Millions of dollars that help local governments manage stormwater runoff are at stake as the Pennsylvania Supreme Court considers a lower court’s decision that a state-owned university was not required to pay because of its tax-exempt status. The decision also raises questions about whether the charges are even legal. Commonwealth Court ruled the stormwater charge imposed by the Borough of West Chester is actually a tax, and therefore the state-owned West Chester University should not have to pay an annual bill of around $130,000. The court also said calculating the fee based on how large a developed property is does not necessarily correspond to the level of service that is provided, as municipalities do when they charge for other services like water consumption. Stormwater fees are usually charged based on a property’s square footage of impervious surface, so buildings, parking lots and the like contribute more to runoff, and put more strain on the stormwater systems. In the case on appeal to the state Supreme Court, some boroughs and townships are asking to get the lower court’s ruling overturned, warning there are millions of dollars at stake. Read more here.
Source: Daily Local; 8/30/2023