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Lackawanna City Council announces new budget, smaller tax increase

Mayor Annette Iafallo announced a 23.6% property tax hike. The City Council's new budget offers something different.

LACKAWANNA, N.Y. — Thursday's Lackawanna City Council meeting brought dozens of residents to City Hall. However, the influx of concerned homeowners was locked out of the meeting. Security personnel capped the meeting room to 60 individuals. 

Now frustrated and locked out, Lackawanna residents who drove to city hall could not tell their representatives how they felt about their property.

Last week Mayor Annette Iafallo announced a nearly 24% property tax levy increase, adding more than $300 to property taxes yearly. It drew a lot of opposition, and petitions were made.

RELATED: Major tax hike possible for local communities, former Erie County control board member says

"I'm upset, but I knew it was coming," resident Dan Ford told 2 On Your Side, adding that Bethlehem Steel's closing is to blame. 

"They didn't equalize the tax base between businesses and residential. It will take an increase to pay for it," Ford says.

Credit: WGRZ
Lackawanna City Budget

However, a 4-1 vote made the meeting go unexpected. Instead of having a 23.6% increase, it's reduced to 4.6%.

"Taxes are not a good thing, and any increase in taxes is even less received," Council President Frederic J. Marrano said. 

According to Council President Fred Marrano, they took $1.2 million from the City Hall Project and moved $1.1 million of capital funds. It's the city council's new "Amended Budget."

For a $100 thousand assessed home, the projected tax increase is now $77. 

"Well, it was better than the 23%," one resident said.

"It's high, but what am I going to do?" another resident said. 

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