School Board Discusses Abolishing Per Capita Tax

The Saucon Valley School Board discussed the possibility of doing away with the district’s annual per capita tax at its Feb. 14 meeting.

School board member Ralph Puerta first raised the idea at previous meetings.

"(The per capita tax) is relatively expensive to collect," he said. "We pay about the same amount to collect $100,000 as to collect $20 (million) to $25 million in real estate tax."

The per capita tax is an annual flat tax assessed of residents of the district, regardless of whether they own property or not.

Saucon Valley School District Business Manager David Bonenberger said the district pays $11,000 to collect the tax, which brings in $94,000.

Puerta said another impression of the tax is an emotional one. He said residents pay a “healthy real estate tax” and are then asked to shell out more money for the per capita tax.

“That strikes me as wrong,” he said.

However, not all board members agreed with Puerta.

“I have never heard one person complain about per capita tax, but I have heard an earful about real estate tax,” said school board member Charles Bartolet.

“When the per capita tax comes, it makes me feel better knowing other people are sharing the burden, even if it is nominal,” said board member Lanita Lum. “There is no rationale to take away a $9.80 tax.”

Lum also warned that if the board decided to abolish the tax, they would never be allowed to enact it again.

“Once we let it go, it’s gone,” she said.

Board member Sandra Miller said she opposes the idea, but would proceed with caution.

"I’d be careful walking away from $100,000," she said.

A vote was not taken on the matter at the meeting, but it will be discussed later on in the year during budget talks.

If the tax were eliminated, the elimination would not take effect until the 2013-2014 school year.