[EastSideHBG]

DAUPHIN COUNTY

County will buoy Harrisburg University's bond issue

Thursday, October 19, 2006
BY GARRY LENTON
Of The Patriot-News

Dauphin County will give financial aid to the Harrisburg University of Science and Technology if the fledging college needs help paying its bond debts.

Having the county's backing for the approximately $60 million in bonds being sold to finance the institution will make it easier to find buyers, University President Mel Schiavelli said.

It will also lower the interest rate for the bonds, Schiavelli said.

The county's backing will come into play only if the university is unable to meet its bond payments. The commissioners and university officials said that's unlikely.

"We have high expectations that the university will be able to meet its enrollment targets so it will not need to call on the county," Commissioner George Hartwick III said.

Commissioner Nick DiFrancesco described the agreement as a safety net.

Under the agreement, the county will guarantee $15 million over 10 years, starting in 2010. The county will never be called upon to pay out more than $1.5 million in a year, officials said.

The school will take out a $3.3 million letter of credit with Commerce Bank. If the school has trouble meeting payments, it will use that money first, said Peter Carlucci, a university attorney.

The university is in its second year of operation. This year it doubled its enrollment to 200.

*****************

New restaurant to open in area mall

Thursday, October 19, 2006
BY CHRIS A. COUROGEN
Of The Patriot-News

Look out, Restaurant Row in Harrisburg. Lower Allen Twp. is gaining on you.

Tom Scott, owner of McGrath's Pub on Locust Street in Harrisburg, has unveiled plans to expand the McGrath's franchise to the West Shore with a new restaurant at Capital City Mall.

The new eatery -- called McGrath's Grille -- will occupy 5,000 square feet in the former food court area at the mall and will seat 180, according to Mark E. Kozar, an attorney representing Scott in his efforts to get a liquor license for the restaurant.

The liquor license is expected to come from The Sandwich Man in North Middleton Twp. Lower Allen Twp. commissioners next week are expected to approve Scott's request to transfer that license, which a Pennsylvania Liquor Control Board spokeswoman said is currently in "safekeeping."

State law allows the transfer of a liquor license from one municipality to another in the same county with the approval of the receiving township.

The transfer would be the third approved for restaurants in the township's busy retail areas along Route 15. In March, commissioners approved a license transfer for Garfield's Restaurant and Pub, which is nearing completion next to the new food court in Capital City Mall. A license transfer for a Texas Roadhouse restaurant on the opposite side of Route 15, near The Bon-Ton store, was approved in July.

McGrath's Grille will have a theme similar to the Harrisburg pub, with a dark-wood interior and many of the same menu items. The restaurant also will offer expanded steak and seafood choices and a children's menu intended to make it a "family friendly," casual-dining establishment, Kozar told the county commissioners during a public hearing on the license transfer.

The emphasis at the mall restaurant will be on food, Kozar said. There will be no take-out beer sales, and alcohol is expected to account for only 20 percent to 25 percent of sales. No smoking will be permitted.

Kozar said Scott plans to invest $1.5 million to provide a "unique, mid-priced, dining alternative."

The restaurant will be open from 11 a.m. to midnight daily except Sunday, when it will close at 9 p.m. It will have a direct entrance and exit to the mall parking lot.

Plans call for the new restaurant to open in February or March, Kozar said.

[EastSideHBG]

Btw that is my uncle, Gary Welsh, quoted in the article! :tup:


MIDDLETOWN

Council considers hefty tax increases

Friday, October 20, 2006
BY CATE MCKISSICK
For The Patriot-News

Middletown residents would see double-digit real estate tax increases in each of the next two years under a plan the Borough Council is considering.

Under the proposal, the borough would raise property taxes about 17.5 percent next year and an additional 27.4 percent in 2008.

At a meeting this week, the council put projects on the borough's wish list that would require borrowing at least $10.3 million.

"Tonight's vote is only for preparation of documents," borough manager Jeffrey Stonehill said. "This is by no means a final vote."

The wish list includes:

# $55,000 for cost overruns for a traffic light on Adelia Street.

# $100,000 for electricity distribution system upgrades.

# $183,000 for Mill Street electrical substation circuit switches.

# $125,000 for storm-water system repairs.

# $325,000 for street paving.

# $325,000 for street paving.

# $375,000 for a new parking lot.

# $110,000 for new police station bathrooms, showers and lockers.

# $40,000 for two new police vehicles.

# $330,000 to rebuild the public swimming pool.

# $5 million in preliminary costs for design and construction of a fire station.

# $3 million in preliminary costs for design and construction of a library and historical society to be built next to the new fire station.

# $500,000 to refurbish the fire department's aerial ladder truck.

The increases come on the heels of other increases in taxes, fees and rates.

In September, the council increased the electricity rate for residents, tying the rate to the wholesale cost. It also increased the cost of garbage pickup to $20.11 a month. In January, the garbage rate will rise to $21.74 a month.

Most of the borough tax increase would come because auditors notified the council last month that it must create a trust fund to provide retired employees benefits. The fund, to be set up next year, will require an initial deposit of $176,000 and necessitate an increase of 0.47 mills for 2007 and two years after that.

If the council proceeds with all the items on its wish list, taxes would go up by 0.802 mills in 2007, including the cost of the retiree fund, according to Stonehill. The total projected increase in 2008 is 1.473 mills.

"A lot of people are saying we're increasing the tax rate to run the riffraff out of town," resident Gary Welsh said to council members at their meeting. "But we're not running the riffraff out of town. We're running out the people who built this town.

"We're way out of control and out of hand in spending," he said. Welsh was among the six or so residents in the audience.

Items voted off the wish list included $160,000 to replace the electric department's 1992 bucket truck; $2.1 million to expand the sports fields on Susquehanna Street, which would require rerouting the street and sewer lines; and $375,000 to expand the boat launch area and build a fishing pier at Susquehanna Street.

The council next meets at 7 p.m. Nov. 6 in the municipal building at 60 W. Emaus St. The council is expected to approve the budget Dec. 4.

THE BOTTOM LINE

Under a plan being considered by the Borough Council, Middletown residents' property taxes would be nearly 50 percent higher in 2008 than they are now. 2006

# Tax rate: 4.56 mills.
# Tax on $100,000 property: $456.
# Projections under a Borough Council plan: 2007 Tax rate: 5.362 mills.
# Increase from 2006: 17.5%.
# Tax on $100,000 property: $536.20.
# Increase from 2006: $80.20.
# 2008 Tax rate: 6.835 mills.
# Increase from 2007: 27.4%.
# Tax on $100,000 property: $683.50.
# Increase from 2007: $147.30.

[EastSideHBG]

As if the news in HBG hasn't been depressing enough, I talked to an old neighbor of mine recently and she said that Shipoke is going completely down the drain and a lot of riffraff has moved in as more and more houses are going up for sale there, and the residents can't get what they want for them and end up selling at much lower prices; they are typically being bought by people who just want to rent them out. I can't say I am surprised, though, and I knew the last flood scare would be the straw that broke the camel's back. :no:


HARRISBURG BUDGET CRISIS

Layoff notices to go out as early as Monday

Saturday, October 21, 2006
BY JOHN LUCIEW
Of The Patriot-News

After weeks of warnings, Harrisburg is expected to lay off managers and police officers beginning late next week to help close a $14 million budget deficit.

Mayor Stephen R. Reed said yesterday the layoff notices would go out to an undisclosed number of managers and police department employees as early as Monday.

The job cuts would take effect by the end of the week and last at least until the end of this year, he said.

"I find a layoff of personnel to be repugnant," said Reed, who is expected to announce more details Monday. "But there is no other way."

The city has 648 employees, down by about 235 since 2001.

Reed warned that the pending reduction would begin to erode services.

But Reed said the layoffs became unavoidable after City Council on Tuesday halved the mayor's request for a $14 million loan to cover the deficit and attached numerous conditions to the money's use.

Among the council's stipulations was that the loan be repaid by the end of this year from the sale of the estimated $7 million in Western artifacts Reed acquired since 2000 for a proposed museum.

Reed said he had decided to sell most of the artifacts weeks ago, but that the process would take months -- too long to alleviate the budget crisis.

"They knew that going in," Reed said of council, accusing members of "game playing."

He called the impending layoffs "unfair, unnecessary and entirely preventable," saying the cuts could have been headed off by the proposed $14 million loan.

Some council members pointed the finger right back at Reed.

Members Dan Miller and Gloria Martin-Roberts noted that it was the city administration that presented the budget as balanced and made revenue projections that have proven wildly optimistic.

"I think the onus is on the mayor," Martin-Roberts said. "These are not our predictions and projections. The budget is presented to us. The mayor is not new at this. He has been doing it for 24 years. He is the responsible party."

Reed countered that "everyone" would be the "bad guys" as soon as city employees begin losing their jobs.

Among those who are scheduled to be let go are an undisclosed number of police.

Reed said he could not avoid cutting employees from the city's public safety department, which includes firefighters, because it accounts for such a large proportion of city spending.

"There's no way to cut spending and avoid public safety [jobs]," he said.

Job cuts will not affect firefighters because the fire department is near minimum staffing requirements and any cuts would only generate more overtime, Reed said.

The mayor did not rule out a second round of layoffs this year and warned that a tax increase and possible further staff reductions are in store for the 2007 budget.

Reed will unveil next year's spending plan Nov. 21.

To boost revenues, Reed said he will propose the sale of some city assets beyond the $7 million in Western artifacts. He did not name the items.

All told, Reed has acquired $26.4 million worth of artifacts, but $18 million are Civil War items used as the city's match to a state grant to build The National Civil War Museum. Along with about $1.5 million in donated artifacts, they cannot be sold, Reed has said.

Harrisburg owns the Harrisburg Senators minor league baseball team, as well as the stadium on City Island.

But the city's water utility and the trash incinerator are owned by the Harrisburg Authority, a separate agency.

Reed said he has ruled out a proposal to close city hall offices on Fridays. The cost-cutting move would have affected city hall employees and meter attendants, but not essential personnel, such as police, firefighters and sanitation workers.

Reed said the union representing non-uniformed city employees refused to agree to the Friday closings after having accepted small raises in their most recent contract.

"I don't blame them," Reed said.

This year's budget was passed at $103 million. Reed has said the city will spend about $6 million less, yet will end the year deeply in the red, mainly due to lower or missed revenues.

The city faces $37 million in remaining expenses, and it expects $22 million in revenue for the remainder of the year, officials have said. The city must rely on revenues as they trickle in because its reserves have been spent.

[EastSideHBG]

City police expecting as many as 20 layoffs

Harrisburg official only says dozens of workers face furloughs this week

Tuesday, October 24, 2006
BY JOHN LUCIEW
Of The Patriot-News

The union for Harrisburg's police officers is fresh from signing a five-year contract that calls for raises of just 1 percent next year.

Now it is awaiting layoffs this week of as many as 20 of its 170 members, the union's lawyer said.

Sean Welby, senior labor counsel for the Pennsylvania Fraternal Order of Police, said cuts of that extent would wipe out the city's cadet class, erode police investigations and force detectives, and even some lieutenants and captains, back into squad cars and routine patrols.

I never thought it would come to this, in the capital city of Pennsylvania," Welby said, noting that Harrisburg once had the fourth-largest municipal police force, with 195 officers.

"It's just going to be a bare-bones operation," he said. "Everyone who is left is just going to be pushing a patrol car ... putting out fires."

With violent crime surging in Harrisburg, city spokesman Randy King confirmed yesterday that police department employees would be among the "three [dozen] to four dozen city workers" laid off this week.

The majority of the cuts would come from the 127 city managers, he said. The last day for the laid-off workers would be Friday. Notices would go out this week.

Firefighters and nonuniformed union employees would be spared under the first round of job cuts, largely because of staffing or anti-layoffs clauses in their union contracts.

King said Mayor Stephen R. Reed will release more details on the layoffs, as well as other cost-saving measures, at a news conference Friday.

The city has 648 employees, down by about 235 from 2001.

City officials said the layoffs are needed to help close a $14 million deficit in this year's budget.

Reed said the cuts became inevitable last week after City Council halved his request for a $14 million loan to cover the deficit and attached numerous conditions to the money's use.

The loan is no longer being considered, city administrators said.

The layoffs of police employees come as many residents are frustrated with crime. Eight people have been fatally shot this year. Violent crimes in 2005 rose 25 percent from the previous year, according to FBI statistics.

The irony for Welby and the union is that on Friday they put the finishing touches on a new contract, accepting annual raises of 1 percent in 2007 and 2 percent in 2008. "This is the lowest raise I have ever voluntarily taken in my life," he said.

After a detailed analysis of the city's audited financial reports, Welby said he had little choice but to recommend the five-year deal, which offers a 4 percent raise in the final year.

"I never take a municipality's word for it that they're broke," he said. "I got the shock of my life. We couldn't find a dime. We explained to our members that there was just nothing there."

Welby said the city's financial situation was so dire that the union didn't want to risk arbitration and possibly be forced to make concessions instead of getting the small gains in the final deal. Welby said he still wasn't certain the city would sign the pact.

Welby said the prospect of layoffs on the heels of such a lean contract made him feel "physically ill."

He said the effect of the layoffs will be the same as termination. The officers eventually will lose their medical insurance and other benefits and will be due pay for any compensatory and leave time within 30 days.

"This is going to cost the city a fortune," Welby said of the back pay. "In the end, they will save a couple of bucks."

Reed hasn't ruled out a second round of layoffs this year and warned that a tax increase and possible further staff reductions are in store for the 2007 budget. Reed will unveil next year's spending plan Nov. 21.

This year's budget was passed at $103 million. Reed has said the city will spend about $6 million less, yet will end the year deep in the red, mainly because of lower or missed revenues.

The city has $37 million in expenses and expects $22 million in revenue for the rest of the year, officials have said. The city must rely on revenues as they trickle in because its reserves have been spent.

****************

What the...?!?!? Harrisburg is really changing these days, and losing a lot of the things that made it HBG. Will this be a good thing or bad thing? We'll see I guess...


WHTM ends speculation, says Wagner left station

Tuesday, October 24, 2006
BY BARRY FOX
Of The Patriot-News

After weeks of speculation, it has been confirmed: Rick Wagner is no longer working for WHTM-TV Channel 27 after more than two decades with the station.

WHTM made it official yesterday that the news anchorman left the station to "pursue new career opportunities."

"All of us at abc27 appreciate Rick's many years of service and contributions to the station's success," Joe Lewin, WHTM's president and general manager, said in a statement. "We wish him the very best in his future endeavors."

Wagner could not be reached for comment.

The Patriot-News reported this month that Wagner had not been on the air since Oct. 6. Soon after, word began circulating in local television newsrooms that he and WHTM had parted company.

Several station insiders said they were surprised to hear the talk and that the staff had been told nothing.

"The bosses aren't saying anything," one staffer said.

Wagner's whereabouts have been a frequent topic of Internet chatter, and the rumored split was discussed yesterday morning on R.J. Harris' show on WHP 580 AM.

WHTM anchor Alicia Richards had been telling viewers that Wagner had the night off to explain why he was not in the chair beside her. She stopped doing that last week.

Wagner's biography and photo were removed from WHTM's Web site, one of the first signs that someone is no longer at a station.

"He's taking some time off," Lewin told The Patriot-News this month.

He wouldn't discuss why or how long Wagner was expected to be away.

"We'll cover his duties with other people on the staff," Lewin said.

Weatherman Chuck Rhodes, who has worked with Wagner for more than two decades, said he didn't know his former colleague's status.

"He's a dear friend of mine, always has been and always will be," Rhodes said. "He's like a right arm to me and a delight to work with."

Wagner, a native of Fairfield, Calif., served in the Navy before attending Brown Institute School of Broadcasting in Minneapolis and the University of Minnesota as a history major.

He was an anchor and reporter at television and radio stations in Missouri, Minnesota and Iowa before arriving at WHTM in 1982.

[EastSideHBG]

Even more proof for my "end of an era" theory for HBG:


HIA deals with leadership change

Thursday, October 26, 2006
BY DAN MILLER
Of The Patriot-News

The management team Fred Testa put together at Harrisburg International Airport will run the airport when he leaves, at least for now.

Testa, 64, aviation director at HIA since July 2001, announced yesterday that he will retire, effective Tuesday.

"My gut feeling is we will probably do a national search," said John Ward, chairman of the board of the Susquehanna Area Regional Airport Authority, which owns HIA, Capital City Airport, Franklin County Airport and Gettysburg Airport.

Ward couldn't say when the search will begin or how long it might take. The board has appointed Tim Edwards, the deputy aviation director, as acting director.

Testa's retirement was not unexpected. He spent much of September in Florida recovering from surgery. Edwards ran day-to-day operations in Testa's absence.

It wasn't the first time Testa had been away from the airport because of health problems, but this time it took him longer to recover. Testa cited health concerns as a reason for his departure.

"It's time I smelled the roses rather than the jet fuel. I don't have 70-hour weeks in me anymore," Testa said, referring to the pace he said he maintained to get the airport's new $240 million terminal finished in 2004.

Edwards has been at HIA for almost three years. Before that he worked 14 years at Lebanon Airport in New Hampshire, including as airport manager.

Testa recently promoted two HIA managers to fill two new deputy director positions. That gives Edwards five deputy directors under him.

Ward wants to see the team led by Edwards "settle in" before the authority makes any major moves.

"There's no doubt in my mind that the present staff can operate this airport and do it well," Ward said. "I don't know with Fred's retirement if we have all the skills we need. We need to evaluate that, and it will take us a while."

Testa set the airport on the right course, said David Black, CEO of the Harrisburg Regional Chamber and the Capital Regional Economic Development Corp. "I don't think there needs to be a dramatic change in direction."

"If we're going to be competitive, we need a world-class airport, and he got it done," Black said of Testa. "He takes a lot of undue criticism because flights are down. All airports the size of Harrisburg are struggling right now."

Ward said Testa will receive his annual salary of $187,460 and benefits until Dec. 31, 2007, under a compensation package approved by the authority. After that, Testa will be eligible for the same retirement program offered to other HIA employees.

[EastSideHBG]

Well guys, I have officially given up on Harrisburg and I now declare it D E A D and totally void of any hope. You may disagree and that is fine, but as for me, the writing is on the wall. Above that, it is a chapter in my life I am now deciding to close for good. It's very sad it had to end on this note, but I never expected anything less from a town so horribly, horribly ran. :Titanic:

Ahhh, Harrisburg, what could've been... :no:


Harrisburg Issues Layoff Notices To City Employees

Thursday October 26, 2006 9:37pm
Reporter: Dennis Buterbaugh Posted By: Kay Smith

Harrisburg - The City of Harrisburg issued what is expected to be the first round of layoff notices to city employees this morning. The city did not announce how many workers are affected by the cuts, but sources tell abc27 News about 30 employees received layoff notices. City Spokesman Randy King says the notices went to employees in all city epartments, including police.

No current police officers were taken off the street, but three communications supervisors and a manager in the Traffic section were let go, along with nine cadets at Harrisburg Area Community College's Police Academy. The cadets were nearing their graduation, but their training has come to a halt. "Those are officers that won't be on the street in the future," says Jason Brinker, the Vice-President of the police union. "We anticipated having them, within three weeks, being on the street, getting them out in patrol cars, serving the citizens of Harrisburg. We won't have that opportunity now."

The layoff notices were hand-delivered by department supervisors this morning. Some were received by people who are at management level in City Hall. All employees who received a notice will be paid through the end of the week. Mayor Stephen Reed is expected to provide more details during a press conference Friday.

Earlier this week, King said three to four dozen employees would be let go on Friday, and that the cuts would be just the first round. Mayor Reed was expecting more layoffs before the holidays, and at the beginning of next year.

The layoffs were issued because of a multi-million dollar shortfall in the city budget. The Mayor's Office and City Council have not come to an agreement on how to solve the deficit.

Mayor Reed announced last month that the city needed a $14-million loan to cover expenses and payroll through the end of the year. Last week, City Council approved a $7-million loan with conditions attached, including one that required the mayor to sell Old West artifacts purchased for a proposed museum. Business Administrator Linda Lingle said the conditions made the loan useless.

The Mayor's Office is looking at other ways to cuts costs. City Hall might close on Fridays and major services could be cut back. Mayor Reed has said the city might reduce trash pickup from once a week to every two weeks, and could cut back on street cleaning from every two weeks to every four weeks.

Mayor Reed has also stated that workers who receive layoff notices would not be able to come back to work unless there is an increase in revenue, and that would mean a tax hike.

**************

Harrisburg's Incinerator Not A Moneymaker

Thursday October 26, 2006 9:44pm
Reporter: Al Gnoza Posted By: Kay Smith

Harrisburg - Harrisburg City Council held a special session tonight to talk about a hot topic. Harrisburg's incinerator is supposed to be a moneymaker for the city, but it isn't. It actually contributes to the deficit. Despite a 124-million dollar upgrade, even when the incinerator is operating at full speed, it can't function fast enough to make money. Changing that would cost another ten-million dollars. When the city shut down the incinerator for the upgrades, that was in the first half of this year, it cost the city four-million dollars.

Tonight, those connected with the project answered some questions. A representative from Barlow Projects, the company working on the incinerator, says the problems are related to the ash handling systems, but says his firm will finish the project.

Company representatives were joined by members of the Harrisburg Authority, which runs the incinerator. They took some direct hits from city council members Linda Thompson, Susan Brown-Wilson and Dan Miller.

Linda Thompson, "Reckless disregard for this city and I am deeply troubled and I am not going to let the authority, escape their responsibility in allowing Barlow to get to the point where they are."

Throughout the meeting Authority Director Fred Clark intercepted questions that had been intended for other people connected with the project. At one point Thompson told Clark to let the reps answer their own questions. After a brief exchange Clark told council he was leaving and took his guys with him. The move did not go over well with those who stayed.

Linda Thompson, "Mr. Clark showed reckless disregard and contempt for this city council, lacking respect for this committee and walked out of the meeting."

Linda Thompson says it appears that Fred Clark has something to hide. She also points out that if the incinerator is not generating sufficient revenue, then the city must pay back the bond that has been floated to pay for the retrofit work. Thompson said her committee will meet again to try to get answers on the incinerator and she says she plans to call a special council meeting for next week to address Fred Clark's walkout.

[EastSideHBG]

14 stories = "too tall" :brickwall:


Hotel builder strives to get councilman to free plan

Friday, October 27, 2006
BY CHRIS A. COUROGEN
Of The Patriot-News

Harrisburg City Councilman Dan Miller says it's not the idea of a hotel at the corner of North Second and State streets that he's opposed to, it's the size of the one proposed by developer J. Alex Hartzler.

Hartzler counters that Miller is using his position as chairman of the council's Community and Economic Development Committee to keep the 14-story hotel project bottled up.

Miller and his committee are supposed to be looking at whether hotels should be allowed in that area of the city -- and not passing judgment on specific projects, Hartzler said.

"What is amazing to me is one City Council member is blocking the whole City Council from making a decision on a project that is good for Harrisburg," Hartzler said.

If Miller's efforts mean the approval process for the hotel is delayed past the end of this year, Hartzler said, he could lose the franchise he's seeking and might pull the plug on the $10 million privately funded project.

"What Dan is really saying is he does not believe in the process," Hartzler said. "He is afraid he might not get the outcome he wants."

Miller's committee was to hold a public hearing Wednesday night to discuss a zoning amendment to allow hotels in the area. That hearing was put off until Nov. 9.

Hartzler's plans call for a 100,000-square-foot building with 148 rooms, an outdoor pool, street-level retail space, and a lounge and 140-seat restaurant with a sidewalk cafe on State Street. At 14 stories, the building would stand 168 feet tall.

Miller said that is too tall for State Street, where a building that height would block the view of the Capitol from the riverfront and the view of the river from the Capitol.

"It's State Street. It is not just about Harrisburg. That street is the avenue to the Capitol, one of the most beautiful Capitol buildings in the country," Miller said.

Under the current zoning for the area, buildings are limited to 45 feet in the area closest to State Street and 60 feet on the rest of the lot.

Before Hartzler can get to the zoning hearing board to request a height waiver, he must make it out of Miller's committee and get the council to approve changing the zoning to allow hotels in the area.

If the zoning is changed to allow the hotel and the height, the overall plan must get final approval from the City Council.

Under Hartzler's plans, the facade of the first three floors of the hotel along State Street would blend in with the current brick row houses that line the boulevard. The tower portion of the building would be set back eight to 12 feet.

The height of the building, which Hartzler said could be modified, would not be a lot taller than the 12-story State Street Building, which sits on the northwest corner of State and North Third streets, or the eight-story building that sits on the southwest corner of that intersection.

It would be more than 50 feet shorter than the Presbyterian Home, which sits catercorner across North Second Street from the hotel site. A 12-story parking garage is under construction to the rear of the site, along South Street.

[EastSideHBG]

HARRISBURG'S FINANCIAL CRISIS

'A SAD DAY' MAYOR WARNS OF MORE LAYOFFS, HIGHER TAXES

Saturday, October 28, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg's financial mess might get worse before it gets better. With little means to dent the city's projected $14 million deficit, Mayor Stephen R. Reed said yesterday that there could be as many as three more rounds of layoffs on top of the 32 managers, police cadets and nonuniformed workers let go this week. "It's a sad day, a heartbreaking day," said a grim-faced Reed, adding that the cuts in managers were spread across most city departments. "It's not fair to the employees."

The next round, which Reed said could come as soon as November, would take police officers off the streets and claim more city managers.

"We're talking dozens and dozens more, there's no question about it," he said.

But there might be hope.

Late yesterday, the City Council scheduled a special meeting for Tuesday to consider another bailout loan, this time a $10.5 million borrowing that could avert or reverse city layoffs. The council approved a $7 million loan this month, but city administrators declared the conditions a "poison pill."

Reacting to the prospect of more police cuts, police Chief Charles Kellar said his department would have no choice but to become more "reactive," doing all it can just to keep officers on the streets.

"We have a small vice unit, and it will remain small," Kellar said. "But that's where you get your guns and drugs."

Harrisburg will also have to dump $13 million more into its $80 million trash incinerator to fix major design flaws in the three-burner facility's air-intake and ash-handling systems.

Reed said the Harrisburg Authority, the city agency that owns the incinerator, has reached a deal with the project contractor, Barlow Projects Inc., to finance the improvements. The burner is expected to miss its first-year revenue target by $12.6 million.

Finally, Reed warned that a significant tax increase is on the way for 2007, along with a 15 percent hike in city sewer rates. He would not say how much taxes would rise but said there's no other way to meet rising expenses.

"A tax increase of some amount is inevitable," he said.

In the meantime, Reed outlined numerous other ideas to cut costs or raise money that would have short- and long-term impacts on the city's finances.

"I'm concerned about the future of Harrisburg," Reed said. "As Harrisburg goes, so goes us all."

Here's a closer look at Reed's ideas:

LAYOFFS:

The first round of 32 job cuts will save about $690,500 through the rest of this year, hardly enough to dent the projected $14 million deficit. However, the layoffs, along with the elimination of 23 vacant positions, will save as much as $2.6 million in 2007.

Reed said more cuts in the 616-member staff, including those involving police and nonuniformed secretaries, maintenance and sanitation workers, and other employees, could occur in November, January and February. The potential savings are unknown because Reed has not finalized his plans.

THE INCINERATOR:

Work to fix what Reed called "damnable" design flaws in the new incinerator could begin as early as December, he said. Once the problem is fixed, Reed said, he expects the operation to be 85 percent more efficient. He said the incinerator would begin to meet its revenue targets of $23 million a year and would be able to pay back $220 million in bond debt.

TAX LIENS:

Harrisburg has a standing practice of selling its tax liens for up-front cash, but the council did not pass the maneuver this year. Reed said he will again propose to sell the claims from 2005, which he said would raise $1 million by late November.

THE SENATORS:

Reed said the city stands to recover the $6.7 million it spent on the Class AA minor league ball club in 1996 and make a tidy profit, but he would not be specific. He said he will insist on a clause keeping the team on City Island for at least 29 years, with options to extend the term.

That will lower the team's value, but the team will be more attractive if the state comes through with a long-sought grant to upgrade the stadium, Reed said. He added that proceeds of any sale should first go to retire the bonds used to buy the team.

WESTERN ARTIFACTS:

Reed said he didn't know how much the $7 million in Western artifacts he purchased since 2000 might have appreciated. The rarest items would be sold at exclusive national auctions and sales, meaning it could be more than a year before the city sees any money. But some of the lesser items could be sold on eBay and other Internet auction sites, he said.

ISLANDS' SALE:

Since 1912, Harrisburg has owned the 100-acre McCormick Island and a smaller nearby island mostly in Susquehanna Twp. Both are being put up for sale to the highest bidder, but they can be used only for "recreation purposes," according to the deed. They're now used as camping and boating destinations. Reed said he's not sure how much the islands could fetch because one hasn't been sold for decades.

NAMING RIGHTS:

The city's RiverSide Stadium became Commerce Bank Park for $3.5 million, and Reed said he's open to similar deals for city parks, facilities and vehicles. The only items off limits are city hall, named for the Rev. Martin Luther King Jr., and police and emergency vehicles.

There's no estimate on how much the renaming of assets such as Riverfront Park or ads on the sides of city street cleaners and trucks could bring in.

STATE MONEY:

Pennsylvania pays Harrisburg $1 million a year for fire protection for the Capitol and state offices. Reed said that amount hasn't been raised for years and it's time for a significant increase.

In addition, Reed has applied to the state Department of Community and Economic Development's early intervention program for cities with financial constraints. This could put Harrisburg in line for more state money.

LESS INCENTIVE:

Harrisburg would cut its tax abatement program for development. Developers can now get city tax breaks for up to 10 years. Reed said all new projects eligible for the program would be expected to pay taxes in full after five years. He said this shouldn't retard development because no surrounding municipalities offer it, and the period had been set at five years before. It would not affect projects now enrolled in the program.

[harrisburger]

sure the news seems dismal, but it's all ebb and flow. good times come, bad times come. it repeats, no use in complaining.

but i did get a hold of some disturbing info regarding the 83 work/southern gateway project. i was part of some traffic studies, and learned from a couple of people involved with the work, that front street south will be getting a major overhaul, involving widening, and that the on/off ramps will be getting redone. the sad news is that many of the buildings just south of harrisburg hospital will be destroyed. there are some beauties between washington st. and vine st. that are might be in danger. the plans aren't complete yet, but i found this news much worse than any economic woes the city is facing.

[EastSideHBG]

I have to disagree, harrisburger, and there IS a use in complaining; sitting back and just letting things go is how it all got to this point in the first place. Harrisburg has COMPLETELY killed the mometum it had going with all of this crap and I think this will damage the city permanently. And let's take this one step further: Harrisburg was the 2nd most distressed city in the entire US at the beginning of the 80s and its transition back upward was...very...slooooow. Now here we are two decades later and it is heading back downward again, and not even before it got a chance to reach its fullest potential. My point? Is there really any hope for Harrisburg? With this (and the news you just posted) I give a big, resounding "NO!" It kills me to say that, but it is what I see/have seen. The city is going to need a T O T A L overhaul to get back on track, and I just don't see that happening in our lifetime. :no:

Wow, the news you posted is pretty darn depressing, harrisburger. I know people that live in a few of the rowhomes there and I hate to think of them being dispaced. Heck, it won't be long before they decide to demolish Shipoke too...or this will turn it back into the slum it was before, because this will probably compeltely cut the neighborhood off.

UGH, I am sooooo happy I moved! I think I would have a break down watching all of this garbage... :brickwall:

[wrightchr]

i really don't like what i'm hearing...reading

[Xeelee]

This seems to be alot of good news from Harrisburg. :) Cool.:cheers:

[EastSideHBG]

This seems to be alot of good news from Harrisburg. :) Cool.:cheers:
:???:

[EastSideHBG]

Guys, this is really serious and really, REALLY sad! Dirty politics, poor decisions by BOTH the Mayor and City Council, etc., has completely ruined that town.

RIP, Harrisburg...it was nice knowin' ya...

:no: :(

NEWS INFORMATION FROM THE OFFICE OF MAYOR STEPHEN R. REED
City of Harrisburg
King City Government Center
Harrisburg, PA 17101-1678
Telephone: 717.255.3040

FOR IMMEDIATE USE
27 Oct 2006

FIRST ROUND OF LAYOFFS OCCUR, OTHER STEPS OUTLINED

Mayor Stephen R. Reed today reported that the first round of layoffs of city employees has concluded.

Effective at the close of business today, 18 management employees, 4 AFSCME Probationary employees and 9 police cadets are laid-off. Additionally, 23 already vacant positions have been abolished and 1 management employee position has been converted from full-time to part-time.

The total lay-offs involve 32 persons. Counting the vacant position eliminations, a total of 55 employees are affected.

Reed said it is the first of what is expected to be a minimum of 3 rounds of lay-offs.

This first round of lay-offs will save a net amount of $690,429 for the remainder of 2006, after deducting unemployment compensation costs for which each of the employees is legally entitled. Unemployment is available under state law at $497 per week for up to 26 weeks.

The net savings for 2007, after subtracting unemployment compensation costs, will be $2,624,681, but that amount will be reduced by whatever must be paid out as severance pay for unused leave that individual employees may have accumulated.

The Mayor outlined multiple other steps being taken by the city:

(1) The sale of delinquent tax claims from 2005 would net the city $1 million by the end of November and thus reduce the deficit by this amount. In past years, the city has annually sold the unpaid tax claims and the money was automatically part of the city’s annual budget revenue. This past Spring, City Council, after including these revenues in the 2007 budget they adopted, then turned down the tax sale and reduced this year’s revenues as a result. The city will now ask them to revisit the matter in view of the current tight fiscal circumstances.

(2) The city-owned Harrisburg Senators baseball club franchise has been placed for sale and at least two entities have expressed serious interest. Discussions are now occurring but it would be months, at minimum, before any sales agreement would be in final form.

The city purchased the franchise in 1996 to prevent the team from being relocated to Springfield, Massachusetts by the then owners. “We said then and repeat now that owning a baseball franchise is not a core function of government and our only reason for taking the unusual step of ownership was to keep the franchise here,” Reed said.

“No sales agreement will be signed that does not do the same thing. Any sale will be unconditionally based on the team remaining in the City of Harrisburg for the long-term, with the only exception that a AAA team could take its place.”

(3) The city-owned McCormick Island and a much smaller contiguous island will soon be listed for sale to the best offer. McCormick Island is 100 acres, most of it located in Susquehanna Township at the city’s northern border. The small island is slightly over 2 acres.

The city acquired the islands in 1912. It has never been developed and the city has never used it for any specific purpose and has no need for them. The deed of transfer restricted its use to only recreational purposes and further stated that if the islands were to be sold, they would revert back to the then owners or their heirs. The previous owners are long deceased. The city will file for Quiet Title in Dauphin County Court to remove the deed restrictions.

(4) Initial steps are underway for the sale of the majority of non-restricted artifacts. All information indicates this will be a process of at least 12 to 18 months or longer. Better items should go to national auction houses to assure the best prices are received. National auction houses hold only periodic sales. The city has been strongly advised not to saturate the market with too many items at one time, as that would dilute pricing. Smaller, lesser value items will likely be sold through E-bay listings.

(5) In 2007, the city will expand its corporate sponsorship program, which now brings in money to cover the costs of various special events and programs.

(6) Naming rights of various city facilities and rental of some city surface areas for advertising will be offered. Public safety vehicles and City Government Center itself would be excluded. The city has previously sold the naming rights for the City Island baseball stadium.

(7) The City is filing an application with the state’s Early Intervention Program, operated by the state Dept. of Community and Economic Development, which assists municipalities in circumstances of financial constraint and may make the city eligible for special state funding.

(8) The City will seek an increase in the state fire appropriation in the next state budget. The annual amount of $1,020,000 has remained unchanged for years. Costs of gasoline, personnel, equipment and supplies have sharply risen in these years. By providing the state with fire-related and other services, it allows the state to avoid the much higher cost of providing these services itself.

(9) The City will explore alternative energy development as an expanded revenue source for future years. The City already generates steam and electricity through the burning of municipal solid waste and additionally co-generates electricity through the burning of methane gas in the sewage treatment process. A wind energy feasibility study is already underway and additional options will be examined.

(9) The tax abatement period for economic development will be reduced from the current ten years to five years.

Reed said: “None of the current fiscal constraints happened overnight. In the past four years, in the annual budget message delivered in public sessions and by other means, the city has warned that slow-growing revenues were being sharply outpaced by much faster rising costs over which a local government has little or no control.

“Due to the tight budget, the city’s largest union, AFSCME Local 521, agreed to a contract that had no salary increases in 2005 and only included a 2% raise effective this October 1st. Last year, no management employees received any raises either. In the new police contract, signed just last week, police officers agreed to only a 1% raise next year. The difficult financial constraints have been studied and extensively reviewed by many. The numbers are real and they will not go away by ignoring them or wishing them gone.

“To prevent tax increases in these years, the city has reduced staff by eliminating 211 vacancies, merged agencies, used technology to increase performance, created partnerships, secured grants, raised private funds, initiated loss controls to cut insurance and benefit costs from costing even more, installed energy savings measures, cut overtime, travel and the number of vehicles and cell phones, and spawned non-profits to take-on supportive functions.

“This prevented tax increases that would otherwise have been necessary. With the ever-increasing array of unfunded federal and state mandates and the sharp rise in the fixed costs of operation, the inevitable has arrived. Revenues are not enough to cover current operating costs. A few of the many examples of this include that since 2000,

o medical insurance costs have risen 99% to $6,572,086

o Prescription drug coverage costs are up 270% to $1,951,086

o Liability, casualty and other insurance coverages have increased 77% to $1,096,754

o Heating costs have risen 111% to $359,290

o Gasoline and diesel fuel have escalated 205% to $1,300,000

o Consumable supplies are up, such as with asphalt, which has increased from $68 per ton to $130 per ton in just two years

“While many of our costs and revenues can usually be accurately forecast, this is not true of all components of any budget. There are an extraordinary number of external factors outside the control of local government that can and do affect us.

“For example, just in the past four days, two new developments have occurred. The state legislature has just changed the Emergency Municipal Services tax law, the net effect of which will be to reduce these revenues by $700,000 next year. That is obviously not helpful and further compounds an already very difficult circumstance.

“The second event involves the city’s Health Benefit Stop Loss Insurance Coverage, which provides supplemental coverage when any catastrophic illness or accident costs go above a certain level. Because of higher employee utilization of this insurance in the past year, the insurance carrier initially proposed an 86% increase in premiums, or $238,414 more. Through negotiation, this increase has been reduced to 35%. While that is obviously less, it is still a $97,320 increase for a policy that takes effect November 1st, next week, for a one year period.”

Reed said “The present circumstance presents further challenge that must be addressed. Last year was the first year in 24 years that the city ended the year with a deficit. Deficit years are obviously not the norm for Harrisburg. Overspending the budget is not the cause last year or this. The simple truth is that revenues have not grown at the rate of mandated and fixed costs. Present and future cuts are the only options available if revenues are not increased.

“The layoffs we are forced to do represent a sad day. A heartbreaking day. It is unfair to the employees, many of whom have devoted their lives and careers to positive public service for this city. These layoffs were preventable if the majority of City Council had stepped up to the plate to help, rather than use the present circumstance as an opportunity to try scoring some political points at the expense of the city and dedicated staff,” the Mayor added.

[harrisburger]

i remain with a positive outlook on this whole affair, but the one thing i can't quite fathom is how this debt seemed to appear a few weeks ago. i know i have no real understanding of how the city works, but didn't they realize a while ago that they were going to run out of money? and since they knew, why not layoff people months ago, saving more money. it all just seems silly.

[EastSideHBG]

harrisburger, it only appears to have popped up recently because the media never gave this topic any justice until now. Like I stated in a previous post, this has been a problem for quite some time and I was hearing about this last year since I know a lot of city employees; every two weeks there was word that that might've been their last paycheck. Harrisburg and the local media did a horrible disservice to the people by keeping those problems under wraps until now.

And this keeps getting worse by the day...I'm glad you can remain optimistic, harrisburger, but I cannot share in that optimism. Unfortunately, my money is on a total collapse of Harrisburg and it will soon be no different than Chester, PA. HBG was going up over the last few decades but it has completely killed that now; no one is going to want to move (or stay) in a city with so many problems, that had to cut a chunk out of the police force (and we can't forget how bad the crime is there already), and where a huge tax/rate hike is a guarantee...


HARRISBURG CRISIS

Council cuts loan, Reed says jobs next

Wednesday, November 01, 2006
BY JOHN LUCIEW
Of The Patriot-News

It came down to $3.5 million.

That was the difference between the $10.5 million loan Mayor Stephen R. Reed said he needed to rescue Harrisburg from its financial crisis and the $7 million that the City Council authorized him to borrow last night.

City administrators insist the $3.5 million difference will now mean additional layoffs this year, including more cuts in police -- and a larger tax increase in 2007.

"It makes a big difference," budget administrator Linda Lingle said. "It doesn't seem like a lot, but it is."

Sean Welby, lead counsel for the Pennsylvania Fraternal Order of Police, called the council's 4-2 vote to borrow the lesser amount a vote for layoffs.

"Make no mistake about it, what council did tonight was vote for the layoff of up to 25 police officers," said Welby, who pointed to about a dozen officers seated in the audience at the packed meeting who are on the reduction list.

When it became clear that the council, led by members Dan Miller, Linda Thompson and Susan Brown Wilson, would reduce the loan amount, Welby led several dozen city employees, including the officers, out of the meeting.

"They are putting out a sign to all the criminals in the area -- Harrisburg is open for business," he said.

For their part, Miller, Thompson and Wilson said they were uncomfortable borrowing to get out of debt and expressed a desire for a more comprehensive plan to deal with the city's finances.

"There's still no plan that talks about how we don't get into this again," Wilson said.

Member Patty Kim also voted for the $7 million borrowing, but only after the $10.5 million loan was defeated on a 3-3 vote. President Vera Jean White and Vice President Wanda R.D. Williams voted for the $10.5 million and against the $7 million. Member Gloria Martin Roberts was absent.

Reed last week laid off 32 managers, police cadets and nonuniformed workers. He also eliminated 23 vacant positions, winnowing the city's total staff to 616.

Budget projections unveiled last night showed the city still ending the year $13.8 million in the red. The $7 million loan would only cut that in half, leaving little alternative but additional job cuts this year and a substantial tax increase next year, Reed said.

Reed, in a rare appearance before council, said a $10.5 million loan could have carried the city into 2007 without more job cuts and set the stage for a much more modest tax hike next year.

"The more of the deficit you eliminate, the less of a tax increase you have to do," said Reed, who initially asked the council to approve a $14 million loan, only to see the amount cut in half.

Calling his $10.5 million proposal a "compromise amount," Reed said the short-term tax-anticipation loan would be refinanced in 2007 and repaid with proceeds from the sale of various city assets. Reed said no tax money was needed to pay back the loan.

Reed has proposed selling the Harrisburg Senators baseball team, McCormick Island, $7 million in Western artifacts, and the naming rights to parks.

Reed said he even briefly considered selling City Hall, then leasing it. He rejected the idea, saying the short-term cash gain would not be worth the long-term lease payments.

The council restricted the use of the $7 million loan to the city's general fund obligations, including vendor payments and meeting payroll.

However, Lingle said that 42 city employees work for the trash incinerator, owned by the Harrisburg Authority. The restrictions bar the loan money from being used to pay their salaries, she said.

Reed said the city must replenish its workers' compensation and sewer funds to the tune of $1.3 million and $1.4 million, respectively.

[EastSideHBG]

Wow, even more good news for the Harrisburg area...

:no:

For many, transit is roadblock to jobs

"If you have a car and you drive your car and have money for gas, you pretty much don't have to think about it." Linda Figueroa, director of the Community Action Commission

Wednesday, November 01, 2006
BY FRANK COZZOLI
Of The Patriot-News

Unlike most midstaters, Jantzen Hutchings doesn't have a car to drive to work or to the store or to a doctor's appointment.

He's no longer in Philadelphia, where the buses and trains run virtually all day and night. To get from Allison Hill to his job packing and stacking eggs at Michael's Foods in Millersburg, Hutchings pays $30 a week to ride a van. The fee comes out of his paycheck.

Mobility means more job opportunities and maybe higher pay, but for many area residents, lack of transportation limits their opportunities.

For people like Hutchings, the region's highways are nearly worthless, according to a study by the Delta Development Group Inc. Delta did the study for the Foundation for Enhancing Communities (formerly the Greater Harrisburg Foundation), which is trying to bring attention to problems in the region, including a lack of affordable housing, a lack of skilled workers, drug abuse and health care. The study was released last week.

"If you have a car and you drive your car and have money for gas, you pretty much don't have to think about it," said Linda Figueroa, director of the Community Action Commission.

Transportation is one of the five most critical issues facing Dauphin, Cumberland, Perry, Lebanon and Franklin counties, the study found. But that's not because of highway congestion, which is the biggest beef for most commuters, who average 48 minutes each day in the car traveling to and from work.

"By far, the qualitative response we got when it comes to transportation, the biggest issue is our people who can't get to services and jobs," said Debbie Tollett, a senior associate for Delta Development.

Access to transportation is "the great leveler in our society," the study stated. While the urban poor have relatively good access to transit, the rural poor do not.

"You got to have a car, especially working," Hutchings said.

For most of those without cars, getting around boils down to bus service. Of all the transit agencies in the region, Capital Area Transit, which serves the Harrisburg area, is the only one that doesn't receive federal money. In the mid-1980s, CAT received more than $1.6 million a year in operating assistance.

Since that funding was phased out during the Reagan administration, CAT has been forced to end underachieving routes, eliminate midday runs and boost fares.

That doesn't help people get around, Tollett said. "The times the buses run and the number of buses just don't lend themselves to someone who has to get to a job."

Of all the state funding for transit, 95 percent goes to SEPTA and the Port Authority of Allegheny County. The remaining 5 percent is divided among CAT and 39 other agencies.

From 1991-92 to 2003-04, CAT's funding rose 6 percent. Daily ridership, which was once 12,000 per day, dropped to as low as 7,500 about 21/2 years ago but has rebounded to 9,800.

Under those conditions, expanding service has been tough.

"You're limited by the amount of money we have to invest in the public transit service," said James H. Hoffer, CAT's executive director.

A need for buses:

"We believe there should be more buses," Figueroa said. "We are advocates of solid mass transit."

She and Tollett said CAT needs to look away from a total fixed-route system to service that is more destination-oriented.

"It's what we're doing," Hoffer said, pointing to the new service between Shippensburg and the Naval Support Activity Center, partially funded by Cumberland County.

CAT also has introduced service between Hershey and downtown Harrisburg that is supported by Derry Twp. interests. Buses also run from Harrisburg to Ross Stores Inc.'s warehouse in Carlisle.

"We have a number of people who've gotten jobs out there and rely on this transportation," Figueroa said.

Service was introduced recently to the new High Pointe Commons shopping center in Swatara Twp. and to the TecPort complex near the Harrisburg Mall.

CAT has worked with businesses and employment agencies to find out where jobs are and how to get workers to those jobs. CAT would like to add more routes but can't without funding, Hoffer said.

Suburban sprawl is one reason mass transit has struggled. Mass transit needs population density to be truly effective, Hoffer said. Another is the "over-reliance" on the automobile, according to the study.

In fact, the study found that 83.1 percent of all midstaters drive to work -- alone. Of the roughly 357,000 commuters in the region, 1.14 percent use mass transit.

An aging population:

Another problem is lurking.

Pennsylvania ranks second behind Florida in retirees. In the midstate, people are "aging in place," the study said. As the region's baby-boomer population ages, its members who are mobile today might not be 20 in years.

"We need to start looking at that now because our population is aging," Tollett said. "We're going to see more and more isolation."

That topic was discussed recently at a conference held by the Pennsylvania Department of Transportation. "That's on the radar screen," said James Szymborski, executive director of the Tri-County Regional Planning Commission.

The midstate's transportation problem goes beyond mass transit. Bridges are aging and need to be repaired or replaced.

Highways are overwhelmed by traffic and need to be widened, yet the resources to do that in a timely fashion are scarce to nonexistent. What's bad today could be worse by the time money is available.

Experts said the solution to mobility in the region is multifold. It must be a combination that includes highway expansions, better bus service, CorridorOne trains, telecommuting and more car and van pooling.

The Legislature plays a role in CAT's flexibility. Without an increase in state funding, expanding service will be much more difficult for CAT.

Later this month, a special panel convened by Gov. Ed Rendell will hand lawmakers a set of recommendations on how to solve Pennsylvania's transportation-funding crisis.

How the Legislature acts will be critical. "It will either open the door or close the door," Hoffer said.

The recommendations are due no later than Nov. 15. The Legislature adjourns for the year on Nov. 30, leaving a two-week window to reach a solution.

Without one, transit agencies statewide will run out of money.

Szymborski, who sits on the Harrisburg Area Transportation Study, said it's "critical" that the Legislature acts this year, but he doesn't think it will.

Without more state funding, service cuts and fare increases will be inevitable.

"It won't happen on Dec. 31, but we'll be living on borrowed time," Hoffer said.

Beyond that -- without a reworking of how Pennsylvania's transit funding is distributed -- CAT won't get the money it needs to start train service in CorridorOne between Lancaster and Harrisburg.

The study captured the big issue for those who deal in human services, Figueroa said. "It's not 'new' news but hopefully will reach a large audience and be news to more people."

The study was designed to allow the foundation to allocate grant money in areas where definite needs have been identified, Tollett said. "The issues we are uncovering, I would venture to say, are probably nationwide."

The study team hopes the work triggers some discussion and solutions.

"Counties need to come together for more regional solutions," said Coleen Terry, a Delta senior associate.

Hutchings would like to see some action. "Maybe somebody will try to jump on it," he said.

[EastSideHBG]

Wow, so now the NIMBYs have crawled out of their holes to damage what little hope Harrisburg has left. Oh, Harrisburg, how I F*CKING HATE THEE! :whip: :jester: :frog: :hell: :koko: :shrug: :slob: :yuck: :yes:


Harrisburg Group Has Concerns About Proposed Hotel

Thursday November 02, 2006 2:06pm Posted By: Myles Snyder

Harrisburg - A group dedicated to preserving historic Harrisburg neighborhoods is coming out with concerns about a proposed hotel. The Historic Harrisburg Association says the plan is not appropriate and should not be permitted.

WCI Partners is seeking zoning exceptions from the city in order to build a 14-story luxury hotel with 148 rooms at the corner of North Second and State Streets. Historic Harrisburg says a the building would disrupt the natural sight lines in the neighborhood, including the view of the State Capitol Building.

*************

If I were the developer, I would pull out of this mess already and build my nice, shiny hotel right across the river. I would design it in such a way so that the top looked like a big middle finger, so it could point at Harrisburg all day and night. :tup:

[harrisburger]

as much as the hotel would help out second, you have to see these peoples' point. the hotel is out of place by a few hundred feet. save right by the capital, state street is a charming mix of low level buildings. i'm only talking about buildings fronting state street. nearby are some taller ones, but this hotel would block some of the views from the capital steps. before you talk about the end of second street, a hotel would do fine anywhere in the downtown. if they are accurate when they talk about vacancy rates, a hotel is needed soon. whether it's on second won't matter much. the developers-to-be should have realized this battle was coming, as state street was/is a row of (relatively) historical buildings. there are plenty of surface lots that should be built on before tearing down buildings which are already housing some good businesses.

[EastSideHBG]

/\
I completely disagree, harrisburger, but we seem to do that a lot these days. No biggie, and that is what makes this forum so enjoyable! :)

Some semi-good news for once. I say "semi-good" because this bldg. was supposed to be 22 stories before it was scaled down. Oh well, at least it will link up well with Strawberry Square, and hopefully it will be able to give it a much-needed shot in the arm.


Harrisburg University to celebrate planned downtown tower

Friday, November 03, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg University's planned downtown tower could rank with the Whitaker Center for Science and the Arts, Restaurant Row, Strawberry Square and the Hilton Harrisburg & Towers as cornerstones of the city's development.

That's the consensus of city officials and business leaders as the two-year-old Harrisburg University of Science and Technology prepares to break ground today on the $73 million, 16-story academic center at Fourth and Market streets.

"This is the next big thing for Harrisburg," said Brad Jones, a vice president with Harristown Development Corp., which owns and operates Strawberry Square.

The brick, steel and glass building will rise on the former Pomeroy's department store site, long a parking lot, and provide a new connection, entrance and anchor for Strawberry Square.

Jones said that by linking with the university, Strawberry Square is poised to expand beyond his lunch-hour driven business model, with students eating, drinking, shopping and "hanging out" there.

In turn, university officials expect their students to use Strawberry Square and the greater downtown as their "student union."

"The whole city is the student center," said Diedre Badejo, a Harrisburg University fellow participating in the university's start-up. "The amenities in the city are exactly what students look for. The things universities try to put on their campuses are already here."

Currently, the 170-student university is sharing space with Harrisburg's SciTech High at the science- and technology-based high school's campus at 215 Market St.

To say things are a little crowded is an understatement, according to students and faculty.

"We're growing out of our space right now," said university biotechnology professor Yolander Renea Youngblood. "We're bumping elbows and using every flat surface."

The new tower will bring space, comfort and breathing room. The only problem is, it's still two years away. By its 2008 completion date, the university's enrollment is projected to be about 500 students.

"Students will be able to relax and be themselves," sophomore Patrick Watson said of the tower, which will hold another advantage for him.

"We won't have to deal with traffic to get to Strawberry Square," he said.

The connection with one of downtown's most popular destinations also will raise the university's profile. The tower will feature first-floor public facilities, including retail space, restaurants, a street cafe and gathering areas.

Over the next decade, the university could mean as many as 1,600 student-customers for Strawberry Square and surrounding shops.

Jones said he expects to see an evolution of sorts that will have new businesses catering to the 20-something set as their economic influence grows.

"Students have their own unique needs, buying patterns and preferences, so there's a potential for new and interesting retailers," Jones said. "We are excited, as are the merchants of Strawberry Square. There's going to be a lot of synergy."

For University President Melvyn Schiavelli, the downtown location was a must for other reasons.

With a core mission of bridging the skills gap between what universities teach and high-tech employers demand, HU needed to be in an economic hub, Schiavelli said. He said the downtown setting will foster the best chance for forging more connections with businesses and employers.

"This is the beacon," he said.

Meanwhile, the emergence of a pool of students with cutting-edge skills could attract more businesses to downtown and the region, fueling high-tech economic development.

"Where students go, employers go," Youngblood said.

Jessica Meyers, incoming president of Harrisburg Young Professionals and a university mentor and honorary alum, said the concentration of students downtown also will buoy efforts to attract more young people to live in the city, long an HYP goal.

While the tower will not have a residency component, Harrisburg University students are living at the nearby International House on South Third Street, as well as at numerous private apartments in and around downtown.

Meyers is betting that their downtown experiences will help keep them living in the city long after graduation.

"They'll be here for four years, and we hope many of them will stay afterward," she said.

In the short term, however, the large-scale construction in a tight urban setting will mean cranes, closed sidewalks and temporary inconveniences for pedestrians.

"It's going to be two years of inconvenience for the Fourth and Market street area," Jones said. "But the long-term opportunities will be worth it."

[Xeelee]

:???:
sorry i misread... :(

[EastSideHBG]

sorry i misread... :(
Yeah unfortunately, these are some pretty dark times for Harrisburg. :(

[Xeelee]

Yeah unfortunately, these are some pretty dark times for Harrisburg. :(
man this sucks dude. i remember reading through this thread and lauding all the good things going on there... what happened? how can something like this be allowed to occur?

[klingy04]

With all the depressing news as of late, I would like to insert one bit of news I am very excited about (pitiful as it may be). Five Guys Burgers is opening it's first H'burg location in High Pointe Commons (yes, the new target near the other target). If you have never had their burgers, they're wunderbar! Possibly the only redeeming aspect of the entire project!

[EastSideHBG]

man this sucks dude. i remember reading through this thread and lauding all the good things going on there... what happened? how can something like this be allowed to occur?
Sadly, because Harrisburg politics are always at work...this is a prime example of what happens when only a few have WAY too much power and no one is there to keep that in check. :(

[EastSideHBG]

With all the depressing news as of late, I would like to insert one bit of news I am very excited about (pitiful as it may be). Five Guys Burgers is opening it's first H'burg location in High Pointe Commons (yes, the new target near the other target). If you have never had their burgers, they're wunderbar! Possibly the only redeeming aspect of the entire project!
:tup:


HARRISBURG

Taller-buildings plan returns
Proposal would affect structures from Reily to Maclay streets

Tuesday, November 07, 2006
BY JOHN LUCIEW
Of The Patriot-News

A long-delayed proposal to allow taller buildings along a section of Harrisburg's Front Street is back before the City Council in a modified form.

The zoning change that would allow residential buildings up to 110 feet in height would apply to a smaller portion of Front Street than earlier proposed and would be limited to condominium development, not hotels.

City officials are separately considering a second zoning amendment that would clear the way for proposed hotels along Restaurant Row and in other sections, but not on Front Street.

The final committee meeting on the hotel amendment, needed to clear the way for developer J. Alex Hartzler's plan to build a 148-room hotel at State and North Second streets, is set for 5:30 p.m. Thursday in city hall.

The council is expected to vote this month on both proposed changes.

The condo proposal would raise building height limits from 45 feet to 110 feet on a six-block portion of Front Street between Reily and Maclay streets.

The change originally would have extended to Verbeke Street, but residents expressed fears of losing their river views if a large building was erected on a vacant lot at Front and Verbeke streets.

The Verbeke tract is now left out, but the change would bolster a plan to develop the Tracy Mansion in the 1800 block of North Front into a restaurant and up to 50 luxury condos.

Last May, Susquehanna Real Estate announced plans to build a 92-foot-high condominium on a lot next to the mansion. Units would start at about $300,000.

But the project had to await the zoning changes, which were put on hold when Councilman Dan Miller ordered a rewrite of the proposed amendment.

Miller said he hopes to have the height limit zoning changes before the full council for a vote Nov. 28.

City officials say the zoning changes are necessary to spur development of several vacant or underutilized parcels in that area. The ordinance also stipulates that developers could not bulldoze pre-1950 buildings to make way for projects.

Dan Leppo, the city's building and housing director, said the proposal would allow Front Street to maintain its charm while accommodating development that often must be built higher for investors to turn a profit.

A 110-foot building is not unprecedented on Front Street. Linden Terrace, a retirement high-rise built in 1978, is that tall.

Developers would have to meet a series of conditions related to a building's amenities, landscaping, tract size and floor space to win approval to build that high, Leppo said.

City resident Bill Warren, who described himself as being on the leading edge of retiring baby boomers, advocated more condo development.

"It's an opportunity to retain residents like me ... and better yet, attract people back into the city," he said. "There's plenty more behind me."

Charles R. Peguese, vice chairman of the Harrisburg Redevelopment Authority, noted that the city is far behind when it comes to condo development, long a fast-growing housing sector in cities such as Philadelphia and Baltimore.

"Philadelphia has gone condominium crazy; but it's the one area, of all the other development in town, that we need to address," he said. "There is a need and there is an attraction there, and I don't think Harrisburg should be left behind."

[wrightchr]

^ great news. any word on the 2nd street hotel proposal? i really hope it doesn't get scrapped because of the proposed height....14 floors will make a great addition to the city and it really won't harm the view of the capitol from the river.

as for myself...i'm currently activated at ft. belvoir, va...just outside DC. i'll be here for another 5 months or so. what really strikes me as significant here, is the fact that harrisburg seems to be modeling itself in some way to DC's developed height and building restrictions. numorous low and midrise buildings seem to be the cornerstones to scattered dense residential neighborhoods. it seems like every major highrise proposal to come across the planning board is downgraded in some fashion and ends up being 14, 16, 18 floors...instead of 25...

i'm not going to really complain that much...because as i see it, any new multi-level development is going to be significant enough to help the city and region...but it would definately be nice to see some real upward growth in the cities core CBD.

as for all the negative highlights about the 'burg of late...i really wouldn't put too much stock in it. passing through harrisburg the other day, the city still seems to be moving forward IMO. there is still an incredible amount of new building construction and infrastructure projects and everytime i drive through parts of the city...it seems as though i'm seeing something new. the new university is up and running and i think it's going to have a huge impact on the city's night life and culture in general. having hundreds to potential thousands of new college students roaming DT is going to turn harrisburg into a real college "town". as for the cities budget crisis...it seems as though that is the current trend. if philly and pittsburgh and septa can make it through it...then so can harrisburg. at least we're talking about city government here and laying off 30+ people....and not state government and thousands of area workers. it would devastate the economy and would definately be a lot worse. i guess i'm thinking positive here.

[EastSideHBG]

/\
I wish I could share your optimism, Chris, but then I read things like this...a few more rounds of layoffs are on its way, with more after that even. :no:


NEWS INFORMATION FROM THE OFFICE OF MAYOR STEPHEN R. REED
City of Harrisburg
King City Government Center
Harrisburg, PA 17101-1678
Telephone: 717.255.3040


FOR IMMEDIATE USE
1 Nov 2006

Mayor Stephen R. Reed today said city government has now been forced to undertake additional layoff of some city employees as a direct result of City Council action at their October 31st session.

Mayor Stephen R. Reed today said city government has now been forced to undertake additional layoff of some city employees as a direct result of City Council action at their October 31st session.

Reed said: “Council was presented a clear plan to eliminate most of the deficit at no cost to current or future tax revenues, which would also have prevented further layoffs. The choice was simple. Solve the deficit issue and retain public safety and other essential staff or leave half the deficit in place and order the layoff of police and others. Half of Council chose the latter.

“It is one of the most defining votes ever taken by any Council and left absolutely no doubt that their intent is to diminish the capacity of government to serve our citizens.

“When they had the chance to take immediate effective action to settle all the pending fiscal issues, they refused to do it, choosing instead to create disruption, layoffs and public service reductions. This is not responsible leadership nor is it responsible public service.

“The action of these several Council members is disturbing and reprehensible because they did not have to do this. There was a clear, far more positive alternative. When it comes to protecting our citizens and property, and when it comes to assuring basic services to the public, they have made it obvious where they stand. They are against it,” Reed said. “Harrisburg deserves far better.”

The mayor said Council President Vera White, Council Budget Committee Chair Wanda Williams and Council Public Safety Committee Chair Patty Kim deserve commendation for standing up for public safety and solving the deficit issue.

“These Council members know and understand the issues and responsibly sought a proper solution. Unfortunately the division within Council itself on this and so many other matters stood in their way,” Reed said.

Additional layoffs will soon commence, with the next round occurring in the third week of November, to take effect immediately, and a subsequent round of notices being issued in December that will take effect the first week of January. Still further layoffs are almost certain to occur after these next two rounds.

[danwxman]

And with this, as well as the Capital City Mall improvements, the west shore is finally equal to the east shore in shopping. But with the Camp Hill Super Giant and Wegmans, the best grocery store options are definetely on the west shore.

Construction under way on shopping center

Silver Spring Township

By Joseph Cress, Sentinel Reporter, November 9, 2006

Construction is well under way on a shopping center along the Carlisle Pike that could feature two stores new to the mid-state.

It would appear developer Regency Centers has tenants for six of its 24 retail spaces and two of the six restaurants planned for Silver Spring Square.

The list includes a Wegmans Food Market and an Ulta store and salon - billed as a "one-stop-shop" for beauty needs.

Both store chains have no presence in south-central Pennsylvania, according to their respective Web sites, www.wegmans.com and www.ulta. com.

Ulta has 11 stores in Pennsylvania, with one in Altoona and the rest in either the Pittsburgh or Philadelphia areas.

Wegmans also has 11 stores in the state, including two in Erie and one each in Scranton, Downington, Wilkes Barre, Williamsport, Allentown, Nazareth, Bethlehem, Warrington and State College.

Wegmans moving ahead

Jeanne Colleluori, spokeswoman for Wegmans Food Market, said workers have completed the foundation and are now starting to put up the steel frame of the new store, tentatively scheduled to open in the fall of 2007.

Wegmans plans to open an employment office at the site in early January to begin hiring 500 employees, about a third of which will be full-time.

"We do hire quite early in the process," she said. "Our employees go through extensive training."

She said part-time workers will be hired later in the year.

When choosing a site, Wegmans looks for a combination of easy access and a densely populated area for a strong customer base, Colleluori said.

"Most of our growth is moving down toward the mid-Atlantic region," she added.

The typical Wegmans features a market cafe area, a sushi bar, a variety of ethnic foods from around the world and an on-site bakery where fresh bread and rolls are made daily in a brick oven.

Regency Centers has posted a list of tenants on its Web site - www.regencycenters.com - as part of the marketing information for the 486,000-square-foot retail center being built in Silver Spring Township at the intersection with Lambs Gap Road.

Permits issued

Township manager Bill Cook said building permits have been issued in recent weeks for both the 130,000-square-foot Wegmans and 139,000-square-foot Target store planned for the rear of the project site.

Joshua Thomas, spokesman for Target Corp., said construction has begun on a general merchandise store that could have its grand opening next summer.

Target is advertising a pharmacist position for the new store on careers.target.com.
Silver Spring Square’s anchor stores are seen at the top of this diagram. Other known stores are pointed out.

Cook said permits have also been issued for Store Building H, which has 14 retail spaces varying from 1,200 to 3,200 square feet located on the west end of the site, which used to sport a flea market, speedway and mobile home park.

Permits also have been issued for "junior" anchor stores C and D on the east side, which the Regency Centers Web site identifies as future spaces for a Ross Dress for Less and a Bed Bath and Beyond. The developer 's Web site shows the Ulta store and salon and a Lane Bryant store will be located in the east building.

Cook said the township issued permits for a LongHorn Steakhouse and a Chili's Grille & Bar to be located on either side of the main entrance off the Carlisle Pike.

The curbing and a "good bit" of the paving is done at the construction site and multiple buildings are under construction, said Cook, who visited the property Monday.

He added work is underway on road improvements along the pike and on a new bridge off Lambs Gap Road crossing the Conodoguinent Creek towards the rear of the site.

"It is a beehive of activity," Cook said, "a lot of intense activity."

Calls to Regency Centers staff overseeing the project were not returned by press time.

The LongHorn Steakhouse is due to open in mid-March, according to company spokesperson ShaJuan Chance. "You will see a big 'Now Hiring' sign posted a couple of weeks before the restaurant is set to open," she said.

LongHorn is advertising on its Web site a restaurant manager position for the new location in Silver Spring Township. The chain has 11 locations in Pennsylvania, with the nearest one in Lancaster.

Calls to other store chains mentioned on the developer Web site were not returned.

Link: http://www.cumberlink.com/articles/2006/11/09/news/news642.txt

http://www.cumberlink.com/content/articles/2006/11/09/news/news642.jpg
http://www.cumberlink.com/content/articles/2006/11/09/news/news642-2.jpg

I can tell you that people in Mechanicsburg are very excited for Wegmans, but there have been a lot of rumors floating around...one being that construction has been delayed for the Target and Wegmans because a lot of oil was apparently dumped behind the old racetrack (where the two stores are being built) and they had to clean it all out before they could start work on the foundation, and I think this might be true considering the frame for all the buildings are up except for the Target and Wegmans. Another rumor is that they are having big time trouble getting tenants for the shopping center, and several have already pulled out. We'll see. Could just be the typical negativity and gossipiness of this area:)

[EastSideHBG]

/\
I don't know what to say...how silly! No matter waht the issue, fix it and let's move on! Jeez, can't the area just complete something FOR ONCE! :brickwall:


Well here is some more great news...UGH! The city did this same exact thing to The Vault to run them out of business, so I am not surprised at all that they are now going for Dragonfly's throat. Laying off a record number of police and then trying to close down clubs that *sometimes* require police assistance? Coincidence? I think not...


Thursday, November 09, 2006

Club owner disputes link to gunfire
By Jerry L. Gleason and Tom Bowman/The Patriot-News

Following a report early this morning of gunfire two blocks away, Dragonfly Club owner Judd Goodman was surprised to learn that city officials were linking a non-injury shooting incident to possible patrons of his club.

At about 1:30 a.m., police answered a call at River Alley and Pine Street for reports of gunshots — about two blocks north of the Dragonfly.

City spokesman Randy King said Dragonfly, at 234 North Second St., has been warned about booking acts that draw a problem crowd. The city is considering trying to close the club, King said.

Method Man, a rap and hip-hop star who played last night, has a thug following, King said.

“The city has repeatedly warned Dragonfly owner Judd Goodman about booking this type of act and the problems it inevitably draws to the downtown,” King said. “His refusal to voluntarily curb this type of programming may result in the city pursuing nuisance bar closure action against him.”

Goodman said the performance at the club, which ended at 2 a.m., after the reported gunfire, didn’t draw the kind of following King was referring to.

"Method Man is a mainstream act, and we had a very diverse crowd, with people ranging from 25 to over 50 years of age,” he said. “Nothing happened in the club or immediately outside the club. We didn’t have any problems of any kind.”

No one was injured in the shootings, and police made no arrest. Officers found 12 empty shells from three different handguns and at least one of the shots went through a window of a home in the 100 block of South Street, King said.

Goodman said he avoids booking acts that might draw problem crowds.

“My programming is very similar to other places in the downtown area,” he said. “Randy may be a little off on this one,” he said. “There is no way of knowing who [the shooters] were or where they had been prior to the shootings.”

[klingy04]

This is a HUGE step for a project that many thought would be dead. We could use some more good news like this. I'll take anything to help get the city back on its feet. :tup:

Council committee recommends zoning OK for Restaurant Row hotel
By John Luciew
Of The Patriot-News


After some white-knuckle moments, the developer of a proposed hotel for Harrisburg’s Restaurant Row expressed confidence last night that his $10 million project will win city approval and meet its tight schedule.
“I’m very optimistic,” said J. Alex Hartzler, president of WCI Partners, the Harrisburg real estate investment group that proposes a 168-foot tall hotel for State and North Second streets.
Hartzler was buoyed by last night’s 3-1 committee vote recommending that the full city council approve zoning changes that would clear the way for the project.
The zoning amendment, which would allow hotel construction along the full extent of Restaurant Row and the central business district, is on the agenda for the council’s meeting at 6 p.m. Tuesday in city hall.
Construction plans for the Starwood Aloft brand hotel are already scheduled for votes by the city planning commission and the zoning hearing board within the next 10 days. “It puts us right on track,” Hartzler said.
The developer had been concerned that the opposition of councilman Dan Miller, chair of the council’s economic development committee, would delay the approval schedule and derail the project.
Miller was the lone member of the committee to oppose recommending the zoning changes last night. He also is on the record with his opposition to the hotel, maintaining it is out of character for State Street and would block views of the capitol.
Hartzler said the hotel would be part of a new product line being rolled out by Starwood, which manages hotel brands including Westin and Sheraton. Harrisburg would be among about a dozen cities getting the new brand, along with the likes of Charleston, S.C., and Richmond, Va.
The boutique-style Starwood Aloft brand would target young business travelers who enjoy Restaurant Row’s night life, he said.
“It’s a great opportunity for the city,” Hartzler said.
The project has picked up the backing of groups including Historic Harrisburg Association and the Harrisburg Regional Chamber of Commerce. Council President Vera Jean White said the city has received “stacks” of letters and e-mails supporting it.
“I don’t think this is a low-end zoning change,” said chamber director David Black, countering an argument by Miller that the change would lead to a development “free-for-all” in the city.
The hotel would stand 14 floors and boast 100,000 square feet of space, with 148 rooms, an outdoor pool, street-level retail space, and a lounge and 140-seat restaurant with a sidewalk cafe on State Street.
Current zoning limits buildings to 45 feet in the area nearest State Street and 60 feet on the rest of the lot.
Hartzler pointed out that the hotel would not be much taller than the 12-story State Street Building at the northwest corner of State and North Third streets, or the eight-story building on the southwest corner of that intersection. In addition, a 12-story parking garage is under construction to the rear of the site, along South Street.
Nevertheless, the project will need a special exception to the height limits from the zoning hearing board. The construction plans also must come back to council for final approval, likely before the end of the year.

[danwxman]

/\
I don't know what to say...how silly! No matter waht the issue, fix it and let's move on! Jeez, can't the area just complete something FOR ONCE! :brickwall:


Well here is some more great news...UGH! The city did this same exact thing to The Vault to run them out of business, so I am not surprised at all that they are now going for Dragonfly's throat. Laying off a record number of police and then trying to close down clubs that *sometimes* require police assistance? Coincidence? I think not...


Thursday, November 09, 2006

Club owner disputes link to gunfire
By Jerry L. Gleason and Tom Bowman/The Patriot-News

Following a report early this morning of gunfire two blocks away, Dragonfly Club owner Judd Goodman was surprised to learn that city officials were linking a non-injury shooting incident to possible patrons of his club.

At about 1:30 a.m., police answered a call at River Alley and Pine Street for reports of gunshots — about two blocks north of the Dragonfly.

City spokesman Randy King said Dragonfly, at 234 North Second St., has been warned about booking acts that draw a problem crowd. The city is considering trying to close the club, King said.

Method Man, a rap and hip-hop star who played last night, has a thug following, King said.

“The city has repeatedly warned Dragonfly owner Judd Goodman about booking this type of act and the problems it inevitably draws to the downtown,” King said. “His refusal to voluntarily curb this type of programming may result in the city pursuing nuisance bar closure action against him.”

Goodman said the performance at the club, which ended at 2 a.m., after the reported gunfire, didn’t draw the kind of following King was referring to.

"Method Man is a mainstream act, and we had a very diverse crowd, with people ranging from 25 to over 50 years of age,” he said. “Nothing happened in the club or immediately outside the club. We didn’t have any problems of any kind.”

No one was injured in the shootings, and police made no arrest. Officers found 12 empty shells from three different handguns and at least one of the shots went through a window of a home in the 100 block of South Street, King said.

Goodman said he avoids booking acts that might draw problem crowds.

“My programming is very similar to other places in the downtown area,” he said. “Randy may be a little off on this one,” he said. “There is no way of knowing who [the shooters] were or where they had been prior to the shootings.”


I've had two run-ins with the Harrisburg police. One was for running a red light at 2nd and market (it was one of those yellow turning red lights, dumb place to test my luck I know). I stopped at Walnut and within minutes I was surrounded on all four sides by police cars. They had me sitting there, while onlookers at Bourbon St Saloon were taking pictures of me, for at least 20 minutes while the at least 7-8 officers just stood there joking around.

The second time I was minding my own business with a friend in 2nd street pizza, when the cops sprayed pepper spray into a large group of black girls standing in the doorway. I had no idea why then, and still none to this day. Anyway, by the time I could make it out (the pepper spray barely affected me, but my poor friend has asthma and was coughing the rest of the night) there was about 5 cop cars and 15ish cops. The black girls started getting rowdy and yelling racism, and the cops just arrested them all.

I don't know why I told those stories...but uh yea the cops definetely spend a lot of time downtown. I can't help but wonder why I needed so many cops for a simple offense...and the incident outside 2nd street pizza was very bizarre (not sure if I would consider that racism or not). I wish I wasn't drunk when it all happened lol.

[danwxman]

This is a HUGE step for a project that many thought would be dead. We could use some more good news like this. I'll take anything to help get the city back on its feet. :tup:

Council committee recommends zoning OK for Restaurant Row hotel
By John Luciew
Of The Patriot-News


After some white-knuckle moments, the developer of a proposed hotel for Harrisburg’s Restaurant Row expressed confidence last night that his $10 million project will win city approval and meet its tight schedule.
“I’m very optimistic,” said J. Alex Hartzler, president of WCI Partners, the Harrisburg real estate investment group that proposes a 168-foot tall hotel for State and North Second streets.
Hartzler was buoyed by last night’s 3-1 committee vote recommending that the full city council approve zoning changes that would clear the way for the project.
The zoning amendment, which would allow hotel construction along the full extent of Restaurant Row and the central business district, is on the agenda for the council’s meeting at 6 p.m. Tuesday in city hall.
Construction plans for the Starwood Aloft brand hotel are already scheduled for votes by the city planning commission and the zoning hearing board within the next 10 days. “It puts us right on track,” Hartzler said.
The developer had been concerned that the opposition of councilman Dan Miller, chair of the council’s economic development committee, would delay the approval schedule and derail the project.
Miller was the lone member of the committee to oppose recommending the zoning changes last night. He also is on the record with his opposition to the hotel, maintaining it is out of character for State Street and would block views of the capitol.
Hartzler said the hotel would be part of a new product line being rolled out by Starwood, which manages hotel brands including Westin and Sheraton. Harrisburg would be among about a dozen cities getting the new brand, along with the likes of Charleston, S.C., and Richmond, Va.
The boutique-style Starwood Aloft brand would target young business travelers who enjoy Restaurant Row’s night life, he said.
“It’s a great opportunity for the city,” Hartzler said.
The project has picked up the backing of groups including Historic Harrisburg Association and the Harrisburg Regional Chamber of Commerce. Council President Vera Jean White said the city has received “stacks” of letters and e-mails supporting it.
“I don’t think this is a low-end zoning change,” said chamber director David Black, countering an argument by Miller that the change would lead to a development “free-for-all” in the city.
The hotel would stand 14 floors and boast 100,000 square feet of space, with 148 rooms, an outdoor pool, street-level retail space, and a lounge and 140-seat restaurant with a sidewalk cafe on State Street.
Current zoning limits buildings to 45 feet in the area nearest State Street and 60 feet on the rest of the lot.
Hartzler pointed out that the hotel would not be much taller than the 12-story State Street Building at the northwest corner of State and North Third streets, or the eight-story building on the southwest corner of that intersection. In addition, a 12-story parking garage is under construction to the rear of the site, along South Street.
Nevertheless, the project will need a special exception to the height limits from the zoning hearing board. The construction plans also must come back to council for final approval, likely before the end of the year.


Very good news, I'm sure when all is said and done the hotel will pass. I'm actually going to be positive for a moment and say that I think Harrisburg is about to head into a highrise boom of sorts. Harrisburg University tower already approved, 14-floor hotel, condo tower in uptown, and lifted height limit along Front St allowing for a possible condo tower near Riley.

[EastSideHBG]

/\
14 stories is not that much at the end of the day but eh, whatever, 'tis MUCH better than nothing! I still must wonder if Harrisburg will ever get a true high-rise, though, or will it always be DC-ish in its design (not a bad thing by any means mind you, just curious).

Anyway, this is AWESOME news and here is to hoping it gets the final approval and moves forward! HBG needs some good news for once! :cheers:

[danwxman]

Harrisburg begins using biodiesel in vehicles
Harrisburg began using biodiesel fuel this week in its diesel-operated vehicles, Mayor Stephen R. Reed said in a written statement. United Biofuels has agreed to provide the city with the fuel made with soybean oil, Reed said. The soybeans used to make the oil are grown on midstate farms, Reed added. The cost of the fuel is just less than the average price of a gallon of regular diesel fuel, Reed said. The price of the cleaner-burning biodiesel is about $2.10 per gallon, and will save the city at least $5,250 annually, Reed said. Agencies for which Harrisburg provides fuel services are also using the biofuel, including the Harrisburg School District, the Commonwealth of PA, Dauphin County, Borough of Steelton, Community Life Team and other city authorities and agencies, Reed said. About 35,000 gallons of diesel fuel are used per month by the city and other agencies combined, Reed said. - Eric Veronikis

If it's going to be cheaper, then that's good.

[Xeelee]

Harrisburg begins using biodiesel in vehicles
Harrisburg began using biodiesel fuel this week in its diesel-operated vehicles, Mayor Stephen R. Reed said in a written statement. United Biofuels has agreed to provide the city with the fuel made with soybean oil, Reed said. The soybeans used to make the oil are grown on midstate farms, Reed added. The cost of the fuel is just less than the average price of a gallon of regular diesel fuel, Reed said. The price of the cleaner-burning biodiesel is about $2.10 per gallon, and will save the city at least $5,250 annually, Reed said. Agencies for which Harrisburg provides fuel services are also using the biofuel, including the Harrisburg School District, the Commonwealth of PA, Dauphin County, Borough of Steelton, Community Life Team and other city authorities and agencies, Reed said. About 35,000 gallons of diesel fuel are used per month by the city and other agencies combined, Reed said. - Eric Veronikis

If it's going to be cheaper, then that's good.
this town better shape up or ship out.

[EastSideHBG]

/\
:yes:

[EastSideHBG]

Well I was in da 'burg this weekend for a wedding. Some observations:
State St. is looking pretty darn good, and I love the improvements. Not exactly what I pictured it would be but it definitely works.
What a piece of sprawled out crap that new High Pointe Commons is. The strip mall itself is quite nice (as far as strip malls go) but my issue is with all of the land they gobbled up for nothing but pavement. :no:
I was at the Holiday Inn West but stayed far away from the Hardware Bar West. Just like the one DT, I could tell it was not my cup of tea at all.
A drunk girl from said Hardware Bar stumbled onto Carlisle Pike, was hit by a car and had to be air lifted out.
It seems like the area is demolishing a lot and not replacing it with anything, which is a really bad sign (areas on Rt. 22 in Lower Paxton for example).
Oasis burned...would've loved to have been there to see that, as witnesses told me the nasty strippers were running out in all of their glory. :laugh:
HBG really is the sunbelt of PA, especially on the Pike. Wow, another TGI Fridays in the area...who would've guessed?!? :rolleyes:
It was nice seeing the little changes but all in all I saw nothing too moving. It was a nice visit and I will look forward to stopping by from time to time in the future, but I am very happy I have moved on...

[klingy04]

Just thought I'd throw this on, since it's going on in the neighborhood.


High’s development plans take step forward
Jessica Bair
Central Penn Business Journal Staff
11/14/2006

Manheim Township commissioners last night approved the amendment of a zoning ordinance that will permit High Real Estate Group to apply to build a commercial development, said Township Manager Jim Martin. The proposed 85-acre site, which will be named the Crossings at Conestoga Creek, is at the intersection of the Harrisburg Pike and Route 30, near the Park City Center in Lancaster County, Martin said. The commissioners required High to do a traffic study and present a road-improvement plan.

[danwxman]

A few pictures of the proposed hotel at 2nd and State streets:
http://www.wcipartners.com/acrossriver_newr.jpg
http://www.wcipartners.com/tocapital_newr.jpg
http://www.wcipartners.com/riverview.jpg

[EastSideHBG]

/\
Lovely project and I sure hope it passes! I wish it was taller too but then it would definitely have no hope of becoming a reality. :rolleyes:

Here is the site for the project info: http://www.wcipartners.com/hotel_project.mp

[EastSideHBG]

Council Approves Zoning Change For Harrisburg Hotel

Tuesday November 14, 2006 11:08pm
Posted By: Kay Smith

Harrisburg - Harrisburg City Council voted 6-1 to approve a zoning change that would allow for a new high-rise hotel at 2nd and State Streets. Developer Alex Hartzler plans on building a 14-story hotel, that will feature 148 rooms. The hotel is expected to add some 300 jobs. It should open some time around September of 2008. Susan Brown-Wilson/City Council, "I think it is good for Harrisburg, if we do invite growth, if we do invite investment. It helps our tax base. It puts money where we need to have it."

Councilman Dan Miller was the only dissenting vote. He feels it would not fit in with the character of State Street.

http://www.abc27.com/news/stories/1106/374698.html

[harrisburger]

it will be interesting to see if this draws more business on to state street. it has those wide sidewalks which would be great for cafes. with this surface lot soon gone, is there only one left (right across from fisaga?) on restaurant row?

[EastSideHBG]

The one on Locust St. near Scott's? Yeah, I think that is the only one left around there.


City rezoning clears hurdle for hotel

Wednesday, November 15, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg now has a welcome mat out for hotel projects.

The City Council last night voted 5-1 to approve zoning changes that allow hotels to be built along Restaurant Row and the central business district.

The move opens the door for a $10 million project to build a Starwood Aloft hotel at State and North Second streets.

The 14-story hotel still needs the planning commission, the zoning hearing board and the City Council to approve its designs and its proposed 168-foot height.

Developer J. Alex Hartzler said Harrisburg would be among the first dozen cities to get the Aloft brand, which he said targets hip, young business travelers.

Joe Massaro, general manager of the Hilton Harrisburg & Towers, said the brand and its target demographic appear to be a perfect fit for Restaurant Row, the city's strip of bars, restaurants and nightclubs along North Second Street.

"They are positioning this new brand for upscale markets that can draw a younger demographic," said Massaro, who added that he welcomes what would be downtown's third major hotel.

"They are looking for the right locations where the surroundings are in keeping with the brand," he said of Starwood. "And they look up and down Restaurant Row and know it would be a good fit."

Starwood, which manages hotels including Westin and Sheraton, is rolling out the Aloft brand in cities such as Charleston, S.C., and Chantilly, Va., near Dulles International Airport.

The company bills Aloft hotels as offering stylish, modern design, accessible technology and a hip, urban attitude.

The loftlike design incorporates exposed beams, structural steel and natural materials such as cork and wood, according to the company.

Guest rooms would have 9-foot ceilings and oversized windows to bring in natural light. Each room would have a combination high-tech office and entertainment center.

The 148-room Harrisburg project would include an outdoor pool, street-level retail space and a lounge and 140-seat restaurant with a sidewalk cafe on State Street.

"This is a win-win for Harrisburg," said Hartzler, president of WCI Partners, a Harrisburg real estate investment group.

Hartzler expressed optimism that the project would survive the city's approval process.

The first stop in the three-pronged process is a meeting of the city's planning commission at 6:30 p.m. tomorrow at City Hall.

"I think the 5-1 vote really portends well," Hartzler said. "We are very optimistic we will be successful."

Councilman Dan Miller, the lone dissenter on the zoning change, called the idea of a towering hotel on State Street a "folly" that would lead to the street's "destruction."

"I cannot in good conscience vote for this ordinance," he said.

While not opposed to the hotel zoning change, Historic Harrisburg Association, a preservation group, has outlined its opposition to the Aloft project. Its statement calls the project out of character with State Street and lists numerous concerns, including its height and its impact on sight lines to the Capitol.

Numerous supporters of the project packed council chambers and broke into applause when the zoning changes were approved. Several speakers hailed the zoning change as a major step forward for the city and its development.

Rose Snow of ValueClick, an Internet advertising company on Front Street, said she'll have a place to accommodate traveling employees and visiting executives, rather than putting them up in Derry Twp. or the suburbs when the Hilton and Crowne Plaza are sold out.

"I think this will be in the best interest of keeping things growing in Harrisburg," she said.

[EastSideHBG]

The bad. :(

HARRISBURG

City's emergency loan can't halt layoffs

Wednesday, November 15, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg's city coffers are about to be flush with cash, with today's much-anticipated receipt of a $7 million bank loan.

But city officials say the extra money might not prevent another round of layoffs that could claim more managers and police officers.

City spokesman Randy King would not specify when more layoffs could occur, but he said Mayor Stephen R. Reed could announce the details of additional layoffs as early as today. King said at least two dozen city managers and police officers are on a layoff list.

"It's going to have to happen," King said, noting that Harrisburg's $1.4 million payroll is due tomorrow.

New layoffs would be in addition to the 32 managers, police cadets and nonuniformed workers who lost their jobs in the first round of cuts late last month. The city also eliminated 23 vacant positions, winnowing its staff to 616.

City administrators say Harrisburg is facing a $6.8 million deficit this year, even after today's scheduled receipt of a $7 million loan.

Last month, Reed asked for a $10.5 million loan to carry the city into 2007 without more job cuts and to set the stage for a more modest tax hike next year. But city council approved only $7 million.

Several council members argued again last night that the $7 million loan should be enough to spare the jobs of police officers.

"I'm strongly against any more police getting laid off in Harrisburg," said council Vice President Susan Brown Wilson.

However, Wilson did say Harrisburg remains in a "poor fiscal condition," and she would not rule out cutting city staff with "top-heavy salaries."

Councilwoman Linda Thompson pointed out large differences in various city projections of remaining expenses for 2006 as proof the city can get by on the lesser loan.

Thompson said competing estimates produced by the mayor's office and the city budget office differ by as much as $9 million, with differing amounts listed for debt service and vendor payments, among other discrepancies.

"We gave them $7 million to avert layoffs," she said.

In his latest budget projection, Reed said the city has $29.7 in remaining expenses, but just $22.9 million in expected revenues, including the $7 million loan. That leaves a deficit of $6.8 million, Reed has said.

Thompson also criticized Reed's decision to lay off nine city police cadets as part of the first round of layoffs.

She argued that the cadets and their salaries should have been covered under a three-year, $750,000 grant the city received from the Pennsylvania Commission on Crime and Delinquency to hire five more cops.

"I want to know why they laid the cadets off," Thompson said.

Reed has said he is looking into whether he can apply the grant money to bring back veteran officers after they have been laid off.

Reed said he will argue that the recall would amount to an expansion of the police force -- the grant's intent -- since the pending staff cuts would permanently reduce Harrisburg's compliment of officers.

[EastSideHBG]

HARRISBURG

Hotel plan crosses another hurdle

Friday, November 17, 2006
BY JOHN LUCIEW
Of The Patriot-News

A 148-room hotel proposed for Harrisburg's Restaurant Row would sit at the crossroads of North Second Street's bustling commercial strip and State Street's historic buildings, churches and, of course, the state Capitol.

The hotel's developer argued last night that the 14-story building's design would allow it to successfully straddle those two worlds.

"You'll get the sense of being in front of a three-story building," developer J. Alex Hartzler said of the hotel's three-story brick facade and its recessed tower.

"This will bring new life to State Street," he said.

The Harrisburg Planning Commission agreed. The advisory body voted 5-0 to recommend the project to the Zoning Hearing Board and the City Council.

"It's a slam dunk," said planning commissioner Ronnie G. Shaffer.

One major issue remains. The approval sets the stage for the city's Zoning Hearing Board to determine the building's height. The board will have the final say on how tall the building can be at a meeting set for 6 p.m. Monday in city hall.

The City Council will review and vote on the design and development plans at an as-yet unscheduled meeting, but the council doesn't get a say on the height under Harrisburg's planning and development rules.

Hartzler last night announced a slight concession on the height, saying design revisions have scaled back the tower 5 feet from the original 170-foot proposal.

Current city zoning limits buildings to 45 feet in the area nearest State Street and 60 feet on the rest of the lot.

Historic Harrisburg Association, a city preservation group, is among those opposing such a towering building along State Street.

David Zwifka, the group's executive director, and Craig Peiffer, HHA president, repeated concerns that the project could block sight lines to the Capitol and would be out of character with the low-rise historic buildings along State Street.

"This project is not appropriate and should not be permitted," Zwifika said.

Jay Lightcap of Susquehanna Twp. was more blunt, labeling the building's design and location "absolutely obscene." He urged Harrisburg officials to protect the area surrounding the Capitol.

"The Capitol belongs to all of us, not just Harrisburg," Lightcap said.

Others embraced the project.

Charles Peguese said it represented something fresh among what he called Harrisburg's "blah" buildings.

"It's going to be the first structure with any character that's been built in a while," he said.

The $10 million project to build a Starwood Aloft hotel includes an outdoor pool, street-level retail space, and a lounge and 140-seat restaurant with a sidewalk cafe on State Street.

Starwood, which manages hotel brands including Westin and Sheraton, is rolling out the Aloft brand to target young, hip business travelers. Hartzler has billed the project as a perfect fit for Restaurant Row, the city's strip of bars, restaurants and nightclubs along North Second Street.

The company says Aloft hotels will offer stylish, modern design, accessible technology and a hip, urban attitude. Guest rooms would have 9-foot ceilings and oversized windows to feature natural light. And each room would have a combination high-tech office and entertainment center.

Hartzler said he hopes to have all the necessary city approval by the end of the year. He would begin construction next year, with a planned opening in the late fall of 2008.

It would be downtown's third major hotel, joining the Hilton Harrisburg & Towers and the Crowne Plaza.

[EastSideHBG]

Well will wonders never cease?!? And it is funny what some people in HBG will argue over: one measly floor! :koko:


HARRISBURG

Hotel plan wins zoning exception
Board votes 2-1 to approve height at 165 feet

Tuesday, November 21, 2006
BY JOHN LUCIEW
Of The Patriot-News

The Aloft brand hotel planned for Harrisburg's Restaurant Row will be a little less lofty than first proposed.

The city Zoning Hearing Board voted 2-1 last night to approve the hotel's height at 13 floors and 165 feet.

That is down from the 14-story, 170-foot design developer J. Alex Hartzler first announced. The hotel proposed for North Second and State streets also has downsized the number of rooms by 10, to 138.

Board chairwoman Marian Frankston still wanted to see how low Hartzler would go.

"Can you go down one floor?" Frankston asked last night after more than two hours of testimony.

"I already have," Hartzler responded, referring to the earlier decision to cut a floor before the final designs were submitted to the city. "I need 138 rooms."

Hearing board members David Wise and Angela Watson agreed with the developer, establishing the hotel's height at 165 feet, including a roof-top private residence that could be rented to the public, but also occupied by Hartzler.

"It was my Donald Trump moment," Hartzler said of the roof-top condo.

The zoning hearing board signed off unanimously on seven other special exceptions for the hotel that had to do with setbacks, on-site parking and floor and lot ratios.

But the most important -- and controversial -- issue was the height, on which the zoning hearing board had the final say.

The board's vote superseded the city zoning, which limits buildings to 45 feet in the area nearest State Street and 60 feet on the rest of the lot.

The City Council will review and vote on the hotel's design and development plans at an as-yet unscheduled meeting. But the council does not have the power to revisit the height issue under Harrisburg's planning and development rules.

The debate surrounding the hotel's height centered on its impact on the views and sight lines to the state Capitol.

Hartzler and his team presented numerous artist renderings showing the hotel superimposed upon the cityscape. They argued that the hotel, with its signature "flying buttress" rooftop design that resembles a large check mark, would compliment, not compete, with the much taller and still dominant capitol dome.

"[The Capitol] dominates the entire skyline," architect Hunter Johnson said. "We can't compete with that."

Others disagreed.

Historic Harrisburg Association, a city preservation group, was among those opposing such a towering building along historic and sedate State Street.

"It would be ignoring the past 25 years of sound zoning," HHA president Craig Peiffer said of making a height exception for the hotel.

Added resident Kara Russell: "Some places deserve a higher level of protection. I believe State Street is one of those places."

But Capitol Area Neighbors, a group representing business and residents in the shadow of the Capitol dome, expressed support for the hotel.

"It will co-exist with the Capitol," group president William Allis said. "We recognize the significant economic impact for the city."

The $10 million project to build a Starwood Aloft hotel includes an outdoor pool, street-level retail space, and a lounge and 140-seat restaurant with a sidewalk cafe on State Street.

Starwood, which manages hotel brands including Westin and Sheraton, is rolling out the Aloft brand to target young, hip business travelers. Hartzler has billed the project as a perfect fit for Restaurant Row, the city's strip of bars, restaurants and nightclubs along North Second Street.

Hartzler said he hopes to have all the remaining city approvals by the end of the year. He would begin construction next year, with a planned opening in the late fall of 2008.

It would be downtown's third major hotel, joining the Hilton Harrisburg & Towers and the Crowne Plaza.

[EastSideHBG]

DISCLAIMER: I'm sorry I am being so negative lately, folks, but I just can't help myself; I now loathe the HBG area and all it has become! With each visit (twice in the last few weeks in fact) and with each article I read, I hate what it has become more and more. I try so very hard to be optimistic but I just can't be...very, VERY sad! :no:

The word on the street (HarrisburgNightlife) has learned that plans are underway to convert Angelina’s into a brick oven pizza restaurant and Catalano’s will become a steakhouse in 2007. Wow, yet another pizza place and another steak house for the area...how exciting, 'cause we all know there is no shortage of those. :rolleyes:


Catalanos leaving restaurant business

Competition eroded restaurants' clientele

Thursday, November 23, 2006
BY SUE GLEITER
Of The Patriot-News

After nearly three decades, the Catalano family is getting out of the restaurant business.

Catalano's Lounge and Restaurant and neighboring Angelina's Ristorante will serve their final dinners New Year's Eve, when the keys will be handed over to the Carter family, owners of Dukes Riverside Bar & Grille, also in Wormleysburg.

The Carter family could not be reached to comment on their plans.

"We're not sad. Honestly, it's the best for our family. We've had a long run," Ann Catalano said.

The Catalano family this year sold the restaurants to RVG Management & Development Co. in Wormleysburg to help pay off $2 million in debt. They continued to oversee the restaurants' day-to-day operations.

The family said they have fallen on tough times due to increased competition, especially across the river from Restaurant Row.

When Ann Catalano's in-laws -- Grace Catalano and her late husband, Vince -- opened the Italian-American restaurant in 1977, it was among a handful of midstate fine-dining establishments, including the Maverick.

"This used to be the place for dinner and to bring guests from out of town. We still know the people, they're really friendly. You go where the service is good, where the food is good," said Arman Leo of Lower Allen Twp. who has patronized Catalano's since it opened.

Through the years, the restaurant attracted legislators, business professionals and couples celebrating special occasions. Patrons would sip cocktails around the bar and eat crab cakes, veal parmesan and pasta dishes in the dining room overlooking the Harrisburg skyline.

Celebrities including governor Tom Ridge, Penn State football coach Joe Paterno, former President Gerald Ford, actress Marion Ross and actor Chris Meloni of "Law and Order: Special Victims Unit" patronized the restaurant.

Their pictures line the walls alongside hundreds of celebrity and family photographs. The family plans to keep some of the celebrity photographs, but will give some of them away to diners and friends.

Catalano's made headlines in January 1996, when flood waters washed away part of the Walnut Street Bridge, causing a surge of water and ice to tear into the back of the restaurant. It reopened eight months later.

The family said business dropped off in recent years, as diners began to patronize other restaurants.

"We used to get a lot of referrals from the Hilton and the Crowne Plaza, and obviously people didn't want to get in their cars and travel to the West Shore when they could walk [to a restaurant]," Ann Catalano said.

People have more dining options now than they did 30 years ago, whether it be dinner at one of the many chain restaurants or takeout from the supermarket, she said.

This year, the Catalanos attempted to attract more diners by creating a casual vibe, replacing table linens with place mats and easing back on the dress code.

Likewise, Angelina's received a facelift with a sports bar feel and new name, Cronies, but the name didn't stick and the name returned to Angelina's.

The Catalanos are preparing for a busy month as they say their goodbyes and plan for the Dec. 31 sendoff.

"I'm ready to call it a day," Grace Catalano said. "We're all leaving happy. God has been good to us."

[harrisburger]

i understand that catalano's has been there for years, but it's just a restaurant. i didn't think it was very special the 3 times i've been there. their behaviour of late has been bothersome too. the mentioned drop of dress codes took away a lot of the class that place had. also, i know that two employees of catalono's came around to area neighborhoods (mine included) a few weeks back and were selling bunches of coupons for $20. looking back, this was just a cheap shot at making some quick cash. granted, my family bought the coupons because they were a good deal, but it was still a cash grab.
and eastside, i frankly don't get your attitude. i know you're not very keen on the city recently and i hate nitpicking, but "Wow, yet another pizza place and another steak house for the area...how exciting, 'cause we all know there is no shortage of those."...... i'm sure you know the glut of italian restaurants. nonna's, nino's and the new pizza grille are all better and cheaper than catalano's, and they're all a few minutes drive, to say nothing of 2nd st. good riddance i say. and i hope the pizza place is jojo's in enola. they have the best pizza in the area.

[EastSideHBG]

and eastside, i frankly don't get your attitude. i know you're not very keen on the city recently and i hate nitpicking, but "Wow, yet another pizza place and another steak house for the area...how exciting, 'cause we all know there is no shortage of those."...... i'm sure you know the glut of italian restaurants. nonna's, nino's and the new pizza grille are all better and cheaper than catalano's, and they're all a few minutes drive, to say nothing of 2nd st. good riddance i say. and i hope the pizza place is jojo's in enola. they have the best pizza in the area.
There is not much to get, harrisburger, and I was being sarcastic. A steak house and a pizza place is the absolute LAST thing the Harrisburg area needs right now...just stop and think about all of those that have opened in the last few years (and will open in the near future e.g. another Charlie Brown's in the Cap. City Mall lot). And you proved my point exactly, and think of all of the pizza places/Italian restaurants in that small radius already!

I never said Catalano's and Angelino's were that special, but at least they were semi-unique and they screamed "Harrisburg". But now the area will be getting the same crap it already has...again. IMO the entire area is becoming cookie-cutter crap, too afraid to think outside of the box and sticking with the same ol' same ol' always. I'm disappointed and I KNOW the area can do (and deserves) better!

And the part that burns me up the most about all of this is these restaurants should be demolished anyway and Bridgeport should be being built as we speak! But what happened again? The area and the people in it BLEW IT, and yet another awesome project down the drain. :brickwall:


It's probably best if I stop posting in this thread anyway *sigh*

[danwxman]

There is not much to get, harrisburger, and I was being sarcastic. A steak house and a pizza place is the absolute LAST thing the Harrisburg area needs right now...just stop and think about all of those that have opened in the last few years (and will open in the near future e.g. another Charlie Brown's in the Cap. City Mall lot). And you proved my point exactly, and think of all of the pizza places/Italian restaurants in that small radius already!

I never said Catalano's and Angelino's were that special, but at least they were semi-unique and they screamed "Harrisburg". But now the area will be getting the same crap it already has...again. IMO the entire area is becoming cookie-cutter crap, too afraid to think outside of the box and sticking with the same ol' same ol' always. I'm disappointed and I KNOW the area can do (and deserves) better!

And the part that burns me up the most about all of this is these restaurants should be demolished anyway and Bridgeport should be being built as we speak! But what happened again? The area and the people in it BLEW IT, and yet another awesome project down the drain. :brickwall:


It's probably best if I stop posting in this thread anyway *sigh*

Don't you get tired of all the doom and gloom you keep trying to spread? As for the end of Angelinas and Catalanos...I don't really care...neither do a lot of people my age, which is probably one of the reasons why those places are having problems staying afloat. Anyway, at least they are being turned into other restaurants rather then used car lots.

Yea, there is a lot of the same stuff duplicated all across the metro. But that's just because this area is finally starting to get realized by national retailers, and they are expanding rapidly (one Target to four in only a few years). There's still PLENTY of unique restaurants and establishments in this area. I love the Morrocan restaurant in Mechanicsburg, and the new middle eastern places in Harrisburg. The Pizza Grille on the west shore has the best pizza and it's always packed. Don't forget about the Colisuem opening up soon on St. Johns road. Migration to the Harrisburg area from progressive metros like DC, Philly and New York has stepped up into high gear. Things can only get better around here with some fresh blood.

[EastSideHBG]

Don't you get tired of all the doom and gloom you keep trying to spread?
LOL yeah, you're right, danwxman. The city's awful budget, MAJOR crime problems and laying off police; a hotel that almost didn't happen and had to be scaled back; blowing prime real estate on Cameron St. with more crap; MANY projects that should move forward that are still standing still...you're right, I am "trying" to spread the doom and gloom. That is probably the funniest thing I have read in a while, because one does not need to TRY to spread doom and gloom when it comes to Harrisburg...the reality is already sad enough! :yes:

Typical Harrisburg: "Hey you are just being negative! Don't acknowledge the problems we have, just pretend everything is fine! What's that, Mayor, you want another $10 million for Wild West Artifacts? SURE! A WW Museum in HBG sounds like an awesome idea!!! Don't say anything bad, people, that would be negative" :laugh: :koko:

Oh wait, now someone will chime in with the textbook, "Hey, things aren't that bad here! The Carlisle Pike just got another TGI Fridays! And didn't you hear about all of those cool new sprawl-zilla homes in Silver Spring Twp.?!?" :laugh:

As for the end of Angelinas and Catalanos...I don't really care...neither do a lot of people my age, which is probably one of the reasons why those places are having problems staying afloat.
Business is business and you can't expect a place to be around forever. But my point in all of this is the HBG area needs more UNIQUE things, and the "changing of the guard" so to speak is not a good sign IMO; this story goes deeper for me, because it shows yet another citizen that cared deeply about HBG/the area and made it what it is today is instead throwing up their hands and getting out for many, many reasons.

And again, all of this should be a moot point anyway because Bridgeport should be underway! :hell:


Like I said earlier, I should probably stop posting in this thread anyway because I see very little good news these days, I no longer live in HBG, and I start to care less and less about it with each passing day. But in an attempt to keep this thread going (a thread I worked very hard at I might add; it was because of a mere few of us that HBG even got attention on this forum!) because I really don't see anyone else doing much in it, I use the only news that I have available being 90+ miles away now. So who is to blame again? I'm only as good as what I am given to work with!

[EastSideHBG]

Taxes, layoffs or debt must rise in '07

Budget will test Harrisburg's mayor and council

Monday, November 27, 2006
BY JOHN LUCIEW
Of The Patriot-News

The process of passing Harrisburg's budget for 2007 could be a time of reckoning for the city's leaders, its workers and ultimately, its taxpayers.

Burdened by a $6.8 million deficit from this year, Harrisburg faces stark choices as it prepares to enter the new year.

The city must borrow heavily, raise taxes considerably, lay off many more workers or choose some combination of the three.

Amid this backdrop, Harrisburg's leaders -- Mayor Stephen R. Reed and the seven-member City Council -- have displayed not only deep disagreement over the proper financial course but outright personal contempt at times.

Can they lay aside their differences and forge a compromise?

The work of charting the city's financial future begins with Reed's budget address to council at 6:30 p.m. tomorrow in City Hall.

Reed said part of his plan will call for a $10.5 million, 10-year loan to help erase the deficit and return the city to firmer financial footing.

The loan would repay this month's short-term $7 million borrowing that provided an immediate injection of cash into city coffers. The remaining $3.5 million of the long-term loan would go to cover a portion of the leftover $6.8 million deficit for this year.

Reed has promised that the $10.5 million loan will be repaid with the sale of city assets, including Western artifacts he accumulated for a museum, and naming rights of city parks and an island in the Susquehanna River.

This way, the loan could be retired without using tax money, Reed said.

However, council members have resisted borrowing beyond the original $7 million bailout loan.

Absent a way to deal with the deficit, Reed has warned to brace for more layoffs.

Already, at least 37 city managers and police cadets have been let go, and as many as 38 nonuniformed employees are to follow as early as Jan. 5.

But Reed has said that if the budget isn't resolved, there could be dozens more city employees out of their jobs. Most disconcerting, Reed has said, is that some will be police officers and perhaps firefighters.

It also seems to be a foregone conclusion that the 2007 budget will carry a tax increase.

Reed points out that tax increases are relatively rare for the city. There have been none in at least five years.

With rising city expenses and stagnant revenues, Reed said he had wanted to raise taxes in recent years but felt he couldn't get council to agree.

For their part, council members take pride in holding the line on taxes, and even executed a tax rebate in 2005. This year, however, neither side might have much choice.

While taxes haven't gone up, residents have been hit with increases for virtually all other city utilities, including 15 percent to 20 percent hikes in water, sewer and trash pickup rates in recent years.

Here's a closer look at what's at stake for those on all sides of Harrisburg's budget crisis:

Since the financial crisis broke in September, Reed and council have not demonstrated that they can work together.

Council twice rejected Reed's call for larger short-term borrowing to alleviate the deficit and avoid layoffs. Council held firm at $7 million, usually on a 4-3 vote.

Vice President Susan Brown Wilson and members Linda Thompson, Gloria Martin Roberts and Dan Miller have formed a voting bloc that argues that more borrowing isn't the path to sounder finances.

President Vera Jean White and members Wanda R.D. Williams and Patty Kim have voted for the larger borrowing to avoid layoffs.

Amid the standoff, there's been bitter back-and-forth bickering over the city's financial figures and the origin of the crisis.

Council members have questioned the accuracy of the administration's estimates and have flung accusations of financial mismanagement.

Reed has countered that some council members distorted the facts to confuse the issue. Both sides have traded some rough rhetoric in heated exchanges.

"It has been a personal attack," White said. "But the attack is not on me or the mayor. It's a personal attack on the citizens of Harrisburg. We have to get past where we are now."

City employees:

With layoffs occurring and more threatened, numerous city workers say morale is down, workloads are up and their future is frustratingly uncertain.

Some council members have told of bitter confrontations or tearful exchanges with laid-off employees in grocery stores or on the streets. There have been public rallies in support of city police officers.

At a time when crime appears to be on the rise, Police Chief Charles Kellar said he's been ordered to compile a layoff list of 25 officers, based on seniority. Some on the list have been on the 170-officer force for five or six years, he said.

Reed has vowed to hold off on cutting police for now but warns that can't continue if the full deficit is allowed to remain.

"Public safety and other staff will have to be left go," Reed said. "There simply will not be enough money to cover their costs."

Kellar said that prospect has officers worried about their jobs instead of thinking about their work.

"I don't like to see them go through this," he said. "Right now, they're thinking about their jobs. They need to have their heads in the game."

City taxpayers:

The owner of a house assessed at $100,000 pays $850 annually in city property taxes under the 8.5-mill combined levy on land and improvements. A mill equals $1 per $1,000 of assessed value. Dauphin County and city school district taxes are separate.

A 10 percent increase would translate into $85 more a year; 20 percent would cost that homeowner $170 more annually; and a 30 percent hike would boost the bill by $255.

Expect the tax increase to fall somewhere in the middle.

On the bright side, the portion of property taxes that a homeowner pays to the city is about a third of what goes to the school district and is roughly the same as what's paid to Dauphin County.

In other words, city taxes are not the biggest component of a homeowner's overall property tax burden.

[EastSideHBG]

Oh wait, things aren't that bad, and I am the one spreading the doom and gloom! My talk about the layoffs and MASSIVE issues in the city is just me putting a pessimistic spin on things. Right, danwxman?!? :laugh:

After these increases, say bye-bye to the city residents that are hanging by a string. And TRUST ME, there are a lot of them...


Reed calls for 17% tax increase

In face of Harrisburg's fiscal crisis, he also seeks $10.5 million loan, 15% rise in sewer fees

Wednesday, November 29, 2006
BY JOHN LUCIEW
Of The Patriot-News

Mayor Stephen R. Reed's plan for ridding Harrisburg of an estimated $13.8 million deficit involves a 17 percent real estate tax increase, a $10.5 million loan and a whole lot of belt-tightening.

"The choice will be clear and simple," Reed said last night in his annual budget address to the City Council. "Either resolve this challenge now or allow it to carry over into next year and beyond and force significant staff and service reductions."

The council has until Dec. 31 to pass a budget for 2007.

In initial reactions last night, some members seemed resigned to a tax increase and a longer-term bailout loan of some amount. But all were reserving judgment until the council could hold hearings on the proposed $135.2 million spending plan.

"It seems we've been heading this way," Councilman Dan Miller said. "Our expenditures exceed our revenues. We've got to either significantly reduce services or increase revenue."

But the final figures will be up for debate.

Councilwoman Linda Thompson, who takes pride in having never voted for a tax increase, described a case of sticker shock in seeing Reed's proposal.

"That's a pretty high bill," she said. "We need to determine the need for it. I will have to see the cost-benefit factor. We'll have to justify voting for that."

Reed's proposed 1.5 mill increase would raise the city's combined levy on land and improvements to 10.1 mills. The owner of a house assessed at $100,000 would pay $150 more a year, for a total of $1,010 annually in city taxes. Dauphin County and city school district taxes are separate.

The owner of a house assessed at $50,000 would owe $75 more, for a total annual city tax bill of $505.

Reed said it could have been worse; he was originally eyeing a 4-mill increase. That would have translated into a 46 percent increase, adding $400 a year to the city taxes of the $100,000 homeowner.

"It's remarkably better news," Reed said.

The mayor also proposed a 15 percent increase in city sewer fees. That would add $2.87 to the monthly bill of a typical family of four, for a new monthly rate of $21.97.

The second major part of Reed's plan involves his proposed $10.5 million, 15-year loan.

Harrisburg already has borrowed $7 million through the end of this year to blunt the budget shortfall.

The $10.5 million would repay that short-term borrowing. The remaining $3.5 million would cover a portion of the leftover $6.8 million deficit for this year.

Reed again vowed that he would use money from the sale of city assets, including Western artifacts he accumulated for a museum, a Susquehanna River island, the Harrisburg Senators baseball club and the naming rights of parks, to repay the loan without using tax dollars.

However, Reed also has proposed selling the city's public safety building on Walnut Street to the Harrisburg Redevelopment Authority. He said this is mainly to provide collateral for the $10.5 million loan and to allow the authority to be a player in the financing.

While the home of the city's police and fire officials would have a new owner, Reed said operations there wouldn't change and the city would pay only $1 in rent to the authority.

Finally, there is the belt-tightening.

The city's general fund budget -- the portion spent on basic city services such as fire and police, parks and recreation and street cleaning -- would be virtually unchanged for next year at $59.2 million.

While the budget doesn't call for additional staff layoffs, the 32 workers who lost jobs in the fall budget crisis won't be getting them back, Reed said.

The October staff cuts, which involved management and nine police cadets, along with the elimination of 23 vacant positions, are estimated to save $3.4 million next year.

A second round of up to a dozen layoffs was slated for this month, but Reed said that became unnecessary due to other resignations and retirements.

But Reed warned of what he called "massive layoffs" in 2007 if the steps he outlined aren't taken.

"I'm talking major," he said. "You're talking about 55-plus workers, including police officers. That would be a tragedy."

JOHN LUCIEW: 255-8171 or jluciew@patriot-news.com

THE IMPACT

A 1.5 mill increase in the real estate tax rate would raise Harrisburg's combined levy on land and improvements to 10.1 mills. The owner of a house assessed at $100,000 would pay $150 more a year, for a total of $1,010 annually in city taxes. The owner of a house assessed at $50,000 would owe $75 more, for a total annual city tax bill of $505. Dauphin County and city school district taxes are separate. A mill equals $1 per $1,000 of assessed value.

[EastSideHBG]

Oh this is funny for so, so many reasons! :laugh:


PERRY COUNTY

A citylike skyline on Cove Mountain?
Developer plans apartment complexes, some 22 and 18 stories

Friday, December 01, 2006
BY JOE ELIAS
Of The Patriot-News

DUNCANNON - Perry County could have its own skyline overlooking the Susquehanna River -- complete with buildings as tall as, or taller than, some in Harrisburg.

A New Jersey developer has submitted two sets of plans to build on 1,155 acres of Cove Mountain, near Perdix in Penn Twp.

The plans by David Meiskin of Windsor Cos. of Freehold, N.J., are being called the Preserve at the Mountainside with an east and west section.

The east section would have three apartment complexes -- a nine-story building, a set of 18-story towers and a 22-story building along Schoolhouse Road, just off Routes 11/15.

By comparison, the building at 333 Market St. in Harrisburg, which houses the state Department of Education, has 25 stories, and the Pennsylvania Place Apartments has 26 stories.

The Windsor apartment complexes would have 702 units and three parking lots with 1,357 spaces.

The east section of the development would include about 80 condominium units.

The west section calls for about 75 single-family houses on lots ranging from 1.1 to 2 acres.

Plans call for the west section to be accessed by a road that would be built through the property of Henry Holman II, the chairman of the township board of supervisors.

The development would border Holman's property, and the nearest home would be less than 500 feet away, according to the plans.

Telephone calls to Holman at home were not returned.

Meiskin said he has a legal right to build the road based upon easement agreements Holman has reached with past owners of the property.

The plans are being reviewed by the township engineer and solicitor to see if they meet zoning ordinances.

Township authorities and residents have known for months that Windsor was eyeing the properties owned by J. Nevin White on Cove Mountain and expected a development plan to be submitted.

In recent months, Meiskin had been circulating a draft plan that would closely group the homes, using 247 acres for development and leaving 908 acres mostly untouched.

He has asked the township to consider changes to its zoning plan that would allow for such a clustering development.

Meiskin said he is serious about building the high-rises if he cannot build the cluster development.

"The cluster development is still Plan A as far as I'm concerned. I'd love to build it," Meiskin said by telephone last night. "But I'll build what the current ordinances allow if I have to, and the towers are allowed."

Meiskin said he expects a third part of the plan to be submitted that would call for homes to be built on 4-acre lots in an area zoned forest conservation.

He added it would take about 10 to 15 years to complete the project once construction starts.

"I have every intention of buying the land and building something on it," Meiskin said.

Penn Twp. residents said they were skeptical of the motives behind the Windsor plans.

"It sounds like a joke to me," said Larry Wilson. "The buildings would stick out like a sore thumb."

Wade Driver of Penn Twp. said he thinks the plans with the towers could be Windsor's way of getting the cluster development it wants.

"The whole thing seems rather suspicious to me," he said. "Now people will have to choose between the tall buildings or the cluster development."

The plans are to go before the township planning commission at 8 p.m. Dec. 18 in the township building.

[danwxman]

The plan with tall apartment buildings will never be approved...it's really just a way to scare people into supporting his other plan for single family houses. He knows people in Perry county are scared of anything urban, even though this is right outside the urban borough of Marysville.

[EastSideHBG]

HARRISBURG

State offers investors loans for downtown development

Saturday, December 02, 2006
BY JIM LEWIS
Of The Patriot-News

The state has offered $4 million in loans to private investors who redevelop properties in Harrisburg's South Third Street area, a section that city leaders hope will become a new gateway to the downtown in the future.

Gov. Ed Rendell offered the loan money yesterday to South Third Development Corp., an affiliate of Harristown Development Corp., and private investors who team with the corporation to restore blighted buildings or build new offices, homes or storefronts.

The loans could fund projects in a section of Harrisburg that roughly reaches from the southern end of the Capitol complex to an area of South Third Street that Mayor Stephen R. Reed has proposed as a new "southern gateway" to the city.

Reed's proposal, still in the planning stages, would extend South Third Street from Chestnut Street to Paxton Street, opening up about 35 acres of underused land for new offices, shops and homes that would nearly double the size of the city's downtown.

Each of South Third Development's restoration or construction projects must be approved by the Commonwealth Financing Authority.

The projects would compliment Reed's southern gateway, said Brad Jones, Harristown's vice president of community development.

"I think [Reed] sees this as a way of kick-starting development in those areas in concert" with his plans, Jones said. "Now we have to go back and put projects together."

One project could be slated for a surface parking lot off South Third Street that's owned by Harristown, Jones said.

Reed announced in April that the city was looking to extend South Third Street at an estimated cost of $75 million, much of which would have to be paid with state and federal money. Once begun, the work would take about three years to complete.

Some of the new buildings erected in the newly-accessible area would be built on a raised platform or pier that would cover several blocks of South Second Street and surrounding land to lift them out of the floodplain.

About 3 million square feet of office space could be built in the area, as well as 500,000 square feet of residential space, 250,000 square feet of retail space and 4,000 parking spaces.

Reed called it "unquestionably the largest and most comprehensive redevelopment plan ever conceived for downtown Harrisburg."

The Commonwealth Financing Authority will offer about $150 million in loans to private investors and foundations for real estate development in mostly small to mid-sized communities under Rendell's Building PA program, an initiative to revitalize areas of the state.

[Wheelingman04]

Sorry to hear about all of the negative things happening in Harrisburg. They really need to get the crime rate down and elect better politicans, but that will be tough because people seem to be content with the status quo.

[EastSideHBG]

/\
:yes:

LOL yet another HBG screw up, putting the 16-story Univ. tower in jeopardy! :laugh: :no:


HARRISBURG

Council skeptical of university, center plans

Wednesday, December 06, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg may be pressed for cash, but it's still contemplating backing two multimillion-dollar projects.

The first would funnel $14 million to the 2-year-old Harrisburg University of Science and Technology, helping pay for a proposed $75 million, 16-story academic center at Fourth and Market streets.

The second would sell the city's McCormick Public Services Center on Walnut Street to the Harrisburg Redevelopment Authority as a way to raise $10.5 million to help erase the city's budget deficit for 2006.

However, both proposals met with skepticism at a City Council budget and finance committee meeting last night. The plans are expected to come up for a final vote by the council later this month.

Mayor Stephen R. Reed has also proposed a 17 percent real estate tax increase for 2007 to deal with the city's financial problems.

The money for the university would come in the form of a $17.5 million bond issue by the Harrisburg Parking Authority.

The council is being asked to pledge the city's financial guarantee for the deal.

The parking authority would purchase, own and manage the 392 parking spaces to be built as part of the university tower.

Without the parking authority's participation, university President Melvyn Schiavelli said the entire project could fall apart.

"It would stop," Schiavelli said.

The university also has received a $26 million pledge from the state and is expected to borrow about $35 million on its own for the project.

The 170-student university is sharing space with Harrisburg's SciTech High at the science- and technology-based high school's campus located at 215 Market St.

Controversy arose when parking authority officials conceded that they will actually lose money on parking for the university tower.

That's because the number of spaces is half of a typical city parking garage, and the parking is being built as part of a larger and costlier construction project.

As a result, an estimated $660,000 in annual parking revenues that would otherwise go to the city's general fund would go to subsidize debt payments for the university parking project.

"Why would we do this?" asked Councilman Dan Miller. "The money is coming right out of the city budget."

Parking officials said the estimated losses in city revenue would be blunted by an anticipated increase in parking fees in 2010.

Meanwhile, the sale of the public safety building to the redevelopment authority has emerged as a key part of Mayor Stephen R. Reed's plan for ridding Harrisburg of an estimated $13.8 million deficit.

City officials said last night that the building sale is virtually the only way the city can borrow the needed $10.5 million to cover part of this year's budget deficit.

The money would go to repay last month's short-term, $7 million borrowing through the end of this year.

The remaining $3.5 million would cover a portion of the leftover $6.8 million deficit for this year.

The redevelopment authority would own the building and borrow the $10.5 million from Commerce Bank, which wants the building as collateral.

The authority would hand over the $10.5 million to the city, and Harrisburg would pay the authority about $1.6 million annually to cover payments on the loan.

City budget director Linda Lingle said that while the building is part of the deal, the loan would be repaid using money from the sale of city assets, including Western artifacts Reed accumulated for a museum, a Susquehanna River island, the Harrisburg Senators baseball club and the naming rights of parks.

The city would retake title to the public safety building, home to the city's police and fire officials, once the loan was repaid, Lingle said.

But Miller and other council members said they wanted more assurances that the sale of the artifacts would be tied to repaying the loan, among other concerns.

"This [loan] could go for 10 years and not one artifact would have to be sold," Miller said.

[BuffaloBill]

I guess it's a good thing I am moving back to Buffalo in 2008.

;)

[danwxman]

Council raises height limit for Front Street buildings
Wednesday, December 13, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg's skyline along Front Street and in center city could soon change as the result of action approved last night by the City Council.

The council unanimously approved a zoning change that allows residential buildings of up to 110 feet in height along Front Street, between Reily and Maclay streets. The previous height limit in that area was 45 feet.

The action bolsters a plan to develop the Tracy Mansion in the 1800 block of North Front into a restaurant and up to 50 luxury condos.


Jack Kay, president of Susquehanna Real Estate, praised the action, saying it would help clear the way for a 92-foot-high condominium on a lot next to the mansion. Units would start at $300,000.

"We are excited to be able to proceed with our vision for this site," said Kay, who added that construction could start by the middle of next year.

The council also gave unanimous backing to a bond deal that would funnel $14 million to the 2-year-old Harrisburg University of Science and Technology, helping pay for a proposed $75 million, 16-story academic center at Fourth and Market streets.

The money for the university would come in the form of a $17.5 million bond issue by the Harrisburg Parking Authority. The council agreed to pledge the city's financial guarantee for the deal, a key step in attracting bond investors.

Under the deal, the parking authority would purchase, own and manage the 392 parking spaces to be built as part of the university tower.

Without the parking authority's participation, the entire project would stop, university President Melvyn Schiavelli has said.

The university did have to make one concession, guaranteeing to cover any of the parking authority's operating losses on the parking project for the tower.

Parking authority officials revealed last week that the parking for the university will actually lose money, siphoning about $660,000 a year from parking profits that would otherwise go to the city.

That's because the number of spaces is half of a typical city parking garage, and the parking is being created as part of a larger and costlier construction project.

Schiavelli made the pledge that the university would cover any losses in a letter to council, a move that appeared to allay members' concerns.

Construction on the tower is expected to begin in January and finish in December 2009.

To pay for it, the university has received a $26 million pledge from the state and is expected to borrow about $35 million.

The 170-student university is sharing space with Harrisburg's SciTech High at the science-and-technology-based high school's campus at 215 Market St.

JOHN LUCIEW: 255-8171 or jluciew@patriot-news.com

[EastSideHBG]

:tup:

[EastSideHBG]

New shopping center takes shape

Friday, December 15, 2006
BY CHRIS A. COUROGEN
Of The Patriot-News

West Shore shoppers caught in East Shore traffic can take heart. This should be the last holiday season they will need to cross the river to shop at popular stores such as Target, Best Buy and Bed Bath & Beyond.

By this time next year, all those retailers and more should be in new stores along the Carlisle Pike in Silver Spring Twp.

"Construction is right on schedule, and road work is right on schedule," said Powell Arms, a vice president with Regency Centers in Jacksonville, Fla.

Regency Centers is one of the partners in the 500,000-square-foot Silver Spring Square project. The new shopping center is taking shape on the former site of the Silver Spring Speedway and Silver Springs Flea Market.

According to Arms, paving and landscaping at the site should be completed by the end of the year. A bridge connecting the rear of the shopping center to Lamb's Gap Road also is expected to be finished soon, and the relocated Lamb's Gap Road should be open to traffic within weeks.

A 28,000-square-foot building on the west side of the property will house smaller tenants. It is expected to be finished in March. A larger building on the east side will be home to Bed Bath & Beyond, Ross, Lane Bryant, ULTA Cosmetics, Office Max, Best Buy and another unnamed tenant. It is scheduled for completion shortly after the smaller building.

Free-standing Chili's and Longhorn Steakhouse restaurants are expected to be completed in the spring.

The two main anchor tenants -- a Target store and Wegmans supermarket -- are expected to be ready to open in July and September, respectively.

Arms said the center has commitments for more than 93 percent of the space, but not all leases have been signed. He confirmed that Galaxy Nails, PNC Bank, Chic-fil-A and Panera Bread also will lease space at Silver Spring Square.

**************

Property plan shows new office buildings

Friday, December 15, 2006
BY CHRIS A. COUROGEN
Of The Patriot-News

Three new office buildings with a total of 190,000 square feet of space might be the centerpiece of proposed improvements for the former PHICO insurance property in Silver Spring Twp.

No formal plans for the project have been submitted to the township, but a traffic engineer for the developer outlined the proposal to supervisors this week.

The engineer has asked the township for guidance regarding the scope of traffic studies needed for further developing the site.

Harrisburg-area developer Norman K.A. Hoffer owns the 52-acre property, which includes the 220,000- square-foot former PHICO headquarters building.

Hoffer purchased the property from the state Insurance Department, which acquired it after the 2002 liquidation of the former medical malpractice insurer.

Greg Creasy, the traffic engineer from Grove Miller, told the supervisors that sketch plans he has seen show three office buildings close to the existing building on the site, with a bank, a pharmacy and a restaurant to be built on the northwest corner of the lot near Route 114 and the Carlisle Pike.

Hoffer has been getting many inquiries about the site, but at this point, "to the best of my knowledge, there is no specific tenant," Creasy said.

The plans described by Creasy are similar to a sketch plan submitted to the township in September. That plan showed two restaurants on the northwest corner, but no bank.

Township engineer Bony Daewood told the board he has seen a plan for an expanded parking area near the existing building. The developer has not followed up on either sketch plan, Daewood said.

Daewood also attended a meeting with the developer and the Pennsylvania Department of Transportation regarding the site.

Plans discussed at that meeting were not specific and "very conceptual," Daewood said.

Creasy refused to answer further questions from the supervisors about the potential project, telling the board he was not at liberty to share more information.

[klingy04]

Thought this was pretty impressive. I'm excited to see the University take shape. As much as some people talk s*** about it, it is going to help Harrisburg take a BIG step forward.

Harrisburg University draws huge investment
Jim T. Ryan
Central Penn Business Journal Staff
12/15/2006

The Harrisburg University of Science and Technology secured funding Dec. 14 for its new building from national investment institutions that bought $89 million in bonds, said Mel Schiavelli, university president.
Harrisburg University’s building project is at the corner of Fourth and Market streets in the city. Site work could begin in early January.

“We’re out of the planning phase and into the building phase,” Schiavelli said.

The bond sale opened at 12:45 p.m. and closed an hour later. Interest from investors was so good that 22 firms placed orders for more than $1 billion in bonds during that hour. “It’s a real vote of confidence,” Schiavelli said.

The specific investors would not be known until later, he said.

[crs921]

http://www.drc-associates.com/albums/psp/forumplace/Forumplace1_800.jpg

I'm from Hbg, but now live in Ft. Lauderdale, FL. However, I love the this thread, and check it daily. I discovered this sketch of what was to be the 40-story Forum Place building in Harrisburg that was never built as intended. What happened? Any plans to ever finish the tower? Any plans for buildings more than 16-stories in downtown Hbg??? The skyline leaves much to be desired.......

Thanks!
-Chris

[EastSideHBG]

klingy04: Who talks sh*t about HBG U? All I ever saw in HBG was positive things about it. :???:

Hello, Chris! :) Forum Place was owned by Vartan and was supposed to be the tallest building in HBG as you mentioned. He got into a very big squabble with the city (and later the county) and stopped at 10 stories (??; figure is off the top of my head) and that was that. The building has an awful history and the county screwed the financial aspects of it BIG TIME and lost millions of dollars. The state, its largest tenants, were about to back out recently but I heard they have decided to stay which is really good news. Vartan passed away last year and I don't think his estate has anything to do with the bldg. at all anymore, and I believe the whole thing is ran by the county and city. Not too comforting, seeing the financial messes both of them are in now (well actually, Dauphin Co. has a surplus but still plans on laying off a huge chunk of employees next year for some unknown reason). :brickwall:

There is a lot to the story and I don't know all of the ins and outs these days but that is the gist of it. The bldg. can easily support more floors but it will never happen in our lifetime IMO.

[wrightchr]

I'm from Hbg, but now live in Ft. Lauderdale, FL. However, I love the this thread, and check it daily. I discovered this sketch of what was to be the 40-story Forum Place building in Harrisburg that was never built as intended. What happened? Any plans to ever finish the tower? Any plans for buildings more than 16-stories in downtown Hbg??? The skyline leaves much to be desired.......

Thanks!
-Chris

welcome to the forum chris....dave is right on the money with the financial crisis the building has been envolved in over the years. forum place is actually 9 office floors, 1 mechanical, and 1 basement floor...the bottom floors and foundation of the complex can support upward expansion to 40 floors; however, it's tough to say if it will ever happen in our lifetimes. i'd like to believe that at some point, a major corporation or benefactor would step in and purchase the building with plans to add on to it. it's a possibility with the new university project and a large number of government resources in the area, that at some point, the only option will be to build upward. but i wouldn't expect it anytime soon. that picture is also posted on emporis...it's a classic example of what Harrisburg *could* be someday!

[klingy04]

Eastside,
Check the Patriot's Harrisburg Forum for people who like to hear themselves talk about any number of things. They seem to put down pretty much anything that comes up in H'burg. I guess I should expect such.

[wrightchr]

Eastside,
Check the Patriot's Harrisburg Forum for people who like to hear themselves talk about any number of things. They seem to put down pretty much anything that comes up in H'burg. I guess I should expect such.

i used to frequent the forum you mentioned...but your right, there are quite a few *haters* on it. anything and everything ends up being twisted into some political debate. much to the same of the current events thread on this forum. i stopped posting months ago. jason smith frequents the patriot news forums...i'm sure he could tell you loads of stuff that needs fixin! lol

[EastSideHBG]

A very good article:

HARRISBURG CRISIS

Budget woes risk status as regional hub

Thursday, December 21, 2006
BY JOHN LUCIEW
Of The Patriot-News

Again this Dec. 31, thousands of revelers from around the region will flock to Harrisburg's Market Square to usher in the new year and have a darn good time doing so.

But will 2007 see a continuation of the city's role as a dining, entertainment and after-hours destination for the midstate?

Or will Harrisburg suffer a rare retrenchment in its amenities, services, events and security under Mayor Stephen R. Reed?

That and more are at stake as the city considers a $135.2 million spending plan for 2007 that could determine its regional image for years to come.

The ripples could go far beyond the city employees and police officers who might be laid off, the property owners and businesses who would see their real estate taxes rise, and the everyday services such as trash collection and street cleaning that could be affected.

The region's health is tied to that of the city in numerous ways.

"We are the dominant regional hub for sports, entertainment and events, also history, heritage, arts, culture and finance," Reed said. "All of those things have a nucleus here."

Police take a hit:

It adds up to some 4 million visits a year, according to city estimates based on information from Harrisburg's hotels, nightclubs and attractions.

"That's easily double what it was 10 years ago," Reed said.

As the state capital and Dauphin County seat, Harrisburg also is host to tens of thousands of workers every day.

Reed said the city's daytime population swells three-fold, to nearly 150,000, most of them workers and visitors.

At night and especially on the weekends, Restaurant Row, the city's string of bars, restaurants and night spots along North Second Street, becomes crowded with people from around the region.

Reed said Restaurant Row businesses estimate the combined annual crowd at 520,000 -- and that's just on the weekends.

But would all of those guests still come if there were fewer police officers on the streets?

Early retirements in the past two years have shrunk the city force to 155 officers, from 180. Fifty-five more officers would be in position to leave under the early retirement terms of the police contract in place through 2010.

With the ranks thinning, Chief Charles Kellar said he will disband the department's two-officer mounted unit, so New Year's Eve might be the last time city officers are seen patrolling crowds on horseback. Kellar said he plans to reassign the officers to regular patrols to fill staffing gaps.

Harrisburg's budget crisis, which included a $13.8 million deficit for 2006, has made matters worse. City layoffs wiped out this fall's nine-member police cadet class just weeks before it would have filled some of the slots.

There are no plans to hire officers. Kellar said he believes his department remains a layoff target because of its $19.9 million cost, which represents a third of the city's $59.2 million general budget for 2007.

"We definitely cannot afford to lose any more police officers now," he said. "We are at bare minimum."

Visitors expect services:

Police protection is just one of the municipal services visitors have come to expect in Harrisburg. Parks must be kept manicured, roads maintained, fire and emergency services at the ready and streets and sidewalks cleaned.

"The influx of people here creates a huge demand for municipal services," Reed said.

Another city staple that has kept people coming back again and again also is caught in the budget crisis.

The city-owned Harrisburg Senators minor-league baseball team, which has called City Island home since 1987, is up for sale to help pay off some city debt piled up by the budget deficit.

Reed said he will insist on a clause that would bind the team to Harrisburg for at least 29 years, but he said the requirement is the biggest deterrent to a quick sale.

A lure for business:

A vibrant city isn't just someplace to go for fun and games.

Business officials say the amenities offered by a place such as Harrisburg can help woo businesses, attract residents and lure employees to the larger region.

"It does have a spin-off effect," said Linda Goldstein, vice president and chief operating officer of the Harrisburg Regional Chamber and the Capital Region Economic Development Authority. "It's a hub-and-spoke relationship. If Harrisburg is healthy, it does have a positive effect on Cumberland, Perry and other areas of Dauphin County."

Brian Ross, a development specialist with the Governor's Action Team in charge of economic development in Pennsylvania, said headhunters, CEOs and site-selection teams often check out the city before recommending a larger region or area to their clients.

"They ask about assets -- the theater, the arts and entertainment," Ross said. "They want their employees to be happy."

City serves wide area:

Other regional ties are even more concrete and far-reaching.

Harrisburg's trouble-plagued incinerator holds disposal contracts with Dauphin, Cumberland and Perry counties. Dauphin County pledged its guarantee behind a part of the $125 million in bonds floated to renovate the plant.

The overhaul was supposed to turn the incinerator into a model of efficiency, capable of consuming 800 tons of trash daily and generating steam and electricity for sale.

Instead, the plant was four months late coming on line this year and has performed nowhere near its rated capacity, missing its first-year revenue projection by $14.3 million.

If it continues at that pace, the incinerator would be in danger of falling behind on payments to cover the $228 million in incinerator-related debt, according to the plant's director. That would mean the responsibility for paying incinerator bondholders would fall to the city and, eventually, Dauphin County.

Dauphin County Chief Clerk Chad Saylor expressed concern over the situation but added things are nowhere near the point where the county would be forced to begin paying on the incinerator bonds.

Saylor said Dauphin County leaders remain committed to the incinerator as a better disposal alternative than the Dauphin Meadows Landfill to the north.

Likewise, the city's water and sewer plants, also owned by the Harrisburg Authority, serve several surrounding municipalities. Lately the operations have been passing along rate increases to customers inside and outside Harrisburg.

A tradition of change:

Harrisburg also plays host to some of the region's most historic churches.

Last Sunday, prayers were offered at Market Square Presbyterian Church for the city and its crisis, even though only about a quarter of the congregation lives in Harrisburg.

"I am very much aware of how much this congregation's well-being is tied to the community at large," said the Rev. Jim Brown, Market Square's pastor, who offered the prayers for Harrisburg.

"When the city falters, we all suffer," he said.

Indeed, Brown said his congregation need only venture outside the church's doors to see the positive changes in the city.

"The members of Market Square remember well the blighted nature of the downtown a decade or so ago," he said. "We want the city to succeed."

Of course, the city hasn't lost all momentum.

The long-planned Harrisburg University of Science and Technology just sold $89 million in bonds for a planned building at Fourth and Market streets.

And private developer J. Alex Hartzler and the Starwood hotel chain see Harrisburg and its Restaurant Row as the perfect spot for a Starwood Aloft hotel, a buzz-creating brand aimed at young, hip business travelers in up-and-coming urban centers.

JOHN LUCIEW: 255-8171 or jluciew@patriot-news.com

WHAT'S NEXT

# WHAT: City Council is to vote on Harrisburg's proposed $135.2 million budget for 2007 that calls for a 17 percent property tax increase. The owner of a home assessed at $100,000 would pay $150 more a year, for a total of $1,010 annually in city taxes.
WHEN: 5:30 p.m. today. WHERE: City Hall.

[EastSideHBG]

How surprising, Cumberland Co. takes an even further step back into the dark ages! Typical SC PA: you don't agree with the majority and what we want so we force you out...how dare you bring a different view to the table!

Sorry, I hold no hope anymore...none, zero, zilch...

:no:


Miller's views often clashed with those of the commissioners, most notably on the Corridor One light-rail proposal.

Cumberland County replaces transit director
Thursday, December 21, 2006
BY FRANK COZZOLI AND MATT MILLER
Of The Patriot-News

CARLISLE - Some changes, or at least calls for change, are in Capital Area Transit's future.

A push in that direction came Monday when Cumberland County commissioners appointed Kenneth R. Groff of Camp Hill to CAT's board of directors.

Groff, chairman of Groff Tractor & Equipment, replaces Richard Miller, who represented Cumberland on the agency for 21 years. Miller led the CAT board for 17 years.

Commissioners told Miller he wouldn't be reappointed.

Miller's views often clashed with those of the commissioners, most notably on the Corridor One light-rail proposal, which drew skepticism from the commissioners.

"I believe that in any organization ... it's good to have turnover from time to time, to bring in fresh perspectives," Commissioner Rick Rovegno said of the decision not to re-appoint Miller.

"They said they were going to choose someone else. It's their choice for sure," Miller said.

His departure comes as ridership on CAT's bus network is rising for a third straight year, he said.

Also, Miller said, CAT and Modern Transit Partnership, the light-rail promoter, are close to securing local funding for Corridor Two, a Harrisburg-Hershey-Lebanon line.

"My going isn't going to reduce or stop the movement" for light rail, he said.

Frank A. Pinto, president and CEO of the Pennsylvania Association of Community Bankers, replaced Miller as CAT chairman.

Cumberland's commissioners haven't acted on a CAT request for a 3 percent funding increase for 2007 that would boost county funding to $225,455.

James Hoffer, CAT executive director, said Dauphin County commissioners are weighing a similar request, but Harrisburg cited its budget crisis in rejecting CAT's plea for more money.

Rovegno said his board will ask for a review of the agency's funding and services.

For leverage, it has an examination by county Controller Al Whitcomb of CAT's finances.

Whitcomb cited concern that CAT's recovery plan didn't list specific cost controls. Perhaps cuts in personnel and fringe benefits should be eyed, he said.

CAT "compares unfavorably" to other state transit providers in the ratio of fringe benefit spending to salaries and in operating costs per mile, he said.

If it doesn't address those, CAT might face dire financial problems "in the not too distant future," he concluded.

Hoffer said he is reviewing Whitcomb's report.

Whitcomb's office didn't contact CAT during the evaluation, he said, so "there's a lot of misinformation that was put out."

[EastSideHBG]

An interesting article in many ways because A) Brinjac is suggesting DT is not as busy anymore and/or this particular clientèle is not there B) a bank is moving into the space vs. another nightlife spot *yawn*


BIZ MINUTE

Eateries merge city operations
Thursday, December 21, 2006

An Italian restaurant in Harrisburg is merging with a neighboring wine bar.

Zia's Trattoria at North Second and Locust streets is moving into the Red Door space in what the owners describe as a fusion of the two concepts.

The new bistro will operate as Zia's at Red Door at 110 N. Second St. The menu will incorporate Italian dishes with light fare and an extensive wine list.

"This is frankly more compatible with the amount of business downtown," said John Brinjac, who owns the building that houses both restaurants with his brother, David Brinjac. They also operate Brinjac Engineering from the building.

The new restaurant will be closed the first two weeks in January for renovations. When it reopens, the seating capacity will double to about 100 diners. Banquet space will still be available.

A bank, which John Brinjac would not identify, will move into the space vacated by Zia's.

Zia's opened in April 2003 and Red Door opened three months later.

[EastSideHBG]

Eastside,
Check the Patriot's Harrisburg Forum for people who like to hear themselves talk about any number of things. They seem to put down pretty much anything that comes up in H'burg. I guess I should expect such.
Well take that! :)


NEWS INFORMATION FROM THE OFFICE OF MAYOR STEPHEN R. REED
City of Harrisburg
King City Government Center
Harrisburg, PA 17101-1678
Telephone: 717.255.3040

FOR IMMEDIATE USE
20 Dec 2006

HARRISBURG UNIVERSITY FINDS STRONG INVESTMENT MARKET

Mayor Stephen R. Reed today reported that the new Harrisburg University of Science and Technology was received very well and found strong interest by the bond investment market recently when it issued $89 million in construction notes for its new Academic Center at N. 4th and Market Streets. Construction will begin early next year with completion slated for December of 2008.

The 16-story tower will be the new home for the expanding University, which is now in its second year of academic operations.

Reed said the University bonds were put on the market for a period of 60 minutes last Thursday, December 14, by the A.G. Edwards Co. In that brief period, $1.08 billion in orders were received from 22 different institutional investment groups to buy the bonds, “an amazingly strong and positive response to the University by the investment community”, said the Mayor. “Being oversubscribed by 1100% is a very positive reflection on the University’s strength and future.”

“There never was any doubt that the University bonds would sell. The demand for them exceeded expectations,” said Dr. Melvyn Schiavelli, President and Chief Executive Office of Harrisburg University of Science and Technology. The end result is that the bond interest rate could be repriced and lowered, in view of the strong demand, which will save the University hundreds of thousands of dollars per year during the terms of the bonds.

“There were some skeptics who actually questioned whether the University could sell bonds or whether the bonds would have to be offered at a premium higher interest rate to attract investors. These doubts were swiftly dismissed when the bonds went to market,” Reed said.

The strong interest by the investment market allowed for the bonds’ interest rates to be dropped from 5.5% to 5.4% on Series A, which were for $27,690,000 in principal, and from 6.125% to 6% on Series B bonds, which totaled $60,225,000. The University’s business plan projected a 7% rate on the Series B bonds.

“To the average person, the interest rate differences may not seem much but they translate into significant savings over the long-term,” said the Mayor.

The Harrisburg University of Science and Technology, founded in 2001, is a private, comprehensive non-profit science and technology-focused university. The first comprehensive university chartered in Pennsylvania in over 100 years, HU offers bachelor’s and master’s degrees, as well as professional and continuing education and certificate programs, in biotechnology and biosciences, computer and information services, e-business and management, integrative sciences, and geography and geospatial imaging.

[wrightchr]

you know what Dave...i think it's hilarious that Miller was released by the Cumb. County Commissioners...and so predictable. i also think that Miller played an important part in sinching the deal with getting CorridorTwo before he was ousted. once coridorOne and Two are online, it's only a matter of time before Cumberland County folds into submission and allows the rail system to enter the West Shore. i can tell you one thing...there are a lot of people on the West Shore that are pissed about this whole boondoggle and would love to have rail come into town...especially since it will ease the congestion pains. eventually, every large community east of Cumberland County will have commuter rail. i definately see some tough times ahead for these commissioners.

[EastSideHBG]

you know what Dave...i think it's hilarious that Miller was released by the Cumb. County Commissioners...and so predictable. i also think that Miller played an important part in sinching the deal with getting CorridorTwo before he was ousted. once coridorOne and Two are online, it's only a matter of time before Cumberland County folds into submission and allows the rail system to enter the West Shore. i can tell you one thing...there are a lot of people on the West Shore that are pissed about this whole boondoggle and would love to have rail come into town...especially since it will ease the congestion pains. eventually, every large community east of Cumberland County will have commuter rail. i definately see some tough times ahead for these commissioners.
I hope you're right, Chris! The whole things is highly annoying and traffic is only getting worse in the area...

Some much needed good news!


Council approves plan for hotel

13-floor building to rise on corner in Restaurant Row

Friday, December 22, 2006
BY JOHN LUCIEW
Of The Patriot-News

Harrisburg's Restaurant Row will soar to new heights when a $10 million Starwood Aloft hotel is built at Second and State streets.

That was the prediction of the hotel's developer, J. Alex Hartzler, after the City Council voted 6-1 last night to approve the hotel's plans, clearing the way for construction to begin by the middle of next year.

"It marks the next evolution of Second Street," Hartzler said. "I think this takes Restaurant Row to the next level. It's a great night for Harrisburg."

Starwood, which manages hotel brands including Westin and Sheraton, is rolling out the Aloft brand to target young business travelers.

Hartzler says the project is a perfect fit for Restaurant Row, the city's strip of bars, restaurants and nightclubs along North Second Street.

Many young people seemed to agree. Led by strong support from Harrisburg Young Professionals, a group of more than 500 twenty- and thirtysomethings, they packed council chambers and spoke one after the other in favor of the hotel.

"We are in competition with Baltimore, Philadelphia and New York City," said Josh Benton, listing some of the choices for young professionals.

"It's time to start playing in the big leagues. If you want to be a destination city, let's do something like this."

But not everyone agreed.

The hotel's height, at 13 floors and 165 feet, and its State Street location, a block from the state Capitol, made it controversial to some.

"I agree with everything ... except where the hotel is going to go," said David Zwifka, executive director of Historic Harrisburg Association, a preservationist group that opposed the project.

Dan Miller was the only council member to side with the project's critics, casting the dissenting vote.

"This is not the location," he said. "What will we think 30 years from now?"

The 138-room Starwood Aloft hotel would include an outdoor pool, street-level retail space, a lounge and 140-seat restaurant with a sidewalk cafe on State Street.

With all city approvals in place, Hartzler said he hopes to begin construction next July, as soon as work is done on the adjacent Spring Street parking garage.

He said that his plans call for the hotel to check in its first guests by Thanksgiving 2008.

It would be downtown's third major hotel, joining the Hilton Harrisburg and the Crowne Plaza Hotel.

[EastSideHBG]

I am REALLY shocked by this, as I thought Liberty Forge was doing well! Things sure don't last very long it seems...


LOWER ALLEN TWP.

Liberty Forge closing stirs anger, questions

Friday, December 22, 2006
BY CHRIS A. COUROGEN
Of The Patriot-News

Weddings are supposed to be dream-come-true events. Proms, according to Cedar Cliff High School senior class adviser Mia Semuta, are like "a wedding with 250 brides."

Last week, in the time it takes to open an envelope, the prom dreams of Semuta's students and the wedding dreams of an unknown number of brides-to-be nearly turned into nightmares. Months of planning, scrapped in an instant after receiving a letter from Liberty Forge, the Lower Allen Twp. golf and catering facility, telling them to find another place for their dreams. Liberty Forge was closing its doors.

The Dec. 31 closing sent the students, the brides-to-be, and organizers of golf tournaments scrambling to find venues for their events and triggered speculation about the reasons behind the decision to end operations at Liberty Forge, which opened in 2003.

Liberty Forge's letter lays blame on a dispute with a neighboring property owner over noise issues and points a finger at Lower Allen Twp. officials for hindering efforts to resolve the problem.

In that version of the story, the decision to close came after an officer with the state police's Bureau of Liquor Control Enforcement threatened to revoke the facility's liquor license after breaking the Liquor Control Board's noise rules.

The neighbor and township officials dispute the allegations.

Randy Brown said he filed the noise complaint with the LCB after they said two years of trying to work with Liberty Forge to resolve the issue failed to make progress.

"It stopped getting better, and it was getting worse," Brown said.

Township officials were miffed over Liberty Forge's attempts to blame them for delays in building a soundproof, permanent catering hall. "I don't know how we are holding them up," Lower Allen zoning coordinator John Eby said.

Eby has a hard time understanding how the township could be to blame when Liberty Forge doesn't have any permit applications filed. A plan for a banquet facility was submitted in July. It was withdrawn before the commissioners had a chance to consider it.

Those plans would not be necessary if Liberty Forge wanted to build the facility in the footprint shown on its original plans, which were approved in 2002.

A spokeswoman for Liberty Forge refused to answer questions. "I cannot say more than what is in the letter," said Marcia L. DesForges, the company vice president whose signature is on the letter.

"Plenty of gray hairs later" Cedar Cliff's prom has found a location, Semuta said. The Sheraton Harrisburg-Hershey was able to accommodate the dance. Semuta is still angry over having been misled in dealings with Liberty Forge, and she does not buy the explanation in the letter.

"If a kid comes to me with an excuse like that, I'd say 'No, your dog didn't eat your homework.' I don't believe anything that comes out of Liberty Forge," Semuta said.

Throughout the planning process, Semuta heard rumors of problems at Liberty Forge. The place was closing was one rumor she heard from students who worked there. Problems with the noise was another.

Semuta asked people at Liberty Forge about the rumors. Each time she was told there was nothing to the reports.

"I was lied to. It turns out they were all true," Semuta said. "I don't know if we'll ever know the real reason they are closing."

There is no indication Liberty Forge was in financial distress. The letter claims the company has no debt, offers refunds to those who made deposits for now-canceled events and urges suppliers to submit final invoices for payment.

Some suggest Liberty Forge owner John Williams is using the noise issue as cover for a decision to close the facility.

There is also speculation this decision could lead to the property being developed for housing. The 77-acre site is the third most valuable property in Cumberland County, with an assessed value of $2.55 million. Developed, it could be worth many times that amount. Homes in a nearby development start at $500,000. Even 10 homes at that price would double the value, and zoning in the area would allow more than five times that many.

"There is a lot of speculation flying. It has been a hot topic among anybody that has anything to do with weddings," said Karen Taylor, owner of Karen's Catering. Karen's runs Harmony Hall, a banquet-reception facility in Lower Swatara Twp. and is the exclusive caterer for the Civic Club of Harrisburg. Since the closing was announced, Taylor has been flooded with inquiries.

Some have been able to adjust while barely skipping a beat. Semuta was able to find a home for the prom without having to change dates.

Lauren Heckman wasn't as lucky. Heckman and boyfriend Matthew Arnold had planned to tie the knot April 28. Now they will wait until Oct. 20, the earliest date they could book their second choice, the Civic Club.

[EastSideHBG]

COMMERCIAL REAL ESTATE

Mall project could draw new bookstore

Friday, December 22, 2006
BY DAN MILLER
Of The Patriot-News

A Barnes & Noble bookstore could be among new tenants coming to Harrisburg Mall in 2007 -- a year when the mall is expected to undergo a major face-lift.

The addition is part of a "streetscape" remaking of the mall exterior that will unfold throughout the year, said Wayne Snyder, vice president for development with Feldman Mall Properties Inc., which owns the mall.

The project will dramatically change the mall exterior facing Paxton Street. Many stores will have new outside entrances, along with the ones they have inside the mall.

"You want to have it both ways," said Lloyd Miller, executive vice president of leasing with Feldman. He explained that the project seeks to combine the trendy appearance of a retail strip center with a traditional mall.

The original Harrisburg East Mall typified shopping "fortresses" of the 1960s and 1970s, where only big department stores were visible from outside, Snyder said. When the streetscape project is finished in early 2008, Harrisburg Mall will look "like a retail establishment, not a solid brick box."

Shoppers should see the first signs of exterior changes early next year, Miller said. Most of the interior renovations are done, so the mall doesn't have to close during any of the outside work, although one entrance might close temporarily.

Snyder said Barnes & Noble hasn't signed a lease. But he said Feldman anticipates a 23,000-square-foot Barnes & Noble store to open at the mall around November 2007 in conjunction with the planned opening of a 14-screen Great Escape Theatres.

Barnes & Noble also has a store in the Camp Hill Shopping Center. Lenore Feder, spokeswoman for Barnes & Noble Inc., declined comment when asked if the Harrisburg Mall store will be an addition to the midstate market. Feder said the company does not comment on new stores until a lease is signed.

Plans to free up space in the mall are under way.

Waldenbooks, a Harrisburg Mall tenant since 1970, will close on Jan. 20. The store's lease is expiring, and the decision to close was "mutual" between the mall and Borders Group Inc., which owns Waldenbooks, Borders spokeswoman Holley Stein said.

"We've been closing some Waldenbooks stores every year, so this isn't anything new for us," Stein said.

Miller, of Feldman, described the departure of Waldenbooks as essential to clearing space for a new entrance to the theater complex from the mall.

Snowden's Hallmark, another longtime tenant, also will be affected. Dixie and John Snowden of Derry Twp. have owned the store for 31 years. The Snowdens have two years left on their lease, but when mall officials said the store needed to move, the time seemed good to retire, John Snowden said.

Dixie Snowden said they hope to know by the end of January if a new owner can be found to keep a Hallmark store elsewhere in the mall.

Miller said his company would like to keep a Hallmark store.

Hallmark spokeswoman Rachel Bolton said the retailer also wants a store in Harrisburg Mall or "nearby."

The mall is working to attract several other new tenants as part of the redevelopment, including two full-service restaurants, a cafe/restaurant and a large "junior anchor" that would be new to the Harrisburg market.

The exterior work will cost about $12 million, including extending the mall front for Barnes & Noble and two of the new restaurants, Snyder said. He said none of the restaurant deals are close enough to identify tenants.

[EastSideHBG]

17 bid for Senators, Reed says

INSIDE

Saturday, December 23, 2006
BY ELLEN LYON
Of The Patriot-News

Harrisburg Mayor Stephen R. Reed said yesterday that he has received one "generous" offer to buy the Senators minor league baseball team and he expects more to come.

Reed said he attended the winter meetings of baseball executives in Florida and was besieged with interest in the Class AA team, which the city intends to sell to help reduce its deficit.

"We need to raise that money in 2007, so the team is being sold in 2007," he said.

The city's $134 million budget for next year, approved by the City Council on Thursday, includes $800,000 from the team's presumed sale. Any remaining sale proceeds would go to retire debt from the city's 1996 purchase of the team for $6.7 million and to help pay off this year's $7.2 million budget bailout loan.

Seventeen people or groups have signed confidentiality agreements that included information about the team, which is affiliated with the Washington Nationals, Reed said.

The deadline for bids is 5 p.m. Jan. 30, Reed said. Within 15 days after that, city officials expect to narrow the list to two or three prospects and begin negotiations. A buyer could be announced by mid-March, he said.

All bidders will be required to visit Commerce Bank Park on City Island, where the Senators play, and the buyer will have to agree to keep the franchise in Harrisburg for at least 29 years, Reed said.

The sale of the team wouldn't be final until the end of the 2007 season, he predicted.

The final offer might include two purchase prices, Reed said, noting that if the stadium is upgraded and expanded, the team will be worth more.

******************

Here is an interesting article about some things going on in Camp Hill:

CAMP HILL

CHANGING THE MIX

Saturday, December 23, 2006
BY ELLEN LYON
Of The Patriot-News

Camp Hill resident Mark Hoover was concerned when he noticed two older homes being demolished at North 15th and Market streets.

"What I see is more pavement, more building, no green," Hoover told the Borough Council at its meeting last week.

http://www.pennlive.com/news/patriotnews/index.ssf?/base/news/1166845211271440.xml&coll=1

[wrightchr]

^ great article about the demolitions/development along Market St. in CH.

interesting to see what the Senator's fetch...i wonder who will end up buying them. i'm also glad to see final approval on the new hotel in downtown HBG. so now we're going to see:

13 floor hotel at State/2nd Street
9 floor Commonwealth Judicial Center at the Capitol Complex
16 floor Harrisburg University center
12 floor South Street Parking Garage
5 floor massive Capitol View Commerce Center along Cameron Street
TBA new federal building/courthouse...which should now be somewhere in the CBD hopefully!

i'm happy with this development right now...but i definately think we can do better. Harrisburg is definately becoming more like DC...with large areas of mid-rise and smaller high-clusters. maybe we'll some new condo development DT and along Ft. Street. i still really like the idea of the Southern Gateway project's opening of DT up to more mid-high rise development. Harrisburg's core definately keeps getting more dense....and you have to keep it number 3 in the state IMHO.

[EastSideHBG]

/\
I totally agree, Chris. What bugs me the most is that none of these plans include a solid plan for condos, apts., etc.; the city definitely needs new residential construction!


PENN NATIONAL GAMING RACING AHEAD

Casino will offer taste of Hollywood

Thursday, December 28, 2006
BY SHARON SMITH
Of The Patriot-News

The Penn National Race Course site doesn't look like much now, but that's about to change.

Construction workers will convert a dirt foundation into a four-story Hollywood-theme racino, a racetrack-based casino, a short stretch off Interstate 81 in Dauphin County.

Once built, the racino in East Hanover Twp. will offer fine-dining, valet parking, a museum keeping with its theme, a sound stage for entertainment, a sports bar, simulcast horse racing, views of live horse racing and, of course, slot machines. When people walk through the front door, the first thing they will see is a ribbon of video screens.

"It should be a pretty awesome site as you walk through our facility," said Gary Luderitz, Penn National's new general manager, as he flipped through a scroll of architectural designs.

The $310 million project is expected to open in early 2008 with 2,000 slots and the potential to add 1,000 more. When it does open, the racetrack's appearance won't be the only thing that will have changed. The moniker will be new, too.

From then on, the track will be known as Hollywood Casino at Penn National.

This is not Wyomissing-based Penn National Gaming Inc.'s first foray into casinos. The company already has Hollywood-themed casinos in Illinois, Mississippi and Missouri.

"The Hollywood name has significant cachet," Luderitz said. "We expect to open not only with the Hollywood theme, but with a Hollywood museum as a part of that."

The Pennsylvania Gaming Control Board allows casinos to offer anything from penny slots on up, according to Doug Harbach, spokesman for the board.

While the company's vision for the casino appears mapped out, it hasn't decided on the types of slots, said Eric Schippers, spokesman for Penn National. It also hasn't firmed up marketing plans that would include the types of promotions that will be offered to players. Casinos often offer promotions -- sort of like a club card at a grocery store -- to build loyalty with customers. Casino promotions often include dinners or cash credits.

Ultimately, customer demand will drive those decisions, he said. "We're not there yet in terms of planning."

Luderitz, who came from a casino in the Bahamas, believes Penn National has the right facility and the right location and is poised to become a centerpiece of entertainment in the midstate.

Not far from Hershey or Harrisburg, Penn National is situated in an area that already gets its share of tourists. Luderitz is confident the racino will attract visitors from the midstate, Maryland and Delaware.

"Central Pennsylvania is a very heavily visited tourist area," he said. "We're talking several million a year that visit as tourists. I hope we can become an amenity, if not a part of the centerpiece."

Because developers of a proposed standalone casino near Gettysburg lost their bid for a gambling license, Penn National will be the main slots attraction between Philadelphia and Pittsburgh.

Robin Scaer, spokeswoman for the Hershey Harrisburg Regional Visitors Bureau, sees Penn National's potential. The location lends itself to visits from motor-coach traffic, she said.

"It's just a natural attraction," she said. "It will be much more than just the casino and racetrack."

The racino also could give other tourist attractions, such as Hersheypark and Hershey's Chocolate World, a boost. Penn National will have an adult audience, and Hershey has something to offer the children and families.

"I think they'll find this a partnership that will work," she said. "It's definitely a win-win situation."

Unlike some of the other racetracks, Penn National opted not to open with a temporary casino.

"We took a little bit of a different approach," Luderitz said as he stood on a tower overlooking the racetrack and the future home of the casino. "We're starting from the ground up. We're starting from scratch."

That approach will likely put Penn National at the tail end of the racino openings. Mohegan Sun at Pocono Downs opened in November. Philadelphia Park opened this month and Chester Downs is expected to open in January.

Penn National Race Course employs about 250 people now, but will likely hire about 800 more.

"We expect to get the great majority of our staff right here," Luderitz said.

[EastSideHBG]

Developer drafts plan for condos along river

Friday, January 05, 2007
BY DAN MILLER
Of The Patriot-News

Susquehanna Real Estate has a leg up in the race for residential condominiums on Front Street in Harrisburg.

City Council last month approved zoning changes -- including revision of a height restriction -- that clear the way for York-based Susquehanna to submit plans for 35 to 40 condos next to the Tracy Mansion at 1829 N. Front St.

The company hopes to submit plans within a few months, said Jack Kay, president of Susquehanna Real Estate. The condos could be finished by mid-2008 if all goes well.

The project, expected to cost $18 million to $20 million, includes restoring the historic mansion to offer fine dining and provide office and commercial space.

Meanwhile, Mary Knackstedt's proposal to tear down three North Front Street mansions to make way for a five-story, 32-unit condo complex remains bogged down. Neighbors had filed objections to a permit that had been issued to Knackstedt, and the state is reviewing those objections.

Lawyers for Knackstedt have appealed the city's rejection of her plans to raze the mansions.

"We're still mushing forward," said William Hoffmeyer, one of Knackstedt's attorneys.

Historic Harrisburg Association, a preservationist group that opposes the Knackstedt plan, is "essentially neutral" on the Tracy Mansion proposal, said David Zwifka, executive director of the association.

The group likes that Susquehanna plans to restore the mansion and improve the vacant lot next door, which now "destroys the rhythm of the streetscape," Zwifka said.

Kay said the vacant lot is part of an area between the mansion and condos that will be turned into an elaborate landscaped plaza, with a sculpture garden, lighting, paths and walks.

"It will become almost like its own little public square," he said.

The association is withholding final judgment on the condos until members can see the development plans and how the project relates to the surrounding buildings and neighborhood.

Susquehanna Real Estate "has a proven record in quality architecture," Zwifka said. "We look forward to their proposals."

Kay said the condominiums will range from 1,200 square feet to 2,000 square feet each. He expects prices to range from mid-$300,000 to about $500,000.

The condo building will include parking for two spaces per unit. Six floors of residential condos are to be built on top of the parking levels.

The asking price for office space will probably be about $14 to $16 per square foot, Kay said.

He has no "legally binding commitments" on any space, and no condo units have been sold. But it's still early.

Last year, Susquehanna Real Estate finished a comparable 21-unit residential condo project in York. The project has some commercial space, and the condos are in the same price range as those Kay wants to build in Harrisburg. But the York project can't boast amenities equal to Tracy Mansion -- there's no river, for one thing.

All 21 York condos have sold, giving Kay confidence that Tracy Mansion will do equally well, if not better.

[danwxman]

Another hotel, only a block from where the new one will be. This one sounds to be right across from the Capitol:

Harrisburg office building to become luxury hotel
Harrisburg Mayor Stephen R. Reed and developer and hotelier Jules Patt are expected to announce this afternoon that the Barto Building at North Third and State streets will be transformed into a $14 million luxury hotel.

The eight-story office tower will undergo a complete rehabilitation to create 88 guest suites, sources say, and three floors will be added to the structure, with the top floor featuring meeting, dining and lounge space.

The hotel will be operated as an independent luxury boutique hotel, with no national chain affiliation or designation, sources say. When completed, the hotel will offer 78,000 square feet of lodging, meeting, dining and related space. It will feature business and fitness centers, and a lavish patio lounge, grill and meeting room will be added to the 11th (top) floor to be constructed. There will be three guest elevators, one an express to the top floor.

The new hotel will be built, owned and operated by Patt, owner of the Patt Organization in Holllidaysburg.

[EastSideHBG]

Here's the whole article. Okay, another hotel, great, but can HBG see some new residential buildings please?!?


City plans second hotel near Capitol

Tuesday, January 09, 2007
BY JERRY L. GLEASON
Of The Patriot-News

Seventeen years after a hotel was last built in Harrisburg, developers have proposed two for the stretch of State Street between the Capitol and the Susquehanna River.

Plans for an 88-suite hotel were unveiled yesterday. They feature a patio lounge, grill and meeting room on the newly constructed eleventh, or top, floor of the Barto Building at North Third and State streets, developer Jules Patt of Hollidaysburg said. He added that the hotel would be geared to the higher-end luxury market.

The $14 million independent hotel would offer concierge and guest services and business and fitness centers catering to an upscale clientele.

The hotel is the second hotel planned for downtown Harrisburg. Last month, City Council approved plans for the $10 million, 183-room Starwood Aloft, which will be built at Second and State streets, a block from the Barto Building.

Patt and Mayor Stephen R. Reed said construction on the Barto Building project will begin as soon as council approves the plans, with the hotel expected to open in summer 2008.

Reed and Patt said there is a market for what both the Starwood Aloft and the new, as yet unnamed hotel at Third and State will offer.

"The market is very much there," Reed said. "We have been turning away business for larger conferences and conventions for years.

"We have a market strength here, not only for the two new hotels in downtown Harrisburg but for an additional two or three hotels. They would complement each other, which is what brings in more businesses."

Joe Massaro, general manager of the Hilton Harrisburg, isn't so sure that assessment is accurate.

"Another downtown hotel is approaching the point of saturation," he said. "You would have to be careful about how you position it to avoid saturating the market."

Dan Miller, a city council member and a critic of the Starwood Aloft project, said last night he had not seen the plans for the latest hotel proposal.

Miller said he had less of a problem with the latest proposal because it deals more with the upgrade of an existing building than with construction of a new one.

The most recent hotel built in Harrisburg was the Hilton Harrisburg in 1990.

The eight-story Barto office building, which is owned by the Pennsylvania AFL-CIO, was built in 1904 and houses offices for the labor organization and other businesses. Reed said the AFL-CIO has agreed to sell the building and move to another location in the city.

The building is in a historic district, which means its facade must be maintained and the city's Historical Architectural Review Board must approve the construction plans, Reed said.

Patt said the interior would undergo reconstruction and three floors would be added, with the top floor featuring meeting, dining and lounge space.

The hotel would have no national chain affiliation or designation.

The hotel would be constructed, owned and operated by Patt, the owner of the Patt Organization in Hollidaysburg, Blair County.

Patt began his development activities in 1972 with neighborhood shopping centers and has built or rehabilitated more than 75 shopping, hotel, residential, office, manufacturing and warehouse projects.

"This is an exciting project that will dramatically enhance Harrisburg's status as a point of destination," Reed said. "The new hotel is geared to the higher-end luxury market and will feature the services and amenities that the more discerning guest has come to expect."

The new hotel would offer contemporary and individually designed furniture, special lighting, wall coverings and large bathrooms. Parking would be available at the city's South Street Parking Garage, less than a block away.

"We are very excited about coming to Harrisburg," Patt said. "Our capital city is well positioned for extensive future growth, thanks to Mayor Reed and the city of Harrisburg, and we think our location is without peer, offering dramatic views of the Capitol on one side and the beautiful waterfront on the other."

Patt said the hotel would create more than 80 full-time and part-time jobs offering full benefits.

[wrightchr]

^ wow...another hotel...this one would be 11 floors, near the capitol. and a condo project that *will not* destroy historic mansions along Front Street. sounds great to me!

Updated NEW Building Count for Harrisburg
13 floor hotel at State/2nd Street (completed 2007-8)
9 floor Commonwealth Judicial Center at the Capitol Complex (2007)
16 floor Harrisburg University center (75mil, 2008)
12 floor South Street Parking Garage (2007)
5 floor massive Capitol View Commerce Center along Cameron Street (TBA)
TBA new federal building/courthouse...which should now be somewhere in the CBD hopefully!
11 floor hotel conversion for Barto Building at North Third and State streets (14mil, 2008)
35 to 40 condos next to the Tracy Mansion at 1829 N. Front St (20mil, 2008)

on another note, i recently tried to access the city's website at http://www.harrisburgpa.gov/ and received this message:

This domain has just been registered for one of our customers!
Domain registration and webhosting at best prices.
does anyone have any idea what is going on? either the site is down for some reason...or the city, with its recent financial crisis, decided not to renew the address. what a shame, if that is the case???

[EastSideHBG]

/\
It was down for a couple of days, and sadly, I had heard the city did not renew for financial reasons so your hunch is probably correct, Chris. :(

Also, Randy King put in his resignation today effective at the end of this month. ..the tangled web of HBG quickly unravels...

[wrightchr]

^ i can't believe they didn't renew it. this is so sad!

[EastSideHBG]

^ i can't believe they didn't renew it. this is so sad!
Well now when you go to the site, it says:

Pardon the interruption.

harrisburgpa.gov is experiencing technical difficulties.

And the banner is back at the top. Who knows? :shrug:

[wrightchr]

hmmm...yeah i just checked it out and your right about the message and banner. maybe they are renewing it! i guess we'll wait and see.

EDIT: I just checked the site this morning and it's back to normal again. I guess the whole things was just a glitch in renewing their address.

[EastSideHBG]

/\
:tup:

And now back to typical stupid f*cking Harrisburg...
:brickwall:

HARRISBURG

Lawsuits snag Aloft hotel project

3 parties grapple over rights to sell Restaurant Row property to developer

Thursday, January 18, 2007
BY JOHN LUCIEW
Of The Patriot-News

Is a project to build a Starwood Aloft hotel on Harrisburg's Restaurant Row losing some altitude?

A dispute over a purchase option on part of the land for the proposed hotel at North Second and State streets has spilled into Dauphin County Court, perhaps threatening the start of construction in July.

"The intent is to kill multimillion-dollar development and job creation in the city of Harrisburg," Mayor Stephen R. Reed said yesterday. "It shall be resisted with vigor."

The disputed land at 417-421 N. Second St. and 201 State St. is owned by John C. Harbilas, a city businessman and property owner.

In December 2004, Harbilas granted a seven-year option to purchase the land to Belco Community Credit Union, according to court records and real estate deeds.

At the time, Belco was considering expanding its headquarters onto the adjacent Harbilas tract.

Since then, however, the company decided to relocate its headquarters outside downtown. Belco then agreed to sell the optioned land, along with its own tract, to hotel developer J. Alex Hartzler for an undisclosed sum.

But when Belco moved to exercise its option in October 2006 and purchase the land from Harbilas at the agreed price of $474,490, Harbilas balked, according to court papers.

Harbilas claimed that Belco's attempt to transfer the option to Hartzler was not permitted under the option agreement. Harbilas responded with counteroffers for the land, first asking for $550,000, then $700,000, saying he had received a better offer.

Belco filed suit in county court seeking to enforce the option at the original price. Harbilas responded with a countersuit against Belco.

Harbilas filed a cross-claim against Hartzler, president of the Harrisburg-based WCI Partners. The suit states that Hartzler wrongly and prematurely announced his claim on the land and spoke to tenants about moving out.

Hartzler, whose $10 million hotel project whisked through Harrisburg's land-development approval process last year, said he remains confident that the dispute will be settled and the 13-story hotel will be built.

"I don't think it affects the project at all," Hartzler said. "I have a contract with Belco, and Belco needs to provide the land. This may all go away."

Lonny J. Maurer, Belco's president and CEO, said yesterday that he believes the company's option for the land is fully enforceable, despite the change in the intended use for the tract.

"The terms and conditions of the option will prevail," he said.

Maurer said he and the company felt that after the headquarters project fell through, the hotel represented a project that would be in the best interests of the city.

"This is great for everyone," he said of the estimated $10 million hotel project. "It will help to build the city; that is the greater good."

Harbilas refused to discuss details of the suit, saying the court papers speak for themselves. He said that far from trying to kill the hotel project, he generally favors the plans, along with most investment downtown. He said he is merely out to resolve a disagreement.

"I am supportive when developers like Alex Hartzler want to invest in the city," he said. "My family and I have been here for about 50 years. At the same time, we have some issues to resolve."

The 138-room Starwood Aloft hotel would include an outdoor pool, street-level retail space, a lounge and a 140-seat restaurant with a sidewalk cafe on State Street.

Starwood, which manages hotel brands including Westin and Sheraton, is rolling out the Aloft brand to target business travelers. Hartzler has billed the project as a perfect fit for Restaurant Row, the city's strip of bars, restaurants and nightclubs along North Second Street.

With all city approvals in place, Hartzler had hoped to begin construction in July, just as soon as work is completed on the adjacent Spring Street parking garage. Under that timetable, the hotel would begin checking in guests by Thanksgiving 2008.

It would be downtown's third major hotel, joining the Hilton Harrisburg and the Crowne Plaza Hotel.

A fourth hotel is planned for the nearby Barto Building at Third and State streets. If approved, that $14 million, 88-room hotel would open in mid-2008, according to developer Jules Patt of Hollidaysburg.

[danwxman]

Major residential redevelopment under way in Harrisburg
Major residential development is under way in what is known as Olde Uptown Harrisburg. Mayor Stephen R. Reed and Harrisburg Developer J. Alex Hartzler, principal and chief executive officer of WCI Partners, today announced that $12.5 million in renovations and new construction began in a 16-block area between Muench and McClay streets, and Second and Third streets, adjacent to the Governor’s residence.

WCI is renovating 66 existing townhouses in the area and 19 three-story townhouses will be added through the “Olde Uptown” project. Renovations are already under way and should be finished by the end of the year. The new homes will be completed next year, Hartzler said.

Some of the existing homes have remained vacant since the 1972 Hurricane Agnes ravaged Harrisburg, Hartzler said. The renovated homes will range in price from $90,000 to $180,000 and the new, all-brick structures will start at $189,000. The new homes will feature a one-car garage and cement parking pad space, Hartzler said. All the homes will resemble large homes built after the turn of the 20th century.

This city has donated 19 vacant lots to the project, and the Pennsylvania Housing Finance Agency has awarded the project a $600,000 grant, Hartzler said. - Eric Veronikis

[klingy04]

Looks like the 2nd street hotel is back ON again. And another planned for Hershey... From Central Penn Business Journal.

Tentative agreement could keep hotel plans on track
Eric Veronikis
Central Penn Business Journal Staff
1/19/2007

Although a final agreement has not been signed, a tentative settlement has been reached between Harrisburg-based development group WCI Partners, Belco Federal Credit Union and Richard C. Harbilas. Harztler plans to develop a 13-story hotel at the corner of North Second and State streets owned by Harbilas and occupied by Belco. In October, Belco exercised a seven-year option to buy 417-421 N. Second St., and 201 State St., from Harbilas. Belco intends to purchase the property and then sell it to WCI. However, a price disagreement ensued, and until today, it seemed as though the matter was going to be settled in Dauphin County Court. According to attorney Steve Gierasch, who is representing WCI Partners. All three sides have reached a tentative agreement and are working to avoid going to court. Gierasch did not disclose terms of the settlement.

----------------

Patt eyes up another Dauphin County hotel
Jessica Bair
Central Penn Business Journal Staff
1/19/2007

Holidaysburg-based Patt Organization submitted plans for a hotel to the Derry Township Zoning Hearing Board Jan. 17, said Edward Small, assistant director of community development for the township.
The hotel, which would include meeting rooms and a restaurant, is set for the current site of the Derry Township municipal complex, Small said. The township is building a new complex at the corner of Hershey Park Drive and Clearwater Road and plans to move there at the end of April.

The hearing was continued until next month. The zoning board requested additional information on how Patt would handle the parking issue and more study information on how the height of the hotel might impact the surrounding neighborhoods, Small said.

Patt announced plans earlier this month for a $14 million renovation that would transform the building at the corner of Third and State streets into a boutique hotel. The organization would not comment on its plans for Derry Township.

[danwxman]

RENEWAL
85 city homes to be renovated or replaced
Saturday, January 20, 2007
BY FORD TURNER
Of The Patriot-News

Solidad Revera was not in the news conference crowd when she first heard of the $12 million uptown development project, but she smiled nonetheless.

Revera, a mother of five, hugged herself on a windswept porch on Susquehanna Street. The news that nearby blighted homes would be renovated or replaced led her to nod toward a condemned row home.

Her son lost his ability to speak clearly when he was 7 years old, she said.

"He got mental retardation from lead poisoning in old houses like that," she said. He was "touching and putting things in his mouth and they figured out that he had high levels of lead in his blood and it gave him mental retardation," she said.

Revera and others in her neighborhood will be affected by the "Olde Uptown" project announced yesterday by Mayor Stephen R. Reed at a news conference at 1908 Green St.

The conference site was a newly renovated home that had been vacant for 35 years.

With the $12.6 million project, 19 homes will be built and 66 others renovated in a rectangular area bounded by Maclay and Muench streets, and North Second and North Third streets. Most of the homes will front Penn, Green and Susquehanna streets, parallel to Second and Third.

The area is a federally designated historic district. It has strips of aging row homes -- brick structures with porches, second-story bay windows and sometimes decoratively shaped "false-front" facades in lieu of third floors.

The neighborhood is "not that bad. But there is a lot of killing," Revera said.

In the 2100 block of Susquehanna Street, Dae'Shaun Auter, 14, was shot to death on Aug. 12, and Tara Layton was killed by gunfire on Oct. 8.

Beth Beene, a registered nurse, has relatives in larger cities and has a different view.

"It's not like some areas of Pittsburgh or Chicago," she said. "Some people say this is the ghetto. I say, 'No, no, no, children, you don't know what the ghetto is all about.'"

Beene lives next to the house where the conference was held. She called the renovation job "stunning and beautiful" and a big improvement.

Reed said the new homes would sell for between $189,000 and about $200,000. Renovated homes would be priced from $90,000 to $180,000, he said.

Such projects can drive up property values and help feed the "very strong market" for middle- and higher-income housing in the city, he said.

Reed and City Councilwoman Patty Kim praised lead developer Alex Hartzler, who also is involved in a $10 million hotel project on Second Street.

Reed called Hartzler, a former online advertising executive, the "man of the hour." Kim said she wanted to support Hartzler "in any way possible."

Outside, a man in a winter jacket plucked a book from streetside trash. He was skeptical of the overhaul plan.

"It is pretty well-designed for upper middle class and middle class," he said. "Some people get 10 or 11 bucks an hour and can't afford a $90,000 home. Where are they going to go? The projects, I guess."

The man didn't give his name, saying "the police might come for me."

"They don't need any more houses around here. They are just going to drive up the prices like the Capitol Heights around the corner," said Mike Jones of North Third and Peffer streets, referring to a nearby renovated neighborhood.

Buying, selling and renovating already appeared to be going on in the neighborhood.

Ben Brought of Middletown was at work inside the stripped-down shell of a brick building at 266 Delaware St., which has been condemned for at least nine years.

His crew from Opportunity Builders placed wood sheets on new floor joists and tore up parts of old laths and plaster on the interior of the brick walls.

A private investment group purchased 10 properties on the same block, he said. Outside the building, a van bore an advertisement for Green Street Properties -- the same entity advertising the home where the news conference was held.

FORD TURNER: 255-8486 or fturner@patriot-news.com

[danwxman]

Penn State plans growth at Harrisburg campus
Saturday, January 20, 2007
BY JAN MURPHY
Of The Patriot-News

STATE COLLEGE - Having first-time visitors to Penn State Harrisburg say the campus looks like it has always been an academic community are words she never tires of hearing, said campus Chancellor Madlyn Hanes.

That tells her the look it had 40 years ago when it was a military base has finally faded and the new look of a residential college campus has taken hold.

Now, the campus has an enrollment goal of 4,500 -- an increase of 700.

"We certainly hope to continue the momentum we've enjoyed thus far," Hanes told university trustees at their board meeting yesterday.

The trustees approved a plan that offers a glimpse at what the Lower Swatara Twp. campus might look like a decade or more from now.

The master plan includes the possible purchase of at least 40 acres of the adjacent Middletown Home property, a continuing care retirement community owned by the Independent Order of Odd Fellows.

It also incorporates the new road being designed that will connect Route 230 to the Capital Business Center, a privately-owned distribution center behind the campus.

This will remove the 500 trucks that daily travel down the campus' entrance road to reach the distribution facility.

Gary Schultz, senior vice president for finance and business/treasurer, assured trustees that the master plan came with no obligation to make it a reality.

"It's not an implementation plan. It does not commit us to build any buildings," he said. "Every building will have to come back to the board for specific approval."

Developing such plans is the way Penn State has been doing business for the past century, he said. It helps to have a 10-year vision for a campus to avoid pre-empting future buildings "by doing something that's not smart."

In recent years, the campus has moved from one that served only juniors, seniors and graduate students to one that also enrolls freshman and sophomores.

This shift has prompted the need for more on-campus housing and new or upgraded facilities, including a food court, tennis complex, library and natatorium.

Over the next 20 years, the campus hopes to construct a Engineering/Lab Building closer to the other academic facilities, a fitness center, more parking, an administration building and more student housing to accommodate up to 775 students.

Further down the road, the campus may build more student housing, recreational facilities and parking on the former Demey School site; add a wellness center; and construct three more academic buildings.

Getting the truck traffic off the campus entranceway is a big first step, Hanes said. Plus, it's good for the community, she said.

Frank Linn Sr., president of the township commissioners, agreed.

"It's all very positive," he said.

JAN MURPHY: 232-0668 or jmurphy@patriot-news.com

[EastSideHBG]

Major residential redevelopment under way in Harrisburg
Major residential development is under way in what is known as Olde Uptown Harrisburg. Mayor Stephen R. Reed and Harrisburg Developer J. Alex Hartzler, principal and chief executive officer of WCI Partners, today announced that $12.5 million in renovations and new construction began in a 16-block area between Muench and McClay streets, and Second and Third streets, adjacent to the Governor’s residence.

WCI is renovating 66 existing townhouses in the area and 19 three-story townhouses will be added through the “Olde Uptown” project. Renovations are already under way and should be finished by the end of the year. The new homes will be completed next year, Hartzler said.

Some of the existing homes have remained vacant since the 1972 Hurricane Agnes ravaged Harrisburg, Hartzler said. The renovated homes will range in price from $90,000 to $180,000 and the new, all-brick structures will start at $189,000. The new homes will feature a one-car garage and cement parking pad space, Hartzler said. All the homes will resemble large homes built after the turn of the 20th century.

This city has donated 19 vacant lots to the project, and the Pennsylvania Housing Finance Agency has awarded the project a $600,000 grant, Hartzler said. - Eric Veronikis
AWESOME news! :tup:

[EastSideHBG]

I hope everything gets figured out and the hotel can be built on schedule...it's a shame that almost every great project in Harrisburg is riddled with issues and controversy...

Here is an article I found quite interesting:


THE GANGS OF HARRISBURG
JUST LIKE FAMILY

Monday, January 22, 2007
BY TOM BOWMAN
Of The Patriot-News

While Harrisburg has its share of violent crime, authorities seldom talk about gang activity.

But in compiling a list of Harrisburg's 13 homicides in 2006, police attributed five of them to street-gang activity.

These aren't gangs as seen on television or movies, law enforcement officials said. For the most part, Harrisburg's gangs are neighborhood-based, a loose gathering of boys or young men who live near one another.

Disturbing, however, is that these loose affiliations of neighbors are joining together more often in crime, officials said. There might be a growing presence from the outside: In at least two of the city homicides attributed to gangs, the victim and suspect weren't from Harrisburg.

The connection between crimes and gang activity is becoming more widely known because of high-profile crimes, Dauphin County District Attorney Edward M. Marsico Jr. said.

"I guess a lot of times [gang information] does come out at trial, especially in drug cases, but the media isn't necessarily covering those day-to-day drug trials," he said.

"And a lot of it is more loosely organized activities, less sophisticated, as opposed to the L.A. gangs, where they are much more organized with markings and colors," Marsico said.

There are at least seven street gangs that sell drugs in Harrisburg, police and probation officers said, five uptown and two in Allison Hill.

Gangs in Harrisburg generally have three to 20 members, ages 12 to 22, said Harrisburg Detective Tim Carter, who investigates gang-related crimes.

"Mostly geographic-based groups involved in drug trafficking," Marsico said of the city's gangs. "A neighborhood group that works together to sell drugs and make money, and as a byproduct of that, they engage in some gun trafficking, some gun violence."

Dauphin County Juvenile Probation Assistant Director Chad Libby said police define a gang as three or more people involved in criminal activities.

"It's not exclusively drug dealing," Libby said. "Largely, that is always the primary focus. But we have seen other kinds of criminal opportunities."

Gangs sell guns for $100 to $200, or even rent guns for a few days, Libby said.

One way gangs get guns is by trading drugs for them, said the Rev. William Jones, pastor and president of Reclaim the Streets Ministries, at 18th and State streets.

"There are stash houses around the city where they stash guns. Sometimes they bury them in open lots," said Jones, who was one of several leaders in Harrisburg's gun buyback program last year.

National gangs sometimes test the drug market in Harrisburg, as in the March 29 fatal shooting of Alfred Pierce in Hall Manor. According to police, Pierce, 35, was a member of the Bloods out of New York, and the man suspected of killing him, who is at large, is a member of the Latin Kings from Allentown.

"Periodically, you have guys from New York coming in and setting up shop selling drugs. We've had that for years," Marsico said. "It's economics. What could sell for $10 in New York could sell for $20 here. Outsiders coming to Harrisburg to sell drugs is not a new problem. That's something we're working on with federal authorities."

But most city gangs are tied to a neighborhood, not a national gang.

That's because the neighborhood -- and the neighborhood gang -- can substitute for family, said Mike Consiglio, the Dauphin County deputy district attorney who prosecutes gang-related crimes.

"People grow up in the neighborhood, the same four-, five-, six-block area. Go to the same schools. Your father or your grandfather, your mom or grandmom are in and out of jail for drugs and violence or whatever," Consiglio said.

"Unfortunately, that's [the way] a lot of these kids will develop. Kids start hanging out within the communities, and they are the ones that become the family," he said. The neighborhood "becomes sort of a gang in and of itself. These people will be loyal to each other, will refuse to snitch on each other."

An example of a home-grown Harrisburg gang was TNU, which stood for They Never Understand, said Kimberly Kelly Sanchez, a former Dauphin County deputy district attorney who prosecuted the gang in 2004 and 2005.

Made up of about a dozen people, ages 10 to 22, TNU sold drugs and controlled the area around 13th and Derry streets from the mid-1990s until about two years ago, Sanchez said.

"I think the whole thing started coming together when there was a shooting involving a young kid. They were playing Russian roulette," Sanchez said of what prompted law enforcement interest. "That's when [federal and local investigators] started piecing the whole gang aspect together."

One of the pieces of evidence prosecutors showed during a trial was a picture of six young Harrisburg men sprawled around a living room, flashing gang signs, showing off their weapons.

When the TNU investigation ended, the combination of local and federal investigators drove the gang out of business. Thirteen people, many of them TNU members, were sentenced in federal court on charges ranging from weapons violations to heroin distribution.

One bright spot in the battle against Harrisburg's gangs has been in the city schools, officials said. After gaining control of the district, Mayor Stephen R. Reed took steps to increase security.

"When the mayor took over the school district almost six years ago, the first thing he did was bring the police back into the schools and to bring the probation officers back into the schools and to increase the schools' security staff substantially," Superintendent Gerald Kohn said.

Kohn said city schools are working closely with the Harrisburg police gang-prevention unit to make sure that gangs do not come into the schools.

"I haven't had a case this year involving a gang of girls, a gang of guys," Carter said. "School security -- they have really done a good job."

[EastSideHBG]

Oh Lord. :rolleyes:

HARRISBURG

Snow funds? Reed warns of problems

Tuesday, January 23, 2007
BY JERRY L. GLEASON
Of The Patriot-News

Before the city has recorded its first snowfall of the winter, Harrisburg Mayor Stephen R. Reed warned that a major snowstorm would bankrupt the city.

The city doesn't have the money or personnel to handle a single storm that would dump a foot or more of snow, Reed said.

"We can respond to a normal snow event, but with a foot of snow or above, you start to get into problems," Reed said during a news conference to announce a building project.

http://www.pennlive.com/news/patriotnews/index.ssf?/base/news/1169523615266200.xml&coll=1

**************

Board OKs addition for hotel

Tuesday, January 23, 2007
BY JOHN LUCIEW
Of The Patriot-News

A $14 million hotel planned for an existing building at Third and State streets has permission to grow.

The Harrisburg Zoning Hearing Board last night approved unanimously a 24-foot, two-story addition that developers say is necessary to remake the Barto building into an 88-room boutique hotel.

The building at 420 N. Third St. -- originally a Masonic temple -- would rise to 145 feet and include two additional floors of rooms, most with large glass panels for sweeping views. There also would be a roof-top bar, hospitality space and open-air deck.

The height limit for the area is 45 feet, but the eight-story building already exceeded that.

Developer Jules Patt of Hollidaysburg, who plans to call the hotel The Cosmopolitan, said the addition is key to both the financial and social success of the hotel. The top level suites and the roof-top bar, deck and hospitality space will take full advantage of views of the Capitol and Susquehanna River, he said.

There also would be a street-level restaurant and bar, with outdoor dining on Third Street across from the Capitol.

Plans for the hotel now go to the City Council for final approval, with construction slated to begin later this year for a planned opening in mid-2008.

So far, the project has drawn none of the scrutiny that greeted last year's proposal to build a $10 million, 13-story Starwood Aloft hotel at Second and State streets.

That 165-foot-tall, 138-room hotel was eventually approved 6-1 by the City Council late last year, and is expected to be under construction by July, with a fall 2008 opening planned.

The two State Street hotels would join the Hilton Harrisburg and the Crowne Plaza Hotel downtown.

[EastSideHBG]

So with all of these new developments, will Uptown be the new hot spot?


Offices, shops to be built uptown

Tuesday, January 23, 2007
BY JERRY L. GLEASON
Of The Patriot-News

The appearance of a weedy, partially vacant block in uptown Harrisburg is about to change.

In a little more than a year, shoppers and office workers are expected to be using a $4.5 million office and retail complex to be built in the midtown stretch of North Sixth Street. Plans for the project were announced yesterday by Vartan Enterprises Inc. and Mayor Stephen R. Reed.

The 36,000-square-foot complex will have four floors, with a restaurant and other shops on the first floor and offices above, Vartan CEO Robert DeSousa said.

"There is a tremendous need for restaurants, retail services and office space in the Northern Gateway area of the city," he said.

DeSousa said the company isn't ready to announce possible tenants for the mixed-use building, tentatively named the 1640 Building because it will be at 1640 N. Sixth St.

"We are currently marketing the building, which will be part of a beautiful rebirth of the area," he said. "This project will bring new life and vitality to the uptown area, and hopefully spur even more private investment and activity in what has long been a seriously blighted and under-utilized area."

The complex will be built on a mostly vacant, half-acre lot bounded by Sixth, Clinton and Hamilton streets. Vartan Enterprises had assembled the building site over the past 25 years by buying small lots. Construction will begin this year, and the complex is expected to open in the spring or summer of 2008.

It is the second multimillion-dollar uptown project unveiled in the past week. On Friday, city officials and developers announced a $12.6 million plan to build 19 houses and renovate 66 others in a rectangular area bounded by Maclay and Muench streets and North Second and North Third streets.

DeSousa said the late John Vartan, founder of Vartan Enterprises, began looking at the potential for uptown growth more than 25 years ago.

"We're investing in the city. We believe in the city, and the city is moving forward and we want to be a part of it," DeSousa said.

Vartan Enterprises will pay to widen Clinton Street from one lane to two lanes, DeSousa said. Widening the street will help mitigate the traffic impact of the project on Fifth Street, he said.

Reed said the complex fits in well with the city's Northern Gateway project, which will be under construction later this year.

The Northern Gateway project includes widening North Seventh Street from two to four lanes from Riley Street to Maclay Street, and converting North Second Street from one-way northbound to two-way traffic. This will divert much of the northbound traffic off Second Street and onto Seventh Street, Reed said.

"The growth we have seen downtown is moving uptown," Reed said.

[klingy04]

Great news for Midtown! :tup:

Patriot News
Mayor to announce new midtown complex
Harrisburg Mayor Stephen R. Reed and representatives of Powers & Associates LLC are to announce plans today for a major new office and retail complex at 1426 N. Third St. in the city.

Joining the mayor at today's announcement at the site will be developers Tom Powers, president and CEO; Doug Neidich, chairman, and John Tierney, chief operating officer. The first floor will provide street-level retail space while the upper floors will offer office space for commercial and retail tenants.

The historically styled four-story project estimated to cost $11 million is to be built on the site of the former Baker Garage at North Third and Reily streets.

The site is across from the former Evangelical Press building, which is being renovated by Powers & Associates to become part of the new Midtown Campus of Harrisburg Area Community College.

Demolition work is expected to begin within two months, with construction of the new building to follow. Completion is expected by summer 2008.

[EastSideHBG]

/\
The rendering:
http://216.250.230.16/whtm/campus_sq._image.jpg

http://www.abc27.com/news/stories/0107/391110.html


Here is an interesting story:

WORMLEYSBURG

Demolition starts for town-house development

Wednesday, January 24, 2007
BY ELLEN LYON
Of The Patriot-News

Demolition began this week on a single-family house and a duplex in the first block of North Front Street in Wormleysburg where a luxury town-house development is planned.

But the status of the $2.5 million project is uncertain.

In March, partners Dean Gekas of Wormleysburg and Scott Kuhn of Philadelphia said the development, which they called Edgewater after Wormleysburg's original name, would contain five four-story homes of about 3,800 square feet each.

Gekas was charged last fall with unlawful taking and theft by deception in a case involving an elderly couple who signed their home over to him. He has denied the charges. He could not be reached yesterday at a phone listing in his name.

Paul Hepler, a vice president at Yingst Homes, is now involved in the project, according to borough officials.

Yesterday, Hepler said the demolition was being done at the request of the borough.

Borough officials had been concerned that the vacant houses presented a fire and vandalism hazard.

No building plans or building permit applications for the project have been submitted to the borough, according to borough Manager Gary Berresford.

[wrightchr]

wow...incredible news with all the new development taking place downtown, midtown, and now uptown. here's the new update on progress:

Updated NEW Building Count for Harrisburg
1.13 floor hotel at State/2nd Street (completed 2007-8)
2.9 floor Commonwealth Judicial Center at the Capitol Complex (2007)
3.16 floor Harrisburg University center (75mil, 2008)
4.12 floor South Street Parking Garage (2007)
5.5 floor massive Capitol View Commerce Center along Cameron Street (TBA)
6.TBA new federal building/courthouse...which should now be somewhere in the CBD hopefully!
7.11 floor hotel conversion for Barto Building at North Third and State streets (14mil, 2008)
8.35 to 40 condos next to the Tracy Mansion at 1829 N. Front St (20mil, 2008)
9.4 floor modern office building/retail first floor at North Third and Reily streets, will be the Midtown Campus of Harrisburg Area Community College (11mil, 2008)
10.4 floor/36,000-square-foot office complex at 1640 N. 6th Street (4.5mil, 2008)

Other Notable Development
1.19 new homes constructed and renovate 66 others in a rectangular area bounded by Maclay and Muench streets and North Second ($12.6mil)