Tag Archives: Eric Papenfuse

Officials stress connections across time, community as Dauphin County library expansion breaks ground

October 14, 2021 | by Lawrance Binda

State, county and local officials today officially broke ground on a major expansion and renovation to the McCormick Riverfront Library in Harrisburg.

Construction has commenced but the fundraising continues, as the Dauphin County Library System today officially broke ground on a major expansion of its flagship library in downtown Harrisburg.

State, county and local officials were all on hand to ceremoniously turn the dirt on a $3.5 million project that partially renovates the existing McCormick Riverfront Library, completely renovates the neighboring Haldeman Haly House and connects the two buildings.

“It’s a physical connection, but it’s very symbolic of the connections we expect to happen … connecting all of us with a much deeper and more comprehensive understanding of our shared past so it can better inform our shared future,” said Karen Cullings, DCLS executive director, before a large assembled crowd.

At the rear of the library, an addition is set to rise to connect the buildings, which today’s groundbreaking marked.

The project also includes renovating the two-century-old Haldeman Haly House, transforming it into event, meeting and office space, and extensive renovations to the main library building, which will include a new children’s section, a new welcome center and an area dedicated specifically to the city’s African American history. It also will serve as a permanent home for the Harrisburg Past Players, which represents figures from local history, often in period costume.

A rendering of the planned expansion that will connect the two buildings.

Several speakers remarked on the deep historical connection between the two buildings. The McCormick Library was built on what was the garden of Sara Haldeman Haly, who, in 1896, bequeathed the property to the library system.

Dauphin County Commission Chair Mike Pries read a proclamation to honor the groundbreaking, and both Harrisburg Mayor Eric Papenfuse and City Council President Wanda Williams mentioned that the city next year will rename a portion of neighboring Walnut Street to honor pioneering Black lawyer and journalist T. Morris Chester as it makes major improvements to the street, a project that will include new bump-outs, crosswalks and sidewalks.

“It will be easier to get to the library than ever before,” Papenfuse said.

To date, DCLS has raised nearly $2.7 million towards its $3.5 million goal. Several speakers appealed for additional donations to close the remaining funding gap.

“I absolutely love the city of Harrisburg, and the city of Harrisburg deserves nice things,” said Andrew Enders, a member of the DCLS board of trustees. “These are shining examples of a nice thing that a capital city needs. Each of you is making that happen. We need community support.”

To learn more about the Dauphin County Library System and to make a contribution, visit www.dcls.org.

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Allison Hill street paving project kicks off in Bellevue Park

September 30, 2021 | by Maddie Gittens

Street paving in Bellevue Park on Thursday

On a quiet neighborhood street Thursday morning in Harrisburg, trucks slowly laid hot asphalt.

Just before that, city officials ceremoniously broke ground on the “Allison Hill paving project” in the Bellevue Park community, which includes patching and paving many worn streets.

The $1.1 million project includes resurfacing on portions of 15^th Street, Midland Street, Rudy Road, Bellevue Road and Magnolia Road.

ADA-accessible ramps will also be constructed on sidewalks along the roads, explained Mayor Eric Papenfuse. Additionally, stormwater inlets will be evaluated to make sure they are functioning.

Much of the road patching will be completed in the next few days, while major paving and other improvements will take place in the spring, according to City Engineer Wayne Martin.

Earlier this year, ADA-compliant bus stops were installed on Market Street, Martin said. He added that York-based Shiloh Paving and Excavating will complete the road work.

If the road maintenance had been delayed for just a few more years, the damage would have been significantly more, costing the city up to 10 times as much as the current project, Martin said.

According to Papenfuse, the Allison Hill paving project is part of the administration’s goal to repave identified streets across the city in a $100 million initiative.

“This is due to years of deferred maintenance under the city’s compromised financial situation,” he said. “We are finally in a position where we can address that $100 million in streets and roads.”

While many of the recent road construction projects have focused on main streets in the city, such as N. 6^th Street or 2^nd Street, Martin said that many neighborhood street projects are in the works.

“It’s an astounding amount of streets and roads that need to be paved,” Papenfuse said.

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October News Digest

September 30, 2021 | by Lawrance Binda and Maddie Gittens

Eric Papenfuse last month announced a write-in campaign for mayor.

Papenfuse Declares for Mayor as Write-In

Harrisburg Mayor Eric Papenfuse made it official last month, declaring that he is running as a write-in candidate in the November general election.

Papenfuse made the announcement while standing in front of the Hudson Building, recently renamed the Atlas, a structure in Uptown Harrisburg undergoing extensive renovation.

He stated that he decided to run for a third term, despite narrowly losing the Democratic primary in May, based on his track record of fiscal management and rebuilding the capacity of city government, along with a pledge to forge a coalition across the city.

“I plan to lead by decisive outreach in a way that brings in people and has their voices heard in ways that they haven’t been heard before,” he said.

In May’s Democratic primary, Papenfuse lost by 46 votes to City Council President Wanda Williams. Two other candidates, David Schankweiler and Otto Banks, also tallied more than 20% of the vote in the five-person race.

Recently, Papenfuse named Banks as the city’s new economic development director.

“There was no mandate in the primary,” Papenfuse said. “If there was any lesson from the primary, it’s that we have to build a broader coalition. We have to work together, and I’m the candidate for that.”

Write-in campaigns are rarely successful, as the candidate’s name does not appear on the ballot, forcing voters to take an extra step to write in their choice.

Papenfuse said that he believed he could defy the odds, describing his decision to run as a write-in as a “long process.”

“I really took some time over the summer to think about what I wanted to do,” he said. “The way I saw it, I could either give up and watch the city fall apart or I could fight to keep the ship from sinking and keep us on course.”

Ribbon Cut on Herr Street Underpass

Harrisburg has cut the ribbon on a significant road reconstruction, restoring a major connection point between neighborhoods.

Last month, city officials ceremoniously reopened the updated Herr Street underpass, which connects Midtown/downtown and Allison Hill.

The roadway, just off N. 7th Street, dips under the Norfolk Southern railroad and connects to N. Cameron Street.

For years, the entity responsible for maintaining the underpass was under dispute, with the city and Norfolk Southern clashing on the issue, according to Mayor Eric Papenfuse.

In turn, the roadway and sidewalks deteriorated, and the steel underpass was in danger of structural failure, Papenfuse said.

“It was pretty awful,” he said. “Historically, this was something of a no man’s land.”

In the end, the state Department of Transportation worked with the city to repave the street, redo and widen the sidewalks, create new inlets and drainage systems and clean and fortify the steel columns under the railroad. The city also contributed new LED lighting.

Papenfuse also pointed out that the sidewalks are bike-friendly and connect riders to the new bike lanes on N. 7th Street.

In total, the project cost near $2 million, largely from PennDOT funds, with contributions from the city.

Harrisburg Plans New IT System

Decades after it was installed, Harrisburg’s aged mainframe appears headed for the scrap heap, as the city plans a major upgrade of its municipal computer system.

City Council, at a legislative meeting last month, passed a resolution that will start the process of phasing out the city’s existing, outdated mainframe and implementing new, more efficient IT systems.

“It’s about time,” said council vice president Ben Allatt, a sentiment echoed by other members.

The current system is about 35 years old, according to Steve Zimmerman, a former director of information technology for Harrisburg, who will provide consulting to the city on the legacy system. The city will pay Zimmerman up to $135,000 for one year of consulting work as it transitions off the old mainframe.

The city then will use Texas-based Tyler Technologies, a software company that works in the public sector, to complete the upgrade.

Over the next two years, the tech company will introduce an enterprise resource planning system that will manage day-to-day internal activities such as accounting, budgeting, payroll, scheduling and tax billing.

Harrisburg residents may also see some benefit from the upgrade, as it impacts businesses license and dog license registration, building permits access and online payments.

Tyler Technologies also provides contracting for the Harrisburg School District and works with over 100 entities in the state, said Terry Quinn, senior account executive of Tyler.

The initial cost of the conversion is about $651,000 with an annual cost of $331,000, Zimmerman explained. The existing system currently costs the city $504,000 annually, he said.

New Community Relations Director

A key member of the Harrisburg Police Bureau was introduced last month, tasked with creating conversations and enhancing understanding between the bureau and residents.

At a press conference, Mayor Eric Papenfuse announced Harrisburg native Fiordaliza “Ana” White as the bureau’s new director of community relations and engagement.

“She really brings a wealth of knowledge around topics such as community policing, crisis management, public relations, strategic partnership and mental health,” Papenfuse said.

White’s position was previously held by Blake Lynch, who recently left the bureau after three years for a position with the public media organization, WITF.

White, who speaks both English and Spanish, graduated from Harrisburg High School and earned a bachelor’s degree in educational studies and sociology from Denison University. She also serves as the director of programming for Bro2Go, Inc., a youth and adult reentry intervention and prevention program.

In her new role, White oversees the six new community service aides (CSAs) hired by the bureau to build relationships with residents, as well as assist officers with quality-of-life issues. They are:

Vanessa Bowers
Myron Brooks
Rayshawn Brown-Donald
Malachi Holmes
Jeret Spears
Sierra VanSickler

The police bureau is recruiting for a seventh CSA position.

New Plan for MarketPlace

There’s a new plan for a broad swath of Midtown Harrisburg, as the city’s redevelopment agency has selected a developer for dozens of long-empty lots.

In a meeting in late August, the Harrisburg Redevelopment Authority chose the city-based development team of Chris and Erica Bryce and Harrisburg Commercial Interiors (HCI) to complete the unfinished MarketPlace development, a project totaling 67 lots sprinkled between Reily Street and the Broad Street Market area.

The unanimous vote gave the developers permission to move ahead with their plan, which includes a mix of single-family townhouses, small apartment buildings and mixed-use commercial space.

“I’m very pleased with this decision,” said Chris Bryce, after the meeting. “I think what happened will be great for the future of Harrisburg.”

Their plan bested a competing proposal by Philadelphia-based Odin Properties and Harrisburg-based RB Development, which likewise was seeking “designated developer” status for the lots.

The authority voted 3-0 for the Bryce/HCI proposal, though members did not state why they made their selection. After the vote, Ryan Sanders of RB Development declined to comment on the authority’s decision.

Both developers are currently active in the Midtown area.

Last year, the authority selected the Bryces/HCI to develop dozens of vacant lots that are part of the unfinished Capitol Heights project just across Reily Street. Earlier in August, RB Development received zoning board approval for Bethel Village, a low-income senior housing development at N. 6th and Herr streets.

In the proposal for MarketPlace, the Bryce/HCI team envisions a total of 104 to 120 housing units, including apartment units and for-sale townhomes. Thirty to 40 will qualify as affordable, bringing the project into compliance with the city’s recently passed affordable housing statute, according to Matt Long of HCI.

Federal Building for Sale

For a bid of at least $3 million, you could be the next owner of one of the most valuable parcels of land in downtown Harrisburg.

A somewhat dated, 246,000-square-foot building conveys with the property.

The federal General Services Administration posted notice last month that it is selling the Ronald Reagan Federal Building at 228 Walnut St. To bid in the online auction, a deposit of $100,000 is needed, with a minimum bid of $3 million.

The 11-story building was built in 1966 and is one of the largest freestanding office buildings in Harrisburg, occupying a full city block at N. 3rd, Walnut and Locust streets. In addition to nearly 250,000 square feet of finished space, it has a 55-space parking area in the basement.

GSA wants to sell the building as it nears completion of the new federal courthouse, a 243,000-square-foot building at N. 6th and Reily streets. GSA expects substantial completion of that project in summer 2022.

The Ronald Reagan Federal Building houses the current courthouse operations, in addition to other federal agencies with Harrisburg-based offices. Some of these offices, such as the U.S. Marshal Service, are slated to move to the new courthouse.

The Reagan building also houses a U.S. post office. GSA has not yet made public its plans for the post office.

Sale of the property had been in the cards for several years. In 2019, the Public Buildings Reform Board listed the property as one of 14 federal properties slated for disposal.

Area Home Prices Rise

Sales declined a bit, but prices increased considerably, as the area’s real estate association released its existing home sales report for August.

In the three-county coverage area, sales dropped to 810 housing units compared to 866 in August 2020, but the median sales price rose by 9.3% to $235,000, according to the Greater Harrisburg Association of Realtors (GHAR).

The Dauphin County market experienced substantial price appreciation, as the median sales price of a house jumped to $216,000 versus $170,600 last August. The number of houses sold dipped to 376, a decline of nine units, GHAR stated.

In Cumberland County, sales fell by 16 units to 380 houses, while the median sales price rose to $265,000 from $240,000 the prior August, according to GHAR.

Perry County had 41 home sales, a decline of two compared to last August, as the median sales price increased to $230,000 from $149,900 last year, GHAR said.

Houses were also selling quickly. According to GHAR data, the “average days on the market” in August was just 17 days, compared to 35 in August 2020.

So Noted

Broad Street Market reached its fundraising goal last month to repair and replace its large, notable sign. A $10,000 donation from the nonprofit, Lighten Up Harrisburg, pushed the campaign over its $40,000 goal, allowing the project to proceed following severe, storm-related damage to the sign.

Friends of Midtown Community Dog Park closed last month, as a three-year stint at a temporary location at N. 7th and Granite streets came to an end. Organizers are now seeking a new location that can serve as a permanent home for a dog park.

Melissa Mann last month was appointed the new director of the PA Historical & Museum Commission’s Bureau of Historic Sites & Museums. In this role, Mann will supervise the commonwealth’s 24 state-owned historic sites and museums, according to PHMC.

Michael Philip O’Brien has been named the new executive producer of Gretna Theatre in Mount Gretna. He replaces Brian Kurtas, who left to become the new associate artistic director of the Walnut Street Theatre in Philadelphia.

Midtown Cinema announced major personnel changes last month, naming Rachel Landon as general manager and Stacey Werner as assistant manager. They replace long-time director of operations Adam Porter and assistant manager Sammi Leigh Melville. Porter left to focus on his business, StartUp Harrisburg, as Melville finishes up her second novel.

Otto Banks last month was named Harrisburg’s new economic development director. Mayor Eric Papenfuse appointed Banks, who opposed him in the Democratic primary for mayor last May, to replace Nona Watson, who left the post several months ago.

Changing Hands

Adrian St., 2422: W. & B. Flagle to SPXT PA LLC, $83,750

Bellevue Rd., 1959: D. Hargrove & D. Surbrena to E. Ford, $62,000

Bellevue Rd., 2101: J. & E. Lewis to C. Dozier & H. Abraham, $324,900

Berryhill St., 1708: C. Zapata to A. Herr, $68,000

Berryhill St., 2310: L. & G. Smith to N. & Y. Reinoso, $105,000

Boas St., 116: J. Crouch to M. Manley & S. Clark, $186,500

Boas St., 265: 265 Boas Associates to SJL Rentals LLC, $562,000

Boas St., 1824: Integrity First Home Buyers LLC to M. Freeman, $77,450

Briggs St., 1621: D. Floyd to K. & S. Green, $36,000

Brookwood St., 2440: M. Russell to B. Sium, $90,000

Brookwood St., 2442: D. Lawson & C. Jenkins to Alliance Estates LLC, $84,900

Capitol St., 907: E. Ashenfelder to J. Schmucker & C. Snook, $167,000

Cumberland St., 214: M. Santalucia to C. Anderson, $190,000

Cumberland St., 272: B. Hall & K. Humen to E. Maxson, $169,900

Derry St., 1727: D. Boyle to V. Severino, $30,000

Derry St., 1942: J. Wissler to 946 South 18th LLC, $60,000

Derry St., 2114 & 2116: MRI Properties LLC to P. Singh, $180,000

Derry St., 2405: J. Schwartz to R. Smith, $95,000

Derry St., 2508: B. Bandy to M. & S. Mejia, $85,000

Derry St., 2614: J. & T. Aitken to J. Klinger, $87,000

Emerald St., 519: J. Perkins to C. Aumuller & P. Carcione, $52,000

Fox Ridge Ct., 305: J. Sprajcar to T. Thompson, $165,000

Green St., 706: J. Choi & J. Crumbly to R. Eppley Jr., $207,000

Green St., 1113: M. Labuz to Eastlake Eleven LLC, $167,000

Green St., 1310: A. Johnson to K. & K. Daczka, $179,900

Green St., 1904: R. & A. Gonsar to T. Luckenbaugh, $237,500

Green St., 2046: HAMR Property Services LLC to CWJK Holdings LLC, $161,875

Green St., 2334: Phantom Property Investments LLC to J. Fermin, $120,000

Green St., 3113: M. Jarvis to M. & C. Rinkoff, $228,000

Greenwood St., 2118: MCCJ Properties LLC to SPG Capital LLC, $58,000

Hale Ave., 383: S. Henry to J. Jones, $75,000

Hamilton St., 201: Braxley Renovations LLC to SJL Rentals LLC, $205,000

Herr St., 206: S. Ntzanis to Z. & A. Martin, $161,000

Herr St., 226: V. Wills & R. Moore to D. Hack & B. Blakistone, $209,900

Herr St., 309: N. Kresge to M. Connors, $240,000

Herr St., 1823: M. Murphy, K. Seidel & Murphy Rentals Inc. to H. Toledo Jr., $59,900

Hummel St., 431: Bell Group LLC to Hillside Financial LLC, $120,000

Jefferson St., 2450: B. Koshkarian to Integrity First Home Buyers LLC, $73,500

Kelker St., 215: M. Novosel to A. & J. Bert, $115,000

Kensington St., 2037 & 2039: J. Echegaray to SNB Real Estate Solutions LLC, $110,000

Kensington St., 2262: R. Eden & PA Housing Finance Agency to D&A Homes LLC, $54,000

Kensington St., 2365: C. Woods to A. Pellegrini, $100,000

Linden St., 125: CR Property Group LLC to S. Tolopilo, $125,100

Mercer St., 2446: F. Beshara & L. Zeller to D. Sherer & M. Cohn, $106,000

Mulberry St., 2000: P. Robinson to J. Hunter, $105,000

Naudain St., 1421: Gary Neff Inc. & City Limits Realty to G. Ajakaye, $47,500

N. 2nd St., 709: KBH Properties to J. & K. Staz, $128,000

N. 2nd St., 1105: HAMR Second Street LLC to CWJK Holdings LLC, $161,400

N. 2nd St., 2315: H. Bower to J. Pulley, $159,900

N. 2nd St., 2333: C. Cullis to L. & J. Casey, $105,750

N. 2nd St., 2515: P. Burke to T. & B. Groce, $257,000

N. 2nd St., 2625: R. Morning to K. Boyer, $280,000

N. 2nd St., 3019: J. Erb to J. Steinbrunner, $180,000

N. 2nd St., 3232: J. Dresslar & W. Cleary to Alkaline Properties LLC, $95,000

N. 3rd St., 2251: M. Erazo to D. Riley, $126,000

N. 3rd St., 2550: N. Mindlin & J. Cutler to A. & I. Hermantin, $279,000

N. 4th St., 3209: M. Schuessler to T. & J. Perla, $88,512

N. 5th St., 1700: N. McWhite to Taylor Made Properties LLC, $61,001

N. 5th St., 1719: R. Cieszynski to Alkaline Properties LLC, $95,000

N. 6th St., 1500: P. Stier to L. Grossberg & J. Maes, $472,500

N. 6th St., 2901: Firetree Ltd. to Loving Handz Early Learning & Development Center Inc., $175,000

N. 6th St., 3105: K. Kissam to C. Penney, $117,900

N. 7th St., 2148: Tang & Perkins Property Management LLC to SPG Capital LLC, $47,500

N. 13th St., 18, 20 & 22 and 13 & 15 Linden St.: M. Lamereaux & S. Brady to E. Rodriguez & M. Taveras, $225,000

N. 14th St., 226: J. Bowen to Fernandez Realty Group LLC, $68,000

N. 14th St., 1203: N. Barber to FRDOCE03 LLC, $55,000

N. 16th St., 1103: RJ Schultz Enterprises Inc. to J. & J. Izurieta, $98,000

N. 18th St., 47: Great Row LLC to T. Paul, $45,900

N. 19th St., 709: J Linc Holdings LLC to Wisechoice USA LLC, $39,000

N. Front St., 1013: B. Rota to J. Charles Realty LLC, $250,000

N. Front St., 3211: 3211 Front Associates LLC & In Touch Holding to Empire Front Street LLC, $3,770,000

Park St., 1630: L. Palmer to Integrity First Home Buyers LLC, $67,500

Penn St., 1311: Integrity First Home Buyers LLC to 1311 Penn Street LLC, $139,900

Penn St., 1612: N. & C. Giustra to M. Bravo, $208,400

Penn St., 2224: K. Lawler to A. Luchansky, $74,900

Penn St., 2313: M. Bekelja to SPG Capital LLC, $67,500

Reel St., 2616: E. Chattah to Integrity First Home Buyers LLC, $79,300

Regina St., 1819: J. Carmona & K. Contreras to M. Pichardo, $

Reily St., 430 & 432: Dobson Family Partnership to 400 Reily Street LLC, $300,000

Rolleston St., 1042: D. Lispi to R. Kinnard, $200,000

Rumson Dr., 2983: J. Jones to C. Caraballo, $100,500

Schuykill St., 536: E. Chattah & Y. Guhl to Integrity First Home Buyers LLC, $90,500

Seneca St., 262: CR Property Group LLC to C. Drayton, $59,900

S. 12th St., Neidlinger Enterprises LLC to M. Dalupang, $130,000

S. 14th St., 429: A. & T. Scott to C. Heras & W. Salinas, $53,000

S. 15th St., 17: H. Sostre & M. Gonzalez to F. Contreras, $85,000

S. 18th St., 14: K. Moore & Habitat for Humanity of Greater Harrisburg Area to Integrity First Home Buyers LLC, $59,000

S. 18th St., 28: RJ Schultz Enterprises Inc. to Moxie Properties LLC, $51,000

S. 21st St., 932: RTD Properties & Management to K. Ferrera, $57,000

S. 23rd St., 647: L. & M. Chen to J. Mears, $100,000

S. 25th St., 602: RDR Property Management LLC to D. Glatfelter, $68,000

S. 27th St., 734: B. McCann to D. Smith, $98,000

State St., 231, Unit 602: LUX 1 LP to R. Murcia, $140,000

State St., 1847: Blue Door Management LLC to Bridger Investments LLC, $40,000

Susquehanna St., 1809: S. Sehar to SPG Capital LLC, $82,500

Susquehanna St., 1839: S. Conover to E. Lindsay, $160,000

Vernon St., 1343: R. & D. Kauffman to J. & C. Glick, $60,000

Washington St., 111: C. Altman to O. Hannah, $170,000

Yale St., 225: L. & L. Napier to J. Camacho, $63,000

Harrisburg property sales for August 2021, greater than $30,000. Source: Dauphin County. Data is assumed to be accurate.

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New at the Top: Nate Spriggs appointed Harrisburg’s director of public works

September 27, 2021 | by Lawrance Binda

Nate Spriggs (right) was introduced as Harrisburg’s new director of public works on Monday.

Harrisburg has a new leader for one of its most visible departments.

In a press conference today, Mayor Eric Papenfuse announced that he has hired Nate Spriggs as the city’s new director of public works, the department that handles such critical services as trash pickup and snow removal.

“I’m looking forward to getting started,” Spriggs said. “I want to thank the residents of this city for having me, and I want to thank the mayor for calling me and giving me an opportunity to be the city of Harrisburg’s public works director.”

Spriggs replaces Dave West, who is retiring. West has served as director only since March, when long-time department head Aaron Johnson retired.

West will stay on until the end of the year to help transition the department before retiring, Papenfuse said.

“The residents of this city are the focus,” West said at the city hall press conference. “The residents have to continue to be the focus of this city. They’re first. We work for them. We’re servants to them.”

Spriggs may be a familiar name around Harrisburg. He worked for the city years for 22 years, including 19 in the Public Works Department, before leaving to become the public works director for Susquehanna Township in 2017.

As Harrisburg’s public works director, Spriggs will earn $120,000 a year, a jump from the position’s prior salary of $99,000 a year. Papenfuse said a raise was necessary to attract a high-quality candidate for the post.

Recently, Papenfuse has named new directors to lead several other departments. Earlier this month, he chose Ana White as the city’s new communications director and Otto Banks as the new economic development director.

Harrisburg’s department heads have to be confirmed by City Council, but can serve for up to six months on an appointed basis.

“I welcome Nate Spriggs as the city’s new director of public works,” Papenfuse said. “His previous experience working for the city and Susquehanna Township makes him the right choice for this position. He will be an asset to the city of Harrisburg.”

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City administration makes case for debt restructuring to Harrisburg’s financial oversight board

September 23, 2021 | by Lawrance Binda

The Intergovernmental Cooperation Authority for Harrisburg at Wednesday’s meeting

The city administration took its case for a proposed debt refinancing to Harrisburg’s state-appointed financial oversight body on Wednesday, stating that time was running short to finalize an agreement.

Harrisburg’s financial advisor, Dan Connelly, told members of the Intergovernmental Cooperation Authority (ICA) that the city must complete a planned debt restructuring by Dec. 31, when a deal negotiated with the city’s bond insurer, Ambac Assurance Corp., expires.

In a lengthy presentation, Connelly outlined various fiscal scenarios, three of which included a refinancing and three that did not include a refinancing. He emphatically stated that refinancing the city’s debt and paying it back over time made the most sense, especially when compared to paying off the bonds with cash on hand.

“Doing the Ambac deal results in less cost than foregoing the deal on virtually any scenario,” he told ICA members.

In early June, the administration introduced legislation that would allow Harrisburg to settle debt associated with the 2005 renovation of the city-owned minor league baseball stadium on City Island, as well as refinance debt incurred when the city defaulted on general obligation bonds in 2012, in the midst of the city’s financial crisis.

According to this restructuring deal, the city would retire the remaining stadium debt of about $5 million. Ambac then would offer the city an immediate discount on its remaining debt load, reducing it by up to $3.3 million, an amount dependent upon how much money the city pre-pays.

Under the deal, Ambac also would lower the city’s interest rate from 6.75% to 5% for up to three years on its remaining debt of about $25 million. According to Mayor Eric Papenfuse, another refinancing next year could lower the city’s interest rate further to the 3% to 3.5% range.

Under the proposed deal, remaining debt would be retired over 10 years.

“All that evaporates if we don’t do the deal by Dec. 31,” Papenfuse, who was not at the ICA meeting, said separately. “We still have to pay off all the debt, but we don’t get any of the benefit.”

However, several City Council members have balked at this agreement with Ambac, and council, so far, has not held a hearing on it. Instead, council leaders, including President Wanda Williams, have said that they prefer to use the city’s substantial savings to pay off the debt in full.

As of June 30, the city had a fund balance of $41.7 million, savings accumulated as the city has underspent its budget for successive years. Recently, city Controller Charlie DeBrunner told council that he expects the city to end 2021 with a fund balance of about $34 million.

On Wednesday, however, Connelly told the ICA that the city does not have sufficient money in the bank to pay off the debt.

Citing upcoming bond payments, capital expenditures and other expenses, he said that a debt repayment from available cash would deplete the city’s coffers and, in fact, would plunge the city into deficit, making it unable to pay its bills.

Notably, Harrisburg and the ICA have already provided for a debt refinancing as part of its five-year financial plan for the city.

“We think the plan going forward is basically the approach that it is outlined in the five-year plan,” Connelly said.

At the meeting, several ICA members urged the administration to cooperate with other decision-makers, such as City Council, in reaching an agreement.

“I would love to leave you with a politely worded urge to have a sense of urgency in engaging with all interested parties to make sure that a plan that everyone can sign off on is acceptable so it can be executed,” said ICA vice-chair Ralph Vartan.

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Harrisburg controller says city could repay bonds early, contradicting mayor

September 17, 2021 | by Lawrance Binda

A screen shot of Harrisburg Controller Charlie DeBrunner during this week’s City Council meeting

Harrisburg should end the year with enough money in the bank to pay off its accumulated debt, according to a key city official.

Appearing before City Council this week, Controller Charlie DeBrunner told council members that his office projects a $34 million fund balance by year-end, which could be enough to pay off the city’s bonds, he said.

“I think it’s pretty clear that we can if this holds up,” DeBrunner said. “We’re not in the administration, so we can only see what’s happened, not what’s going to happen. We don’t have a crystal ball that the finance people and the mayor do.”

In contrast, Mayor Eric Papenfuse has repeatedly stated that the city does not have enough savings to pay off about $25 million in debt, plus settle ongoing city expenses and retain an adequate reserve fund of $11 million to $13 million. He’s also said that, with a healthy fund balance, the city would regain a credit rating and be able to re-enter the bond markets for the first time since defaulting on its debt a decade ago.

For months, Papenfuse has criticized council for refusing to act on his proposed bond refinancing, introduced in early June, which would significantly reduce the city’s general obligation bond interest rate, which currently stands at 6.75%.

Council President Wanda Williams and other council members have said that they want to use the city’s savings to pay off the debt all at once, as opposed to refinancing it.

DeBrunner told council members this week that, by paying off the debt early, the city could save some $14 million in accumulated interest over a planned 10-year repayment period.

The Intergovernmental Cooperation Authority, a body created by the commonwealth to help oversee Harrisburg’s finances, has urged the administration and council to meet to resolve their differences over financial data and to reach an agreement on a path forward. As of late last month, the two sides had not yet met.

Papenfuse has said that he welcomes alternatives to his refinancing plan, but council has not formally introduced legislation to pay off the debt in part or in full.

“I’m open to ideas,” he told TheBurg previously. “I haven’t seen anything on their part.”

Papenfuse this week said that, if council had acted in June, the refinancing could have been completed already, with the interest rate cut in half to the financial benefit of the city.

DeBrunner said that another bond payment is slated for January, so council could wait until then to see exactly how much savings the city has before making a decision on whether or not to pay off the debt.

The good news is . . . we don‘t have to do anything until we know,” he said. “We don’t have to pay any money until January 2022, so we’ll know exactly what we have then.”

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Democratic mayoral nominee Williams vows to re-initiate campaign, following grieving period

September 17, 2021 | by Lawrance Binda

Wanda Williams speaks to the press on the night of the Democratic primary in May.

Harrisburg’s Democratic nominee for mayor says that she’s gearing up for the November general election, stating that her “campaign team is moving forward.”

In a statement released on Thursday night, Wanda Williams, currently president of City Council, said that she will re-initiate her campaign by “month’s end,” following a mourning period for her mother, Patricia Dockens.

“Since her funeral, just last week, we have worked as a family to persevere through this sudden tragedy,” Williams wrote in a press statement. “As anyone who has suffered the sudden loss of a parent knows, the mourning process won’t be easy or immediate, so your continued prayers of support are greatly appreciated.”

She then directly addressed the entry of current Mayor Eric Papenfuse into the race. On Wednesday, Papenfuse declared that he would run as a write-in candidate, having lost May’s Democratic primary election by 46 votes to Williams in a five-person race.

In her statement, Williams said that she was surprised by Papenfuse’s reaction in the months following the election, as he called her to concede on the night of the primary. Since then, he’s been increasingly critical of her and has cited concerns about her becoming mayor as a major reason for his write-in campaign.

Over the past few months, Papenfuse and Williams have clashed over such matters as a planned refinancing of city debt and the distribution of federal pandemic relief dollars, with each accusing the other of not returning calls and refusing to cooperate.

“The recent remarks made by the current mayor are in stark contrast to the sentiment of encouragement that was made to me when he conceded on May 18 after losing the primary election,” she wrote. “In fact, he was on the record in communicating his full support of my ability to lead the city of Harrisburg into the future and made several requests to be integrated on my transition team.”

The general election is slated for Nov. 2, though Dauphin County is expected soon to begin to distribute mail-in ballots. A Republican, Timothy Rowbottom, will also be on the ballot.

Williams’ entire statement follows:

First, I would like to take a moment to thank all the residents of Harrisburg, including many lifelong friends, and family for their outpouring of love, warm thoughts and condolences for the recent loss of my mother, Patricia Dockens. She inspired my commitment to the community and was a pillar whose example I’ve tried to emulate every day of my life. Since her funeral, just last week, we have worked as a family to persevere through this sudden tragedy. As anyone who has suffered the sudden loss of a parent knows, the mourning process won’t be easy or immediate, so your continued prayers of support are greatly appreciated. I look forward to resuming our campaign activities by month’s end.

The headlines have been intense over the past week and it’s important to me that I address the community with a balanced response.

The recent remarks made by the current mayor are in stark contrast to the sentiment of encouragement that was made to me when he conceded on May 18th after losing the primary election. In fact, he was on the record in communicating his full support of my ability to lead the City of Harrisburg into the future and made several requests to be integrated on my transition team. His absence throughout most of his term of office as an essential no-show was only exacerbated after the primary loss. Since his concession and offer to support my leadership, he has consistently obfuscated his responsibility as mayor leaving the City without leadership on the second floor. Now, when he should be supporting a smooth transition, he’s rushing to refinance bonds, spend down federal relief dollars and hire critical positions in the waning weeks of this administration with no regard for the sustained needs of the City.

Mr. Papenfuse is legally able to attempt a write-in campaign, however, I was hopeful that his voice of support would be one that I could count on when he shared his commitment to me as the only Democratic candidate.

Our campaign team is moving forward, and we are grateful for the endorsement from the Dauphin County Democrats, under the leadership of Chairwoman Rogette Harris, as well as the support of many of the candidates for Mayor who have all conceded and expressed positive reinforcement in my ability to lead the City of Harrisburg.

Through the course of my more than 20 years in politics, I’ve seen many attempts to quell the voices of Black women. I’ve seen attempts to ensure that women in politics do not have a proper stake in the conversations that are leading this city. And I’ve committed myself through this campaign to make sure that doesn’t happen any longer. The time is now to lift the voices of our small businesses, our urban centers, our schools, our communities, heal from the COVID-19 pandemic and take this city to the next level. I’m looking forward to building a broad-based coalition of support that is going to lead this city to the future.

The residents of Harrisburg finally have an authentic leader who is rooted in the community, who’s going to take input from the community, and going to ensure that this beautiful city of ours, lives, breathes and feels like the community it wants to become and has always meant to be.

I look forward to seeing you on the campaign trail very soon.

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Papenfuse makes it official, announces write-in campaign for Harrisburg mayor

September 15, 2021 | by Lawrance Binda

Harrisburg Mayor Eric Papenfuse today announced a write-in bid for re-election.

Harrisburg Mayor Eric Papenfuse made it official today, declaring that he is running as a write-in candidate in the November general election.

Papenfuse, with his wife Catherine Lawrence beside him, made the announcement while standing in front of the Hudson Building, recently renamed the Atlas, a structure in Uptown Harrisburg undergoing extensive renovation.

A line of construction workers stood in the background as Papenfuse spoke to the media.

“I plan to lead by decisive outreach in a way that brings in people and has their voices heard in ways that they haven’t been heard before,” he said.

On Monday, Papenfuse named Banks as the city’s new director of economic development.

Write-in campaigns are rarely successful, as the candidate’s name does not appear on the ballot, forcing voters to take an extra step to write in their choice.

Papenfuse said that he believed he could defy the odds. In an interview preceding today’s announcement, he described his decision to run as a write-in as a “long process.”

He said he’s running on “three strengths” based upon his two terms as mayor: “strong fiscal management,” “ethical leadership” and “a commitment to bipartisanship.”

He said that, when he first became mayor in January 2014, the city was just emerging from a historic financial crisis driven by years of overspending and fiscal mismanagement. Since then, the city has run consecutive balanced budgets, has accumulated a large fund balance and, last year, got the state legislature to extend its extraordinary taxing authority.

“All of that is the proven track record which I think is the story of success for the city,” he said.

Papenfuse also said that, during his years as mayor, he’s doubled the size of the city government and vastly increased its capabilities, which had been devastated during the fiscal crisis.

“And we’re able to pay for it and did it slowly over the course of eight years,” he said.

He also said that he ended “pay to play” politics, which, he said, took root under long-time Mayor Steve Reed.

In addition, Papenfuse took aim at Williams, saying that she was part of the “corrupt” Reed team and that her election would endanger the city’s progress.

“Throughout the past eight years, President Williams has been hostile to economic development in this city,” he said, during his official announcement on Wednesday. “She’s also been hostile to growing the population of this city. I called those views, at one time, xenophobic, in what they essentially were, were a fear of the growth of our population and the growth of our tax base. That fits with the theme of fiscal responsibility because, without the growth of our population, without the growth of our tax base, we won’t have a strong and healthy city.”

In response to Papenfuse’s announcement, Williams issued the following statement:

“Today Eric Papenfuse revealed his true colors,” according to Williams’ statement. “After a history of supporting Republicans over Democrats, using the mayor’s office to give favors to his political allies, and working for developers, not the people, he announced a last-ditch attempt to stop a black woman from becoming mayor. As I did in the primary, I will beat (him) in November and end his tenure of sexism and cronyism.”

In addition to the Democrat Williams, the ballot will include city businessman Timothy Rowbottom, who received the Republican nomination for mayor.

Papenfuse said that recent changes to voting in Dauphin County may aid his write-in effort. For instance, many more people now vote by mail and, at the polling place, people are given a pen to vote and no longer can push a button to vote a straight party ticket.

“I will be going out of my way not only to forge a coalition with people who voted David Schankweiler and Otto Banks, but also Republicans and independents,” he said. “I’m a candidate who’s always desired to work broadly with people, not narrowly within the wedge issues of Democratic politics.”

The general election is slated for Nov. 2. However, Dauphin County is expected to begin to send out mail-in ballots in the coming weeks.

This story was updated to include a statement by Wanda Williams.

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Street parking rates to rise in much of Harrisburg starting next week

July 26, 2021 | by Lawrance Binda

A parking meter in Midtown Harrisburg

Street parking is about to get even more expensive in Harrisburg, as the system’s manager today announced significant increases for metered spaces.

Starting next Monday, hourly street parking will rise by 33% in the areas controlled by Park Harrisburg /SP+, according to the company.

In the central business district (CBD) zone, which includes much of downtown, street parking rates will increase from $3 to $4 per hour. In non-CBD areas, the rate will rise from $1.50 to $2 an hour.

“This is the first meter rate increase since Park Harrisburg assumed responsibility for specified metered parking spaces and garages from the City of Harrisburg and Harrisburg Parking Authority in 2013,” said John Gass, managing director with PK Harris Advisors, the asset management company for the parking system, in a statement.

Gass added that a rate increase had been under consideration “for some time to provide sufficient cash flow to maintain expenses associated with the system.”

Reached by text, Mayor Eric Papenfuse said that he opposes the rate hikes and that the city was not consulted about the increases.

Under Harrisburg’s 2013 financial recovery plan, SP+ took over management of much of Harrisburg’s parking system under a 40-year lease. The $286 million deal helped the city shed much of its crippling debt accumulated under former Mayor Steve Reed, much of it tied to botched retrofits of the city incinerator.

While street parking rates have not increased since SP+ took over the system in 2013, parking garage rates have increased.

For more information about Harrisburg parking, visit the Park Harrisburg/SP+ website.

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Restaurant, retail, apartments headed to Harrisburg’s 3rd Street, following bar closures, sales

July 14, 2021 | by Lawrance Binda

Two former Harrisburg bars, Third Street Cafe (left) and the Taproom (right), have been sold and are slated for restoration.

Two Midtown bars once targeted for closure by Harrisburg’s mayor have been sold, with plans to create a restaurant, retail space and apartments.

On Tuesday, restaurateur Josh Kesler bought 1400 N. 3^rd St., which most recently housed the Third Street Café, and, before that, the 1400 Club and Club Wanda’s.

Kesler, who owns the Millworks in Midtown and the Watershed Pub in Camp Hill, said that he would like to open a two-floor restaurant/bar, but doesn’t yet have a firm plan for the two-story, 2,500-square-foot space.

“I want to do something cool and creative, something that adds uniqueness to the neighborhood,” said Kesler, who paid $153,000 for the building. “It could be a great asset to the commercial district there.”

He expects to complete the renovation and open in 2022, perhaps with a business partner.

The Third Street Café has been closed since April under terms of a conditional licensing agreement between the owners and the PA Liquor Control Board (see CLA – LID 64506 (1).). The owners since have placed the license into safekeeping, according to their attorney, Chris Wilson.

The co-owners of the Third Street Café, Anthony Paliometros and the heirs of the late Frank Karnouskos, also owned the building next door, 1402 N. 3^rd St., once the home of the Taproom bar.

On Tuesday, Sean Linder and his Bethlehem-based investment group, SJL Rentals LLC, bought that building for $231,000. Paliometros and Karnouskos purchased it in 2016 for $92,000, according to Dauphin County.

Reached by phone, Linder said that he plans to undertake a restoration of the three-story, 4,000-square-foot building, creating five market-rate apartments with commercial space on the first floor. He also plans a small addition in the rear, which would add another 350 square feet of space.

“Midtown is obviously an up-and-coming area,” Linder said, when asked why he was interested in the building. “There’s a lot of great development going on in the city.”

Linder credited Justin Heinly of Midtown Property Management for bringing the property to his attention and mentioned that anyone interested in the first-floor retail space should contact Heinly.

“If there’s any retailer or tenants looking for space, this would be a great opportunity for them,” Linder said.

He said he expects to complete the building renovation by spring 2022.

Notably, in 2015, Harrisburg Mayor Eric Papenfuse tried to revoke the business licenses of both bars, claiming that they were “nuisance bars.”

Dave Larche, then the owner of the Taproom, agreed to close his bar and later sold his building to his next-door neighbors, Paliometros and Karnouskos. For their part, Paliometros and Karnouskos repeatedly appealed the city’s business license revocation, eventually winning their case in court.

Alice Anne Schwab, the executive director of the Susquehanna Art Museum, located directly across the street from the bars, said that she looks forward to the renovations of the two buildings.

“We’re super-excited about something positive happening there,” she said. “The proposals I have heard about are really very much in keeping with businesses that are above board and operate with the public interest in mind.”

Kesler said that, in part, he was motivated to make the purchase in order to add to the growing vibrancy of the Midtown commercial district on 3^rd Street, where numerous small businesses have opened recently.

“[The bar] was making walkers feel uncomfortable and affecting the businesses around it,” he said. “I think this a good step for the neighborhood.”

Linder added that he also wanted to ensure that the block retained its architectural character.

“For years, they just let their beautiful buildings deteriorate,” he said. “There’s so much historical integrity there that needs to be preserved.”

This story has been updated.

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