Nearly $23 Million in Property Tax Relief Coming to 42nd Senatorial District

I am pleased to announce that Allegheny County homeowners in my Senatorial district will receive nearly $23 million in total tax relief from gaming proceeds this year, with an average of $194 per household.

As Democratic Chairman of the Community, Economic & Recreational Development Committee, I have had the opportunity to watch this industry grow and will continue to ensure that we are moving forward with the opening of the remaining casinos. As some of the state’s bigger casinos get up and running, we can expect even greater tax reductions.

The specific reduction each taxpayer will receive is based on their school district. The average property tax reduction for school districts partly or wholly within the 42nd Senatorial District are as follows:

The 10 school districts that comprise the 42nd Senatorial District are expected to receive a total of $22,912,207 in relief. Depending on the school district, relief will range from an average of $102 to $312 per eligible taxpayer.

I am frequently asked by homeowners where their property tax relief is – although not large amounts, these funds do make a real difference for working families and seniors. I recognize that the property tax remains an issue in Allegheny County and I will continue to take steps to reform and cut property taxes for all Pennsylvanians. I am glad, though, that the state gaming industry can help us provide some relief from the high property tax burden facing many homeowners.

Act 71 of 2004, also known as the Race Horse Development and Gaming Act, legalized slot machines in Pennsylvania. For every dollar produced as revenue from slot machine play, 34 cents goes to property tax relief. The reductions that taxpayers in each district receive are determined using a formula that takes into account the districts' tax bases and personal incomes.

Statewide, homeowners will see a total of $612.1 million in property tax relief, with the average Pennsylvania homeowner seeing a $181 reduction in their property taxes, according to Department of Education estimates. The tax cuts, which are formula-driven, will go to homeowners who live in their homes and who have filed a Homestead Exclusion Form with their county assessment office. School districts are required to subtract the tax relief money from homeowners’ real estate school tax bills. Districts must also provide itemized information on the tax cut when the tax bills go out.

School districts will receive their share of property tax relief in two equal installments in August and October. Homeowners will receive reductions in their school property tax bills, which most school districts will issue this summer.

Gaming revenue also supports the Property Tax/Rent Rebate Program. The program provides rebates of up to $650 for older and disabled homeowners with incomes of up to $35,000 and renters with incomes up to $15,000. The application deadline is June 30th. For more information, applications and assistance in completing the application, contact any one of my district offices. My staff will be happy to help you.