COUNCIL OF THE CITY OF PHILADELPHIA2 COMMITTEE ON LICENSES AND INSPECTIONS3 - - -4 Room 400, City Hall5 Philadelphia, Pennsylvania Wednesday, December 8, 2010, 3:05 p.m.6 - - -7 8 BILL 100749] - An ordinance amending Title 49 of the Philadelphia Code, entitled "The Philadelphia Building Construction and10 Occupancy Code," by amending Subcode "A" (The Philadelphia Administrative Code) and Subcode11 "PM" (The Philadelphia Property Maintenance Code), to require that the owners of12 residential properties that are vacant following foreclosure register, inspect, and13 maintain such properties, and to provide for enforcement and penalties for failure to do14 so, all under certain terms and conditions 15 16 COMMITTEE MEMBERS PRESENT: Maria D. Quiñones-Sanchez, Chair17 Blondell Reynolds Brown Bill Green18 William K. Greenlee Donna Reed Miller19 Anna C. Verna 20 - - - 21 22 23 24 25 2 12.8.10 - L&I - BILL 1007491
Thank2 you. The Committee on Licenses and3 Inspections will begin its public hearing4 with a quorum being established President5 Verna, Councilman Bill Greenlee,6 Councilwoman Blondell Reynolds-Brown, and7 myself.8 We will start with comments9 from the sponsor of the bill.10 Oh, can you read the title of11 the bill. I'm sorry.12
Bill No. 100749, an13 ordinance amending Title 4 of the14 Philadelphia Code, entitled "The15 Philadelphia Building Construction and16 Occupancy Code," by amending Subcode "A"17 (The Philadelphia Administrative Code)18 and SubCode "PM" (The Philadelphia19 Property Maintenance Code), to require20 that the owners of residential properties21 that are vacant following foreclosure22 register, inspect, and maintain such23 properties, and to provide for24 enforcement and penalties for failure to25 3 12.8.10 - L&I - BILL 1007491 do so, all under certain terms and2 conditions.3
Thank4 you.5 The Chair recognizes Councilman6 Bill Greenlee.7
Thank8 you, Madam Chair.9 I think a lot of us know that10 the collapse of the housing market has11 led to an increase in the number of12 foreclosed properties in the City, and13 it's not unusual for these homes to sit14 vacant and unmaintained for many months.15 And as a result, these16 properties have a negative impact on the17 surrounding neighborhood and really on18 the City as a whole. And they19 destabilize neighborhoods leading, to20 blight, and reduce property values for21 the entire neighborhood.22 What this bill does is try to23 put certain enforcements in that will24 push the owners of these properties to25 4 12.8.10 - L&I - BILL 1007491 maintain them in a proper manner. And2 this bill is -- such a bill has already3 been passed and is in operation in4 Chicago; Milwaukee; Washington, D.C;,5 Wilmington, Delaware; and a number of6 other cities.7 And what it basically does is,8 they have to inspect the property within9 15 days. They have to designate a10 property manager if they are not within11 the City of Philadelphia -- if the owner12 is not within the City of Philadelphia.13 And they have to post the property to14 make sure that people know who is the15 responsible property owner, among some16 other regulations.17 The Administration is in18 support of it and, as you will hear. And19 there's a number of communities that have20 come out in support of it.21 So I appreciate the committee's22 support on this measure.23 Thank you, Madam Chair.24
Thank25 5 12.8.10 - L&I - BILL 1007491 you, Councilman Greenlee.2 We will get right to the3 testimony, beginning with the testimony4 of Department of Licenses and5 Inspections, if Otis Haigler will come to6 the witness table.7 Then we have Mr. Craig8 Anderson, Sharon Lozier, and Lorraine9 Brill.10 As Mr. Haigler comes up to the11 witness table, there is written testimony12 by Mr. William Dolbow from the Lawncrest13 Community Association that will be given14 to the stenographer and added for the15 record. Did you want it read in?16
Thank you.24 Good afternoon, Chairwoman25 6 12.8.10 - L&I - BILL 1007491 Sanchez and members of the committee. I2 am Otis Haigler, Jr., Director of3 Legislative Affairs for the Department of4 Licenses and Inspections.5 Today I'm here to provide6 testimony on Bill 100749, which, if7 enacted, will amend sections of the8 Administrative and Property Maintenance9 Codes in order to regulate foreclosed10 vacant properties by requiring the11 lenders of such properties to inspect12 them on a regular basis in order to13 ensure that they are properly maintained.14 In addition, lenders will be15 required to designate a local property16 manager for such properties and provide17 information regarding same to the18 Department, as well as post this19 information on their foreclosed vacant20 properties.21 Finally, Bill 100749 provides22 for the issuance of a $300 code violation23 notice, a CVN, or ticket to the lenders24 who fail to comply with the provisions of25 7 12.8.10 - L&I - BILL 1007491 this bill.2 The Department of Licenses and3 Inspections has no objection to the4 enactment of this bill. As a matter of5 public policy, the Administration shares6 Council's concerns with regard to7 ensuring that all properties are8 maintained in compliance with the9 Philadelphia Code.10 When such is not the case, it11 is beneficial to have proper contact12 information on file and to hold owners13 accountable in order to respond to the14 public's concerns in a timely manner so15 that they do not negatively impact those16 around the community.17 Thank you for the opportunity18 to provide the Department's testimony,19 and I'll be happy to answer any20 questions.21 And also I understand that22 there's going to be an amendment to23 extend the implementation date of the24 bill, and we are in agreement with the25 8 12.8.10 - L&I - BILL 1007491 amendment. And we thank Councilman2 Greenlee for his assistance.3
Thank6 you, Madam Chair. And thank you,7 Mr. Haigler and members of the8 Administration.9 We've worked together on this10 for a while and played with some wording.11 In fact, we actually have one bill12 introduced that turned out wasn't exactly13 what we need, so we had to reintroduce14 another bill.15 And as Mr. Haigler said, after16 consideration, we realized that it has to17 give some notice to implement, so we're18 going to have a 90-day enforcement --19
-- on22 this bill. And I'll introduce that23 amendment at the meeting.24 Thank you, Madam Chair.25 9 12.8.10 - L&I - BILL 1007491
Thank2 you.3 Just for the record, how much4 does it cost the City of Philadelphia to5 clean and seal a property?6
I really don't7 know the answer to that off the top of my8 head. I know it's a considerable amount;9 I just don't have that answer off the top10 of my head.11
It would12 be important for the record. It's about13 a thousand dollars, assuming your14 traditional clean-and-seal. It goes up15 to $1500, depending. But for the most16 part, the average clean-and-seal -- I17 only make note of that because the fine18 is still low in comparison to what it19 would cost us if we would have to20 remediate the situation if banks do not21 comply.22
Well, that's just23 the ticket amount. The code enforcement24 amount could be considerably higher.25 10 12.8.10 - L&I - BILL 1007491
If this matter3 were to go to court, the court could4 impose a fine of up to $2,000.5
Okay.10 Thank you, Mr. Haigler.11 Any questions?12 (No questions.)13
Next is17 mr. Craig Anderson.18 (Witness comes forward.)19
I will20 note for the record that Councilwoman21 Donna Reed Miller is joining us.22 Introduce yourself for the23 record and proceed.24
Yes. My name is25 11 12.8.10 - L&I - BILL 1007491 Craig Anderson. I'm a committeeperson in2 the 17th Ward, 14th Division.3 Sitting next to me is Mr. Earl4 Smith, a neighbor of the community.5 And I'm down here to -- in6 support of the bill. We have numerous7 properties in our neighborhood that are8 abandoned, and we need L&I and the code9 enforcement up in the neighborhoods to10 clean up these properties and sealing up11 abandoned apartment buildings that they12 have just left vacant. And we have to go13 through the neighborhood and clean these14 properties up numerous times.15 And we need your support in16 passing this bill.17
Thank18 you so much for the work that you do in19 the community and coming forward and20 helping us with this issue.21 Does that complete your22 testimony that you...23
Yes. Good24 afternoon. My name is Earl Smith. I25 12 12.8.10 - L&I - BILL 1007491 live at 6000 North 16th Street, and2 there's a vacant home right next door to3 me, at 1602, that's been empty for about4 a year-and-a-half now. And it seems like5 that there was a accident, a automobile6 accident. Somebody ran in the back of7 the garage of the house, and the8 structure has been compromised.9 And L&I has been out there to10 board it up, but the structure itself is11 in imminent danger of possibly12 collapsing. And it's right next to my13 home. And I think something needs to be14 done about it by the owner; he hasn't15 done anything since the accident has16 occurred.17 So that's why I'm here to18 support this bill also.19
Thank20 you, Mr. Smith.21 Any questions of our witnesses?22 (No questions.)23
Thank24 you so much for coming down and25 13 12.8.10 - L&I - BILL 1007491 testifying this afternoon.2 Sharon Lozier, Ward Leader of3 the 61st ward and former colleague.4 (Witness comes forward.),5
I want7 to say congratulations officially.8 Congratulations on being a ward leader.9
Oh, thank you,10 thank you.11 Again, just by way of12 introducing myself, I'm Sharon Williams13 Lozier. I'm the Democratic Ward Leader14 of the 61st Ward, which encompasses East15 Oak Lane, Melrose Garden, and the Olney16 section of Philadelphia. I'm also a17 board member of the 35th District PDAQ,18 so I'm familiar with some of the -- those19 concerns as well.20 I'm the past president and21 current board member of the East Oak Lane22 Community Association, and I also had the23 opportunity to live across the street24 from a house that was foreclosed on. And25 14 12.8.10 - L&I - BILL 1007491 consequently -- it was a large home, it2 had a lot of ground around it. And, you3 know, the grass would always just grow,4 abandoned. We tried to deal with the5 Realtor with respect to that situation,6 and they would be periodically concerned7 about the state of the house, probably8 more when they were about to sell it.9 But that particular house was10 involved in -- you know, the foreclosure11 took longer. So the bank really12 possessed, and the Realtors weren't13 really sure if they would ever really be14 in a position to sell the property. So15 consequently, that even lessened their16 concern about that particular property.17 And, of course, the neighbors18 had to take on mowing the lawn, you know,19 the general trying to keep an eye on it.20 You know, one time, I noticed some animal21 had gotten inside of the house, and the22 neighbors had to, you know, develop some23 kind of method to deal with that.24 And we just never felt as25 15 12.8.10 - L&I - BILL 1007491 though we had anyone that we could turn2 to in that situation. We knew probably3 we could call L&I, and it would be4 violations written up and that kind of5 thing. But, you know, we all know,6 especially in light of the current fiscal7 crisis with the City, that L&I's ability8 to address vacant houses is very limited.9
Again, I represent11 an area of Olney, which is a largely12 working-class area, which is also largely13 affected by foreclosures. And my14 constituents also develop a great deal of15 concern when there's abandoned properties16 'cause that's what it ends up being,17 almost like an abandoned property, which18 at some times there's even been animals19 left in these properties.20 So, I mean, I know this21 particular bill doesn't address that, but22 it just kind of illustrates the kind of23 desperate situation that the people are24 in when they move out and their inability25 16 12.8.10 - L&I - BILL 1007491 to really continue to maintain their2 property.3 I think I'm absolutely in4 support of this legislation. Even my5 experience working in Council, sometimes6 trying to find who the owners of a7 particular properties are, or if you8 could find the owners, to make them9 responsible for a particular piece of10 prompt.11 And to require a bank to have a12 property manager who will be directly13 responsible for the property will go a14 long way in alleviating a lot of these15 problems.16 And not even to mention the17 crime aspect of an abandoned property.18 In fact, one of my committeepeople lived19 on a block where kids would use an20 abandoned property during the day and21 play hooky from school and just be in22 this property, doing things that I'm sure23 they wouldn't get away with in their own24 homes.25 17 12.8.10 - L&I - BILL 1007491
Thank2 you.3 Any questions for this witness?4 (No questions.)5
We thank6 you so much for the work that you did. I7 know that you worked hard on public-8 nuisance issues in Council, and we9 appreciate those years of service and10 that experience that you shared with us.11 So thank you so much.12
Our last14 witness, unless there's someone else15 here, is Miss Lorraine Brill from Upper16 Northwood Community Council.17 (Witness comes forward.)18
I did turn in a19 copy, but I've added a few little20 additions so if you'll just bear with me.21
Not a22 problem. Thank you so much for coming23 this afternoon.24
Okay. I'm Lorraine25 18 12.8.10 - L&I - BILL 1007491 Brill, President of Upper Northwood2 Community Council. Our boundaries3 include the 53rd and the 54th Wards4 encompassing City Council Districts 6th,5 7th, 9th and 10th. The 54th Ward is6 completely within the 6th District, and7 the 53rd ward is split between the 7th,8 9th and the 10th.9 The three districts -- 6, 7,10 and 10 -- are also served by the CLIP11 Program. And I'm not sure if District 912 is or not; I know they have helped us out13 in the past, but I'm not quite sure on14 that.15
Right. Upper21 Northwood Community Council is very22 concerned about properties that are in23 danger of deteriorating such as vacant24 properties, buildings, et cetera. Bill25 19 12.8.10 - L&I - BILL 1007491 100749 would definitely help solve some2 of these problems; and, therefore, we3 support the passage of the bill, as4 amended.5 We also recommend that any6 penalty should be high enough so that the7 responsible party will avoid violations.8 And that's about it.9
Thank10 you so much.11 I know that you worked very12 actively and very diligent in ensuring13 that we can maintain the quality of life14 in your area, and we appreciate your15 service and thank you for coming down and16 testifying. I know that this -- vacant17 properties has been of great concern in18 the lower Northeast, especially with the19 foreclosures.20 So thank you very much.21
Anyone23 else here to testify on this bill?24 (No response.)25 20 12.8.10 - L&I - PUBLIC MEETING1
Seeing2 none, the Committee on L&I will go from3 our public hearing to our public meeting,4 and I am going to ask Councilman Greenlee5 for a motion on the amendment to Bill6 100749.7
Thank8 you, Madam Chair.9 I move the adoption of the10 amendment to Bill 100749.11 (Motion duly seconded.)12
All in13 favor?14 Any oppositions?15 Bill 100749 has been amended.16 I will recognize Councilman17 Greenlee for a motion on the bill, as18 amended.19
Thank20 you, Madam Chair.21 I move that Bill No. 100749, as22 amended, be reported out of this23 committee with a favorable recommendation24 and that the rules of Council be25 21 12.8.10 - L&I - PUBLIC MEETING1 suspended to allow for first reading at2 our next session of Council.3 (Motion duly seconded.)4
All in5 favor?6 Any oppositions?7 Thank you.8 Let the record reflect that9 Councilman Bill Greenlee is with the10 committee and has casted his vote.11
Green,13 I'm sorry. You guys confuse me over14 here.15 That concludes -- so Bill16 100749 has been moved out of committee17 with a favorable recommendation and with18 the rules to be suspended to allow for19 first hearing at our next session.20 That concludes our public21 meeting for today. Thank you all for22 coming out on this nippy day. We23 appreciate it.24 (Proceedings end at 3:21 p.m.)25 22 C E R T I F I C A T E2 I HEREBY CERTIFY that the4 proceedings of the City of Philadelphia5 Council Committee on Licenses and Inspections6 are contained fully and accurately in the7 stenographic notes taken by me on Wednesday,8 December 8, 2010, and that this is a true and9 correct statement of same.10 11 12 13 __________________________________ 14 JOSEPHINE CARDILLO Registered Professional Reporter15 16 17 18 19 20 (The foregoing certification of21 this transcript does not apply to any22 reproduction of the same by any means, unless23 under the direct control and/or supervision of24 the certifying reporter.)25