New Haven: No Tax Haven

Nice buildings you have here. Would hate to see them
taxed.....too much. (Image from collegematchmaker.com)

Connecticut Senate Bill 414 proposes to remove the property-tax exemption on Yale University buildings. Yale objects:

A bill before the Connecticut General Assembly that would tax Yale’s academic buildings is unconstitutional, say Yale officials.

“Yale is urging the General Assembly to reject SB 414,” said Rich Jacob, associate vice president for federal and state relations. “Yale is also making clear that SB 414 violates the U.S. and the Connecticut Constitution, and Yale is prepared to defend its constitutional right of non-taxation.”

It's dubious that Yale and other non-profit non-religious institutions have a constitutional right not to be taxed. Their argument is weakest in the case of property taxes, where the connection between taxes and benefits is strong; property taxes fund the police, fire, emergency, etc. services that help to protect Yale's property and people. Yale has recognized the connection by voluntarily making annual payments of $8.5 million to the City of New Haven, plus another $4.5 million on commercial properties unrelated to the University's function. One Yale Law professor (!) writes: [bold added]

the burden of property tax exemption is generally felt at the level where the tax is levied, which commonly includes the local municipality where the exempt institution is located. This means that many small towns with large universities are starved for tax revenue. As a consequence, when proprietary institutions [blogger's note: an example is for-profit colleges] mature to the point where they begin to offer services comparable to those offered by nonprofit organizations, withdrawal of exemption from the nonprofits should start with the property tax exemption, not the corporate income tax exemption. This seems, in fact, to be the pattern developing with nonprofit hospitals.

In the 18th century Yale envisioned itself as a place “wherein Youth may be instructed in the Arts and Sciences (and) through the blessing of Almighty God may be fitted for Publick employment both in Church and Civil State.” In contemporary Yale Almighty God has retreated to the Divinity School, Battell Chapel, and a few other buildings. The constitutional principle of church-state separation dictates that those structures should be Yale's tax havens, and little else.

Making College Happier

Yale junior Geng Ngarmboonanant argues for lowering the drinking age to 18:

The merits of lowering the drinking age are relatively clear. We know that college students drink. But the current law drives college students “underground” to consume alcohol, like when students take shots in quick succession in dorm rooms. The current drinking age also edges students toward other illegal activities, such as purchasing fake IDs in order to enter bars and clubs. [snip]

In fact, we would be joining a group of 136 colleges, including Dartmouth and Duke, who are signatories of the Amethyst Initiative. Amethyst — which means “not intoxicated” in Greek — is a coalition of college presidents who urge a reconsideration of the national drinking age.

As with other risky human behaviors, 18-to-21 drinking would be made safer if it came out of the shadows.

Personal note: I imbibed at 18 when it was legal to do so, and college was a happy time for me. I just wish I could remember it better.....

News from New Haven - 1

Appetite suppressants are a popular diet aid, but suppressing hunger could promote autoimmune disease (e.g, multiple sclerosis, rheumatoid arthritis), say Yale University scientists. The researchers performed tests on mice to analyze the relationship between hunger neurons and T cells, which cause inflammation that can fight infection but can also lead to autoimmune disease.

“We’ve found that if appetite-promoting AgRP neurons are chronically suppressed, leading to decreased appetite and a leaner body weight, T cells are more likely to promote inflammation-like processes enabling autoimmune responses that could lead to diseases like multiple sclerosis,” said lead author Tamas Horvath, the Jean and David W. Wallace Professor of Biomedical Research and chair of comparative medicine at Yale School of Medicine.

The majority of people we know (including us) are trying to lose weight for the familiar reasons. The Yale study suggests that using drugs to relieve hunger pangs may cause more harm than good.

Related note: during Lent, not a coincidence because of our unworldly focus, we read and tried out the FastDiet, during which the dieter "fasts" (daily consumption is capped at 500 calories for women and 600 calories for men) for any two days a week. It's easy to live with because there are no restrictions on the other five days. (Your humble observer stops reading as soon as he sees the phrase "permanent lifestyle change.")

Besides the obvious benefit of dropping 1-2 pounds per week, there does seem to be a bit more mental alertness, though admittedly we're starting from a pretty low base. I'm agnostic about some of the other benefits cited in the book, for example, the body's improved cancer-fighting ability, but there's little downside in trying it. A recommended, quick read. © 2013 Stephen Yuen