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Latest News


Discriminating School Taxes Must End



Rich Shuker addressing the Lehigh Valley Tea Party


HB76 and SB76

by Rich Shuker


Home ownership has fallen to a 48 year low, the lowest it’s been since 1967. 1967 is an interesting date due to the fact that two years earlier school districts in the state of Pennsylvania were not allowed to directly tax the people. The Constitution says the House of Representatives is supposed to provide the funding for education

Because of the taxing authority by the school districts, the school tax has become a regressive and discriminatory tax targeting the low, middle income class, and the retirees.

Since 2011 school taxes have gone up 116%, despite the casino tax scam that was to provide tax relief money, but the casinos made out better than the homeowners. Maybe that’s why Gov. Rendell stated, the ‘taxpayers are being fleeced.’

In a recent report from the Federal Reserve, in the Feds report on the Economic Well-Being of US households in 2014, it verifies that school taxes discriminate against the low and middle income class. In the survey, 81% of the renters said they would prefer to own a home , 50% said they can’t afford a down payment to purchase a home, 31% stated they can’t qualify for a mortgage

Due to the escalating cost of school taxes it is making it harder and harder for the low and middle income class to qualify; may it be down payment or following the federal regulations to purchase a home. Due to this process, every time school taxes go up, it discriminates more against the people, the very people the legislators are supposed to protect

If school taxes were eliminated, it would make the settlement costs approximately 30% less. This would make it substantially easier for low and middle income people to purchase homes. Because the school taxes are counted against the debt ratio when qualifying for a loan, their actual mortgage payment without school taxes would be 30% less, which would make it much easier for the low and middle income people to qualify for a mortgage.

According to the report the average rent payment, nationally, is $808. With a mortgage interest rate of 4%, the individual could purchase a $165,000 home instead of renting.

The study also found that 45% of the retirees expect to continue working in some capacity to generate additional income. It could be primarily to pay school taxes, so in essence the retired people who thought they owned their home now find they have a permanent increasing rent payment to the school districts. Many times this rent payment is 200 to 300% higher than their mortgage payment was. This rent payment really becomes a major problem when one of the spouses dies, as one of the social security checks vanishes and in many times that spouse’s pension also disappears. Many times this discriminatory system steals the house from the retired, who worked their entire life to pay off their mortgage.

So the question is, why would anyone disapprove of helping the low and middle income people, the retired, and keep children in a stable environment?

Why would union leaders object to making it easier for union members and families to purchase homes and make it easier for the members to retire, without the threat of forcing their members out of their homes after retirement?

Why would legislators allow zero oversight on 55% of all the money that goes to education? Could it be they don’t want the responsibility? Could it be they don’t want to address the waste and fraud?

In 1953, the sales tax was started and designated to pay for the educational system, so why not use it now? It worked for 1953 to 1965, but from 1953 through 1965 we did have taxpayers local control and now all we have is union control with zero local control by the taxpayers

If SB and HB 76 do not pass, what we will have is more corruption, more waste of money, and more discrimination against the taxpayers of Pennsylvania. This must end now!!!!!!!

Or maybe this is what the liberals in Harrisburg want, continued discrimination against all the taxpayers in Pennsylvania.


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