Taxes That Cover the Waterfront : Government’s scramble for bucks can leave people high and dry

Sometimes tax policy is all wet, sometimes not.

First, a tax case that does hold water:

Faced with a budget crunch, the Legislature has rightly targeted an obscure 1978 law that exempts some wealthy owners of private boat docks and launching facilities from paying rent in waters under the jurisdiction of the State Lands Commission. Owners of commercial marinas and oil platforms already pay these annual fees to the state. But the dock owners extracted their freebie on the dubious ground that there would be “public benefit” during a boating emergency. That is, the pier owners would assist people in trouble on the water. But why should lending a hand when there’s an SOS merit a tax break?

About 1,000 Californians are getting this break. There are 120 dock owners in Huntington Harbour, the only area in Southern California where there is a concentration of these rent-free slips and docks. Boat owners argue that they already are being hit with high taxes because the value of their waterfront land is so high. Maybe so, but the least these beneficiaries of public waterways can do is pay the rent to help the state balance its books.

And now, a case that doesn’t hold water:

There are few stones on dry land unturned in the quest for revenue, so it’s perhaps logical that the search for ways to balance the state’s books might get into some tricky water. The landlocked poor are taking their lumps--why not some of the state’s wealthiest residents?

Port Hueneme, in Ventura County, is planning to charge beach-area homeowners $66 to $184 a year because they have good views. Wait a minute. It’s one thing to tax for access to public waterways; it’s another to tax because of what people see out the window.

This is a case where folks near the shore can make a good case they’re already paying high taxes because of their high property values. Port Hueneme’s city officials should give the “view tax” the deep-six.