Between recovering from the flu and addressing a handful of onerous tasks, I’ve let this blog lag for nearly two weeks now. It took what could be one of the stupidest moves ever by a Rust Belt mayor to jolt me out of complacency to write again.
Just barely out of school himself (he graduated in December 2002 from Washington & Jefferson College), young Mayor Luke Ravenstahl officially announced his plan last week (after several weeks of what felt like incredulous rumors flying around the Three Rivers area) to prop
ose a “privilege tax” of 1% upon the privilege of paying college tuition. As a caveat, it’s interesting to note here that Pennsylvania state colleges are some of the most expensive to be found in the U.S., and this move within the city of Pittsburgh could make public and private colleges alike – such as Carnegie Mellon University, the University of Pittsburgh, Chatham University, and a host of other excellent and highly respected schools in this college town – all the more unaffordable.
Transparency is a virtue, so I will happily admit that I currently pay tuition for my son’s Pittsburgh-based college education and I’m a (usually) proud alumna of the University of Pittsburgh (Go, Panthers!). But even absent these biases, it struck me that this proposal could be the sometimes penny-smart-life-experience-poor mayor’s lamest idea to date. Seriously.
Pittsburgh has long suffered from the persistence (and explosion as of the past several years) of tax-exempt organizations in its midst (remember, it’s a college town of churches and bars, as noted here, but also hospitals and other organizations). So while the City has let organizations such as Highmark Blue Shield and UPMC grow into the tax base erosion demons that some people see them to be (and, no, the City has never landed upon a proper, fitting solution with sticking power), it’s going after college students to fill its budget holes. Unbelievable!
I’ve got a huge project to turn to right now, but will be happy to delve deeper into the plan with those who email me. In the meantime, don’t miss the excellent reporting by Pittsburgh Post Gazette’s Rich Lord, found here. 
Filed under: Taxability Tagged: | education privilege tax, Mayor Ravenstahl, Pittsburgh, privilege tax
Maybe I canz aford collage nex yaer.
I absolutely could not agree more on this unbelievably preposterous plan that only someone Ravenstahl’s age could conceive, let alone actually stake a claim as something that makes good, sound sense. It’s obvious that young and extremely foolish Ravenstahl has never had the burden or challenge of actually paying for his own college education by working three jobs to make ends meet while carrying a full course load. Had he any knowledge in this arena, he would be too ashamed to make such lame-ass, completely ignorant and dim-witted statements such as the following: “We don’t believe that [1%] is too burdensome on college students.” (Quoted from this article) Hello! Is anyone at all home in Ravenstahl’s head? No, I don’t believe so because if there happened to be, he would realize that ANY increase (regardless of what percentage point) is TOO much of a burden on ANY student trying to finance his/her own education! The cost of an education today is already TOO much of a financial strain to anyone attempting to obtain one! Wake up and smell the coffee and accept the fact that not everyone has everything in life handed to them on a silver platter. Ravenstahl—You are a complete MORON and Miss Azeff, you are a complete GEM for taking the time to call out just one of the many idiotic individuals in this country making political decisions that benefit only a very miniscule percentage of the population who happen to be born with silver utensils in their mouths.
Here is the link to that article I mentioned above: http://www.post-gazette.com/pg/09313/1011971-53.stm
I absolutely adore your writing and thank you for always making me chuckle with your well thought-out and extremely well-written articles on something as DULL as taxes. I loathe the subject (and most of the people involved in this industry, mind you) but completely enjoy your opinionated and highly researched articles.
Thanks so much!
As a resident of a suburb of Pittsburgh, I am consistently amazed at how idiotic Mayor Ravenstahl is. He obtained the position by pure luck and I have NO idea why people keep electing him except that he’s a Democrat and the city is Democrat dominant. Why can’t people just ignore the party lines for once?
None of this surprises me, though, after Allegheny County enacted the tax on people who live OUTSIDE of the county and work inside of it. Can’t recall it’s name, but it’s a tax for the privilege to work there. Whatever.
I agree with your critique of this PGH mayor. Stupidest decision I ever “seen” and I’m a “yinzer”. Great reporting on Sales Tax Buzz.com.