“Consider one of the most important developments in local government finance in the last 50 years - state constitutional taxation and spending limitations. Starting with Proposition 13 in California, adopted in 1978, many states began to severely limit local governments' ability to tax and spend. In the California case, these limits were arguably spurred by rapid rises in property values as newcomers found their way to California in the 1970s. Again, an institutional reaction appear to *follow* economic growth - California was growing rapidly and existing residents were concerned about the fiscal effects brought about by the influx of immigrants. Colorado's Taxpayer Bill of Rights (TABOR), adopted in 1992, also appears to have been in part a reaction to rising tax rates brought about by increasing service demands of increasing populations.” DebtTaxationLocal Government Author:Richard Schragger