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State Association Questions Fairness of Mayor Ravenstahl's Proposal

Posted : Mon, 09 Nov 2009 21:54:04 GMT
Author : Association of Independent Colleges and Universities of Pennsylvania
Category : Press Release
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HARRISBURG, Pa., Nov. 9 /PRNewswire/ -- The president of the Association of Independent Colleges and Universities of Pennsylvania (AICUP) today responded to Pittsburgh Mayor Luke Ravenstahl's announced plan to impose a "Post-Secondary Education Privilege Tax" on the students attending his city's colleges and universities.

AICUP President Dr. Don Francis said: "If enacted, this proposed tax on students would be very damaging to students, the institutions they attend, and the economy of Pittsburgh. The mayor talked about 'fairness' in his remarks introducing this tax, but is it fair to ask students who have been hit hard by these tough economic times and who already take out loans to pay for their education to assume even more debt in order to pay his tax on their tuition? Eighty-seven percent of the students attending private colleges and universities in Pennsylvania receive financial aid. They rely on grants from the state and federal governments, gifts from donors, alumni, and other institutional aid and still need loans to pay their bills. In other words, they don't have the money. Yet Mayor Ravenstahl wants to solve his budget problems by taxing this financially stressed group of students. I can't find fairness in this proposal."

"Institutions of higher education in Pittsburgh would also be damaged by this proposal. Pittsburgh has developed an excellent reputation as a college town and attracts students from around the nation and the world to its excellent colleges and universities. The quickest way to ruin Pittsburgh's emerging reputation as a college town is to become the first city in the nation to tax its students. This will do real damage to one of Pittsburgh's 'growth industries.' For over 250 years, tax exemption has been accepted as a fair and reasonable contribution for local governments to make in Pennsylvania and throughout the country. If we now remove the contribution of local government by allowing them to impose taxes on students, then the other contributors will have to pick up the burden. This is neither fair nor appropriate."

"Based on an analysis our Association performed in 2003, the private colleges and universities in the Pittsburgh area had an economic impact of $2.6 billion in the metropolitan Pittsburgh area alone. This does not count the large economic benefit provided by the Community College of Allegheny County or the University of Pittsburgh. One distressing aspect of Mayor Ravenstahl's proposal is that it would jeopardize the enrollment of these institutions and the economic benefits they currently provide."

About AICUP:

The Association of Independent Colleges & Universities of Pennsylvania (AICUP), the only statewide organization that serves exclusively the interests of private higher education within the Commonwealth, exists to complement and support the work of campus leaders. With a membership of 87 private colleges and universities within Pennsylvania, the Association provides a variety of services and programs tailored specifically to the needs and situation of independent higher education. A list of AICUP's member colleges and universities is included on its website at www.aicup.org.

    For Details, Contact:
    Don L. Francis
    President
    Phone:  717-232-8649
    Fax:  717-233-8574
    Email: francis@aicup.org
    Website:  www.aicup.org

SOURCE Association of Independent Colleges and Universities of Pennsylvania


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