PITTSBURGH -- Allegheny County residents can join businesses in an effort to scale back the county's 10 percent tax on poured alcoholic drinks.

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Starting Tuesday, a group of bar and restaurant owners called Friends Against Counterproductive Taxation said it would spend seven weeks trying to gather 50,000 signatures on a petition to put the drink tax, which was backed by Allegheny County Chief Executive Dan Onorato, on a referendum in November's election.

Any county resident who is a registered voter can sign the petition, which could force the issue to the November ballot if enough people sign. The campaign is called "Whiskey Rebellion II: Axe the Drink Tax."

The petition does not seek to entirely get rid of the drink tax, rather to reduce it to about 1 percent, which is believed to still raise about $2.5 million for the county.

An "Axe the Drink Tax" fundraiser was held Tuesday night at The Priory Grand Hall on Pressley Street on Pittsburgh's North Side. Channel 4 Action News reporter Jon Greiner reported that many of the attendees have jobs in the hospitality industry.

"For us, the cost of the event to our client goes up $500, $700, $1,000. So, it's expensive when you have a single payer. So, we are indeed feeling an effect," said Grand Hall owner John Graf.

Additionally, the tax's effect is spilling over into surrounding jurisdictions. Some people said they attended the rally because they think the tax is unfair.

"We go to different bars and restaurants and we think it's ridiculous that you have to pay the 10 percent tax just on drinks and we're kind of afraid that if we don't do something about it in Pittsburgh, it may come to Butler," said Russ Brown, who lives in Butler County.

According to Onorato's press secretary, he also accepted an offer to debate some F.A.C.T. members on the drink tax. No date or time has been set.

If the issue ultimately makes its way onto the ballot, Onorato said, "I'm going to be very honest that if this gets repealed, I've got to give $30 million of your money, Mr. and Mrs. Public, and it's coming out of property taxes, and I don't want to raise your property taxes. That's going to be the discussion we're going to have."

Beginning Wednesday, 138 bars and restaurants throughout Allegheny County plan to have the petitions for patrons to sign. The group needs to gather more than 23,000 signatures by Aug. 5.

What Does The Tax Fund?

The drink tax, along with a $2-a-day rental car tax, was brought about to help fund the county's annual subsidy of the Port Authority public transit agency.

But according to WTAE Channel 4's news exchange partners at the Pittsburgh Tribune-Review, Onorato is thinking about using some extra money from those taxes to fund road and bridge projects in the future.

"This unfair tax was never about saving mass transit, it was meant to shore up a huge deficit in Allegheny County’s general operating fund due to mismanagement," the F.A.C.T. Web site stated.

"This is hurting people's livelihoods," said Tom Baron, president of the Big Burrito restaurant group. "Our industry has been targeted. We are feeling the effects from it."

Treasurer: County Taxes To Increase Anyway

County Treasurer John Weinstein said the two new taxes are on pace to raise about $40 million this year. Originally, it was believed they would raise about $31 million.

Act 44, the state transportation bill that enabled the county to enact those taxes, may be somewhat open for interpretation by Onorato.

"I interpret it myself as that they can take that money, as long as they're using it for transportation purposes," said state Rep. Joe Markosek, D-Monroeville, who chairs the House Transportation Committee.

County Councilman Charles McCullough, R-Upper St. Clair, has suggested cutting the drink tax to 5 percent in June and eliminating it in January.

Onorato said he would not consider doing that until the county talks about budgeting in the fall. He has repeatedly said that raising property taxes is the only alternative to the drink tax.

"I don’t think too many people change their plans and say, 'I'm not going to have a glass of wine with dinner because there's a drink tax on it.' They go ahead and have a glass of wine," Markosek said.

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