State Capitol News
12:12 am
Tue April 8, 2008

State property tax repealed

Phoenix, AZ – The Senate voted this afternoon to permanently repeal the state's property tax. But as Arizona Public Radio's Howard Fischer reports, some legislators thought it was a bad idea.

The levy was suspended for three years in 2006. This legislation
is designed to keep it from ever coming back. Supporters of the
proposal said allowing the tax to return would result in one of
the largest tax increases in state history. But Sen. Carolyn
Allen questioned the wisdom of of doing this while the state
hasn't figured out how to balance the budget.

(Call me silly, call me crazy. But it doesn't seem very prudent
to me without the long big picture of knowing what this budget
and what we're going to be asked to do, to dump another $250
million on top of it with no plan.)

But Sen. Ron Gould said repeal makes sense.

(I made a promise to the taxpayers of my district that I would
cut property taxes. That's what I intend to do. That's what I'll
continue to do. Property taxes are egregious. Essentially what
you're saying is, you pay your tribute to the government or we're
going to take your property.)

The measure now goes to Gov. Janet Napolitano who already has
called the repeal premature, though she has not yet said whether
she will veto it.

For Arizona Public Radio, this is Howard
Fischer.