OFFICE OF THE MAYOR

The State of the City Address
Honorable Linda D. Thompson, Mayor of Harrisburg

TUESDAY, APRIL 13, 2010 12:00 NOON


GOOD AFTERNOON
THANK YOU TO…….FOR HOSTING TODAY’S 2010 STATE OF THE CITY ADDRESS.
IT’S AN HONOR TO BE SURROUNDED BY SO MANY PARTNERS AND ADDRESS SUCH AN ESTEEMED GROUP OF LEADERS WITHIN OUR COMMUNITY.
WELCOME TO A NEW ERA FOR HARRISBURG!
AN ERA IN WHICH WE FACE DAUNTING CHALLENGES IN TERMS OF OUR FISCAL HEALTH AND OUR PUBLIC EDUCATION SYSTEM.
AN ERA IN WHICH WE MUST LEARN TO DO MORE WITH LESS AS WE TIGHTEN OUR BELTS DURING THESE TRYING ECONOMIC TIMES;
AN ERA IN WHICH CITY GOVERNMENT MUST, BY NECESSITY, BECOME SMALLER AND LEANER BUT REMAIN SEAMLESSLY EFFECTIVE;
AN ERA OF OPEN AND TRANSPARENT GOVERNMENT WHICH OPERATES FOR THE BENEFIT OF ALL OF ITS CITIZENS;
AN ERA IN WHICH WE SEEK TO EXPAND ECONOMIC DEVELOPMENT OPPORTUNITIES FOR OUR EXISTING BUSINESS PARTNERS AS WELL AS UPSTART ENTREPRENEURS IN OUR CULTURALLY DIVERSE NEIGHBORHOODS UTILIZING ECONOMIC INCENTIVES AND PUBLIC PRIVATE PARTNERSHIPS;
AND AN ERA IN WHICH THE FOCUS OF GOVERNMENT RETURNS TO ITS CORE PRINCIPLES OF SERVICE:
PROVIDING SAFER AND CLEANER NEIGHBORHOODS,
EMPLOYING SOUND FISCAL DISCIPLINE AND ECONOMIC PRACTICES,
MAKING A ROBUST COMMITMENT TO ECONOMIC DEVELOPMENT & RENEWING OUR PROMISE TO CREATE NEW JOBS
AND, AT LEAST THROUGH JUNE 30TH , PROVIDING A QUALITY EDUCATION FOR OUR CHILDREN.
TODAY MARKS MY 99TH DAY AS THE MAYOR OF HARRISBURG. THEY SAY THE HONEYMOON FOR NEWLY ELECTED OFFICIALS IS SUPPOSED TO BE 100 DAYS. IF THAT IS TRUE I MAY BE THE FIRST WOMAN IN HISTORY TO SAY "THANK GOD-THE HONEYMOON IS OVER."
TO BE CANDID, THERE CAN BE LITTLE DISAGREEMENT THAT I INHERITED A CITY THAT WAS IN SERIOUS TROUBLE..
ON JANUARY 4, 2010 WE INHERITED DEBT OF $144.8 MILLION,
BLIGHTED NEIGHBORHOODS, CRIME SPIRALING OUT OF CONTROL,
A FAILING SCHOOL SYSTEM, AND A CITY ON THE VERGE OF BANKRUPTCY.
FORTUNATELY, WE ARE GUIDED BY OUR VISION FOR SEEKING SOLUTIONS AND FASHIONING RESOLUTIONS RATHER THAN POINTING FINGERS OR LAYING BLAME.
THE CITIZENS OF HARRISBURG AND OUR BUSINESS COMMUNITY PARTNERS EXPECT THAT WE WILL NAVIGATE THE TROUBLED ECONOMIC WATERS OF THE PREVIOUS ERA,
AND DELIVER THEM TO THE CALMER SEAS OF A PROSPEROUS NEW ERA.
I KNOW THAT OUR CITIZENS GET UP EVERY DAY TRYING TO MAKE ENDS MEET.
THEY ALL WANT THE SAME THING: GOOD JOBS, AFFORDABLE HOUSING, SAFE NEIGHBORHOODS, QUALITY SCHOOLS AND A CHANCE TO PURSUE THEIR DREAMS.
OUR BUSINESSES ARE ALSO RESILIENT.
IN THE FACE OF THE WORST ECONOMIC RECESSION IN AT LEAST A GENERATION,
THEY STRIVE TO KEEP THEIR DOORS OPEN, PROVIDE QUALITY SERVICES FOR THEIR CUSTOMERS,
AND DO THEIR PART TO MAINTAIN THE VITALITY AND FISCAL HEALTH OF OUR CITY.
OUR CITIZENS SEE OUR PROBLEMS BUT THEY REFUSE TO GIVE UP… NO MATTER HOW TOUGH THE TIMES.
OUR BUSINESS COMMUNITY ALSO RECOGNIZES THE PROBLEMS CONFRONTING US, AND THE ROUGH TIMES BEFORE US,
BUT THEY MAINTAIN THEIR COURSE BECAUSE THEY KNOW THAT IT IS SOMETIMES NECESSARY TO TRAVEL THROUGH ROUGH WATERS TO REACH SAFE HARBOR.
THAT’S WHAT MAKES HARRISBURG SPECIAL.
HARRISBURG’S CITIZENS AND BUSINESS COMMUNITY ARE THE CORE UPON WHICH ALL OF OUR OPTIMISM IS BASED.
I AM INSPIRED BY YOUR COLLECTIVE STRENGTH AND RESOLVE,
AND IT IS FOR THAT REASON THAT I DECLARE, DESPITE OUR STRUGGLES…
THE STATE OF OUR CITY IS STRONG!
IN FACT I AM SO OPTIMISTIC I AM SERIOUSLY CONSIDERING RENEWING MY SUBSCRIPTION TO THE PATRIOT-NEWS.

WHEN I SOUGHT THE OFFICE OF MAYOR, I DID SO KNOWING THAT OUR CITY WAS FACING MANY CRISES,
I GAVE OUR CITIZENS AND BUSINESS COMMUNITY MY WORD THAT I WOULD BE READY ON DAY ONE TO TACKLE EACH OF THESE CHALLENGES.
SINCE DAY ONE I HAVE DONE JUST THAT.

OUR FISCAL CRISIS IS A COMPOUND ONE COMPRISED OF TWO DIFFERENT BUT EQUALLY IMPORTANT FACETS.
THE MOST OBVIOUS ASPECT IS THE HARRISBURG INCINERATOR.
BUT EQUALLY IMPORTANT ARE THE INTERNAL OPERATIONS OF CITY GOVERNMENT.

UPON MY INAUGURATION IN JANUARY, 2010, I UNDERTOOK AN IN-DEPTH AND SYSTEMATIC REVIEW OF CITY OPERATIONS,
LIKELY THE FIRST OF ITS KIND IN DECADES.
WHAT I FOUND WAS THAT OUR CITY WAS IN A STATE OF FINANCIAL DISREPAIR MORE SIGNIFICANT THAN ANY OF US WERE LED TO BELIEVE.
THE CURRENT FISCAL CRISIS DEVELOPED OVER THE COURSE OF AT LEAST A DECADE.
WHILE THE PRIMARY DRIVER IS THE DEBT ASSOCIATED WITH THE HARRISBURG INCINCERATOR,
THE SHARP CONTRACTION OF MUNICIPAL REVENUE ASSOCIATED WITH THE GENERAL DOWNTURN IN THE ECONOMY,
AND THE CONTINUED RELATIVELY HIGH LEVEL OF SPENDING ON CITY SERVICES HAVE ALSO CONTRIBUTED TO THE CITY’S PRECARIOUS FINANCIAL POSITION.
WE ALSO DISCOVERED THAT THE CITY HAD BEEN SPENDING MORE THAN IT TOOK IN ON AN ANNUAL BASIS FOR A NUMBER OF YEARS – BORROWING FROM ONE POCKET TO PAY COSTS INCURRED BY ANOTHER.
ULTIMATELY, THIS RESULTED IN THE COMMONWEALTH PLACING THE CITY ON A "WATCH LIST" AND OFFERING ASSISTANCE UNDER ITS EARLY INTERVENTION PROGRAM – AS IT DID FOR LANCASTER, READING, YORK AND OTHER 3RD CLASS CITIES EARLIER IN THIS DECADE.
WHILE THE PROGRAM DOES NOT OFFER SIGNIFICANT DOLLARS TO "BUY OUR WAY OUT" OF THE PROBLEM, IT HAS PROVIDED FUNDING TO HIRE AN OUTSIDE FINANCIAL FIRM TO CONDUCT A MANAGEMENT AND FINANCIAL AUDIT OF OUR OPERATIONS TO DETERMINE THE EXTENT OF OUR FINANCIAL CRISIS,
AND PROVIDE A ROAD MAP FOR RESTORING THE FISCAL HEALTH AND VITALITY OF OUR CITY OVER THE NEXT 3 TO 5 YEARS.
THE RESULTING AUDIT REPORT WAS DELIVERED TO US EARLIER THIS YEAR AND (1) CONFIRMED THE CITY WAS "FINANCIALLY AT RISK" AND
(2) PROVIDED A 5 YEAR FINANCIAL PLAN FOR MAKING CHANGES WHICH WILL PLACE US BACK ON SOLID FINANCIAL GROUND.
FRANKLY, SOME OF WHAT WAS SET FORTH IN THE AUDIT REPORT WAS OBVIOUS TO ME WHEN MY TRANSITION TEAM AND I REVIEWED BOTH:
THE BUDGET PROPOSED BY THE FORMER MAYOR AS WELL AS THE WAY CITY OPERATIONS HAD BEEN MANAGED OVER THE PAST SEVERAL YEARS.
THE BUDGET PROPOSED BY THE FORMER MAYOR WAS OUT OF BALANCE BY MORE THAN $3.8 MILLION,
AND SIGNIFICANTLY OVERSTATED A NUMBER OF REVENUE ESTIMATES,
GENERATING AN ACTUAL DEFICIT FOR THIS FISCAL YEAR OF MORE THAN $9 MILLION WHICH MUST BE CORRECTED IMMEDIATELY IF THE CITY IS GOING TO MEET PAYROLL AND OTHER EXPENSES THROUGH THE END OF THE CURRENT YEAR.
THE 5 YEAR FINANCIAL PLAN SET FORTH IN THE AUDIT REPORT INCLUDES A SERIES OF RECOMMENDATIONS FOR REDUCING EXPENSES,
GENERATING ADDITIONAL INCOME FROM THOSE WHO USE SPECIFIC SERVICES,
AND SHARING SERVICES WITH OTHERS IN THE REGION TO MAXIMIZE EFFICIENCIES OVER THE LONG TERM.
UNFORTUNATELY, SOME OF THOSE RECOMMENDATIONS WILL TAKE MORE THAN ONE YEAR TO IMPLEMENT.
SO, I’M MOVING FORWARD TO MAKE THE HARD DECISIONS TO GENERATE SAVINGS WHERE WE CAN THIS YEAR,
AND DEAL WITH A NUMBER OF PROBLEMS LEFT BY THE PREVIOUS ADMINISTRATION.
AMONG THEM WERE THE "BUILT IN DEFICIT" I JUST MENTIONED,
AS WELL AS ADDITIONAL UNSUSTAINABLE FINANCIAL COMMITMENTS MADE BY MY PREDECESSOR IN MULTIPLE UNION CONTRACTS JUST FIVE DAYS BEFORE HE LEFT OFFICE,
AND A COLLECTION OF FINANCIAL AND MANAGEMENT PRACTICES WHICH SIMPLY CANNOT WORK IN THE 21ST CENTURY.
THE AUDIT REPORT IDENTIFIED THREE THINGS THAT NEED TO BE DEVELOPED AND IMPLEMENTED:
1. STRATEGIES TO MEET THE CITY’S DEBT OBLIGATIONS AND TO MAKE DEBT SERVICE MORE MANAGEABLE,
2. STRATEGIES TO IMPROVE THE CITY’S CASH POSITION BOTH IN THE SHORT AND LONG-TERM, AND
3. STRATEGIES TO ELIMINATE ANNUAL OPERATIONAL PRACTICES AND COSTS THAT CONTRIBUTE TO A PROSPECTIVE LONG-TERM OPERATING DEFICIT.
AS A RESULT, I HAVE DIRECTED THAT INTERNAL "TIGER TEAMS" BE ESTABLISHED AND CERTAIN PROFESSIONAL CONSULTANTS BE ENGAGED TO HELP THE CITY DEVELOP THE ABOVE STRATGIES AND RELATED ACTION PLANS AS SET FORTH IN THE AUDIT REPORT.
I HAVE ALSO DIRECTED THAT OTHER MEASURES BE TAKEN TO IMPLEMENT THE REPORT RECOMMENDATIONS IMMEDIATELY.
ALLOW ME TO OVERVIEW SOME OF THE FINANCIAL RECOMMENDATIONS BEING IMPLEMENTED:
A MONTHLY CASH FLOW MODEL HAS BEEN DEVELOPED TO BETTER TRACK CITY FUNDS AND EXPENDITURES AND TO BETTER DETERMINE HOW MUCH CASH THE CITY HAS AVAILABLE TO MAKE IT’S DEBT PAYMENTS.
CAPITAL EXPENDITURES HAVE BEEN DEFERRED IN THE SHORT TERM. THIS PRACTICE MUST BE ENDED AND A CAPITAL IMPROVEMENT PLAN CREATED.
APPROXIMATELY $2.8 MILLION CARRIED OVER FROM 2009 WILL BE USED TO RETIRE DEBT.
CITY ASSETS ARE BEING APPRAISED TO DETERMINE HOW BEST TO LEVERAGE THEM.
A FREEZE WILL BE PLACED ON ADDITIONAL GENERAL FUND SPENDING.
A STUDY WILL BE CONDUCTED TO DETERMINE IF CITY ARE PRODUCING NET REVENUE.
LABOR AGREEMENTS MUST BE REEXAMINED. APPROXIMATELY 70 PERCENT OF THE CITY BUDGET IS ALLOCATED TO LABOR COSTS, WHICH MAKES THIS AN AREA WE CANNOT IGNORE IF WE ARE SERIOUS ABOUT PUTTING THE CITY BACK ON THE PATH TO SUSTAINABLE FINANCIAL HEALTH.
I WILL BE MAKING A SERIES OF HARD DECISIONS OVER THE NEXT SIX TO EIGHT WEEKS WHICH WILL ENABLE THE CITY TO FINISH THE CURRENT YEAR IN THE BLACK;
IMPORTANT:
AND WILL ALLOW US TO MOVE FORWARD WITH THE VISION I KNOW THIS REGION EXPECTS TO SEE IMPLEMENTED SOONER RATHER THAN LATER.
THOSE DECISIONS WILL INCLUDE LAYOFFS;
CHANGES IN THE WAY OUR UNION EMPLOYEES OPERATE;
AND MORE EFFECTIVE MANAGEMENT AT ALL LEVELS OF CITY GOVERNMENT.
IT WILL ALSO INCLUDE ASKING YOU AND YOUR NEIGHBORS TO PARTNER WITH US ON A SERIES OF INITIATIVES I WILL BE PROPOSING, TO USE THE RESOURCES OF THE ENTIRE REGION TO BRING POSITIVE CHANGE TO OUR FISCAL PICTURE.
THESE ARE THE IMMEDIATE SHORT AND LONG TERM STEPS WHICH MUST BE TAKEN TO RESTORE FISCAL HEALTH AND GOOD MANAGEMENT TO CITY OPERATIONS,
AND I AM CONFIDENT THAT DISCIPLINED AND FOCUSED IMPLEMENTATION OF THESE STEPS WILL ADEQUATELY ADDRESS THIS PART OF THE CITY’S FISCAL CRISIS.
BUT OUR EFFORTS DO NOT END THERE.

THE SECOND FACET OF OUR FISCAL CRISIS IS THE ALBATROSS KNOWN AS THE HARRISBURG INCINERATOR.
THIS PROBLEM, THIS FIASCO, HAS BEEN A DECADE IN THE MAKING.
SINCE I TOOK OFFICE IN JANUARY, I HAVE OBSERVED THE CIRCULATION OF FACTUALLY INACCURATE INFORMATION WHICH MADE MISLEADING INFERENCES,
ALL PERTAINING TO THE PRIOR HISTORY AND/OR THE PRESENT STATUS OF THE HARRISBURG INCINERATOR.
IN AN EFFORT TO SET THE RECORD STRAIGHT, I WANT TO TAKE A FEW MINUTES TO PROVIDE SOME FACTS REGARDING THE INCINERATOR CRISIS:
WHAT IS THE ISSUE?
WHO ARE THE PLAYERS?
HOW DID WE GET HERE?
WHAT’S AT STAKE?
WHAT’S THE PLAN TO ADDRESS THE PROBLEM?
WHAT PROGRESS HAS BEEN MADE TO DATE?

WHAT'S THE ISSUE???: THE HARRISBURG INCINERATOR HAS AN APPROXIMATE $282 MILLION DEBT LOAD AND THE HARRISBURG AUTHORITY HAS LIMITED ABILITY TO PAY THE ANNUAL DEBT SERVICE, WHICH FOR 2010 IS $68.6 MILLION.
WHO ARE THE "PLAYERS"???:
THE HARRISBURG AUTHORITY - OWNER OF THE INCINERATOR;
CITY OF HARRISBURG - GUARANTOR OF ALL AUTHORITY INCINERATOR DEBT;
DAUPHIN COUNTY - CO-GUARANTOR OF APPROXIMATELY 40% OF ALL AUTHORITY INCINERATOR DEBT;
ASSURED GUARANTY MUNICIPAL CORPORATION (FORMERLY FSA) - INSURES THE MAJORITY OF AUTHORITY INCINERATOR DEBT;
COVANTA ENERGY – THE $25 MILLION LOAN PROVIDER AND OPERATOR OF THE INCINERATOR SINCE 2008.
HOW DID WE GET HERE???:
A MAJOR RETROFIT AND MODERNIZATION PROJECT FOR THE INCINERATOR TO MEET EPA AIR QUALITY STANDARDS AND IMPROVE REVENUE STREAM WAS INITIALLY FINANCED THROUGH THE ISSUANCE OF $125 MILLION IN HARRISBURG AUTHORITY REVENUE BONDS IN 2003.
DUE TO SIGNIFICANT UNANTICIPATED COST OVERRUNS,
CONSTRUCTION DELAYS AND MISMANAGEMENT -- INCLUDING MOVING THE PROJECT FORWARD WITHOUT A PERFORMANCE BOND – THIS IS AN OUTRAGE, RESPONSIBLE PEOPLE WOULDN’T BUILD AN ADDITION TO THEIR HOME WITHOUT A PERFORMANCE BOND.
THE AUTHORITY INCURRED ADDITIONAL DEBT OF APPROXIMATELY $60 MILLION TO COMPLETE THE CONSTRUCTION PROJECT AND PROVIDE WORKING CAPITAL.
UNFORTUNATELY, THE INCINERATOR HAS’NT GENERATED SUFFICIENT REVENUE SINCE COMPLETION OF THE PROJECT TO MAKE ANY DEBT SERVICE PAYMENTS.
THIS IS PRIMARILY BECAUSE DAUPHIN COUNTY IS UNWILLING TO RAISE ITS DISPOSAL RATES TO THE LEVEL THE CITY DID TO HELP MEET THESE DEBT SERVICE FUNDING REQUIREMENTS.
DAUPHIN COUNTY’S REFUSAL TO RAISE ITS RATES CAUSED AN ESTIMATED $13 MILLION SHORTFALL IN PROJECTED ANNUAL REVENUE SINCE 2008.
FURTHERMORE, WHEN THE CURRENT AUTHORITY BOARD SUBMITTED A PLAN TO THE CITY AND THE COUNTY IN LATE 2007 FOR MEETING THE HARRISBURG INCINERATOR’S DEBT OBLIGATIONS BY CREATING ALTERNATIVE SOURCES OF REVENUE,
AS WELL AS MAKING INFRASTRUCTURAL REPAIRS AND IMPROVEMENTS TO ENHANCE EXISTING REVENUES AND DECREASE EXPENSES TO ADDRESS OUTSTANDING DEBT,
THE AUTHORITY PLAN WAS EMBRACED BY THE CITY
BUT REJECTED BY THE COUNTY EVEN THOUGH COUNTY REPRESENTATIVES WERE AT THE TABLE WHEN THE PLAN WAS DEVELOPED.
IN FACT, THE COUNTY STRIPPED NEARLY EVERY REVENUE ENHANCEMENT AND REVENUE GENERATING PROPOSAL BY THE AUTHORITY BOARD,
CRIPPLING THE AUTHORITY’S ABILITY TO GENERATE ADDITIONAL REVENUES TO ADDRESS DEBT SERVICE.
THESE FACTS MUST BE TAKEN INTO ACCOUNT WHEN REVIEWING WHY THE INCINERATORS DEBT PICTURE IS UNCHANGED, AND HOW WE GOT HERE.
WHAT'S AT STAKE???: A FISCAL CRISIS FOR THE CITY AND POTENTIALLY DAUPHIN COUNTY AS WELL, WHAT IS THE PLAN TO ADDRESS THE ISSUE???: IN THE SHORT-TERM, WE HAVE DEVELOPED A PARTNERSHIP WITH ALL THE PLAYERS TO NEGOTIATE DEBT SERVICE FORBEARANCE AGREEMENTS SO THAT WE CAN CREATEA PERMANENT LONG-TERM SOLUTION.
A LONGER-TERM PLAN WILLINCLUDE DEBT RESTRUCTURING,
THE SALE/LEASE OF CITY AND AUTHORITY-OWNED ASSETS,
SECURING AN INDEPENDENT PROFESSIONAL REVIEW OF THE AUTHORITY’S OPERATIONS,
AND AN INCREASE IN DAUPHIN COUNTY'S DISPOSAL RATES.
WHAT PROGRESS HAS BEEN MADE TO-DATE???:
THE PLAYERS HAVE MET IN PERSON AND ON CONFERENCE CALLS NUMEROUS TIMES;
FORBEARANCE AGREEMENT NEGOTIATIONS WITH THE AUTHORITY'S CREDITORS ARE NEARING COMPLETION;
MARKET VALUE APPRAISALS OF CITY ASSETS ARE NEARING COMPLETION;
AND AN RFP TO PERFORM A MANAGEMENT AUDIT OF AUTHORITY OPERATIONS IS BEING ISSUED.
LADIES AND GENTLEMEN, THESE ARE THE FACTS, AND THEY CANNOT BE CREDIBLY DISPUTED.
WHAT ALSO CANNOT BE DISPUTED IS THE FACT THAT THE HARRISBURG INCINERATOR CRISIS IS NOT A "CITY" ISSUE -- IT IS A REGIONAL ISSUE.
OUR REGION IS IN THE MIDST OF A FINANCIAL CRISIS.
, EVEN THOUGH MANY SEE THE HARRISBURG AUTHORITY’S INCINERATOR DEBT OBLIGATION AS THE CITY’S RESPONSIBILITY,
DAUPHIN COUNTY AND ITS CITIZENS SHARE RESPONSIBILITY FOR GUARANTEEING OVER $100 MILLION IN DEBT INCURRED THROUGH DECISIONS MADE BY THE CITY, THE COUNTY AND THE AUTHORITY OVER THE PAST SEVEN YEARS TO BRING THE INCINERATOR INTO 21ST CENTURY COMPLIANCE FOR THE BENEFIT OF THE ENTIRE REGION.
I RAN FOR MAYOR TO TAKE ON THE HARD ISSUES;
AND IN SO DOING, I REALIZE, WE MUST STAND TOGETHER, BOTH CITY AND REGIONAL RESIDENTS AND INTERESTS, BECAUSE THE RISK OF FAILURE HAS CATASTROPHIC IMPLICATIONS FOR ALL OF US.
WITH THIS UNDERSTANDING, WE ARE OPEN TO IDEAS, AND RESOURCES FROM ALL WHO HAVE A SINCERE INTEREST IN JOINING US AND OUR PARTNERS AS WE PULL TOGETHER TO RESTORE THE ECONOMIC EQUILIBRIUM OF OUR CITY AND PRESERVE THE FISCAL INTEGRITY OF OUR REGION.
WE ARE COMMITTED TO TACKLING THE INCINERATOR ISSUE SO THE CITY OF HARRISBURG CAN CONTINUE TO IMPLEMENT A VISION WHICH WILL SERVE OUR NEIGHBORHOODS AND CITIZENS AS THEY SHOULD BE SERVED BY THEIR CITY GOVERNMENT.
WE ARE COMMITTED TO WORKING WITH OUR PARTNERS TO IMPLEMENT A NEW PLAN FOR MEETING THOSE OBLIGATIONS.
BUT A KEY COMPONENT OF THAT PLAN INCLUDES OBTAINING A COMMITMENT FROM DAUPHIN COUNTY TO SHOULDER ITS SHARE OF THE DEBT SERVICE ON THE BONDS IT HAS GUARANTEED,
AS WELL AS A MORE RESPONSIBLE COMMITMENT TOWHAT IT WILL PAY ON WASTE IT BRINGS TO THE INCINERATOR.
HARRISBURG CITY RESIDENTS PAY $200 PER TON FOR WASTE DISPOSAL, WHILE DAUPHIN COUNTY PAYS ONLY $50 PER TON FOR THE SAME SERVICE. THAT’S A 4 TO 1 COST RATIO CURRENTLY BEING BORNE BY CITY RESIDENTS.
THERE MUST BE EQUITY.
ANOTHER KEY COMPONENT INCLUDES OBTAINING A MANAGEMENT AND FINANCIAL AUDIT OF THE HARRISBURG AUTHORITY TO GENERATE AN "OUTSIDE AND UNBIASED" REPORT ON THE WAY IT MANAGES ITS OPERATIONS AND FINANCIAL RESOURCES GOING FORWARD.
THIS REPORT WILL PROVIDE A CLEAR PICTURE ON THE AUTHORITY’S ABILITY TO COMPETENTLY SERVE THE REGION.IF CHANGES NEED TO BE MADE, THE REPORT WILL RECOMMEND THEM, AND I’M CONFIDENT THE PARTIES INVOLVED WILL TAKE QUICK ACTION TO ENSURETHOSE CHANGES ARE IMPLEMENTED.
IF ALL PARTIES CAN COLLABORATE EFFECTIVELY TO IMPLEMENT THESE TERMS, AS WELL AS OTHERS PREVIOUSLY OUTLINED, WE WILL BRING RESOLUTION TO THE INCINERATOR CRISIS,
AND MOVE BEYOND WHAT HAS BEEN A DECADE LONG DISTRACTION AND DRAIN ON THE FINANCIAL HEALTH OF OUR CITY AND REGION.
THESE TWO PIECES OF OUR FINANCIAL CRISIS, BOTH CITY GOVERNMENT OPERATIONS AND INCINERATOR DEBT, ARE THE LAST VESTIGES OF A PREVIOUS ERA.
BUT THEY MUST BE CONFRONTED IN THIS ERA,
AND THEY WILL BE,
WITH THE GOAL OF PUTTING HARRISBURG ON A TIMELY PATH TO FINANCIAL STABILITY BY DEVELOPING INTERIM INCINERATOR DEBT RELIEF MEASURES;
REDUCING CITY DEBT WHILE REBUILDING CITY RESERVES AND ELIMINATING THE GENERAL FUND STRUCTURAL DEFICIT;
AND DEVELOPING MULTI-YEAR CAPITAL IMPROVEMENT PROGRAMS.

NOT WITHSTANDING OUR FISCAL CHALLENGES, THE CITY HAS KEPT PACE WITH THE SERVICE NEEDS AND DEMANDS OF OUR RESIDENTS.
THE RECORD SETTING SNOW STORMS WE ENDURED THIS PAST WINTER REPRESENTED A DAUNTING CHALLENGE FOR OUR CITY AS IT DID FOR MOST OF THE STATE.
32 INCHES FELL ONTO THE STREETS OF HARRISBURG,
AND WE RESPONDED WITH A COORDINATED EFFORT FROM THE DEPARTMENTS OF PUBLIC WORKS, PUBLIC SAFETY, PARKS AND RECREATION, AND BUILDING AND HOUSING.
2500 TONS OF SNOW WAS REMOVED FROM THE CITY STREETS AT A COST OF $401,641.63.

THE DEPARTMENT OF PUBLIC WORKS RARELY GETS THE CREDIT IT DESERVES, SINCE JANUARY 2010
8 TONS OF ASPHALT FOR POTHOLES HAVE BEEN DISTRIBUTED,
AND NUMEROUS CITY ALLEYS HAVE BEEN CLEARED OF ALMOST 6,000 TONS OF BULK TRASH AND WASTE, DECREASING NEIGHBORHOOD BLIGHT AND LAYING THE GROUNDWORK FOR BEAUTIFICATION EFFORTS WHICH WILL BE UNDERTAKEN IN CONJUNCTION WITH OTHER CITY DEPARTMENTS - - SUCH AS OUR PARKS AND RECREATION DEPARTMENT

The Department of Parks and Recreation is working harder than ever to ensure that our citizens enjoy the fines parks, playgrounds, swimming pools and summer festivals.
They Will: Plant 100 trees donated by the Rotary Club of Harrisburg in Celebration of their 100th Anniversary. And
Extend the daytime playground program into evening events in the "Summer Entertainment Series."


One of the most visible park improvements in 2010 is the upgrade of the Metro Bank Park Stadium.
This 42 million dollar project, will be completed this year.

The Harrisburg Senators Baseball Club and I will officially open the this Thursday evening, April 15 at 6:30 PM.
We will host a wide variety offestivals, concerts, shows and parades that will attract millions of citizens, and tourists to City parks and downtown throughout the year.

This year WE HAVE a new name for one of our traditional festivals.

The Harrisburg Jazz and Multicultural Festival will take place for three days over the July 4th weekend.

Although there will be little change to the standard musical and dance performances,

the new title focuses public attention on the new Jazz Stage that will feature the area’s best jazz musicians.
It will also highlight the acts of many cultures that will perform on the International Village Stage, among others throughout the festival.
Naming rights for these stages are still available, as are many other festival marketing areas, so please call the Special Events Office to claim your spot.
WE HAVE AN ACTIVITY PACKED YEAR PLANNED THROUGH OUR PARKS AND RECREATION DEPARTMENT,
BUT WE KNOW THE SUCCESS OF SUCH EFFORTS REQUIRES A FIRM COMMITMENT TO ENSURING OUR PUBLIC SAFETY OPERATIONS FACILITATE STABLE ENVIRONMENTS IN OUR NEIGHBORHOODS SO OUR CITIZENS FEEL SECURE AT ALL TIMES.

OUR PUBLIC SAFETY DEPARTMENT HAS BEEN HARD AT WORK TO MAKE SURE OUR CITY IS SAFE AND OUR CITIZENS SECURE..
THE FIRE RATE IN THE CITY HAS DROPPED 15%;
NOW A FULL 85% OF FIRE INCIDENT RESPONSES ARE FOR MEDICAL ASSISTANCE ONLY,
DUE IN LARGE MEASURE TO THE FACT THAT OUR FIRE INSPECTION UNIT ACTS TO REDUCE FIRE LOSS USING A CITY FIRE CODE THAT IS CONSIDERED A NATIONAL MODEL IN FIRE SAFETY.
OUR JUVENILE FIRE SETTERS PROGRAM HAS ASSISTED 36 FAMILIES AND, TO DATE, 250 FAMILIES HAVE PARTICIPATED IN THIS PROGRAM.
ON THE LAW ENFORCEMENT FRONT, WE NOW HAVE POLICE OFFICERS WALKING NEIGHBORHOOD BEATS; AND
WE ARE RECONSTITUTING NEIGHBORHOOD POLICE SUB STATIONS IN THE ALLISON HILL, HALL MANOR, AND UPTOWN AREAS;
AND DEPLOYING OUR POLICE MOBILE COMMAND VEHICLE, WHICH WILL BE STRATEGICALLY PLACED THROUGHOUT THE SUMMER TO GIVE OUR POLICE BETTER PRESENCE AND FASTER RESPONSE TIME.
WE WILL NEVER AGAIN BE SUBJECT TO A REIGN OF TERROR AND LAWLESSNESS SIMILAR TO WHAT OUR CITY ENDURED LAST SUMMER WHEN RUNNING GUN BATTLES AND MURDERS PLAGUED OUR NEIGHBORHOODS NEARLY EVERYDAY!
OUR RENEWED FOCUS ON PUBLIC SAFETY IS WORKING!
CRIME IS DOWN DURING THE 1ST QUARTER OF 2010 DUE TO AGGRESSIVE AND PROACTIVE ACTION OF THE STREET CRIMES UNIT,
AS A RESULT:
ROBBERY IS DOWN 7%,
THEFT IS DOWN 8%,
AUTO THEFT IS DOWN 28% AND
OUR MURDER RATE IS DOWN BY OVER TWO THIRDS – AT 67%.
THE STREET CRIMES UNIT WORKS VERY CLOSELY WITH THE ORGANIZED CRIME AND VICE UNIT ADDRESSING ILLEGAL STREET LEVEL DRUG ACTIVITY.
WITH THE ASSISTANCE OF DAUPHIN COUNTY PROBATION OFFICERS ASSIGNED TO THE STREET CRIMES UNIT,
IT HAS SUCCESSFULLY IDENTIFY PROBATIONARY AND REPEAT OFFENDERS WHO ARE SUBSEQUENTLY TAKEN INTO CUSTODY .
TO BE SURE, OUR INCREASED POLICE PRESENCE IS PAYING DIVIDENDS.

SOME WILL TELL YOU THAT AN INCREASED POLICE PRESENCE ALONE WILL ADDRESS OUR CRIME PROBLEM.
I KNOW IT WON’T.
WHILE AN INCREASED POLICE PRESENCE IS A SIGNIFICANT DETERRENT, IT REPRESENTS A REACTIVE APPROACH WHICH ADDRESSES THE SYMPTOMS, INSTEAD OF ADDRESSING THE DISEASE.
AND THAT IS WHAT CRIME IS, A DISEASE THAT HAS PLAGUED OUR CITY FOR TOO LONG BECAUSE PROBLEMS IN OUR NEIGHBORHOODS WERE IGNORED,
AND THERE WAS LITTLE TO NO FOCUS ON JOBS, PUBLIC SAFETY AND PROGRAMS.
THE ROOT CAUSE OF CRIME, PARTICULARLY VIOLENT CRIME, IS HUMAN MISERY BROUGHT ON BY LACK OF OPPORTUNITIES,QUALITY EDUCATION FOR OUR STUDENTS,
JOBS FOR CITIZENS,
INVESTMENT IN THE STRUCTURAL INTEGRITY OF OUR NEIGHBORHOODS,
AND PROGRAMS FOR OUR YOUTH.
INCREASED EDUCATION OPPORTUNITIES AND PROGRAMS FOR OUR YOUTH KEEPS KIDS OFF THE STREETS.
INCREASED JOB TRAINING AND JOB OPPORTUNITIES GIVES CITIZENSTHE MEANS TO EARN A LIVING, AND DIGNITY. INVESTMENTS IN THE STRUCTURAL INTEGRITY OF OUR NEIGHBORHOODS MAKE THEM LESS LIKELY TO BE BREEDING GROUNDS FOR CRIMINAL ACTIVITY.
ELIMINATING ABANDONED/BLIGHTED HOMES AND CREATING NEIGHBORHOOD-BASED ECONOMIESWILL TRANSFORM AREAS OF OUR CITY INTO VIBRANT NEIGHBORHOODS RIPE WITH OPPORTUNITY FOR HUMAN PROSPERITY.

AS A LIFELONG HARRISBURG RESIDENT, SPENDING THE BETTER PART OF MY CHILDHOOD LIVING IN THE UPTOWN AREA, I HAVE A SPECIAL LOVE AND AFFINITY FOR NEIGHBORHOODS.
I HAVE VIVID MEMORIES OF VIBRANT NEIGHBORHOODS IN UPTOWN AND MIDTOWN HARRISBURG, AS WELL AS ALLISON HILL.
THESE ECONOMIC CORRIDORS HELPED TO ESTABLISH AND SUSTAIN INTEGRITY AND CHARACTER OF OUR CITY’S NEIGHBORHOODS,
THEY FORMED THE BACKBONE OF OUR CITY’S TAX BASE, EVEN WHEN DOWNTOWN HARRISBURG WAS LESS THAN THE ATTRACTIVE DESTINATION IT IS TODAY.
THAT IS WHY I , BELIEVE DEVELOPING STRONG HARRISBURG NEIGHBORHOODS IS PARAMOUNT TO STIMULATING ECONOMIC GROWTH IN OUR CITY –
AND IT WILL BE KEY TO THE SUCCESS WE SEEK FOR HARRISBURG IN COMING YEARS.
THOUGH 2010 MARKS THE SUNSET OF THE CITY'S EXISTING LOCAL ECONOMIC REVITALIZATION TAX ASSISTANCE PROGRAM,
WE HAVE ALREADY BEGUN EVALUATING THE SUCCESS OF THE CURRENT LERTA PROGRAM,
AND I WILL BE PLEASED TO PRESENT TO CITY COUNCIL THIS YEAR AN ORDINANCE THAT WILL PROVIDE AN EFFECTIVE, TARGETED AND COMPREHENSIVE RESOURCE FOR FURTHERING ECONOMIC DEVELOPMENT, PARTICULARLY, IN OUR NEIGHBORHOODS.

FUNDAMENTAL TO OUR VISION FOR THE CITY IS THE CONCEPT OF NEIGHBORHOOD-BASED ECONOMIC AND COMMUNITY DEVELOPMENT ACTIVITY.
FOR TWO DECADES OR MORE, REAL ESTATE AND ECONOMIC DEVELOPMENT EFFORTS IN HARRISBURG HAVE BEEN PRIMARILY FOCUSED IN DOWNTOWN AREAS,
WHICH IS UNDERSTANDABLE GIVEN THE FACT OUR DOWNTOWN IS THE GATEWAY TO OUR CITY.
BUT WE FAILED TO FOCUS THE SAME ENERGY AND RESOURCES IN ECONOMIC AND REAL ESTATE DEVELOPMENT EFFORTS IN OUR NEIGHBORHOODS,
MANY OF WHICH HAVE TREMENDOUS COMMERCIAL AND INDUSTRIALPOTENTIAL.
WE MUST DO MORE TO ATTRACT COMMERCIAL AND INDUSTRIAL DEVELOPMENT IN KEY NEIGHBORHOODS AND CORRIDORS OF HARRISBURG TO CREATE THE KIND OF SYNERGISTIC OPPORTUNITIES THAT WILL ENABLE US TO REPLICATE OUR DOWNTOWN DEVELOPMENT SUCCESSES IN MIDTOWN, UPTOWN AND ALLISON HILL.
THIS APPROACH WILL ENABLE US TO SPUR INVESTMENT IN OUR INFRASTRUCTURE,
STABILIZE OUR NEIGHBORHOODS, GROW OUR TAX BASE,
STIMULATE OUR LOCAL ECONOMY,
MAINTAIN CITY SERVICES,
AND IMPROVE THE QUALITY OF LIFE OF OUR RESIDENTS.
I WILL SUPPORT ENTREPRENEURSHIP PROGRAMS THAT GIVE INDIVIDUALSTHE OPPORTUNITY TO DO SO, ESPECIALLY NEIGHBORHOOD-BASED BUSINESSES.
I WILL PROMOTE PUBLIC/PRIVATE PARTNERSHIPS AND AGGRESSIVELY RECRUIT BUSINESSES TO COME TO HARRISBURG
AND I WILL DO EVERYTHING POSSIBLE TO GET THE BUSINESSES THAT ARE HERE TO STAY AND EXPAND THEIR OPERATIONS.

THE CITY HAS BEEN SUCCESSFUL IN RECLAIMING ITS DOWNTOWN CORE,
HOWEVER, IT IS TIME TO FOCUS ON GROWING AND STRENGTHENING OUR VULNERABLE NEIGHBORHOODS,
USING TECHNIQUES TO MAINTAIN OUR STABLE NEIGHBORHOODS,
ENERGIZE OUR NEIGHBORHOODS IN TRANSITION,
AND REINVIGORATE BLIGHTED AREAS.
WITH THIS FOCUS ON NEIGHBORHOOD BASED ECONOMIC DEVELOPMENT, OUR VISION IS TO REMEDY BLIGHTING CONDITIONS BY:
ADDRESSING CODE VIOLATIONS AND
USINGTARGETED SYSTEMATIC INSPECTIONS TO PREVENT BLIGHT IN OUR COMMUNITY.
ENCOURAGE EXISTING DOWNTOWN BUSINESSES TO EXPLORE SIMILAR OPPORTUNITIES IN OTHER CORRIDORS OF OUR CITY TO PROVIDE ALTERNATIVES FOR CITIZENS AND VISITORS.
PROVIDE JOB TRAINING AND MINI JOB CENTERS IN OUR NEIGHBORHOODS LINKING RESIDENTS TO OPPORTUNITIES;
AND REVERSE THE CYCLE OF POVERTY BYINVESTING IN HUMAN CAPITAL.
AS AN EXAMPLE OF HOW THIS CAN BE ACCOMPLISHED, I AM PLEASED TO PUBLICLY RECOGNIZE THE LEADERSHIP IN HARRISBURG'S MIDTOWN NEIGHBORHOOD REDEVELOPMENT.
GREENWORKS DEVELOPMENT , AND HARRISBURG AREA COMMUNITY COLLEGE, HAVE BREATHED NEW LIFE INTO MIDTOWN HARRISBURG.
IN ADDITION TO THE REDEVELOPMENT OF THE EVANGELICAL PRESS BUILDING, GREENWORKS COMPLETED THE CAMPUS SQUARE IMPROVEMENTS IN JANUARY OF THIS YEAR - NOW HOME TO HACC'S ADMINISTRATIVE OFFICES, INCLUDING THAT OF PRESIDENT EDNA BAEHRE.
ADDITIONALLY, SPRINT HAS NOW OPENED A CELLULAR SHOP IN THE CAMPUS SQUARE,
AND WE'LL BE EXCITED TO CUT THE RIBBON ON SEVERAL OTHER NEW NEIGHBORHOOD BUSINESSES THERE IN THE COMING WEEKS.
WELCOMING NEW BUSINESSES WAS A POSITIVE TREND IN THE 1ST QUARTER OF 2010, DESPITE THE RECESSION.
103 BUSINESSES WERE ADDED TO THE TAX ROLLS, LEADING TO THE CREATION OF ADDITIONAL JOBS.
THIS IS PROOF POSITIVE THAT THERE ARE ESTABLISHED BUSINESSES AND ENTREPRENEURS EAGERLY RESPONDING TO OUR ADVERTISEMENT THAT HARRISBURG IS OPEN FOR BUSINESS

GREENWORKS HAS CONTINUED TO SHOW THEIR COMMITMENT TO THE MIDTOWN COMMUNITY IN THEIR PARTNERSHIP WITH STRUEVER BROTHERS AND ROUSE TO COMPLETE THE REDEVELOPMENT OF CAPITOL HEIGHTS.

USING OUR FEDERAL HOUSING AND COMMUNITY DEVELOPMENT ALLOCATION, WE WILL FOCUS ON REHABILITATION OF VACANT HOUSING STOCK,
TARGET ASSISTANCE TO HOMEOWNERS TO ADDRESS HOUSING REPAIR NEEDS,
AND INCREASE THE SUSTAINABILITY OF OUR HOUSING STOCK.
IN FACT, THROUGH THE STIMULUS PROGRAM, THE CITY IS ALSO REHABILITATING VACANT, YET STRUCTURALLY SOUND PROPERTIES TO BREATHE NEW LIFEINTO NEIGHBORHOODS.
THROUGH A PROTO-TYPE ENERGY STAR RATED REHABILITATION, FOUR HOMES WILL RECEIVE COMPLETE REHABILITATION AND PROVIDE SUSTAINABLE AND ENERGY EFFICIENT HOMEOWNERSHIP OPPORTUNITIES TO FAMILIES IN HARRISBURG.

SINCE JANUARY OF THIS YEAR THE CITY DEMOLISHED SEVERAL SERIOUSLY DETERIORATED PROPERTIES WHERE OWNERS FAILED TO COMPLY WITH CITY ORDERS TO DEMOLISH THEIR PROPERTIES.
THERE ARE APPROXIMATELY 325 PROPERTIES ON THE CITY’S DEMOLITION LIST.
IT IS ANTICIPATED THAT THE CITY’S IN-HOUSE DEMOLITION TEAM WILL DEMOLISH 34 PROPERTIES THIS YEAR.
THESE EFFORTS, IN CONJUNCTION WITH OTHER FUNDING SOURCES FOR DEMOLITION, COULD RESULT IN THE NEAR ELIMINATION OF SERIOUSLY BLIGHTED PROPERTIES IN 4 TO 5 YEARS.
ADDITIONALLY, THE CITY’S GOAL IS TO CATOLOGUE THE NUMBER AND CONDITIONS OF ALL VACANT PROPERTIES UTILIZING THE VACANT STRUCTURE GRADING (VSG) AND COLOR-CODING
TO FURTHER MITIGATE HAZARDOUS CONDITIONS IN OUR CITY’S NEIGHBORHOODS, WE ANTICIPATE WITHIN THE NEXT COUPLE OF MONTHS THE PA. NATIONAL GUARD COUNTERDRUG PROGRAM WILL ASSIST THE CITY IN SEALING VACANT PROPERTIES WHERE SUSPECTED DRUG ACTIVITY IS TAKING PLACE.
ALTHOUGH NOT A SOLUTION TO THE PROPERTY’S ABANDONMENT, SUCH EFFORTS WILL ELIMINATE DRUG ACTIVITY AT SUCH PROPERTIES.

REFORMATION OF THE CODES ENFORCEMENT INSPECTION PROGRAMS IS UNDERWAY BY THE VIRTUE OF 2 BILLS TO BE SUBMITTED TO CITY COUNCIL THAT AMEND THE BUYERS NOTIFICATION AND RENTAL INSPECTION ORDINANCES,
THE BUREAU OF HOUSING AND PLANNING WANTS TO END UNNECESSARY INSPECTIONS THAT DERAIL OUR EFFORTS TO ADDRESS QUALITY OF LIFE ISSUES IN CITY NEIGHBORHOODS.
PRESENTLY THE BUREAU INSPECTS ANYWHERE FROM 2,000 TO 3,000 UNITS UNDER THE BUYERS NOTIFICATION PROGRAM.
THE PROPOSED AMENDMENTS WILL ENABLE THE BUREAU TO ALLOW OTHER AGENCIES TO CONDUCT SUCH INSPECTIONS,
THEREBY ALLOWING THE BUREAU TO ADDRESS THE 11,000 RENTAL UNITS IN THE CITY, AS WELL AS TO FOCUS ON QUALITY OF LIFE ISSUES.
I AM HOPEFUL THAT CITY COUNCIL WILL APPROVE THE ENABLING LEGISLATION UNDERLYING THIS PROPOSAL.

REINVIGORATING OUR NEIGHBORHOODS ALSO REQUIRES US TO REVISE OUR ZONING CODES (ORDINANCE?).
THE FIRST SUBSTANTIAL RE-WRITE OF THE ZONING CODE (ORD?) SINCE 1960, REDUCES THE NUMBER OF BASE ZONING DISTRICTS FROM 29 TO 12,
CREATES A USER FRIENDLY MATRIX TO ASSIST IN NAVIGATING THE VOLUMINOUS CODE (ORD?) WITH EASE,
AND INCREASES THE AMOUNT OF OPEN SPACE ACREAGE FROM 266 TO 982 ACRES OR 23.4% OF PARCELS ZONED AS OPEN SPACE.
THE DRAFT ZONING CODE (ORD?) ALSO LAYS OUT PARAMETERS TO ADDRESS COMMUNITY DEVELOPMENT NEEDS IN HARRISBURG.

IN ADDITION TO PROVIDING A MORE STREAMLINED AND USER-FRIENDLY CODE, WE WILL PROPOSE AND IMPLEMENT COMMUNITY DEVELOPMENT MODIFICATIONS TO OUR ZONING CODE WHICH IMPACT BUSINESS AND ECONOMIC DEVELOPMENT AND PROMOTE NEIGHBORHOOD-BASED ECONOMIES.

(1) TO PROTECT AND PRESERVE EXISTING NEIGHBORHOODS WHILE ENCOURAGING
REINVESTMENT AND REVITALIZATION;
(2) TO ELIMINATE SUBSTANDARD HOUSING AND INCREASE OPPORTUNITIES
FOR DECENT, SAFE, AND AFFORDABLE HOUSING FOR RENTERS AND OWNERS;
(3) TO PROTECT AND FOSTER EXPANSION OF EXISTING INSTITUTIONS INCLUDING THE STATE
OF PENNSYLVANIA CAPITOL COMPLEX, HOSPITALS, PUBLIC AND PRIVATE SCHOOLS,
UNIVERSITIES, AND OTHER USES.
(4) TO INCREASE THE PROTECTION OF HISTORIC RESOURCES, INCLUDING HISTORIC


I WILL CONTINUE TO SUPPORT OUR HOMEBUYERS AND EXISTING HOMEOWNERS.
THROUGH OUR HOMEOWNERSHIP AS WEALTH INITIATIVE WE ARE NOW PROVIDING DIRECT $5,000 ASSISTANCE TO NEW HOMEBUYERS TO HELP THEM ACCUMULATE WEALTH THROUGH HOMEOWNERSHIP.
WE WILL CONTINUE TO WORK WITH AND SUPPORT THOSE NEW HOMEOWNERS THROUGH TRAINING AND POST PURCHASE COUNSELING – SO WE ARE NOT LEFT WITH A REPEAT OF THE MORTGAGE AND FORECLOSURE CRISIS THAT THIS NATION HAS FACED, AND WHICH LEFT MANY OF OUR FELLOW COUNTRYMEN HOMELESS.

THE CHALLENGES OF HOMELESSNESS TO SO MANY IN 2009 WAS FAR GREATER THAN ANYONE COULD HAVE EXPECTED.
WORKING WITH PARTNER AGENCIES THROUGH THE HOMELESSNESS PREVENTION AND RAPID REHOUSING PROGRAM, THE CITY HAS PROVIDED
SHORT AND MEDIUM-TERM RENTAL ASSISTANCE,
SECURITY DEPOSITS,
UTILITY DEPOSITS AND PAYMENTS,
CASE MANAGEMENT, OUTREACH, HOUSING SEARCH
AND PLACEMENT TO MORE THAN 40 HOUSEHOLDS NEEDING ASSISTANCE.

2010 IS A CRITICAL YEAR FOR OUR CITY WITH THE DECENNIAL CENSUS.
FOLLOWING A SUCCESSFUL "MARCH TO THE MAILBOX" CAMPAIGN THIS PAST WEEKEND , THE CITY’S CENSUS RETURNS ARE REACHING 53%, BUT WE ARE SHOOTING FOR 100%.
IT IS CRITICAL THAT EVERY RESIDENT COMPLETES THEIR HOUSEHOLD CENSUS FORM AND RETURNS IT THIS WEEK. THE IMPACT OF OUR COMPLACENCY IN RETURNING CENSUS FORMS WILL BE FELT FOR THE NEXT 10 YEARS…PLEASE TAKE TEN MINUTES TO ANSWER TEN SIMPLE QUESTIONS. IT’S FOR ALL OF US

OUR INVESTMENT IN HUMAN CAPITAL WILL CONTINUE IN OUR INVESTMENT IN SCHOOLS, STUDENTS AND FAMILIES TO PROVIDE WORLD-CLASS EDUCATION AND MENTORING FOR OUR YOUNG PEOPLE.
I HAVE ALWAYS BEEN AN AGGRESSIVE ADVOCATE FOR OUR CHILDREN AND ESPECIALLY FOR THEIR EDUCATION.
JUST AS I WILL WORK TO REVITALIZE EVERY NEIGHBORHOOD, I WILL FIGHT TO ENSURE EVERY CHILD OF THIS CITY IS GIVEN THE TOOLS AND OPPORTUNITY TO SUCCEED.
STRONG NEIGHBORHOODS ARE ANCHORED BY A VIBRANT LOCAL ECONOMY AND A STABLE SCHOOL SYSTEM.
I BELIEVE THAT PUBLIC EDUCATION CONTINUES TO BE THE MOST PRESSING ISSUE THREATENING THE PROSPERITY OF OUR CITY BECAUSE AN EFFECTIVE SCHOOL SYSTEM IS THE GLUE THAT HOLDS A COMMUNITY, AND THUS, A CITY, TOGETHER.
NO MATTER WHAT NEIGHBORHOOD ENHANCEMENTS OR DEVELOPMENTS TAKE PLACE IN HARRISBURG
OVER THE NEXT 5-10 YEARS, ANY ECONOMIC DEVELOPMENT GAINS WILL HOLD LITTLE SIGNIFICANCE FOR OUR QUALITY OF LIFE IF WE HAVE NOT ADDRESSED THE BASIC ISSUE OF EDUCATING OUR CHILDREN.

IN TRANSFORMING OUR SCHOOL SYSTEM, THE GOAL MUST BE TO PRODUCE YOUNG MEN AND WOMEN WHOARE EQUIPPED TO COMPETE AND SUCCEED. TO DATE, WE HAVE FAILED IN THIS BASIC GOAL.
IN 2001,THE DISTRICT WAS PLACED ON THE EMPOWERMENT LIST BECAUSE OF THE DISTRICT’S EXTRAORDINARILY LOW TEST SCORES.
SINCE THE DISTRICT WAS PLACED ON THE EMPOWERMENT LIST, THE DISTRICT HAS NOT TAKEN APPRECIABLE STEPS TOWARD CORRECTING STUDENTS’EXTRAORDINARILY LOW TEST PERFORMANCE.
HARRISBURG SCHOOL DISTRICT TEST SCORES CONSISTENTLY RANK AMONG THE LOWEST IN THE STATE, RESULTING IN OUR SCHOOL DISTRICT BEING PLACED IN CORRECTIVE ACTION STATUS FOR SEVEN STRAIGHT YEARS AND RANKED 498 OF 500 SCHOOL DISTRICTS.
MEANWHILE, IT HAD THE HIGHEST PAID ADMINISTRATIVE STAFF IN CENTRAL PENNSYLVANIA,
AND A SUPERINTENDENT WHOSE ANNUAL SALARY, BONUSES, PERKS AND BENEFITS APPROACHED $300,000 – SECOND HIGHEST IN THE STATE.
INDEED, STUDENTS WHO WERE IN THE SECOND GRADE WHEN THE TAKEOVER TOOK EFFECT WILL LIKELY GRADUATE WELL BEHIND THEIR COUNTERPARTS IN EVERY OTHER SURROUNDING SCHOOL DISTRICT, AS THE PATRIOT NEWS NOTED EARLIER THIS YEAR.
THEY LET OUR CHILDREN DOWN.
THEY DID NOT PREPARE THEM FOR THE CHALLENGES OF THE WORLD.
THIS MUST CHANGE.
REVERSING OUR LOW TEST SCORES, AMONG OTHER THINGS, WILL LEAD TO THE REMOVAL OF THE DISTRICT FROM THE EMPOWERMENT LIST.
REMOVAL FROM THIS LIST CAN BE DONE.
SINCE THE DISTRICT WAS PLACED ON THE EMPOWERMENT LIST, IT HAS MADE ONLYMARGINAL PROGRESS TOWARD BEING REMOVED FROM THIS LIST.
JUST THIS PAST YEAR, NEARLY HALFOF OUR CHILDREN TESTED AT THE BELOW BASIC LEVEL IN PSSA TESTING.
THE STATE HAS INDICATED THAT THE DISTRICT’S CURRENT STATUS IS CORRECTIVE ACTION 2 FOR THE 7TH CONSECUTIVE YEAR.
THIS MEANS, THE DISTRICT HAS FAILED TO ACHIEVE ADEQUATE YEARLY PROGRESS FOR AT LEAST 7 STRAIGHT YEARS.
WITH STATISTICS LIKE THESE, IT IS NO WONDER THAT OUR DISTRICT WAS RECENTLY RANKED LAST IN THE STATE
WE REMAIN COMMITTED TO TRANSFORMING OUR SCHOOL DISTRICT IN A WAY THAT WILL ENSURE THAT EVERY CHILD RECEIVES THE KIND OF EDUCATION THAT IS THEIR CONSTITUTIONAL RIGHT
IN ORDER TO INSURE THEIR RIGHTS, OUR FIRST STEP MUST BE TO REMOVE OUR DISTRICT FROM THE EDUCATION EMPOWERMENT LIST.
THE CURRENT BOARD OF CONTROL DETERMINED THAT THE PREVIOUS DISTRICT SUPERINTENDENT’S AND DEPUTY SUPERINTENDENT’S CONTRACTS HAD TO BE RESCINDED.
I STAND BY THAT DECISION.
DURING MY SHORT TIME IN OFFICE, WE HAVE UNCOVERED OTHER BARRIERS TO STUDENT ACHIEVEMENT.
WHEN I TOOK OFFICE I LEARNED THAT NEARLY 20% OF TEACHERS WITHIN THE DISTRICT WERE EITHER NOT-CERTIFIED OR WERE TEACHING WITHIN A SUBJECT AREA FOR WHICH THEY WERE NOT CERTIFIED TO TEACH.
EVEN MORE SURPRISING, THIS OCCURRED AT THE INSISTENCE OF THE PREVIOUS SUPERINTENDENT OVER THE OBJECTIONS OF THE PERSONNEL DIRECTOR AND OTHER DISTRICT OFFICIALS.

SINCE I TOOK OFFICE THIS PRACTICE HAS BEEN HALTED AND THE PERCENTAGE OF UNCERTIFIED TEACHERS WILL BE DECREASED TO 13% IN THE IMMEDIATE FUTURE AND CLOSE TO 0% FOR THE UPCOMING SCHOOL YEAR.
WE WILL CONTINUE TO PLACE PROPERLY CERTIFIED TEACHERS IN CLASSES SO THAT OUR CHILDREN LEARN FROM TEACHERS PROFICIENT IN THE SUBJECT AREAS IN WHICH THEY ARE TEACHING.
NOT UNLIKE THE CITY, THE DISTRICT FACES SIGNIFICANT BUDGET SHORTFALLS.
MOST RECENTLY, DISTRICT OFFICIALS HAVE ADVISED ME THAT THE DISTRICT MAY NOW BE FACING A BUDGET DEFICIT IN EXCESS OF $22 MILLION DOLLARS.
IMMEDIATE EFFORTS ARE UNDERWAY TO CUT COSTS, ELIMINATE EXCESS SPENDING AND TO OPERATE UNDER A BALANCED BUDGET.
Each department has been asked to submit a budget plan that will reduce their expenditures by 20%. Members of the cabinet have been reviewing these reduction proposals. We believe we will be able to develop a funding strategy that focuses on reallocating available revenues in a manner that improves student education and saves money.
A BUDGET SHORTFALL IN EXCESS OF $22 MILLION DOLLARS MEANS THAT PREVIOUS LEADERSHIP HAS FAILED TO ADHERE TO BASIC FINANCIAL PRINCIPALS.
IT MEANS THAT THERE HAS BEEN A FAILURE TO SPEND TAX PAYER MONEY PROPERLY.
WE DID NOT CAUSE THIS PROBLEM, BUT WE WILL NOT REST UNTIL IT IS SOLVED.
WE ARE CONFIDENT THAT THE SAFEGUARDS WE ARE PUTTING IN PLACE WILL ENSURE THAT THIS NEVER HAPPENS AGAIN.
THESE ARE JUST TWO SIGNIFICANT PROBLEMS CONFRONTING THE SCHOOL DISTRICT.
TO BE SURE, MANY REMAIN WHICH I WILL NOT DISCUSS TODAY.
HOWEVER, TO ADDRESS THE MANY PROBLEMS FACING OUR DISTRICT WE HAVE DEVISED A PLAN, WHICH INCLUDES THE FOLLOWING:
THE DISTRICT WILL CONTINUE TO RECRUIT, HIRE AND RETAIN QUALIFIED AND CERTIFIED EDUCATIONAL STAFF, ADMINISTRATORS, AND CONTRACTORS. CURRENT STAFF WILL BE REQUIRED TO PERFORM AT A HIGH LEVEL.
WE WILL REDUCE THE NUMBER OF ADMINISTRATOR AND COORDINATOR POSITIONS SO THAT THEY ARE IN LINE WITH OTHER SIMILARLY SITUATED AND SUCCESSFUL DISTRICTS.
WE WILL INCREASE THE NUMBER OF POSITIONS THAT DIRECTLY INTERACT WITH STUDENTS.
NEXT, WE WILL IDENTIFY A FINANCIAL CONSULTANT TO HELP GUIDE US THROUGH FINANCIAL CHALLENGES BURDENING THE DISTRICT.
WE HAVE REQUESTED THAT THE PA AUDITOR GENERAL CONDUCT AN IMMEDIATE COMPREHENSIVE FINANCIAL AND PERFORMANCE AUDIT OF THE DISTRICT.
THIS AUDIT WILL DETERMINE THE EXTENT AND ROOT CAUSES OF THE CURRENT FINANCIAL CRISIS.
WE WILL ALSO WORK WITH THE HAMILTON HEALTH CENTER TO ENSURE THAT HEALTH CENTERS IN SCHOOLS ARE FULLY FUNCTIONING.
WE WILL ALSO REVISE THE HIGH SCHOOL CREDIT RECOVERY PROGRAM TO ENSURE ONLINE COURSES ARE ALIGNED WITH DISTRICT’S CURRICULUM AND TO ENSURE GRADUATES UNDER THIS PROGRAM ARE PROPERLY PREPARED.
WE WILL SEEK TO DEVELOP EFFECTIVE AND INNOVATIVE PROGRAMS TO INCREASE PARENTAL INVOLVEMENT IN THE SCHOOLS AND IN THEIR CHILD’S EDUCATION.
LADIES AND GENTLEMEN, WE ALL KNOW THE VALUE OF A STRONG QUALITY EDUCATION.
WE ALL KNOW THAT EDUCATION IS THE GREAT EQUALIZER OF OUR SOCIETY.
REALIZING THAT THE SCHOOL DISTRICT CANNOT BE SOLELY RESPONSIBLE FOR THE WELL ROUNDED DEVELOPMENT OF OUR CHILDREN, WE LAUNCHED HARRISBURG’S FIRST C.I.T.Y. WIDE MENTORSHIP INITIATIVE IN MARCH.
WE UNDERTOOK THIS INITIATIVE BECAUSE WE KNEW IT WAS TIME TO SHOW OUR CHILDREN THEIR POTENTIAL AND A WORLD BEYOND WHAT THEY CURRENTLY KNOW.
THROUGH THIS MENTORING PROGRAM, WE PARTNERED WITH 40 MENTOR ORGANIZATIONS TO BRING TOGETHER THE MOST COMPREHENSIVE OUTREACH IN CITY HISTORY FOR OUR YOUTH.
IT IS MY EXPECTATION THAT EACH OF YOU SITTING HERE TODAY WILL GIVE YOUR TIME, TALENT AND RESOURCES TO OUR CHILDREN BECAUSE IT REPRESENTS A WISE INVESTMENT IN THEIR FUTURE AND OURS.
YOU WILL MAKE A PROFOUND DIFFERENCE IN THEIR LIVES.
THESE ISSUES, THESE KEY THEMES, REPRESENT THE FORMULA FOR RECLAIMING THE PROMISE OF OUR CITY AND OUR REGION:
RESOLVING OUR CITY FINANCIAL CRISIS THROUGH BETTER AND REFORMED BUSINESS PRACTICES
AND RESOLVING OUR INCINERATOR CRISIS THROUGH DISCIPLINE AND COOPERATION;
MAKING CITY DEPARTMENT OPERATIONS MORE EFFECTIVE BY FOCUSING RESOURCES ON SERVICING THE NEEDS OF OUR RESIDENTS AND BUSINESSES;
SECURING OUR NEIGHBORHOODS AND BUSINESS CORRIDORS WITH SMARTER AND VISIBLE POLICE DEPLOYMENTS, WHILE ALSO TARGETING THE ROOT CAUSES OF CRIME THAT POLICE INTERVENTION CANNOT ADDRESS SUCH AS LACK OF JOB OPPORTUNITIES, HOUSING, QUALITY EDUCATION, AND HOPE;
AND SEEKING TO REVITALIZE OUR NEIGHBORHOODS UTILIZING UNPRECEDENTED ECONOMIC DEVELOPMENT TOOLS WHICH WILL HAVE THE DUAL EFFECT OF INCREASING OUR TAX BASE AND PRODUCTIVITY.
THROUGH ALL OF THESE EFFORTS WE WILL RECLAIM OUR PROMISE,
AND WE WILL DO SO WITH A SMALLER, LEANER GOVERNMENT THAT WORKS SMARTER WITH THE PUBLIC DOLLAR
WITHOUT DIMINISHING OUR COMMITMENT TO PROVIDING EXCEPTIONAL CITY SERVICES WHILE OPERATING WITH OPENNESS AND TRANSPARENCY.
THIS IS WHY WE CHOSE TO LEAD.


LADIES AND GENTLEMEN, WE ARE ALL IN THIS TOGETHER.
THIS IS OUR CITY AND OUR REGION.
WE ARE ALL STANDING AT THE THRESHOLD OF A NEW ERA,
OUR COLLECTIVE FUTURES ARE ENTERTWINED AND INTERDEPENDENT ON OUR ABILITY TO WORK TOGETHER TOWARDS COMMON GOALS FOR COMMUNITY AND REGIONAL PROGRESS AND PROSPERITY.
IN FRIENDSHIP AND PARTNERSHIP, WE EXTEND OUR HAND, OUR COMMITMENT AND OUR RESOURCES TO WORK COOPERATIVELY WITH ALL FOR THE BENEFIT OF ALL.
WE DO SO KNOWING THAT A RISING TIDE LIFTS ALL BOATS, AND THE RECEDING WATERS OF THESE DIFFICULT TIMES WILL AGAIN BRING HOPE AND OPTIMISM AS WE WORK TOGETHER TO OVERCOME OUR SHARED CHALLENGES.
AS WE ENTER A NEW DECADE, THIS IS OUR PLEDGE TO YOU.
WE WILL NOT BE RUN OVER BY THE CHALLENGES WE FACE.
WE WILL CONTINUE TO ACT – AND BE READY TO ADAPT.
SO THAT WE REMAIN A PLACE WHERE CITIZENS CAN REALIZE THEIR DREAMS FOR THEIR FAMILIES AND THEIR FUTURES.
AND BUSINESSES CAN STAKE THEIR CLAIM TO PROSPERITY AND SUCCESS.
WE WILL STRIVE EVERY DAY TO FULFILL OUR SHARED VISION FOR HARRISBURG TO RETAKE ITS PLACE AS THE SHINING CAPITAL CITY!
IT IS IN THIS SPIRIT AND WITH OPTIMISM THAT I PRESENT THE STATE OF OUR CITY.
THANK YOU FOR YOUR TIME AND ATTENTION THIS AFTERNOON. GOD BLESS YOU
GOD BLESS THE UNITED STATES.
GOD BLESS THE CITY OF HARRISBURG.