SENATE AMENDED
PRIOR PRINTER'S NOS. 3134, 3163, 3207 PRINTER'S NO. 3212
No. 2495 Session of 1994
INTRODUCED BY GAMBLE, LAUGHLIN, ROBINSON, MAYERNIK, CESSAR,
GIGLIOTTI, ITKIN, MARKOSEK, FAJT, VAN HORNE, LEVDANSKY,
KAISER, COWELL, DeLUCA, DERMODY, FARMER, McNALLY, MICHLOVIC,
OLASZ, PETRONE, PISTELLA, PRESTON, PETTIT AND TRELLO,
JANUARY 31, 1994
SENATOR DAWIDA, FINANCE, IN SENATE, AS AMENDED, FEBRUARY 7, 1994
AN ACT
1 Amending the act of December 13, 1988 (P.L.1190, No.146), <--
2 entitled "An act establishing standards and qualifications by
3 which local tax authorities in counties of the first and
4 second class may make special real property tax relief
5 provisions," further defining "longtime owner-occupant;
6 further providing for deferral or exemption authority and for
7 conditions of deferral or exemption; providing for
8 applications for relief; and further providing for data used
9 to determine eligibility.
10 AMENDING THE ACT OF JUNE 21, 1939 (P.L.626, NO.294), ENTITLED <--
11 "AN ACT PROVIDING FOR AND REGULATING THE ASSESSMENT AND
12 VALUATION OF ALL SUBJECTS OF TAXATION IN COUNTIES OF THE
13 SECOND CLASS; CREATING AND PRESCRIBING THE POWERS AND DUTIES
14 OF A BOARD OF PROPERTY ASSESSMENT, APPEALS AND REVIEW;
15 IMPOSING DUTIES ON CERTAIN COUNTY AND CITY OFFICERS;
16 ABOLISHING THE BOARD FOR THE ASSESSMENT AND REVISION OF TAXES
17 IN SUCH COUNTIES; AND PRESCRIBING PENALTIES," LIMITING THE
18 RATE OF INCREASE IN THE ASSESSED VALUE OF CERTAIN PROPERTY.
19 The General Assembly of the Commonwealth of Pennsylvania
20 hereby enacts as follows:
21 Section 1. The definition of "longtime owner-occupant" in <--
22 section 3 of the act of December 13, 1988 (P.L.1190, No.146),
23 known as the First and Second Class County Property Tax Relief
1 Act, is amended to read:
2 Section 3. Definitions.
3 The following words and phrases when used in this act shall
4 have the meanings given to them in this section unless the
5 context clearly indicates otherwise:
6 "Longtime owner-occupant." [Any] For counties of the first
7 class, any person who for at least ten continuous years has
8 owned and has occupied the same dwelling place as a principal
9 residence and domicile, or any person who for at least five
10 years has owned and occupied the same dwelling as a principal
11 residence and domicile if that person received assistance in the
12 acquisition of the property as part of a government or nonprofit
13 housing program. For counties of the second class, any person
14 who for at least three continuous years has owned and has
15 occupied the same dwelling place as a principal residence and
16 domicile.
17 * * *
18 Section 2. Sections 4 and 5 of the act are amended to read:
19 Section 4. [Deferral or exemption] Exemption authority.
20 (a) Adoption of uniform provisions.--The governing body of a
21 county of the first and second class shall have the power to
22 provide, by ordinance or resolution, for uniform special real
23 property tax provisions granting longtime owner-occupants [a
24 deferral or exemption or combination thereof] an exemption, in
25 the payment of that portion of an increase of real property
26 taxes which is due to an increase in the market value of the
27 real property as a consequence of the refurbishing or renovating
28 of other residences or the construction of new residences in
29 long-established residential areas or areas of deteriorated,
30 vacant or abandoned homes and properties.
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1 (b) Designation of areas.--The governing body of a county of
2 the first and second class is authorized to enact ordinances or
3 resolutions which provide for the designation of areas eligible
4 for the special real property tax provisions pursuant to this
5 act. Before enacting an ordinance or resolution which proposes
6 designating such an area, the governing body shall conduct a
7 public hearing on the proposed ordinance or resolution.
8 (c) Second class county school districts and
9 municipalities.--School districts and municipalities within
10 second class counties shall not have the authority to determine
11 their participation in this program within their taxing
12 jurisdiction. Ordinances or resolutions adopted under
13 subsections (a) and (b) shall be applicable to school districts
14 and municipalities within second class counties.
15 Section 5. Conditions of [deferral or] exemption.
16 (a) General rule.--Any [deferral or] exemption of payment of
17 an increase in real property taxes granted pursuant to this act
18 shall be limited to real property which meets all of the
19 following conditions:
20 (1) The property is owned and occupied by a longtime
21 owner-occupant.
22 (2) The property is the principal residence and domicile
23 of the longtime owner-occupant.
24 [(b) Penalties and interest.--No penalties and interest
25 shall accrue on the portion of the deferral pursuant to this
26 act.
27 (c) Financial need or age.--
28 (1) Neither financial need nor age of the longtime
29 owner-occupant shall be a determinant of eligibility in a
30 county of the first class.
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1 (2) School districts and municipalities within a county
2 of the second class may determine whether financial need,
3 age, or both, of the longtime owner-occupant shall be used to
4 determine eligibility.]
5 (b) Financial need or age.--Neither financial need nor age
6 of the longtime owner-occupant shall be a determinant of
7 eligibility in a county of the first class.
8 Section 3. The act is amended by adding a section to read:
9 Section 5.1. Single application.
10 A longtime owner-occupant who seeks relief under this act
11 shall file a single application with a county of the first or
12 second class. If the application is approved by the county, all
13 municipalities and school districts within the county shall be
14 bound by the terms of the approved application.
15 Section 4. Section 6 of the act is amended to read:
16 Section 6. Retroactive application.
17 Data used by the governing body of a county of the first and
18 second class to determine if the principal residence of a
19 longtime owner-occupant is eligible for [either] a tax [deferral
20 or] exemption under the provisions of this act may be applied
21 retroactively to November 6, 1984.
22 Section 5. This act shall apply to all municipal taxes
23 levied for the fiscal year beginning January 1, 1994, and to all
24 school district taxes levied for the fiscal year beginning July
25 1, 1994.
26 Section 6. Notwithstanding any other provision of law to the
27 contrary, during calendar year 1994 municipalities and school
28 districts may reopen their budgets for fiscal years beginning on
29 January 1, 1994, in the case of municipalities, and beginning on
30 July 1, 1994, in the case of school districts, and change real
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1 estate tax millage rates that were adopted for their respective
2 fiscal years.
3 Section 7. This act shall take effect immediately.
4 SECTION 1. THE ACT OF JUNE 21, 1939 (P.L.626, NO.294), <--
5 REFERRED TO AS THE SECOND CLASS COUNTY ASSESSMENT LAW, IS
6 AMENDED BY ADDING A SECTION TO READ:
7 SECTION 9.1. WHEN A COUNTY OF THE SECOND CLASS MAKES A
8 REASSESSMENT OF VALUES OF REAL PROPERTY, THE ASSESSED VALUE OF
9 ANY REAL PROPERTY SHALL NOT BE INCREASED BY MORE THAN FIVE
10 PERCENT (5%) UNLESS NEWLY CONSTRUCTED IMPROVEMENTS HAVE BEEN
11 MADE TO THE REAL ESTATE OR SUBSTANTIAL IMPROVEMENTS HAVE BEEN
12 MADE TO ANY EXISTING STRUCTURES ON THE REAL ESTATE.
13 SECTION 2. NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE
14 CONTRARY, ANY MUNICIPALITY OR ANY POLITICAL SUBDIVISION WHOSE
15 BUDGET MAY BE IMPACTED MAY REOPEN ITS BUDGET AND CHANGE REAL
16 ESTATE TAX MILLAGE RATES THAT WERE ADOPTED FOR THEIR RESPECTIVE
17 FISCAL YEARS.
18 SECTION 3. THIS ACT SHALL APPLY TO ALL ASSESSMENTS MADE
19 AFTER DECEMBER 31, 1993.
20 SECTION 4. THIS ACT SHALL TAKE EFFECT IMMEDIATELY.
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