 the state
levy was as mills, while in 1915 it
was 4.3 mills. It is also to be noted
that the years 1914 and 1915 We're
the only times in the history of the
state when a legal state levy has
been made. All other years except
| 1892 the levy has been made in ex-
cess of the limit fixed by the consti-
tuition.
The general fund, out of which is
paid the current expenses Of the
state government, tells the same
story. We begun statehood with a
levy for the general fund of four
mills. In 1918 it reached the low
point in the history of the state, be-
ing 2.875 mills, while for the years
1914 and 1915 it was three mills.
Even a casual examination of these
figures will convince the most skepti-
cal that the increased tax burden is
not due to the state government,
but entirely to the local units of
government, especially municipalities
and the school districts. That the
cost of the state government has
been a decreasing rather than an
increasing burden is indicated by the
fact that the per capita cost sank
from $3.50 in 1890 to $2.06 in 1918,
as shown by the 1914 report of the
State Tax Commission.