Pittsburgh, Carnegie Library working on tax logistics
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The city of Pittsburgh will collect a new tax for the Carnegie Library of Pittsburgh beginning this year, but how much the latter has to pay for that service is a matter of discussion.
City and library officials will meet today to iron out cost-sharing and other logistical details for collecting the library tax that voters approved in a November referendum.
The real-estate levy -- 0.25 of a mill -- will generate more than $3 million annually for a 19-branch system that has struggled financially but portrayed itself as a vital part of the city's infrastructure.
This year, the city will send property owners two property tax bills, one for city and Pittsburgh Public Schools taxes and the other for the library tax.
In future years, it's likely that property owners will receive one bill for city, school and library taxes.
City finance director Scott Kunka said that will involve as much as $100,000 in one-time start-up costs, much of it for reprogramming city computers. A vendor must be brought in to do the work, he said.
Mr. Kunka said the financially strapped city won't absorb all of those costs. In a statement, library spokeswoman Suzanne Thinnes said only that the parties are "working collaboratively to finalize the arrangements regarding collection of the city library tax."
In one sense, library board chairman Lou Testoni said, the issue is "splitting hairs" because taxpayers will pay for the work, whether the money comes from the library levy or city property taxes. But he said he's amenable to "some share" in the cost if the city believes that's warranted.
City council President Darlene Harris said she believes that the library can pay for start-up costs out of levy revenues. She said the library tax should help the library without hurting the city.
Three other area municipalities -- Brentwood, Robinson and Wilkinsburg -- have library taxes.
In Robinson, the municipality bills residents, collects the 0.1-mill tax and cuts the library a check -- about $145,000 this year. It doesn't charge for those services, library director Sharon Helfrich said.
Robinson sends a single property-tax bill to residents and doesn't differentiate between township and library millage, township manager Aaron Bibro said.
Wilkinsburg also has one inclusive bill. A vendor collects real estate taxes, including the 0.71 of a mill dedicated to the library. The borough then passes on that sum -- just under $200,000 this year -- to the library. The library is not charged for those services, finance director David Egler said.
In Brentwood, the library receives 0.5 of a mill. The borough sends out one bill, withholds money for certain services, including auditing and custodial services, and forwards the rest, about $150,000 annually, to the library. The library is not charged for billing and collection services, borough manager George Zboyovsky said.
First Published February 6, 2012 12:00 am
