Neil Grover, attorney for Harrisburg City Council presents information related to the "Harrisburg Strong Plan" Grover describes how creditors have filed eight lawsuits against the city and the Harrisburg Authority demanding "First Dollar Relief" from the defendants and how former mayor Reed's administration propped up the operating budget by borrowing for present needs and paying for it later, Grover on how the city operated "In a sense hide the reality from everybody about how bad and how far down our revenues really were from the cost of running the city." and went on to say "The annual shortfall going back 20 years, it varied but it's often between six and eight million dollars."

Video. "Harrisburg cannot borrow in any public market."

Harrisburg City will not make September 15, 2013 GO Bond payments.

As released by the Office of the Receiver:

Sept. 11, 2013

Harrisburg Receiver: Announces the Sept. 15 Debt Service Payments will not be made.

Harrisburg –The Office of the Receiver for the City of Harrisburg, announced today that the City will not be making its Sept. 15 debt service payments on two series of general obligation bonds and notes.

The decision to withhold payment was made to maintain sufficient cash-flow to provide vital and necessary services.

The payments which will not be made include $1,800,000 due on the City’s General Obligation Refunding Bonds, Series D of 1997 and $1,665,000 due on the City’s General Obligation Refunding Notes, Series F of 1997. The payment of principal and interest on such bonds and notes is insured by Ambac Assurance Corporation.

For more information on City of Harrisburg or the Receiver, including important documents and an updated timeline visit HYPERLINK "http://www.pa.gov/harrisburgreceiver" www.pa.gov/harrisburgreceiver or call 717-231-5558.

Photo/Natalie Cake