I agree that property taxes are the most fair tax. Your money goes directly to your community. However when does it become unfair. I think in NJ it has become unfair for most residents. 40-50% goes to schools. I have 3 children in school so that benefits me, but when is enough enough? When do schools need to maximize the money they get. Can't 1 superintendent get paid 50,000 more and manage 3 schools instead of having one superintendent making 200 at each school? Can't we consolidate police forces in princeton township and princeton borough...and consolidate the courts, and administration buildings that take money to heat and staff? We understand the fairness of property taxes, but we do have a belief in NJ that we are overpaying for what we are receiving. Proof of that is shown many times over in Princeton:
1. Build a library that in todays world is obsolete. So much space, heating, and $'s (millions just to operate it each year) that the borough must pay going forward. Today you could give each person using the library an ipod touch and send books electronically to them for less. Back a few decades ago these buildings were put up with private money, and assisted by private money. I don't believe the public should continue to look to government to improver their communities. The wealthy individuals in that community need to have most of that responsibility.
2. People don't have their children in the school system (choose private school, or don't have children in school) pay too much to the public school in their district. It makes private schools harder to pay for. It makes public schools fat and therefore greedy (wanting more and more and more). At what percentage is it too high to expect people who don't use the schools to pay for them at the same rate as those that do? People struggle with what i say because who wants to say money shouldn't go to better schools and childrens futures. But as with everything in life, there needs to be balance...and the question is when is it out of balance? i'm thinking it already is
3. As i mentioned before the consolidation of services like Gov Corzine wants is absolutely necessary. Consolidate the Superintendents of schools, consolidate police chiefs, consolidate court structures etc. How on earth this ever passes, i don't know. Maybe Fareed Zakaria can give me some hints.
4. Too many parks and conserved spaces that we all pay for. Again, maybe you don't agree, but why is it okay for government to conserve these spaces. Why can't people organize and plea to wealthy individuals or local businesses for money to protect lands. We are leaving too much up to the government, and we are locking ourselves into contracts we cant keep forever.

Having said the above, the 4% cap is okay in the very short term, but if it stays enforced govt will have to continually think short term and not long term. And we can look at california and see how bad it is when we put limits on our government. Spending for sure can be cut and that is why i think the 4% is okay for the short term. But we have to know that when spending is cut, services go down (i'm okay with it, because i don't really get much service...i don't use the library, i have to pay for meters in my own town, i don't have trash collection, I don't use the princeton parks). We need individuals to step up and government to step down from certain responsibilities. And we need to analyze if we are getting our money back on education. Yes our SAT scores are high in Princeton, but the DNA of the children attending is that of professors and other educationally intelligent people in the area. Let's do more with our dollars, or demand less of them so that we don't continue the same cycle that NJ has been in for a very long time.

Larry