Won't school teachers' salaries grow in presence of diminishing supply and stable demand?
Prices in the area I live in use to be $100k-ish for a 3 bdrm home 10 years ago. Now they're $760k and I live >30 miles from the CBD.
Teachers salaries have continued to get "cost of living" increases and we have news stories like this popping up all the time: https://www.stuff.co.nz/national/education/102707618
It terrifies me to see how poorly we treat educators and education in general. As a highly developed nation our only chance for the future is to maintain our edge. We are borrowing against the intellectual (and in the case of public university tuition, also the financial) capital of the future and I'm not even sure what we are doing with the money.
Prop 13 only has effect when houses do NOT sell. Whenever a property changes hands, which is the only event that matters wrt demand, it is assessed at current market value.
Prop 13 does have an effect but only in the manner in which it supresses sales.
Last we checked, per-student spending in public schools was negatively correlated with student achievement, so the hypothesis that funding levels are unrelated to performance would appear to be on pretty strong ground.
If a house is appraised at $10,000.00 in 2000 and doesn’t sell for 10 years it pays $2000.00 in taxes. Since teachers are paid out of this tax their salaries increases are capped at $2,000.00. If wages (and housing prices) in general went up at even 3% per year then teachers have to compete against other buyers with double the cash.
The only way teachers aren’t getting screwed here is if every house sells every year.
Again, I’m not an economist and these numbers are obviously a gross oversimplification.
Prop 13 limited prop tax to 1% of the assessed value (actual property tax also includes many parcel taxes). About 100 school districts out of about a thousand in California have such high property values and/or low number of students that the 1% tax is enough to fund the schools at a higher per student rate than the standard for California. These rich areas are called "basic aid" districts and don't give their prop tax to the state, keeping it local and funding schools at a higher level.