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Property tax primer

Published by Tim McNulty on .

Beatles, TaxmanNow that Mayor Luke Ravenstahl has proposed a 30 percent cut in the city's property tax rate -- in the wake of a 48% increase* in taxable values citywide -- here's a reminder on how to calculate tax bills using millage rates.

Every mill equals $1 in tax for every $1,000 in property value. Basically you take the decimal point on the millage rate and move it three spots over to the left, and multiply that number against your home value. The city's proposed new rate is 7.56 mills so your multiplier is going to be .00756.

Let's say your house is valued here at the Allegheny County assessment site at $222,000. Multiplied by .00756 the city taxes will be $1,678.32. (Homeowners may be able to take $15K off their value before multiplying the rate in the new "homestead exemption" break the mayor proposed. The current exemption is $10K. Low-income senior homeowners get an additional break.)

The current property tax rate is 10.8 mills. For argument's sake let's say pre-reassessment your home was valued 48% less at $150,000. The taxes would have been pretty close to the same at $1,620. This is why the mayor said his new rate is "revenue neutral," and why you could be seeing a cut in your tax bill if your home value was increased less than 48%.

Don't forget: if you're a homeowner in Pittsburgh (or anywhere else for that matter) you also have the privilege of paying county and school district property taxes too. The new Allegheny County millage rate is 4.73 mills and the city schools are looking at a rate of 9.33 to 9.48 mills.

You may not pay these directly. Some homeowners have the property tax bills sent home, but others have them issued to their mortgage holder and wrapped into those payments.

* Note: Officially city values went rose 48% from $13.6 to $20.2 billion. The mayor's office says when "existing tax reductions" are taken into account (perhaps appeals?) the new total taxable value is $16.9 billion, or an increase of 24%.

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Castille to run; Depasquale not

Published by Tim McNulty on .

Via PoliticsPA, Pa Supreme Court Chief Justice Ronald Castille will run for retention this year, which is significant because he will turn 70 next year and be forced to step down. Should fellow Justice Joan Orie Melvin be convicted on corruption charges that could give Gov. Tom Corbett the chance to appoint two justices to the high court (pending a 2/3 Senate confirmation). Both Castille and Melvin are Republicans.

One day before he gets sworn-in as Auditor General, Eugene Depasquale is squashing any talk he could run for the Democratic nod for governor in 2014. From his office:

Harrisburg – During my campaign for auditor general, I pledged to be an independent fiscal watch-dog who wouldn't allow politics to overshadow or compromise the integrity of the important work that will be required of my office over the next few years.

That is why prior to taking the oath of office tomorrow I am declaring that I will not be a candidate for governor in 2014.

The people of Pennsylvania elected me to be a tough, fair and independent watchdog. That's what I intend to do from day one.

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Rothfus & Sandy, Part 2

Published by Tim McNulty on .

The House is due to take another vote on Hurricane Sandy relief tomorrow, this time on a two-part package totalling $50 billion.Keith Rothfus

All eyes around Pittsburgh will be on new congressman Keith Rothfus, who voted against the last $9.7 billion package due to complaints about its impact on the national debt and the structure of nation's flood insurance program.

Rothfus, a Sewickley attorney, took a beating for the vote in the Letters to the Editor of the P-G. Jake Sternberger at the liberal site Keystone Politics wraps up some of the letters and adds:

. . . The truth is that we really can't be mad at Congressman Rothfus for voting exactly how he promised to vote during the campaign.

Rothfus was completely honest with voters about his Tea Party positions, and the voters were enthusiastic about severe spending cuts and limiting the role of government. This is precisely what the voters elected Rothfus to do, and precisely what Rothfus promised to deliver.

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Pgh property taxes, police in news

Published by Tim McNulty on .

Mayor Luke Ravenstahl is set to have an 11 a.m. press conference this morning regarding this year's property reassessments and "measures the Mayor will take to ensure property owners are not taxed out of their homes." This could include setting the city's property tax rate (which by law will have to be cut in something like half to comply with anti-windfall law) or perhaps a new homestead exemption tax break.

The mayor will also likely face questions on the latest Pittsburgh police news: early Sunday morning five off-duty officers working bar details in the South Side shot at a car in a police chase on crowded Carson Street. No bystanders were injured, but the driver and a passenger were in serious condition.

Here's my story on the other big police in the news. It looks like domestic violence was at the heart of a murder-suicide over New Years when a woman called 911 but police left her Larimer home before talking to her. But the public cannot check the call to judge police response to the domestic matter: ironically 911 calls are not public record due to confidentiality rules that Pennsylvania victim advocates lobbied for.

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Jackpot! Session begins with bang

Published by Tim McNulty on .

The Corbett administration welcomes the state legislature back to work today by surprisingly awarding a 20-year lottery privatization contract to a British firm. The announcement came late Friday, and the Senate has a hearing today. Corbett staffers are due to meet with reporters this afternoon. From Laura Olson:

In an end-of-the-workday email to lottery workers, Revenue Secretary Dan Meuser said the contract with Camelot Global Services PA LLC is expected to be given final reviews and signed next week.

"We're confident that by combining one of the nation's best lotteries with one of the best private-sector lottery industry experts in the world, we'll end up with a win-win proposition to grow and protect Lottery profits for decades to come," Mr. Meuser wrote.

In a brief statement Friday evening, the Corbett administration said issuing the award notice allows state officials "to disclose contractual and procurement details" about the management contract during a Senate hearing scheduled for Monday morning.

If you haven't read it yet, check out Pittsburgh City Paper's study of just how much keno games (which are part of the privatization plan) would expand gambling in the state.

Gov. Corbett has some of the worst midterm poll numbers in the country, but he could turn things around by 2014 writes Jim O'Toole:

While it's impossible to know for sure -- the current recovery could be derailed by Washington budget brinkmanship or other outside factors -- it seems more possible that by 2014, Mr. Corbett will join the string of Pennsylvania incumbents boosted by an economic tailwind.

If so, that would be the second election in a row in which the economy, in contrasting ways, boosted Mr. Corbett's political fortunes. In 2010, it was a bad economy that aided his candidacy, as he rode the wave of discontent that boosted GOP candidates all over the country.