by KYW's Mike Dunn
Less than two weeks before he unveils his new budget, Philadelphia mayor Michael Nutter has privately shown proposals to City Council members that include temporary hikes in the city's sales tax and property tax.
The proposal obtained from a City Council source calls for a temporary, 17-percent increase in property taxes that would be in effect for two years.
Nutter is also suggesting a one-percent increase in the city's sales tax for three years; that would also need state approval.
If approved, the property tax hike would bring in an additional $272 million and the sales tax increase would bring in about $335 million.
The mayor also has laid out to Council members draconian cuts to services that may be needed if Council is unwilling to approve the tax hikes -- including closure more fire department companies and reductions of police overtime.
Nutter has not made these proposals public, but he says Council must be willing to make some tough choices:
"Change is hard, but it also requires leadership. And this is a time for elected leaders to lead."
Nutter unveils his budget on Thursday, March 19th. He needs to close a deficit estimated at at least $1 billion over five years.
E-Mail Story
Print Story
