The Board of Education, upon consideration of the request of the City of Philadelphia, hereby resolves to consent that, subject to and contingent upon approval by the Commonwealth of Pennsylvania of a ten (10) year extension of designations on all real estate taxes imposed on real property located in the designated Keystone Opportunity Zones (KOZ) identified below, are abated in accordance with the Keystone Opportunity Zone act, Act. No. 79 of 2008, amending Act. No. 92 of 1988.  The Act requires that all taxing authorities with jurisdiction over a proposed KOZ, Keystone Opportunity Expansion Zone (KOEZ), or Keystone Opportunity Improvement Zone (KOIZ), enact an ordinance or resolution to be included with the City's application to the Commonwealth, providing for exemptions, abatements, credits and/or deductions from certain taxes within the KOZs.  Designation as an approved KOZ is a Commonwealth action. 

The City has provided that no property shall be included in any Zone unless the owner of such property has entered into an agreement for "Payments in Lieu of Taxes" (“PILOT"), containing such terms and conditions as will provide for the maximum payment amount permissible under Section 310 of the Act, as amended.

Background: 

The General Assembly enacted Act No. 79 of 2008, amending Act No. 92 of 1988, the Keystone Opportunity Zone Act authorizing certain exemptions, abatements, credits and deductions of certain state taxes in certain deteriorated areas of the Commonwealth, known as KOZs, KOEZs, and KOIZs, to promote development and job formation.

The Pennsylvania General Assembly has passed and the Governor has signed 1237, Act No. 16 of 2012, which modified the existing KOZ legislation by allowing for a ten (10) year extension of the term for unoccupied KOEZs and KOIZs.  Philadelphia City Council has approved and the Mayor has signed Bill No. 200347, which provides for the exemptions, abatements, credits and deductions required by the Act in order to qualify for the designations and extensions referenced above and as specifically set forth in the below Schedule 1 property list.

SCHEDULE 1, Parcels in current Keystone Opportunity Zone to be extended:

Fiscal Year 2021