LACKAWANNA COUNTY (WBRE/WYOU) — After months of debate about the dire state of Lackawanna County's finances, property owners bracing for a tax hike will finally get an idea this week of what that might amount to.
The county will release its preliminary 2025 budget on Tuesday afternoon.
The 2025 county budget is anticipated to have a tax hike. However, we will have to wait until the commissioners release it on Tuesday afternoon.
What we do know is a consulting firm hired earlier this year is looking to trim the multi-million dollar deficit the county has been dealing with for years.
"Lackawanna County has had financial problems for a number of years," said PFM Group Consulting Managing Director Gordon Mann.
That statement was made in August by Gordan Mann, manager for PFM Group Consulting comes as no surprise to county residents or its leaders.
In August, the consulting group revealed a projected $11,300,000 shortfall by year-end, recommending the county implement a hiring freeze, and reduce its spending.
"Expenditure reduction has to be a part of the story because it's is the only side of the budget you can control," Mann explained.
The county followed suit with a hiring freeze.
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It remains unclear what spending cuts have been made.
During PFM's five-year projections earlier this month, it was evident the county's finances are being squeezed by increasing costs.
"I think the county is going to have to borrow money and that converts to a real estate tax because the money to pay for that borrowing isn't going to naturally materialize overnight," Mann continued.
Financial projections show health care for county workers is getting more expensive, and several departments are spending too much on overtime.
In 2023, the prison and sheriff's office together spent $4,000,000 on overtime, 78.5% of the county's total overtime bill.
"The numbers don't lie," Lackawanna County Commissioner Matt McGloin said.
The majority of commissioners have since acknowledged a tax hike is the only path forward.
"There is literally no way to avoid a tax increase in this budget," said Lackawanna County Commissioner Bill Gaughan.
So far this year the county's minority commissioner told 28/22 news he opposes an increase.
"It's just very difficult decisions that are going to have to be made, people are gonna have to knuckle down and tighten their belts and its taxpayer dollars so we have to watch out for them," Lackawanna County Commissioner Chris Chermak said.
The Lackawanna County Commissioners will present the county's preliminary 2025 budget at 1:00 p.m. Tuesday.
