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FOR IMMEDIATE RELEASE

State Rep. Frank Dermody
D-Allegheny
www.pahouse.com/dermody

 

 

Dermody reintroduces bill to eliminate school property taxes

 

HARRISBURG, Feb. 11 -- State Rep. Frank Dermody, D-Oakmont, has reintroduced legislation to eliminate the school property tax.   

 

"In spite of the progress we've made to relieve some of the property tax burden for homeowners, the tax is still an onerous burden. And it could become even more so as school districts look for ways to balance their budgets in this recession," Dermody said.

 

"My legislation would address the underlying problem of both high local school property taxes and districts' needs for funding by resolving how Pennsylvanians pay for public education.

 

"Eliminating school districts’ ability to levy property taxes on residents would force the state to look at how we pay for our schools and develop a better way to fund them. This is the first step in fixing a system that is deeply flawed and finding a way to better address the burden property taxes place on residents and school districts."

 

Dermody has been advocating elimination of the school property tax for more than a decade. Each legislative session has gathered more interest and support for his plan, which has passed the House in previous sessions, but failed to be considered in the Senate.

 

Dermody's legislation is patterned after a 1993 Michigan law in which that state eliminated school property taxes in order to enact a more equitable tax plan to pay for schools. After Michigan's legislature eliminated property taxes, the voters approved new funding sources for schools, including higher sales and cigarette taxes. Property taxes also were included in the mix, but at a much lower rate.

 

"We have a responsibility to provide a thorough and efficient system of public education for our children," Dermody said. "Eliminating property taxes to pay for schools would provide an opportunity for real tax reform and a better education for our children."

 

His measure (H.B. 272) is being considered in the House Finance Committee.

 

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