THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY STACK AND FARNESE, MAY 11, 2012

REFERRED TO FINANCE, MAY 11, 2012  

AN ACT

Amending the act of August 5, 1932 (Sp.Sess., P.L.45, No.45),

entitled, as amended, "An act empowering cities of the first

class to levy, assess and collect, or to provide for the

levying, assessment and collection of, certain additional

taxes for general revenue purposes; authorizing the

establishment of bureaus, and the appointment and

compensation of officers and employes to assess and collect

such taxes; and permitting penalties to be imposed and

enforced," providing for limitation of taxation and for

property tax deferrals.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  The act of August 5, 1932 (Sp.Sess., P.L.45,

No.45), referred to as the Sterling Act, is amended by adding

sections to read:

Section 1.1.  Notwithstanding any other law to the contrary,

the governing body of a city of the first class with the

authority to assess and levy taxes on real property situated in

a city of the first class shall be prohibited from increasing

the rate of taxation on any class of real property owners until

the governing body has achieved a rate of collection of such tax

at a rate of at least ninety-five percent.

Section 1.2.  (a)  Notwithstanding any other law to the

contrary, a person who is a low-income senior citizen who owns

and occupies real property situated in a city of the first class

as the principal residence and domicile shall be authorized to

defer the payment of any taxes on such real property during the

time the person owns and occupies the property. Any unpaid tax

accrued on such real property during the time the person owns

and occupies the property shall be paid upon the transfer or

conveyance of such real property for consideration at the time

of transfer or conveyance.

(b)  Notwithstanding any other law to the contrary, a person

who is a dislocated worker who owns and occupies real property

situated in a city of the first class as the principal residence

and domicile shall be authorized to defer the payment of any

taxes on such real property during the time the person owns and

occupies the property until such time as the person gains

employment. Any unpaid tax accrued on such real property shall

be paid upon the transfer or conveyance of such real property

for consideration at the time of transfer or conveyance.

(c)  Notwithstanding any other law to the contrary, a person

who is a longtime owner-occupant who owns and occupies real

property situated in a city of the first class as the person's

principal residence and domicile shall be authorized to defer

the payment of any taxes on such real property during the time

the person owns and occupies the property. Any unpaid tax

accrued on such real property shall be paid upon the transfer or

conveyance of such real property for consideration at the time

of transfer or conveyance.

(d)  The governing authority of a city of the first class

shall develop an application to be completed and submitted by

persons covered under this section to enroll property in the tax

deferral program. Further, the governing authority shall

require, as part of the enrollment process, a procedure for the

disenrollment of property for persons who gain employment after

a period of unemployment and for the payment of any deferred

taxes on real property at the time of conveyance or transfer.

(e)  As used in this section, the following words and phrases

shall have the meanings given to them in this subsection unless

the context clearly indicates otherwise:

"Dislocated worker."  A person who meets any one of the

following criteria:

(1)  Has been terminated or laid off or who has received

notice of termination or layoff and is eligible for or has

exhausted unemployment compensation benefits.

(2)  Is unlikely to return to the industry or occupation in

which the individual was employed.

(3)  Has been terminated or received notice of termination as

a result of the permanent closure or relocation of a plant,

facility or plant operation in which the individual was

employed.

(4)  Is chronically unemployed.

(5)  Has limited opportunities of employment in the

geographic area in which the individual resides.

(6)  Is an individual who may face substantial barriers to

employment because of age of disability.

"Longtime owner-occupant."  Any person who has owned and

occupied a property within the city as a principal residence and

domicile for a period of at least twenty years.

"Low income."  Having an income that does not exceed sixty

thousand dollars per annum as annually adjusted to reflect

changes in the Consumer Price Index for metropolitan areas.

"Senior citizen."  A taxpayer who is sixty-five years of age

or older or whose spouse, if a member of the household, is

sixty-five years of age or older during a calendar year in which

real property taxes are due and payable or was a widow or

widower of someone who was sixty-five years of age or older and

was fifty years of age or older during a calendar year or part

thereof in which real estate taxes were due and payable.

"Widow" or "widower."  The surviving wife or the surviving

husband, of a deceased individual, who has not remarried.

Section 2.  This act shall take effect in 60 days.