SCRANTON — The Scranton Parking Authority took actions this week that eventually will bring an end to the agency that years ago had operated the city’s parking system of garages and street-metered spaces.
But a pending debt-restructuring plan involving the outside operators of the parking system would render the redundant authority unnecessary.
The SPA board on Tuesday voted 4-0 — with Chairman Alex Molfetas, John Harrington, Dwayne Heisler and Drew Simpson all in favor — of passing each of four resolutions that will do the following: transfer to city ownership the SPA’s four parking garages, Connell, Casey, Linden (SPA) and Medallion; turn over $155,000 in SPA funds to an entity of the outside operators called Community Development Properties Scranton (CDPS); install solar panels atop the Casey, Linden and Medallion garages; and approve an $8,000 payment for an annual audit.
The refinancing of CDPS bonds and other changes involving the parking system also would lead to SPA dissolving itself — eventually. The authority will remain in existence until a lawsuit involving a different parking garage, named Electric City, that is privately owned but operated under the city parking-system umbrella, gets resolved, SPA Executive Director/Solicitor Todd Johns said during Tuesday’s meeting.
That lawsuit, initially between Lackawanna County and the Electric City parking garage that is owned by a firm of John Basalyga, recently had SPA also brought into the case as a party to the lawsuit, Johns said.
The debt restructuring plan essentially sidelined SPA, which although it owns the four city parking garages, has had little say or control over recent developments that are now bringing an end to the authority.
SPA board members on Tuesday reflected on the latest developments that call for expanding street-metered hours on weekdays and on Saturdays, which currently have free parking.
Molfetas, who owns downtown businesses, expressed opposition at a SPA meeting last month about the plan to charge motorists for parking downtown on Saturdays. On Tuesday, as the SPA board readied to set the stage for its demise, Molfetas read a statement about the situation.
“As chairman of the Scranton Parking Authority, I want to make clear that our role is limited,” Molfetas said. “The authority oversees the garages and off-street parking facilities — we do not control street meters or broader enforcement policies like Saturday paid parking. Those decisions rest with city council and the administration” of Mayor Paige Gebhardt Cognetti.
“That said, I think it’s important to acknowledge the concerns raised by Scranton’s residents and business owners. These aren’t just numbers on a spreadsheet — these are livelihoods, foot traffic, neighborhood dynamics and long-standing trust in public systems,” Molfetas continued. “While the authority does not control or approve these broader proposals, I trust that city council and the administration will take all perspectives into account — and ultimately do what’s right for the stakeholders who are most affected by these decisions. We all want a system that functions well, supports economic growth and respects those it’s meant to serve. The decisions we make today will set the tone for years to come. We owe it to the people of Scranton to get this right — not just for today, but for the decades ahead.”
Meanwhile, at the same time Tuesday night also at City Hall, Scranton City Council was holding a caucus with officials from the administration and the parking-system operators about the debt-restructuring plan. Council members urged the officials to go back to bondholders to try to remove or reduce Saturday hours from the refinancing plan.
Later Tuesday, during council’s regular meeting, council also heard from several owners of downtown businesses, residents and others expressing opposition to extended street-metered hours, particularly on Saturdays.
Council then split 2-2 on a key piece of legislation to amend the parking concession lease agreement from 2016. The 2016 deal largely sidelined SPA by bringing in the outside operators. That concession lease stemmed from a council-induced, financially disastrous default on SPA debt in 2012.
The tie vote Tuesday, with council members Mark McAndrew and Tom Schuster voting no to advance the ordinance, and council President Gerald Smurl and Jessica Rothchild voting yes to pass the ordinance, meant that the ordinance failed, “which means we will be, in theory, putting the city in jeopardy of a default,” council Solicitor Tom Gilbride told council.
Cognetti on Wednesday said officials raised the Saturday hours’ issue with bondholders and the city hopes to get an answer before council’s next meeting this coming Tuesday. On Thursday, she said the city still awaits word from bondholders.