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Minutes

Committee Hearing, June 6, 2007

Philadelphia City Council Committee HearingsJun 6, 2007

COUNCIL OF THE CITY OF PHILADELPHIA COMMITTEE ON PUBLIC PROPERTY AND PUBLIC WORKS - - - Room 400, City Hall Philadelphia, Pennsylvania Wednesday, June 6, 2007 12:55 p.m. - - - PRESENT: COUNCILMAN DARRELL L. CLARKE, CHAIR COUNCILMAN WILLIAM GREENLEE COUNCILMAN JAMES F. KENNEY COUNCILWOMAN DONNA REED MILLER COUNCILMAN JUAN RAMOS COUNCILMAN FRANK RIZZO COUNCILWOMAN MARIAN B. TASCO BILLS 070430, 070434, 070506 and 070507 - - - V A R A L L O Incorporated Litigation Support Services Eleven Penn Center 1835 Market Street, Suite 600 Philadelphia, Pennsylvania 19103 215.561.2220 215.567.2670 2

Councilman Clarke

Good afternoon. This is the Committee on Public Property and Public Works. Will the Clerk please read the title of the first bill. For the record, there is a quorum present: Councilwoman Tasco, Councilman Greenlee, Councilman Kenney and Councilwoman Miller.

The Clerk

Bill No. 070506, 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 an approximately 30,000 square foot triangular-shaped parcel of City-owned land with buildings and improvements thereon, located at the southwest corner of Market and 33rd Streets in the City of Philadelphia, for further conveyance. COMMISSIONER SCHLOTTERBECK: Good afternoon, Chairman Clarke and members of the Public Property and Public 3 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. Works Committee. My name is Joan Schlotterbeck. I'm the Commissioner for the Department of Public Property. I'm here today to testify in support of Bill 6 No. 070506, an ordinance authorizing me as the Commissioner to execute and deliver to PAID, for nominal consideration, a deed conveying fee simple title to an approximately 30,000 square foot triangle-shaped parcel of City-owned land with buildings and improvements thereon, located at the southeast corner of 33rd and Market Streets in the City of Philadelphia, for further conveyance. This bill will enable the City to convey this property to PAID for further conveyance to Drexel University, with the net proceeds being deposited in the General Fund. The Department supports this measure and, accordingly, I respectfully ask that City Council approve Bill No. 25 070506. I also ask that the rules be 4 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. suspended so that this ordinance may be passed upon the second reading at Council. Thank you.

Councilman Clarke

Thank you, Commissioner. Let the record reflect that Councilman Rizzo has joined the Committee. That's all the testimony? COMMISSIONER SCHLOTTERBECK: Yes.

Councilman Clarke

Any questions of this witness by members of the Committee? (No response.)

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. This bill was rescheduled from the prior hearing and I believe we have some answers today. 5 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. I'm sorry. For the record, Bill No. 070507 has been held at the request of the sponsor.

The Clerk

Bill No. 070430, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to lease or convey to the Philadelphia Authority for Industrial Development, for nominal consideration, all or part of a certain triangular parcel of land with the buildings and improvements thereon situate in an area generally bounded by Penrose Ferry Road to the north, Hog Island Road to the east and I-95 to the southwest, under certain terms and conditions.

Councilman Clarke

Since these two bills are companion bills, will the Clerk please read the title of the second bill. COMMISSIONER SCHLOTTERBECK: Mr. Chair, for a matter of protocol, should I read my testimony back in for these two bills or is it not necessary? 6 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC.

Councilman Clarke

If you can summarize it, that's okay with the Committee. COMMISSIONER SCHLOTTERBECK: Thank you.

Councilman Clarke

We'll just read the titles of both bills since they're companion bills.

The Clerk

Bill No. 070434, an ordinance authorizing the Commissioner of Public Property on behalf of the City of Philadelphia to execute and deliver to the Philadelphia Authority for Industrial Development, for nominal consideration, a deed conveying fee simple title to all or part of certain parcels of land with the buildings and improvements thereon located in the general vicinity of the intersection of Penrose Ferry Road and Fort Mifflin Road for further conveyance at fair market value, all under certain terms and conditions.

Councilman Clarke

Thank you. COMMISSIONER SCHLOTTERBECK: 7 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. Good afternoon. I'm here today to testify in support of Bill No. 070430. This ordinance authorizes me as Commissioner to transfer to PAID, for nominal consideration, a parcel of land bounded by Penrose Ferry Road to the north, Hog Island to the east, I-95 to the southwest, under certain terms and conditions. This bill will enable the City to either lease or convey this property to PAID for further conveyance to a developer at fair market value, and the net proceeds will be deposited into the General Fund. Since the other day, we have selected a winner, and that will be the PRPA. The Department supports this measure and, accordingly, I respectfully ask that City Council approve Bill No. 23 070430. I also ask that the rules be suspended so that the ordinance may be passed upon the second reading at 8 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. Council.

Councilman Clarke

Is your testimony relevant to the next bill also? COMMISSIONER SCHLOTTERBECK: Yes.

Councilman Clarke

So it will be the same testimony, so we won't have to repeat that on the next bill? COMMISSIONER SCHLOTTERBECK: Just a little different description, I believe, of the roads, of the parcel. It's the same general area.

Councilman Clarke

Okay. COMMISSIONER SCHLOTTERBECK: This one has not been appraised yet, so it's somewhat different.

Councilman Clarke

Why don't you just read your testimony for both bills. COMMISSIONER SCHLOTTERBECK: I'm here today to support Bill No. 23 070434, an ordinance authorizing me as the Commissioner to execute and deliver to PAID, for nominal consideration, a 9 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. deed conveying fee simple title to all or certain parcels of land bounded by the intersection and general vicinity, the intersection of Penrose Ferry Road, Fort Mifflin Road for further conveyance at fair market value, all under certain terms and conditions. We are in the process -- we will convey this to PAID for further conveyance. An RFP was issued and the parcel will be reviewed by the Committee and we will select the winner of that as a result of that process. The Department supports this measure and, accordingly, I respectfully ask that City Council approve Bill No. 18 070434. 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. Councilman Rizzo, you have a question? 10 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC.

Councilman Rizzo

Commissioner, yesterday there was -- or Monday there was some interest in exactly what this transaction was all about, and I've learned some information, but I think for the record, since there was an interest in what this transaction was all about, who is here, who is going here, for the record, could you explain what the representatives of the PRPA explained to me today? COMMISSIONER SCHLOTTERBECK: Well, actually, they're here today as a result of being told last evening that they were selected as the winner for the development of the area by the Committee for Public Property and there are members here to testify exactly --

Councilman Clarke

Why don't we just bring a representative up and briefly --

Councilman Rizzo

Thank you, Commissioner.

Councilman Clarke

-- give us 11 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. a description of the proposed development.

Mr. Cain

Good afternoon.

Councilman Clarke

Good afternoon.

Mr. Cain

My name is Howard Cain, C-A-I-N. I'm a consultant to the PRPA in regards to the development of Pier 3 - Girard Point, which is part of the reason for this ordinance. The plan is that the PRPA is attempting to develop a new bulk-handling facility at Pier 3 on Girard Point. Currently, there is no such facility in the port community of Philadelphia. Part of the process of developing it is that there is currently a tenant on a portion of Pier 3 - Girard Point who has indicated that he would be willing to move or she would be willing to move her business across to these two properties if they were controlled by the PRPA. So the PRPA submitted a bid to Public Property on those two parcels. 12 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. The business that would be moved is a concrete and asphalt business, which is currently operating, as I say, at Pier 3 on Girard Point. The other bidder for this property was FMRA, which is the company which has the contract from the state to move the dredge boils from the main ship channel dredging that is to take place, move them by rail car up to the abandoned strip mines in the Hazelton-Scranton area. So FMRA is looking for a small portion of this ground, I believe, to construct a building to house their equipment.

Councilman Clarke

Okay, Councilman?

Councilman Rizzo

Yes.

Councilman Clarke

Thank you. Any other questions of this witness by members of the Committee? (No response.)

Councilman Clarke

Anyone else to testify on these two bills? (No response.) 13 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC.

Councilman Clarke

There being none, thank you very much. COMMISSIONER SCHLOTTERBECK: You're welcome.

Mr. Cain

Thank you.

Councilman Clarke

This concludes the public hearing. We will now go into the public meeting. Councilwoman Tasco, can I ask for a motion on Bill No. 070506.

Councilwoman Tasco

Mr. Chairman, I move that Bill 070506 be reported out of Committee with a favorable recommendation and that the rules of Council be suspended so that this bill can be heard at Council's next session. (Duly seconded.)

Councilman Clarke

Being moved and seconded, all those in favor? (Aye.)

Councilman Clarke

Those opposed? (No response.) 14 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC.

Councilman Clarke

The ayes have it. Bill 070506 is reported out of Committee with a favorable recommendation. Councilman Rizzo, can I ask for a motion on Bill No. 070430.

Councilman Rizzo

Bill No. 9 070430 be voted out of this Committee with a favorable recommendation and that the rules of Council be suspended so we could have first reading of this bill at the next session of Council. (Duly seconded.)

Councilman Clarke

It being moved and seconded, those in favor? (Aye.)

Councilman Clarke

Those opposed? (No response.)

Councilman Clarke

The ayes have it. Bill 070430 is reported out of Committee with a favorable recommendation with a rules suspension as to allow reading at the next session of Council. 15 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. Councilwoman Miller, a motion on Bill 070434.

Councilwoman Miller

Thank you, Mr. Chair. I move that Bill No. 6 070434 be reported out of this Committee with a favorable recommendation and further move that the rules of Council be suspended so as to permit first reading at our next session. (Duly seconded.)

Councilman Clarke

It being moved and seconded, those in favor? (Aye.)

Councilman Clarke

Those opposed? (No response.)

Councilman Clarke

The ayes have it. Bill 070434 is reported out of Committee with a favorable recommendation with a rules suspension as to allow reading at the next session of Council. Thank you very much. This concludes the public meeting on the Committee of Public Property and Public 16 6/6/07 - PUBLIC PROPERTY - BILL 070430, ETC. Works. (Committee on Public Property and Public Works adjourned at 1:05 p.m.) - - - 17 CERTIFICATE I HEREBY CERTIFY that the proceedings, evidence and objections are contained fully and accurately in the stenographic notes taken by me upon the foregoing matter on June 6, 2007, and that this is a true and correct transcript of same. ______________________________ MICHELE L. MURPHY RPR-Notary Public (The foregoing certification of this transcript does not apply to any reproduction of the same by any means, unless under the direct control and/or supervision of the certifying reporter.)