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Minutes

Committee Hearing, November 13, 2000

Philadelphia City Council Committee HearingsNov 13, 2000

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  • Jeffery Young Jr.

00001 COUNCIL OF THE CITY OF PHILADELPHIA PUBLIC HEARING BEFORE COUNCIL COMMITTEE ON RULES - - - Room 400, City Hall Philadelphia, Pennsylvania Monday, November 13, 2000 10:34 a.m. - - - BILL 000543 - Amending Section 17-104 of the Philadelphia Code, entitled "Prerequisites to the Execution of City Contracts," to add a new subsection requiring businesses receiving financial assistance from the City and City-related agencies to contribute to a fund for Philadelphia's children, the proceeds from which shall be made available to pay for new and expanded program initiatives for Philadelphia children, all under certain terms and conditions. PRESENT: COUNCIL PRESIDENT ANNA C. VERNA, Chair COUNCILMAN JAMES F. KENNEY, Vice Chair COUNCILWOMAN BLONDELL REYNOLDS BROWN COUNCILMAN DARRELL L. CLARKE COUNCILMAN FRANK DICICCO COUNCILMAN MICHAEL A. NUTTER COUNCILWOMAN MARIAN B. TASCO - - - VINCENT VARALLO ASSOCIATES, INC. Registered Professional Reporters Eleven Penn Center, Suite 600 Philadelphia, PA 19103 (215) 561-2220 00002 I N D E X Carol Reckling, Executive Director . . . . . 4 Child First Authority, Baltimore, MD 5 Margaret Brodkin, Executive Director . . . . 14 Coleman Advocates for Children, San Francisco, CA 6 Shelly Yanoff, PCCY. . . . . . . . . . . . . 32 7 Janice Davis, Philadelphia Dir. Of Finance 83 8 Captain Joseph Mooney, Police Department . . 103 9 Dr. C. Oakman, Center for Youth Development 105 10 Veronica Elias, Roxborough YWCA. . . . . . . 114 Blondell Oates, Nicetown Boys and Girls Club 124 Rev. Mary Laney, St. Gabriel's Church. . . . 129 Mary Veitz, Hope Day Care Nursery. . . . . . 135 Reverend Vincent Coles, Mount Carmel Church 140 Samuel Hodge, Volunteer Crossing Guard . . . 145 William Cotts, Retired Methodist Minister. . 148 Wanda Miale, Congreso de Latinos Unidos. . . 157 00003 P R O C E E D I N G S

Council President Verna

Good morning, everyone. This is a public hearing of the Committee of the Whole -- I'm sorry, of the Rules -- regarding Bill No. 000546. Would Mr. Mezzaroba please read the title of the bill.

Mr. Mezzaroba

Bill No. 543, amending Section 17-104 of the Philadelphia Code, entitled "Prerequisites to the Execution of City Contracts," to add a new subsection requiring businesses receiving financial assistance from the City and City-related agencies to contribute to a fund for Philadelphia's children, the proceeds from which shall be made available to pay for new and expanded program initiatives for Philadelphia children, all under certain terms and conditions.

Council President Verna

The Chair recognizes Councilwoman Tasco.

Councilwoman Tasco

Thank you, Madam President. I am pleased to introduce Bill No. 25 543 to establish a children's fund with 00004 resources from contributions from businesses which receive financial assistance from the City. Children's funds are not uncommon. We're familiar with the Children's Defense Fund, the United Nations Children's Fund, and my intent with this bill is to devise a means of addressing the lack of funding for children's activities, their issues, and their solutions. Children are actually a part of our economic development strategy. Their education their well-being, and their safety each contributes towards the growth and expansion of our city as they enter the workforce and become taxpayers and consumers. Combining our resources to aid our children and to present opportunities for business assistance seems a natural step toward achieving our goals. The goals are specifically to support after-school care and summer children and youth programs. Also included will be measures to encourage the development of high-quality day care facilities. Next, we want high-quality 00005 mentoring and tutorial programs. Until our schools have reached the level of excellence that we desire, we must use all of the supplementary methods that we can to raise their sights and their accomplishments. Today, we will hear about programs from other cities which have been successful in developing a children's fund based on linkage with economic development plans. After hearing from the City representatives, we will hear from advocates and program coordinators who will document the need and offer support for such fund development. We thank you for those individuals who are here to testify, and as we try to bring this to a consensus, we hope we are successful. Thank you very much.

Councilman Kenney

Thank you very much, Councilwoman. It's my understanding that we have four immediate panels that we're going to take. The first panel, represented from cities employing linkage, is Margaret Brodkin, Carol Reckling, and Shelly Yanoff. If you could 00006 please take a seat at the witness table, and you can proceed in the order that you desire, after identifying yourself for the record. (Witnesses come forward.)

Councilman Kenney

Prior to the formal testimony, the Chair recognizes Councilmember Reynolds Brown for additional comments.

Councilwoman Brown

Thank you, Mr. Chairman. I simply want to speak absolutely, positively in favor of this bill, and I have prepared comments that I'd like to put on the record.

Councilman Kenney

Please proceed.

Councilwoman Brown

Thank you, Council President Verna, Councilman Kenney, and all of the members of this committee, for allowing me to say a few words on behalf of Bill 543. Although I am not a member of this committee, I felt absolutely compelled to come to the chambers because of my strong feelings regarding this bill. Let me begin by saying that I recognize the role of the City as it pertains 00007 to helping businesses and developers with financial assistance. If we are to retain jobs and create jobs for the citizens of our city, Philadelphia needs to do what it can to make sure that quality jobs are here. -- by "here," I mean within the City limits -- because if we do not do what we can do, those jobs will be in another county, oftentimes in another state. Grants, TIFs, tax abatements are all important tools to get the job done, and I am learning that they're usually necessary to get the job done. I will continue to support these measures whenever it is the right thing to do for the City, its residents, and the School District. However, I must admit that I struggle over these issues when they come before City Council. I struggle because I'm still relatively new and the nuances of the City's assistance to businesses are complex. This bill, introduced by Councilwoman Marian Tasco, and one which I proudly cosponsored, will go a long way to ensuring in my mind that providing financial assistance to businesses is indeed the right thing to do. I 00008 think we all understand that for this city to survive, we need jobs, but I also believe there is something else that we can do as well: we need an increase in sage and stimulating and educational opportunities for the children and youth of our city. Without these opportunities, families have one more reason to leave. Without these opportunities, our young people are given a diminished chance to succeed. The dollar amounts that will be required to be attributed to the youth fund are minuscule within the context of the amount of assistance that businesses are to receive; yet, they would make a large difference in improving the lives of children and youth of this city. Much like our excellent 1 percent for public art whenever there is new construction, I believe that a percent contribution to the youth fund whenever there is a large piece of financial assistance from the City is a reasonable request. This bill is a win-win bill. It will give additional reason for families to stay, it 00009 will improve the quality of life for our children, it will improve the quality of life of the workforce in the area so that businesses who are receiving a large subsidy will also have a stronger pool of workers to choose from. This bill is pro-family, this bill is pro-child, this bill is pro-business, this bill 9 is pro-Philadelphia. I urge you, my colleagues, to vote Bill 543 favorably out of committee so that before we recess for the holidays, we can be assured that by early 2001, we have a mechanism in place that will improve the quality of life for those of us who live in our city, but most importantly, for the most vulnerable among us, our children and youth. Thank you very, very much.

Councilman Kenney

Thank you very much for your comments. The Chair now recognizes Miss Brodkin, Reckling, and Yanoff. Please proceed in your own order but please identify yourself for the record prior to your testimony. Thank you. 00010

Ms. Reckling

Good morning.

Councilman Kenney

Good morning.

Ms. Reckling

It's a pleasure to be with you. My name is Carol Reckling, I'm the Executive Director of Child First Authority in Baltimore, Maryland. Child First Authority funds and helps to organize after-school programs in Baltimore City public schools. We were founded in 1996 and established by the organization BUILD, Baltimorians United in Leadership Development. BUILD is a church-based community organization that is affiliated with the Industrial Areas Foundation, and our sister organization in Philadelphia is PIA, which also organizes as a faith-based organization. I need to tell you that I was very interested 'cause this morning in the taxi, there was mention of a new stadium. I presume that you all are trying to figure out where to build. At the time that Child First Authority was established, it came in the midst of a citywide election, and at that time, BUILD had engaged its members in looking for some 00011 fairness in terms of the spending of public dollars for private enterprise, and looked at it similarly as you are. One of the things that we found for the citywide agenda, as we were preparing for the election, that one concern that was shared throughout our community, no matter which districts we went in, was that there were meaningful activities for young people and that they be funded, because this came about at a time when the city budget was declining, the tax base was declining, and at the same time, two new stadia were being built, and those stadia had, through the Maryland Stadium Authority, had an incredible support network in the business community. We decided that we needed the same kind of champion for children in Baltimore with the same kind of effort. And if we could create an authority that could receive a source of dedicated funding, then we could sustain children's programming in Baltimore City. And so the organized Child First Authority, which was supported by our state legislature and then 00012 by the City Council, through an ordinance which created our organization. In the four years that we've existed, we have funded programs in public schools and we give a grant to each 6 of the sites of $80,000 per year for the school 7 year to operate their after-school program. 8 But that's not all, because having 9 that infrastructure built has enabled us to 10 leverage other resources for our after-school 11 programs, including commitments from -- and partnerships with the Maryland Institute College of Art, who also received a grant of $500,000 from the (unintelligible) Reader's Digest Fund. This enables them to bring art students and art instructors into our program. We worked with the Maryland Historical Society, the Baltimore Museum of Art, all of whom enjoy working through our program because they don't have to create something new. So if you think about what your effort can do for you, you also want to bring in your other cultural institutions. When Child First was established, we received the proceeds from the City public golf 00013 courses, their profits. In recent -- and after the second year, the City, I don't want to say privatized the golf courses, and so now we're looking to attach a $3 -- increase the greens fee in Baltimore City by $3 and have that amount come to the Authority. We estimate that might raise about half a million to a million dollars a year. And I might add, the reason that we thought about the stadium and becoming an authority in Baltimore was because our original goal was to charge $1 on every Orioles and Ravens ticket, which would have netted a substantial fund considering the state's and the city's investment in these enterprises. " And the Safe and Sound campaign is broader than Child First, seeking to raise sustained funding throughout the city for "a youth place network," as we call it. So this will be after-school programs beyond Child First.

Ms. Reckling

We estimate that for the last four 00014 years, we've served about 1300 to 1500 children per year, and when I break down the cost, that comes to about, let's see, I use a figure that's between $1 and $3 per hour per child, which, I like to say, you can hardly buy the snacks for that amount, but that's -- that's the level of funding that we've been able to give. And we're now in our fifth year of operation, nine programs that provide education -- academic, cultural and recreational programs in these sites.

Councilman Kenney

Thank you. Please proceed.

Ms. Brodkin

My name is Margaret Brodkin. I'm the director of a child advocacy organization in San Francisco. I've been there for years, and I've traveled to a lot of 19 cities around the country, so I'm very familiar 20 with a lot of what's going on to fund 21 children's services. 22 I'm going to tell you about two measures that we have enacted in San Francisco for funding children's services that have become national models, that have been 00015 recognized by the National League of Cities, the National Conference of Mayors, and many others as being among the most effective landmark approaches to ensuring stable funding for children's services, local funding. And I'd like to say as a child advocate that I'm very proud of what we've been able to do, but I would like to say that there is a tremendous amount of civic pride in what we have been able to do for kids, not just among child advocates, but among the business community, the political leaders, labor leaders. We're very proud of what we've been able to do. Lest you think San Francisco is completely different from Philly, it's not. It -- maybe you should multiply whatever figures I give you by two and a half because your child population is two and a half times ours. But we have, most people may not realize, a very high-risk child population. A third of the kids in our public schools don't speak English, we have one of the highest homeless populations in the city. If you draw a map of our city and 00016 look at where the people -- low-income people live, it's where all the families and children live. About 80 percent of our children are children of color. Our budget process every year is a nightmare, with enormous competing needs. We have an AIDS crisis, a homeless crisis, a substance abuse crisis. So I'm sure we're in the same situation you're in in terms of competing needs. And we have a business community that struggles to create what they think is an environment that is conducive to business and a lot of conflict of what, in fact, that actually entails. And, you know, they are always concerned that we might be doing something that would infringe upon that. The two things I will tell you the most about, one is a property tax set-aside, an amendment to our city charter, which says that for every $100 of assessed property valuation, two and a half cents will be put into a children's fund. That was enacted by the voters in 1991. It was a proposal that was born out of total frustration on my part and 00017 other people's parts, but after ten years of feeling like we were hitting our heads against the wall trying to get the kinds of preventive programs that you have been talking about into the city budget and felt that a requirement, a mandate, an annual mandate to ensure that we have this funding for kids was absolutely necessary. My rationale when I first thought of the idea was that there are really mandates and protections and benefits and guarantees for a lot of parts of the budget. We have an authorized strength for our police department, we have many benefits for businesses, we have many benefits for our city employees, a lot of protections in our city law, and that -- and no 18 protection for kids. So every single politician in the city opposed it, as did the Chamber of Commerce, as did the major newspaper, but we can put things on the ballot in San Francisco by petition of the voters, and that's what we did, and it passed by 54 percent. Now, we put -- we built in -- and that's in an electorate 00018 where only percent of the people who vote have kids in the public schools; 16 percent of the people have kids and only half of them have kids in the public schools. And we are also a city that is losing its families. It was back on the ballot just this November.

Ms. Brodkin

It was endorsed by every single elected official in the city, it was overwhelming endorsed by the Chamber of Commerce, it was -- donations to the campaign came from every major business leader in the city, and it passed by 74 percent. Why? Because in the nine years, it was a San Francisco success story, an absolute, unqualified success. As last year, it raised about $20 million in the Children's Fund. It transformed children's services in the city. Felony arrests went down, child abuse went down, mental health hospitalizations went down, graduation rates went up. It's the best $20 million, best bang for the buck that the city ever saw. It serves, with $20 million, 80,000 a kids a year, 180 programs in neighborhoods in every part of the city. 00019 We have something we called "beacon centers" in our middle schools that got started with this, keeping the schools open evenings, weekends, after school, not just for can kids at that school, but for kids in the whole community. We have funded new populations of kids that had not gotten services before, disabled kids, programs for girls who are not getting adequate programs through our rec and park department. We have educational enrichment programs. We've been able to move out into neighborhoods that traditionally have not gotten city services, neighborhoods that were seen as, well, more middle-class neighborhoods, they don't needs money from the city. As a result of having this pot of money, we were able to start children's programs in every asking neighborhood in the city to make this a citywide effort to help kids, and that's fabulous prevention. And, of course, there are kids in need in every neighborhood in the city. We have kids now doing gardening all over the city, we have kids initiating their 00020 own projects. One of the things that was funded, a group of kids decide they wanted to have SAT classes -- it was their idea. They got funded to start their own SAT classes, poetry (unintelligible), cultural activities. It is fabulous. Some of the things that have happened that were unanticipated but that you may be interested in is, it has leveraged an enormous amount of money. For every dollar the city puts into it, there is another dollar that comes into children's services, either from the private sector, from matching state and federal funds, but it has so expanded the pot of money way beyond the money city puts in. It has tremendously increased our planning for children. We had to create an infrastructure to give the money away and to plan for it. We required the city to set up annual children's service plan, we required the city to have hearings in neighborhoods about what the public priorities were. And this time around, we're requiring the city to set up a body similar to the one that's being proposed 00021 here. It created a level of stability and we were able to do so many of these innovative 'cause we had total local discretion over these dollars, which we don't have over most dollars. The second thing I want to tell you about is something that is a fee on office and hotel development. It was actually passed in 1985, and it's a very simple concept, also strenuously opposed by the business community. It says for every square foot of office and hotel development that is approved by the city, the developer will put $1 into an affordable child care fund. This generates now about a million dollars a year. It didn't generate anything when it first passed because it came at a tremendous economic decline and for ten years, there was very little money in the fund, but it was overwhelming opposed. The person who proposed it was accused of being a socialist. And it has also been a fabulous success. What we have to prove in San Francisco and with California law is a nexus 00022 between the fee that's being imposed and the benefit. And it was a very easy thing to do. So for every -- you were going to have all these new employees, with new businesses, new offices, new hotels.

Ms. Brodkin

They're going to need child care, they're going to need after-school programs. Their kids are going to be the kids who will benefit enormously from this fund. And, of course, everybody benefits when you have a healthy child population. This fund also leverages an enormous amount of money. ) family, which you may know about, is one of the wealthiest families in San Francisco, matches this fund every year. It's put into a child care facilities fund. Child care centers and family day care providers apply to this fund to buy equipment, to fix up their yards, to -- for a small things that improve the quality of child care. It is now hailed by the business community -- they brag about it -- as, you know, an example of their corporate citizenship. It is something they use as a selling point and a wonderful PR thing. 00023 We also have, by the way, our 49er tickets have a surveillance charge on them, I think, of 50 cents. It goes to fund the after-school sports programs, the school sports program, which were being cut. With the hotel tax, a portion of which goes into cultural programs for kids. And we have something called a "baseline budget," which says to the city, You can't cut children's services so as we add these things, they don't replace existing services; they come on top of existing services. The lessons from San Francisco that I think are relevant to Philadelphia are that small, discretionary, local, steady funding can create just a huge difference. There's nothing more cost-effective than programs for kids. And so, for a rather modest amount of money, you can serve a lot of kids. It is a wonderful bang for the buck, and it has many side benefits in addition. The second thing that's relevant is that business and development is not negatively affected. The business community opposed both 00024 of these measures -- probably all of these measures, but these small fees, which are small amounts of mandated general fund, have become an enormous source of civic pride and have not negatively impacted the business community. Last year, San Francisco was rated in some major survey, which now I can't even remember who did it, but I think it was a business magazine, as the second best city in the country to raise kids, and you better believe the Chamber of Commerce talks about that all the time and touts that number to continue to attracts businesses and to brag about one of the benefits of living in San Francisco. Number three, we have shown that there is a real clear correlation between the city's ability to care for kids and its attractiveness to business in terms of caring for their employees, in terms of improvement in neighborhood life and the social stability of the kids. Everybody wants to move into a city where juvenile crime is down. And, lastly, this is something I feel 00025 like I am a total expert on. After years of working for kids and talking to people in cities all over the country, this simply will not happen. These kinds of preventive programs will not be funded. If you make kids do battle every year in your annual budget battle, they won't come out on top. You have to hard-wire it into the financial and budget policies of the city. I met a couple days ago on the steps of City Hall a member of our City Council, called our "Board of Supervisors," who was the most adamantly opposed to these measures. She's the most pro-business person on this City Council. She came up to me and she said, Margaret, I was wrong. After eight years on this City Council, I now know that none of these things that you have been able to see funded would have gotten funded, if it had not been a requirement and a mandate. I think you're looking at a very modest proposal. It could have enormous benefits to the City and be the beginning, actually, of more sustained and adequate 00026 funding for your kids. )

Councilman Kenney

So you're in favor of this?

Councilman Kenney

So you're in favor of this? (Laughter.)

Ms. Brodkin

Absolutely.

Councilman Kenney

Just kidding. Councilman Clarke, do you have a question?

Councilman Clarke

Yes. Thank you, Mr. Chairman. I have one quick question. You had mentioned that office buildings and other types of development, there was a fee proposed, one talking about per square foot, $1 per square foot.

Ms. Brodkin

Right.

Councilman Clarke

In those particular developments, can you tell me what percentage of those, as best you can, that receive city assistance in terms of developing 00027 that building or that office building or whatever type of facility that they build?

Ms. Brodkin

You know, I can't. I'm sorry. I could find that out.

Councilman Clarke

Yeah. That --

Ms. Brodkin

I mean, we didn't even tie it to, You got to get a benefit from the city. I mean, we just said, You're getting to build in this city, you know, we're going to approve your permit, but this is a part of the -- this is part of, you know, the cost of doing business in San Francisco. So some of them, I'm sure, did --

Councilman Clarke

(Unintelligible) yeah.

Ms. Brodkin

Some of them, I'm sure, got benefits and some probably didn't.

Councilman Clarke

All right. That's important because today's bill speaks of a linkage between City assistance to a particular development, so if you could give us some information.

Ms. Brodkin

I will.

Councilman Clarke

As it relates to 00028 the San Francisco --

Ms. Brodkin

I'd be happy to.

Councilman Clarke

All right, thank you.

Ms. Reckling

You know, in Baltimore, one of the things that happens is that we fund -- the City funds new garages in order to keep businesses from moving out of town, which they are constantly threatening to do. And what we just found out, because we wanted to add $1 to parking fees or 1 percent or either $1 to parking fines, and in fact, the City loses -- Baltimore City loses about $2 million a year funding these parking garages. So, you know, really that's a subsidy to the businesses as well. I think that for us -- you probably have a different situation in Philadelphia and San Francisco in that imposing that kind of fee really is a threat to a city where you have businesses that are threatening to leave as oppose to do dying to stay there or to come in. And kind of similar to what you were doing, we were clear that we had to have some 00029 kind of a fee that was new, that created something that did not exist before, which is why I'm talking about the golf course, adding the $3 to the greens fees, because I think currently, for an 18-hole golf and cart in Baltimore public golf courses, you're talking about $16 to $18, which, in surrounding areas, you know, that's a bargain. So we were looking for something additional -- something new to create the new funding stream.

Councilman Clarke

Yeah. Let me give you an example, the reason I asked that question. In the district that I represent, we have numerous development opportunities in correction initiatives, and one of the things that we try to do is to ensure that the local residents are gainfully employed. And when we talk to the developers and the general contractors, there's this question about experience, and they indicate that when they hire locally, people who are marginally or not very skilled, that they end up losing money. So invariably, they come to us and 00030 say, Well, we have to pay a different rate to these individuals and we're going to need a little bit more in the budget because we're going to lose person hours, it's going to take us longer to do the development because these people are unskilled. So when we get the bill 8 for this development opportunity, it's a little higher because of that. I'm concerned that, you know, sometimes this can increase the cost of doing business, particularly when you're talking about a City-funded project, 'cause we ultimately end up passing that fee onto the taxpayers that we're talking about today.

Ms. Brodkin

It's a cost-benefit analysis. I mean, we think the benefits far outweigh the costs.

Councilman Clarke

Well, I'm not questioning that. My question is, we're going to pay it anyway, and the question is, do we do it through this initiative or do we just do it, period. You know, do we just fund the children's program because it needs to be funded -- 00031

Ms. Brodkin

Well, I don't we see -- we also have many measures like yours. I mean, every time there's a city-supported project, we have hiring where you have to hire a certain number of homeless people, you have to hire a certain number of people -- (Unintelligible, parties talking over each other.)

Councilman Clarke

-- as an example in terms of a pass-through. When we impose certain things on developers, it tends to always pass through to the City, particularly when we're involved in the financing. It doesn't pass through to the private-industry lending institution; it passes through to the City of Philadelphia. So we end up paying the additional dollars on the project, regardless of how we go. So that's why I wanted to know --

Ms. Brodkin

Maybe Shelly can respond. (Unintelligible, parties talking over each other.)

Ms. Brodkin

Why don't you respond. 00032

Ms. Yanoff

Well, I'm not sure whether -- (Interruption due to audio equipment failure.)

Ms. Brodkin

We had an earth quake,, you see, so our city hall got to be renovated.

Councilman Kenney

Miss Yanoff, you were going to answer Councilmember Clarke's question?

Ms. Yanoff

Well, I was just going to mention that other cities, which I will refer to, have seen such marked drops in juvenile crime that, in fact, when they looked at cost-benefit analysis, they came up very strongly about providing more and more support. And I guess the question that most cities that we look at, it's not -- this is not the only thing that we can do, as San Francisco's doing five things, Baltimore is looking at lots of different things. This is one way that you increase the pool, and then you increase the pool hopefully every year through the budget, this regular budget process, and then you encourage private 00033 participation as well. And then still working on a bill from the state to bring more money down. So, I mean, the point is that there's an enormous amount of money that's needed if we are really going to transform the city for children, families and workers and business. And we need to be creative on how we will pull together that pool, and this presents, it seems, a pretty minimal way of putting some dollars in on a continuous basis.

Councilman Kenney

Just -- I have a question -- two questions for, I'm sorry, Miss Brodkin. What effect do you think San Francisco's robust economy has on the ability to make this program successful? For example, and I think the other witness alluded to the Baltimore issue, is that we are in a constant battle with our suburban counterparts for a level playing field to keep businesses from either leaving or deciding to stay. San Francisco, to it credit, for lots of reasons, its high-tech environment, its 00034 climate, its panache generally as a place to live. In many ways, do you think that that made that program successful?

Ms. Brodkin

No, I don't think it did.

Councilman Kenney

Because people are less likely to want to leave there anyway?

Ms. Brodkin

Are less likely to want to what?

Councilman Kenney

To want to leave the city as far as businesses? 'Cause, I mean, and I may be wrong about my assessment of San Francisco, but there seems to be more of a desire to be there than to be in --

Ms. Brodkin

Well, that's why I started out by telling you a little bit more about San Francisco. It's not just a glamor city and there a lot of rich people in San Francisco, but I've been a part of the city budget process now for years, and the most 22 successful parts of this fund were done in a very, you know, years and years of budget cutting. And the real benefits of this was that children's programs did not get cut; and, 00035 in fact, we were able to enrich them slightly. So the real benefits of this the -- economic upturn has only come in recent years, but the first five or six years of this children's fund was in a terrible economic situation in San Francisco. And, you know, everybody says, Oh, well, it's such a rich city, but, you know, I go through the budget process and there's not enough money for any of the things that I listed. The city departments are always asked to be cutting their budgets, and so we haven't gotten to a point yet where --

Councilman Kenney

Well, I'm not trying to argue that San Francisco doesn't have problems --

Councilman Kenney

-- like homelessness and child abuse issues and education problems.

Ms. Brodkin

Right.

Councilman Kenney

But there seems to be more of a desire, and it may be simply just anecdotal, that companies would rather be 00036 in the city limits of San Francisco than, as in Philadelphia, would rather be in the nearby suburbs.

Ms. Brodkin

Well -- (Unintelligible, parties talking over each other.)

Councilman Kenney

The other issue, does San Francisco have a wage tax?

Councilman Kenney

Does San Francisco have a wage tax?

Ms. Brodkin

A wage tax, um --

Councilman Kenney

One of the things that we have been battling against over the past years is an extremely high Philadelphia 17 City wage tax, which means that any company 18 that comes here needs to take into account the 19 fact that they normally have to pay their 20 employees about 4 and a half percent more than they would in the suburbs because of the imbalance between the --

Ms. Brodkin

We have a payroll tax. I --

Councilman Kenney

Do you know what 00037 percentage it is?

Ms. Brodkin

No, I don't.

Councilman Kenney

Okay.

Ms. Brodkin

But I could find out. I think it's one of these grass-is- greener-on-the-other-sides, 'cause if you were to talk -- if the Chamber of Commerce were sitting up here, they would tell you their woes, they would tell you San Francisco is such a hard place to do business 'cause the electorate is always doing these goofball things, you know, and it's very anti- businesses, and all the businesses want to move to the peninsula, and they want to move out of San Francisco. The Bank of America left San Francisco, it was a major civic catastrophe. So, yeah, we -- there's a lot of appeal to San Francisco, but we are struggling with the same issues. People want to leave -- the businesses -- you know, there's pressure to leave the city.

Ms. Reckling

But you also have the added benefit that -- I know in Baltimore, we're expanding our reach to other 00038 organizations throughout the state. And believe it or not, as quiet as it's kept, in the surrounding counties, they also don't fund programs for young people. And I believe that the surrounding counties are also going to adopt such a system to fund their programs because there's a great need, even in the surrounding counties, and I dare say, you would find same thing around Philadelphia.

Councilman Kenney

And I just need you to expound on one area that you talked about, and that was the issue of middle-class families.

Councilman Kenney

One of the problems that Philadelphia -- one of the major problems, maybe the major problem Philadelphia faces is that we've lost about 175,000 people in the last 10 years, and I would suspect that the bulk of them are either middle or upper- middle class. Programs like this generally get the stamp of being for poor people, who -- I'm not suggesting it is; what I'm saying is -- what I 00039 need you to do for the record is to explain why -- and these are some of the complaints that we get, is that you have a stable neighborhood with an active athletic association, an active arts group, an active church group. That basically those taxpaying citizens kind of take care of the problems and needs of their own children in the neighborhood. And the argument that I would get and that some of the other Councilmembers may get is, you know, we take care of our own kids, we raise them right, we fund our own programs, we fund-raise, we do all of the things that we have to do, and now you're going to ask us to contribute to a fund that probably we're not going to be able to take advantage of because we don't have -- our children generally aren't in crisis, we have more two-parent families than maybe other neighborhoods have. I mean how do to we argue to that cohort of people that, you know what, this makes sense for you too, for what reason?

Ms. Brodkin

For two reasons. One, because everyone benefits when the highest-need 00040 kids get services and you have a much more stable happy, healthy child population and your juvenile crime goes down and your foster-care population goes down, and a lot of costs to the city go down. But we made a conscious political decision in San Francisco because this was something that was enacted by the voters, and we wanted to see it enacted. And, again, we felt it was very important that everybody benefit. So while there is probably more money going into the higher-need neighborhood, we made a very conscious effort to move after- school programs into every single neighborhood. So that everybody saw a visible program that their kid could go to in their neighborhood. And it was a balancing act and I think we did an excellent job.

Councilman Kenney

And, understand, the less critical-need neighborhoods that I'm talking about are not wealthy neighborhoods.

Ms. Brodkin

Right, exactly. 00041

Councilman Kenney

These are neighborhoods that are working-class, middle- and lower-middle-class people and --

Ms. Brodkin

And you're probably having the same thing we are. There are high-need kids everywhere and just because a neighborhood has a reputation for not, you know, having the highest juvenile crime rate or whatever, it doesn't mean that there aren't needy kids throughout that entire neighborhood.

Councilman Kenney

But the electorate who are moving would argue to you that I can get a better deal in the suburbs by moving out of the City and taking advantage of a school system that I have confidence in, taking advantage of manicured baseball fields, and other activities that kids can take advantage of. And that's -- part of the argument that we have all of the time is that we're trying to take care of those high-need individuals and families, but at the same time, trying to make a case for people in the City who say, You know what, either you're poor and 00042 you get everything or you're rich and you don't need it, I'm going to leave. And that's one of the problems -- probably, again, the major problem that we're facing in the City is the loss of that group.

Ms. Brodkin

We have the same thing. In 1960, there we 180,000 kids in the city, now there are 140,000 kids in the city, and it's primarily middle-class kids that have left the city, and we are trying very hard to bring back those neighborhoods and give them their fair share of this funding. And you know, so that there are benefits to living in the city -- the cultural benefits -- and try and link some of these programs to kids being able to go to the ballet and being able to go to the symphony and taking advantage of good parts of the culture of the city.

Councilman Kenney

Thank you. Councilman Nutter?

Councilman Nutter

Thank you, Mr. Chairman. Miss Brodkin and Miss Reckling and 00043 Miss Yanoff, to the extent that I know you've had testimony from other locales, can you quickly run back through the different either funding sources or funding mechanisms? I was listening to your testimony and I was trying to take relatively scattered notes, but I wasn't writing as fast as maybe I needed to be. Tell us again what the funding mechanisms are for your respective cities.

Ms. Reckling

Well, I think I can tell you mine briefly because it's a shorter time and it's a smaller effort so far. We are getting -- when we first started, the source of dedicated funding that we had was from profit from the public golf courses, which netted us about a half million dollars a year.

Councilman Nutter

What was the calculation on that? Or what was the --

Ms. Reckling

Well, it was just from their profits, and I --

Councilman Nutter

You got a percentage?

Ms. Reckling

I don't know what the 00044 calculation was because --

Councilman Nutter

You got a percentage of the profits?

Councilman Nutter

And at the time, were they -- it had already moved into private management?

Ms. Reckling

No, it had not at that point in time.

Councilman Nutter

The city was still running it?

Ms. Reckling

Yes, the city was still running it. Actually, the city still owns it but it's managed by --

Councilman Nutter

Right, we have the same situation here.

Ms. Reckling

Yeah. We are also -- I'd like to tell you about some of the things that we took a look at, because it might be instructive to you. We're taking a look at, as I said, proposing percent of parking revenue, perhaps adding a dollar to parking fees. We looked at a penny in Baltimore, a penny on a bottle tax. We 00045 figured that would have raised about $2.5 million per year, which was quite substantial for such a small amount, 'cause we figured we could do quite a campaign on something such as that.

Councilman Nutter

I'm sorry, what was that last thing?

Ms. Reckling

A penny, a 1-cent bottle tax.

Councilman Nutter

A bottle tax. . .

Ms. Reckling

Do you sell bottles here for sodas?

Councilman Nutter

Like a return?

Ms. Reckling

You don't have to return it, but if you purchase it.

Councilman Nutter

Oh, if you purchase something, it --

Ms. Reckling

Yeah, it's a penny tax on it.

Councilman Kenney

It's a state tax, right?

Ms. Reckling

No, city.

Councilman Kenney

Doesn't Maryland 00046 also have a deposit or a return?

Councilman Kenney

No?

Ms. Reckling

No, we don't do that.

Councilman Kenney

Okay.

Ms. Reckling

We recycle.

Councilman Nutter

Just tell me real quickly, and I know you're going through your list, when did the Children's First Authority start?

Ms. Reckling

We started in 1996.

Councilman Nutter

In '96.

Ms. Reckling

With 10 schools, funding 10 schools at $80,000 per year.

Councilman Nutter

And this was through the percent of profits from the public golf courses?

Councilman Nutter

Essentially, that's how it started?

Ms. Reckling

Yes, with that. And then we got a grant from the state because of our -- our -- we do a lot of organizing in our efforts in the gubernatorial election where we 00047 got the candidates to agree that they would support it, so we've been getting a half million dollars from the state as well. And currently, that's coming through TANF. It didn't always, but that's what it's --

Councilman Nutter

Did you start Children's First Authority? I mean, are you --

Ms. Reckling

I was part of the work, yeah.

Councilman Nutter

What was the -- I guess, what was the genesis of it? Why was it created? I'm assuming Baltimore funds some level of children's programs anyway, so you must have --

Ms. Reckling

You know, it's interesting because when you look at programs for children, I often tell people that pretty much what we want for young people is the same thing that I want for my child. And when I do things for my child, I don't always say, you know, this has to give me this result immediately. I'm willing to invest in my child for the long term. 00048 And we said, you know, this is the same kind of approach we have to take to families in our community, that some of the things that we do are just because we know they're good things to do. Now, somewhere, we're also going to be accountable for the funds that we're spending and we are certainly going to have some outcomes that we expect. But for us, it was that, why is it that programs for young people typically run by nonprofit organizations, which typically last three to five years, and then foundations go on to another whatever their -- their -- you know, pet project is at the time.

Councilman Nutter

Right.

Ms. Reckling

And leaving you high and dry.

Councilman Nutter

Right.

Ms. Reckling

And so it's very difficult to get that kind of operating money that you need.

Councilman Nutter

Had you done an assessment of currently available programs back in the '95-'96 time period? 00049

Ms. Reckling

Yeah, we did. As a matter of fact, with the community organizations, we are working -- BUILD members from different churches went through our neighborhoods. And at that time, recreation centers were being closed. So we took what they printed as the schedules of activities, we went around, we went to see how many people were employed in the recreation centers, were there activities actually going on, were young people there people there utilizing them. And, in fact, the buildings were in such dilapidated conditions, typically having one person there to manage the facility and the activities, that these things just weren't happening. So we did do an assessment of what was available in communities.

Councilman Nutter

Okay, okay. Thank you.

Ms. Brodkin

I brought you an evaluation of the Children's Fund, a poll done in San Francisco of people's attitudes about the Children's Fund, and a copy of the legislation that enacted it, which I will give 00050 you.

Councilman Nutter

When did the Children's Fund start?

Ms. Brodkin

In 1991, when we were having terrible economic problems in San Francisco, there was a real downturn. So we have five mechanisms in place. We have -- Children's Fund is a set-aside of property tax, a portion of the property tax; we have the fee on hotel and office development; we have a surcharge on our sports tickets; we have a portion of our hotel tax going to cultural programs; and I didn't mention, we also have a portion of something called the "Open Space Fund," which is, you know, sort of an environmental, make sure we have money in the budget to purchase open space, and our argument was if we're going to have all this open space, we better be able to run some children's programs in it, so a portion of the Open Space Fund has been dedicated to after-school programs.

Councilman Nutter

And similar to the questions I had asked Miss Reckling, when 00051 the Children's Fund was started in 1991, had you done some level of evaluation of what was being provided or not being provided by the City of San Francisco for children's programs and activities?

Ms. Brodkin

Oh, yeah. I mean, over a decade of effort, sort of documenting the need and what the gaps in services were and trying to get it through the regular budget channels, et cetera, et cetera, yeah.

Councilman Nutter

And had you also figured out, I guess, what it would take to bring things up to whatever a standard or level, whether you wanted a good level or a superior level? I mean, how did you -- I mean, was you money determination a function of this is what we think we can get?

Councilman Nutter

Or this is what we think we need?

Ms. Brodkin

It's a soft science. To be perfectly honest, we thought, what do we think we can get and could it purchase enough to make a difference? 00052

Councilman Nutter

Mm-hmm.

Ms. Brodkin

If we started with every kid deserves an after-school program and affordable child care, it would be just more money than we could have done.

Councilman Nutter

Right.

Ms. Brodkin

But we did say, you know, we can get a thousand employment slots, we can get a thousand child care slots, we can get 2,000 kids into after-school programs, et cetera, you know, with this amount of money.

Councilman Nutter

What's the annual budget or, I guess, the distribution of funding out of your children's fund in San Francisco and yours in Baltimore?

Ms. Reckling

How much money?

Councilman Nutter

What do you spend annually?

Ms. Brodkin

The last year, we spent $20 million.

Councilman Nutter

That's a compilation of the five --

Ms. Brodkin

No, that's just the Children's Fund. 00053

Councilman Nutter

Okay.

Ms. Brodkin

The affordable child-care fund is about a million, the cultural programs are about a half a million. I think the sports thing must be -- it's somewhere between a half, probably around half a million. And the Open Space Fund is about a million.

Councilman Nutter

Okay.

Ms. Reckling

And our operating budget for to 1500 children was 1.2 million 13 last year in operating and a million in capital.

Councilman Nutter

Okay. Miss Yanoff, I know from previous materials that I've received, and it's mentioned in someone's testimony, PCCY did a report some time ago -- and I think it was called "Home Alone" -- with regard to children. I mean, is that document and that work still fairly, I guess, timely and current and useful in terms of assessment of what programs exist and what we would want to have or what we need in order to serve significantly more children? 00054

Ms. Yanoff

Well, we have done an update. You all should get in your offices this week a list of after-school programs in the City according to zip code. And we've done -- and we've worked with Safe and Sound here in assessing what's needed. And, really, if we're going to set our sights on a real vision, we need more than $50 million in after school. That's for every -- that's not just -- (Unintelligible, parties talking over each other.)

Councilman Nutter

I didn't hear that figure.

Ms. Yanoff

Everything coming together.

Councilman Nutter

What did she say?

Ms. Yanoff

We need more -- we need probably around $50 million. If every -- 5-0 -- is going to have the kind of support --

Councilman Nutter

5-0.

Ms. Yanoff

Yeah. But that's not what we're saying -- (Unintelligible, parties talking over each other.) 00055

Ms. Yanoff

Right. And that's why one of the issues that we wanted to talk about was that we know that this fund can't get us where we need to be. It's one of a lot of initiatives that we need to do to transform it and to make the difference. If I could, Councilman, just (inaudible) formal testimony, but I'd like to share with you what Little Rock -- Councilman Kelly was supposed to be here but he couldn't at the last minute. What they've done, what other cities are doing in trying to build prevention and youth development and child-care dollars. You want that now or later?

Councilman Kenney

What I would suggest is that if you want to quickly synopsize and then we'll take the formal testimony and make it a part of the record, 'cause we do have four other panels that are waiting.

Ms. Yanoff

Okay, fine. In Little Rock, in 1994, they created a one-half percent sales tax specifically to support prevention and initiatives for youth 00056 development in order to lower the crime rate. The crime rate for juveniles, the crime rate has remarkably dropped: It's decreased 65 percent in violent crime and in all crime by almost 50 percent by juveniles. So they -- they started by dedicating a half a percent of sales tax, and in pursuit of supporting families, improving children's achievement, and, in fact, in lowering violent crimes by juveniles and general crime, and they've succeeded. Pinellas County in Florida has been investing in youth through a special dedicated property tax since 1946. In the mid-'90s, other Florida counties did the same thing and they have now -- they've created special taxes with their property taxes, and $63 million annually comes in for this kind of youth, family support, prevention in these counties. In Seattle, a family and education levy, similar to San Francisco's initiative was passed in 1990 and again renewed overwhelming in 1997 to support programs. These programs are supported by funds again over and above the 00057 normal city budget allocation; they do not supplant a supplement. In Oakland, California, a kids first initiative requires the city to set aside 2.5 percent of unrestricted revenue in a children's fund for direct support. In Washington, DC, a special fund is currently being developed, similar to Baltimore's, and they have budgeted as a total what they expect $30 million to come in for youth development programs -- not all of it from local government at all, but significant amount. Santa Cruz in Concord have done what San Francisco did in developing a child care developer fee. New York City -- and this, Councilman Kenney, is in part responsive to your earlier question. New York City has about $125 million that they do for prevention. For their beacon initiative alone, they spend $19 million. And they made the political decision early on that every district was going to have a beacon school, and that increased, and beacon schools 00058 or after-school communities supports after-school programs, and that meant that that initiative got the political support. It began under Mayor Dinkens, it continued and expanded under Mayor Giuliani because everybody recognized that it was doing something positive. So those are -- that's a fast summary of what's happening in other places that are just beginning to try to respond to a clear need for kids and families. I'd like to just -- can I finish my testimony real fast?

Councilman Kenney

Sure.

Ms. Yanoff

Okay. Which brings us to Philadelphia. We're not asking in this bill, Councilwoman Tasco and the sponsors are not asking that we have a property tax, that we levy a sales tax, that we do a huge set-aside. You know, we're not -- we're saying to those businesses that get a benefit, percent, a tiny amount of that benefit, can go to making this city more attractive to families and more supportive of families. As we go to 00059 incentivize business, we should incentivize families in staying here. Recently, you had hearings on the loss of population. Families are moving out. Families are moving out generally for a couple reasons. One is schools and one is that the communities are not supportive of families, especially families that are working. And some crime issues. You've got the three.

Councilman Kenney

And taxes.

Ms. Yanoff

And taxes.

Councilman Kenney

Let's not forget the 4 and a half percent wage tax, I mean, 'cause that does make a difference.

Ms. Yanoff

Well, this is saying -- we can't do everything, but we can handle with a minimal cost, a minimal cost, we can improve and we can make this city better for kids. What does this bill say we can do with them? We can support child-care programs, we can support after-school programs. We can do the things with some money that the schools used to do, like middle school sports. There's some residents here from Children's Hospital 00060 who are very concerned that kids don't have enough exercise, enough sports program. We've cut that cut, we've band cut, we've arts, we've cut music. And every year, you hold hearings in this room on what are we going to do about this loss or that loss? And we all agree there's a need, but we can't figure out where the money is. Well, this is one way to add to that pot of money. So I guess in this Year of the Child, we urge you to link youth development and family support with business development and to help us move forward. There are lots of reasons that we can always find not to do something. We can find a gazillion technical reasons -- gazillion's a very clear term of art. We can find a lot of technical reasons, we can find a lot of reasons to say, Oh, this will hurt A, B or C. We're giving to A, B and C; we're asking them to give a little bit back. And in that way, their businesses will be more successful, employees will be happier being here, and we will build a better city. 00061 So we urge you to do it. (Applause.)

Councilman Nutter

Just two last quick questions. One is, have we begun to see, I guess, any of the benefit of the increase in after-school program funding? I seem to recall during this year's budget hearing that the Administration and Mayor Street announced, I believe, an over $3 million increase in after- school funding programs for this current fiscal year, which is only, I guess, four months old. One, have we seen any of the benefit of that? And two, when all is said and done, whether it's Baltimore, San Francisco or a half a dozen other cities that you've mentioned, am I incorrect to believe that we are ultimately more interested in having additional funding for programs than we are in where the money comes from or what the source may be or what the mechanism is for getting it there? I mean. Do you ultimately care whether or not it is directly linked, indirectly linked or internally accounted for within government where this funding source is, 00062 as opposed to can you have $3 million-plus more for programs?

Ms. Yanoff

Obviously, we want more support. We also believe that at this time, we can't look at a property tax or a sales tax or an additional tax.

Councilman Nutter

I wasn't talking about any tax. We can raises taxes to increase funding for after-school programs this year.

Ms. Yanoff

Well, I appreciate that, Councilman, but if we -- we need to do a lot of different things at the same time. And while we don't -- you know, if the Administration says, We're going to put $20 million in it, Council is going to vote $20 million every year for kids' funds over and above, then we would be really -- that's terrific. But if we just -- if the Administration puts in $10 million more and you have another 3 million coming from this, you've got $13 million. You could handle much better child care, much more after-school programming if you did it that way. I mean, the point is, it's not that 00063 we have to say that it has to be this way.

Councilman Nutter

Mm-hmm.

Ms. Yanoff

But it is -- it seems to us important, first of all, to get the message out that good business is also being good for kids; that's number one. But number two, it's that we've got -- there's so much to do, we shouldn't overlook opportunities that would bring in more so that we could make this city so much better. When the art linkage bill came about a half a century ago, we're quite sure and we -- looking at history, that people said it really made no sense and it would be bad and it would be bad for business, and it turns out to have been pretty good, most people would say. And so we're saying -- and it didn't stop the development, it didn't stop development here, it didn't stop new buildings from going up in Center City in Philadelphia. We're saying that this is an opportunity, we should expand it, we should definitely -- if we can get the money and the kind of money we need in other ways, sure. But 00064 until we get to that spot, we shouldn't turn away anything.

Councilman Nutter

I wasn't suggesting that we turn away anything. What I asked was, does it matter to you one way or the other if the government makes a calculation that the 1 percent amounts to $3 million additional a year or the government decides to put $3 million above and beyond whatever our funding is for DHS, Recreation, Fairmount Park, library system or anyone else, but that the calculation is made that we had 10 projects last year or 20 projects last year and they received X-amount of funding and 1 percent adds up to $3 million, does it ultimately matter to you whether or not it is a direct check cut out of these potential businesses' pockets, which ultimately, more than likely, they would just ask us for more money to help cover their percent? Or that because we do benefit from their activity and because they do benefit from having financing from us and every project that we get seems to have a project plan that goes 00065 with it that indicates that there will be more tax revenue to the City, if we make the calculation that the City will receive higher taxes as a result of doing this project, we make the funding commitment to the project, we make the calculation of what the 1 percent would be, and that the money is then transferred to the children's fund, all I'm asking is, does it matter to you how the money gets into the children's fund as long as it is not being taken away from baseline funding as we know it in the year 2001?

Ms. Yanoff

Well, I would -- I would urge that we do both, but I certainly wouldn't turn away a major commitment to children.

Councilman Nutter

That's a pretty good answer. Thank you, Mr. Chairman.

Councilman Kenney

Councilman DiCicco.

Councilman Dicicco

Thank you, Mr. Chairman. I don't believe I have that many more questions left after the questions that have already been asked. 00066 But, Miss Yanoff, just to let you understand, I don't think that this is something that is bad. I've been a proponent of tax abatements and I guess some of the questions I would ask to the other ladies at the table here, if you could provide the Chair with some information as to whether San Francisco or Baltimore offers tax abatements or exemptions to encourage business. I mean, on one hand in the bill that we're being asked to comment on or vote on eventually, there's a portion in the bill that says that that same 1 percent would apply to any real estate taxes that have been abated. On the one hand, we're trying to encourage development by offering abatement, then on the other hand, we're saying, Well, give us something back. I just want to be fair, and I think we could come to some reasonable fairness in this whole process. And as you know, Miss Yanoff, I'm working with the advertising agencies to come up with something similar to this, I guess, where they've already agreed to 00067 put up a portion up of their gross receipts for wraparound signs and billboards into the special fund, and I hope to have either this week or next week that bill finalized for at least introduction. Miss Brodkin, is there -- does the percentage of whatever the tax is that goes into this program in San Francisco, is there a baseline, is there a threshold? Does it apply to all businesses or does it apply to a business that has a certain amount of gross receipts coming in? Could you explain a little bit to me?

Ms. Brodkin

Well, the development fee has a threshold and I don't remember what the square footage is but it's a square footage threshold. And I have the legislation here, which I could give to you. So smaller buildings don't pay at all and --

Councilman Dicicco

And that would be important because I spent five hours in your beautiful city while I was waiting to fly out of California not too long ago, and most of the 00068 buildings that you may think are small quite large in Philadelphia terms, so I think that would be very --

Ms. Reckling

Imagine Baltimore then.

Councilman Dicicco

As is Baltimore, you're correct. And there was some mention -- I think you testified to a $1-per-room tax?

Ms. Brodkin

It was $1 per square foot.

Councilman Dicicco

Per square foot?

Ms. Brodkin

Of office and hotel development, there is a threshold.

Councilman Dicicco

Is there a recurring tax or is that just during the initial stage of the development?

Ms. Brodkin

That's just during the initial -- that's a --

Councilman Dicicco

So once the property is complete --

Ms. Brodkin

That's a one-time fee.

Councilman Dicicco

A one-time fee, okay. 00069

Ms. Brodkin

But maybe we could make it annual, that's a really good idea. (Laughter.)

Councilman Dicicco

Don't let the founding fathers or the people that run your city know that I suggested that or else they won't allow me back into San Francisco. Is there a liquor tax by any the chance in San Francisco? Do you have a liquor-by-the-drink tax?

Councilman Dicicco

I know you had a 1 cent or 1 percent on a bottle purchase? Would you happen to know if there's a liquor tax?

Ms. Brodkin

No, I --

Councilman Dicicco

And I think that's important that we know what the tax structure is in each of your respective cities are so we can compare.

Ms. Brodkin

Yeah, yeah.

Councilman Dicicco

And, again, I'm not afraid to do something, I'd just like to know because on balance, while we're trying to 00070 encourage development, we don't want to, on the back end, incur additional taxes. And I understand in the long run, it's to everyone's benefit, but that's not so easy to explain to folks sometimes. So it would be helpful to me, while I contemplate my decision on support or nonsupport of this bill. And in our bill that's being proposed, it's basically -- it says that any business, entity or group that is awarded financial assistance in excess of $100,000 must contribute amount equal to 1 percent of the value of the assistance, and I guess that goes to my previous question. Is there a threshold? Does a small business person who's opening a deli have to pay that portion as well as -- similar to the portion as paid by the hotel or the office building? I mean, $100,000 really doesn't get you far in this environment, whether it's Philadelphia or anywhere else. I mean, $100,000 is a very small amount of money, so if small businesses are going to have to pay that percent, it could be rather dramatic for them 00071 1 as opposed to hotel development, which is a $50 million project, and that money's coming in from a lot of different sources.

Ms. Brodkin

They're proposing a threshold.

Ms. Yanoff

Were you asking Miss Brodkin --

Councilman Dicicco

I'm asking, actually, any of the three of you, but I'm --

Ms. Brodkin

Well, we don't have the same measure, but they're proposing a threshold, which --

Councilman Dicicco

I know in our bill, it's $100,000, and $100,000 in today's environment -- I have friends of mine who just opened a restaurant a couple of years ago across from where I live. They took a vacant butcher shop, and these guys -- the people who built it are in the contracting business, they spent $350,000 to renovate a little restaurant that seats about 45 people. You know, they struggled to get to that place, to open that business, which eventually employs people who pay wage taxes, et cetera. 00072 So I need to have some numbers.

Ms. Brodkin

Yeah, I mean, most of the measures that we do in San Francisco that are comparable to this have threshold where the idea is not is not to hurt the mom-and-pop small business but to really generate some revenues from --

Councilman Dicicco

And that's where I'm going, 'cause most businesses -- well, maybe it isn't most, maybe many businesses in Philadelphia, whether they're a small business or a big business, receive some sort of assistance from the City, whether it's facade improvements, whether it's an abatement or an exemption, whether it's for equipment that goes into the building, into the business. So, again, if you're dealing with a small business that maybe takes 150,000 to get started but the City contributed 10, 15, 20,000 towards that, it can be significant that it may not get them to where they have to be in order to open that business up.

Ms. Yanoff

Councilman, I want to -- if I may respond in a couple ways. One, I love 00073 it when you said --

Councilman Dicicco

I hope you're going to be here in support of the billboard signs, Shelly.

Ms. Yanoff

I did like it when you said "our bill" a few minutes ago. The second thing I wanted to suggest was that this does do percentage. And so, I mean, obviously, it's 1 percent of the value. So if the value of the benefit isn't very much, then it's not -- and actually, there are some child care and after-school providers who -- who -- they -- they don't think of a $100,000 as a little bit of money. They have to struggle an awful lot to get anywhere near there. And so I guess the -- you know, the comment is that there's nothing that can satisfy totally everybody. This seems to be one -- I mean, people say, Why aren't we working on 5 percent, what are we doing with percent? And I guess the 1 percent is 24 because we think we are cognizant that we don't 25 want to discourage. We want to encourage 00074 1 developers, but we also want it to be linked to recognize that kids and families benefits and business benefits should go together in the City.

Ms. Brodkin

I'm going to go back to San Francisco and we're going to hit up Bloomingdale's. (Laughter.)

Councilman Kenney

At least you have Bloomingdale's. (Unintelligible, parties talking over each other.)

Councilman Dicicco

And I think it has something to do with our tax base in Philadelphia, actually. What's the number of children in San Francisco who are benefitting from the program?

Ms. Brodkin

80,000.

Councilman Dicicco

8,000.

Ms. Brodkin

80, 80, 80.

Councilman Dicicco

What are the number of children in the school district in San Francisco, do you know? 00075

Ms. Brodkin

63,000. It's a -- your child population is two and a half times ours.

Councilman Dicicco

Thank you. Thank you, Mr. Chair.

Councilman Kenney

Councilmember Clarke and then Councilmember Tasco. We'll he's on the committee that's why, a protocol thing.

Councilwoman Tasco

Hmm?

Councilman Kenney

Okay, Councilmember Tasco.

Councilwoman Tasco

I just have a question for Miss Brodkin. Do you use property taxes to fund your schools?

Councilwoman Tasco

What impact does this 2.5 percent have on your property tax for school funding?

Ms. Brodkin

Nothing, nothing. It's the property tax that goes into the general fund. Our schools are funded through the state. The property tax gets funneled to the state and it all comes from the state. That amount is set; this has no impact on this. So 00076 this is a portion of the property tax that goes into the city's general fund, which does not fund the school district. It does have an impact on the other things that the city funds -- that was one, of course, of the arguments against it, which was that it ties down a certain portion of the general fund. Well, our argument was, of course, this is a high priority and, you know, other things will be will -- will accommodate to it, which is exactly what happened.

Councilwoman Tasco

Mm-hmm. Well, I'd like to thank you for coming.

Ms. Brodkin

Thank you.

Councilwoman Tasco

I appreciate it. Don't leave I have another question. But I want to say to -- I agree with Shelly that we always find ways not to do something. It would be very nice if we could find a way to do something for children. I mean, she's been advocating for years, ever since I've been here, for some small funding dedicated to children. And I'd like to see us take a 00077 proactive approach as opposed to every time we send something to the Law Department, it comes back, you can't do this for legal and regulatory reasons, and they never tell us how to do it. And I'd like to see us have a discussion about how we do it, how we get there. What we do is very important, but I don't want to start off with "we can't do it."

Councilman Kenney

Okay. Councilman Clarke.

Councilwoman Tasco

Don't leave.

Councilman Clarke

One last question. Thank you, Mr. Chairman. I think that everybody in this room 16 believes that we need additional dollars for our children, and I'm the proud father of a child. We had an opportunity, and unfortunately, her father had a halfway decent job, so he was able to accommodate a number of things. But I have this pet peeve, and, Shelly, I've actually mentioned it to you. I think I spoke at the library about this. And my question is, what is your organization's and 00078 some of the other organizations' involvement in encouraging parental responsibility and parental involvement? 'Cause, honestly, I think throughout the studies and the number of analysis that have been done as it relates to funding for children, on the other side of the coin, there's also this part about lack of parental involvement and parental responsibility that causes us to continue to have to put money into these various programs. And I'm wondering, what's the involvement of your organizations to encourage that side of the coin?

Ms. Yanoff

Actually, Councilman Clarke, no one would in any way disagree that parents are the most important teachers, guiders, mentors of kids. And we also well know that parents these days, whether we like it or not, most of them are working out of the home. And so what public funding is trying to do is to support what happens to kids when their parents are working in many instances, and they are not supervised. So that's a general piece. 00079 Our organization actually is just starting a project with the Department of Human Services to try to develop family support parenting programs in many of the -- in actually most of the neighborhoods in the City. Obviously, that's a long-term goal, much as after-school programming was five years ago. But we've got to have more resources for parents to strengthen their involvement, to guide them and, in fact, to -- and we strongly agree with you that parenting, you know, that strong parenting makes better kids, most of the time. And we will yield that not at all. But the public responsibility is there too. Many of our parents can't afford the programming that they know is good for kids, many parents have to be out working when their kids are home. I mean, all of this comes in. Child care, we're going to be -- about 80 percent of the families in the country are going to need child care because the primary parent is working. Now, how are we going to do that unless we really invest more seriously? That's a national problem, you know. 00080 But certainly we all -- and we'd like to work as much as we can with your office and with anybody else to try to figure out ways to strengthen parent involvement, at the same time recognizing the stress that parents are under in trying to work and take care of their home and take care of their kids.

Councilman Clarke

Well, you know, I hear you and I agree that the public should invest, but, I mean, sometimes, there's this fine line. Both of my parents did work, but my father also was the coach of the little league, as were a number of the other fathers on the block. Unfortunately, I understand today's family environment where we don't -- sometimes don't have that two-parent family. But, fortunately, we have a lot of women stepping to the plate. At 25th and Diamond, we have three female coaches. In the last year, the female coached team won the championship of the little league over there. So I really would like to work with you and your other organizations because I really think that people need to get more 00081 involved, and sometimes I think that if we put too much public funding on the table, it kind of gives people a crutch and a reason not to be involved the way they should be involved.

Ms. Reckling

If I may, I'll just tell you that, you know, if you do this, really think of it as a community-building effort, because that's what it is. When you have, for example, in our programs, if you ever came to Baltimore, you would always see parents in our program during program hours. You'll see them after program hours 'cause they're working with the team to plan what's going to happen next. We're also doing things with families together, and so this that we've made a -- the parents have become a very essential part of what we do, because, fact it, $80,000 for a program with 150 to 200 children in it just doesn't cover it. If you didn't have the in-kind contribution of volunteer hours from parents from our neighborhood churches and other community organizations, that you couldn't do it. And so you recognize that, and 00082 that really is built into your effort as well as those businesses who look for volunteer opportunities. And that's exactly that's happening for us. And I would recommend you do the same.

Councilman Clarke

Thank you.

Ms. Yanoff

And there is, Councilman Clarke, there is a parent here who took time to talk about needs as he sees it, so we definitely believe parents have a very critical role here.

Councilman Clarke

Great. Okay, thank you.

Councilman Kenney

Thank you very much for your testimony. The Chair calls Estelle Richman, or her representative. Captain Joe Mooney. Is Dr. Farmby here?

Councilwoman Tasco

She's not coming.

Councilman Kenney

No? Janice Davis. Is there anyone from Human Services or any other City agency? 00083 (Witness comes forward.)

Councilman Kenney

Thank you. Miss Davis, could you identify yourself for the record and proceed.

Ms. Davis

Good morning. I'm Janice Davis.

Councilman Kenney

Good morning.

Ms. Davis

The Director of Finance and Secretary of Financial Oversight for the City of Philadelphia. I'm here today to testify regarding Bill 543, which would require parties contracting with the City and receiving financial assistance to contribute 1 percent of such financial assistance to the fund for Philadelphia's children. The fund would be responsible for contributing to new and existing programs that benefit children throughout the City. The Administration supports the spirit and intent of this bill. However, we believe that Bill 543 is too broad in scope and too vague in its implementation strategy, especially with regard to the percent formula 00084 1 and the items that would be considered financial assistance. The Street Administration is solidly committed to improving the lives of children. I would like to take a moment to highlight for the committee both the significant investment that the City already makes in programs specifically oriented towards children and the multitude of general services that benefit all of Philadelphia's residents, including the young. In order to determine the amount of the City's resources that benefit the City's youth, the Managing Director's office recently conducted an analysis of every City department, board and commission and City-related agencies. This massive inventory initiative included 16 different departments and agencies, with a specific programmatic focus on children. It was determined that the total General Fund expenditure identified for children's programs was $474,265,116 in Fiscal Year 1999 and $520,749,792 in Fiscal Year 2000. 00085 Expenditures for children's programs are budgeted at $564,012,741 in Fiscal Year 2001. Importantly, these totals represent approximately 40 percent of the budget for the departments and agencies inventoried. It is also important to recognize that expenditures for children have risen each year, from 9 percent of the General Fund budget in Fiscal 10 '99 to percent in 2000 and percent of 11 the budgeted total in Fiscal Year 2001. 12 What may be most significant, 13 however, is the fact that the resources 14 dedicated to children's programs are growing at 15 a faster rate than the General Fund budget as a 16 whole. The children's program expenditures 17 rose 10 percent from Fiscal Year '99 to 2000 18 and are budgeted to increase by 8 percent from 19 2000 to 2001. Comparatively, the General Fund, 20 as a whole, increased by 4 percent from Fiscal Year '99 to 2000 and is budgeted to increase another 4 percent this year. This funding supports a wide variety of children's programs that benefit youth throughout the City of Philadelphia, including, 00086 but not limited to, all programs available through the Department of Human services, with the exception of the Division of Aging, the Department of Recreation and the Free Library and programs available through the School District. While the Administration is proud of the commitment it has made to Philadelphia's children, it is unquestionable that more must be done. Too many children are faced with insurmountable challenges in life and need a helping hand to ensure that they can grow in a healthy, safe, engaging environment. The Administration is eager to develop new avenues of funding that will increase both the quality and quantity of children's programs. Children are our most precious resource, and the Administration is committed to nurturing and enriching the lives of Philadelphia's children. However, as I stated at the beginning of my testimony, I believe that this ordinance will not necessarily accomplish this objective and may, at the same time, hinder the economic development essential 00087 to our city's future -- city's success going forward. I would like to address the issue of economic development and my belief that this bill would harm the growth that is so vital to the overall economic health of our city.

Ms. Davis

This bill would have an impact on most agencies that have traditionally administered and supervised economic development in Philadelphia -- the Commerce Department, PIDC, and PCDC. Notably, however, this bill would also have an impact on most City agencies dedicated to providing suitable housing alternatives for City residents -- the Office of Housing and Community Development, the Redevelopment Authority, and the Philadelphia Housing Authority. 61 million of community development block grant was allocated for community economic development. 5 million for loans and grants to businesses. 4 million to capitalize its small-business revolving loan 00088 fund, funded security rebate program, and funded facade treatment and other programs. 6 million to be allocated along its Enterprise Zone Program, Special Services District Program, neighborhood support services, and planning and pre-development program. In Fiscal Year 2001, the Commerce Department will fund nine community development corporations under its neighborhood support program. As the fund is presently configured -- as the bill is presently configured, all of this funding will be effectively reduced by the amount of the contribution to the fund. Any assistance being made to community development corporations to foster development in distressed areas of the City will be reduced if this bill is approved. 8 million. Over 17,500 jobs were impacted by these loans. As much as 50 percent of those loans were made to businesses choosing 00089 to operate in some of Philadelphia's distressed areas. I believe that this bill will adversely affect all PIDC loans and will adversely affect the ability of the City to foster economic development via PIDC programs. Importantly, this will also affect the ability of certain businesses to operate in some of Philadelphia's most distressed areas. For the fiscal year ending June 30, 2000, PCDC gave financial assistance totaling 7 million to 133 entities. These loans were made mainly to small businesses that act as the very backbone and life blood to Philadelphia's continued economic success. I fear that many of these small businesses may not be able to meet the specifications of this bill and would be severely impacted by these requirements. In the Office of Housing and Community Development's budget for Fiscal Year 2001, approximately $17 million was dedicated to housing production; $2 million was dedicated to employment and training programs; $8 million was dedicated to community economic 00090 development. Imposing the 1 percent requirement on this agency would drastically affect the funding that can be provided for the development of low- and moderate-income housing for Philadelphia's residents. Further, imposing this 1 percent requirement will limit the number of community economic development programs that would be available for Philadelphia's neighborhoods. The Administration cannot support any initiative that jeopardizes housing or communities development. It is important for me to emphasize that the Administration strongly supports the development of specific sources of funding that would allow for the increase of children's programs. However, taking funding from development projects and/or businesses committed to staying in the City could have a harsh effect on the City's ability to successfully thrive long into the future. We cannot risk jeopardizing the small gains we have made in recent years by enacting legislation that will reverse, slow down, or in 00091 any way affect this. Just as we recognize that even a minuscule increase in taxes can drive business and residents away, this measure being proposed today is no different. This may cause businesses or developers to look elsewhere to locations where the cost of doing business is lower.

Ms. Davis

In addition to my concern regarding how Bill 543 would stifle economic development in our city, I am concerned with certain fiscal ambiguities that I believe would create confusion within the business community with the practical application of this bill. I believe that attempting to determine 1 percent of some of the items defined by the bill as financial assistance would be difficult, if not impossible. For example, the Commerce Department and other City economic development agencies are involved in multi-million dollar HUD 108 loans for major development projects that target low and moderate job creation. Because of the broad definition of "assistance," which 00092 would include, for example, real estate tax abatements, these programs would be included and affected. I believe that this would ultimately be very bad for the overall economic health of the City. The broad definition of "financial assistance" makes it nearly impossible to calculate the full economic impact that the bill would have. No one questions the need to do as much as we possibly can for our children, but it is important to recognize that Philadelphia is a diverse microcosm, in which many different systems are interrelated and dependent upon each other. Encouraging growth in the business community will allow for an increase in both jobs and revenue in the City. This, in turn, will allow the City to give more back to its residents. Making a change in one system can have an adverse impact on another. We must nurture and foster growth in ways that the entire system can successfully flourish. The Administration is eager to work with Council to improve the level and quality of children's 00093 services and would welcome any input from Council regarding this matter. Thank you for the opportunity to appear before this committee today. I'd be glad to answer any questions at this time.

Council President Verna

Are there any questions from members of the committee?

Councilman Dicicco

I'll yield to the sponsor of the bill first.

Council President Verna

I'm sorry. Who wants to go first? Councilwoman Tasco?

Councilwoman Tasco

Thank you. Good morning, Miss Davis.

Ms. Davis

Good morning.

Councilwoman Tasco

Thank you so much for coming to testify. I represent an area in northwest and a strip called Wadsworth Avenue, and we have thriving businesses there. I mean, we've -- we have maybe one store that's vacant. And we can't get any support, or very little support, for community activities from these businesses. And a couple of years ago, the City gave some stimulus money for facade development 00094 and we put money in their businesses to help them improve the community, and we had to fight them 'cause they don't want to invest in the community, but they were taking money out of that community. There were people -- the stores were thriving. Most of them are eateries, so they're always filled. And there must be something going on up there 'cause you can get any kind of meal you want on Wadsworth Avenue. We also have a group of teenagers that hang out on that street. Now, one of the problems I have in that area is that I can't get funding for after-school programs or any programs from community development block grant because the neighborhood income is too high. So as the lady said from San Francisco, their program covered the entire city. So we are struggling to keep these kids off the street, we get very little support from the business community. So what are we to do? They come in there, do business, and then take the money across Cheltenham Avenue, Montgomery County, 00095 and Delaware County. And then to have to force them to participate in a program that will improve their businesses and make it look better. I don't see them leaving Philadelphia if we ask them for 1 percent of something in return for development. Not at all, not at all. (Applause.).

Councilwoman Tasco

The people who are doing business in the City, these are developers. They pay a fee to do business. They -- the community development CDCs, they hire developers, and the developers get a fee for doing those projects. So they're not poor, and they want to do business in this city. And we constantly hear -- I would love to have you rewrite this testimony to tell me how we could do it, because I don't see these developers running anyplace else to do development and not want to participate in this program. (Applause.)

Ms. Davis

We would love to work with you. 00096

Councilwoman Tasco

I heard the lady from San Francisco say that the business community, the Council didn't support them. And now everybody wants to support them because they have a funded program. I think that we wouldn't have so many families leaving the City, Councilman Kenney, if we in the past years had developed some way to reach out to all communities in this city and not just targeted communities, to bring after-school programs, to bring programs into the neighborhoods that would cut the crime, 'cause if I had after-school program in the Northwest, I wouldn't have those kids on Wadsworth Avenue in the afternoon hanging out. We would have something for them to do. So the benefit to the community far outweighs 1 percent of what these businesses would pay because they are thriving.

Ms. Davis

We would love to work with you to develop a mechanism to provide additional funding to all areas of the City.

Councilman Kenney

Is there an ability to work on that effort within the 00097 framework of this bill? And what suggestions and changes and recommendations would you make to amend this bill? I mean, obviously, you can't give them all to me today, but are there any things that come out in your mind that could be changed? I mean, n Councilman DiCicco's line of questioning on the $100,000 threshold limit, you know, was clearly a concern of his, and, you know, maybe if that threshold was raised to a level that doesn't hurt small businesses, that he could be, you know, supportive of it in full. So I guess my question is, in addition to opposing it, what is the Administration recommending we do to change it to make it more palatable and better?

Ms. Davis

We would need to look at some other opportunities to amend the bill. I'm not certain that this bill could be amended in its current form to get there, but we welcome Council's help to fashion something that gets us where the Councilwoman would like to go. 00098

Councilman Kenney

I guess, in deference to the Council President and as acting chair now, perhaps we could make a request that within two weeks or so, three weeks, you could come back with some written recommendations and amendments to this particular bill?

Councilman Kenney

Is that a sufficient amount of time, do you believe or --

Ms. Davis

I would think we should have sufficient time to come back with something that would get where we're trying to go.

Councilman Kenney

Okay.

Councilwoman Tasco

I would like to see the fervor of the Administration, not just this one, any administration in the City, come to Council and say, We are for something that's pro-children, pro-families that we're considering and -- (Applause.)

Councilwoman Tasco

With the same fervor that we get when they find ways to fund 00099 parking garages, hotels, which are all needed and I've supported, because I do believe Philadelphia needs to grow and thrive, but somehow, they've got to find a way to be enthusiastic about some of the initiatives that we take to provide funding for children. Shelly and PCCY have always talked about some small fund, at least a beginning, to help children. And all of the dollars that have been outlined here on of your testimony, most of that probably goes to services for children and youth and for juvenile crime. Very little of that 500-and-some million dollars would go to direct programs for children in the neighborhoods of the communities, so they've lumped everything that they've funded, that comes under the Department of Human Services that deals with children; it's not necessarily a program that is a proactive program. They may be preventive and they may provide services for children, but not preventable programs in the community.

Councilman Kenney

Miss Davis, how long do you think you guys would need to come 00100 back with some recommendations? And as Councilman DiCicco's informing me, I'm -- just one second. Miss Davis, just one second. As Councilman DiCicco mentioned just now, I mean, we're not looking for formal amendments. We could take written suggestions on what areas we need to concentrate on to make the Administration more comfortable with this.

Ms. Davis

We think we could have something in three weeks.

Councilman Kenney

Thank you. Are there any questions for Miss Davis? Councilman DiCicco?

Councilman Dicicco

Yeah, thank you, Mr. Chairman. Just briefly. You know, the tax abatement issue, and I think you may have heard my comments earlier. When you're doing your recommendations, would you also be able to give us some examples of what impact that may have? I mean, on the exemption bill that we did in 1997, a lot -- and I would suggest that if anyone has an argument with this that I think we had proven the fact that had it not been for 00101 the exemption tax in 1997, 35 buildings that are now occupied would have still been sitting out there vacant. What impact would any type of tax for this program, or any other program, have on that kind of development? And, again, not to be in an argumentive position here, but just to be able to look at it in a broader sense, 'cause I think what happens with this bill -- and, again, I support the intent of this wholeheartedly. I think that it may be a little bit too broad because when I look at the real estate portion, the abatement of real estate taxes, would this not be contrary to what we just passed a couple weeks ago, even so far as it relates to single-family residential properties? Is it the value of the property or is it just the tax that would be on that property? I mean, that's lower-income, moderate-income folks buy who were hoping they'd be able to buy homes and be a part of the fabric of this community. So, I mean, those are things that we really need to look at. And any recommendation 00102 would be helpful. Thank you, Mr. Chairman.

Councilman Kenney

Thank you. Councilman Clarke.

Councilman Clarke

Thank you, Mr. Chairman. Miss Davis, I was just thinking about possibly looking at something on the procurement side, where you have a more of a competitive environment. If we put out an RFP, maybe as a part of that RFP, there includes -- and I don't know how legal this would be -- some reference to favorable consideration if a particular respondent gives a corporate contribution to such a fund. And I've seen us do that in the past kind of unofficially on the housing side and it was relatively successful, and I don't know the legality of that, but I think that because it's the RFP process, you will not get bids out of kilter with the traditional bidding process because people are still trying to submit a competitive bid, but I think it will also give them some incentive to put something on the 00103 table as a corporate contribution.

Ms. Davis

We will be happy to look at that.

Councilman Clarke

Thank you. Thank you, Mr. Chairman.

Councilman Kenney

Any other questions for Miss Davis? (No further questions.)

Councilman Kenney

Captain? CAPTAIN MOONEY: Good morning.

Councilman Kenney

Good morning. CAPTAIN MOONEY: I've been asked to testify for the Police Department and give a law enforcement perspective on Council Bill 16 543. And through our experience in the Police Department and law enforcement, we know that juveniles and children who commit crimes generally do so when they're not in school or they're not otherwise constructively engaged. They're either truant or they commit criminal acts after school or in the evening or during the summertime. And we feel that idle time and the lack of constructive activities contributes 00104 to children's propensity for mischief and criminal activity. So the Police Department supports any effort or initiative which allows children to make constructive use of their time and reduces idle time, especially after school hours. The Police Department would want to encourage youth development and prevent crime and disorder throughout the City. Programs of activity and enrichment such as sports leagues, music lessons, after-school tutoring would be the types of programs that we feel could help reduce the incidents of juvenile crime and delinquency.

Councilman Kenney

Thank you very much. Are there any questions for Captain Mooney? (No questions.) (Applause.)

Councilman Kenney

Thank you very much for your testimony.

Councilman Kenney

Cheryl Oakman, Cheryl Weiss, Veronica Elias, Wanda Miale, 00105 Blondell Oates. (Witnesses come forward.)

Councilman Kenney

Good afternoon. Please identify yourself for the record.

Ms. Oakman

My name is Dr. Cheryl Oakman, and I'm the Director of the Center for Youth Development at United Way of Southeastern Pennsylvania. And I appreciate the opportunity to come before you today to discuss how important it is for the City of Philadelphia to create dedicated revenue streams to ensure the availability of more and better services for our children and youth. The Center for Youth Development basically came about as a result of the William Penn Foundation commissioning the United Way to study the opportunities and barriers to development of preteens and young adolescents in low-income neighborhoods throughout Philadelphia. This 1996 study was guided by literature on adolescents and how best to design programs for them. Youth development basically promote a shift away from an exclusive focus on problems 00106 of youth and going beyond mere prevention and intervention to address the full range of developmental competencies, supports, opportunities and services that benefit all young people, regardless of income and regardless of risk environment or whether problem behaviors are being displayed. Problem-free is not fully prepared and prevention and intervention alone is inadequate. I just wanted to address one of the things that you had raised a little bit earlier, Councilman Kenney. You were asking about -- or you were questioning whether or not it was useful to provide support here in this city, where most of our young people come from low-income families.

Councilman Kenney

No, that's not my question.

Ms. Oakman

I'm sorry.

Councilman Kenney

My question was, how do we develop a constituency citywide?

Ms. Oakman

I'm sorry.

Councilman Kenney

I believe that we 00107 always need to deal with our most at-risk kids with as much resources as possible. The problem that I face in representing the City as a whole and the problem that District Councilmembers face in representing districts that aren't as at-risk or doesn't have as many at-risk neighborhoods or families --

Councilman Kenney

-- is, What are we getting? is the mantra.

Councilman Kenney

And the argument comes, Well, we pay our taxes, we run our ball leagues, we run our programs, we run these things for kids, why am I about paying for people who live in neighborhoods who don't do that for their own kids?

Councilman Kenney

I'm not saying that's at a valid position, but it's a common position that people take, and in order to kind of develop a constituency broad base for this, we have to have answers for those people.

Ms. Oakman

Right. And I apologize 00108 for misrepresenting what you had said. I guess the point that I was going to make here was that I think that everyone can really benefit from youth development opportunities. If we look at some of the affluent communities throughout the country even, we are finding that while there may be opportunities in some of those communities for young people, all young people are not necessarily engaged in those activities. And this is where the youth development piece of it comes in and why it is so important for organizations like United Way who provide technical assistance and build the capacity of organizations to provide quality services based on a youth development approach where we're actually making things interesting and creative for young people and encouraging them to want to participate. If we look at, for instance, Columbine, which is a very affluent community, what we find is some major difficulties and crime, and that's because not so much that there might not have been things for kids to 00109 do, but young people now are not spending their time constructively, they're not utilizing their free time in a constructive way. National research has really shown that one key to whether or not youth receive needed supports to grow healthfully is their actual use of discretionary time. The non-school hours after school, on the weekends, during the summer is so important, and yet, in spite of this, the evidence in the Philadelphia study really demonstrated -- it revealed that 60 to 80 percent of young people here in the City are not spending their time constructively. Part of that reason was because they were not aware of things to do in their neighborhoods. There were actually a significant number of things for them to do, but they were not engaged. They were not engaged, they said, because they wanted more voice, okay? They wanted to be able to say what it was that was of interest to them. They wanted a wider range of choice. But one of the problems is that 00110 programs are -- agencies are developing programs and not asking the young people what it is that they would like to do, and then they wonder why the young people are not utilizing those services. So this is where the youth development model comes in. When this study was conducted, there was a youth opportunities council that was chaired actually by Reverend William J. ), who was the pastor of White Rock Baptist Church and now is president of the National Baptist Convention. And this council was actually charged to develop recommendations and an action plan that would synthesize the research findings and their own deliberations. And one recommendation was to shepherd an organization or an entity to develop a youth opportunity system for Philadelphia's young people. So in 1998, the United Way was funded by the William Penn Foundation to establish the Center for Youth Development for that purpose. We have a list of charges, ranging from promoting communitywide understanding of youth 00111 development, building the capacity of organizations to provide high-quality programs to increase access to youth development services by increasing collaboration and planning on a neighborhood level. There was also a question about the -- whether or not planning was taking place in neighborhoods. And there is a lot of neighborhood planning that is now being promoted, and community groups are beginning to talk about the need to have more and better after-school and how they might be able to address some of the barriers to young people actually participating. So in some cases, it's not always about whether or not opportunities exist; it's about whether or not young people are actually engaged in those opportunities. This is really a substantial opportunity, I think, for those of us who are working in this youth development field.

Ms. Oakman

Certainly, mothers of school-age children are employed and mothers receiving public assistance are now being required to work, so 00112 there's increased concern that young people on their own are not left unsupervised, but are, in fact, engaged. So this is really what the United Way has been involved with. I also wanted to address something that Councilman Nutter had talked about. The City of Philadelphia, for instance, has really made a significant commitment to youth development and to after-school programs, and so has private philanthropy. But one of the things that I wanted to say was that I do think that the source of funding really does make a difference. While it's important for the City, for public and for private funding, to make a commitment to this, it's also important that we have a permanent source of funding. When the administration, when the government changes, then the dollars are liable to go away as well. I mean, we certainly can't guarantee, you know, that those dollars would remain stable. So I think that having stable sources funding is very important. Also, regarding parental involvement, 00113 there was a question about that. There are some efforts also to increase parental involvement and support to provide parenting education, and I think it's real important that we also talk about the fact that this is another reason why we need so many more resources. Programs that are really effective in involving parents in a meaningful way really are able to do that because they provide a full range of services, not just for children, but for the entire family. And I think that that's what we have to do in order to really involve parents in the lives of children and to really educate them about how they might be able to better provide support to their kids. We have to address their needs as well, and that takes money. So that these -- for instance, in New York, the beacon schools, these are schools that provide a full range of community services, not just to children, but to the whole family. So that those parents are getting support right along with their 00114 children. So we have heard about a number of different creative funding streams, and I really urge you to think about supporting this particular bill. I think that it's time that the business community give back something for the investment and I think that, you know, that we need support from all levels of government, from all levels of the community. And so that's what I would say.

Councilman Kenney

Thank you very much. (Applause.)

Councilman Kenney

Whoever's next, please identify yourself for the record.

Ms. Elias

Hi. I'm Veronica Elias. I am the Executive Director of the Roxborough YMCA. And I thank you for listening to testimony about youth funding.

Councilman Kenney

Our pleasure.

Ms. Elias

It is my passion and it is my concern that we look at our kids and look at them in a different way than we have in the past. I think we all know that the messages 00115 that we send and the environments that we create are critical to the positive development of our children. When we surround our children with -- whether it be in school or home or in the community, it has a direct impact on the success of every child. That success means that they become caring, compassionate, and responsible adults, adults that just don't take from the community or take from the City but give back to the City and contribute in some significant way. I think we make the biggest mistake when we fail to connect the strengths and resources of one another together to create these positive environments. And the environments I'm talking about are environments that keep kids safe, environments that give them constructive use of time, as Cheryl had said, provide opportunities for growth, help kids feel good about themselves, encourage them to give back rather than to seek entitlement, and provide an atmosphere of fun and enrichment. That's an important component. As Cheryl said earlier, to engage 00116 kids, we need to have interesting and creative activities. We can't just offer programs and expect the kids to come if it's not what the kids want. As youth-serving organizations, we seek to create such environments through programs, and many of us share a common vision and envision what we all strongly desire: that our child care and youth programs are programs where staff consists of trained, caring adults or young adults who serve as role models of good character, models of honesty and integrity. And we all know that considering what's happening in our country now, we kind of need this. You know, we're sending messages to our children with what's been happening over the past couple of months with the campaign, with how the campaigns are being handle, with how the campaigners were handling it, and how the media is handling things. These are messages that are being delivered to our kids, so the messages are very critical in how we as adults role-model, not just, you know, in the 00117 programs themselves, but citywide, statewide, countrywide. And it starts somewhere and it can start with our programs. We need adults that role-model and teach respect for one another and teach kids to resolve conflict peacefully. When I came to Philadelphia six years ago and entered on June 13th, which was the first day of summer camp, I never saw such angry, frustrated little kids, 6 to years old. And how they resolved their 12 arguments with another is taking the gym bags, throwing it on the roof, punching one another, kicking one another, cursing one another out. There was a lot of anger and frustration. So we need to teach kids that, you know, this is not how you resolve conflict, that there is another way. Albert Einstein said that example is not main thing; he said it's the only thing. And I truly believe that. So I think a lot of how we reach our kids is through the staff that we have and the programs. Envision also programs filled with adults who lovingly guide and help children to 00118 see their gifts and talents and help them to blossom and give those gifts back, contribute back to the community. Adults who set parameters and teach responsibility. The parameters these days have gotten a little too far, and that's why we're seeing the violence and the dishonesty. And when I get a resume, I really have to check that resume because most of the time, many of the times, they're something's that's false on that resume. So kids easily lie, or young adults easily lie, you know, to get a job. So there's a pervasive, you know, dishonesty, a responsibility that's happening. It's because the parameters are too wide.

Ms. Elias

And in the programs, if we set contract parameters, we're giving kids the discipline they need to guide them in the right direction and not go off the track into something that will end them into a situation where they are facing the court. We need to teach kids that it's better to give back, rather than to just take. We need to have adults in our programs that 00119 provide opportunities to build skills and self-esteem. And adults who empower kids by asking for their input in planning the programs. And adults who really listen to kids, not just adults who say, Well, I think this is what kids need, but adults who can help the kids to decide what they want and what will be best to enrich their own lives. Picture the program content, envision the program content that includes opportunities for kids to make decisions, for kids to do something to give back to the communities, not that we are going to just keep providing for kids and providing for kids but that we will teach them that, you know, they need to contribute, or it's a good feeling, it will give them joy to contribute back. We envision programs that have scheduled time for play in a safe, constructive atmosphere. Creative activities, including art and theater and music, and activities that include physical fitness and mental challenges. Our kids are the most unfit these days. We are considered the fattest nation in 00120 the word, and a lot of it is our kids are overweight. They are not as physically fit, which has a ripple effect. You know, when you're not fit, you're slower. I mean, we promote physical fitness in the Y there's stress relief, there is -- you feel better, you're more mentally alert, there's a lot of positive effects, and it needs to start by teaching our kids that this is a lifelong journey of fitness, not only, you know, fitness, you know physically. Youth-serving organizations in the Roxborough cluster in the 5th District share this common vision with many others throughout the City who care about youth. Our vision is similar and our challenges are similar. Staffing and program content, quality equipment and affordable fees for family challenge us all. The unemployment rate has left many of us with a smaller pool of qualified candidates to care for our children. Our pay needs to be competitive, yet our fees need to remain affordable. The reality is that the 00121 qualified people that we need to work with our kids have families and homes and apartments and lives to feed and school tuitions. Children need consistency in their caregivers; yet, we find high turnover, sometimes a revolving door of good caregivers because of good pay. We can't buy a caring adult, but we can attract a greater pool of qualified candidates and retain current staff if we can offer competitive salaries. Often when we do hire camp counselors or caregivers, we need to offer extensive training -- child-abuse, child development, conflict resolution, curriculum implementation, and creative activity development -- because often they come to us without these skills. Although grants for supplies and equipment and subsidy for families to pay for child-care and youth programs are available, the funds do not cover the extent of needs for ensuring quality environments. I am still seeking funding for just a plain youth playground to replace one that was taken away two years ago because it was old and no longer 00122 safe. So I am still seeking funding for that simple basic playground. Families struggling to make ends meet do not qualify for subsidy at times and are tempted to leave their school-aged children at home during the school year and in the summer months because of costs of the programs. And these are among the families that need additional support. So staff, equipment, training costs subsidies are the very things that challenge our ability to offer consistent enriching programs and offer new programs and provide subsidies to meet the needs of families.

Ms. Elias

Funding would not only help to ensure the quality environments our kids need but also provide for more initiatives. In creating healthy environments for kids, extensive research was done by the Search Institute in Minneapolis that found that kids need environments to help them develop skills of schedules of resistance, resiliency, and the ability to thrive in the environments in which they live. 00123 Asset development combines parents, schools, the community, and congregations to surround their kids with a positive and comprehensive environment. It focuses on how we relate to kids as well as the opportunities that we provide for them. With funding, staff and youth programs could be trained in initiatives such as asset development with partnerships throughout the City and the community being strengthened. Funds could be used to identify the best initiatives in the community and the best initiatives in youth programs throughout the City. These successful initiatives could be forwarded to other organizations through training and resource- sharing. And these are just some ideas for new and better ways to serve kids and families, but additional funds would be needed. Finally, overall, the benefits of greater support to kids and families includes the assurance of positive environments, with qualified staff, where kids are safe, valued, nurtured, and given opportunities to succeed. It would provide for opportunities for kids to 00124 be involved in interesting, constructive activities that actively lead them to be contributors rather than takers from the community. And, finally, it would leave no doubt that the City of Philadelphia, its school, its businesses, organization, and government greatly supports its families and children. It's the right thing to do and it makes good business. Thank you.

Councilman Kenney

Thank you very much. (Applause.)

Councilman Kenney

Good afternoon ma'am. Could you please identify yourself for the record.

Ms. Oates

Good afternoon. My name is Blondell Oates. I am the Director of the Nicetown Boys and Girls Clubs of one of the sites for the Boys and Girls Clubs of Philadelphia. There is currently running a PSA that, as the music comes up, you hear a voice 00125 that many of you would probably recognize as a well-known actor. And the question that is asked, it's 3 o'clock in the afternoon, do you know where your child is? And those of us who are in youth development agencies and serve youth, that is the question that we are part of asking, and also the services we provide are the answers that we hope we are giving. The Boys and Girls Club, as the PSA goes on, it tells about different things that happen to youth at 3 o'clock every afternoon across the country, because lots of times, that is a question that cannot be answered as to where they are. And at the end of the PSA, it says, Come to Boys and Girls Clubs, the positive place for kids. And as we think about youth service and youth development, that is what we have to keep as our focus, providing positive places for children to go so that we are all a part of the support system in our communities. Why? Because there is the need, and the needs are many. One is that youth development 00126 agencies are in a position of having to support the efforts of our neighborhood schools, we're in the position of having to support parents' efforts, and we are in the position of having to be a viable force and a viable part of our communities. When we look at the developmental characteristics of the youth we serve, at different points in their lives, the needs are different. If we are talking about preschool, we have a certain set of characteristics that we must address at that point. If we are talking about school age, we are looking at a certain set of characteristics. And when we are talking about our teen population, we're looking at an even different set of characteristics. I can speak for Boys and Girls Clubs. Through our programs, we address five basic core areas, and the things that we're looking at working with youth are in the areas of character and leadership, in the area of education and career development, looking at their physical education and their social 00127 recreation outlets, involving them in cultural arts and also in health issues. We have programs that are developed and built for prevention, and we believe in youth service and in youth development agencies that prevention is much preferable to intervention. When we get to the point of having to intervene, then we're talking about an entirely different kind of program that youth need. Our goals are common as far as serving youth. All of the agencies in the City of Philadelphia now measure the outcomes of the goals we set, and this is helping us to establish how well we are doing with the different programs that we develop and administer at our sites. "It takes a village." That is a saying that I think has been beaten quite well in the last few years, but my take on "it takes a village" is that it actually takes a community, it takes all of us, through, quote, collaboration, through the support for programs, through the schools, through parents, 00128 and, yes, through government, too. Thank you.

Councilman Kenney

Thank you very much. (Applause.)

Councilman Kenney

Thank you very much for your testimony. Reverend Vincent Coles, Reverend Isaac Miller, Mary Veitz, Mary Laney. (Witnesses come forward.)

Councilman Kenney

Do you have any idea how many more?

Ms. Yanoff

We have one more.

Councilman Kenney

Yes. Is that it?

Ms. Yanoff

I think so. Oh, one more, one more is coming.

Councilman Kenney

How many?

Ms. Yanoff

One more.

Councilman Kenney

Okay. Good afternoon. Whoever would like to start is fine. If they can just identify themselves for the record. Reverend, thank you. 00129

Reverend Laney

Good afternoon.

Councilman Kenney

Good afternoon.

Reverend Laney

I'm the Reverend Mary Laney, Pastor of St. Gabriel's Episcopal Church and Board Chair of Urban Churches at St. Gabriel's, located at Front Street and Roosevelt Boulevard. I also serve as a board member of Episcopal Community Services and the PIA, Philadelphia Interfaith Action, a premiere community organizing organization of 40 churches and institutions throughout the City who are affiliated with the National Industrial Areas Foundation. I speak in support of the bill before us today. And thank you for your leadership, Councilwoman Tasco and others, in proposing this initiative for the well-being and development of the children of our city. In my work with Episcopal Community Services, which sponsors three after-school programs and the 40 churches and institutions of PIA who work with children and youth, as well as the founder and current board chair of Urban Churches at St. Gabriel's, I experience 00130 daily the critical need in our neighborhoods for after-school programs, especially in low- income communities but throughout our city entirely. I also experience the awesome success of children who participate in these programs. Currently, at Urban Churches, we offer five after-school programs, both onsite, in our church building, and in three public schools in the Olney cluster. During the summer, we offer three summer day camps. Through these programs, we serve other 447 children each year by providing experience in arts, academic assistance, literacy, English as a second language, computer skills, conflict mediation, leadership training, and a variety of enrichment opportunities. When we opened our doors ten years ago for just two afternoons a week with just eight children, we had no idea then how great the need was. Or how beautifully the children would blossom from this tiny seed that we had begun to sow. Because our community is a world 00131 where 53 different languages are spoken, we chose our initial focus to be art so that we could transcend the barriers of language, race, and culture. And as we built relationships and trust, we discovered the hunger for the learning of reading, math, computer, music, dance, and the thirst for being in a nurturing community. Miracles happen every day at Urban Churches at St. Gabriel's. Children who barely passed in schools are on the honor roll. Eyes widen with delight when a piece of pottery is completed, when a hundred books are read from cover to cover, or when the mystery of multiplication is mastered. Children who never touched a musical instrument beamed with pride and delight as they played their drums and percussion instruments in the Mayor's reception room last spring, on the invitation of Councilwoman Tasco. We are proudly and profoundly touched when children arrive and parents arrive tired from that long day of work, maybe two or three jobs, and they gather their children in their 00132 arms, knowing that they have been safe in those afternoon times. We all know what the statistics show, we've heard it here today, and we've heard it before. Children who experience nurturing and support in safe places experience positive role models and mentoring, who experience encouragement in academics through tutoring, who have opportunities to discover and share their creative spirits, these children succeed. Parents who know that their children are safe and well work. They lose less time at their jobs and they are more productive in the workplace. These families succeed. In the final analysis, the City of Philadelphia succeeds. And it's an investment that we cannot afford not to make. It's been said that a society is judged by how well it cares for its most vulnerable. And the children of this city are our children. In the 21st century, after-school programs need to be a part of the fabric and structure of our city life. They need to be available for every child throughout 00133 our entire city and for every family.

Reverend Laney

Out of my experience with after-school programming for ten years, I would like to offer the following two suggestions for consideration: That the current bill include funding for sustaining existing programs as well as program expansion and new programs. Securing funding sources for maintaining current programs becomes more and more difficult for existing programs. The popular trend to only support bigger and/or new programs often means that ongoing successful programs are forced to cut back or closed because funding is no longer available. I've seen it happen. There is nothing more devastating to a neighborhood than to lose an after-school program that was a bright light of hope to working poor families. It is irresponsible and even cruel to have children families taste hope and then allow it to wither away. These programs need to be sustained. And, number two, instead of creating another bureaucracy with a board of governors, 00134 City Council and the Mayor could designate like Philadelphia Citizens for Children and Youth to administer the funds. This would draw on the resources of a highly respected organization, in partnership with our elected officials and after-school programs for the welfare of our children. There is actually a precedent for this in our funding for the elderly, through the Philadelphia Corporation for Aging. But, again, I would like to commend you all for your leadership in seeking to make Philadelphia more child- and family-friendly. The fund for Philadelphia's children is a symbol and a step, a symbol to our nation that in the birthplace of America, children are highly valued treasures. Here, there are no 18 throwaway children, or we hope there will never be. It's a step into the 21st century that recognizes that we will be judged by how we care for the most vulnerable of our society. This bill needs to move forward for the welfare of all of us. It's an investment we cannot afford not to make. Thank you. 00135

Councilman Kenney

Thank you. (Applause.)

Councilman Kenney

Please identify yourself for the record.

Ms. Veitz

Good afternoon.

Councilman Kenney

Good afternoon.

Ms. Veitz

My name is Mary Veitz, and I'm the Center Director for Hope Day Nursery. Hoe Day Nursery is a child-care center located in North Philadelphia, serving children in the community from six weeks to five years old. We come under the auspices of Associated Day Care Services, Incorporated, one of the oldest nonprofit day-care centers in Philadelphia. Our mission is, and has always been, to provide quality child care to low- income children. We are State-licensed and have recently become an accredited center through the National Association for the Education of Young Children. I am here today to solicit your support in signing Bill 543. In order to provide quality child care, additional 00136 financial resources must be made available. Over the past two years, I have had the experience of working diligently in order to turn a center around that was in jeopardy of closing due to continuous low enrollment. While my endeavors were successful, our success would not have been possible without having access to additional funds from foundation and grant money. In July 1998, I became the Center Director for Hope Day Nursery. My role was to help revitalize our program and the staff in order to increase enrollment. In September, as a result of our State inspection, we were issued a provisional license based on the physical condition of our building. The center was in dire need of painting and general repairs. When the information was reported to the executive director and the board of directors, it was evident that there was no 22 money in the budget to have the necessary repairs done that would enable us to receive a full one-year license. I had contacted one of our resource 00137 centers to inquire about purchasing some used equipment at a reasonable price so that we could brighten the classrooms. That is where I found out that there was foundation money available to improve the quality of our center. From January 1999 to January 2000, my staff and I worked relentlessly. Our goal was to meet the high-quality criteria standard of (unintelligible) in order that we could become accredited. Using foundation money, we were able to renovate our center. The walls were painted, new tile floors laid, and carpets installed where necessary. Child-size and adult sinks were installed in the classrooms in order to satisfy health issues for the children. New ceiling lights with plastic covers replaced the old, dim fluorescent lighting without any protectors. Fire escape doors with panic bars replaced the doors that were difficult to open. We were able to add child-sized handrails to our fire escape and to weld or replace the steps that were loose or rusted. In the outside play area, a 00138 splintered loft was now sticking up that had been erected many years ago was demolished and rebuilt with consideration to the children's head and torso measurements. Old, ineffective safety surfaces were updated with new thicker padding that provides much more protection. Also with foundation money, in each classroom, we were able to purchase much-needed age-appropriate materials that are necessary to develop children's learning schools. Careful selection of these objects introduced or enhanced pre-reading and pre-math concepts. These items are displayed on new labeled shelves, which are at the children's eye level, thereby promoting decision-making and a print-rich environment. To make further valuable use of foundation money, my staff and I attended an array of workshops. From administrative standpoint, I was able to strengthen my leadership and management skills. My staff was reeducated on developmentally appropriate practices with children. Today, we are cable of producing activities that are fun-filled and 00139 have an educational component. I am using money from the State of Pennsylvania to further educate my teachers.

Ms. Veitz

Four of the five teachers who are eligible are in the teach program in the Community College of Philadelphia, pursuing their child development certificate. In addition, two new staff members are taking early childhood classes, which are paid for with foundation money. By the end of the year 2001, 11 of my 12 staff members will have a college degree or their CDA certificate while. This story is long, it is a successful story. Because we had access to additional financial resources, we were able to take a dismal situation and turn it around. Today, we are a thriving, nationally accredited center. I implore you to sign Bill 543. In order for child care teachers and administrators to make a difference in the lives of little children, we need additional financial resources. We need you to advocate for the investment of children so that we can 00140 make a positive impact on their lives and lay a strong foundation so that every child in our care has the opportunity for future successes. Thank you.

Councilman Kenney

Thank you. (Applause.)

Councilman Kenney

Good afternoon, Reverend.

Reverend Coles

My name is Reverend Vincent Coles. I represent the Mount Carmel Church, where Reverend Albert F. Campbell is pastor. And I there am the minister to youth. I'm also the president of the Mount Carmel Human Development Corporation, which is a nonprofit charitable organization under the Commonwealth of Pennsylvania. I support Bill 543, and I would like to thank the Council people for putting this bill in because it's an important one. I was a resident, or have been a resident in Philadelphia, since 1960, educated in the Philadelphia school system. And the Philadelphia school system provided extracurricular activities to me while I was a 00141 child. There were days when I went to Henry Charles Lee Elementary School that I didn't get home till or o'clock because I was 6 participating in a math club or a science club 7 or the choir or playing on the basketball team. And when I attended West Philadelphia High School, I participated on the debating team and on the drama club. I was on the year book staff. I played in the baseball team. And there I also kept late hours. Because I always had something to do or somewhere to go, I stayed out of trouble. And statistics show that the hours that most youth-related crimes happen are between the hours of and daily. And as my children attended the Philadelphia school system, I found out that some of these extracurricular activities were no longer available. They didn't have jazz band, they didn't have acting and some recreational programs. So over the past five years at Mount Carmel Baptist Church, we've expanded the work 00142 that we're doing in the community to try to meet the needs of the kids and the families that live there. We created a seven-week summer camp, called "Camp Discovery," that serves more than 200 children a year between the ages of 5 and 18. In this camp, what we try to do for kids under 12 is have them take daily trips so they can be exposed or discover places that they've never seen before. So last year, we took them on tour to almost all of the City museums, to the Zoo, to the aquarium, to nature reserves, to amusement parks, to Blue Rocks baseball games in Delaware, to the Eagles training camp. We took them to the Broadcast Journalism Museum in Alexandria, Virginia. And they had a historical trolley tour of the City of Philadelphia. These young people from the ages of 12 to 18 who participated in our camp either participated in our drama camp or our computer camp for the same seven-week period. In the computer camp, they got involved with creating a Web site and looking at satellite 00143 communication. In the drama camp, they were exposed to a casting director and some talent agents, and they put together a resume and had head shots. And, finally, they were able to put on a showcase, where they exhibited the talents they had learned over the past seven weeks. We also are involved in an environmental service group, called "Operation Clean Sweep," which provides cleanup services to block clubs and also services vacant lots in our community. And most recently, we started an after-school program, which is now two weeks old, which collaborates with the Commodore Barry Elementary School at 59th and Race Streets, where we work with about 50 children 5 days a week, where our goal basically is to see that the young people increase their performance by at least one grade level over the course of the year. At Mt. Caramel, we have over 27 programs for youth, and we are looking to touch the lives, and we are touching the lives, of over 800 young people and their families. Our 00144 youth programs were recently documented on CBS Sunday morning news program over the Labor Day weekend where Mount Carmel was shown as a model for others to follow with regard to working with children.

Reverend Coles

However, as a member of a faith-based operation, it's difficult to fund our youth program with church funds which seek additional funding, so we scramble around looking for a foundation and corporations on a daily basis. We have found that the only way to get good people to provide consistent and effective services to our children is to assemble a paid staff. And over our brief history, we found that the operation of these programs with a system of volunteers doesn't work for us. Therefore, any additional source of funding to expand our operation is an answer to prayers. Therefore, I am encouraged to see that the City of Philadelphia, through this bill, is considering setting up a fund to provide dollars to pay for new programs and expand existing initiatives for Philadelphia's children. I am delighted that the fund will be 00145 able to provide operating and capital costs for after-school care, for summer camps, and for day care facilities. I believe that it's important for the City to work with nonprofit organizations and churches to provide them with the resources that they will need to bring their facilities up to code and to provide resources that will benefit our children. By this action, the City will be able to provide additional locations for the needs of the children and also empower these organizations that exhibit a passion for this needed service. I thank you.

Councilman Kenney

Thank you very much. (Applause.)

Councilman Kenney

Sir, please for identification.

Mr. Hodge

Hi. My name is Samuel Hodge. It's a pleasure to see you, Councilman Kenney and also Councilman Clarke. Everyone else up there I don't know, but it's a pleasure. 00146 Where could I start. I guess I could start by saying I'm a volunteer crossing guard for Bethune Elementary School. I watch children every day come from different types of homes. I watch them come in sometimes with bad clothing on, sometimes dirty, sometimes sleepy, sometimes hungry. I identify the fact that the neighborhood that I live in isn't exactly the greatest in the world. However, I also have a tremendous love for children. I can take that back as far as years ago, when I was capable of working as a working parent. Today, I'm disabled. I'm a Vietnam war veteran real angry at the world for different reasons. And I'm angry -- last week, I said disappointed with because they don't care enough about children. That hurts me. I mentioned to one of my colleagues here that I came in here today, crying. I cried halfway down here, all right? I have a strong, tremendous belief in God, all right, very strong. I believe that what's right will happen. I also believe that the things that I see are changing today. I 00147 know that what happened in the 1950s is no 3 longer what's happening in the year 2000. To date, children raise children. They have peer pressures, which is crime-related, all right? I don't see how a child can raise a child. I identified years ago that it takes different words of comfort, love, guidance to take a child through a process of growing. I heard a lot of different stuff and I did a lot of listening today. The major thing that I heard was in order for Philadelphia to thrive, Philadelphia also has to sacrifice and identify it as a future that you won't see today. Our children are the future of tomorrow, and if you don't do something today, we're losing. I don't think there's much more I can say besides that, and I support this bill, and I believe -- and I believe that you're all trying to find a way to make it work, but I support the bill.

Councilman Kenney

Thank you very much, Sam, for your testimony. (Applause.) 00148

Councilman Kenney

Please identify yourself for the record.

Mr. Cotts

My name is C. ) and I am a retired United Methodist minister and a retired Vice President for Programs of the William Penn Foundation. I mentioned that latter because I wanted to make some comments before I talk about after-school programs to set a context, and I do this with your indulgence, please, not to think that this is something that I'm being bragatorial (sic) about, but rather to state some facts. William Penn Foundation, with my initiative, started that United Way Center for Youth Development. Councilman Green (sic), you talked about parenting, and the foundation ran for ten years, and I think is still supporting a child-abuse prevention program, which focuses primarily on parenting education as a prevention tool. When we started that program, we surveyed the 15 largest grantees of the Department of Human Services. We asked the question of what their total budgets were, and 00149 it was in the millions, of course. And we asked how much of that was given for primary prevention, prevention before child abuse began. The aggregate for the agencies was 6 $18,000. 7 The William Penn Foundation 8 subsequently, in the ten years that I was 9 there, before I retired, put $15 million into 10 neighborhood-based child-abuse prevention 11 programs. We put over $10 million in the 12 Violence Prevention Program, starting in the 13 mid-1990s. We put $15 million in Philadelphia 14 libraries for children's programs, and the last 15 of those is going to be dedicated on December 1st. I hope you will be there. We started a summer day camp program 13 years ago, which funds day camps in poor neighborhoods, 120 of them a year. We started the Park Ranger Program that Councilman Nutter certainly knows about. And, finally, we initiated a career exploration program in the summer that has served over 40,000 young people since 1982. It's multiple fund by about 30 different foundations. It's career-related, and it's in 00150 the private sector, private-for-profit center. Now, I say that time that not to claim my involvement with those, which was significant, but to point out that foundations are doing and the private sector is doing in a preventive way, in a developmental way things that the City is not doing with its funding, meager as it is, I know. I'm a taxpayer as well and a resident. In 1997, a number of educators who are members of the first United Methodist Church of Germantown began meeting with the principal and cabinet of Germantown High School. And drawing on everyone's experiences and the needs assessment at the high school, we developed an academically-focused after-school program for academically at-risk 9th-grade students. We are now in the third year. That program has three objectives, and I'll have to add a fourth because of my friend Councilwoman Tasco's 543. The first objective is to help at-risk students improve their chances of becoming academically successful and being 00151 promoted to the 10th grade. The second objective is to reduce risk of 9th-grade students dropping out. The third objective is to provide a safe and nurturing after-school environment. And the fourth one that I will add provides an employment base for the businesses and industries of the City of Philadelphia. We searched the Internet and found very little by way of research and evaluation of academic programs for high school students; they are few and far between. But we did note some things. The 9th grade introduces an academic program that's difficult for some students. The transition from smaller neighborhood middle schools to mega high schools is often traumatic for students who encounter an altogether new learning environment. Ninth-grade students are developing going through many adjustments, and this is the age at which young people become more independent and too often act out and test their own independence by engaging in risky 00152 behavior.

Mr. Cotts

The National Center for Juvenile Justice reports that violent crimes by juveniles, violent sexual assault, murder, robbery, and aggravated assault is four times the rate during the hours from 3 to as it is 7 at any other period in the day. Finally, we knew that, sadly, half of Philadelphia's school dropouts occur in the 9th grade, half of Philadelphia's dropouts occur in the 9th grade. So we started a program by identifying in the high school, in the 9th grade, those students most at risk. We talked to their parents, we talked to the students. And our promise to the parents and their guardians was that absentees would be reported to home and work by phone each day. We're not a babysitting service, but in an era of uncertainty on the streets, families wants to know where their youth are. The church has raised all of the financial support for this program -- just shy of $60,000 a year, plus the cost of technology, we have two computer labs. This year, for the 00153 first time, City support has been made available for an additional slots. We are of 29 programs benefitting from $1 million from the City, administered by the United Way. We hire the best Germantown High School teachers possible. And here is important point: After-school programs must be tied to the schools. I remember an embarrassment at an after-school program that I had in a church in Brooklyn four years ago, when we learned that well-meaning laypersons were teaching math using one method, while the students were learning math, using a different method in school. We were doing them a disservice. That is why we equipped the computer labs, so that we could be in conjunction with the schools. And we have a snack period because these kids are hungry. They eat $55 worth of fresh fruit, juices, and good, healthy snack food every day. They have three classes every day, algebra every day, 'cause that's the 9th grade juggernaut of academics. We have English everyday because the 00154 principal feels that reading and writing is the basis for all learning in his school. And then on alternate days, social studies and science. And then there's use of computers every day. Also available to the students is a counselor that we hire -- not a counselor from Germantown High School but from another school so that he did not know the students. We do foreign language and other kind of tutoring on a one-to-one basis, as needed. Does it work? You bet it does. We have developed a three-part evaluation that is continually being perfected. Students in this program for academically at-risk youth do better than the 9th grade as a whole. Our program students have a better attendance rate than other 9th-graders or the school as a whole. And in algebra, our program students did 27 percent better than the other 9th- graders. None of the students that we have touched over the three years have dropped out of school. Regrettably, not all passed to the 9th grade. But last year, 30 percent of 00155 Germantown High School 9th-graders; 77 percent of our students passed through the 10th grade. And those that don't pass have earned more credits than they would have otherwise. There are many side occurrences -- well, I'll skip that paragraph. One final story. After the first year, the 9th grade students complained that they could no longer participate in a program that they value. So we added a program. Once a week, we provide supper for 10th-graders and church volunteers in a mentoring program with an academic focus especially on the 10th grade math problem, geometry. At the end of that year, we got the same requests from those same students. So now we have a third-year -- in the third year, a 10th-grade program and an 11th-grade program serving more than 30 students. Again, this program serves 45 9th-grade student for 3 hours and 5 minutes daily, Monday through Friday. But, regrettably, I must share with you a few other statistics.

Mr. Cotts

There are 500 9th-grade students in Germantown High School; we are serving 45. There are 28 comprehensive 00156 high schools in the City. If my information is correct from the former superintendent of schools, we are the only academically-based high school program serving those 28 schools. After-school programs are critical to young people, but they are equally important for at-risk school students, high school students, but the programs must be professional, comprehensive, and consistent. After-school programs cannot be only custodial in nature; they must be developmentally and educationally sound. And that's why Reverend Coles argued for a professional paid staff. It is not enough to connect well-meaning volunteers with needy students. I am a volunteer over hours a week. Our 18 academic director, who is a retired 19 Philadelphia high school vice president, is a 20 volunteer. We have over 20 church members volunteering, but we need the core professional staff. It costs $1,500 per student a year, but it's an investment in the future, it's an investment in the business future of this city to have a good workforce. 00157 Thank you. )

Councilman Kenney

Thank you very much. I understand there's one more witness. (Witness comes forward.)

Councilman Kenney

Thank you very much for your testimony.

Ms. Miale

Good afternoon.

Councilman Kenney

Good afternoon please identify yourself for the record.

Ms. Miale

Wanda Maiale, from Congreso de Latinos Unidos.

Councilman Kenney

Please proceed.

Ms. Miale

Just in the interest of time, I'm going to try and summarize. I really do have a brief statement. Again, my name is Wanda Miale, and I'm representing Congreso, which is really the largest, as many of you know, one of the largest providers of health and human services in the North Philadelphia Latino community. And while we do focus many of our bilingual 00158 bicultural services specifically to Latino families, many of the thousands of families that we work with are non-Latino. And, in fact, 40 percent of the children and youth that serve through our after-school and summer programs are African-American. I will just give you a brief sort of sentiment about the Latino community. Many of you know, it's the fastest growing segment of our population, and it, in fact, has had 70 percent growth over the past years. And 13 yet, that community faces many challenges. 14 In Philadelphia, there are 60 percent 15 of Latino children living below the federal 16 poverty line and a 49 percent school dropout 17 rate, a rate that exceeds all other ethnic 18 groups in the City. In addition, 55 percent of 19 Latino adults are unemployed or underemployed, 20 66 percent lack a high school diploma, and one-third cannot functionally speak or understand English. As many of you know, some of these challenges have been compounded by welfare reform, which occurred for us in our community 00159 on March 3rd of 1999, and while there have been sort of organizations, churches, community-based organizations, like Congreso, who have been working very hard to help families really sort of -- sort of manage the changes and the challenges of welfare reform, still, many of thousands of children go home to a household where there is no caregiver or parent present for them after school. Congreso and other community organizations are working hard to sort of identify the tools or to help families identify the tools and resources they need to become self-sustaining, tools like parenting education, after-school programming, truancy prevention efforts, job training, and much more. During this past fiscal year, Congreso offered free after-school programming and summer programming to over 700 children this the North Philadelphia community. Of these, over 100 were high school and college-age youth from our community who are provided with extensive youth development 00160 training and jobs in our programs. These comprehensive educational "North Star Programs," as we call them, provide culturally-appropriate academic enrichment, recreation, drama, arts, technology and leadership development activities for children ages 6 to 14. The good news is that these programs exist and that kids are really accessing them and participating in them and that there are jobs for older youth in our community. The sobering news is that there were thousands of applications submitted by low-income families for their children to attend the program and only 600 available slots. Congreso and other community-based organization and churches have limited resources and capacity to search the growing number of children and youth who seek our services. Financial support from the proposed fund for Philadelphia's children could help us all increase the vital programming for low- income youth. Parents want and need quality 00161 programs to enrich and nurture their children during non-school hours. And the fact that they are poor or cannot afford their children to costly summer camps and after-school programs should not exclude them from the opportunity to place their kids in well-run, high-quality programs in their own neighbor. Philadelphia, as a city that is committed to addressing the multiple needs of families and communities, must support parents in securing a better life for their children. It's what we all want. We want a quality, good, and healthy life for our kids, and it's what our children deserve.

Ms. Miale

Bill 543 represents an opportunity for all of us, an opportunity to provide the necessary resources to strengthen the lives of children, youth, and families in the neighborhoods throughout the City of Philadelphia, an opportunity to provide comprehensive educational programs for children and youth during non-school hours, and an opportunity to create partnerships between the School District, community agencies, and 00162 foundations and the City government to broaden the impact of our collective efforts. Most importantly, Bill No. 543 represent an opportunity to help communities help themselves. I'm going to end by asking you to support fund for children's ordinance because the children, youth, and families of the North Philadelphia Latino community really need it and because we believe that Philadelphia really does care about kids.

Councilman Kenney

Thank you. (Applause.)

Councilman Kenney

Thank you for your testimony. That concludes today's testimony. As a result of the Administration's testimony from Janice Davis relative to a three-week period that they require -- that they require to come up with some recommendations for this bill, the Chair will recess this hearing until Monday, December, 11th, at 10 a.m., at which time we will hear back from the Administration on their recommendations for improvement and/or change. 00163 Thank you all for your attendance. (Adjourned at 1:25 p.m.) - - - 00164 C E R T I F I C A T E I HEREBY CERTIFY that the foregoing proceedings of the Council of the City of Philadelphia of Monday, November 13, 2000, were reported fully and accurately by me, and that this is a correct transcript of same. RE: COUNCIL COMMITTEE ON RULES BILL NO. 000543 __________________________________, JOSEPHINE CARDILLO, Registered Professional Reporter