MARK KIESLING: Property tax proposal seems to be common sense

Ever since I began writing these columns back in 2003, the issue of property taxes has been on the front burner.

It was at that time the state revamped its method of assessment and taxing on business, industry and individuals.

It also redid the way taxes were assessed in the northern end of the county in favor of the southern end, which saw some people in Hammond, Gary and East Chicago watch helplessly as their taxes doubled, tripled or even quadrupled.

Sensing a revolution in the making, the state granted some relief to the taxpayers who were hit hardest, but there were still people who ended up having to sell their homes because they could no longer afford to pay the taxes.

It might be a little late, but state Sen. Lonnie Randolph, D-East Chicago, has introduced legislation that would grant a one-time amnesty on unpaid taxes and interest.

The proposal, Senate Bill 165, sailed through the Senate Appropriations Committee by a 12-0 vote and it will head to the full Senate for a vote.

"It benefits homeowners because it gives homeowners an opportunity to get back into their homes," said Randolph, who was not in the Senate when the new tax laws were being enacted.

"It benefits the county because you're then back on the tax rolls, you start paying your taxes again and then we've got additional funds to provide services."

Yep. Abandoned, foreclosed homes are not contributing to the overall infrastructure of the city or town. Owner-occupied homes do.

But back those almost 10 years ago, I heard from many a homeowner, some in tears, about how they could no longer hold onto their home because of the new tax structure.

They bought their slab homes in modest neighborhoods because they paid only $400 a year in property taxes, and when they went overnight to $1,200 a year, well, that meant they had to sell the Rolls-Royce and buy a Chevy.

Many were retired on a fixed income, but the state Tax Court was unmoved. The system was inequitable, said a lawsuit filed before the court, and the court agreed and mandated the changes.

It's not like Randolph is looking for a free ride, but his proposal would give homeowners until July 1, 2013, to catch up on their taxes and keep or regain their home from a tax sale.

It's somewhat amazing this idea in which both sides can benefit was not brought up before.

Maybe it took someone from the outside looking in to look beyond the individual tree and see the entire forest.

The opinions are solely those of the writer. He can be reached at mark.kiesling@nwi.com or (219) 933-4170.