PITTSBURGH, July 16, 2024 – State Senator Katie Muth (D-Chester/Montgomery/Berks), chair of the Pennsylvania Senate Democratic Policy Committee, joined Sen. Wayne Fontana (D-Allegheny) yesterday in Pittsburgh to co-host a public hearing highlighting Pennsylvania’s system of property reassessment.
“Yesterday’s hearing highlighted the many issues caused by Pennsylvania’s lack of statewide property reassessment system and also some potential legislative solutions that would require regular, cyclical reassessments that could help alleviate the property tax burden for so many Pennsylvania families,” Muth said.
The hearing, held at Allegheny County Courthouse in downtown Pittsburgh, featured two panels of testimony that highlighted the issues with Pennsylvania’s property reassessment system and included discussion on the impact reassessments have on municipalities, school districts, and real estate. Pennsylvania is the only state that does not require cyclical updates in the administration of the property tax and counties can go for decades without value updates.
“Property taxes are a primary and critical source of revenue for Pennsylvania’s more than 2,500 municipalities and 500 school districts. However, the Commonwealth remains the only state in the nation that allows counties to decide when to perform a full reassessment of property values, unless a court intervenes,” Fontana said. “What we heard yesterday was compelling evidence that Pennsylvania’s lack of a uniform scheduled reassessments is full of inequities, and it is costing us. The time is now that the Legislature comes up with a solution.”
Pennsylvania has no standardized system of assessing property value, thus processes vary widely from county to county; and within each county, assessment values vary from municipality to municipality. According to statistics, 50 of Pennsylvania’s 67 counties have not done a reassessment in the past 15 years, the last one done in Allegheny County was in 2012.
“It was an honor to participate in yesterday’s urgent discussion around property reassessments and how we move forward in this space. I am especially grateful that we were able to discuss my LOOP legislation, which will soon have the impact of protecting long-term owner-occupants in Pittsburgh from exorbitant property taxes that have skyrocketed recently,” Senate Democratic Leader Jay Costa (D-Allegheny) said. “I’m very proud of all the leaders and advocates who shared their expertise, and I look forward to continuing this conversation as we go forward.”
Sen. Costa’s Senate Bill 219, which was signed into law as Act 53 of 2024 by the Governor last week, created the Longtime Owner Occupant Tax Exemption Program (LOOP) which will protect homeowners living in areas with rapidly increasing property values that increase property taxes. The bill will allow Pittsburgh’s mayor and city council to exempt or defer increases in property taxes for people who have lived in homes they own for a certain period of time in certain neighborhoods where the property values have skyrocketed.
“Grateful to have had the opportunity to hear from experts and advocates on the hugely significant impact Pennsylvania’s inequitable property tax reassessment system has on residents and our public institutions. Without regularly scheduled reassessments like the rest of the country, our local governments and school districts are stuck with a system that taxes residents and families unfairly.” Sen. Lindsey Williams (D-Allegheny) added. “We can’t appeal our way to fairness, so I’m looking forward to working with Senator Fontana to find a solution that benefits all Pennsylvanians.”
Participants in the hearing included Dr. Melissa Friez, Superintendent, Mt. Lebanon School District; Ira Weiss, Solicitor, Pittsburgh Public Schools; Mike Suley, Board Member, Allegheny County Board of Property Reassessment Appeals; Rachael, Heisler, Pittsburgh City Controller; Sharon DiPaolo, Partner, Siegel Jennings Co.; John Petrack, Executive Vice President, Realtors Association of Metropolitan Pittsburgh; and David Vatz, Pro Housing Pittsburgh.
Senator Tim Kearney (D-Delaware) also participated in the hearing virtually.
For more information on this policy hearing and to access all submitted testimony and a full recording of yesterday’s hearing, visit www.SenatorMuth.com/policy.
Harrisburg, PA − July 11, 2024 – Today, the Pennsylvania Senate and House passed a $47.59B dollar budget that makes significant investments in basic education, higher education, public safety, health and human services, and economic development.
Senator Jay Costa, Senate Democratic Leader, and Senator Vincent Hughes, Senate Democratic Appropriations Chair, said the following about Pennsylvania’s new budget:
“I am happy to report that today, we passed a budget bill, a school code, a tax code, and a fiscal code. Our discussions these past few weeks were very productive, and the Senate Democratic Caucus was proud to fight for a number of our priorities,” said Senator Costa. “This budget makes significant investments in the issues Pennsylvanians find important and impactful. We have invested over $1 billion new dollars into pre-k to 12 education funding, and a $900 million increase to address our education adequacy needs and basic education funding. In the space of economic development, there is over $45 million for new programs that support new jobs and businesses, including funding for the PA SITES program. We also got a $40 million increase for affordable housing through the PHARE Housing Program over 4 years. I am personally very proud that we doubled our investment in the Nonprofit Security Grant Program to a total of $10 million to protect the spaces in our communities that serve vulnerable groups. There is so much more to celebrate, and also much more work to do to deliver for every Pennsylvanian. I am so grateful for my colleagues and staff for getting this budget over the finish line.”
“This budget makes a historic downpayment on our responsibility to fix Pennsylvania’s education funding system with an increase of over $1B for Pre-K to 12 education funding,” said Senator Hughes. “I along with a number of advocates, educators, and students have been in the fight to fix Pennsylvania’s unconstitutional education system for 10 years, and tonight we’re taking an important step forward to right that egregious wrong. Our work isn’t finished but this budget marks a significant milestone for Pennsylvania’s public education system.
I’m also proud to see the Commonwealth move forward with long overdue investments and reform for our higher education system. Democrats started leading on this issue in 2017 with our PA Promise plan and then requirements on higher ed transparency and accountability. We’ve finally got something across the finish line that will improve access and affordability for students and families, and ultimately improve our workforce. It’s gratifying to see the groundwork we started to lay 7 years ago with PA Promise result in a serious change for PA higher education.
Overall, we’re delivering big increases for education, affordable housing, public safety, and a number of new investments in economic development initiatives. The investments we’re making in this budget will have a significant impact on opportunities and growth for Pennsylvanians across the Commonwealth. Of course, with a divided government, there’s more that Democrats will be fighting for as we make future appropriations, but we’ve made a solid stride forward with what we’ve passed today.”
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HARRISBURG, PA − July 11, 2024 − Today, Governor Josh Shapiro signed SB 219, State Senator Jay Costa’s Longtime Owner Occupant Tax Exemption Program (LOOP), into law. Now Act 53 of 2024, this program will allow Pittsburgh’s mayor and city council to exempt or defer increases in property taxes for people who have lived in homes they own for a certain period of time in certain neighborhoods where the property values have skyrocketed.
“After years of advocacy and listening to the needs of Pittsburgh, I am so happy to be celebrating the signing of LOOP into law today,” said Democratic Leader Jay Costa. “I look forward to seeing the impact of Act 53 of 2024 in the City of Pittsburgh – making sure the people who built our communities can stay in their communities.”
Text of the legislation is accessible online here.
Learn more about the history of the LOOP Legislation at SenatorCosta.com/LOOP.
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HARRISBURG, PA − July 10, 2024 − Today, State Senator Jay Costa celebrates the passage of the Longtime Owner Occupant Tax Exemption Program (LOOP) in the House of Representatives, which will protect homeowners living in areas with rapidly increasing property values that increase property taxes. When signed by Governor Shapiro, SB 219 will allow Pittsburgh’s mayor and city council to exempt or defer increases in property taxes for people who have lived in homes they own for a certain period of time in certain neighborhoods where the property values have skyrocketed.
“I am grateful that the House reaffirmed the importance of protecting the people who have built our communities by passing SB 219,” said Democratic Leader Jay Costa. “As the costs of living rise, along with property taxes, it’s up to us to ensure that seniors and long-term members of our communities can afford to stay in the homes and neighborhoods they love. I am confident that the Governor will sign this bill quickly so that we can begin helping our beloved neighbors and community members.”
As Pittsburgh continues to experience increased investment and development pressure in specific neighborhoods of the city, longtime owner occupants have been and will continue to be put at risk of being forced out of their homes due to rapid increases in property taxes. Given rising living costs and constantly increasing tax burdens in areas where real property values have risen markedly as a consequence of the renovation of other deteriorating residences or the construction of new residences, coupled with the practical challenges for counties of the second class to implement such a program, the City of Pittsburgh is seeking amendments to the “First and Second Class County Property Tax Relief Act” to provide the same abilities to cities of the second class in order to allow longtime owner-occupants of residences to remain in peaceful possession of their homes.
Proposed changes to The First and Second Class County Property Tax Relief Act would involve:
- Amending the title of the statute from “First and Second Class County Property Tax Relief Act” to “First and Second Class County and City Property Tax Relief Act”;
- Amending occurrences of “counties of the first and second class” to read “counties and cities of the first and second class”;
- Further discussion on whether any amendments to Section 4749.4(c) would be necessary; and
- Amending Section 4749.5(c)(2) from “School districts and municipalities within a county of the second class may…” to read “School districts and municipalities within a county of the second class, including cities of the second class, may…”
Text of the legislation is accessible online here.
Learn more about the history of the LOOP Legislation at SenatorCosta.com/LOOP.
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HARRISBURG, PA − July 3, 2024 − Today, State Senator Jay Costa celebrates the passage of the Longtime Owner Occupant Tax Exemption Program (LOOP), which will protect homeowners living in areas with rapidly increasing property values that increase property taxes. If passed by the House and signed by Governor Shapiro, SB 219 would allow Pittsburgh’s mayor and city council to exempt or defer increases in property taxes for people who have lived in homes they own for a certain period of time in certain neighborhoods where the property values have skyrocketed.
“The people who built our communities belong in those communities, and I am so glad that the Senate affirmed this crucial value with the passage of SB 219,” said Democratic Leader Jay Costa. “As the costs of living rise, along with property taxes, it’s up to us to ensure that seniors and long-term members of our communities can afford to stay in the homes and neighborhoods they love. I look forward to continuing our advocacy on this important issue and getting this bill over the finish line.”
As Pittsburgh continues to experience increased investment and development pressure in specific neighborhoods of the city, longtime owner occupants have been and will continue to be put at risk of being forced out of their homes due to rapid increases in property taxes. Given rising living costs and constantly increasing tax burdens in areas where real property values have risen markedly as a consequence of the renovation of other deteriorating residences or the construction of new residences, coupled with the practical challenges for counties of the second class to implement such a program, the City of Pittsburgh is seeking amendments to the “First and Second Class County Property Tax Relief Act” to provide the same abilities to cities of the second class in order to allow longtime owner-occupants of residences to remain in peaceful possession of their homes.
Proposed changes to The First and Second Class County Property Tax Relief Act would involve:
- Amending the title of the statute from “First and Second Class County Property Tax Relief Act” to “First and Second Class County and City Property Tax Relief Act”;
- Amending occurrences of “counties of the first and second class” to read “counties and cities of the first and second class”;
- Further discussion on whether any amendments to Section 4749.4(c) would be necessary; and
- Amending Section 4749.5(c)(2) from “School districts and municipalities within a county of the second class may…” to read “School districts and municipalities within a county of the second class, including cities of the second class, may…”
Text of the legislation is accessible online here.
Learn more about the history of the LOOP Legislation at SenatorCosta.com/LOOP.
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HARRISBURG – June 26, 2024 – The Senate Transportation Committee voted today in favor of a bill sponsored by Sens. Pat Stefano (R-32) and Jay Costa (D-43) that would provide an alternative solution for Pennsylvania drivers who are unable to pay the fees of their suspended license: community service.
Senate Bill 1118 would allow for a magisterial district judge to determine if someone is financially unable to bear the costs of the fines/fees associated with a traffic offense and then instead assign community service as a payment alternative to an indefinite license suspension.
“Too often, young and economically disadvantaged drivers carry the burden of insurmountable amounts of debt, restricting their potential. Those individuals deserve a solution to retain their driver’s license so that they can continue to contribute to our communities,” said Stefano. “Providing this alternative for drivers to avoid a suspended license will not only empower those individuals to pursue employment or education opportunities but further enhance our workforce and aid the betterment of neighborhoods across the commonwealth.”
The bill would also allow those who currently have suspended licenses – due to violations of driving without a license, failure to appear in court or failure to pay fines – to be provided with the option of community service if a judge sees fit. The community service payment alternative could additionally apply to suspensions related to driving with a suspended license.
“I am delighted to be supporting this bill as we move the needle on justice for low-income drivers,” said Costa. “We know that members of our community who struggle financially rely on their cars to get to work, care for family, and manage day-to-day tasks. By allowing those drivers an alternate pathway for reinstituting their license, we are delivering a justice system that works for every Pennsylvanian. I look forward to getting this over the finish line.”
The bill now moves to the full Senate for consideration.
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