COVID Funds to Lower Property Tax Bills

The State: Pennsylvania

How much federal CARES fund for COVID relief did Pennsylvania try to use to lower property taxes? $300 Million

How did this work through the Legislature:

• PA Governor and Republican legislative leaders agreed to the use of $300M to pay down property taxes
• PA Legislature passed legislation
• The Federal government rejected the use of COVID funds

What funding decisions are triggered for Pennsylvania lawmakers now?

• How to allocate $1.3 billion in remaining CARES Act money
  • Can only be used for costs related to the public health emergency
  • Cannot be used to fill revenue shortfalls
  • State law says that money will go to the 60 least-populated counties should lawmakers fail to agree.

PA Spotlight | Feds reject Pa.’s plan to spend up to $300M in stimulus money for school property tax relief