City of Lock Haven Looking at No Tax Hike in 2019
LOCK HAVEN—It looks like it will be four years in a row that city property owners will not see a tax increase in 2019.
City manager Greg Wilson at this week’s city council meeting shared with council and the media a timeline for passage of the 2019 budget. The schedule calls for the proposed budget to be presented to council at its Nov. 19 meeting, followed by a first budget hearing. The final budget ordinance would be passed on Dec. 17.
Wilson’s preliminary report said next year’s general fund budget he is proposing will call for no increase in the real estate, earned income or business privilege taxes. If approved by council, 2019 would be the fourth year in a row the real estate levy has remained unchanged.
The last tax increase came in 2015 at 14.6 percent, capping off a run of four years in a row of tax hikes. The city at the time said that jump should preclude the need for any increases over several years. Wilson on Monday said it had been hoped there would be no need to raise taxes until 2018. But by taking “every efficiency we possibly can to stave off a tax increase,” the city should also be able to get through 2019 without a jump in taxes.
Wilson’s initial proposal also indicated there would be no need for any water rate increases, no increase in sewer rates and no increase to rents and fees at the William T. Piper Memorial Airport.
His report to council noted that 68 percent of the general fund budget goes to wages and benefits. The largest impact in that area in the new year, he wrote, would be an 8 percent increase in health insurance premiums. To lessen the effect, “it is proposed that employees will begin to contribute 6 percent toward the cost of health and dental insurance premiums,” what he wrote would be for most employees a slight increase in their contribution.
And Wilson said the proposed budget will include the cost of providing uniforms for all public works employees covered by the city’s AFSCME contract. He said the proposal would provide better recognition of employees to the public and will provide built-in visibility features to increase worker safety.
