Disappointed over AVI failure, Nutter notes positives of City Council budget

Philadelphia Mayor Michael Nutter says he’s not wild about the budget sent to him by City Council, but says it has some good points.

“This funding will improve our neighborhoods, strengthen our city departments, and invest in some focused fundamental services. There is still, of course, much work to be done,” Nutter said.

The mayor said he was disappointed that City Council did not pass the controversial Actual Value Initiative.

“Of course, I would have preferred to have AVI go into effect this year,” Nutter said.

Under AVI, all homes and businesses would have been re-assessed for property tax purposes by fall and then new tax rates set.

Instead, the assessments are moving forward, but won’t be used until the next budget year.

Nutter did not say whether he would sign the budget which does raise the use and occupancy tax $20 million and property taxes by $20 million.

That new revenue will be assigned to the school district, but it’s less than half the $94 million increase Nutter and the school district requested.

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