Imperial Valley press., 1923-01-12
AN AD VALOREM TAX IN SIGHT

All who have followed the taxation problem in the
state have looked forward with apprehension to the
day when the old plan of ad valorem tax for the
support of the state government might be renewed IN
California 1t is interesting TO note good an
authority as Chester H. Kowel, that such change in
method is imminent We quote from Mr. Rowells syn
dicated service appearing in number of the state
papers:
1t is more than possible that the coming state ad
mnisration may have to face necessity which all adj
mnisratons have sought to postpone or shift to their
successors, but which administration inevitably
meet. That is to take advantage of the ad va
loren clause in the state tax law.
1t has been certain from the beginning that some
time this clause would be put into force.
The Amendment No. / by which the sources of
state and local separated twelve years
ago did not provide absolutely that all the states ex
penses should be met by the public corporations 1t
provided that there should be taxes gross revenue
basis substantially equality with the taxes on
other property, but that if this tax did not provide
enough revenue for state purposes the remainder
should be assessed all the property of the state
No state administration has ever applied this pro-
vision and none ever will if it help it. The assump-
ton is that the people will repudiate whatever admin
stration first eves direct state tax-which may not
be true and would be important if it We're But ma
turally no administration thinks
The question is whether the unwelcome inevitable
is not at hand.
amendment, which greatly increased the states contr
button to local school costs. This amendment made no
provision for tax to meet its compulsory increased
would however, have been inevitable without It, We
have also added many functions OF government,
unknown before 1910, thereby necessarily increasing
the cost of state government much faster than the
property or population has increased.
With each of the increases in expenses we nave
raised the rates the corporations in an attempt to
avoid the unpopular ad vaorem tax, until finally, IN
the King tax bill, confessedly reached the limit
Nobody proposes to raise the King bill rate or pre-
tends that it could legally be done Either the increases
made necessary by the growth Of school population ana
by other causes equally beyond legislative control must
be made up at the OF the other functions of govern
rent or the added money must be raised in the manner
which the law provides-by property tax on all the
property in the state
That tax if levied would be very unpopular. But
if il is avoided by curaling the governmental service
to which the people have become accustomed that will
be equally unpopular. The people have grown habitu-
ated to the idea of paying state taxes They will not
like il if they have to do Also, local assessments
have become so that the tax the first time VIII
be unequal and the corporations will pay less than
their share Of it. But the people have become also ac-
customed 10 government which protects human rights
in the newer way and they will not submit to any cur
tailment or reversal of that policy.
Ii will take courage to face that unpopuarty, even
under the stress Of necessity But would take courage
also to escape this necessity at the Of the hu
nanitarian and educational activities OF the state 1t is
mathematical fact that there is margin for large
economies in any other part OF the states expenses