State Sen. David Argall and Rep. Doyle Heffley met with a large group of Carbon County taxpayers to discuss the proposed Senate Bill 76, Tuesday at the Lehighton annex building.

The informational roundtable included a presentation from Chuck Liedike regarding the merits of the bill also known as the Property Tax Independence Act. Liedike spoke on behalf of the Pennsylvania Association of Realtors.In his overview, Liedike called SB 76 the "end-all" of property tax reform."SB 76 has been studied more so than any other piece of legislation," Liedike said. "It is that real option."Argall described the bill as "the most difficult issue I've ever worked on, but it's fascinating to see it come together."SB 76 would eliminate school property taxes through increases to the Personal Income Tax and the Sales & Use tax. Under the bill, the Personal Income Tax rate would rise from 3.07 percent to 4.34 percent while the Sales & Use tax would rise from 6 percent to 7 percent with many previously tax-exempt items including food becoming subject to taxation.Liedike explained that those items included in the Pennsylvania WIC program would remain untaxed."Property taxes do not discriminate based on who you are and what you earn," Liedike said.He explained that the tax increases needed to fund SB 76 would offer relief to taxpayers when compared to the savings stemming from property tax elimination. For example, a family receiving $1,000 in tax relief would have to spend an additional $14,286 on newly taxed products to reach an amount comparable to their school tax.Heffley offered his support of SB 76 saying, "I think it's the issue in Carbon County. I think 76 is the best plan out there right now."Argall went on to explain that the bill would give school districts a "dollar-for-dollar" replacement of funds based on existing budgets. A cost of living formula would determine the annual increases to school districts. This figure would fund schools ahead of the rate of inflation.Argall, Heffley and Liedike each confirmed that local school boards would retain control of the management of funds. In addition, school directors could seek more funding from their tax base; however, these extra increases would be subject to a voter referendum.Surpluses generated from the new funding model would stay in a dedicated fund, meaning the money would roll into education funding for the following year.During time allotted for courtesy to the floor, three Lehighton Area school directors, William Hill, Rocky Ahner, and Hal Resh, voiced their reactions to the presentation. None directly expressed support or opposition to the bill; however, each acknowledged faults in the current school funding method."The system is broken," Resh said. "We need to fix it."Ahner affirmed this opinion saying, "Right now, we are in trouble."Hill expressed concern over the contributions to be made by commercial entities, as the bill calls for the total removal of property taxes not only for residents but also for those paid by large companies and corporations.Heffley confirmed that these companies would see their property taxes eliminated, too; however, they would be subject to the same Sales & Use tax increases as residents.Argall said that the state "cannot go for partial elimination" without going through a lengthy amendment process to the state constitution.Taxpayers can expect a forthcoming vote on SB 76 as Argall confirmed that the bill has bipartisan support. Presently, 12 democratic senators and 13 republicans have co-sponsored the bill or confirmed a vote in favor.Both Argall and Heffley expressed the need for taxpayers to become vocal on this issue by contacting legislators and sharing information with family members. Residents in search of more information on SB 76 were directed to the website

www.realreform76.com.