I'll share it to you. You are not. Well, thank you. And I guess that's it. Thank you, Madam Chair.
Thank you. Thank you. The Chair recognizes Councilman Nutter.
Just one question. Commissioner, there's been a lot of concern over the past, I guess, few weeks. Councilman Kenney through his committee had a hearing. Councilwoman Reynolds Brown asked a question earlier. 307 Whole - Operating Budget 4/28/04 With regard to the flashing lights for the schools, I think this program started back in... I think I worked on this in either '97 or '98, with a fair amount of kind of pushing and shoving between us and the City Administration at the time. But we got through all that. And my recollection was that when the program started, we allocated for the first few years $500,000 in funding each year for the schools and the flashing lights. The agreement was the City would pay for them and install them, the School District would maintain them and take care of them. So, I need to ask a couple questions just to understand why we apparently are where we are, which I'm not completely sure where we are. What's the current backlog? How many schools are on the list that have applied and how long have they been on the list? 308 Whole - Operating Budget 4/28/04
Right. And in the past when we funded this program better, how many lights were being installed or how many schools were being taken care of per year?
The number varies. Our costs... Our costs vary significantly, based upon what's required. If a mast arm is required versus having, you know, a single pole put in. We've done about 150 so far.
What was it, two or three per Council District; is that 309 Whole - Operating Budget 4/28/04 true?
20 a year. 6 Okay. 7 And when was the last time the 8 funding was at the $500,000 level? 9
$500,000... I think it 10 was capital budget year before last. 11
And I'm just reminded 16 that was the first year that it was funded 17 in the capital budget. 18
So, you're 310 Whole - Operating Budget 4/28/04 saying two fiscal years ago was the last time it was at $500,000?
Okay. And that was also the time when it was moved to the capital budget?
I think it's an appropriate capital expense. I believe that before it was in the --
Yeah. I'm not sure the exact reason why it was moved in, to answer very honestly.
Okay. And what was the funding level last year? Was it three?
I'm sorry. The funding 311 Whole - Operating Budget 4/28/04 level before that was $300,000, I believe.
Okay. And why was the funding cut, if there were still a significant number of schools on the list?
There -- There are 40 schools still on the list, and funding is not as complete as we'd like it to be. But additionally, we're looking at opportunities to use -- utilize federal funds. Something that we started doing this year was to utilize federal funds support our traffic flasher program. We had not done that in the past.
Right. No. I understand that. Has the decrease in funds impacted the number of installations per year? Did you do last year also? 19
And how many do you expect to do this fiscal year, the current fiscal year?
So we have 40 on 312 Whole - Operating Budget 4/28/04 the list. And you expect to do 20?
Well, the expectation 10 is that some of the schools who have not 11 applied will begin applying. There are a 12 significant number that have not applied 13 for a flasher. 14
No, we do not. We have 17 advertising communicated with what the 18 schools -- through the School District, as 19 well as through ourselves, to encourage 20 them to review their needs and determine if they'd like to have a flasher.
And I know that you -- the department has also sent applications.
My assumption is that some school principals do not believe they have an issue or a concern where they need a flasher.
Okay. When the question was asked earlier, then, about the million dollars, so, do you know when you're going to get it, and are you going to get the million dollars all at one time?
Okay. I was curious, though, at your response earlier as to a plan for utilization of the money. I mean, we have a fair amount of experience. We've spent, I think, well in excess of a million dollars on the program, so why wouldn't we just keep basically doing what we've been doing?
Well, I think earlier I was trying to explain that, for example, if the money comes in all at one time, and the 314 Whole - Operating Budget 4/28/04 School District is able to get all that school to apply immediately, that we could then go for a contract that gets everything done a lot faster.
If it comes in over time then we'd have to develop a plan that would be over time as well.
But at a minimum it's at least going to take care of the backlog.
All right. Okay. And then it was further cut this year to $200,000?
I mean, if we know we have so many more schools out there or we're anticipating so many more applications, this budget was certainly put together before the offer was made by C.E.O. Vallas to enhance or for the first 315 Whole - Operating Budget 4/28/04 time for the District to put money up. I guess what I don't understand is for such an important public safety item, why does the number keep going down?
I think, in fact, the $200,000 was noted in the capital budget process last year, if not the year before. But additionally, we are working with our federal funds, to support doing some of this work that before we were just using City monies for, and now using federal monies to supplement that.
And so you're saying notwithstanding the budget may show $200,000 of City dollars, that's not necessarily how much is actually being spent?
Not actually how much we expect to spend, that's correct, because we're going to leverage on our federal projects.
Okay. All right. Do we have any kind of problem with the program, in terms of materials or 316 Whole - Operating Budget 4/28/04 getting equipment or anything like that? We had a --
I seem to remember three or four years ago we had a little situation.
Okay. The last question is with regard to the federal funds, normally in the capital budget, if we're anticipating utilizing federal funds or leveraging federal funds, it's usually shown on a separate line for the same item.
Reconstruction and resurfacing. 317 Whole - Operating Budget 4/28/04
Which includes -- Which can include larger programs and streetscape and the like.
No. It's under... We'll give you the page number in one moment. It's item Number 77 on .
So you're saying some of the $4.9 million in federal funds is going to be used for school flashing lights?
I don't know that only because the streets have to be identified through this program. These will be for specific federal streets.
Once you do that, you'll be able to give us a report on that?
Councilman 319 Whole - Operating Budget 4/28/04 Nutter, it was just called to my attention that there may be an issue regarding Act 46 on this.
Yeah, old Act 46 gets in the way every time, every time.
I was feeling neglected. I thought like you guys didn't like me any more. 320 Whole - Operating Budget 4/28/04
Now I feel better. I'll check that with the Law Department, but I don't think -- I think we were not giving the money to the School District, and we were doing the flashing lights ourself, that reducing it wouldn't be -- reducing that line item wouldn't be a problem with Act 46, but I'll check.
I think we better. I think we better. Are there any other questions from members of the Committee? (No response.)
Commissioner, I want to thank you and your wonderful staff for everything you do throughout the year. And I don't know whether anybody else has any questions. I know I don't. But I know you've been very patient. Thank you very much.
Thank you, Madam 321 Whole - Operating Budget 4/28/04 President.
Joe Sernick, Joe Doyle. I see Dr. No. They're all here.
Water Department is next. Good afternoon. Commissioner, I'd like to offer you my congratulations and best wishes. Good luck.
Good luck. And also to you, Deputy Commissioner. We do have your testimony. It will be transcribed in full. So if you would simply abbreviate your testimony, we'd really appreciate it.
Absolutely. I know the hour is late. Good afternoon, President Verna, members of City Council. My name is Bernard Brunwasser. I'm the acting Water Commissioner. To my left is Debra McCardy, who is now the Deputy Commissioner for 322 Whole - Operating Budget 4/28/04 Operations. And to my right is Joseph Claire, who is the General Manager of the Finance Division. It's a great privilege for my to address this body in this position. I testified a number of occasions before.
Monday was my first day, and I was out at 9th and Girard and literally got my feet wet.
Anyway, before I go on, and it will be brief, I just wanted to say a few words about the outgoing Water Commissioner, Mark Kissenshand (phonetic), and the outgoing Deputy Water Commissioner, Richard Roy. I worked very closely with these gentlemen for the past dozen years or so, as they led the department, and they did 323 Whole - Operating Budget 4/28/04 such a magnificent job, and there are no 3 finer civil servants, I think, in the City. And I'm very happy to hear that you'll be honoring them tomorrow morning. I will certainly be there for that.
Well, I will tell you that I think we all have the greatest respect for both men. They're always very, very professional. And I don't think there was ever a time that I called either one of them that they were not responsive, and they really bent over backwards to try to be of assistance. And that's what we're supposed to do. I hate to see them both leave. I really do. But I guess we all have to do what we have to do. But I think that without any question the Water Commissioner was, in my view, one of the best Commissioners we ever had. And I just hated to see him leave. so I totally agree with everything you said thus far.
I agree. We have 324 Whole - Operating Budget 4/28/04 big shoes to file; and, you know, we will do our best.
We still have a lot of talent in this organization. We're recognized throughout the world, in addition to this country, as a world class water utility. We've just had visitors from Russia, from China, from Japan, dozens of officials from each country, come into our offices and find out how we do things here in Philadelphia. The water quality that we produce is excellent. All of our plants, our three water plants, our three waste water plants, and our bio-solids recycling facilities are winning awards every year. And we get a lot of accolades within the industry. Rates are going up, as you know. And we have filed those rates with the Department of Records. But the rate increases that we're asking for are the largest ones we've had 325 Whole - Operating Budget 4/28/04 to ask for in about a dozen years. In the 1990s we were able to absorb a great deal of the increased cost of salaries and benefits and other inflation because we had saved so much money in operations, and by refinancing, that we absorbed a lot of these increases. And we had no increases at all for six consecutive years. And then we had three small residential increases the last three years. So we've done a terrific job. Our rates are the lowest in the region. They're actually lower now in relation to our surrounding areas than they were before because we've been able to keep a lid on rates by all of the savings that we have accomplished. Problem is we still have additional costs that are coming down the road. Some are regulatory in nature. We have to continue to replace those pipes, like the one on Girard Avenue. We're getting hit with a lot of debt service in this next bond issue. We 326 Whole - Operating Budget 4/28/04 have... We have the lateral program which we are in favor of, and we have put that in the operating budget. We have a lot of regulatory costs that we have to meet. And we've lost our subsidy, our annual subsidy, or actually a grant program from the Commonwealth of Pennsylvania which was there for 50 years, and of course, was finally abolished last year. And that cost us $8 million a year. So, for a number of reasons we do have to come in and ask for those rates. And we're phasing them in over the four-year period. They will average 9.3 percent annually to the residential customer. They will now -- They will now be able to have their water lines and sewer lateral in the street repaired. They won't be faced with a $1,500 to $3,000 surprise bill. And it's an insurance policy. And it will cost them when it's fully implemented about... we have estimated around $3.50 a month. 327 Whole - Operating Budget 4/28/04 So that's the gist of what I want to say. And again, it's a privilege to be here. And I'm ready to take any questions that you have.
Thank you. The Chair recognizes Councilwoman Brown.
Thank you, Madam President. Good afternoon, gentlemen. Good afternoon, representative of the women in City government. You say you are acting Commissioner?
Oh, my. Okay. Is this called a setup? Did they set you up for this? (Laughter.)
We expect you to be the miracle worker through this 328 Whole - Operating Budget 4/28/04 segment of the hearings. Before I get to operations, I have a couple of questions around staffing. Composition of the upper level staff; what is it?
Mm-hmm. First answer me this question. Are upper level staff -- And upper levels is relative, so you'll have to tell me what that is in the Water Department. Are they Civil Service, appointed? Does staff exempt equal Civil Service? Give me a hand on that.
Okay. Water Department like, I guess, many of the other departments under the Managing Director basically has, I think, four exempt positions allowed, a commissioner, two deputies, and one other position which can vary.
Now, is exempt synonymous with can be appointed by you?
That's right, can be appointed. 329 Whole - Operating Budget 4/28/04
Okay. I want to follow this. So it's a commissioner, two deputies, and what did you say?
And another -- another position which can be used as a confidential secretary. In our case, the head of our Help Loan Program is officially the fourth exempt position.
Okay. How many of those four exempt positions are women?
No, not in the 330 Whole - Operating Budget 4/28/04 exempt position.
And the reason for that would be? How long has there been a vacancy?
Where I'm headed is, in government there are men and women of color. I mean, if it's MBEC or Procurement or just equal opportunity across the board, in terms of professional positions, where there's leadership and authority, men and women of color and women period should be fairly represented across the board. And if we don't ask the questions, then we can't assume or be hopeful that leadership will recognize that that is the 331 Whole - Operating Budget 4/28/04 right thing to do. So, my hope would be that next year across the board, not just the Water Department, but across the board there is better representation of people of color and women in positions of leadership and responsibility. So I'll put that on the record, knowing that you're only three days old. Okay. In the Water Department, this document... I want to speak to this document. Did this paper go to all residential water customers?
Okay. Do you know -- And you really are maybe at a slight disadvantage. How much did it cost to produce and distribute this document or did the Water Document do this?
So it's federal. Okay. That's helpful. 332 Whole - Operating Budget 4/28/04
Right. And I think we look at different ways. I think last year we actually distributed those through the Inquirer, through the newspaper because you actually can reach a broader audience.
Apartment owners. I mean, people in large apartment houses get the paper.
Not at all. We happen to have gotten awards for the quality of what we've done. Many cities have been criticized quite a bit for a lack of quality in their document for the public.
I see. Okay. Well, that certainly answers that question on the why and the value of it. Final question from a constituent. The Queen Lane Station is going through 333 Whole - Operating Budget 4/28/04 renovations that currently have Fox Street closed in one direction. Can you share with us how long you anticipate this street being closed because of that circumstance?
I don't have that answer personally, but maybe someone on my staff. Two months, I'm hearing.
Two months? Okay, then. That takes care of all my questions, Madam President.
Madam President, I'm actually going to be uncharacteristically short. We have a big hearing, I think, coming up with the Water Department primarily around the issue of the proposed rate hike. And I'll save my questions for them as a part of that larger discussion. 334 Whole - Operating Budget 4/28/04
Yes. Good morning or good afternoon, Commissioner, or acting Commissioner. Can you talk to us a little bit about the Water Reserve Fund. What jurisdictions, what controls do you have over it? In your opening statement you refer to something that happened, I believe, a few years ago, where you were able to make some changes and help increase your revenues into the water fund, that -- you know, close to $2 million a year. Can you talk to us about what kind -- you know, who controls that fund? Is it your office? And so forth. 335 Whole - Operating Budget 4/28/04
Oh. Okay. I believe you're speaking to the Sinking Fund Reserve of the Water Department?