Creating Harrisburg State District

State Senator Jeffrey Piccola is the Pennsylvania State Senator for the City of Harrisburg. This State Senator is a high ranking senator in the State Senate and is very influencial in the Republican Party.

Below you will find a note from State Senator Jeffrey Piccola to me regarding the financial situation in the City of Harrisburg. As we all know, the City of Harrisburg is in deep financial trouble. This situation has just been made widely known since Mayor Linda Thompson took office but I found out about this worsening situation in 2004. Over the years, I have discussed this situation with Senator Jeffrey Piccola. However, with the Democrats in power and a very strong Mayor Reed in office, Jeff did not want to take a public action to correct the problem.

Now that the Republicans are in power in State Government and the City of Harrisburg has a new mayor, it appears that Jeff is going to try to do something about the City’s worsening financial crisis. This is a crisis that is starting to affect his entire Senate District.

In my opinion, the City of Harrisburg lost its ability to control its finances in the late 1970s and early 1980s. That is when the City had a mass exodus of tax payers to the suburbs. Add the fact that City leaders cannot agree on a course of action and you have a situation where remaining homeowner’s property title, values, and residency is in serious danger. Renters could see their City rents double if the apartment complex is hit with major tax increases to save the City. The Commonwealth of Pennsylvania has a stake in maintaining a functioning Capital.

This is why in 2006, I first proposed to Senator Piccola to make the City of Harrisburg a “State District.” But we have no municipal charter that fits a “State District.” That is why I want the state to create one. Under this municipal charter, Harrisburg would fall under the financial control of the state. The everyday operation of the City would still be under the control of the Treasurer, Controller, Mayor, and City Council. I first propose that the City file for Act 47 in 2006 but the City only recently seen that it was in such a crisis to start the process. It is to late in the game for Act 47 to be effective plus City leaders still may not take Act 47 recommendations.

Since the City will not take the obvious way out, “Bankruptcy” to save its citizens, Jeff’s “back door” ACT 47 Proposed bill is the only game in town. To me, the Senator’s idea looks like the back door to creating a “Harrisburg, S.D.” Few of any Act 47 Cities have ever gotten out of Act 47 once they entered into it.

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From: Williams, Darnell L
Sent: Friday, May 20, 2011 3:02 PM
To: Piccola, Senator Jeffrey
Subject: Act 47 for the City of Harrisburg

Dear Senator Piccola;

I read in Pennlive that you are drafting legislation that would place the City under a three member board appointed by the governor and the Dauphin County Commissioners. As you recall, I discussed with you about 5 years ago, my plan to create Harrisburg City as a “State District” or “Harrisburg S.D.” Under this plan all revenue and expenses would have to be approved by the board that you are calling for. The Mayor and City Council will have to receive approval by the three member board for any funds spent. The board will have to approve any taxes and fees raised or lowered.

The board will be responsible for putting in place, the ACT 47 Plan. This board will have to restructure the City and authority debt for the City to become financially solvent.

Sincerely,

Darnell L Williams

-----Original Message-----

From: Piccola, Senator Jeffrey [mailto:jpiccola@pasen.gov]

Sent: Thursday, May 26, 2011 9:29 AM

To: Williams, Darnell L

Subject: RE: Act 47 for the City of Harrisburg

Thanks for writing, Darnell. My proposed bill would put a management board in place to do exactly as you say – that is, enact the Act 47 plan and make other financial decisions for the city. The board cannot approve any tax increases or decreases, however, since only elected officials are legally allowed to perform that duty. If you recall, that’s how we structured the Special Board of Control for the Harrisburg school district. They could do everything except raise/lower/collect taxes – but they no doubt controlled the entire process.
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If you think that placing Harrisburg in a “State District” is a good idea, call or write Senator Jeff Piccola or your state senator and representative and let them know how you feel. The property and apartment that you save maybe your own.

Senator Jeff Piccola
Harrisburg Office

Room 173
Main Capitol Building
Harrisburg, PA 17120

(717) 787-6801

Fax: (717) 783-37221-888-PICCOLA

TTY: 1-800-364-1581

Hours: 9 a.m. to 5 p.m.

Monday through Friday

http://piccola.org/contact.htm
Contact Senator Jeff Piccola by email.