Harrisburg Strong Plan Receives Warm Reception in Commonwealth Court.
Thursday September 19, 2013 at 4:42 pm
By Jamie Serra

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Judge Bonnie Leadbetter was supportive at today's Commonwealth Court hearing on the Harrisburg Strong Plan and is expected to issue her ruling no later than Monday, September 23rd, 2013.

The plan faced no opposition and received an endorsement from DCED Secretary C. Alan Walker.

We received a number of positive comments from key figures following today's hearing.

Harrisburg Receiver William Lynch said that he was very pleased that Judge Leadbetter confirmed the modification of the Harrisburg Strong Plan, "I thought she would, but I didn't think she would do it in open court."

Mark S. Kaufman, legal counsel for the office of the Harrisburg Receiver stressed the trust and relationships that have developed over time amongst stakeholders as an explanation of why those involved were able to arrive at today's outcome. "You can't win things in a situation like this by litigating them [...] You have to win it by building trust."

Neil Grover, attorney for Harrisburg City Council expressed his optimism about the outcome of today's hearing in light of the work that remains to be completed. "I was under the delusion not too many weeks ago that I'd be done today, and it isn't finished." Grover continued, "There's like 10 or 12 contracts still coming [...] It's actually harder now than it was before."

Amid the optimism, Harrisburg's Controller Dan Miller continued to expressed concern, "Our numbers show there are some big deficits looming ahead and time will tell."

Miller expressed similar sentiment in a presentation he delivered before Harrisburg City Council on September 16th, 2013. When questioned about his ability to lead the city with a plan in place that he does not support, Miller said it's very important that citizens of Harrisburg get the best deal going forward, "That would be my goal."

The significance of today's hearing was reflected afterward at a press conference held by Mayor Thompson. In an emotional tone following a stretch of silence, Thompson informed us that "Born here, raised by the people of Harrisburg, educated by the people of Harrisburg, got my morals and values here in Harrisburg."

When asked about her feelings of her remaining time in office and the work that needs to be done Mayor Thompson said, "The majority of the heavy lifting has already been done, it is just fine tuning it."

After reflecting back on the events that transpired in prior months, questions continued to focus on Mayor Thompson's future and the loose ends that remain after her terms ends in December. "Certainly there will be some work leftover for the next administration, and I don't feel apologetic about that," said Thompson. "There was much work left on my desk when I became the Mayor, but this next Mayor will have far less to contend with than I was afforded."

Photo/Natalie Cake

This story has been updated with additional videos and a copy of Judge Leadbetter's order confirming the Harrisburg Strong Plan.

Governor Tom Corbett's office released the following statement after the release of Judge Leadbetter's order:

At the heart of the plan are two major transactions, the sale of the incinerator and the lease of the city’s parking assets for 40 years. The combined transactions will remove the $345 million incinerator debt and balance the city’s structural deficit, providing the city with a balanced budget through 2016.

“I applaud General Lynch for taking on this challenge when I asked him to serve just over a year ago. He and all the parties involved deserve praise for working together to find a solution that is in the best interests of the people who live and work in our capital city,” Governor Tom Corbett said. “I am optimistic that Harrisburg will be a success story, serving as an example to other distressed cities of how to find a way to fiscal recovery.”

Corbett appointed Maj. Gen. (Ret.) William Lynch as the Harrisburg Receiver and Lynch’s appointment was confirmed May 24, 2012.

“With the support of the Governor’s Office and the commonwealth, we have been able to find unique solutions that may have not otherwise existed,” Lynch said. “There are many people who helped bring these solutions to the table and they all deserve a great deal of credit for their efforts.”

Now that the recovery plan has been confirmed by the court, Lynch said that steps will be taken to price bonds on the market and finalize the deals outlined in the plan, with a goal of closing those transactions by the middle of November.

 
Tags: Commonwealth Court, Harrisburg Receiver, Harrisburg Strong Plan, Judge Leadbetter, Mayor Thompson