PRINTER'S NO. 3917
No. 2830 Session of 1998
INTRODUCED BY SCHRODER, ARMSTRONG, GODSHALL, FLICK, BENNINGHOFF,
VAN HORNE, E. Z. TAYLOR, PRESTON, RUBLEY, NAILOR, YOUNGBLOOD,
ROSS, McNAUGHTON, SEYFERT AND WILT, SEPTEMBER 30, 1998
REFERRED TO COMMITTEE ON EDUCATION, SEPTEMBER 30, 1998
AN ACT
1 Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
2 act relating to the public school system, including certain
3 provisions applicable as well to private and parochial
4 schools; amending, revising, consolidating and changing the
5 laws relating thereto," further providing for the levying of
6 taxes in school districts lying in more than one county or
7 one municipality.
8 The General Assembly of the Commonwealth of Pennsylvania
9 hereby enacts as follows:
10 Section 1. Section 672.1 of the act of March 10, 1949
11 (P.L.30, No.14), known as the Public School Code of 1949,
12 amended November 20, 1979 (P.L.465, No.97), is amended to read:
13 Section 672.1. School Districts Lying in More Than One
14 County or in More Than One Municipality; Limitation on Total Tax
15 Revenues.--(a) Whenever a school district shall lie in more
16 than one county, the total taxes levied on real estate within
17 the school district in each county shall be subject to:
18 (1) the limitation that the ratio which such total taxes
19 bears to the most recent valuation of the same properties by the
20 State Tax Equalization Board shall be uniform in all of the
1 counties, and the school district shall adjust its rate of
2 taxation applicable to the portion of the district in each
3 county to the extent necessary to achieve such uniformity; or
4 [(b) As] (2) as an alternative to the method provided in
5 [subsection (a)] clause (1) or (3), whenever a school district
6 shall lie in more than one county the board of assessment and
7 revision of taxes in any of the counties or all of the counties
8 in which the school district is located shall, at the request of
9 the school directors of the district, furnish the market value
10 of each parcel of property on the tax roll required to be
11 furnished to the school directors under any assessment law of
12 the Commonwealth. The market value of each parcel shall be (i)
13 the quotient of the assessed value divided by the latest ratio
14 of assessed value to market value in the municipality as
15 determined by the State Tax Equalization Board, or, (ii) at the
16 option of the school district, the market value of each parcel
17 shall be the quotient of the assessed value divided by the
18 latest ratio of assessed value to market value as determined by
19 the State Tax Equalization Board in the aggregate of all
20 municipalities of the school district within the county, or
21 (iii) at the option of the school district where there are two
22 or more ratios of assessed value to market value, the school
23 directors of that school district shall select the lowest of the
24 ratios for a uniform assessed value to market value throughout
25 the school district, or (iv) at the option of the school
26 district where such school district is located in a home rule
27 county, the school directors of that school district may use the
28 county assessments. [The] Under this clause, the school
29 directors shall set a tax rate based upon a percentage not
30 exceeding seventy-five (75) per centum of such market values
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1 which shall be uniform throughout the district[.]; or
2 (3) as an alternative to the methods provided in clauses (1)
3 and (2), whenever a school district shall lie in more than one
4 county, the school directors of the district may set the millage
5 at a uniform rate for the entire district, if the counties are
6 assessed at one hundred (100) per centum of the market value and
7 the counties are using the same base year for assessed value and
8 market value.
9 [(c)] (b) In the event a school district or part thereof
10 located within one county is composed of two or more municipal
11 governments at least one of which levies property taxes upon
12 assessments made for county tax purposes and at least one of
13 which utilizes separate assessments made for municipal tax
14 purposes, the property tax levy for school district purposes
15 shall be equalized by either of the methods prescribed in
16 [subsections (a) or (b)] subsection (a)(1) or (2). If the former
17 method is adopted, the ratio which the total taxes levied in
18 each part of the school district bears to the most recent
19 valuation of the same properties by the State Tax Equalization
20 Board shall be uniform; if the latter method is adopted, the
21 market value of each parcel of property on the tax roll shall be
22 (i) in the case of the assessment made for county tax purposes,
23 the quotient of the assessed value divided by the latest ratio
24 of assessed value to market value for that portion of the school
25 district as determined by the State Tax Equalization Board and,
26 (ii) in the case of the separate assessment for municipal tax
27 purposes, the quotient of the assessed value divided by the
28 product of the latest ratio of assessed value to market value in
29 the municipality as determined by the State Tax Equalization
30 Board and the ratio of the total assessed valuation of the same
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1 properties for municipal tax purposes to the total assessed
2 valuation of said properties for county tax purposes: Provided,
3 however, That the taxpayers of no municipality or political
4 subdivision within a school district shall pay an aggregate
5 amount in school property taxes which, as a percentage of total
6 school property taxes, shall exceed the ratio of its market
7 value to the total market value of the school district as
8 determined by the State Tax Equalization Board.
9 [(d)] (c) Whenever a revision of assessment is completed in
10 any portion of a school district and the revised assessments are
11 to be used for school tax purposes the method prescribed in
12 subsection [(b)] (a)(2) above to equalize school property tax
13 levies shall not be used until the latest ratio of assessed
14 value to market value as determined by the State Tax
15 Equalization Board for that portion of the school district is
16 based upon the revised assessments.
17 Section 2. This act shall take effect in 60 days.
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