Tag Archives: Rob Teplitz

Community rallies around Jewish congregation after swastikas found painted on synagogue

August 11, 2020 | by Maddie Conley

Kesher Israel Congregation in Uptown Harrisburg

Members of the Kesher Israel Congregation heading to morning services on Monday were met with a disturbing surprise.

Swastikas had been painted on the front of their synagogue, said Rabbi Elisha Friedman.

“My security antenna went up,” he said. “People were worried about safety.”

Friedman quickly called the police. Local officers, state troopers and the attorney general came to the synagogue, he said.

Finding no sign of a threat to safety, Kesher Israel could continue services, and by the afternoon they had power-washed off the symbols of hate.

According to Friedman, the only other time something similar happened to their congregation was about 30 years ago.

By Tuesday morning, over 30 local people and organizations expressed their support for Kesher Israel and denounced acts of hatred in the community.

“An attack on one Jewish institution is an attack on all Jewish institutions, and we are here for you as your neighbors and friends to fight anti-Semitism wherever it exists and to support you at this difficult time,” said Rabbi Peter Kessler and President Rob Teplitz of Temple Ohev Sholom on N. Front Street in their statement.

Other Jewish leaders in Harrisburg stepped up to reiterate the sense that what happens to one congregation affects them all.

Rabbi Arianna Capptauber of Beth El Temple explained how the swastika personally impacts her, being the granddaughter of a Holocaust survivor.

“I feel personally the sting of the swastika, as it represents the deadly hatred that killed many members of my family,” she said. “Yet I will not cower in the face of this weaponized symbol, for I know that we are held by a resilient Jewish community and a caring community of allies here in Harrisburg.”

Friedman said many people have been calling and reaching out to him to ask how his congregation is doing and to express their solidarity.

“It’s encouraging,” he said. “There’s this huge outpouring. It was every part of our community and all types of different religions in Harrisburg.”

Local churches, mosques and temples reached out to support the Jewish faith community, as well.

“We at Pine Street Presbyterian Church condemn this criminal act of hatred directed towards our Jewish brothers and sisters,” said Pastor Russell C. Sullivan Jr., in a statement. “With the people of Kesher Israel Synagogue and the Jewish community, we stand in solidarity and support.”

The Harrisburg Mayor’s Interfaith Advisory Council will hold a vigil outside of Kesher Israel’s synagogue at 2500 N. 3rd St. on Wednesday at 5 p.m. Local government, law enforcement and faith leaders will speak in support of the Jewish community.

“The person was intending to make us feel unwelcome and like a small minority in the community, but it backfired and the opposite impression was given,” Friedman said.

Kesher Israel is located at 2500 N. 3rd St., Harrisburg. For more information on their congregation, visit their website.

Districts of Dysfunction: A fight is on against gerrymandering in Pennsylvania. Can it succeed?

June 30, 2017 | by Robert Naeye

In representative democracies, voters are supposed to choose their elected officials. But, in Pennsylvania, it’s often the other way around.

The violation of this core principle explains much of the dysfunction in state and national government. It also explains why Harrisburg was sliced into two congressional districts and is represented, in the House of Representatives, by conservative Republicans from faraway Hazleton and York.

If you’re outraged by this state of affairs, you can blame gerrymandering—the long-standing practice of politicians drawing district boundaries to favor their own political party and their electoral survival.

“Pennsylvania ranks fifth from the bottom in gerrymandering, and it’s especially bad with congressional redistricting,” said state Sen. Lisa Boscola (D-Lehigh County), who is co-sponsoring a bill that would transfer the power of redistricting from self-interested party leaders to a nonpartisan citizen’s commission.

The need for reform is evident by examining a map of Pennsylvania’s congressional districts. Many meander geographically. Some blatantly violate the state constitution by their lack of compactness or because they divide counties, cities and municipalities. The 7^th congressional district, outside Philadelphia, is so grotesquely contorted that it’s referred to as “Goofy kicking Donald Duck.”

Republican leaders in the General Assembly deliberately drew these district boundaries after the 2010 national census to favor their party. This practice is outlawed in almost all democratic nations except the United States. Maryland, for example, is gerrymandered to favor Democrats. As Karl Rove, advisor to former President George W. Bush, famously stated, “He who controls redistricting can control Congress.”

Bizarre Construct
Gerrymandering particularly harms Harrisburg’s 50,000 residents. Republican Party leaders divided its mostly Democratic voters into two Congressional districts to dilute their influence—a practice known as cracking.

Most of Harrisburg belongs to Rep. Scott Perry’s district, which includes the eastern part of Cumberland County and all of York and Adams counties. Harrisburg’s far southern neighborhoods were placed in Rep. Lou Barletta’s district, a bizarre construct that includes parts of nine counties and extends from Shippensburg all the way to Wyoming County near the New York border.

Perry and Barletta don’t need Harrisburg’s support to win re-election, giving them minimal incentive to represent the city’s interests in Congress. For instance, Perry and Barletta both supported “Trumpcare,” which would take away affordable health insurance for thousands of their Harrisburg constituents.

Gerrymandering also deprives Harrisburg of a Democratic voice in the state Senate. Harrisburg lies in the 15^th district, which includes most of Dauphin County. Democrat Rob Teplitz won this seat in 2012, but he narrowly lost to Republican John DiSanto in 2016, partially because Republican leaders removed the Democratic bastions of Steelton, Highspire and Paxtang from the district and replaced them with heavily Republican Perry County. DiSanto won Perry County by about 8,500 votes, offsetting Teplitz’s 5,100-vote margin in Dauphin County.

Gerrymandering is a problem for everyone, not just Harrisburg. It makes citizens frustrated that their votes don’t matter. It contributes to corruption, gridlock and hyper-partisanship in the federal and state governments, where elected officials often seem more devoted to party loyalty than the nation’s welfare.

“Because of gerrymandering, legislators don’t really listen to the public anymore,” said Boscola. “They just listen to their party base. This is not good lawmaking. We need more compromise. Harrisburg is much more partisan now than it was 20 years ago.”

Many districts are created to be safe for one party or the other, which deprives voters of choice in competitive elections. In the 2016 general election, 13 of Pennsylvania’s 25 state senators and 97 out of 203 representatives did not have to face a major-party challenger.

Gerrymandering also gives party bosses the ability to enforce strict party-line discipline by taking away the district of any member who dares to cross the aisle on key legislation. Or a party leader can arrange for a more ideologically pure candidate to run against an out-of-favor incumbent in the next primary. Gerrymandering thus contributes to the nation’s deepening partisan chasm.

Boscola has seen these nefarious tactics used on friends and on herself.

“You can be popular with your voters back home, but if you’re not beholden to your party leader, you can be X’d out,” she said.

Sense of Urgency
Gerrymandering has been around since the 1700s, but it has become more egregious recently because party leaders now have access to detailed mapping data and voter profiles. This trove of information allows politicians to fine-tune district boundaries and predict election outcomes with greater surgical precision than ever before.

Because the redistricting process is written into Pennsylvania’s constitution, changing the system requires an amendment. Several proposed amendments are circulating within the General Assembly, but they’re currently stuck in committees.

Amending the constitution is exceedingly difficult. The House and Senate will have to pass the exact same bill in two consecutive legislative sessions (2017-18 and 2019-20). If the bill clears that high hurdle, it then will have to win a majority of votes in a 2020 statewide referendum.

Timing is critical. Pennsylvania will lose one or two congressional seats after the 2020 census, automatically triggering the redistricting process. Boundaries drawn after that census will shape the commonwealth’s House delegation for the next decade, so reformers feel a sense of urgency.

Fair Districts PA, a nonpartisan statewide organization of volunteers, is leading the charge. FDPA is promoting the most comprehensive legislation: Senate Bill 22 and House Bill 722. These virtually identical bills would give the power of redistricting to an independent committee of 11 Pennsylvania citizens who would operate in a transparent fashion.

Committee members would include four Democrats, four Republicans and three independents and would be selected by a random computer algorithm from a list of qualified voters, preventing party leaders from rigging the outcome. Seven committee members would be required to finalize district lines, and at least one member of each pool would have to approve the map. Each pool must reflect the commonwealth’s racial, geographic and gender diversity.

SB22 and HB722 enjoy bipartisan sponsorship in both chambers of the General Assembly. Harrisburg’s state representative, Democrat Patty Kim, is co-sponsoring HB722. Sen. DiSanto also supports redistricting reform in principle, but he has not signed up as a co-sponsor of SB22.

Both bills face daunting odds.

“We’re taking power from the leaders of the two major parties,” said James Allen of FDPA’s Dauphin County branch, who notes that the bosses can employ a variety of tactics to stall or kill the bills. “They control the process, so those who have power will fight very hard against changes.”

Boscola thinks lawmakers are starting to feel public pressure, but much more will be needed before party leaders conclude that it’s in their interest to go along with an independent redistricting commission.

“Keep the pressure up,” Boscola said. “Bombard legislators with calls. Keep hammering away, and they will start to listen. But it has to be relentless.”

Allen said that it will take “a massive commitment” to get redistricting reform done.

“Is it going to be easy?” No,” he said. “But if you believe change is possible, it can be done.”

For more information on gerrymandering and the campaign for redistricting reform, visit www.fairdistrictspa.com.

Author: Robert Naeye

May News Digest

May 31, 2016 | by Lawrance Binda

Local Tax Raised
People soon will pay more to work in Harrisburg, as City Council has tripled the local services tax.

By a 5-1 margin, council voted to hike the LST from $1 to $3 per week. Only Councilwoman Shamaine Daniels opposed the measure.

Tax withholding will begin on July 1. However, for 2016, workers will actually pay $5 per week to make up for lost revenue back to the effective date of Jan. 1.

People who work in Harrisburg now will pay a local tax of $156 a year if they earn more than $24,500. Commuters vastly outnumber resident workers in Harrisburg, so the majority of income raised from the tax will come from people who live outside the city.

The LST hike coincided with several other tweaks to Harrisburg’s financial recovery plan. Most notably, the amended plan suggests that the city could consider adopting a Home Rule charter, which would give it more taxing options once it exits the state’s Act 47 program for financially distressed cities. However, council would have to pass another ordinance before initiating the Home Rule process.

Treasurer Resigns
Harrisburg will need to find another new treasurer, as Tyrell Spradley resigned last month after just 18 months in office.

City Council now must determine how to replace Spradley. For past vacancies, council members interviewed applicants, nominated their preferred candidates and chose among the finalists.

The treasurer’s office has been a revolving door since September 2014, when elected Treasurer John Campbell resigned after being charged with stealing money from two nonprofit groups. Two months later, Spradley was appointed, but only after council’s first choice withdrew his name from contention. Spradley was elected in his own right last year.

City treasurer is a part-time position that pays $20,000 per year. Deputy Treasurer Celia Spicher runs the office on a day-to-day basis.

New Archives Building
A new state Archives building soon will take shape on long-empty land along the 6^th Street corridor, the state announced.

The building will occupy a three-acre site along N. 6th Street flanked by Harris and Hamilton streets. The $24 million project will occupy almost three complete city blocks, with half of the site backing to N. 7th Street.

Design is expected to begin soon, followed by a two-year construction phase that should be completed in 2019, said Howard Pollman, director of external affairs for the Pennsylvania Historical and Museum Commission.

The commission has been searching for a site for a new building for several years, as the Archives’ current home—a 20-story tower built in the mid-1960s at the Capitol complex—is bursting from more than 450 million documents.

“The building we have here is full,” Pollman said. “We also have issues with environmental concerns.”

The commission will retain and repurpose the tower, perhaps for collection storage, said Pollman.

Reed Counts Dismissed
A judge last month dismissed 305 criminal counts against former Harrisburg Mayor Steve Reed, saying the alleged crimes occurred too long ago.

The alleged acts, pertaining to Reed’s tenure as mayor, were outside the statute of limitations, according to presiding Judge Kevin A. Hess.

Hess let stand another 144 counts, mostly pertaining to allegations that Reed stole and kept city-funded artifacts. The state last year confiscated many historical artifacts from Reed’s home and at a nearby storage site, but the former mayor said they legally belonged to him.

The attorney general’s office could appeal the ruling.

Restaurant, Shops for Strawberry Square
A new restaurant and a new gift shop soon will open in downtown Harrisburg, among a flurry of business activity in Strawberry Square.

A 60-seat eatery is slated to open in early fall near the 3rd Street entrance in a long-empty space once occupied by a bank branch. It’s the latest concept of restaurateur Juan Garcia, who owns El Sol and La Noche. The 2,000-square-foot restaurant will offer a variety of salads, soups, wraps and other healthy options, said Brad Jones, CEO of Harristown Enterprises, which owns Strawberry Square.

Inside the Square, Harristown has signed a replacement for Strawberry Patch, the Hallmark store that shut down in January after 35 years in business. By July, owner Shekhar Shah will open Strawberry Gifts, a 4,000-square-foot Hallmark store in the same space as the previous shop, said Jones.

In other retail news, AMMA JO, a fashion and lifestyle boutique, is expanding into space directly next to her original location, said owner Amma Johnson. Johnson will take another 1,200 square feet, extending her product line, as well.

Another specialty retailer, Ideas and Objects, is making an adjustment. Jones said that the long-time retailer will relocate from an interior location to 11 N. 3rd St., a smaller space with street access.

DeHart Deal Approved
The Capital Region Water board of directors has unanimously approved an agreement to conserve its 8,200-acre DeHart property in partnership with the Ward Burton Wildlife Foundation, The Nature Conservancy and Fort Indiantown Gap.

DeHart, located in northern Dauphin County, is the primary source of drinking water for Capital Region Water’s 60,000-plus customers. The property includes the 5-mile long, 6-billion gallon DeHart Reservoir and 7,500 acres of forestland.

Under the agreement, Capital Region Water will receive approximately $9 million through the Fort Indiantown Gap Army Compatible Use Buffer program to grant a conservation easement restricting development on the property. Capital Region Water will continue to own and manage the property.

Incumbents Victorious
Harrisburg-area officeholders beat back party challengers during the recent primary election.

State Rep. Patty Kim defeated challenger Richard Soto by a wide margin for the Democratic nomination for the 103^rd legislative district. She is unopposed in the general election in November.

In the 104^th district, incumbent Republican Sue Helm topped challenger Nate Curtis. She’ll face Democrat Jody Rebarchak in the general.

In the 15^th Senate district, incumbent Sen. Rob Teplitz easily topped challenger Alvin Q. Taylor. In the general election, he’ll face developer John DiSanto, who narrowly beat Andrew Lewis in the Republican primary.

Home Sales Climb
Homes sales in the Harrisburg area rose substantially in April compared to the year-ago period.

The Greater Harrisburg Association of Realtors reported that April sales totaled 739 units in April, compared to 653 units in April 2015 in its region, which includes all of Cumberland, Dauphin and Perry counties and parts of York, Lebanon and Juniata counties.

The median price dipped a bit, from $163,000 to $160,000, though the average days on the market fell substantially, from 99 to 83 days.

County-by-county statistics reflected similar trends, with unit sales up substantially and average time on the market down.

So Noted

Aangan Express opened for business last month at 263 Reily St. in Midtown Harrisburg. The restaurant, located directly across the street from Midtown Cinema, is a second location for Aangan Indian Restaurant of Susquehanna Township.

Better Homes and Gardens Capital Area cut the ribbon last month at its location at 500 N. Progress Ave. The company offers a range of real estate services for the Harrisburg region.

Dalicia Bakery opened its doors last month at 1419 N. 3^rd St., Harrisburg. Owner Samra Alic and her daughter, Ajla, run the bakery, which offers breads, sandwiches and Little Amps coffee, in addition to cakes and other sweet treats.

Eastern University and the Papenfuse administration announced a partnership last month to provide tuition breaks to Harrisburg city workers and their families. Employees will receive a 25-percent discount as well as some free professional development training.

Fasta & Ravioli Co. had a “pasta cutting” last month to open its elaborate new stand in the brick building of the Broad Street Market. To celebrate, owner Bob Ricketts gave away 1,000 pounds of pasta to customers.

Harrisburg Mall last month announced the arrival this summer of two new restaurants. Kondu, serving quick-style Asian cuisine, will take a spot next to 2^nd & Charles, while burger-and-fries franchise Checkers will open in the food court.

Mel’s Rock N’BBQ moved into a permanent home in the Broad Street Market last month. Mel’s had been in a pop-up stand for several months before building out a permanent spot in the stone building.

Changing Hands

Barkley Lane, 2525: R. Medellin to T. Brandon, $64,000

Briggs St., 235: J. Bradley to JLS Rentals LLC, $66,000

Calder St., 254: C. Elder to C. Baxter, $93,900

Derry St., 1221: N&R Group LLC & Touch of Color to 101 S. 17^th Street LLC, $250,000

Derry St., 2615: P. Nalewak to S. Mejia, $38,000

Duke St., 2436: A. Miller to D. Moran & M. Everetts, $56,000

Fulton St., 1410: C. Platkin to N. Richardson, $95,000

Fulton St., 1707: J. & C. Thomason to C. Hutchinson, $102,000

Green St., 1610: M. & S. Noorbaksh to A. Calvano, $118,000

Green St., 1619: D. Healey Sr. to M. & L. Stednitz, $101,200

Harris St., 220: E. Brown to D. Grossman, $49,000

Harris Terr., 2483: Secretary of Housing & Urban Development to H. Nguyen, $35,000

Herr St., 267: B. Moehler to R. Joseph, $140,000

Hoerner St., 135: J. Gable to Green Property Management LLC, $49,900

Hoffman St., 3012: J. Dearing to D. Gule, $99,900

Logan St., 1712: Secretary of Veterans Affairs to PA Deals LLC, $72,250

Market St., 1913: Fulton Bank NA to Slatehouse Group LLC, $52,000

Market St., 2501A: J. Langley to A. Buglione, $55,000

Mercer St., 2468: PA Deals LLC to MidAtlantic IRA LLC & C. Hampton, $61,900

North St., 274: Mid Penn Bank to A. Gonzalez & L. Galvis, $240,000

N. 2^nd St., 1007: J. & M. Solomon to C. & E. Bryce, $195,000

N. 3^rd St., 1404 and 1409 & 1411 Susquehanna St.: Volunteers of America to Zecharya International Inc., $50,000

N. 3^rd St., 2331: Federal National Mortgage Assoc. to F. Laoukili & M. Mtere, $32,000

N. 4^th St., 1623: GWD Capitol Heights LP to T. Menta, $109,900

N. 4^th St., 2715: J. Gilmore to K. Hilborn, $90,000

N. 5^th St., 1821: C. Mitchell & J. Jackson to Home for the Friendless, $71,500

N. 6^th St., 1408: PA Deals LLC to D. Sharma & N. Aggarwal, $103,250

N. 6^th St., 2508, 2512 & 2516: JRH Anthony Partnership & Mr. Handyman of Lincoln Park to Harrisburg Housing Authority, $230,000

N. 13^th St., 142: V. Trong to J. Forsyth LLC, $30,000

N. 17^th St., 1000: S. Osibodu to D. Robinson, $75,000

Park St., 1923: S&H Investment Group LLC to Diamond Mined LLC, $45,000

Penn St., 1801: C. Touma to M. McCann, $112,000

Penn St., 1820: PA Deal LLC to D. Kapil, $122,000

Penn St., 1915: A. Mills to J. Bankard, $136,000

Rudy Rd., 1914: J. Charlton to M. Thach, $66,000

Rumson Dr., 2990: M. Salerno to R. Gonzalez & M. Cabrera, $50,000

S. 16^th St., 1047: W. & E. Turns to W. Zawadski, $50,000

S. 18^th St., 1319: New Island Properties LLC to K. Shemory, $80,000

S. 19^th St., 24: J. Forsyth LLC to B. Zimmerman, $40,500

S. 25^th St., 442: P. Bauer to R. Weese, $94,900

S. Cameron St., 912: Camp Hill Cleaners & Mark Cleaners to New Vision Management, $100,000

S. Front St., 707: D. & G. Dowen to A. Patton, $180,000

State St., 1606: Mid Penn Bank to R. Covington & T. Pean, $35,000

Susquehanna St., 1336: Metro Bank to Frog Hollow Associates LLC, $77,500

Verbeke St., 316: Kidder Wilkes LP to Silver Stone Enterprises LLC, $52,400

Wallace St., 1637 & 1639: J. Shurns to Buonarroti Trust, $118,170

Walnut St., 108, 110 & 112: Vast Holding LLC to E. Etzweiler, $225,000

Freshman Under Fire: Sen. Rob Teplitz, a “huge target” on his back, enters a tough re-election fight.

February 29, 2016 | by Mary Wilson

The way Rob Teplitz saw it, he had been very patient by the time he finally rose to his feet one spring afternoon in 2014 to air a grievance on the floor of the Pennsylvania state Senate.

Teplitz, a career lawyer, was one of the chamber’s newest members—and intent on showing that he would not be a meek member of the Democratic minority. He is used to asserting himself. The cherubic-faced freshman legislator hears frequently that he looks young for his 45 years. His typical response: “You should’ve seen me before I entered politics.”

“I have to constantly assure people that I am old enough to drive and to serve in office,” said Teplitz recently, half-closing his eyes in exasperation. “It’s something that has actually irritated me my entire life. I’m thrilled that I am finally getting gray hair.”

Teplitz was in the Senate GOP’s crosshairs even before he was sworn into office. His election in 2012 made him the first Democrat to win the 15th Senate district since 1936, according to state records.

“The Republicans held this seat for almost 100 years straight,” said Teplitz. “They want it back.”

Now, Harrisburg’s state senator is headed into a reelection campaign as he comes to the end of his first four-year term. How is he doing?

His colleagues confirm that the Republican majority goes out of its way to prevent him from passing legislation of his own—even the minor, provincial bills that assign names to roads and bridges. Political expediency is not the only explanation for this.

“There’s a huge target on my back,” said Teplitz, “and the reason for that is because I haven’t played this game where the safest thing for a minority freshman to do… would be to just keep your mouth shut and not do anything controversial.”

Back in May of 2014, Teplitz stood before his Senate colleagues to lodge a complaint. The highly structured rules of a Senate session relax once the day’s voting is done, and members can speak in protest or otherwise go off-topic on the public record.

Teplitz had been promised the legislature would move one of his proposals. But now it was stuck in committee, and he couldn’t get it out. Specifically, Teplitz felt betrayed by Pat Vance, a veteran Republican senator who had the power to advance the measure. (The Senate Democratic minority leader, who witnessed the two lawmakers strike their compromise, recently told me, hesitantly, that Teplitz was indeed being shafted.)

“This place cannot function if people do not keep their agreements,” Teplitz said. “I do not know if it makes it more or less likely for me to succeed on this resolution, perhaps less likely.”

Perhaps. State legislators, especially in the traditionally decorous Senate, speak in code on the chamber floor. Comments that are necessarily elliptical under the Senate’s rules of debate are parsed according to political context and interpersonal squabbles. Teplitz’s comments were perceived as a character assassination of Vance, the committee chair who he felt had wronged him.

“Oh, it was combative,” said Vance, whose Cumberland County district sits just across the river from Teplitz’s turf. “I have lots of faults, but I don’t lie and I think most people know I’m pretty straight… it was like he was attacking me because I wouldn’t agree with him. And I thought that was very foolish.”

Nearly two years after his cri de coeur, Teplitz has no regrets.

“I reject the notion that I did anything inappropriate,” he said. “We had a professional disagreement, and I’m comfortable that I handled it professionally.” But publicly questioning the integrity of a longtime Republican senator won him no friends on the other side of the aisle.

Despite Teplitz’s unofficial status on the Republican blacklist, the Harrisburg mayor considers him to be an effective advocate for the city. Teplitz pushed for Harrisburg to receive $5 million from the state, ostensibly for fire protection services (the money also helps the city balance its budget, and there is talk of increasing the aid to plug Harrisburg’s spending shortfall). The sum, however, is contained in the state budget bill, and Teplitz, who took office during the austere years of the Corbett administration, has never voted for a budget.

Can you take credit for a line item in a spending plan you voted against? Teplitz says you can. A budget that underfunds education, as he believes the past several state budgets did, is not going to win his vote just because it includes a hard-won appropriation for Harrisburg.

“I never misled anyone or gave anyone the expectation that I would vote for it,” he said.

Teplitz’s particular district poses yet another challenge to his reelection.

During his 2012 campaign, the 15th Senate district covered most of southern Dauphin County (excluding much of the northern part of the county), encompassed Harrisburg and Hershey, and curled into York County. That was before the state’s latest redistricting plans took effect.

The redrawn district looks like a handgun pointing down and to the left. The trigger is the city of Harrisburg, the grip reaches east of Hershey, the rear sight covers northern Dauphin County, and the barrel extends into all of rural Perry County—“very Republican” territory, according to a former Senate aide, and “much tougher” to win for a Democrat. Despite that, Teplitz faces a familiar primary opponent, Alvin Taylor, who was on the Democratic ticket in 2012. Two Republicans, Andrew Lewis and John DiSanto, are running for Teplitz’s seat.

“I think he will come out victorious, but black and blue,” said Patty Kim, a House Democrat elected the same year as Teplitz. “Perry County and the city of Harrisburg don’t have a lot in common.”

Teplitz gravitates to issues the two regions may have in common. Some of his nearest and dearest policy concerns (municipal finance, government reform) are decidedly non-partisan in nature and reflect his years of experience as a top lawyer for the state auditor general’s office, a government watchdog agency.

On issues that tend to sort lawmakers into neat camps (Republican/Democrat, rural/urban), he falls into the urban Democrat model: he supports greater funding for education; he has voted against the most recent state pension overhaul. But his district is not a slam-dunk for an urban Democrat, and so he has to be careful. On the subject of tax increases (which could help fund schools and overdue pension costs) proposed by the Democratic governor, Teplitz says only that he’s “open-minded.”

Teplitz’s new district is not a classic gerrymandered monstrosity that jilts a minority-party lawmaker. The new lines satisfy the most basic requirement that the district be compact and contiguous. It’s also not nuts to think people living in Perry County and much of Dauphin County have common interests. What the district seems to require in a successful senator is political moderation. What this looks like up close might be better described as political omnivorism—taking a little bit from different parts of the menu. For Harrisburg Mayor Eric Papenfuse, this was on display at the most recent Pennsylvania Farm Show. Teplitz was there almost every day, and his staff was on hand to give out legislative information and other swag—Pennsylvania trivia and recipe books, but also gun logs and shooting targets. The materials were selected, Teplitz said, based on the Farm Show’s audience, which includes sportsmen.

This was of note to Papenfuse who, like Teplitz, is a staunch Democrat but who, unlike Teplitz, has harsh words for the National Rifle Association these days.

“I’m saying this was sort of clever,” said Papenfuse. “I think that people were coming up to him at the Farm Show and saying, ‘Those Democrats, they are just awful, right?’ And he’d smile.”

Mary Wilson is WITF’s state Capitol Bureau chief. Her reports are heard on public radio stations throughout Pennsylvania.

State Lawmakers Back Harrisburg Mayor in Dispute over School Recovery Officer

April 16, 2014 | by Paul Barker

Harrisburg Mayor Eric Papenfuse.

If you’re going to meet about something as contentious as public education, you might want to bring a tape recorder.

That may be the best lesson so far in the saga surrounding Mayor Eric Papenfuse’s call for the removal of Gene Veno, the school district’s state-appointed chief recovery officer.

Two weeks ago, Papenfuse kicked up a small storm by going public with the fact that he had asked the state Secretary of Education to replace Veno, saying Veno did not believe in his own recovery plan for the district.

Papenfuse said his remarks were prompted by a meeting to discuss the state of the district and to get an update on the progress of Veno’s plan. State Rep. Patty Kim, who hosted the meeting in her Capitol office on the morning of Feb. 28, has corroborated the mayor’s account of the meeting. So has state Sen. Rob Teplitz, who also attended.

Almost as soon as the meeting began, Kim said, it turned “personal.”

According to Papenfuse, Veno acted defensive, driving the discussion off course with erratic remarks. At one point, Veno even lobbed a political threat at Teplitz, suggesting that people had encouraged Veno to run for Teplitz’s Senate seat.

Veno acknowledged making this remark, but said that immediately afterwards he added he “wasn’t interested” in running for office.

But what really disturbed him, Papenfuse said, was that Veno, when asked whether his plan would meet its academic benchmarks, “unequivocally” said it would not.

“He absolutely, completely doesn’t think his plan is going to work,” Papenfuse said. “That was where the conversation got frustrating. He blamed everybody else, and then he said that there was nothing he could do about it.”

As Kim describes it, Papenfuse “was trying to pin down Mr. Veno on what his next step of action was going to be with the school district.” Veno, she said, didn’t have one.

Veno, however, continues to deny he ever suggested his plan would fail. He said he “absolutely” believed it would succeed, but that it was “going to take some time.” He also explained that the circumstances leading up to the meeting had made him suspicious of its purpose.

In the weeks before the scheduled meeting, Veno said, he received a call from Sherri Magnuson, the president of the teacher’s union. Magnuson told him about a recent meeting with Papenfuse and his education advisor, Karl Singleton, during which the mayor had asked for the union’s support in calling for Veno’s resignation.

“So I went into that meeting [with the mayor] knowing he had asked for my removal,” Veno said.

Papenfuse said he did not recall expressly asking union leadership to support Veno’s removal, but that he did remember “discussing a lack of confidence in Veno.”

“I encouraged them to think more broadly about their role,” Papenfuse said. “We talked confidentially about the recovery plan, and we asked them to come back and let us know what they were willing to do. I didn’t anticipate they’d go back to Veno.”

Magnuson, the union president, said she clearly remembered the mayor asking if the teachers would join him in calling for Veno to resign. She said she did not reply, because that sort of decision would need to be taken to her membership, and that she later informed Veno because she thought he had a “right to know.”

According to Papenfuse, after the meeting, Veno also spread a rumor among some school officials that Papenfuse, Teplitz and Kim had instructed him to fire the district superintendent, Dr. Sybil Knight-Burney. Jennifer Smallwood, the school board president, said last week that Veno had “directly” told her as much. Papenfuse denied making any such suggestion to Veno, as did Teplitz and Kim.

After the Feb. 28 meeting, Papenfuse and Teplitz met with Acting Secretary of Education Carolyn Dumaresq and urged her to replace Veno. According to Papenfuse, Dumaresq, who was appointed by Gov. Corbett last August, promised a reply within two weeks. Four weeks later, having gotten no response, the Papenfuse administration issued its press release about the request for Veno’s removal.

Tim Eller, the state Department of Education’s press director, said Dumaresq denied providing a timeline for her response to the mayor. Eller declined to discuss the status of the mayor’s request, saying the secretary would not publicly comment on a “personnel matter,” except to say that “Gene Veno is the CRO for Harrisburg and remains the CRO for Harrisburg.”

Teplitz and Kim, both Democrats, and both elected in 2012, represent districts that include the city of Harrisburg. Veno, who lives in Teplitz’s district, said that he brought up the prospect of running for Teplitz’s seat only because people in the community had been asking him about it. “I felt he should know, the community supported what we were doing in the school district.”

Asked which members of the community had made the suggestion, Veno replied it was “people you would see on the street, having a cup of coffee.”

“They see you hard at work, and they ask if you’re running for office,” he said.

A Year of History: 10 reasons why 2013 was a special year for Harrisburg.

December 31, 2013 | by Lawrance Binda

The news media toss about the word “historic” recklessly. They do so to rev up the melodrama, to make rather average stories sound more important than they actually are.

That said: “historic” may well describe the past year for the people of Harrisburg. In the city’s long history, 2013 will almost certainly be regarded as a year of singular importance, regardless of how the complex financial recovery plan shakes out over the long term.

So, with apologies to my former co-editor, Pete, who understandably chafed at this tired, old nugget of journalism, here are my Top 10 news events in Harrisburg for 2013, in descending order of importance.

10. Sale and re-launch of TheBurg. It may seem self-serving to put your own baby in a Top 10 list, but I’m going to do it anyway. I’ve been told many times that TheBurg means much to the people here, and, after a brief hiatus, we were able to re-launch it with an entirely new style and level of quality. With the generous support of our Publisher Alex Hartzler and several key community members, we are able to put out a product that, we hope, serves Harrisburg well and reflects the cosmopolitan city it’s becoming.

9. Changes in legislatures. The arrival of of Sen. Rob Teplitz and Rep. Patty Kim in the Capitol brought much-needed youthful vigor and a pro-city spirit to the state legislature. Similarly, the election of Shamaine Daniels and Ben Allatt promises to shake up City Council with new blood, energy and ideas.

8. Restaurant scene. I’ve said it before, and I’ll say it again. For such a small city, the restaurant scene in Harrisburg is excellent—and keeps getting better. This year will only add to the riches. Rubicon, next to Mangia Qui, will be first out of the gate with an early-2014 opening. Nearby, a high-end pizza and wine restaurant will rise at the corner of N. 2^nd and State streets, while, a block up, Brickbox plans fine dining for the first floor of its new LUX condo building. Midtown also is getting in on the love. A wine-focused restaurant has been proposed for the corner of N. 2^nd and Harris streets, and, if everything goes right, a new microbrewery will open just a few blocks away from there. Later in the year, a farm-to-table restaurant is due for the Stokes Millworks building across the street from the Broad Street Market.

7. Transportation funding. In November, the state legislature passed—and Gov. Tom Corbett signed—a $2.4 billion transportation bill that delivers $10 million in road improvements to Harrisburg over the next five years. This money is critical if the city is ever going to repair and modernize its infrastructure, which has been neglected for so many years. It’s essential both to the city’s livability today and to its attractiveness as a place for people to live, work and visit. Imagine a downtown where staying in your traffic lane isn’t a white-knuckle guessing game and driving across Forster Street isn’t like rumbling over ski moguls. To quote road-loving Judge Doom from “Who Framed Roger Rabbit?”—“My God, it’ll be beautiful!”

6. Reform of the Harrisburg Authority. For many people, mentioning a utility authority is a one-way ticket to naptime. But, in Harrisburg, it’s been the center of melodrama for years, ever since revelations that former Mayor Steve Reed used the authority as a sandbox for his financial games. Therefore, it’s no small matter that the authority has remade itself with new leadership, new independence and a renewed mission, now focused on water and sewer service. It even has a new name: Capital Region Water, which better reflects its sharply focused mission.

5. Restoration of historic and blighted properties. Just two years ago, important properties as varied as the Barto Building, Payne-Shoemaker Building, Stokes Millworks, the Moffitt Mansion, among many others, were all languishing as underutilized, if not abandoned. They now have all been or are being restored and put back into use. To cap off this list: the awful eyesore known as the Capitol View Commerce Center, once the physical symbol of all that was wrong with Reed-era, high-finance Harrisburg, was bought out of bankruptcy and will be completed next year. If this hulking, half-finished, corruption-tainted disaster can be salvaged and turned into vibrant, occupied space, you have to be optimistic what the future holds for the rest of the city. Tipping point, anyone?

4. Sale of the city incinerator. It began as a debacle and pretty much stayed that way for 40 years, a polluting money pit that, when it wasn’t breaking down or being forced by the authorities to shut down, was leveraged into insolvency. It became both the plaything and the burden of successive mayors, whose dreams for it far exceeded its ability to deliver on them. The irony is that, just as the blasted thing finally worked as long-hoped, the city had to sell it for about one-third of the price owed on its accumulated debt. Nonetheless, our long municipal nightmare is over.

3. The primary loss of Mayor Linda Thompson. A year ago, many residents seemed resigned that Thompson would win re-election, extending an administration that they believed didn’t serve the city well. I shared the opinion that Thompson, for many reasons, was not the best person to serve as mayor of Harrisburg. However, I didn’t believe she had enough support to secure a second term, given the palpable exhaustion with her leadership. In the end, she came in third in the Democratic primary, securing just 28 percent of the vote.

2. The election of Eric Papenfuse. About a year ago, Papenfuse told me that he was considering running for mayor. I immediately tried to discourage him, thinking this effort would out work about as well as his previous unsuccessful runs for City Council and Dauphin County commissioner. Silly me. Papenfuse clearly learned from his past campaigns, starting late but quickly lapping a formidable primary field, then repeating that impressive performance in the general election. If I have just one wish for Harrisburg for 2014, it’s that the city finally gets the high-quality leadership it so desperately needs and deserves.

1. The Harrisburg Strong Plan. When former receiver David Unkovic released his financial recovery framework in 2012, people seemed generally impressed with its thoughtfulness and scope. Receiver William Lynch’s final plan was even more comprehensive, fleshing out Unkovic’s outline and adding several novel elements. The Strong plan has the potential to be a game-changer, not only for Harrisburg but for other financially distressed cities needing a new model to draw on. The ultimate success of this complex plan is hardly assured, but it gives this city a chance—a good one—for a new beginning and a hopeful future.

If you look carefully, you’ll notice that there is one element that ties this list together. Each item is, in my opinion, positive for Harrisburg. How many cities can say the Top 10 news items over the past year were good ones?

A Time for Thanks: Our publisher finds plenty to be grateful for this past year.

November 29, 2013 | by J. Alex Hartzler

Thanksgiving, just past, is perhaps my favorite holiday.

It is a time for being thankful “just because.” Coming every year on a Thursday, it guarantees a short week of work and a long weekend with family and friends. My mom, like her mother before her, makes an amazing turkey with all the many accompanying dishes. I can usually count on leftovers lasting all weekend long. I’ve always loved leftover turkey to go along with two days of college football. All in all, it is a wonderful time of the year.

Thanksgiving also reminds all of us that giving thanks is universal. While not everyone can give or receive the gifts they may want during the coming holiday season, all can have a thankful heart. And a thankful heart is a happy heart for blessings small and large.

With that in mind, here is my list of “things I am thankful for” in Harrisburg:

A terrific year of growth and development at TheBurg
Paul’s writing, Megan’s design, Lauren’s sales, Andrea’s support and Larry’s leadership in pulling it all together
Our Burg freelancers and photographers who contribute competently and faithfully
All of TheBurg’s wonderful advertisers
Select Capital Realty Group and John Ortenzio for being the first column sponsor of TheBurg
Sutliff Chevrolet for supporting 3rd in The Burg and all its artists
The receiver, the mayor, the governor, City Council and Judge Leadbetter for their diligent efforts with the financial recovery plan
State Sen. Rob Teplitz and Rep. Patty Kim for the great leadership on behalf of our city and region
Mayor-elect Eric Papenfuse and his family for their sacrifice to move Harrisburg forward
WCI Partners’ president and operations manager for developing Harrisburg and making it a better place—and for being two of the finest people I know
The fabulous designer at Urban Interiors and Smoke, her cat
All the many residents of Olde Uptown who believe in OU and Harrisburg
Buchanan Ingersoll & Rooney and First National Bank for staying in and moving into the city
WebpageFx for believing in Harrisburg and moving 50 employees here next year
The Harrisburg Chamber and CREDC for their support of our city and its many projects
Harristown Development Corp. and their great leadership team
GreenWorks for helping to develop and grow Midtown
JEM Group, Trinity Construction and Renovations Co., for helping build our city
Brickbox for converting outdated office space to residential living
Harrisburg University for their continued commitment to our city
HYP for continuing to make Harrisburg a great place to “live, work and play”
Creative start-ups, like Stash, The MakeSpace, Yellow Bird Café and St@rtup
Community Networking Resources for community development
LaTorre Communications for helping Penn State communicate
State Street Strategies for—well—great strategy and advice
Greenlee Partners for great work for the city
Triad Strategies for their consulting and advice
City House B&B and their wonderful owners and great friends
Michael Hanes’ leadership of Whitaker Center and its excellent programming
Messiah College for sending Harrisburg many wonderful graduates
The members of the Harrisburg Capital PAC
John Norton and Brian Ostella, just for being on Twitter
Penn State Harrisburg and their development staff
My former partners at Webclients, who helped me get here
Bill O’Brien, for leading “our” football team (don’t argue, PSU counts here too)
“The Tuscan” at Mangia Qui
The fine bartenders, food and ambiance at Café Fresco
Fine dining at Char’s along the Susquehanna River
The “best latte in the nation” at Little Amps
Running in fall on the river or through the tree canopy on Green Street
Cheese pizza at Ciervo’s
Anyone who takes time to call or email me and say “you left me off your list” (at least you read this far!)
And all the other many folks who believe in our city in its time of need. Your faith will be rewarded in the coming years.

Happy Holidays!

J. Alex Hartzler is publisher of TheBurg.

Your Neighbor’s Shoes: The well-heeled, well-connected find out what it’s like to struggle.

November 28, 2013 | by Paul Barker

Two Januarys back, when the Pennsylvania legislature voted to declare 2012 the Year of the Bible, they intended to recognize a “national need to study and apply the teachings of the holy scriptures.” They were echoing, almost word for word, a resolution of the 97^th Congress enjoining President Reagan to make a similar proclamation for the year 1983.

Like their predecessors, the Pennsylvania legislators were strong on the scriptures’ general applicability, but rather light on specifics. Perhaps they got stuck on the thorn of interpretation. When it came to the problem of poverty, for instance, should the commonwealth adopt Jesus’s apparent resignation in Matthew 26 (“Ye have the poor always with you”)? Or should it follow his directive in Luke 10, in the parable about the Samaritan who opened his purse for a needy traveler (“Go, and do thou likewise”)?

On Nov. 6, the Community Action Commission, an anti-poverty organization serving the tri-county area, hosted an event to raise awareness of the plight of being poor. The event, called a “poverty simulation,” took place in the auditorium of Capital Academy, a special-education school in a converted warehouse across from the N. Cameron Street scrapyard.

In Pennsylvania, about 12 percent of the population lives in poverty. In Dauphin County, nearly 32,000 people are poor; around 12,000 of them, or one in three, are under the age of 17. Community Action Commission, whose main office is on Derry Street, serves a small slice of this population, helping them find jobs or get energy assistance, and providing educational programs on things like good parenting and personal finance.

The simulation was one of the commission’s occasional efforts to reach a different audience: corporations, non-profits, the press and, of course, elected officials. State Rep. Patty Kim and state Sen. Rob Teplitz were there, along with representatives of U.S. Reps. Lou Barletta and Scott Perry and U.S. Sen. Bob Casey.

In the auditorium, a perimeter of folding tables, representing various stores and agencies, surrounded several dozen chairs that, grouped in clusters, stood for the families’ apartments and houses. The effect, intentional or not, was claustrophobic: an existence bound on all sides by institutions that may or may not offer aid. When I checked in, I was asked whether I wanted to be a child or a decision-maker. I opted for the former and was assigned the role of Franco Fuentes, age 17, living with his mother and sister. The father had abandoned the family.

Before the start of the first week, there was a presentation by Joe Ostrander, the communications director for CAAP, a statewide association that assists the 43 community action agencies across Pennsylvania. He explained that a sister association, based in Missouri, had developed the simulation 15 years ago, using profiles of actual families they served, but fictionalizing the names and addresses. (That explained my house number, which was in “Realville, MO, 99999.”)

Ostrander laid out some ground rules. Each “week,” lasting 15 minutes, would begin with the blowing of a whistle. If a participant had a job, she had to report to work, represented by an array of chairs in one corner, and sit there a while (seven minutes for a full-time job, four minutes for part-time). Students, likewise, had to park themselves in makeshift classrooms. Any necessary visits—to the grocery store, bank, utility company, social services—had to be made in the remaining time. Whenever a participant went anywhere, she had to fork over a transportation pass. “Transportation is a huge issue,” Ostrander said. “These passes, you’ll come to realize, are far more valuable than any money you’ll make.”

The Fuentes family took stock of its situation. None of us were employed. My sister was in school, but I was a dropout, and our profile said I had gotten a neighbor’s daughter pregnant. We had $10 cash, two transportation passes and about $600 in assets, although most of these assets would be hard to give up: one was a refrigerator; another was an oven. Initially, I thought about applying for a job, but, after some discussion, we concluded we were in too much of an emergency. We couldn’t afford food, and we had no way of getting around. We decided to seek assistance.

The whistle blew. My mother shot off for social services, while I headed to the community action agency, in the hopes of scaring up a few transit passes. When I got there, they asked me my name and age, told me I needed to come back with my mother, and took my transportation pass. I walked over to my mother and told her what had happened. She was waiting in a long line. She gave an exasperated laugh.

“All right,” she said. “Go to the pawn shop and try to sell some things.”

I went home. All of our things had been stolen. The facilitator called out, “Eight minutes.”

The pitfall of any simulation of crisis is that its lessons are only as serious as its participants. Ostrander, in his introduction, urged us to approach the exercise with as much gravity as possible. “This is not Milton Bradley,” he said. “For you, this is a game, but for some people, this is real life.”

You can urge people to be earnest, but can you take the mischief out of a congressional dealmaker, or the perkiness out of a prep-school wonk? As the game progressed, some unappealing traces of hysteria and glee crept into the feverish bustle of the shortened weeks. One week, a man with a fake gun pursued someone, firing and grinning. Another week ended with an announcement: “Did somebody lose this?” The facilitator held up a ridiculous plush animal, which was supposed to symbolize an infant.

Confronted with obvious fiction, the mind begins to search for real-world corollaries. The simulation included a police officer, whom we tried to engage after the looting of our apartment. “Do you have a description of the thief?” he asked kindly. The question seemed to communicate all the hopelessness facing an impoverished victim of crime.

Later, when I went to look for a job, a young desk worker slid an application towards me. It was two-sided, filled with forbidding boxes requesting my educational history, my references, my previous employers—things that Franco Fuentes, like many real people, did not have. I was angry. If they would just hire me, I wanted to say, they would see that I showed up on time and worked hard. But a line of similar stories was piling up behind me. I took the application home.

By the end of the month, our circumstances had improved. My mother—in real life, a math teacher at Capital Academy whose name I never learned—was a force of nature. She managed to wade through the paperwork at social services and come away with vouchers for food and utilities. I got hired as a security guard and earned enough to pay for our rent and an outstanding loan. We even put a few dollars into savings.

The event wrapped up with a group conversation. Participants had taken away different things. “It’s a great simulation,” someone observed, “but it’s not taking into account the emotional stress.”

One woman struck a note of indignation. “People learn how to navigate the system and not only get around it, but make more than I do. And are proud of it.” She mentioned a rumor of a “class in a basement,” where people reportedly learned how to game the aid agencies.

“There’s always fraud, abuse and waste,” Ostrander acknowledged. “My editorial here, though, is that there’s fraud, abuse and waste in every system. Business leaders avoid taxes, for example. Or avoid laws and regulations.”

The problem with a poverty simulation, as Ostrander would doubtless be quick to acknowledge, is that you can’t really simulate poverty. As Tressie McMillan Cottom, a poverty researcher at UC-Davis, wrote in a recent essay, “You have no idea what you would do if you were poor until you are poor.” But the event could still be a testing ground for the suppositions participants brought to the game.

On my first day of work, for example, I found myself next to Rob Teplitz, the freshman state senator from Dauphin County. We’d crossed paths once in the simulation already: he was Mr. Chen, the father of the girl I’d gotten pregnant. (When I tried to visit their home, Teplitz looked up and said, without skipping a beat, “Haven’t you done enough?”) To occupy our time at work, the organizers had provided questionnaires to examine our beliefs about poverty.

As Teplitz worked his way through the prompts, I peered over his shoulder. He had just answered number seven: “Is moving people out of poverty part of your organization’s goals?”

I had interpreted the prompt as a simple identifier—did you work for an aid agency, or not? But for a legislator, the question, I thought, was more philosophical. Under it, in small blue script, Teplitz had written “yes.”

Community Action Commission is located at 1514 Derry St., Harrisburg. CAC always needs volunteers and support. For more information, visit www.cactricounty.org or call 717-232-9757.

October News Digest

October 29, 2013 | by Lawrance Binda

Harrisburg Begins Planning Process

Harrisburg last month kicked off an 18-month effort to draft a new comprehensive plan by holding the first of 20 planned public meetings.

The updating of the city’s comprehensive plan and the development of a housing strategy are two initiatives included in the city’s Harrisburg Strong recovery plan. The comprehensive plan will address many elements that have far-reaching effects on Harrisburg’s future, such as land use, housing, infrastructure and community facilities, said Mayor Linda Thompson.

The city has hired a planning and community development firm, Mullin & Lonergan Associates, to assist with the preparation and adoption of the comprehensive plan, while the economic development element of the plan will be conducted with support from the Harrisburg Regional Chamber of Commerce & CREDC.

Earlier this year, the city began preparations for the planning effort by establishing a steering committee that will guide the comprehensive plan. To date, the committee has met twice with Mullin & Lonergan staff to help develop a scope of work for the comprehensive plan.

The launch of the process to develop a new comprehensive plan was not without controversy.

At the first public meeting, former mayoral candidate Nevin Mindlin asserted that City Council, not the administration, was required by statute to initiate changes to the comprehensive plan.

City Council President Wanda Williams later said that she agreed with Mindlin’s view and would take steps to secure the council’s involvement. Ultimately, City Council will have to approve changes to the comprehensive plan.

In addition, as of press time, City Controller Dan Miller had not yet signed off on the contract with Mullin & Lonergan.

The administration expects more than 20 public meetings to be held during the comprehensive plan process.

City Nearly Out of Money Again

Harrisburg will run out of money by year-end unless the city quickly completes key elements of its financial recovery plan.

City Council attorney Neil Grover last month warned council members that they must quickly pass legislation that will lead to the sale of the city’s incinerator and the long-term lease of its parking assets.

The Harrisburg Strong recovery plan is expected to refill the city’s nearly empty coffers so it can meet payroll and pay its vendors.

However, first, the council must finish approving enabling legislation. Afterwards, the parking and incinerator deals must close and the related bonds must be marketed and sold, a lengthy process that could bleed into next year.

Harrisburg has nearly run out of money every year for the past three years. In the end, it has been able to continue to operate, but only because it stopped payment on its general obligation bonds and cobbled together several last-minute fixes.

Development Projects Given Go-Ahead

Numerous projects in Harrisburg are slated to get off the ground after the City Council gave them the green light last month.

The council unanimously approved the following land development plans:

A major expansion of the Pennsylvania Housing Finance Agency (PHFA) building at 211 N. Front St. onto two adjacent lots. The $11.5 million project includes the construction of an eight-story addition, the renovation of the historic Hickok Mansion at 201 N. Front St. and the demolition of a mid-century addition to the mansion.
An update to the building plan for the Susquehanna Art Museum in Midtown to include the creation of a sculpture garden at 1415 N. 3^rd St. Work already has begun on the $6.2 million project at the site of the former Keystone/Fulton bank building at N. 3^rd and Calder streets. With the approval, SAM will raze the existing dilapidated building at 1415 N. 3^rd and use the parcel for a construction staging area before turning it into a sculpture garden upon completion of the new museum, which itself includes the old bank building and a 25,280-square-foot addition.
A new building expected to house an Italian-style restaurant and wine bar at the corner of State and N. 2^nd streets, developed by WCI Partners. Under the current plan, the restaurant would feature a single story with a mezzanine for about 60 diners, focused on gourmet pizza.
The conversion of vacant office space into 14 one-bedroom apartments at 128-130 Locust St., developed by WCI Partners. The adjacent buildings, about two centuries old, were originally designed as houses before being turned into office space many years ago.

New Businesses on Cameron Street

Cameron Street continues its slow evolution into a nightlife district with the recent approval of liquor licenses for two new businesses.

Last month, the Harrisburg City Council approved the transfer of a liquor license for the Blue Front Lounge, which plans to move from Steelton to 819 S. Cameron St. in December or January.

Owner Richard Hefelfinger said he will transform the first floor of the 8,000-square-foot, circa-1940 brick building into a blues club with a full restaurant. The second floor will feature a pub-type atmosphere with an area devoted to darts and dart tournaments, he said.

Hefelfinger said he decided to move because the building is vastly larger than the snug spot on Front Street where Blue Front Lounge has been located for three years. The new location also has ample parking and is not in a residential area.

Over the years, the property has had a variety of uses. It once belonged to Bishop McDevitt High School and long housed American Quick Print. It sold in March for $240,000 to local developer and businessman Phil Dobson, who said he is a partner in the business.

Just down the road, Dobson also bought the site of the former Harrisburg River Rescue and plans to transform it into an entertainment and events space called the Main Stage Events Center.

Dobson said he expects to attract major acts to a new performing arts theater in the 23,000-square-foot building at 1119 S. Cameron St., which sold in May for $385,000. The space will be able to hold 1,200 to 1,500 people and should open by mid-2014, he said.

Dobson, an owner of Savannah’s on Hanna, said he is optimistic about the Cameron Street corridor because it’s just off Route 83 and has ample parking, both necessary for attracting people from greater Harrisburg and beyond.

“If I want to be a regional destination, I have to be in a location that is easily accessible,” he said. “Here, you are literally a block from the highway.”

He added that he hoped his new ventures would encourage people to come to Harrisburg not just to listen to music or compete in a dart tournament, but to eat, visit and stay.

City Council approved the transfer of a liquor license into Harrisburg for the proposed entertainment venue in September.

City Applies for Funds

Roads, bikes and firefighters would benefit from several funding applications authorized last month by the Harrisburg City Council.

The council directed the administration to apply for:

A $1.6 million federal grant that would fund the hiring of 10 new full-time firefighters over the next two years. The Staffing for Adequate Fire and Emergency Response (SAFER) program is designed to help localities fortify the ranks of their trained firefighters.
A $350,000 low-interest loan from the Dauphin County Infrastructure Bank for various paving projects in Bellevue Park, on S. 17^th Street in south Harrisburg and on Hale Avenue near the city line.
A $3,200 matching grant to participate in the Regional Bicycle Connections program with several other municipalities in Dauphin and Lebanon counties. The goal of the grant and program is to create safe, connected bicycle routes to promote cycling.

Bill Seeks Full Funding

Harrisburg’s state lawmakers introduced a bill last month that would guarantee the city “full funding” for the emergency services it provides to the state Capitol complex.

Sen. Rob Teplitz and Rep. Patty Kim said they would seek to commit the state to an annual appropriation of at least $5 million, which they said is the cost to Harrisburg of protecting the complex’s 40 buildings and thousands of workers from fire and other emergencies. In subsequent years, the amount would be indexed to the inflation rate.

This state funding also is built into the Harrisburg Strong financial recovery plan for the city.

Court Rejects Miller Objections

A Commonwealth Court judge last month rejected numerous objections to the Harrisburg Strong financial recovery plan filed by City Controller Dan Miller.

In her opinion, Judge Bonnie Brigance Leadbetter said that Miller filed his objections too late and that, in any case, he lacked standing to make the objections. She also said that it’s vital that the plan’s implementation not be delayed.

Harrisburg receiver William Lynch requested that Miller’s objections be stricken. Mayor Linda Thompson, Dauphin County and several creditors backed Lynch in his response.

In his filing with the Commonwealth Court, Miller objected to the recovery plan because, he said, it relies on numerous assumptions, is incomplete and unduly burdens city taxpayers.

Miller is the Republican candidate for mayor in this month’s general election.

Fees Hiked for Burglar Alarms, Fire Services

If your burglar alarm goes off by accident, you will face a steep fee hike for the emergency response.

Harrisburg City Council last month increased the charge for a second false alarm from $10 to $50. A third false alarm also will cost $50, up from $25. Fourth and fifth false alarms will cost $100 each with charges of $150 for each subsequent false alarm.

Council also imposed new or higher fees for a variety of services provided by the city’s Fire Bureau. For instance, the city now will charge a new $100 fee for a one-hour bonfire or $175 for a two-hour bonfire.

False fire alarms fees have increased from $50 to $150 for the third and fourth false alarm and from $100 to $250 for the fifth to seventh false alarms. Other fees remain the same.

Councilwoman Eugenia Smith said she would make sure that all fees related to public safety services would be posted at the city’s website, www.harrisburgpa.gov.

Philbin Gets Official Nod

Robert Philbin will have a city job into early next year, as the Harrisburg City Council last month confirmed his appointment as chief operating officer through Feb. 1.

In June, Mayor Linda Thompson appointed Philbin to the post following the sudden resignation of the city’s first COO, Ricardo Mendez-Saldivia. Philbin had been acting COO since June.

Philbin, who previously served as Thompson’s spokesman, said he will return to his position as marketing and communications officer with Capital Area Transit following his stint with the city. Thompson’s term as mayor ends in January.

Parking Changes for Reily Street

Harrisburg has changed the parking rules for a section of Midtown to accommodate two new restaurants.

The City Council last month voted to restrict parking to two hours during weekdays on both sides of Reily Street between N. 5^th and N. 6^th streets and on both sides of N. 6^th Street between Boyd and Reily streets.

Council members took the action so that patrons of two restaurants located within The 1500 Condominium could park more easily. Council President Wanda Williams said that state workers often have parked on those blocks all day long, preventing others from using the street spaces.

The new rules should help facilitate parking for diners at both Café 1500, which reopened recently under a new operator, and Crawdaddy’s, which moved last month into the building, relocating from two blocks away.

Changing Hands: September Property Sales in Harrisburg

Bellevue Rd., 2028: N. Emerick to K. Feucht, $48,000

Benton St., 520: J. Phillips to L. Holmes, $69,900

Boas St., 438: T. & E. Buda to R. Kane, $160,000

Conoy St., 110: S. & M. Boyle to M. & S. McLees, $145,000

Croyden Rd., 2986: D. Folk to PA Deals LLC, $42,000

Delaware St., 267: B. & A. Jennings to J. Renue, $128,000

Derry St., 1266: C. Lanza to D. Shah, $34,000

Derry St., 1950: Mussani & Co. to Next Generation Trust Services, $50,000

Edward Rd., 203: D. Morand to M. Gabler, $78,900

Fillmore St., 616: PA Deals LLC to Bholay Nath Properties LLC, $73,000

Green St., 2033: N. Patrick to A. Holland, $45,000

Green St., 3240: E. Mentzer to J. Mueller, $109,900

Holly St., 1944: M. Hampton to J. & B. Readinger, $43,000

Kensington St., 2320: J. Kramer to M. & J. Cramer, $68,900

Kensington St., 2436: T. & A. Teter to L. Kim, $63,000

Logan St., 2421: K. & G. Corker to K. Macrate, $60,000

Market St., 829, 1001: Patriot News Co. to Equity Trust Co., $500,000

Market St., 2105: M. Mettenet Trust to J. Lohlun & E. Ruggieri, $103,000

N. 2^nd St., 3214: P. Harper to A. Parks & I. Silva, $149,900

N. 2^nd St., 3224: M. Harrison to K. Petrich, $85,000

N. 3^rd St., 2120: Fannie Mae to K. Fillingame, $60,000

N. 4^th St., 2711: P. & M. Foltz to B. & M. Hayes, $93,500

N. 4^th St., 3009: Bank of New York Trust Co. to P. & C. Ambrose, $52,000

N. 16^th St., 1301: E. & P. Cumberbatch to Y. Morel-Pena, $36,000

N. 17^th St., 99: T. Pham to J. Glick, $47,700

N. Front St., 1419: River Front Development Group LLC to M. Kurowski, $189,000

N. Front St., 1525, Unit 514: K. Alvanitakis to A. Firoozmand, $98,500

Pennwood Rd., 3205: R. & R. Yost to C. Lebo, $99,000

Rumson Dr., 261: Fannie Mae to C. & A. Davis, $38,101

Rumson Dr., 2991: B. Minter et al to Trusted Source Capital LLC, $31,000

S. 18^th St., 1235: M. Phuong to M. Quinn, $73,900

Vernon St., 1537: T&R Property LLC to VanDougbar Ventures LLC, $31,250

Vernon St., 1539: T&R Property LLC to VanDougbar Ventures LLC, $32,500

Woodbine St., 220: T&R Property LLC to VanDougbar Ventures LLC, $33,750

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

Dear Prudence

September 10, 2013 | by Paul Barker

The legislature giveth, and the legislature taketh away.

On Monday, the Senate Local Government Committee heard testimony on a package of bipartisan bills that seek to still the rough waters of municipal debt. Two of the bills—SB 903, sponsored by Sen. Folmer, and SB 904, sponsored by Sen. Teplitz—impose a statewide ban on interest-rate management agreements, also known, in the sporting parlance of finance, as “swaps.” The ban would reverse a bill, exactly one decade old, whose overriding purpose was to permit them.

Swaps, like fireworks, come in many shapes and colors. In their simplest form, their function is to trade a fixed interest rate on a quantity of debt for a potentially more favorable variable one. (Or vice versa.)

Like fireworks, swaps can explode. When they do, the results can be catastrophic: as former Auditor General Jack Wagner testified on Monday, bad swap agreements have led to the loss of “huge sums of public money”—by SEPTA, the Bethlehem School District, and the Turnpike, to name a few—in the “area of tens of millions of dollars.”

When swaps were first permitted, in 2003, the outlook was sunny. Rick Frimmer, then an attorney at Greenberg Traurig, who helped craft the legislation, described them as a “favorite tool of tax-exempt bond issuers and their advisors.” (Frimmer is now a partner at a firm in Chicago, specializing in, among other things, restructuring troubled public debt.) Variable interest rates tended to be lower than fixed ones; by entering into a swap, a local government (or a school district or authority) could realize substantial savings.

So why the intensified interest in a ban? The immediate spur for the new legislation is Harrisburg’s debt crisis, which produced a pair of hearings last fall to investigate where laws governing municipal debt had failed. In the course of those hearings, legislators learned about inadequate oversight by the Department of Community and Economic Development—whose staff, apparently overworked, was essentially rubber-stamping the debt filings it was supposed to vet—and a semi-incestuous league of elected officials and their legal and financial advisors. Some of the proposed legislation seeks to curb these offenses, by bolstering DCED’s regulatory role and by strengthening conflict-of-interest provisions.

But additionally, during the hearings in 2012, the senators heard testimony explicitly warning against the use of interest-rate swaps. David Unkovic, Harrisburg’s former receiver, referred to their allowance in municipal finance as a “failed experiment.” Swaps, he said, are incompatible with the pressures of public office: too often, they offer enticing upfront gains and push the pain onto future administrations. And their potential for harm extends well past the confines of the capital city, as Wagner detailed in Monday’s litany of losses.

Despite this, swaps still have ardent advocates. Charles Linderman, the director of business affairs for Great Valley School District, in Chester County, testified that Great Valley’s swaps over the past eight years have “resulted in positive cash flow.” Noting that there are “many successful swaps,” he urged the legislature to “preserve the flexibility of local government officials to have access to all the tools of the financial markets.”

Nancy Winkler, treasurer for the city of Philadelphia, likewise testified that the swap ban “would harm Philadelphia’s ability to manage effectively its own financial affairs.” Repeating the favored metaphor for utility, she referred to the swaps as “important tools” that “allow the city to generate savings, reduce risks, manage our investments and access the financial markets.”

It may be true that, managed well, swaps can produce savings on government debt. But what’s the guarantee they’ll be managed well?

At various points throughout the hearing, it was observed that swaps present elected officials with decisions they don’t understand. As a result, they’re forced to rely on professional advice. And an important sentiment simmering beneath Monday’s discussion was taxpayers’ lingering distrust of financial professionals.

Folmer, for instance, questioned Lucien Calhoun, the president of Calhoun Baker, Inc., a financial and management consulting firm, over what happens when an advisor “fails.”

“If a swap does go bad, who pays that bill? The taxpayer,” Folmer said. “And it seems like there’s no risk for the investment advisor.”

Judith Dexter and Michele Cann, who served on the board of the Bethlehem Area School District during a period in which it lost millions in swap transactions, spoke about officials’ susceptibility to bad advice. “We wanted to understand the transaction, and we thought we did,” Dexter said. “I do not feel that in Bethlehem we got any truly independent financial advice, because if we had, someone would have unraveled the kind of risks that we could face and the potential devastation to our district.”

Suspicion of high finance, whatever its benefits to rhetoric, is not always a reliable route to good legislation. (“Wall Street never loses,” Teplitz said after the hearing, as he took questions from reporters. “I think what we’re really doing is privatizing the profit and socializing the risk.”) Whether or not the swap ban succeeds, elected officials will continue to be shepherded by financial experts who will collect substantial fees.

But the concern about compromised guidance is relevant here. After all, in the tally of swap transactions, who really stands to gain? When Folmer asked about the cost of swaps to Philadelphia taxpayers, Winkler’s response was that, all told, “it turned out to be about a wash.” For taxpayers, perhaps. But what about for the industry that invented and sold the products that yielded the wash?

The 2003 legislation on swaps included a definition of an “independent financial advisor.” Such an advisor was to be a “person or entity experienced in the financial aspects and risks of interest rate management agreements.” Greenberg Traurig, the law firm that helped shape the bill, announced its passage with an article on its website; at the bottom, they note that their public finance lawyers “are experienced in these sophisticated transactions.” It’s not hard to see why the senators were intent on questioning the impartiality of advisors.

The immediate weakness of the swap-ban bills, judging by much of Monday’s testimony, is that they legislate caution where many would argue caution is already observed. Linderman, with the Great Valley School District, noted that his team has “always proceeded very slowly.” Winkler said that, though swaps come with risk, “we are highly conservative and prudent in using them.”

The trouble with this line is that it addresses the wrong question. The goal is not to ensure care after calamity: it’s to ensure care when calamity is far from everyone’s mind. This legislation would turn temporary prudence into lasting policy.

In so doing, it would mimic existing state law regarding municipal investments, which already prevents the staking of public money on highly speculative risks. The same logic—that stability and transparency are preferable to experimentation, however lucrative it might be—should apply here. Public money is public money, whether it’s spent on debt service or investments. The gains of such an approach may be less spectacular. But the losses will be, too.

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