PITTSBURGH -- Pittsburgh City Council approved a new fiscal recovery plan on Tuesday.

If approved by the State Legislature, it could have everyone in and around the Pittsburgh area paying new and higher taxes.

In a 6-3 vote, council members approved the revised, yet controversial, recovery plan, which now meets the state's approval.

State-chosen coordinators accepted 30 out of 42 of council's suggestions to the original plan.

"We were happy that the bill passed today because it will ensure Pittsburgh's financial recovery will continue and it also balanced the need to be financially responsible," said Mayor Luke Ravenstahl.

Ricky Burgess, Bruce Kraus, Jim Motznik, Tonya Payne, Bill Peduto and Theresa Smith voted yes for the plan.

Patrick Dowd, Darlene Harris and Council President Doug Shields voted no.

"I did not vote for the amended Act 47 Plan because it perpetuates the very problems that have long caused the City's financial distress," Dowd wrote. "This is not a Plan to restore financial health and sovereignty to Pittsburgh. It is, rather, another 5 years - with a near-certain 5-year extension beyond that - in which financial distress is prolonged and self governance surrendered.”

The mended 300-page version had substantial changes from the original, which was submitted to council on May 21.

Changes to the plan improve the proposed $1,000 bonus to city employees in 2010 to $2,000, in lieu of a raise. In the meantime, there is a 2 percent cap on raises in 2011 and 2012. That jumps to 2.5 percent in 2013 and 3 percent in 2014.

Also, the Greenfield Firehouse will remain open, which means it will not merge with Hazelwood.

The new plan would nearly triple the EMS tax. For everyone who works in Pittsburgh it goes up from the current $52 to $145 per year.

The Act 47 plan would also put a payroll tax on nonprofits like hospitals and universities. That's expected to raise up to $14 million a year for the city. Payroll tax on nonprofits would generate $9 to $14 million a year.

The city will also add new surcharges; $25 for a trip to the hospital if you’re admitted. Each college student will pay $50 per semester, and $5 fee on all-day parkers in the city. There’s also service or mooring/launching fees on boaters. The surcharges are expected to raise $18.4 million.

The Act 47 plan has also angered the city’s police and fire unions by restricting pay and benefits and allowing the city eventually to hire non-union workers. The firefighters union called it union busting.

"This is allowing bargaining units to cross other bargaining unit’s lines. You sit there and throw something at me well, we're getting 2.5% and a 5th week of vacation. What good is that when you are not standing and funding them? You are running and hiding. You’re not helping these people," said firefighter Darrin Kelly.

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Highlights Of The Plan Include:

City-County Consolidation of Services

• Investigate consolidation services in Fleet Maintenance, IT, Payroll, Purchasing, and Tax Collection.

• Create a Regional Parks Commission that oversees all RAD parks in the County.

Budget and Taxation Reform

• Committing all slots parlor revenue windfalls to paying down debt.

• Instituting new guidelines to ensure there is truth in budgeting.

• Investigate a 0.55 percent Payroll Tax on non-profits.

• Go after waste, fraud, and abuse to collect taxes that are not being fairly paid.

Government Efficiency

• Create a Facilities Master Plan for all City owned buildings.

• Create a Recreational Master Plan for City pools, recreation centers, senior centers, and ball fields.

• Create a Fleet Master Plan.

• Create a comprehensive Risk Management Plan.

• Institute re-routing software to improve efficiency in street paving, snow plowing, and street cleaning.

Public Safety

• Provide City employees with a five-year plan for increased salaries.

• Investigate the feasability of keeping a North Side EMS station open 24 hours.

• Keep open the Greenfield fire station.

• Institute new initiatives to help with police retention and recruitment.

• Institute new efforts to improve diversity and pay despairity in the City’s workforce.