The newly-imposed drink tax, affectionately known as the "Onorato tax," is doing its part to show people that suburban restaurants and bars are also more appealing. The 10 percent tax applies to poured alcohol, a six-pack to go at a bar, open and cash bars at wedding receptions, alcohol at festivals, alcohol at private parties if the caterer has a liquor license and clubs which charge an entrance fee if there is an open bar.
The tax forces owners of establishments to pass this on to customers or take the impact themselves.
Revenue from the tax, projected to bring in $30 million, is earmarked to pull the county transit authority out of a huge deficit.
It seems as though it is the consumer who is continually being hit the hardest by the financial constraints of the Allegheny County Port Authority. Fare increases on buses and the T took effect the same day as the drink tax. What was once free parking at the South Hills Village stop on the subway is now chained off, forcing riders to pay for parking.
What has not been done is cutting the high salaries being paid out to the more than 3,000 Port Authority employees. The 2007 budget estimated $138 million for wages, an average of $46,000 per employee. A study done by one newspaper of the 2005 salaries indicated one driver earned nearly $91,000, with 42 drivers making $70,000 or more. An estimated $3 million in salaries is allocated for the 54 Port Authority police officers, an average of more than $55,500.
A report released several months ago by the Pennsylvania Economy League of Southwestern Pennsylvania indicated wages and benefits for the Port Authority were out-of-line in comparison with those not only across the state but also across the country.
Port Authority officials say their hands are tied because the majority of the employees are union members. The contract with the union expires at the end of June.
In the meantime it is the public and other Allegheny County businesses which are forced to suffer. Consider the owner of a small restaurant or bar. Not only do they have to compete with big chains which have infiltrated western Pennsylvania recently, now they must tack on an additional charge for a glass of wine or mug of beer without seeing any of that profit.
It is a personal choice to pay the tax or not - because it is a personal choice to drink alcohol. It is also a personal choice to go out for dinner or a cocktail in Allegheny County or in any of the outlying counties where there are just as many good establishments.
Imposing this tax on alcohol is a little like robbing Peter to pay Paul. The only difference is Peter is a private business working hard to meet payroll, keep customers happy and earn a living. And Paul is a county agency which has always been short-sighted in its ability to make ends meet without reducing services or increasing fees.