Resolution 250020

..Title Authorizing City Council's Committee of the Whole to conduct hearings to assess the implementation of a mandatory millage rate adjustment review in response to City-wide property assessments conducted by the Office of Property Assessment, with the goal of maintaining revenue neutrality to alleviate increasing tax burdens on Philadelphia taxpayers. ..Body WHEREAS, The City of Philadelphia undertook significant property tax reform through the introduction of the Actual Value Initiative (AVI) in 2013, which aimed to assess all properties based on their true market value. While the intention behind AVI was to make the property tax system more equitable, the result has been considerable increases in tax assessments for many residents, particularly in neighborhoods where property values have risen sharply; and WHEREAS, Dramatic increases in property tax assessments place an undue burden on Philadelphia residents, especially those on fixed incomes or in areas with rapidly rising home values, potentially leading to displacement, housing affordability issues, and financial hardship for some taxpayers; and WHEREAS, While there are multiple tax relief programs offered by the Department of Revenue, not everyone that is affected is eligible for relief. For those who are eligible, financial relief is not promised. In many areas of the City, often low-income neighborhoods subject to gentrification, properties have doubled, tripled, or even quadrupled in value in just a year. Programs like the Homestead Exemption and the Longtime Owner Occupant Program (LOOP) cannot always ensure an adequate level of reduction in financial burden for residents; and WHEREAS, A potential solution to mitigate this impact could be the implementation of a mandatory millage rate adjustment review implemented by City Council. This review would be conducted to examine the fluctuation in property assessments City-wide to determine if a millage rate adjustment would offset the effects of property value increases, ensuring that overall revenue for the City remains consistent while alleviating individual tax burdens; and WHEREAS, As a body of elected officials, it is our duty as legislators to examine the taxation processes that our constituents are subject to. While City Council currently holds the power to examine these issues when we see fit, it should be a mandatory process we undergo on a regular basis to mitigate financial burden for our constituents; now, therefore, be it RESOLVED, BY THE COUNCIL OF THE CITY OF PHILADELPHIA, Hereby authorizes City Council's Committee of the Whole to conduct hearings to assess the potential implementation of a mandatory millage rate adjustment review in response to City-wide property assessments conducted by the Office of Property Assessment, with the goal of maintaining revenue neutrality to alleviate increasing tax burdens on Philadelphia taxpayers. ..End