Pitt opposes newest 1 percent tuition tax proposal

Pitt announced yesterday that it opposes the mayor’s newest proposal to tax college… Pitt announced yesterday that it opposes the mayor’s newest proposal to tax college students.

The University said in a statement that it would oppose any attempt to tax its students, citing its current commitments to the community and its support of the city’s government.

Mayor Luke Ravenstahl’s 2010 budget proposal includes a provision that would charge students 1 percent of their tuition — $135 for in-state students in Pitt’s School of Arts & Sciences — to help fill a $15 million hole in the city budget. Under the Act 47 Recovery Plan, Pittsburgh has to increase contributions to the city’s ailing pension fund, according to the Pittsburgh Post-Gazette.

Before the mayoral election, Ravenstahl proposed a flat $100 fee on all college students per year, as well as fees on hospital bills, to raise the additional revenue. The current proposal — “The Fair Share Tax” — would tax Carnegie Mellon students $400 per year, according to the Post-Gazette.

After it was proposed, the University said on Oct. 12 it would oppose any effort to “directly or indirectly alter the tax-exempt status of the University.”

Pitt mentioned its contributions to the first Pittsburgh Public Service Fund, a group of non-profit organizations that voluntarily contributed funds to the city. The organizations contributed more than $14 million during 2005, 2006 and 2007, according to Pitt’s statement.

The statement said the Pittsburgh City Council has not yet approved a new Pittsburgh Public Service Fund for the years of 2008, 2009 and 2010. Pitt feels that the fund is the “most efficient and effective” way for it to contribute to the community, the statement said.

Pitt increased its financial pledge to the newest fund, according to the statement. The statement also mentioned various taxes currently paid to the city, such as for parking, non-educational property and “amusement taxes,” as well as Pitt police’s support of the community.

Mayor Ravenstahl’s office did not respond to three phone calls requesting comment. Pitt spokesman John Harvith said Pitt would not comment further on the situation.