Ravenstahl abandons tuition tax

The Pittsburgh Post-Gazette reports:

Pittsburgh Mayor Luke Ravenstahl has asked city council to shelve his proposed tuition tax, saying instead that a broad-based “New Pittsburgh Coalition” will work to solve the city’s pension problem.

The mayor is willing to cancel the tuition tax vote that could have occurred today in spite of the fact that he can’t claim to have landed the $15 million-a-year needed to right the pension fund, nor the $5 million compromise demand he made earlier this month. . . The University of Pittsburgh, Carnegie Mellon University and insurer Highmark have pledged to make larger voluntary donations to the city than they did in the years 2005 through 2007, but neither they nor city officials would not say how much they will give, nor for how many years. . .

Mr. Ravenstahl introduced the 1 percent tuition tax proposal in his Nov. 9 budget address. . . But the state-picked Intergovernmental Cooperation Authority forced him to remove revenue from the tax from the 2010 budget, saying it was too speculative. State Rep. Paul Costa, D-Wilkins, introduced legislation to preempt the levy. And the bare majority of council members who said they’d vote for the tax showed signs of instability, with two members, Theresa Smith and Tonya Payne, embarking on a desperate attempt to find a middle ground and avoid a vote.

I think the whole thing was an attempted shakedown. It failed because Ravenstahl’s hand was just too weak.

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