Scranton’s Story of Resiliency

Through major challenges like pandemics, recessions, or natural disasters, we power through and come out stronger on the other side. That spirit and resiliency is embodied by cities like Scranton, the seat of Lackawanna County. In January 2022, Scranton exited distressed status, and is now on track for a bright future. We spoke with Scranton Mayor Paige Cognetti about what makes Scranton so resilient and why it’s the city to visit, build a business, and raise a family.

Determination and Can-Do Spirit

On the cold morning of January 25, 2022, Scranton Mayor Paige Cognetti felt a buzz in the air that the city hadn’t felt for decades. It was the day that the City of Scranton would officially exit Act 47, Pennsylvania’s designation of financial distress that the city entered almost exactly 30 years to the day in 1992.

“It’s one of those moments that you’ll hang onto for your entire life,” Cognetti recalls of the Act 47 exit ceremony that drew in current and former officials, community champions, media, and state leaders. “It was a tremendous day for our city.”

Scranton – now famous as the setting of the television sitcom The Office, and the birthplace and childhood home of President Joe Biden – has historically struggled with unbalanced finances and political infighting that stifled economic and community growth. Ten years ago, the city had trouble making payroll at times and was struggling to meet its financial obligations. Slowly, through the mid-late 2010s, the financial picture started to turn around as budgets came under control.

Mayor Cognetti – Scranton’s first-ever woman to serve as mayor – then took office in January 2020, determined to continue the city’s rising momentum. Two months later, the world turned upside down. The COVID-19 pandemic threw local budgets across Pennsylvania into turmoil and uncertainty. But Mayor Cognetti, working with City Council, didn’t just persevere through the pandemic – their work enabled Scranton to become stronger because of it.

“We’ve successfully moved many services online and have improved transparency internally and externally, and our operations are more efficient and transparent now,” Cognetti says. “COVID-19 also created opportunities to enhance our economic development goals, especially with the American Rescue Plan Act. As COVID-19 restrictions abated, we returned to operations similar to those pre-COVID-19, but with lessons and efficiencies identified during the pandemic.”

The Future Looks Bright

Today, Cognetti says the city is stronger than ever due in large part to its ability to attract business investments. In addition to the growth of “meds and eds” institutions in Scranton, the city continues to strengthen its traditional manufacturing base – and is continually attracting advanced manufacturing as well. “Biomaterials manufacturers, product recycling manufacturers, and medical marijuana growers and operators have located to the city and continue to increase their investment and footprint here,” Cognetti says.

From a financial perspective, the city is on the right track as well – even without the state safety net of Act 47. The city’s primary financial goals are building on the policies that enabled it to exit Act 47, such as preparing realistic and balanced budgets, building a general fund balance, and reducing debt. According to Cognetti, the Act 47 program helps city leaders identify issues that they will continue to monitor and address, including property value assessments and property tax revenue.

Most importantly, Scranton’s resilience allowed it to emerge from the pandemic and Act 47 as a vibrant, dynamic community. The city is large enough to have big city amenities like a AAA baseball team, an airport, top-tier concerts and festivals, and bountiful outdoor recreation. But it’s also not so large that it feels boxed in with traffic, too many people, or exorbitantly high home prices. The city also boasts a great location – just 100 miles from New York City and Philadelphia – along with five higher education institutions and three hospitals.

“Resiliency is in our city’s DNA” – Mayor Paige Cognetti

“We enjoy a high quality of life here in Scranton and Northeastern PA,” Cognetti says. “Our downtown has a mixture of both commercial and residential constituents. During the day and into the evenings we enjoy a vibrant downtown, with restaurants and nightlife, including arts, music, and Broadway shows.”

Scranton has moved into a position in which its future is looking bright. The city’s now-stable financial condition has set it up for long-term growth, and its high quality of life, low cost of living, availability of talent and real estate, and proximity to major east coast major metropolitan centers is attracting businesses and residents like never before.

Through bold leadership and a dedicated community, Scranton’s resiliency is a perfect example of the Pennsylvania can-do spirit. “Scranton has faced strong economic headwinds for a century and come through on the other side,” Cognetti says. “You could say resiliency is in our city’s DNA.”

If you are interested in learning more about the Act 47 program, visit the Department of Community and Economic Development website and be sure to stay up-to-date on all of our Pennsylvania news by following us on Facebook, X, and LinkedIn.