Raises key focus in Luzerne County Council budget review

Although no tax hike is requested next year, Luzerne County Council still spent two hours reviewing its first two proposed 2022 budget division requests Tuesday night.

The law division, which includes the solicitor’s and conflict counsel offices, is seeking $2.266 million — an increase of nearly $109,000. Its sole revenue from expense reimbursement would remain at $50,000.

Budget/finance, the second division discussed Tuesday, covers fiscal administration, tax collection and the treasurer’s and assessor’s offices. It is requesting $3.457 million to cover expenses next year, or approximately $184,000 more.

On the revenue side, the budget/finance division estimates it will bring in $131 million, which is a more than $2.5 million increase. The lion’s share comes from real estate taxes that are projected to generate $1.8 million more, for a new total $118.5 million, due to rising home prices, officials said. In addition, delinquent tax receipts are estimated at nearly $9 million in the proposed budget — an increase of $475,000.

At the opening of Tuesday’s session, county Acting Manager Romilda Crocamo told council the administration will attempt to provide concrete explanations on why their funding requests are warranted as the budget process continues in coming weeks.

The first two divisions in the lineup are unique because they must assist all other departments on diverse legal and fiscal matters, she said.

Raises

As always, requested raises were a key council focus in Tuesday’s session.

Crocamo budgeted a sum in each department for various non-union raises next year. She based these amounts on raise decisions made following recent employee performance reviews, saying this would address a past council concern that the administration did not determine individual raises in advance.

The non-union raises would cost a total $258,996 from the general fund and $76,000 from other revenue sources. In comparison, union workers are slated to collectively receive $528,000 in increases next year under collective bargaining agreements.

Council rejected prior manager C. David Pedri’s funding request for non-union raises in the 2021 budget.

But Councilwoman Linda McClosky Houck told Crocamo council is “voting again on pots of money” because the raises planned for each employee were not factored into an accompanying report that lists each position and its 2022 compensation.

Crocamo said it is “not really fair” to employees to post a potential merit increase they may not receive if council removes the funding. While the position list does not name employees, many would be able to figure out the position they hold. She also challenged council’s ability to get involved in individual compensation under the county’s home rule structure.

McClosky Houck countered that stating each compensation in advance cements the manager’s intentions and eliminates a separate merit raise budget line that forces council to get involved.

Councilman Walter Griffith expressed displeasure over the merit raise concept, saying he believes across-the-board, cost-of-living increases would “be the fairest way.”

“I don’t think a merit raise process works,” Griffith said.

Pedri had said providing the same across-the-board percentage raises to all would have been “easier” but not in the county’s best interest under a philosophy that workers should not “just show up to work and receive a raise.” He had said the merit-based raises were a strong motivational tool.

Job creation

Nine new positions were requested in the proposed budget due to rising workloads, including one in both divisions discussed Tuesday.

Crocamo plans to create a new $75,000 part-time first assistant solicitor position in the county’s law office and eliminate a $40,000 part-time solicitor position to offset the expense. She has said she long believed a first assistant solicitor was warranted because the office’s workload has “exploded” over the last few years.

She has funding to cover the position through the end of this year, and applicant resumes are due Wednesday. Council’s budget will determine if the first assistant remains in 2022, she said.

County Budget/Finance Division Head Brian Swetz also is seeking applications for a new office administrator position he wants to create. The position is advertised at $45,000 to $50,000, and resumes are due Nov. 2.

This senior level accounting position will provide assistance with monthly budget reports, the county audit process, numerous financial-related public information requests and American Rescue Plan reporting, the posting says.

Swetz told council he has a five-page list of tasks handled by his division that may not be known. He said his office has made strides in correcting some long-standing audit findings but would further improve efficiency with the added staffer.

McClosky Houck asked Swetz if he can eliminate an outside audit support contract to help offset the cost of the new position, and Swetz agreed to review the possibility.

When questions were raised about some of the conflict counsel expenses, Crocamo said crime drives many costs in that office as well as the public defender’s and district attorney’s offices.

“These are services we’re required to perform,” Crocamo said. “We really have no control over these areas. I’d love to have control over the crime rate.”

Overall, the proposed budget is $157.77 million and keeps real estate taxes at 6.1696 mills, which equates to a payment of $616.96 on a $100,000 property. A mill is $1 tax for every $1,000 in assessed value.