Friday, October 11, 2019

[Tehama County] Letter: Attracting fire survivors could give local economy a lift

I appreciated the writings of Joe Harrop last Saturday asking the question “Is Red Bluff Adrift?” Citing suggestions from the recent Tehama County Grand Jury report about stimulating economic growth here, he noted ideas for moving our community forward. These included promoting our local and recreational attractions, increasing interest to the downtown Main Street shopping experience, and encouraging occupancy of vacant buildings with new or expanding businesses.
Apparently one economic growth idea has been overlooked, however-through no fault of Joe. Buried in California Tax Code Section 69, it has the potential to give Tehama County a long ­term financial boost. The “Transfer of Base Year Property Value of Destroyed Properties” provision seems less than glamorous, even counter-productive at first glance. Used wisely, though, it could help tap into some long-term economic benefits for Tehama County through financially stable people now just across our southeast county line.
Here’s why. Butte County is clogged with hordes of house-­hunting people from Paradise and other burned communities who have yet to move into permanent homes after the Camp Fire. Tainted water in the burn scar, unreliable power, exorbitant rebuild costs, bureaucratic red tape and now skyrocketing home insurance premiums are all contributing factors.
Butte County allows homeowners ages 55 and older to transfer the original, base year, assessed values of their destroyed homes to similar rebuilt or newly-purchased homes in their county one time only. With Proposition 13 yet in place, this can provide property tax relief for fire survivors by maintaining their tax rates paid before the fire day. Undoubtedly, this intra-country provision is keeping some folks in crowded Butte County until the smoke clears, as it were, and they can obtain permanent places to settle down.
Forward-thinking counties have invited fire survivors from disaster counties to move by adopting this base year value transfer provision, expanding it to an inter-county option and welcoming new residents. These are Alameda, Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Mateo, Santa Clara, Tuolumne, Sutter and Ventura counties, as far as I know. Others are hesitant, seeing this as a potential loss of tax revenue.
In my view, some tax revenue from new residents is better than no tax revenue from residents who never arrive. Because the average time between moves for this sector of the population in Tehama County is seven years, newcomers will typically have their tax rates recalculated then.
Meanwhile, they can root into life here, add to the sales tax revenue stream and show their new places to friends and family, who may say “Wow. Not bad.”
I’m from Paradise. My home and everything in it was destroyed by the Camp Fire last November. After living in a 24-foot trailer for the winter, I was driven by lack of housing into Red Bluff, where I’m now renting a home. My plan is to buy a home or build one here because it’s, after all, “not bad.” But I’m also looking at other places in California.
I’ve suggested to the Board of Supervisors here that it adopt Prop. 90, as the listed counties have, which would allow the inter-county transfer of assessed values of destroyed homes. Then disaster survivors could be drawn to Tehama County instead of driven here by necessity. And attracting people would likely bring more of us than pushing us in. How many? Not thousands, probably not hundreds, but perhaps there will be scores, all helping stimulate economic growth as the Grand Jury has requested.
Helping me with research on this, because I’ve asked, have been the offices of Sen. Jim Nielsen and Assemblyman James Gallagher. Both think it’s a good idea, but recognize that the only way to move it forward in this county is through the Tehama County Board of Supervisors.
The Board of Supervisors has thoughtfully added this item to its agenda for Sept. 10. I’m encouraging them to go for it.
September 4, 2019
Red Bluff Daily News
Letter to the editor from Ken Boone, Red Bluff


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