City of Lock Haven: No Tax Hike in 2016

LOCK HAVEN – A year ago the headline read: “Hefty Tax Hike in Lock Haven.” But not this time around.

City manager Rich Marcinkevage tonight introduced a proposed city budget for 2016 and the $10.645 million document will keep city real estate taxes unchanged in the new year. That’s a marked change from recent years which saw annual increases from 2012 through this year.

The biggest hike occurred for 2015, going up better than 14 percent. But as noted last December and reinforced by Marcinkevage tonight, that increase has served to eliminate the need for a tax hike for next year and ideally, the city manager said, there should not be a need for a millage increase in 2017.

As presented tonight, the 2016 proposal is based on a $130,000 general fund balance at the end of this year; that compares to a $200,000 deficit at this time a year ago. Marcinkevage said the city tax base remains stable and pronounced the city water and sewer funds “in good shape.”

Next year’s $10.645 million proposal is $200,000 less than this year and $400,000 less than in 2014.

A public hearing on the recommended budget will be held Monday, Nov. 30. Final adoption of the proposed budget is set for Dec. 21.