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‘Growth and some growing pains’: Reading Mayor Eddie Morán highlights accomplishments and acknowledges challenges

  • Gabriela Martínez/WITF
Reading Mayor Eddie Moran delivered his fourth fourth state of the city address Thursday at Reading Area Community College’s Miller Center for the Arts.

 Gabriela Martinez / WITF

Reading Mayor Eddie Moran delivered his fourth fourth state of the city address Thursday at Reading Area Community College’s Miller Center for the Arts.

In his fourth State of the City address, Reading Mayor Eddie Morán said the city is improving financially. His address began with what he sees as one of the biggest accomplishments in 2022– the city’s emergence from state Act 47 financial oversight. For a decade, Reading was categorized as a “financially distressed” municipality.

Morán, who is  Reading’s first Latino and 84th mayor, said the city was able to recover financially through a multi-year financial recovery plan implemented by city employees. He said the city was made full payment to the three employee plans and established an $18 million capital budget without any new borrowing. It also created a detailed and transparent budget to help guide the city finances.

The mayor also said city revenue has increased. He said  the city’s general fund reflected a multimillion dollar surplus. It collected $26 million in earned income taxes, which is nearly 24 percent over budget. Additionally, the city collected $88.9 million in real estate transfer taxes–nearly 62% over budget

“The financial reporting is so encouraging and shows the promising position we are in and will allow us to make significant investments for the city’s future,” Morán said.

Reading City Auditor María Rodríguez said the rise in earned income tax revenue is “a record for the city of Reading.”

“We have a new population that has come to the city of Reading, so that is contributing a lot to the city finances,” said Rodríguez, who added that currently more people are investing in the City of Reading.

At the same time, Morán acknowledged the pandemic has affected the renting housing market and has made it harder for residents to afford rent and utilities–which has led to increased homelessness.

The mayor also expressed commitment to addressing blighted properties in the city, which he said were often the source of crime. To that end, the city plans to strengthen partnerships with organizations such as Neighborhood Housing Services and Habitat for Humanity, which work on repurposing deteriorating buildings.

Reading City Council President Donna Reed said it can be a “conundrum” to deal with blighted property.

“There has to be a much more comprehensive way of dealing with them, and of course, when you’re dealing with blighted properties, there are criteria that designate them as blight. But there’s also private property rights,” Reed said.

He also said “more needs to be done”  to address youth violence in the city, which is why the city awarded $5 million in American Rescue Plan Act funds to nonprofits that help mentor young people. To tackle the complexity of the issues, Morán said, the city needs to provide support for agencies that address “root causes” such as homelessness and addiction, as well as organizations that provide basic necessities like food, shelter and mental health services.

 

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