Fiscal watchdog wants to reduce a backlog of appeals on property taxes
PICA says about 2,500 appeals have yet to be heard by the BRT, holding up millions of dollars to the city and school district.
THE CITY'S fiscal watchdog said yesterday that a backlog of appeals from property owners is holding up millions of dollars in critical revenue for the city and the school district.
Suzanne Biemiller, chairwoman of the Pennsylvania Intergovernmental Cooperation Authority, told the Board of the Revision of Taxes in a letter that 2,557 of the 29,522 appeals for this year and last year have yet to be heard. Those unheard cases represent more than $6 billion in assessed value.
She called for the BRT - a seven-member board appointed by city judges - to speed up the appeals process.
"These outstanding appeals have resulted in a significant reduction in the amount of real estate tax revenue collected by both the City of Philadelphia and School District of Philadelphia, and have compounded the school district's cash position at a time when commonwealth funding is already uncertain due to the budget impasse in Harrisburg," Biemiller wrote.
Originally, the BRT was expected to wrap up the appeals by the end of the year, but of the 2,557 outstanding appeals, only 775 have been scheduled between now and Dec. 31, according to Biemiller.
She noted that the number of appeals resolved each month had "decreased substantially from 2014 to 2015." The Inquirer reported in April 2014 that the BRT was clearing more than 600 appeals per week.
Biemiller requested that the BRT ramp up the hearings so that half of the outstanding cases are resolved by the end of the year and the remainder by February, in time for the upcoming budget.
"If the BRT requires additional resources in order to do so, we would hope that you would make these needs known to the PICA board," she concluded.
The city is projected to receive $12 million in tax revenue this fiscal year once the appeals are resolved, and the district expects to get $14.7 million.
With state lawmakers yet to approve a spending plan nearly four months into the fiscal year, school districts across the state are being forced to take out bank loans to keep schools open. The Philadelphia School Reform Commission is set to vote Monday on short-term borrowing for an unknown amount.
BRT Executive Director Carla Pagan did not respond to emailed questions from the Daily News yesterday.
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