PRINTER'S NO. 2301
No. 363 Session of 2008
INTRODUCED BY MELLOW, JULY 3, 2008
REFERRED TO LOCAL GOVERNMENT, JULY 3, 2008
A RESOLUTION 1 Directing the Legislative Budget and Finance Committee in 2 cooperation with the Department of Community and Economic 3 Development and the Local Government Committee of the Senate 4 to conduct a study of the impact that tax-exempt real 5 properties have on the fiscal health of Pennsylvania's 6 municipalities. 7 WHEREAS, The growing number of municipalities in fiscal 8 decline impacts Pennsylvanians and Pennsylvania businesses in 9 rural, suburban and urban areas; and 10 WHEREAS, There exists in this Commonwealth a large number of 11 important governmental institutions, not-for-profit medical 12 facilities or institutions of higher learning that rely upon the 13 communities in which they are located for essential government 14 services such as public safety and vital transportation and 15 utility infrastructures; and 16 WHEREAS, These nonprofit or tax-exempt entities contribute to 17 the quality of life of the community through the services they 18 provide, but their impact on local government budgets is no 19 different than for-profit entities; and
1 WHEREAS, These nonprofit or tax-exempt entities rely on 2 important government services, yet, in some cases, they do not 3 contribute a proportional share to the costs of operating and 4 maintaining these local government services; and 5 WHEREAS, Our Pennsylvania communities are facing an epidemic 6 of fiscal distress as they struggle to reconcile mounting costs 7 for public services with stagnant or declining revenue streams 8 resulting in increasing property taxes for the residents and 9 businesses that reside in these municipalities; and 10 WHEREAS, Communities facing fiscal problems find it 11 increasingly difficult to maintain their infrastructure and 12 provide essential services to their residents and businesses 13 without increasing taxes and fees; and 14 WHEREAS, Problems such as rising crime and crumbling streets 15 combined with ever-rising taxes convince more and more residents 16 and businesses to leave core communities, further eroding an 17 already depleted tax base; therefore be it 18 RESOLVED, That the Senate direct the Legislative Budget and 19 Finance Committee, in cooperation with the Department of 20 Community and Economic Development and the Local Government 21 Committee of the Senate, to conduct a study and issue 22 recommendations, including, but not limited to, the creation of 23 new community development programs, the expansion of existing 24 community development programs, as well as potential sources of 25 Commonwealth financial assistance to assist Pennsylvania's 26 municipalities; and be it further 27 RESOLVED, That the Legislative Budget and Finance Committee 28 report its findings and recommendations to the Senate no later 29 than November 30, 2008. G2L82AJM/20080S0363R2301 - 2 -