Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget Tax Bills topic
No spam. Unsubscribe anytime.
Council hears FY2027 budget measures and tax ordinance proposals including ride-share, retail delivery and cell-tower levies
Summary
Council heard titles and took questions on a package of FY2027 operating and capital budget measures (bills 260199–260206, 260208–260209) and resolution 260227, and administration officials answered questions about where existing liquor, cigarette and beverage tax revenues are allocated and estimates for a proposed cell-tower tax.
Philadelphia City Council’s Committee of the Whole held a public hearing on a package of FY2027 operating and capital measures and related tax ordinances, and councilmembers questioned administration officials about revenue uses and near-term impacts.
Clerk read a set of bills and a resolution on the record, including:
- Bill 260199: An ordinance adopting the operating budget for fiscal year 2027. - Bill 260200: An ordinance to adopt a fiscal year 2027 capital budget. - Bill 260201: An ordinance to adopt a capital program for fiscal years 2027–2032. - Bill 260202: An ordinance amending the hotel room rental tax to provide an additional excise in certain circumstances. - Bill 260203: An ordinance amending building construction and zoning-board fees and hearing scheduling. - Bill 260204: An ordinance amending the air management code to modify license and permit fees. - Bill 260205: An ordinance clarifying imposition of realty use and occupancy tax with respect to cell towers. - Bill 260206: An ordinance amending asbestos-fee provisions and related fees. - Bill 260208: An ordinance amending school tax authorization to add a section authorizing the School District of Philadelphia to levy a ride-share use tax on prearranged rides originating in Philadelphia. - Bill 260209: An ordinance to add a chapter establishing a retail delivery tax on deliveries of tangible goods in Philadelphia. - Resolution 260227: A revised five-year financial plan for FY2027–2031 incorporating FY2026 revisions for submission to the Pennsylvania Intergovernmental Cooperation Authority.
Finance Director Rob Dubow told council that liquor and cigarette taxes are dedicated to the School District and "will always" go to the district under current arrangements. On the beverage tax and Rebuild program, Deputy Managing Director Aparna Polantino and Dubow said that beverage-tax proceeds have been used to support debt service on prior Rebuild borrowing and to fund pre-K and community schools; the most recent borrowing was issued within the last year and bonds are amortized over roughly 20 years, so those debt-service obligations extend for nearly two decades.
Councilmembers sought clarity about when new beverage-tax revenues would fund new capital projects beyond the original 72 Rebuild sites; staff said many Rebuild projects are still underway and that new capital projects appear in the capital program funded from other general-fund sources.
On the proposed cell-tower/realty-use tax, Revenue Commissioner Kathleen McColgan said property-assessment data from the Office of Property Assessment (OPA) includes bandwidth information that can be used to calculate a separate line item for tax purposes; the administration estimates roughly $1.2 million for the partial FY27 implementation (targeted January 2027 start) and $2.4 million for a full fiscal year.
Councilmembers also asked about a $1 million public-property warehouse-space line item; budget staff (Sabrina Maynard) said the item may be mislabeled and pledged to provide details and follow up at callbacks. Other capital and program questions included the status of bus-depot siting (stakeholder feedback favored 30th Street Station) and the disposition of beverage-tax-funded projects and debt service.
There were no formal votes recorded during the morning session; council recessed for callbacks and scheduled additional department responses at 1:00 p.m.
