News

Hearing wraps up over Harrisburg receiver's request to increase taxes

Written by The Associated Press | Aug 23, 2012 9:55 PM

(Harrisburg) --  A judge is considering a state appointee's request to force Pennsylvania's cash-strapped capital to increase taxes, arguing it's necessary to help the city pay its bills.

Before it ended, today's six-hour hearing before Commonwealth Court Judge Bonnie Brigance Leadbetter also included arguments by lawyers for Harrisburg's City Council that there's no legal authority to force the city to raise taxes.

Governor Corbett's appointee who is managing the city's finances wants to double the city's 1 percent earned income tax as part of a fiscal recovery plan. City Council members are refusing to approve it.

The city is deep in debt over a costly renovation of its municipal trash incinerator, and it's facing a cash shortfall. Corbett signed a law last year that authorized the unprecedented state takeover of Harrisburg.

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