In Michigan, we have the Headlee Amendment. It restricts property taxes to a small percentage or the rate of inflation, whichever is LESS.
There is, however, a HUGE loophole.
When you go to sell your home, the house is reassessed and the cap is removed. If you purchased your home in 1990 for $150,000 and its now worth $250,000, the SEV is bumped up to the higher level. Its a nasty shock to homebuyers and it builds up a lot of resentment when it comes to what your neighbors pay versus your bill.
Communities, cash strapped for school funds, are really pushing NEW housing developments because they aren't subject to the Headlee cap. My parents house, build two years ago, was found by the State assessor's office to have been overassessed (and overtaxed) by $40,000. New builds are cash cows in Michigan.
Prop 13 had the same loophole. It has led to homes in the same subdivision on the same street with the same design paying vastly different tax bills. But it is fair in the respect that the buyer bought with full knowledge of the tax he would pay.
They aren't strapped...they are awash in money. And they will never have enough....for there will always be a need for more!