Democrats offer new property tax plan: $104 million cut for homeowners

BOISE, Idaho -- The Democrats want to give homeowners another break on their property taxes, and they say they can do it without raising the sales tax at all.

Upset about being left out of the Republican decisions leading up to a probable special legislative session, and concerned that the GOP plan could raise the sales tax to offer property tax breaks to businesses and corporations, the Democrats unveiled their own proposal this morning. And they reiterated their opposition to a special session that could happen Aug. 25.

The Democrat idea: exempt homeowners from paying the property tax that pays for school maintenance and operations, and pay for the cut with about half of the $200 million surplus.

"We're here to bring some sanity back to the discussion," former Democratic Gov. Cecil Andrus said at the first of three announcements planned around the state today.

Boise Sens. David Langhorst and Elliot Werk said the Idahoans clamoring for property tax breaks are homeowners, not "special interests" like commercial, agricultural or mining businesses. Their plan would target the tax relief to homeowners, and since it would just cost $104 million this year, the state wouldn't have to raise sales tax to pay for it.

The latest plan coming from Gov. Jim Risch's camp would eliminate the school tax for everyone, saving $250 million in property taxes. But to cover the cost, he would raise the sales tax by a penny, raising about $210 million, and then take the $40 million left from the surplus.

Risch wants the Legislature to meet on his seven-month watch to cut the property taxes.

The Democrats say waiting for next legislative session would help Idaho residents have more of a say on what happens.