This is a press release issued Monday, Dec. 29, 2003 from the City of Pittsburgh, Mayor Tom Murphy's office:

STATEMENT FROM MAYOR TOM MURPHY ON THE CITY'S DISTRESSED STATUS DESIGNATION

Mayor Tom Murphy issued the following statement upon the City of Pittsburgh's designation as a distressed municipality under Pennsylvania Act 47 of 1987 by the Department of Community and Economic Development:

"Pittsburghers can be relieved that Secretary Yablonsky has taken decisive action on Pittsburgh's petition for distressed status under PA Act 47.

Our immediate responsibility as a City government is to continue to provide essential, quality services to our citizens and stakeholders. With this declaration today, we will have an opportunity to work with the state on a budget plan to protect those services and our citizens.

The achievement of a durable long-term solution to our structural budget deficit is still our goal. To that end we must continue to work for changes in state law to enable City government to allocate the burden of paying for City services fairly among all users of those services.

As we have been saying throughout this process, and as a fifth independent study has now confirmed, the DCED declaration is a decisive determination that this City simply cannot cut its way to solvency. We will continue to work in good faith to develop the modernized tax structure that this City must have to survive and to grow.

I thank Secretary Yablonsky and his Department for their quick action and look forward to working cooperatively with DCED and City Council members to put together an action plan to get this City moving forward again.

This has been a difficult year for Pittsburgh, but things will get better. Today's declaration is a first step on our path back to a healthy and vibrant future for our City."

-- Tom Murphy, Mayor