A "homestead exemption" is one of the relief measures being discussed as part of the administration's proposed Actual Value Inititiative (AVI). The amount of the exemption currently being considered is $30,000. If your house is worth $100,000, this means you would pay taxes on $70,000 ($100,000-$30,000). State legislation is needed for a homestead exemption. There is pending legsilation in Harrisburg to allow City Council to implement such an exemption.