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A03291
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1646
Session of
2023
INTRODUCED BY PIELLI, KAZEEM, MADDEN, BOROWSKI, KRAJEWSKI,
STEELE, SHUSTERMAN, SANCHEZ, KHAN, SCHLOSSBERG, FREEMAN,
CERRATO, HANBIDGE, CIRESI, HILL-EVANS, SMITH-WADE-EL, CEPEDA-
FREYTIZ, HOWARD, DELLOSO, MAYES, GILLEN, CONKLIN AND GREEN,
AUGUST 29, 2023
AS REPORTED FROM COMMITTEE ON COMMERCE, HOUSE OF
REPRESENTATIVES, AS AMENDED, NOVEMBER 15, 2023
AN ACT
Amending Title 53 (Municipalities Generally) of the Pennsylvania
Consolidated Statutes, in assessments of persons and
property, providing for delinquent real estate tax
notification; and imposing duties on the Department of
Community and Economic Development.
AMENDING THE ACT OF JULY 7, 1947 (P.L.1368, NO.542), ENTITLED
"AN ACT AMENDING, REVISING AND CONSOLIDATING THE LAWS
RELATING TO DELINQUENT COUNTY, CITY, EXCEPT OF THE FIRST AND
SECOND CLASS AND SECOND CLASS A, BOROUGH, TOWN, TOWNSHIP,
SCHOOL DISTRICT, EXCEPT OF THE FIRST CLASS AND SCHOOL
DISTRICTS WITHIN CITIES OF THE SECOND CLASS A, AND
INSTITUTION DISTRICT TAXES, PROVIDING WHEN, HOW AND UPON WHAT
PROPERTY, AND TO WHAT EXTENT LIENS SHALL BE ALLOWED FOR SUCH
TAXES, THE RETURN AND ENTERING OF CLAIMS THEREFOR; THE
COLLECTION AND ADJUDICATION OF SUCH CLAIMS, SALES OF REAL
PROPERTY, INCLUDING SEATED AND UNSEATED LANDS, SUBJECT TO THE
LIEN OF SUCH TAX CLAIMS; THE DISPOSITION OF THE PROCEEDS
THEREOF, INCLUDING STATE TAXES AND MUNICIPAL CLAIMS RECOVERED
AND THE REDEMPTION OF PROPERTY; PROVIDING FOR THE DISCHARGE
AND DIVESTITURE BY CERTAIN TAX SALES OF ALL ESTATES IN
PROPERTY AND OF MORTGAGES AND LIENS ON SUCH PROPERTY, AND THE
PROCEEDINGS THEREFOR; CREATING A TAX CLAIM BUREAU IN EACH
COUNTY, EXCEPT COUNTIES OF THE FIRST AND SECOND CLASS, TO ACT
AS AGENT FOR TAXING DISTRICTS; DEFINING ITS POWERS AND
DUTIES, INCLUDING SALES OF PROPERTY, THE MANAGEMENT OF
PROPERTY TAKEN IN SEQUESTRATION, AND THE MANAGEMENT, SALE AND
DISPOSITION OF PROPERTY HERETOFORE SOLD TO THE COUNTY
COMMISSIONERS, TAXING DISTRICTS AND TRUSTEES AT TAX SALES;
PROVIDING A METHOD FOR THE SERVICE OF PROCESS AND NOTICES;
IMPOSING DUTIES ON TAXING DISTRICTS AND THEIR OFFICERS AND ON
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TAX COLLECTORS, AND CERTAIN EXPENSES ON COUNTIES AND FOR
THEIR REIMBURSEMENT BY TAXING DISTRICTS; AND REPEALING
EXISTING LAWS," IN SALE OF PROPERTY, PROVIDING FOR
INCAPACITATED ADULTS AND OLDER ADULTS AND DELINQUENT REAL
ESTATE TAX NOTIFICATION TO DESIGNATED INDIVIDUAL; providing
for additional homestead exclusion allocation and making an
appropriation; AND IMPOSING DUTIES ON THE DEPARTMENT OF
COMMUNITY AND ECONOMIC DEVELOPMENT.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Chapter 85 of Title 53 of the Pennsylvania
Consolidated Statutes is amended by adding a subchapter to read:
SUBCHAPTER G
DELINQUENT REAL ESTATE TAX NOTIFICATION
Sec.
8591. Scope of subchapter.
8592. Definitions.
8593. Designation forms.
8594. Construction.
§ 8591. Scope of subchapter.
This subchapter relates to delinquent real estate tax
notification.
§ 8592. Definitions.
The following words and phrases when used in this subchapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Department." The Department of Community and Economic
Development.
"Designated individual." Any of the following persons
designated by an owner who is an incapacitated adult or older
adult to receive notification regarding delinquent real estate
taxes on behalf of the owner because the owner is unable or has
limited ability to receive or manage the delinquent real estate
tax notice:
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(1) A next of kin of the owner.
(2) An agent, guardian, trustee or other representative
of the owner under authority granted in accordance with 20
Pa.C.S. (relating to decedents, estates and fiduciaries).
"Designation form." The form developed by the department in
accordance with section 8593 (relating to designation forms).
"Incapacitated adult." An individual who is 18 years of age
or older and:
(1) resides in a hospital, assisted living facility,
rehabilitation facility or other health care or treatment
facility; or
(2) has a serious health condition.
"Local taxing authority." As follows:
(1) A political subdivision that levies real estate
taxes.
(2) The term includes a county, city, borough,
incorporated town, township, home rule municipality, optional
plan municipality, optional charter municipality, school
district, institution district or a similar general purpose
unit of government that may be created or authorized by
statute.
"Older adult." An individual who is 60 years of age or
older.
"Owner." As defined in section 102 of the act of July 7,
1947 (P.L.1368, No.542), known as the Real Estate Tax Sale Law.
§ 8593. Designation forms.
(a) Development.--The department shall develop a designation
form to be used by an owner who is an incapacitated adult or
older adult to assign a designated individual to receive any
notification regarding delinquent real estate taxes on the
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owner's real property.
(b) Contents.--The designation form shall contain the
following information:
(1) The name of the owner.
(2) The date of birth of the owner.
(3) The telephone number, email address and other
contact information of the owner.
(4) The address of the owner's real property.
(5) The name of the owner's designated individual.
(6) The address, telephone number, email address and
other contact information of the owner's designated
individual.
(7) The relationship of the designated individual to the
owner.
(c) Public notice.--The department shall make the
designation form, along with any explanation, instructions or
other information deemed necessary by the department, available
through the following means:
(1) Posting the designation form and other information
on the publicly accessible Internet website of the
department.
(2) Distributing a physical copy of the designation form
and other information on an annual basis to each local taxing
authority upon request of the local taxing authority.
(3) Distributing a physical copy of the designation form
and other information on an annual basis to each area agency
on aging in this Commonwealth.
(d) Completion.--An owner may complete a designation form
and send the designation form to the appropriate local taxing
authority.
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(e) Local taxing authority.--
(1) A local taxing authority that receives a completed
designation form shall thereafter send notification regarding
delinquent real estate taxes on the owner's real property to
the designated individual specified in the designation form.
(2) The following apply to notification regarding a
scheduled sheriff's sale of the owner's real property:
(i) Notification must first be made by mail to the
designated individual's address at least 90 days prior to
the sheriff's sale.
(ii) Subsequent notification must be made by both
email and telephone not later than 60 days prior to the
sheriff's sale.
(f) Rescission.--An owner who submitted a designation form
may rescind the assignment by providing written notice of the
rescission to the local taxing authority.
§ 8594. Construction.
This subchapter shall not affect any authority granted in
accordance with 20 Pa.C.S. (relating to decedents, estates and
fiduciaries).
SECTION 1. THE ACT OF JULY 7, 1947 (P.L.1368, NO.542), KNOWN
AS THE REAL ESTATE TAX SALE LAW, IS AMENDED BY ADDING A SECTION
TO READ:
SECTION 619.2. INCAPACITATED ADULTS AND OLDER ADULTS;
DELINQUENT REAL ESTATE TAX NOTIFICATION TO DESIGNATED
INDIVIDUAL.-- (A) THE DEPARTMENT SHALL DEVELOP A DESIGNATION
FORM TO BE USED BY AN OWNER WHO IS AN INCAPACITATED ADULT OR
OLDER ADULT TO ASSIGN A DESIGNATED INDIVIDUAL TO RECEIVE A
NOTIFICATION REGARDING DELINQUENT REAL ESTATE TAXES ON THE
OWNER'S REAL PROPERTY.
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(B) THE DESIGNATION FORM SHALL CONTAIN THE FOLLOWING
INFORMATION:
(1) THE NAME OF THE OWNER.
(2) THE DATE OF BIRTH OF THE OWNER.
(3) THE TELEPHONE NUMBER, EMAIL ADDRESS AND OTHER CONTACT
INFORMATION OF THE OWNER.
(4) THE ADDRESS OF THE OWNER'S REAL PROPERTY.
(5) THE NAME OF THE OWNER'S DESIGNATED INDIVIDUAL.
(6) THE ADDRESS, TELEPHONE NUMBER, EMAIL ADDRESS AND OTHER
CONTACT INFORMATION OF THE OWNER'S DESIGNATED INDIVIDUAL.
(7) A VERIFICATION THAT THE DESIGNATED INDIVIDUAL IS ANY OF
THE FOLLOWING:
(I) A NEXT OF KIN OF THE OWNER.
(II) AN AGENT, GUARDIAN, TRUSTEE OR OTHER REPRESENTATIVE OF
THE OWNER UNDER AUTHORITY GRANTED IN ACCORDANCE WITH 20 PA.C.S.
(RELATING TO DECEDENTS, ESTATES AND FIDUCIARIES).
(8) VERIFICATION THAT THE OWNER IS AN INCAPACITATED ADULT OR
AN OLDER ADULT.
(9) OTHER INFORMATION AS MAY BE DETERMINED BY THE DEPARTMENT
AS NECESSARY TO COMPLY WITH THIS SECTION.
(C) THE DEPARTMENT SHALL MAKE THE DESIGNATION FORM, ALONG
WITH ANY EXPLANATION, INSTRUCTIONS OR OTHER INFORMATION DEEMED
NECESSARY BY THE DEPARTMENT, AVAILABLE THROUGH THE FOLLOWING
MEANS:
(1) POSTING THE DESIGNATION FORM AND OTHER INFORMATION ON
THE PUBLICLY ACCESSIBLE INTERNET WEBSITE OF THE DEPARTMENT.
(2) DISTRIBUTING A PHYSICAL COPY OF THE DESIGNATION FORM AND
OTHER INFORMATION TO EACH LOCAL TAXING AUTHORITY.
(3) DISTRIBUTING A PHYSICAL COPY OF THE DESIGNATION FORM AND
OTHER INFORMATION TO EACH AREA AGENCY ON AGING IN THIS
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COMMONWEALTH.
(D) AN OWNER MAY COMPLETE A DESIGNATION FORM AND SEND THE
DESIGNATION FORM TO THE BUREAU IN THE COUNTY WHERE THE REAL
PROPERTY IS LOCATED.
(E) A COUNTY TAX CLAIM BUREAU THAT RECEIVES A COMPLETED
DESIGNATION FORM SHALL THEREAFTER SEND NOTIFICATION REGARDING
DELINQUENT REAL ESTATE TAXES ON THE OWNER'S REAL PROPERTY TO
BOTH THE OWNER AND THE DESIGNATED INDIVIDUAL SPECIFIED IN THE
DESIGNATION FORM.
(F) AN OWNER WHO SUBMITTED A DESIGNATION FORM MAY RESCIND
THE ASSIGNMENT BY PROVIDING WRITTEN NOTICE OF THE RESCISSION TO
THE BUREAU IN THE COUNTY WHERE THE REAL PROPERTY IS LOCATED.
(G) IN ALL CASES IN THIS ACT WHERE NOTICE IS REQUIRED TO BE
PROVIDED TO AN OWNER, THE SAME NOTICE SHALL BE PROVIDED TO A
DESIGNATED INDIVIDUAL.
(H) A COUNTY TAX CLAIM BUREAU OR OTHER PUBLIC ENTITY THAT
RECEIVES A COMPLETED DESIGNATION FORM OR WRITTEN NOTICE OF
RESCISSION UNDER THIS SECTION SHALL MAINTAIN THE CONFIDENTIALITY
OF THE FORM OR NOTICE. A COMPLETED DESIGNATION FORM AND WRITTEN
NOTICE OF RESCISSION IS NOT ACCESSIBLE FOR INSPECTION AND
DUPLICATION UNDER THE ACT OF FEBRUARY 14, 2008 (P.L.6, NO.3),
KNOWN AS THE "RIGHT-TO-KNOW LAW."
(I) NOTHING IN THIS SECTION SHALL BE CONSTRUED TO AFFECT ANY
AUTHORITY GRANTED IN ACCORDANCE WITH 20 PA.C.S.
(J) 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:
"DEPARTMENT," SHALL MEAN THE DEPARTMENT OF COMMUNITY AND
ECONOMIC DEVELOPMENT.
"DESIGNATED INDIVIDUAL," SHALL MEAN ANY OF THE FOLLOWING
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PERSONS DESIGNATED BY AN OWNER WHO IS AN INCAPACITATED ADULT OR
OLDER ADULT TO RECEIVE NOTIFICATION REGARDING DELINQUENT REAL
ESTATE TAXES ON BEHALF OF THE OWNER BECAUSE THE OWNER IS UNABLE
OR HAS LIMITED ABILITY TO RECEIVE OR MANAGE THE DELINQUENT REAL
ESTATE TAX NOTICE:
(1) A NEXT OF KIN OF THE OWNER.
(2) AN AGENT, GUARDIAN, TRUSTEE OR OTHER REPRESENTATIVE OF
THE OWNER UNDER AUTHORITY GRANTED IN ACCORDANCE WITH 20 PA.C.S.
"DESIGNATION FORM," SHALL MEAN THE FORM DEVELOPED BY THE
DEPARTMENT IN ACCORDANCE WITH THIS SECTION.
"INCAPACITATED ADULT," SHALL MEAN AN INDIVIDUAL WHO IS AT
LEAST EIGHTEEN (18) YEARS OF AGE AND:
(1) RESIDES IN A HOSPITAL, ASSISTED LIVING FACILITY,
REHABILITATION FACILITY OR OTHER HEALTH CARE OR TREATMENT
FACILITY; OR
(2) HAS A HEALTH CONDITION.
"LOCAL TAXING AUTHORITY," AS FOLLOWS:
(1) A POLITICAL SUBDIVISION THAT LEVIES REAL ESTATE TAXES.
(2) THE TERM INCLUDES A COUNTY, CITY, BOROUGH, INCORPORATED
TOWN, TOWNSHIP, HOME RULE MUNICIPALITY, OPTIONAL PLAN
MUNICIPALITY, OPTIONAL CHARTER MUNICIPALITY, SCHOOL DISTRICT,
INSTITUTION DISTRICT OR A SIMILAR GENERAL PURPOSE UNIT OF
GOVERNMENT THAT MAY BE CREATED OR AUTHORIZED BY STATUTE.
"OLDER ADULT," SHALL MEAN AN INDIVIDUAL WHO IS AT LEAST SIXTY
(60) YEARS OF AGE.
Section 2. The act is amended by adding an article to read:
ARTICLE VII-A
ADDITIONAL HOMESTEAD EXCLUSION ALLOCATION
Section 701-A. Scope of article.
This article relates to an additional homestead exclusion
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allocation.
Section 702-A. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Farmstead property." As defined in 53 Pa.C.S. § 8582
(relating to definitions) .
"Homestead property." As defined in 53 Pa.C.S. § 8401
(relating to definitions).
Section 703-A. Additional property tax reduction allocation.
(a) Allocation.--Notwithstanding any other provision of law,
for calendar year 2024, a school district shall receive an
allocation equal to t he total number of farmstead properties
plus the total number of homestead properties in the school
district multiplied by $1,000.
(b) Uses.--A school district shall use the allocation under
subsection (a) to provide an additional exclusion equal to 50%
of the real estate tax due to the school district for each
farmstead property and homestead property in the school
district, or $1,000, whichever is less.
(c) Report and certification.--Prior to the allocation of
funds under subsection (a), a school district shall submit a
report to the Department of Education with the total number of
farmstead properties and homestead properties in the school
district and the total amount of real estate taxes to be
reduced. The Department of Education shall certify the total
number of all farmstead properties and all homestead properties
reported and the total amount of real estate taxes to be
reduced, by school district, and transmit a copy of the
certification to the Appropriations Committee of the Senate and
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the Appropriations Committee of the House of Representatives.
Section 704-A. Appropriation.
The General Assembly shall appropriate money from the Budget
Stabilization Reserve Fund to the Department of Education for
th e amount determined under section 703-A(c) for the purpose of
making allocations under section 703-A(a).
Section 2 3. This act shall take effect in 60 days.
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