Pittsburgh City Council this morning gave preliminary approval to Mayor Luke Ravenstahl's tax proposal that will drop the millage rate by 30 percent and increase a homestead exemption and senior citizen discounts.
Because of a reassessment that dramatically increased home values, most taxpayers won't see a dramatic decrease in their tax bills and some may even see their taxes go up. State law requires municipalities to drop their tax rates after reassessments to avoid collecting windfalls.
Under the proposal, the millage would be cut from 10.8 to 7.56 mills, the exemptions for owner-occupied homes would increase from $10,000 to $15,000 and the break for senior citizens would go from 30 percent to 40 percent.
Council members last week and today questioned city finance director Scott Kunka about the procedure for determining the numbers, but he assured them the plan "protects the taxpayers to the maximum extent."
The bill was unanimously approved by a voice vote today. It is up for a final vote Tuesday.
Moriah Balingit: email@example.com, 412-263-2533 or on Twitter @MoriahBee.