Chester presents 2025 budget with no property tax increase, $50 rubbish fee hike and expanded delinquent-collection push

City of Chester — At a public hearing on Dec. 9, 2024, Chief Financial Officer Richard Troutman presented the City of Chester’s proposed 2025 budget, saying it includes no increases to the real estate or library tax rates, adds eight cadet positions to public safety staffing and raises the annual rubbish fee by $50 to $350 per household.

Troutman said the budget balances general fund revenues and expenses “before the unpaid prior year pension costs” and highlighted several constraints city staff faced while preparing the plan. “There are no real estate or library tax increases proposed in this budget,” Troutman said in his opening remarks.

The budget summary outlined why the city made those choices: Chester will have roughly $6.9 million less to work with than the prior year, Troutman said, and the budget reflects cost reductions, deferred capital and targeted use of grants. He told the hearing that a combination of a lower Commonwealth cash-flow loan (the TRAN), lower anticipated grant receipts in some areas and continued pension and legal obligations produced that gap. “We had $6,900,000 less to work with next year than this year,” he said.

Nut graf — why this matters: The budget balances without increasing property taxes, but keeps residents facing a higher annual rubbish charge and places renewed emphasis on collecting delinquent fees. The plan also reflects elevated projected legal costs and pension obligations that the city must absorb as it moves through bankruptcy-related proceedings.

Most important facts

- Rubbish fee: The city will raise the annual rubbish (solid-waste) fee by $50, from $300 to $350. Council members and staff said this is the only fee increase residents will see in 2025. The finance presentation said the solid-waste fund will still be subsidized by the general fund; the projected subsidy for next year is $525,000.

- Break-even calculation: Finance staff said a household fee of $427 annually would be required to eliminate the general-fund subsidy for trash pickup; that would be a $127 increase from the new $350 fee.

- Delinquencies and collections: Troutman said about 30% of rubbish fees are not paid on time in a given year and that “multi‑millions of dollars” in rubbish delinquencies exist. The administration plans to formalize and intensify collection practices for both real-estate and rubbish accounts, shifting the delinquency closeout date toward Dec. 31 (from an earlier February 15 cutoff) to align enforcement with common municipal practice. Staff said collection tactics will include notices, third‑party collection tools already used for real-estate taxes, and hardship plans for qualifying residents.

- Grants and capital: The budget relies on federal and state grants. Troutman said ARPA (American Rescue Plan Act) funds are expected to support about $9.1 million of projects next year; CETA funds show roughly $2 million in investments; the LSA (Local Share Assessment/local gaming funds) is almost $1 million; and other smaller grants total roughly $2.5 million. Several capital and equipment purchases for public works, vehicles and traffic/lighting maintenance are tied to those grants.

- Debt, pensions and legal costs: The presentation said the city budgeted for unpaid prior-year pension costs and an additional supplemental pension contribution; staff also said the city will pay certain legal bills in 2025 that in prior years were covered by the Commonwealth. Finance staff projected legal expenses for 2025 at roughly $4 million (up from about $2 million projected for 2024), citing labor counsel, special counsel and bankruptcy‑related work as drivers.

Public questions and clarification

Residents and council members pressed staff on the $7 million headline gap, special-events budgeting and ARPA spending. In response to a question about special events, staff said the 2025 budget consolidates event spending (riverfront, Juneteenth, fireworks, senior events) into a single special-events account to improve tracking; staff said the 2025 special-events budget line is $65,500 and noted it was not tracked centrally in 2024.

On ARPA, Troutman said the initial award amounts to roughly $30 million, with about $14 million locked for early projects, $6 million allocated and in-progress, and remaining projects in various stages of obligation or execution. He said the city will finish required ARPA designations by the end of December to meet grant rules, though actual spending on some projects will continue into 2025–2026.

Process and next steps

Troutman said the budget represents a collaborative effort across departments and that directors identified areas to reduce or not replace some positions. After public comment and questions, the hearing was closed and the budget will proceed to the City Council for deliberation and final action at the scheduled council meeting.

Ending note

Staff emphasized that the $50 rubbish fee increase is intended to move the city closer to cost recovery for solid-waste services while the administration implements a stepped-up delinquent-collection program and manages pension and legal pressures that are influencing the city's finances.