PHILADELPHIA (CBS) — Philadelphia City Council voted unanimously to change the tax abatement for new home constructions. The bill calls for a 10% phase down per year over 10 years.
Supporters say it will generate much needed cash for schools and city services.
City Council President Darrell Clarke proposed the changes.
“Is it fair for a person who lives next to a $600 to $700 house that doesn’t pay property taxes and the person next door their taxes are going up beyond their expectations?” Clarke said.
Mayor Jim Kenney and other supporters of the abatement, in its current form, say it has spurred development and encouraged people to move into the city.
The new bill is expected to be approved by the full council next Thursday.