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FOR IMMEDIATE RELEASE |
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State Rep. Eugene DePasquale D-York |
  
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DePasquale to join House colleagues in endorsing tax-exempt properties proposal
HARRISBURG, June 24 – State Rep. Eugene DePasquale, D-York, will join several of his state House colleagues at a news conference tomorrow to show support for a proposal that would provide needed financial assistance to municipalities that are crippled by high rates of tax-exempt properties.
DePasquale said the event, slated for 2 p.m. Wednesday, June 25 in the Capitol Rotunda, will serve as a rallying cry for legislation (H.B. 2018) that would take the Johnstown Flood Tax, an 18 percent tax on alcohol enacted in 1936 to revitalize Johnstown, and distribute those funds to municipalities that are at a fiscal disadvantage due to the large amount of properties that are exempt from certain local taxes.
The bulk of tax-exempt properties, DePasquale said, are usually government buildings or institutions that are used by the public throughout the region. He said this places a heavy burden on local taxpayers to recoup the lost revenue that could be generated from these properties.
"This legislation would allow the city of York and North York borough to hold down municipal property taxes and increase funding for public safety," DePasquale said. "Considering the cost of gas, many people wish to move closer to where they work. Allowing cities like York and boroughs like North York the ability to be safer and have lower taxes is a win for everyone."
DePasquale said no single municipality would receive more than 10 percent of the total revenue in the fund or more than $100 per person, per capita, based on the last census. This would guarantee a fair and equitable distribution of funding to those municipalities saddled with the burden of tax-exempt properties.
"With the national economy still struggling, and the focus of our state budget on protecting the progress that Pennsylvania has made, this legislation would provide balance and help local economies weather the economic storm as well," DePasquale said. "It would help communities that are struggling financially because of eroded tax bases and enable our local towns and cities to continue to offer quality services to their residents."
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