17th DISTRICT TAXPAYER GOES TO HARRISBURG TO SEEK PROPERTY TAX RELIEF

HARRISBURG, SEPT. 28 – When Milton Lamnin, who pays taxes in the Upper Merion Area School District, came to Harrisburg today, he was welcomed by the news that his state Senator, Connie Williams, wanted to lower his taxes.

 “Mr. Lamnin came to Harrisburg on the day that the special session on property tax reform was opened,” Williams said. “For this special session to be effective, it is going to take the cooperation of every member of the House, the Senate and the administration. Everyone must put their party affiliation aside to do what is best for all Pennsylvania taxpayers. And we must do it in such a way that protects our public schools and ensures that every student has access to a thorough and efficient education.”

 According to Williams, the first step is to look at what went wrong with Act 72 and to consider all of the legislative proposals that will be offered.

 “What the legislature needs to accomplish during this session is to lower property taxes so that homeowners can afford to stay in their homes and so that people can afford to buy a home. Yet we still must provide a quality education for every child,” Williams said. “The final proposal that comes out of this session must be innovative, it must provide local taxpayer flexibility, it must address real property tax relief, not just a one-time rebate, and it must not create a taxing system that will need to be revamped in another three or four years.”

 Special Senate Bill 11 incorporates taxpayer demands, requests from House and Senate Democrats and Republicans, and principles expressed by Gov. Ed Rendell. The plan would:
 

  • Mandate school district participation, but permit school boards to opt-out of the program after they are notified by the Budget Secretary that they will be receiving gaming funds. However, if a school district opts-out, voters can still override the school board via a vote at the next municipal election.

  • Eliminate the 0.1 percent Earned Income Tax qualifying contribution.

  • Assure school district spending controls through voter referendum.

  • Slash the gaming reserve fund requirement of $400 million to $150 million

  • Allow local flexibility for school board and voters to “go further” and enact local tax shifts if they want more property tax relief than gaming revenue will provide.

  • Retain the distribution formula that drives tax relief to homeowners.

  • Hold harmless those districts that have already opted in via Act 72.

 “This is a first draft, something that will change and evolve during negotiations and debate,” Williams said. “It is not a one-size-fits-all solution. It allows for local control. It acknowledges the shortcomings of Act 72 and addresses those concerns expressed by taxpayers. It will start a substantive debate, which is critical in our efforts to reduce property taxes once and for all.”

 “We in the legislature must take advantage of this opportunity to meet the challenge of providing real property tax relief,” Williams said. “Change can be difficult, but in the case of property tax relief, it is long past due. As we roll up our sleeves in the legislature and get to work, I hope that all of my colleagues will keep in mind that our most important goal is helping Pennsylvania taxpayers, while providing a reliable school funding system that ensures a solid education for every child in the state.”