In taxation and finance, further providing for tax levy; and, in taxation, further providing for tax levies.
Impact
One significant aspect of HB1738 is its provision to support local police departments financially. The bill stipulates that boroughs and cities may levy an additional tax not exceeding three mills for the police department, but only if there is a favorable referendum from the local electorate. This mechanism aims to provide localized funding for police services while also ensuring that such fiscal decisions are subject to public approval, enhancing accountability.
Summary
House Bill 1738 is aimed at amending Titles 8 and 11 of the Pennsylvania Consolidated Statutes, specifically in the areas of taxation and finance. The bill seeks to modernize the provisions governing tax levies for boroughs and cities, allowing councils greater autonomy in setting tax rates. Under the proposed changes, councils can levy taxes at the same rate or lower than the previous fiscal year through a resolution. However, if the tax rate increases, it must be done through an ordinance, ensuring a structured approach to tax adjustments.
Sentiment
The sentiment surrounding the bill appears to favor enhanced local governance and support for essential local services like policing. Proponents argue that granting local councils the authority to levy taxes more flexibly allows for tailored financial solutions that meet community needs. However, there could also be concerns regarding the potential financial burden on residents, depending on how councils choose to exercise these newfound powers.
Contention
Some contention could arise around the requirement for a referendum to approve tax increases meant for police funding. This could lead to debates about whether such measures are necessary and sufficient to ensure community support for local governance. Critics may worry that relying on referendums could slow down crucial funding processes for public safety, while supporters may advocate for ensuring that the public has the final say in such important financial decisions.