Harrisburg "likely" to make September 15 bond payment

Reuters News
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Posted: Aug 25, 2011 10:33 AM
Harrisburg "likely" to make September 15 bond payment

NEW YORK (Reuters) - The mayor of Pennsylvania's debt-laden capital of Harrisburg is confident the city will make a $3.3 million general-obligation bond payment in mid-September, her spokesman Robert Philbin said on Thursday.

The funds for the payment would come from a lease agreement with the Harrisburg Parking Authority. A lease extension is currently awaiting approval from the Harrisburg City Council.

"It is likely we will make the bond payment," said Philbin. "We anticipate receiving that payment by the 14th of September and the bond paying will be made on the 15th."

But he added that the bond payment is "contingent upon the lease extension."

"If we do not receive those funds for any reason, we will not be able to make that bond payment on the 15th.

(Reporting by Edith Honan; Editing by James Dalgleish)