Two weeks left in administration
With two weeks remaining as governor, it appears Ed Rendell has easily topped the $2 billion mark in taxpayer funds distributed through the state’s Redevelopment Assistance Capital Program (RACP).
Since the money all comes through state bond issues, taxpayers will ultimately ante up nearly $3 billion to pay off the debt over the next 22 to 30 years.
RACP funds require a matching amount from project developers, frequently in the form of taxpayer funded bond issues from lower levels of government.
In early December, Mr. Rendell committed to 19 projects in Pittsburgh and Allegheny County for $84 million. At the same time, Warren and Erie counties took in $45 million the governor claimed would leverage $68 million in additional private funding in the state’s northwestern corner.
Closer to Christmas, Mr. Rendell pushed about $100 million into the stockings of businesses and developers in the Philadelphia region, bringing RACP funding to at least $2.11 billion between 2003 and 2010.
The funds committed in December may come under scrutiny from governor-elect Tom Corbett, a Republican. His transition team said Mr. Corbett, facing a $4 to $5 billion operating shortfall this spring, will examine all outstanding projects that have not been “signed, sealed and delivered.”
That could be the reason Mr. Rendell has told all recipients their paperwork must be in the hands of the administration “no later than January 14,” according to The Philadelphia Inquirer. Mr. Corbett will be sworn in as governor on Jan. 18.
A spokesman in Mr. Rendell’s press office said Monday he did not know where the information printed in The Inquirer was obtained and he could not confirm or deny the accuracy of the report.
Oddly, on Dec. 13, the governor’s office issued a press release and Mr. Rendell held a conference call regarding the most recent western Pennsylvania RACP grants.
Some of the more interesting Philadelphia-area RACP funding reported by The Inquirer included:
$10 million to the center city Philadelphia brokerage firm of Janney Montgomery Scott.
$10 million to a Chicago builder to develop a 33-story apartment complex in center city.
$8 million to Fox Chase Cancer Center, on top of $12 million in RACP funding previously received.
$6 million toward a proposed $18 million redevelopment of the Blue Horizon boxing arena in North Philadelphia into a hotel-restaurant complex.
$6 million for construction of the William Way Lesbian, Gay, Bisexual and Transgender Senior Housing Center.
