Thursday, May 26, 2016

Fighting Over the Scraps: One Battle

So when Washington State was created, US Congress wanted to support education, so
Just before Washington became a state in 1889, Congress passed the Omnibus Enabling Act of 1889, which granted the new state millions of acres of land to support public institutions. Today, these trust lands are an ongoing source of land-based financial support to the various beneficiaries, including public kindergarten through Grade 12 (K-12) schools, state universities, buildings on the capitol campus, and correctional facilities. By far the largest of these federally granted trusts is the Common School trust with approximately 1.8 million acres of forestland, agricultural lands and other properties. Revenue generated on these lands helps fund K-12 school construction projects across the state. - See more at:
 Very good.  Thanks the Indians for your education, but hang on.  If that is meant to make education cost-free for citizens, how come we pay so much in taxes for education?  Well, never mind that for now, there is this...
Most State Forest trust lands were originally privately owned forest lands forfeited to counties in the 1920s and 1930s due to unpaid property taxes. These lands were subsequently turned over to the state and today DNR manages State Forest trust lands for the benefit of the county where the lands are located. - See more at:
See how this works?  The state issues banking charter licenses.  People take loans at interest to buy land. During a boom, prices increases, and taxes as a percent stay constant, but that 6% per year on a $50,000 property, $300, becomes 6% on a $500,000 property, or $3000.  That was fine during the boom, but now you are busted, unemployed, and can't pay the land taxes on the putative value of the land.

So the state then seizes the land.  You just wasted 10-20 years. That is democracy, and capitalism.  Like it?  Well, just keep in mind this is just one act among the countless that are available in the crisis.  Worked las time.

 Feel free to forward this by email to three of your friends.