Pittsburgh City Council member introduces 30% tax increase
A proposed 30% tax increase is officially on the table for the Pittsburgh City Council.
It's projected that the current budget is $30 million short, and city council members say this is needed to keep the city running. Councilmember Barb Warwick introduced the tax increase proposal, saying said after months of budget hearings that this was the only option left.
"I want to continue providing the quality service levels that we are providing now, and I want to improve on the places where service levels need to improve," Warwick said.
She expects this increase would bring in $41 million, covering the shortfall. It comes at a time when Pittsburgh homeowners are threatened with a tax increase from Pittsburgh Public Schools, and saw taxes in Allegheny County go up 36%. About 20% of the city is over the age of 65, with many of them on a fixed income.
Councilwoman Theresa Kail-Smith said the council needs to exhaust all options.
"We need to do the best we can to show that we've done our due diligence before we ever enter into something like that," Kail-Smith said.
Council President Daniel Lavelle sent out a letter asking all departments to cut 5% from their budgets.
"Our department heads have been very clear that the belt has already been tightened. The cuts have already been made, but the goal is to maintain city services," Warwick said.
"A 30% tax increase is a business killer and killer for home ownership in the city of Pittsburgh," Rick Moore, of the South Hills, said during public comment.
Council also sent a will of council to Allegheny County Executive Sara Innamorato for a countywide property reassessment. Her office sent this statement, in part:
"It is important for residents to understand that a reassessment is supposed to be revenue neutral for local governments, including both the City of Pittsburgh and Allegheny County. Additional revenue can only be generated for Pittsburgh by raising taxes."
"I think it's too premature to make any decisions about tax increases, where we should cut, where we should freeze until we have some conversations with our own budget office," Kail-Smith said.
The public will have its chance to weigh in on Dec. 22. The budget is due at the end of the month.