Philadelphia Mayor Michael Nutter is proposing a more than 9 percent property tax hike as part of his final budget, administration officials tell NBC10. The money generated from the increase would infuse cash into the severely underfunded city schools.
Nutter will ask for a 9.34 percent jump in property taxes during his budget presentation to Philadelphia City Council on Thursday. That would increase the property tax rate to 1.465 percent from 1.34 percent starting in the Fiscal Year 2016 which begins on July 1, 2015.
A Nutter Administration official said education is a paramount issue and the increase it will help fund the School District of Philadelphia appropriately.
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School District of Philadelphia Superintendent Dr. William Hite said Tuesday the district needs $300 million to have a balanced budget. He's hoping $103 million of that comes from the city.
Despite an increase in the tax rate, officials say homeowners could still see a drop in their property tax bill in 2017 if a plan from Gov. Tom Wolf to reduce taxes statewide passes. Under the governor's Homestead proposal, the median property tax bill for Philadelphians would be $300 less than what they will pay this year, officials said.
The budget will also include increases in funding for the Departments of Licenses & Inspections, Parks & Recreation and Philadelphia Police, according to The Philadelphia Inquirer.