Skip to comments.North Dakota Drills Its Way Out Of Property Taxes
Posted on 06/12/2012 5:32:30 PM PDT by raptor22
Energy Boom: One state has found a solution to job and economic growth so successful it may eliminate one of the most onerous of taxes. It turns out that, yes, we can drill our way out of our problems.
On Tuesday in North Dakota, a state flush with revenues from oil produced from the Bakken Shale formation it sits astride, voters were deciding whether theirs will become the first and only state not to have a property tax.
If it passes (polls didn't close until after our press time), it ll be the first time a state has eliminated a major tax since 1980. That was when oil-rich Alaska dropped its state income tax as crude gushed from Prudhoe Bay on Alaska's North Slope.
If you can see a pattern here, you're way ahead of President Obama. His argument is that we can't drill our way out of high energy prices let alone out of debt and the need for higher taxes. But it's about to be exposed once again as the self-serving falsehood it is.
Shattering the myth of "peak oil," as Professor Mark J. Perry reports at his Carpe Diem blog, North Dakota pumped another record amount of oil during the month of March at a rate of 575,490 barrels per day.
In so doing, it replaced California as the nation's No. 3 oil-producing state, behind Texas and Alaska. At its current rate of production growth, North Dakota will likely top Alaska sometime this year.
Continental Resources, an Oklahoma-based oil company that operates 10% of the drilling rigs in North Dakota, estimates there are more than 900 billion barrels of oil in place.
Only between 27 billion and 45 billion barrels are actually recoverable with today's technology, but that's still a sizable amount that will only get bigger...
(Excerpt) Read more at news.investors.com ...
Michigan sits on an ocean of natural gas. I know there’s already an effort to do away with business property taxes but it needs to go to all property taxes.
I hope N. Dakota doesn’t raise the ire of the The U.S. Fish and Wildlife Service. They might find some damn frog to designate as “endangered” and bring it all to a halt. The US.FWS already has its claws in Louisiana over some stupid frog.
Anu K. Mittal, the Government Accountability Office's director of Natural Resources and Environment, testified before Congress that the Green River Formation may have as much as 3 trillion barrels of recoverable oil. "This is an amount about equal to the entire world's proven oil reserves," she noted.
North Dakota is drilling oil fields. Barack Obama would rather drill taxpayers.
The Justice Dept. will find something wrong with this. It will be unlawful to relieve people of property taxes while people with no property get no equivalent relief.
Violators will be incarcerated and have all their assets confiscated.
Drill, Dakota, Drill ping
This is the BIGGEST GOOD NEWS story AMERICA could hope for!
Energy Independence...Jobs Galore!
Our side needs to pound the message home that we don't need to be energy poor and dependent on the A-Hole Arabs!
My God! Why don't I hear fireworks and jubilation.
Let's go to work America. Let's capture our energy resources and embrace GROWTH and PROSPERITY!
If it passes the real estate values will go through the roof. Investors will flock to the state to pick up some no overhead property.
Naw.....We'd rather tax cigarettes.
And NY just keeps on fracking us.
F*** the feds...states should start drilling...this country has PLENTY of oil and natural gas, and we should go get it.
I’m a little tired of 535 bought and paid for punks strangling this country’s potential for real wealth and independence...they have theirs; what about the rest of us? Many would give their right arm just for a decent job...
What I would do for Michigan is open the tap and let the gas be piped directly to manufacturers who can use it at rock bottom wholesale prices. I would eliminate the tax on manufacturing and both business and both private property taxes. I would encourage companies to generate their own electricity and sell excess to the surrounding communities.
Just checked here:
Looks like ballot measure 2 (the property tax measure) is going down to defeat hard: early results are 21% for, 78% against.
Guess North Dakotans want to keep those property taxes....
When I left North Dakota to be stationed in DC my property taxes in Grand Forks were more than the actual mortgage payments.
Eliminating this would be a great idea.
Killing Property Taxes would be the most horrible of outcomes!!!
As nice as it sounds, eliminating local taxation, eliminates any incentive for a local community to control it’s spending: We can always look to the state to cover our increasing costs.
Need fifty firefighters - no problem: want to be sure that all teachers have no more than 15 students per class - no problem, etc, etc. No local incentive to control a budget!
If North Dakota really wants to help residents of the town and cities: decrease or eliminate the income tax; then lower the sales tax; then after fully funding public sector pensions (which should also be cut); if money is left over then consider assisting local government.
Once a town has no property tax, it will be next to impossible to both control spending or reinstitute a property tax when needed!
Drill baby, drill!
I never thought a 100% elimination of private and commercial property taxes could, or should, pass. They should have went for a half or 2/3 reduction and also a limit on future increases.
People understand that there are local expenses to be funded. No property tax would result in state funding of those same local expenses - schools, police, fire, hospital, city hall. State funding will result in state and federal mandatory meddling in local affairs. Fail.
re the rejection of the end of property taxes:
I understand the arguments, but, to me, to be enjoy property ownership without the gov’t holding the option of taking my home over unpaid taxes....well, let me simply say this: I guess I wasted a few hours today researching a move to North Dakota.
Any other states, any others? Bueller?
I just love IBD. You'd never catch the WSJ referring to every word out of The Won's teleprompter as "the self-serving falsehood it is."
He claims he doesn't believe "Drill, baby, drill", but he's lying as usual.
Perfect analysis. Thank you.
Pollsters will tell us later on, but I'm guessing that taxpayers in ND preferred that severance tax flows go to state debt retirement instead, and that the flow of royalty money to property owners (them) be unimpeded by state calls on the revenue stream. Just guessing.
Either way, people with the funny accent that folks made fun of just a few years ago (Fargo, Sarah) will be debt-free in just a few years more -- hell, months maybe.
We’ve seen quite a few obfuscations of the issue, because most people with time and money for politics are dependent on government for their incomes. Property taxes go to the states and are, in part, administered by the states.
We’ll continue to be outnumbered and “outclassed” in politics by socialists in both parties and in every level of government (including local socialist regulators), until government is forced to cut spending by bond collapse, repudiation and currency readjustment. Become more self-sufficient. Avoid buying anything that you don’t really need.
Note to New York: FRACKING YOUR WAY TO FRICKING PROSPERITY!!!
Dear censor, please point out the objectionable portion of the above.
A few years ago I paid off my house. I own it free and clear? Actually NO,the County owns it and I have to pay rent(property taxes) on it forever.
The “Moderator” found my comment (#2) objectionable and censored it. Any idea why?
Imagine, being able to retire with no fear that the government will come take your house because you can’t pay them their yearly rent. One of the worst taxes ever invented.
Save “income” taxes, which is legalized slavery. After all, what belongs to a man more than the fruit of his labor/creativity?
Yes, both taxes are equally reprehensible. Taking your property because you can’t pay bi-yearly tribute to the “king” and taking your money simply because you earned it,are both taxes from hell.