City to Get Help in Financial Management Transition

Pittsburgh's financial oversight board has hired an accountant to review all of the city’s open accounts. The analysis is in preparation for Pittsburgh joining Allegheny County’s computerized fiscal management system.

The Intergovernmental Cooperation Authority says Pittsburgh-based firm Gleason & Associates will work with city government to smooth the financial transition.

The firm will likely close out several inactive or empty accounts, and ICA Executive Director Henry Sciortino says Gleason may even find some extra money in old projects that went under-budget. The accounts range from those opened in the current administration to funds earmarked decades ago.

Sciortino says the firm will also examine both the capital budget and the operating budget to help the city understand its current standing.

But Sciortino says the real goal of the project is to make sure all of Pittsburgh’s finances are ready for the conversion by the end of the summer.

“In that conversion, we want the city to be able to go through all of its accounts, and then match up with the accounts in a way that they fit into the County system,” says Sciortino.

Gleason & Associates was hired in a $35,000 contract that was paid for by the ICA. Sciortino says the financial review will probably take four to six weeks to finish.

Airport Development as Regional Economic Engine

Planning experts are meeting today and tomorrow with developers and municipalities to identify continued economic development opportunities around Pittsburgh International Airport, which Allegheny County, the Airport Authority and the Allegheny Conference on Community Development hope will result in a master plan for the area, which includes parts of Allegheny, Beaver and Washington Counties.

The catchword in national and international airport development these days is “aerotropolis”—a city built around an airport, according to University of North Carolina Professor John Kasarda. He says Pittsburgh is in the early stages of a decades-long effort to achieve a full-fledged aerotropolis. One challenge is trying to recover the passenger and cargo volume lost when US Airways stopped using Pittsburgh as a hub. Another is getting all the public and private entities to cooperate in a regional effort.

Kasarda says Pittsburgh’s competitive edge lies in low housing costs, the availability of all modes of transportation, and an aviation-oriented labor force and economy.

Howard, Wagner Win Controller Nominations

It will be a manager at PPG versus a Pennsylvania State Representative for Controller of Allegheny County in the November general election.

Chelsa Wagner received the Democratic nomination for County Controller in a three-person race, but her Republican opponent Bob Howard was unopposed in the primary.

Wagner defeated County Real Estate Manager Valerie McDonald Roberts and Rivers Casino executive George Matta by taking 49% of Democratic votes.

Wagner says she thinks it was her stance that a controller should be both fiscal watchdog and policy advocate that gave her an edge over her Democratic competition.

"Being the fiscal watchdog is a baseline, but there's two parts of the equation: that you're finding the inefficiencies in government, but the other side of that is that you're someone who's ready to propose solutions and really work to fix the problems that we're facing," says Wagner.

Wagner has been an Allegheny County Representative since 2007, but says she would like to serve in a County role to focus on local issues. Wagner says she wants to work closely on local transportation funding issues.

The Republican nominee for County Controller is running his campaign on a platform of fiscal efficiency and fewer financial regulations.

PPG manager Bob Howard says he would work to make his office and the county as fiscally resourceful as possible.

“Through performance auditing and benchmarking, comparing what we do with other municipalities and counties, and even private sector companies that are providing those services, I would look for efficiencies and find ways to provide greater and better services to people in the county,” says Howard.

Howard says he disagrees with Wagner's opinion that the Controller should be a policy advocate; rather, he says the job should be only about financial matters.

Allegheny Co. Executive Candidates Forum

The four candidates for Allegheny County Executive debated at a forum held by the African-American Chamber of Commerce last night.

Democrats Rich Fitzgerald and Mark Flaherty bickered the most heatedly, mainly about Flaherty’s plan for Marcellus Shale natural gas extraction in the county. Fitzgerald called Flaherty’s idea a “Republican scheme” that would cost $2 billion, but Flaherty denied that claim and another jab: that he was in league with Republican Governor Tom Corbett.

All candidates were asked about the state of minority businesses in the county. Fitzgerald, a former County Council President, says he has a personal record of supporting minorities and would continue to do so in office. Flaherty, the current County Controller, says he worked to include minority- and women-owned businesses and contractors in his auditing processes.

Former Republican County Councilman Chuck McCullough says an “old boy” political system hinders minority businesses, but he would try to include clauses for minority inclusion in contracts, especially in regard to Marcellus Shale gas drilling.

Republican and Mount Lebanon Commissioner D. Raja says he is a minority business owner, so he understands the challenges therein and would work with local minority leaders to support such businesses.

Fitzgerald says the unpopular county drink tax on poured alcoholic beverages is necessary to fund the Port Authority without raising property taxes, but Flaherty says that it is unfair to the hospitality industry and a statewide solution is needed.

McCullough and Raja both say they support Marcellus Shale development. Raja says the income would help in many areas of county government. McCullough says he wants to drill in the county’s largest gas deposits, beneath several county parks and the Airport.

The primary elections are May 17.

County Exec Candidates Debate

A week and a half before the May 17 primary election, the two Republicans and two Democrats who want to succeed Dan Onorato as Allegheny County Executive square off Friday in a debate sponsored by the League of Women Voters and VisitPittsburgh.
The candidates discussed everything from the drink tax....to property taxes...to Marcellus Shale drilling.
The drink tax was implemented to help the county cover the local match required to receive state funding for the Port Authority of Allegheny County. It was originally set at 10% on poured alcoholic drinks in the county and was then reduced to 7%.
Mark Patrick Flaherty, who is seeking the Democratic nomination for county executive, said he would lower the tax as much as possible but not eliminate it and then look for a statewide solution to transportation funding....
"It failed to solve our problem which is transportation. We've faced massive transportation cuts and the drink tax hasn't cured that."

Flaherty's opponent in the Democratic Primary, Rich Fitzgerald, says the drink tax is needed if the county wants to receive state funding for the Port Authority without raising property taxes....
"We took $28 million which is our local share that we have to provide to the Port Authority to get the (state) money. Mr. Flaherty was controller in 2007. He never said a word about it (the drink tax) being a mistake."

Republican Chuck McCullough says he's dead set against the drink tax...
"I've gone all the way to the (Pennsylvania) Supreme Court to stop the county executive from tying a reduction in the drink tax to an increase in the property tax. It (drink tax) will be gone as I get into office."

McCullough's opponent D. Raja says he would reduce the drink tax as much as possible..
"We have a budget shortfall that this would cause if it was completely eliminated. I would need to understand the impact of that before determining if that's a feasible solution."

The candidates meet in another forum hosted by the African American Chamber of Commerce Monday afternoon.

Allegheny County Finishes Study on GPS Technology and Sex Offenders

Last year, the Allegheny County District Attorney's Office got funding to study the effectiveness of using GPS technology to track sex offenders. After the six-eight month study, Stephen Zappala, Allegheny County District Attorney called the study a success and spoke of plans to move forward with plans to permanently place GPS bracelets on offenders.

In the study 45 men had the GPS placed on them. There were two incidences, one man who immediately cut the bracelet and ran, another man who was found hanging around children at The Century III Mall. The others did not cause any problems said Zappala.

The study was carried out by Red Five Security, based in Alexandria, Virginia. A third group was brought in to watch the moves of those under surveillance and ensure that they did not go into areas where they were prohibited to go such as schools or senior centers, based on what their offenses had been.

Sex offenders will be targeted first, then violent offenders then deadbeat dads. "Judges routinely release deadbeat dads from prison because they have made a promise to the court to the families who released them that they are going to support their families, support their children. Routinely we are seeing that they do not do that," said Zappala, "If your not at your place of work for that period that your supposed to be there then we'll put you back in jail and take somebody else thats worth taking a chance on that's going to take care of their obligations to their family."

Red Five Security said they will release the final report to the District Attorney's office in the next 30 days. Kris Coleman, President of the group called it "successful," and told reporters at a press conference on Wednesday that it is up to the county to ensure vigilance of the offenders after they are outfitted with the bracelets.

There are more than 1100 registered sex offenders in Allegheny County. Zappala said the bracelets would not be a violation of their civil liberties because of the nature of the crimes committed.

Steelworkers and Rich Fitzgerald Join Forces

At Steelworker headquarters this morning, union head Leo Gerard reiterated support for Rich Fitzgerald as the Democratic nominee for Allegheny County Executive, saying he would continue the work Dan Onorato has done to keep taxes down and support for working families high.

Fitzgerald’s opponent Mark Patrick Flaherty has proposed a public-private partnership between the county and companies drilling for natural gas on county land, which would use $4 billion of county assets to secure a higher yield than typical fees and royalties.

Fitzgerald calls the idea a “Republican” subsidy that could be lost if wells come up empty or the price of gas makes drilling unprofitable. As a drilling partner, Fitzgerald says the county would be liable in case of accident or death, and all of these risks would jeopardize the county’s bond rating.

He also questions whether the county could fulfill its role in protecting public health and the environment if it were a drilling partner.

The proper role of government vis-a-vis the natural gas resource, according to Fitzgerald, is to maximize the public benefit through an extraction tax and making sure the industry compensates for the cost of their operations. He says most companies know that would be fair. If done right, he says there will be many jobs created and no need to risk taxpayer funds.

Fitzgerald says the county added 24,000 private sector jobs last year, and the unemployment rate is 2-1/2% below the national average and has been for 38 straight months--the longest stretch since the 1930s.

Leo Gerard says Rich Fitzgerald was an easy choice for the Steelworkers’ endorsement because as president of County Council, he was current County Executive Dan Onorato’s right hand man. Gerard says he wishes Dan Onorato were governor. What's needed at the end of this worst recession since the Depression, according to Gerard, are jobs--not subsidies to an industry already rolling in money

County Executive Candidate Presents Plan for More Transparency

Rich Fitzgerald, former Allegheny County Council President and candidate for County Executive, presented his plan for an "Online Checkbook" that would allow the public to monitor expenses in county departments. The website would display what checks the county has issued, the amount of the payments, and who received them.

Fitzgerald says that this is a proactive measure to create transparency. "People today with tax dollars want to know that their tax dollars are being spent wisely. We have to account for every single dollar that we spend...but this is a way for the public to easily track the dollars without having to trapse downtown and go into the courthouse and go through the records."

Rich Fitzgerald says that this is something he believes he can do as policy if he is elected County Executive, but also would not be bothered if County Council approval is needed. He says Council has a track record of creating transparency and streamlining government, and they showed that by streamlining 9-11 services, reducing council staff and not increasing property taxes.

County Finances Analyzed

Allegheny County Controller Mark Patrick Flaherty released the 2010 County Financial Plan on Tuesday. The plan details the county;s financial condition for the year ending on December 31, 2010 and has financial predictions for 2011.

The report says the county's operating fund expenditures grew by 15 million last year mostly due to debt service, personnel costs and more money to subsidize child welfare services. He said he had a three part plan for correcting the county's budget problems 1- Being more realistic in making revenue projections 2- expenditures should match actual revenues and 3- cost controls have to be strictly enforced throughout the year to keep expenses in line with the approved budget.

Flaherty, who is running for county executive says county officials have been mortgaging the future by using capital funds and one-time revenue sources to pay for current expenses.

He says the county has been using capital reimbursements to pay for items and that it is not a sustainable way to make ends meet.

Allegheny: 42nd Healthiest County in PA

What's billed as the most comprehensive report of its kind ranks the overall health of nearly every county in all 50 states. The second annual "County Health Rankings" report from the University of Wisconsin Population Health Institute and the Robert Wood Johnson Foundation is intended to give communities a roadmap to improve health.
The report looks at health outcomes: the rate of people dying before age 75; the percent of people who report being in fair or poor health; the number of days people report being in poor physical or mental health; and, the rate of low-birthweight babies.
The rankings also look at 4 categories of factors that impact health: health behavior (including smoking, drinking, teen birth rates), clinical care (including uninsured adults, primary care providers and diabetic screening) , social and economic factors (including unemployment, children in poverty, crime rate) and physical environment (air pollution and access to recreational facilities).

In Pennsylvania, Union County has the healthiest residents and Philadelphia is the least healthy county in the state. Allegheny County is 42nd among the 67 counties, an improvement from the 2010 report when it ranked 48th.
Bridget Booske is a senior scientist with the institute and deputy director of the County Health Rankings project...."When I look at Allegheny County, there's a high percentage of low-birthweight babies (8.6% compared to the national benchmark of 6%) than elsewhere. Other factors, like smoking and obesity, Allegheny is pretty much running about average, but average in Pennsylvania doesn't necessarily mean there's not a whole lot of improvement that can take place there."

Booske says that set a national benchmark of a 90th percentile where only 10% of the counties had healthier numbers in those categories because they believe improvement to reach that top 10% "is attainable."

Allegheny County exceeds the national benchmark in the category of health coverage with 11% of uninsured adults compared to the national figure of 13%.
Booske says it's not unusual to have neighboring counties with wide-ranging rankings. While Allegheny County is number 42, Fayette is 63rd, Greene-65th and Cambria is 64th; while Butler is number 11, Indiana is 17 and Westmoreland is 20th...
"Where we live, learn, work and play does really matter across the state."

Booske adds that improvements can be made through policy, through community programs and in individual homes..."Health is everyone's business. There is something we each can do. It's good for all of us to live in healthier economies. It's good for the economy to be healthy."

U.S. Census Reports Pittsburgh Population Decrease

While Pennsylvania's population remains the 6th highest in the union with 12,702,379 residents, southwest Pennsylvania's population faces decline. According to the 2010 Census results Allegheny County experienced a 4.6% population loss counting for 58,318 people, while Pittsburgh's population dropped to 305,704 from 334,563.

Chris Briem, Regional Economist at Pitt's University Center for Social and Urban Research, says that the declining population is fallout from families migrating after a lot of industry left the region. "The job loss here, the loss of heavy industry here, was about as extreme as you would find even by Rust Belt standards. So I think a lot of those long term demographic trends are impacting us more than elsewhere."

Briem says that once families left the region they took away some of the opportunity for the population to grow and left behind an older population that is less likely to have children.

Other Pennsylvania regions fared better than the Pittsburgh region with the entire state gaining 421,325 people and Philadelphia County acquiring an additional 8,456 people.

Legislation to Ban the "R" Word

Two state lawmakers this week introduced identical bills in the House and Senate that would remove the term "mentally retarded" from Pennsylvania laws. Legislation authored by Representative Jake Wheatley of Pittsburgh and Senator Andy Dinniman of Chester County would redefine the term "mental retardation as "intellectual disability" in state laws.

"The point is this: words do matter," said Dinniman. "They carry weight and they carry power. It's time that we abandon the use of this archaic and derisive terminology in favor of language that is inclusive and accepted by the physical, intellectual and developmental disabilities community."

Allegheny County changed the name of its Office of Mental Retardation last July to the Office of Intellectual Disability. Don Clark is the deputy director of that office and says nationally the terminology began to change in 2007. Clark says it's more than a matter of perception..."But also describing better that these are people with strengths and can contribute to their community. Many are out holding down jobs, living independently in the community. Some need additional support but many are contributing to their society."

Clark said they support this legislation because language is very powerful..."The words mentally retarded and retarded have some very negative connotations." He says by changing the terminology "it's hoped that this language will allow people to look at people individually and view them through their strengths."

Wheatley's bill has been sent to the House Judiciary Committee and Dinniman's to the Senate Public Health and Welfare Committee.

City Council Calls Meeting on City/County Financial Management

Six Pittsburgh City Council members have sponsored legislation that would direct the city to join Allegheny County's comprehensive financial management system--a move favored by state overseers, the county, the city controller—everybody except the mayor. There will be a public, televised meeting attended by all the parties tomorrow at 1:30.

Councilman Bill Peduto says work has been going on for five years to improve the city's current, antiquated system, and the mayor’s preference for a cheaper system with the Pittsburgh Water and Sewer Authority is "crazy" because nowhere in the country is a water and sewer authority in charge of the finances of a city.

The nine million dollar cost to join the county is what a modern system costs, according to Peduto, and will enable savings in such areas as the cutting of payroll checks, which now cost $1.5 million a year to outsource.

Peduto says City Council has the votes to override a mayoral veto.

A Candidates' Guide to Allegheny County

Allegheny Institute, the conservative Mt. Lebanon based think tank, has released a candidates' guide to issues facing the county. Democratic County Executive Dan Onorato recently announced that he would not seek a third term and since then a number of contenders announced or indicated that they will run for the office. AI Senior Policy Analyst Eric Montarti says the guide touches on the Institute's perspective on a range of issues, from funding the Port Authority, to revisiting the home charter rule, to the best use of Pittsburgh International airport and property reassessment. He says "our guide would be somewhere where a prospective candidate could look at, think about some of the issues -- maybe think about an issue a little bit differently than they may have and then hopefully go for some plan of action from there." On the democratic side County Controller Mark Patrick Flaherty and County Council President Rich Fitzgerald have joined the race for County Executive. On the conservative end, Tea Party activist Patti Weaver and County Councilman Chuck McCullough formally announced their candidacy last week, businessman and Mt. Lebanon Commissioner D. Raja stepped into the race yesterday. A Candidates' Guide to Crucial Issues Facing Allegheny County can be found at alleghenyinstitute.org.

Full Leaves for PEMA

Allegheny County's Emergency Management Chief is resigning to take a state job. Bob Full has been named as Chief Deputy Director of the Pennsylvania Emergency Management Agency in Harrisburg. PEMA's new director is Glenn Cannon who is the former head of the Pittsburgh Public Safety Department and former Allegheny County Manager.
Full worked for 23 years in the city's Public Safety Department before becoming the county's emergency services chief in 1998..
Council President Rich Fitzgerald thanked Full for his work...... "I have appreciated his expertise in emergency response, which he acquired from over 30 years as a firefighter and over 20 years as a public safety professional. Because of him, the County rebounded from many emergencies and improved the infrastructure of our emergency response protocols. He helped make the County a safer place, and I am glad he’ll share his knowledge and inimitable experiences at the state level."

Council Member Jim Burn said Full's skills within the field are unmatched...."His resume is replete with evidence of his capabilities and the esteem of his peers: thirty-plus years of experience as a volunteer firefighter, 23 years of experience with the Pittsburgh Department of Public Safety, tenure as a former President of the PA State Association of Hazardous Material Technicians, Chairmanship of the Regional All Government Joint Terrorism Task Force, and innumerable other achievements speak volumes about his dedication to protecting the public’s safety."

County Executive Dan Onorato says he will appoint an interim Emergency Services Chief while a search for a permanent replacement is conducted.

Tea Party Head Announces County Exec. Bid

Local tea party organizer Patti Weaver has officially thrown her hat into the ring, the first of several Republicans expected to vie for the Allegheny County Executive’s office.

Weaver, a Harvard M.B.A., says her first priority would be to create jobs. She says she’d do this by making a better environment for business, including a possible change in the tax code and the “responsible development” of natural gas resources on County land.

The Fox Chapel native says she also wants to reduce County spending.

“Under Dan Onorato’s administration, the County is operated at a loss, the pension funding at 58%. He’s tarnished our credit rating, he’s taken on debt of $20 million, and he’s increased our taxes by initiating the drink tax,” says Weaver. “We could easily cut our spending by 10%.”

Weaver created the local tea party movement last year and has led it since then, but she’s quoted by the Pittsburgh Tribune-Review as saying she’ll step down now that she’s a candidate.

Weaver also has the support of Allegheny County Republican Chairman Jim Roddey, a former County Executive.

In addition to Weaver, County Councilmen Chuck McCullough and Matt Drozd are expected to enter the Republican primary race, along with Mt. Lebanon commissioner and businessman D. Raja.

Reassessment on Time Despite Controversy

Officials say the Allegheny County property reassessment is on schedule and should be finished by January of 2012.

Despite County Council’s efforts to block the property reassessment, the process itself remains timely. That’s according to County Director of Administration Tim Johnson, who says his group is almost finished collecting data from the county’s 570,000 properties – which is the bulk of the work.

"The next phase, we're looking at more of the modeling of neighborhoods and cost calibration and valuing land and whatnot, and much of that is research-based and moves much more quickly."

The “data collection phase” began early in 2010 and figures to be finished in the next few months. Johnson says the County should be releasing preliminary property values by July. After a review process, final property values are scheduled for release next January.

Members of County Council have asked Governor Tom Corbett and the legislature to stop the reassessment, saying it’s unfair to single out Allegheny County when other counties use old data.

Rich Fitzgerald to run for County Executive

Allegheny County Council President and Squirrel Hill resident Rich Fitzgerald announced his candidacy for the Democratic nomination for County Executive this morning in the courtyard of the Allegheny County Courthouse, joining County Controller Mark Patrick Flaherty, who announced earlier this month .

Fitzgerald has already lined up a lot of endorsements, including Congressman Mike Doyle, who emceed the event and says Fitzgerald has shown tremendous ability to work with others to accomplish good things for the region.

Other support came from members of the the state house and senate, city and county councils, labor unions, and more than 50 Democratic precinct chairmen.

Fitzgerald says Western Pennsylvania will be the energy capital of the world and he, a mechanical engineer, will make jobs a priority, along with responsible development of resources like the Marcellus Shale.

Fitzgerald will resign from County Council in a matter of weeks. This will be his first county-wide candidacy.

Leaders Discuss Energy Saving Strategies

Allegheny County officials wrap up 2 days of meetings today at the National Energy Efficiency Forum in Los Angeles. The event is sponsored by the National Association of Counties.
County Executive Dan Onorato and Sustainability Manager Jeaneen Zappa joined other county leaders from across the nation to discuss energy efficiency and renewable energy as well as strategies for energy management.
Zappa says they discussed how Allegheny County used an $8.1 million federal grant.....
"We've evaluated our buildings and split it into 2 phases and now were implementing energy efficiency measures and water saving measures at the jail and the Kane Regional facilities (nursing homes). We'll move into other buildings in phase 2 as soon as we get that approved."

Zappa says they set aside $2.1 million to help all communities in Allegheny County to conduct an energy audit of their primary municipal building and 104 of them took the county up on its offer. She said people were excited that the county used some of the grant for its own buildings and a portion to help the region.

Zappa says she's heard a lot of innovative ideas. She says the county hopes to create a fund to help retrofit homes and commercial buildings to save energy.

In phase 1 of the retrofits at the jail and the Kane facilities, they anticipate an annual savings of $2 million in energy costs. Zappa says if those savings are not realized, the contract will owe the county money. She says the whole project will be paid back through savings in a little more than 6 and a half years.

State Senator Introduces Legislation to Lower Drink Tax

The drink tax in Allegheny County might be lowered if legislation by State Senator Jim Ferlo (D-Allegheny County) passes. Ferlo is planning on introducing a bill aimed at lowering the drink tax permitted from the current 7 to a maximum 5 percent. His plan will also include the City of Pittsburgh and Allegheny County dividing the revenue of the tax.

Ferlo says that the tax is important because taverns and bar make up a large proportion of the local economy in the county. "I think a lot of folks, even those who live outside the city, will see the revitalization of some of our neighborhood business corridors. And a lot of that rests on the viability of taverns and restaurants. They're a mainstay in community redevelopment and main street implementation and preservation of historic structures on neighborhood levels."

Funds collected by the County under the plan would continue to go towards transportation. While revenue collected by the city would go to a trust fund for police , fire and public safety protection. The legislation would continue to entrust the county Treasurer with collection.