More Useless Property Tax "Relief" Legislation

24 August 2007

Dear Friends,

It has been a delightful summer and I hope that all of you have enjoyed your time in the warm weather.

There has not been too much that has been newsworthy about property taxes over the past months, although a lot has been happening behind the scenes. It’s time now to get back to work on this issue.

Some good news from the past month

In the Pittsburgh Post-Gazette on July 23, House majority whip Keith McCall said:
“We are committed to making property tax reform the pre-eminent issue come this fall".

And an e-mail newsletter issued by the House Democratic Caucus on August 10 stated this about the fall agenda: “What can you look forward to? How about a revolutionary new bipartisan plan to eliminate school property taxes for homeowners?”

This is very good news. There is only one plan currently in the House that meets the above criteria of “bipartisan” and “elimination” – the School Property Tax Elimination Act of 2007, the former Plan For Pennsylvania’s Future, the school property tax measure supported by the PTCC. Now it will be up to us to ensure that these lawmakers will make good on their pronouncements.

Our chances for significant school finance reform are greater now than at any time in the past. We must be prepared over the next few months to do what is necessary to achieve our goal: school property tax ELIMINATION.

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PCTA Meeting

Representatives from the twenty-one member groups of the Pennsylvania Coalition of Taxpayer Associations (PCTA), the PTCC’s statewide umbrella organization, met on August 19 to develop plans and strategies to support the introduction of the School Property Tax Elimination Act of 2007 during the fall session of the legislature. It was a very spirited meeting and I’ll be sharing these strategies with you over the next few weeks.

During the meeting, the PCTA approved a resolution to the Pennsylvania General Assembly that demonstrates unequivocal support for the School Property Tax Elimination Act of 2007. You can read the resolution here:
http://mysite.verizon.net/drbsr/PTCCWeb/resolutions.htm.

Following the meeting the PCTA issued a press release about the meeting and the PCTA’s scathing opposition to a new, useless property tax “relief” bill, HB 1600. The press release is available here:
http://mysite.verizon.net/drbsr/PTCCWeb/pressreleases.htm.

One of the speakers at the meeting was a former lobbyist who spoke to the PCTA about grassroots campaigns. An interesting fact that he related was that it can take as few as ten letters from constituents to change a legislator’s vote on an issue. For those of you who ever had doubts about the effectiveness of contacting your legislator, this should change your opinion!

Again, I’ll be sending more information in future newsletters about the PCTA’s efforts and how you can help to support the School Property Tax Elimination Act of 2007.

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Problem Legislation - IMPORTANT

On July 17, Representative David Levdansky (D-39, Allegheny/Washington) introduced House Bill 1600, another valueless, fraudulent property tax “relief” measure.

Already being advertised as a “good first step” (how many times have we heard THAT?!), HB 1600 is exactly the same as the Act 1 referendum that was resoundingly thrashed at the polls in May. It imposes a 0.5% increase in the sales tax and a .22% increase in the state income tax in return for an approximate $525 homestead exemption. The legislators who support this bill are telling us that it will offer an average 40%-50% reduction in property taxes, but this is simply more smoke and mirrors to try to gain taxpayer acceptance and is patently misleading.

HB 1600 is based on EXACTLY the same principle as the Act 1 tax shift. It imposes new, permanent taxes in exchange for minimal temporary “relief” that will quickly be eaten up by relentlessly rising property taxes. HB 1600 will not only leave taxpayers with their same burdensome property tax bills plus additional new taxes, it also will do nothing to address the antiquated, crumbling education finance system, the cost of education, or equitable funding for public schools. It is another valueless band-aid approach that will again leave Pennsylvania homeowners without true, effective property tax reform. Further, unlike the Act 1 referendum where voters had a voice in rejecting the measure, this bill can be enacted and jammed down our throats with no input whatsoever from taxpayers.

I am astonished at the arrogance of these legislators who think that they can again regurgitate the same old plan that has failed three times in the past and still expect us to fall for their charade. Their utter disregard for the intelligence of Pennsylvania taxpayers is incomprehensible and they must be told unequivocally that we WILL NOT tolerate any more of their misguided halfway measures.

The biggest concern with HB 1600 is that if it is enacted the legislature will tell us that they have given us property tax relief and nothing more will be done for the foreseeable future. As much as they like to tell us that this is another “first step”, we know that if HB 1600 passes it will be the last step towards true education finance reform for a very long time.

We MUST fight this measure in any way possible.

First, I would ask all of you to please contact your Representative and ask him or her to support property tax ELIMINATION when the School Property Tax Elimination Act of 2007 is introduced. Further, request that they absolutely reject House Bill 1600 as another inadequate attempt at property tax relief. If you do not know your Representative’s contact information it is available by Zip+4 at
http://www.legis.state.pa.us/cfdocs/legis/home/find.cfm.

Second, and more importantly, please attend one of the hearings that are being held for HB 1600 by the State House Finance Committee. A hearing will be held in Bucks County on August 27 and in Berks County on August 29; information is below. If you live in either of these counties or the counties surrounding them, PLEASE make an effort to attend one of these hearings to voice your displeasure with House Bill 1600. A huge attendance by concerned taxpayers can make a significant impression on these legislators.

MONDAY, AUGUST 27, 2007
1:00 PM FINANCE COMMITTEE Public hearing on HB 1600 - Property Tax
(Hosted by Rep. Chris King)
Falls Twp. Building
Community Room
188 Lincoln Highway
Fairless Hills, PA (Bucks County)

WEDNESDAY, AUGUST 29, 2007
10:00 AM FINANCE COMMITTEE Public hearing on HB 1600 - Property Tax
(Hosted by Rep. David Kessler)
Oley Fair Center
26 Jefferson Street
Oley, PA (Berks County)

Other hearings will be scheduled later in various parts of the state; I’ll pass along the information when it’s received.

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In closing, I want to thank all of you for your support of our efforts to achieve honest, equitable school finance reform. Please work to enlist the help of others in this campaign so we can have an even larger base of support for the benefit of all Pennsylvania taxpayers and schoolchildren. The more hands, the better!

Your questions and concerns are always welcome – please write to me at
pataxpayers@gmail.com.

David Baldinger
PTCC Administrator
http://www.ptcc.us/

9 comments:

Anonymous said...

House Bill 1600 is another fraudulent "relief" measure just like Act 1 and must be defeated! Let your representative know how you feel about this bill that will be an overall tax increase.

Anonymous said...

It is very easy to let your representative know how you feel. Most of them have a place on their website to do it. I have contacted Rep. Kessler several times this way which brings up another good point - you should try to contact them more then once. Maybe once a week as news about this topic comes out. I have even called the guy up and talked to him about it. He said he would rather back HB1600 because he thinks it has a chance of passing. He was reluctant to back School Property Tax Elimination Act of 2007 because he said the "numbers" dont add up (numbers of supporters) and he would rather back a bill that had a chance of passing. I pointed out that I thought this was flawed thinking and that he should back a bill that the taxpayers want regardless if he thinks it will pass. He admits he wants property tax elimination and will look at School Property Tax Elimination Act of 2007 once it is officially introduced.

Anonymous said...

So let me see if I understand this correctly. According to Rep. Kessler you don't do what's right, you do what's expedient and hope that the taxpayers will fall for another tax "relief" scam. Nice.

Maybe it's time that he considers what his constituents want instead of following his own agenda.

Anonymous said...

Governor Rendell, recently stated at a press conference "I do not feel that school property tax should be eliminated, as this a very stable tax". Stable for who? It is not stable for the taxpayer losing their home.

The Governor has pushed his other agenda items to the forefront and property elimination to the rear or the trash. The Governor is the problem. He holds the legislature hostage for passing any other bill he wants. Let him do the same for elimination of real estate school property tax. Clever though he is. If he can get two new taxes(HB1600) and leave the school property tax in place, there will be plenty of ways to get future tax hikes for the looming pension crisis. Just like his clever gambling bill with gambling money that we might get next year.(Property tax reductions were at the bottom of that list) By the way how much have your property taxes risen in the past few years?

We need public negotiations for teacher contracts. Reassessment every 3 years for equity. No base year assessments. Or! My favorite, school property tax elimination for businesses and homeowners. We need the "Property tax Elimination Act 2007". We need to get Pa Clean Sweep to help us! "VOTE NO" campaign for any Senator or Representative who does not bring to the forefront and also vote for this plan. We need a campaign to "Vote them out" of office if they do not get this voted on once and for all. If they vote no to elimination or vote yes to any other piece meal plan, they will be looking for a new job. Thirty plus years is long enough. We won't buy the "we can't get a consensus" excuse any longer. If they can't eliminate these unfair taxes, tham we don't need them.

Anonymous said...

Governor Rendell, recently stated at a press conference "I do not feel that school property tax should be eliminated, as this a very stable tax". Stable for who? It is not stable for the taxpayer losing their home.

The Governor has pushed his other agenda items to the forefront and property elimination to the rear or the trash. The Governor is the problem. He holds the legislature hostage for passing any other bill he wants. Let him do the same for elimination of real estate school property tax. Clever though he is. If he can get two new taxes(HB1600) and leave the school property tax in place, there will be plenty of ways to get future tax hikes for the looming pension crisis. Just like his clever gambling bill with gambling money that we might get next year.(Property tax reductions were at the bottom of that list) By the way how much have your property taxes risen in the past few years?

We need public negotiations for teacher contracts. Reassessment every 3 years for equity. No base year assessments. Or! My favorite, school property tax elimination for businesses and homeowners. We need the "Property tax Elimination Act 2007". We need to get Pa Clean Sweep to help us! "VOTE NO" campaign for any Senator or Representative who does not bring to the forefront and also vote for this plan. We need a campaign to "Vote them out" of office if they do not get this voted on once and for all. If they vote no to elimination or vote yes to any other piece meal plan, they will be looking for a new job. Thirty plus years is long enough. We won't buy the "we can't get a consensus" excuse any longer. If they can't eliminate these unfair taxes, than we don't need them.

Anonymous said...

Nothing will be more important than to have this Bill passed. Property owners(homes and businesses) are struggling to pay for all who don't share this burden. We just can't keep paying and paying and paying. At $9000.00 a year and rising, it's a nasty burden for my wife and I with three children. To support this effort, I emailed every Representative in PA. Here's one response from a represenative who needs help in finding his way to "True Representation" for the common good.

"I am all in favor of a plan that would completely remove personal property as a taxing means. The problem becomes convincing 102 others and 26 senators along with the governor to find the shift to what other way we can come up with that 8 billion it produces. I like the sales and income tax way." Tim


Rep. Tim Solobay

Room G-14

Irvis Office Building

Harrisburg, PA 17120-2020

717-787-1188 Fax: 717-705-1887

Anonymous said...

Governor Rendell and Gambling for tax relief! What a disaster. I am an estimator in the demolition business. I have been to Atlantic City, NJ on demolition business. The area is like a war zone. Go two blocks off the main strip an you are in trouble(both physically and mentally). The complete area is literally falling down with tremendous plight and unemployment. I thought about the 1960's when we used to play in that area over the summer. BOTTOM LINE: Gambling and Taxes don't mix except for disasterous results. Who benefits? The Casinos, lobby corps, the Governor and the politician's who sold out. Who Loses? YOU AND YOUR CHILDREN DO!

TELL EVERYBODY! SUPPORT THE SCHOOL PROPERTY TAX ELIMINATION ACT OF 2007

Anonymous said...

I guess the only way to get the attention of the legislature if they refuse to eliminate the unfair, inequitable, and outdated school property tax is to oust them with another "vote no" campaign. Everyone of them not supporting and voting for HB 1275, to relieve every homeowner in Pa.of this unfair burden is not representing the taxpayers regardless of what spin they use.

Anonymous said...

When talking about property taxes, no one ever mentions how subjective they are. For instance, a local paper told the story of a politician whose home was conservatively estimated to be worth about 1 million dollars, yet on the tax rolls it was worth 100 thousand. Who knows how widespread this is? Probably everyone in the state but us poor taxpaying suckers. At least with a sales tax you can't cheat.