McKean County property owners are expected to be hit by a 1 ¼-mill tax increase next year, something officials indicated they couldn’t prevent, even with freezing staff hires and capital project spending.

This week, the county commissioners unveiled the proposed spending plan that calls for a general fund budget of $16,536,425.79, of which $12,602,072.58 is expected to be collected in taxes. In comparison, the 2016 general fund totals $15,981,571.14, with $11,615,480,65 listed as tax revenue.

“The county’s total real estate value was reduced due to Clean and Green rates and tax appeals,” the commissioners said in a letter attached to the proposed budget. “(An) Increase in property values of new construction was not enough to offset these values.”

Under the proposed increase, a home valued at $50,000 would result in an increase of approximately an additional $63 in county taxes for 2017. As of Nov. 15, the county’s total real estate value is $1,161,713,620, which is a reduction of $4,396,200 in assessed value, and a $43,962 loss in tax revenue.

To grapple with the financial constraints, the commissioners have decided to implement several measures, including department budget reductions, staffing freezes, and salary increases being minimized to reflect the consumer price index. Training would also have to be approved by the commissioners.

Capital project spending is also expected to be frozen, with the biggest expense being a retaining wall behind the courthouse on King Street.

County officials also made health care package changes and reductions.

“Prior to the changes we implemented on the health care we were facing an 8 percent increase,” the commissioners sated.

Now the county could be seeing a savings of approximately $175,000, the commissioners said.

“We are fully aware of the difficult situations this could create for each department’s operations; nonetheless, we must take these actions to maintain our essential public services and meet our responsibility to ensure the county’s financial solvency and accountability, taking into account recommendations from our auditors,” the commissioners said in the letter.

The major drivers of the budget include wages and benefits for all county departments, the largest being the county jail at $2,692,188.03.

Other county departments and offices seeing increases under the proposed budget include the county commissioners at $508,798.06; tax department, $627,401.81; solicitor, $392,815.10; veterans office, $100,814.69; planning and zoning, $125,914.98; courts, $648,753.46; district justice, $516,797.73; juvenile probation, $474,320.71; adult probation, $756,977.55; and sheriff’s office, $646,679.39.

But other departments and offices are seeing reduced budgets, and those include voter registration at $43,062.96; treasurer, $230,741.70; family law master, $84,814.58; and community service incentive, $128,730.52, according to the proposed budget.

For the most part, the commissioners said they have found county employees to be understanding regarding the proposed budget.

“During our budget process we changed the format of the budget request and department heads provided detailed information. We have spent considerable time this year going over each department’s budget and our department heads have done a very good job being diligent in looking for additional revenue sources as well as controlling their costs,” the commissioners said.

The commissioners have also proposed reducing a donation to the county historical society to $22,500 from $25,000; the same goes for the county fair at $9,000 from $10,000.

“We are mindful of the necessity of continuing much needed services to our communities as effectively as possible and there will be no decrease in service to our citizens,” the commissioners said.

The budget is expected to be voted on during a commissioners meeting held on Dec. 28 at the courthouse in Smethport. That meeting starts at 10 a.m. and is open to the public.