Since 1991, the city of Titusville Pennsylvania, the city of the third class in the northwest corner of the state has used land value tax as its primary source of municipal revenue. So far, through two recessions and a general innervation of the Northeast states, Titusville has achieved what some might think is boring, but any municipal government would love: stable revenues with no need for tax increases.
This year's budget maintains land value tax rates of 20.7 mills for buildings and 71.25 mills on land values (In many states, tax rates are legally described as "mills" as opposed to a percentage or pennies per hundred dollars of value).
Titusville's can-do attitude, matching market investment with public encouragement has produced results in its charming downtown, and on its quiet tree-lined residential streets. Poverty is low, and housing and commercial space affordable. UrbanTools hopes an update of our 2007 study will soon be commissioned by the Titusville to analyze the current tax and economic prospects for the city.