A group of Republican House lawmakers in Harrisburg last week announced a six-bill package of property tax reforms, some of which restrict the way school districts can raise or use tax funds.
The bills would:
- Require voters to approve any tax increase over the Act 1 index.
- Limit county property tax increases to four percent or the regional inflation rate, whichever is less, unless voters approve a higher increase.
- Require voters to approve any major school construction debt.
- Prevent school districts from circumventing voter approval of tax increases through alternative borrowing.
- Create a formula to rank school districts by student performance, with schools in the bottom half of the rankings prohibited from raising property taxes with voter approval.
- Give counties the option of up to a one percent earned income tax to reduce property taxes, but only with voter approval.
None of the bills have been introduced yet. The bills are sponsored by Representatives Marc Anderson (York), Jack Rader (Monroe), Ryan Warner (Fayette) and Ann Flood (Northampton).
