The Pennsylvania Senate has quietly introduced a change in the state’s Fiscal Code, affecting the Property Tax Relief Fund, intended for aiding ordinary homeowners. According to Rep. David Maloney (R-Berks), this alteration enables the Pennsylvania Game Commission (PGC) to redirect funds originally assigned for property tax relief to cover state taxes on its extensive land holdings. Maloney suggests the move may be part of a failed backroom deal.
“Why would the Senate and Gov. Josh Shapiro do this?” Maloney asks. Furthermore, a Payment in Lieu of Taxes (PILT) provision introduced in the code appears advantageous to the PGC. Before this change, no slots revenue was allotted to the PGC for PILT; however, the revised Fiscal Code allows for significant cost savings for the PGC. Maloney points out that prior to the tax code amendment, the PGC disbursed $5.4 million annually from its funds for PILT. This amount dropped to $1.8 million under the new terms, allowing cost reductions of $3.6 million per year.
“It is also notable that the slots revenue not only replaced much of the PGC fund obligations for PILT but also exceeded the previous funding – doubling the total PILT/acre,” notes Maloney. He also highlights that the new provision includes future adjustments for inflation.
By 2024-25, the Fiscal Code adjusted the PILT obligations again to a higher rate, nearing pre-2023-24 levels, with plans for inflation-based adjustments from 2030-31 onward.
Criticism from Maloney suggests the maneuvering within the Senate appears to make PGC land ownership cheaper, to the potential detriment of homeowners and sportsmen. The situation reflects ongoing complexities within Pennsylvania’s legislative decisions.
“…in Harrisburg, the devil is always in the details,” he concludes.
