During a recent government meeting, officials discussed pressing financial concerns and the implications of potential tax increases for the borough. The conversation highlighted the challenges of managing the budget amid dwindling reserves and the expiration of federal funding sources.

Council members expressed apprehension about the borough's financial stability, particularly regarding the need to maintain a reserve fund of at least $1.1 million. The discussion revealed that if the council withdraws $1.6 million from reserves without raising taxes, it would leave the borough with only $700,000, significantly below the required threshold. This situation raises concerns about the ability to meet payroll and other essential expenses.

The meeting also touched on the impact of the American Rescue Plan Act (ARPA) funds, which have provided a financial cushion in recent years but are set to expire. Officials noted that the absence of these funds in the upcoming budget could exacerbate the borough's financial challenges.

Additionally, the council debated the implications of a proposed tax increase, with some members advocating for a modest increase to support ongoing projects and services. However, there was a consensus that any tax hike must be balanced against the need to foster economic development and avoid deterring businesses from operating in the borough.

The discussion also included a review of the borough's zoning regulations, with plans to streamline the current 17 types down to seven. However, financial constraints have stalled progress on this initiative, further complicating the borough's planning efforts.

In closing, officials acknowledged the need for community involvement in addressing these financial issues, emphasizing that the challenges faced are not solely the responsibility of the council but require collective action from residents and local businesses. The meeting underscored the urgency of finding solutions to ensure the borough's fiscal health moving forward.