Committee Hearing, November 15, 2011

COUNCIL OF THE CITY OF PHILADELPHIA2 COMMITTEE ON RULES3 Room 400, City Hall6 Philadelphia, Pennsylvania Tuesday, November 15, 20117 10:15 a.m. PRESENT: COUNCILMAN JAMES KENNEY, CHAIR10 COUNCILMAN DARRELL CLARKE COUNCILMAN FRANK DiCICCO11 COUNCILMAN W. WILSON GOODE, JR. COUNCILMAN WILLIAM K. GREENLEE12 COUNCILWOMAN DONNA REED MILLER COUNCILWOMAN BLONDELL REYNOLDS BROWN13 BILL 110756 - An Ordinance amending Title 9 of15 The Philadelphia Code, entitled "Regulation of Businesses, Trades and Professions," by adding16 a new Chapter, entitled "Agents and Sheriff's Sales"...17 BILL 110662 - An Ordinance amending Title 1418 of The Philadelphia Code, entitled "Zoning and Planning," by amending Chapter 14-1631,19 entitled "Lower and Central Germantown Special District Controls"...20 BILL 110672 - An Ordinance repealing an21 Ordinance (Bill No. 110185)... 22 - - -23 24 25 2 1

Good2 morning, ladies and gentlemen. The Rules3 Committee is -- excuse me.4 The Rules Committee is in5 session with a quorum present -6 Councilmember DiCicco, Councilmember7 Miller, Councilman Greenlee, Councilman8 Goode, Councilmember Reynolds Brown and9 Councilman Kenney, the Chair.10 We are hearing testimony and11 having a public meeting on three bills.12 The first is Bill No. 110756, which is an13 ordinance amending Title 9 of The14 Philadelphia Code, entitled "Regulation15 of Businesses, Trades and Professions,"16 by adding a new Chapter, entitled "Agents17 and Sheriff's Sales," specifying18 conditions under which any person may19 assist or act on behalf of another person20 in connection with the recovery of21 surplus funds due to the owner upon22 completion of a Sheriff's sale of such23 owner's property; all under certain terms24 and conditions.25 3 11/15/11 - RULES - BILL 110756, ETC.1 The Chair recognizes Sheriff2 Deeley for testimony.3 (Witness approached witness4 table.)5

Good6 morning, Sheriff. Please pull that7 microphone close to you.8 SHERIFF DEELEY: Good morning.9

Thank you.10 Good morning and identify yourself for11 the record.12 SHERIFF DEELEY: Good morning,13 Mr. Chairman and members of the Rules14 Committee. My name is Barbara A. Deeley.15 I am Sheriff of Philadelphia.16 When I became Sheriff a little17 over ten months ago, one of the first18 problems I confronted was the handling of19 unclaimed and escheatable funds in the20 custody of the Sheriff's Office. With21 the assistance of an outside accounting22 firm and the staff that I reorganized, we23 began the slow, tedious and laborious24 process of ascertaining the appropriate25 4 11/15/11 - RULES - BILL 110756, ETC.1 status of these funds.2 One situation immediately came3 to my attention. This situation was that4 finders, expediters, skip tracers -- as I5 call them, bounty hunters -- and other6 similar individuals were preying on7 unknowing defendants in foreclosure8 cases. Many of the bounty hunters charge9 these unknowing defendants fees between10 35 to 40 percent, contrary to state law11 which caps fees at 15 percent, with full12 disclosure to defendants of all monies13 due to them.14 I want to thank Councilman15 Kenney and his staff who I met with this16 summer when we discussed this matter of17 unclaimed funds. This bill, which18 Councilman Kenney and Councilman Greenlee19 have co-sponsored and which has my total20 support, will go a long way in stopping21 these predatory practices.22 At this time, I must state that23 the citizens should contact my office if24 they believe that they are due money from25 5 11/15/11 - RULES - BILL 110756, ETC.1 a Sheriff's sale. My Post Adjudication2 Unit, which is headed by Sergeant Monte3 Guess, who is here today, will assist4 them in getting any monies due to them5 without charges or fees.6 Many of you have seen the7 public service announcement which I8 recorded in September and which is now9 playing on public access cable channels.10 The PSA gives not only the contact11 numbers of unclaimed funds, but also the12 information that can be helpful in13 preventing a foreclosure sale.14 Thank you, and I am happy to15 answer any questions at this time.16

Thank you,17 Sheriff. I want to thank you for your18 diligence in rooting out this problem and19 bringing it to our attention so that we20 could address it in a quick fashion.21 Any questions for the Sheriff?22 (No response.)23

Seeing24 none, thank you very much.25 6 11/15/11 - RULES - BILL 110756, ETC.1 Is there anyone else in the2 room to testify on this bill?3 (No response.)4

Seeing5 none, thank you very much.6 SHERIFF DEELEY: Thank you.7

We will8 move now to Bill No. 110662, an ordinance9 amending Title 14 of The Philadelphia10 Code, entitled "Zoning and Planning," by11 amending Chapter 14-1631, entitled "Lower12 and Central Germantown Special District13 Controls," to further define the14 Prohibited Uses.15 (Witness approached witness16 table.)17

Please18 identify yourself for the record and19 proceed with your testimony.20

Good morning,21 Councilman Kenney and members of the22 Rules Committee. I'm Marty Gregorski, a23 Senior Planner at the Development24 Division of the Philadelphia City25 7 11/15/11 - RULES - BILL 110756, ETC.1 Planning Commission. I'm here to testify2 on Bill No. 110662, which was introduced3 into City Council on October 6th, 2011.4 Bill No. 110662 amends the5 Lower and Central Germantown Special6 District Controls, affecting all7 commercially zoned properties located in8 the area bounded by Old Stenton Avenue,9 Logan Street, Belfield Avenue, Baynton10 Street, Walnut Lane, Wayne Avenue,11 Rittenhouse Street, Morris Street and12 Berkley Street. The District was created13 in an effort to stop the proliferation of14 certain uses which, when concentrated in15 one area, can be undesirable, such as16 beauty shops, retail sales of cell phones17 and pagers as a main use and retail sales18 of variety/general store merchandise.19 Bill No. 110662 removes the20 restriction on variety/general store21 merchandise stores, provided the store22 exceeds 7,500 square feet.23 The legislation stems from a24 controversial decision of L&I whereby a25 8 11/15/11 - RULES - BILL 110756, ETC.1 Dollar Tree store was granted a2 matter-of-right permit by claiming that3 the store was actually a grocery4 store/supermarket. The permit was5 appealed to the Zoning Board of6 Adjustment, which has remanded the matter7 back to L&I for reconsideration with the8 information presented at the hearing.9 The passage of Bill No. 110662 would10 allow the permit in this matter to be11 issued as a matter of right.12 The Philadelphia City Planning13 Commission at its meeting of October14 18th, 2011 recommended disapproval for15 Bill No. 110662. The Commission did so16 because it was felt that the passage of17 this bill could undermine the zoning and18 appeals process currently underway. The19 Zoning Board of Adjustment has heard an20 appeal of the original L&I approval and21 has remanded the approved permit back to22 L&I for reconsideration based on new23 information that was brought to light at24 the Zoning Board. L&I is currently25 9 11/15/11 - RULES - BILL 110756, ETC.1 reviewing transcripts of that appeal in2 preparation for the re-issuance of a3 decision.4 This concludes my testimony. I5 would be happy to answer any questions6 you may have.7

Are there8 any questions for Mr. Gregorski?9 (No response.)10

Seeing11 none, Yvonne Haskins, please, and12 Christine Sims, James Foster.13 (Witnesses approached witness14 table.)15

Please16 identify yourself for the record and17 proceed with your testimony.18 Before you start, I'd also like19 to -- the reason why I'm going in this20 order is, I want to make sure that the21 people who are supporting the bill have22 an opportunity to address the concerns23 that are raised here that may have not24 been raised when you first testified. So25 10 11/15/11 - RULES - BILL 110756, ETC.1 I think it makes for a better record that2 way. So thank you.3 Please identify yourself for4 the record and proceed.5

My name is Yvonne6 Haskins. Do you want all three?7

No. Please8 proceed with your testimony and then9 we'll go each one.10

I'd like to read11 a portion of my testimony before making12 some remarks.13 As the attorney for seven14 community and business organizations in15 the Germantown community, I'm privileged16 to make this statement on their behalf17 and on behalf of several thousand18 petitioners to request that City Council19 reject this amendment to the Germantown20 overlay. It's going to allow more21 variety stores in our commercial22 district. We already have an abundance23 of variety stores and discount stores in24 that district.25 11 11/15/11 - RULES - BILL 110756, ETC.1 On September 28th, 2011, I2 represented these organizations and3 residents in an appeal before the Zoning4 Board of Adjustments against the illegal5 permit issued for a Dollar Tree to the6 developer of Chelten Plaza at 301 West7 Chelten Avenue. Seven other8 organizations provided support letters at9 that appeal, including the Germantown10 Historic Society, Historic Germantown,11 even West Mt. Airy Neighbors, to name a12 few. Over 3,000 signatures on petitions13 were collected and presented to the ZBA.14 Without any support from our District15 Councilwoman, we succeeded in convincing16 the Zoning Board that the facts stated in17 the developer's permit need to be18 reevaluated. This resulted in a remand19 of the case, and that's the first time in20 history of the Zoning Board that it has21 remanded a case back to the Department of22 L&I to consider the facts presented in23 that case. And before the ink was dry on24 that Board decision to remand the case,25 12 11/15/11 - RULES - BILL 110756, ETC.1 Councilwoman Miller chose to change the2 law by proposing this amendment so that3 the Zoning Board decision would be moot.4 And I think it's evident by having,5 quote/unquote, supporters of this6 amendment who will benefit from this7 amendment reinforces the case we're8 making to you today.9 Her amendment is in line with10 the expectations of the developer's11 lawyer, Carl Primavera, who is on record12 boasting about getting this solution from13 City Council as a way to get around the14 overlay. It's in the way of good15 development.16 Within 48 hours after the17 Zoning Board decision was made,18 Councilwoman Miller sponsored this bill19 to amend the existing overlay by20 permitting as-of-right a variety store, a21 dollar store, another dollar store, that22 is 7,500 square feet or more. The23 developer's dollar store just happens to24 be 10,000 square feet.25 13 11/15/11 - RULES - BILL 110756, ETC.1 This amendment is impermissible2 spot zoning.3 And I'll stop reading here just4 to urge upon you our concern that because5 this is an amendment being presented to6 this Council, to this Rules Committee, by7 a District Councilperson for a change on8 a matter on a zoning district in her9 district, I understand that there's a10 tradition, that there's an informal rule11 in City Council that no one will vote12 against her. We've been told by certain13 City Councilpeople that we're wasting our14 time coming here speaking to you, and I'm15 hoping that that's not the truth. I'm16 hoping that you will hear us today in our17 plea that you not pass a law that may18 have illegality to it at the very least.19 And we're hoping today that as you20 consider this case, that you will at21 least consider going to the City Law22 Department to ask for a legal opinion23 about its legality.24 We've asked -- you've heard25 14 11/15/11 - RULES - BILL 110756, ETC.1 from City Planning Commission that they2 are against this because it goes against3 the general zoning scheme and the general4 due process that is in place. Therefore,5 we're asking that this Rules Committee6 please not vote this bill -- in favor of7 this bill, that this Rules Committee8 listen to the community and listen to the9 voices that you're hearing here today.10

Thank you11 for your testimony.12 Please identify yourself for13 the record and proceed.14

My name is Kristin15 Simms and I am a resident of Germantown.16

Please17 proceed with your testimony.18

I have lived in19 Germantown as an adult for almost ten20 years, and as a girl, I went to GFS. So21 I'm very familiar with Germantown's rich22 history and diversity. And over the23 years, I have just seen the continual24 decline and decrease in our economic25 15 11/15/11 - RULES - BILL 110756, ETC.1 corridor due to greed, corruption and2 apathy, the continuance of variety3 stores, nail salons and all sorts of junk4 that is pervasive in our economic5 corridor.6 When I heard about Donna Reed7 Miller's amendment of her own overlay, I8 and the community was appalled, mostly9 because these overlays is what we have10 been using as a weapon to fight against11 another dollar store in our neighborhood,12 which we do not need at all. And I just13 feel that this amendment is mostly for14 the concessions of a developer and not15 for the community, and I just wanted to16 say that on record. And that's basically17 it. I don't want to say any more than18 that.19

Thank you20 for your testimony.21 Sir, please identify yourself22 for the record.23

James Foster.24

Please25 16 11/15/11 - RULES - BILL 110756, ETC.1 proceed.2

My name is James3 Foster. I am a lifelong resident of4 Germantown, having been born here 695 years ago. At present, I am the editor6 of the Germantown Chronicle and Northwest7 Independent Newspapers, the only8 newspapers delivered door to door in the9 entire Northwest. We have made it our10 business to follow quality of life,11 public funding issues and the issues12 surrounding our elected leadership as a13 primary focus of our newspaper, in14 addition to general news reporting and an15 open editorial policy. We print the16 information the Inquirer won't.17 I have been following -- I and18 others in our newspaper have been19 following the story of the Chelten Plaza20 development since inception. I think21 it's important to point out to members of22 Council that the City started six or23 seven years ago making accommodations to24 this developer, accommodations that25 17 11/15/11 - RULES - BILL 110756, ETC.1 included tax abatements, special favors2 in combining properties, all with a3 promise that the developer would build a4 proper Fresh Grocer store consistent with5 the seven others he has been publicly6 funded to build in Germantown. That7 quality Fresh Grocer store was never8 built despite the fact that it's on the9 City record he was to start construction10 immediately in 2006.11 What we're experiencing now is12 a continuation of the process of doing13 favors for Mr. Burns of Fresh Grocer.14 What happened here was, the Fresh Grocer15 that was promised wasn't built. It was16 shut down without notice. The community17 got a bait and switch, and now we're told18 we'll get a dollar store, which was19 already prohibited, and a low-quality20 food store, one that doesn't really21 qualify for public funds, yet Mr. Burns22 is expecting $4 million from the state23 this month, $4 million that he never24 properly applied for, nor did he file25 18 11/15/11 - RULES - BILL 110756, ETC.1 proper documents with the state in order2 to be able to receive this money.3 The most recent situation, as4 has been explained by Ms. Haskins, is5 that all along this process, Mr. Burns6 has chosen to take a reckless approach to7 development, development on the only8 property left in Germantown in the key9 central district that was not developed.10 By the way, the City Planning11 Commission promised Germantown that that12 area would be developed as a13 transit-oriented project by the City Plan14 presented five years ago. That has been15 completely dropped as a favor to16 Mr. Burns, and the third busiest station17 on the Chestnut Hill West line is now18 moved further into obscurity and not19 included in the kind of development20 Germantown deserves. I don't know why21 the City has seen fit to allow this22 situation to run around law and due23 process, but it's outrageous.24 Thank you.25 19 11/15/11 - RULES - BILL 110756, ETC.1

Thank you2 for your testimony.3 Any questions for these4 witnesses?5 Councilman Goode.6

Thank you,7 Mr. Chairman.8 Mr. Foster, you mentioned9 special considerations with regard to tax10 abatements and land assembly.11

Yes.12

Can you13 explain what that means?14

In 2006, the15 property in question was one of three16 parcels that paralleled the Chelten17 Avenue station, and on that land stood a18 run-down, derelict Shop Rite store.19

My question20 is, was a tax abatement one that was open21 to everyone?22

No. The tax23 abatement was a special arrangement when24 Mr. Burns wanted to acquire those25 20 11/15/11 - RULES - BILL 110756, ETC.1 properties --2

The tax3 abatement is under what program?4

It wasn't under a5 program. It was -- I've qualified this6 with the attorney from the Law Department7 who wrote the special considerations.8 And when Mr. Burns wanted to acquire9 these properties, two of them belonged to10 SEPTA, having once been part of the11 railroad system. The other belonged to12 the owner of the derelict Shop Rite.13

So it was14 abatement of back taxes?15

It was abatement16 of back taxes.17

That's not18 what you said.19

It was tax20 forgiveness.21

I used the wrong22 language. I'm not an attorney. It was23 tax forgiveness of 180,000.24

That was25 21 11/15/11 - RULES - BILL 110756, ETC.1 really my only question.2

Okay.3

Thank you,4 Mr. Chairman.5

It was tax6 forgiveness that the City never does7 under any circumstances, as we understand8 it.9

The City10 does it a lot.11

Councilman12 Greenlee.13

Just very14 quickly. Thank you, Mr. Chairman.15 I guess anyone can answer this.16 Just so I'm clear, what is on the site17 now?18

What's on the site19 now is the beginning of reconstruction20 that was done without a proper permit.21 The shell of that former Shop Rite store22 is being retrofitted and a new building23 is constructed on the far end of the24 property. Both are under partial25 22 11/15/11 - RULES - BILL 110756, ETC.1 construction.2

How long3 has the Shop Rite been vacant?4

The Shop Rite was5 closed without notice in February of this6 year, and that was the first time the7 community found out that there was an8 ongoing new project, despite the fact9 that state law required that to be10 disclosed and combined in a presentation11 to the state to get the public money.12 That was never done.13

So it14 hasn't been in use since February of this15 year; is that what you're saying?16

That's right.17

Okay.18 Thank you.19

Thank you20 very much.21 Any other questions?22 (No response.)23

Thank you.24 Andrea Gordon, Sandra25 23 11/15/11 - RULES - BILL 110756, ETC.1 Weckesser, Gloria Hicks, please come2 forward.3 (Witnesses approached witness4 table.)5

Whoever6 wants to start, please identify yourself7 for the record, bring the microphone8 close to you and please proceed.9

Hi. My name is10 Andrea Gordon. I've been a member of11 Germantown all my life. I was born and12 raised there. It was a thriving13 neighborhood at one time, and without14 notice, we weren't given a quality15 supermarket and we really don't see fit16 for the supermarket. It's not quality.17 We have an upscale neighborhood. We work18 very hard. We're taxpayers, and we want19 to see a quality supermarket, Acme,20 Giant, something quality.21 I work very hard. I've lived22 here all my life as a young girl. I23 mean, very young, maybe nine years old.24 Now I'm 53. And we own our home. We25 24 11/15/11 - RULES - BILL 110756, ETC.1 love our neighborhood. We've lived in2 our neighborhood forever, and we thrive3 to keep it a beautiful neighborhood, and4 it's growing, and our neighbors are5 hard-working people who deserve quality6 food and a supermarket like the people7 they have in Chestnut Hill. We have to8 take our revenue and go outside the9 neighborhood to come down to Trader Joe's10 or out to Chestnut Hill, and a lot of11 money is leaving the neighborhood when it12 should stay within our neighborhood.13 There is no quality14 supermarket, and it's unfair that this15 has happened to us.16 Thank you.17

Thank you18 for your testimony.19 Please, the next person take20 the microphone, identify yourself for the21 record and proceed.22

Thank you very23 much for this opportunity. I'm Sandra24 Weckesser. 16 Forty years ago when we moved17 here from New York City, we thought we18 died and gone to heaven. As a young19 couple both in graduate school with no20 car, on a very tight budget, we could21 walk to our choice of several large,22 clean, well-stocked grocery stores, dry23 cleaners, print shops, pharmacies. 12 I'm now retired from Fox Chase13 Cancer Center and I run a very small real14 estate enterprise out of our home. The15 last young couple to move out of one of16 our apartments somewhat apologetically17 told us how nice the homes were, how nice18 the neighborhood was, how much they love19 their apartment, how wonderful it was to20 have the Wissahickon so close, but the21 commercial area was just awful. 1 My grown daughter is currently2 in her own small apartment two blocks3 from Pulaski and Chelten working full4 time and putting herself through college,5 and like her parents 40 years ago, she6 has no car. 9 Most of you are no doubt10 familiar with the decades of Germantown11 Settlement's mismanagement. Fortunately12 with that burden behind us now, there13 appears to be no reason why Germantown14 cannot once again become a wonderfully15 varied shopping area both for families16 and the neighbors and the many people who17 would shop on their way to and from work18 given the excellent public transportation19 hub at Chelten and Pulaski. But we need20 your help. 1 I understand that our Council,2 our City Council, has a long-held3 tradition in this assembly, a tradition4 of supporting the proposals of your5 fellow representatives. 15 Those traditions, as you know, were in16 part responsible for making our country17 and our government balanced. 12

Thank you13 for your testimony.14 (Applause.)15

Please16 identify yourself for the record and17 proceed.18

Yes. Hello. My19 name is Gloria Hicks. I'm a 28-year20 resident of Germantown, raised my son21 there and am proud to be a resident of22 Germantown. Very happily found23 Germantown to have been classified now as24 a classic town, seemed to have been25 30 11/15/11 - RULES - BILL 110756, ETC.1 moving forward. We've got new department2 developments, apartments, people that3 live within walking distance of this4 site, and they have nowhere to shop. I5 am now doing my grocery shopping on City6 Line Avenue, in Roxborough, Chestnut7 Hill. There's no place to have a --8 there's no decent grocery store in our9 area. And a dollar store would not serve10 the community any better than what's11 there now. There was a derelict store.12 You couldn't even use the grocery store.13 The milk was rancid. Everything was14 wrong with that store that actually had15 been owned and managed by this developer16 previously.17 So I don't see where a dollar18 store would benefit our area. There are19 a multitude of them up and down the20 avenue. Another dollar store or a21 low-quality store such as the Sav-A-Lot22 that's proposed would not serve us in any23 fashion.24

Thank you25 31 11/15/11 - RULES - BILL 110756, ETC.1 for your testimony.2 Any questions for these3 witnesses?4 (No response.)5

Seeing6 none, thank you very much for your7 testimony.8 Darryl Hicks, Chris Mendel,9 Bruce Marshall.10 (Witnesses approached witness11 table.)12

Whoever13 would like to go first, please identify14 yourself for the record and proceed.15

Darryl Hicks.16

Please17 proceed with your testimony.18

Good morning.19

Good20 morning.21

I too am a 28-year22 resident of Germantown area. My feelings23 duplicate my wife, Gloria Hicks, exactly.24 The quality of life is on the decline25 32 11/15/11 - RULES - BILL 110756, ETC.1 with the building of this kind of food2 market as well as trying to have this3 dollar store established. We feel that4 Sav-A-Lot does not suit our food needs.5 We have to travel outside of the area to6 get food of a quality that we would like,7 and there's no reason for that. The8 developer knows. They don't care. I9 mean, they know that we're not going to10 patronize this facility. Their money has11 already been made in the construction of12 this. This is a cookie cutter format13 that's being used all over the City for14 this developer receiving what appears to15 be political favors and money from the16 state. Now, we, the residents, are17 asking you at this point to stop it.18 Thank you.19

Thank you20 for your testimony.21 Please identify yourself for22 the record and proceed.23

Good morning. My24 name is Chris Mendel. I'm a resident of25 33 11/15/11 - RULES - BILL 110756, ETC.1 Germantown and I live on Pulaski Avenue.2 I'm here representing myself and four3 others as part of the Design Review Group4 who have been engaged with the developer5 through Germantown Community Connection6 for over ten months now. We have spent7 nearly a thousand hours reviewing8 drawings, advising changes and monitoring9 progress. We have been in negotiation10 with them for ten months, as I said, and11 we hope to continue negotiations12 regardless of the outcome of this13 variance that Donna Reed Miller has put14 forward.15 The community, as has just been16 said, is forming its own voice since the17 Germantown Settlement issues of several18 decades. So we are, in essence, learning19 to cooperate and learning to form the20 community that we want.21 I find Councilwoman Miller's22 variance to undermine this effort of23 community organization and the ability24 for the community to design the space25 34 11/15/11 - RULES - BILL 110756, ETC.1 that it wants and needs.2 If you were to vote against3 this variance, it would not endanger the4 development, as this would go against the5 dollar store, which is only one of seven6 tenants in the space being developed. It7 would not prohibit construction jobs, as8 most of the construction is complete.9 So we please urge you not to10 vote for this variance.11 Thank you very much.12

Thank you13 for your testimony.14 Please identify yourself for15 the record and proceed.16

Good morning.17 My name is Bruce Marshall. I'm18 representing Southwest Germantown19 Neighbors Association, and I am living in20 my childhood home for 60 years. So I've21 been through there all the changes for22 the worst that were previously touched23 on, and I shop elsewhere also. But I24 don't want to get into the details of the25 35 11/15/11 - RULES - BILL 110756, ETC.1 project. I'd rather just finish up with2 the point of the appearance.3 As a City resident, I'm very4 often embarrassed and discouraged,5 disappointed with scandals, pay to play,6 backdoor deals, lack of transparency,7 lack of accountability. That's the issue8 I would just like to drive home. I think9 Council should be aware of, care and try10 to change that perception at the resident11 level and beyond, at the national level12 even.13 It seems like the business as14 usual and status quo things, it just kind15 of keeps going on forever, and this16 latest is another example of that. If17 there weren't tax money involved, perhaps18 it wouldn't be such a big deal. A19 developer wants to come and build20 whatever they want to build if they can21 get it zoned.22 Even the zoning process, I went23 to that zoning hearing, learning that you24 can put in -- I can say I want to put a25 36 11/15/11 - RULES - BILL 110756, ETC.1 Mormon tabernacle here and then I can2 build a torture chamber and then L&I3 would come and say, Hey, wait, you didn't4 put a Mormon tabernacle.5 There's just a lot of things6 dreadfully wrong with business as usual7 here, and I see this variance to the8 zoning overlay as one more tactic to try9 to get around an orderly, transparent,10 accountable way of doing business. And I11 could go on, but I think I've made my12 point.13 Thank you.14

Thank you15 for your testimony.16 Any questions for these17 witnesses?18 (No response.)19

Seeing20 none, that ends the witness list for the21 opponents to the bill. Is there22 anyone -- what I would ask, just23 respectfully -- please come forward --24 try not to go over same information that25 37 11/15/11 - RULES - BILL 110756, ETC.1 has already been presented. That would2 be helpful for the record more than3 anything else. So if you could come4 forward.5 Anyone else after these three?6 (No response.)7

Thank you.8 (Witnesses approached witness9 table.)10

Whoever11 would like to start, please identify12 yourself for the record and proceed.13

My name is Connie14 Winters. I live in Germantown. I've15 lived there since 1976. I have a company16 called Historic Germantown Properties,17 which I started in the year 2000 with my18 husband after I had been President of the19 Business Association for a year. We20 specifically invested on Chelten Avenue21 between Wayne and Wissahickon in order to22 make an effort to improve the commercial23 district, because I could see that the24 commercial area was really holding back25 38 11/15/11 - RULES - BILL 110756, ETC.1 the development of Germantown as a2 community.3 I have been very opposed to4 this Chelten Plaza development. I own a5 property, a historic tax credit property,6 that's right across the street from the7 Chelten Plaza development and I've been8 part of this process for the last ten9 months. I am really dismayed at the lack10 of response on the part of elected11 officials to the voice of the community.12 We have explored every avenue to be13 heard, and I'm asking you today to stand14 by the original zoning overlay and not go15 for an amendment that clearly violates16 the spirit of the original overlay.17 The community does not want18 another dollar store, and this is, I'm19 sorry to say, clearly an attempt to go20 around the wishes of the community and to21 bolster a developer who has $5 million or22 has been promised $5 million in public23 funding not to do what the community24 wants, but to do whatever he seems to25 39 11/15/11 - RULES - BILL 110756, ETC.1 find expedient.2 So please, especially the3 Councilmembers-at-large, we'd really like4 to ask you to vote in favor of the5 community and against the amendment.6 Thank you.7

Thank you8 for your testimony.9 (Applause.)10

Please11 identify yourself for the record.12

Yes. I'm Jeff13 Smith.14 This hearing isn't about a15 grocery store, though you've heard a lot16 of testimony. It is about the variance17 to allow apparently a Dollar Tree, rather18 a -- a Dollar Tree variety store in a19 sort of spot zoning.20 I'm a lifelong resident of21 Germantown. My father and grandfather22 were businessmen in the Central Business23 District in the 1920s to 1965. I myself24 own a Pilates business at Green and25 40 11/15/11 - RULES - BILL 110756, ETC.1 Rittenhouse Street, one block off the2 Central Business District. We've been in3 business there for three years.4 Sometimes people ask me why did I open a5 business like that in Germantown, and I6 said, Well, why not? It needs it.7 I've witnessed Germantown from8 the end of its prominence as a major9 commercial district outside of10 Philadelphia starting in the late '60s11 and early '70s to the struggling district12 we have today. Politicians and13 organizational corruption, as highlighted14 recently by the Central Germantown -- the15 Germantown Settlement debacle as well as16 others with Central Germantown Council,17 have been a heavy burden for those of us18 who have attempted to use civic process19 to improve the profile of the Central20 Business District. The bill proposed by21 Councilwoman Reed Miller is another22 attempt to achieve a dubious goal for the23 convenience of a developer.24 Four million dollars toward the25 41 11/15/11 - RULES - BILL 110756, ETC.1 Chelten Plaza were obtained with a state2 funding application which neglected the3 required community input process. The4 Dollar Tree proposal violates zoning5 requirements imposed by the 2000 overlay6 district Councilwoman Miller herself7 worked into a bill before Council.8 Germantown already has the Sav-A-Lot9 grocery store. Now the developer earns10 $200,000 in bonus by relocating and11 opening a new franchise of that store at12 the same time as the Sav-A-Lot parent13 company, SuperValu, is closing14 company-owned stores around the country.15 Coincidentally, another variety16 store, Dollar General, is proposed for17 East Chelten Avenue by developer Mark18 Nicoletti. It's also within the 200819 overlay district, as I understand it.20 To highlight the folly of these21 variances, currently there is a Dollar22 General right beside the current23 Sav-A-Lot store on Wayne Avenue near24 Chelten. Presumably when a new Sav-A-Lot25 42 11/15/11 - RULES - BILL 110756, ETC.1 store opens and a new Dollar General2 store opens, who knows what the fate of3 those two current business locations will4 be. Perhaps another blight on the5 neighborhood.6 Council should oppose the7 attempt to create a new definition of an8 allowable variety store in Germantown and9 permit the legal process in motion at L&I10 to continue. Germantown deserves better11 than a deep discount grocery store and a12 larger variety store.13 And, by the way, next Monday14 and Tuesday evening City Planning and15 Council -- City Planning Commission is16 arranging hearings on the future17 development of the Chelten Avenue18 corridor. It seems kind of ironic that19 that would be taking place at this time.20

Thank you21 for your testimony.22 Please identify yourself for23 the record and proceed.24

I'm Thomas25 43 11/15/11 - RULES - BILL 110756, ETC.1 Sharpless, full-time resident of2 Germantown since 1990, first lived in the3 community in 1942, father and grandmother4 were born and raised in Germantown.5 I'll be brief. I'm here to ask6 you not to rubber stamp some junk7 economic development, which is not what8 we need in Germantown. The visible9 political support for this project for10 the Mayor, the Governor and so forth is11 all based on, oh, it's good for the City12 because it brings in money.13 I think you've heard this14 morning that we're not against bringing15 in money. We're not even against the16 development of this site by the owner of17 this site. All of this fuss we've been18 making is to try to persuade the owner of19 the site to do something that will20 benefit not only himself but the21 community as well. We don't want to22 lose -- and this zoning overlay as it23 stands now, which happens to render his24 present plan illegal, is about the only25 44 11/15/11 - RULES - BILL 110756, ETC.1 weapon we have to get his attention and2 to get the attention of the funding3 agencies and so forth. If you take that4 away from us, it will be business as5 usual. We'll get more junk economic6 development in Germantown.7 That dollar store will lose8 money and leave after two years. The9 Sav-A-Lot will fold up in 18 months.10 This is just on form, based on what's11 happened in this developer's sites12 previously. And we could be doing better13 than that.14 So I'm here to ask you to at15 least defer any decision on whether to16 pass this spot-zoning amendment until the17 district of -- the councilmanic district18 had adequate representation of the19 voters.20 Thank you.21

Thank you22 for your testimony.23 Any questions for these24 witnesses?25 45 11/15/11 - RULES - BILL 110756, ETC.1 (No response.)2

Seeing3 none, thank you very much for your4 testimony.5 Mr. Primavera, please.6 (Witnesses approached witness7 table.)8 COUNCILMAN KENNEY:9 Mr. Primavera, since we do not have an10 easel, would you please prop those11 visuals against the front of these four12 desks. I need them closer. I'm older13 now.14

For the15 record --16

Wait until17 you get to the microphone, please.18

For the record,19 Carl Primavera. With me is Pat Burns to20 my left and on front of me is Grant21 McLoughlin. We are handing out22 additional copies of what was sent to23 members of the Committee. 1 I would like to make a2 statement, which will also include3 comments to what we've heard, and then4 we'll also hear from Mr. 10 Mr. 15 Understanding what we've heard16 today, and I heard the Governor and the17 Mayor were quoted, but let me read from a18 letter that's in your package from the19 Mayor to Governor Corbett. 1 food choices. The anchor tenant in this2 commercial center will be an 18,0003 square foot Sav-A-Lot Supermarket, which4 has committed to providing a large5 selection of fresh fruits and vegetables6 along with fresh meats. 13 The plans you see show a14 Sav-A-Lot, which is really a brand new15 store and it's an expanded store from the16 one that you heard reference to by the17 protestants, because that store is doing18 very well but it's undersized. Even19 though the Sav-A-Lot has nothing to do20 with the zoning issue today, we've heard21 it a lot, and people have said, as you've22 heard today, that Sav-A-Lot is too23 lowbrow for our taste. 1 Avenue where the community wasn't2 familiar with it, and at first they were3 unsure. 6 Interestingly, they like to partner with7 a public company, which is a darling of8 the New York Stock Exchange, Dollar Tree9 Company. It's a stock that's going10 through the roof, not for surprising11 reasons. 3 So when this issue first came4 up that perhaps we had stepped over an5 overlay restriction, we said, Well, gee,6 this is the law of unintended7 consequences. This type of investment8 was never meant to be excluded from a9 commercial shopping center. 11 So that's when I suggested that rather12 than have time spent at the Zoning Board,13 that we work to amend the overlay. I was14 not boasting. I was suggesting, and I15 sent a letter to the Zoning Board for16 that purpose, because nobody had17 envisioned the overlay, which was18 designed to prevent junk shops, would19 actually prevent the redevelopment of a20 large-scale shopping center. I think21 that the powers-to-be said, Let's have a22 full, fair hearing before the Zoning23 Board, let everyone get it off their24 chest, and we did. 1 We won. Despite what you may have heard2 today, the Zoning Board agreed that the3 City zoning examiner, Jeanne Klinger, who4 many of you know, she's been with the5 City for 30-plus years, said that our6 zoning permit was good. So the Zoning7 Board affirmed our position. 13 But we weren't boasting. 16 Because of the confusion, the17 overlay was looked at again and was18 determined that the large-scale format19 value stores -- and I'll call them value20 stores, and here it could be a Dollar21 Tree. The same company also operates22 Deal$. And you'll see in these boards --23 and I'll just have Grant pick up the24 merchandising plan from Deal$. 5

Just one6 question. I'm confused. What does Deal$7 have to do with --8

Deal$ is owned9 by Dollar Tree. If Dollar Tree only has10 a dollar --11

Is Deal$12 the name of a store?13

Yes. Deal$14 will go up to $5 an item. It's owned by15 the same company, Dollar Tree. So at16 this location, it will be the decision of17 Dollar Tree's home office whether they do18 a Deal$, which goes up to $5, or whether19 they go to Dollar Tree. It's very much20 the same. As of right now, we believe21 it's going to be a Deal$. So the --22 (Audience members talking.)23

Excuse me.24 Just out of respect for --25 52 11/15/11 - RULES - BILL 110756, ETC.1 (Audience members talking.)2

Out of3 respect -- listen to me. You can come4 back and rebut, but I can't have catcalls5 from the audience. It's just not right.6 Please.7

So what we're8 showing and what we're proposing is a9 10,000 square foot store. And you'll10 also see the layout. I'll have Grant11 pick that up as well. You can go in, you12 get a cart, you have aisles, you have13 freezer aisles, you have stocked aisles,14 then you have a checkout counter. It15 looks and feels and is a very powerful16 store that, as you see from the site plan17 which Grant will also show, is a18 transit-oriented development. People can19 walk to this store. They can take public20 transportation to get to these stores,21 and they also can park. It's a22 full-scale shopping center.23 But these people are peeved and24 peevish because they want Trader Joe's25 53 11/15/11 - RULES - BILL 110756, ETC.1 and Pat Burns wasn't able to develop a2 Trader Joe's, but what he has developed3 is the envy of most neighborhoods in4 Philadelphia.5 Now, to prove that point,6 although the obvious thing is already on7 these boards, Pat hired Midge McCauley,8 who most of you know, worked with Carl9 Dranoff, worked with Paul Levy. She10 lived in Germantown for 30 years. She11 has a company called Downtown Works, and12 she did the strategic plan for Chestnut13 Hill, for Haddonfield, Washington, DC.14 Now she's working for Detroit. All the15 major cities have asked her to say what16 is the right product mix and what is the17 right way to develop commercial strips.18 We invited people to meet with us and be19 part of that dialogue. They chose not20 to.21 In our materials which you have22 before you is the report from Midge23 McCauley. She believes that this project24 is exactly the leverage that Germantown25 54 11/15/11 - RULES - BILL 110756, ETC.1 needs, because we're going to have a2 national bank. We're going to have a3 local store called Wired Beans, which4 apparently is the envy of all of the5 Northwest. We're going to have public6 companies. We're going to have stores.7 We're going to have employees. We're8 going to have fully improved lights,9 parking, landscaping. This is going to10 give people confidence to come into this11 neighborhood and make the kind of12 investment that people are calling out13 for.14

How many15 stores are there planned for the site?16

Probably17 between six and ten.18

There's about eight19 now.20

About eight.21

Are you at22 liberty to tell us at this point some of23 the names of the stores that you --24

I'll introduce25 55 11/15/11 - RULES - BILL 110756, ETC.1 Pat to do that. He's negotiating, so2 he'll know what --3

If you4 can't, obviously if you're in5 negotiations and you don't want to6 divulge it --7

No. I have --8

You'll have9 to identify yourself for the record.10

My name is Pat11 Burns. I'm the developer of Pulaski12 Partners, which is at Chelten and13 Pulaski.14 Currently, we have a lease15 obviously with Sav-A-Lot, which we're16 planning to open December 10th. The17 store is almost done. Anna's Linens is a18 public company. They're opening December19 10th as well. Dollar Tree, the store is20 all ready to go except for zoning.21 Subway is going in the location.22 Citibank is very close to putting a23 corner location of Citibank, the only one24 I believe in Philadelphia right now that25 56 11/15/11 - RULES - BILL 110756, ETC.1 they're opening in the next two years2 here. Wired Beans, Robert Wheeler, which3 is a local --4

What is5 Wired Beans?6

He's a local coffee7 shop owner. He's done a great job on8 Germantown Avenue, Mt. Airy. So he's9 coming in. He signed his lease. And10 Little Caesars right now. There's two11 more vacancies open right now.12

Okay.13 Please proceed.14

Bill15 Caesars?16

Little17 Caesars.18

Oh, Little19 Caesars. Okay.20

So we believe21 that not only is this a great22 redevelopment of the site -- and if you23 look at the pictures in the back, you'll24 see an old beer distributor, you'll see25 57 11/15/11 - RULES - BILL 110756, ETC.1 the tires. Apparently SEPTA had been a2 bad neighbor on this site. It had been3 abandoned.4 This is a significant5 redevelopment. It's a large-scale6 investment, and hopefully what will7 happen is this will bootstrap people who8 will take these small storefronts that9 are in absentee ownership and convince10 those people that they have to bring11 their game up and people will reinvest12 and say, You know what, there is hope in13 this business community. Because when14 Citibank comes in and when large15 retailers come in, that's a signal to me16 as a property owner and a business owner17 that there is business to be done in18 Germantown.19 We've worked with a group GCC20 for the last ten months on everything21 from jobs to tenant selection to22 everything -- landscaping. We have a23 petition of 8,000 people that we24 presented to the Zoning Board in support.25 58 11/15/11 - RULES - BILL 110756, ETC.1 Why would they be in support? They don't2 like a vacant site. They like the jobs.3 They like being able to walk, because4 many people, unlike the people you hear5 today, many people in Germantown don't6 have cars. So being able to walk to7 these amenities is a great option for8 them. So there is a lot of support for9 this. Like many projects, the people who10 are happy with the project don't want to11 spend a day away from their home or away12 from work to come in, but we had a13 petition of 8,000 people that were14 submitted at the Zoning Board.15 So at this point, we applaud16 Councilwoman Miller for her ability to17 guide this project, to create something18 that's really going to be a wonderful19 driver for investment and jobs. And20 basically the people who want to go to21 Trader Joe's, they have the cars, they22 can go to Trader Joe's. If they want to23 go a mile and a half away, they can go to24 the LaSalle Shopping Center where Pat has25 59 11/15/11 - RULES - BILL 110756, ETC.1 the Fresh Grocer. Those people have a2 variety of amenities. But for the people3 who want to see jobs, investment and4 shopping opportunities on their doorstep5 in a large-scale redevelopment site that6 was wanting badly, this is really more7 than you could even expect. So this is a8 wonderful thing that hopefully over time9 people will rally around and get behind.10 They're my comments.11 Pat, you've heard the comments12 today. Do you have anything more that13 you want to add?14

Like Carl said,15 I've been developing within the City. At16 the LaSalle University, we put a whole17 new shopping center at Chew and Wister18 Streets at LaSalle, and at Progress19 Plaza, 40th Street, 56th and Chestnut.20 So I've been a developer, mainly a21 grocer, within the area of -- the22 Philadelphia area.23 We approached Dollar Tree24 because, quite honestly, in this25 60 11/15/11 - RULES - BILL 110756, ETC.1 environment today, we do need credit2 tenants, and they have a very good credit3 tenant worthiness, Dollar Tree, to be a4 lease on this location.5 The correct amount, we are6 spending $14.3 million on this location7 for rehab there. So I just wanted to let8 you know that.9

Okay. Let10 me take the opportunity now to open up11 some questions for Councilmembers.12 Councilmember Goode.13

Thank you,14 Mr. Chairman.15 To Mr. Primavera and/or anyone16 who wants to answer this question, I17 don't think there's a lot of debate about18 whether there should be a development19 project at all. I think there is debate20 about whether there should be that type21 of store at that location.22 What I find curious about all23 of your comments, taking it all in very24 quickly, is that you cited the letter25 61 11/15/11 - RULES - BILL 110756, ETC.1 from the Mayor on September 2nd, 20112 that mentioned an 18,000 square foot3 market. You then later on talked about a4 10,000 square foot market, and the5 amendment references 7,500. Can you6 explain that?7

Yes. The8 Sav-A-Lot is really not an issue, other9 than the fact that it has irked a lot of10 people.11

I'm talking12 about the numbers - 18,000, 10,000,13 7,500.14

The Dollar15 Tree --16

There's a17 huge difference between 7,500 and 18,000.18

Yes. We're19 talking about two different stores. The20 Dollar Tree or Deal$, depending upon21 which division they put in, will be22 10,000 square feet, which will be larger23 than the 7,500 minimum for a variety24 store.25 62 11/15/11 - RULES - BILL 110756, ETC.1

And a lot2 smaller than an 18,000 foot project that3 the Mayor endorsed.4

Yes. And let5 me just stand up to show you.6

You're7 going to have to take --8 (Applause.)9

You have to10 go back to your seat. Thank you.11

And I'm sorry12 it's not easy to see, but, Pat, please13 point to the 18,000 square foot Sav-A-Lot14 which is going to open on December --15

Right here. Right16 here. This was the --17

Only one of us18 can speak at a time.19 So what Pat is showing with his20 left hand is the 99 percent constructed21 Sav-A-Lot, 18,000 square foot, brand new22 store. To the right is a multi-tenanted23 store under construction. So it will24 have Annie's Linens, Dollar Tree or25 63 11/15/11 - RULES - BILL 110756, ETC.1 Deal$, CitiCorp Bank and the restaurant.2 So they're two different buildings.3

So the Mayor4 was not endorsing what's being debated5 today.6

He was7 endorsing the shopping center.8 (Applause.)9

The letter does10 not speak to the dollar store. The11 letter speaks to the shopping center and12 it specifically speaks to the Sav-A-Lot.13 The Sav-A-Lot was signed up before the14 Dollar Tree.15 But basically Duane Bumb from16 the Commerce Department, as recently as a17 week ago, told me that because this is a18 public-private project and the state is19 contributing funds and because of the20 large need for redevelopment, that the21 Commerce Department is enthusiastically22 in support of every aspect of what we're23 doing here.24

I'm pretty25 64 11/15/11 - RULES - BILL 110756, ETC.1 sure that the Commerce Department wants2 to see development there. The Commerce3 Department would not necessarily get into4 what specific tenants would be there.5 But if you have all this planned out and6 if it's such a great project and so much7 money is being invested -- and we do8 thank you for your investment in9 different sections of the City -- you10 have not yet told us what specific11 benefits will come. Is there an economic12 opportunity plan? Will Philadelphia13 businesses benefit?14 (Applause.)15

Will16 Philadelphia workers benefit? Is there17 going to be a community benefits18 agreement?19

Yes to all of20 that. I'll -- is Grant the right person21 to address that?22 Put your name for the record23 and your position.24 MR. McLOUGHLIN: Grant25 65 11/15/11 - RULES - BILL 110756, ETC.1 McLoughlin, Executive Vice-President of2 Fresh Grocer. I work with Pat on all of3 his developments.4 Yeah. We've been working, as5 Carl mentioned earlier, with GCC since6 February of this year.7

And who are8 they?9 MR. McLOUGHLIN: GCC is10 Germantown Community Connection. They11 were the ones that first contacted us12 when the Fresh Grocer was closed and13 offered to work with us in trying to come14 up with a community benefits agreement15 for this development, something that16 would aid the community. They would have17 input on tenants. They could negotiate18 with us on landscaping issues, which19 they've done. I think one of the20 representatives was here.21 And the community benefits22 agreement, just bottom line, is, we've23 committed to about a million dollars in24 employment annually, a hundred thousand25 66 11/15/11 - RULES - BILL 110756, ETC.1 dollars in local contracts for shopping2 center maintenance. So over ten years,3 it's about $11 million in employment4 dollars, 80 percent of which would come5 within a mile and a half of the location,6 and that's in our community benefits7 agreement with GCC.8 We've also, as I said,9 negotiated with them on landscaping10 issues, and those that have been11 negotiated, quite honestly, are an12 incremental expense to Pulaski Partners13 and Pat specifically of north of14 $250,000, which he's agreed to.15

That was the16 third question I had asked. You skipped17 over the first two.18 MR. McLOUGHLIN: You asked19 about a community benefits agreement.20 Yes, we have one with GCC.21

No. I asked22 about an economic opportunity plan and I23 asked about opportunities for24 Philadelphia-based businesses and25 67 11/15/11 - RULES - BILL 110756, ETC.1 Philadelphia workers and the diversity2 that should be associated with that.3 MR. McLOUGHLIN: I'm sorry.4 Maybe I didn't speak it -- say it5 properly. We've committed to about a6 million dollars in employment with the7 development, 80 percent of which --8

You should9 allow Mr. Primavera to answer for you if10 you're going to give me the wrong answer.11

Let me just12 ask one -- please. Just we're trying to13 conduct a hearing. We'll give everybody14 the opportunity to speak. We want the15 record to be clear. Just let's not make16 it a game show.17 Mr. Primavera, going on18 Councilman Goode's line of questioning,19 have you attached the EOP to any of your20 documents that you presented here21 relative to the number of employees, the22 racial composition, the gender23 composition? I mean, you've been through24 this with us before. And I was25 68 11/15/11 - RULES - BILL 110756, ETC.1 commenting to Councilman Goode in our2 last hearing that everybody seems to get3 it now. Do you have it?4

No, and here's5 the reason why. We have gone through the6 other process with the state and the City7 in meeting the requirements. This is a8 zoning overlay amendment. It's not a9 project zoning. So that's why we look at10 this --11

You stated12 about how great this project was, about13 how the Commerce Department endorsed it.14 The Office of Economic Opportunity is15 located within the Commerce Department.16 If they endorsed this project without an17 economic opportunity plan, then I'll have18 a conversation with them about it.19

To be honest --20

But you know21 how I'm going to vote.22

Yes. And I23 understand. This project came through24 the RACP process, RCAP. It came through25 69 11/15/11 - RULES - BILL 110756, ETC.1 the Commerce Department.2

That means3 you don't need my vote.4

So we are5 really here in support of the zoning6 overlay amendment. So it's not really7 project driven. But we hear your8 comments. I think Grant's response is9 that as a developer working in the10 Germantown community, they've been very11 responsive to the community's requests.12

Let me just13 elaborate. I mean, again, Councilman14 Goode has been getting us here since he's15 been here. When you go through all the16 work you went through to give us this, at17 the back or somewhere in the middle or18 somewhere in the front should be that one19 sheet that tells us what you're going to20 do from an employment standpoint, from a21 contracting standpoint, the diversity22 issues. It's really just boilerplate,23 should be anymore, because it comes all24 the time on all these projects.25 70 11/15/11 - RULES - BILL 110756, ETC.1 Now, I think it's fair to say2 any time you're before the Rules3 Committee now or into the future, you4 should have that sheet or two attached to5 whatever -- you've obviously gone through6 a lot of work to put this together. Just7 put the EOP in it and we don't have to go8 through this.9

And that's good10 advice. I'm sorry it wasn't in the11 package, and we'll work on that. I mean,12 this is something that's -- Pat believes13 it's done. So it's my fault for not14 having it here today.15 COUNCILMAN KENNEY:16 Councilmember Reynolds Brown.17

Can I just make one18 statement?19

Please.20

I believe it's21 done, and we will get a copy to you. One22 thing I'd like to say, Wired Beans,23 Robert Wheeler, he is an African American24 man, small businessman. We gave him25 71 11/15/11 - RULES - BILL 110756, ETC.1 considerable consideration to go into the2 location there and so forth. He's a3 great guy. He's been doing a great job4 in Mt. Airy. So we tried to integrate5 local people and big tenants6 throughout --7

I have no8 doubt that you've done it and I think you9 did it with the LaSalle project, but it's10 just not there to see, and that's what11 Councilman Goode has been insisting on.12

And you13 can't talk your way through it.14

No. We15 understand. I regret -- Pat believes he16 has it. I'm sure it exists, and we'll17 make it available to you.18 COUNCILMAN KENNEY:19 Councilwoman Brown, you were in line.20

Yes. Of21 course, Councilman Goode and I had22 similar questions raised as we were23 sitting here, starting with fundamentally24 an EOP plan. You said you did another25 72 11/15/11 - RULES - BILL 110756, ETC.1 project in the Germantown area?2

LaSalle.3

LaSalle University,4 yes.5

Was an EOP6 plan attached to that effort? Was an EOP7 plan a part of that effort and how long8 ago was that effort?9

The effort, I don't10 have the exact dates, but we opened, I11 believe, about two and a half years ago.12 At the time, we had GPUAC overseeing the13 whole project from the construction point14 of view all the way to the leasing. That15 was also part of the RACP process and the16 City process and so forth. So I believe17 it's in that, but I don't remember. It's18 been a few years ago.19

Well, just20 for the record, GPUAC does not equal EOP,21 just so that you understand that going22 forward.23 Did you meet the GPUAC goals?24

Yes, we did.25 73 11/15/11 - RULES - BILL 110756, ETC.1

This is a2 public-private partnership.3

Yes.4 COUNCILWOMAN Brown: What5 percentage of this is public?6

Right now there's a7 $3 million RACP agreement signed by the8 Governor. There's a million dollar9 amendment that is proposed. And the10 other $11 million is private money11 through myself and my bank.12

How long13 ago did you meet with folk at the14 Commerce Department?15

I'm not sure of the16 exact date.17

Was it18 this year? How long has this effort19 been underway?20

I spoke to the21 Commerce Department this year through the22 phone a few times, but I don't know when23 we met with them exactly.24

So that25 74 11/15/11 - RULES - BILL 110756, ETC.1 happened this year in preparation for the2 document produced this morning?3

Which document is4 that?5

The6 document produced by --7

The Mayor's8 letter to the Governor, was that part of9 the discussion that you had regarding10 public-private funds?11

I believe so, yes.12

Okay. And13 I don't believe I heard an answer, so14 right now as we sit here, we have no EOP15 plan, correct, for the record?16

He believes17 there is one. I'm going to obviously18 jump on locating that. I have not seen19 it myself, but, again, this comes through20 a different process than we're typically21 used to. This was not a development22 process per se, but Pat believes that he23 does have it and it is working through24 the Commerce Department. So I believe25 75 11/15/11 - RULES - BILL 110756, ETC.1 it's there, but I regret I don't have it2 today, and we'll get to the bottom of3 that quickly.4

Then I'm5 at a loss. Point of information. EOP6 plans are typically developed and crafted7 by the developer and their representative8 and not Commerce; is that not so?9

I think10 it's in cooperation with the Commerce11 Department, I believe. I mean, they have12 certain standards they need to get to and13 I think they work with them to do that.14 My point is what Councilman Goode is15 saying is that you should never walk into16 one of those two doors without having it17 attached to it. Whatever you're looking18 for us to make a decision on should be in19 what you're presenting to us.20

Right. And I21 accept responsibility for that. You have22 to understand, this project is fully23 constructed and doors are going to open24 December 10th. So it's not like we're25 76 11/15/11 - RULES - BILL 110756, ETC.1 coming in here through a development2 cycle. In effect, we're here through the3 law of unintended consequences on a4 zoning overlay, but still, we'll get it5 to you today.6

But since7 it is almost finished and since you're8 ready to open, you would think you'd come9 in here with your wonderful results and10 success of what you proposed to do and11 how you accomplished it.12

Mr. --13

I agree.14

Point of15 information.16 COUNCILMAN GOODE:17 Mr. Primavera, you're in luck. We're18 actually in session tomorrow, this19 Committee is.20

Oh, that's21 great.22

So we don't23 have to vote this out today.24

That's fine.25 77 11/15/11 - RULES - BILL 110756, ETC.1

How many2 jobs are anticipated?3 MR. McLOUGHLIN: About a4 hundred.5

One6 hundred?7 MR. McLOUGHLIN: About a8 hundred. But a good portion of those9 jobs, honestly, are going to be part10 time.11

Forgive12 me?13 MR. McLOUGHLIN: A good portion14 of those jobs will be part time, being15 the nature of the retail business, but,16 again, the employment dollars are going17 to be about a million dollars annually18 between all the enterprises involved.19

And what20 procedures or avenues do you have in21 place to ensure that residents from the22 immediate area benefit from those job23 opportunities? What --24

The only evidence I25 78 11/15/11 - RULES - BILL 110756, ETC.1 could give you is the five other2 developments I've done, that we've hired3 90 percent of the people within a half a4 mile, mile away from it, through LaSalle,5 Progress Plaza, 56th Street, 40th Street,6 58th Street, 57th Street and 54th Street.7 That's pretty much --8

That's9 helpful.10

Just my experience,11 it's always been that way and we always12 gave the opportunities first to the13 neighborhood.14

Very well.15

But if the plan16 is not easily available, it will be in --17 we'll finish it so you'll have it18 tomorrow. I think Pat says that it may19 exist, he recalls it. He's worked that20 way through the five or six other similar21 projects, and our focus unwittingly or22 unfortunately has been on the GCC23 community group where they've met and24 they put their own agreement with them25 79 11/15/11 - RULES - BILL 110756, ETC.1 regarding jobs and employment and tenant2 mix. That's been kind of real boots on3 the ground. Grant has been spending a4 huge amount of time doing that, and the5 neighbors, quite frankly, have spent a6 huge amount doing that. It's not in the7 format of the opportunity plan that we're8 talking about, but it really shows the9 commitment and the level, not only on the10 other five or six projects but on this11 particular project that we're talking12 about. So we'll get that to you.13

Very well.14 The answer regarding the community15 benefits agreement, is there one? Is16 there one in process or in progress?17 Update us on that.18 MR. McLOUGHLIN: It's fully19 developed. Pat has signed it, and it's20 been submitted to GCC, but it's been21 verbally negotiated, and it represents22 all of our conversations and agreements.23

Okay.24 Now, GCC are representatives of an25 80 11/15/11 - RULES - BILL 110756, ETC.1 organization from the immediate2 community?3 MR. McLOUGHLIN: Yes.4

Okay.5

And let's just6 talk a little bit about that, Grant.7

Could we,8 please.9

The name of10 that group -- and some of the individuals11 who spent hundreds, literally hundreds of12 hours, you know the names. Can you give13 us the names?14 MR. McLOUGHLIN: The Board15 members of GCC, Betty Turner is the16 President.17

Irv Ackelsberg.18 MR. McLOUGHLIN: Irv19 Ackelsberg. And I thought I saw Irv come20 in here today.21

And there's one22 other.23 MR. McLOUGHLIN: Marshall24 Freeman.25 81 11/15/11 - RULES - BILL 110756, ETC.1

Marshall2 Freeman. These are all names that many3 of you know. They spent their whole life4 in government and they've dedicated their5 blood, sweat and tears, taking on a lot6 of criticism, to make this project7 really, really strong for them.8 So, Grant, can you tell us --9 MR. McLOUGHLIN: Another Board10 member is Reverend Nancy Muth from First11 Presbyterian Church right there on12 Chelten Av.13

And what's been14 the process?15

We've been16 having this dual for 20 years.17

I'm sorry.18

This is not19 a courtroom and you're not interrogating20 a witness.21

I --22

I know it's23 your legal training that does that, but24 you have to -- we'll ask the questions.25 82 11/15/11 - RULES - BILL 110756, ETC.1

My frustration2 is, I know the reservoir of activity that3 really goes to answering the4 Councilwoman's question and Grant is a5 little bit taciturn. So in one word, he6 says yes, no, but I know there's a tidal7 wave of information he wants to share.8

Okay.9

You're a10 great representative of your client.11

Thanks.12

My last13 question is, tell us why Trader Joe's14 could not be a part of this enterprise.15

Well, we reached16 out to Trader Joe's. I mean, what it17 comes down to as a developer here, as a18 developer hat here, because I'm usually19 on the Fresh Grocer end of my business,20 which is my main business. So as a21 developer, there's no good reason why I22 wouldn't want them there. They're a23 great tenant. They're a great24 supermarket operator throughout the25 83 11/15/11 - RULES - BILL 110756, ETC.1 country.2 I contacted them, because I3 need credit tenants to do this kind of4 development, quite honestly. I mean, to5 spend $14 million, even though you're6 getting $3 million from the state, I7 still have to personally guarantee $88 million of this money. So the best9 tenants I can get, I would have there.10 So if Trader Joe's, Whole Foods, if they11 want to go there, I'd put them there in a12 heartbeat. And we reached out to them.13 I have e-mails saying that they're not14 developing any more stores in15 Pennsylvania. They don't want to be in16 this particular location.17 So there's no good reason why I18 wouldn't want any of these tenants out19 there and so forth. At the same time,20 I've asked people in the community, who21 do you want, give me specific names.22 They're the only two specific names I23 received. I'll call them all. I have no24 problem with that.25 84 11/15/11 - RULES - BILL 110756, ETC.1 Weavers Way, I contacted them.2 I asked Glen from Weavers Way to come in3 here to put a 5,000 square foot new co-op4 in the location. I even provided that I5 would put all the money up for all his6 equipment, with no guarantee on a lease.7 If he's not successful in two years, then8 he could just walk away, no strings9 attached. He could not pull it off10 because he had restrictions within his11 own funding abilities through banks and12 so forth. So these are the tenants that13 I've been trying to bring into the14 neighborhood.15

That16 background is helpful. Thank you.17 Thank you, Mr. Chairman.18

Let the19 record reflect that Councilman Clarke is20 in attendance.21 In regards to the issue of22 Trader Joe's versus Fresh Grocer versus23 Whole Foods, what's the average income24 level of the most near residents to this25 85 11/15/11 - RULES - BILL 110756, ETC.1 facility? And my question speaks to, do2 the folks in the neighborhood, can they3 afford Trader Joe's and can they4 afford --5 (Audience members yelling6 "yes.")7

I'm asking8 the person who does the development when9 they do their -- let me finish, please.10 And stop the catcalls. He does this for11 a living. He figures out what the12 demographics and economics of the13 particular development are.14 I just want to know if from the15 other side of the coin, because I know I16 don't shop at Whole Foods because it's a17 little -- I'm an Acme person, nothing18 against your stuff, but I mean, that's19 kind of where I go, because I think some20 of those other stores are a little21 expensive for the same quality of food.22 What -- stop. This is like23 grade school.24 What is the economics of the25 86 11/15/11 - RULES - BILL 110756, ETC.1 average person that lives within the half2 mile walking distance, mile walking3 distance? Is that why Trader Joe's4 doesn't want to come there, because they5 don't think they can attract enough -- I6 mean, how does the economic decision work7 on what level of pricing?8 MR. McLOUGHLIN: It really9 comes down to -- in terms of our decision10 about what kind of business to operate11 there, it really comes down to population12 and available food dollars, and that is a13 function of median household income and14 population within the designated trading15 area. In that particular location,16 that's why the Sav-A-Lot worked for us17 but the Fresh Grocer did not.18 As for Trader Joe's, the press19 that they're putting out or the20 information that we get from them is21 they're not willing to open any more22 stores in Pennsylvania because of the23 liquor laws. It really has nothing to do24 with income in terms of development.25 87 11/15/11 - RULES - BILL 110756, ETC.1

But, for2 example, in a development area which I've3 experienced personally in South4 Philadelphia, for example, on Oregon5 Avenue, there's a varied number of stores6 at different levels of pricing, and I7 know that you see a lot of folks walking8 to some of the lower -- not cheaper. I'm9 looking for a word -- more affordable10 opportunities there. And I just throw it11 out. I don't know the answer to the12 question. I just throw it out. Does a13 Whole Foods prohibit or eliminate some of14 the folks who live in that neighborhood15 from shopping in a Whole Foods?16 MR. McLOUGHLIN: Whole Foods is17 high priced. They are.18

Correct.19 MR. McLOUGHLIN: We know that20 when we compete against them.21

If you had22 a Whole Foods that wanted to come in23 there, would there be a segment of the24 community that would be priced out, so to25 88 11/15/11 - RULES - BILL 110756, ETC.1 speak?2

Absolutely.3

I'm trying4 to strike a balance as to what type of5 store -- you could argue about the Dollar6 Tree all you want. I'm talking right now7 about the supermarket, which seems to be8 a lot of the members' concerns about what9 type of level of supermarket there's10 going to be there. But I just threw it11 out there for argument's sake.12

Well, it's a13 good question. Let's put the 500-pound14 elephant on the table here. People said,15 Pat, why can't you do the Fresh Grocer at16 this location. You did it at LaSalle,17 which some people feel is not as strong18 as this neighborhood. Why are you giving19 us, quote, second best? This was what we20 heard continuously. And Pat answered21 that honestly, and let's hear the answer22 today.23

Our original goals,24 when I bought the property, was a Shop25 89 11/15/11 - RULES - BILL 110756, ETC.1 Rite in 2006, and there was an old gas2 station on the property, which3 contaminated it, which I cleaned up.4 There was an old SEPTA location on the5 property, which I bought from SEPTA.6 I'm just trying to give you a7 little quick history.8 To put a brand new 50,0009 square foot Fresh Grocer on there. So10 when I went for financing and so forth to11 get our dollars to build this store, we12 did surveys, and they're called market13 analysis, which I did three separate14 ones. And based on the $20 million it15 would cost me to build and fit out and16 equip a brand new Fresh Grocer, the17 dollars just don't work at $20 million to18 put that only development on the project.19

And why is20 this? Because of the number of people --21 COUNCILMAN KENNEY:22 Mr. Primavera.23

It's simply the24 food dollars available to that specific25 90 11/15/11 - RULES - BILL 110756, ETC.1 location. I mean, there's a Pathmark a2 half a block away also that should be3 noted also.4 COUNCILMAN KENNEY:5 Councilwoman Miller.6

Hi. Good7 morning to everybody. You know, I8 believe the last time there was a9 development in Germantown was right10 before I came to City Council. So that's11 about 16 years ago. 19 When I sent my letter over to20 Zoning, to the last hearing that you had,21 I meant what I said. 1 the support of the community, without2 anybody from the community saying it's a3 good thing or it's a bad thing, I put it4 in because I had my own reasons. I was5 tired of seeing the same types of stores6 coming to the Germantown and Chelten7 business district. 1 and they wanted to eliminate this2 Germantown overlay from the new Zoning3 Code. And we talked about what's good4 about the overlay and what's not so5 great, and one of the things they6 explained to me, that if a Macy's,7 because of the wording, if a Macy's or a8 Target or any of those types of stores9 wanted to come to the Germantown and10 Chelten business, according to how my11 overlay was worded, they would not be12 permitted. So we thought that the best13 way -- and we've had this discussion over14 and over and over again, and the group15 that I go to that gives me my technical16 assistance, my legal advice as a City17 Councilperson are City departments, the18 Planning Commission, our tech staff here,19 who actually wrote the overlay. And we20 moved forward with the overlay. We just21 hassled. 1 they're full time, part time, but it's2 job creation, and I knew that they were3 meeting with the community group. I saw4 the community benefit agreement. 15 I was born and raised in16 Germantown. 18 I can concur with just about everything19 people said here. I remember when I was20 a little girl, I think there were21 probably about four supermarkets that you22 could walk to from the corner of23 Germantown and Chelten. 5 I see this as an opportunity6 that I hope will help spur other7 development. We did Debary Square. 9 And, by the way, you know, you may be10 forgetting, but there is a Pathmark a11 block away from this development. So12 it's not like it's nowhere to shop. It's13 not a huge one. It's not a 50,00014 square, 55,000 square feet, but it is a15 Pathmark, and it certainly serves my16 purpose. I go there. And I used to shop17 at that derelict Shop Rite, how it was18 described, at Pulaski and Chelten, you19 know. We shopped there, too. They had20 food. And I have shopped at Fresh Grocer21 when it was there. And if there's22 problems, you tell the manager. 1 this amendment to the overlay would help2 us resolve the language issues, the3 barriers to other types of stores coming4 here, because I personally think that5 this is a good project. And we're6 talking about one store. I never heard7 of Deal$, and I was -- about a week or8 two ago, I was driving up Old York Road9 right near Washington Lane, and in that10 development right there at Jenkintown,11 they have a Deal$. I said, Oh, there's a12 Deal$. 16 There's petitions for it. There are17 petitions against. 19 By the way, where the other Dollar20 General or Family Dollar, or whatever21 it's called, that's going up at Chelten22 and Musgrave, that is not located in the23 overlay area. 1 support of that project on a lot that's2 been a headache to that community for3 many, many years. Many years as a4 Councilperson I've gotten that lot5 cleaned over and over and over again. So6 the community there is very happy that a7 legitimate, good store is going to come8 there that's going to renovate that whole9 property. 10 So I just wanted to make the11 record clear. This is not a part of pay12 to play. 16 And we're never going to satisfy17 everybody. 18 Sav-A-Lot has been in Germantown for 3019 years. Before it was at Wayne and20 Chelten, it was at Germantown and21 Tulpehocken when Penn Fruit moved. It's22 not a new store, but hopefully it will be23 a bigger store, a nicer store. I really24 don't know. 6 I live in Germantown. I would love to7 have stores close by, the same as you, no8 different. ")15

We're16 talking one store, because Sav-A-Lot was17 already there. If you live there, you18 know it.19 (Audience members talking.)20

Please.21

Thank22 you. Thank you, Mr. Chair.23

Thank you24 very much.25 98 11/15/11 - RULES - BILL 110756, ETC.1 I think we've concluded with2 you guys.3 Any other questions for any of4 these witnesses?5 (No response.)6

Seeing7 none --8

Thank you.9

Thank you for your10 time.11

-- thank12 you for your testimony.13 Now, let me set the ground14 rules for rebuttal, because this is not a15 courtroom proceeding. If you haven't16 spoken already, then you're certainly17 welcome to speak. If you have spoken18 already, I would confine my comments --19 or I would ask you to confine your20 comments to new material and not21 rehashing the old stuff, and I'm going to22 so at some point limit the rebuttal,23 because we know you're against it, you24 made it very clear. You want to25 99 11/15/11 - RULES - BILL 110756, ETC.1 elucidate us on something, that's fine,2 but at some point in time, we have to3 conclude the hearing.4 (Witnesses approached witness5 table.)6

Please7 identify yourself for the record.8

Hello. I am9 Megan Fitzpatrick. I'm a member of the10 much-mentioned Design Review Group of11 Germantown Community Connection, and I12 have met with Pulaski Partners many13 times, along with Chris Mendel that is14 also present, and I am very much against15 there being a dollar store and I am very16 displeased with how this was handled.17 I got my degree in architecture18 through the nearby Philadelphia19 University to this site. So I have20 applied numerous times down at Zoning and21 L&I for building permits. I've been an22 applicant. And I think what's getting23 confused here, certainly when Carl24 Primavera stated that he had Jeanne25 100 11/15/11 - RULES - BILL 110756, ETC.1 Klinger on his side, no, no. She is a2 very transparent employee at Zoning. She3 doesn't take sides. She follows how4 applicants apply. And they had the use5 down as a grocery store. A dollar store,6 it's not a grocery store. It may sell7 grocery products, but it is not -- they8 put the use down. It was misleading.9 And another thing that has not10 been mentioned -- which I have done11 research down at Zoning with Jeanne12 Klinger, because she's transparent, she13 helps both sides, she does her job, and14 she's very diligent. And that site is15 composed of two different addresses. So16 when an applicant such as Pulaski17 Partners goes down there and they have18 their use as a grocery store, no red flag19 went up to say, Well, isn't that funny,20 this site already has a grocery store. A21 site with two grocery stores? The22 Sav-A-Lot being one on the one address23 and then the other address was a dollar24 store.25 101 11/15/11 - RULES - BILL 110756, ETC.1 You know, they did not properly2 apply, and I don't think the City should3 put up with people not doing their job4 and misleading the government and L&I and5 Zoning when they go down there. It6 shouldn't be we -- if you build it, you7 get a variance, because that's an abuse8 of the system.9 There is an overlay that didn't10 allow variety stores. That was known.11 Carl Primavera is like, Oh, okay, you12 know what? If we put down the word13 grocery store, we'll get through.14 And then I was there at the15 previous hearing when he said a Bergdorf16 Goodman's wouldn't be allowed. Well,17 that's not what we are asking for. We're18 just asking for Germantown Avenue not to19 be filled with the same kinds of20 retailers.21 The community of Germantown is22 a very diverse community. All different23 shades of the rainbow live there, all24 different money brackets, but, you know25 102 11/15/11 - RULES - BILL 110756, ETC.1 what? Chelten Avenue is not. It has the2 same thing over and over and over again,3 and we want that community to flourish.4 And that's what we're asking. We're just5 asking you to follow what was already in6 place. Please consider that.7

Thank you.8 Please identify yourself for9 the record.10

Thank you,11 Mr. Chair. 14 I'd like to do two things in my15 testimony. 1 saga. Germantown Community Connection2 had taken the position -- and it's an3 organization that's been seeking to bring4 together the various previously divided5 community groups around Germantown. We6 made the determination that once we7 discovered that this was happening -- and8 you should know that one of the reasons9 why this problem exists is that there10 were no discussions with the community11 before it happened. 13 And so we at GCC organized14 several mass meetings at the First15 Presbyterian Church. There was -- it was16 very well attended, over a hundred people17 at both meetings, and there was general18 opposition both to the character of the19 project, the design of the project and20 the fact, frankly, that nobody had21 bothered to talk to anybody in the22 community before it was -- before ground23 was broken. 5 And there were some negotiating sessions6 with Mr. Burns and his folks, but really7 the last that happened regarding that8 negotiation was a document that they9 floated to us. It's not a community10 benefit agreement. 12 It had some commitments regarding13 employment regarding the EEO concerns14 that were expressed here. Those were15 concerns that we had, and the commitments16 were very, very vague. We had questions17 that weren't answered, and what we had18 thought was that this Dollar Tree dispute19 was really the one leverage that the20 community had to actually enter into a21 community benefit agreement. 4 Really the problem here is just5 timing. I mean, on the merits, I would6 have to say that at least my mind is open7 and most of my neighbors have open minds8 about -- not only about the overlay, even9 about Dollar Tree. 15 And we -- what we ask for --16 and here I get to the suggestion -- is17 just time. Don't remove the one leverage18 we have. 23 We are open. 1 particular Germantown resident is even2 willing to consider a Dollar Tree at that3 site. But don't take away the only power4 that this community has at the moment and5 pass this now. Wait a month. Tell6 Mr. Burns, not yet, sit down with the7 community, try to make a deal, and then8 we'll take it up at the beginning of the9 next session. 10 But there is no community11 benefit agreement. We want there to be a12 community benefit agreement. 16

Thank you17 very much for your testimony.18 Please, whatever you're going19 to offer, please allow it to be new20 information, please, and not something21 that you've heard testified.22

It's rebuttal23 information.24

I25 107 11/15/11 - RULES - BILL 110756, ETC.1 appreciate that. I think this is an2 important issue and normally we don't --3 once you testify, you've testified,4 because we could go around -- this could5 be a round robin.6

I understand.7 Certain facts were put into the record.8

Please9 identify yourself.10

There's one fact11 in the record --12

Please13 identify yourself.14

Yvonne Haskins.15

Thank you.16

Before I start,17 there's one fact that I just learned18 about, that Councilwoman Miller sent a19 letter that we didn't receive as20 petitioners on that zoning appeal and21 that we would really very much appreciate22 receiving a copy of that letter. we filed, as well as any advocacy2 positions that we took. There are a couple things that5 I'm confused by, not only from the6 testimony but by the fact that it appears7 that the Rules Committee is acting like a8 zoning board. I asked you before to look9 at this as a legal issue. I'm sorry to10 repeat that. 20 That's spot zoning. 8 I want to be clear on the9 record about a practice that we have seen10 with developers in applying for zoning11 permits. We have seen developers who12 cannot get a variance and cannot get13 community support come to the City14 Council, especially our City15 Councilperson, to get spot zoning, and I16 think that has to be addressed. 1 requires. The Zoning Code is very clear,2 that you cannot get a building permit3 without a zoning permit that states the4 actual intended use. 8 I have another case where the9 same thing is happening, and when you10 talk to the people in L&I, they say,11 Well, we have to rely upon what's12 presented to us in the permit. 2 At the bottom of the3 application for every zoning application,4 it says you will tell the truth, and an5 attorney applying for that application is6 bound to tell the truth. And so even7 though we as attorneys may represent our8 clients as well as we can, these are9 cases that are getting through and the10 only time the truth is known is when they11 go for the certificate of occupancy, and12 they don't go back to the zoning unit for13 the certificate of occupancy. They go to14 the building unit. The building unit15 looks at the record and says, Oh, there's16 a zoning permit here, so I'll give you17 the certificate of occupancy. And I18 wonder, ladies and gentlemen, how19 frequently this happens. )24

Thank you25 112 11/15/11 - RULES - BILL 110756, ETC.1 for your testimony.2 Please identify yourself with3 any new information you have.4

Jim Foster.5 Two points that I'd like to6 make that were not made in my original7 presentation, one of them brought up by8 the Councilmembers at this hearing, and9 this is the cloudy aspect of this entire10 process.11 You should be aware that before12 anyone is going to qualify for the13 several million dollars in public money14 for the grocery store, the application15 has to be made to the community and16 meetings have to be held. A written17 agreement from the community in their18 agreement as to what the end product is19 has to be submitted before you qualify20 for the money. None of that was ever21 done at the state level, and the state22 employees and the officials up there will23 tell you that. The community never found24 out about this project until two weeks25 113 11/15/11 - RULES - BILL 110756, ETC.1 before the old store closed when a2 shopper asked a clerk to refill the3 shelves and he said, Why should we refill4 the shelves since this store is being5 closed and they're building something new6 here? That was when the community first7 found out about this project, and that8 was almost a year after the money had9 been arranged and committed by those who10 arranged it, and they were elected11 officials and Mr. Burns. I think that12 had that process been followed, the13 community would have been dialed in nine14 or ten months before the closing of the15 store and all of this ground would have16 been covered. And you folks are raising17 those questions right now when you ask18 about these aspects that how come we're19 only learning about them now, how come20 Burns and his people are doing clean-up21 work to fulfill what they should have22 done in the beginning.23 Second point --24

Let me just25 114 11/15/11 - RULES - BILL 110756, ETC.1 make it clear for the record. Your2 argument or complaint in this particular3 regard has nothing to do with City4 Council. It has to do with the state5 authorizing something that they6 authorized. I mean, this may be a forum7 for you to express your disdain for that,8 but we couldn't control that process, nor9 can we reverse it.10

I know, but had it11 been followed, this would have been12 hashed out at the community level long13 before and this wouldn't have had to take14 place.15

I don't16 disagree with you, but we didn't --17

Oh, I'm not saying18 you did.19

If there20 was a foul committed, we didn't commit21 the foul.22

But you folks23 recognized it. Right here this morning24 I've heard the various Councilmembers ask25 115 11/15/11 - RULES - BILL 110756, ETC.1 these questions that should have been2 asked long before the project was3 approved.4 Second point, the so-called5 studies of the community's level to6 justify a mid-class grocery store that7 Mr. Burns and his people are presenting8 are bogus. Let me -- for those of you9 who don't know Germantown, this is on the10 west end of Germantown close to the Alden11 Park Manor and Wissahickon Avenue. The12 adjacent communities to this and within13 the radius that the study supposedly took14 place includes some pretty mid-level and15 upscale communities, such as East Falls,16 Blue Bell Hill and other parts of17 Germantown, where the economic levels are18 very diverse. The point that Mr. Burns'19 people made to us in community meetings20 was, they did this one mile study, a mile21 radius around the store, and claimed the22 neighborhood was too poor to qualify for23 even his own Fresh Grocer. That's why24 we're getting a Sav-A-Lot.25 116 11/15/11 - RULES - BILL 110756, ETC.1 Well, guess what? I got in my2 car and I drove one mile from the parking3 lot of the proposed store. Guess whose4 house is 1.0 miles from that store?5 Chaka Fattah. And guess whose house is6 less than one mile from that store? That7 would be former Mayor and former Governor8 Ed Rendell.9 This community is diverse at10 all levels. The idea that this community11 can only qualify for low-end stores is a12 bogus statement. Mr. Burns and his13 people presented fallacious arguments.14

Please15 identify yourself for the record.16 (Applause.)17

And,18 please, could you identify yourself and19 give new information.20

I will stick to21 the new information. I'm Connie Winters22 and I am a smaller developer in23 Germantown.24 The market study -- Jim covered25 117 11/15/11 - RULES - BILL 110756, ETC.1 the points I was going to make, but I'd2 like to add to it that we were never3 allowed to see the market study.4 So I've been involved. I have5 a planning background and I've been6 involved in those kinds of studies. We7 don't really know that the study he's8 saying he conducted is accurate and we've9 never had a chance to examine it.10 As far as the community11 participation requirements, they are12 still not fulfilled in the RCAP13 application.14 I was part of a group that15 stood on the corner collecting signatures16 on petitions, and you have to be there to17 really understand the diversity of18 Germantown and the uniformity of19 opposition to another low-end grocery20 store. Virtually everyone that stopped21 to sign our petitions from every economic22 level and at least three races said that23 they shopped outside of Germantown24 because the existing grocery stores were25 118 11/15/11 - RULES - BILL 110756, ETC.1 so bad.2 The other thing I'd just like3 to add is, I want to really thank4 Councilwoman Reynolds Brown and5 Councilman Goode for their insightful6 questions and for really paying attention7 to the testimony. I'm so encouraged by8 the fact that you cared enough to look9 into this. And with regard to your10 questions about employment, as a small11 developer over the last ten years, I'm12 sure I have put in probably $2 million in13 private equity in my neighborhood, and14 out of that $2 million, I've created -- I15 just sat here and calculated it -- at16 least 50 jobs that have to do with the17 ten commercial spaces that I have in18 Germantown.19 So when we're talking about how20 we spend public dollars and whether or21 not they're well spent and whether or not22 there's accountability for those public23 dollars, there is no accountability for24 the jobs that Pat Burns says he is25 119 11/15/11 - RULES - BILL 110756, ETC.1 creating. I haven't seen any methodology2 for follow-through. When he gives you a3 number and doesn't even give you at this4 late date of the project very specific5 figures for the jobs he's creating,6 there's no accountability if it's not7 true.8 So with my very meager9 investment, which didn't ask for any10 public money, I've created -- and I could11 verify -- 50 jobs. So are we spending12 our public dollars wisely to build a13 community or are we just bringing another14 developer with low expectations for my15 community into Germantown?16 Thank you.17

Thank you18 for your testimony.19 (Applause.)20

Please21 identify yourself for the record.22

My name is Laura23 Richlin. I am a 20-year resident of24 Germantown. I have lots of roles in my25 120 11/15/11 - RULES - BILL 110756, ETC.1 community, but today I'm speaking as a2 mom who has tried to feed my children.3 When Fresh Grocer -- first of4 all, we're all in agreement that5 development is good for Germantown. I6 love Germantown. I live there by choice.7 We could probably live anywhere we8 wanted, most of us, and we live in9 Germantown because it's gorgeous and10 wonderful.11 When Fresh Grocer first went12 in, a lot of us jumped for joy. We were13 so excited, because we thought it would14 be something like the one in West15 Philadelphia that I had gone to many16 times, and unfortunately it wasn't. And17 I went back every few months just to see18 maybe it's going to get better, maybe19 it's going to get better. It was pretty20 disgusting. It was not serving our21 community. So it's no surprise that it22 ended. Whatever happened, whatever23 Mr. Burns said about it not being24 profitable, it's not a surprise, because25 121 11/15/11 - RULES - BILL 110756, ETC.1 it really didn't serve us. It was2 under-stocked, it was dirty, there were3 problems.4 In one of the previous -- I've5 attended as many of these meetings that6 we've had in our neighborhood as7 possible. One of the previous meetings8 Mr. Burns said that his son or son-in-law9 or somebody is going to be managing this10 new Sav-A-Lot and it was going to be at11 the caliber of the ones in West Philly at12 56th and Chestnut and 52nd and Baltimore,13 some of those properties. So a bunch of14 us went and visited those properties. I15 wouldn't want that in my neighborhood.16 They were disgusting. They were dirty.17 There was dirty floors, dirty shelves,18 wilted produce, not the kind of place you19 want to take your money to go and20 purchase -- use your hard-earned money to21 purchase food for your family.22 I think that's part of what's23 going on here, is that we don't have a24 sense that Mr. Burns is listening to our25 122 11/15/11 - RULES - BILL 110756, ETC.1 needs for good food, clean environment2 for our kids and our families.3 That's all I wanted to say.4 Thank you.5

Thank you6 for your testimony.7 Please identify yourself.8 (Applause.)9

I'm Jeff Smith. I10 testified earlier, and I regret being the11 last person to testify.12

That's13 fine. We have another bill yet, so don't14 worry, you're not the last.15

I had a couple of16 comments. Germantown Community17 Connection has been cited several times18 here. The first time that the community19 met Pat Burns and representatives of the20 Dollar Tree Corporation was at a May21 meeting of the Germantown Community22 Connection where, as was previously23 cited, over a hundred people attended.24 It was at that time that Mr. Burns25 123 11/15/11 - RULES - BILL 110756, ETC.1 announced that he, with his demographic2 survey, could not identify the proper3 demographic to support his Fresh Grocer4 concept, because there was not really the5 income point. Although the testimony has6 already been presented to that in this7 rebuttal, I'd like to point out that Post8 Brothers, who are residential apartment9 developers, testified at that hearing.10 They just put $13 million into the Delmar11 Morris Apartment buildings, which is on12 the other side of the tracks from this13 proposed site, and they're putting $2114 million into the former Park Drive15 Manor/Empirian Apartment complex at the16 top of Rittenhouse at Morris. They17 testified that how can you say there's18 not people who are on a upper scale19 housing when we're right across the20 tracks and around the corner?21 I agree with the previous22 testimony that you have within a mile,23 you have Park Heights, Hathaway House,24 Alden Park Manor, School Lane House,25 124 11/15/11 - RULES - BILL 110756, ETC.1 which is like about 5,000 residential2 units, and they are not3 government-supported housing. They're4 quality apartment buildings, charging5 decent rent.6 Regarding the development7 itself, we are arguing -- this is an8 issue simply to let it go back to Zoning9 and to defeat this overlay. However,10 there's been a remark about employment.11 When the store closed, when the Fresh12 Grocer store closed, there was a net loss13 of employment in the neighborhood. So14 we're not really creating jobs here.15 We're recreating jobs, putting jobs back16 into the site.17 What we're doing -- I think the18 intent of the RCAP and the intent of19 commercial development in Philadelphia is20 to encourage local businesses, not to21 encourage franchise stores. Take the22 site. That area needs a bank. It's a23 good idea that Citibank is coming there.24 The Wired Beans Cafe that Mr. Burns25 125 11/15/11 - RULES - BILL 110756, ETC.1 cited, I visited the Wired Beans Cafe. I2 know Robert Wheeler. He is a wonderful3 guy. He's got a small store, maybe 7004 square feet, on Germantown Avenue. If he5 can manage the size of a cafe, it would6 be terrific.7 Do we need another franchise8 pizza store in that area? No. There's9 two family -- two locally owned stores10 within a block.11 My point is that the focus here12 was on a developer who was finding things13 that worked.14

Let me15 just, so it's clear, we're not here16 debating whether or not we need a17 franchise pizza store or not. What we're18 here debating is whether or not it's19 appropriate to amend the overlay to allow20 for the dollar store, so --21

It is not --22

But the23 issue is, we as a Council cannot get into24 every economic decision that the25 126 11/15/11 - RULES - BILL 110756, ETC.1 developer makes to invest their money and2 other money into projects because it's a3 pizza shop.4

I will go back5 to --6

I'm just7 saying, we're talking about -- again,8 this is not the overall development9 approval. This is the --10

I understand. And11 I'll go back to Ms. Haskins' first12 testimony, that this Committee should let13 L&I do its job.14 Ms. Klinger -- I attended that15 hearing. Ms. Klinger admitted that she16 actually didn't know the standards for17 what they were approving. This is new18 information that Yvonne did not say. She19 could not -- she could not identify the20 current marketing codes for grocery21 stores and variety stores and department22 stores. She agreed that a variety store23 by its definition would not be permitted24 at that site. She agreed that a25 127 11/15/11 - RULES - BILL 110756, ETC.1 department store by its definition would2 be and a grocery store would be.3

There's --4

So we're going back5 to Zoning -- let it go back to L&I6 rather.7

There's a8 debate whether or not a large department9 store would be allowed there.10

No, there is not.11

No, there's no12 debate.13

In terms of14 Ms. Klinger's testimony --15

It's in the16 overlay boundaries.17

No. There is no18 debate.19

Ms. Klinger20 admitted during the hearing, which is why21 it's going back to L&I and she is22 reexamining it, she admitted that she23 could not locate the book that they used24 or should use to identify appropriate25 128 11/15/11 - RULES - BILL 110756, ETC.1 uses of national standard. She found the2 book on a shelf while she was doing3 preparation for the hearing, the appeal4 hearing. That's her testimony. We're5 back at Licenses and Inspections. Let it6 stay there. Let the action -- do not7 approve this overlay.8

Thank you.9 Thank you for your testimony.10 Councilman Goode, do you have a11 question?12

Yes.13 COUNCILMAN KENNEY:14 Councilwoman Brown.15

Thank you16 for the update on the EOP. What's17 unclear is the community benefits18 agreement. Would the appropriate parties19 come back to the table.20

What I was21 going to suggest, at the request of the22 sponsor, is to recess this bill to our23 scheduled hearing for tomorrow at 11:00,24 taking into consideration that we may25 129 11/15/11 - RULES - BILL 110756, ETC.1 have a complicated Law and Government2 Committee meeting at 10:00, so we might3 not start exactly at 11:00, if you know4 what I mean.5

Yes.6

So if we7 recess the bill tomorrow to 11:00 with8 our stated Rules Committee hearing and9 attempt to find the EOP, attach it to10 this document and have everyone sign off11 on it, we'll decide what to do with the12 bill at that time. But the purpose of13 the delay for tomorrow is to locate and14 understand the EOP. And then if there's15 anything you need to add --16

Yeah, if you don't17 mind.18

Just19 identify yourself.20

Patrick Burns, the21 developer for Pulaski Partners.22 It is true we closed the store23 back in March. GCC by Betty Turner24 reached out for me. We had a hearing --25 130 11/15/11 - RULES - BILL 110756, ETC.1 I mean, a meeting with the community for2 GCC. At that meeting I spoke to Betty3 Turner, Malik Boyd, Marshall, Irv4 Ackelsberg. We all agreed to get5 together as one voice to try to work this6 out. At that point, there's different7 fractions within the community that8 really weren't working along with GCC,9 but I can't as a developer work with10 seven different organizations. We chose11 GCC. They reached out to us and so12 forth.13 We sat down in very extensive14 meetings and so forth. Irv Ackelsberg15 said to me, Pat, why don't you try to get16 some local guys, Weavers Way, Wired17 Beans, because I told him I needed a18 Dollar Tree. I needed a signed lease.19 I'm sorry I didn't come to you before,20 but I needed to get the financing. If I21 don't have that, this project cannot22 work.23 So I did everything I can24 within the community trying to reach out25 131 11/15/11 - RULES - BILL 110756, ETC.1 to Weavers Way. I went after Wired2 Beans, which he was trying to go in the3 community from one of the other -- the4 people that testified today, in one of5 their places. He didn't want to go. He6 went in our new development.7 At the same time, Mr. Foster8 actually said that it was a low-income9 area, why would you give us low-income10 stores. Well, I think that's pretty11 offensive to Wired Beans saying that's a12 low-end store and a Citibank in that13 store.14 As far as RACP process, I know15 it's state and I know I'm speaking out of16 my boundaries, but apparently people17 don't want to hear the facts in the room18 behind me. RACP is extremely delicate,19 sensitive, well-managed process. I've20 done everything to the letter of the law21 up and to this date. It's an independent22 council that looks into it. All --23 COUNCILMAN KENNEY:24 Mr. Primavera --25 132 11/15/11 - RULES - BILL 110756, ETC.1

I know I'm2 rambling.3

No, no.4 From my perspective, I don't care about5 RACP. That's a state issue. It's not my6 issue. We're talking about the zoning7 overlay at this point.8

And as far as the9 market survey -- I want to bring up one10 more thing. The market survey is a11 confidential piece. We did not want to12 let it out to the community. So we did,13 we had our market analyst go to14 NewsWorks, which is the community's15 voice, and explain everything how we came16 up with the market analysis. It has17 nothing to do with being poor. It has to18 do with food dollars and the amount19 people in the area.20

And your21 ability to finance or not.22

And the ability to23 finance or not.24

The one25 133 11/15/11 - RULES - BILL 110756, ETC.1 question was --2

GCC -- there is3 a --4

You get5 like a C minus in self-control.6

The GCC, I believe7 Councilwoman Donna Reed Miller has a copy8 of it. I think I sent it to her and so9 forth.10

Of what?11

The GCC --12 community benefits agreement I was13 sending to GCC.14

Do you have15 a copy of it yourself?16

I will send it to17 you by tomorrow morning.18

Bring it19 tomorrow.20

Yes, I will. This21 is what we negotiated. I didn't get it22 signed back from them yet. They've had23 it.24

We will see25 134 11/15/11 - RULES - BILL 110756, ETC.1 you tomorrow at 11 o'clock or later.2 The next bill for consideration3 is Bill No. 110672, an ordinance4 repealing an ordinance (Bill No. 110185),5 entitled "An ordinance amending the6 Philadelphia Zoning Maps by changing the7 zoning designations of certain areas of8 land located within an area bounded by9 Richmond Street, Cumberland Street, Beach10 Street, and Schirra Drive; and amending11 Section 14-506 of The Philadelphia Code,12 entitled 'L-4 Limited Industrial13 District,' all under certain terms and14 conditions."15 (Witness approached witness16 table.)17 COUNCILMAN KENNEY:18 Mr. Gregorski.19

Good morning,20 members of the Rules Committee. I'm21 Martin Gregorski, Senior Planner in the22 Development Division of the City Planning23 Commission. I'm here to testify on Bill24 No. 110672, which was introduced into25 135 11/15/11 - RULES - BILL 110756, ETC.1 Council on October 6th of this year.2 Bill No. 110672 will amend the3 Philadelphia Zoning Maps by rezoning the4 area bounded by Richmond Street,5 Cumberland, Beach Street, Schirra Drive6 from the existing zoning designation of7 "L-4" Limited Industrial to a proposed8 zoning designation of "G-2" General9 Industrial. Bill No. 110672 repeals the10 action of Bill No. 110185.11 The City Planning Commission12 has not considered Bill 110672.13 This concludes my testimony.14 I'll be happy to answer any questions you15 may have.16

Thank you17 very much.18 Any questions for this witness?19 (No response.)20

Thank you21 very much.22 Mr. Sklaroff, please.23 (Witnesses approached witness24 table.)25 136 11/15/11 - RULES - BILL 110756, ETC.1

Please2 identify yourself for the record and3 proceed.4

Good afternoon.5 My name is Neil Sklaroff.6

Hold it,7 please.8 Could we please have a little9 quiet. Thank you.10 Please identify yourself for11 the record.12

Thank you. Good13 morning. My name is Neil Sklaroff. I'm14 an attorney and I represent Columbus15 Boulevard Associates. I'll keep my16 comments short. One o'clock we'll end?17 Just kidding.18 It didn't go over, did it?19 Columbus Boulevard Associates20 is the current owner of 2055 Richmond21 Street, Philadelphia, Pennsylvania. This22 property is one of only four properties23 that is the subject of Bill No. 11067224 introduced to repeal Bill No. 110185,25 137 11/15/11 - RULES - BILL 110756, ETC.1 which was enacted by City Council on June2 16th, 2011 and signed by Mayor Michael3 Nutter on July 5th, 2011. Columbus4 Boulevard strongly opposes the current5 effort to repeal the earlier bill.6 As you may recall, Bill No.7 110185 changed the zoning classification8 of the block bordered by Richmond Street,9 Cumberland Street, Beach Street and10 Schirra Drive from "G-2" General11 Industrial to "L-4" Limited Industrial.12 Columbus and its related companies own13 several properties located in the Beach14 Street and Richmond Street area. This15 particular bill not only introduced "L-4"16 Limited Industrial uses that include17 retail and wholesale operations, but also18 proposed to allow dance halls and19 nightclubs. At the time of the20 enactment, Columbus, represented by21 counsel and a planner, opposed the22 remapping of the area because of the23 adverse effects of a nightclub or dance24 hall would have on the neighboring25 138 11/15/11 - RULES - BILL 110756, ETC.1 properties and the Columbus and related2 properties. We were not successful. We3 did not persuade City Council, and the4 matter was enacted.5 Since that time, Columbus6 Boulevard purchased 2055 Richmond Street,7 that property having been subject to a8 prior option and that option having9 expired. It was offered to Columbus.10 Columbus purchased the property.11 In making a decision to12 purchase the property, Columbus engaged13 the advice of a noted real estate14 appraiser. His opinion was that the15 value of the property was significantly16 increased and enhanced by the "L-4"17 zoning designation. The decision to buy18 the property was substantially based on19 that opinion of added value. What is20 proposed today would destroy that added21 value and perhaps make clear that22 Philadelphia is really isn't open to23 business.24 I'd like to point out that25 139 11/15/11 - RULES - BILL 110756, ETC.1 changing -- and I don't have to tell you,2 the Rules Committee or members of City3 Council, that there is just no planning4 principle which can justify the zoning5 and unzoning of a few parcels within five6 months. I understand no principle of7 planning that could justify that.8 Whether that would be9 ultimately called spot zoning or special10 zoning, passing this bill just can't be11 reconciled under the rules that you all12 wish to follow. Whatever principles of13 planning persuaded City Council to enact14 the bill in June have not now evaporated.15 We ask the Rules Committee to reject this16 bill and decline to send it on to City17 Council.18 I'd like to go off script. I19 have -- most of those comments --20

I just have21 to -- I feel compelled to ask this22 question. Are you telling me you were23 against this bill before you were for it,24 so to speak?25 140 11/15/11 - RULES - BILL 110756, ETC.1

We were against2 this bill because it would hurt our3 properties.4

But the5 June bill, you were against the June6 bill?7

We were against8 the June bill and we are against your9 appeal.10

But you11 don't want it repealed?12

We do not want13 it repealed.14

So you were15 against it before you were for it?16

It's not exactly17 the same circumstances.18

What are19 the circumstances that changed?20

Because we21 purchased property based on the enhanced22 value that was created by "L-4" uses.23 Not just the nightclub and the dance hall24 uses. "L-4" is a wonderful zoning25 141 11/15/11 - RULES - BILL 110756, ETC.1 district that allows commercial and2 wholesale uses, which are not commonly3 found elsewhere in the City. You'll find4 that "G-2" does not allow wholesale sales5 even though it will maybe under the new6 code.7 So there's a lot of value that8 was brought to this. Take away the9 nightclub or the dance hall uses. That's10 not the basis upon which we paid added11 value for this, in the millions of12 dollars. And we're telling you that this13 will hurt us. It will discourage14 development in the City. It will mean15 that developers cannot rely on the16 actions of City Council but for a few17 months.18 Let me also point out that your19 action today will make this a pending20 ordinance, which means that nobody on21 this block will be able to go and make an22 application being able to take advantage23 of the "L-4."24

Pending25 142 11/15/11 - RULES - BILL 110756, ETC.1 Ordinance Doctrine was something that was2 created by Bennett Levin back in the3 Rendell Administration. I don't believe4 that there is a code section of Pending5 Ordinance Doctrine. It was something6 that he did, which I thought at the time7 made a lot of sense to expedite things8 moving forward since there was unanimity9 and support on the committee and in the10 Council prior to waiting the two weeks or11 whatever. But there is no principle12 pending ordinance that --13

If I may,14 Councilman --15

Not in L&I.16 I've asked them actually -- as a matter17 of fact, when we had the fight about the18 fruit stand and the crab stand, I asked19 them to impose the Pending Ordinance20 Doctrine, and they kept those people21 closed for three and a half months22 because it was the summertime. So I23 don't think that they abide by it24 anymore.25 143 11/15/11 - RULES - BILL 110756, ETC.1

If I may, the2 Pending Ordinance Doctrine was very much3 in play in the hundred-foot height limit4 that was proposed and finally enacted by5 Councilman Clarke some years ago with6 regard to the Parkway properties.7

That was a8 number -- not in this Administration,9 though, because I tried to get a fruit10 stand and a crab guy open so they didn't11 go out of business for three and a half12 months, and L&I wouldn't adhere to the13 Pending Ordinance Doctrine.14

If I may --15

They went16 on unemployment.17

-- I believe the18 Law Department has an opinion on the19 Pending Ordinance Doctrine, and L&I is20 obliged by City Charter to follow the21 opinions of the Law Department. Also, in22 my experience and in speaking with the23 folks who are the zoning examiners and24 the supervisor of zoning examiners that25 144 11/15/11 - RULES - BILL 110756, ETC.1 when they're made aware of an ordinance2 that has come out of the Rules Committee,3 they may use that to deny an application4 and --5

Deny or to6 approve?7

No. They can't8 use it to approve. They can only use it9 to deny an application. It is a10 court-created doctrine throughout the11 rest of the Commonwealth. And if that12 doctrine was imposed in Philadelphia any13 time a bill would be introduced, it would14 then become pending. The Law15 Department's review --16 COUNCILMAN DiCICCO: Point of17 order, Mr. Chairman. I can maybe wrap18 this up.19 I have every intention before I20 leave here on December 15th of either --21 I'm going to ask this Committee vote this22 bill out today. I'm going to go on the23 record as saying I will not call the bill24 up for second and final reading until25 145 11/15/11 - RULES - BILL 110756, ETC.1 December 15th. I will take action on2 this one way or the other.3 As you know, your client, who4 now has purchased a property, was5 vehemently against the original zoning6 classification being changed from "G-2"7 to "L-4" because at the time, he8 indicated to me through numerous9 emissaries that visited my office that10 this was going to destroy his11 development, of which we still don't know12 what that development is. He's purchased13 it. The "L-4" has added value to all the14 properties along that strip, which are15 four or five of them. I understand that.16 The intent was to provide a developer an17 opportunity to create an entertainment18 venue. That deal has not yet been19 finalized, and it may not be. The20 intention of -- my intentions were to go21 back to "G-2" so I didn't leave it22 open-ended so that anyone could come in,23 use the "L-4" as an opportunity to create24 an entertainment venue that did not meet25 146 11/15/11 - RULES - BILL 110756, ETC.1 the standards that I had in place and2 agreed to with the current developer who3 is looking to develop an entertainment4 venue.5 So I'm kind of caught in the6 middle. I didn't want to harm the7 community who was against the8 reclassification, as was your client, but9 I'm going to have two bills out there.10 One of them, if not both of them, will11 either be voted out or one will be voted12 out and one will not be between now and13 the last day of the City Council session.14 So the pending legislation thing won't15 take effect. It won't be out there for16 more than 29 days. And I backed that out17 from the day I'm out of here on December18 30th and I get the 29 days.19

Let me point out20 that I appreciate Councilman DiCicco.21 His door has been open. I have had a22 meeting with Councilman DiCicco and have23 discussed this matter with him, and we24 have no dispute over the actions of the25 147 11/15/11 - RULES - BILL 110756, ETC.1 Councilman. We do dispute the substance2 of this bill. If it is -- we certainly3 would prefer that the bill not get voted4 out. If the bill were to be voted out,5 we would ask that it would be voted out6 with an amendment that the Committee --7 it's the Committee's understanding that a8 Pending Ordinance Doctrine, as understood9 in Philadelphia, will not apply to this10 ordinance.11 The key of the Pending12 Ordinance Doctrine is the direction of13 the legislative body. So if the14 legislative body makes clear that it does15 not want that to be applied, in my view,16 the zoning examiner should follow that17 direction.18 COUNCILMAN DiCICCO: We will19 have time to do that amendment or the20 other amendment that you and I spoke to21 sidebar earlier that may want to remove22 some of the dance hall as a matter of23 right under this legislation or the "L-4"24 classification. So we will talk about25 148 11/15/11 - RULES - BILL 110756, ETC.1 that. I'm open to doing some amendments.2 I just want to get this bill out there,3 because I do only have a very short4 window of opportunity to make those5 decisions. I'll certainly entertain that6 conversation with you.7

We would8 appreciate having some input on the9 language of that. We appreciate the10 Councilpersons giving us the time this11 afternoon. We know you've been through a12 long morning.13 When this comes -- should this14 come before the Council, we want to15 reiterate that we will be there. Should16 there not be a change, again, we have an17 obligation to protect our properties and18 our investors who have based this on the19 "L-4" uses and not necessarily the "L-4"20 uses that we're willing to see go by.21 Thank you.22 COUNCILMAN DiCICCO: They would23 have made my life a lot easier had they24 supported the original legislation, but25 149 11/15/11 - RULES - BILL 110756, ETC.1 that's neither here nor there.2

My life3 easier too, because I had to chair the4 thing.5

We could go back6 and forth and I think it would be7 unnecessary and I have too much respect8 for the Councilman.9

Thank you10 very much for your testimony.11 There are no other witnesses on12 this bill.13 We will now start our public14 meeting, and the Chair recognizes15 Councilmember Greenlee for a motion to16 approve the amendment to Bill No. 110756.17 The amendment is technical in nature. It18 changes the title of "expediter" to19 "agent." Must make it sound better.20

Sounds21 good. Thank you, Mr. Chairman. I move22 the adoption of the amendment to Bill No.23 110756.24 (Duly seconded.)25 150 11/15/11 - RULES - BILL 110756, ETC.1

Moved and2 seconded.3 All in favor?4 (Aye.)5

There are6 none opposed. Bill No. 110756 will be7 amended accordingly.8 The Chair recognizes9 Councilmember Greenlee on the amended10 bill.11

Thank12 you, Mr. Chairman. I move that Bill No.13 110756, as amended, be reported out of14 this Committee with a favorable15 recommendation and that the rules of16 Council be suspended to allow for first17 reading at our next session of Council.18 (Duly seconded.)19

Moved and20 seconded.21 All in favor?22 (Aye.)23

There are24 none opposed. Bill No. 110756, as25 151 11/15/11 - RULES - BILL 110756, ETC.1 amended, will report out of this2 Committee favorably and a request made3 for rules suspension to allow first4 reading at our next Council session.5 Bill No. 110662 will be6 recessed until tomorrow at 11 o'clock at7 our scheduled Rules Committee hearing.8 The Chair recognizes9 Councilmember DiCicco on a motion for10 Bill No. 110672.11 COUNCILMAN DiCICCO: Thank you,12 Mr. Chairman. I move that Bill No.13 110672 be reported out of this Committee14 with a favorable recommendation.15 (Duly seconded.)16

There's no17 request for a suspension. It's been18 moved and seconded.19 All in favor?20 (Aye.)21

There are22 none opposed. Bill No. 110672 will23 report out of this Committee with a24 favorable recommendation.25 152 1 Thank you for your attendance.2 (Committee on Rules concluded3 at 12:30 p.m.)4 - - -5 6 7 8 9 10 11 12 13 14 153 CERTIFICATE2 I HEREBY CERTIFY that the3 proceedings, evidence and objections are4 contained fully and accurately in the5 stenographic notes taken by me upon the6 foregoing matter on November 15, 2011, and7 that this is a true and correct transcript of8 same.9 --------------------14 MICHELE L. MURPHY15 RPR-Notary Public16 (The foregoing certification of this20 transcript does not apply to any reproduction21 of the same by any means, unless under the22 direct control and/or supervision of the23 certifying reporter.)24