Today, the city of Scranton attended a public hearing where they had to give an account of intent interest in tripling the local service taxes and hear any objections. An objection did come in the form of a response to that says the city is over its legal limit to collect local taxes. Nevertheless, during the trail, the city of Scranton showed their hand and basically proved that the city is functionally insolvent(broke!) and that their only recourse is to raise taxes. This is despite the recovery plan calling for cuts being made on the government level through the renegotiation of employee contracts and retirement policies.
Tax To Infinity
The public hearing was made an issue due to a response brought forth by the “group of 8” represented by Attorney John McGovern(here). The response was based on the fact that Act 511 places a cap on the amount of taxes that can be collected by a municipality through local taxes including local service taxes. The city of Scranton argued that they do not have to observe such a cap. They are claiming that their act 47 distress status allows them to raise taxes to infinite portions. Basically, they are saying that they can and will continue to raise taxes indefinitely. The billion dollar question is, “Why does the government continue to tax the poor Scranton people to oblivion instead of making cuts!?” The people of Scranton are droning from local taxes, property taxes, garbage fees and economic turmoil. The Pennsylvania Economic League, represented by Gerald Cross, said openly that raising taxes is the only thing that will allow the city to get out of its financial straits. But where does it end? How can taxing a declining tax base ever result in prosperity? How much more taxes can be milked from the Scranton people?
To infinity and Beyond
Today, we witnessed a government that is hell-bent on taxing its citizens to death. For those who do not know, the city has already begun collecting local services taxes at a rate of $156 dollars. The court proceeding is merely a formality to give them justification. The city claimed that they were merely attempting to get approval of an ordinance to be voted upon by the city council. But why? The budget has already been approved and they have been collecting local services taxes at a rate of $156 since 2015. The Scranton government has never had any intention of making cuts at the government level and they are dedicated to doing one thing and one thing only- taxing the Scranton people to death!!! #Savescranton