Key Takeaways
- • Allegheny County's pension system faces a $1.4 billion shortfall, according to a new report released Thursday, July 16, 2026, by County Treasurer Erica Rocchi Brusselars.
- • The report calls for an additional $100 million per year over the next 20 years to keep the pension solvent.
- • The report suggests large increases in at least one of four broad-based taxes: property tax, earned income tax, sales tax, or payroll tax, though no decision has been made.
- • The proposal follows last year's large property tax hike, adding pressure on taxpayers as the county addresses the underfunding.
- • County Executive Sara Innamorato says the underfunding took more than 20 years to develop and will require a multi-year, collaborative strategy.
Summary
Allegheny County faces a significant financial crisis in its pension system, which is seriously underfunded and requires substantial new cash infusions to avoid depletion. According to a new report released Thursday, July 16, 2026, the shortfall has reached $1.4 billion, according to KDKA-TV, the CBS Pittsburgh affiliate that first reported the findings.
The report, authored by Allegheny County Treasurer Erica Rocchi Brusselars, concludes that the pension requires a steady stream of new revenue of approximately $100 million per year for the next 20 years to remain solvent. The report acknowledges that few good options exist and points to taxpayers as the primary source of relief. It suggests large increases in at least one of four broad-based revenue sources: property tax, earned income tax, sales tax, or payroll tax. The proposal arrives after last year's significant property tax increase.
Rocchi Brusselars told KDKA Lead Investigator Andy Sheehan that no decision has been made on which tax will be raised, but she described the underfunding as "a big problem" requiring immediate attention.
County Executive Sara Innamorato said the current level of underfunding took more than 20 years to develop and will require "a multi-pronged collaborative strategy" over several years. She said the administration is not deferring the issue, stating that it is acknowledging the challenge and seeking a collaborative solution.
The report, authored by Allegheny County Treasurer Erica Rocchi Brusselars, concludes that the pension requires a steady stream of new revenue of approximately $100 million per year for the next 20 years to remain solvent. The report acknowledges that few good options exist and points to taxpayers as the primary source of relief. It suggests large increases in at least one of four broad-based revenue sources: property tax, earned income tax, sales tax, or payroll tax. The proposal arrives after last year's significant property tax increase.
Rocchi Brusselars told KDKA Lead Investigator Andy Sheehan that no decision has been made on which tax will be raised, but she described the underfunding as "a big problem" requiring immediate attention.
County Executive Sara Innamorato said the current level of underfunding took more than 20 years to develop and will require "a multi-pronged collaborative strategy" over several years. She said the administration is not deferring the issue, stating that it is acknowledging the challenge and seeking a collaborative solution.
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