Budget & Taxes (Local Government)

This bill allows second-class townships in Pennsylvania to vote on adding a new local tax to fund their police departments. Under the proposed changes, a township board of supervisors can place a referendum on the ballot to approve an annual tax of up to three mills on real property. If voters approve the measure, the collected funds would be used specifically to support the local police force. The tax would be collected in cash and would become effective 60 days after the bill is passed.

This bill allows boroughs and cities in Pennsylvania to levy an additional annual tax of up to three mills specifically to support local police departments. The key provision requires that any increase in the tax rate for this purpose must be approved by voters through a favorable referendum held in accordance with state election laws. Local councils can only impose this new tax after obtaining such voter approval, ensuring that the community directly decides on the funding for police support. The changes apply to both boroughs under Title 8 and cities under Title 11 of the Pennsylvania Consolidated Statutes.

HB 509 amends Pennsylvania's Municipalities Financial Recovery Act to require that financially distressed municipalities under receivership must obtain approval from 75% of other municipalities with service agreements or whose residents previously used their water or sewer services before selling, leasing, or disposing of assets. This approval must be a public resolution passed by a majority vote of the other municipality's governing body and communicated to the distressed municipality and receiver within 48 hours. The bill directly affects the asset disposal process for financially distressed municipalities and the municipalities that rely on their water or sewer services.

HB 1875 amends Pennsylvania's First Class Township Code to increase tax rate limits for general township taxes from three mills to ten mills and for emergency services taxes (ambulance/rescue) from half a mill to five mills. Township boards must now seek voter approval via referendum if either tax exceeds these new limits. The changes apply to all first-class townships, except those designated as "eligible" under the Fiscal Code. The bill takes effect 60 days after enactment.

HB 393 amends Pennsylvania's Second Class Township Code to increase annual tax limits for fire and ambulance services. It raises the maximum fire tax rate from 3 mills to 10 mills and ambulance tax from 0.5 mills to 5 mills, allowing townships to fund equipment, training, and emergency services. Townships can use up to half the revenue for staff salaries (with board approval) and must seek voter approval if rates exceed these new limits. This directly affects second-class townships needing to finance local fire and ambulance operations under the code.