Allegheny County Council last week tossed its own idea into the debate over how to get nonprofit organizations to provide a greater share of funding for government services. It was a curious measure, quickly vetoed by County Executive Dan Onorato.
The ordinance adopted Wednesday would have assessed a fee of $200 on every 1,000 square feet of buildings that sit on tax-exempt land, and it could have applied to as many as 25,000 properties excluding churches, schools and government buildings.
If this assessment were legal -- and as simple as the ordinance suggested -- it would have been imposed long ago. It was not surprising that a review by the county's Law Department concluded it wouldn't pass muster in a court challenge, and council now should abandon any attempt at a veto override.
Beyond the question of legality, passage of this legislation points to the broader problem of the lack of a coordinated approach that addresses the needs of both the city and county in approaching the nonprofit community, an effort that will have to be both legal and feasible.
Even as County Council was adopting its legislation, Pittsburgh Mayor Luke Ravenstahl is attempting to win approval for a plan to bolster the city's underfunded pension plan by putting new fees on hospital admissions, university enrollment, water use by nonprofits and all-day parkers. For his part, Mr. Onorato wants to take the next year to develop a plan to collect $4 million from tax-exempt organizations, with input from the nonprofit community.
The three competing proposals have the same goal at their core: getting more dollars from institutions that occupy sizable tracts of land within the city and the county and yet are exempt from most local taxation.
The city and the county need a strategic approach. They're probably only going to get one bite out of this apple, so they'd better take it carefully and make it count.
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