Reed Pleads Guilty
Former Harrisburg Mayor Stephen Reed pleaded guilty last month to 20 counts of receiving stolen property, ending a decades-long saga that began with one man’s ambitious vision for a series of museums throughout the city.
To a surprised courtroom, Reed’s lawyers announced that he had accepted a plea bargain with the state that dropped most of 112 criminal counts in exchange for pleading guilty to two felony and 18 misdemeanor counts.
“He’s charged with misappropriating public tax dollars and using them for his own personal gain,” said Deputy Attorney General Rebecca Franz, the lead prosecutor. “This sends a strong message about public corruption.”
This story began back in the 1990s, when Reed and several associates began buying and shipping back to Harrisburg thousands of artifacts for a series of museums he wanted to build in the city. After Reed left office, the city auctioned off most of the items. However, in June 2015, state investigators found some of the artifacts in Reed’s Cumberland Street home and in a nearby storage facility.
A month later, the state charged the seven-term mayor with almost 500 criminal counts, including charges of theft, bribery and evidence tampering. However, the court threw out most of those, determining they violated the statute of limitations because they had occurred too long ago.
Reed called the proceedings “gut wrenchingly humiliating.” He stuck to a script with defense lawyer Henry E. Hockeimer of Philadelphia-based Ballard Spahr by his side. Reed said he personally bought similar items when the city purchased artifacts. These items got mixed up while moving out of the mayor’s office, he said.
“How they got into some box when moving out seven years ago? I still do not know,” he said. “My guess is that they were thrown in with a bunch of similar things in the haste of getting everything packed.”
He said he takes responsibility for these 20 counts.
The artifacts, valued at more than $18,000 total, included documents, letters and other Wild West relics connected to Native American groups and famous figures such as Buffalo Bill.
Papenfuse Seeks Re-Election
Harrisburg Mayor Eric Papenfuse announced his bid for re-election last month, listing his accomplishments and vowing to heal rocky relationships with everyone from PennLive reporters to the National Civil War Museum board.
Standing in his Midtown campaign headquarters, Papenfuse stated that he is proud of the city’s improvements under his tenure, citing achievements in economic development, public safety, fiscal responsibility and civic engagement. He said that he’s running for re-election to continue to make progress in those four areas.
“I can say for certain that Harrisburg is on the right track, and I believe most residents feel that way as well,” he said.
So far, Papenfuse faces two declared opponents for the Democratic nomination, former City Council President Gloria Martin-Roberts and previous mayoral candidate, Lewis Butts. PennLive has reported that Johnny Baer, a Dauphin County prosecutor, might be interested in running on the Republican side.
During the half-hour announcement and press conference, Papenfuse defended his record as mayor, including the battles he’s waged with City Council members, the National Civil War Museum and PennLive.
“On any point, you can bring up where there’s been a controversy, I think it’s always been fought with the interest of Harrisburg taxpayers in mind, and I think we are in a position to move toward a good solution,” he said.
He dropped one such political battle during his announcement, ceasing his self-imposed ban on speaking directly to PennLive reporters.
River Walk Repaving
Broken pavement, holes, dirt and weeds—a jog along Harrisburg’s historic river walk can be an exercise in trying not to trip and fall down.
That, however, will soon change, as the city learned last month that it will receive a $1 million federal grant to repave the entire walk—11,000 linear feet—from Shipoke to Maclay Street.
Last year, the city applied for the Transportation Alternative Program grant, designed to assist and promote non-motorized transportation. On Jan. 10, PennDOT, which administers the U.S. Department of Transportation grant, announced $33 million in awards to fund 51 sidewalk, trail and other projects throughout the state, including the two-mile Harrisburg project, the only one funded in Dauphin County.
“This is a terrific means to encourage biking and walking,” said Mayor Eric Papenfuse. “Right now, the walk is uneven and a hazard.”
Papenfuse said he expected work to take place over the course of 2017, starting once the weather warms up. The project will be limited to the walk and the top step, he said.
The century-old river walk has been damaged repeatedly by floods and also has been a victim of neglect, with much of the original concrete patched haphazardly over many decades. Two years ago, the city used some of the federal money it received following the severe 2011 flood from Tropical Storm Lee to repair a section ofShipoke, which was the most severely deteriorated.
Council Candidates Declare
City Councilman Ben Allatt announced his bid for a second term last month via a Facebook Live video in front of the Broad Street Market, pledging to work to continue Harrisburg’s financial recovery.
“I’m proud of the record I have in working for more financial accountability, increased communication among our leaders, and also government transparency,” he said. “These are themes I want to build on going forward.”
Four, four-year council seats are at stake during the May 16 primary. Allatt is the first council incumbent to announce for re-election. He works as the associate vice president of human resources at Harrisburg University of Science and Technology.
A Democrat, Allatt won his first four-year term on council in 2013 and currently chairs council’s Budget and Finance Committee. He said in a press release that he has immersed himself in “understanding the intricacies” of the state-mandated financial recovery plan, the Act 47 process, municipal finance and the state laws pertaining to local government.
At press time, Dave Madsen was the only other declared candidate for council. Madsen is president of the Dauphin County Young Democrats and former staffer to Gov. Tom Wolf and state Secretary of Agriculture Russell Redding.
In a press release, Madsen said he supported re-chartering Harrisburg as a home rule city and would focus on improving the city’s aging infrastructure and fighting blight.
“There are still many issues the City Council will need to tackle over the next few years, such as fixing the city’s financial issues, reinvesting in critical infrastructure to meet basic community needs and improving the quality of life of our residents,” he said.
Hodges to Run for Judge
City Councilwoman Destini Hodges last month announced her bid to run for a magisterial district justice seat serving parts of Harrisburg, a position Judge George Zozos has held for 35 years.
Hodges, a Harrisburg native, said she aims to bring innovation and efficiency to the minor court judgeship for Dauphin County district 12-1-05.
“My goal is to now serve you as a magisterial district judge,” she said in her announcement. “I know I’ll continue to serve my community both effectively and efficiently because I’ll be serving with morality, ethics and, most importantly, integrity.”
The Democrat has served on City Council for two years and will not run for re-election. She has also served on the Harrisburg school board.
Hodges received a bachelor’s degree in political science from Penn State University’s Harrisburg campus. She earned her paralegal certificate from Harrisburg Area Community College. She currently works as an administrative office technician at HACC’s security department.
In Harrisburg, the judge district covers ward 13 and parts of ward 9.
Garage Rates Increase
The cost of street parking in Harrisburg is unchanged this year, though garage rates have increased again.
Starting last month, parking in the 11 garages and lots controlled by Park Harrisburg cost $10 for up to two hours, up from $9 last year. The monthly rate for garage parking also increased, with most garages costing $10 a month more to park.
At a public meeting in December, John Gass, the director of parking manager Trimont, said that Park Harrisburg would need to raise some of its rates to continue to meet bond payments and make revenue projections.
In addition to holding the line on street parking, Park Harrisburg said it would not raise the cost of parking violations, which will remain $30 a ticket if paid within four business days.
More Apartments Needed
Downtown Harrisburg has a need for about 300 additional apartment units by 2020, according to a report released last month by Harristown Enterprises.
The study, conducted by Columbia, Md.-based Real Property Research Group, concluded that demand for market-rate housing downtown soon will outstrip supply. Due to density and limited buildable land, most new units probably will come from “adaptive reuse” of existing buildings, the report said.
Over the past few years, more than 100 new rental units have opened downtown and near downtown due to projects by Harristown, WCI Partners and the Vartan Group. All of these projects involved renovating historic structures, mostly office buildings, for upscale residential units.
“Downtown Harrisburg has proven to be well suited for the development of high-end rental products, and that should continue to be the case for the foreseeable future given the projected household growth and strong job market,” the report stated.
Home Sales, Prices Up Again
The area’s housing market ended 2016 on a positive note, according to the Greater Harrisburg Association of Realtors.
In December, 809 housing units sold versus 708 units in December 2015 in the GHAR coverage area, which includes all of Dauphin, Cumberland and Perry counties and parts of Lebanon, Juniata and York counties. The median sales price rose to $169,900 from $159,850.
In Dauphin County, sales increased to 265 housing units compared to 237 units in December 2015, while the median price rose to $150,000 from $145,000, according to GHAR. In Cumberland County, 277 units sold versus 245 in the year-ago period. The median sales price was flat at $180,000. Perry County saw sales increase to 42 units from 26, with the median sales price rising to $152,500 from $150,000.
For all of 2016, the number of units sold rose 8.8 percent compared to 2015, while the median home sales price increased 3.9 percent in the region, said GHAR.
So Noted
Aleco’s, a popular sandwich, pizza and salad restaurant, moved last month to larger space at N. 3rd and Briggs streets in downtown Harrisburg. Aleco’s now occupies the ground floor of the newly renovated building that, for many years, was home to the St. Moritz nightclub.
Harrisburg City Council last month approved a new, two-year contract with Local 521 of the American Federation of State, County & Municipal Employees, which represents about 300 non-uniformed city workers. That contract provides for a 1 percent raise and a $1,000 bonus for all workers in both 2017 and 2018.
Ike’s opened last month inside the Holiday Inn Harrisburg East, 815 S. Eisenhower Blvd, outside Harrisburg. The restaurant features an American-style menu and will hold a grand opening, along with a fundraiser to benefit the ALS Association, on Feb. 18.
Knead, a gourmet pizza stand, has opened in the stone building of the Broad Street Market in Harrisburg. Run by Jenni O’Neill and Terry Hanley, Knead specializes in small, individual-sized pies.
In Memoriam
Karen Snider, executive director of the Harrisburg Public Schools Foundation, died unexpectedly last month. Snider, 77, had a long and distinguished career, including serving as the state Secretary of Welfare under Gov. Robert Casey and as founder of Susquehanna Consulting and Financial Group. After retiring, she was active in numerous social and charitable organizations, including the schools foundation, where she worked tirelessly to raise funds to maintain school programs threatened by the district’s financial crisis. In lieu of flowers, the family asks that donations be made to the Karen and Jack Snider Charitable Fund at the Foundation for Enhancing Communities, 200 N. 3rd St., Harrisburg, Pa. 17101.
Oliver Boyd, a long-time Harrisburg activist and gadfly, died last month following a long illness. For many years, Boyd was a well-known presence at both the Broad Street Market and City Council, where he often spoke eloquently, if sharply, before council members, agitating on behalf of the area’s poor and homeless. He clashed frequently with public officials, but they also respected him, and several council members noted his absence from meetings during his prolonged stay in the hospital. The family asks that donations in his name be made to the Major H. Winfield Funeral Home, 704 N. Front St., Steelton, Pa. 17113.
Changing Hands
Adrian St., 2454: R. & S. Vizzachero to M. Makinde, $61,000
Bellevue Rd., 2014: Statewide Enterprises to A. Pikowski, $64,000
Berryhill St., 2145: J. & J. Edrington to B. Charles, $66,700
Boas St., 215: F. & T. Barnaby to J. Barnaby, $80,000
Boas St., 429: G. Hutchinson & T. Wendling to R. King III, $155,000
Briggs St., 237: M. Gregorits to L. Binda & A. Black, $173,000
Briggs St., 1501: M. Watson to P. Randolph, $67,000
Brookwood St., 2172 & 2170 Getty’s Alley: D. & A. Kauffman to R. & Y. Barros, $33,000
Carnation St., 1726 & 1728; 1011 N. 19th St.; and 1916 Chestnut St.: CSL Investments LLC to Hilltop Property Group LLC, $97,500
Derry St., 2001: S. & E. Lewis to K. Causey, $89,975
Harris St., 431: Keystone Properties Group LLC to T. & B. Rossner, $93,000
Liberty St., 1414: G. Neff to D. McNair, $30,600
Logan St., 1725: PA Deals LLC to T. & V. Williams, $117,500
Market St., 313: E. Ruth to South Third Development LLC, $450,000
Market St., 2468: Citizens Bank of Pennsylvania to C. Jackson, $41,500
Mercer St., 2449: T. Dang & J. Nguyen to A. Williams, $65,000
2nd St., 813: L. & K. Beemer to L. Slater, $195,000
3rd St., 1101: A. Pastorak & T. Spangler to D. Carroll, $120,000
3rd St., 1728: M. Miller to Leonard J. Dobson Family Limited Partnership, $66,301
4th St., 3202: T. Levin to T. Broms, $100,000
5th St., 3009: T. Reed to N. Acharya, $50,000
6th St., 2200: D&F Realty Holdings LP to J. Frias, $70,000
16th St., 1100: HSBC Bank USA to M. Johnston, $37,919
Front St., 2415: C. Frampton & J. Kimmel to J. Kimmel, $103,145
Paxton St., 1610: A. Garcia to G. Scotto, $51,000
Peffer St., 220 & 222: G. & C. Cudaback & WCI Partners LP to T. Jones, $203,000
Penn St., 1723: PA Deals LLC to JD CPW 2013 LLC, $130,000
Rudy Rd., 1948: B. Drake to M. Anderson, $66,000
Rudy Rd., 2446: PA Deals LLC to T. & V. Williams, $64,900
Schuylkill St., 668: R. & D. Waibel to R. Wright Jr., $50,000
Showers St., 700: J. Lawley to G. Diehl, $175,000
12th St., 1442: N. Sanchez to G. Ruiz, $95,000
23rd St., 612: L. Brown to A. Radon, $190,000
24th St., 540: M. & D. Straw to J. Cirillo, $70,000
25th St., 440: Wells Fargo Bank NA to Jamil Karim LLC, $55,500
Front St., 549: T. & S. Grenager to J. Benjestorf, $186,171
Front St., 615: Federal Home Loan Mortgage Corp. to C. Conner & E. Butler, $70,000
State Street, 231, Unit 705: LUX 1 LP to Crist Property Management LLC, $182,400
Swatara St., 2324: Fannie Mae to SWM Properties, $58,000
Woodbine St., 217: Projimo Real Estate Holdings LLC to J. & S. Compton, $32,500
Wyeth St., 1417: PA Deals LLC to M. Renz, $102,000
Harrisburg property sales for December 2016, greater than $30,000. Source: Dauphin County. Data is assumed to be accurate.
Author: Lawrance Binda
