State House Sound Bites

Capitol reporter Katie Meyer covers Pennsylvania politics and issues at the Pennsylvania state capitol.

The State House Sound Bites Podcast is now called State of the State and is a part of PA Post, a digital-first, citizen-focused news organization to hold Pennsylvania’s government accountable to its citizens.

Lawmakers gear up for yet another property tax fight

Written by Katie Meyer, Capitol Bureau Chief | Mar 6, 2018 10:55 PM

Pennsylvania's average property taxes have increased considerably over the last decade. (Photo by AP)

(Harrisburg) -- A bipartisan group of state senators is plotting another attempt at legislation that has become something of a white whale in Pennsylvania -- overhauling the property tax system.

They're reviving a bill that failed to pass the chamber by a single vote in 2015.

Pennsylvania's property taxes largely pay for public schools, as well as local government expenses.

They currently total more than $14 billion dollars annually--a number that has increased dramatically over the last decade. That's why attempts to phase them out have routinely failed: it's hard to raise enough money to replace them.

Senator David Argall, a Republican from Berks County, is currently coordinating an effort to individually court fellow senators to figure out how to change the proposal to get them on board.  

He said he's disappointed Governor Tom Wolf, who has long supported a "responsible" property tax overhaul, isn't backing the effort more strongly.

"I could really use some help from the governor's office in helping us line up those last couple of votes we need," he said.

A spokesman for Wolf said he's willing to work toward a reform bill, but it "cannot tax food or clothing, and we have to ensure students and school districts aren't negatively impacted."

Argall noted, the property tax landscape has shifted since his last failed attempt.

Last year, voters changed the constitution to categorize homeowners separately from businesses, which means companies could keep paying the tax while individuals get a break.

Argall estimated that would roughly halve the amount that needs to be replaced with sales or income taxes.

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