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Carbon: Oct. funds ‘very dicey’

Sometime in November.

That’s the estimated month when Carbon County’s coffers will officially be depleted unless the state House, Senate and governor come to an agreement on a state budget.

“October’s going to get very, very dicey,” Commissioners’ Chairman Mike Sofranko said Thursday during the county commissioners’ meeting. “... The fund balance is depleting as we’re sitting here.”

The lack of a state budget has been at the forefront of county government all across the state since Gov. Josh Shapiro and the legislature failed to meet the June 30 deadline. The state’s fiscal year runs from July 1 through June 30, while county government operates from Jan. 1 through Dec. 31.

CCAP speaks out

The County Commissioners Association of Pennsylvania sent a letter to Shapiro last month urging everyone to come back to the table and get this budget done.

“We are writing to express our frustration and concern regarding the recurring issue of missed budget deadlines,” the CCAP board of directors wrote. “It is unacceptable that counties, school districts and municipalities must pass timely budget while the Commonwealth has missed at least a dozen budget deadlines in the last 25 years.

The directors said the states inability to pass budgets in accordance with the deadlines that have been set pushes counties “to the brink of fiscal disaster” and are then forced to raise taxes for county residents and cut services — both negatively impacting the taxpayers of the counties.

“... Counties face growing risks to critical services to seniors and children, while our mutual constituents grow increasingly frustrated by the ongoing delay,” the letter states. “We are not telling how to do your job; we are simply asking you do to your job. Our residents cannot pay for the Commonwealth’s inaction.”

The governor responds

In a letter dated Aug. 22, Shapiro asked for patience and understanding during the impasse.

“Pennsylvania is one of the only states in the country with a divided state legislature,” he wrote, noting that this means the task at hand comes down to both sides finding a compromise.

He stated that he proposed a budget “nearly 200 days ago” and since then has participated in dozens of budget hearings, however the differences between the two chambers remains.

“We ask you to continue to work with us as I work to secure a final budget agreement, and please know we will work to expedite all outstanding payments upon passage of a budget.”

The county speaks out

On Thursday, the county commissioners again voiced their frustrations over the lack of a budget.

Commissioner Wayne Nothstein pointed out that while the state Senate is going back into session on Monday, the House isn’t resuming until Sept. 22.

“The first three days back are non-voting sessions, which, OK, we get committee meetings and all that,” Nothstein said. “But October, they’re scheduled for about seven sessions. The problem is a lot of legislation is laying on the table waiting to be passed, one of them the fee bill for 911, which they only have until the end of January to pass.”

Nothstein added that in November, there are only three voting sessions in the state legislature.

“If they don’t get anything done by the end of November, nothing gets done until February because they don’t go back until the middle of January and until they finally get some things on the calendar.

This means, he said, that if the Legislature doesn’t pass the 911 fee bill, Carbon County stands to lose approximately $1.5 million that it used to maintain and man the 911 communications center.

“It’s becoming a health and safety hazard when these people don’t get to Harrisburg and do their job,” Nothstein said.

Sofranko also pointed out that on Thursday’s agenda, the county had to approve a $11.1 million needs based plan for Children and Youth Services for 2026-2027. The state is supposed to cover 80 percent of that cost, however, as of now, “the Carbon County Commissioners are on the hook for that $11 million” unless a state budget is passed.

“We had to have that done and it had to be turned in on time,” Sofranko added, noting that if the county doesn’t meet the deadlines set forth by the state, they face fines and delays in payments.

“Did we want to say yes to $11 million, no, I’ll be honest with you, but the children need to be taken care of.”

As of Thursday, the county had loaned approximately $1.5 million to Children and Youth for this fiscal year to cover costs due to the delay in state payments, and said more loans are coming shortly. This money comes out of the county’s general fund until the state funds begin to flow.

The commissioners approved a resolution backing CCAP’s letter, telling the state that the impasses impact counties by not having the funds in their fund balances to properly operate and may be forced to borrow money.

“Severe delays in the past have threatened to cause a corresponding increase in property taxes for county residents, with the potential for this to occur again in 2026,” the resolution states.

The commissioners urged the three groups to come together and “prioritize their responsibilities to work collaboratively to finalize a budget without further delay” or at least pass a stop gap budget to allow some money to flow while a full budget is finalized.

“If the state would just do a bridge budget, like if they would continue to fund at the current level until they work through their differences ... then the funding would be there. The counties would not be losing money out of their fund balances,” Sofranko said. “... We’d be able to continue to pay our providers ... There would at least be a flow.”

Once the state finalizes and passes a budget, counties aren’t hopeful for fund streams to begin immediately.

When asked how quick the money starts flowing from the state, Commissioner Rocky Ahner said, “they said it’s supposed to be immediately, but I know immediately is usually three to six months.”