N.D. will see 25% lower property taxes if bill passes
BISMARCK, N.D. (KFYR) - You might be paying significantly less in property taxes at this time next year. That’s because lawmakers plan to introduce a bill that would change funding formulas statewide.
25%. That’s how much less property owners could be paying in taxes if lawmakers get their way. And for many North Dakotans, that’s a pretty big deal.
North Dakotans know what issues they’d like the legislature to target next session.
“Property tax. I’d like to see that because it’s gone up $400, $500, $600 per household. I mean, that’s kind of outrageous, I think,” said Sandra Kunz from Bismarck.
That’s why lawmakers have announced a $340 million proposal that would address exactly that.
“I want to make sure we exhaust every opportunity there is to address this property tax situation. The people of North Dakota want it and I believe Senator Schaible’s proposal here is a great step in the right direction,” said Sen. Mark Weber of Casselton.
How would it work? Under this proposal, the state would increase its share of the cost of K-12 education. Right now, the state pays 70% of the total education cost, while local subdivisions provide what’s left. This proposal would increase the state’s share to 85%, which would ultimately lower property taxes by 25% statewide.
Governor Doug Burgum, who announced plans for income tax relief earlier this year, didn’t support the proposal outright, but said, “We look forward to continuing to work with the legislature on a package that provides tax relief for all North Dakotans by truly cutting taxes and reducing the amount of tax revenue that government collects.”
The Legislative Session begins in January.
The proposal would also require taxing districts to express levy amounts in dollars rather than mills. Lawmakers say the mill system can be confusing, and this would provide transparency and clarity for the public.
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