BORROW NOTHING, SAVE BILLIONS, AND STILL PROVIDE FUNDING FOR NEW PENNSYLVANIA EDUCATION AND ECONOMIC DEVELOPMENT INITIATIVES!

TO: Governor Rendell and ALL PA Legislators:

Governor Rendell wants to borrow $2 Billion to jump start Pennsylvania’s economy. Governor Rendell wants to increase funding for education and economic development. Governor Rendell wants to use slot machine money to ‘reduce’ school property taxes by 20%. Here’s a more practical plan that features:

• NO $2 BILLION DOLLAR BOND ISSUE-- SAVING THE

COMMONWEALTH BILLIONS OF DOLLARS IN INTEREST;

• ELIMINATES—NOT REDUCES-- PROPERTY TAXES ON HOMESTEADS

AND FARMSTEADS;

• PROVIDES ADDED CONTINUAL FUNDING FOR EDUCATIONAL
• INITIATIVES FOR YEARS TO COME;
• PROVIDES MORE FUNDING FOR ECONOMIC DEVELOPMENT THAN
• THE GOVERNOR’S PLAN;
• CUTS THE COST OF GOVERNMENT BY MILLIONS OF DOLLARS

ANNUALLY;

• SAVES THE LOTTERY FUND $61.3 MILLION DOLLARS PER YEAR,

PERMITTING 71,000 MORE SENIORS TO BE ADDED TO PACE.

• AND GENERATES THOUSANDS OF JOBS IN THE PRIVATE SECTOR.

Here’s how to do it: Do NOT approve the bond issue.

Approve slot machines at race tracks. Take the projected $1 billion in annual revenue and divide it between economic development and educational initiatives. At half-a-billion per year—forever—there will be a steady stream of funding for educational improvement efforts—all day kindergarten, etc. The other half-billion from the slot machines would provide a steady stream of cash—forever—for economic development initiatives. At a half-a-billion per year, in just four years we would have the $2 billion the Governor now wants to borrow, but we would NOT saddle our children and grandchildren with a bond issue that may require a debt service of $5 Billion.

Enact SB 717 and 718; and HB 1572 and 1573 that will ABOLISH ALL property taxes on homesteads and farmsteads (not just reduce them by 20% as the Governor has proposed). 98,000 PA citizens have already signed petitions demanding ABOLISHMENT of ALL property taxes on homesteads. Sheriff sales on these properties will end.

No longer will homeowners be penalized with higher assessments and higher property taxes when improving their homes. This will create a tremendous boom in real estate, home building, home remodeling, building supplies, home furnishings, banking, and many other industries. This economic activity will generate tens of thousands of jobs and greater amounts of tax revenues for all levels of government.

With no property taxes on homesteads, more people will want to come to Pennsylvania to own homes; from young families and individuals, to retirees. And those people who now live here will want to stay instead of fleeing the state as has been the case for many years—due, in part to the hated property taxes.

Eliminating assessments, reassessments, sheriff sales, etc. on homesteads means 2/3rds to 3/4ths of all properties will not need to be constantly reassessed. With no assessments on all these homesteads\farmsteads, the COST of operating assessment offices, courts, sheriff sales, etc. can be substantially reduced, at least by 2/3rds.

With no property tax, there will be no need for the Lottery Funded, Property Tax Rebate Program. That will save the Lottery 61.3 million a year.

Learn more about SB 717-718 and HB 1572-1573 at www.grandoldusa.com