Local Government Still Judged Doing Best

By RANDY ARNDT
Reprinted from Nation's City Weekly

Local government is doing the best for their money, according to this year's annual survey of "Changing Public Attitudes on Governments and Taxes," prepared for the Advisory Commission on Intergovernmental Relations.

The preference for local government came out when more than 1,000 people in this year's survey group were asked the question. "From which level of government do you feel you get the most for your money —federal, state or local?"

Just behind the 33 percent response favoring local government, there were 32 percent who said the federal government does the best job. The states trailed with only 22 percent giving them top marks, while 13 percent of the respondents gave no answer.

The question is one that has been asked regularly since ACIR initiated the survey in 1972, and it marks the fifth time in the past eight years that local government has come out on top or tied at the top.

Responses to another question left little question that tax reform enjoys broad public support. For the eighth year in a row, the federal income tax was the clear choice as the worst, or at least fair, when compared to local property taxes, state income taxes or state sales tax.

The federal levy was ranked worst by 37 percent of those expressing an opinion. Next was the property tax with 28 percent disfavoring it, followed by state sales taxes, 17 percent, and state income taxes, 8 percent, while 10 percent gave no response.

Despite the lack of popularity of federal income taxes, the survey found that cutting government services and taxes continues to lose favor among people. In 1979, 39 percent favored decreasing services and taxes, but the figure has declined steadily to 31 percent in 1986. The group wanting services and taxes to remain about as they are has grown from 46 to 51 percent, and the group wanting increases grew from 6 to 9 percent.

Another question about bringing federal spending more into line with revenues found that a majority of people, 53 percent, would prefer to see defense spending cut, up from 50 percent in 1984. Only 29 percent said other programs should be cut, down from 31 percent in the 1984 survey.

The survey, conducted in May by the Gallup organization, also asked people to choose what they thought would be the best way for their local government to raise more revenue. This meant that people were answering the survey questions just as the Senate was acting on its version of tax reform legislation.

The top choice was for user fees, but the 49 percent response was down from the 55 percent preference given when the question was last asked in 1981.

Local sales taxes were the next choice, with 26 percent, up from 21 percent in 1981. Nine percent opted for local income taxes, and only 7 percent said the property tax would be the best way to go.

Copies of the report, "1986 Changing Attitudes on Government and Taxes," (document S-15), are available for $3 from the Advisory Commission on Intergovernmental Relations, Washington, DC 20575. •

Page 18 / Illinois Municipal Review / January 1987