Energy - July 29, 2011

Harrisburg City faces decision on fiscal plan

Harrisburg Mayor Linda Thompson must submit a new financial recovery plan to the City Council by August 2; at which point the city must vote for or against it.  Last month the council voted down the Act 47 plan which was put together by consultants chosen by the state.  The plan recommended the sale of the city’s trash incinerator and leasing the parking garages and would have provided continued support via the consultants. 

If the council does not accept Thompson’s plan it stands to lose about $3 million in state funding over the next year.  Funding could also be in jeopardy city council does approve the plan and the Department of Community and Economic Development Secretary Alan C. Walker does not.  The city currently receives $1.7 million in recurring funding and $1.3 million in project funding.  The council has until September 6 to vote on Thompson’s plan.


Corbett aide says PA will be ok despite Federal fiscal issues

Kevin Harley, spokesman for Governor Tom Corbett says that the Pennsylvania state government will be able to operate for several weeks even if the federal government stops providing state funding and does not raise the debt ceiling.  There may be some issues with projects that rely on federal funding but otherwise the state should be fine.  Pennsylvania expects to receive around $22 billion in federal dollars this fiscal year.

PA’s Congressmen are certainly feeling the heat from constituents.  Senator Bob Casey has reported an influx of calls to his office and what he is hearing from residents is that they just want Congress “to work together so we (constituents) can pay our bills.”