Pennswood Village
A Not-For-Profit Continuing Care Retirement Community
PILOT (Payment in lieu of taxes)

As a not-for-profit continuing care retirement community, Pennswood Village provides its residents with a single, integrated continuum of care guided by an overarching charitable purpose. Our mission is to be a caring community whose members, including residents, staff and board members, have a responsibility to each other and to the broader community.

The Pennsylvania Supreme Court has ruled that continuing care retirement communities like Pennswood Village, are defined as charitable organizations in Pennsylvania and are not required to pay property taxes on our residences.

Why is Pennswood Village defined as a charitable organization in Pennsylvania?

In 1985, as a result of the Hospital Utilization Project v. Commonwealth lawsuit, the Pennsylvania Supreme Court established a five-prong test for determining whether an entity is qualified as a purely public charity within the meaning of the constitution. This test became the basis for PA Act 55 "criteria for institutions of purely public charity."

The purpose of our organization is to provide housing options, services, amenities and care for our community's elderly while relieving the government and its taxpayers of some of its burden.

As a charitable organization, Pennswood Village meets the following requirements set forth by Act 55:

1. Advances a charitable purpose
2. Donates or renders gratuitously a substantial portion of its services
3. Benefits a substantial and indefinite class of people who are legitimate subjects of charity
4. Relieves the government of some of its burden
5. Operates entirely free from profit motive

Each part of our organization's residential living apartments, personal care and nursing home residences work together to provide residents security in their future against the uncertainties and challenges of aging.

Our Responsibility to the Community

We strongly believe that our tax exemption status does not mean that we are exempt from being good citizens in the community in which we live and work. We have committed to voluntarily pay a significant portion of the taxes that we had paid in the past.

From 2010 through 2019, Pennswood Village has agreed to make a voluntary payment (PILOT) of $400,000 per year to the Neshaminy School District in recognition of the valule of the essential services provided by the Neshaminy School District.

In addition to this PILOT Agreement, Pennswood Village also makes voluntary payments to Middletown Township ($55,000 per year) and Bucks County ($80,000 annually). Pennswood Village also provides substantial financial assistance to its residents who would otherwide require Federal and PA financial assistance through the Medicaid Program.

Under our Quaker Guiding Principles, we remain committed to contributing to the community both financially and through community service. As one of the community's largest employers, we contribute significantly through our payroll and our support of local merchants. Additionally, in 2010, our residents contributed 65,000 volunteer hours of community service and thousands of dollars in contributions to local charities.