PHILADELPHIA (KYW Newsradio) — A new bill introduced by Councilman Brian O’Neill introduced to City Council on Thursday would expand the city’s homestead exemption tax for homeowners by $10,000.
The homestead exemption currently excludes the first $100,000 of assessed value from property taxes for owner-occupied homes. O’Neill’s bill would raise that to $110,000.
The proposal comes during a budget season in which council members have expressed deep concern about the impact of expected federal budget cuts on city finances.
However, even though it would reduce revenue to the city, O’Neill’s bill has the support of Council President Kenyatta Johnson, who is a co-sponsor.
“We know increasingly each year, we see real estate prices rising and so it’s a consideration that we’ll have as we go through this budget process,” said Johnson.
He went on to say that the city can’t be “paralyzed” by certain cuts seen coming from the nation’s capital.
“We still have to make sure we’re addressing the issues and concerns of the residents here in the city of Philadelphia,” said Johnson.
The Parker administration said it’s still studying the proposal.