LA’s individual tax burden HIGH Wednesday, Apr 19 2006 

The latest report is out on the state and local tax burden on individuals. See report here.

LA ranks the highest of the Southern states. For the math-challenged, that would put LA above the “Southern Average.”

Not only is LA above the “Southern Average” but it is above the NATIONAL AVERAGE.

The message to Congress from LA state and local governments: “Send more money. Our citizens desperately need it because we extract a larger percentage of their incomes than other states do.”

C.B.

A lesson learned? Tuesday, Apr 18 2006 

Currently, the City of Lake Charles is bemoaning its possible loss of one of its “riverboat casinos” on the city’s lake. The Orleans Levee Board is about to lose its “riverboat casino” from its berth in Lake Pontchartrain. Both governmental entities are concerned about making ends meet because of the loss of revenues.

SURPRISE! SURPRISE!

In the early days of legalized gambling warnings were issued. Don’t become dependent upon gambling revenues because once a “riverboat casino” milks the area for everything it can get, it will simply pull up anchor and move elsewhere. These are lessons that should have been learned. However, seldom does government at any level in LA learn anything except by trial and error. Unfortunately, when government errs, the citizens pay for the cost of those errors. In these two cases it will be the taxpayers of Lake Charles and New Orleans who will pay. As if those people needed any more bad news.

Not to worry about the casinos, however. The Levee Board’s boat is on its way to Amelia in St. Mary Parish and the Lake Charles boat to West Baton Rouge Parish.

As P.T. Barnum supposedly said: “The people like to be humbugged.” .

C.B.

Assessor makes case for merger, I think… Monday, Apr 17 2006 

In a story in Friday’s Daily Monopoly, Assessor Errol Williams makes a good, fiscally-conservative, case to merge the seven Orleans Parish Assessors into one. However, I’m not sure that is what Williams intended.

More is better?

Williams, whose district includes nearly half the property in New Orleans, agreed that all of the work in the city could be handled by one assessor. Look at Houston, he said, a city that has 2 million pieces of real estate and one assessor. By comparison, New Orleans has less than 200,000 pieces of property.

The difference, he said, is that Houston spends more than $20 million a year on property assessment, while New Orleans spends just $3.3 million.

Apparently, Williams is making a case that spending $20 Million per year on assessment is better than spending only $3.3 Million. If that is his point, then he only makes another case for merger or at least reducing the costs of assessing property in New Orleans by the 7 assessors.

In Houston, properties are assessed for an average of $10 per property per year as opposed $16.50 per property per year in New Orleans. Therefore, if New Orleans only had one assessor and employed the same methods as the single assessor in Houston, the cost in Orleans Parish would be reduced to $2 Million per year. That would be a savings to the taxpayers of New Orleans of $5.2 Million during each 4-year assessment period.

Williams statement beg the question of why it cost more to assess a piece of property in New Orleans than it does in a dynamic growing city like Houston.

Political power?

Williams’ other reason to oppose one assessor is:

“You don’t want one assessor with all of that power, because as time goes on, that person will anoint or appoint your next mayor and your councilmen and your state representatives and things like that,”….

That begs the question of whether the Assessor in Houston anoints or appoints the mayor, councilmen and state representatives of Houston. How about the mayor, councilmen and state representatives of Baton Rouge, Shreveport or Lafayette?

The statement also begs the question of what “power” does an Assessor possess when the sole job is to appraise property. If political power comes with the ability appraise property then the appraisers used by all lending institutions in LA, must be the most politically-powerful people in the state. Perhaps they are the ones who anoints or appoint the governor of Louisiana. Then perhaps Williams means something else.

The sad truth is that the fight for maintaining the status quo in New Orleans IS about power; the power of the Assessor to reward their friends and punish their enemies.

If it is good for Orleans

Finally, if the current practice of having 7 assessors in New Orleans is found to be to the likening of those senators from East Baton Rouge (Sen. Cleo Fields, D-Baton Rouge) , Livingston (Heulette “Clo” Fontenot, R-Livingston) and Jefferson (Sen. Derrick Shepherd, D-Marrero) Parishes who opposed the Orleans merger at Thursday’s senate committee hearing, this is an opportune time to amend the proposed Constitutional Amendment to provide 7 assessors in each of their parishes.

C.B.

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