The City of Lebanon is on the verge of adopting a 2025 budget that will ensure its 10th straight year without a property tax increase.
At its Monday, Nov. 25, meeting, council gave final approval to an ordinance adopting a $17,086,235 spending plan for the city’s upcoming fiscal year, which runs from Jan. 1 through Dec. 31.
The annual budget projects revenue of $14,346,331, a 5.5% increase over 2024, and expenditures of $17,086, 714, up 3.67% from 2024. A carryover surplus from this year of $2,740,383 will be used to balance the the 2025 budget.
Outside of state aid for its pension funds, the city’s largest sources of revenue are the 1.9% earned income tax, property taxes, and real estate transfer taxes. Receipts from all three are expected to increase next year, according to Mayor Sherry Capello.
Those increases will be partly offset by projected drops in receipts from vehicle code and ordinance violation fines and the franchise fee paid to the city by cable and internet provider Comcast.
Immediately after approving next year’s budget, City Council preliminarily passed a separate tax levy ordinance keeping next year’s property tax levy at 4.581 mills, meaning city property owners will pay $4.58 per $1,000 of their properties’ assessed value.
The tax levy ordinance will have to be passed again at council’s December meeting to make the 2025 budget official.
According to Capello, the average annual city property tax bill is $475.
Other business before City Council
- Capello reported that through Oct. 31, with the fiscal year 83% complete, city revenue and expenses were at 97% and 77%, respectively, of 2024 budget projections
- Council passed a resolution authorizing city administrators to apply to the Commonwealth of Pennsylvania Financing Authority (P.F.A.) for a $1,000,000 grant to renovate Fire Station No. 1 at 700 S. 8th St. The station houses the Union, Perseverance, and Hook & Ladder companies. Total cost of the project will be about $2,300,000. The city will use American Rescue Plan funds for the balance.
- Council passed a second resolution authorizing administrators to apply to the P.F.A. for a $60,780 grant for asphalt renovation at the Hilltop Playground at 801 N. 6th St. If approved, the city will pass the funds to the private organization that runs the playground.
Next Lebanon City Council meetings
City Council’s next pre-council planning meeting will be on Thursday, Dec. 12, at 4:45 p.m. The next regular monthly council meeting will be on Monday, Dec. 16, at 6:30 p.m.
Both meetings are open to the public and will be held in the City Hall multi-purpose room, 735 Cumberland St., first floor, Lebanon.
Meetings are also streamed live on YouTube here.
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