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THE PHILADELPHIA STORY

F%$ing brilliant. Increase the sales tax in the city of Phila and defer pension contributions so a bunch of lazy good for nothing union employees can continue to make Phila not safe, not clean, and not well run. Would anyone in the entire city notice that 3,000 city workers had been layed off, rather than seeing a surge in bar business?

Let's see. I work in Phila but live in the suburbs. The City sales tax is now 8%. It is 6% in the suburbs. Why would I buy anything in Phila? Merchants will now lose business and go bankrupt. The city will end up collecting less sales taxes. Their solution will be to raise it to 9%.

Deferring pension contributions on pension plans that are already terribly underfunded sounds like a great "solution". This city and this state are F$%ed Up. Guess who has run the city government in Phila for decades? DEMOCRATS. Who runs the PA state government? DEMOCRATS. Who is the governor of PA? Fast Eddie Rendell - DEMOCRAT and former mayor of you guessed it Philadelphia.  

  • SEPTEMBER 17, 2009, 6:14 P.M. ET
Philadelphia Avoids Layoffs, Cuts After State OKs Tax Hike

Philadelphia avoided layoffs of nearly 3,000 employees and steep cuts in services at libraries, recreational centers and health centers after state legislators approved a temporary sales tax increase and pension relief for the city Thursday.

Mayor Michael Nutter called the legislature's approval "a great win for the citizens of Philadelphia." The legislation allows the city to increase the sales tax by 1% for five years and to defer pension contributions.

Earlier this month, the city agreed to a $275 million loan from JPMorgan Chase & Co. (NYSE:JPM) in an effort to temporarily stem its mounting cash flow problems.

The second-largest city on the East Coast after New York is suffering from the recession that has squeezed states badly and has forced cities and other municipalities that depend on state aid to implement drastic measures.

-By Kathy Shwiff, Dow Jones Newswires; 212-416-2357; Kathy.Shwiff@dowjones.com