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More questions are being raised in Harrisburg about Mayor Stephen Reed's plan to lease nine garages and 1200 meters to a private company for a period of 75 years. In exchange, the city would receive a one-time payment of $215-million dollars that would be used to eliminate debt, provide tax rebates to homeowners and hire 10 more police officers.
City Council Vice President Dan Miller isn't so sure about leasing all those meters. "I'm concerned this may be an illegal transaction," Miller told abc27 News Reporter Andy Briggs. Miller contends parking meters are meant to control traffic, not for providing income, which would be the case if a private operator took over. "Supposedly in Pennsylvania there are court cases that state that the revenue generated, or the fees charged, have to be commensurate with the cost of enforcement. So they sort of have to offset each other. They can't be a revenue generating item," said Miller.
Mayor Reed's spokesman disagreed. "If it wasn't legal, we wouldn't be doing it," said spokesman Matt Coulter.
The question is one of many council members have raised since Mayor Reed unveiled his proposal three weeks ago. Council wants to get the answers from independent experts. President Linda Thompson said the process of hiring their own consultants is underway. "I don't think there's a sole person on council who is qualified to dissect such a huge contract such as the leasing of the Harrisburg Parking Authority for 75 years," said Thompson.
Thompson said she has scheduled the first of several public hearings on the Mayor's proposal for June 5th. That's when HPP, the company that won the contract, will lay out the details. It will be Council's first chance to ask some probing questions. "We can have deliberate conversation, deliberate review, deliberate discussion to involve all seven members as well as the community," said Thompson.
Council expects to take months reviewing the lease. Miller said a vote may not come until the end of the year.
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