• Font Size    

Benefit Hockey Game Honors Fallen Hero
E-mail

Close Window E-mail This Page

Surplus From Allegheny County Drink Tax Debated

Required fields are marked with an asterisk(*)

The information you provide will be used only to send the requested e-mail and will not be used to send any other e-mail communications. Read more in our Privacy Policy

Send E-mail

   Print     Share +   
Dec 29, 2008 5:40 pm US/Eastern

Surplus From Allegheny County Drink Tax Debated

Reporting
Harold Hayes
PITTSBURGH (KDKA) ― The controversial drink and car rental tax in Allegheny County brought in more than the $32 million that it was expected to collect.

Now a judge heard arguments and must decide what will happen with the $12 million surplus.

The drink tax will be reduced in 2009, but opponents of the tax went to court, claiming the county isn't using the money for its legally-intended purpose.

"We're very hopeful that the court will find this money was restricted specifically for use by the Port Authority and hopefully the court will restrict the use of the funds for the general county budget," Restaurant owner Kevin Joyce said.

The county says it could use the $12 million excess for not only the Port Authority, but for debt service related to roads and bridges and that interest earned from the tax collection can be sent to the general fund.

"They'll use interest for any kind of county expenditure without restriction," says Allegheny County Councilman Charles McCollough, a Republican. "They intend to use about $4 million of this for bond issues, some of them dating back to 1999 which they now tell us today has some benefit for the Port Authority.

"The balance of it, they're putting towards roads and bridges which frankly boggles my mind to suggest that that has anything to do with the Port Authority," he added.

"Because I think we're doing the right thing by using it as the county budgeted it for – for debt service only for roads and bridges and for Port Authority," Allegheny County Solicitor Mike Wojcik said.

Judge Judith Olson is expected to make her decision in the next few weeks.

(© MMIX, CBS Broadcasting Inc. All Rights Reserved.)

Featured Slideshows On KDKA.com

You need the latest Flash player to view video content.
Click here to download.

Click here to bypass this detection if you already have the latest Flash Player.

Politics

Top News Stories

© MMIX, CBS Broadcasting Inc. All Rights Reserved.