HARRISBURG - Potentially hundreds of thousands of Pennsylvania homeowners are not receiving the tax relief from slots casinos revenue because the state has created a complicated, fragmented and cumbersome application process that discourages participation, according to a special report issued today by Auditor General Jack Wagner.

Wagner said that the state should designate a single agency, preferably the Department of Revenue, to administer the program. He also called on the General Assembly and Gov. Rendell to push back this year’s application deadline from March 1 to April 15, to give property owners more time to learn about the program and apply for tax relief.

“What we have here is a failure of the state government to communicate,” Wagner said. “The property tax relief promised to Pennsylvania homeowners has to be more about homeowner help and less hype, and state government must take the lead in that effort.”

Wagner’s auditors also found that state officials have overstated the amount of casino revenue being disbursed for property tax relief. They found that the state has thus far returned about $1.7 billion in slots revenues to taxpayers – one-fifth less than the $2.1 billion touted by the state.

“It is unacceptable for the government to exaggerate a program by 20 percent to make it sound better than it is,” Wagner said.

According to state law, 55 percent of casinos’ revenues are to be returned to the state, with 34 percent of the commonwealth’s share earmarked for property tax relief, 12 percent for the Pennsylvania Race Horse Development Fund, 5 percent to the Economic Development and Tourism Fund, and 4 percent to local and county governments.

Gaming revenues fund two types of property tax relief: open eligibility, for homeowners of all ages and incomes, and restricted eligibility, for low-income homeowners, mostly senior citizens.

But as Wagner’s 62-page special report – the result of a one-year review of public documents and newspaper accounts, and the Taxpayer Relief Act, as well as interviews conducted by experienced performance auditors – noted, many property owners are not even aware that they are eligible for tax relief.

The average property tax rebate was $189 last year, Wagner said.

The Department of the Auditor General has created a “how-to” section on its Web page, www.auditorgen.state.pa.us, to help Pennsylvania homeowners seeking property tax relief, including a checklist and link(s) to obtain the application for property tax relief. Confused homeowners may also contact the department’s Taxpayer Advocate toll-free at 1 800 922-8477 for information on how to apply for property tax relief.