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Monessen study launched to address financial problems

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MONESSEN – A consultant assigned by the state to help stabilize Monessen’s finances launched a local marketing study Tuesday as one way to help the city avoid becoming a financially distressed municipality.

Deborah Grass, owner of Grass Roots Solutions in Pittsburgh, said the meeting was designed to kick off a business district and blight strategy stabilization study to identify potential development sites in the downtown, which is dotted with vacant, deteriorating buildings.

“We look at everything to determine the best practices,” Grass said.

The state Department of Community and Economic Development is partially funding these studies under the state’s early intervention program to correct the city’s budget problems before a financial crisis occurs.

Grass said the actual five-year financial review of the city’s business office was in its early stages and its findings were due to be made public in August.

“This is the last line in the sand to help you help yourselves,” said Michael Foreman, a local government specialist with the DCED, during the meeting in Monessen Municipal Complex.

City Council in February approved the program and teamed with Grass Roots at a time when the city ended 2015 with a more than $700,000 deficit and it was struggling to pay bills and make payroll. At the time, Monessen Mayor Lou Mavrakis estimated the city had a long-term debt of $13.5 million.

Monessen has many challenges as its per capital income is $22,256 a year as compared to Westmoreland County’s, which is more than $28,000 a year, said Jen Hass, a market analyst with Grass Roots. The city also is predicted to have a fraction of the population growth that is expected in the region by 2040.

Hass also said Monessen residents spend $3.9 million a year at businesses that are outside of the city.

One study shows Monessen’s stronger retail businesses are convenience stores, gasoline stations, daily newspapers and grocery stores, she said.

Councilman John Scott Nestor said it was good to see the community come together Tuesday to discuss the city’s problems.

“I have high hopes,” Nestor said, referring to the financial intervention effort. “It’s one step in the right direction.”

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