Thursday, February 27, 2025
Story Suggests Pittsburgh is Losing in Effort to tax Charitable Properties
Local news in Pittsburgh focused on efforts by the Mayor to challenge the exemptions of large nonprofits in the community. Appears those efforts have been unsuccessful.
From the story:
"It's been nearly two years since Pittsburgh Mayor Ed Gainey vowed to challenge tax exemptions for large nonprofits, hoping to raise millions in tax revenue. Action News Investigates has learned the city has won only a small fraction of those challenges. "The ones that are living up to their obligations of being purely public charities, OK, but the ones that are not, they need to pay their fair share," Gainey said in March 2023. Gainey targeted some of the city's most prominent nonprofit properties, including UPMC Children's Hospital, Allegheny General Hospital and Pitt's Petersen Sports Complex.
His lawyers argued that these and dozens of other properties – including UPMC Magee Women's Hospital, Magee-Women’s Research Institute and Duquesne University's parking garage – did not meet state requirements for so-called purely public charities. However, Allegheny County assessment officials do not agree with the mayor's argument.
Records show that nonprofit properties challenged by the city are assessed at $877 million. However, the city won challenges for properties assessed at just $11.7 million – less than 2% of the total challenged."
Philip Hackney
https://lawprofessors.typepad.com/nonprofit/2025/02/story-suggests-pittsburgh-is-losing-in-effort-to-tax-charitable-properties.html