Property Tax Crisis

In case you haven't noticed, property taxes have been skyrocketing in the Albuquerque area over the last couple of years. The root of this issue is a law (HB 366) that was passed in 2001, which, by the way, some have argued is unconstitutional. This law provided existing homeowners with protection of a 3% cap on the annual increase in their property taxes. That's a great deal if you plan to be in your house forever; but, if you decide to move, most likely you're in for a huge surprise.

You see, once a home sells, if it's subsequent to the 2001 law, the assessed value of the home purchased will be adjusted to current values. Seems reasonable one might conclude. The problem is that we just had a significant run up in values, much of it inflated, and as a result we've seen property taxes jump 100, 200 and even 300%! That's right, 300%!

We recently attended a meeting of the Revenue Stabilization and Tax Policy Committee, a committee of the NM State Legislature. At this meeting the committee heard from several citizens who have experienced these tremendous increases. Citizens who have been severely impacted by property tax obligations that have increased by hundreds of dollars. While we all understand we should pay our fair share for the government services we need, the problem is that those folks who have purchased their homes since 2001 are paying more than their fair share; significantly more. One of our state representatives, Mark Boitano from here in Albuquerque, has been working dilegently to have the inequity corrected through his participation on this committee, but he needs the help of the community to do so.

On the one hand, it was a little disappointing to hear some of the rhetoric out of the beaurocrats who spoke at this meeting - they just didn't seem to get that this situation is having a significant negative impact on peoples lives; but on the other, enough folks expressed their concern, especially during the public comment period, that the committee has finally agreed to take this more seriously in terms of exploring ways to correct the problem (there are several solutions on the table).

So, if you or someone you know has been affected, please let us know and we'll help you figure out how to get involved and help make the needed change.