-- maybe the real consideration should be if it's meant for people that go and eat their lunch in the park, that it be a seasonal contract rather than an annual contract.
You have to sign an 178 Whole - 3/2/05 - No. 050003 annual agreement for the circuit. Otherwise, there is a connect and disconnect fee and it becomes very pricy.
Thank you. Are there any other questions from members of the Committee of these witnesses? (No response.)
Thank you very much. Our next witness? MR. McPHERSON: Mayor's Office of Community Services.
Mr. Blakney, please identify yourself for the record and proceed with your testimony.
Good afternoon. I am Ralph Preston Blakney, Executive Director of the Mayor's Office of Community Services. I'm here to provide a brief description of the work of the agency and present its proposed operating budget for fiscal year 2006. 179 Whole - 3/2/05 - No. 050003 The Mayor's Office of Community Services, hereafter referred it as MOCS, requests an FY06 appropriation of $24,641,388; $23,948,782 from the Grants Revenue Fund and $692,606 from the General Fund. The proposed budget for MOCS include appropriations for the Empowerment Zone, as well as other MOCS programs as follows: MOCS Programs, General Fund, zero dollars; Grants Fund, $8,898,782, for a total of $8,898,782; Empowerment Zone, $692,606 General Fund, Grants Fund $15,050,000, for a total of $15,742,606. The grand total for General Fund is $692,606; the Grants Fund $23,948,782, for a grand total of MOCS programs and Empowerment Zone for FY06 $24,641,388. A discussion of the Empowerment Zone will follow the testimony on other MOCS programs. The budget of $8,898,782 for MOCS Programs includes an increase of $703,120 from FY05 estimated obligations. The increase in appropriations will cover projected increases in various grant awards. 180 Whole - 3/2/05 - No. 050003 The largest funding source is the Community Services Block Grant, a triennial grant award by the Commonwealth. The proposed CSBG operating budget for FY06 is $5,704,320. The amount of the grant is formula-generated, based on the percentage of the population identified as being at or below 125 percent of the federal poverty guidelines. Subject to a plan that must be approved by the Commonwealth, the block grant allows flexibility in addressing the needs of low-income communities. MOCS is the locally designated community action agency. Its mission is to coordinate resources, leverage funding and provide services to move low-income people towards self-sufficiency and out of poverty. S. Census Bureau. There are also 414,312 Philadelphia residents below 125 percent of the poverty level and eligible for services through MOCS via the Community Service Block Grant. 181 Whole - 3/2/05 - No. 050003 Since FY03, MOCS has been strategically adjusting its resources to assist in the City's priority areas serving low-income individuals. 25 million of the Community Service Block Grant to services operated by other City departments that provide some level of services to low-income people. This year's CSBG budget includes 500,000 for the Office of Adult Services to provide case management services to 1,418 individuals; 500,000 for recreation to enhance the services provided to approximately 1,700 low-income seniors at five senior centers; and 250,000 for prisons to expand employment training and placement services to 180 male and female ex-offenders who are returning to their communities. MOCS continues to provide a variety of direct services to low-income individuals. The following is a list of some of the programs provided directly by MOCS this fiscal 182 Whole - 3/2/05 - No. 050003 year: Community Engagement Program - provides outreach, information and referrals and supports the NTI; Fatherhood Initiative Program - parenting workshops and case management to strengthen families; Long Distance Dad Program - group work with incarcerated fathers; The Foster Grandparent Program - volunteer opportunities for senior citizens to impact children with special needs, such as those who are mentally challenged, abused and neglected, hearing and visually impaired; Latino Rights of Passage Program, which is a youth cultural awareness -- includes youth cultural awareness activities; Safe Schools/Safer Communities Program - conflict resolution training for youth; Helping Ex-Offenders Live Productive Lives, also known as HELP - information, referral and case management for ex-offenders; Supported Work Program - case 183 Whole - 3/2/05 - No.
050003 management, job readiness activities and employment placement for TANF recipients; The West Oak Lane Senior Center - recreation, socialization, transformation, entitlement program assistance and counseling and meals for older adults; Special events such as holiday parties for children with special needs and town meetings to discuss gang violence. Programs directly operated by the MOCS continue to receive local, state and national recognition. The agency receives referrals for services directly from the Department of Health and Human Services in Washington, DC, churches, elected officials, community-based organizations and community action agencies of neighboring counties. We are a great resource and advocate for hundreds of thousands of low-income people in Philadelphia. At this time, I would like to introduce Beverly Woods, who will be speaking on behalf of the Empowerment Zone and Eva Gladstein. At the conclusion of her remarks, 184 Whole - 3/2/05 - No. 050003 I'd be happy to answer any questions you may have. Thank you.
Good afternoon. President Verna, members of City Council, I am Beverly Woods. I'm the Director of Program Administration Evaluation for the Philadelphia Empowerment Zone and I am here on behalf of Eva Gladstein, who is sick today. Eva has asked me to pass on that she desires to be available at any future date to respond to any questions that Council may have. The budget for the Empowerment Zone is $15,742,606, over 692 in the General Fund and 15,050,000 in the Grants Fund. 8 million over estimated obligations in the Grants Funds for fiscal year '05. The General Fund request covers personnel and associated costs of administering the Empowerment Zone and Renewal Community programs. The Grant Funds 185 Whole - 3/2/05 - No. 050003 appropriation request will be used to fund four staff positions and makes adequate funding available for all the programs that are planned by the Empowerment Zone for fiscal year 2006. The Empowerment Zone is a federal grant program that began December of '94. In the year 2000, Congress created a new program, the Renewal Community. Philadelphia was honored to win a Renewal Community designation in 2002, which enabled the City to provide tax incentives to promote economic growth in parts of North Philadelphia, South and West Philadelphia. Although the Empowerment Zone was originally scheduled to be a ten-year program, Congress extended the availability of the EZ tax credits for another five years, through December 31, 2009. In October 2004, the federal government extended the EZ grant period to coincide with the 2009 deadline for the tax incentives. While not providing additional resources beyond the original 79 million grant 186 Whole - 3/2/05 - No. 050003 originally awarded in 1994, this extension allows the City additional time needed to implement several very complex programs. We anticipate that these will be completed by fiscal year 2007. Ten years into the Empowerment Zone program, its American Street, North Central and West Philadelphia communities are now more attractive places in which to live and to work. They have increased commercial activity also. Through the testimony, I will give you a flavor of the Empowerment Zone by illustrating five of our significant achievements to date. No. 1, we've created a national model, which we call the Neighborhood Funding Stream, which will sustain the impact of the Philadelphia Empowerment Zone. 5 million through over 200 loans that have attracted new business into the Empowerment Zone and supported the growth of existing businesses. Through these loans, the Empowerment Zone has helped 187 Whole - 3/2/05 - No. 050003 maintain and create 1,210 jobs for Empowerment Zone residents. No. 3, cleaning, greening and maintaining more than acres of formerly 6 trash-strewn vacant lots in three EZ 7 neighborhoods have eliminated significant 8 blight. 9 Spurring revitalization by uniting 10 into a new organization, 50 organizations 11 located along Girard Avenue, a key commercial 12 corridor connecting the American Street and 13 North Central Empowerment Zone and Renewal 14 Community neighborhood. This organization 15 basically stretches from the I-95 to the 16 river. 17 And creating strong collaborations 18 among businesses, community-based organizations and the public sector to develop and implement economic development plans. Over the past two years, the Empowerment Zone has focused on developing new models to sustain the impact of its work. The creation of long-term community endowments in the American Street and North Central 188 Whole - 3/2/05 - No. 050003 neighborhoods is a particularly innovative component of the EZ's sustainability strategy. The Empowerment Zone is using loan repayments from its CLIs to create what we call Neighborhood Funding Streams.
The Funding Streams will make grants to projects that meet Empowerment Zone principles and ensure that the resources continue to be available to those Empowerment Zone neighborhoods well beyond the end of the federal designation. The EZ's Community Trust Boards have set funding strategies and priorities, thus continuing their planning role and building the community's capacity. The Empowerment Zone has chosen the United Way and the Vanguard Group as their partners in this innovative program. Since January of 2004, almost 8 million in loan repayments have been invested to help build the funding streams. In January, the United Way issued the first neighborhood funding stream request for proposal for the North Central Empowerment Zone neighborhood. This reflected the 189 Whole - 3/2/05 - No. 050003 priorities of children, youth and families. In fiscal year '06, the Empowerment Zone anticipates that the second round of RFPs will be issued. Another component of the EZ's sustainability strategy is the creation of three community lending institutions that manage revolving loan pools to attract new businesses to the Empowerment Zone and help existing businesses expand. In the year ending December 31st of 2004, the EZ's three community lending institutions settled loans totalling $3 15 million and leveraging over $1 million. 16 Over the last three years, the 17 Empowerment Zone has sought sustainability in 18 a third way, by using its resources to conduct 19 planning, provide early resources and seed 20 activities to support Mayor Street's 21 Neighborhood Transformation Initiative. For example, the EZ's Vacant Land Stabilization project has served as a model for the NTI's City-wide efforts in this area of work. This work has had a dramatic impact, 190 Whole - 3/2/05 - No. 050003 creating a more inviting climate for residents, employer, employees and prospective businesses. In the last year, work focused on the development of a long-term strategy to ensure the maintenance of the stabilized lots. In fiscal year 2005 and 2006, additional lots will be greened at key gateways and along commercial corridors in the North Central and West Philadelphia Empowerment Zone neighborhoods. Another component of our strategy is to create independent organizations that can bring to fruition the earlier action planning efforts of the EZ. The Girard Coalition is one example. Spurred by SEPTA's reintroduction of the Route 15 trolley, in the spring of 2001, the EZ convened the Girard Avenue Coalition to foster economic growth and enhance the commercial environment and quality of life along Girard Avenue and in the surrounding residential neighborhoods. The EZ established a partnership with the Local Initiative Support Corporation, 191 Whole - 3/2/05 - No. 050003 generally known as LISC, to provide technical and financial assistance to this effort. With boundaries stretching from I-95 to 33rd Street, this work extends through the American Street and the North Central EZ, as well as through our Renewal Community. The Coalition has completed a comprehensive planning process for Girard Avenue and secured an initial allocation of $1 million in City capital funds and matching state resources for infrastructure improvements between Front and 8th Streets. Girard Crossing, a public art/gateway project to be located at 33rd and Girard Avenue, has received approval from the Fairmount Park Commission and the Art Commission and should begin construction over the summer. During the next year, bicycle racks and banners will be placed on the Avenue. In 2003, the Coalition transformed itself into an independent non-profit organization. At the beginning of 2005, the Coalition hired an Interim Executive Director. 192 Whole - 3/2/05 - No. 050003 Goals for 2006 include securing additional funding to implement the land use and streetscape recommendations contained in the plan.
All three Empowerment Zone neighborhoods have established commercial corridor revitalization strategies and strong collaborative relationships that bring together residents, the public and private sector, to encourage economic development. In American Street, significant progress has been made in improving the cleanliness and safety of the industrial and commercial corridors, developing ways to calm traffic and facilitate truck access to American Street, planning streetscape improvements, facilitating land assembly to attract new businesses and jobs, and laying the ground work to obtain private sector support for all of these programs. This year the EZ launched a shared security program to improve nighttime security for area businesses. Site assembly for three large parcels on American Street is nearing 193 Whole - 3/2/05 - No. 050003 completion. There have been potential developers identified for two of these three sites. The EZ's goals for fiscal year '06 include securing federal and state resources for reconfiguring the gateway to American Street at Girard Avenue and implementing recommended streetscape improvements. 5 million towards the enhancement of its commercial corridors. A Business Organizer and Business Outreach Coordinator have been providing support to neighborhood businesses for the last six months. Programs to clean the curbs and sidewalks and stabilize the vacant lots along the commercial corridors are underway. A facade improvement program will launch this spring. The EZ's West Philadelphia Community Lending Institution has identified a proposed anchor tenant for a retail center at 52nd and Jefferson Streets that it is co-developing 194 Whole - 3/2/05 - No. 050003 with the Goldenberg Group. In fiscal year 2005, the North Central Empowerment Zone funded a collaborative of community-based organizations to support quality of life and economic development improvements. Goals include improving community safety by coordinating available resources and increasing community involvement in police community partnerships, providing incentives to businesses to improve security, lighting and building conditions on the commercial corridors, and beginning to examine the feasibility of creating a neighborhood improvement district along its commercial corridors. Four partners have been identified to support improvements on Girard, Cecil B. Moore, Ridge and Germantown Avenue corridors. Since January 2002, the Empowerment Zone office has also been responsible for administering the Renewal Community program. Philadelphia is one of only 40 localities selected through a competitive national process. This initiative provides a set of 195 Whole - 3/2/05 - No. 050003 attractive tax incentives to encourage revitalization throughout parts of North, West and South Philadelphia. To build awareness of the RC program during the last two years, the EZ staff has trained over 300 public and private sector economic development professionals, accountants, attorneys and mailed information on the benefits of the RC program to more than 8,000 interested individuals and businesses in the Philadelphia region. The Renewal Community designation carries with it five federal tax incentives. One of them, the Community Revitalization Deduction, or CRD, is capped at 12 million per year per city. It is awarded on a competitive basis by the City and the state. During the last three years, 36 million in commercial revitalization deductions has been awarded to 27 enterprises, including 11 in 2004, ranging from a construction company to a child care center, a dental laboratory and two large retail centers. 196 Whole - 3/2/05 - No. 050003 These developments leveraged over 163 million in private funds, including 4 million in 2004, and project the creation of 5 209,000 new and full and part-time positions, 6 including 236 in 2004. They project the 7 retention of 435 jobs in Philadelphia, 210 in 8 2004.
9 These projects enhanced the 10 commercial and industrial environment in 11 neighborhood stretching from South 12 Philadelphia to North Central Philadelphia and 13 from West Philadelphia to Allegheny West and 14 Kensington. 15 In calendar year 2005, the Renewal 16 Community plans to allocate another 12 17 million. The City will also take advantage of 18 new federal legislation to expand the footprint of the Renewal Community so that additional areas can benefit from its tax incentives. Over the last four years, we have showcased the Empowerment Zone and Renewal Community neighborhoods to over 350 members of the regional development community who 197 Whole - 3/2/05 - No. 050003 attended our annual Developers Breakfast and Tour. Last year, over 200 brokers, developers, businesses and lenders attended the breakfast and toured potential development sites in North and West Philadelphia and along the Delaware River Waterfront. The fifth annual Developers Breakfast and Tour is being planned to take place in May of 2005. With your ongoing support, the EZ and Renewal Community will build upon these successes in fiscal year 2006. President Verna and members of City Council, this concludes my testimony. Eva, again, sends her desire to answer any questions at any future time.
Thank you. I do hope she's feeling better. The Chair recognizes Councilwoman Brown.
Thank you, Madam President. I'd like to give some discussion to the Fatherhood Initiative program. First tell us, how is that funded? Is it through the 198 Whole - 3/2/05 - No. 050003 grants -- let me get it right here -- the Grants Revenue Fund or the General Fund?
It is funded by the Community Service Block Grant and with funds from the Department of Human Services.
I see. An update from last year. State again what the goal of the program is.
The goal of the program is to reunite families. It focuses on bringing non-custodial fathers together with their children.
And who handles the conflict between the non-custodial parent and the custodial parent? Who serves as the bridge or the counselor or the peacemaker in instances like that? Whose role is it?
Well, there are case managers in the program who actually facilitate communication between the parents.
Do you have any record of how many fathers have 199 Whole - 3/2/05 - No. 050003 actually made payments on their child support orders? Is that an outcome, desired outcome, of the Fatherhood Initiative program?
It is an outcome. I don't have statistics for you now, but I can get back to you with that.
Who is principally charged with tracking that kind of information?
The courts would be, okay. And so please, if you could, send to the Chair what the goal is, particularly with regard to child support orders or payments to child support orders, and then what the actual numbers are, to give us a handle on where you are with regards to your goal.
And then, finally, in this area, is job placement done, any kind of job training, job placement for the fathers who are involved with the program? 200 Whole - 3/2/05 - No. 050003
We do have a component of that program which is moving to develop jobs. We actually have a job developer in the program.
That position has been there for the last two years, I believe.
Job placement is done, to the extent that we're able to do it. The capacity is not as much as we would like for it to be, but, yes, we are working with fathers. We have referred fathers for jobs, and many of them have received those positions.
Is that funded by separate funding streams, such as Work Force Development Corp or is that a function of the existing program? 201 Whole - 3/2/05 - No. 050003
So could you also forward to the Chair, I guess, just an update or status on job placement and, more importantly, job retention?
You're welcome. The Chair recognizes Councilwoman Miller.
Thank you. Reverend Blakney, can you tell us a little bit about the HELP program dealing with ex-offenders and how that's working?
The HELP program right now, there's three staff people in that 202 Whole - 3/2/05 - No. 050003 program, and they have worked with a number of ex-offenders from a number of different organizations. And I can give you a -- 154 clients, but I'm looking for the list of the different prisons that they have gone into to work with people. They're primarily working with ex-offenders from a number of facilities, which include the State Correctional Institution at Cambridge Springs, State Correctional Institution at Albion, State Correctional Institution at Muncy, CFCF, SRCF Mercer, House of Corrections, Philadelphia Industrial CC, that's PICC, State Correctional Institution at Fayette, State Correctional Institution at Greene, State Correctional Institution at Greenberg, State Correctional Institution at Somerset. And we actually have Philadelphians returning from all of these institutions across the state. To date, I should say this fiscal year, there have been 154 clients that have been serviced by that particular program.
Thank 203 Whole - 3/2/05 - No. 050003 you. Thank you both. Very, very important. How do you determine your town meetings to discuss gang violence? Is it at our request, at anyone's request or do you deal with it in terms of a crime that you learn from the law enforcement agencies? How do you determine what town meetings you hold for gang violence?
The Mayor's Office of Community Services has been working with the DA's office, the police department, the School District and a number of other agencies to actually reach children and to gain their attention in order to try and to help them to learn that there are alternatives to crime, alternatives to getting in trouble. And so the most recent town meeting, which was held Friday, December 10th, was a collaborative effort. We basically partner with these other agencies to determine when the town meeting is needed. That particular town meeting was held at the Grover Washington Junior Middle School and it was very successful, in that 204 Whole - 3/2/05 - No. 050003 there were a lot of parents and parent groups that attended and supported that particular event. So there is no formula. The town meetings actually are the result of a community's needs.
Thank you. One final question. Ms. Woods, do you know by chance -- I realize Eva Gladstein is out -- about the neighborhood funding streams and how Empowerment Zone neighborhoods get involved? I don't know if we have any or not or if they're chosen by proposals. Do you know any information about that area, the neighborhood funding streams?
Yes, I do. In 1999, each of the three Empowerment Zone neighborhoods in West, North and American Street were asked to determine how they wanted to sustain their work, and specifically in North Central and in American Street, they decided that they wanted to make sure there was essentially an endowment available in 205 Whole - 3/2/05 - No. 050003 perpetuity for their communities. West actually decided that the strategy it would employ was to build the retail center at 52nd and Jefferson and do some commercial corridor work. So the three neighborhoods each -- essentially two of the three neighborhoods decided on a similar strategy and one neighborhood made a decision that it was going to invest what was left over of its money in neighborhood economic development and some specific development projects. Do you want to know how the funding stream actually works and gets built?
That would be great. As you know, I don't go up to Jefferson, so I wouldn't necessarily know what my colleague had, although we're happy to support that. But we would like to know how we can be involved.
Okay. Well, with respect to the retail center at 52nd and Jefferson, that was the location, but the West Philadelphia Empowerment Zone is both census 206 Whole - 3/2/05 - No. 050003 tracks 105 and 111, so there was a community that included both the third and the fourth councilmanic districts through the West Philadelphia Empowerment Zone Community Trust Board that developed this project. So there was actually input out of the original West Philadelphia Empowerment Zone Community Trust Board. But the way the funding stream works is, overall, probably about $15 million was designated between the North Central Empowerment Zone neighborhood and the American Street Empowerment Zone neighborhood, and what HUD required us to do is essentially use the money one time. In other words, we couldn't take the $15 million that was allocated to each of those neighborhoods and directly from HUD draw it down and create this endowment. What we were required to do is actually recycle it. So through the community lending institutions in these two neighborhoods, short-term, low-risk loans were made, and as they were repaid, it's actually those proceeds 207 Whole - 3/2/05 - No. 050003 that are invested to create the neighborhood funding streams. The particular funds manager is Vanguard and we have a contract with United Way, which continues to work with the Community Trust Boards in North Central and American Street to create their neighborhood plans. So the way it works, you have the funds at Vanguard that hopefully make a lot of interest over time, but you have United Way working with the North Central community to identify what these priorities are going to be so that they can use some of the interest from the proceeds to fund small projects. What was described in Eva's testimony was our first kind of full-circle project, and, that is, the money was invested, it went to Vanguard at consistently -- at the same time, we have the planning process going on with North Central, and there's a small amount of interest proceeds that the North Central community is going to be using to fund a children and youth project that evolves out of the RFP that was described in the 208 Whole - 3/2/05 - No. 050003 testimony.
No. 8 That's just fine. Thank you, Madam President.
Thank you. The Chair recognizes Councilman Ramos.
Thank you, Madam Chair. I'd like to follow up on a discussion I started with Mr. Blakney last year at hearings and thereafter, either through my directly or through my staff, and I appreciate the engagement of MOCS. In your statement today, it looks as though your budget has been cut by $2 million compared to last year, and if so, can you explain the cause of this significant decrease and what the impact will be on the programs 209 Whole - 3/2/05 - No. 050003 and services you provide?
I would like to refer that, if I may, to the fiscal person from the MDO. The consultant who oversees MOCS's fiscal department is out ill as well.
Do you know you're $2 million less than last year, right?
How does that significant decrease impact on the programs and services that you provide?
I'm not the fiscal Director. I'm Julia Danzy, the Director of Vision of Social Services. And to speak to the reduction, as you said, of the budget, it relates to really a leveraging of the funds. What you might see -- I don't know if it was reflected in the testimony or the full testimony. There are grants that we are giving to the Office of Emergency Shelter Services, to the Recreation Department, to the prisons and to the Health 210 Whole - 3/2/05 - No. 050003 Department. And what those monies are doing is being leveraged attached to other programs to further enhance the mission of MOCS. As you would know -- well, in most cities, the grant is not handled in kind of a distinct program-type thing. Usually that money is used to leverage with other programs to expand and enhance the particular services that are being provided. So, for instance, with the Office of Emergency Shelter Services, the case managers that some of that money is funding was done to create the ability for persons that we're moving towards housing to begin to get job-ready, to have GED training, to have kind of the readiness for doing resumes, for really knowing how to function on a job, to get mentally transitioned into that process. And so that's where some of that money is going. In the Health Department, it is being done to, one, enhance our lead program in which -- while one might say, Well, how does that help poverty and how does that help job transition, as you well know, if our 211 Whole - 3/2/05 - No. 050003 children are infected with lead, if they're poisoned with lead and we don't do something to correct that, then that child is one that we can pretty much say is going to grow up to be dependent on the system, because they cannot work, they cannot function in a certain way. And so we are doing that to leverage those pieces. In the other projects of the Health Department, it is --
I really appreciate you explaining where the money is being used, but what I see in front of me in the testimony of the Executive Director is that under Grant Funds, it says you have $8,898,782 for a total of the same. Last year you had 10,537,342. So that's a $2 million difference. I know what you're saying, that you're doing this here and there. Nevertheless, you're $2 million short. Are you or -- that's what I see in today's testimony as it compares to last year's testimony. Even though I know what you're 212 Whole - 3/2/05 - No. 050003 saying, that you're using -- are you $2 million short or less? You have $2 million less to work with than you did last year, according to your testimony today and as I compared it to last year's testimony.
We do not have less money in terms of the grants that the agency receives.
It says here in Grant Fund that you received $8,898,782 and last year you came here and you said you had n $10,537,342. So that's a $2 million difference. So there's either something wrong with this, with the tallying of your funding numbers, or there's something I don't understand. I'm just trying to see whether in fact you're $2 million short or less money to operate with from grants than you were last year. What you have given us today as I compared it to last year, that's what it indicates.
Right. The actual appropriation that we are requesting this year is much more true to what we expect 213 Whole - 3/2/05 - No. 050003 in this climate. Last year we did increase the requested appropriation, I believe it was, by ten percent, because the climate was different. I don't know if Tom has anything to add, but that's basically where the difference is.
I understand your explanation. My point here is that according to your testimony today, you're $2 million less in grant funds than you were last year. So if you were to pass this out to anyone, a funding source, and give them your report of last year and the report of this year, it would read what I'm reading, that you're $2 million less in grant funds. And what I'm hearing is that you're not sure whether that's true or not.
The actual amount of money that MOCS has to work with has not changed. The appropriation, the amount requested, is what has changed.
Okay. All right. That is not clear then in your 214 Whole - 3/2/05 - No. 050003 testimony, in your written testimony, but I understand what you're saying. I'm not sure if I'm convinced, and I'm not saying for the sake of convincing me. I just want to know whether you're operating with less money this year than last year, and your answer to that is no?
All right. So you're operating at the same level as you did last year, at least with grant fund dollars, right?
On your website, you refer to the increasing need for staff services and programs to accommodate Philadelphia's newest residents. Referring to your organization chart, which of these programs is assigned to address the needs of immigrants? You go in a very nice website that you have, very informative, and I appreciate it. You go on to say that with a 45 percent increase in the City's Latino 215 Whole - 3/2/05 - No. 050003 population, there is an increased need for staff services and programs to accommodate its newest residents. Of the individuals living in Philadelphia five years of age or older, nearly percent speak a language other than 7 English at home. 8 What kind of services are you 9 providing to this community that you have very 10 well identified in your website? 11
Well, we've made 12 an effort to hire people of diverse 13 backgrounds whenever -- 14
You have 15 actually hired or you're still making the 16 effort? 17
Yeah, we have hired people over the last few years who speak languages other than English. I do know that the City had moved to, in some manner, make all of the intake 216 Whole - 3/2/05 - No. 050003 points, the access points for City services such that people could access those services regardless of what languages they spoke, and this has always been MOCS's desire to collaborate with other city agencies around the intake of clients into city services.
From MOCS's point of view, it's working very slowly right now.
Okay. Is the office at 6th and Lehigh the only place where you have bilingual -- there I know you have, I believe, a full-time person, it's the only person that works there, and then you have a person that works in a couple offices and is stretched out that speaks Spanish. Is there anywhere elsewhere you have bilingual personnel? It doesn't necessarily have to be English-Spanish, but it could be English-Vietnamese or one of the many Asian languages or many of the other languages from other continents.
We also have 217 Whole - 3/2/05 - No. 050003 bilingual staff working in the supported work program, which is the 1200 block of Broad Street, the IOC building, as well as bilingual staff in our community engagement unit.
Ralph, where's that located, the latter, your community --
Well, they work out of 990 Spring Garden out of MOCS's central office, but they actually work throughout the City. They work at a number of different locations. And I can't give you those locations right now, but I can get that to you.
May I have the address, please, for the 1200 block of South Broad?
North Broad. (UNIDENTIFIED PERSON): 1231 North Broad Street. 218 Whole - 3/2/05 - No. 050003
In these three offices, you have bilingual personnel. Is the bilingual personnel just Spanish and English?
I know that last year you talked about having to close offices in recent years because of the budget decreases. What other offices do you still maintain open? You had one on South Broad Street somewhere, I believe.
Where else do you have offices? Are those the only three?
I have an office at 22nd and Lippincott. That's where the Fatherhood Initiative program is headquartered. There's also the West Oak Lane Senior Center, which is on Ogontz Avenue in 219 Whole - 3/2/05 - No. 050003 West Oak Lane. The exact address is 7210 Ogontz.
The Mayor's Action Center, of course, which is City Hall, ground floor.
I think we had an office in West Philadelphia, councilwoman Blackwell, at one time.
That's closed as well, okay. And over at 22nd and Allegheny, that's the Mayor's information center?
No, not 22nd and Lehigh. That's Dobbins, my alma mater. A little further down on Edgley and --
We're talking 220 Whole - 3/2/05 - No. 050003 22nd and Lippincott, which is actually the first street south of Allegheny.
No. I know where Lippincott is at, but are you in that Mayor's Action Center?
Right. (UNIDENTIFIED PERSON): The actual address is 3129 North 22nd Street.
Am I done with my time? I'll come around for another round.
I think that Councilwoman Miller has been waiting for some time to be recognized.
Thank you. Thank you, Madam President. 221 Whole - 3/2/05 - No. 050003 That was the same question I was going to ask, one of the questions anyway, is where you presently have offices. So you just have Broad Street, 990 Spring Garden, 22nd and Lippincott and --
And Ogontz. So where are the services provided? Where are you providing services?
There has been a major shift in MOCS's resources, as Ms. Danzy explained earlier. We have moved to providing less direct services. With the one and a quarter million dollars that she cited, which is going to other agencies, we've also picked up some other general fund expenses over the last two years, significant space costs, and there are some other programs that we are funding. We have a significant contract with North Philadelphia Human Services Development Corporation.
So basically you're not doing direct services. 222 Whole - 3/2/05 - No. 050003 You're contracting those or providing funding for other agencies to provide those same services, correct, or similar services?
No. We're doing both. We're actually providing direct services and we're also -- we have shifted money to other City departments who include in their clientele low-income people.
But it doesn't necessarily mean -- I believe that your Germantown office that you had on Chelten Avenue you were working with immigrants. It was a literacy program, correct?
So who would be doing that now, or does that service even exist not so much by MOCS but by anyone?
Some of the services, the actual GED services that were provided there, the adult basic education in particular are being provided by other agencies in that area. There are over 300 sites with adult literacy in Philadelphia. The English as a second language 223 Whole - 3/2/05 - No. 050003 component is one that you may be referring to, because that's the component that involves immigrants more than the other two. I share a concern about whether or not those particular people are receiving services at this time. But for those who were there for the ABE and GED, we can all pretty much rest assured that there are enough adult literacy programs offering those components.
Okay. I was just trying to get a sense of what was actually happening with those constituents that were actually receiving certain services through MOCS. I know that GED and ABE programs have been around forever, but when I went to one of the graduations, it appeared that everyone there was an immigrant, was foreign. So I was just more or less wondering are they -- there are no services around to help them or those services have just been incorporated in some other agency within the City or some agency at the community level?
I share your concern. We have not identified another 224 Whole - 3/2/05 - No. 050003 English as a second language program in that area that provides the services to the particular immigrant population that we were servicing. Hopefully there will be some discussion around providing services to that needed population, because there aren't enough ESL services throughout the City, especially for immigrants that are coming from the continent of Africa, as well as the third world Caribbean countries.
Okay. I have some questions regarding the Empowerment Zone. I just want you to explain the federal tax incentives as it relates to the renewal communities. What exactly are those incentives? I know that one of the Renewal Community projects was in my district, but I don't think I've ever quite understood what the rewards are being in a renewal community and what federal tax incentives does one receive.
Perhaps the largest and the one that we discuss most is the CRD, or the Community Revitalization Deduction, and 225 Whole - 3/2/05 - No. 050003 what it does is, it allows a tax deduction for substantial rehab in the particular property for the business. I would really prefer to defer a lot of the questions around the Renewal Community to Eva, primarily because I work for the most part with the Empowerment Zone, but what I can do is make sure we respond to the President with the answer more specifically.
Because I know that there's some incentives as it relates to hiring neighborhood people and I would like to get that information.
Well, probably for both. I mean, we had a $10 million new development on North Broad Street and I know that that was a part of one of the first projects that fell under the Renewal Community.
Yes. So 226 Whole - 3/2/05 - No. 050003 I don't quite understand that.
Okay. And what are the boundaries are your Germantown Avenue corridors? That's Germantown Avenue up to what?
Okay. I think that's it. Thank you, Madam President.
Thank you. Mr. Blakney, your office was once located in the 1300 block of South Broad Street. That's been closed.
Have you relocated in South Philadelphia or Southwest Philadelphia in my district?
No, we haven't relocated. The thinking behind that particular closing is that the Family Development Center was one of four that was 227 Whole - 3/2/05 - No. 050003 being funded in part by the Department of Human Services. A decision was made by DHS and the MDO primarily to close that office down because it was seen as being a duplication of services.
I didn't quite hear the beginning of your sentence.
I heard that, but who is now providing the services?
There are three other family centers in South Philadelphia. South Philadelphia actually has, I believe, more family centers than any other area of the City.
I'm not sure. I 228 Whole - 3/2/05 - No. 050003 don't have a list of the family centers with me, but I can get that to you.
And what are the three family centers in South Philadelphia?
I don't know that offhand. I would have to provide a list. I don't believe there's anyone here from DHS who can speak to that, but there are three other family centers in South Philadelphia.
I'd like to know where they are and what, if anything, we have in Southwest Philadelphia that would provide the type of services that you're talking about to the constituents out there for the community.
We will provide you with a list of the family centers and their boundaries.
Thank you, Madam Chair. 229 Whole - 3/2/05 - No. 050003 Just a couple more questions for Mr. Blakney and I just have one question for Ms. Woods from the Empowerment Zone. Mr. Blakney, I am glad that you believe that the City does have a role in providing services to new people coming to Philadelphia as immigrants, and I coincide with your opinion. Are there state or federal grants that you know of that the City can access to fund services for immigrants? I know one time MOCS used to do a lot of ESL, English as a second language, programs in your offices. I know not too long ago people from the island nation of Haiti and from other parts of Africa were taking good advantage of these programs on the east side of Broad Street, and I know that the people from Spanish-speaking countries of the Caribbean and Latin America were also taking advantage of it. Then you lost funding. I don't know if this was during your time or right before you became Director, but I know you personally raised concern with me 230 Whole - 3/2/05 - No. 050003 that you knew that this was a very good program and that there are other programs out there doing ESL. But are you pursuing any of this grant money? Have you been able to identify any of the grant monies that can help you provide services to new immigrants in Philadelphia?
At this time, and this has been the case for the last two years, we have not had a grants writer on staff, and that particular function within the agency has not been filled. The City, once again, had moved -- and I was a part of meetings in which there was an effort to centralize the grant writing function. That has not happened, not in a way that MOCS has been able to benefit by anything that has been done. Regarding whether or not there are funds available to provide services to immigrants, there are funds available.
We're not 231 Whole - 3/2/05 - No. 050003 currently pursuing those funds.
We should be able to talk about this. You're looking for funding to help to get people out of poverty, as you well state in your mission statement. So those grant writers don't want $200,000 a year. They don't cost us as much as high-powered grant writers for other purposes. I find it kind of a little perplexing that you're not getting funded for a grant writer. The grant writer brings in more money so the programs can continue to expand or find new programs, financial programs, that will help us fund needed programs.
Why don't we team up? Because this business of a grant writer is something that should have been addressed and resolved so that your job can become more expansive and less constrained. I believe that MOCS is an organization that needs to be funded and needs to be supported. I surely support it, and I will do everything that I can as a Councilman here -- I'm not quite sure my colleagues feel the same way -- that you continue the work that you do at MOCS. I would think that South Broad Street office should never have closed, because we have such a diverse growing immigrant population up in that area. I'm having community meetings on the east side of Broad Street in South Philly and on the west side of Latin American immigrants, and they're all -- and then the Vietnamese and the other -- there are other nationalities out there in South Philadelphia that are on both sides of Broad Street. But anyway, thank you so much for also working with myself and my staff, since 233 Whole - 3/2/05 - No. 050003 we last engaged in this process last year, the first time for me, and you can count on my support. Thank you.
Ms. Woods, I have a hard time with the statements today. I see that in the statement that was read by Mr. Blakney that you're $2 million short at the Empowerment Zone, but then in your statement, you say that you have an increase of almost $9 million.
The Empowerment Zone grant is 79 million. If you're referring specifically to our Grants Funds?
It was originally 79 million from the federal government. On an annual basis we have to determine how much we expect to spend. In other words, how many --
I know what you're talking about, but here in the statement of the testimony of Ralph Blakney, it states that under the line of Empowerment 234 Whole - 3/2/05 - No. 050003 Zone that the grant fund is $15 million plus, right, for a total of million point 7? 4
And last 6 year your numbers were $17.7 million. So 7 there's a $2 million difference. But in your 8 testimony you said you had 8 million 9 additional dollars, which is fine with you and 10 I know with all of us and the people in the 11 community. I just wanted to know why here it 12 indicates that you're $2 million less in your 13 budget with grant fund and in your statement 14 it says you have $8 million more. 15
We're not actually $2 million. Our original allocation from the feds was 79 million, and on an annual basis what we're required to do is project how much of that 79 million we're going to use based on the programs we anticipate will operate in a particular year. So it doesn't mean that we lost 2 million. It just means that this fiscal year we expect to operate programs totalling $15 million. So, again, it's an appropriation 235 Whole - 3/2/05 - No. 050003 based on the work we expect to do this year.
Talk to me. It says here this represents a decrease of $19,147 from estimated obligations in General Funds and an increase of almost $9 million over estimated obligations of Grant Funds.
Okay. In the General Fund category, we have $19,000 less to spend. So in those expenses that are -- I don't want to get -- in basically our Class 100, 200 and 300, are administrative expenses come out of General Fund, and we have a decrease of 19,000, and that is real. That 236 Whole - 3/2/05 - No. 050003 means we have $19,000 less to spend. In our Grants Revenue, we are always adjusting against the Empowerment Zone grant. So what this would mean is that -- and what are you saying we projected last fiscal year?
That's not here. It's just that this year in the statement by Mr. Blakney, it says that you are at $15.7 million in the Grant Fund.
I think there's something -- just take another look at it. You're much better at this than I am, believe me, but I think these numbers here today are not -- there's something wrong with these numbers.
I'm actually wondering if you're looking at a projection from last year. And what we actually have at 237 Whole - 3/2/05 - No. 050003 this point is an actual for last year and a projection for next year.
I don't know. I'm going to drop it, but I'd like you to get back through the Chair an explanation of these numbers that at least I'm not understanding and on the surface, they don't seem to line up well.
I'd like to bring up Tom Schaeffer. Tom Schaeffer is the person who --
If he's going to take half an hour to explain this, I'd prefer that you send it to the Chair, because I know we got other people waiting and I can --
OHC has been waiting for quite some time. So if you would respond in writing, we'd appreciate it.
Thank you. Are there any further questions from 238 Whole - 3/2/05 - No. 050003 members of the Committee? (No response.)
Seeing none, I thank you, and I would ask that OHCD now approach the witness table, and I certainly want to thank them for their patience. Good afternoon. Please identify yourself for the record and proceed with your testimony.
Good afternoon. My name is Kevin Hanna. I serve as Secretary of the Office of Housing and Neighborhood Preservation for the City of Philadelphia. With me is Deborah McColloch, Director of Housing. I'm here today to present testimony on the Office --
Mr. Hanna, I think you deserve a little more respect than you're getting. People having conversations, please do so in the corridor. Please proceed. 239 Whole - 3/2/05 - No. 050003
Thank you, Madam President. I'm here today to present testimony on the Office of Housing and Community Development's proposed operating budget for fiscal year 2006. The proposed operating budget under the Community Development Fund, Grants Revenue Fund and General Fund also will be presented in the spring to the Finance Committee in its hearing on a Council Bill on the consolidated plan authorizing the Community Development Block Grant and other housing programs for fiscal year 2006. That's CDBG Year 31. Ideally, the consolidated plan hearing should occur prior to the consideration of the operating budget by City Council. However, as in the past 12 years, the budget calendar has been accelerated and the hearings have been reversed. Should the results of the consolidated plan hearing require adjustments to OHCD's operating budget as adopted by Council, there will still be ample time subsequent to the adoption of the 240 Whole - 3/2/05 - No. 050003 consolidated plan to amend the operating budget. The complete fiscal year 2006 proposed budget will be presented as part of the consolidated plan hearing. Recall that in the current fiscal year, the City of Philadelphia incurred a $695,000 cut in its CDBG award. 3 million. It is against this backdrop that we present this proposed operating budget. 8 million in fiscal year 2006, of which 144 million will be in Grants Revenue Fund, 71 million in the Community Development Fund and only $400,000 out of the General Fund. This operating budget represents costs for all housing programs, as well as salaries for OHCD, the Philadelphia Housing Development Corporation; that is, PHDC, and the Redevelopment Authority staffs, rents, materials and supplies. Our Class 100, which only represents 241 Whole - 3/2/05 - No. 7 million reflects a decrease of $531,693 compared to our fiscal year 2005 original appropriations. This net decrease is due to the reduction of ten, count them, ten budgeted positions and does not include an allowance for any negotiated wage increase and will support the funding of 67 requested positions. 7 million. 7 million as compared to our fiscal year 2005 original appropriations level. Notwithstanding this, our Class 200 request does include the following awards 242 Whole - 3/2/05 - No. 3 million, a decrease in federal housing opportunities for persons with AIDS; that is, HOPWA, funding of $296,000, a decrease in federal HOME Investment Partnership funding of $702,000 and a decrease in federal American Dream Downpayment initiative funding of $902,000. 2 million when compared to fiscal year 2005. In class 300, our fiscal year 2006 estimated obligations decreased by only $30,000 as compared to 2005. In Class 400, our fiscal year 2006 estimated obligations decreased by only $25,000, again, as compared to fiscal year 2005 appropriations. 4 million from the state. Appropriations are also being 243 Whole - 3/2/05 - No. 050003 requested to provide funding for Section 108 loans in the amount of $10 million and $15 million for Interim Construction Assistance and Bridge Loan programs respectively, should funding become available in amounts similar to prior years. Although the latter two sources may not become available, OHCD is requesting authority so that we will be able or be in a position to administer the funds if they are in fact received in 2006. Our General Fund programs, funding and service goals are as follows: Provide operating support for rental assistance for the homeless. Last year's funding level from the General Fund was $117,000. That's our projected funding level from the General Fund for '06 as well. A combined total of 131 units of rental assistance is provided in 2005, with the same level anticipated in 2006. No. 2, the additional $263,148 for fiscal year '06 -- again, this is just General Fund dollars. The additional 263,000 for '06 includes $10,000 for Elderly Vacancy 244 Whole - 3/2/05 - No.
050003 Prevention related services, $16,231 for OHCD arbitration services and $236,917 for five employees in program services. The proposed fiscal year 2006 operating budget will allow OHCD to continue to provide housing programs such as the Basic Systems Repair Program, subsidy for rehabilitation and new construction, housing counseling and other core programs. The City's proposed plan for spending the CDBG, as well as other monies, is to be detailed at length in the Finance Committee's hearings on the consolidated plan. However, I'll be more than happy to answer whatever questions Council might have today as well. Thank you.
Thank you very much. I know that this is not the time to be asking about the Basic Systems Repair Program, but can you tell me if we're increasing funding for that program or decreasing? Because they have such a waiting 245 Whole - 3/2/05 - No. 050003 list for that and it's a fairly wonderful program.
Yes, they do, and we were fortunate enough over the past couple of years to have NTI bond proceeds, which added to or augmented what we had been funding for BSRP. Unfortunately, those NTI dollars are gone. So the expectation --