Posted on 10/31/2011 9:51:42 PM PDT by NormsRevenge
HARRISBURG, Pennsylvania (Reuters) - With the threat of a state-appointed receiver deciding how Harrisburg must deal with more than $300 million in debt, the city council and mayor did something on Monday they have not done in a long time: agree.
The city, Pennsylvania's capital, filed for bankruptcy on October 12 in a desperate bid to resolve its debt crisis, setting up a showdown with the state over control of the city.
The crisis centers on the struggles of the city of about 50,000 to pay roughly $300 million in debt incurred from an expensive revamp of its incinerator.
Under the guidelines established by a new law, Harrisburg Mayor Linda Thompson and seven city council members unanimously agreed on Monday night to return to the state's original Act 47 plan as a guide for a consent agreement that could avoid a looming state takeover.
That plan recommended sale or lease of the city's parking garages, renegotiated union contracts and sale of the incinerator. But council members continued to argue over a range of issues before settling on the Act 47 guidelines.
Councilman Wanda Williams said creditors who backed the financing of the city's troubled incinerator "should have known" the project was risky and should accept concessions, while Councilman Susan Brown Wilson said she was not happy the state is preventing Harrisburg from raising new revenue through commuter, sales or drink taxes.
(Excerpt) Read more at news.yahoo.com ...
or maybe not..
another liberal success story..
or just the latest fiasco in a long line of mismanagement
local updates/backgrounders welcome
“Councilman Wanda Williams said creditors who backed the financing of the city’s troubled incinerator “should have known” the project was risky”
Really? Did the taxpayers who had to FINANCE this “Risky investment” know what the Democrats running Harrisburg were doing??
Indianapolis went through this 20 years ago. These trash-to-gold pie-in-the-sky dreams simply do not work. AT ALL..
My aunt & uncle live in Camp Hill, just across the river from H-Burg ...
EVERYONE has been sayin’ for years that the incinerator was BAD news ...
I read a Wall Street Journal article over the weekend covering Harrisburg. There are dozens of issues that were triggered by the previous Mayor and the city council....over two decades. It was like an open bank-account, where they spent money left and right....never anticipating it to be a problem in paying off the bill in the end. Totally irresponsible attitude.
That previous Harrisburg “Mayor for Life” turned out to be just another crooked Blue City/AA Mayor. Harrisburg is full of the same!
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