Pennsylvania HB 329: An Act amending the act of June 27, 2006 (1st Sp.Sess., P.L.1873, No.1), known as the Taxpayer Relief Act, in State funds formula, further providing for certification and calculation of minimum and maximum modifiers and for Property Tax Relief Reserve Fund, providing for senior citizen tax relief and further providing for State property tax reduction allocation.

Bill Text

PRINTER'S NO. 284
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 329
Session of
2025
INTRODUCED BY D. WILLIAMS, KHAN, McNEILL, HILL-EVANS, GIRAL,
BURGOS, HADDOCK, CERRATO, KAZEEM, CIRESI, CEPEDA-FREYTIZ,
PIELLI, SANCHEZ, MENTZER, STEELE, GREEN, GUENST, KENYATTA,
INGLIS, BOROWSKI, MALAGARI, WARREN, HANBIDGE, T. DAVIS,
SHUSTERMAN AND BOYD, JANUARY 27, 2025
REFERRED TO COMMITTEE ON FINANCE, JANUARY 27, 2025
AN ACT
Amending the act of June 27, 2006 (1st Sp.Sess., P.L.1873,
No.1), entitled "An act providing for taxation by school
districts, for the State funds formula, for tax relief in
first class cities, for school district choice and voter
participation, for other school district options and for a
task force on school cost reduction; making an appropriation;
prohibiting prior authorized taxation; providing for
installment payment of taxes; restricting the power of
certain school districts to levy, assess and collect taxes;
and making related repeals," in State funds formula, further
providing for certification and calculation of minimum and
maximum modifiers and for Property Tax Relief Reserve Fund,
providing for senior citizen tax relief and further providing
for State property tax reduction allocation.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 503(e)(2) introductory paragraph of the
act of June 27, 2006 (1st Sp.Sess., P.L.1873, No.1), known as
the Taxpayer Relief Act, is amended and the subsection is
amended by adding a paragraph to read:
Section 503. Certification; calculation of minimum and maximum
modifiers.
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* * *
(e) Distribution.--
* * *
(2) For fiscal year 2009-2010 [and each fiscal year
thereafter] through fiscal year 2024-2025, the secretary
shall distribute the difference between the amount certified
under subsection (a)(1)(i) and the sum of all of the
following:
* * *
(3) For fiscal year 2025-2026 and each fiscal year
thereafter, the secretary shall distribute the difference
between the amount certified under subsection (a)(1)(i) and
the sum of all of the following:
(i) The difference between the sum of:
(A) the amount of approved claims to be paid in
the next fiscal year under section 1304(a)(2)(i) and
(3); and
(B) the amount of approved claims paid in the
2010-2011 fiscal year under section 1304(a)(1).
(ii) The sum of all of the following:
(A) The amount sufficient to fund reimbursements
to eligible school districts under section 324. The
amount deducted under this clause shall be calculated
based on the information provided by school districts
under subsection (b)(2).
(B) The amount of approved claims under section
704.
(C) The amount of approved claims under section
1304(a)(2)(ii).
(D) The amount of payments to school districts
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under section 504.1.
Section 2. Section 504(d)(1) of the act is amended to read:
Section 504. Property Tax Relief Reserve Fund.
* * *
(d) Transfers.--
(1) The secretary may authorize a transfer from the
Property Tax Relief Reserve Fund to the fund if the amount
for distribution under section 503(e) in 2026 is less than
the amount for distribution under section 503(e) [made in the
prior year] in 2025 or any year thereafter. [The] Beginning
in 2027 and each year thereafter, the amount of the transfer
under this subsection shall be equal to the difference
between the amount for distribution under section 503(e) and
the amount for distribution under section 503(e) made in the
prior year.
* * *
Section 3. The act is amended by adding a section to read:
Section 504.1. Senior citizen tax relief.
(a) Tax freeze.--An eligible claimant shall be entitled to a
freeze of school property taxes imposed by a school district on
the person's homestead and shall not be required to pay any
school property tax increases in excess of the claimant's base
payment.
(b) Application.--An eligible claimant must apply for the
tax freeze under subsection (a) by filing the following with the
school district imposing the school property tax on a form
prescribed by the department:
(1) A request for the tax freeze and a copy of the most
recent school property tax bill.
(2) Certification that the claimant or the claimant's
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spouse is the owner of the homestead upon which the school
property taxes are imposed.
(3) Receipts showing prompt payment of the current
year's school property tax liability.
(c) Timing.--
(1) The application under subsection (b) must be filed
within 45 days of the date the school property tax under
subsection (b)(1) is due.
(2) Within 15 days of receipt of an application, the
school district shall determine the claimant to be eligible
or ineligible. A determination of ineligibility under this
paragraph is subject to 2 Pa.C.S. Ch. 7 Subch. B (relating to
j