Harrisburg financial custodian to release debt plan

Harrisburg financial custodian to release debt plan

HARRISBURG, Pa. (AP) — Harrisburg’s state-appointed financial custodian is set to issue his plan to pull the cash-strapped capital out of its economic crisis.

David Unkovic is scheduled to introduce a fiscal recovery plan for the debt-laden city today.

The state Department of Community and Economic Development says Unkovic’s plan to pay off a massive debt from a costly trash incinerator project will be posted online.

The financially struggling city is burdened with $300 million in debt that dwarfs the city’s annual operating budget. The financial problems prompted a battle between the state, the mayor and city council that led to a failed bankruptcy protection bid.

Unkovic is empowered to sell city assets, sign contracts or file for bankruptcy but not raise taxes.