A new financial reality is on the way for the city of Lackawanna. That's what Mayor Annette Iafallo stated during her State of the City address on Tuesday.

Mayor Iafallo said that she is considering a modest tax increase.

"We’re approaching the planning process with an across-the-board goal of reducing operating expenses by 10%, while maintaining levels of essential and customary services," she said.

This comes after the city's financial metrics showed strong growth last year with multi-million dollar increases in both the general fund and the city's unassigned fund balance.