COUNCIL OF THE CITY OF PHILADELPHIA PUBLIC MEETING BEFORE THE COMMITTEE ON RULES - - - Room 400, City Hall Philadelphia, Pennsylvania Tuesday, December 2, 1997 11:10 a.m. - - - BILL 970139 - An Ordinance amending Section 14-312 of the Philadelphia Code entitled, "Commercial District Rules and Exceptions shall apply to all Commercial Districts except the C4 and C5 Commercial Districts." BILL 970651 - An Ordinance to amend an Ordinance which approved the redevelopment proposal, the urban renewal plan and the relocation plan of the Redevelopment Authority of the City of Philadelphia. BILL 970609 - Authorizing the Commissioner of Public Property to deliver to PAID, without consideration, city-owned land situate on the westerly side of 34th Street, southwardly from Spruce Street, and authorizing PAID to sell these properties to the Children's Hospital of Pennsylvania. BILL 970690 - Amending the Philadelphia Zoning Maps by changing the zoning designations of certain areas of land located in the 38th Ward. - - - PRESENT: COUNCILMAN JAMES F. KENNEY, Vice-Chair COUNCILWOMAN AUGUSTA A. CLARK COUNCILMAN W. THACHER LONGSTRETH COUNCILWOMAN ANNA C. VERNA COUNCILWOMAN DONNA REED MILLER COUNCILWOMAN JANNIE BLACKWELL COUNCILMAN MICHAEL A. NUTTER - - - VINCENT VARALLO ASSOCIATES, INC. Registered Professional Reporters Eleven Penn Center Plaza, Suite 600 Philadelphia, PA 19103 (215) 561-2220 2 I N D E X BILL 970609 G. Craig Schelter, Executive Vice-President, PIDC----------------------------------------- BILL 970651 Noel Eisenstat, Executive Director, Redevelopment Authority, City of Philadelphia---------------- BILL 970690 7 Andrew Toy, Representative, Commerce Department-- 11 Richard Lombardo, Chief Project Planner, 8 Planning Commission, City of Philadelphia----- 15 BILL 970139 (Held)------------------------------- 16 - - - Public Meeting----------------------------------- 17 - - - 3 BILL 970609 CHAIRMAN KENNEY: Good morning, ladies and gentlemen. The Council Committee on Rules is now in session. We apologize to those individuals waiting for our o'clock hearing. But due to the 7 fact that our last session of Council is December 8 11, we have a rush of legislation. And we do 9 appreciate your patience. 10 Councilmember Longstreth is in the room. Councilwoman Clark was here, but had to leave for a moment. She was here for purposes of a quorum. And Councilwoman Verna, who is also in the room, is here for purposes of quorum. We will begin the hearing, in the interest of time, and we will vote it out when the members return. The first bill is Bill No. 970609, which is an Ordinance authorizing the Commissioner of Public Property to execute and deliver to the Philadelphia Authority for Industrial Development without consideration a deed conveying fee simple title to two certain tracts of city-owned land, with the buildings and improvements thereon, situate on the westerly side of 34th Street, southwardly from 4 BILL 970609 Spruce Street, and further authorizing PAID to sell these properties to the Children's Hospital of Philadelphia for a consideration of $1,237,500, all subject to the terms and conditions of the Philadelphia Industrial and Commercial Development agreement between the City, PAID, and the Philadelphia Industrial Development Corporation. Please identify yourself for the record and proceed.
Thank you, Mr. Chairman. My name, for the record, is Craig Schelter. I am Executive Vice-President of the Philadelphia Industrial Development Corporation. And I am here to testify in support of Bill No. 16 970609. This bill authorizes the city to convey a four and a half acre parcel of land at 34th and Spruce Street to the Philadelphia Authority for Industrial Development. The bill further authorizes PAID to sell this property to Children's Hospital of Philadelphia for a consideration of $1,237,500. This property is the current site of the existing Children's Hospital, which was 5 BILL 970609 constructed on land leased in the 1960s from the city for a term of 99 years. CHOP constructed the facility and has operated here for the last 30 years, paying a yearly rental to the city of $27,960. They now have asked the city to sell them fee simple title to the property. We believe this sale to be a good deal for the city. The purchase price is higher than the discounted value of the $28,000 annual rental payments, which the city would continue to receive for the next 70 years were the lease to continue in its present form. The current lease provides for no 16 readjustment in this rental. As I am sure that the committee realizes, the fair market rental for this land in 1965, when the lease was signed, is far less than the fair market rental would be today and 70 years from now. The use of the property will not change. CHOP plans to continue operating their facility at this location. CHOP and other institutions in the area have made a significant financial commitment to 6 BILL 970609 the West Philadelphia area through the development of the former Philadelphia General Hospital site, including over $250,000,000 in capital improvements. The purchase by CHOP of the land underneath their existing building is a further commitment by this outstanding institution to the City of Philadelphia and the West Philadelphia area. Representatives of the hospital are here today to testify and to answer any questions you may have. Because the city, PAID, and COP wish to close the sale by the end of the year, I would ask that the committee report favorably on this bill, with a recommendation that the Rules of Council be suspended to permit first reading at the December 4 meeting of City Council. Thank you for this opportunity to testify here before you today.
Thank you very much for your testimony. Do any members of the committee have any questions? 7 BILL 970609 Councilwoman Blackwell, who sponsored the bill, would you like to be recognized?
Thank you very much. Certainly, Mr. Ed Nodibard is here and another representative from Children's Hospital. And all that has been stated is absolutely true. We totally support them. They have been doing a great job for us out there, as we all know. World renowned, in fact, in what they do for children. We totally support it. We have met with them on this matter, and we totally support them in this venture. And we certainly hope that the committee will consider that and will consider the suspension.
Thank you very much, Councilmember. Any other questions? Anyone else to testify on this bill? Seeing none. Thank you very much for your attendance. 8 BILL 970651 Second bill is Bill No. 970651. It is an Ordinance to amend an Ordinance approved December 15, 1969, as amended, which approved the redevelopment proposal, the urban renewal plan, and the relocation plan of the Redevelopment Authority of the City of Philadelphia, for the redevelopment of the Model Cities Urban Renewal Area by approving the 19th amendment of the redevelopment proposal, the 11th amendment to the urban renewal plan, and the 12th amendment to the relocation plan, which provide inter alia for certain additional land acquisitions and provision of certain relocation services as required by law for the individuals, families, and business concerns which will be displaced. Please identify yourself for the record and proceed.
Good morning, Mr. Chairman. My name is Noel Eisenstat. I am the Executive Director of the Redevelopment Authority of the City of Philadelphia.
I have provided you written testimony concerning Bill 970651, which is 9 BILL 970651 the 11th amendment to the urban renewal plan, as you have previously described. Briefly, I would summarize my comments. That we're here asking for the approval, the acquisition for a total of 84 properties. Of these properties, 83 are within an area otherwise known where APM has done much of their work. I believe there is a map.
The bulk of the -- you have a color map. We have gone from black and white to color, although we are still using crayon.
It is very nice, too. Actually, you color better than my daughter does. You are in the lines.
Thank you. The Redevelopment Authority staff thanks you. This is an area by which a number of other public investments have been made in the last few years, a series of housing developments taken by APM, the supermarket that actually we closed on last week with the Fanny Mae's Ventures Fund, and the ball park which is now completed. And we are completing that real estate transfer, as well. 10 BILL 970651 There is one additional property, which, as all those in model cities, I would note that is actually on the other side of Broad Street, in the 1900 block of Turner. And that is actually a small street between Oxford and Cecil B. Moore Avenue, to be utilized as part of the Empowerment Homeownership Zone activities that we received special award for. This development will include, the substance which is in the map, those 83 properties. There will be eight families that will need to be relocated there, 57 vacant lots, and vacant 14 structures. 15 The objective here is, as part of the 16 CDBG plan that was approved last year, this current 17 year through City Council, will be acquiring this 18 land, and then by RFP selecting a developer to 19 develop this into rental housing utilizing CDBG and tax credit subsidies. Any questions?
Any questions from members of the committee? There are none. Thank you very much.
I would just ask, 11 BILL 970690 since it is the end of the session, that the necessary Rules be waived.
At this point in time, with our schedule, it is an automatic request.
Thank you. CHAIRMAN KENNEY: Thank you very much. Is there anyone else to testify on this bill? Seeing none, we will move to Bill 13 970690, which is an Ordinance to amend the Philadelphia Zoning Maps by changing the zoning designations of certain areas of land located in the 38th Ward and within an area bounded by North 35th Street, West Westmoreland Street, North 34th Street, and West Allegheny Avenue from Class R-9A residential to partly Class R-9A residential and partly Class L-4 limited industrial. Good morning. Please identify yourself for the record and proceed.
Good morning. My name is Andrew Toy, and I am here representing the city's Commerce Department. 12 BILL 970690 I am here in support of the proposed zoning change for the area bounded by Allegheny Avenue, 34th Street, Westmoreland Street, and 35th Street. The zoning change will help us to complete the redevelopment of this block and allow the reuse of the long-vacant industrial building at 3451 West Allegheny Avenue. The Commerce Department, the Mayor's Business Action Team have been working with the company Allegheny Distribution, in concert with Councilman Nutter's office and the city Planning Commission, in order to encourage the opening of a new warehouse and distribution center at this location. Allegheny Distribution is the warehousing and distribution arm of a regional furniture retailer, Somnia. Allegheny could have chosen to warehouse anywhere in the region, but chose to acquire 3451 West Allegheny Avenue at sheriff's sale, and has begun major repairs of up to $500,000 to this former manufacturing building. The opening of this facility will 13 BILL 970690 result in the retention of ten employees and the addition of up to ten new employees. Councilman Nutter has been instrumental in setting up a good working relationship between Allegheny Distribution and its new neighbors. All parties have met, and Allegheny has promised to address any of the neighbors' needs or concerns as they arise. Again, the Commerce Department supports the passage of this bill, and we appreciate your consideration on this matter.
Thank you very much. Do any members of the committee have any questions? The Chair recognizes Councilman Nutter.
Thank you, Mr. Chairman. Just for the record, Mr. Toy is correct, there have been a number of meetings between Mr. Gavertz and the Ridge, Allegheny, Hunting Park, RAH, Civic Association, as well as the 14 BILL 970690 residential neighbor next door to this particular building. Mr. Gavertz and Somnia Corporation have already made a tremendous amount of improvements I am sure internally, but also the neighbors can see externally to the facade of this building. And I believe that this thing will also help him, it is my understanding, be able to use the front of the building on the Allegheny Avenue side, where I believe he will then have his trucks, as opposed to on what's generally called the back side of the building, on the Westmoreland Street, which is where there were some problems being caused for the neighbors. So this zoning change will tremendously help not only the building, but also the long-term improvement of the Allegheny Avenue Corridor. So I certainly support this bill and ask for its immediate consideration. Thank you, Mr. Chairman.
Thank you very much, Councilman Nutter. 15 BILL 970690 Does the Planning Commission have any testimony?
I know you want to get out of here, so I will be very brief. For the record, Rich Lombardo, Chief Project Planner for the Planning Commission. This bill is a rezoning bill which we scheduled to take to the Planning Commission this coming Thursday. So we don't have official Planning Commission recommendation. The staff is supporting this bill. I just would say that this property was rezoned to its existing R-9A by a community-sponsored remapping just for this reason. So that any future reuse of this building would have to be the subject of a rezoning or a Zoning Board of Adjustment hearing. Clearly, that seems to have achieved that goal. We will be recommending the Commission support the adoption of this bill. Unless you have any questions, that's my testimony.
Thank you very much. 16 BILL 970139 Any questions from members of the committee? Anyone else in the room to testify on this bill? Seeing none. One other issue. Bill No. 970139 will be held at the request of the sponsor. That will conclude the business of the Rules Committee Public Hearing. (Public Hearing adjourned.) - - - 17 COUNCIL OF THE CITY OF PHILADELPHIA PUBLIC MEETING of the COMMITTEE ON RULES - - - Tuesday, December 2, 1997 - - - Public Meeting conducted by the Committee on Rules, held in Room 400, City Hall, Philadelphia, Pennsylvania, on the above date, to consider action on the following: BILLS 970609, 970651, 970690, 970139 - - - PRESENT: COUNCILMAN JAMES F. KENNEY, Vice-Chair COUNCILMAN W. THACHER LONGSTRETH COUNCILWOMAN ANNA C. VERNA COUNCILMAN MICHAEL A. NUTTER - - - 18 PUBLIC MEETING CHAIRMAN KENNEY: We will now convene a Public Meeting. The Chair recognizes Councilwoman Verna for a motion to approve Bill No. 970651, with a Rules suspension.
Thank you, Mr. Chairman. I move that Bill No. 970651 be reported out of committee with a favorable recommendation, also a recommendation that the Rules of Council be suspended so as to permit first reading at our next session of Council. (Duly seconded.)
Moved and seconded. All in favor. There are none opposed. Bill No. 970651 will be reported out of this committee with a favorable recommendation, and a request has been made for Rules suspension to allow first reading at our next Council session. The Chair recognizes Councilwoman Verna for a motion on Bill No. 970609, with a Rules suspension. 19 PUBLIC MEETING
Thank you, Mr. Chairman. I move that Bill No. 970609 be reported out of committee with a favorable recommendation, also a recommendation that the Rules of Council be suspended so as to permit first reading at our next session of Council. (Duly seconded.)
Moved and seconded. All in favor. There are none opposed. Bill 970609 will be reported out of this committee with a favorable recommendation and a request will be made for Rules suspension to allow first reading at our next Council session. The Chair recognizes Councilman Longstreth for a motion on Bill No. 970690, with a request for a Rules suspension to allow for first reading at our next Council session.
I move it. (Duly seconded.) CHAIRMAN KENNEY: Moved and seconded. 20 PUBLIC MEETING All in favor. There are none opposed. Bill No. 4 970690 will be reported out of this committee with a favorable recommendation. A request will be made for a Rules suspension to allow first reading at our next Council session. Bill No. 970139 will be held to the call of the sponsor. That concludes the business of the Rules Committee Public Meeting. Thank you for your attendance. (Public Meeting adjourned at 11:25 a.m.) - - - 21 C E R T I F I C A T I O N I HEREBY CERTIFY that the foregoing proceedings of the Council of the City of Philadelphia of Tuesday, December 2, 1997, were reported fully and accurately by me, and that this is a correct transcript of same. RE: COMMITTEE ON RULES _____________________________________ DEBRA A. WHITEHEAD, RPR