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Two economic development agencies charged with helping businesses move into the city are themselves being moved out of McKeesport's city hall.

The Mon-Yough Area Industrial Development Authority and the McKeesport Industrial Development Authority have had their lease terminated effective June 30. The agencies shared about 200 square feet on the fifth floor of city hall.

A letter to Dennis Pittman, chairman of MYAID and a board member of MIDA, from city Solicitor J. Jason Elash said that Pittman's presence in the building was damaging the morale of city employees, and the agencies were being asked to leave by Mayor Michael Cherepko.

Pittman, who has been affiliated with the city since the 1980s, was McKeesport's administrator for eight years before being replaced by Cherepko on Jan. 1. MIDA and MYAID received no warnings of any problems prior to the letter, he said.

The agencies have had the office since 2002, when the building was owned by the former Three Rivers Bank.

"It's nothing against the (MIDA and MYAID) board members," said Cherepko, adding that city hall is "at capacity" and there are better uses for the office. "There's plenty of space in town at similar rates," he said. "I want them out June 30. My decision is final."

. . .

During former Mayor Regis McLaughlin's term in office, Pittman and Cherepko, then the city council president, tangled repeatedly. At council meetings this year, Cherepko has accused McLaughlin and Pittman of failing to execute legal documents related to the sewerage authority's early repayment of $24 million in debt to the city.

MIDA and MYAID are being unfairly targeted as a result of Cherepko and Elash's professional and personal disagreements with him, said Pittman, who noted that the city attempted unsuccessfully to block his unemployment and severance pay.

"If this is not a personal issue with me, then I think we deserve to know the reason why our lease is being terminated," Pittman said. Personal disagreements "have nothing to do with these organizations," Pittman said, adding that "the mayor and solicitor may be working at cross-purposes" to the city and council.

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MIDA helps businesses that are moving to McKeesport to obtain low-interest loans, while MYAID plays a similar role, processing loans from the Pennsylvania Industrial Development Authority for McKeesport and surrounding communities.

MIDA's board is appointed by the mayor and approved by city council. It includes Maury Burgwin, executive director of the Mon-Yough Area Chamber of Commerce; city attorney Clifford Johns; former city controller John Knezovich; city councilman A.J. Tedesco Jr.; and Jim Haughey, executive director of the McKeesport Housing Corp. and the Redevelopment Authority of the City of McKeesport.

Burgwin, Johns and Knezovich attended this month's council meeting in a show of support for Pittman.

"You have agencies here that are resources for the mayor and your city," Pittman said. "Why would you want to evict them from the building?"

. . .

Cherepko said he was offended by Pittman's decision to air his complaints publicly and said he didn't want to go into detail about his complaints against Pittman.

"There are major issues," Cherepko said. "My number one priority is my employees. When I came into office, staff morale was at an all-time low."

Cherepko added: "If the (MIDA) board had come to us and talked to me privately, I believe that we could have worked things out."

. . .

Council President Darryl Segina called the decision "disappointing."

"I think there's always room for conciliation, and I think this is a time for it," Segina said. "If there were numerous issues, I wish we had sat down and talked about them."

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