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Minutes

Committee of the Whole, November 20, 2024

Philadelphia City Council Committee HearingsNov 20, 2024

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Organizations mentioned

Councilmember Landau

Thank you.

Council President Johnson

Thank you. The chair recognizes Councilmember Jamie Gauthier.

Councilmember Gauthier

Thank you, Council President. Good afternoon to all of you. Thank you for your testimony and for your work in the city. My question is for Paul. I was intrigued to hear you talk about the visioning that you've done for Market East, and I was also very pleased to hear you make a strong statement that we have to protect Chinatown and to bring up some best practices from San Francisco.

Councilmember Gauthier

Given that, I wanted to ask, what do you think about the wisdom of the city's plan strategy to do a master plan after the approval of this or after the desired approval of this project, given how large the project is, and given that the project does pose the risk of displacement as noted in the city's own impact study? And then secondly, what, since you did bring up that we need to protect Chinatown, if you've had an opportunity to look at the community benefits agreement, what's your opinion on the CBA and its effectiveness in mitigating some of the less desirable impacts on the surrounding neighborhoods?

Mr. Levy

So you've asked me a whole lot of questions in there.

Councilmember Gauthier

I can go over them again, if necessary.

Mr. Levy

No, no, no. 20 That's fair. That's perfect. Number one, obviously Chinatown is an absolutely unique destination place of resonance and place of business in this city that absolutely needs to be preserved and enhanced. And as you may know, we're working on a next phase of the rail park and the stitch can expend. That needs to be knitted back together. So we need to create more room for Chinatown to grow. I mean, there are lots of opportunities along Vine Street for more development there, I think. So one is, we need to get out of this, either or thinking. The city can be a place of many, many successful nodes. And I absolutely think we can do a lot to preserve and enhance Chinatown. I don't want to be presumptuous, but we released a plan a year ago for Market East, which is a redevelopment plan for the street and we did it in advance of these hearings. Yes, the city needs to do something official, but I urge you to look at that. I'll give you a copy of our testimony with a link to our website because it urges this thinking of comprehensive east, west, north, south thinking, which I don't think anybody in the city will disagree with.

Councilmember Gauthier

Yeah.

Mr. Levy

But I don't think -- I don't think we're behind the ball. I think we -- what -- we should be moving now and frankly, we need to be doing stuff yesterday to be ready for 2026. There's things that need to happen right now.

Councilmember Gauthier

Absolutely. I think my question is, if I'm understanding it correctly, the administration has said that they, you know, have included some funding in the -- in the CBA or that the Sixers will include funding in the CBA to see a master planning effort for Market East and Chinatown. I agree with you that there can -- we should be thinking of downtown comprehensively. There can be many successful nodes in the city. But given, you know, your experience with planning and urban design, I think I'm asking you with a project of this scale that does pose displacement risk. Do you think it's wise to say we're going to go forward with the project before we go forward with the planning?

Mr. Levy

As I said, I think we've outlined a preliminary planning framework. I think the basics are there. What we really need are the mechanisms. And by that I mean what are the additional sources of revenue to help cause Market East to continue to improve. Council President, as you and I were talking beforehand, what are the mechanisms for enhancing Chinatown? We need zoning, we need financing, mechanism. The vision is the easy part, frankly. And I don't mean to say we don't have need a lot of community engagement. We need a knit to city back together and fill in these gaps. But I think we need to be focusing on how do we do it? What are the financing mechanisms? That's where I would focus.

Councilmember Gauthier

Would you answer some of those questions? PUBLIC SPEAKER ZURITSKY: Could I answer?

Councilmember Gauthier

Sure. PUBLIC SPEAKER ZURITSKY: Please? So, you know, we -- our company has done development in Chinatown and partnered with Chinatown Development Corporation to redevelop 9th and Vine to Race, that block. And like, as I -- as I mentioned in our testimony, we have a lot of inventory to do affordable housing for Chinatown. And -- so I don't -- the fact that there's seven years until this is going to actually going to be opened, I think there is time over the next year or two to work on things that Chinatown needs and make progress and build some things that they -- that they really want. I think now is -- I don't -- I don't think it's too late to start the planning process and working on these projects.

Councilmember Gauthier

Thank you. And then my second question, since Paul brought up San Francisco and the need to protect Chinatown, I did want to hear your opinion if you looked at it on the CBA and do you think that it will be an effective tool towards that end based on what you've seen? PUBLIC SPEAKER KILLINGER: I think that was you.

Mr. Levy

Look, I am not here to comment on business relationships between the city and Chinatown on the CBA. Okay?

Councilmember Gauthier

I don't think I'm asking you to talk about the relationship --

Mr. Levy

I thought you asked me to comment. Maybe misunderstood your question.

Councilmember Gauthier

Oh, I don't think -- I'm not asking for your opinion between -- on the relationship between the city and the Sixers. I'm asking if you've looked at the CBA and if you think that it could be an effective tool towards anti-displacement.

Mr. Levy

No. But to me, the bigger tool, in my judgment, I'm not in any way -- I have not read the CBA. I want to be clear on that. But what I learned in looking at San Francisco is zoning is the most powerful tool we have. If the fear is that by building an arena on Market East, that it will create all this speculative buying in Chinatown and destruction and displacement, if you simply historically certify those properties and put current height controls, you completely remove the incentive for any speculative buying. That's what protected Chinatown in San Francisco. There are many other tools necessary. I just want to urge the look at what the zoning powers of this city are, which I think is the most powerful tool to protect Chinatown as it is today. And as Rob said, the number of surface parking lots that could become housing that have been sitting vacant for a long time along Vine Street, there are huge opportunities for Chinatown to grow.

Councilmember Gauthier

Thank you. Thank you, Council President.

Council President Johnson

Thank you very much. This is a point of information. Councilman Squilla, the author of the legislation, I think you introduced several different bills regarding to the preservation of Chinatown regarding zoning. Can you just clarify for the record?

Councilmember Squilla

Thank you, Mr. President. Yes. And I want to thank Paul also because I did reach out to Paul when we were looking at some of our legislation for our Chinatown cultural overlay. And we looked at some of the things that Paul had mentioned in San Francisco and some other ideas throughout the country of protecting cultural hub in those communities. So the overlay that we have created, as we said earlier in one of the testimonies, was to an inclusionary zoning, a height limit of 65 feet. And a mass and bulking ordinance for controlling of small businesses, no more than 3,000 square feet, that would require a variance. And the third was the ability to limit some of the uses as some of the adult uses nightclubs, so forth and so on. So people don't come and speculate and put those type of businesses in a cultural Chinatown that would normally not have it. The Chinatown does have restaurants and bars in there already. But the last thing was that we are still working on that legislation is franchises where the city is looking at the ability to limit if you have five or more franchises that would also trigger a variance. That is something, too, that we are also looking at to sustain the cultural makeup of Chinatown where you can't have -- I don't want to name a franchise because if I do it, they'll say, why'd you pick them out? But some franchises that, you know, that comes in here and they have at least five, that would automatically trigger variance, would send them to the RCO and to the zoning board and through Council for support. So some of those things that we have been talking to and working with Chinatown to come up with are in our cultural overlay. Also, mentioned is the TIF that we're still working on, which would -- if there is an increase in value in assessments, if the values of properties are going to be increased because of this development, and now the properties of value is going to be more, the businesses are -- more businesses want to come in and take over for small businesses. The TIF would then be able to capture that increase, but then be able to use it in that community to offset the increase assessed values of those properties. So that is something else that we are still working on with the law department and the City of Philadelphia and the Chinatown community who seems very much supportive of something like that. And so they were some of the things that we put in as far as zoning is concerned so far in legislation. And I believe too, this overlay, and the reason why it's not part of these conversations here is because I believe that Chinatown needs to be protected anyway, and that will be on its own track, in case this doesn't move forward, that will still be put in place for future protections.

Council President Johnson

Chair recognizes Councilmember Jamie Gauthier for a very brief follow up.

Councilmember Gauthier

Very brief, I promise. I just wanted to make it crystal clear that my questions were not a knock on Councilmember Squilla's efforts. I have great admiration for how much work he's been putting in on this. It was more asking for an opinion on the master -- sequencing of the master planning and the CBA.

Council President Johnson

Thank you very much, Councilmember Jamie Gauthier. Councilmember Jeffrey Young.

Councilmember Young

Thank you, Mr. President. And good afternoon everyone. Just a question for anyone on the panel. For me -- press a comment first, I think it's clear that a mixed use option along East Market is the best, you know, option for our city. It's been clear that I have a keen interest in what happens on Market Street in our commercial corridors. I've held hearings on it. It is something that's very important to me to make sure that our city continues to grow. But given that this particular proposal could cause -- no, that could cause, I think it will cause displacement and other things. Are there other viable development opportunities at this site that could produce new revenue for the city with more everyday use that puts more eyes on the streets to make our streets safer, to put more lighting on the streets, et cetera? Like has there been -- I guess it's probably more for Center City District than anyone else, but has there been any other options presented that would -- that would still be able to, you know, that would still be a new development that would still be built union, right, and still have the opportunity, so, to provide a new revenue for the city?

Mr. Levy

Not an easy question to answer, but I mean, let's just think about the upper floors of the Fashion District. We all used to think that movie theaters was the guaranteed source of driving business and having people come in. How many people are watching movies here and all sorts of digital technology? The movie theater industry is contracting. That would've been an easy answer. Let's have movie theaters upstairs. We did that and go to most movie theaters today and are not full unless it's something gigantic. You go -- you go, okay, well, my wife's a movie critic, she drags me. I have to go. But --

Council President Johnson

So I blame Netflix for that.

Mr. Levy

I'm sorry, I missed that.

Council President Johnson

Netflix.

Mr. Levy

Oh, yeah. No. 23 And look, technology has changed, right? And it's like, how many of us buy the newspaper for news any longer? So we have tried many things. Technology has really evolved. Sports is one of those things like conventions that brings people in person together, right? I think it's a very powerful use to bring people together. We tried gaming on the street; that did not succeed, right? We tried Disney. We've had a lot of efforts on the street. But to me the mixture of residential, the mixture of office, the mixture of hotels, sports is just one use. It's not a panacea. It's not the solution to this street, strengthening Chinatown strengthening hotels, strengthening residential. We're doing that elsewhere in Center City, right? We're doing that very well. We're a leader in converting vacant office buildings to residential and hotels. So it's all of the above. There's not one solution to what we need to do today.

Councilmember Young

And thank you for that. And again, given that you said this, it's not one solution. And I think that for us as a city, we've only been given one solution to look at. And I think that is what my concern is. I want to see what other options are out there to produce, you know, new revenue for the city. Not, you know, this and I'm not -- I want to say this. How can I say this? I'm not anti-arena at this site. I want to make sure that whatever happens here, if it does happen, is good for the city, right? It's in the best interest of the city. And if there are other alternatives that have less of an impact, right, on communities but still are able to produce new revenue, produce new jobs, I think that is what we should be taking a look at, as well, alongside whatever else proposals have been there. But I think just having this put in front of us without a plan for the entire East Market area, I think we're putting -- what is it? The cart before the horse. I think that's what we're doing here. Thank you, Mr. President.

Council President Johnson

Thank you very much. There are no other questions and comments from members of the committee. I want to thank all of you for taking time and joining us today and thank you for your testimony. Thank you very much. Let's keep rocking and rolling. Will the clerk please call the next panel, please?

Chief Clerk

Our next panel, could Mark Merlini. Dan Killinger -- oh, no, I'm sorry.

Council President Johnson

Melvin Hairston --

Chief Clerk

Panel 3.

Council President Johnson

Munira Edens.

Council President Johnson

Jeremy Wolin and Eli Storch. Please join us up at these, please. Just please state your name for the record and you can begin.

Ms. Edens

Hello, Council President Johnson, Majority Leader Gilmore Richardson and the rest of the City Council. My name is Munira Edens, and I'm an organizer with the Philly Black Worker Project. We are a worker center that fights for marginalized Black workers. I'm not only representing the thousands of Black workers here in the city, but also as part of Black Philly for Chinatown. I was born and raised here in the city and have lived in many parts, mostly North Philly and I know that every job is not a good job. Many temp workers had their labor exploited behind bars, then come home where they're told to take whatever kinds of jobs they can get and get funneled into low quality temporary jobs with no benefits and no upward mobility facing further exploitation. And who benefits from this exploitation? Wealthy corporations and billionaires like the ones behind the 76ers place. These billionaires have had the city unaffordable and also create and maintain the low wage economy that keeps Black workers poor. Supporters of the proposed 76 arena and Center City keep praising the potential employment opportunities of the project. The union has already told you all that concession workers are less than enthusiastic about new jobs when they're still fighting for living wages at their current ones. And we have members who have been denied work at these same stadiums because of their criminal backgrounds and are only allowed to work there through a temp agency. We keep being presented with these job numbers like we should take whatever we can get because a job is a job. But if we are serious about issues of poverty in our Black communities, then we need to seriously interrogate the quality of the jobs being proposed to us. Are these jobs enough to take care of my family? Do I need two or more jobs to supplement my income because this job isn't paying enough? These are real questions that our members are constantly wrestling with. And the bigger question is, based on a 76ers job creation promises, will there be job projections even turn into job for Philadelphians? They didn't in Camden. They promised hundreds of jobs to the residents of Camden and only produced 11. The reality is the majority of Black workers in the city are not entrepreneurs. And while we want to see more Black entrepreneurs to be able to sustain their families through entrepreneurial paths, we must also deal with the truth that is in front of us. 4% of businesses in Philadelphia are Black owned. This means the majority of Black workers in this city are employees, and many of them are non-union and not receiving sustainable wages and are often -- and often do not receive benefits at all. There should be many paths to prosperity for all black workers who are not entrepreneurs, but work just as hard. This deal does not do that. We heard councilmember Gilmore Richardson ask about the wealth generation and the ownership stake that Black entrepreneurs will have in this project. The answer was zero. So if the goal is wealth creation for black communities and the generations to come, it is unclear how this project supports us as a city and closing the racial wealth gap. And this is in a city where the Black median wealth is $9,000 compared to the $160,000 for white Philadelphians. Yet here we are entertaining solutions that create no real pathway to wealth for our people. Billionaires like Josh Harris, David Adelman, and David Blitzer are not actually willing to share the pie. And the question is, will Council vote "no" on this arena? Because this strategy has not worked before and this isn't working now. People keep saying they cannot afford their basic needs and the -- and in the midst of what they're talking about to make the rich richer and keep the poor poorer. This city needs more Black community -- more and black communities deserve more. I am so sick of watching billionaires get whatever they want from this city while we -- while we are getting thrown crumbs. 25?

Ms. Edens

We -- thank you. We know what our communities need and we've told you as Council this year after year, we need fully funded worker protections. We need fully funded schools for our children. We need fully funded public transportation. The majority of our members use SEPTA to get back and forth, and it's trifling. We love our Sixers teams, but we know that we need to invest in our communities. Thank you.

Council President Johnson

Thank you. PUBLIC SPEAKER HAIRSTON: I have to go after that. Good afternoon, councilmember Johnson, other members of Council. My name is Melvin Hairston from the UC slash Peoples Townhomes and I'm an advocacy on housing. What I'm here to talk about is basically one of the biggest ongoing crisis in our city is affordable housing. And with -- and with the crisis implemented, we have to have a base structure where housing is protected. Nowhere in this agreement or this proposal is housing protected by any stretch to any of our imaginations here. We -- excuse me, there is -- the townhomes was in a place of vast resources, one of the -- one of the last and formal structures of a -- of a community that spent four decades with children, grandchildren, mothers, grandmothers, single women and children that were split apart from their communities. And I being one of those people that grew up 30 years in that community, had seen the struggles of what's being moved out. And I -- and Mr. Killinger sat here and talked about the work that he's done. But one of the words that wasn't mentioned, that he was one -- that his company was one of the first to try to purchase the Townhomes where our land stood on, where our homes stood, where our babies rested their heads. And the upsetting thing is, is that now that that land has been sold and all the housing there has been reduced to concrete and trees and asphalt, that only 20% of the land was given back to the people, the -- were given back to the city to help the people rebuild, which it went from 70 housing structures to possibly a tower of apartments. That means the community is being downsized. Our community is being downsized from living in houses all their lives to being downsized to apartments, which is squaring in the lives -- squaring in the way people are living. And it needs to be pointed out that our structure on a protected, affordable housing is non-existent. That needs to change. It needs to be something in place. It needs to be a legislation in place where our homes could be protected. Because let's look at it. The community thrives through its people. The city thrives through its people. And if people are on the streets, which is the numbers and the thousands in the city, if people are on the streets, how is 76 Place really going to help the community thrive when the community is struggling to find places to live and low wages? So how is that going to allocate to paying to get a ticket to see the Sixers? How is that -- how is any of that going to allocate itself to help the people where we -- this is supposed to be a business that -- to helping these people. You know, Council, you all members are helping the people of the city. Where does this help? Where does this help people find housing? Where does this help people try to find better jobs? They -- this doesn't -- this doesn't coexists and I mean, this is this basic knowledge right here that none of this coexist with helping the people of this city. I mean, a two -- a two to three hour sports game, how does that help the community of people that are struggling and people being displaced? And I'm fitting to see change, and the people that are sitting here are fitting to see change. And we had to start with one of the biggest ongoing crisis in the city to settle up. If we could talk about building anything -- building anything to help the economic structure, we got to help the people first, then the economy works off the people. Thank you.

Council President Johnson

Thank you. Jeremy Wolin? PUBLIC SPEAKER WOLIN: Thank you. Hi, my name is Jeremy Wolin. I'm a PhD candidate in architecture at Princeton University, and I'm here to remind you how much Philadelphia loses by green lighting an arena in the heart of Center City. First, if the developers we've just heard from have been so responsible for building Market East into the struggling street it is today, why are we taking their word for it? That just one more development will be the catalyst we need. What you also heard is that Market East is physically saturated and trying to fit an arena on a lot that's already quite small for an arena development means less work for Philadelphia's builders. NBA arenas built on bigger lots have built grand plazas and public parks. NBA arenas built in new neighborhoods have built out transit stops and lines that make a transit system stronger, not push the system like SEPTA further into a death spiral. And NBA arenas built in other cities have provided more money for building, just affordable housing alone, than the entirety of the Sixers agreement. Second, yes, mixed use is important, but it has to be smart, including a use that creates sudden bursts of 18,000 people in a single hour is incompatible to all the other attractions that makes mixed use, good mixed use. And who will pay for the team of traffic enforcement and officers that the city's traffic impact studies say are needed if we are to keep 76 Place's 18,000 spectators safe on narrow streets that the city's own design impact studies say are inadequate for the job? Who will pay for the officers needed to enforce geo-fencing to accommodate even out-of-date ride-share numbers? Who will pay for lost spending and lost wages when SEPTA's second busiest transit hub periodically closes for six years of construction? Who will pay for the business -- lost business opportunities when as the city's transit -- traffic impact study says the Sixers promised 40% target still causes gridlock throughout Center City half the time. Third, adding a project that promised to bring thousands of cars into Center City hinders every positive new advancement made to Center City for decades to come. The first advancement to suffer will be the Chinatown Stitch. The Reconnecting Communities program has already given Philadelphia millions to repair the damage the I676 imparted on Philadelphia. But all that construction work goes to waste if as the Sixers traffic study promises, thousands of suburban Sixers fans gridlock Vine Street regularly, a vote for 76 Place against is a vote against repairing the scar that separates North Philly from Center City. Now, yesterday you heard from one of my colleagues and actually independent economists that say there's no economic argument for building an arena downtown, given the vast harm an arena will impart on existing businesses. In response, the so-called community benefits agreement is an insult to your constituents stuffed with free tickets the Sixers wouldn't sell anyway, programs they should already be paying for and aid to businesses that's barely a drop in downtown rent showing that the Sixers simply don't know what it costs to do business in Center City. When Inglewood, California gets $75 million for affordable housing alone and San Franciscans get $27 million upfront for traffic transit improvements followed by $10 million for transit monitoring 30 years thereafter, the 50 million on the table now, it needs another zero before Philadelphians even give it the time of day. To conclude, the cost of building in a dense downtown are great. This is why a fully funded -- fully privately funded arena is really nothing more than a scam designed to take away Philadelphia's seat at the table. The scam lets billionaires decide on their own what they pay for and then leave the taxpayer to pay for the rest.

Council President Johnson

Building at a tiny constrained site like 10th and Market means that while other cities get grand architecture and new public amenities, Philadelphia gets a billboard covered box. And while it might not look like much, building that box in this location, in the heart of Center City, comes at great public cost. Thank you.

Council President Johnson

Thank you. Eli Storch?

Mr. Storch

Good afternoon. Thank you for the opportunity to testify today and thank you for being on this panel with me. Good afternoon. My name is Eli Storch and I chair the design advocacy group, a 23-year-old nonprofit with the mission of advocating for design in Philadelphia's built environment, both in terms of quality and equity. The steering committee of the Design Advocacy Group has opposed 76 Place since 2023. And I'm here today to reaffirm that an arena cannot do what needs to be done on East Market. It cannot make the most of the opportunities presented, nor can it meet the challenges posed by the site. The design materials presented to the public show that while introducing new problems, it was our opinion then, as it remains now, that what Market East needs is an influx of 24/7 street oriented activity, which is something that the proposal for 76 Place simply does not, when it was proposed and has not, based on the limited revisions provided had achieved. Much focus has been on the number of days when an event will occur. This is significant, but so too is the fact that these events be they basketball games or concerts occur in the evening, leaving a dead in street presence facing Market Street on almost all days. It's hard to imagine that the limited interior retail space with minimal street frontage represents an upgrade on what exists presently, regardless of the amount of glazing on the overall mass of the building. Additionally, locating this proximate to the Convention Center, another massive building, that presents primarily inactive facades, is similarly problematic. Adding another single use mass, and I would consider this a single use building, to this area of the city, no matter how many digital billboards adorn it, is not a compromise worth making. Much can and should and has and will be said about the pedestrian and vehicular issues the project faces, especially in light of recent news on the State of SEPTA, the threat to Chinatown, the insufficiency of the CBA, the continued lack of clarity on the actual bounds program and details of the development proposal. I'll leave that to others. Across the street, the East Market project has already provided a successful model of the type of morning, noon, and night mixed use development, as you heard from the developer himself on the panel before us, that this is -- that is what this area requires to be successful with the mix of restaurants and retail enlivening the sidewalks including that newly reinvigorated space. So, we talked about connecting through from Market Street to Chestnut using the project's own site circulation. At 76 Place, the sacrifice of Filbert Street and the deadened rear facade along Cuthbert Street would take these blocks in the opposite direction. As the leaders of our city, we hope that you, along with the planning commission and other experts in government and the private sector, will develop and guide a comprehensive vision for Market East. That has both long-term family sustaining jobs as well as short-term construction jobs, laying the groundwork for the type of mixed use development that will thrive rather than relying on a pattern of reacting only to what is proposed. Change is no doubt needed on Market East. However, this project is not it. Thank you.

Council President Johnson

Thank you. Chair recognizes Councilmember Jamie Gauthier.

Councilmember Gauthier

Thank you, Council President. My question is for Mel. But first, thank you to all of you for testifying. Mel, I wanted to start by saying I'm really sorry that you were displaced and that you lost your home. I think the fight for the University City Townhomes is -- it's just one that will never leave me. I agree with you that as a city, we have to do much more to protect people's housing and to end the housing crisis. And while I do think we had some wins with the Townhomes around the tenant fund and securing the piece of the property that we did for future affordable housing development, I know that it's not enough and I think that you and every single UC Townhomes resident deserve better. I wanted to ask you, as an advocate fighting against the displacement of communities of color with years in the fight, what's your opinion, if you've had a chance to look at it or hear about it, about some of the measures that are being proposed for anti-displacement as it relates to Chinatown and what would you add or what would you change?

Ms. Hairston

I think more -- I think what's most important is people -- the people in -- the leaders of these communities need to be more involved with these conversations. I mean, too many of these proposals, directives, go passed the people.

Councilmember Gauthier

Yeah.

Ms. Hairston

The community leaders need to be a part of that so that can be discussed together on how everybody can thrive. This cannot be a one-way street. This has to go both ways and community leaders should be entered into these proposals and conversations about proposals such as this. And other proposals with housing across the city should be talked with not only between the city and the developers, but also leaders of the community. That's one guaranteed thing that needs to change for all of this to work where everybody can thrive together.

Councilmember Gauthier

I couldn't agree with you more. Thank you so much for being here. Thank you, Council President.

Council President Johnson

No, thank you. And publicly thank you for the work that your councilwoman did going against the powers that be regarding UC Townhomes. And so I was there. I witnessed it, I watched her through the process, and although she wasn't able to, like, totally overhaul the whole process, she did stand on business on behalf of that community and give some very, very powerful interest to make sure that there was some give back and she took her to court and was sued and is still 10 times tall on behalf of your community in West Philadelphia. So, yes, I acknowledge that.

Ms. Hairston

Thank you for that.

Council President Johnson

Thank you. Thank you everyone for your testimony. Thank you very much. Will the clerk please call the next panel, please?

Chief Clerk

Regina Hairston, Katherine Hicks, Mo Rushdy, Lynette Sutton, please make your way to the upfront.

Ms. Hairston

Good afternoon. VICE CHAIR: If you could please state your name for the record and proceed with your testimony.

Ms. Hairston

Thank you. Good afternoon. Regina A. Hairston, President, CEO for the African American Chamber of Commerce for Pennsylvania, New Jersey and Delaware. Good afternoon, Majority Leader Gilmore Richardson and members of City Council. Again, my name is Regina A. Hairston and I serve as the president and CEO of the African-American Chamber of Commerce for Pennsylvania, New Jersey and Delaware, representing the collective voice of over 200,000 Black-owned businesses in the tri-state. I am honored to address you today in support of the proposed development of 76 Place, a project that has garnered widespread endorsement across Philadelphia for its transformative potential. As the leader of an organization representing a diverse spectrum of businesses, spanning small enterprises to large firms and encompassing industries from professional services to construction, and having surveyed over 100 AACC members and conducted over six focus groups, I can confidently state that the Black business community views 76 Place as a monumental opportunity. The development of 76 Place presents an unprecedented avenue for the inclusion of growth of Black-owned businesses. This assertion is undeniable, standing unchallenged even by the project's most vocal critics. 3 billion privately financed investment by the 76ers ownership are well documented. Their commitment to diverse business inclusion and equity, evident in their comprehensive EOP is robust, measurable, and actionable. Leaders like Leslie Smallwood-Lewis of Mosaic, who recently addressed this Council, have attested to the significance of these commitments which extend to the planning, development and ongoing operations of the arena. However, history has taught us that commitments are only as valuable as the mechanisms in place to ensure the realization. Too often pledges to engage Black- owned businesses fail due to the argument that a sufficient pipeline of qualified businesses and workers does not exist. While this rationale is frequently invoked, it reflects a broader systemic challenge. Philadelphia disproportionately does have a low rate of Black businesses and entrepreneurial growth due to lack of opportunity. It is within this context that the 76ers have distinguished themselves over the past 18 months well before formal legislation -- legislative processes commenced or hearings were scheduled. The 76ers engaged proactively with the African American Chamber of Commerce to identify barriers faced by black- owned businesses and explored targeted interventions to overcome those obstacles. Importantly, they did not limit their involvement to discussions. They demonstrated tangible commitment by allocating $2 million to strengthen the AACC's ability to support businesses in season this opportunity. This proactive long-term approach sets the 76ers apart through national benchmarking and direct engagement with other franchises. I can confidently state that no other team, locally or nationally, and I have traveled to many of them, has undertaken such comprehensive pre-approval efforts to ensure the inclusion of underrepresented businesses. The 76ers proactive investment exemplifies a best in-class model for equitable development. Additionally, while the African American Chamber of Commerce's work has naturally focused on our members, the findings of our collaborative -- of our collaboration are broadly applicable. We have shared insights that benefit all small diverse businesses across Philadelphia, ensuring that the initiative's impact is inclusive. Moreover, the 76ers extended similar outreach to other diverse chambers, underscoring their intent to collaborative -- to collaborate across communities, to maximize the project's benefits. The 76er's commitments go beyond rhetoric.

Ms. Hairston

Their investments in programs like Everybody Builds and their aggressive EOP reflects a comprehensive strategy to engage diverse businesses and engage their full participation in economic opportunities created by the 76 Place. In conclusion, the development of the 76 Place represents an innovative and inclusive approach to urban revitalization. Thank you for your consideration. VICE CHAIR: Thank you. Thank you very much for your testimony. We will ask that you state your name for the record, proceed with your testimony, and please be mindful of the two-minute limit. Okay. Thank you. PUBLIC SPEAKER HICKS: All right. Thank you. Good afternoon, Councilwoman Gilmore Richardson and members of the Philadelphia City Council's Committee as a whole. My name is Catherine Hicks. I'm the current and recently reelected president of the NAACP Philadelphia Branch. Thank you. Thank you. I am honored to speak on behalf of the members of our branch in support of the City Council legislation that would enable this Philadelphia 76ers to develop 76 Place at Market East if approved. On that basis, I urge you to favorably report this legislation out of the committee of a whole with the hopes that it would soon pass by City Council and signed by Mayor Parker. In May of this year. I was proud to endorse the Philadelphia 76ers development project that would not only bring a major athletic entertainment arena to Center City Philadelphia, but would introduce significant economic opportunities and other benefits that the 76 Place at Market East project would provide. The NAACP is the nation's oldest, largest and most widely recognized grassroots based civil rights organization. Our motto is, when we fight, we win. We always fight in the interest of the underserved and the up underrepresented for those who have been marginalized and feel forgotten, for Black communities who rightly deserve more but receive far less than their counterparts. Philadelphia, being identified as the biggest poor city in America should by no means be called to complacency. It should trigger a call to action in all of us, no matter who we are or what neighborhood we live in. The Philadelphia branch NAACP is supporting the proposed 76ers Place at Market East development because it believes that this development comes at a unique moment offering a chance to collaborate with the community stakeholders in order to bring about positive change across the city and in the Black communities in particular. 3 billion project, using no local government subsidies, will provide greater access to workforce development and career opportunities, and will enable residents in traditionally overlooked communities with significant socioeconomic challenges, to find dignity instead of being discounted and thrive more while feeling threatened less. The decision to support 76 Place at Market East did not come easily. We had discussion after discussion with the team. We asked tough questions, and through all of the back and forth, we received assurances from the Sixers that we would have a seat at the table. Our concerns would be addressed, all voices with regard to the project would be heard, civil rights would be protected, and measurable social justice matters like diverse diversity, equity, and inclusion goals would be pursued. I'm pleased to share that not only was I made comfortable with the Sixers' responses and commitments, but after discussion in the Branch's Economic Development Committee, executive committee and general body meetings, we saw that a majority of the members who participated or were on board as well. Many of us agree that by actively participating in the discussions and decision making processes, the NAACP can help ensure that needs of the communities are taken into account. Our branch regularly fights for criminal justice reforms, increased educational benefits, better election participation, and affordable decent housing.

Ms. Hairston

And in this instance, having a developer who prioritizes reimagining Market Street East in a way that reserves decades of decline, doesn't displace Chinatown residents or businesses, it facilitates continued access to Jefferson Hospital's emergency room 11 and manages traffic congestion and public safety interest is invaluable. We must fight the good fight -- Okay. Yes. We must fight the good fight on economic empowerment terms where greater access to new wealth building opportunities that lead to the sustainability of our communities occur. In closing, the NAACP, Philadelphia branch, loves our city is enthusiastic about the prospect and at hand and is excited to be on the team. That's why we, respectfully, urge you to favorably report the legislative package out of the committee of the whole, so that the 76 Place at Market East can advance as quickly as possible. Thank you. PUBLIC SPEAKER RUSHDY: Good afternoon, Council President Johnson and Honorable Councilmembers, I wanted to thank you -- first, thank you for the opportunity to testify before you today in regard to the proposed Sixers Arena. My name is Mo Rushdy and I -- today I testify on behalf of the Philadelphia Building Industry Association as its president. I happen to also chair the Philadelphia Accelerator Fund and a proud leader in the UDA, both efforts promoting a 100% Black and Brown developers to do tens of millions of work in our city. I'm not testifying today on their behalf. My support comes from a simple place; jobs, opportunity and great possibilities for an area that has been dead for a long time. Yes, 9,000 jobs, good paying jobs, family sustaining jobs. The folks behind me here today. Now, I don't remember who asked that question yesterday to Ryan Boyer about a discrepancy about 9,000 jobs versus 900. Yes, it would be closer to 9,000 jobs. The Economic Policy Institute states that when it comes to construction, every $1 million of construction work generates five-and-a-half direct construction jobs. 55 million project would generate 8,525 jobs, so it's nowhere closer to 900 jobs. Opportunity. Yes, I was moved listening to the testimony of Pastor Carl Day about being pro-opportunity. Opportunity that can change lives. One that can train a diverse workforce under the umbrella of a multi-billion-dollar project. An opportunity that can give hope to the majority of demographic of our population and keeping them in the city. Great possibilities for Market East. A corridor that has been long deprived of any serious attempt for it to be reimagined and bring it back to being a safe and walkable major corridor. One that is anchored by an arena, concerts, restaurants, cafes, new buildings, connecting City Hall to Independence Mall. 55 million arena. I see three or four high-rise buildings, tens of restaurants, 2,000 to 4,000 residential units in that corridor. I see $4 to $5 billion worth of work. A great possibility only for the ones that are capable of challenging the status quo, and that can be bold as Ryan said yesterday. I see an opportunity for Chinatown to thrive with a million people coming into the arena every year. Tens of millions of dollars could be spent inside Chinatown. Now I want to put the arena aside for a second and I'll speak about our culture of no in any major undertaking. I personally fight to get affordable home projects under our city program approved by this body and approved by some people in the room. I was once recently told, Mo, I can't allow you to do for 50 homes. It's too much. Fifty affordable homes. Homes that create home ownership and create wealth for the population that Pastor Day was talking about yesterday. That gives an opportunity to -- for folks to move up. We have become anti-big things. We have been addicted to the status quo. It's my feeling that we search for reasons not to do things versus coming up with solutions to do them. We are trying to make everything perfect and we lose so much opportunity in the interim.

Ms. Hairston

Like many in this room, I belong to the Democratic Party. We lost big in the last election. We have to come to grips with the fact that we lost so many working-class people across America. We lost folks like the ones that want to build this arena. We lost our belief and conviction that we are a party that can strengthen the middle class and ones that create jobs and opportunity. Let's prove them wrong. Let us restore their trust. Dear Councilmembers, please vote for opportunity. Vote for hope. Vote for the working man and woman. Please vote for the arena. Thank you.

Council President Johnson

Thank you. Girl Concrete. PUBLIC SPEAKER SUTTON: Good afternoon, Council, President Johnson, and members of City Council. My name is Lynette Sutton and I'm the managing partner of Girl Concrete. We are a union concrete contractor that specializes in foundations, slabs, concrete walls, and sidewalks. I thought I would come here today as a business owner, to briefly share the perspective of a small diverse business like mine, that is excited about 76th place, but also feels the daily systemic challenges of operating a local women-led construction business in Philadelphia. Personally, when I hear of sizable construction projects in our city that have the potential to generate tremendous economic impact for communities and local businesses, I will tell you that like many of you, we can't help but to feel skeptical. We wonder will we be a part, included, get a real opportunity on the site, or will we be watching from the other side of the build? In our case, the other side of the construction fence. For us, the opportunities that have truly made an impact for Girl Concrete's workforce are those were collectively the owners, developers, GCs, the city and EOP oversight committees have worked together to ensure diversity and inclusivity from the onset, not just for cookie crumbs, but real opportunity. That is what 76 Place has the potential to be. A real opportunity for all, including those that surround the build, not just the select few. I may just be a small local business, but I have full confidence that the Sixers can get this right. We have a history with the team that predates the project, and I know their commitment to the city and diverse businesses like mine is real. In 2021, during COVID, our other entity, Girl Contracting, was selected as one of the first winners for the 76ers Buy Black award. Through that partnership, the 76ers marketed our business to their fan base using social media, radio and TV. And it actually worked so well that the volume of leads broke our website. They also provided us technical assistance on branding and access to many of their senior executives. This was exposure and coaching that we would've never had or been able to afford. Since then, we've launched another business, Girl Concrete. We're on flagship projects in the city, 30th Street Station and the Bellwether District. And recently, we're recognized as the Business of the Year. While that is all great, it's what we've done with those opportunities that matter. And what we have been able to do is to create local jobs. Our workforce are women, men, returning citizens, apprentices in the trades, people from the communities that actually, surround the build regardless of gender, creed, or ethnicity. People who are talented but often overlooked. People who just need a shot or a second chance. That's my workforce. Look, it's not easy being a woman in construction, let alone a Latina in concrete. But the partnerships and relationships that we've built with the Sixers and because of their introductions, have helped us to break barriers and create new jobs, and that is a story that I have not yet heard emerge in these hearings. Essentially, how the Sixers have helped far before 76 Place was even an idea. So in closing, as a member of the small business community, I urge you to vote in support of 76 Place because as you know, it's not often that you find an owner or a developer with a path, not a will, not a desire, but a long-term proven concrete path to move female diverse and local small businesses forward in a way that we can all feel. I thank you.

Council President Johnson

Thank you. Thank you for your testimony. And before opening up to the floor, I want to go back to Ms. Hairston. Just real quick, regarding the African American Chamber. Is there any recommendations or best practices, from your perspective, and in the work that you are doing that we can do that strengthens or takes the DEI commitment to the next level?

Ms. Hairston

Thank you for that question, Councilman. What I did not articulate in my testimony is that the African American Chamber of Commerce was commissioned to do a study by the 76ers. What we looked at is if they have a commitment, and I think everyone here knows there's a 40% commitment to black concessionaires for 76 Place. That's great, that's inclusion. But in order to have equity for that to actually happen, there has to be interventions to get our businesses there. We have plenty of businesses that are ready for that opportunity today, but in order to build a pipeline, we have to be intentional. The African American Chamber of Commerce has a study. The study is ready to be reviewed by our board of directors. Once our board of directors have had the opportunity to review the study, it will be made public. It should be made public by next week. There are 10 recommendations that, specifically, support DEI in this particular project.

Council President Johnson

And would that include -I know we've had these conversations before, but I want to go on the record with it. Besides the concession stands, right, we also know in a project such as this magnitude, somebody's going to get the bond work, somebody's going to do the architect work, somebody's going to get -- somebody's going to get the contract for cleaning, somebody's going to get the contract for security. How does that play a role from a professional services standpoint? When you talk about the vending and procurement, somebody's going to provide the food that people are going to eat down at the stadium, in the event that this project moves forward. Talk about the role that the African American Chamber is doing in working with a diverse -- inclusive diverse group of other chambers that you have been working with in the past, that play a role in this particular project.

Ms. Hairston

Certainly. So the work that we have done with the 76ers can be replicated throughout any diverse businesses -- small businesses. It is inclusive of all professional services as well. And so it just does not include concessionaires. The reason why we're focusing on concessionaires in the study is because when you go in an arena, you have to eat and you have to drink. Currently, when you go in arenas, in the arenas that I have traveled to, you do not see black businesses represented. So this was an opportunity to ensure that this project has representation of ownership by Black businesses. There will be other opportunities for Black professionals to have contracts in this project. We are partnering with the 76ers to be an advisory for their RFP process. So any bid that's put out, they are working and have committed to the African American Chamber of Commerce that we will be a partner in that process.

Council President Johnson

And that's different?

Ms. Hairston

It's very different. Their entire engagement has been very different. And I can say my board of directors for 31 years have been fighting for this day. And to be able to deliver this report to them next week for the work that they have been doing for 31 years, I am elated and proud. It was not easy taking this vote for the 76 project. My board members were called, they were threatened for business. My staff received calls or we were called everything but the child of God and I still get those calls and got those calls yesterday. So it wasn't easy to do this, but the 76ers have been a good partner in this. This is an agreement that we work together. This is what we've been fighting for, right? Black businesses and organizations that have the opportunity to be at the table to conduct business. And that is exactly what we were able to do in this project, and it's a model going forward.

Council President Johnson

Thank you. Mo Rushdy, in one capacity, you had the BIA, but also another capacity you created the Accelerator Fund that, specifically, focuses on African American and people of color developers have an opportunity to participate in the development that's taking place in the city of Philadelphia. What opportunities are you advocating for to make sure those who come through the Accelerator Fund program, and I know that's primarily on the city side, like turn the key types of programs, but in projects such as this to help individuals get to the next level from the development and contracting standpoint? PUBLIC SPEAKER RUSHDY: Well, Council President, we have seen a lot of talk and a lot of actions and there's a lot of efforts that are being done, such as the ones that Regina is talking about when it comes to the vendors and the contractor's base. The UDA is really focused more, and the Accelerator Fund, specifically, is focused on creating a hundred percent Black and Brown owned developers, landlords, right? One of the things that I truly believe in is that we have been cornered through the system, through the government system, over decades of the minority components whether it's through government jobs, whether through RFPs. And what we're trying to change here is to have an organic growth and having a growth and creating a good cohort of forty, fifty, sixty, a hundred percent Black and owned developers that are doing over 5- to $10 million worth of work every year. We have done this by raising tens of millions from our conventional lenders who are members of the BIA by raising money through. And that's not just me, there is a whole team behind us that includes a very robust board and the Accelerator Fund and the BIA, making sure that we are leveraging all of our contacts to make sure that we are actually bringing opportunity to people. We have seen this already working. We have been working, we have worked with Councilmember Jamie for disposing public land and creating an opportunity for a dozen of developers to be each doing their 3- to $4 million worth of work where they are a hundred percent owners. They're not partnering with anyone, while still maintaining their AOP requirements in terms of vendors that they are actually hiring on these jobs. Okay? It is very important that we support that. It is very important that we focus on that end of the business because once you create that class of Black and Brown developers in the city, in all these neighborhoods, then we're seeing organic growth of Black and Brown vendors within all aspects of our industry.

Council President Johnson

Thank you very much. The chair recognizes councilmember Jim Harrity.

Councilmember Harrity

Thank you, Council President. My question's for Mo Rushdy. Mo, you've been doing development for quite a long time, and I know, large and small developments, you know, across the city. And we've heard Mr. Levy say that he believes that the way we revitalize Market East is through mixed use and other avenues. You know, as a professional, as somebody who has successfully developed properties, because I know a lot of developers who tried to be developers and tried to do projects but weren't successful or weren't able to make a profit. Through your experience, if you were re-visioning Market East, what kind of businesses would you try to bring in your development, if you were the one doing development along or not besides the stadium? I'm not talking about the stadium, just in the actual area. PUBLIC SPEAKER RUSHDY: Right. So thank you for the question, councilman. Now, again, you know, people are looking at the arena as the project of Market East. That's just a start. I have a very good contact, but I don't want to put them on the spot here, who basically said that there are already investors and developers who are looking at waiting for the arena to pass where they're already eyeing properties on Market East to make sure that they are going to be building, you know, high rises, multi-family, want to include affordable housing in it. This is just a gate to a lot of development and revitalization that happens to that Market East. Again, it is very important to recognize that we have a lot to offer, right? This is a big job. There are no subsidies here, right? People can take -- or talk about, you know, that this might be a scam. This is not. Refuse to listen to this. There is private money, private $1.5 billion job for a developer that can cross the river and it's not a bluff for $800 million and get it built where these guys don't build it and we watch them going there, right? This is serious. I mean, this is it, right? Do we want to have an arena? Do we want to have a Philadelphia 76ers that are being built by 9,000 members, good paying members here? Or do we want to just go back and forth and talk about how we are, just one project is destroying all of Market East? Market East is a dead corridor. I challenge anyone to go and walk at 7:00 or 8:00 at night, go and have a walk. Take eight blocks going back and forth, and then give me you opinion. All right. I think Chinatown needs to be preserved. I think the legislations, the companion legislations that were offered by Councilman Squilla to preserve, to make sure that you don't have predatory development that happens in Chinatown. Okay? We have to make sure that this does not happen. We have to make sure that we're listening and hearing on what's going on, right? But let us not have the either or conversation because we have seen so many, I am having them right now myself. Again, on a way much smaller scale, on $20 million jobs building a city's program, right? A city's program, and I still get opposition. It's a joke, quite honestly, right? So today, we have a decision to make. It's very simple. We either build an arena in the city, right? And it gets all the benefits that we can get. The increased city wages for all the members that are going to be working here, the small businesses that are going to be revived and opening up, right? Or we can say, no, this is, you know, not for the city of Philadelphia. That wouldn't be -- I mean, I don't mean any disrespect here, but it wouldn't be unusual for us to basically say no. Okay? Let them cross the river on the other side. Okay? And then we can all play the blame game afterwards. This is in my opinion, an easy decision, while we have Chinatown in our hearts and making sure that we are preserving and making sure we do the best that we can to make sure that they're not displaced.

Councilmember Harrity

Thank you. Thank you, Council President,

Council President Johnson

Chair recognizes, Councilmember Phillips.

Councilmember Phillips

Thank you, Council President. Mo, you are --you've been a long-term developer in the city of Philadelphia. I just want you to -- if you can just talk more about, you know, oftentimes people can see development as -- in a adverse type of position. In what ways can development of this stature be a part of the growth of city -- of city of Philadelphia to address some of the community issues that people are talking about? How can something of this magnitude be, potentially, helpful that maybe you can talk more about how development is helpful to support social issues and even capture hearts, if anything. PUBLIC SPEAKER RUSHDY: That's a -- that's a -- that's a great question and it's a loaded question. So let me -- let me leak you a stat that we had in part of our, kind of, like last election cycle. Eighty percent of people in the city of Philadelphia think that -- look at developers negatively, right? That's a stat. Eight out of ten think that developers, quite honestly, are scumbags. That's the way they look at it. Okay? That's a problem, right? I always say in the city of Philadelphia, we start from below zero when we go and approach the neighborhoods with a project, right? We start from below zero. We're not starting from a neutral place. Now, there are reasons for that. And I think the people in the communities are not wrong, right? They're not wrong. Okay? Why are they not wrong? Because we have a lot of poverty in these neighborhoods, right? We have a lot of poverty, but that is why someone like -- or an entity like the BIA as a business entity, was the only business entity in the city of Philadelphia that came in in support of Council President, Clarke's MPI and 1% construction tax. We, as a business community said, we support a 1% construction tax, to support to get and float $400 million worth of bonds. So that we can give opportunities for people in the neighborhoods to get that $75,000 down payment assistance that the city of Philadelphia has given. To be able to have people afford and families move back into the neighborhoods and create opportunities. Okay? This is -- this is big. And, Councilmen, this is where I come here and say, you know, do we have a unified vision for growth? Do we have a unified vision that we are sending a message to the people outside of the city of Philadelphia, that want to come into the city of Philadelphia and spend money and invest in projects, and tell them that we are open for business? Or are we going to go through this process and them looking at the city of Philadelphia and be like, you know what, this isn't the city for us. We are at Crossroads. We have a new mayor, we have a new vision, we have a new Council President. Okay? And there is a lot of enthusiasm that going forward, that we are open for business, we're creating opportunity, and we're making sure we are really going there to the middleman and making sure that they are never forgotten again.

Councilmember Phillips

Thank you. Just one quick question for Regina Hairston, president of the chamber commerce -- African American Chamber of Commerce. Will the concession stands -- so Philadelphia's very clear, the arena's concession stands, are they going to be a hundred percent occupied? Well, not a hundred percent. When I say, like, the 40, 50% is going to be dedicated to minority owned concessions and so forth. Is it going to be the full concession stand or are they going to have a part in a concession stand? Or has that -- has that detail been discussed? So for example, this is like someone is selling cheesesteaks, but the minority business is selling cookies a little bit. You know, that type of situation on the side there.

Ms. Hairston

So when you get our report that's being published next week, it will be outlined, but the concession, there's ownership in the 76 Place will be 40% Black owned.

Councilmember Phillips

Got you. Thank you so much, Council President.

Council President Johnson

You're welcome. The chair recognizes Councilmember Jeffrey J. Young.

Councilmember Young

Thank you, Mr. President. This question I have is for the folks who represent membership organizations. Could you tell us -- I might have missed it. Could you tell us the number of people you represent and the number of people, I guess, you surveyed for a position on this particular project?

Ms. Hairston

Who was that question -- was that question for me?

Council President Johnson

I think the membership organization would be the African America Chamber --

Councilmember Young

Yeah. It would be the, I guess, the NAACP and African American Chamber. Yeah.

Council President Johnson

-- and NAACP.

Ms. Hairston

Certainly.

Council President Johnson

Oh, well, BIA is, as well, because you're a membership organization, as well.

Councilmember Young

I don't know if they -- I don't know if he served -- I'm sure all they're members, you know.

Council President Johnson

I think we're close to a hundred percent, but I'll try to find the actual stat.

Ms. Hairston

So I don't have an actual stat for you, but I'll just go back to my testimony. So we represent 200,000 Black businesses in the Tri-state area.

Councilmember Young

Uh-huh.

Ms. Hairston

About 80,000 of those businesses are in Pennsylvania.

Councilmember Young

Uh-huh.

Ms. Hairston

When we decided to support this project as a part of the commission study that we did for the Philadelphia 76ers, we surveyed over 100 members, and that is in our report. And we conducted six focus groups.

Councilmember Young

So 80,000 members in Pennsylvania with only 100 participated in the study?

Ms. Hairston

So the 100 people that participated in the study was people that were interested in concessionaires, being concessionaires at the particular arena. So the study is focused around food and beverage, and so those are the stats that I'm giving you.

Councilmember Young

Okay. Thank you. So the folks who participated in the study would have a direct interest -- for that direct financial interest if that arena gets developed or not based on concessionary food and beverage things like that?

Ms. Hairston

So I'm not really clear on the question, but we have not received, not one person that is a member of the African American Chamber of Commerce who is not in support of this project. That has not happened. We haven't gotten it. Everyone that we've talked to have been supportive of the project. We've sent out newsletters, we sent out information over the last year and a half and there has not been one person that is a member of the African American Chamber of Commerce who has said they don't support this project. PUBLIC SPEAKER HICKS: And for the Philadelphia branch NAACP, we have 1400 members, they -- who were notified about the process of being in support of the 76ers agreement. I don't have the amount who actually voted on it. We started out with our executive committee members, and then we sent information out and to our general body meeting, we voted on it. And, a hundred percent of those who participated agreed to support.

Councilmember Young

Okay. Thank you, Mr. President.

Council President Johnson

Thank you very much. Councilman O'Rourke.

Councilmember O'Rourke

Thank you, Mr. Chair. Thank you, Mr. President. And good afternoon to all on the panel. I did want to ask, Mr. Rushdy, you raised a point, and this is something that's come up a couple of times. People have said this a couple of times in the hearings and it's been bothering me, so I wanted to ask it. People advocating for cultural preservation shouldn't engage in ultimatums or either or, but if the Sixers don't get the arena, they get to literally pick up and leave and go across the river. Do you -- do you think that that's, like, an appropriate thing -- do you think that is -- that is fair, just, the right way to approach it? Is it or are folks off for advocating for preservation for the community and then the Sixers are right to pick up and leave in that ultimatum? How would you speak to that? PUBLIC SPEAKER RUSHDY: Welcome to my daily life, Councilman. So these choices we make even in the neighborhoods, right? 5 billion job. But we go through the same things when we're dealing with -- when we're going into communities, especially communities that has not seen development, right? And they look at developments as a threat. This is my opinion, right? My honest opinion from the heart. Anything that disturbs the status quo immediately is looked upon as bad. That is a given. That's the city of Philadelphia. I've been doing business here for 15 years and I have never entered into 16 a community where they took me up in 17 arms and said, this is. I'm telling 18 you, even on affordable housing jobs 19 sanctioned by the city of 20 Philadelphia and turned the key jobs 21 where people will be getting a 22 $75,000 soft second mortgage, I 23 still get that same resistance. 24 So when you talk about cultural preservation, I'm sorry, cultural preservation, I think that's noble. I think what you're doing is noble to make sure that Chinatown is preserved. That's admirable. I think we should all do the same thing. But it cannot be the reason -- it cannot be the reason to deny moving forward. It cannot be the reason. We cannot put progress on our city and growth, okay, in one hand and say, well, it's either we're going to preserve the cultural identity of Chinatown, or you got to build that arena. So figure it out. Because if you build that arena, now you're a bad person because you're really against Chinatown. Not at all. Not at all. When Comcast came with their -- with their proposal down in South Philly, I was the first to go out there and be like, thank you, great. Let's now support the arena and let's support Comcast and what they're doing in South Philly. Okay? Chinatown needs to be preserved. We need to put the safeguards. Yesterday, we had a meeting ourselves to go over the overlays that were put in Chinatown. Typically, you know, a community -- an entity like the BIA is against overlays. We hate overlays because you just can't predict what you can do, right? When you have overlays versus a zoning designation that's already predetermined, it's a problem. But when we heard about the overlay, the inclusionary zoning overlay that was introduced there to preserve affordable housing for Chinatown, as part of the idea of making sure that you're preserving the price points for Chinatown, we see this as a step to make sure that you're preserving Chinatown, right? When you look at the overlay that prevents over 3,000 square feet, I think, or, you know, how many buildings that gets acquired, it prevents predatory. I call it predatory, but you know what I mean where developers will go in and go and buy four or five buildings, take it down and let's go in and put a high rise in Chinatown and here you go, you break Chinatown. I think that is mitigation factors that you are doing with your advocacy to make sure that this does not happen. But the answer cannot be, let's just not build the arena to preserve Chinatown. That is not the answer, especially because in my opinion, it's not fair for Market East. Market East. We're forgetting Market East.

Councilmember O'Rourke

Heard. If I may, Mr. President. Heard. I -- but I do -- if you can say, is it appropriate for the Sixers who are the Philadelphia's basketball team to have only loyalty to, if we -- if we can build an arena here, we'll stay, but if not, we'll leave. But then turn the question on community members who are advocating for the community to say, if you don't go with this, then you're being unreasonable. Do you think it's appropriate to, kind of like, raise -- leverage that on the community itself as advocating, especially since so many of us are agreeing, finally, that Chinatown must be preserved and that they don't have enough. PUBLIC SPEAKER RUSHDY: Councilman, see, again, I think the framing of your question, in my opinion, with and with all due respect, is flawed to say that can they exercise that leverage by basically saying, well, if you don't approve me, I'm going to go to the other side.

Councilmember O'Rourke

That's what's they're saying. PUBLIC SPEAKER RUSHDY: No, no, no. I understand that. But that is a fact. I have an offer. It happens when we sell our homes. If you don't give me that price for my house, I have an offer on my house. Is that -- is that mean? It's not mean. It is -- it is -- there's a transaction happening. It's a transaction of $1.4 billion. So what are we thinking? That when someone is trying, that has a lease that's going to be over in 2031, we think they're leaving it till 2028, '29 maybe we're going to solve it, maybe we're not. No. No. They're business people. They're looking at options. Their first option, and what they really want to do is they want to stay in the city of Philadelphia and they want to be the Philadelphia 76ers. That is what they want.

Councilmember O'Rourke

9 I would say for the record, and I'll 10 be done, Mr. President. I thank you 11 Mr. Rushdy for this. I would just 12 say it's still -- it's still 13 challenging for me to accept the 14 idea that as a team that has a place 15 to play, that folks have gone out of 16 their way to try to keep and support 17 and to provide for, already where 18 they exist, for an arena that won't 19 be up for a few more years. 20 And then to say that if 21 that team doesn't get exactly what 22 they want in this particular place 23 -- there are folks who have and I 24 have since, from the beginning said, not against an arena in concept, but an arena in the community that the community is saying they don't want there, after having heard the pros and cons for it after a series of meetings, and then say that somehow, you know, there's some loyalty there. It sounds like their desire, which is the tip for billionaires, is to make more money. But there is no loyalty coming here or being expressed from the team. But there's expected to be loyalty from the community to let them do what they want to do. And I think that's a bit unfair to ask the community, and as an elected representative at large, I think we should point that out. I hear this back and forth. It just -- it troubles me that this idea, that we are being -- we are being unreasonable by providing an -- by an ultimatum but they're not. That seems a bit disingenuous, but thank you. PUBLIC SPEAKER RUSHDY: Absolutely. And if you don't mind before -- just seconds 7 here. If the owners of the Sixers 8 were looking at their bottom line, 9 you have my word, we would not be 10 sitting here today. If that is what they want. Their bottom line only, they would not be here today. Okay? It's simple math, man. It's simple math, Councilman. They -- there is no bluff here. If it's a business transaction, they will not be sitting here today. So I do think that there is a serious will on behalf of the 76ers of being here, want to build it by the folks sitting here today, make sure we're providing an opportunity for -- in the city of Philadelphia, reviving a Market East corridor, put a CBA that makes sure that it is covering Chinatown, making sure that they are protected. I sincerely believe that that is their true good intention to do that.

Council President Johnson

Thank you. PUBLIC SPEAKER RUSHDY: You're welcome.

Council President Johnson

I want to thank all of you for taking time out of your schedule today and for your very informative testimony. Well, Mr. Christmas, please call the next panel.

Chief Clerk

Mr. Shawmar Pitts, Christopher Rogers, Erica Guadalupe Nunez, Mercedes Bonilla, please come forward.

Council President Johnson

State your name, for the record, then you can begin your testimony. PUBLIC SPEAKER ROGERS: Anybody? Any one of us? Okay. Christopher Rogers. Thank you all for having the time. I'm here representing as one of the growing coalition of Black Philadelphians who are taking a active public stand against the Sixers Arena proposal not in our name. I've been pretty successful in local collaborative efforts to preserve and sustain some of the Philadelphia's cultural treasure, such as The Paul Robeson House, Hakim's bookstore, and most recently, the National Historic Landmark, Henry Ossawa Tanner House, and Strawberry Mansion. I want to thank Councilperson Richardson for her support there. These passionate personal efforts speak to the importance of uplifting and maintaining the rich social fabric and deep cultural heritage which informs sustainable, equitable people responsive neighborhood development. Yet before all that labor, I'm a neighbor and I strive to be a good one as my mother taught me. Being a good neighbor means being willing to stand against specific practices and policy proposals that promise more immediate community fragmentation and cultural heritage displacement. Then our future is speculative and wishing on a star benefits would serve our public interest. Not too long ago, the National Trust for Historic Preservation, uplifted the Henry Ossawa Tanner House to America's 11 most endangered historic places in 2023. And we were honored to reach this designation alongside our neighbors in Philadelphia's Chinatown. Since the National Trust has led continuing efforts that evidence how many of America's Chinatowns are disappearing through public and private attack. The ongoing initiative showcases how these communities face compounding threats and assemblage of racialized and economic forces that put at risk these special old places where countless lives, memories, and stories began and continue to unfold. Indeed, black neighborhoods such as Strawberry Mansion, where the Tanner House is located in Cobbs Creek where I live, navigate the changing same. From my public testimony then I reminded the audience that we Black and Asian Philly folks, working to preserve our cultural heritage come to recognize a legacy of common resistance that we share from our community self-determined projects against the onslaught of a cumulative, collective and continuing policies of structural inequity and impose austerity. I reminded folks that we have not yet been saved, but inspired by those who came before us, we continue to love and fight for our neighborhoods. Councilperson Kendra Brooks testified that 70% of Philadelphians stand against the Sixers Arena proposal. Many of us who watch our beat up Sixers struggled through all our season openers were forced to watch over and over again a 22nd clip where Mayor Parker exclaimed the power of the people is more important than the people in power. And yet, the mayoral administration came to endorse the Sixers money, yet unpopular proposal and went further to suggest that their current lowly concessions would be the best that we ever achieve. Is this faith in the power of the people or an admission that who truly are the today's people in power even as you mentioned, Councilperson O'Rourke, the powers that be that even impacted the people's town homes. To whom does our city's elected representatives truly bend its ear? From whom do those elected by us to represent the freedom, dreams of our communities take its directives. What faith do we, ultimately, display in the collective wisdom of everyday working families about what's right for them in their neighborhoods? Thank you.

Council President Johnson

Thank you. PUBLIC SPEAKER BONILLA: My name is Mercedes Bonilla. Good evening members of Council. I serve as the founder of Leverage Economic Solutions, which is a economic development organization that has served the state of Pennsylvania and the city of Philadelphia as a whole. I also serve as one of the newly elected executive committee members of the NAACP, Philadelphia Branch 2346B, in which in Philadelphia we have more than one branch. Catherine Hicks is our president. We have 1,400 members in which we just held the election on 11/16 of 2024, whereas only 172 members have voted. To turn attention back to Councilmember Jeffrey Young's question, we were not given any email in reference to any vote of any 76ers Place. We were not sent any text messages and I, as a member and a longtime member of the NAACP, serving as at large member in many different branches over this country, I am horribly -- I stand horribly having to go against the NAACP right now because there's a lot of ambiguity here. We have not voted and there have been meetings that we have all not been a part of. I am in opposition, completely, of the 76ers Place as the NAACP Philadelphia 2346B member and executive committee member. Going into Reed and Handens plans, as well as other plans and being a part of traffic reports, there is no full plan for Market East and or East Market area. There are no full plans. There's not a straightaway plan. There are not plans that effectively communicate port authority plans and or bridge plans. I want to recognize the African American Chamber of Commerce of three states, which is stated Pennsylvania, New Jersey, and Delaware, which in New Jersey I am a native of. We already have an African American Chamber of Commerce. And which now we have two, given that we have Pennsylvania, New Jersey, and Delaware here. So I do want to recognize that they did give some numbers, but those numbers are skewed by only contacting or allowing 100 people within the organization to speak for a body of businesses. To preserve time of this panel, I'll yield my time. Thank you.

Council President Johnson

Excuse me one second. The chair recognizes Councilmember Katherine Gilmore Richardson.

Councilmember Richardson

Thank you. Thank you very much. Council president, I just wanted to thank you all, so much for coming in and for your testimony, and it's nice to formally meet you in-person, I didn't realize that was you, relative to the Tanner House Preservation, something that I've cared deeply about over the last several years. And I just have to uplift someone who's not here, who brought that entire situation to me and really helped us work through that challenge, which is queen Judith Robinson. She brought that situation in North Philadelphia to my attention. We work with our former Council President, Darrell Clarke, and together with the support of this body, we were able to help with ensuring that we provided, needed and necessary support for the preservation for Tanner Household. So I just wanted to thank you all for those efforts and uplift, in her absence, queen Judith Robinson for the work that she has done for us to be in this space. Thank you very much.

Council President Johnson

Thank you. Please state your name for the record and begin your testimony please. PUBLIC SPEAKER NUNEZ: All right. Thank you. Good afternoon. My name is Erika Guadalupe Nunez and I'm the director of Juntos, a community led Latina immigrant rights organization in South Philadelphia, fighting for our rights and against the criminalization of our people. We adamantly oppose the construction of an arena in Chinatown, and recognize it not only as an attack on its immigrant community, but as an attack on all immigrant communities across the city who have built and transformed its sectors to serve as thriving community and cultural hubs that speak to the true essence and resilience of our city. From north to south, east and west, we say no 11 to an arena in Chinatown. There's a movement phrase in Spanish, [SPANISH LANGUAGE] which translates to the people are not for sale, they're loved and defended. The attempts to sell out Chinatown for the pet project of a few billionaires will do nothing more than rob our city and its communities of the resources we need to thrive. From infrastructure to operational costs tied to the stadium, the proposed drain on state funding and a tax break that would cost our public schools $7 million annually, the 76ers Arena Project is nothing short of a plan to sell out communities. Instead of this misguided proposal, we need a true commitment to fund affordable housing, mental health services, schools, libraries, public transit, and much more. The developers behind this plan are making false promises about the supposed benefits of this proposal, and we are calling on you to open your eyes and keep your hearts with the people you serve. Many Latina immigrant community members work in Chinatown. We know that wealthy white team owners are not considering their well-being with this proposal. An attack on Chinatown makes all of our communities vulnerable to the beast of gentrification. If you allow this to happen in Chinatown, what keeps places like Calle Nueva safe. Latina immigrant communities have similarly transformed the 9th Street business corridor into what it is today. How long before wealthy elites eye for another development project, robbing decades of transformation by our residents both past and present? Immigrant communities have built neighborhoods that serve as vibrant neighbors -- networks of care, support, and culture exchange out of necessity. Places like Chinatown are not accidents of geography. They're the results of generations of collected effort by people striving to create spaces where they can thrive, find safety and access critical services and affordable homes. The construction of this arena will disrupt and dismantle these networks, leaving thousands of residents vulnerable, not only to the looming threats of political agendas like Trump's, but also to the systemic inequalities that remain unresolved in our city. Know this, the Latina immigrant community does not want an arena in Chinatown. We stand in solidarity with its residents and the broader community until this plan is no more. [SPANISH LANGUAGE] The people United will never be divided.

Council President Johnson

State your name and record for the record. Please begin your testimony, sir. PUBLIC SPEAKER PITTS: Good afternoon, Mr. Council President. How you doing today?

Council President Johnson

I'm doing pretty good, Mr. Pitts? PUBLIC SPEAKER PITTS: Yes. My name is Shawmar Pitts, and I represent South Philadelphia Grays Ferry neighborhood, and I'm part of a environmental justice organization called Philly Thrive. And we've sat here and we've heard a lot of testimony today and, you know, it's hard to see and witness what's going on because this is history in the making, believe it or not. And I want to be on the right side of history. And I know that people see opportunity and building an arena in Center City. They see opportunity there, but at the expense of community that has made their life there and that lived there. So I don't think it's appropriate that we even consider uprooting and displacing a community that has lived there and has a history there, right? I don't think we should even consider doing something to people like that. And a lot of times people ask me about why would I be in defense of the people in Chinatown. It's because when my community was displaced, I didn't like it. I didn't like to see the gentrification going on in a Point Breeze section of South Philadelphia and in the Grays Ferry section of South Philadelphia. I didn't like it. And I don't think that is appropriate for that to happen to anyone. No doubt about it. I want jobs for my black people. I want jobs. All of the people that come and talk about the jobs, we can get the jobs, we can build it anywhere we want. We can build it anywhere we want. And we can bring our minds together to figure out how do we infuse Market East? What should we build in Market East that's going to be a good economic development in our city. We got the minds to do it. We don't have to sacrifice the people in Chinatown to do that. And we don't have to -- and I think that also, you know, I'm so glad that, you know, our Councilman O'Rourke was here when he asked about, you know, is it appropriate to say if you don't build it here, then I'm just going to leave, right? Well, you know, my thing is, if that's all it take for you to leave, you wanted to leave anyway. You want to hold us hostage because you can't get your way right here, you could build it somewhere else. We could revitalize South Philadelphia where all the stadiums are at and build it there, a new state of the art facility, the best in the world. We could build it right there and it won't displace anybody in Chinatown. How about that? We can come up with ideas where it is a win-win. We can do that, but we got to be willing to do it. We can't just be on the wrong side of history and do the wrong things because the wrong things is done to my folks all the time. All the time. And they come and they promise us jobs. And just like the young lady from Girl Concrete said, when you come and you promise us jobs and all of that, we skeptical. And that's a -- that's a understatement, skeptical, because I'm going on your record. I seen development in this city that I have never seen before in the last 10, 15 years with laws in place, 40% minority participation and all of those things. And we don't get them jobs. We ain't even getting them jobs. So I'm going on your record. So all them people in the building trades, when they come and say build it, yeah, I want you to build it because I want the jobs too, but we ain't been getting them. We get hired and -- with that 40% we get hired, and then within a couple months in that job, that job going to be there for seven years. They going to be building seven to 10 years. Within a couple months we all laid off. So what good is it for me if it's going to be jobs there. What good is it for me, if I go through the apprenticeship program and get the skills, what good is it for me if I'm not going to be able to work because they don't want to spread that money out. They don't want me counting the money at the end of the day. I'm not going to work there seven years, five days a week with overtime at $60 an hour as an electrician.

Council President Johnson

They're not going to allow that, they haven't been allowing it. So why do we think all of a sudden the Sixers care about us and they going to give us jobs and they going to look at people like me and say, we going to give you a opportunity. Come on, man, don't do that to us, man. We ain't that stupid. Don't do that to us man. Don't do that to us.

Council President Johnson

Thank you. PUBLIC SPEAKER PITTS: Don't use us like that because that's what they doing. Thank you.

Council President Johnson

Thank you very -- thank you very much for that very passionate testimony. Thank all of you. At this moment I'm going to acknowledge Councilmember Jeffrey J. Young.

Councilmember Young

Thank you. I have a question for Ms. Bonilla. Just, you were alluding to, I guess, Market East. Could you just, you know, go a little bit deeper into what you think some of the current issues are with Market East? PUBLIC SPEAKER BONILLA: Some of the issues right now, and I also for the record, I'm a Pennsylvania real estate agent that deals with commercial as well as residential real estate. So for the record, I did not state earlier that I am a Pennsylvania real estate agent that deals with commercial real estate as well as residential real estate. I think some of the issues in Market East, that were touched on earlier prior to our panel sessions, parking. There are a lot of, again, you may step out for a second, but there's a lot of ambiguity when it comes to numbers. People come here and give testimony and/or speak, but they don't actually have the data in front of them. Each panel they keep saying we don't have numbers, right? I think the biggest part with not just Market East as far as the data, I think it's kind of the problem here is what's displayed here about not giving numbers here. It's not something that has been done, but in economic development, we can survey and actually write those plans. So you can't necessarily say -- it's like statistics. The numbers are not facts, but you can actually try to give an account. I also serve as well -- I actually am an MBA candidate at Georgetown University McDonough. So I actually deal with statistics and data all the time. So a lot of that's not given here or they don't have the data to say, give me -- can you give me a second Council President and or members of Council, so I can actually give that -- give that information. So one of the major things again is parking, as well as those residents that live here. We see people that might be coming here for colleges. Philadelphia, we have some of the best colleges in the world, even though I'm a native New Jersey, I live here in Germantown, serve as a block captain. So I'm also -- I deal with a lot of -- I'm the past RCO secretary for Baton Hill. So I have done a lot in the economic space. So what I see is that in Market East, a lot of -- and as stated before earlier in session, that the community leaders are not involved with planning and they're not brought to the table. That's what I'm seeing currently in the lay. Uh-oh, Council President, I'm sorry.

Council President Johnson

The chair recognizes the gentleman from the 1st Councilmanic District. Just for a point of information regarding, how many meetings have you had and how long has this process you have been working on, as it relates to addressing the issues, as it relates to the constituents that you actually represent in the 1st Councilmanic District, which includes the Chinatown community.

Councilmember Squilla

Thank you, Mr. President. We've -- it's been meetings for a little over two years, on this process, and with, Chinatown community, we had over 32 meetings which was verified by PCDC in their testimony of, he said dozens of meetings. And we also have met with not only the Chinatown community, but at least close to a hundred meetings altogether with all the community stakeholders as far as the people involved with Washington West, with Jefferson Hospital, except the Midtown Village, and Center City District, Reading Terminal, Convention Center. A Lot of other stakeholders that were there that compromise the number of meetings and discussions that we've had along the way before, legislation was proposed by the administration.

Council President Johnson

And for the record, what are the purpose of the meetings that you were actually having in terms of you, your staff being there, what was the purpose?

Councilmember Squilla

To discuss the challenges and concerns of the nearby residents, and/or the support of arena proposal that was going to be put at the gallery site between 10th and 11th and Market.

Council President Johnson

And for the record, what have you done with the actual information you actually received?

Councilmember Squilla

Well, as we received them, we -- as part of the negotiations after the legislation was proposed, we met with the Council President's Office and the Mayor's Office to go over some changes in that proposal and modify -- modification of the CBA to include what we call Arena District and also to introduce additional, what we're calling companion legislation to look at cultural aspects of Chinatown to create an overlay and still working on a proposal for a tax incremental finance legislation to address the concerns that we heard during that process.

Council President Johnson

And last but not least for the record, are you willing to still continue to meet with the various stakeholders and groups from Chinatown and surrounding community regarding the actual legislation that's proposed for you that you're actually sponsoring?

Councilmember Squilla

Yes. We met -- we had a public meeting as late as Monday, Monday this -- Monday this week -- last week. No, Monday this week, we met to discuss other activities on the legislation, other proposals and possible compromises, and have continued to have meetings with all the stakeholders, ongoing even through this process. Not only during this hearing process here, but during times when we're not at this hearing.

Council President Johnson

All right. Thank you very much, Councilmember Mark Squilla. I want to thank everybody for your very, very informative and passionate testimony. And with that being said, I'm going to ask for Mr. Christmas to please call the next panel.

Chief Clerk

Chris Mullins of McGillin's Ale House, and Fergus Carey of Fergus. Please come forward.

Council President Johnson

State your name for the record and please begin your testimony. PUBLIC SPEAKER CAREY: Fergus Carey. My name is Fergus Carey. I am a business owner in Philadelphia for the last 30 years or so. I am -- I'm also the president of the Board of Midtown Village Merchants Association, and this is my associate Chris Mullins from McGillin's Ale House, and he is also on the board of Midtown Village Merchants Association. We are here today. We are -- we are a business organization and we are in favor of the arena coming into 11th and Market. We are pro-business and therefore we felt that it was the right decision to make.

Council President Johnson

That's your testimony. That was quick. Go ahead, sir. PUBLIC SPEAKER MULLINS: I'm ready. Short and sweet.

Council President Johnson

Please state your name. PUBLIC SPEAKER MULLINS: Short and sweet.

Council President Johnson

Please state your name. PUBLIC SPEAKER MULLINS: Sure.

Council President Johnson

Said a whole lot without saying a whole lot. PUBLIC SPEAKER MULLINS: Yeah.

Council President Johnson

State your name for the record, sir. PUBLIC SPEAKER MULLINS: Sure. It's Christopher Mullins, Jr. Good afternoon and thank you for allowing us the opportunity to address City Council. I'm the third-generation owner of McGillin's Olde Ale House. McGillin's is Philadelphia's oldest tavern. It was founded in 1860 by William McGillin. My grandfather and his brother purchased McGillin's in 1958. And in 1993, with the opening of the Convention Center, my parents saw the opportunity for Center City, and decided to purchase the bar, take it over and, you know, see where things go. And I've been with them since 2006. The Convention Center changed the face of Center City, many for the good. However, there are still challenges to the building, but at the end of the day as predicted, it brought thousands of out-of-towners and locals into the core of the city. We remember what our neighborhood and must -- much of Center City was like, prior to the opening of the Convention Center. It has spurred new hotels, restaurants, sidewalks are filled with visitors, and it's a much more vibrant place to be. But we also do know that the Convention Center is not enough to sustain Center City. For 50 years, we've watched the slow decline of Market Street, where once five department stores lined the avenue. Macy's is the last one, and that we hear is closing too, potentially. News of Giant closing has rattled our nerves, and retail, we know everywhere is in decline. But what's going to fill Market East because it's not going to be retail. There are so many holes along the blocks of -- from 6th Street to 13th along Market, and we've been told too many times over the years that things will turn around. Yet we still wait. And today we're debating over a privately funded massive project that will bring millions of dollars in revenue to our inner core, provide jobs and drive traffic into an area that swirly needs the activity. Plus this project comes with no private republic financing, which is unheard of from what I understand. We realize the effect on Chinatown is a concern and we share those concerns, but we know provisions can be put in place to protect this historic neighborhood. However, the benefit to all of Center City needs to be considered. As far as traffic goes, this weekend we have the Philadelphia Marathon. For two days, traffic is disrupted in all of Center City from every corner, and yet somehow life goes on and people take public transportation. The Flower Show affects more people per day than the arena will hold in total -- in total though it is mitigated by the use of public transportation. People from all over the region during that Flower Show come downtown and enjoy the highlights the city has to offer. The city's alive. It's energized and an experience that people take back to their communities and say how wonderful Philadelphia is. This project will not fix all of our problems, but it will be a shot in the arm. It'll bring people into the core instead of concentrating all of the business in South Philadelphia. The jobs -- the jobs that this will bring will also allow cleaner streets and safer streets. My family, our employees, and our community urge you to support this once in a lifetime project which our city so sorely deserves. Thank you so much.

Council President Johnson

Thank you. Councilmember, Mike Driscoll.

Councilmember Driscoll

Thank you, Mr. President and Mr. Carey and Mr. Mullins, I want to thank you for being here. I was in your industry for 17 years. People come in, see your place packed, they think you're a millionaire. They don't realize it's a seven-day a week proposition, that you have big payrolls, that you have the insurance going up, government's usually coming after you for how many permits you have to pay every year. I understand the plate of the small businessman and I'm just happy that you guys are not only worried about your own establishments, that you have this organization that are worried about other establishments in Center City. It's this working together that I think is so important, that makes us the city and neighborhoods and the City of Brotherly Love that some would argue you to our competition. I would argue that a rising tide lifts all boats and hopefully this project can do that. And I will say this, we need you over these next couple years to give us input and Councilmember Landau will be working with you with regard to 2026. And I know she's been doing a great job with all of the establishments for outdoor dining, what extended permits we're going to need for 2026 when we have the FIFA World Cup. So I just want to tell you, we're not always the enemy. We're here to help. And that when we can be helpful over the next couple years, please use us. Thank you.

Council President Johnson

Thank you. Just for the record, where are your two businesses located? PUBLIC SPEAKER CAREY: We're both in Midtown Village Merchants, in middle of Midtown Village. Fergie's Pub is at 1214 San Street. McGillin's is on Drury Street. We are basically a spit from this place right now.

Council President Johnson

Okay. All right. Thank you very much. Well, thank you for taking time out of your schedule and being here today. PUBLIC SPEAKER CAREY: Thank you very much.

Council President Johnson

Last and final panel, Mr. Christmas. Can you call the panel please?

Chief Clerk

Bobby Zhang, Lauren Lowe, Yoojin Park and David Acosta, please come forward.

Council President Johnson

Thank you. Just please state your name and begin the testimony. PUBLIC SPEAKER ZHANG: Hi, my name is Bobby Zhang. I'm the honorary president of the Hoyu Association in Philadelphia. I'm also the Secretary General of Pennsylvania United Chinese Coalition. I immigrated to the United States in 1982. At that time, I was living in Washington, D.C. I moved to Philadelphia in 1995. The CBA introduced by Councilmember Squilla is a terrible one. Chinatown was never consulted, and it's a pitiful deal for the entire city. The D.C Chinatown is on the brink of disappearance. What happened over there foreshadows what would happen to Philadelphia's Chinatown should the arena get to build. The fight of the DC Chinatown community against displacement intensified after the Capital One Arena was built. However, the community that used to have thousands of residents now has only less than 300 remained with only 15 business owned by -- Asian owned. And to that city, that was economic death zone with low foot traffic, with dozens of empty vacant business, as well as languishing chain stores. So let what happened to the D.C. Chinatown be a warning. It's a warning that shows what would happen to a community if a developer were to allow to develop that results in displacement of residents. And the warning that once the local business will chase out, the entire community will lose its unique characteristic, and what would happen then. The Chinatown currently is in danger. Our business -- our community relies on small businesses with many of them provide services. But because of the pandemic, our community have suffered great effect. Many businesses did not survive during the pandemic. We saw many families have lost their lifetime -- lifelong savings. In addition, our community is facing hate due to the pandemic. In 2022, we just started to recover. What we need from the city is support and help. We need someone to recognize the value of our community and support us as we start to rebuild, especially in the face of anti-Asian violence. However, we get this arena, that will destroy us. It's only silence from elected officials in the face of our concern at their inaction. This arena can be built in any place. No matter what is built, there will be the same jobs or even more when it's built somewhere else. They already tried to build one on the waterfront, but they were rejected. Why would we accept a proposal that will disproportionately affect our community? Chinatown is a working class community of color that has been long marginalized. This feels like yet another instance of anti- Asian hate. We are still trying to just survive. Thirty percent of our restaurant business rely on takeout and delivery services. All of our customers need to be able to access Chinatown in an easy manner and then also need affordable parking. To countless Asian American and immigrant family, Chinatown is not just a place for dining. It's our spiritual, cultural, and historical center. Our community won't survive the six years of construction and Chinatown won't even be around to see the arena open. You cannot mitigate an existential threat. You cannot offer community benefits that will pay for our history, our culture, or our relationships. The so-called economic study has ignored the hundreds of business, their contribution to the economy. It also ignores the danger this small business face. It seems like our pain, our cause, seems to be meaningless to this city. But after 150 years of hard work, we earned the right to stay here. We are one of the oldest communities in this city, and it's also -- it's also an indispensable part of the city's culture and history. We are calling on all Philadelphians, who have a heart to oppose this project, to support our community, to show that our community is a treasure asset of this city, join us and to fight against those predatory developers. End this now. No arena in Chinatown. Thank you.

Council President Johnson

Thank you very much. Please state your name for the record and please begin your testimony. PUBLIC SPEAKER ACOSTA: Thank you, President Johnson and thank you members of City Council. I'll keep my comments brief because I know you've been here all day. My name is David Acosta. I'm a poet, a writer, a community organizer, a cultural worker, creator, and a lifelong resident of the city of Philadelphia. And I am here to speak against Bill 24966. I'm part of the arts and culture community, a community still reeling from the financial impact of the COVID Pandemic. You need to know that our theaters and cultural venues will lose money if the arena goes up. The Wilma Theater, the Kimmel Center, all of these theaters and other arts organizations that bring in millions of dollars to the city every year, will lose money because the arena's traffic and construction will black out customers. Restaurants will lose money. We can't even afford to fund SEPTA. How can we afford to pay for this arena? You have on your desk a list of 1,000 signatures from cultural workers, creators, executive directors of cultural organizations in the city, and signatures are still coming in. You also have on your desk, a copy of an anthology that I had the pleasure of editing along with Mia Kang on the meaning of Chinatown to the 44 poets who contributed to the anthology, the oldest poet being in their late sixties, the youngest poet being a 9-year-old Chinese American boy. I think that the arena, and these people who signed this petition see their livelihoods as threatened. We know the economic study inflated the jobs and revenue numbers of the arena. Approving it would destroy thousands of jobs and replace them with very little. The arena also poses an existential threat to the Gayborhood, Washington Square West, the Loft District, another nearby neighborhoods, Old City, Queen Village, Bella Vista, and Hawthorne. The great deal of the mayor is offering is great only for 76 Place billionaire developers whose lawyers drafted it. It is a bad deal for the rest of us and for the cultural institutions that will be impacted through six years of construction and subsequent gridlock. The project will also destroy one of our city's cultural treasures, Center City's last remaining working class community of color. History will judge you harshly if we green light this project destroying a cultural enclave of great value while financially harming perhaps a revocable important cultural institutions which makes us a class world city. To those of you who stand in opposition to the building of the arena, thank you for asking the hard questions on behalf of the citizens you represent. We call on all of you to exercise true leadership and say "no." Support the community's right to self-determination. Honor Philadelphia's identity as a city of neighborhoods. In conclusion, finally consider the negative impact this proposed arena could have on the culinary and gastronomic richness of our city. People come to Chinatown for some of the best Asian food to be had anywhere in this country. Many of these are small family owned businesses whose survival is threatened by six years of construction. And subsequently, the rise in affordability for housing which follows gentrification. Please say no to this project and address the real problems impacting quality of life for us all. Better schools, affordable housing, clean streets, and a fully functioning public transportation system. Thank you.

Council President Johnson

Thank you. Please state your name for the record and please begin your testimony. PUBLIC SPEAKER LOWE: Good evening. My name is Lauren Lowe. I'm a writer and a teacher and a District 3 constituent with family roots in Philadelphia's Chinatown. My father and his six siblings all grew up in the neighborhood, or as we say in Cantonese, [CANTONESE LANGUAGE], born and raised. As I've become an adult and moved around for school and for work, Chinatown and Philly have always remained home. A longtime member of the Philadelphia Suns. I now also coach the girls 9 under team on Saturday mornings at 10 the Crane Tower. 11 Now, 71 years old -- 12 sorry for putting your age out there 13 like that, dad. My father, like 14 most fathers, has a lot of stories, but there are two days in particular that he recalls with extra clarity. The first was from October 1976, when he was at Passing, Sporting Goods, 8th & Arch, which in a classic old school Philly Way did the uniforms for the professional teams in the city and the Holy Redeemer School teams where he went to school. And he found out that day that Dr. J was being traded to the 76ers. We all know how that went. The other days from three years before that, in August 1973, he was years old and an early 7 phone call woke him from his sister. 8 They're trying to knock down Holy 9 Redeemer. She said, you have to get 10 over there. It was raining light 11 that morning. He phoned his best 12 friend, grabbed his sister's wide 13 burn hat and sprinted to 10th 14 Street. 15 Bulldozers had already 16 begun demolishing row homes while 17 the neighborhood was still sleeping. 18 Without hesitation, he climbed to 19 top a mountain of rubble with his 20 friend and neighbors. You've probably seen that photo, if you're familiar with the Vine Street Expressway fight. It's black and white and there's the small determined group staring down cranes, a banner beside them, reading homes, not highways. To this day, my father actually doesn't consider him an activist, though I've spent many occasions trying to pin the title on him. We don't always share the same politics, and I kept thinking this was a place where we could overlap, and I could get him to admit that I was right about something. But as I've gotten older, I've started to see his point of view and really appreciate. Can you imagine how much you must love a place to put your body on the line like that? This is my lineage. I'm speaking to you today with equal parts pride and pain. It's an incredible opportunity to advocate for our community alongside our elders, and yet I'm also frequently aware of how often they've had to do this over and over again in the course of their lifetimes. I'm also aware that this fight is not just about Chinatown. It's a fight that's held over and over in low income communities across the city and in neighborhoods of color. At the same time, when the Vine Street Expressway fight was happening in that same era, there were so-called Urban Renewal Projects that raised the Black Bottom neighborhood in the 60s, and where university adjacent development continues to drive displacement at an increasingly rapid place today. To the note about community meetings with Chinatown, I would just like to flag that while I appreciate the very specific number offered by Councilman Squilla about 32 meetings. PCDC was actually here yesterday and John Chin remains on record standing in opposition to this arena. And furthermore, he said that while they've had many conversations, the current CBA actually does not reflect anything close to what's been discussed about what's needed for Chinatown's protections. So I'd like to just remind everyone of the axiom. It's not about quantity, it's about quality. And while you may be in meetings often, which in the last year or two years, we've only received 72 hours' notice, I think the last one we found out about on Thursday or Friday for a Monday meeting, are you actually listening to us or them?

Council President Johnson

Finally, I'm struck by this building slogan that we often hear. I can get with a good chant. I grew up playing sports. But what are we committed to building? Are they flashy developments that promise a quick fix silver bullet solution with nearsighted promises of revitalization? Are we committed to building up our communities through serious investment and engagement and long-term comprehensive visions for planning? I fear the looming scale the proposed arena has prematurely narrowed the conversation about what's possible there, not only for the future of Market East, but for the city as a whole. Facing school closures, accepted death spiral, affordable housing crisis, and a gun violence epidemic. It is true that we need real change, and that does include a re-imagining of the blocks along Market East. But do we really believe that a few billionaire owners, who by the way, are responsible for a star-filled roster that's two and right now and hasn't made it out of the second round in many, many years, are really the best that we have to offer. As we approach the bicentennial in 250 years of Philadelphia, we have to ask ourself, what will our legacy be? What do you want the city's legacy to be in another 250 years? And perhaps more pressingly here for Council today, what will your role be in creating that legacy? I do believe, perhaps naively that a better, more equitable city is possible for all Philadelphians. These don't have to just be empty words that we're exchanging here. You can take action, you can vote against the arena, you can put forth a real request for proposals and bring community stakeholders to the table throughout the process to help drive the process. We just need the courage, vision, and collaboration to fight for the city we want. Thank you.

Council President Johnson

Thank you. PUBLIC SPEAKER PARK: Good afternoon or rather evening. My name is Yoojin Park. I'm a social worker, Temple grad and queer performer. I perform as the only Asian king in the city and was recognized for my art and activism in PGN's most influential queer community leaders. In addition to starting my own non-profit for Queer Youth of Color, I'm also a part of No Arena Gayborhood, a community group made by and for queer people citywide who are in solidarity with Chinatown. We're backed by almost 2,000 queer folks from all over Greater Philadelphia that have signed our petition against the arena. We support Chinatown and all communities harmed by predatory development. I want to talk about two main things today; local history and local democracy. I'll start with the history. Others have given examples of predatory development in Philly, but no one's mentioned yet how Chinatown and the gay were practically connected once and how predatory development harmed both. I'm talking about the Convention Center, which displaced Chinatown families and erased an entire group of Black-owned gay businesses on Filbert and Arch. We still deal with a lot of racism in the Gayborhood, and a huge part of the reason is that half of it was literally erased. Queer people of color are pushed out time and time again. This month, two minority owned and oriented Gayborhood businesses got priced out. It's not a coincidence that both these owners of these businesses oppose the arena because they know what it's like to have to fight for space and capital as a minority within a minority. It's not surprising when you hear other people talk about the Gayborhood or try to call it Midtown Village without actually ever engaging with queer folks of color or our performance community. Level Up, my home bar and the only Black owned bar in the neighborhood is closing next month. That loss is more tangible to me than anyone else here because I'm in the chain reaction. Ken is losing his space in the Gayborhood. The folks working for him are losing their jobs. I'm losing my home bar and so many show opportunities, and once again, we're losing precious rare community space for queer folks of color. In 2020, Midwood Development, who destroyed the 12th Street gym, first whitewashed the mural of Gloria Cassar in the middle of the night without any consent from the community. They also made promises about preserving a cultural treasure and proposed a so-called Public Art Bonus to appease people. And of course didn't keep the promises. Doesn't that give you deja vu? Just like Midwood, this arena developer doesn't care about a democratic process with the community. They don't even talk to us. Their idea of community benefits is stuff like free basketball tickets for the same school district that has to close schools doesn't have AC, and literally kids are breathing in asbestos, but they're about to get a $400 million tax break. We don't expect a self- interested developer to have a democratic process. They don't work for the taxpayers, but City Council does. And you should be working on urgent things like schools and SEPTA and you should be the strongest guardrail ensuring a democratic process. But instead, we have an undemocratic process to the point where you're physically silencing free speech. I'm talking about what happened here on October 24th, as you may know from the ACLU's warning letter yesterday. All right. Two cops on behalf of City Council dragged Debbie way out of here. She told you about it, but I was there too. I followed them to document it on video. And as I joined them on -- and as I joined them on the elevator, one cop, literally, hit me without any verbal warning. The other cop pulled out a baton and swung it at me twice. All for coming here as a citizen of Philadelphia and to use my first amendment right for free speech. I came here again today to testify in front of you all with no guarantee that my safety would be protected today.

Council President Johnson

This is just to show how undemocratic this arena process has become. You literally have -- you literally are manhandling a 67-year-old woman. And I just -- I just wanted to come here and ask you, what kind of precedent are you trying to set the arena aside? Do the people of Philadelphia really feel safe to come in here and share their opinion? It took a lot of courage for me to come here, to come back into these four walls and into this room. And I really think that you all should think about that and think about the 70% of Philadelphia that really does not want this arena. Thank you.

Council President Johnson

Thank you for your testimony. Any questions or comments from members of the committee? Hearing none. This concludes the business for the Committee of the Whole today. I recognize Councilman Mark Squilla for a motion to recess the public hearing to Thursday, November the 21st, 2024 at 6:00 p.m.

Councilmember Squilla

So moved.

Council President Johnson

It has a moving, properly seconded that the Committee of the Whole will be recessed until Thursday, November the 21st at 6:00 p.m. All those in favor signify by saying aye. Councilmembers: Aye.

Council President Johnson

Those opposed? (No response.)

Council President Johnson

The ayes have it. The motion carries that the Committee of the Whole stands in recess until Thursday, November the 21st, 2024 at 6:00 p.m. Thank you everybody for your participation. (Proceedings concluded.) C E R T I F I C A T I O N I hereby certify that the proceedings and evidence are contained fully and accurately in the notes taken by me of the above case, and this copy is a correct transcript of the same. _______________ Samanda J. Rios