A Pittsburgh city councilmember plans to propose a real estate tax increase for 2026.The legislation could raise the tax millage by 30% if passed.Barb Warwick, representing the city’s District 5, told Pittsburgh’s Action News 4’s Kalea Gunderson on Monday, the city needs revenue to offset a roughly $30 million budget deficit.“This is not something that anyone wants to do, but I, I believe firmly that this is the responsible thing to do as the fiscal stewards of the city,” Warwick said.Warwick is proposing a 30% increase in the real estate tax millage rate, from 8.08 mills to 10.48. That’s around $20 more a month, per $100,000 of property value.“I don’t know what younger people who are just buying homes are going to feel,” Rose Alvin said.“It’s going to hurt more people. And in the end, it just makes the city never grow. So I know it’s big, but I’m sure they have a million reasons why they’re going to do it. So it’s just my opinion. I wish that they wouldn’t,” Mr. Ross said.Warwick said this would generate $41 million, covering a budget deficit and leaving roughly $10 million left over to allocate to other areas of the budget… One example would be improving the city’s fleet of emergency vehicles.“If this does not pass. I do not know how we, how we’re going to fix our aging fleet. I don’t know how we’re going to pay our utility bills, and I don’t know how we’re going to pay our overtime,” Warwick said.City Controller Rachael Heisler said in a statement, her office warned City Council and the Mayor’s office of these budgetary concerns more than two years ago.“In April 2024, we said that ‘without significant budgetary changes, the city will likely be operating at a net deficit by 2025, and that the reserve fund could be depleted by 2028 if not sooner.’ There were no significant changes, and that’s exactly the position we find ourselves in today,” Heisler said.Warwick plans to propose this legislation at Tuesday morning’s council meeting.Mayor Gainey shared a statement Monday, saying that his administration “proposed a balanced budget that avoids a tax increase, even though it includes some difficult choices. Council has raised concerns and is considering adjustments, including the one mentioned by Councilwoman Barb Warwick. We’re committed to working collaboratively with Council to ensure the final budget reflects our community’s priorities.”Pittsburgh’s Action News 4 reached out to Mayor-elect Corey O’Connor for comment as well.“I am committed to leading a city that invests in our core functions, maintains fiscal responsibility, and supports growth, and I will work with Council to assess all options that allow us to maintain essential services on which residents rely and eliminate spending in areas that the city simply cannot afford,” O’Connor said.Download the WTAE app to stay connected with breaking news. Sign up for our email newsletters to get breaking news in your inbox.
PITTSBURGH —
A Pittsburgh city councilmember plans to propose a real estate tax increase for 2026.
The legislation could raise the tax millage by 30% if passed.
Barb Warwick, representing the city’s District 5, told Pittsburgh’s Action News 4’s Kalea Gunderson on Monday, the city needs revenue to offset a roughly $30 million budget deficit.
“This is not something that anyone wants to do, but I, I believe firmly that this is the responsible thing to do as the fiscal stewards of the city,” Warwick said.
Warwick is proposing a 30% increase in the real estate tax millage rate, from 8.08 mills to 10.48. That’s around $20 more a month, per $100,000 of property value.
“I don’t know what younger people who are just buying homes are going to feel,” Rose Alvin said.
“It’s going to hurt more people. And in the end, it just makes the city never grow. So I know it’s big, but I’m sure they have a million reasons why they’re going to do it. So it’s just my opinion. I wish that they wouldn’t,” Mr. Ross said.
Warwick said this would generate $41 million, covering a budget deficit and leaving roughly $10 million left over to allocate to other areas of the budget… One example would be improving the city’s fleet of emergency vehicles.
“If this does not pass. I do not know how we, how we’re going to fix our aging fleet. I don’t know how we’re going to pay our utility bills, and I don’t know how we’re going to pay our overtime,” Warwick said.
City Controller Rachael Heisler said in a statement, her office warned City Council and the Mayor’s office of these budgetary concerns more than two years ago.
“In April 2024, we said that ‘without significant budgetary changes, the city will likely be operating at a net deficit by 2025, and that the reserve fund could be depleted by 2028 if not sooner.’ There were no significant changes, and that’s exactly the position we find ourselves in today,” Heisler said.
Warwick plans to propose this legislation at Tuesday morning’s council meeting.
Mayor Gainey shared a statement Monday, saying that his administration “proposed a balanced budget that avoids a tax increase, even though it includes some difficult choices. Council has raised concerns and is considering adjustments, including the one mentioned by Councilwoman Barb Warwick. We’re committed to working collaboratively with Council to ensure the final budget reflects our community’s priorities.”
Pittsburgh’s Action News 4 reached out to Mayor-elect Corey O’Connor for comment as well.
“I am committed to leading a city that invests in our core functions, maintains fiscal responsibility, and supports growth, and I will work with Council to assess all options that allow us to maintain essential services on which residents rely and eliminate spending in areas that the city simply cannot afford,” O’Connor said.
Download the WTAE app to stay connected with breaking news. Sign up for our email newsletters to get breaking news in your inbox.