Pittsburgh council approves amended 2026 property tax, sets millage at 9.67 mills
December 21, 2025 | Pittsburgh, Allegheny County, Pennsylvania
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PITTSBURGH ' The Pittsburgh City Council Finance & Law Committee voted on Dec. 21, 2025, to approve an amended ordinance setting the 2026 real property millage at 9.67 mills, after public comment and lengthy debate about how to close an estimated shortfall in the city's $680 million budget.
Councilman Warwood, who introduced the original proposal to raise property taxes as high as 30 percent, said the increase was intended to fill a roughly $30 million gap after updated estimates for utilities, overtime and fleet needs. "The rationale for raising taxes 30% ... was that the current budget put forth by the administration had about $10,000,000 underestimated on utility costs, roughly $10,000,000 underestimated on overtime premium pay, and we need at least $20,000,000 a year invested in our fleet," he said during debate.
The committee adopted a compromise amendment offered by Councilman Moseley that reduced the proposed millage to 9.67 mills. That amendment carried in committee and, after procedural challenges and a request for legal guidance, the committee recorded a 6'to'3 vote in favor of the bill as amended.
Why it matters: Officials said the revenue boost is intended to preserve core city services, including public safety, snow response and senior centers, and to avoid deeper cuts to operations. Opponents urged a slower approach, arguing for more exhaustive internal spending reviews, new revenue streams and further discussion with the incoming mayor and major nonprofit institutions that benefit from city infrastructure.
Public voices pushed both sides. Alex Peyton, a Garfield resident, told the committee the problem was not overspending but structural revenue losses tied to assessment practices and court decisions: "This is not a spending crisis. This is a revenue crisis driven by court decisions and assessment practices that allow large commercial property owners to significantly reduce what they pay," Peyton said. Supporters pointed to a list of immediate needs: deferred vehicle replacements, spikes in utility bills and premium pay for first responders.
Legal and procedural notes: Council members asked for a formal legal opinion about council's authority and limits on revenue increases. Assistant City Solicitor Anthony Bylin and the acting solicitor advised the committee that, under the Home Rule Charter, council can propose tax changes; the law department agreed to provide a written opinion to members.
Numbers and impact: Committee discussion included several illustrative figures. Council members cited that a 30% increase would raise about $40 million in revenue and that earlier proposals would have raised an estimated $240 per $100,000 of assessed value at the higher rate; the compromise to 9.67 mills was described during debate as raising the tax rate per $100,000 of assessed value to roughly $9.67 (an increase of about $161 per $100,000 compared with the current rate, as staff estimated for a narrower increase scenario).
What's next: With the committee's affirmative recommendation, the ordinance will be included in the broader 2026 budget package. The law department will supply a written legal opinion requested by multiple council members, and the full council will consider the operating and capital amendments tied to the updated revenue forecast. Council members and staff said some parts of the budget remain subject to further adjustment in January during the formal budget review window.
Quotes that shaped the debate:
"The rationale for raising taxes 30% ... was that the current budget put forth by the administration had about $10,000,000 underestimated on utility costs, roughly $10,000,000 underestimated on overtime premium pay, and we need at least $20,000,000 a year invested in our fleet," said Councilman Warwood.
"This is not a spending crisis. This is a revenue crisis driven by court decisions and assessment practices," said Alex Peyton, a Garfield resident who urged voluntary contributions from downtown beneficiaries while pursuing reassessment reform.
The committee moved afterward to approve a wide package of budget and personnel amendments tied to the updated revenue forecast, then recessed and adjourned after scheduling additional standing committee work.
Councilman Warwood, who introduced the original proposal to raise property taxes as high as 30 percent, said the increase was intended to fill a roughly $30 million gap after updated estimates for utilities, overtime and fleet needs. "The rationale for raising taxes 30% ... was that the current budget put forth by the administration had about $10,000,000 underestimated on utility costs, roughly $10,000,000 underestimated on overtime premium pay, and we need at least $20,000,000 a year invested in our fleet," he said during debate.
The committee adopted a compromise amendment offered by Councilman Moseley that reduced the proposed millage to 9.67 mills. That amendment carried in committee and, after procedural challenges and a request for legal guidance, the committee recorded a 6'to'3 vote in favor of the bill as amended.
Why it matters: Officials said the revenue boost is intended to preserve core city services, including public safety, snow response and senior centers, and to avoid deeper cuts to operations. Opponents urged a slower approach, arguing for more exhaustive internal spending reviews, new revenue streams and further discussion with the incoming mayor and major nonprofit institutions that benefit from city infrastructure.
Public voices pushed both sides. Alex Peyton, a Garfield resident, told the committee the problem was not overspending but structural revenue losses tied to assessment practices and court decisions: "This is not a spending crisis. This is a revenue crisis driven by court decisions and assessment practices that allow large commercial property owners to significantly reduce what they pay," Peyton said. Supporters pointed to a list of immediate needs: deferred vehicle replacements, spikes in utility bills and premium pay for first responders.
Legal and procedural notes: Council members asked for a formal legal opinion about council's authority and limits on revenue increases. Assistant City Solicitor Anthony Bylin and the acting solicitor advised the committee that, under the Home Rule Charter, council can propose tax changes; the law department agreed to provide a written opinion to members.
Numbers and impact: Committee discussion included several illustrative figures. Council members cited that a 30% increase would raise about $40 million in revenue and that earlier proposals would have raised an estimated $240 per $100,000 of assessed value at the higher rate; the compromise to 9.67 mills was described during debate as raising the tax rate per $100,000 of assessed value to roughly $9.67 (an increase of about $161 per $100,000 compared with the current rate, as staff estimated for a narrower increase scenario).
What's next: With the committee's affirmative recommendation, the ordinance will be included in the broader 2026 budget package. The law department will supply a written legal opinion requested by multiple council members, and the full council will consider the operating and capital amendments tied to the updated revenue forecast. Council members and staff said some parts of the budget remain subject to further adjustment in January during the formal budget review window.
Quotes that shaped the debate:
"The rationale for raising taxes 30% ... was that the current budget put forth by the administration had about $10,000,000 underestimated on utility costs, roughly $10,000,000 underestimated on overtime premium pay, and we need at least $20,000,000 a year invested in our fleet," said Councilman Warwood.
"This is not a spending crisis. This is a revenue crisis driven by court decisions and assessment practices," said Alex Peyton, a Garfield resident who urged voluntary contributions from downtown beneficiaries while pursuing reassessment reform.
The committee moved afterward to approve a wide package of budget and personnel amendments tied to the updated revenue forecast, then recessed and adjourned after scheduling additional standing committee work.
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