PITTSBURGH — Pittsburgh Mayor Bill Peduto's first proposed budget includes a half-mill property tax increase that will cost homeowners about $40 for each $100,000 their property is worth. That factors in discounts including homestead exemptions.

Peduto presented his $505.9 million proposal Monday to the Intergovernmental Cooperation Authority, a state-created board designed to oversee the city's finances while it remains under Act 47, or “financially distressed” status. The board and, eventually, City Council must approve the spending plan.

Peduto blamed the tax hike — which should raise about $8 million — on the administration of former mayor Luke Ravenstahl, also a Democrat. Ravenstahl's staff cut the millage two years ago in an effort to keep the tax burden on city properties revenue-neutral following a countywide property reassessment, but Peduto says the millage was cut too much.

BEDFORD — The Pennsylvania Turnpike was scheduled to close its westbound service plaza near Bedford so it can be expanded and rebuilt.The North Midway service plaza at mile marker 147 is one of only two that have not be refurbished since the turnpike began expanding its service plazas in 2006.The plaza is set to reopen in May.The last plaza to be rebuilt is near Valley Forge in Chester County. Work on that plaza was expected to begin this winter.