The property tax crisis was upon us. The General Assembly responded by offering counties the option of adopting three new local income taxes, two of which directly reduced property taxes. The new taxes could freeze a large chunk of the property tax levy. They could provide really substantial property tax relief to homeowners or relief to all property taxpayers. The taxes seemed to be just what was needed.

But as of the original deadline, July 31, only eight of 92 counties had adopted. The governor extended the deadline to Sept. 30, then to Dec. 31. Three more adopted, bringing the total to 11. Perhaps more counties will adopt. So far, though, the question is: "Why so few?"

One of the income taxes freezes non-school operating levies, paying for the annual levy increase with an income tax increase instead. But nonschool operating levies have been growing less than 6 percent a year since 2000. School debt service levies have grown more than 10 percent a year. The slower-growing levies are frozen, the faster-growing levies are not. Maybe the tax is unpopular because it targets the wrong levies.

The income tax rates for that levy freeze are set by the state's Department of Local Government Finance, based on estimates of how much the non-school operating levy will rise. Apparently the agency used pretty big estimates of levy growth, because the income tax rates came in higher than expected. And, in the first year the income tax rate is doubled, to establish a stabilization fund. That's needed because income taxes aren't as stable as property taxes. Maybe the tax is unpopular because the income tax rates are high.

Another of the income taxes reduces existing property taxes. Tax relief can be distributed to all taxpayers, to homeowners only, or to homeowners and owners of rental property. Some counties would like to divide up the tax relief differently. Some would like to offer relief to homeowners and farmers. Others would like local taxpayers to get relief but not owners of vacation homes. These are not options. Maybe the tax is unpopular because counties can't slice and dice the tax relief as they wish.

In counties that already have the county option income tax, the "COIT council" must make the adoption decision. The COIT council includes the county council and the councils and boards of the cities and towns in the county. Votes are divided up by population. In most COIT counties, a single unit has a majority of the votes. But in 14 counties, no one unit has a majority. A coalition is needed to adopt. Only Montgomery County, among the 11 counties that have adopted so far, needed more than one unit to vote "yes." Maybe the tax is unpopular because coalitions are hard to assemble.

The General Assembly appropriated $550 million for extra homeowner tax relief in 2007 and 2008. When this money runs out in 2009, homeowner taxes will jump again. Counties could offset this tax hike by adopting tax relief for 2009. Maybe the tax is unpopular because counties are waiting to adopt next year, so the tax relief offsets the homeowner tax hike in 2009.

Will the General Assembly allow the extra homeowner tax relief to expire in 2009? What other changes in tax policy might be made? Local officials are uncertain. It's possible that a more attractive alternative to the local income taxes will be enacted. Perhaps the local income taxes will look like the wrong choice. Maybe the taxes are unpopular because counties are uncertain about what the legislature will do.

Finally, consider the decision we expect our local officials to make. Replacing property taxes with income taxes dollar for dollar will raise taxes for some, reduce taxes for others. Local officials must look some of their constituents in the eye and say, "Your taxes must rise so others can pay less." Maybe the taxes are unpopular because the choices are so hard.

Listing reasons why the new local income taxes are unpopular is not meant to discourage counties from adopting. There are plenty of good reasons to adopt. But if we know why these taxes aren't popular, maybe we can figure out how to make them more popular.