FOR IMMEDIATE RELEASE
February 22, 2006
Back

Governor Signs Pileggi Bill to Encourage Productive Use and Redevelopment of Tax Delinquent Properties

Harrisburg, Pennsylvania

On Tuesday February 21st, Governor Rendell signed into law Senate Bill 640 introduced by Senator Dominic F. Pileggi (R-9, Chester, Delaware).  The new law amends the Municipal Claim and Tax Lien Law to authorize a county, city, borough or other municipality to accept a donation of property which is subject to a tax claim.

The bill permits a municipality to negotiate a tax claim, and also permits an agreement to extinguish existing tax liens against the property in exchange for full or part satisfaction of its claims.  As an incentive to return a delinquent property to re-use, an owner who donates property can avoid personal liability for the amount of tax claims extinguished as a result of the donation.

The new law also requires tax claims to include the name and last known address, with its zip code, of the owner of each property against which a claim is being filed. It requires tax collection agents to maintain a public record list of all properties against which taxes are levied and remain unpaid (including amounts due, and settlement arrangements where applicable). It permits the department or public official responsible for collection of delinquent taxes to report any nonpayment of taxes, including liens, to one or more consumer reporting agencies.

The bill passed the Senate 50-0 and the House, with amendments 190-1. The Senate concurred 47-2. The bill becomes effective in 60 days.

Contact:

Lee Derr
(888) 984-3478

Privacy Policy
2008 © Senate of Pennsylvania