Act One school tax relief referendum fails miserably

Most Pennsylvania politicians opposed it

By TOM KANE

PIKE AND WAYNE COUNTIES - When voters in Wayne and Pike went to the polls in the primary election on May 15, they were divided, as expected, about the candidates they selected. What they were not divided about, in fact, what they were almost unanimous about, was the rejection of a tax relief provision called Act One. Eighty-six percent of voters in Pike and 82 percent of voters in Wayne defeated the measure.

Act One, which was called the Pennsylvania Taxpayer Relief Act, would have given school districts the option to increase their earned income tax rate in exchange for a reduction in their property taxes. School districts were directed to place a referendum on the 2007 ballot to allow taxpayers to authorize such an increase.

Each school district formed a commission to determine the increase of earned income tax that would be imposed and which homeowners would receive property tax relief.

“This is really a tax shift, not tax relief,” said Delaware Valley School District Superintendent Candis Finan. “This act doesn’t benefit the schools at all.”

There is no system in place for collecting the tax, she said. The school district would have to create one at its own expense.

“If you’re going to do tax reform, then do it right, not like this,” said Harry Forbes, chairman of the Pike County Commissioners.

“It’s an instance where Harrisburg is trying to manipulate something for political purposes to the detriment of county residents,” said commissioner Richard Caridi. “It’s supposed to give property-tax relief. This does not do that. It’s politics at its worst in Harrisburg.”

All school superintendents in Wayne and Pike counties spoke against the act.

Click here for a summary of other election results.