Committee Hearing, March 21, 2000

COUNCIL OF THE CITY OF PHILADELPHIA PUBLIC HEARING AND PUBLIC MEETING BEFORE THE COUNCIL COMMITTEE ON FINANCE - - - Room 400, City Hall Philadelphia, Pennsylvania Tuesday, March 21, 2000 11:25 a.m. - - - BILL 000015 - Amending Section 19-203 of the Philadelphia Code, entitled "Payroll Deductions," by adding a new provision to allow for payroll deductions by Philadelphia firefighters for insurance premiums paid to the Hartford Life Insurance Company. BILL 000122 - Amending Section 22 of the Philadelphia Code, entitled "Public Employee Retirement Code," by amending Section 22-1303, entitled "Exemption From Attachment," to add the German-American Police Association to the list of designated payees to whom a member may direct deductions from benefits payments, all under certain terms and conditions. PRESENT: COUNCILWOMAN JANNIE BLACKWELL, Chair COUNCILMAN FRANK DICICCO COUNCILMAN JAMES F. KENNEY COUNCILMAN MICHAEL A. NUTTER COUNCILMAN BRIAN J. O'NEILL COUNCILWOMAN MARIAN B. TASCO - - - VINCENT VARALLO ASSOCIATES, INC. Registered Professional Reporters Eleven Penn Center, Suite 600 Philadelphia, PA 19103 (215) 561-2220 2 /99 FINANCE COMM. I N D E X Bill 000015 Thomas O'Drain, Vice President. . . . . . . . 4 Firefighters Union Bill 000122 Joseph Herkness (Written testimony only - attached.) 3 3/21/00 FINANCE COMMITTEE - BILL 000015 P R O C E E D I N G S

Thank you. We will now convene the Finance Committee for Bill 5 No.'s 000015 and 000122. I will note that we do have a quorum. To my left is Vice Chair Marian Tasco; to her left, Councilman Brian O'Neill; and Councilman James Kenney is here, he only stepped out for a moment. And with that we will ask the clerk to read the title of -- I'm sorry. He was sitting here when I came to my right is Councilman Frank DiCicco, just sitting here, being a good person, working hard, and we just totally ignored him. Councilman DiCicco, thank you.

You're welcome.

And with that, I will ask the clerk to read the title of Bill No. 20 000015.

An ordinance amending Section 19-203 of the Philadelphia Code, entitled "Payroll Deductions," by adding a new provision to allow for payroll deductions by Philadelphia firefighters for insurance premiums paid to the 4 3/21/00 FINANCE COMMITTEE - BILL 000015 Hartford Life Insurance Company.

All right. Is there anyone here to testify on Bill No. 15? (Witness comes forward.)

Thank you. Welcome. Please identify yourself for the record and proceed with your testimony.

Good morning.

Good morning.

My name is Tom O'Drain. I'm Vice President of the Firefighters Union.

Excuse me, Mr. O'Drain. Would you please your spell last name for the stenographer.

I'm sorry. It's O, apostrophe, capital D, R-A-I-N.

Thank you. Proceed.

Good morning. I'm here to discuss the payroll deduction of voluntary group life insurance for the Philadelphia firefighters. This is a great opportunity for the City, the Firefighters Union and, most importantly, the firefighters. We have negotiated 5 3/21/00 FINANCE COMMITTEE - BILL 000015 with Hartford Life Insurance Company to provide additional life insurance benefits to our members. The plan offers active members the opportunity to purchase $25,000 to $100,000 in additional life insurance coverage to protect their families in the event of their death. This coverage is being offered at standard rates, with no surcharge, for our dangerous occupation, or for smokers. This coverage is offered on a guaranteed issue basis, which means no medical questions will be asked, and all who apply will be covered. This is an exceptional opportunity given the current status of the hepatitis C epidemic. The City of Philadelphia will be offering a great benefit to their firefighters at relatively no cost to the City. This benefit will encourage current firefighters to stay on the job and more applicants for new positions. The City will be seen as coming to the aid of those firefighters and their families who are in need now. This is a one-time offer to our members. Hartford is requiring a minimum initial 6 3/21/00 FINANCE COMMITTEE - BILL 000015 enrollment of 25 percent to provide these guarantees. We anticipate a very strong response to this offer. We have prepared notices to be placed in each firehouse as well as an individual mailer to each member indicating his or her specific coverage and premium options. And that's all I have. Any questions?

Thank you very much. The Chair also notes that -- we already mentioned Councilman Kenney. We also note that Councilman Cohen is here, Councilman David Cohen, and also Councilman Frank Rizzo is here. Councilman Michael Nutter is also here, so members of the Finance Committee are here in full. Are there any questions from members of the committee with regard to Bill No. 000015? (No questions.)

My understanding is that you also will be requesting a suspension of the rules? Is that true?

I'm sorry, say that again?

I understand 7 3/21/00 FINANCE COMMITTEE - BILL 000122 that you will also be requesting a suspension of the rules.

Yes.

Okay. Thank you very much. We will now ask the clerk to please read Bill No. 122.

Thank you for your time.

You're welcome.

Bill No. 000122, an ordinance amending Section 22 of the Philadelphia Code, entitled "Public Employee Retirement Code," by amending Section 22-1303, entitled "Exemption From Attachment," to add the German-American Police Association to the list of designated payees to whom a member may direct deductions from benefits payments, all under certain terms and conditions.

Thank you very much. Do we have someone here to testify? I understand Mr. Herkness was to be here to testify on this bill. 8 3/21/00 FINANCE COMMITTEE - BILL 000122 (Mr. Herkness not present.)

Is there anyone else here who will testify? Councilman Rizzo? (Councilman Rizzo responds off-mike.)

I can't hear you. Please put on his microphone, please.

I assume that Mr. Herkness's written testimony will suffice for personal testimony?

The question is, is Mr. Herkness's testimony sufficient? I'm going to ask members of the committee, what is your opinion? In terms of the committee accepting written testimony, will that satisfy members of the committee?

Well, I think he ought to be here.

I don't have any problem with it -- unless somebody has any questions as far as his testimony.

It's pretty straightforward.

As far as his 9 3/21/00 FINANCE COMMITTEE - BILL 000122 testimony, I would accept testimony, but if there's any questions --

Councilman DiCicco?

I mean, I have not problem accepting his testimony, unless any of the committee members or other Councilmembers have questions for him. I mean, obviously, he's not here to answer them.

I don't have any questions.

All right. The Chair notes that Councilman DiCicco and O'Neill have no questions, as -- I feel the same way, I have no questions of Mr. Herkness. If it is okay with the members of the committee, then we will accept his written testimony.

Thank you, Madam Chair.

You're welcome, Councilman. All right. There being no further questions from members of the committee, we will close our committee hearing and go into committee 10 3/21/00 FINANCE COMMITTEE - BILL 000122 meeting. - - -

The Chair would like to have a motion with regard to Bill 6 No. 000015, that it be reported out of committee with a suspension.

So moved.

It has been moved. May I have a second? (Duly seconded.)

It has been moved and seconded that the rules of -- that we ask for a rules suspension that the bill be reported out of the committee with a favorable recommendation. (Duly seconded.)

And that the rules be suspended so as to permit first consideration at our next session of Council. (Duly seconded.)

All in favor? Opposed? (None opposed.)

All right. I 11 3/21/00 FINANCE COMMITTEE - BILL 000122 will entertain a motion with regard to Bill No. 3 000122.

I move that Bill 5 No. 122 be moved out of out of this committee with a favorable recommendation and a recommendation that the rules of Council be suspended so as to permit first reading at our next regular session of City Council. (Duly seconded.)

It's been moved and properly seconded that Bill 000122 be reported out of committee with a suspension of the rules. All in favor? Opposed? The ayes have it. And so that will end our hearing and committee meeting, and we thank everyone for attending and for making it so nice and short and sweet. Thanks. (Adjourned at 11:33 a.m.) - - - 12 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 Tuesday, March 21, 2000, were reported fully and accurately by me, and that this is a correct transcript of same. RE: COUNCIL COMMITTEE ON FINANCE BILL NO.'S 000015, 000122 __________________________________, JOSEPHINE CARDILLO, Registered Professional Reporter