By LAURA JAMESON ljameson@lockhaven.com
LOCK HAVEN - For the first time in three years, Clinton County residents may face a tax increase.
During its voting session, the Clinton County Board of Commissioners heard from Ed Zack, representing Susquehanna Accounting Services, who said increased costs due to a competitive hiring market was one of the reasons his firm is recommending a .5 mill tax increase.
If the increase were approved, the county's millage rate would rise to 6.7 mills.
In total, the county's proposed 2024 budget increased about $2 million to $55.4 million total, Zack said.
Zack provided a breakdown of the proposed budget.
This included referencing the breakdown of wages from 2021 to the proposed budget in 2024.
"When you look at this comparison of the actual wages from 2021 and 2022 all the way to what we're budgeting for in 2024, there's a 20 percent increase," he said.
This increase isn't due to the county hiring more staff, Zack said, but has to do with a competitive hiring market.
"The county is now in a bidding war with private industry, other counties, state and federal," he said. "You cannot hire people. So they have to be very competitive to be able to keep up with those entities."
Zack noted he and his firm work in multiple counties that are dealing with the same issues - particularly in correctional facilities, 911 services and human resources.
"It's a very highly competitive market. And the county had no choice but to increase the wages to be competitive to fill those wages," he said. "So obviously if the correctional facility didn't have correctional officers and the county had to farm out these prisoners they would be at a much higher cost. They would be paying at least $100 per day for their prisoners."
Zack said the county was able to avoid a tax increase for the last three years because it utilized reserve funding and other funds, including grants, to offset costs.
"In the last three years the county used some of its fund balance reserves and some of the monies they received, they were able to avoid a tax increase for the last three budget seasons," he said.
However, due to a decrease in intergovernmental revenue and an increase in costs, Zack said his firm had to make the recommendation to increase the county's millage rate.
"But on Tuesday, I did meet with the commissioners. I've been doing this job for 40 years, it's not fun but I had to actually recommend a tax increase for next year to keep up with the decrease in intergovernmental revenue and increase in cost," he said.
Board Chair Miles Kessinger said the proposed budget will be on display for 20 days for the public to review.
"It will be reviewed during that time by Ed and the commissioners to see if there are any adjustments that can be made," Kessinger said.
A formal adoption of the budget is set for Dec. 14.
A digital copy of the proposed budget will be available on the county's website - www.clintoncountypa.gov - and in the Commissioners' Office on the third floor of the Piper Building, 2 Piper Way, Lock Haven.
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