COUNCIL OF THE CITY OF PHILADELPHIA2 COMMITTEE ON HOUSING, NEIGHBORHOOD3 DEVELOPMENT AND THE HOMELESS4 5 6 Room 400, City Hall7 Philadelphia, Pennsylvania Thursday, March 31, 20118 1:15 p.m. 9 10 PRESENT: COUNCILWOMAN JANNIE BLACKWELL, CHAIR11 COUNCILMAN DARRELL CLARKE COUNCILMAN WILLIAM K. GREENLEE12 COUNCILMAN CURTIS JONES, JR. COUNCILWOMAN DONNA REED MILLER13 COUNCILMAN BRIAN J. O'NEILL COUNCILWOMAN MARIA D. QUINONES-SANCHEZ14 15 BILL 100615 - An Ordinance amending Title 2116 of The Philadelphia Code, entitled "Miscellaneous," by adding a new Chapter,17 entitled "Neighborhood Blight Reclamation and Revitalization"...18 19 - - -20 21 22 23 24 25 2 1
Good2 afternoon. Let me thank everyone for3 coming to our Committee meeting. This is4 the Committee on Housing, Neighborhood5 Development and the Homeless.6 We have a quorum present, and7 we're glad for that. To my left is8 Councilman Darrell Clarke. Councilman9 and Vice Chair Bill Greenlee is in the10 room. To his left, Councilwoman Maria11 Quinones-Sanchez. To her left,12 Councilman O'Neill. To my right is13 Councilman Jones.14 And we will first ask the Clerk15 to read the title of the bill, which is16 Bill No. 100615, and we're very glad to17 call this hearing into being.18 Will the Clerk read the title19 of the bill.20
Amending Title 2121 of The Philadelphia Code, entitled22 "Miscellaneous," by adding a new Chapter,23 entitled "Neighborhood Blight Reclamation24 and Revitalization," providing remedies25 3 3/31/11 - HOUSING - BILL 1006151 for the remediation of neighborhood2 blight as authorized by the General3 Assembly of Pennsylvania; all under4 certain terms and conditions.5
Thank6 you very much.7 We will now ask the primary8 sponsor of the bill, Councilman Darrell9 Clarke, to make comments.10
Thank you,11 Madam Chair.12 Good afternoon. Madam Chair, I13 just want to say that -- first, I want to14 thank you for holding this hearing for a15 very important issue, particularly for16 the members who have some challenging17 neighborhoods. I want to thank the18 General Assembly for their work in terms19 of expanding the opportunities and the20 capability for cities taking care of21 themselves. I only wish they would do22 the same thing with guns, but we'll take23 what we can get for now.24 The proposal on the table is25 4 3/31/11 - HOUSING - BILL 1006151 essentially an opportunity for us to2 expand our ability to essentially police3 our own communities as related to4 blighted conditions. Too often in all of5 our districts, we have experienced6 situations where somebody has a property7 next door, be it commercial or a rental8 property, that's been allowed to9 deteriorate to the point where it's now10 causing a problem for either that11 next-door neighbor or causing a problem12 for that particular block or for that13 particular neighborhood.14 Throughout other parts of our15 city, particularly parts that some of us16 represent, in former industrial locations17 where 30 years ago was a burgeoning18 community as it relates to industrial19 properties, those jobs and those20 businesses have left, but now they leave21 these large buildings, industrial22 buildings, in our communities, do not23 maintain them and then the old broken24 window effect takes place. One window25 5 3/31/11 - HOUSING - BILL 1006151 gets broken, and before you know it, all2 the windows are broke. People are in the3 industrial old vacant buildings, causing4 fires and doing who knows what else. It5 is now a problem for that entire6 community.7 Similarly, people have vacant8 lots that they simply, frankly speaking,9 just don't feel the need to adequately10 maintain. It then becomes a dumping11 ground, short dumping. The reality is is12 that the City simply does not have the13 necessary resources to, one, enforce and,14 two, abate those nuisances.15 We heard in the hearing16 yesterday in 2001 we had 110 people17 working on the staff that clean vacant18 lots. We're down now to 43. If19 anything, the number of vacant lots has20 increased, but yet the staff to deal with21 that has reduced dramatically.22 So we think that this gives us23 the ability to be more aggressive in24 terms of imposing code violations and25 6 3/31/11 - HOUSING - BILL 1006151 enforcing those code violations on these2 absentee property owners that allow these3 conditions to continue in our city.4 So I would like to thank you5 all for your support, thank members who6 attended the hearing that actually caused7 this bill to be introduced late last year8 at Temple University, and we're looking9 forward to your full input and full10 support.11 I do understand that there are12 some concerns by some of the property13 owners, and we're engaged and fully14 prepared to listen to those conditions,15 and hopefully we can come to a consensus16 on what direction we need to go.17 So with that, thank you very18 much, Madam Chair.19
Thank20 you very much.21 Would anyone else like to make22 a comment?23 (No response.)24
Seeing25 7 3/31/11 - HOUSING - BILL 1006151 none, we will ask Bridget2 Collins-Greenwald, Managing Director's3 Office, to come forward to give her4 testimony.5 Please identify yourself for6 the record and begin your testimony.7 (Witness approached witness8 table.)9
Hi.10 Bridget Collins-Greenwald, Deputy11 Managing Director from the Managing12 Director's Office.13 Thank you, Councilwoman and14 members of the Committee. My name is15 Bridget Collins-Greenwald and I'm happy16 to provide testimony on Bill 100615,17 which was introduced by Councilman18 Clarke.19 As you are aware, the Nutter20 Administration is developing a number of21 land management policies to tackle22 Philadelphia's vacant property and blight23 problems. While these policies will not24 be a panacea for all these issues, we25 8 3/31/11 - HOUSING - BILL 1006151 hope that the stronger coordination and2 clear expectations will hold property3 owners accountable, allow for an easier4 way to obtain City-owned property and5 encourage developers and individuals to6 turn vacant land into a more productive7 use.8 Bill No. 100615 supplements the9 Administration's efforts, and as so much10 as the bill provides the Administration11 additional tools to fight blight, we12 support its passage and thank Councilman13 Clarke for his ongoing interest.14 The legislation, as amended,15 will reinforce the City's ability to take16 strong action against owners of blighted17 property. The City may file suit in18 Equity Court against specific19 individuals. Following a ruling against20 that individual, liens may be attached to21 the person's assets, and should that22 person live outside the Commonwealth,23 that person may be extradited into the24 City. Further, the City may deny the25 9 3/31/11 - HOUSING - BILL 1006151 issuance of permits for other properties2 owned by the same individual should3 outstanding violations exist on a vacant4 property.5 Each of these tools may act as6 an incentive and hold property owners7 accountable.8 Thank you again for the9 opportunity to appear before you today,10 and I'm happy to answer any questions.11
Thank12 you very much.13 Questions? Councilman Clarke.14
Thank you15 very much for your testimony. I look16 forward to your support.17
Great.18 Thank you, Councilman.19 COUNCILWOMAN BLACKWELL:20 Councilman Jones.21
Yes. Thank22 you, Madam Chair, and thank you,23 Councilman Clarke, for introducing this24 bill.25 10 3/31/11 - HOUSING - BILL 1006151 What I guess I want to know is,2 how does this further empower you and3 respective departments to take to task4 people who, for whatever reasons, whether5 it's speculation, whether it's just6 benign neglect, how does this help and7 how does it compare to the broken window8 law and how does it complement it?9 MS. COLLINS-GREENWALD:10 Actually, with the windows and doors11 ordinance, as we call it, this actual12 legislation is going to go hand in hand13 with that. Our office is working with14 the Department of Licenses and15 Inspections and Commissioner Burns on a16 strategic plan for the maintenance of17 this bill, along with the windows and18 doors ordinance. And what L&I plans to19 do is come in from the outer fringes of20 the City and actually do some enforcement21 on those areas of the City where we do22 think the windows and doors ordinance23 will take effect. And that, for anyone24 unfamiliar with it, is if you live on a25 11 3/31/11 - HOUSING - BILL 1006151 block that's 80 percent or more occupied2 and you have no windows and doors in your3 property, we go after you in a different4 way through Council ordinance than we5 would on a block that does not have that6 population.7 So what we are doing is sending8 dedicated inspectors into certain areas9 of the City and we're going to write up10 those ordinances. With that, we're --11 well, we're hoping for compliance,12 obviously. That's what we actually all13 strive for. Bearing that we don't get14 compliance, we're going to forward those15 cases to Equity Court, where we actually16 have a judge that has dedicated one day a17 month where he's going to hear these18 cases, to start with one day a month, and19 then we're thinking with him of the20 knowledge that he'll grasp from us keep21 sending these types of cases to him, the22 experience he'll have, he'll hold these23 property owners more accountable, and24 whatever fines and liens are placed upon25 12 3/31/11 - HOUSING - BILL 1006151 them, then working with the City's Law2 Department, we hope to bring those owners3 into the City and attach their assets,4 extras, whatever we need to do, to show5 them that we're really serious about6 enforcing these types of maintenance7 issues.8
I had an9 opportunity to attend Councilman Clarke's10 workshop at Temple University. I think11 it might have been a year ago or maybe a12 little more. And one of the issues --13 and I hope this addresses that -- is that14 you had block captains that could not15 find owners and that the process took so16 long. I remember one property at, I want17 to say, 56th and right off of Lancaster,18 right next to the mall, one of my block19 captains, the entire alley was blocked20 and they had built a false structure that21 was illegal and then just left the22 property, and so all kinds of crime and23 things like that happen there.24 The question I have is, in your25 13 3/31/11 - HOUSING - BILL 1006151 estimation, how much -- if it takes on2 average a year, two years, what will this3 allow us to shrink the time -- the4 reasonable timeframe down to some type of5 disposition?6
I7 can -- the plan is to actually for the8 maintenance strategy, which is the L&I9 enforcement strategy, when the initial10 violation is written against a property11 or a property owner, L&I usually gives 3012 days for someone to comply. You have to13 give them the due process period where14 they will comply. After that 30 days,15 L&I goes back out and does another16 reinspection. Upon that, if there's no17 compliance, L&I goes out one final time,18 does a reinspection, and then that case19 is forwarded to court.20 Now, where we've had some21 problems in the past is finding the22 property owners, as you said. What23 Commissioner Burns has done is, she's24 hired a dedicated staff of temporary25 14 3/31/11 - HOUSING - BILL 1006151 workers that have come into the2 department and they're actually utilizing3 other tools other than maybe just BRT4 information or Records information.5 They're using like LexisNexis, things6 over the Internet, and they've had to7 date -- they've only started a few months8 ago, but to date, they've been very9 successful at finding property owners10 that in the past we haven't been able to.11 So we're thinking grouping with that12 effort, along with the effort of a really13 concentrated enforcement timeline where14 it's the original inspection, the two15 reinspections and court, we think we're16 going to be very successful in this17 endeavor. And we are shrinking that18 timeline from down, as you said, in the19 past a year or two years or something20 like that for any type of enforcement21 action to take place.22
So the23 amount of time from citation to some type24 of action can be?25 15 3/31/11 - HOUSING - BILL 1006151
It2 should be, if no compliance, it should be3 you get the property maintenance4 complaint, so the 30 day, 30 day, 30 day.5 Ninety days would be ideal and then it6 would go to court. And then once it goes7 into the court system, then we're at the8 court system's scheduling, people to see9 what goes on there, but after that, our10 Law Department has agreed they're going11 to aggressively go after these -- not12 that they don't now, but really13 aggressively go after these types of14 violations, and, as I said, we have a15 dedicated judge one day a month that's16 going to start hearing these cases. So17 we're thinking he'll build up his18 expertise and whatnot and then hopefully19 some things will be done.20
Finally, at21 the state level, does their companion22 legislation address the right of23 redemption period and disposition period,24 making it easier in what ways?25 16 3/31/11 - HOUSING - BILL 1006151
That I2 am actually not sure about to answer that3 one. Sorry.4
That's fair.5 That's a fair answer.6 Thank you, Madam Chair.7
Thank8 you.9 We have a Housing Committee10 that meets regularly and we're trying to11 upgrade and update the code, and this is12 one of those areas that would have been13 good to be considered in our committee.14 We're concerned. Will this15 process take care of the backlog now? I16 mean, there's so many properties out17 here. Those that are bad have been bad18 for many, many years. We have a19 gentleman who is an officer who has some20 land in Mantua that's been vacant, and21 we've put him in Equity Court maybe ten22 years at least.23 So, I mean, how will you be24 able to shorten the time if you have the25 17 3/31/11 - HOUSING - BILL 1006151 same staff? Will this process allow you2 to protect those who are trying to do3 something with their properties and go4 after the, quote/unquote, deadbeats who5 just leave lots alone? How will you do6 that with your same workforce?7
Well,8 with the same workforce, we're just going9 to actually -- I'm actually not in L&I10 anymore, so I shouldn't keep saying "we,"11 but what Commissioner Burns plans to do12 is deploying the staff a little bit13 differently, having dedicated inspectors14 that are going and handling these types15 of cases. But what we're actually16 working with now, Councilwoman, is the17 Law Department to see how we can bring18 public nuisance liens into the19 foreclosure process. Right now currently20 you can't do that. It's a tax problem,21 and then you could get it into sheriff's22 sale and get some kind of disposition in23 the City.24 We are working with Law to see25 18 3/31/11 - HOUSING - BILL 1006151 about nuisance liens, which we're told2 through this bill will actually allow us3 to do that. So it's just a matter of4 working out a process with the Law5 Department to see how we can actually go6 about doing that.7
Thank10 you, Madam Chair.11 I also want to thank Councilman12 Clarke for his leadership in this, and13 like Councilman Jones, I had an14 opportunity to attend that conference and15 listen to the frustration of many of the16 good block captains and others who work17 aggressively at this.18 One of the questions that I19 have, and it's a discussion I've had with20 the Councilman, is around -- and21 Councilwoman Blackwell alluded to it,22 owner-occupied homes of people who are23 poor or maybe not have conditions to be24 able to fix their properties. What's the25 19 3/31/11 - HOUSING - BILL 1006151 intent of L&I as it relates to those?2
With3 this strategy, L&I is strictly focusing4 on vacant properties. So owner-occupied5 shouldn't factor into it at all, because6 this is just a vacant property strategy.7 And L&I is using different factors to8 determine what a vacant property is, but9 it's the standard no water...10
Right.11 It would be important. We recently,12 through the Committee of Licenses and13 Inspection, did the owner registration14 for people who don't live in the City and15 own property in the City in terms of16 having the realtor, whatever. It would17 be important for us, for L&I to put all18 of these new regs in some sort of format19 that people can kind of refer to, sort of20 tools for block captains, because we have21 updated from the fee part to what are the22 actions that we take. We need to make23 sure that people are correctly informed24 about what those kind of options are,25 20 3/31/11 - HOUSING - BILL 1006151 because I'm thinking we did the fees2 piece. As it relates to this one and the3 nuisance bills, is there going to be a4 fee structure that's different than the5 ones that we currently have?6
I don't7 believe so. I can't definitely say that,8 but I don't believe we anticipate doing9 any different type of fee structure.10
All11 right. I'll wait for the rest of the12 testimony. Thank you very much.13 Is there -- no. I wanted to14 ask this. Is there anything that's not15 in this legislation that we should be16 considering in addition to this?17
We felt18 the legislation was very strong and have19 actually touched on anything that we20 would need on the City's end on the21 enforcement end. So we were in full22 support of it and thought it included23 everything we needed. But if it didn't,24 we'll come back to you guys.25 21 3/31/11 - HOUSING - BILL 1006151
Thank2 you. Thank you.3 COUNCILWOMAN BLACKWELL:4 Councilwoman Miller.5
Good10 afternoon. You may not be able to answer11 this, but my question is -- actually12 really it's for the courts. What happens13 once it gets to court? What's going to14 change?15
We feel16 with this dedicated court date that we17 have coming up, that, like I said, the18 familiarity of the judge with these cases19 and actually seeing them and seeing the20 effect they have on the neighborhoods and21 the blighting effect that occurs to22 people that are still in the23 neighborhoods, that the judges are going24 to impose fines to the maximum, we're25 22 3/31/11 - HOUSING - BILL 1006151 hoping. And then what would happen at2 that point is, those liens can then go --3 after the judgment is passed, then we as4 the City and the City, working with the5 Law Department, could actually bring6 these owners into the City and attach the7 assets and things like that, which we8 don't currently do now. Now we just put9 a lien against the property itself and --10
Yeah.13 So we're thinking if you're going after14 people's assets, that's a whole different15 ball game.16
We have a17 hearing coming up. There's a hearing18 coming up in court, and I'm actually19 bringing the junior block captain down to20 testify about how that vacant property21 next to her impacts her life, and I was22 hoping that what you just said, I was23 hoping that once the judge hears how this24 impacts this young lady's life. And so25 23 3/31/11 - HOUSING - BILL 1006151 that court date, I can't remember off the2 top of my head, but it's in April, and3 I'm really hoping that it will change4 something for her, because this property5 is just vacant, abandoned. The owner6 comes every now and then and fixes a7 little bit of this and a little bit of8 that, but raccoons are in there and other9 things are living in this house and it's10 really impacting her ability to get rest11 to go to school the next day.12
Oh, I'm13 sure. That's where our hope is, that14 with these dedicated hearings and the15 dedicated judge, that he'll have a real16 understanding of the issues and actually17 will impose the maximum type fines and18 things like that.19
And24 let me note that this more recent25 24 3/31/11 - HOUSING - BILL 1006151 practice of not necessarily boarding up2 the rear where you got to ask L&I to go3 out twice and not doing upper floors is4 really an aesthetic nightmare. Not5 boarding up upper floors is a problem,6 too.7
I8 thought L&I boarded up the rears. That9 was always the practice when I was there.10 The second floors, I know a lot of times11 we won't send L&I employees up to those12 second floors because it's just not safe13 for them to go up there.14
They15 do first floor and leave. It was a16 monetary issue. But if the second floor17 or third floors are open, it really adds18 to the problem.19 More questions?20 (No response.)21
Thank24 you.25 25 3/31/11 - HOUSING - BILL 1006151
BIA,2 David Perlman, Building Industry3 Association.4 (No response.)5 COUNCILWOMAN BLACKWELL:6 Honorable Peter J. Wirs.7 (No response.)8 COUNCILWOMAN BLACKWELL:9 Mr. James White. I see you. I know you10 are here. Philadelphia Association of11 CDCs. Thank you.12 I don't see Kira Strong. Are13 you here?14 (No response.)15
I16 don't see Kira.17 I don't see Claudia Sherrod or18 do I? No.19 (Witness approached witness20 table.)21
No, ma'am. I think22 a lot of them will submit their testimony23 in writing later to the Chair.24
Thank25 26 3/31/11 - HOUSING - BILL 1006151 you.2
Thank you, Madam3 Chair, for the opportunity to speak to4 you and your esteemed colleagues this5 afternoon. My name is James White and I6 am the Policy Coordinator of the7 Philadelphia Association of Community8 Development Corporations. 16 As you know, blighted and17 vacant properties have a negative impact18 on adjacent properties that are being19 maintained by their owners, as well as20 neighborhoods and the City. To sum it21 up, a large amount of blighted properties22 equals lost household wealth, high23 maintenance costs for the City and24 delinquent taxes. 6 billion in lost7 household wealth. 5 percent citywide10 and by up to 20 percent in some11 neighborhoods. 15 Two, more than 20 million in16 City maintenance costs each year. 22 In addition, we recognize the need for a23 process for hardship agreements for24 lower-income homeowners to pay off fines25 29 3/31/11 - HOUSING - BILL 1006151 and remediate code violations such as in2 situations where they inherited a home3 with violations. 12 In accordance with Pennsylvania13 Act 90, the passage of Bill No. 10061514 with needed amendments would provide15 important new powers to Philadelphia that16 would help hold property owners17 accountable for maintenance of their18 properties. 17 A strategic and comprehensive18 effort to deal with urban blight should19 also involve schemes especially designed20 to discourage abandonment in the first21 place, as well as appropriate reuse of22 blighted and abandoned properties. In23 Philadelphia, strategic neighborhood24 revitalization efforts have been underway25 31 3/31/11 - HOUSING - BILL 1006151 for a number of years. CDCs are working2 with local residents, the City and other3 partners to transform these public4 eyesores into community assets and pave5 the way for new investments that will6 strengthen our neighborhoods. 3 million in back taxes. Ten years23 later, a similar survey revealed that 30724 of these vacant homes had been renovated25 32 3/31/11 - HOUSING - BILL 1006151 and only 14 homes remained tax2 delinquent. 5 However, replicating such success is6 challenging, especially in neighborhoods7 with weaker markets. 14 Finally, the historical15 challenges of the City's broken property16 acquisition and disposition system have17 been a major barrier to revitalization of18 neighborhoods. One out of every four19 vacant properties in Philadelphia is20 owned by various public agencies,21 including the City's Department of Public22 Property, the RDA, the Philadelphia23 Housing Development Corporation and the24 Philadelphia Housing Authority. Without25 33 3/31/11 - HOUSING - BILL 1006151 major system reform, including2 consolidation of ownership of these3 vacant properties at a single entity and4 additional strategic acquisition to5 create development sites, progress in6 reversing the blighting influence of7 these properties will be limited. 20 Thank you. 21
Thank22 you.23 Questions for Mr. White?24 Councilman Jones.25 34 3/31/11 - HOUSING - BILL 1006151
Okay. You6 went through with so many caveats, I got7 confused. I just wanted to hear that for8 the record again.9
We have supported10 this bill. We have supported this11 initiation of this effort for over a12 year. We have worked with Council; in13 particular, Councilman Clarke, in his14 efforts to do the workshop that we were15 very proud to co-sponsor with him back in16 2010. We have never waned from17 supporting this bill. We faced a deluge18 on Monday of concerns from across the19 state from our allies and friends in20 Harrisburg and as far away as Pittsburgh,21 who had some concerns about what we are22 doing and if we were doing it with23 everything that we needed to do with all24 the energy and speed.25 35 3/31/11 - HOUSING - BILL 1006151 I commend Councilman Clarke and2 his staff for getting the bill into3 alignment in accordance with Act 90 on4 short notice. But we've always supported5 this bill, and we will continue to6 support the efforts of this Council as we7 move forward to revitalize our8 neighborhoods, sir.9
I just10 wanted it plain speak. So I got it. I11 got it now. All right.12
Thank16 you very much, Mr. White. Thank you for17 all you do.18
You're welcome.19 COUNCILWOMAN BLACKWELL:20 Carolina B. Harris, Reverend Harris.21 (No response.)22 COUNCILWOMAN BLACKWELL:23 Mr. Darrell Zaslow.24 Is Melvin Sharpe here? Okay.25 36 3/31/11 - HOUSING - BILL 1006151 What about Lynn Haskin? Okay.2 Thank you.3 (Witnesses approached witness4 table.)5
The6 Chair also welcomes Tom Conway. He does7 so much great work for our city. We're8 glad you're here and appreciate all that9 you do for us.10 Good afternoon. Please11 identify yourself.12
Yes. Thank you,13 Madam Chairwoman. My name is Darrell14 Zaslow. 16 HAPCO, as you may know, is the largest17 property owners group in the City,18 representing many thousands of members19 and many tens of thousands or more of20 housing units in our city. 23 Madam Chairwoman, I apologize24 for not presenting written testimony to25 37 3/31/11 - HOUSING - BILL 1006151 the Committee. 10 We had the opportunity on the11 state level to participate in rather12 massive changes to the state law, which13 became Act 90 back when it was Senate14 Bill 900, and many of the lines which are15 all lined out on your version of this16 bill this afternoon are a result of the17 concerns which the State Legislature took18 under consideration and advisement and19 made the substantial corrections which20 are now before us. 25 38 3/31/11 - HOUSING - BILL 1006151 Blight affects all of us. 17 We will be advising our members18 that if you are a property owner who19 cannot comply with the serious and20 imminent violations, which are a danger21 to public health and safety, which22 Councilman Clarke's bill is geared to23 addressing, then you really have no24 business being an owner of property. 8 We do hope that this bill9 translates somehow into an actual10 improvement. 8 I think, Madam Chair, you9 yourself were right on target as saying10 earlier in the proceeding today that you11 want to be sure that we're not12 endangering owners who may be struggling13 and in good faith trying to correct a14 problem. If it's some absentee owner who15 is ignoring the City, hammer them. 2 We do have one narrow concern3 about the bill, and perhaps the Chair or4 the sponsor or someone can give us some5 guidance on this. The bill as it's6 written on the state level and, of7 course, mirrored here in the City allows8 for this permit denial upon a tax9 delinquency, and the state law and the10 mirror ordinance here in the City simply11 provides that tax delinquent is as12 defined in two very complicated13 Commonwealth of Pennsylvania statutes,14 the real estate tax law and the municipal15 claims and tax lien law. And, frankly, I16 do not know what those laws mean in terms17 of a tax delinquency. I don't know if18 that means if you get a bill for your19 taxes and you're one day late, that now20 you are not going to be able to get any21 City permits or if there's some higher22 level of delinquency, because both of23 those laws deal with municipal claims and24 liens and sheriff sales as to at what25 42 3/31/11 - HOUSING - BILL 1006151 point the City will ascertain that there2 in fact is a delinquency which will bring3 this bill into operation. And I don't4 know what the answer is, and we asked on5 the state level and they sort of just6 said, Well, it's in that law. I brought7 the law with me today and have tried to8 ascertain for my own benefit what it9 says. I'm sure there may be people who10 deal with it even more regularly than I11 do who may have an easy answer, Oh, tax12 delinquency means the following. 22 Mr. 25 43 3/31/11 - HOUSING - BILL 1006151
I have a little2 bit to say, Darrell, since you covered3 mostly pretty much everything pretty4 well.5 Madam Chairwoman and Committee,6 I'd like to thank you for the members of7 HAPCO for hearing our testimony and8 personally thank Councilman Clarke for9 taking the bull by the horn concerning10 blighted property in the City.11 As we all know, blight affects12 everyone, the people who live in the13 community and those who invest in it as14 well.15 As Darrell has -- all of us --16 as Darrell has pointed out, to withhold17 permits for being late paying fees or18 taxes, we all know this has been a19 hard -- economically the times have been20 hard on all of us. Unlike the City, we21 can't sell bonds or raise taxes. A lot22 of us can't raise rents on our tenants,23 because a lot of our tenants are paying24 over 50 percent of their income towards25 44 3/31/11 - HOUSING - BILL 1006151 rent and utilities. So I would hope we2 can get some clarification on the matter3 which Darrell Clarke -- excuse me;4 Darrell Zaslow, our attorney, was talking5 about.6 And thank you once again for7 hearing our testimony.8
Thank9 you. We're going to ask Councilman10 Clarke to respond to that with those11 issues when he is free. He's on the side12 of the Council. And we'll ask him about13 his intent and what he views, if a person14 has a property and they just missed their15 deadline for filing --16
I don't want to17 put Councilman Clarke on the spot,18 because, as I say, this is a complicated19 issue and I don't want to put him that he20 needs to know the answer, because in21 Harrisburg they didn't exactly seem to22 have an answer either. But if he has23 some sense of it, we'd appreciate hearing24 it.25 45 3/31/11 - HOUSING - BILL 1006151
Thank2 you very much. And we believe that when3 we pass legislation, that we should be4 mindful of our intent and mindful of the5 economy and we should try to do the right6 thing and be surefooted about what it is7 we want to do.8
Thank11 you, gentlemen. Thank you.12 Melvin Sharpe, Lynn Haskin,13 Kelly J. Gastley, Law Works Project.14 (Witness approached witness15 table.)16
Thank17 you very much. Welcome. Please identify18 yourself for the record and begin your19 testimony.20
Yes. Thank you,21 Madam Chairwoman. My name is Melvin T.22 Sharpe, Jr. I am an attorney in23 Philadelphia and also a resident in the24 28th Ward, which is in the 5th Council25 46 3/31/11 - HOUSING - BILL 1006151 District of Councilman Clarke.2
I am here5 principally as a representative of the6 dispossessed, of the poor and low-income7 people in my community. Those are the8 people that I am speaking for. 19 One is on a micro level, if you look at20 it unit by unit. And there's been21 testimony and research that there's22 approximately 40,000 such vacant units23 throughout the City. The other is on a24 macro level, and that's how I look at it,25 47 3/31/11 - HOUSING - BILL 1006151 because I feel that if you identify each2 particular parcel and you deal with what3 its impact may be, you can imagine4 communities where you have significant5 numbers of parcels and the impact on the6 entire community. 10 One of four of the 40,00011 vacant properties are in the City's12 inventory. That means either13 Redevelopment Authority, PHDC, any other14 number of City agencies. That's a very15 significant concern, because I think that16 the City should first start with itself17 before it begins to legislate what's18 happening with its citizens. 22 Also, there was discussion23 about an equitable neighborhood24 revitalization strategy. If there is25 48 3/31/11 - HOUSING - BILL 1006151 going to be such an equitable2 neighborhood revitalization strategy, it3 certainly should include the people in4 that community and not to privatize this5 process so that then folks that live6 outside the community come in, buy up7 significant amounts of property and then8 we see a change, a wholesale change, in9 the community of the residents in that10 community. 13 We know that blight is a14 problem for everyone, but the problem was15 not created today. It was created over16 generations. It's been created over17 decades. 24 My concern also as a lawyer is25 49 3/31/11 - HOUSING - BILL 1006151 with process. There are issues in this2 legislation that concern legal processes,3 and the City has in place existing4 processes that address many of the needs5 of this legislation. The lack of6 enforcement by the City up to this time7 is a very significant issue. 12 So the problems I think are13 more varied than can be addressed within14 this forum, and they reach far outside of15 this forum. And we know that16 historically something like drug abuse17 has contributed to blight. Any number of18 other problems have contributed to19 blight. So it's not just that houses are20 falling down, people have moved away. 5 I'm a Strawberry Mansion, North6 Philadelphia lawyer representing the7 people of my neighborhood in the 5th8 Council District, and I oppose this bill9 for three fundamental reasons. I believe10 that it is unconstitutional as it is11 proposed, that it is overreaching as it12 is proposed and that it is overbroad as13 it is proposed. 22 Now, within our legal system,23 there are already systems set up that24 address condemnation by themself. Then25 51 3/31/11 - HOUSING - BILL 1006151 you move to the next process, which is2 acquisition. 4 Then you move to the next process, which5 is post judgment execution. 17 Simple enforcement of existing18 laws by each branch of government will19 achieve the legislative intent, and there20 is no clear, legitimate governmental21 purpose for using one bill to accomplish22 what three branches can do under existing23 law. 5 So at the same time that we are6 looking at this as a civil action, we7 talk of extradition, and that is a8 criminal remedy. 25 53 3/31/11 - HOUSING - BILL 1006151 It eliminates a need for L&I2 enforcement, nuisance legal actions,3 foreclosure, quiet title actions and4 execution proceedings on affected5 properties. 12 This is the long-anticipated13 wholesale takeover of poor urban14 communities. This is what the people in15 our community have talked about. 5 To attach the assets, credit6 and ownership of vacant land holders7 without giving them an opportunity to8 address the concerns in a lawful manner9 is unconstitutional.
18 Since it would affect the tax19 base, PICA and possibly the voters in a20 ballot question really need to be21 considered in the drafting of this22 legislation. 20 What is the plan for property21 development in the affected communities22 if this bill were to be passed? Because23 there needs to be a plan for development24 on the other side as opposed to just25 56 3/31/11 - HOUSING - BILL 1006151 looking at ameliorating or eliminating2 blight. Because we got 40,000 properties, 10,0004 of them owned by the City. So to me, this adds to greater7 problems over time, because you're just8 creating more stock that is vacant. Of9 course, maybe in a position to be cleared10 and developed. Great. 24 So we would potentially be25 57 3/31/11 - HOUSING - BILL 1006151 creating a new and displaced class of2 indebted property owners, trumping their3 legal rights, and that will not build the4 tax base of this city. This city needs5 economic development and infusions of6 capital from banks that are still7 redlining many of these urban8 neighborhoods. 12 Redlining, we all know, is a reality in13 this world. So what are we going to do14 with the banks? 24 We all want the City to25 58 3/31/11 - HOUSING - BILL 1006151 continue on an upward growth cycle. We2 need legislation that gives property3 owners a chance to compete and gives them4 a chance to complete renovations of these5 properties if they don't have the6 resources to do that. 9 Now, the City's Vacant Property10 Review Committee program under the late11 Vernon Marks was a great example of what12 we can do to change around our13 communities. I don't know where that14 program is. I would like to see it, and15 if it's still in existence, it should be16 ameliorating some of these vacant17 properties over time. But it worked18 before. I've seen it work. 21 We have young people who are22 leaving our communities in Philadelphia23 because they can't find a house to live24 in. How are we going to provide for25 59 3/31/11 - HOUSING - BILL 1006151 those who are graduating from our2 colleges here and want to stay in the3 City but can't find a decent job and4 can't find a house to live in? 9 I think this bill creates a10 privatized process and it gives lip11 service to reclamation and12 revitalization, but in fact underlining13 that is gentrification. That's my14 concern. Because I don't want to see my15 people in North Philadelphia pushed out16 into communities where they cannot --17 where they live now, where somebody may18 have left them a property, but they can't19 afford to fix that property up. It's20 very basic. I don't think it's rocket21 science. I think this Council is very22 intelligent and has the ability to draft23 the legislation that's needed to get us24 where we need to go. I don't think that25 60 3/31/11 - HOUSING - BILL 1006151 this is the legislation. 23 Thank you. With all due24 respect, I have not seen any amendments,25 61 3/31/11 - HOUSING - BILL 1006151 so I can't speak to that. 8
Thank9 you, Mr. Sharpe.10 Are there questions?11 (No response.)12
Kelly16 Gastley. After Ms. Gastley, is there17 anyone else here who would like to18 testify?19 (Some witnesses raising their20 hands.)21 (Witness approached witness22 table.)23
Thank24 you.25 62 3/31/11 - HOUSING - BILL 1006151
Good afternoon,2 Chairwoman Blackwell and members of the3 Committee on Housing. My name is Kelly4 Gastley and I'm a Supervising Attorney at5 Philadelphia VIP. VIP is a non-profit6 legal services agency here in7 Philadelphia. 12 My work at VIP over the last13 five and a half years has focused on14 assisting clients who have tangled title15 issues. These are clients who have a16 legal interest in the home they're living17 in, but do not have legal title. They've18 inherited the home from a deceased19 relative, they've entered into a20 rent-to-own agreement to purchase the21 property or they're the victim of a22 fraudulent conveyance. 19 They have not been used to paying taxes20 in the past. 4 But unfortunately this does not5 resolve the problem of the delinquent6 real estate taxes that they inherit when7 they take over that property. 15 We certainly do not oppose the16 effort of this bill to address the17 extensive blight that exists in18 Philadelphia. It's a problem that hurts19 everyone. It certainly hurts our clients20 who live in the areas where there are so21 many blighted and vacant properties, and22 we want to see all of their home values23 rise by having these blighted properties24 taken care of. What our concerns are are25 65 3/31/11 - HOUSING - BILL 1006151 how this bill is going to address some2 low-income homeowners. Particularly3 we're concerned about seeking in personam4 judgments against owner-occupants. Many5 homeowners are low income and they would6 be significantly penalized if in personam7 judgments were sought against them and8 their credit would be affected. These9 are clients who already have a lot of10 trouble working on their credit. This is11 why they find themselves entering into12 rent-to-own agreements in the first13 place, because they don't have the credit14 to take out a traditional mortgage to15 purchase the property. If in personam16 judgments were placed against them, their17 credit would be hurt even further. That18 means they're going to have problems19 taking out those home repair loans to fix20 the leaking roof, take care of the pipes21 that are broken. They're going to have22 problems seeking rental housing if they23 lose their property to a tax sale in the24 future. 3 We were also previously4 concerned about the definition of an5 owner, including heirs, in the prior6 bill, but we're glad to hear that the7 newly revised bill goes ahead and8 provides additional protection for those9 heirs of owners to allow them to enter10 into remediation agreements or payment11 plans. 13 In response to these concerns14 about in personam judgments, we15 understand that Councilwoman Sanchez's16 office has put forth some amendments that17 do significantly address all of these18 concerns. 12
Yes.16 Thank you so much for your17 testimony.18 COUNCILWOMAN BLACKWELL:19 Councilman Clarke.20
Thank you,21 Madam Chair.22 I just want to real quick, with23 respect to the conveyance of properties24 to the City, you just heard testimony by25 69 3/31/11 - HOUSING - BILL 1006151 one of the individuals here that the City2 currently owns up to 25 percent -- I'm3 not sure if that number is correct, but4 up to 25 percent of the vacant5 properties. It kind of implies that the6 City probably already has enough vacant7 properties. So I'm not sure the City8 would or could or should be interested in9 picking up additional vacant inventory.10 Is that my understanding of11 your proposal, that that would be the end12 use?13
That really would14 be what I would propose to be a15 last-ditch effort. I think that16 remediation agreements, payment plans,17 basically having some structure set up so18 that people --19
Let's stay20 on that issue, because I think that --21 I'm giving you an opportunity, because I22 understand that there's actually maybe a23 potential -- first of all, I don't think24 the City is going to be interested in25 70 3/31/11 - HOUSING - BILL 1006151 taking any more vacant inventory unless2 there's an end use, be it a development3 or proposed development. And I talked to4 my colleague, and she indicated that5 there was some potential of a proposal6 that would allow in the event that a CDC7 or a developer was interested in having8 that property as a part of the end use;9 i.e., end use, that the City may10 potentially be involved in having a11 donor/taker type solution. But to12 suggest that we take more vacant13 inventory with no end use, I mean, I14 would not support that, because I'm15 having enough trouble --16
No. I would17 agree. I think I probably18 mischaracterized it a bit, and I thank19 you for that clarification. We would20 support a donor/taker like program and21 continuing that, which I know has kind of22 fallen in abeyance in recent years, but23 we would absolutely support instead of24 the City taking ownership -- certainly25 71 3/31/11 - HOUSING - BILL 1006151 the City doesn't need any more vacant2 properties on its hands. So we would3 certainly support instead a donor/take4 where CDCs were taking over ownership of5 those properties and turning them --6
With the7 understanding that we wouldn't just be8 conveying one blighted property to9 another owner who is going continue to10 allow that property to be blighted in11 that community, that there is the12 wherewithal within a reasonable timeframe13 for that property to be put in productive14 use. Because I don't think that it's15 fair to allow a person to get away16 with -- have a lien or judgment wiped17 clear, they give it to another person and18 they hold it for a while, they don't19 abate the nuisance, and then when the20 City comes down and says you got to do21 something because you have this blighted22 property and then, Okay, I'll give it to23 somebody else. I mean, that's a shell24 game.25 72 3/31/11 - HOUSING - BILL 1006151
Absolutely. I2 think there absolutely have to be those3 restrictions that I know the City has4 already proposed to make sure that those5 folks who do take over, who are the taker6 in that situation, actually remediate the7 property under a plan and they actually8 do -- and they're held to what they say9 they're going to do within a small period10 of time. Absolutely, we support that.11
And would12 that be restricted to owner-occupied13 properties or are you suggesting that14 some corporation out in Gladwyne that has15 an old factory site where they used to be16 be allowed to dump the property?17
Because I20 think that defeats the purpose of the21 bill, to be honest with you.22
Right. I think23 for owner-occupant properties it would24 make sense. I'm not sure if it needs to25 73 3/31/11 - HOUSING - BILL 1006151 be applied widespread to every single2 property that would fall into that3 situation.4
I just16 wanted to, one, thank Councilman Clarke17 for allowing us to provide some input18 based on the feedback from some of the19 work that we're doing in the community20 and reiterate what he was saying. We do21 want to make sure that this is about22 protecting poor individuals and not23 corporations and all those other things,24 and to also clarify that this is about25 74 3/31/11 - HOUSING - BILL 1006151 trying to keep people in their homes and2 it's not for corporations and other3 people to skirt it, and also work with4 our community development corporations5 who are sometimes working in6 neighborhoods where that one house or the7 two houses on their -- holds them back8 from being able to complete neighborhood9 renovations.10 So I want to thank my colleague11 for allowing us and thanking you for12 reviewing some of this stuff and giving13 us some of this feedback. That is14 important, and him for being open to the15 discussion. So thank you.16
Thank you,20 Madam Chair, and, again, thank you,21 Councilman Clarke, for bringing this22 issue up forward. And sometimes in order23 to do a good thing, you have to go24 through a process, and that's a part of25 75 3/31/11 - HOUSING - BILL 1006151 this. 3 I want to thank Mr. Melvin4 Sharpe, who I had a couple of decades of5 knowing. 14 I'm particularly intrigued by15 your line of business, because I have run16 into this issue of tangled titles more17 and more in impacted communities where18 grandma recently bought the property,19 then allowed her daughter to stay and20 raise her family, now grandma for21 whatever reason, whether it's22 incapacitation or just natural death, is23 no longer there and there was no24 successor survivor plan in that. 7 So it's an important service8 that you do. 19 I also remember -- and I'm old20 enough to remember -- the Vacant Property21 Review Committee and Vernon Marks and how22 much it meant to the development of inner23 city neighborhoods, how he24 single-handedly almost was able to steer25 77 3/31/11 - HOUSING - BILL 1006151 the course in an ethical way but to2 community corporations. 6 But I do want to say that we7 have a tendency always to cast with8 dispersion the role of a developer, and9 we should not do that. We should not10 stereotype that every developer is from11 New York and has a mustache and is coming12 in to come and disenfranchise the widows13 and orphans. It's not always that case,14 and sometimes they have a very important15 function of something old, something new,16 something borrowed, something blue,17 meaning taking an old neighborhood,18 adding some new resources and capital and19 being able to create a marriage, if you20 would, of existing residents with new21 dollars to create a new future for a22 neighborhood. 25 78 3/31/11 - HOUSING - BILL 1006151 And another stereotype is, I2 know some guys I grew up with that now3 are developers. They're from the4 neighborhood. They're second generation,5 third generation, that neighborhood, and6 one project at a time had begun to amass7 properties and then put their own8 hard-earned capital in. 22 So I take a note from Attorney23 Sharpe's comments that the one shoe is24 how you acquire blighted properties,25 79 3/31/11 - HOUSING - BILL 1006151 because I hear from way too many block2 captains that say, If we could just fix3 this one on an otherwise good block, we'd4 be all right. The other shoe that has to5 fall -- and it is a difficult time6 economically -- is to get -- we possibly7 are facing a 60 percent cut in CDBG8 dollars, Community Development Block9 Grant dollars. So a part of this is10 figuring out how to acquire properties,11 because we do have to have site control12 and we don't want to gentrify and we13 don't want to displace people, but in14 order to develop new properties, you have15 to have site control. But we have to16 create this balance within this17 legislation, and I just wanted -- I feel18 better now having said that. 20
Thank you,24 Madam Chair.25 80 3/31/11 - HOUSING - BILL 1006151 Real quick, I just wanted to2 reference Strawberry Mansion, because it3 was where I was born and raised,4 particularly as it relates to NTI. I5 just want to for the record say that6 Strawberry Mansion was the first pilot7 area -- I know Councilwoman Blackwell8 will talk to me about that later -- was9 the first --10
They11 take it all from me, you know. West12 Philly does exist.13
It was the14 first pilot program for the initiation of15 the NTI demolition program, and it was an16 aggressive approach to demolishing17 long-term vacant and blighted properties.18 There was this concern raised early on.19 We actually had several hearings here. A20 good friend of mine, Judith Robinson, who21 is an advocate and continues to be an22 advocate, raised several concerns during23 the course of the hearing, and they were24 understandable, because if we simply had25 81 3/31/11 - HOUSING - BILL 1006151 taken the approach we were going to2 demolish buildings and walk away, that3 those challenges and those issues would4 be legitimate.5 But I do want to say that we've6 been fortunate, not nearly as quickly as7 I would like, but there are only so many8 resources. As a result of that, in a9 number of areas within the Strawberry10 Mansion community, we were successful in11 clearing sites. Then we subsequently12 followed with an acquisition strategy13 that allowed, using NTI dollars, allowed14 us to acquire a number of properties in15 the Strawberry Mansion community. Two of16 those sites are currently under17 construction. 32nd and Cecil B. Moore we18 are just finalizing 12 units of for-sale19 housing. There will be a ribbon-cutting20 ceremony, I guess, in the next two weeks.21 On 31st Street, there was an22 area that was near and dear to my heart.23 I'm sure Mr. Sharpe, us having grown up24 in the same community, remembers. I was25 82 3/31/11 - HOUSING - BILL 1006151 just telling a younger gentleman, a radio2 personality who lived at 30th and York,3 he's like 25 years old, had no idea,4 explaining to him how 31st Street used to5 have a movie theatre and a bakery and the6 egg store and the Ben's Shoes, I mean,7 all that. He couldn't believe it, right?8 But it suffered bad times through the9 course of the riots and some of the other10 deterioration that's associated with it.11 But right now as we speak, we have been12 able, utilizing the demolition strategy13 and the acquisition strategy, we14 currently have 30 brand new homes under15 construction, 60, 70 percent complete,16 that when people walk on that block and17 they haven't been around there in a18 while, they just look at it in amazement.19 So it is coming back.20 27th and Susquehanna, across21 from the stables, we have acquired that22 entire site and we have a proposal23 submitted by Michaels Development that24 will build, hopefully if we get funded --25 83 3/31/11 - HOUSING - BILL 1006151 I know Blackwell is over here,2 Councilwoman, is saying, Oh, he's getting3 all that money. Hopefully if we're4 successful in the final phase of funding,5 we'll build 62 units of affordable6 housing.7 2800 block of Oakdale Street,8 thanks to the support of Councilwoman9 Blackwell when she was on the PHA Board,10 we have acquired that entire block, and11 there's a proposal to build 40 units of12 affordable housing.13 So while the development14 process is not nearly quick enough,15 particularly for those in our16 neighborhoods that care about those17 areas, we are making some improvements.18 And I agree with the premise that we19 can't simply take the approach of one20 particular bill being the end-all or the21 panacea, but it has to be a comprehensive22 approach to a development community.23 So saying all that to say that24 all of the information that you all have25 84 3/31/11 - HOUSING - BILL 1006151 put forth today has been very helpful in2 defining what we're trying to do in a3 very comprehensive way.4 Thank you, Madam Chair.5
Thank6 you, Councilman Clarke. And in all7 fairness, we are proud of all the8 development. We're proud that NTI9 started in North Philadelphia. I was10 born in Richard Allen.11 Am I right, Ms. Simmons?12 That's my other mother right13 there.14
I raised her.15 She had no one to do for her. Everybody16 was planning on me. I said, Come on, you17 going to be raised up to be a nice young18 lady.19 I would take her across the20 street. She didn't want to stop for the21 lights. She was jigging and jumping.22 I've been to her schools. Good23 for her. Having her everywhere she had24 to go. And I'm so glad that I lived to25 85 3/31/11 - HOUSING - BILL 1006151 be 83 to see her where she is now.2 (Applause.)3
Thank4 you. Thank you so much. We love you,5 too. Thank you. Thank you.6 So we are proud, and you see7 I'm on my good behavior. Did you see me8 clean that up? I'm on good behavior. I9 know better.10
Okay.12 Thank you very much.13 Is there anyone else who would14 like to testify?15
Thank17 you.18 Please come forward. Give us19 your name for the record and begin your20 testimony.21 (Witnesses approached witness22 table.)23
Good24 afternoon. 8 But I believe it will. 11 But to give you a quick12 anecdote, I moved to that block from the13 1800 block of Natrona Street off of 33rd14 and Cecil B. Moore in '97. That's where15 I lived in '97. And when I lived there16 in '97 and I told people I lived on 180017 Natrona Street in North Philadelphia,18 they went, Oh, my God, that's a nightmare19 down there. 6 They tell me that the7 decimation that's in my block and the8 block before it, the unit block of North9 Yewdall, has been happening for the last10 52 years plus, and they told me they11 watched as the homeowners of previous12 time died out and left the properties to13 their children or gave up because they14 couldn't afford it. 18 What I'm asking for as the19 block captain of 100 North Yewdall Street20 today, as I've been asking Mr. 14 So long story short, I'm saying15 I need help, my block needs help, because16 the City did not create the total17 problem, but they helped a lot, because18 in 2005, the NTI came through my area19 with a whole bunch of hoopla via the20 Salvation Army Chapel with the thing of21 if you help this demolition happen, the22 empty spaces will be replaced with new23 houses. 2 And the response I received at that time3 at that particular meeting was, It's not4 worth spending the money on those5 properties to fix. It's easier to6 demolish them. And so they were7 demolished in 2005, and so it was. And8 we done waited for these -- what did they9 call them? Prefabs, which they said10 would be brought in. 11 It's 2011. 7 Mr. Jones, thank God I can8 truly say thank you to him. He's been9 truly supportive. He even took the time10 to come and walk through our block and11 take the time to talk to my residents,12 myself. So that's raised the hope of --13 raised the hope bar a lot more. 17 A lot of people laugh at me18 when I come. I've been coming here now19 for 12 years, since I moved on Yewdall20 Street, and some people have even told21 me, You're becoming a serious pain in the22 you-know-what. Because they're like, You23 just won't go away. But I keep coming24 back because I'm like, Something has to25 91 3/31/11 - HOUSING - BILL 1006151 happen. , my block,12 100 North Yewdall Street and blocks like13 it, actually get help in seeing true14 renovation, revitalization happen without15 them being moved. Because I believe you16 shouldn't have to get moved to the middle17 of God knows where to live somewhere18 nice. 23 The big thing I keep hearing24 from so many people, It's only a matter25 92 3/31/11 - HOUSING - BILL 1006151 of time before Penn takes over. It's2 only a matter of time before blah, blah,3 blah moves through here. I'm saying4 today, thank you for the time in5 listening to me. Poor people, whatever6 you want to call it -- I despise that7 word, "poor" people. 10 But people need help. That's11 what I'm saying. 13 We need help. And I'm saying as far as14 the NTI was a good initiative, but at15 least for my block it did not work and is16 not working, because when I walk down my17 block, it looks like somebody just took a18 hammer, just knocked all the properties19 down. And you can look from one side of20 the street to the other side of the21 street. And I don't blame that on the22 previous owners, not up front. I blame23 that in a big part on the City. 2 But one thing I want to say,3 when a person vacates their house, the4 house should not be allowed to just sit5 there. The City knows where to find6 these people at. They could even find7 them after the vacant lot happens, but8 the whole thing is, nobody wants to put9 in that work. Excuse me. 10 It's a hard process, but I'm saying the11 same way that they're held accountable12 for their taxes, blah, blah, blah, they13 should be held accountable for the14 aftermath. And I'm just asking them --15 I'm going to stop there, because it's16 really personal to me, but not only. 4 And I hope that's not the case. 7 And thank you for the8 opportunity. 15 Thank you. 17
Thank22 you. Pleasure to have you.23 Would you identify yourself for24 the record.25 95 3/31/11 - HOUSING - BILL 1006151
Can I,2 Madam Chair?3 COUNCILWOMAN BLACKWELL:4 Councilman Clarke. Certainly.5
10 Actually, he was just telling me that11 three of us were in a presentation12 yesterday and he was showing me on a13 PowerPoint presentation the very block14 that you're referencing that is already a15 part of a plan that he's putting together16 for redevelopment. It's quite ironic17 that you would show up here today to talk18 about that block. 20 I do want to clarify a little21 bit about this particular bill, because22 there's been several references to23 gentrification, and the reality is that24 this is just the opposite. This bill --25 96 3/31/11 - HOUSING - BILL 1006151 I just want to make it clear. We did2 this bill based on, one, all my years3 both as a Councilperson and prior to that4 as working for the former Councilperson5 and walking around the streets of North6 Philadelphia, in particular in my case,7 where we saw these vacant buildings and8 more larger factories and commercial9 properties than anything else that just10 sat there and sat there and sat there and11 sat there, and we said, Well, can you do12 something about it. And the City would13 come out, maybe put the little orange14 tag, violation. And nothing would ever15 happen. Then the orange tag would turn16 yellow and then it turned brown, and then17 three years later, we come right back18 out, write the violation. Nothing19 happened. And then we realized that the20 violations, one, were so small in terms21 of what the City was capable of doing,22 that the people that own the property23 said, This is $150, whatever, I'm not24 paying it, I'm not doing anything. 2 So had that person who owned3 that property -- because somebody owns4 that property somewhere. 6 If we said, Well, you know what, let's7 increase the fines, which we did. Some8 people would say too much. Mr. 11 Well, we still disagree to a degree. But12 instead of putting it just on that13 property that they didn't care about and14 they didn't have to see every day, what15 this bill says, You know what, you got a16 property out here -- and I hate to use17 the term Gladwyne. I keep picking on18 Gladwyne, but that's where a lot of these19 people live. So we're not only going to20 put it on that building, we're going to21 put it on that building where you are,22 where you live. 2 So that's the intent of the3 bill, to give us the ability to not just4 leverage fines and liens on this property5 that's in our neighborhoods creating a6 blight, but now we can reach out and7 touch someone, meaning where you live or8 maybe that car that you have and put a9 judgment and lien on that. 16 So that's the intent of the17 bill, period. Not to take anybody's18 property. We just want people to deal19 with the situation that they have left20 behind in our community, period. 3 Councilwoman Sanchez has raised4 a very serious concern about the person5 who lives in the house themselves, that6 they just don't have the wherewithal to7 fix something up. We got to figure that8 out, because that's not the intention of9 the bill. 10 So that's -- so you got a clear11 understanding, all the other issues,12 gentrification, all that, that's a13 separate issue. It's a very important14 issue, but it's not what this bill is15 discussing. Okay? 18
Thank19 you.20 Would you like to testify now.21 Identify yourself for the record.22
Sure. Thank you,23 Madam Chairwoman. My name is Rebecca24 Johnson and I am the Executive Director25 100 3/31/11 - HOUSING - BILL 1006151 of the Fairmount Community Development2 Corporation. I'm here today to offer my3 very strong support for this bill and to4 thank City Council and this Committee for5 your leadership, especially Councilman6 Clarke with the conference at Temple last7 year, which was great, and for8 introducing this bill.9 Addressing vacant lots and10 buildings in our communities is a very11 difficult, complicated problem, and it's12 really like all hands on deck. And one13 of the things that we're doing in14 Fairmount is using Act 135 and the15 conservatorship to collect really good16 information and to use the residents to17 be the people that are collecting that18 information.19 And so I'm really here to say,20 as I'm going through the bill, that it21 seemed to me that we shouldn't be doing22 that in isolation from what the Law23 Department and L&I are doing and that --24 we had a meeting, we had a training on25 101 3/31/11 - HOUSING - BILL 1006151 Monday night and just talking to the2 residents and going through the checklist3 of everything you need, they know this4 information. And if they don't know how5 to look to see if there's existing6 mortgages on a property, we showed them7 how to do that.8 And so I think that there9 should be a mechanism -- and I guess10 that's what I'm here to do, is encourage11 this Committee and maybe with the12 Managing Director's Office as well when13 they're talking about just collecting the14 list of vacant property, I said, I have15 that list and what format do you want it16 in? You know, because that's obviously17 an issue for a big citywide database.18 But I think that there needs to19 be a mechanism so that those -- we're a20 small CDC. There's no way that we're21 going to actually take conservatorship22 over every single property unless we23 partner with a very kind of -- a private24 developer with a lot of capacity and25 102 3/31/11 - HOUSING - BILL 1006151 willingness to do so, but what we can do2 is use it as a tool. And so I just think3 that information that is being collected4 should be also maybe shared directly5 either to the Law Department or L&I to6 use when you're at the very beginning of7 this process proving that the property is8 in fact blighted under the bill and that9 they can then go through the process of10 attaching personal assets.11 So, again, that's all I had to12 say. I'm happy to take questions, but13 thank you very much for your leadership14 on this.15
Thank16 you.17 Good afternoon. Please18 identify yourself for the record.19
Hello, Chairwoman20 Blackwell and members of Council. My21 name is Steve Sisco. I want to give you22 a little bit of background about myself23 regarding how I came to this meeting.24 Serendipity, yesterday was when25 103 3/31/11 - HOUSING - BILL 1006151 I first heard about the blight -- this2 whole thing. My wife and I first moved3 to Philadelphia in 1985 when there were4 no newspapers. They were on strike. The5 garbage men were on strike, and the6 business with Osage Avenue had just7 happened. In the 20-some years we've8 been here, a remarkable change has9 happened to Philadelphia. And I don't10 want to go into all of those issues.11 However, when she and I were looking for12 a house to buy after renting in Drexel13 Hill for approximately eight years, all14 we wanted was a three-bedroom ranch15 somewhere out in the suburbs. We16 couldn't find anything within our budget.17 Friends of ours said, Have you looked at18 that house on Woodbine Avenue?19 I live in the historic district20 now of Overbrook Farms, Councilman Jones'21 district. The house that we looked at22 was neglected. It bordered on being23 blighted. There were people living in24 it. We subsequently purchased the house,25 104 3/31/11 - HOUSING - BILL 1006151 fixed it up. And a couple of doors down2 was a house that was in incredibly bad3 shape. The owner was absentee. He lived4 in Northeast Philadelphia. I went over5 and boarded up the windows and the doors,6 and there were not going to be any, let's7 call them, miscreants in my neighborhood.8 During this time, I started a9 business, which is in Councilwoman10 Miller's district on Germantown Avenue,11 and next door to my building is a12 building that would be considered13 blighted. When I purchased the building14 in 2004, my partner and I decided, Well,15 maybe we could buy this blighted building16 from the City. We missed by two weeks17 purchasing it from the City. A gentleman18 who wanted to turn the building into the19 museum for the John Coltrane Society20 brought in several architects and21 planners, and I told him, You're wasting22 your time, the building should be23 demolished.24 So after hearing all the25 105 3/31/11 - HOUSING - BILL 1006151 testimony from various people, nobody2 lives in this building, nobody has lived3 in this building. It has now been turned4 back to the City.5 I went to the seventh floor6 this morning to find out how to start the7 process of purchasing this property, and8 they have referred me to Councilwoman9 Miller's office, and I have gotten a10 contact name, who I was going to see if11 they're still there when I get out of12 this meeting, with the intent of tearing13 down the building.14 The power to my building, which15 is single phase and three phase, very16 heavy power, very dangerous powers17 attached to this building. I am hoping18 that the City and I will come to some,19 and my partner, will come to some sort of20 agreement that will make it affordable21 for this problematic building to be torn22 down. No one lives there. No one can23 live there. No one could live there.24 It really may not address25 106 3/31/11 - HOUSING - BILL 1006151 blight in the grand scheme of things, but2 it's one little part that I'm willing to3 take on. And I want to thank the members4 of this Committee for hearing me out.5 Thank you.6
Thank7 you very, very much.8 Is there anyone else who would9 like to testify?10 (No response.)11
Okay.12 Give us a moment. Let me say that we did13 receive testimony from Claudia Sherrod,14 which will be made part of the record in15 its entirety.16 We need a moment. One moment,17 please.18 (Pause.)19
Thank20 you very much. What we have decided to21 do with regard to Bill No. 100615 is hold22 this subject to the call of the Chair.23 Thank you all very much, and24 we'll be back to you. We have many25 107 3/31/11 - HOUSING - BILL 1006151 issues we're dealing with in the housing2 arena. Thank you all.3 (Committee on Housing,4 Neighborhood Development and the Homeless5 concluded at 3:00 p.m.)6 - - -7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 108 1 CERTIFICATE2 I HEREBY CERTIFY that the3 proceedings, evidence and objections are4 contained fully and accurately in the5 stenographic notes taken by me upon the6 foregoing matter on March 31, 2011, and that7 this is a true and correct transcript of same.8 9 10 11 12 --------------------13 MICHELE L. MURPHY14 RPR-Notary Public15 16 17 18 (The foregoing certification of this19 transcript does not apply to any reproduction20 of the same by any means, unless under the21 direct control and/or supervision of the22 certifying reporter.)23 24 25