Some of the leading tax-exempt institutions in Pittsburgh yesterday came out against Mayor Luke Ravenstahl's plan to tap them to cover the city of Pittsburgh's pension funding chasm. The mayor challenged them to suggest an alternative.

With that, the initial arguments were made in what's likely to be a months-long debate that will start before a state oversight panel.

The mayor on Monday proposed a $452.8 million budget for next year that would include $15 million from an as-yet-undetailed mix of new charges on college students, hospital admissions, and all-day parkers in city garages, and perhaps a hike in water rates for medical and educational institutions.

"I have had discussions with [college and hospital officials], and talked with them about the need to include this in the budget," Mr. Ravenstahl said. "Told them, as I said [Monday], that I'm not wedded to anything, and would welcome their support, or thoughts, or insights, on how to raise $15 million."

The city wants the money to replenish its pension fund, which contains just 31 percent of the $899 million it should hold. The mayor's bid to get state approval for boosting the $52-a-year tax on people who work in the city to $144 is going nowhere, so he's turning to a sector that's mostly out of the tax man's reach.

"Everybody has to share the cost of doing business in the city of Pittsburgh. We think the nonprofit side potentially could do a little bit more."

"The University [of Pittsburgh] will oppose any effort that would directly or indirectly alter its tax-exempt status," wrote Pitt spokesman Robert Hill, in response to questions. Pitt spends $3 million on community policing that benefits the city, pays $4.5 million in taxes to the city and school district, and was "a major participant" in the Pittsburgh Public Service Fund that funneled money from tax-exempt organizations to the city, he wrote.

The Pittsburgh Public Service Fund donated $14 million to the city from 2005 through 2007, and offered $5.5 million for 2008 through 2010. Council has not acted on that offer.

The University of Pittsburgh Medical Center "has always supported the city," wrote UPMC Media Relations Director Frank Raczkiewicz. "We have always been the largest voluntary contributor to the Pittsburgh Public Service Fund. The $100 million Pittsburgh Promise [of college tuition aid] is another voluntary contribution that will benefit all the residents of Pittsburgh."

West Penn Allegheny Health System spokesman Dan Laurent wrote in a statement that the hospital group understands "the fiscal challenges confronting the city," but must focus limited funds on "taking care of patients from the city and the entire region, regardless of their ability to pay, supporting our workforce and investing in the education programs, research and technology."

City Council will hold briefings Oct. 9 with the University of Pittsburgh and perhaps other institutions, said Councilwoman Theresa Smith. She said the fees should be looked at "as a last resource."

Tuition is "already high enough," she said. "I just think we're making it more difficult for people to attend school."

A hospital admissions fee would be "one more thing that will be a burden on patients."

Before it goes to council, the budget must win the approval of the five-member, state-picked Intergovernmental Cooperation Authority. The ICA's chairwoman could not be reached yesterday.