civus
Minutes

Committee Hearing, June 4, 2007

Philadelphia City Council Committee HearingsJun 4, 2007

People mentioned

Names our system found in this transcript. Automatically extracted, so it can include anyone named in the record, not only officials or parties.

Organizations mentioned

Councilman Clarke

The Chair 106 6/4/07 PUB PROP/PUB WORKS - BILL 070446 of the Zoning Board will recuse themselves at the time of the hearing.

Ms. Schlotterbeck

Mr. Chairman, it might be helpful at this time to also call out that there is a companion bill. This is -- it's all the same parcel. Bill No. 070337, it's all a part of the same economic development plan.

Councilman Clarke

Okay.

Councilman Clarke

How are you, sir?

Mr. Dougherty

Good morning, Mr. Chair and members of the committee. My name is Vincent Dougherty, D-O-U-G-H-E-R-T-Y. I'm the Director of the Mayor's Business Action Team for the Commerce Department.

Councilman Clarke

Real briefly, Mr. Dougherty, and good morning.

Mr. Dougherty

Good morning.

Councilman Clarke

I 107 6/4/07 PUB PROP/PUB WORKS - BILL 070446 understand, you know, that the Commerce Department, unlike the Redevelopment Authority, has some levels of flexibility in conveying properties when there is some job creation associated with that. My question is: What are the guidelines and what level of flexibility does the Commerce have in terms of setting a sales price? As you know, I have a couple of developments -- well, you may not know, but a couple of developments in my district that we're trying to move that would create what we believe will be a substantial number of jobs. And one of the properties in question is owned by the Redevelopment Authority, and they're being -- holding steadfast that we can't reduce the price, that we must sell at market value. What's the story with Commerce?

Mr. Dougherty

As far as the 108 6/4/07 PUB PROP/PUB WORKS - BILL 070446 City-owned properties, of course, it has to come before this committee for approval. The policy that has generally been used, and is now being codified basically, allows for the write-down of up to 50 percent of the appraised value of a property based on three factors: First of all, low- and moderate-income jobs in low- and moderate-income industrial neighborhoods that we're trying to revitalize, such as American Street, where this is. Also, Allegheny West area, where we're working with the Councilwoman to revitalize. And it based on two things: We expect 15 jobs to be created per acre --

Councilman Clarke

Before you proceed --

Mr. Dougherty

I'm sorry.

Councilman Clarke

-- is this qualification designating any specific 109 6/4/07 PUB PROP/PUB WORKS - BILL 070446 areas? What does it do?

Mr. Dougherty

No, no. This is generally where we've been using this policy.

Councilman Clarke

Anywhere in the City?

Mr. Dougherty

Potentially anywhere in the City where it may be needed. Generally, we've been using this on American Street, the older industrial areas, where we have acquired properties and are disposing of those properties.

Councilman Clarke

Okay. Say, for instance -- and I keep bringing up these references to properties that I'm familiar with -- Ridge and Sedgely, there's a substantial --

Mr. Dougherty

Correct.

Councilman Clarke

Right. So that property would qualify for -- (Indiscernible; parties 110 6/4/07 PUB PROP/PUB WORKS - BILL 070446 talking over each other.)

Mr. Dougherty

Correct, correct. I'm just saying this is where we have generally used it 'cause this is where we have been acquiring properties as part of the American Street Site Assembly Program, which you're familiar with. And also Allegheny West, where we've been working to acquire properties.

Councilman Clarke

Okay.

Mr. Dougherty

So I say that 'cause that's where we've been using it, but not -- it's not exclusive to those areas.

Councilman Clarke

Okay.

Mr. Dougherty

So basically again, 15 jobs to be created per acre and investment of -- I forget what the last number was. Let me check. It's $900,000 in investment per acre.

Councilman Clarke

Okay.

Mr. Dougherty

So, again, it's low- to moderate-income jobs, job 111 6/4/07 PUB PROP/PUB WORKS - BILL 070446 creation and investment. If you meet the max, you'd be eligible for --

Councilman Clarke

Up to 50 percent.

Mr. Dougherty

-- up to 50 percent reduction.

Councilman Clarke

And that's a policy, a Commerce Department policy.

Mr. Dougherty

It has not officially been blessed as a general rule-of-thumb we've been using. We're trying to get it officially established, which takes a lot of things off the table in the sense where it makes it much more transparent as to how we're getting to this. I'm sure you've seen bills over the last 12 years on American Street, where we would come in and say we'd like to sell this property to "XYZ Company" for this price. Behind that was this general policy.

Councilman Clarke

All right. Are there any requirements in terms of 112 6/4/07 PUB PROP/PUB WORKS - BILL 070446 the actual development of the site for participation, MBE WBE neighborhood participation on construction, neighborhood hiring?

Mr. Dougherty

I don't believe that is in the policy. I haven't seen anything -- no, not in the policy. Again, if they're going to get through -- most of these projects would come through PIDC with low-interest financing to help these programs; and therefore, their requirements would also kick in. But no, specifically in this policy, it is not stated.

Councilman Clarke

Well, since it's a -- it has not been codified, it should not be a problem to add such language?

Mr. Dougherty

Absolutely. I can relay that back to the Commerce Director and --

Councilman Clarke

Yeah, that 113 6/4/07 PUB PROP/PUB WORKS - BILL 070446 would be helpful if you could add such language to codify it.

Mr. Dougherty

Sure. And one of things we are getting involved about in the development issue is to assure that the development does happen according to the terms that this property is being transferred. There will be deed restrictions put on the property to assure that there are no 12 bait-and-switch programs or anything like that happens that is not consistent with the policy. And I'll just add one last thing. When we do these things, we do meet with the local Councilperson and the community as a rule; that's part of the commitment, especially on American Street, that we've made. So we have met primarily with Pat DeCarlo, the head of the Norris Square Civic Association. We had a preliminary meeting with her and we've committed to her that we would bring it 114 6/4/07 PUB PROP/PUB WORKS - BILL 070446 back before the project, before the entire community meeting to lay it all out and address any concerns that they have.

Councilman Clarke

All right, okay. Okay. Councilwoman Tasco?

Councilwoman Tasco

In the testimony, Ms. Schlotterbeck mentioned the fact that this property will serve as the new cookie-manufacturing plant. Since he is presently in business, is he in business in Philadelphia? Does he manufacture his cookies now in Philadelphia?

Ms. Schlotterbeck

Yes, he does.

Councilwoman Tasco

Where?

Ms. Schlotterbeck

Well, the deli was on the corner of Fourth. And the actual place where he makes the cookies is in the middle of that block, on Fourth Street, just south on Bainbridge. He actually makes them and 115 6/4/07 PUB PROP/PUB WORKS - BILL 070446 delivers makes them out of that location.

Councilwoman Tasco

Now, in moving to the new location, to qualify for this 50 percent reduction, is he hiring an additional people, or is 8 he transferring 15 people? 9

Ms. Schlotterbeck

It's my 10 understanding from the letter that I 11 have here is that he's going to develop 12 and create or retain 27 jobs. 13 So I believe that the answer 14 is both. 15

Councilwoman Tasco

He's going to do what?

Ms. Schlotterbeck

He's going to -- there's 27 jobs that he's going to maintain in the City if he gets this parcel. So the answer is: He's going to retain the people that he has, and my assumption is that he's going to hire others from the area.

Councilwoman Tasco

Is he going to hire 15 more people? 116 6/4/07 PUB PROP/PUB WORKS - BILL 070446

Mr. Dougherty

He has 10 now, he's going to put 7 on within the first year once the facility is fully up and running. Also, there's going to be a companion catering, which will create jobs, and that's where we get to the 8 27 new jobs. 9

Ms. Schlotterbeck

I actually 10 have a very detailed plan that I'd be happy to share.

Councilwoman Tasco

Okay. Let's go back to your plan. Your plan states that he is going to retain 27 jobs. He has 27 jobs now at the current site?

Ms. Schlotterbeck

No. 18

Mr. Dougherty

No. He has 10 jobs now, will add 7 in the new facility, and a companion company, a catering company, will create 10 new jobs, so we will have 17 new jobs -- retain 10 and create 17 new jobs at this site.

Councilwoman Tasco

I just 117 6/4/07 PUB PROP/PUB WORKS - BILL 070446 wanted it clear for the record. Thank you.

Councilman Clarke

Thank you. I'm sorry. Councilman Greenlee?

Councilman Greenlee

Thank you, Mr. Chairman. Mr. Dougherty, just generally on the policy again of job creation, is there a set number of jobs you're looking for as far as the size of the land? You know, is there kind of a formula there I, guess?

Mr. Dougherty

Sure. It's 15 jobs to created per acre.

Councilman Greenlee

So it's 15, okay. I didn't know if this was referring to this particular -- okay.

Mr. Dougherty

This is less than half an acre, so if you --

Councilman Greenlee

So it's 15 per.

Mr. Dougherty

Per acre, correct. 118 6/4/07 PUB PROP/PUB WORKS - BILL 070446

Councilman Greenlee

Okay. Thank you. Thank you, Mr. Chair.

Councilman Clarke

Thank you, Councilman. And, Mr. Dougherty, you will provide in writing to the Chair the policy once it's been amended?

Mr. Dougherty

Yes, I will.

Councilman Clarke

To include the language about the subsequent development of the site.

Mr. Dougherty

I'll do that.

Councilman Clarke

Thank you.

Ms. Schlotterbeck

Mr. Chairman, I think it would be -- if I may, I think it would be helpful if we introduce the companion bill. And the reason they're separate is simply because it was an unusually complicated parcel, and we introduced one piece and then realized we had the legal description and we had other addresses to include. 119 6/4/07 PUB PROP/PUB WORKS - BILL 070446

Councilman Clarke

What bill 3 is the companion bill?

Ms. Schlotterbeck

337.

Councilman Clarke

337?

Ms. Schlotterbeck

Yeah.

Councilman Clarke

We'll have read into the record Bill No. 070337, which is the companion bill. * * * 120 6/4/07 PUB PROP/PUB WORKS - BILL 070337

The Clerk

Bill No. 070337, an ordinance authorizing the Commissioner of Public Property to execute and deliver to the Philadelphia Authority for Industrial Development for nominal consideration a deed conveying fee simple title to certain tracts of City-owned land with buildings and improvements thereon, known as 214-32 Diamond Street, located on the south side of Diamond Street, in the City of Philadelphia, for further conveyance at less than fair market value.

Councilman Clarke

Thank you.

Ms. Schlotterbeck

I'm Joan Schlotterbeck. I'm here in support of Bill 20 No. 070337, which is an ordinance 21 authorizing me, as the Commissioner, to execute and deliver to PAID for nominal consideration a deed conveying fee simple title to certain tracts of City-owned land with buildings and 121 6/4/07 PUB PROP/PUB WORKS - BILL 070337 improvements thereon, known as 214 to 232 Diamond Street, located on the south side of Diamond Street in Philadelphia, for further conveyance at less than fair market value. The bill will enable the City to transfer the property to PAID for further conveyance to David Auspitz, owner of the Famous Street Cookie Company, where the property will serve as the new cookie-manufacturing plant. The Commerce Department has requested a 50 percent reduction in sales price due to the creation of new jobs the plant will bring. The Public Property Department supports this Bill No. 070337. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading of Council. Thank you.

Councilman Clarke

Thank you. Any questions? (No questions. 122 6/4/07 PUB PROP/PUB WORKS - BILL 070337

Councilman Clarke

There being none, is there anyone else to testify on this bill? (No response.)

Councilman Clarke

There being none, will the clerk will please read the title of the next bill. * * * 123 6/4/07 PUB PROP/PUB WORKS - BILL 070448

The Clerk

Bill No. 070448, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to convey the City's interest in certain tracts of land with the buildings and improvements thereon known as 1043-47 North Front Street, located on the east side of North Front Street, to the Philadelphia Authority for Industrial Development for nominal consideration, for further conveyance at fair market value.

Ms. Schlotterbeck

Thank you. Again, this has another companion bill with it; for the record, it's Bill No. 070454. I'm here today to testify in support of Bill No. 070448, on ordinance authorizing me, as the Commissioner, on behalf of the City, to convey the City's interest in a certain tract of land with buildings and improvements known as 1043 to 47 North 124 6/4/07 PUB PROP/PUB WORKS - BILL 070448 Front Street, located on the east side of North Front, to the Philadelphia Authority for Industrial Development for nominal consideration for further conveyance at fair market value. This bill will enable the City to convey this property to PAID for further conveyance to Gianni Pignetti at fair market value, with the net proceeds being deposited into the General Fund. Mr. Pignetti plans to develop the property for residential housing. The Department supports this measure; and accordingly, I respectfully ask that Council approve Bill No. 070448, I also ask that the rules be suspended so that the ordinance may be passed upon the second reading at Council.

Councilman Clarke

Thank you. Any questions? (No questions.)

Councilman Clarke

Anybody 125 6/4/07 PUB PROP/PUB WORKS - BILL 070448 else to testify on this bill? (No response.)

Councilman Clarke

There being none, the clerk will please read the title of the next bill. * * * 126 6/4/07 PUB PROP/PUB WORKS - BILL 070452

The Clerk

Bill No. 070452, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to amend its sublease with the Philadelphia Authority for Industrial Development as landlord and the City of Philadelphia as tenant for office space at 1101 Market Street, under certain terms and conditions.

Ms. Schlotterbeck

I'm here today to testify in support of Bill No. 14 070452, which is an ordinance 15 authorizing me, as the Commissioner, on behalf of the City, to amend its sublease with the Philadelphia Authority for Industrial Development as landlord and the City of Philadelphia as tenant for office space at 1101 Market Street, under certain terms and conditions. This bill will permit the City to sublease for certain office space located at the Aramark Building. This 127 6/4/07 PUB PROP/PUB WORKS - BILL 070452 amendment is required for the inclusion of the reduction of lease costs for the overall term of the lease amendment. The Public Property Department supports this measure; and accordingly, I ask that City Council approve Bill 8 No. 070452. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading at Council. This is the Aramark Tower lease that we've been in, I guess, 30 years almost. The building has recently sold, and there's one group of tenants in there, City tenants, if you will, that would like to stay long-term. It's the Water Department. So with my real-estate consultants, key advisers -- and they're here today if they're need to do testify -- we approached the new owner with, you know, what can you do for us? So our current lease does not 128 6/4/07 PUB PROP/PUB WORKS - BILL 070452 terminate until '09. They offered as an amazing reduction, and we approached them in a manner where we'll have the Water Department stay for another long-term. There's a huge reduction. They gave us a major concession, which is to say they lost money by negotiating a lower rate because they had two years left in the current term. And the Water Department will stay, they'll have an option to expand. And the other reason they'll be able to expand is they'll be able to expand is, they also gave us the ability at a certain point in time to terminate the other two City spaces, which is the Behavioral Health as well as the Health Department. And also in there is Inspector General and the Bar Association. So it's a series of moving pieces. But right now, we renegotiated to change the current term so that very high costly lease went away. They gave 129 6/4/07 PUB PROP/PUB WORKS - BILL 070452 us a better price.

Councilman Clarke

On the last two years?

Ms. Schlotterbeck

Yes. The Water Department is locked in for long-term as a part of this deal. We had the ability to terminate the others. Again, that's a concession the owner gave us that they didn't have to; they could keep us there for the next two years and charge us the higher rent.

Councilman Clarke

And we have the ability to terminate the other spaces?

Ms. Schlotterbeck

Yes, yes.

Councilman Clarke

What's the term of that, the lease existing term?

Ms. Schlotterbeck

They're all '09. The Water piece will go into a long-term deal. The other two, I had the ability to terminate those -- help me out, you guys. What is it, September? -- at the end of the 130 6/4/07 PUB PROP/PUB WORKS - BILL 070452 calendar year. And that's about as much time as it will take me, with their support and help, to identify should other places that are less costly. And I also intend to reduce the footprints in the process, so we'll go into less expensive space and save on the amount of space.

Councilman Rizzo

Point of information.

Councilman Clarke

Councilman Rizzo? Or Councilman Greenlee, I think --

Councilman Greenlee

I was going to ask the same question, Commissioner.

Councilman Rizzo

How many -- oh, I'm sorry, Bill. Go ahead.

Councilman Greenlee

How long is the lease with the Water Department? How long are they locked into now?

Ms. Schlotterbeck

The lease expiration is June the 30th, 2017. 131 6/4/07 PUB PROP/PUB WORKS - BILL 070452

Councilman Greenlee

Okay. Ten years then.

Councilman Clarke

Okay. Thank you, Councilman.

Councilman Greenlee

Thank you.

Ms. Schlotterbeck

You're welcome. And that was something that the Water Department was pretty emphatic about. It was very costly to try and uproot them, and they're very happy there.

Councilman Clarke

Okay, thank you. Councilman Rizzo?

Councilman Rizzo

This is just a question. In Public Property's process, where is our study long-term to eventually get us out of all of these leases entirely? When are we going to need a new City building? So where are we with analyzing 132 6/4/07 PUB PROP/PUB WORKS - BILL 070452 how, if government shrinks, government grows, when are we going to someday house all of our City employees in City-owned buildings?

Ms. Schlotterbeck

Well, I don't have an answer for that. I mean, that would be an ideal. In other words if we could -- we'd have to buy buildings in order to do that. We'd have to have the ability to spend that kind of money in order to not have rent.

Councilman Rizzo

In other words, as government hopefully gets smaller, space may open up in other buildings, so why should we not have a goal of getting the Water Department into the MSB someday or some other City-owned facility or 20 years down the road, in other words, part of our long-term plan, when 2017 comes that maybe there would be an opportunity to put those folks in a building that's owned by the City of Philadelphia. 133 6/4/07 PUB PROP/PUB WORKS - BILL 070452

Ms. Schlotterbeck

That's always are first option. In fact, one of the tenants got out of another lease that you'll be hearing about in a few minutes. We're going to move one of the tenants into City Hall up on the seventh floor with me. I mean, there are -- so we do that ongoing. I'm always trying to reduce space to move people out of leased space if there's available space on City property and at the same time reduce the rent roll.

Councilman Rizzo

You know, the similar long-term plan, like the Police Administration Building, is bursting at the seams there, and people are always saying that we need to eventually build a communications center for emergency preparedness, 9-1-1, a stand-alone facility. I mean, these are the kinds of things I'd like to hear about long-term that we're really looking at seriously. 134 6/4/07 PUB PROP/PUB WORKS - BILL 070452 Thank you.

Ms. Schlotterbeck

You're welcome.

Councilman Clarke

Thank you. Councilwoman Miller?

Councilwoman Miller

Hi, good morning.

Ms. Schlotterbeck

Good morning.

Councilwoman Miller

So the -- just process so I can understand the process -- is the PAID, the space is actually rented to PAID, and then each City department, I guess, negotiates with PAID for their space?

Ms. Schlotterbeck

No. They negotiate with me. All the -- it's all under the jurisdiction and the control of the Department of Public Property.

Councilwoman Miller

Okay. And so what does PAID have to do with this?

Ms. Schlotterbeck

Well, we -- it's a legal -- Henry? 135 6/4/07 PUB PROP/PUB WORKS - BILL 070452

Councilwoman Miller

I mean, I know what it is, I know what PAID is, but --

Ms. Schlotterbeck

I know. When we go into long-term deals -- Henry can explain it.

Mr. Schwartz

Henry Schwartz of the City of Philadelphia Law Department. Councilwoman, we use PAID or PMA, which is the Philadelphia Municipal Authority, for the same purpose -- as a conduit between the City and the building owner primarily because of the provision in the City Charter related to the four-year-out provision, which means that we can't enter a contract for more than four years without the ability to get out of it at anytime after that four years. That provision does not apply to agreements with authorities, so by using PAID or PMA in between the City and the landlord, we're able to commit 136 6/4/07 PUB PROP/PUB WORKS - BILL 070452 to the landlord that we'll be there for a period in excess of four years.

Councilwoman Miller

Okay. So then PAID is there because you have a lease that's more than four years old.

Mr. Schwartz

Correct.

Councilwoman Miller

Okay. But then the other City departments that's going to move -- I guess they're going to move -- they wouldn't really have to go through PAID, correct? No?

Mr. Schwartz

Well, the building owner often gets financing for their buildings based on their long-term City lease. So, for example, if Council were to approve a ten-year term for this building, that would be a part of their financing for the building; they'd want to know that the City was committed to that ten-year period. So then they would sublease to the City, and the Commissioner would be 137 6/4/07 PUB PROP/PUB WORKS - BILL 070452 responsible for using the space for various City departments during that ten-year period.

Councilwoman Miller

Okay. All right. Thank you. Thank you, Mr. Chairman.

Councilman Clarke

Thank you, Councilwoman. Is that all of your testimony on that?

Ms. Schlotterbeck

That's it.

Councilman Clarke

Are there any other questions of these witnesses by members of the committee? (No further questions.)

Councilman Clarke

Is there anyone else to testify on this bill? (No response.)

Councilman Clarke

There being none, would the clerk please read the title of the next bill. * * * 138 6/4/07 PUB PROP/PUB WORKS - BILL 070454

The Clerk

Bill No. 070454, an ordinance authorizing the Commissioner of Public Property behalf City of Philadelphia, to execute and deliver to the Philadelphia Authority for Industrial Development for nominal consideration a deed conveying fee simple title to certain parcels of land with the buildings and improvements thereon located in an area bounded by North Front Street, Wildey Street Leopard Street, and Richmond Street, for further conveyance at fair market value, all under certain terms and conditions.

Ms. Schlotterbeck

Good morning again. For the record, this bill that I'm testifying on, Bill No. 070454, is the companion bill to Bill No. 070448. I'm here to testify in support of Bill No. 070454, authorizing me, as the Commissioner, to execute and deliver to PAID for nominal 139 6/4/07 PUB PROP/PUB WORKS - BILL 070454 consideration a deed conveying fee simple title to certain parcels of land with buildings and improvements located in an area bounded by North Front Street, Wildey Street, Leopard Street, Richmond Street, fur further conveyance at fair market value, all under certain terms and conditions. This bill will enable the City to convey this property to PAID to Gianni Pignetti at fair market value, with the net proceeds deposited in the General Fund. Mr. Pignetti plans to develop the property for residential housing. This bill replaces Bill 17 050379. The Department of Public Property supports this measure; and accordingly, I respectfully ask that Council approve Bill No. 070454. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading at Council.

Councilman Clarke

Thank you. 140 6/4/07 PUB PROP/PUB WORKS - BILL 070454 Any questions? (No questions.)

Councilman Clarke

Anyone else to testify on this bill? (No response.)

Councilman Clarke

There being none, will the clerk please read the title of the next bill. I'm sorry. Councilman Rizzo?

Councilman Rizzo

(Inaudible.)

Councilman Clarke

We're going to take a two-second recess. (Short recess.) (Proceedings resume.)

Councilman Clarke

I'm sorry, please proceed. * * * 141 6/4/07 PUB PROP/PUB WORKS - BILL 070455

The Clerk

Bill No. 070455, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority for the City's use of space located on the third floor of the Curtis Center, 601 Walnut Street, all under certain terms and conditions

Ms. Schlotterbeck

I'm Joan Schlotterbeck, and I'm here in support of Bill No. 070455, an ordinance 15 authorizing me, as the Commissioner of Public Property, on behalf of the City, to enter into a sublease with the Philadelphia Municipal Authority for the City's use of space located on the third floor of the Curtis Center, 601 Walnut Street, all under certain terms and conditions. This bill will permit the City to sublease certain office spaces located at the Curtis Center for 142 6/4/07 PUB PROP/PUB WORKS - BILL 070455 location of the Board of Revision of Taxes Philadelphia, the Philadelphia Commission on Human Relations, and the Inspector General's Office. Public Property supports this measure; and accordingly, I respectfully ask that Council approve Bill No. 070455. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading of Council. Thank you.

Councilman Clarke

Thank you. Any questions of this witness on this bill by members of the committee? (No questions.)

Councilman Clarke

Anyone else to testify on this bill? (No response.)

Councilman Clarke

There being none, would the clerk please read -- there's a sidebar question about why are they moving particularly, I guess, 143 6/4/07 PUB PROP/PUB WORKS - BILL 070455 the BRT, which is --

Ms. Schlotterbeck

Well, 34 South 11th Street has sold. The owner is not interested in doing any really long-term deals. This presented itself as part of my overall, again, like movement of space and where people can be and how I can maximize space available and save money at the same time. So it's all a part of our plan.

Councilman Clarke

34 South 11th, that was sold?

Ms. Schlotterbeck

Yes.

Councilman Clarke

That was owned by...?

Ms. Schlotterbeck

That was owned by Girard Estates.

Councilman Clarke

What's amount; do you know?

Ms. Schlotterbeck

I'm sorry?

Councilman Clarke

The amount?

Ms. Schlotterbeck

Of the 144 6/4/07 PUB PROP/PUB WORKS - BILL 070455 sale?

Councilman Clarke

Yeah. You don't know?

Ms. Schlotterbeck

I don't know. I don't even know if they've closed. Have they closed? No, it hasn't closed yet, but they did sell. Or they are selling, I should say.

Councilman Clarke

Interesting. Okay. Thank you.

Ms. Schlotterbeck

You're welcome. Is there anyone else to testify on Bill No. 070455? (No response.)

Ms. Schlotterbeck

I would -- just for the record, all of the tenants are very happy to be going there. Everybody's pleased with the move, so the board -- the BRT, they're all fine.

Councilman Clarke

Okay. Thank you. Will the clerk please read the 145 6/4/07 PUB PROP/PUB WORKS - BILL 070455 title of Bill No. 070466. * * *

The Clerk

Bill No. 070466, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to terminate and extinguish an easement to a three-foot-wide alleyway abutting the rear of several City-owned properties located at 2633-2655 West Sedgely Avenue and on the northwest side of West Sedgely Avenue and 2113-2121 North 27nd Street on the east side of North 27th Street.

Ms. Schlotterbeck

Joan Schlotterbeck. I'm here today to testify some supportive Bill No. 070466, an ordinance authorizing me, as the Commissioner on behalf of the City, to terminate and extinguish an easement to a three-foot-wide alleyway abutting the rear of several City-owned properties located at 2633 to 2655 West Sedgely 146 6/4/07 - PUB PROP/PUB WORKS - BILL 070466 Avenue on the northwest side of West Sedgely Avenue, and 2111 through 2121 North 27th Street on the east side of north 27th Street. This bill will permit all easement rights to the alleyway to be conveyed to the developer. Thomas L. Baldwin Senior Housing, LP, for rehabilitation for existing senior citizens developments, also called the Clara Baldwin Manor. Public Property supports this measure, and accordingly, I ask that City Council approve Bill No. 070466. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading at Council. Thank you.

Councilman Clarke

Thank you. Any questions of this witness on this particular bill? (No questions.)

Councilman Clarke

Anyone else to testify on this bill? 147 6/4/07 - PUB PROP/PUB WORKS - BILL 070466 (No response.)

Councilman Clarke

There being none, will the clerk please read the title of the next bill. * * *

The Clerk

Bill No. 070468, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into an amendment to an existing sublease between the Philadelphia Municipal Authority and the City of Philadelphia for the City's use of certain office space located at Two Penn Center Plaza, under certain terms and conditions.

Ms. Schlotterbeck

I'm here today to testify in support of Bill 20 No. 070468, an ordinance authorizing me, as the Commissioner of Public Property on behalf of City, to enter into an amendment to an existing sublease between Philadelphia Municipal Authority and the City of Philadelphia 148 6/4/07 PUB PROP/PUB WORKS - BILL 070468 for the use -- for the City's use of certain office located at Two Penn Center Plaza, under certain terms and conditions. This bill permits the City to amend to sublease to allow for expansion of the space for the Pension Board, located at two Penn Center. The Department supports this measure; and accordingly, I respectfully ask that Council approve Bill No. 070468. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading of Council. Thank you.

Councilman Clarke

Any questions of the witness for this particular bill? (No questions.)

Councilman Clarke

Anyone else to testify on this bill? (No response.)

Councilman Clarke

There being none, will the clerk please read 149 6/4/07 PUB PROP/PUB WORKS - BILL 070468 the title of the final bill, Bill No. 3 070273. * * *

Councilman Clarke

Bill No. 6 070273, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into an agreement with the 21st Ward Athletic Association under which the City will lease to the Association certain parcels of land located in the 21st Ward of the City of Philadelphia and grant to the Association a related access easement, under certain terms and conditions.

Ms. Schlotterbeck

I'm Joan Schlotterbeck, and I'm here today to testify in support of Bill No. 070273, an ordinance authorizing me, as the Commissioner of Public Property on behalf of the City, to enter into an agreement for the 21st Ward Athletic Association under which the City will lease to the Association certain 150 6/4/07 - PUB PROP/PUB WORKS - BILL 070273 parcels of land located in the 21st Ward of the City of Philadelphia and grant to the Association a related access easement, all under certain terms and conditions. The bill will permit the City to continue to lease certain parcels to the Association, who previously had a 25-year lease with the City, which expired in September of '06 and was redrafted and commenced October of '06. The Association will continue to use the parcel as a public recreation facility. The Department supports this measure; and accordingly, I respectfully ask that Council approve Bill No. 070273. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading of Council. Thank you.

Councilman Clarke

Thank you. Any questions of this witness 151 6/4/07 - PUB PROP/PUB WORKS - BILL 070273 on this bill? (No questions.)

Councilman Clarke

Anyone else to testify on this bill. (No response.)

Councilman Clarke

There being none -- I'm sorry. Councilman Kelly?

Councilman Kelly

Yeah. Commissioner, I just have one question: What's the term on that bill -- that lease for the 21st Ward?

Ms. Schlotterbeck

October 1, '06; is that correct? Through... (Ms. Schlotterbeck confers off the record with Mr. Schwartz.)

Ms. Schlotterbeck

It's a 25-year term.

Councilman Kelly

25-year term? Okay.

Ms. Schlotterbeck

Henry was just reminding me that we can cancel at any time in the future, with six months' notice that the Water -- it's a 152 6/4/07 - PUB PROP/PUB WORKS - BILL 070273 Water Department parcel, that if they have any reason to need it, we can terminate.

Councilman Kelly

Okay. Thank you.

Ms. Schlotterbeck

You're welcome.

Councilman Clarke

Thank you, Councilman. * * * 153 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING

Councilman Clarke

Okay. We will now proceed to the public meeting on the Committee of Public Property and Public Works. Bill No. 060111 will be held until Thursday, at 9:30 a.m. Councilman Kelly, can you please give me a motion on Bill 070273.

Councilman Kelly

Mr. Chairman, I move that Bill No. 12 070273 be reported out of this committee with a favorable recommendation and also further move a suspension of the rules in order that this bill may be heard at the next session of Council. (Motion seconded.)

Councilman Clarke

Those who approve? Those opposed? The ayes have it. Bill No. 23 070273 is reported out of committee with a favorable recommendation and a rules suspension as to allow for 154 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING reading at the next session of Council. Bill No. 070304 has been held at the request of the sponsor. Councilman Greenlee, can you please give me a motion on Bill 7 No. 070337.

Councilman Greenlee

Mr. Chairman, I move that Bill 10 No. 070337 be reported out of this committee with a favorable recommendation and that the rules of Council be suspended to allow for first reading at the next session of Council. (Motion seconded.)

Councilman Clarke

Those who approve? Those opposed? The ayes have it. Bill No. 20 070337 is reported out of committee with a favorable recommendation and a rules suspension as to allow for reading at the next session of Council. Councilwoman -- I'm sorry. For the record, Bill No. 070430 is 155 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING being held until Wednesday's Public Property meeting at 11:30 a.m. Councilwoman Tasco, if I can ask for a motion on Bill No. 070342.

Councilman Greenlee

It was held, too.

Councilman Clarke

Oh, I'm sorry. That bill -- correction. Bill No. 070342 is being held at the request of the sponsor. Bill No. 070434 is also being moved to be held until Wednesday, 11:30 a.m. Councilwoman Tasco, I ask for a motion on Bill No. 070438.

Councilwoman Tasco

Mr. Chairman, I move that Bill 19 No. 070438 be voted out of committee with a favorable recommendation and a recommendation that the rules of Council be suspended so as to allow for first reading at the next Council session. (Motion seconded.) 156 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING

Councilman Clarke

It has been moved and seconded. These approved? Those opposed? The ayes have it. Bill No. 070438 is reported out of committee with a favorable recommendation and a rules suspension so as to allow first reading at the next session of Council. Councilwoman Miller, could I please have a motion on Bill 14 No. 070446.

Councilwoman Miller

Okay. Mr. Chairman, I move that Bill 17 No. 070446 be reported out of this committee with a favorable recommendation, and I further move that the rules of Council be suspended so as to permit first reading at our next session. (Motion seconded.)

Councilman Clarke

It's been moved and seconded. 157 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING Those who approve? Those opposed? The ayes have it. Bill No. 070446 is reported out of committee with a favorable recommendation and with a rules suspension so as to allow first reading at the next session of Council. Councilman Kelly, a motion on Bill 070447, please.

Councilman Kelly

Mr. Chairman, I move that Bill 14 No. 070447 be reported out of this committee with a favorable recommendation, and I further move for the suspension of the rules in order that this bill may be heard at the next session of Council. (Motion seconded.)

Councilman Clarke

It's been moved and seconded. Those who approve? Those opposed? The ayes have it. 158 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING Bill No. 070447 is reported out of committee with a favorable recommendation and a rules suspension so as to allow first reading at the next session of Council. Councilman Greenlee, a motion on Bill No. 070448, please.

Councilman Greenlee

Mr. Chairman, I move that Bill 11 No. 070448 be reported out of this committee with a favorable recommendation and that the rules of Council be suspended so as to allow for first reading at our next session of Council. (Motion seconded.)

Councilman Clarke

It's been moved and seconded. Those that approve? Those opposed? The ayes have it. Bill No. 070448 is reported out of committee with a favorable recommendation and that the rules of 159 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING Council suspended so as to allow for first reading at our next session of Council. Councilwoman Tasco, a motion on Bill No. 070452.

Councilwoman Tasco

Mr. Chairman, I move that Bill No. 9 070452 be reported out of committee with a favorable recommendation and a request that the rules of Council be suspended so that this bill can be read at the next Council session. (Motion seconded.)

Councilman Clarke

It's been moved and seconded. Those who approve? Those opposed? The ayes have it. Bill No. 070452 is reported out of committee with a favorable recommendation and a rules suspension so as to allow first reading at the next session of Council. Councilwoman Miller, a motion 160 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING on Bill No. 070454, please.

Councilwoman Miller

Mr. Chairman, I move that Bill No. 5 070454 be reported out of this committee with a favorable recommendation, and I further move that the rules of Council be suspended so as to permit first reading at our next session. (Motion seconded.)

Councilman Clarke

It's been moved and seconded. Those who approve? Those opposed? The ayes have it. Bill No. 070454 is reported out of committee with a favorable recommendation and a rules suspension so as to allow first reading at the next session of Council. Councilman Kelly, Bill No. 23 070455, please.

Councilman Kelly

Mr. Chairman, I move that Bill No. 161 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING 070455 be reported out of this committee with a favorable recommendation, and I further move for the suspension of the rules in order that this bill may be heard at the next session of City Council. (Motion seconded.)

Councilman Clarke

It's been moved and seconded. Those who approve? Those opposed? The ayes have it. Bill No. 070455 is reported out of committee with a favorable recommendation and with a rules suspension so as to allow for reading at the next session Council. Councilman Greenlee, a motion on Bill No. 070466, please.

Councilman Greenlee

Mr. Chairman, I move that Bill No. 23 070466 be reported out of this committee with a favorable recommendation and that the rules of 162 6/4/07 PUB. PROP./PUB. WORKS - PUBLIC MEETING Council be suspended so as to allow for first reading at our next session of Council. (Motion seconded.)