PITTSBURGH -- Pay more to go out for a drink? Or dig deeper for property tax? You may not like either choice, but that was the decision facing Allegheny County Council on Tuesday night.

Deciding against raising property taxes, the council instead voted in favor of Chief Executive Dan Onorato's 2008 budget proposal, including a 10 percent tax on poured alcoholic drinks.

"Those are the only two options we have tonight. No one brought forth anything else," Council President Rich Fitzgerald said.

In addition to the drink tax, Onorato's budget also calls for a $2-per-day tax on car rentals. The new tax money will help fund the county's $30 million Port Authority subsidy, which is essential for the authority to get matching funds from the state.

The Pennsylvania Restaurant Association said it will file a lawsuit to stop the drink tax. For months, The group had campaigned hard against

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Web Poll: Drink Tax Or Property Tax? Cast Your Vote Here

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Taxing drinks is an issue that has generated strong opposition from the people doing the pouring.

For months, customers have seen "Stop Drink Tax" fliers posted in bars and restaurants across the county. There's also a Web site, stopdrinktax.com.

The Pennsylvania Restaurant Association plans a lawsuit to block the drink tax. The group said it commissioned a study that shows the tax could hurt business across the board, and in some cases, force owners to close their doors for good.

But Onorato said a drink tax is better than increasing property taxes. He said a drink or property tax were the only two options provided by Harrisburg to help fund public transit, and he had publicly vowed to veto any bill that included a property tax hike.

"It's (a choice between) the lesser of the evils, I guess is the best way to say it," Fitzgerald said.

The state Legislature dictates which taxes Allegheny County may create or increase to fund its subsidy to the Port Authority.

"People talk about why not a sales tax, or why not an income tax, a transfer tax or a user fee? We don't have those options," Fitzgerald said.

Previous Stories:

• December 3, 2007: Port Authority Spending Slammed Again Before Vote On Drink Tax
• November 1, 2007: Drink-Tax Debate Continues
• October 10, 2007: Allegheny County To Lay Off 200; Tax On Poured Drinks Supported
• July 3, 2007: Drink Tax To Cover Transit Doesn't Sit With Bar-Goers

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