Public hearings scheduled about how to spend Pittsburgh's $335M in relief cash

The debate over how to spend the $335 million Pittsburgh is set to receive under the American Rescue Plan enters its public phase Saturday, when city council holds the first of two hearings on a proposal released last week by Mayor Bill Peduto’s office.

The hearing, set for 10 a.m., is paired with another hearing at 6 p.m. Monday. Both are online and those who want to speak before council need to call the clerk’s office at 412-255-2138. The hearings will be streamed on the city’s YouTube channel.

The mayor’s office released its proposed spending plan June 28. It had input from the Pittsburgh Recovery Task Force that included council members Theresa Kail-Smith, Ricky Burgess and R. Daniel Lavelle.

The task force was formed at Burgess’ and Lavelle’s behest as a watchdog over the discretionary money in the city’s allocation. It will use a “racial equity lens,” Burgess has said, to ensure that the city’s Black neighborhoods received investment.

On Tuesday, council members grilled Dan Gilman, Peduto’s chief of staff, and other administration officials for two hours about how the proposal was crafted and to detail the projects the city is prioritizing.

Council also hired the North Shore-based accounting firm Maher Duessel for $200,000 to vet the proposed spending plan and help the city navigate the federal guidelines that come with the money, which is intended to help cities recover from the financial impacts of the pandemic.

The money can’t be used to prop up pension plans or reduce taxes.

RELATED: Proposed plan for $335 million in federal relief

In Pittsburgh’s case, more than half of the $335 million will be used to restore city operations to their pre-pandemic levels, reversing funding cuts. Had the law not been enacted, the city would have laid off more than 600 employees because there wasn’t enough money in the 2021 budget to pay them.

The city is also providing retroactive 3% raises to nonunion employees, filling positions that were left vacant because of a hiring freeze and otherwise covering the financial losses because of the pandemic.

“There’s very little concern when it comes to that,” said Chris Rosselot, policy director for the the Pittsburgh Community Reinvestment Group.

The PCRG is a coalition of nonprofits and community organizations that works toward economic justice and equitable investment practices for its members, Rosselot said.

“That’s why this is extremely important to our members,” he said.

Rosselot, of Spring Garden, is a former city council candidate who also worked as an aide to Sen. Bob Casey, D-Scranton.

He’s working to “dissect” the proposal now so the group can provide input at one of the public hearings.

One of the biggest takeaways from today’s Post Agenda. https://t.co/JEwH3kUzNf

— Chris Rosselot (@pittcowboy) July 6, 2021

“We’re working to formulate a response and get feedback from our members,” Rosselot said.

City Controller Michael Lamb will also be monitoring the city’s spending of the cash. Last week, Lamb was critical of how the Peduto administration crafted the plan to span four years — through 2024.

Peduto lost in the Democratic primary to state Rep. Ed Gainey, and his term as mayor will end Dec. 31.

There is an urgent need for the money and a plan to use it needs to be crafted as soon as possible, Gilman said,

The plan can also be amended at any point in the future, pending council approval, Gilman said.