In the past decade, Pittsburgh has accomplished much: East Liberty was revitalized, the river fronts were beautified, and it's received many accolades from the press, including the United States’ most liveable city. Through all of this, however, the city was in a precarious financial position.
For 10 years Pittsburgh has been under Act 47 oversight for distressed municipalities. For all its improvements, the city has yet to implement a comprehensive financial management system to address legacy costs of debt, pensions, post retirement benefits, workers compensation along with a financially viable long-term capital plan.
Mayor Bill Peduto asked Gov. Tom Corbett in January to keep Pittsburgh under Act 47 state oversight for financially distressed municipalities, saying that while city finances have improved, more economic reforms are needed.
Last week the Intergovernmental Cooperation Authority, one of two oversight boards for Pittsburgh, called for the city to reduce services by 20 percent. Peduto responded to this while explaining how difficult it has been to get the city’s finances in order.