Luzerne County Proposes Urgent Budget Cuts, Boosts Revenue by $1.5M

URGENT UPDATE: Luzerne County Councilman Harry Haas has just proposed a bold budget amendment aimed at cutting $486,000 in expenses while boosting revenue by $1.5 million. This proposal is set to be discussed at the county council meeting on Tuesday, with Haas urging for the adoption of a budget that does not increase the property tax rate.

Latest developments reveal that County Manager Romilda Crocamo previously outlined a 2026 budget of $381.1 million that included a property tax hike of 1.9%. However, following recent adjustments, the council is now contemplating a reduced tax increase of 1.5%, as confirmed by Council Chairman John Lombardo.

“The council must make tough decisions to avoid essential cuts within the budget,” Lombardo stated. He emphasized that a 1.9% tax increase could generate approximately $2.4 million in added revenue. The current county tax rate stands at 6.3541 mills, translating to $635.41 on every $100,000 in assessed property.

Haas argues that reducing the budget’s contingency reserve from $400,000 to $100,000 is essential. “There should be no reserve account when the county calls for a tax increase,” he expressed in an email to fellow council members. His proposal aims to strike a balance between fiscal responsibility and taxpayer accountability.

Despite the potential benefits of a tax increase in impressing credit rating agencies, Haas firmly believes the council should prioritize the taxpayers. County financial advisor Ryan Hottenstein noted that a stronger credit profile could lower borrowing costs for the county. In February 2023, S&P upgraded Luzerne County’s rating from A- to A, indicating improved financial health.

Haas’s amendments also include adding $1 million in real estate tax revenue, projected to come from the tentative sale of Wilkes-Barre General Hospital. Additionally, he proposes a $150,000 cut to the law division for special legal services, even as the proposed budget seeks to increase this allocation by 49%, from $832,229 to $1.2 million.

The urgency of these budget discussions is palpable as the council prepares to meet. Community members are encouraged to engage in this pivotal moment that could significantly impact local taxpayers and essential services. As the council navigates these budgetary waters, the focus remains on balancing fiscal responsibility with the needs of the community.

Stay tuned for more updates as the Luzerne County Council convenes on Tuesday to deliberate these critical budget proposals.