Struggling Scranton Misses Funding Deadline

Scranton misses deadline for $2.2 million in state money but state says it's flexible.

State officials say they'll be flexible with a deadline for the northeastern Pennsylvania city of Scranton to decide on a financial recovery plan and get $2.2 million in assistance.

Tuesday had been the deadline set by the state Department of Community and Economic Development for Scranton to present a revised recovery plan that would be approved by its Act 47 coordinator, the Pennsylvania Economy League.

The city missed that deadline but state officials say Scranton can still get the promised aid if it implements a plan by Aug. 21. DCED spokesman Steve Kratz tells The Times-Tribune of Scranton  the city could miss that deadline but still get the money if approval process is moving at an acceptable pace.

The Pennsylvania Economy League wants a proposed plan modified because it says too many of the included revenue increases are too speculative.
 
Mayor Chris Doherty cut the pay for about 400 city workers to the federal minimum wage in June. Doherty said it was the only way for the cash-strapped city to pay bills.

Copyright AP - Associated Press
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