The Herald, Sharon, PA Published Wednesday, March 14, 2001

SHENANGO VALLEY

State pledges SVISC support
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Consolidation group asks for cash

By Tom Fontaine
Herald Staff Writer

A state development official told the Shenango Valley Intergovernmental Study Committee Tuesday that Harrisburg recognizes the committee’s efforts and is their "partner in the process."

The committee and its eight subcommittees -- made up of reps from Farrell, Hermitage, Sharon, Sharpsville and Wheatland -- are studying the feasibility of a valley consolidation. According to totals released Friday by the U.S. Census Bureau, 43,783 people live in the Shenango Valley.

"This is a significant undertaking, and this committee has been extremely committed," said Frederick A. Reddig, local government policy manager for the state Department of Community and Economic Development.

The committee met Tuesday at the Hermitage City Building. The committee plans to meet at least once in each of the participating communities. It met last month in Farrell and plans to meet next month in Sharon.

Committee members peppered Reddig with questions about further state funding for the study and -- more importantly to the local reps and their communities -- cash to implement a consolidation.

"We’re looking to fund the study, but the bigger issue, as far as we’re concerned, is that there’s going to be incentive from the state (when it would come time) to consolidate. We’re talking about big money here, not $1,500 or a couple thousand bucks," said committeeman Thomas Lally, a Sharpsville councilman.

"The state has to come with significant dollars," added committeeman James DeCapua, executive director of the Mercer County Regional Council of Governments.

Reddig said that the state DCED will "continue to be a partner with you. I can’t say there will be X dollars on the table, but I can say that we’ll continue to work hand-in-hand with you."

Reddig said that while "there is no existing program specifically designed to fund consolidation and merger efforts," the state DCED is committed to the efforts, citing three recent ones outside northwestern Pennsylvania that it helped get off the ground with "transitional and infrastructure assistance."

DeCapua, who chairs the government structure and legal issues subcommittee, asked if a DCED promise to get a valley consolidation off the ground would hold up after early-2003, when Gov. Tom Ridge’s term ends.

Committeeman William Morocco, mayor of Farrell, said: "Being that our governor is from the western part of the state, some people (in this area) are trying to get a lot of things done fast."

If the committee identifies what it would cost to implement a consolidation and the state makes a contractual commitment to send cash, Reddig said, the money would be there no matter who’s governor. Reddig added that the DCED could help the committee in other ways. It could send state experts to help out at subcommittee meetings, help land more money for the study and "bridge the gap" between the committee and other state departments. The committee plans to ask the state for an additional $40,000 for the study.

Committeeman Robert Jazwinski, chairman of the finance subcommittee, said local groups have committed another $50,000 to the project, including $10,000 for the sewer subcommittee and $40,000 for Pennsylvania Economy League expenses.

DeCapua asked the League’s Alan Kugler, whom the committee hired as a consultant, if the committee could ask the state for more than $40,000 in matching funds, saying committee members’ efforts could be considered in-kind services.

"They have been acceptable (as grant leverage) in the past," he said.


Morocco asks if state can pay city’s debt

"There are four municipalities that don’t have the financial incentive to consolidate that we do," said Farrell Mayor William Morocco, a Shenango Valley Intergovernmental Study Committee member, Tuesday at a committee meeting.

Morocco said that some people who are against a valley consolidation point to Farrell’s debt. Some say that there’s no incentive to consolidate if Farrell’s debt isn’t retired, Morocco said.

As the committee asked officials from the state Department of Community and Economic Development for financial backing, Morocco asked if the state could pay off debt.

"There are constitutional limitations in the commonwealth," answered Frederick A. Reddig, local government policy manager for the DCED.

The state’s constitution says that the state cannot assume a municipality’s debt, Reddig said.

The study committee and its eight subcommittees -- made up of reps from Farrell, Hermitage, Sharon, Sharpsville and Wheatland -- are studying the feasibility of a valley consolidation. According to totals released Friday by the U.S. Census Bureau, 43,783 people live in the Shenango Valley.



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