LACKAWANNA, N.Y. — Property owners in Lackawanna may be facing a major tax increase in the months ahead if the City Council agrees to Mayor Anette Lafallo's proposed 23.6 percent increase in the city's tax levy.
They are trying to make up for lost revenue and rising city costs. But some taxpayers just are not buying the explanations for doing so. It is a similar situation to what we have seen play out this year in Buffalo, Amherst, Kenmore, and Fredonia.
At the old or soon to be replaced orange colored Lackawanna City Hall, taxpayers perhaps seeing only red these days over a new city budget after Mayor Annette Lafallo unveiled the double digit planned 23.6 percent boost in the tax levy.
2 On Your Side requested an interview and instead got a statement on Monday. It noted that the Mayor's proposed budget maintains city services for property owners which quote "in today's economic climate comes at a cost."
However, now some are questioning the city's cost priorities. For example, in March the Mayor touted a new splash pad to open July 1. She told us following her State of Lackawanna address that "So for the splash pad believe it or not it was started over four years ago, and we had some struggles, but finally it started."
However during a budget public hearing last Thursday in the city's Facebook posting, there was this comment from one resident. "There's other things to put money into other than a splash pad. I mean you guys are putting all the work in playgrounds. But you're not thinking about taxpayers having to dish out all this money."
Some also question why there was such a change from that speech by Lafallo in March which seemed upbeat about the city's future prospects and now to have a major tax hike proposal.
The city's power point budget explanation lists a loss of $4.3 Million in city revenue including no more federal dollars from COVID aid, also raises for city worker union contracts, covers $1.85 Million in January for uncompensated snowstorm costs, and a $1.16 Million bond for the new City Hall to replace the old ill-suited structure. Inflation also played a role in the proposed increase.
The city also states that under the new suggested tax levy, the owner of a $100,000 assessed home could see an extra annual tax cost projected at $378 dollars.
The Mayor's budget at this point says there will no layoffs of city workers but also no new hiring or new police or fire academy classes. City Attorney John Gaughan, who did respond to taxpayers' questions at the hearing, said "If layoffs were to occur that would affect services that go to you such as fire, DPW, police." He also claimed that any layoffs for city departments could actually lead to much more overtime to affect their budgets.
But again from taxpayers we heard comments like this: "The current inflation rate is 3.27 percent. Any increase over 3.72 percent is utterly ridiculous."
Also said during that hearing "I just think that with the economy the way it is - I think trying to raise the taxes will be a very bad ordeal for just about all the citizens of Lackawanna. We're a blue collar working city."
And finally: "We are all struggling to pay our taxes. That's why so many people are leaving Lackawanna. Nobody can afford to live here anymore."
Then this statement: "Now we want to talk about increasing taxes. I strongly advise we vote against this. We find ways to cut and we move on from there."
City Attorney Gaughan again responded: "Cuts were made from whatever line items in each budget. So cuts have been looked at."
Just as happened in Buffalo, the five Lackawanna City Council members could change the Mayor's budget.
They have to take two votes this week before the budget deadline of June 30th. They must decide whether or not to override the tax cap and then again on the budget itself. There will be a special meeting called at some point.
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