In: Finance
What does David Brunori say about Financing Local Government in a changing world?
The only revenue source capable of supporting a robust and
vibrant authorities is that the capital levy, argues David Brunori
in Local Tax Policy: A Federalist Perspective, a replacement Urban
Institute Press book. This tax must be strengthened and revitalized
if local governments are to still play a very important role in
American society and not be "weakened to the purpose of
irrelevance."
"Increased demands by citizens for more, and better, public
services; the ever-rising costs of providing services; and a
plethora of legal and political restrictions on raising taxation
have left many American local governments in dire fiscal straits,"
says Brunori, a journalist, educator, and lawyer who focuses on tax
and government issues. "These revenue problems don't seem to be the
results of economic downturn. Rather, the issues stem from
structural deficiencies that pose a risk to raising revenue and
meeting government service responsibilities far into the longer
term."
In 2002, the U.S. Census Bureau counted quite 87,849 authorities
units, including 3,034 counties, 19,431 municipalities, 16,506
townships, 13, 522 school districts, and 35,356 special districts.
no matter type, these local governments require a particular amount
of fiscal autonomy to hold out their responsibilities, and land tax
is that the only source of revenue that gives that autonomy. But
public and political pressure have eroded the tax's vitality for
many years and there are not any viable alternatives to taxing
property that may ensure fiscal and political autonomy.
Local Tax Policy: A Federalist Perspective examines America's local
legal system, explores the origins of this fiscal crisis, and
evaluates relief proposals. Brunori provides a blueprint for
reforming capital levy policy, including educating the general
public about the virtues of the capital levy, expanding the land
tax base, and addressing school finance problems. it's a
transparent and thoughtful analysis that may prove invaluable to
legislators, public officials, and anyone fascinated by local
issues.