COUNCIL OF THE CITY OF PHILADELPHIA2 COMMITTEE OF THE WHOLE3 - - -4 Room 400, City Hall5 Philadelphia, Pennsylvania Tuesday, May 5, 20096 11:15 a.m. 7 - - - 8 9 PRESENT: COUNCIL PRESIDENT ANNA C. VERNA10 COUNCILWOMAN JANNIE BLACKWELL COUNCILMAN DARRELL L. CLARKE11 COUNCILMAN W. WILSON GOODE, JR. COUNCILMAN BILL GREEN12 COUNCILMAN WILLIAM GREENLEE COUNCILMAN CURTIS JONES, JR.13 COUNCILWOMAN JOAN L. KRAJEWSKI COUNCILMAN BRIAN J. O'NEILL14 COUNCILWOMAN MARIA QUINONES-SANCHEZ COUNCILWOMAN DONNA REED MILLER15 COUNCILWOMAN BLONDELL REYNOLDS BROWN COUNCILMAN FRANK RIZZO16 COUNCILWOMAN MARIAN B. TASCO 17 BILLS 090212, 090213, 090214, 090215, 090218,18 090219, 090220 and 090221 RESOLUTION 09022619 20 - - -21 22 V A R A L L O Incorporated Litigation Support Services23 Eleven Penn Center 1835 Market Street, Suite 60024 Philadelphia, Pennsylvania 19103 215.561.2220 215.567.267025 2 1
Good2 morning, everyone. I'm sorry for the3 delay, but these are very hectic times4 and hectic days. So we will start our5 public hearing, and the first department6 to testify this morning will be the7 Defender's Association.8 (Witnesses approached witness9 table.)10
Good11 morning. Kindly identify yourself for12 the record and proceed with your13 testimony.14
Thank you, Madam15 President. My name is Ellen Greenlee,16 G-R-E-E-N-L-E-E. I am Chief Defender of17 the Defender Association. On my left is18 Charles A. Cunningham, First Assistant19 Defender, and on my right, our20 Controller, Selim Tawadros, S-E-L-I-M,21 T-A-W-A-D-R-O-S. 5 As you know, the Defender6 Association is an independent, non-profit7 that contracts with the City to provide8 legal services, criminal, child advocacy,9 mental health and for delinquency. 15 The attorneys of the Defender16 Association are supported by17 investigators, social workers, paralegals18 and administrative staff, all of whom are19 dedicated to providing high-quality legal20 representation to our clients. The21 Association is committed to having a22 diverse staff to represent a very diverse23 client population. 2 In terms of minority staff, the numbers3 are, among our managers, 61 percent white4 and 39 percent minority. As to our5 professional staff, we are 67 percent6 white and 33 percent minority, and our7 administrative staff is 44 percent white8 and 56 percent minority. 13 By combining the legal,14 investigative and social services areas,15 the Association is able to handle the16 high volume of cases with a minimum17 number of staff and to provide18 professional and economical services to19 Philadelphia's poorest citizens. 2 Our financial picture today:3 For Fiscal Year 2009, the City4 appropriated $37,729,202 to us to provide5 legal services. And I should mention6 here parenthetically just so there is no7 confusion about funding, we do have a8 federal division, a Community Federal9 Defender, which is totally separate in10 its operation and funding, which is11 funded in the last fiscal year at the12 level of $12 million. These are not13 funds to which we have any access. They14 are strictly run by the administrative15 office of the federal court. 38 million. 1 hiring freeze. We reversed the salary2 increases given to some staff members in3 the fall. We reduced our attorney4 starting salary, and this causes us great5 pain to reduce the starting salary from6 49,500 for an attorney to 48,500, which7 keeps us at the very bottom of the three8 City law agencies, the Solicitor, the9 District Attorney, and the Defender is a10 distant third. 13 As things stand now, as we near14 the close of the fiscal year, we were15 able to decrease spending without16 reducing services and to end the fiscal17 year on a sound footing. 320 million to 35,036,000. 1 The Defender Association uses2 85 percent of its appropriation for3 salaries and benefits. The remaining 154 percent must cover all our operating5 expenses - rent, insurance, equipment,6 supplies, travel, postage, professional7 services, on and on, every expense that8 any private business would have. Without9 exception, these costs continue to rise,10 and any additional budget reduction for11 Fiscal Year 2010 will come through12 attrition, then through layoffs. 16 It is no exaggeration to say17 that the court systems - adult, juvenile18 and dependency - cannot function19 efficiently and provide equal justice for20 our poorest fellow citizens without the21 presence of the Defender Association22 provided with the resources necessary to23 continue to do the excellent work we do24 and have done for decades. 4 In terms of economies affected5 by the Defender Association, Common Pleas6 cases where the Defender is counsel are7 disposed of 71 days more quickly than8 those of court-appointed counsel,9 representing substantial savings where10 the client is in custody. 13 Also, if the Defender were to14 cease representation in Municipal Court15 as a result of insufficient staff, it16 would cost the City $5 million more per17 year to have court-appointed counsel18 provide representation. 20 Among our efforts to help21 reduce prison population are the22 following: We, as an institutional23 presence in the court system, move cases24 quickly.
1 detentions, getting people who should not2 be in prison out as quickly as we can,3 within days certainly of discovering an4 illegal detention. We file hundreds of5 early parole petitions and petitions to6 lift detainers affecting early releases7 of our clients. We work with the8 Intermediate Punishment Program to keep9 people out of custody. We handle case10 consolidations whenever possible, whether11 it's probation violations or simply more12 than one case that a client has. And we13 have a large, fairly large, not large14 enough, social service component, which15 works on finding alternatives to16 incarceration for our clients. 1 them out of custody. 6 We felt it necessary to give7 Council as well as the City8 Administration a serious look at how9 another five percent cut in our10 appropriation for 2010 will impact our11 ability to continue to provide in 201012 the same level of services as we did and13 are doing in 2009. 17 Our request then to you, Madam18 President and the members of Council, is19 that you recommend to the Administration20 that the Association's appropriation for21 2010 remain at the 2009 level of22 $36,382,604 and that no further budget23 cut be imposed. 1 to present these issues and for your2 attention and support. 5
Thank6 you very much. Thank you.7 The Chair recognizes Councilman8 Jones.9
Thank you,10 Madam President. Good morning.11 Good morning.12
I'd like to15 take a second as a relatively new16 Councilperson, but we age quickly here,17 in dog years almost, so we're no longer18 new per se, but give me the philosophical19 reason the Defender's Association was20 originally created versus what21 court-appointed attorneys do, and what is22 the general philosophy there.23
Well, the24 Defender Association was created to25 13 5/5/09 - WHOLE - BILL 090212, etc.1 provide counsel to those who are unable2 to afford counsel and to provide an3 institutional presence in the court,4 because an institutional presence such as5 the Defender Association could have more6 influence in terms of policies and7 procedures in the court than can an8 isolated individual attorney. So we are9 appointed to represent all those persons10 who are financially eligible for our11 services. The only exception there would12 be where we have a conflict of interest.13 Then under those circumstances, other14 counsel will be appointed for someone15 charged with a crime or a dependent16 child.17
Just to18 recap, how many people do you represent19 annually?20
Well, we have --21 the one figure that we use is, each time22 we go to court with a case file and23 represent someone in court, that number24 is at 400,000 in all of those units, for25 14 5/5/09 - WHOLE - BILL 090212, etc.1 adults, juveniles and for child2 dependency matters.3
And I had an4 opportunity to talk to you off record,5 and you don't represent the guys or women6 that are in child support hearings, and7 you explained why, so you don't have to8 do that for me, but I appreciate knowing9 that that is not one of the groups. And10 I'm very much fascinated in your11 Alternate Sentencing Unit and whether or12 not there's been some evaluation, cost13 analysis as to how much money that14 actually saves us as a city, and I think15 that kind of thing needs to be on the16 record.17
Charles20 Cunningham, First Assistant Defender.21 Councilman, let me just say22 this: We give a conservative figure with23 regards to our Intermediate Punishment24 Program and our early parole programs.25 15 5/5/09 - WHOLE - BILL 090212, etc.1 Combined, those programs we gave a2 conservative figure of $12 million that3 we save the City on an annual basis.4 However, we got a report back from the5 state that said that the savings was6 considerably higher than that. But we7 always like to use the most conservative8 figures. Okay? And right now those9 figures are alone that we're saving the10 City approximately $12 million a year.11
And I'm12 thinking we as a body here in Council but13 I'm hearing more through conversations14 with members of CJAB that we're moving15 more towards using this and/or a16 rendition, hybrid rendition, of where we17 are with community courts to kind of move18 that specialty court concept and19 alternate sentence concept and additional20 treatment courts to a hybrid that may21 allow us to use it as a model citywide22 and using your input obviously to help us23 design that to kind of shift the24 hard-core offenders from the folk that25 16 5/5/09 - WHOLE - BILL 090212, etc.1 might be able to benefit from these type2 of alternate sentences and, therefore,3 spare us the tax burden of incarceration4 at $100 a day and rising.5
I think that6 we are all moving forward and looking7 towards trying to create different8 programs so that we can accomplish those9 goals. As a matter of fact, right now10 I'm even on the Governor's commission,11 and they're looking into mental health12 courts. And even here in Philadelphia,13 we are looking at trying to establish a14 mental health court, because once we can15 get these clients out of the prison16 system and get them help, it takes it off17 the City's budget as well. And we have18 actually taken our own Mental Health Unit19 and revamped it, because we saw the need20 with the high number of people who are in21 the prisons who suffer from a mental22 health problem and, on the occasions, a23 mental health problem and a drug problem.24 You have to start devoting resources to25 17 5/5/09 - WHOLE - BILL 090212, etc.1 them, and that we have already begun to2 try to devote those resources, and we3 would like to try to maintain those4 resources.5
If you had6 to guess, out of the 400,000 clients that7 you serve, what percentage of them could8 be diverted into these types of alternate9 courts, alternate sentencing programs?10
Councilman, I11 would feel uncomfortable trying to come12 up with a figure like that.13
However, there15 are people that I think that would be16 able to try to give you some at least17 educated guesses as to that, and I will18 in fact inquire of them and try to get19 that information back to you.20
And while21 you're doing that, if you would, I would22 look at what the level of charge would be23 at the high end to the low end that you24 would recommend, feel comfortable with25 18 5/5/09 - WHOLE - BILL 090212, etc.1 being eligible for those types of2 programs. At this point, what we want to3 try to do is look at the 24 percent we4 spend on incarceration, imprisonment and5 the judicial process and figure a way6 cross-departmentally how to apply those7 charges in a lesser way to reduce the8 burden on the taxes.9 (Bell rung.)10
So any11 recommendation you could provide the12 President and this body, we would gladly13 use in our analysis in how to make14 recommendations going forward.15 Thank you, Madam President.16 COUNCIL PRESIDENT VERNA:17 You're welcome.18 The Chair recognizes Councilman19 Green.20
Good morning,24 Councilman.25 19 5/5/09 - WHOLE - BILL 090212, etc.1
One of your2 favorite Councilpeople told me I had to3 be very, very nice to you.4
And7 suggested that he'd get the drumstick at8 Thanksgiving if I behave myself.9 I just had a couple of quick10 questions, and they're really for the11 purpose of informing myself more about12 what your office does, and, that is, I13 had a question about what you do besides14 our constitutionally mandated practice15 areas. In other words, other than16 low-income people charged with criminal17 offenses and children in abuse and18 neglect proceedings, what practice areas19 do you have beyond that?20
Well, that's the21 bulk of it, except for we do civil mental22 health hearings as well, as representing23 clients who have mental health problems24 who have criminal cases. But we do about25 20 5/5/09 - WHOLE - BILL 090212, etc.1 4,500 civil mental health hearings a2 year.3
And is that4 constitutionally mandated for the City to5 provide?6
Not to my7 knowledge, because there aren't criminal8 charges involved.9
Okay. So10 how much of your budget is spent on11 non-constitutionally mandated things like12 that?13
Well, probably 318 million. A little more than 3 million,19 according to the Controller.20
And if you21 look at sort of pure organizations, Legal22 Aid Society in New York, do they do23 non-constitutionally mandated things24 also?25 21 5/5/09 - WHOLE - BILL 090212, etc.1
I would imagine2 that they do. They must, because every3 public defense agency is involved in4 alternative programs and other5 representation.6
Are you7 seeking, have sought, actively sought,8 private funding sources for what you do?9
Well, the only10 private funding sources that we really11 have sort have been in the juvenile area12 where the McCarthy Foundation has funded13 a number of programs that we're involved14 in with juveniles.15
And how16 about like the George Soros Open Society17 Institute?18
I mean, we'd21 be happy to help you. I don't know22 whether you get to take advantage of the23 grant writers that are in the24 Administration or other people, but there25 22 5/5/09 - WHOLE - BILL 090212, etc.1 are some things like that that perhaps we2 could look at.3
I just had a6 question about given the current economic7 downturn and the deferrals that are being8 put in place by many of our major law9 firms, is this an opportunity for you10 guys to try to get people who law firms11 may be giving partial salary to for the12 year to defer their employment, to get13 them to come in and help try cases, get14 some trial experience for a year before15 they go off to some of the major firms in16 the City?17
We're working on18 that. Actually, it turns out to be a bit19 more complicated than it looks at first20 blush, and it's not just a matter of21 looking a gift horse in the mouth. It's22 a little more complicated as to whose23 employees these folks are for that year,24 are they the law firm's employees, will25 23 5/5/09 - WHOLE - BILL 090212, etc.1 they be our temporary employees. We're2 trying to iron out the situation in the3 contract and perhaps the disclaimer that4 we'll have to get from them in terms of5 liability, because they'll simply be6 given a stipend and then they have to pay7 all their expenses.8 We've had conversations with9 three law firms. At this point in time,10 we've only really been able to identify11 six people. We hope to get a dozen or so12 who will come in for a year, and they13 certainly will assist with us as14 attrition takes place among our staff in15 terms of the lower-level trials and16 interviewing our clients.17
That's what18 happens when you get a bunch of lawyers19 involved in something.20
As soon as you24 involve the employment lawyers, you're in25 24 5/5/09 - WHOLE - BILL 090212, etc.1 big trouble. That's what we found. But2 we're working on it.3
And I assume4 you've got programs with the local law5 firms for some of the maybe mental health6 work or -- I mean local universities for7 law students?8
We have four9 clinical programs at four local law10 schools.11
If you turn12 to the Disposition Disparity table13 attached to your testimony, I wanted to14 make sure I understood what some of the15 terms meant.16 Regarding the number of days17 for disposition measure for Common Pleas18 criminal cases, are all of these19 defendants incarcerated during the entire20 period until disposition?21
Not all22 defendants are incarcerated. However,23 what we found out is that those -- in24 regards to the disposition, not all of25 25 5/5/09 - WHOLE - BILL 090212, etc.1 them are incarcerated.2
Do you know3 what the average incarceration period is4 or could you get back to us? In other5 words, we're trying to find ways to get6 people who are in the system in prison,7 not yet adjudicated, maybe on electronic8 monitoring or other programs that will9 save the prisons money that would make10 more money available for your office, the11 DA's Office.12
We can find13 that information out. I think that the14 Director of Prisons has that information15 available as well.16
Well, thank24 you very much.25 26 5/5/09 - WHOLE - BILL 090212, etc.1
There are 134 members of the CJAB and seven are court5 employees. So they pretty much get what6 they want.7 COUNCIL PRESIDENT VERNA:8 Councilman Jones.9
Thank you,10 Madam President.11 A couple of other questions.12 You aren't a City department per se.13
So you16 receive the bulk of your funding,17 however, from what sources?18
From our19 contract with the City, virtually 10020 percent of our funding, except for those21 grants, and this last year we received a22 total of about 1.2 million in grants, the23 bulk of which goes to juvenile practice,24 to training juvenile defenders, to after25 27 5/5/09 - WHOLE - BILL 090212, etc.1 care, disposition of cases, for2 disproportionate minority confinement3 work and work along that nature we've4 received grants, the bulk of them coming5 from the McCarthy Foundation, but some6 from the Pennsylvania Commission on Crime7 and Delinquency.8
Is there a9 salary differential between you and other10 legal departments within the City, DA?11
Well, we're15 third in terms of salaries. Beyond the16 initial level of starting salary, there17 are disparities that are from $10,000 up18 when you get to mid-level staff. I was19 told this morning that the average salary20 in the District Attorney's Office, the21 average salary overall is 50,000, and our22 average salary for entire staff would be23 44,000. We are substantially below what24 the District Attorney offers. Once you25 28 5/5/09 - WHOLE - BILL 090212, etc.1 get past the first three or four years2 where their differential may be only a3 couple thousand, then it rises4 dramatically. At the fourth year, it's5 now $10,000, and it goes up. Department6 heads, I understand, earn about $132,000,7 which is 20,000 above our highest salary,8 which is mine.9
Do you have10 turnover issues, retention issues by way11 of personnel?12
Well, I don't13 think anyone has any turnover issues14 right now because no one is going15 anywhere this year. What we do,16 Councilman, is when we hire an attorney,17 we ask them to commit for three years,18 and it's been our experience that19 virtually all the young lawyers who come20 in commit for that three-year period,21 because it's an intensive training22 process and they want to learn how to be23 good trial lawyers. Thereafter, probably24 by the time they reach the fifth year,25 29 5/5/09 - WHOLE - BILL 090212, etc.1 most folks are thinking about moving on,2 because they can't pay their law school3 loans. At about $50,000, they have4 difficulty marrying, raising a family,5 thinking about buying a house, and the6 law school loans are prohibitive for just7 about everyone who comes in.8 So I would say we get the9 three-year commitment. Then when you get10 towards five years, most folks are11 looking around for something more12 lucrative.13 COUNCILMAN JONES:14 Structurally, how do we on an15 apples-to-apples comparison compare to16 our surrounding counties and surrounding17 states? Do they have similar18 associations?19
Well, in20 Pennsylvania we're the only one that's a21 private agency. The rest in all of the22 other counties are county employees.23
And why are24 we different?25 30 5/5/09 - WHOLE - BILL 090212, etc.1
That's a good2 question. It predates me. I don't3 really know.4
I guess because7 the origin of the Defender Association8 was the voluntary defenders way back in9 1934 when a group of private lawyers got10 together to provide -- in an attempt to11 provide counsel to what they called the12 deserving poor, and I think eventually we13 grew out of that. By the time we got to14 1969, we were a private agency that began15 to contract with the City to provide16 services. At that point in time, in the17 criminal area only.18
So one of19 the distinguishing characteristics that20 are different between you and21 court-appointed counsel is that you are22 an advocacy group for the whole criminal23 justice process, as well as individual24 defense for clients?25 31 5/5/09 - WHOLE - BILL 090212, etc.1
Well, I think2 that's a fair statement. I think that's3 a fair statement. Although the private4 Bar has its own Bar Association, criminal5 justice section, which serves as an6 advocate for private attorneys. But we7 are the institutional presence. We are8 the voice for, I think, Philadelphia's9 poor citizens in the criminal justice10 system.11
Well, thank16 you for what you do.17 Thank you, Madam President.18
Thank you.19 COUNCIL PRESIDENT VERNA:20 You're welcome.21 The Chair recognizes22 Councilwoman Brown.23
Thank you,24 Madam President.25 32 5/5/09 - WHOLE - BILL 090212, etc.1 Good morning.2
Let me5 hear again the answer to Councilman6 Green's question regarding the average7 time someone is currently held before8 receiving a trial. What was your answer?9
Councilwoman,10 there was no answer to that because I11 don't have that information as to the12 average time. I can tell you, however,13 that a lot of the people that are14 presently incarcerated in our county15 prisons are awaiting -- are pretrial16 people. In other words, they haven't17 been convicted. They are awaiting trial.18 So the answer to that question,19 as I said before, we can probably get20 that information because I think that the21 Director of Prisons has the information22 as to the average stay of the individual23 person.24
That fact is25 33 5/5/09 - WHOLE - BILL 090212, etc.1 that among the prison population right2 now, the number of prisoners who are3 awaiting trial and not sentenced is 734 percent. So it's a very, very high5 figure. It used to be lower. This is6 the highest that I can ever remember it7 being at 73 percent people awaiting8 trial. Of course, many of those folks do9 have probation matters and detainers.10 It's not always simply a matter of bail,11 because anyone who is in simply because12 of bail, we're right on and we're filing13 bail petitions if they're our clients to14 try to get them out or to get some type15 of conditional release.16
Besides17 lawyers coming together at designated18 points on behalf of a person that's being19 held, do the three systems talk to each20 other, like with the use of technology?21
Your23 office, the DA's Office, the Prisons. Is24 there anything that connects those three25 34 5/5/09 - WHOLE - BILL 090212, etc.1 worlds?2
I don't know5 that there's a technology link between6 the three offices. Obviously there are7 various meetings that we go to to discuss8 various programs. For instance, they've9 just started a program called the AVOP10 program, Accelerated Violation of11 Probation.12
Accelerated15 Violation of Probation program. It's16 designed basically to look at people's17 probation situations and to try to18 consolidate their probation situations in19 front of one judge.20 We're also looking at what's21 called the ARC program, which is the22 Accelerated Review and Consolidation,23 which is, again, looking at clients24 trying to see all -- the whole case, the25 35 5/5/09 - WHOLE - BILL 090212, etc.1 whole situation, not just whether or not2 this client has one case, but whether or3 not he has multiple cases and whether or4 not we can dispose of all of those cases5 at one time. So we're all combining our6 efforts to try to dispose of these cases7 at a far faster rate.8
Wouldn't9 it be great value of those systems being10 able to talk to each other with the use11 of technology when you look at the fact12 that 73 percent are awaiting trial and13 then we hear from the Prison Commissioner14 also how long it takes to move them15 through the system?16
Anything that17 will allow communication, I'm all in18 favor of. I mean --19
We do have20 meetings all the time with the various21 stakeholders.22
And23 therein lies the wrinkle. We have to24 wait to coordinate 15 different schedules25 36 5/5/09 - WHOLE - BILL 090212, etc.1 before you can take some active action on2 a particular case.3
Well, I think4 if there's action that needs to be taken5 on a particular case, many of the times6 we can in fact communicate with the7 District Attorney's Office. And there8 are procedures set up so that these cases9 can be brought in and can be disposed of,10 like track programs, so that you can get11 all of these cases brought in, talked12 about and we will talk about these cases.13 And we're trying to talk about these14 cases at a far earlier date, and we're15 putting in a protocol that will allow us16 to do so.17
So not18 having the benefit of knowing, at least19 right now as we sit here, the average20 time someone is currently held in the21 system, if your department is forced to22 make the proposed cuts, how will this23 impact that number, 73 percent, awaiting24 trial?25 37 5/5/09 - WHOLE - BILL 090212, etc.1
Well, it would2 certainly increase, I would think, but I3 don't know by how much it would increase.4 A lot -- what would happen -- assuming we5 get to the point where we have to make6 staff cuts, which services will be cut to7 a certain extent would have to be done in8 conjunction with the courts deciding9 where they think that the Defender does10 not need to staff a room. So it's hard11 to say. I think in all likelihood, those12 numbers would only go up. The numbers of13 people in prison awaiting trial would14 have to increase.15
Councilman16 Jones has raised questions about17 comparable salaries compared to other18 counties. Where does Philadelphia sit19 with regards to other cities, like20 Baltimore, Boston or DC, when it comes to21 the salary for entry-level public22 defenders?23
I don't know. I24 don't have those figures, but we can25 38 5/5/09 - WHOLE - BILL 090212, etc.1 certainly check that out.2 (Bell rung.)3
Okay. The5 bell has rung. I'll wait for the next6 round.7
I want14 to thank you for the hard work that you15 do, but as you all know, we are in the16 midst of making some really tough17 financial decisions, and I think this is18 one of those times as an organization19 diversifying your funding pool is going20 to be important. So I want to ask you,21 do you charge any fees to the clients22 that you serve?23
Have you25 39 5/5/09 - WHOLE - BILL 090212, etc.1 ever looked at that before?2
No, we haven't.3 Part of the reason for that is that it's4 trying to get blood from a stone, because5 every time someone goes to court, there6 have been dramatic increases in the7 number of costs that are assessed against8 people, fines, that people can come out9 of court owing hundreds of dollars. We10 have never seriously looked at that11 situation.12
Again, I13 appreciate the work you do. I think it's14 very important work, and when we look at15 the bottom line, you save us money, but I16 think given the financial situation that17 we are, I think it would be important if18 we did an analysis, even if it was --19 70,000 cases a year, $25, $100. It's20 things we have to begin to explore, and21 it's tough decisions. And, again, the22 work that the lawyers do in choosing this23 field of public service is very24 important. But if you came up -- we're25 40 5/5/09 - WHOLE - BILL 090212, etc.1 looking at it at the Health Department.2 We're looking at it all over our budget3 in our departments. I would encourage4 you to look at that analysis and share it5 with us, if you could, about what you6 think something like that would look like7 so that we can take into consideration8 as, again, we make some really tough9 decisions. Because what I didn't see in10 your testimony is what's your Plan B if11 you don't get all your money.12
But we will16 certainly look at that and share that17 information.18
I think also21 that we do not decide whom we will22 represent.23
No. I24 understand.25 41 5/5/09 - WHOLE - BILL 090212, etc.1
It's the court2 that decides who is provided our3 services. So I think that any assessment4 of fees would have to start at that level5 and not with us trying to get money out6 of our clients, but the appointing7 authority would have to be involved, it8 seems to me, in terms of assessing any9 type fee, if that were the way the City10 wanted to go.11
The15 Chair recognizes Councilman Green for a16 point of information.17
Thank you,18 Madam Chair.19 Just so I can understand the20 answer to that question about the court21 decides who you represent, does that22 apply to your non-constitutionally23 mandated cases?24
All cases we25 42 5/5/09 - WHOLE - BILL 090212, etc.1 handle.2
So they're3 assigning you cases that we don't have an4 obligation as a city to provide work for,5 yet we're paying for it. If you were out6 of that business, could they assign them7 to private lawyers?8
And so maybe14 something we can look at is trying to get15 law firms or other people to take those16 cases, at least for a little period while17 they have less work to do anyway.18
Well, invariably19 it costs a lot more. I don't think that20 they're going to be doing it pro bono.21 Invariably it costs a lot more to provide22 the services that we provide.23
Well, I mean24 pro bono. The hours of pro bono work25 43 5/5/09 - WHOLE - BILL 090212, etc.1 that is done by the major law firms in2 this city is something that this city3 should really be very proud of. We have4 to be like in the tops nationally.5
And I'm just7 wondering -- I don't know. Three million8 dollars for stuff that we're not9 constitutionally mandated to do when10 courts could order people to do it, maybe11 is something to think about. I mean,12 courts can order people to represent13 people.14
It's kind of the15 prescription for chaos, but it's16 certainly something that one could look17 at.18
However, the20 dependency work that we do representing21 dependent children is because of a22 Consent Decree that the City entered in23 1990 agreeing to provide counsel to all24 dependent children in contested custody25 44 5/5/09 - WHOLE - BILL 090212, etc.1 cases. So while we can say they're not2 constitutionally mandated, the City is3 part of that.4
That's a5 great answer to the question. So other6 than that, how much are we doing that's7 not constitutional?8
Well, the only9 other thing that you can say is not10 constitutionally mandated is civil mental11 health hearings, but the City and12 probably the court have agreed that13 people have a right to counsel at civil14 mental health hearings.15 There really is no effective16 way, it seems to me, other than with an17 institutional presence that is set up18 with what we have, with attorneys, social19 workers, investigators and support staff,20 to provide the kind of service to21 thousands of clients in whatever area,22 whether you call it mandated or not23 mandated. In terms of economics, it's24 the only way that it works sufficiently.25 45 5/5/09 - WHOLE - BILL 090212, etc.1
I appreciate2 that, and you guys do a terrific job3 representing all of the people you4 represent with the resources that are far5 too limited, and I commend you for that.6 I'm just trying to learn about what you7 do and understand what we can and cannot8 do.9
And I know that10 the law firms do provide tremendous,11 hundreds of thousands of hours in pro12 bono services.13
Can I just17 jump in for a second?18 One of the things about the19 Defender organization is the fact that20 when we are appointed, we have an21 attorney on location. That means that22 those cases that the Defender Association23 represents will be disposed of when it's24 listed. When you have private counsel25 46 5/5/09 - WHOLE - BILL 090212, etc.1 coming in, whether it's assigned, pro2 bono, however, you're always running the3 system in accordance with their schedule.4 To give you sort of just one5 small anecdote --6
I get it.7 You're saving the system money, and8 that's the kind of argument that you need9 to make, and what we need on Council is10 for everybody in the system to work11 together so that we can reduce the number12 one cost that seems to be out of our13 control, which is prison costs, by14 finding alternative sentencing methods,15 community courts, community sentencing,16 et cetera, and we'll be interested to see17 where the CJAB gets on that this year.18 Thank you very much for your19 testimony.20
Thank you.21 COUNCIL PRESIDENT VERNA:22 Councilwoman Sanchez, are you finished?23
Yes, I24 am.25 47 5/5/09 - WHOLE - BILL 090212, etc.1
Thank you,5 Madam President.6 In your testimony, , you7 indicate that there will be budget cuts8 to the Child Advocacy Unit. Again,9 please describe the impact of those cuts.10 Potentially affecting 850 cases? One11 attorney for social workers could12 potentially -- amazing.13
Well, part of14 the situation with our Child Advocacy15 Unit is, many of our lawyers are new16 lawyers. So if you're having layoffs,17 you have to do it by seniority, and18 probably the last six or seven lawyers we19 hired were in the Child Advocacy Unit.20 So they would be hit harder than other21 units.22 There are -- we have23 approximately, I guess, 4,000 cases. So24 if you lost six or seven lawyers, you25 48 5/5/09 - WHOLE - BILL 090212, etc.1 probably have to close one, maybe two2 courtrooms and the cases would have to be3 reassigned. I certainly hope that we're4 not going to reach that eventuality.5
An average6 caseload for a lawyer in the Child7 Advocacy Unit is what?8
Well, let's see.9 I would guess 200, approximately 20010 cases.11
Their cases18 are around years and years, because we've19 had -- and then there are a number of20 children within a family. So it's not21 unheard of for a Child Advocacy case to22 last until somebody is over 18 and23 sometimes even as far as 21 years of age.24
Where's25 49 5/5/09 - WHOLE - BILL 090212, etc.1 the linkage with DHS on matters like2 that?3
Well, DHS is the7 provider and the agency that sees what8 disposition happens with the children,9 whether they're put in placement, whether10 they're put up for adoption. They assign11 the social workers to the children. DHS12 is the provider agency in terms of13 dependent children, and the Solicitor, of14 course, is the lawyer for the DHS agency.15 But they're the ones that are responsible16 for decisions as to where a child will be17 placed, what disposition will happen18 within a child's case.19
I see.20 That completes my questions,21 Madam President.22 Thank you.23
Thank25 50 5/5/09 - WHOLE - BILL 090212, etc.1 you very much.2 Are there any other questions3 from members of the Committee?4 (No response.)5 COUNCIL PRESIDENT VERNA:6 Seeing none, thank you.7
We14 will now hear from the District Attorney.15 (Witnesses approached witness16 table.)17
Thank you, Madam20 President.21 COUNCIL PRESIDENT VERNA:22 Please identify yourself for the record.23
Yes, indeed. My24 name is Lynne Abraham, L-Y-N-N-E,25 51 5/5/09 - WHOLE - BILL 090212, etc.1 A-B-R-A-H-A-M. I'm the District Attorney2 of this great city, the City of3 Philadelphia, and I'm pleased to be here4 before you. In a few moments you5 probably will hear from the gentleman on6 my right, whose name is Al Toczydlowski,7 and he'll spell his name for the record,8 and John Delaney, the Deputy for our9 Trial Division.10 Madam President, this is the11 eighteenth time I've appeared before this12 Committee, and each one has been not only13 interesting, but highly rewarding and14 informative. I wanted to thank you,15 Madam President, for your leadership and16 your care with regard to conducting these17 hearings, and I want to thank you as well18 as your Councilmembers for giving me and19 members of my office a fine-tuned ear to20 the problems that face the City of21 Philadelphia.22 I have been really blessed to23 have been the leader of an office whose24 unsung heroes are the hundreds of25 52 5/5/09 - WHOLE - BILL 090212, etc.1 district attorneys assistants who every2 day go into court and battle for the3 rights of victims and to help to make the4 City safer. These men and women have5 dedicated their lives to public service,6 and I wanted to, if I could, in some7 other way showcase their extraordinary8 talents, but perhaps during the course of9 my remarks today, some of the talent may10 be showing through, either through the11 voice of the deputies who are here with12 me or through other means. But I do need13 to make sure that the record reflects14 that these men and women are just15 remarkable public servants.16 I have previously submitted to17 Council a copy of my full budget18 testimony, which I would ask the court19 reporter to, if Council President20 pleases, make a part of the record so21 that it is put into the record in its22 entirety.23 COUNCIL PRESIDENT VERNA:24 Absolutely.25 53 5/5/09 - WHOLE - BILL 090212, etc.1
Is that2 acceptable?3 COUNCIL PRESIDENT VERNA:4 Absolutely.5
Well, for the6 last time, I'm here to ask you to7 consider what I believe to be one of the8 most disastrous budget cuts in the9 history of the District Attorney's10 Office. I would have hoped that the last11 time I appeared before this Council I12 wouldn't have to engage in this kind of13 discussion and that we could all join14 hands and sing songs and the people of15 Philadelphia be happy about the budget16 situation, but, unfortunately, I'm unable17 to do that, and that is really because18 I'm asking this body to once again reject19 out of hand Mayor Nutter's proposed20 budget of a 22 percent cut in the21 District Attorney's Office budget from22 the amount that you appropriated last23 year. 5 I remember listening to the6 Mayor standing behind you at the podium7 saying that on many occasions he heard8 the people speaking. He said, I hear you9 loud and clear. The public said loud and10 clear they wanted more police, but they11 were never asked if they wanted to put12 the people whom the police were arresting13 in custody or in some appropriate program14 or how much their safety was worth to15 them. 18 The Pew Charitable Trust's19 latest report issued just a few weeks ago20 still ranks crime as the number one21 overarching concern of the citizens of22 Philadelphia. 1 worldwide, but a continuing loss of our2 population, we can simply no longer3 sustain the things that are going on4 right now with this population loss, and5 part of the population loss is driven by6 a number of factors and one of which is7 crime. 6 percent. 19 There has been some, I have to20 call it, drivel, because I don't21 understand what it is. Association budget harmless. Now, I have to parenthetically4 say that I'm the first one that says that5 we need a robust criminal justice system6 with prosecutors and defenders, and on7 most occasions, we have hundreds of8 meetings with the Defender Association,9 which nobody ever hears about. We10 quietly either agree or disagree on a11 variety of issues and we go about our12 business. 518 million he received in targeted grants19 from the United States government, which20 has already been received, and the21 millions he's going to receive from the22 COPS targeted federal funds very shortly,23 which will pay for the Police Department24 or new recruits. 1 reflect the $2 million that we've saved2 just the first quarter of this year by3 transferring prisoners to the state4 prison, where they have belonged all5 along, and the $9 million roughly that6 we're going to be saving the City from7 the rest of the transfers from the county8 prison, where only we pay for them, to9 the state prison. And we have lots more10 testimony to offer about the prison11 package, which my office wrote and12 lobbied for and got passed. 22 Twenty-five million dollars from the23 $32-plus million that you appropriated24 for FY09 -- I'm sorry. 1 her telephone conversation. 2 I'm sorry, Councilwoman. I was3 distracted by your telephone4 conversation. 5 I started to say that I really6 don't understand the Budget Office coming7 before City Council and representing that8 the budget proposals that they have9 submitted for our office is a 12 percent10 budget reduction. If you do the math,11 $25 million for this coming year, FY10,12 from 32 million, which you appropriated13 last year in '09, Fiscal Year '09, is14 not, never can be and never will be 1215 percent. 3 percent. 4 percent for24 '09. 3 So if you look at it total,4 it's probably five times the cut of the5 Public Defender's Office. And here's6 what's really distressing: Four percent7 cut for them, 22 percent for us.
That8 largesse is difficult to understand even9 if the Public Defender's Association,10 which does a good job, were a public11 office with responsibilities equivalent12 to that of the District Attorney's13 Office, but in fact these lawyers,14 although referred to as public defenders15 or previously, as you heard, voluntary16 defenders, are public only in the sense17 that they're paid with our money. 6 The District Attorney's Office,7 on the other hand, handles 100 percent of8 the cases. S. taxpayers,11 $8 million additional for court-appointed12 private counsel, which doesn't even cover13 privately retained lawyers -- who knows14 what private lawyers get paid for15 representing their clients -- $55 million16 for defense counsel, not including17 privately retained counsel, which we18 don't know the figure for obviously, and19 25 million for the District Attorney's20 Office. public on many occasions that we can look2 for. The Mayor has suggested that we4 can close all this budget shortfall by5 forfeiture money. 3 million in our8 forfeiture account, except that he9 neglected to tell anybody that 5 million10 of that is the Philadelphia Police11 Department's and 300,000 of that belongs12 to the District Attorney's Office to fund13 our narcotics program. 16 The Mayor's plan to cut the17 budget based on anticipated forfeiture18 funds is not only clearly illegal, but he19 asks you to also commit a crime as what20 he is proposing he would do if he were to21 anticipate forfeiture funds. 1 states, and I quote, "The entity having2 budgetary control shall not anticipate3 future forfeitures or proceeds therefrom4 in adoption and approval of the budget5 for the district attorney," period. 10 We don't know in advance11 whether or how much forfeitable property12 may be seized by police officers or13 detectives. 16 By asking Council to consider17 state forfeiture funds as the reason for18 slashing the DA's budget, as I mentioned19 before, the Mayor is asking you to join20 him in violating the law. 1 office is grounded very wisely in several2 considerations. 12 This cannot be the way we run our13 business. Both state and federal laws14 were drafted with a view towards avoiding15 this inevitable peril if you follow what16 the Mayor wants you to do. 22 So what's going to happen if23 the budget is cut by $7 million? 1 our budget for 100 percent of the2 cases -- and that's about 73,000 cases3 last year up, not down. The arrest rate4 has gone up, not down. About 90 percent5 is Class 100, or salaries. 8 It's the thousands and thousands and9 thousands of cases of petitions, pretrial10 motions, post-trial motions, intermediate11 motions, violations of probations,12 investigations, appeals and everything13 else that our office covers, from soup to14 nuts, from beginning to end. That cut15 would mean that more cases will be16 dismissed, more inability to investigate17 matters because of cutting in18 investigations and pretrial preparation,19 longer delays in trying cases because20 fewer lawyers have more cases to try. 1 population going up, more lawsuits. 8 Victim witnesses services,9 including restitution assistance, court10 accompaniment, transportation, will be11 greatly scaled back. House stealing,12 contractor fraud all have to be13 terminated. This Council initiated an14 investigation into so-called house15 stealing. It took us over a year to16 investigate house stealing in this city,17 and we only scratched the surface of a18 very few cases, maybe about 85. 1 crimes, which we had to raise in the2 past, will even go higher. 10 All of the courts that you11 heard Ms. 13 Drug Treatment Court, Community Court,14 Gun Court, DUI Court, Mental Health Court15 would all have to be subject to16 elimination. And, unfortunately, the DUI17 Court right now can't even accept any new18 people, because the two probation19 officers who are assigned to it have more20 cases than they're supposed to have. So21 even that is grinding to a halt.
4 So from a fiscal perspective5 alone, a 22 percent cut in the DA's6 budget is going to cost more than it7 saves. 11 It doesn't shrink. I don't believe that12 this economy will increase the number of13 homicides, although that is a potential,14 but what is happening, as we can see, is15 gun sales have just gone through the16 roof. 18 Eleven thousand one hundred and19 forty-three cases await trial, up from20 8,000 last year, because more people are21 being arrested. Four hundred and22 fifty-three homicide cases are awaiting23 trial. 1 Court. Seventy-three thousand two2 hundred fifty-eight arrests last year,3 2008, up, not down, from 2007. 7 I think that there's a better8 and, if I may say so, a fairer way to9 allocate scarce resources, and as you10 have heard both from the courts and a11 little bit from the Public Defender, the12 Criminal Justice Advisory Board. The13 Criminal Justice Advisory Board, we were14 one of the last jurisdictions in the15 Commonwealth to have it. We think it's a16 good idea. It brings all the important17 heads of most of the departments, not18 everybody certainly, but it's sort of19 like a modern-day version of the Criminal20 Justice Coordinating Committee, which I'm21 sure Your Honors are well aware of. 1 which has no binding effect on City2 Council whatsoever, but one of the3 mandates of the CJAB is to coordinate and4 to allocate a better way of responsibly5 allocating monies passed down through us6 or to us so that we can have an effective7 criminal justice system. 8 It's not an ad hoc body. We work9 together as a system. 20 Now, I understand about the21 voting. 1 her budget will be cut by the amount I2 suggested in our resolution. 7 I have agreed to take a huge8 bite out of my budget of about somewhere9 between 9 and 10 percent. I don't want10 to give that money up. I'd fight like a11 tiger if I knew I could keep it, but I'm12 not willing to give up 22 percent while13 everybody else gets increases or14 virtually no decrease. 1 hopes that people would leave, but nobody2 has left, because there are no jobs. In3 fact, we have more people volunteering or4 wanting to volunteer that we have space5 to put them. We can't train them and we6 can't keep them. 17 Now, I'm not saying there's not18 going to be any pain. There will be lots19 of pain, and we won't be able to be as20 creative as we'd like to be. 4
Thank8 you very much.9 The Chair recognizes Councilman10 Goode.11
Thank you,12 Madam President.13 Good afternoon, Madam District14 Attorney.15
We have not18 always agreed, and we probably won't19 agree today.20
But I will22 take this opportunity to commend you on23 your long years of public service.24
Thank you. I25 74 5/5/09 - WHOLE - BILL 090212, etc.1 appreciate that.2
I am3 somewhat aware of your record dating back4 to 1972. You were head of the5 Redevelopment Authority --6
I also note11 that in 1972 you were a finalist for12 Outstanding Young Leader of the Year of13 young JCs.14
The20 runner-up in that was a young congressman21 named Bill Green.22
But he lost,24 too. The outstanding young --25 75 5/5/09 - WHOLE - BILL 090212, etc.1
The4 outstanding young leader that year was a5 young community developer named Wilson6 Goode.7
And 37 years9 later, I raise that for a reason. Not10 just because you have the sons of all11 three here that will be questioning you12 today, but because 37 years later, you13 are the District Attorney of the City.14 My father spends a lot of time15 in prisons across this country.16
And he has a18 different story about fathers and sons.19 In fact, he tells a story about men who20 have met their sons in prison, some of21 whom wait to meet their grandsons in22 prison.23 So the question I ask first24 today is, if we have two or three25 76 5/5/09 - WHOLE - BILL 090212, etc.1 generations in prison, is the criminal2 justice system broken, not just here but3 nationwide?4
Well, I have to5 say the criminal justice system isn't6 broken per se. We strive always to try7 to make improvements in the criminal8 justice system, but if you are looking at9 the fathers and sons that I believe your10 father is talking about, I'm very well11 aware of the Amachi Program. And by the12 way, you forgot to mention that I worked13 for City Council, too. So I wanted to14 throw that in too, that I worked here as15 well.16 Just so you know, I did the17 study for City Council that recommended18 40 years ago that the Youth Study Center19 be torn down. My recommendation finally20 has borne fruit. Every time I look at21 that magnificent open space, I say, My22 report did it, just 40 years late.23 The people that your father is24 talking about, and in particular in our25 77 5/5/09 - WHOLE - BILL 090212, etc.1 prison system, are not the people who are2 there for minor offenses. They are there3 for a variety of very serious crimes,4 frequently, but not always, homicides,5 aggravated assaults, robberies and a6 whole host of serious, violent repeat7 offenses, sexual assaults and so forth.8 Our prison is --9
Sure. Look, do I16 speak to every father and every son in17 prison? No. There are seven million18 people under probation, parole or in19 prison in this country, two million in20 custody and about five million on21 supervised parole or probation. That22 figure I think is pretty solid. But if23 you look at our own local jail as a24 microcosm of that, I have some25 78 5/5/09 - WHOLE - BILL 090212, etc.1 interesting figures, because I know that2 the --3
Next8 question is, from your experience, where9 should we be investing to stop that10 cycle?11
I'll tell you12 where I think you should be investing.13 From the very moment that a young unwed14 mother conceives, there should be, not15 from the DA's Office, intense social16 services poured into poor and underserved17 communities to try to get young women,18 young girls into prenatal care from19 physicians and how to be a mom. It's not20 just procreating. It's how to be a real21 mother.22 I think that I would try to23 instill in people the concept of a24 family, a family meaning a father and a25 79 5/5/09 - WHOLE - BILL 090212, etc.1 mother, if not living together, at least2 socially connected, a whole host of3 social programs that invest in the child,4 loving a child, inculcating a child,5 raising a child well --6
In that we10 don't disagree.11 So what is the role of the12 Criminal Justice Advisory Board in13 stopping that cycle?14
Well, the15 Criminal Justice Advisory Board has that16 as its function, looking at the criminal17 justice system to see if there are18 different ways of approaching a variety19 of issues. For example --20
I'm talking21 about specifically stopping that cycle of22 generations of people in prison.23
I don't know that24 the Criminal Justice Advisory Board has25 80 5/5/09 - WHOLE - BILL 090212, etc.1 that as a central function. However, if2 there were funding that would direct our3 attention to certain aspects of the4 criminal justice system, we would address5 them.6
My question7 again is, what is the role of the8 Criminal Justice Advisory Board in9 stopping that cycle in terms of10 generations going to prison?11
Well, I don't12 know that the Criminal Justice Advisory13 Board has that role at all.14
Well, that's15 why I'm sort of curious about why you're16 making recommendations on other people's17 budgets.18
Well, because the19 Criminal Justice Advisory Board has20 requirements, and I'll read them to you.21 It proves analysis of the problem;22 planned, produces the data and analysis23 needed to improve decision-making. It24 improves communication, cooperation and25 81 5/5/09 - WHOLE - BILL 090212, etc.1 coordination. It has clear goals,2 objectives and priorities, more effective3 allocation of resources, which provides a4 framework for resource allocation --5
None of that9 is going to stop generations from going10 to prison.11
I'm not finished.12 It improves programs and services which13 may have that effect. It improves14 capacity and quality of personnel.15
But none of16 that is going to stop generations from17 going to prison?18 (Bell rung.)19
Well, it might20 have some effect, but I don't know what21 you're driving at.22
I'm talking23 about the fact that you're making24 recommendations as part of a budget25 82 5/5/09 - WHOLE - BILL 090212, etc.1 process. I can understand you making2 recommendations about your own budget. I3 don't understand you making4 recommendations about other budgets,5 particularly for a criminal justice6 system that is broke.7
Well, it is in8 our bylaws and it's part of the benefits9 of a Criminal Justice Advisory10 Commission.11
As long as12 there are generations of people going to13 prison, the criminal justice system is14 broke.15
No. The criminal16 justice system is not broken because17 people go to prison. People go to prison18 because they commit crime. They commit19 crimes against society, which society20 says, Look, we've tried diversions, we've21 tried treatment, we've tried mental22 health, we've tried intervention. We23 can't put up with it anymore.24 Part of our national problem is25 83 5/5/09 - WHOLE - BILL 090212, etc.1 that we do have to isolate people who are2 so repetitive, so violent and so3 predatory that we have to lock them up4 and put them out of the company of5 civilized society. That's what every6 society does. We have --7
Every8 society does not do that, and your9 characterization of all those people in10 prison I don't believe is correct.11
Lastly, I14 will just say jail doesn't work either15 and it's very costly for us right now.16
Well, I'll tell17 you something, Councilman, if you ask the18 people in any community that you go to,19 any community --20
I'm24 at-large.25 84 5/5/09 - WHOLE - BILL 090212, etc.1
I know that.2 Citywide, you say, What is the price of3 your safety and security? They would say4 it's incalculable.5 What do we do with the worst6 offenders --7
It doesn't mean a15 thing. It means that people want the16 worst offenders in our midst to be17 isolated from the rest of us so that we18 can live in a society that is as much19 free of crime as we can possibly make it.20
Madam21 District Attorney, thank you again for22 your service. The issue of the criminal23 justice system being broken is not just a24 local issue. It's broken nationwide.25 85 5/5/09 - WHOLE - BILL 090212, etc.1 Thank you.2
It can always10 stand for improvement, but our justice11 system, presided over by our courts, is a12 society of laws. It's not a society of13 men. I'm a servant of the law. The law14 says what a person does, and a person is15 supposed to follow the law. When people16 can't follow the law and they are17 lawbreakers, they live outside of the18 law, and the punishment for the most19 severe of those is to put you in prison,20 we hope so that you will repent, and21 maybe through your father's program some22 of them will repent, but that isn't a23 guarantee.24
(Councilman25 86 5/5/09 - WHOLE - BILL 090212, etc.1 speaking without microphone.)2
Well, we can3 argue that some other time. It doesn't4 affect the budget one iota. People who5 are in prison in our prison system are6 there because --7
-- they should be10 there.11 Well, yes. Well, ask12 Mr. Wilson, who got stabbed last night,13 whether the person who stabbed him should14 go to prison for $100 a day, when he's15 going to leave the City, sell his16 business and leave his neighborhood.17
I didn't say20 everybody should. I said those who are21 repeat violent repetitory offenders ought22 to be isolated.23
With that we24 agree.25 87 5/5/09 - WHOLE - BILL 090212, etc.1
I2 guess that debate is over with.3 I would like to invite the4 Budget Director to come up to the table,5 please.6 (Witness approached witness7 table.)8
Good10 afternoon.11 You have heard the District12 Attorney testify, and I will say that13 year after year when she has been asked14 to make sacrifice and cut her budget, she15 has willingly done so. I cannot16 understand in my wildest imagination how17 we can cut a department such as the DA's18 Office by $7 million. And I don't mean19 to add oil to the fire, but under the B20 Plan, she would be actually cut by21 another $4 million. How can anybody22 function an office with cuts of that23 size? It's totally, totally impossible.24 How do we rectify this problem?25 88 5/5/09 - WHOLE - BILL 090212, etc.1
Well, if I may,2 Madam President, going back to the3 numbers themselves, there is a bit of a4 confusion about the numbers. The revised5 budget that was brought forward by the6 Mayor in November made a reduction in the7 District Attorney's budget of 1.48 million. All of those reductions at the9 time were for six months of the current10 fiscal year that ends June 30th. That11 cut had to be annualized as part of the12 FY10.13 When you do the annualization,14 the actual cut for that is about a four15 percent cut. So there is 1.4 million16 commencing January 1 of 2009 as part of17 the rebalancing for FY09. When we18 annualized those cuts, that meant another19 1.4 million was reduced for FY10, and the20 starting point for that was then21 approximately $28.9 million for their22 budget for FY10. The 4 million reduction23 from that number gets us to the 24.924 million for FY10. That reduction is25 89 5/5/09 - WHOLE - BILL 090212, etc.1 about a 13 percent reduction.2 Now, I think Mr. Gillison, the3 Deputy Mayor, should talk to you with4 respect to the policy implications of5 that, but with respect to the budget, one6 of the reasons we looked for a more7 sizable cut in FY10 is that the cut that8 was taken as part of the revision to the9 FY09 for the District Attorney was a10 rather small cut in comparison to other11 departments in the City, whether it was12 libraries, whether it was Police, Fire,13 both on a dollar basis and on a14 percentage basis, and that was the reason15 why we looked for a larger cut of not 2116 percent -- unfortunately, that math is17 not correct -- but for a 13 percent cut,18 and that's what we did.19
The24 Chair recognizes -- who am I going to25 90 5/5/09 - WHOLE - BILL 090212, etc.1 recognize first?2
I just have7 a simple question for the Budget8 Director.9 If you take the FY09 authorized10 budget, you compare it to the11 Administration's FY10 proposed budget,12 what is the percentage decrease in the13 amount suggested for the DA's Office?14
I don't have15 that calculation. I'd have to go do that16 for you, but --17
Well, I do too,22 but in response, remember that the FY0923 budget does not represent a full year24 reduction. So it's not an25 91 5/5/09 - WHOLE - BILL 090212, etc.1 apples-to-apples comparison.2
Mr.3 Agostini, it's a simple question. The4 answer is 22 percent.5 Thank you, Madam Chair.6
It's not on an7 annualized basis, so it's an incorrect8 comparison.9
Why10 is the Deputy Mayor not here since he11 could explain policy?12
Madam President,13 I don't know. We've been trying to get a14 hold of him this morning, and we are15 endeavoring to get him over here.16
You17 know, we're supposed to be interested in18 public safety. This floors me. It19 floors me.20 I believe that you were going21 to say something after the Budget22 Director spoke.23
Well, he just24 agreed with me. They took 1.40922525 92 5/5/09 - WHOLE - BILL 090212, etc.1 million from last year, and because it2 was so late in the year, we said, If we3 take ten percent, we'll be out of4 business.5 He said, Okay, we'll cut it6 five percent, 1.409225 million. Then7 they want for this year $5.6350988 million. That's $7 million. It's 229 percent. I don't care whether you10 annualize it or you stand on your head.11 It's 22 percent. You can't cut it any12 thinner than that. Twenty-two percent is13 22 percent. It's not 18 percent. I14 don't understand this fuzzy math stuff.15
Thank you,18 Madam President.19 I'm truly going to miss the20 exchanges between you and my colleague,21 Wilson Goode, and I would hope somewhere22 somehow in some forum you might continue23 that on an academic-only basis, because24 truly there's two different sides of25 93 5/5/09 - WHOLE - BILL 090212, etc.1 opinion that both need to be heard from2 to create what I think is the balance of3 public policy that we need to have.4 Having said that, I want to5 congratulate you on your years of service6 to us. I can too remember some of the7 times in which you have and years in8 which you have made a difference both in9 the justice department here in10 Philadelphia, but also in communities.11 I've seen you at small community forums12 walking it like you talked it and willing13 to exchange and try to make people's14 lives better who are also victims of15 crime, and I think it's important that we16 note that here in Council today.17
I would like20 to go on and say would it surprise you21 that the criminal element in the City of22 Philadelphia is keenly aware of our23 budget problems and our budget24 constrictions and are conducting their25 94 5/5/09 - WHOLE - BILL 090212, etc.1 business accordingly? Would that be a2 surprise to you, that they understand our3 process as well as we do?4
And what I'm6 hearing is, they know how because of the7 time delays and because of our8 overcrowding problems, how many times9 they can duck court, how many times they10 can avoid coming in before it becomes a11 serious matter, and, in fact, they know12 how much -- and I hear this in barber13 shop chat around the City of14 Philadelphia -- they know that if you15 commit this crime at this level, that the16 probable plea out is going to be this,17 that or the other outcome and, therefore,18 are able to plot their kind of progress19 in their field of endeavor, which is20 crime, based on that knowledge. Would21 that be a surprise to you?22
No. They23 probably missed the lecture by Reverend24 Goode.25 95 5/5/09 - WHOLE - BILL 090212, etc.1
I won't go2 there, but what I will say is that one of3 the issues that I have been advocating4 for as a cost reduction process is the5 alternate sentencing, the alternate6 judicial process of community courts, and7 one of the redeeming qualities that we8 heard in this Council from Red Hook, New9 York where they practiced this is that,10 A, everyone gets sentenced to something11 that is found guilty, that you don't walk12 away without any kind of remedial13 punishment and/or treatment, and I'm14 thinking that it goes a long way in15 reducing, A, separating the weak from the16 chafed, if you would, from non-violent17 offenders to violent offenders that need18 a more intensive treatment, such as19 prison, and I wanted to get your20 reflections on that.21
Could I ask a22 question of you, Councilman? When you23 say "Community Court," is that a term of24 art or -- there is a Community Court in25 96 5/5/09 - WHOLE - BILL 090212, etc.1 Philadelphia, as you know, which is, I2 think, on the chopping block, but that3 court was modeled after the New York4 court. Ms. Greenlee or one of her5 representatives and I --6
Yeah, Red Hook.8 We went there to New York to see the9 Community Court. That's for usually10 first-time non-violent offenders who get11 HIV treatment, mental health treatment,12 psychiatric treatment, job training,13 health counseling, and it's a14 non-punitive court. It diverts cases15 from the criminal justice center, and the16 notion is to try to get people to get17 back on the right track.18 But there are also other courts19 like Drug Treatment Court where you plead20 guilty and you go into drug treatment,21 which is not an easy thing, for, again,22 non-violent offenders, who really want to23 get their act together and they can go to24 Drug Treatment Court where, after they25 97 5/5/09 - WHOLE - BILL 090212, etc.1 complete the program, go to job training2 and go to jobs, their record is expunged.3 We also have the Domestic4 Relations Court where there's pretrial5 anger management and supervision6 involving that kind of program, where we7 hope that the person who is threatening8 his significant other isn't going to9 resort to violence.10 There's our Gun Court where we11 try to divert people from the regular12 list so that people can get specialized13 treatment and, if necessary, custody and14 follow-up. These special courts are all15 designed to concentrate our efforts on16 the most hard-core recidivist offenders17 who get the punishment they deserve after18 trial. That means usually state19 incarceration. And there are a whole20 host of other programs that we've21 initiated as well. There's a Mental22 Health Court, which is not going to get23 started if our budget is cut, and also24 this AVOP and ARC programs, the25 98 5/5/09 - WHOLE - BILL 090212, etc.1 consolidation of all the defendant's open2 cases into a review and consolidation and3 the accelerated violation of technical4 probation programs.5
That is6 exactly what I'm talking about. The7 question becomes here in Philadelphia is8 codifying all of those different services9 under one court and trying to get10 multi-jurisdictional courts in local11 communities, and the key of it is local12 communities, because they have a better13 chance of getting folk from the community14 back in the community without that kind15 of centralized justice process that kind16 of moves paper as opposed to rehabs17 people.18 (Bell rung.)19
And let me20 just segue to this, that although murders21 are down I believe 15 percent overall,22 violent shootings are up 30 percent, and23 I wanted to know, in January there's24 going to be a new DA. Is there some25 99 5/5/09 - WHOLE - BILL 090212, etc.1 advice you can give the City of2 Philadelphia dealing with this increasing3 gun problem that we're facing?4
I just want to5 correct the record. According to the6 statistics we've been provided -- and I'm7 not privy to where yours were --8 homicides are down year to date, but it's9 difficult to extrapolate for the rest of10 the year, because the most violent months11 of June, July, August, the summer months,12 are yet upon us. They're down around ten13 percent, but shootings are up four14 percent.15
Well,19 according to the records I have, in20 November of last year this time, we had21 121 shootings that month. During22 Christmas, we had 130 shootings,23 non-fatal, that month. First of the24 year, 114 shootings that month.25 100 5/5/09 - WHOLE - BILL 090212, etc.1 February, 101, non-fatal. March, 117.2 My point to you is, are we3 experiencing a downturn in murders or are4 we experiencing people that can't shoot5 straight?6
Well, I'll tell7 you, I think the truth of the matter is8 we are experiencing some small, but not9 insignificant, decrease. However, I10 think the single most important feature11 of our homicide and shooting rates is our12 trauma teams and our wonderful hospitals.13 If we didn't have great trauma surgeons14 at Penn and Temple and other first-class15 trauma centers, our homicide rate would16 be right through the roof. What turns a17 homicide into an assault with intent to18 kill or aggravated assault is frequently19 a great surgeon, and we have great20 surgical interventions, and that's really21 what does it.22 Sometimes people will shoot --23 and now is the normal case -- multiple24 times and not hit their target at all or25 101 5/5/09 - WHOLE - BILL 090212, etc.1 just hit one time. You can look at the2 litter on the street and find 40, 50 or3 100 shell casings with perhaps only one4 or two people being shot, but the5 neighborhood rendered paralyzed.6 So I don't know what to make of7 it. I think it's really dangerous to try8 to extrapolate. Nobody really knows why9 people don't shoot one day and shoot the10 next. It's one of those things. It's11 poor impulse control. It's a whole bunch12 of other things. But I don't take any13 great comfort that for a short period of14 time our crime goes up. If you look at15 our crime waves over the years, it goes16 up and down and up and down, and17 sometimes there's just no explanation for18 it, but it doesn't mean that the criminal19 justice system is broken.20
My last21 question was, in January we're going to22 have a new DA.23
If you had25 102 5/5/09 - WHOLE - BILL 090212, etc.1 some advice for them facing what we're2 about to face in the City of Philadelphia3 when it comes to dealing with your4 office's duties, what would that advice5 be?6
Well, I wouldn't7 presume to give anybody, including the8 next District Attorney, advice. I think9 that's for him to grapple with, but I10 would say this, that a 22 percent budget11 cut means that the services that any12 District Attorney would be able to render13 to the citizens of Philadelphia would be14 so far diminished, that taking your15 previous comment, the defendants would16 have a field day. And we're not dealing17 with a stupid population. I think18 because some people think that some of19 our defendants are not particularly well20 educated translates into stupid. Quite21 the contrary. They know how to game the22 system pretty good. They know exactly23 what they're doing, and I think that that24 means that criminal defendants now have a25 103 5/5/09 - WHOLE - BILL 090212, etc.1 real big leg up on victims, and that just2 means they further engage in predatory3 conduct in our neighborhoods. That just4 increases people's concern. It weakens5 our business rating. It weakens our life6 quality. It makes people want to leave7 faster. It concerns our school system.8 It concerns every system.9 It's not just the District10 Attorney's Office. As I tried to explain11 to Councilman Goode, it's the criminal12 justice system. That's what the CJAB is13 for, to make it work in a systemic,14 thoughtful way that gets the most15 benefit.16 But I think the next District17 Attorney is going to have his hands full18 with all kinds of issues, and,19 unfortunately, some of them are promising20 pie in the sky, putting prosecutors out21 in the community. They're not going to22 have any prosecutors to put out in the23 community. They won't even have24 prosecutors to put in court. Really25 104 5/5/09 - WHOLE - BILL 090212, etc.1 silly.2
Thank you,3 Madam President.4 COUNCIL PRESIDENT VERNA:5 You're welcome.6 I see that the Deputy Mayor7 Gillison has arrived. I would ask him to8 please join us at the witness table.9 (Witness approached witness10 table.)11
I16 don't know if you heard the District17 Attorney's testimony at all.18 DEPUTY
I have19 not. I've been at a reentry opening that20 we've had at Goodwill down at 7th and21 Callowhill putting people who are22 ex-offenders back to work in order to23 help with the Mayor's program. So I have24 not, but --25 105 5/5/09 - WHOLE - BILL 090212, etc.1
Well,2 that's wonderful.3 Now, can you tell us how the4 Administration arrived at the decision to5 cut the District Attorney's budget by 226 percent when no other law enforcement7 agency was cut by that amount?8 DEPUTY
Well, I9 was able to -- and I thank the District10 Attorney for providing the testimony11 early on. I did read it this morning. I12 know that there has been previous13 testimony given by the Budget Director14 indicating that we do not agree as far as15 certain beginnings and end, but putting16 that aside, whether it's a 22 percent17 cut, a 20 percent cut or whatever, what18 we have tried to do from the beginning is19 to take a look at all of the partners in20 the criminal justice area and to look at21 what their needs are and to look at where22 they will be able to have access to23 funds. The best way to do this -- and I24 think that the District Attorney25 106 5/5/09 - WHOLE - BILL 090212, etc.1 referenced it in her testimony -- was2 that there were going to be grants3 funding that would be available to the4 District Attorney with the support of5 this Administration, and that's something6 that we are very, very happy and have7 been waiting for the District Attorney to8 actually propose how she would actually9 be able to use certain funds that are10 available.11 She's talked about in her12 testimony, I believe, that the Mayor has13 access to certain Burn funds for grants14 that have come as a result of the15 economic -- or the American Recovery Act16 and that we or he has available --17
The20 money that she has referenced in her21 testimony is guaranteed, yes, it is. We22 have $13.5 million that we're going to23 try to allocate fairly within the24 criminal justice area. We have pledged25 107 5/5/09 - WHOLE - BILL 090212, etc.1 as a way of seeing that CJAB is going2 together, that we are able to go forward3 in working together in making4 recommendations. Those are things --5
It is8 not because we just got that money in the9 last, I guess, last six weeks from the10 matter. So it is not budgeted in the11 detail at all.12
As I15 sit here right now, I don't -- I guess it16 was a little bit over -- right after that17 matter went forward is when we received18 the money from the Congresspersons who19 made it available through the Burn local,20 and that we have advertised to all of our21 criminal justice partners to come forward22 with suggestions. We have received23 various suggestions from the courts.24 We've received suggestions from the25 108 5/5/09 - WHOLE - BILL 090212, etc.1 Police. We received suggestions from2 reentry and the Prisons, and we've3 extended, because the deadline is May4 18th, we've extended an opportunity for5 everyone to actually come forward and6 give suggestions so that we can work7 collaboratively in making sure that we're8 meeting various needs. That's part of9 the process that we're going forward and10 that's --11
I'm12 sorry. You say the deadline is May 18th?13 DEPUTY
The18 deadline for us actually detailing how we19 are going to utilize the funds that are20 available to us is May 18th.21
Yes.24 Did you ever notify the DA's Office of25 109 5/5/09 - WHOLE - BILL 090212, etc.1 that?2 DEPUTY MAYOR GILLISON:3 Absolutely. It's been a part of our4 discussions at CJAB for two weeks.5
You know what, I6 must be in an alternative universe.7 Sarah Hart, Al Toczydlowski, John Delaney8 and I, either all at once or at various9 times, have been to every CJAB meeting.10 As a matter of fact, contrary to what Mr.11 Gillison says now, at the CJAB meeting he12 said that the $13.4 million was heavily13 weighted to the Police Department. He14 never extended us an invitation to apply15 for anything, and you can ask Mr.16 Toczydlowski, you can ask Sarah Hart, you17 can ask John Delaney.18 This is a mystery to us. The19 grants that we are trying to get are20 federal monies that we compete against21 everybody else in not only the world but22 in Pennsylvania, and we cross our fingers23 and hope that we'll get some money, but24 nothing is guaranteed to us. And I have25 110 5/5/09 - WHOLE - BILL 090212, etc.1 to tell you, I listen carefully at all2 these CJAB meetings and take good notes.3 He has never said to us, ever, we can4 apply for some of that $13 million and5 they'll give it to us.6 DEPUTY
I said7 that -- and I will stand on what has been8 stated that has been taken both in the9 notes and everything else. As we ended10 up going forward, there are several11 different pots of money that have become12 available. One of them has been the13 money that has come under the Burn14 local -- Burn grant that is being15 controlled by PCCD. The District16 Attorney is very well aware of that. We17 are all waiting for additional18 instructions as to how to apply for $4319 million that is controlled by the state.20 Those guidelines have not been made21 available to us, and we are going to seek22 to coordinate the application.23 One of the great things about24 CJAB is that we have been working25 111 5/5/09 - WHOLE - BILL 090212, etc.1 diligently since August to make sure that2 we as a system are going to go forward in3 coordinating our applications for4 everything that we do. It is not just5 the stove piping that has been the6 hallmark of this area for quite a long7 time. It has been trying to work8 everyone together. I am quite happy to9 hear that the District Attorney is very10 supportive of CJAB and the concept of11 CJAB. The Mayor made that a priority12 when he ran for Mayor, and we have13 implemented that. We have had certain14 very great successes in working together,15 and we will continue to have those16 successes.17 There are certain things that18 we have to do and do together. One of19 them is trying to coordinate and make20 recommendations as to how to use money.21 And the bottom line is, as far as the22 local money that came forward as even her23 testimony does indicate, she's indicated24 that that money is there available to the25 112 5/5/09 - WHOLE - BILL 090212, etc.1 Mayor to, quote/unquote, use any way he2 wants to use it, and one of the things3 that we made and stated at the last CJAB4 meeting, which was only a couple of weeks5 ago, was that we were going to publicize6 all of the things that came forward that7 people have made as far as their8 suggestions, and that once publicized, we9 would ask for information to be given to10 each of us as to how that money should be11 used, and those recommendations will be12 taken to the Mayor.13 Those things have come forward,14 and each of the partners have actually15 put together various things. I received16 those from Dave Lawrence. I received17 those from both the Prisons, the Police18 and everybody else, and for the District19 Attorney to say now that she doesn't20 remember or that she was never given a21 direct invitation, I'll just leave that22 to her statement.23
Well,24 I believe we had Judge Dembe testify last25 113 5/5/09 - WHOLE - BILL 090212, etc.1 week.2 DEPUTY
I5 don't recall Judge Dembe ever mentioning6 the fact that they were going to be given7 additional monies from this grant. I do8 remember Judge Dembe saying something to9 the effect that if the District10 Attorney's Office were cut, the justice11 system could come to a complete halt.12 DEPUTY
Now,19 how long will this money be available20 from this grant?21 DEPUTY
The22 grant has to be used over a two-year23 period. For most of the money it's --24 look, $13.5 million is not going to solve25 114 5/5/09 - WHOLE - BILL 090212, etc.1 anybody's direct or total need. We have2 to be mindful of the fact that we are in3 an economic crisis. The economic crisis4 has resulted in us having to cut budgets5 that we do not want to cut. I mean,6 that's just the reality of it. The issue7 is is that how do we use the money that8 is available to us to target things in9 the best way, and what we have tried to10 do is balance everything that has come11 before us in a way that is targeted to12 use the money in the best way, and we13 believe that the budget that we have put14 forward for all of the various partners15 at least gets us through the tight years.16 And since we're working together -- and I17 want to emphasize that. We are working18 together. We're working together better19 now than we have in quite a long time.20 Everybody has had to give up something.21 I was here when the courts said22 that, you know what, they came up with a23 program, the AVOP program, that puts24 together various matters that allows25 115 5/5/09 - WHOLE - BILL 090212, etc.1 multiple-hold defendants to be processed2 earlier.3 I know that the video4 technology was not something that was5 embraced by everyone prior to this6 Administration, but that we have been7 able to sit down and talk about how to8 use and expand video technology, and,9 therefore, we're moving forward on that.10 I know that we have had11 problems with electronic discovery for12 quite a long time, and we now have that13 actually moving and moving well, where14 all the discovery is getting to the15 District Attorney's Office faster now16 than it was before.17
Each of20 those things are being done for us21 working together to help us.22 COUNCIL PRESIDENT VERNA:23 Excuse me.24 The Chair recognizes Councilman25 116 5/5/09 - WHOLE - BILL 090212, etc.1 Green for a point of information.2
Madam Chair,3 thank you.4 I'm not sure what we're5 discussing here, because for the first6 time we're hearing about revenue that is7 available in FY10 that is not in the8 budget, and so I'd like to get a clear9 explanation from the Administration on10 what exactly is available and what11 exactly we can use it for, because as we12 had discussions with the Sustainability13 Director and with members of the14 Administration consistently since we knew15 there would be extra federal money this16 year, we have pointed out and this body17 has made clear that we get to appropriate18 where that money goes. They're going to19 make the recommendations. We get to20 appropriate. And when they know there's21 a pot of money, they committed to come to22 us and let us know in advance so that the23 decision wouldn't be whatever they24 decided it had to be because we had no25 117 5/5/09 - WHOLE - BILL 090212, etc.1 input in the process, it was all decided2 in advance. They come to us at the last3 minute and say, This is the only thing we4 got the authorization for, so now you5 have to appropriate it exactly as we say6 or we can't use the money.7 What he is describing is a8 situation where they have known for six9 weeks that money was available that10 Council could appropriate for one purpose11 or another, for the DA's Office, for the12 courts, for the Police, for the Prisons,13 and they have chosen not to make us aware14 of that revenue. They're about to put an15 application in in just 13 days, and we16 cannot -- unless we have input in the17 process now, the Administration will18 decide it doesn't go to the DA's Office,19 it doesn't go the courts.20 So I'd like a clear explanation21 from the Administration as to exactly22 what this money can be used for so that23 we can appropriate it the way we see fit.24
Point of25 118 5/5/09 - WHOLE - BILL 090212, etc.1 information.2
The3 Chair recognizes Councilman Goode for a4 point of information.5
I actually6 saw the press conference. It was7 reported in the news. I've read it in8 the newspaper. The money is not a9 secret. Everyone I think who read about10 it knows about it. And the issue of11 whether we appropriate in this budget or12 not, at the end of the day, the Mayor can13 spend it however he wants after July 1st.14 Thank you, Madam President.15
He cannot16 spend it in any department where we have17 not appropriated funds for him to spend.18 That is the way this process works,19 Councilman.20
Actually,21 I've been here for ten years. I22 absolutely know how this process works,23 and I'm assuming the money has to be24 appropriated according to the federal25 119 5/5/09 - WHOLE - BILL 090212, etc.1 guidelines so it would go to a place2 where it has to go. Does that make sense3 to you, Councilman?4
I understand9 what you're saying. Do you understand10 what I'm saying, Councilman?11
Does it make12 sense it has to go to the criminal13 justice budget one way or the other?14
The15 Administration is going to choose on16 their own --17
-- where20 this money goes and would have, had we21 not learned of this matter today. It is22 not in the budget.23 It is not in the budget you24 presented to City Council. Now, please25 120 5/5/09 - WHOLE - BILL 090212, etc.1 explain where the $13.5 million can be2 spent.3
However you7 want to characterize it, it's money I8 didn't know about before today,9 Councilman.10
There was a11 public press conference. It was covered12 in the newspapers.13
Maybe I'm14 delinquent in my duties. It's money I15 didn't know before today and I want to16 know what that money is eligible for.17 Where can we spend it?18
In any21 department in the system that you just22 mentioned?23
Criminal24 justice.25 121 5/5/09 - WHOLE - BILL 090212, etc.1 DEPUTY
It's a2 criminal justice. It's a Burn local3 grant. It's something that the City has4 applied for in various areas. Heretofore5 before this Administration, there has6 been -- it has been left to each of the7 various stove pipe areas to try to get8 money. Police would apply. The District9 Attorney's Office would apply. The U.S.10 Attorneys would apply, and it would be a11 competitive grant. I mean, that's the12 way it is. As a result of the additional13 monies coming from the federal14 government, they made additional money15 available to the Administration for the16 same purposes that they have had17 heretofore. It gave us an opportunity.18 We had a very large press conference. I19 believe it was six weeks ago. I'll check20 my calendar. But it was six weeks ago21 when they said that this was becoming22 available. And what we tried to do is23 take the needs that are out there, and24 since this money cannot be used to25 122 5/5/09 - WHOLE - BILL 090212, etc.1 supplant -- and this is what Mark Alan2 Hughes has been saying from the3 beginning. This is one of those grants4 that can't supplant what we're doing, but5 to be able to invest in things that for6 the future and also to try and see if we7 can help save some jobs. Those are the8 things that we're trying to use.9 We made an announcement at not10 the CJAB meeting that was just in April.11 We actually made the CJAB meeting in12 March where we said if there are things13 that you want to be able to do or you14 want to have recommendations made or how15 the money should be used, please let us16 know, and all the other criminal justice17 partners have actually suggested various18 things that we should invest in.19 We know that we have to bring20 these things to Council. We know that21 that's going to actually have to be done.22 We have to notify --23
If it's24 after the money is authorized, it's sort25 123 5/5/09 - WHOLE - BILL 090212, etc.1 of irrelevant, because we can't2 appropriate it anywhere that hasn't been3 authorized by the federal government.4 You should have the discussions with us5 in advance.6 DEPUTY
The7 idea was that we were going to try and8 make sure that everyone had an9 opportunity to put together the10 information. We had actually put11 together a notification process that12 after all of the various proposals came13 through, that we would discuss it at CJAB14 so that we would be able to have a15 recommendation be made, and that's the16 way that we were going to do it and we17 were going to actually have that process18 being done.19
So there's20 nothing -- I still don't understand your21 answer. If you can just provide the22 written detail --23 DEPUTY
That's24 not a problem.25 124 5/5/09 - WHOLE - BILL 090212, etc.1
-- by the2 end of the day so we can take a look at3 this ourselves.4 DEPUTY
I have one7 more point of information. Were you8 helping ex-offenders this morning or were9 you at a press conference?10 DEPUTY
--15 ex-offenders that were down there who16 have gotten jobs under the guise of the17 Goodwill and the Knight Foundation. So18 I've been doing both. Thank you.19
Madam President,20 could I have the microphone back on for a21 moment?22 Thank you. This is just23 drivel, as I said before. He doesn't24 really answer the question. He hasn't25 125 5/5/09 - WHOLE - BILL 090212, etc.1 explained to you one thing with relation2 to why we are the only people he's cut 223 percent. We've been talking all about4 everything else but, because he can't5 justify it.6 If everybody is going to have7 at this $13 million, which he never told8 us about -- and I'm going to have9 Ms. Vandenbrack-Hart tell you about the10 grant process and the monies in a11 moment -- then he would have cut12 everybody. So why are we the only13 persons to get a 22 percent cut?14 DEPUTY MAYOR GILLISON:15 Everyone was cut.16
Well, you know --17 no, no, no, no. The Public Defender was18 cut 3.7 percent, while we were cut 18.419 percent. And I don't care how you20 annualize it, semi-annualize it or look21 through the microscope at it, it's still22 1.3 million for them and 5.6 million for23 us. And don't you for one minute believe24 that the Mayor is going to give me $5.625 126 5/5/09 - WHOLE - BILL 090212, etc.1 million. I mean, let's not be playing2 funny games around here with this fuzzy3 math.4 Now, I'd like5 Ms. Vandenbrack-Hart -- I'll put her two6 names together; Sarah Hart for short --7 introduce herself and to give you some8 interesting information.9
Let me just by10 background explain that I spent four11 years running a grant-making agency in12 the Office of Justice Programs, which is13 part of the funding agency here.14 There are four stimulus grants15 that potentially -- three grants that can16 potentially be used under the Burn17 grants, in addition to a COPS fund. The18 13.5 million has been specifically19 allocated to the City of Philadelphia. A20 requirement of that grant is public21 notice and the review by City Council22 before that application is made.23 The CJAB also passed a24 resolution asking specifically to see how25 127 5/5/09 - WHOLE - BILL 090212, etc.1 the Mayor proposed to spend that money.2 So far, they have refused to provide it.3 They still have not agreed to provide it4 to us, but simply seem to say if people5 send us requests, we'll decide.6 Some of the ideas that have7 been put on the table are things like8 shot-spotter technology, things that are9 not proven to work. There are serious10 questions about the proposed expenditure11 here. There needs to be transparency in12 the process. Legally you're entitled and13 the public is entitled to know what this14 money is being spent for. And before15 this money is cut from the District16 Attorney's budget and the rest of the17 criminal justice players, it seems only18 appropriate that this body make an19 informed decision about how that money20 should be spent.21 DEPUTY
There's also --24 excuse me, Council President. There's25 128 5/5/09 - WHOLE - BILL 090212, etc.1 also a billion dollars in COPS money, $12 billion. It's not a piddling amount of3 money. And there are other targeted4 grants that go to various entities and5 agencies.6 We're in the competitive7 business. Nobody is giving money8 earmarked to the District Attorney's9 Office. We're just a little fish in a10 great big pond trying to get the11 attention of anybody who will give us12 money for the programs that we need to13 run the office or which we think will be14 extremely helpful to our crime victims.15 But we're not guaranteed anything by16 anybody, not the Mayor, not the CJAB, not17 the Burn, not the federal government, not18 anybody. It's just as I said.19 This was never brought to us.20 We were never told of it. The money is21 not -- we don't know where the money is22 going, but I can tell you where it's not23 going. It's not going to the District24 Attorney's Office in any amount necessary25 129 5/5/09 - WHOLE - BILL 090212, etc.1 to close the 22 percent slashing that2 this Mayor proposes. And if Mr. Gillison3 thinks that you're fooled by his4 rhetoric, he can't be thinking that,5 because we know he worked for the Public6 Defender's Office for 30 years. He's not7 on our side.8 DEPUTY
At a12 certain point, the verbiage and what I13 would call -- because what I have tried14 to maintain since taking this position is15 something that I think it's time that16 some things just stop.17 Number one, the issue about18 where I've worked and what I have19 dedicated my life to do, which is to sit20 back and to actually be a voice that is21 not only constitutionally required but is22 necessary for the effective criminal23 justice being done, is something that I24 will never take back or never say that25 130 5/5/09 - WHOLE - BILL 090212, etc.1 was done in error. Without a district2 attorney being in the room, you can't3 work. Without a public defender in the4 room, you can't work. And let's not get5 too far ahead --6
There's no7 disagreement about that. We're not8 talking about that.9 DEPUTY
So the10 idea that you would say that this11 Administration because of where I have12 cut my teeth for 30 years has taken13 anything other than an equal view of how14 things need to be done, I have examined15 everything that has come from your16 budget, and as I will remind you, is that17 when we asked for all departments to do18 and provide certain information, your19 department chose not to do certain20 things. All we did was say we will work21 on what you were giving us and we will22 work together.23 I have emphasized and this24 Administration has emphasized a25 131 5/5/09 - WHOLE - BILL 090212, etc.1 collaborative way of going forward. If2 there is something that needs to be done3 in a way, then I would suggest that you4 end up doing like everyone else has, we5 sit down at the table and we hash things6 out and not just, as I would suggest,7 take the verbiage and say that that's8 going to be a way of getting things done.9 It has never impressed me to begin with.10 I think that the best way to do things is11 to collaborate and to sit down and to12 discuss what are needs.13 One of the things that I said14 to you from the beginning is, I thanked15 you when you ended up putting the16 resolution down, because it was the first17 time that your office indicated that it18 could even sustain a cut in an economic19 time when everybody was being cut. So20 the realization that you finally have21 come to, that the office needed to be cut22 because everyone needed to be cut, is23 something that I thanked you for, and24 we're going forward. And as I said to25 132 5/5/09 - WHOLE - BILL 090212, etc.1 you before, this Administration stands2 ready to help in identifying not only3 sources of funds, but additional funds,4 where the need has been identified and5 where the need -- we can actually make6 the things work. We are going forward on7 this together, because that's the way we8 have to go forward.9 So I would just want to say10 thank you for that particular courtesy.11
Madam President,12 I think Mr. Toczydlowski has a point in13 opposition to what Mr. Gillison just14 represented to Council.15
Thank you,20 Madam Chair.21 You know, I'm not sure pretty22 speeches or debates about what happened23 in the past and how we got to where we24 are today is going to help this body make25 133 5/5/09 - WHOLE - BILL 090212, etc.1 up our mind about where we have to go2 with what the funding is. So like all3 the water is under the dam, as far as I'm4 concerned. The point is, we are where we5 are. As a practical matter, this Council6 has to introduce a budget by May 14th for7 it to pass by our Charter-mandated time.8 That is not much time. If you guys can't9 work it out in the next week, we can't10 introduce -- we can't do the amendments11 necessary to the budget to get the budget12 passed and give proper notice by May13 31st, which means we're into June, which14 means we're violating the Charter and all15 sorts of things.16 So the fact that we haven't17 had -- I hear you saying you want to help18 with funding, but you guys need to sit19 down and do it now. This isn't a debate20 anymore. There's a week left. Work it21 out with the DA's Office and come back to22 us with something both parties can live23 with, because I can tell you, this body24 is not going to cut the DA's Office 2225 134 5/5/09 - WHOLE - BILL 090212, etc.1 percent. It's not going to happen. So2 work it out.3 Is there money in this grant4 that's possible? Give some to them. I5 mean, just don't debate here.6 DEPUTY
I'm not7 debating anything. I was asked to answer8 questions.9
You're10 giving speeches about things up here, and11 I don't have enough information to make12 any kind of rational decision about what13 the funding should be for the DA's14 Office. So I'd like to get down to some15 questions about specific things within16 the DA's budget that may be able to help17 save money elsewhere and other things,18 which is why we're here today, but I'm19 very disappointed that according -- and20 I'm sorry. The other person who spoke21 about the May 18th date, could you22 specifically describe for us what is23 required, what approval is required by24 Council prior to the submission of a25 135 5/5/09 - WHOLE - BILL 090212, etc.1 grant, and then could the President's2 Office or the Administration tell us3 whether or not we've been contacted for4 this approval, and then maybe the5 Administration could tell us when you6 were planning to come to us and get our7 approval, because if it requires an8 ordinance, it's already too late.9 Thank you.10 DEPUTY
If I may, for the13 record, Sarah Hart.14 Specifically, I can forward to15 you the grants here that -- the specific16 solicitation which has the grant17 requirements in it. It requires review18 by the legislative body. That is a19 deliberately fairly vague term, because20 it's based on what the local practice and21 requirements are. If you're required to22 approve it, that's what's required, but23 it uses the term "review." It requires24 public notice and review by you,25 136 5/5/09 - WHOLE - BILL 090212, etc.1 submission to you before that is sent to2 the Department of Justice.3
I believe at8 first you said approve, then you said9 review, then you said something needs to10 be submitted. What exactly does it say?11
No; the application.20 It requires the review of the application21 before it is submitted to the Department22 of Justice.23
What does24 that mean in your mind?25 137 5/5/09 - WHOLE - BILL 090212, etc.1
In my mind? The2 minimum that the department will require3 is, it has to be sent here before the4 application is submitted in sufficient5 time for your review.6
That does not9 preclude, however, if your local10 requirements require something else, the11 Department of Justice does not trump your12 local requirements, like an ordinance.13
So14 essentially it means we have to review15 it, which means it has to be submitted to16 us for review so we're aware of it?17 DEPUTY
No. You don't have22 the application yet. None of us have23 seen it.24
Point of25 138 5/5/09 - WHOLE - BILL 090212, etc.1 information.2
The3 Chair recognizes Councilman Green for a4 point of information.5
We have two6 more meetings before the May 18th7 deadline, I believe. When were you8 planning on having a final application9 for our review?10 DEPUTY
Once11 the -- it was our intention to have the12 information prepared and have the review13 by CJAB and then the proposals reviewed14 and then made, and then we would then15 submit for Council's review of the16 application. Right now I don't have an17 application ready for you to review.18
There's only19 one way for the Administration to20 communicate with this body officially21 and, that is, announcements on Thursday22 mornings. There's two Thursdays left.23 When does CJAB next meet?24 DEPUTY
No. We25 139 5/5/09 - WHOLE - BILL 090212, etc.1 were going to actually do this if it was2 necessary -- and it appears that it would3 be necessary -- once all the proposals4 came through, we were going to put it out5 and have a meeting via e-mail and/or if a6 meeting was necessary, the Chair and I7 decided that we would actually call a8 meeting for that particular purpose. So9 that for the review process, we thought10 that it would be best to have a meeting11 of CJAB so everyone could see what the12 various proposals were and then how to13 actually support and what would need to14 be supported as CJAB as a recommendation15 to the Mayor. We would then put together16 all of those things and put it in the17 application, and then we would notify18 Council, consistent with the review19 process that is in the Burn grant.20
The only way21 you can do that is by eight days from now22 having submitted a completed application23 to this body to be announced from that24 podium. That's the only way you can do25 140 5/5/09 - WHOLE - BILL 090212, etc.1 it.2
Council, I just3 want you to know, Councilman, the CJAB4 has been asking for the application for5 six weeks. We don't have the next6 scheduled meeting for CJAB yet. So this7 is all -- this is the way this is. So I8 don't know when and, frankly, I don't9 know what your review process is. You10 just look at it and say, Okay, or does --11 and I don't know enough, so I'm asking12 you. Rhetorically. You don't have to13 answer me. But if this requires an14 ordinance, I don't know how you're going15 to do it. If it just requires a cursory16 review or discussion and public notice,17 that's something else.18
It doesn't require19 the approval before this application is20 submitted, but, however, the review has21 to come before the application.22 DEPUTY
That has to occur25 141 5/5/09 - WHOLE - BILL 090212, etc.1 before. Any later approvals that might2 be required can occur afterwards, but3 review has to be before the application4 is submitted to the Department of5 Justice.6 DEPUTY
Do you9 happen to know under the guidelines if we10 reviewed it and didn't approve of it?11
I think it would be12 bad faith to submit an application that13 they felt the City Council was not going14 to approve.15
I17 don't know that a question was ever18 answered. I believe it is said that the19 funding will last for two years?20 DEPUTY
How22 about the Five-Year Plan? It's not23 indicated in the Five-Year Plan at all.24 DEPUTY
This25 142 5/5/09 - WHOLE - BILL 090212, etc.1 was done after the Five-Year Plan. This2 money only came in after the Five-Year3 Plan.4
So5 the Five-Year Plan is going to be6 amended?7 DEPUTY
It8 depends on -- I would think it depends on9 what the application of the money would10 be. For example, if one of the pots of11 money that was used was under the COPS12 grant and if -- there is a requirement13 under the COPS grant that after the -- in14 the outer years, it would really be in15 Year 4 and Year 5, that there would be a16 need to amend the Five-Year Plan, because17 if we get that grant, we would have to18 pick up the full cost of the police19 officers if we should get it. The first20 of the matters with the Five-Year Plan,21 the COPS money only requires -- we would22 believe that we would get a few police23 officers, not anywhere near the numbers24 that we've applied for. We're hoping25 143 5/5/09 - WHOLE - BILL 090212, etc.1 that -- we have heard from the2 Administration in Washington that we3 would get additional opportunities to get4 additional police officers under the COPS5 grant once they have expanded the6 program, but that's going to be for after7 July 1st and not this year.8 COUNCIL PRESIDENT VERNA:9 Mr. Gillison, if the grant does not come10 forth --11 DEPUTY
If the12 grant does not?13 COUNCIL PRESIDENT VERNA:14 Approved. If it is not approved, in all15 good conscience, do you think the16 District Attorney can function an office17 without additional monies?18 DEPUTY
As I19 had said from the beginning, we would end20 up providing and trying to provide all21 the monies that we are able to provide in22 this environment.23 I think that they need24 additional money? The answer is yes. I25 144 5/5/09 - WHOLE - BILL 090212, etc.1 think that most of the people in criminal2 justice need more money, and we are3 looking at every -- in every way that we4 can in order to help provide more money.5
But6 no office has been cut the way this7 office has.8 DEPUTY
I15 think we have to be very honest with each16 other. Is she going to be made whole if17 in fact the grant is not forthcoming?18 DEPUTY
It19 depends on what you mean by "whole." Is20 she going --21
What22 she was before she was slaughtered.23 DEPUTY
Well --24 COUNCIL PRESIDENT VERNA:25 145 5/5/09 - WHOLE - BILL 090212, etc.1 Slaughtered. I'm asking. Do I have an2 answer to the question?3 DEPUTY
My4 question is, we are looking for5 additional funds in order to make sure6 that she can get the money that she can7 get.8
So9 you're asking a question or you're making10 a statement?11 DEPUTY
You14 said, I'm asking a question. What is15 your question?16 DEPUTY
No. I17 don't have a question, ma'am.18 COUNCIL PRESIDENT VERNA:19 Didn't he just say I'm asking a question?20 DEPUTY
If23 this funding does not materialize, what's24 going to happen to the DA's Office?25 146 5/5/09 - WHOLE - BILL 090212, etc.1 DEPUTY
The one2 thing I will say is that the money that3 we're talking about trying to use to make4 sure that the DA has additional funding5 is money we already have in hand. So the6 money being, quote/unquote, materializing7 is not necessarily a question. We8 already have that money. The question9 is, how much money are they going to be10 eligible for under the grant. That's a11 different question, and how that would be12 able to be used is a different question.13
Who14 is asking for a point of information? I15 see hands are going --16
Madam17 President, I just want to support as a18 member of City Council we need the answer19 to this question. This is not mirrors.20 It's a matter of public safety.21 If in fact the grant doesn't22 come through -- and to have this dropped23 on us about this grant at this point in24 the process just kind of amazes me.25 147 5/5/09 - WHOLE - BILL 090212, etc.1 Mr. Gillison, at what level2 will you commit today to restore the3 District Attorney's budget? That's what4 we need to know, or we're not going to5 get very far here.6 DEPUTY
The7 District Attorney has identified the need8 for somewhere around $29 million. That9 was something that was dealt with under10 the resolution that was passed by the11 CJAB. That $29 million is, as far as I12 can see, much like the courts. I think13 their request was for 106 million and I14 believe the Defender was for another to15 million. So I'm looking for trying to16 see how we can balance all of those needs17 given the money that we currently have.18 If we are unable to do that,19 obviously I'm looking for additional20 money for not only the District Attorney,21 but for all of the criminal justice22 partners.23
Point of24 information.25 148 5/5/09 - WHOLE - BILL 090212, etc.1
If he wants to2 give me the money and put it in the3 budget, just budget the money. Now,4 remember, the 13.5 million is for two5 years and is for all the criminal justice6 agencies. It's for everybody. There's7 just -- I mean, the simple answer here is8 there. There's just not enough money for9 that two-year program for the District10 Attorney's Office to be made whole.11 We've got a budget reduction of $712 million. That's more than half of the13 $13.5 million that is targeted that the14 City already has in its budget. If the15 Mayor was going to give me the $7 million16 that he cut from my budget, he would have17 picked up the phone and said, Don't worry18 about the 24 million, we're giving you19 the money. I never would have said a20 word about anything. I would have said,21 Madam President, although the budget22 calls for 24.9 million, the Mayor is23 going to budget an additional 7 million.24 Thank you very much and good-bye.25 149 5/5/09 - WHOLE - BILL 090212, etc.1 This discussion --2 DEPUTY
This is neither5 here nor there.6 The reason he won't answer your7 question is that there isn't any money8 and he can't give it to me, and if there9 was money, I don't know that he would10 give it to me today anyway. And I'm11 talking about Mr. Gillison. I'm not12 talking about the Mayor.13 The fact of the matter is that14 if you're going to cut the District15 Attorney's Office by 22 percent and cut16 people by either three percent or four17 percent or increase by eight percent, the18 CJAB has made the recommendation, which19 we submitted to you. It's not a20 requirement, and Council, frankly, is21 free to disregard it and give us the22 amount of money that you gave us last23 year, $31,987,373. We'd be happy with24 that. But we're trying to be25 150 5/5/09 - WHOLE - BILL 090212, etc.1 conciliatory.2 But I'm listening to this stuff3 and there's not a single declaratory4 statement in anything that Mr. Gillison5 has said that answers anybody's6 questions, because he can't answer it.7 The Mayor cut the budget by 22 percent.8 There isn't any money that's going to9 make that up. We might get a few dollars10 here or a few dollars there. We may get11 a grant if we're lucky enough to get a12 grant that everybody else is eligible13 for. But this whole process of the CJAB14 has been a big smoke and mirrors thing15 here today. If he had told me six weeks16 ago, Listen, Lynne, you're getting $717 dollars, I wouldn't be here. But he's18 not said that, and we don't even know19 what the money is going for, and we were20 told it was heavily weighted towards21 police technology, not for the District22 Attorney's Office. And everybody was23 there. Judge Dembe was there. Judge24 Presenza was there before he retired.25 151 5/5/09 - WHOLE - BILL 090212, etc.1 Web Keogh was there. I mean, this is2 not -- this is not -- some reporters3 drifted in and out. This is all absurd.4
I7 just have one question I'd like to ask8 Mr. Gillison. Are we allowed to9 supplement City funds with these grant10 funds?11 DEPUTY
Not12 with this particular fund, no.13 Supplantation is not allowed under this14 particular one, which is why we've been15 asking for proposals that can help move16 things forward in a way that we will17 allow them.18 So, for example, Madam19 President, if you end up having a -- for20 example, I know that one of the things21 that the courts have asked for is money22 for community courts to be looked at, and23 part of that was in order to help not24 only with court functions but also to see25 152 5/5/09 - WHOLE - BILL 090212, etc.1 if we could get money for district2 attorneys, public defenders and3 supportive staff. A new program, not a4 supplantation to the program, but a new5 program. That is something that we6 believe is going to be allowed under the7 grant. So it is not supplanting. It is8 actually money that is used going9 forward. That's the kind of thing that10 we're looking forward to getting, because11 it's not supplanting. It's actually12 putting in a new program, but taking13 money and using it in a way that is more14 efficient, allowing us to get the better15 bang for our buck.16
You know what the17 bottom line is, Madam President? They're18 giving criminal defense attorneys twice19 as much as we're getting. And by20 Mr. Gillison's own admission, they can't21 supplant. They're going to start a new22 program when we won't be able to carry23 out our core functions. Now, what's that24 about? Do you expect me to do a25 153 5/5/09 - WHOLE - BILL 090212, etc.1 community court when I have violent2 robbers, multiple murderers, shooters,3 stabbers, rapists, sexual predators and4 I'm going to spend my time going in a5 discretionary community court? Not in6 this lifetime. I have to make the City7 safe. I'm not looking to pick the8 low-hanging fruit. In a perfect world,9 have I been lobbying for community courts10 all over the City for the past 12 years?11 Yes. Have I ever gotten it? No. I12 mean, so what are we talking about here?13 What we are talking about, a cut of the14 DA's budget to half what they want to pay15 defending criminals. That's what it16 amounts to.17 And don't try to tell me,18 Mr. Gillison, that this is fair and19 you're going to look for money. If the20 City is short, you're short. You're not21 going to get it from supplanting federal22 dollars for new programs.23 DEPUTY
And the24 idea is, as you're aware, Madam District25 154 5/5/09 - WHOLE - BILL 090212, etc.1 Attorney, is that by freeing up monies2 that we can use with grants, you can3 actually do your core services in a way4 that will be able to provide the services5 that you'll need.6
Well,8 we are trying to budget for it and we're9 trying to budget for it in the best way10 that we can going forward. I mean,11 that's the answer. If we end up getting12 to the end and we are short, we're short13 across the entire criminal justice system14 and we're able to say that we're going to15 be able to do our processes different in16 order to save the money we need to save.17 The bottom line is that in an18 economic crisis, we all have to do things19 differently, and we're trying.20
The23 Chair recognizes Councilman Goode for a24 point of information.25 155 5/5/09 - WHOLE - BILL 090212, etc.1
Thank you,2 Madam President.3 Madam District Attorney, did4 you refer to people that go through5 Community Court and diversion programs6 as, quote/unquote, "low-hanging fruit"?7
In the criminal8 justice system, if you're trying to9 compare a person who has --10
I actually11 asked if you used the words "low-hanging12 fruit."13
I can24 clarify the question.25 156 5/5/09 - WHOLE - BILL 090212, etc.1
No, no. I4 asked a question. I'm clarifying the5 question, Madam President.6 This is our Chambers.7
If you're talking17 about murderers, rapists, sexual18 predators, assaulters and the people who19 make this city absolutely unsafe as20 compared to people who urinate on the21 sidewalk, people who are aggressively22 panhandling, people who have simple23 possession of drugs, they are way down,24 way down on the list of people that I'm25 157 5/5/09 - WHOLE - BILL 090212, etc.1 going to pay attention to. That doesn't2 mean --3
I just asked4 if you used the term "low-hanging fruit."5
Excuse me.6 Low-hanging fruit means the easy cases.7 It doesn't mean anything disparaging.8 Don't try to make it disparaging when it9 isn't. When you look at the criminal10 justice hierarchy, you're not going to11 put panhandlers in the same level as12 capital murderers. I'm sorry. It13 doesn't work. It's the lower level14 offender who needs the programs, but15 we're not going to be diverted from our16 core functions by paying attention to17 community courts when we're trying to get18 violent offenders off the street.19
Not only do20 I agree with you, but that's what the21 $13.5 million should go towards, the22 low-hanging fruit.23 Thank you, Madam President.24
The $13.5 million25 158 5/5/09 - WHOLE - BILL 090212, etc.1 has not even been discussed yet.2
The7 Chair recognizes Councilman Green for a8 point of information.9
Thank you,10 Madam Chair.11 I have two questions for Deputy12 Mayor Gillison. The first is, about five13 minutes ago, you said, We have the money.14 We have the money. We'll transfer the15 money, whatever the DA needs -- or you16 didn't say whatever the DA needs, but --17 DEPUTY
The20 statement was, We have the money. If we21 need more money, we'll provide the money.22 Where is that money?23 DEPUTY
The24 $13.5 million was allocated to us from25 159 5/5/09 - WHOLE - BILL 090212, etc.1 the --2
No, no.3 This was a comment that was outside of4 the $13.5 million.5 DEPUTY
So you have9 in your mind a secret number that you're10 going to apply to the DA's Office, then,11 because you're saying, We have the money12 or we're going to get them more money.13 That was essentially what you said five14 minutes ago right here. What is the15 secret number?16 DEPUTY
I'm17 waiting for the District Attorney to --18 basically for us to do what I think was19 suggested, which was to sit down -- I20 think you even suggested it -- is to say,21 This is how we think that we can actually22 use this money in a way that will make23 what we need to get done get done. That24 discussion, obviously we've been waiting25 160 5/5/09 - WHOLE - BILL 090212, etc.1 for that discussion. It has not happened2 at this point, but I'm sure that it will.3 So I don't have a figure in my4 mind right now as I sit here. I have no5 idea. I know that the figure that she6 has given is $29 million, is what she7 feels that she can actually use going8 forward. So now I have that as a9 placeholder in my mind and I will now be10 able to look forward.11 So I think that if you look at12 the $24 million that is currently there13 and if we can use grants or some other14 way to come up with -- or some other way15 of getting to a $29 million figure, we're16 talking about $5 million.17
So we19 have to take a look at how that would be20 done and in what ways that will be done.21
But you've22 testified here today that $24 million is23 not enough for the DA to do their job.24 DEPUTY
I've5 testified that $24 million is where we6 were, and we've always maintained from7 the beginning that we would be seeking8 grant funding to end up helping them9 achieve their matters. That's what we10 said from the beginning.11
It's your12 position that they need grant funding on13 top of the 24?14 DEPUTY
So it would17 be irresponsible of this body to pass a18 budget of only $24 million if you have19 not identified therein the grant funding20 that is going to be given to the DA's21 Office, wouldn't it?22 DEPUTY
And I23 think that one of the things that has24 been consistent with what we've said is,25 162 5/5/09 - WHOLE - BILL 090212, etc.1 the $24 million would be the Class 1002 probably or both. I think it's a little3 bit less than that, but the $24 million4 is where we are. We have always said5 that we were going to help them with6 looking for grants and also getting7 grants. We've been very fortunate, I8 think, to have grants available to us to9 help them, where they're going, forward,10 and I think that once we have that11 further discussion, they will end up12 having a little bit more money than the13 24 million at their base. But that will14 be in grant funding that will help15 supplant -- we've been consistent for the16 past six weeks in saying that this is17 what we're going to do, and we remain18 consistent in that effort.19
I'm20 confused. You're asking us right now21 with what you have before this body to22 pass a budget that you say is not enough23 money for the DA to run their office.24 You've got about five days to get back to25 163 5/5/09 - WHOLE - BILL 090212, etc.1 us what grant funding is going into the2 DA's Office or where, or you're asking us3 to pass an irresponsible budget. You're4 saying it's not enough money, but you5 want us to appropriate not enough money6 and you'll figure it out later. That's7 irresponsible on our part. I certainly8 won't be party to that kind of9 irresponsible behavior. You need to10 identify the additional funding that's11 coming from grant funding, and then we12 need to hear back from the DA that this13 works.14 DEPUTY
The19 Chair recognizes Councilwoman Brown. I20 know you've been waiting quite a while.21
Thank you,22 Madam President.23 COUNCIL PRESIDENT VERNA:24 You're welcome.25 164 5/5/09 - WHOLE - BILL 090212, etc.1
It is2 clear we're not going to resolve the FY103 budget at this hour. So if we could4 focus on, for a minute, FY09.5 Let me first seize the moment,6 Madam District Attorney, to also offer my7 personal congratulations to you, because8 I've seen you on the front line and in9 the trenches as well in every10 neighborhood of this city. We appreciate11 the work that you have to do.12
And you15 should know for the record as well that16 I've asked this question of every single17 City department that has come before us18 irrespective of branch of government.19 Whether they're receiving a penny or $1020 million, the question is the same.21 In your FY09 budget of your 3122 million plus dollars, is it true to say23 that 90 percent of your budget is Class24 100?25 165 5/5/09 - WHOLE - BILL 090212, etc.1
And tell3 us what the other ten percent is used4 for.5 MR. TOCZYDLOWSKI:6 Councilwoman, Albert Toczydlowski,7 T-O-C-Z-Y-D-L-O-W-S-K-I.8 Councilwoman, the other ten9 percent is for Class 2, 3 and 400. Class10 200, 600,000 of that goes to all the11 victim witness groups in the City through12 contracts. The rest of the money is13 spent for equipment and services such as14 experts that we use in court, subpoena15 service, things like that, service16 contracts.17
Yes. Those20 are contracts -- when you say21 "subcontracts," it's a contract directly22 with the District Attorney's Office.23
And the24 prevailing question for every department25 166 5/5/09 - WHOLE - BILL 090212, etc.1 is, tell us the breakdown in terms of2 opportunities for women and people of3 color.4
With respect5 to the contracts that we have with the6 MBEC report, we filed with the MBEC, the7 problem with those groups is, you have to8 contract with whoever in the neighborhood9 has risen up to provide victim witness10 services in those neighborhoods. So, for11 example, it's the Support Center for12 Child Advocates, Women Against Rape,13 Northeast Victim Services, East Victim14 Services.15
On the18 expert side, we use -- well, that we hire19 experts based on the expertise. We'd20 have to go back and look at the doctors,21 the psychiatrists we use.22
So we need23 you to provide to the Chair the breakdown24 in terms of MBE/WBE participation.25 167 5/5/09 - WHOLE - BILL 090212, etc.1
Now to the3 staff complement. The total number of4 staff, of lawyers, at the DA's Office is5 what with 90 percent of your budget being6 in Class 100?7
No. We didn't12 include it. These are just the figures13 in case you asked us, because we didn't14 know if you would ask us again this year.15 So we have it as an addendum.16 It's 60.82 percent female, 4.6117 percent Asian, 19.5 percent African18 American, 3.01 percent Latino, 72 percent19 white.20
And of25 168 5/5/09 - WHOLE - BILL 090212, etc.1 those numbers, where are we in terms of2 supervisory, management responsibilities?3
I don't believe I7 brought that, but I'll be happy to8 provide that.9
Right. I will12 say that two of our top deputies, George13 Mosee, who is the Deputy for Narcotics,14 and Elois Howard is the Deputy for --15 sorry; George Mosee is the Deputy for16 Juvenile and Elois Howard is the Deputy17 for Narcotics. Two of our six deputies18 are African American.19
Okay.20 Your testimony cites that budget cuts21 could impact or eliminate economic crimes22 against seniors.23
Please25 169 5/5/09 - WHOLE - BILL 090212, etc.1 tell us briefly what you're doing in that2 area and if there's a relationship with3 the Philadelphia Corporation of Aging.4
Given that7 they are the "go to" agency that's8 providing services.9
Like a referral10 agency? We obviously are looking --11 well, first of all, many of our referrals12 come from people in City Council, people13 like yourself who have somebody, a14 constituent, call them up and said, My15 plumber ripped me off or my contractor or16 my house was stolen from me while I was17 in a nursing home or some situation like18 that. We obviously work with any service19 provider in the community, including the20 services to the elderly and aging21 Philadelphia.22 The biggest problem that we23 face right now is that senior citizens24 because they're home a lot and because25 170 5/5/09 - WHOLE - BILL 090212, etc.1 they're alone a lot are victimized,2 because they are frequently subjected to3 pressure tactics over the phone or in4 person. They're ripped off. These5 house-stealing cases invariably involve6 seniors, people who are desperately7 elderly and ill, people who may be in8 nursing homes or even people who have9 died. So we always get the people who10 are the most vulnerable populations who11 are victimized, the very young, the very12 old, the poor and the minority. Those13 are our primary, but not exclusive14 obviously, victim base.15 So we're very concerned about16 the ability to serve these people when,17 for example, we used to be able to take18 any case that perhaps walked in the door19 if it was a decent dollar size. We've20 steadily had to increase the dollar21 figure to about $50,000. In other words,22 if you are a victim of a crime and you23 want a special investigation, we can't24 take it because of budget cuts unless25 171 5/5/09 - WHOLE - BILL 090212, etc.1 it's amounting to $50,000.2
That's the5 baseline now, yeah. And it's going to go6 probably even higher, and the reason is7 that over the course of...8 (Bell rung.)9
Over the course12 of years because we've had so many13 crimes, economic crimes, identity theft14 crimes and a whole host of other economic15 frauds, we've been incapable of16 investigating all these crimes. And many17 times involving seniors, for example,18 they sign contracts that they didn't19 read, unfortunately, didn't understand.20 It's quite common for a person to go to a21 an elder's house, say they need repairs,22 say, Here, sign this contract, and the23 elderly person says, What does it say?24 It says that I'll fix your roof25 172 5/5/09 - WHOLE - BILL 090212, etc.1 or do your plumbing or do whatever for X2 thousand dollars, and the elderly person3 just signs the contract without reading4 it. Many times these elders don't know5 that they have three days, three business6 days, to rescind the contract. They7 don't read it. They can't read it8 sometimes. Many of them are sight9 deprived. Some of them don't understand10 the small print or the lingo that11 contract language is, and they're always,12 they're always prey for these slicksters,13 and then they take their money, usually a14 big down payment, and sometimes they15 disappear. Functionally it's impossible16 to find these people. They may be all17 over the country.18 But we really try to help our19 seniors any way we can. We did that with20 our house-stealing investigation just a21 few weeks ago.22
The Economic25 173 5/5/09 - WHOLE - BILL 090212, etc.1 Crime Unit?2
We've had an4 Economic Crime Unit as long as I've been5 there.6
Well, we started9 getting involved with house stealing when10 Della Clark, a lady who had to go to a11 nursing home -- I think it was featured12 in the Daily News. Della Clark had to go13 to a nursing home. When she came home14 from the nursing home -- I'm not laughing15 at her. I mean, the whole thing is so16 bizarre -- she found somebody else living17 in her house, and when she put the key in18 the door, it didn't work, and the person19 opened the door and said, Who are you?20 And she said, Who are you?21 And he says, Well, I live here.22 And she said, No. You're in my23 house.24 He said, No. It's my house.25 174 5/5/09 - WHOLE - BILL 090212, etc.1 And that's how this whole house stealing2 came to light and how in Philadelphia3 it's so easy to steal people's houses.4 It's not only Philadelphia. It's all5 over the Commonwealth and indeed all over6 the country, and seniors are usually, but7 not exclusively, the sole source of8 victimization.9
Well, the10 bell has rung, so I'll see you on the11 next round.12 Thank you, Madam President.13
Thank14 you.15 The Chair recognizes Councilman16 Green.17
Thank you,18 Madam Chair.19 Thank you for your testimony20 today. I think Deputy Mayor Gillison's21 testimony, combined with your testimony,22 has demonstrated that if the system is23 not broken today --24
It25 175 5/5/09 - WHOLE - BILL 090212, etc.1 will be.2
-- that it3 will be broken if we fund the District4 Attorney's Office at the level that is5 being suggested.6 Could you talk about the effect7 on other organizations within the8 criminal justice system if you have fewer9 DAs in terms of the length of time it10 will take cases to be brought to trial,11 what that will cost the court system,12 what it will cost the Police Department13 in overtime, what it will cost the14 Prisons in terms of the number of15 detainees that will start going --16 approaching the federal court limits that17 we're under, et cetera.18
I'll be honest19 with you, Councilman. I don't know if I20 can put a dollar figure on, but it is21 hyperbole when I tell you that if we are22 taking down 100 lawyers by this 2223 percent cut, our office effectively would24 grind to a halt, and there's a very25 176 5/5/09 - WHOLE - BILL 090212, etc.1 simple reason for it. It's not just the2 lawyers and the jobs, although I will3 fight like a tiger for the jobs of my4 lawyers. Like the Public Defender, we5 depend on these young great professionals6 to give their life to City service. We7 don't demand that they stay there8 forever, but we do require that they9 learn their craft well. But when they10 are out of a job, what that means is, the11 rest of them, the 200 lawyers left, have12 to handle all the thousands of cases that13 those 100 lawyers don't handle.14 In addition to that, the courts15 have talked about furloughs. I know that16 I heard Judge Dembe talk about, Well, we17 might have to furlough. Crime doesn't18 take a furlough. If you look at the19 figures for the police statistics on20 arrests, they're pretty stunning about21 how many arrests they make a day, a week22 and a month, and I have all the figures23 with me. Last year, 73,000 -- sorry;24 73,528 arrests in 2008. That was up from25 177 5/5/09 - WHOLE - BILL 090212, etc.1 71,117 the year before and up from2 71,200 and -- I'm sorry.3 Mr. Toczydlowski's handwriting is even4 worse than mine.5
It's greater than8 2006 and 2007. There has been a shift in9 the kind of crime, but there's still a10 lot of crime.11 So I can tell you, you take 10012 lawyers who handle on the average of 3513 or 40 cases a day, say, Okay, take away14 100 lawyers. So what happens? Prisoners15 stay in jail longer. Defense attorneys16 don't show up. The Defender has to wait17 until we get ourselves ready. Judges sit18 there longer. You can't handle -- you19 can't -- I don't even want to use the20 word "handle." This is a criminal21 justice system. We're trying to do22 justice to victims. And I want to remind23 this body that we handle all victims,24 whether they're defendants tomorrow or25 178 5/5/09 - WHOLE - BILL 090212, etc.1 the day before yesterday. You can be a2 defendant as well as a victim. We take3 all-comers. We don't have selective4 prosecution.5 So when you delay prisoners and6 cases, it just backs up the system. It7 just forces more cases on the list. They8 cannot be adjudicated fairly, and9 everybody is denied their day in court.10 I believe everybody is entitled11 to a day in court, both defense and12 prosecution. This is really such a13 tremendous blow to the criminal justice14 system. This system can't operate that15 way, period.16
Thank you.17 If we were to appropriate some18 more money or you can work something out19 with the Administration on a combination20 of additional funding sources -- I think21 you understand that has to be very22 quickly -- or if we were to appropriate23 additional funding, are you committed to24 continuing to work with CJAB to lower the25 179 5/5/09 - WHOLE - BILL 090212, etc.1 costs of the criminal justice system, and2 could you talk about some of the measures3 that your office is willing to do to4 bring down the cost of the whole system5 with respect to Drug Court diversions and6 other things so that we can have some7 sense of --8
Well, in addition9 to Drug Court, we're now working on a10 Mental Health Court. We know that of the11 people entering our prison population, 8012 percent are drug addicted and many, many,13 many are mentally ill, have mental health14 problems. Jail has become because of the15 closure of state hospitals -- and that's16 a whole other political question we can17 deal with some other time. The jails of18 our country have been the mental health19 treatment centers for people who are in20 the criminal justice system. A jail is21 not the appropriate place to deal with22 mental health problems. So several years23 ago, we sat around and discussed about a24 Mental Health Court. We thought it's a25 180 5/5/09 - WHOLE - BILL 090212, etc.1 good idea. That would be totally off the2 table without this money.3 We've also consolidated, as you4 know, because of the prison package that5 Sarah Hart wrote, the woman who was here6 before, Sarah Vandenbrack-Hart, she wrote7 the prison -- oh, here you are. I'm8 sorry. I thought Al Toczydlowski was9 still here.10 This is the stealth prosecutor.11 This woman wrote the prison reform12 package. She wrote it for us. We went13 to Harrisburg and lobbied it, and every14 forward-thinking prisoner reduction15 program is because of Sarah Hart, who16 works for me, not the Administration, not17 the Governor. We had the Governor's18 help. And we went through Denny O'Brien.19 Bless his heart. Sarah and Denny O'Brien20 just ganged up on the Legislature, and21 the Governor and the Legislature said22 this is a good thing.23 So we've already reduced just24 in the first three months of this year25 181 5/5/09 - WHOLE - BILL 090212, etc.1 five percent of our prison population,2 and we're going to reduce it more, not3 only through programs but through4 shifting prisoners to the statewide5 system where they get Department of6 Correction programs, interventions,7 prevention programs and so forth.8 So there's a whole host of9 things that we can do. We're a10 progressive office. We're not stuck back11 in the 18th century the way Mr. Goode12 likes to make it look like we are. We're13 progressing. Everything that we're doing14 is to make the criminal justice system15 more responsive to the needs of our16 citizens and of the defendants. So that17 we're trying to do all kinds of things.18 COUNCIL PRESIDENT VERNA:19 Excuse me.20 The Chair recognizes Councilman21 Goode for a point of information.22
Madam23 District Attorney, since you don't have24 the benefit of all the budget testimony25 182 5/5/09 - WHOLE - BILL 090212, etc.1 listed, you should know for the record2 that the Prison Commissioner, whether he3 was wrong or right, testified that we may4 reach 10,000 next year.5
Well, I don't6 think so because -- as a matter of fact,7 we have the statistics, and Ms. Hart can8 talk about that. Actually, we're going9 to be well under that figure. I10 absolutely -- I like Lou Giorla. He's a11 wonderful man. I'm not saying anything12 bad about him. We just disagree, and13 I'll give Ms. Hart the microphone to14 answer your question.15
Because of the16 prison package, we've had some major17 reduction. Not only have we been able to18 get an agreement to transfer 25019 long-term prisoners to the state, we have20 a 56 percent reduction in the long-term21 sentenced prisoners now entering our22 system. We also have an agreement under23 the legislation to reduce by about 9024 prisoners the ones that come into the25 183 5/5/09 - WHOLE - BILL 090212, etc.1 state.2 So we're hopeful it's going to3 be about 800 in the near future. What we4 have seen so far is, the average monthly5 population, total population in whatever6 form, was 9,787 as of January.7
The statistics today10 from the Prison is 9,381. This is a huge11 savings as a result of these programs, as12 well as the ones with the courts with13 AVOP and ARC, and we're continuing to see14 very significant reductions.15
And we have16 saluted that within this Council, but17 since you also have not had the benefit18 of all the public testimony we've taken19 and the budget testimony we've taken, the20 Deputy Mayor for Public Safety has also21 testified that he'd like to reduce the22 prison population by 3,000. So when you23 characterize my thinking on this, you24 should know that what I'm trying to do is25 184 5/5/09 - WHOLE - BILL 090212, etc.1 take us from where the Prison2 Commissioner says we might be at 10,0003 to where the Deputy Mayor wants to get us4 at.5 So you can make little snide6 remarks if you want, but I listened to7 all the testimony and I view it as a8 criminal justice system.9 Thank you.10
Well, just so the11 record can be clear, I think that's a12 very nice goal. I don't know how13 realistic that 3,000 goal is, and I'll14 tell you why. Of the admissions to the15 Philadelphia Prison up on State Road, 8216 percent have been admitted at least17 twice, 69 percent have been admitted to18 the prison at least three times, 5619 percent four times, 36 percent six times,20 28 percent seven or more times, 2221 percent more than eight times, 17 percent22 nine times, 13 percent more than ten23 times. And we have as many as 3024 admissions to the prison.25 185 5/5/09 - WHOLE - BILL 090212, etc.1
And just this3 weekend, this man, Elliot Stevenson, who4 is featured in the Philadelphia Daily5 News, who was struggling, according to6 the paper, with a police officer over his7 gun, has eight aliases, is wanted on a8 dozen charges, including assault, fleeing9 the police, and he's out on bail.10 So I think that Mr. Gillison's11 attempt to empty the prison just means12 more crime on your constituents, and13 that's all it does. I mean, if you have14 programs for them, if you have jobs for15 them, in this economy it's really hard to16 get the prison population down even with17 the best of circumstances, but it's not18 going to happen.19
Throughout20 the course of testimony and budget21 hearings, I've actually made the point22 that you just made, that we don't have a23 lot of new criminals and that we have to24 focus on strategies to combat instead25 186 5/5/09 - WHOLE - BILL 090212, etc.1 recidivism, and what we talked about in2 terms of reducing prison population was3 community reintegration strategies and4 investing in those.5 So it's not simply about6 letting everyone out of jail, but it's7 also not about locking them up in jail8 and throwing away the key. So I don't9 believe I have characterized your view of10 criminal justice, and I'd appreciate it11 if you don't characterize mine.12
Well, my13 characterization is based on your very14 tough questioning, which is really15 unjustified, and I'll tell you why. I'm16 on the --17
No. I'm sorry.20 I'm on the same side of the issue as you21 are. We're here to serve the public.22 We're not here for ourselves. At least I23 can speak for myself. I'll let everybody24 else speak for himself. But I don't25 187 5/5/09 - WHOLE - BILL 090212, etc.1 believe this body is here to serve their2 own purposes. I'm a servant of the law3 and I'm here to make the City safe.4 I don't believe that5 Philadelphians feel they're safe, and I6 think furthermore, this is compounded by7 a whole host of issues that neither you,8 nor I, nor this body are going to be able9 to solve. But one thing I know is clear:10 In a tough economy, when you have a11 reentry program with no meaningful jobs,12 with all due respect to the Goodwill13 Industry -- I think they've done a14 wonderful service. They're paying young15 guys or men, whatever their age, about --16 I don't know, whatever the dollar figure17 is for their job. It's short term and18 it's not remunerative. If I had my19 choice as a young guy standing on a20 corner making 1,000 or 1,500 or 2,000 a21 day and I'm going to work for the22 Goodwill Industries for a short amount of23 time and I'm behind the eight ball with24 my education and everything else, the25 188 5/5/09 - WHOLE - BILL 090212, etc.1 choice is going to be clear.2 Any reentry program really3 needs, besides all the external fittings,4 the mental, the emotional and the other5 stuff, I need a meaningful job that's6 going to turn me away from crime, and7 working for the Goodwill Industry, as8 good as it is a place to start -- and it9 is. I support the Goodwill Industries10 and their work -- it's not going to turn11 the corner and it's not going to mean pie12 in the sky figures that 3,000 people13 would be turned out of prison. You know14 why? They're too dangerous to be turned15 out of prison. They have shown16 themselves resistant to any kind of17 meaningful programs. They've gone18 through all the drug treatment programs.19 They've gone through probation. They've20 gone through the court system. They are21 not frequently rehabilitatable, and22 that's the reality. You don't have to23 agree to it.24 I'm with you, I think we ought25 189 5/5/09 - WHOLE - BILL 090212, etc.1 to have meaningful programs. It's not2 going to work.3
Madam4 District Attorney, I don't disagree with5 you. Two points. One, you cited the Pew6 study that said that crime was the number7 one issue.8
That's what10 the headline said. If you actually read11 the Pew study, it says that crime is the12 number one issue why people leave. It13 said that jobs was the number one issue.14 And there's a difference.15 The second thing is, at the end16 of the day, I don't disagree with you17 about the need for employment of18 ex-offenders, and I think I've spoken19 loud and clear on that and continue to20 speak loud and clear on that, but the21 characterization of how many people we22 can or cannot send through diversion23 programs, send through Community Court,24 send through Mental Health Court, how25 190 5/5/09 - WHOLE - BILL 090212, etc.1 many lives we can save and whether it can2 be done for community reintegration,3 that's a policy debate that is hot and4 heavy, will remain hot and heavy and will5 last beyond Fiscal Year '10 or your half6 portion of it.7
There's no8 question about it. This is going to be a9 discussion that's going to go on for10 years and years and years, as is11 victimization and how we can best handle12 the criminal justice system. This is a13 thorny issue that the whole country is14 grappling with, not just us.15
And if16 everyone was locked up, people wouldn't17 feel safe because there's criminals on18 the street --19
No, no, no.20 Remember, I told the Council President21 four hours ago or three hours ago -- I22 forget how long it was -- that also with23 the Public Defender, I have been the one24 who has been a founding member of every25 191 5/5/09 - WHOLE - BILL 090212, etc.1 forward-thinking diversionary program,2 every single one of them. That is, by3 definition, a reality, and it also means4 that I support diversionary programs,5 mental health treatment, interventions,6 risk assessment for release of prisoners7 so that they don't victimize the8 community again, and I absolutely support9 all of those programs, but you still have10 people who are not capable of changing11 their behavior.12
I think we15 got a little far afield on that point of16 information.17
The question20 really was, what is your office doing to21 lower -- and just your office -- doing to22 lower the prison population, and we were23 getting to it is lower to about 9,30024 now, and what are reasonable expectations25 192 5/5/09 - WHOLE - BILL 090212, etc.1 as a result of continued work on these2 efforts that we can look at, in your3 opinion -- I know different departments4 are going to have different opinions --5 in your opinion, going forward in terms6 of some of these thoughts. And I thought7 the statistics you just read on who is in8 our population is telling, but if you9 could just talk about where you are right10 now and going forward.11
Fundamentally why12 we've had a particular problem in13 Philadelphia has been the sentencing14 structure in Pennsylvania that puts an15 inordinate burden on the county system to16 incarcerate long-term offenders. In the17 legislation we've obtained, we have some18 immediate short-term savings that will19 result, and in the long-term, after two20 and a half years no longer will long-term21 prisoners, anybody serving a sentence of22 two or more years, be able to be housed23 in the county prison.24 We expect right now --25 193 5/5/09 - WHOLE - BILL 090212, etc.1
No. It's been4 changed. Under the new law, it would5 require the judge, the district attorney6 and the county jail administrator to7 agree to the placement, plus the prison8 population would have to be below 1109 percent of rated capacity. We do not10 envision that happening at all in11 Pennsylvania.12
Just a point of13 information. Before this package was14 passed, it was up to the judge where to15 keep the prisoner. Up to four years and16 364 days, the judge could mandate that17 they be held locally, and that meant that18 long-term prisoners who should have gone19 to the state were kept in the county20 prison, which boosted our population.21
In the immediate22 term, to answer your question, we have23 identified approximately another hundred24 inmates that we believe can be shipped to25 194 5/5/09 - WHOLE - BILL 090212, etc.1 the state system in the next couple of2 months. We believe by the adoption of3 Act 82 that we can reduce the numbers4 that come into the county jail by up to5 about 90 inmates, and that's just within6 this next year. That's a very7 significant savings when you're looking8 at $100 a day.9
So you can10 get them down to 200. Have you looked11 at -- I'm going to save that question for12 Councilman O'Neill.13
So back to16 the who is in our prisons. It has been17 suggested by the courts during their18 testimony that we could significantly19 reduce the prison population by20 encouraging the defenders and others to21 actually convince their clients to plea22 if there's a small change in your office23 policy, which is when someone is arrested24 in another county, the arresting document25 195 5/5/09 - WHOLE - BILL 090212, etc.1 has a ton of information on it and the2 early disclosure of this information to3 defense counsel tends to result in many4 cases being disposed quickly via pleas5 and there's much more of a delay6 Philadelphia County versus -- and it7 wasn't a criticism. There's much more of8 a delay in Philadelphia County versus the9 surrounding counties in terms of getting10 that information to the defenders, and as11 a consequence, the long list of people12 who have many priors who would likely be13 sentenced to state prison stay in our14 prison system as pretrial detainees, and15 if we pled them out and got it over two16 years, we could -- with an appropriate17 sentence -- I'm not telling you how to do18 your -- because basically by providing19 that information up front, we can20 actually lower the prison population,21 because 70 percent of people in our22 prisons are pretrial detainees.23 Do you have any thoughts on if24 that's something that the DA could look25 196 5/5/09 - WHOLE - BILL 090212, etc.1 at with CJAB?2
Councilman, John3 Delaney, D-E-L-A-N-E-Y, Deputy District4 Attorney for the Trial Division.5 We file in every adult criminal6 case a criminal complaint. The contents7 of that complaint are specified by the8 Rules of Criminal Procedure. What we9 provide in that complaint is sufficient.10 Otherwise it would be dismissed at the11 preliminary arraignment.12 In some counties, not all13 counties, the police officials who14 actually prosecute the preliminary15 hearing -- and outside of Philadelphia,16 no matter what you're accused of, you get17 a preliminary hearing. In Philadelphia18 if you're accused of a misdemeanor, like19 drunk driving, you get a misdemeanor20 trial. So we accelerate the process for21 our misdemeanors as opposed to what22 happens in the counties.23 In the counties, in order to24 take advantage of what we have in25 197 5/5/09 - WHOLE - BILL 090212, etc.1 Municipal Court, the police officials2 will sometimes disclose the entire police3 report to the defendant at the4 preliminary hearing in an attempt to get5 him to plead guilty.6 Our experience in misdemeanor7 court is, in our misdemeanors we have a8 pretrial listing for every case. The9 number of cases where the defendant10 pleads guilty at the first listing of a11 misdemeanor trial where he has all the12 discovery is incredibly low. Our fear is13 that if we give information early on in14 felony preliminary hearing cases, the15 information will not be used to dispose16 of cases. The information will be used17 to cross-examine witnesses.18 It's hard to compare19 Philadelphia practice to the other20 counties because the way our system is21 set up. That said --22
It sounded23 like a reasonable suggestion, so I'm24 asking.25 198 5/5/09 - WHOLE - BILL 090212, etc.1
That said, we're2 certainly willing to talk to anybody3 about disposing of cases earlier, because4 delay is the prosecutor's worst enemy.5 Our cases do not get better with age.6 They get worse.7
Thank you.10 The Chair recognizes Councilman11 Jones.12
Thank you,13 Madam Chair.14 This is more of a statement15 than a question. Twenty-five percent of16 our budget is policing, judicial and17 incarcerations, impacts on our budget.18 We can try to count all the paperclips in19 the world. We're never going to balance20 our budget until we attack these three21 main areas. And I think that CJAB is an22 important component of breaking down the23 silos between the departments and24 worthwhile causes of each of those silos,25 199 5/5/09 - WHOLE - BILL 090212, etc.1 whether it's the Police Department,2 whether it's the courts and appropriately3 today the District Attorney's Office.4 But I think one of the missing elements5 is this Council, and one of the6 recommendations I would have as a7 Councilperson is to have a representative8 on CJAB that has an eye towards trying to9 make us all work together, and I guess10 the best example might be how first we11 get a better relationship with the second12 floor, but I don't view us operating13 independently from them without us in the14 discussion because of our role within15 government.16
Well, Councilman,17 the CJAB meetings are public. You and18 everybody else are welcome to come.19
I'm going to20 invite myself then, but I'm going to21 encourage others to attend as well.22 Finally, we need to do a cost23 analysis on all of the alternative24 sentencing, alternative courts to see how25 200 5/5/09 - WHOLE - BILL 090212, etc.1 we can massage this to at the end of the2 day reduce the payments that we pay for3 those three vital processes over time.4 But I do not think that a knee-jerk cut5 in one area where we don't know what6 those impacts are is appropriate in this7 budget cycle.8 Thank you, Madam Chair.9
Thank you.10 The Chair recognizes Councilman11 O'Neill.12
A couple17 questions I have just are questions that18 have come up particularly when the19 Prisons were here. I asked the Prison20 Commissioner the question, of the 9,70021 or so inmates on State Road, how many22 need that kind of incarceration, heavy23 duty, let's just say, and how many could24 be in anything from an ankle bracelet25 201 5/5/09 - WHOLE - BILL 090212, etc.1 with GPS up to minimum security, and he2 very forcibly answered 4,000 have to be3 there on State Road, that we could4 divert -- 5,500 is the number -- we were5 kind of using 9,500 as a round number --6 to those other ankle bracelet to minimum7 security if we had those available to us,8 those other levels of detainment or9 detention.10 Could you give me your opinion11 of that?12
Yeah. First of13 all, we support -- and John Delaney is on14 the committee regarding electronic home15 monitoring, and Judge Sheila16 Woods-Skipper has just put out protocol17 and requirements for electronic home18 monitoring. We find that when carefully19 screened, paying attention to the20 defendant's prior record and the kind of21 offense he's committed, his failure to22 appear rate and other factors, that when23 we carefully select the people who are24 out on electronic home monitoring, the25 202 5/5/09 - WHOLE - BILL 090212, etc.1 failure to appear rate is infinitesimal.2 They generally show up.3 Now, here's what I think we4 have to be careful of. The operative5 term is "carefully screened." As the6 Prison Commissioner, I could just say get7 rid of 5,000 people, which is really what8 he's saying. Well, again, remember that9 an ankle bracelet, if I'm selling10 drugs --11
I didn't15 ask him that. I just asked him to look16 at every inmate that could be waiting17 trial or serving a sentence, if that were18 the case, we didn't distinguish, but19 didn't have to be on State Road and could20 be in that $10 a day to $70 a day21 somewhere else, in their own home or --22
Well, I'll tell23 you, I have to be honest and say this.24 I've been in this business 43 years. I25 203 5/5/09 - WHOLE - BILL 090212, etc.1 could never give you a statement like2 that and feel comfortable with it. I3 would have to look at everybody's file.4 If he said, look, here are X number of5 files and I think these people ought to6 be out on the street, as the elected7 District Attorney or as the elected8 Councilperson, if you sat down and looked9 at this person's file and decided that10 was the case and you were ready to take a11 chance -- remember, being out in the12 community means not supervised by any13 paroling or probation authority, not14 having any guarantee that they will show15 up. Our recidivism rate and our failure16 to appear rate is astounding. And --17
I'm sorry.18 I was not thinking of just sending people19 home.20
I am22 talking about any of those areas that23 would have supervision.24 (Bell rung.)25 204 5/5/09 - WHOLE - BILL 090212, etc.1
From the4 GPS ankle bracelet up to minimum security5 facility.6
Well, do we have7 any minimum security facility? We don't8 have any minimum security facility. Did9 I lose --10
It11 wouldn't be saving the money for us.12 We'd find a way of charging 100 bucks a13 day for that. But there are facilities14 out there around the City that -- and15 companies. Let's face it, these are16 profit, non-profit companies. All we're17 trying to get at here is a cost18 differential and if somebody doesn't have19 to be at a certain place, not be there.20 Right now we don't have an21 ankle bracelet system. And, by the way,22 I believe that the Prison Commissioner,23 when he gave me that number of 5,50024 don't have to be on State Road, that he's25 205 5/5/09 - WHOLE - BILL 090212, etc.1 looked at the files. I mean, he didn't2 hesitate. He didn't say, I'll try to3 think of a number. So I assume they've4 had some internal review on that, but I5 may be wrong. But I assume that there6 was something behind that opinion.7 But just getting to the ankle8 bracelet for those that are -- that9 warrant it. I mean, the state has ankle10 bracelets, right?11
We have about 70019 people on electronic monitoring today.20
Do you21 think that's all we can do of those22 5,500, assuming that the Commissioner was23 somewhere in the ball park?24
There are all25 206 5/5/09 - WHOLE - BILL 090212, etc.1 kind of discussions to try to identify2 are there people in the prison who could,3 with minimum risk, be released and4 appropriately supervised on electronic5 monitoring. One of the issues is, for6 every -- I don't know what the factor is,7 but for every X number of those people,8 you need a probation officer or a warrant9 officer to be able to monitor them. Our10 Adult Probation Department now is at the11 cap of those number of people. So they12 have -- the last time we met about ten13 days ago, they had about ten bracelets14 that were free. Once those bracelets are15 put on people, they are at their cap16 until they get more probation officers to17 supervise those folks.18
Which is19 less expensive? The probation officer or20 the --21
It's less22 expensive, but the burden of getting23 qualified probation officers who want to24 stay and work for the City is really25 207 5/5/09 - WHOLE - BILL 090212, etc.1 hard, because the pay is low, the2 requirements are very tough. It's a fast3 burnout. But, more importantly, I think4 you have to think of something else. You5 said "someplace else." Community6 corrections is a big issue in cities like7 Philadelphia, and many, many, many, many8 communities do not want halfway houses,9 prison release houses. And you can ask10 yourselves, if I wanted to put 500 people11 in X community that you were the City12 Councilperson of and you proposed that to13 your neighbors, they would all say, Not14 in my neighborhood. And I think that's15 really one of the things that we have to16 understand, that people are so frightened17 about the prospect of a community being18 inundated by halfway houses, parole19 locations, minimum security facilities,20 whatever you want to call them, that's21 going to be a hard sell.22 Now, having said that --23 COUNCIL PRESIDENT VERNA:24 Excuse me. Excuse me. Councilman Goode25 208 5/5/09 - WHOLE - BILL 090212, etc.1 has a point of information.2
Could I just3 finish my one sentence?4 Having said that, I think we're5 on the way to looking at people who can6 be monitored. But monitoring does not7 prevent me from selling drugs if I'm at8 home. Monitoring does not prevent me9 from breaking that monitor and leaving or10 doing something criminal. Monitoring11 means it needs to be supervised. I'm12 just not on my word. And we're already13 strained at capacity on that.14 Having said that, we're already15 on the case.16 COUNCIL PRESIDENT VERNA:17 Councilman Goode.18
Madam19 District Attorney, I think you should20 know that a majority of this Council is21 actually very serious about community22 reintegration and setting up what I would23 call centers to services, and the reason24 being is that, as you've said, there are25 209 5/5/09 - WHOLE - BILL 090212, etc.1 people who are repeat offenders, two,2 three, four, five, six times. The issue3 is, they're coming home anyway and so why4 not have a more thoughtful approach that5 saves our costs and tries to reintegrate6 them into communities.7
I didn't say that8 you shouldn't do that. What I said was,9 it's a very hard sell to sell it to your10 constituents to put this kind of facility11 in a neighborhood.12
It's going13 to take a lot of political will, but it's14 necessary.15
Last21 question dealing with the dollars on the22 ankle bracelet, GPS, does the state or23 federal government -- I assume we're24 doing everything with Probation25 210 5/5/09 - WHOLE - BILL 090212, etc.1 Department employees; is that fair?2
Does the4 state or federal government use any of5 the outside contractors that are in this6 business?7
I don't know all the8 details. I do know there are some9 overlap with contractors.10
Is there a11 reason why we don't -- I think that's a12 fair question.13
The Prison14 Commissioner --15 COUNCILMAN O'NEILL:16 Particularly in light of the Probation17 Department's capacity problems.18
One of the things19 you are seeing with the Prison System is,20 they are trying to get a number of21 alternative facilities out there, and22 there's a recent one that opened that23 they're expanding by another hundred24 beds. Those beds still count within your25 211 5/5/09 - WHOLE - BILL 090212, etc.1 overall cost, but they are cheaper.2 So the City is moving that way,3 trying to have places for minimum4 security prisoners; for example,5 community corrections facility, work6 release, facilities to do that. We're7 supportive of that for appropriate8 defendants.9
The state, I would16 say, has a better reentry program, in17 part because they have a lot more money18 than we do in the City. It's part of the19 reason why we've worked so hard to have20 our really long-term serious offenders go21 to the state system, because they can get22 better treatment and better reentry23 programs where there's a continuum of24 care, especially for drug treatment from25 212 5/5/09 - WHOLE - BILL 090212, etc.1 the prison to a community correction2 center to parole. And for your really3 very drug-involved repeat offender, which4 we see all too much of, the state5 oftentimes has a better treatment program6 than we can ever hope to provide on the7 county level.8
Is it true9 that a lot of people that are detainees10 at State Road have fairly low bail that11 they're not meeting?12
John Delaney13 actually -- I think there's some14 misunderstanding about the percentage of15 people who are pretrial detainees. There16 certainly is that percentage who have17 open cases, but he can provide you -- you18 have people who have multiple holds.19 That's the big population driver at our20 Prison System, and it's part of the21 reason why the court's present ARC and22 AVOP programs show particular promise in23 reducing that population, because it24 specifically targets that population25 213 5/5/09 - WHOLE - BILL 090212, etc.1 driver.2 Let me turn that over to John3 Delaney just to give you the statistics4 about the nature of our prison5 population.6
The most detailed7 information came from Professor Goldkamp8 at Temple University, who last looked at9 the county prison in 2006, and what he10 found was of the people in jail awaiting11 bail, those who had bails of less than12 $500, one percent. Those who had bail of13 $501 to $1,499, one percent.14 So there are some. There are15 very few people in the county prison16 awaiting trial simply because they can't17 post a nominal amount of bail. A lot of18 these people -- he noted the biggest19 difference between when he looked at the20 prison in 2006 and when he did it in 199521 was the skyrocketing number of people who22 were there for multiple cases, people who23 get arrested, fail to appear, get24 arrested again, fail to appear, get25 214 5/5/09 - WHOLE - BILL 090212, etc.1 arrested a third time, now they're2 detained. Well, when you look at that3 person, they're detained on three4 separate cases. Even if they could post5 bail on the most recent arrest, they're6 not going to get out.7
Do we have8 a breakdown on that from your end? I'm9 sure the Prisons have it if we asked10 them, but does the District Attorney have11 it?12
I don't have any13 more recent information in the greater14 level of detail as what I gave you.15
No. We wouldn't22 have that unless he provided it to us.23 We don't have that.24
Okay.25 215 5/5/09 - WHOLE - BILL 090212, etc.1 Thank you.2
Thank3 you.4 Are there any other questions5 from members of the Committee?6
Thank you.11 Ms. Hart, do you happen to know12 if the CJAB funding can be used to13 prevent layoffs, which meant much of the14 federal money coming out today can?15
There are different16 funding pots that are coming from the17 Bureau of Justice systems. Some,18 particularly which will be funded through19 PCCD, do permit supplantation. The 13.520 does not. However, it looks at only --21 you don't look at what last year's22 budget. You look at what the proposal23 was. And so you could use it. You could24 use it for a variety of topics, whether25 216 5/5/09 - WHOLE - BILL 090212, etc.1 it's to cover the prison population,2 whether it's to cover us. There's great3 discretion in how it could be used, and4 there's a lot of guidance about the5 supplantation issue on their website. So6 we're very confident that it could be7 used for a very wide variety of ways in8 complete compliance with federal law.9
Thank you.10 Maybe you'd be able to brief some members11 of our staff once we get a recommendation12 from the Administration to be reviewed by13 Council?14
Thank17 you.18 Mr. Gillison, I think that you19 have certainly gotten the impression that20 many of the Councilpeople are not very21 happy with what we heard today. So I'm22 going to ask you to please get together23 with the DA and her staff to see how24 this, in my opinion, injustice could be25 217 5/5/09 - WHOLE - BILL 090212, etc.1 corrected, and we will have a callback2 before we vote on the budget.3 Did you want to add anything?4
No, Madam5 President. I just wanted to recognize6 two candidates that are running for7 District Attorney that are here today8 listening, Dan McElhatton and Dan9 McCaffrey.10 COUNCIL PRESIDENT VERNA:11 Welcome.12 I think they both know the13 system very well.14 Lynne, I just want to close by15 saying I'm sorry that you had to go16 through this with your last budget, but I17 certainly want to publicly thank you for18 all that you have done. There was never19 a time that we had a community problem20 that I called you and you did not make21 yourself available.22 I guess one of my very first23 jobs with the City was in the DA's24 Office. So I have a personal feeling for25 218 5/5/09 - WHOLE - BILL 090212, etc.1 that office. I don't know of anyone that2 did as good a job as you did, and I know3 that you're going to be sorely missed.4
I6 don't know what your future plans are,7 but I want to wish you every success in8 your future endeavors.9
Well, I thank the10 Council President. I want you to know11 that as a lawyer and a litigator, I12 really enjoy spirited debate.13 COUNCIL PRESIDENT VERNA:14 That's quite obvious. It's no secret.15
And I take and16 give no quarter to any person. And far17 from being angry at anybody. This is the18 stuff that makes me live and breathe. If19 I wasn't fighting for my office and my20 staff, I'd be the lesser person for it.21 And I recognize the power and the22 authority of Council and the fact that,23 as I previously said, we're all in this24 together. We're here to serve the25 219 5/5/09 - WHOLE - BILL 090212, etc.1 public. And my budget statement says2 that -- it's not about me, because I3 won't be here in eight months. It's4 really about the safety and the security5 of the system, and that's why I think6 we're such a great office and the people7 in it are such great warriors.8 I also want you to know that9 43 -- it'll be 44 years next year of10 public service. It's been a great joy.11 I have absolutely no intention of12 retiring. And I must say in a parting13 note that had my husband not become ill14 and subsequently died, I'd be in the very15 last weeks of a reelection race.16 So I look forward to new17 challenges. I hope that I'll be able to18 work with the City. I even have -- and I19 must say this to Mr. Gillison. As much20 as I am irritated with him and this whole21 process, I'm not mad at him and I'm22 not -- what a surprise. I'm not angry23 with anybody. This is the stuff that24 makes a public servant a public servant.25 220 5/5/09 - WHOLE - BILL 090212, etc.1 You have to get up here and fight for2 what you believe in, and if you're not3 prepared to fight for it, get another4 job. And that's the way I look at it.5 So I'm off to new adventures.6 I thank you very much. And I must say7 I'm so pleased that Mr. McPherson is8 here. This is the quintessential genius9 of budgeting, and I'm so happy that he is10 here with you through this budget cycle.11
This20 Committee will stand in recess until21 3:15.22 Thank you.23
Good24 afternoon. We'll reconvene the Council25 221 5/5/09 - WHOLE - BILL 090212, etc.1 hearing on the budget, and is the Law2 Department prepared to testify? Come3 forth, please.4 (Witnesses approached witness5 table.)6
Good afternoon,9 Councilwoman Tasco, members of City10 Council. I am City Solicitor Shelley11 Smith. With me today are Donna Mouzayck,12 First Deputy City Solicitor; my Chief of13 Staff, Jennifer Burns; Elizabeth14 Mattioni, Chair of Litigation; Vanessa15 Garrett Harley, Chair of Social Services;16 Dan Cantu-Hertzler, Chair of the17 Corporate and Tax Group; and Dave Fegan,18 Director of Administration. I am pleased19 to have this opportunity to testify in20 support of the Law Department's Fiscal21 Year 2010 budget request.22 I've submitted my testimony for23 Council, but I'll be happy to read it24 into the record, if you like.25 222 5/5/09 - WHOLE - BILL 090212, etc.1
4 Here's how our Fiscal Year '105 budget request compares to estimated6 Fiscal Year '09 obligations: General7 Fund, the Law Department requests8 $11,335,383 in Class 100; $9,152,911 in9 Class 200; and $280,024 in Classes 30010 and 400, for a total of $20,768,318 in11 the General Fund, a net decrease of12 $149,300 from estimated obligations for13 Fiscal Year '09. 5 In the Grants Revenue Fund, the6 Department requests $21,644,000, an7 increase of $5,988,000 from estimated8 obligations in Fiscal '09. 13 The mission of the Law14 Department is to provide high-quality and15 timely legal advice to all officials,16 departments, boards and commissions17 within the City. 1 Consequently, the Law Department has2 little, if any, control over the number3 or types of matters it handles. 13 Revenue initiatives: Initially14 I wish to note that the vast majority of15 taxes are paid on time. 1 tax collections. 74 million. 13 The Law Department continues to14 maintain improved case analysis15 procedures that allow for early16 assessment of claim exposure, initial17 claim evaluation, enhanced defense18 preparation and better advice to City19 departments. million23 for Fiscal '09. 1 litigation cases were settled this fiscal2 year impacting Fiscal '09 indemnity3 projections. 5 million. 620 percent of contract dollars being paid to21 minority and women contractors in Fiscal22 '08. We continued with the majority of23 those contracts in Fiscal '09 and expect24 to do the same in Fiscal '10. 1 reasonably experienced attorneys for2 these units, plus an additional three in3 the Regulatory Affairs Unit. 7 I thank you for the opportunity8 to testify today on the Law Department's9 Fiscal '10 budget request. 14
Thank you15 very much.16 The Chair recognizes Councilman17 Greenlee.18
Thank19 you, Madam Chair.20 Good afternoon, everyone.21
Good afternoon,22 Councilman Greenlee.23 COUNCILMAN GREENLEE:24 Ms. Smith, just a couple of questions on25 230 5/5/09 - WHOLE - BILL 090212, etc.1 the tax collection that you talked about.2 You say you targeted or you're looking3 for an increase in the pace of4 collections. Do you have like a sort of5 target percentage that you'd like to see6 increase for Fiscal Year '10? Have you7 done it like that?8
We have not done it9 like that. What we have tried to do is10 accelerate the rate at which11 delinquent -- the rate at which12 collection matters that have, I'll13 characterize it, sort of run their14 collection course in the Law Department15 are sent out to collection firms for more16 aggressive action. The Law Department17 internally continues to work on18 collection of the more current taxes, and19 as those reach a point where more20 aggressive effort is required that a21 collection firm might better be able to22 address, we're looking to accelerate the23 pace at which we refer those matters out24 so it can -- so that those delinquent25 231 5/5/09 - WHOLE - BILL 090212, etc.1 matters can be the subject of more2 intense collection activity going3 forward.4
I know5 you talk about the numbers in real6 numbers are high in money, but that's7 because of the age of the debt and all8 that.9
How many11 would you say -- does it ever get to the12 point where you just say, Look, this13 person is not findable, if you will?14 Maybe the person has died. You can't15 find anybody connected with, say, a16 property or a business or whatever the17 case may be.18
As a general matter19 with real estate collections, because20 real estate taxes are connected to a21 property, there's always the theoretical22 possibility of collecting even when the23 property interest is transferred, no24 matter how old the debt is, the lien25 232 5/5/09 - WHOLE - BILL 090212, etc.1 against that property, which is2 renewed -- which is regularly renewed,3 goes along with that property so that at4 the very worst-case scenario when the5 property is transferred, that tax lien6 can be satisfied.7 But, generally speaking, we8 found that approximately 98 percent of9 whatever is collectible is collected10 within six years of the initial tax11 accrual, and then beyond that, the12 collection rate is somewhere around one13 or two percent.14
The15 reason I bring that up, because we all16 hear, the Administration hears, we hear,17 Well, one of the ways to solve this18 budget problem, just collect the money19 that's owed. But it's not as simple as20 that. That's why I asked the question.21 There's obviously a lot of debts out22 there that aren't collectible at least in23 the present time.24
All2 right. Last question just on -- you say3 about trying to make agreements before4 you have to go to legal action, if you5 will, or send it to a collection agency,6 whatever. What kind of flexibility do7 you have? Because one of the questions8 we have sometimes is, I want to make an9 agreement, but I can't meet what the Law10 Department is asking. I hear this from11 businesses sometimes.12 Do you pretty much stick to a13 set percentage that you have to have or14 do you take in consideration if you can15 get a decent amount, at least it stops it16 from going into further litigation?17
I think I'll have18 Cindy White, our Chief of Tax, explain19 that, because she can explain it better20 than I can.21
Good25 234 5/5/09 - WHOLE - BILL 090212, etc.1 afternoon. How are you?2
Cynthia White,6 Chief Deputy City Solicitor, the Tax7 Unit.8 Typically if a business9 owner --10
If a business owner13 has difficulty meeting our settlement14 payment terms, then we will work with15 that taxpayer and ask for financial16 documentation to demonstrate a financial17 hardship. We also will give flexible18 terms and allow for graduated payments19 and do all we can to accommodate someone.20
As usual,21 we usually hear when people complain, not22 when it works out. That's the way it23 goes. But I'm glad to hear that, because24 I would think in the long run, at least25 235 5/5/09 - WHOLE - BILL 090212, etc.1 in a lot of cases -- I can't expect you2 to take $5 for a $10,000 bill or3 something, but you maybe save money by4 not having to take it further if you can5 get some kind of reasonable agreement6 that the people will keep up.7
Exactly. And once8 a taxpayer is under an agreement, our9 experience is that they are willing to10 continue to pay that agreement and work11 with us to pay it throughout the term and12 satisfy the debt.13
Great.14 Thank you. Thank you.15 Thank you, Madam Chair.16
Yes.17 Ms. Smith, on of your18 testimony, you talk about you set up a19 competitive procurement of collection20 firms to enhance the City's collections21 of all types of delinquent taxes and also22 bail forfeitures. What would those23 delinquent taxes include? What kind?24
Well, currently, we25 236 5/5/09 - WHOLE - BILL 090212, etc.1 use collection firms to collect all taxes2 except real estate taxes, and the City3 absorbs the cost of those commissions4 charged by the collection firms off the5 top of whatever is collected. So what we6 have done is expand the use of collection7 firms in those taxes, again all taxes8 except real estate taxes, where we9 currently use collection firms to enhance10 our ability, as I said, to send those11 matters out more aggressively and more12 quickly so that we can intensify our13 collection efforts.14
Have you15 done any inventory or census of the kind16 of taxes that are owed to the City and17 the age of the tax to be collected, and18 if at some point they're just on the19 books forever, you don't keep counting or20 look forward to come in?21
Revenue actually22 does some calculation of that, and that's23 what I was explaining earlier. It24 appears from -- they've aged tax25 237 5/5/09 - WHOLE - BILL 090212, etc.1 collections, at least in real estate and2 business privilege tax, and what we can3 glean from that is that approximately 984 percent of whatever is collectible is5 collected within the first six years of6 the debt being owed, and after that, the7 collection falls to a rate of about one8 or two percent.9 So, yes, at a certain point, it10 does become more difficult to collect.11 About 90 percent of what is collected is12 collected in the first two years. After13 the first two years, then the collection14 rate falls off so that the additional six15 or seven percent is collected in the next16 four years and then it falls off even17 further.18 So, as I said, the way we19 structure the work is that the Law20 Department -- Revenue and then the Law21 Department focus on collection of the22 most current taxes, and then as the23 collections -- as the debts age, the24 matters are sent out to collection25 238 5/5/09 - WHOLE - BILL 090212, etc.1 agencies that have the resources to track2 down the people who have become more3 difficult to find or the debts that have4 become more difficult to collect, so that5 there's an incentive for them to do that6 and they have the resources to find7 people that have become or tried to8 remove themselves from discovery as it9 were.10
Thank you,13 Madam Chair.14 Good afternoon, Solicitor.15
I want to18 follow that line of questioning there.19 We learned recently that the Water20 Department through Water Revenue has21 about $80 million of uncollectible on the22 street that's only two years old. Why23 don't we strike while the iron is hot24 here? Because if we have $80-some25 239 5/5/09 - WHOLE - BILL 090212, etc.1 million that's only two years -- and you2 just confirmed it, as it ages, it gets3 more difficult to collect. I just can't4 imagine -- I hear it's well over 140, 1505 million that is still on the books that6 is up as much as 15 years old.7 First of all, as a city8 solicitor, it's not realistic, in my9 opinion, unless you're required by law,10 to carry that on the books for 15 years.11 All it does is suggest that we are not12 doing what we're supposed to do.13 Are we required to keep this14 uncollected debt on the books for 1515 years, and why can't we get more16 aggressive in collecting what I17 understand is over $80 million that's18 less than two years old?19
I'm going to speak20 to the issue of keeping the debt on the21 books and then I'm going to ask Cindy22 White to speak to the issue of the23 collections.24 The Finance Director and I have25 240 5/5/09 - WHOLE - BILL 090212, etc.1 actually been discussing -- we've been2 trying to determine whether or not there3 is a way for us to remove that debt of a4 certain age from the books, but we have5 not -- we're not like a business, in that6 businesses can at a certain point write7 off the debt. We have not figured out a8 legal way that we can do that, but we are9 concerned about that and we are looking10 at it, and we will continue to look at it11 for the reasons that you suggest.12 Cindy.13
I'm sorry. Cynthia18 White, Chief Deputy City Solicitor for19 the Tax Unit.20 With regard to collection, I am21 aware of the debts that you've mentioned,22 and toward that end, there have been23 recent contracts that have been awarded24 to address the more recent debt within25 241 5/5/09 - WHOLE - BILL 090212, etc.1 the Water Revenue Bureau to have that2 debt referred out to collection agencies3 in the first instance and have them4 collect. And we also have a firm under5 contract to collect on the debt that6 really cannot be collected in the routine7 manner but requires legal action.8 Moreover, water liens like real9 estate liens do run with the property.10 They're in rem liens. They have a life11 of 20 years. And in addition to that, we12 have the ability to revive those liens.13 So, in effect, those liens will stay out14 there, and to the extent that a taxpayer15 ultimately tries to transfer the property16 or any time try to refinance, at that17 point those liens would have to be18 satisfied, and the lien itself protects19 the City's interest.20
Now, let me21 just follow up a little bit with that,22 and I appreciate the fact that you guys23 have recognized that that money is out24 there, and I think it would be very25 242 5/5/09 - WHOLE - BILL 090212, etc.1 helpful now to get as much of that in.2 But this process costs money. The liens,3 I assume there's a cost associated with4 placing those.5
The lien actually6 is then assessed against the taxpayer,7 the homeowner. There's a $20 charge per8 year each time we file the lien.9
Add then the10 collection agency gets a piece of the11 action?12
So what can15 we do to not allow this stuff to get two16 years old, to get more aggressive in the17 first year, the first six months to make18 sure that this debt is collected so we19 can get paid the entire debt that's due20 without having -- the lien fee that you21 just mentioned will be eventually22 collected, but maybe not eventually23 collected, or the lien that's associated24 with the bill, the cost of the water. I25 243 5/5/09 - WHOLE - BILL 090212, etc.1 just can't imagine -- and I remember PGW2 having some similar issues at one time,3 and they've done an outstanding job. I4 can tell because the phone is ringing5 about gas being shut off, the outstanding6 job in correcting that.7 What can we do with Water8 Revenue to make this work better than it9 does today? We should never be in a10 situation, in my opinion, even as big a11 city as we are, to be 180 million, plus12 another 75, 80 million that's older than13 that. What can we do?14
I would agree,15 Councilman. I think the shut-off16 mechanism is one approach, and I know the17 Water Revenue Bureau uses that, but18 outside of that, especially during the19 moratorium period, we can then initiate20 actions more readily, more quickly in21 Municipal Court. We have an existing22 program. We are hindered by staffing23 restrictions and we also have limitations24 from the court as to how many complaints25 244 5/5/09 - WHOLE - BILL 090212, etc.1 we can file each week.2 (Bell rung.)3
But if we were able4 to file more of those inpersonam actions5 against these homeowners and let them6 deal with the debt while it's small,7 while it's current, while it's fresh,8 then I do think we'd have a greater9 recovery.10
Well, I know11 that -- I worked for a utility company --12 that you can live without electricity for13 a while. You can live without gas for a14 while, but water, summer, winter, all the15 seasons, you need it and almost16 immediately. So I think we have to get17 their attention.18
Thank you.20 Thank you, Madam Chair.21 Now, when she's not paying22 attention, that means I can ask another23 question.24 I think I will.25 245 5/5/09 - WHOLE - BILL 090212, etc.1 Yesterday we asked a question2 of the -- yesterday we asked the3 question --4
She didn't7 catch me yet.8 Can I finish this one question,9 Madam Chair?10
Thank you.12 Yesterday we were talking about13 casinos and the fact that they'll be14 arriving sooner than later. Our question15 was, can we create an environment in the16 casinos as we did at the airport, the17 police that are paid for by the18 aviation -- that the airlines pay for the19 police officers?20 We are trying to develop a21 concept where the casino industry has to22 contribute to a certain number of police23 officers above and beyond what would24 normally be at the location before the25 246 5/5/09 - WHOLE - BILL 090212, etc.1 casino. What can we do and what do we2 need legislatively to start that process?3
You may recall that4 the casino development agreements for the5 casinos at the waterfront -- I'm not6 going to get into the movement of them,7 but the original casino development8 agreement actually provided for payments9 from the casino developers that included10 some incremental cost of the additional11 police response. To the extent that12 those -- the costs that were factored13 into that agreement do not adequately14 cover the police cost, we could certainly15 examine whether or not it's possible to16 increase the cost and pass it along to17 them.18
The model at19 the airport works well. There could be a20 major multi-alarm fire in a part of the21 City and those police officers are not22 drawn away, and I think that the23 community, especially SugarHouse, needs24 to know that police officers that are25 247 5/5/09 - WHOLE - BILL 090212, etc.1 assigned there will not be pulled away,2 God forbid, if another emergency occurs3 somewhere else in the City. So I think4 that we should start thinking about a5 committed police force that is there to6 serve that community.7
Right. I8 understand. We can certainly take a look9 at that.10
Thank you,16 Councilman.17 The Chair recognizes Councilman18 Jones.19
Thank you,20 Madam Chair.21 Solicitor Smith, I want to22 thank you for responding to my letter of23 inquiry sent a year ago. The date is24 April 1st. I guess that was --25 248 5/5/09 - WHOLE - BILL 090212, etc.1
-- April Fool's Day4 to respond to it, but some information is5 better than none.6 What I would want to focus on,7 though -- and I sincerely thank you for8 your responses, because they were9 helpful.10
And just to11 explain, I think our difficulty was, a12 lot of the information that you were13 requesting from us was information that14 we just really don't have, and I think15 the letter reflected that, but...16
What I'd17 like to spend a moment on, though, is an18 old issue that I raised about bail19 collection and where we were in that20 process. It was at one point felt that21 there was a billion dollars of bail money22 on the street, and what we kind of23 negotiated down to what would be a24 realistic receivable was somewhere in the25 249 5/5/09 - WHOLE - BILL 090212, etc.1 neighborhood of --2
I think the number3 that was being floated was a billion4 dollars. What we think is actually5 collectible is about a million.6
No. It was7 about 100 million, as I recall, and that8 was from a billion down to 100 million.9 And even if it was 1 million, what are we10 doing to collect it?11
For our part of it,12 we have solicited proposals from13 collection firms and we have received14 responses and evaluated those, and we15 should be in a position to make a16 selection in the very near future, if we17 haven't already.18
All right.19 I'm not going to wait until April 1 next20 year.21
In addition,24 you mention the collection agencies.25 250 5/5/09 - WHOLE - BILL 090212, etc.1 What was the breakdown of minority and2 female agencies that you have?3
I'm sorry. Are you4 speaking specifically to the bail5 collection or in general?6
We have two20 minority firms, RCB, which does a very21 large portion of our collection work, and22 Linebarger is a female-owned minority23 firm -- I mean, a female-owned law firm24 that does our delinquent real estate.25 251 5/5/09 - WHOLE - BILL 090212, etc.1
And that2 represents the bulk of what your Class3 200 allocations are for, or is that --4
Well, no. We5 have -- our Class 200 allocations are not6 simply for collection firms. We also7 have outside counsel.8
But made up9 of your minority participation, what10 represents law firms then?11
Okay. Minority or15 MBEC-certified firms, we currently have16 contracts with five minority firms,17 minority or women-owned firms -- I'm18 sorry; six. And then at majority firms,19 we attempt to use minorities and women20 wherever possible. So in addition to21 those firms, there are an additional --22
So what23 percentage of firms equal minority, what24 percentage of firms equal female?25 252 5/5/09 - WHOLE - BILL 090212, etc.1
I would have to2 calculate the percentage of firms. I3 could count up the number of firms that4 we use and tell you of that number,5 but --6
I understand7 Bill Green has a calculator he might be8 able to provide.9
It's 28 percent of12 contract dollars that we spend on13 minority or women-owned firms. In terms14 of the number of firms, we can count that15 up for you.16
What was24 your understanding of City departments25 253 5/5/09 - WHOLE - BILL 090212, etc.1 with regards to providing in the body of2 your testimony MBE/WBE numbers? Because3 what we've discovered with each City4 department, that there's been some5 inconsistency in what Council's6 expectations were with regards to7 participation of disadvantaged8 businesses.9
My understanding10 was that our department was expected to11 testify to the numbers of diversity in12 our contracting and in our staffing as13 well and the amount of money that we14 spend on minority contracting.15
So my only16 ask would be, provide that information to17 the Chair. It's just easier for us to18 see it. And going forward -- last year19 we did a letter. This year we did not20 because we were convinced that there21 would be a universal uniform message.22 That has not happened. So next year we23 will send a letter indicating that we24 need every single department to come25 254 5/5/09 - WHOLE - BILL 090212, etc.1 prepared in the body and text of your2 testimony with who and amount of all subs3 and primes and percentages and dollar4 amount, a grid picture. And that just5 gives us a big picture of what is6 happening in departments.7
No problem,11 Councilwoman Brown. I think it speaks to12 a need to sharpen our communications with13 the departments as to what our14 expectation is and having a uniform15 presentation of how minority and female16 participation is applied.17 I want to go to your letter and18 response, and I asked on Question 3 of19 that letter, According to recent Inquirer20 articles, there are over 300 bridges,21 trestles in the Philadelphia area that22 are in a state of disrepair and there's23 almost a ten-year backlog of capital24 projects to fix them, and I asked -- I25 255 5/5/09 - WHOLE - BILL 090212, etc.1 further asked were we in communications2 with Amtrak and/or Conrail or whoever3 owns these dangerous bridges within our4 municipality, and one of your responses5 was that the City could petition the PUC6 to have railroad owners improve and7 remove bridge trestles that intersect8 with City-owned streets.9 Have we made any progress on10 that inquiry? I mention that in11 specifics to 52nd and Jefferson where CNN12 documented and chronicled railroad ties,13 one of which is in my office, that we14 spent $80 million worth of improving a15 mall, a dilapidated mall in that area,16 but the bridge trestle, every time the17 bridge goes -- the vibrations cause giant18 flakes of metal to come loose, and my19 concern is for what is the liability to20 them but, as important, what is the21 liability to the City of Philadelphia.22
Right. The23 liability to the City of Philadelphia24 to -- I mean, the City is liable for25 256 5/5/09 - WHOLE - BILL 090212, etc.1 defects in streets that are owned by the2 City. So as far as if there were a3 defective condition of a bridge or4 trestle that intersected with the City5 street, the City would not be liable for6 that condition.7 That said, I don't know whether8 or not the Streets Department has9 determined to contact the PUC about that,10 but I can certainly look into that and11 get back to you.12 (Bell rung.)13
And I14 appreciate you responding, but I would15 encourage you and implore you to set up16 a -- I don't want to say a task force,17 but some folk to look into what our18 liabilities are, what our action steps19 could be. Not only is it a question of20 beautification. It is a question of21 public safety.22 And as I look at some of the23 conditions -- and I asked also is there a24 disparity between the amount of repairs25 257 5/5/09 - WHOLE - BILL 090212, etc.1 done outside of the City of Philadelphia2 by these entities as opposed to inside3 the City of Philadelphia, and, if so, is4 there some recourse we can take as a5 municipality to say that we are not any6 less important than Montgomery County,7 Bucks County and others.8
You know,14 Councilman Jones, it's interesting you15 bring that up, because when they were16 about to do the -- as they were doing the17 repair of the South Street Bridge, you18 know it is a very dangerous condition19 coming onto the Schuylkill Expressway at20 that point, and they said it was too21 expensive to fix that situation there, if22 it was even possible to do that, and I23 pointed to the 309 expressway being24 redone, many of the interstate highways25 258 5/5/09 - WHOLE - BILL 090212, etc.1 being done, but it was too expensive to2 take care of the westbound onramp at3 South Street that is very deadly, if you4 have ever experienced coming on there.5 So your point is well taken.6
I appreciate7 it.8 And, Madam Chair, I think we9 should find this out, because I have a10 sense -- and it is my gut -- that there11 is a disparity between the emphasis12 placed on bridges, trestles outside of13 Philadelphia versus inside of14 Philadelphia, and that disparity is just15 unacceptable.16 Thank you, Madam Chair.17
Well, are18 you talking about SEPTA and/or SEPTA and19 Conrail, or both?20
Actually,21 I'm talking about all of the above. I'm22 of the opinion that we are de facto23 discriminated against in a number of24 ways. But not just by railroads and25 259 5/5/09 - WHOLE - BILL 090212, etc.1 trestles, but by major chains, that a2 CVS -- and I don't want to pick on them.3 Let's say a drugstore that has chains4 outside of Philadelphia has a different5 maintenance budget for shrubbery and6 trees and beautification than they do in7 inner-city areas. And if that is true,8 not only is it wrong, but I think that9 there may be some legal recourse we have10 by way to make sure that that does not11 happen. And I'm looking to the City12 Solicitor's Office to look into that.13
I agree17 with him to a great measure in terms of18 some of the corporations, but we have19 constantly always had problems with20 Conrail and their safety of their tracks21 and/or the lack of maintenance. I can't22 speak to the actual rails, but we do know23 there's a terrible disrespect for the24 cleanliness and clean-up of these tracks.25 260 5/5/09 - WHOLE - BILL 090212, etc.1 Now, you may say what does the Law2 Department have to do with all of that,3 but we've talked to all the other4 departments and haven't gotten much5 action. Maybe you can take some action6 on that. Okay? At the end of the day,7 if we're going to be held legally liable8 for something, then we ought to up front9 call attention to it.10
Right. The point I11 was trying to make was -- I hear what12 you're saying. I will absolutely look13 into it. Your question is about the14 disparity and expenditure of highway15 repair dollars within the City limits16 versus in the suburbs. I understand the17 question, correct? That is the question,18 right?19
Well,20 yeah, that's his question. That's his21 concern.22 We don't know what the question23 is, but there's a problem. Okay? So you24 figure out what the question should be25 261 5/5/09 - WHOLE - BILL 090212, etc.1 and ask it. Okay?2
We're not4 the lawyers. I'm a politician. I'm not5 about that.6
Thank10 you, Madam President.11 I don't want to beat a dead12 horse or a broken bridge. I think the13 question is that we continuously14 complain, and I have a lot of these15 untaken-care-of railroad tracks. I think16 the issue is, is there litigation going17 on across the country? Should we be18 looking at it and can we be ahead of that19 curve as opposed to behind that curve?20 And in that, we will find out whether21 there's a disparity between their22 maintenance and their investments in23 other areas versus urban cities. And I24 guess that's what we're going to, and I25 262 5/5/09 - WHOLE - BILL 090212, etc.1 think both Councilman Jones and I have2 asked department by department by3 department that has any interrelationship4 with those to say, Look, we may have to5 go to litigation, because what they do is6 blatant in how they operate now. Deputy7 Mayor Rina Cutler has established some8 communications, but I can tell you that9 we're still not getting any action.10 So the issue is, we could talk11 or we can act, and at some point the Law12 Department is going to have to play a13 role in that.14 That said, I've worked for the15 last 16 months with Rob Dubow and16 Commissioner Richardson on the issues of17 our collections, because it's an issue we18 hear continuously. As Councilman Rizzo19 said before, collect the money that's20 owed to the City and then we won't be in21 this trouble.22 One of the issues that I have23 pushed and there's been continued24 pushback from the Administration has been25 263 5/5/09 - WHOLE - BILL 090212, etc.1 the issue of an amnesty program, and I2 want to just put on the record again,3 because I know the typical responses, We4 do an amnesty and then there's a drop-off5 and people expect the future amnesty and6 then there's a drop-off or people won't7 pay until. But my belief is, based on8 your testimony, that if we are being as9 comprehensive in our collection10 strategies, utilizing both internal and11 external mechanisms, that that's what12 might make an amnesty program different13 this time versus what we've done in the14 past.15 So, again, in light of our16 financial situation, using that17 comprehensive strategy with our external18 collectors and our internal, why won't we19 consider an amnesty program to collect20 those dollars?21
I'm not sure it's22 accurate to say that we won't consider an23 amnesty program. It is my understanding24 that Commissioner Richardson is25 264 5/5/09 - WHOLE - BILL 090212, etc.1 evaluating the possibility of an amnesty2 program. I know that we've had some3 discussions about it. I think Cindy --4 okay. I know that we've had some5 discussions about it, and I think the6 question is whether such a program could7 be designed that would -- again, to your8 point, we are looking at leaving no stone9 unturned as it were to try to collect as10 much revenue, delinquent and otherwise,11 as we can. I think the question that12 Commissioner Richardson is trying to13 evaluate, along with the Finance Director14 and with our help, is how to design an15 amnesty program that will not encourage16 people to wait until amnesty comes before17 they pay. So, in other words, won't18 discourage people from -- that won't19 discourage the people who would otherwise20 promptly pay and won't discourage people21 for whom another delinquent tax22 collection effort might yield greater23 revenue collection, won't encourage those24 people to wait until an amnesty program25 265 5/5/09 - WHOLE - BILL 090212, etc.1 comes along so that they can get the best2 deal possible. Our objective obviously3 is try to get the best deal for the City4 and to set up, if we were going to an5 amnesty program, to try to balance all of6 those interests.7
I8 understand, and, again, under normal9 circumstances, I would say -- again, I'm10 going by what Commissioner Richardson and11 you are saying, is we are getting very12 serious and very focused in on this. So13 I think that when the argument becomes,14 Well, we're worried about what's going to15 happen two, three, four years from now16 versus can we collect potentially $10017 million, it's not a good argument, and18 that's what I've been hearing for the19 last 16 months. I think that I want to20 get 50 percent of something versus 10021 percent of nothing.22
As I said, as I23 understand it, Commissioner Richardson is24 trying to evaluate how to set up a25 266 5/5/09 - WHOLE - BILL 090212, etc.1 program.2
As it6 relates to the issue of the collection7 agencies -- I don't know if we've done an8 analysis. I know there has been some9 move, and Commissioner Richardson spoke10 to this, of us --11
We're18 keeping you awake.19 The question of turning our20 collections over earlier to these firms21 so that we can collect this money, where22 are we -- how are this year's contracts23 different than last year's in terms of24 our ability to turn them over quicker? I25 267 5/5/09 - WHOLE - BILL 090212, etc.1 think Ms. White was speaking to that, but2 I didn't know what our contracts were3 now.4
There's no5 limitation in the contracts on when we --6 we turn the matters over when we've7 reached a certain point in our office8 where we think it's no longer appropriate9 for us to devote our efforts and it's10 more -- and the debts are sort of more11 appropriate for collection agency12 activity.13 What we've tried to do this14 time is broaden the number, expand the15 number of collection agencies that we use16 so that we can send a larger volume of17 cases out sooner. So it's really a18 matter of numbers, just trying to expand19 the resources so that we can go after20 more.21
Don't22 they work on contingency fees? So why23 are we spending more resources? Don't24 they work on contingencies?25 268 5/5/09 - WHOLE - BILL 090212, etc.1
Yes, they do work2 on contingencies, and we have -- we send3 them out -- and I think Ms. White might4 be able to explain this more clearly than5 I can. So why don't I just let her do6 that.7
Cynthia White, Law8 Department.9 With regard to how the new10 contracts differ from the old contracts,11 previously we would refer cases out to12 our vendor. They would keep them for the13 term of the contract and pretty much have14 the entire duration to collect.15 Under the current proposal, we16 are implementing a faster rate of return17 and review. In other words, we're doing18 first placement, second placement, third19 placement within each of these groups and20 incorporating as well our internal21 collections.22 So the goal is to have23 referrals sent out earlier as the first24 placement, and typically that's within25 269 5/5/09 - WHOLE - BILL 090212, etc.1 the first 90 to 120 days up to maybe six2 months. After six to eight months, it3 will go to another phase, and after that,4 then ultimately if there's no collection5 after routine dunning and every effort is6 made to collect, it goes legal action.7 And in terms of our internal8 activity, we have, as I referenced9 earlier with Councilman Rizzo, a mass10 litigation program in Municipal Court11 where we actively file complaints for12 various tax types. And so, again, we are13 incorporating our collection efforts in14 between the agencies as well to make sure15 that there's a constant working of the16 inventory and it's fresher and it's17 staged in a way that they're not just18 sitting and being warehoused.19
I lost my25 270 5/5/09 - WHOLE - BILL 090212, etc.1 place when I did my point of order.2
I'll be5 happy to yield. I haven't asked my first6 question yet, but --7
He lost10 his -- when you ask for a point of11 information, you lose your spot. We're12 sorry.13 Councilman Rizzo.14
Thanks.15 I'd like to go to something16 that I learned yesterday. For years the17 Airport reported to the Commerce18 Department and I understand for years19 that the Water Department -- the water20 collection responsibility by Charter was21 the Water Department's. So many years22 ago, somewhere somebody decided to take23 the collection process, even though the24 Charter said it was the responsibility of25 271 5/5/09 - WHOLE - BILL 090212, etc.1 the Water Department, and gave it to2 Revenue. Apparently there's some3 loophole that allows that to happen.4 Could you explain that loophole5 and why the Division of Aviation is no6 longer reporting to the Commerce7 Department, that it is reporting to the8 Division of Transportation? It makes9 sense, but I'm just curious about the10 Charter and how the Charter --11
First of all, it's12 our understanding that the Charter gives13 water collections to the Revenue14 Department. I'll try to find the15 provision while we're sitting here.16
The Division of19 Aviation, how it reports -- your question20 is?21
The Division22 of Aviation -- matter of fact, even in23 our budget schedule yesterday, it said24 Commerce - Division of Aviation. How did25 272 5/5/09 - WHOLE - BILL 090212, etc.1 we remove it from Commerce and put it2 with a new reporting relationship?3
With a Memorandum4 of Understanding that the Charter permits5 the departments to execute so that they6 can agree, the departments can agree, to7 a different reporting structure.8
So there's a9 provision in the Charter that allows for10 a Memorandum of Understanding?11
Okay.13 You're the City Solicitor. I believe14 you.15 Thank you, Madam Chair.16
Thank you.17 The Chair recognizes Councilman18 Green.19
Thank you,20 Madam Chair.21 I really am not trying to beat22 a dead horse here, but I do have some23 questions about collections and tax24 collection, because it's been a rather25 273 5/5/09 - WHOLE - BILL 090212, etc.1 large issue.2 Councilman Jones on April 14th3 asked the Administration for an aged4 accounts receivable in each category.5 Does any office have that?6
Well, Revenue would7 probably develop that, because Revenue8 has developed the ones that we are aware9 of, one for real estate and one for BPT.10 I am not aware of the request, because no11 one would look to the Law Department for12 that.13
So you don't14 have an aged accounts receivable within15 the Law Department?16
So how do18 you manage the debt the way it was just19 described?20
There is a report.24 Revenue does generate a report that25 274 5/5/09 - WHOLE - BILL 090212, etc.1 shows -- I mean, when you say -- I want2 to make sure we're talking about the same3 thing. When you say an "aged4 receivables," in terms of -- what I'm5 thinking of, because this is the universe6 I've been working in in my head for the7 past couple of weeks, is sort of how much8 is collectible over time. But Revenue9 does generate a report that shows how10 much of the debt is this -- how much of11 the outstanding is this old, how much of12 the outstanding debt is this old.13 Revenue does have that, and then to14 figure out sort of how much is15 collected --16
Since they20 don't share it with us, perhaps you can21 share that with the Chair, the latest one22 you received?23
By tomorrow,25 275 5/5/09 - WHOLE - BILL 090212, etc.1 please. Because many of my questions for2 you relate to what the aged accounts3 receivable looks like and what our4 collection rates typically have been.5 I'm somewhat familiar with the industry,6 because I've represented people who are7 not in the collection business, but who8 are in the business of looking at a9 portfolio of debt, estimating what will10 be collectible on it and buying it --11
-- instead13 of collection. They will make you an14 offer. And there are many companies out15 there that do that.16 Have we turned over all of our17 data about our debt to any of those18 agencies where we could maybe go get, as19 Councilwoman Quinones-Sanchez says, 25 or20 50 cents on the dollar from third parties21 in a year when we really need the22 revenue?23
We have not turned24 over that information to any such firm.25 276 5/5/09 - WHOLE - BILL 090212, etc.1 We have debated internally the2 possibility and sort of the pros and cons3 of -- and we did this several months ago4 actually -- the pros and cons of selling5 some of the debt, let's say, of a6 particular age, and I think the concern7 was financially what the benefits versus8 the disadvantages of that were. Because9 I'm not the Finance Director, I can't10 really recall specifically what the11 financial analysis was, but that was the12 concern. We did look at that issue, and13 we continue to look at that issue. And,14 again, back to leaving no stone unturned,15 it's not an idea that we've rejected out16 of hand.17 To your point, though, about18 the collectability of debt over time,19 that's the report that we don't have. We20 just -- the report that I've seen just21 shows how much of -- like how much of22 this real estate debt is owed from 1999,23 how much is owed from 1998, without24 any --25 277 5/5/09 - WHOLE - BILL 090212, etc.1
Based on6 that data, I can just give that report to7 one of these agencies and they'll be able8 to tell me how much they think they can9 collect without even looking at the10 underlying stuff. So maybe you guys11 ought to think about doing an RFP for12 someone to come in and tell you what they13 think is collectible.14 With respect to your current15 collection efforts, depending on the time16 we refer it out to a collection agency,17 the amount of commission they charge, I18 would assume, under every contract we19 have is less. If we turn it over in20 three months, they only take seven21 percent. If we turn it over in six22 months, they take 15 percent. Is that23 how our contracts work?24
We have some25 278 5/5/09 - WHOLE - BILL 090212, etc.1 contracts that work that way and some2 that have a flat collection rate -- a3 flat commission rate.4
So why would5 we not turn stuff -- do we give flat6 commission work to -- in other words, if7 we have a firm that collects at seven8 cents and we have a flat commission firm9 at 18 cents on the dollar, do we give all10 of the three-month stuff to that firm11 that will charge us only seven cents or12 do we spread it around?13 (Bell rung.)14
I'll let Dan15 Cantu-Hertzler speak to that. He16 negotiated the contract.17
I'm Dan18 Cantu-Hertzler, Chair of the Corporate19 and Tax Group in the Law Department.20 First of all, since, as Cindy21 explained, we have now -- we're22 developing first, second and third23 placements, we tend to give the first24 placements to the firms that charge25 279 5/5/09 - WHOLE - BILL 090212, etc.1 cheaper commissions.2 As far as real estate taxes, we3 are going to be instituting a4 differential system so that people that5 owe no more than three years delinquent6 taxes pay attorney fees at a lower rate7 than those that have older debts.8
Okay. So9 can you please -- I mean, it makes no10 sense for us to have a system where11 somebody charges seven cents, somebody12 charges 15 cents and we don't give all13 those debts at three months to the person14 who charges seven cents. Do you have any15 sense of what that decision costs the16 City every year?17
Well,18 that's one very important factor, but19 there are also others. You can have20 somebody that's charging a very low rate21 but also collecting very little for the22 City, so that overall less is coming in.23 We're trying to evaluate that. We're24 trying to compete it more having, as much25 280 5/5/09 - WHOLE - BILL 090212, etc.1 as we can, more than one firm doing the2 collections so we can shift more work the3 way of the ones that are doing a better4 job.5
Okay. So I10 note that -- I'm sorry. My time is up,11 Madam Chair. I'll come back.12
Next.13 Councilwoman Miller.14 You'll be back in a minute.15
I also20 had questions about the commission as it21 relates to the collection firms, and I22 really wasn't listening, but did23 Councilman Green ask that something be24 sent, the last part of Councilman Green's25 281 5/5/09 - WHOLE - BILL 090212, etc.1 request?2
I thought he asked3 us to send him the report that we have4 from Revenue that shows the tax debt5 spread out over the years and how much is6 attributable to each tax year.7
Because I8 also just was wondering about what these9 collection firms -- what the commissions10 were and how they were calculated. And I11 believe that the gentleman that was just12 sitting with you started to answer.13
I've19 talked to him on the phone, but I think20 this is the first time I've ever seen21 you. How you doing?22 MR. CANTU-HERTZLER:23 Councilwoman.24
I wanted25 282 5/5/09 - WHOLE - BILL 090212, etc.1 to know too the commission that the2 collection firms were making that collect3 the delinquent taxes, but if there's a4 chart or something that you have that you5 can send in to the Chair that lists what6 the firms are, what the commission is --7
-- that10 will just be as good. Okay? Thank you.11 Also, tell me, what is the12 Community Development Fund in your budget13 on your first page of your statement and14 what exactly does it do?15
The Community16 Development Fund pays for our housing17 staff. So it comes from --18
So your19 L&I, Equity Court, all those kind of20 things?21
No. I think it's22 the lawyers that are -- we have lawyers23 that actually do housing work in OHCD.24
Oh, okay.25 283 5/5/09 - WHOLE - BILL 090212, etc.1 Okay. All right. I didn't think of2 that.3 And the other thing I'd like4 you to send to the Chair -- and I don't5 know whether Councilman Jones asked for6 this or not, but I know he did ask a7 question earlier when I had to leave the8 room. I'd like to know who you contract9 with and a list of the firms you contract10 with and identify those that are MBE, WBE11 and DBE as it relates to this 28 percent.12
I have it here.16 There are 27 firms currently under17 contract to do various types of legal18 matters for the City. Of those firms,19 three are MBE certified. They get 2820 percent of the total contracting budget21 for Fiscal '09 of 6.5 million, which is a22 total of about $1.8 million. In addition23 to those three MBEC-certified firms, we24 have another five that are not MBEC --25 284 5/5/09 - WHOLE - BILL 090212, etc.1 I'm sorry; another six that are not MBEC2 certified where the lead or billing3 partner is a minority or female.4
Because5 with the Law Department, they don't have6 to be certified, correct?7
Okay.9 Which is good, but you can still count10 them.11
And if I might, I14 mean, because of the nature of the work15 that we often have to send out, often the16 larger firms are the firms that have the17 capacity to handle it, but we try to18 encourage the firms to give that work to19 minority lawyers and partners who are20 competent to handle that work, because21 that's how they generate their own22 success within that firm and that's how23 they're able to sort of build their own24 value to the firm. So we try to do it25 285 5/5/09 - WHOLE - BILL 090212, etc.1 that way as well.2
Okay.3 Well, that sounds really good.4 I think that's my last question5 for now. Thank you.6 COUNCILWOMAN TASCO:7 Councilwoman Brown.8
-- ladies.13 I'd certainly like to follow up to14 Councilwoman Donna Reed Miller and15 Councilman Jones and take it a step16 deeper. You've provided the numbers of17 participation for disadvantaged law firms18 and your quote is, We try to encourage19 those firms to subcontract with MBE/WBEs.20
What I said was24 that in addition to using -- in addition25 286 5/5/09 - WHOLE - BILL 090212, etc.1 to the MBEC-certified firms that I -- the2 number of MBEC-certified firms that I3 identified, at larger firms that are not4 MBEC certified we try to encourage those5 firms to have the work handled by6 minority or female partners and7 associates within those firms to8 encourage their development of business9 within the firm, because that's how those10 attorneys are evaluated within their11 firms and that's how they succeed within12 those firms.13
Okay. So14 that is to suggest, then, that you cannot15 require those majority firms to make sure16 that they do business with disadvantaged17 businesses if they are in fact18 receiving --19
Well, we're not20 requiring them. They're doing the work,21 so they're not subcontracting any of the22 work. They're doing the work themselves.23 This is a matter of who within the firm24 is actually doing the work.25 287 5/5/09 - WHOLE - BILL 090212, etc.1
That's what we try3 to encourage. For example, at Ballard,4 the law firm that handles -- is the lead5 counsel in our labor work, Shannon Farmer6 is a female, the lead counsel. She has7 two female -- two white female and one8 African American female associates9 working with her on that matter.10 At Archer and Greiner, which is11 the firm that primarily handles our civil12 rights conflict matters, one of the13 billing partners there is Carlton14 Johnson, an African American male.15 Another is Stella Tsai, an Asian female.16
So what17 has been the level of success, your18 observation, in terms of --19
Well, I think over20 the past few years, the Law Department21 has -- as the universe of minority and22 female lawyers and partners within these23 firms has begun to very, very slowly and24 incrementally to grow, the universe of25 288 5/5/09 - WHOLE - BILL 090212, etc.1 attorneys that fall into those categories2 that we can use at those firms has grown3 and we have encouraged the firms to do4 that, because they know it's important to5 us. I think the prior two or three6 solicitors actually also did that, but7 the numbers in the firms have to increase8 in order for us to have people there to9 rely on.10
And that's11 the next level where Council would enjoy12 continuing to see growth in that way.13
During the15 testimony of the Board of Pensions, they16 testified that the Law Department will be17 responsible for selecting the replacement18 for Wolf Block due to their closing.19 Discuss the steps that the Law Department20 will take to identify a replacement firm21 since Wolf Block is no longer a fact.22
The attorney who23 handled the pension work at Wolf Block24 was John Nixon, an African American male,25 289 5/5/09 - WHOLE - BILL 090212, etc.1 by the way. He is now at Duane Morris.2 Under the contracting ordinance, we had3 to take emergency measures to have4 continuity of the work until we could put5 out another RFP for that work. So that's6 what we're working with John to do now,7 to transfer -- essentially to try to8 assign the contract or develop an9 emergency contract to bridge that gap10 while we put out another RFP, and that's11 what we have to do.12
We have a13 chart here that shows the participation14 levels of various departments and the15 Pension was like two percent. Is the Law16 Department at the table when the Pension17 Department is making those type of18 decisions about -- I'm looking for the19 chart.20
Are you talking21 about Pension contracts for investment22 firms, I assume you mean?23
Yes, yes,24 yes.25 290 5/5/09 - WHOLE - BILL 090212, etc.1
Investment firms2 are selected by the Pension Board. The3 City Solicitor is a member of the Pension4 Board, along with three other5 Administration representatives, four6 union representatives, the City7 Controller, and City Council has, I8 believe, a non-voting representative as9 well.10
So the Law12 Department, yes, along with members of13 the Administration, is a participant in14 their selection process.15
You should16 be advised that we've invited the Board17 of Pensions leadership to come back and18 sit with OEO and help us understand how19 that happens.20 (Bell rung.)21
Thank you.25 291 5/5/09 - WHOLE - BILL 090212, etc.1 Councilman Jones.2
Thank you,3 Madam Chair.4 Real quick. We had a lot of5 discussion yesterday about the BRT and6 about full valuation.7
I mean, a9 lot of discussion. I think that might be10 an inadequate adjective to describe it.11 But my question to you would be, one of12 the interesting points that was raised,13 that if we are wrong on full valuation14 and we then raise real estate taxes, what15 is our legal liability and is there a16 chance of a class action suit? That was17 mentioned in the discussion, and I just18 wanted to get your feedback on the19 possibility.20
It is unlikely that21 a class -- there's law that prohibits22 class action lawsuits on tax claims, as a23 general matter. There's a possibility24 that a class action suit seeking25 292 5/5/09 - WHOLE - BILL 090212, etc.1 injunctive relief, meaning not monetary,2 not the refunds, could be brought, but if3 it were -- our analysis is that if such a4 lawsuit were brought just based on the5 increases on the basis of the current6 assessment system, if the claim were to7 succeed, the remedy would not be to roll8 back the increases. It would likely be9 an issue of whether the underlying10 assessment was appropriate, and perhaps11 the BRT would be given -- if the court12 found that the assessment process were13 not appropriate, the BRT would be given14 some time to address that.15
But it would not18 undue -- a lawsuit on that basis would19 not be addressing -- would not get at the20 tax increases. It would still be related21 to the underlying assessment system.22
Thank you,2 Councilman.3 So the BRT testified yesterday4 that the current system is not uniform,5 unfair, inequitable, to mention a few6 phrases. One might argue that makes, if7 you kind of look at caselaw, it illegal.8 And could not a court in an action if a9 mandamus was brought essentially require10 us to go to full value immediately prior11 to the time that we've put in any circuit12 breakers? In fact, isn't that what's13 happened in other counties? And we may14 be precipitating a lawsuit by increasing15 illegal taxes today.16
I don't think17 that -- I think that the system itself,18 wherever it is now and whatever the BRT19 has said about it or the actual value20 initiative implicitly says about it, is21 what will trigger -- is what could22 trigger a potential lawsuit. I don't23 think that a tax increase -- that an24 increased tax rate is even necessary to25 294 5/5/09 - WHOLE - BILL 090212, etc.1 do that, particularly not at this stage2 with all the information that's come out.3 And that's what I was saying, that the4 issue would be the underlying assessment,5 not the increase.6
Thank you,7 Solicitor. What you're saying is we're8 at great jeopardy of a lawsuit right now9 the way our system works, and that's, in10 my view, one reason why we shouldn't11 upset the public and increase the12 property taxes, since 86 percent of them13 don't want it anyway.14 Thank you, Madam President.15 COUNCIL PRESIDENT VERNA:16 You're welcome.17
I'm a little18 more confused than I was. My question19 basically is that if there were a20 lawsuit, it would be just on the21 valuation and not on the increase of22 taxes, and the remedy would be not23 monetary but a readjustment of the24 valuation? And I've successfully25 295 5/5/09 - WHOLE - BILL 090212, etc.1 confused you.2
What I understood7 your question was -- I thought I8 understood your question to be about9 potential real estate tax increases, a10 lawsuit over the increases. If what11 you're asking me --12
What I said was, if18 such a lawsuit were brought, the19 increases -- there's nothing problematic20 about the increases themselves.21
I think what the23 court would ultimately look at is the24 underlying assessment system. So in all25 296 5/5/09 - WHOLE - BILL 090212, etc.1 likelihood, if a lawsuit were brought and2 were successful, the remedy would not be3 to roll back the increases or to4 invalidate the increases, but it would5 probably focus on the underlying6 assessment system itself and, as7 Councilman Green, wherever he's gone, as8 Councilman Green mentioned, potentially9 enjoin the current assessment system and10 force the BRT to go back and figure it11 out.12
Thank16 you.17 The Chair recognizes18 Councilwoman Sanchez. She's not here.19 Councilwoman Brown, did you20 want to be recognized?21
Okay.25 297 5/5/09 - WHOLE - BILL 090212, etc.1 You're already prepared to2 offer to the Chair a list of outside3 firms. Speak to how your department4 works with the Office of Equal5 Opportunity just in terms of process.6 How does that happen?7
Is there a12 role for them?13 What we're trying to do,14 members of Council, is to get a better15 handle on where does the buck stop. Is16 it with the department head or is it with17 the Office of Equal Opportunity or not,18 and who is at the table as you move to19 render a decision on who the awardees20 are.21
We put out an RFP25 298 5/5/09 - WHOLE - BILL 090212, etc.1 and we get responses back, and based on2 those responses, we select firms that fit3 the requirements. So some of our4 selection is obviously impacted by the5 responses that we get --6
So then in9 that equation, is there any role for the10 Office of Employment Opportunity as it11 relates to the Law Department?12
I don't think so.13 I think they set goals, and then our14 ability to meet them is impacted by the15 number and kind of proposals that we16 receive from firms who seek to do the17 work in relation to our needs.18
I think they do,21 yeah. But our ability to meet them,22 again, is impacted by the responses that23 we get.24
Okay. All25 299 5/5/09 - WHOLE - BILL 090212, etc.1 right, then.2 That concludes my questioning,3 Madam President.4
Thank9 you.10 Shelley, are you on the Mayor's11 diversity cabinet, or whatever it is?12 Are you a member of that?13
Well, no,16 no. Michelle was on the same committee I17 was on, the Diversity Commission, but the18 Mayor has that cabinet, the Economic19 Opportunity Advisory Cabinet. I think20 that's what it's called.21
You're on24 it?25 300 5/5/09 - WHOLE - BILL 090212, etc.1
Because I6 think what Councilwoman Brown was trying7 to get to at some point, I thought that8 that was going to be the cabinet, the9 group that worked with the OEO to make10 sure that minority goals and whatnot were11 set and carried out.12
So I14 think that's what eventually -- I think15 what we want to know is the role of the16 cabinet and how often are they going to17 meet and how close will they work with18 OEO. And OEO's staff has been cut, so I19 don't know how OEO is actually going to20 get around, but somehow it has to be21 figured out, because our goal is to22 increase the participation numbers in so23 many of these departments.24
All5 right. Thank you.6 Thank you, Madam President.7 COUNCIL PRESIDENT VERNA:8 Councilwoman Brown, are you finished?9
Thank15 you, Madam President.16 A couple more questions as it17 relates to our tax collection. When18 Commissioner Richardson was here, he19 stated that he didn't have any20 current-year contracts because the21 contracts were being renewed. Do we have22 current contracts now or will they take23 effect July 1st?24
We're in the25 302 5/5/09 - WHOLE - BILL 090212, etc.1 process of awarding contracts, I think,2 as we speak.3
As we4 speak, okay. Do we have a timeline for5 that?6
A number7 of them are in place. Some of them are8 in process.9
So we17 have some in place and -- do we have a18 deadline for when we expect everything to19 be in play?20
It always21 takes longer than we hope. I think22 within the next month, we hope.23
The24 reason I'm asking is because I'm25 303 5/5/09 - WHOLE - BILL 090212, etc.1 concerned around some of our discovery2 work and that we were having that3 conversation in the context of discovery4 and our discovery efforts for folks who5 we know traditional sectors -- our6 traditional discovery efforts and the7 possibility of ranking that up a little8 bit, because we knew that there's some9 sectors of people who skirt taxes all the10 time. So where are we with that?11
That12 contract has been conformed. It was13 conformed, I believe, last week14 Wednesday, and they have gotten the15 referrals they were waiting for, I16 believe. I should confirm this. I was17 promised that they would on Friday.18
Okay.19 That's important stuff, because I think20 that --21
Okay.24 All right. I know we don't want to tell25 304 5/5/09 - WHOLE - BILL 090212, etc.1 people we're coming, but I think that2 there are sectors that need to know we're3 coming.4 Have we ever done a cost5 analysis between what it costs us6 internally to do this tax collection in7 comparison to what the firms charge us?8
Well,10 again, there are many factors involved in11 this. I think we make pretty good use of12 our resources internally. If you add up13 the salaries of our Tax Unit and the14 other costs associated with their work, I15 think our cost of collection is something16 on the range of five percent or so,17 whereas we're paying an average of about18 17 percent for outside firms.19 Now, that said, we still think20 it's cost effective to refer to outside21 firms because we don't have the capacity22 to do some and they are handling some of23 the older and more difficult matters. So24 we're not really quite comparing apples25 305 5/5/09 - WHOLE - BILL 090212, etc.1 to apples here. But we're trying to make2 those comparisons and adjust the workload3 as best we can.4
I'd like5 to again, because of my work with6 Commissioner Richardson, to look at those7 numbers. One is because if it means we8 need to strongly advocate that you keep9 your money in your budget, because I10 haven't asked you what your Plan B is,11 but if one is to be able to justify the12 budget that we have because we are being13 successful and, two, the diversity of our14 collection options increases our15 collectability, I want to start looking16 at that. Because, again, I think that17 you have a Revenue Commissioner who gets18 it and I think the collections department19 that gets it, and I think all of that20 stuff is being ramped up. So I just21 want to start analyzing that so we can22 prove the data and the positions that23 we're taking as it relates to our24 collections. I'd like to see that.25 306 5/5/09 - WHOLE - BILL 090212, etc.1 One of the things you talk2 about -- so I think I'm going to leave3 with that. Again, it was something that4 we specified in our Freshmen 15 and it's5 one that I continue to be actively6 involved and want to be helpful on, just7 because I hear it from my constituents8 all the time, Are you coming after me?9 Collect the debt that's out there. So10 it's part of that work.11 One of the things that you12 mentioned, Solicitor, was that you're13 looking at a new case management system.14 I don't know if someone asked you when I15 walked out. What does that look like and16 what are the processes that helps17 facilitate in your office?18
We are in the19 process of contracting for that now.20 It's a case management system. Right now21 we have a case management system22 internally that's about 17 years old.23 It's had some upgrades over time, but it24 manages primarily on the litigation side25 307 5/5/09 - WHOLE - BILL 090212, etc.1 the number -- the cases in and out and2 the progress of those cases as they move3 through the various stages of litigation.4 Because it is a system that was5 designed for litigation, it doesn't help6 us report on the transactional side,7 because those cases are just -- those8 matters are just very different. So one9 of the things that the upgraded case10 management system will do is, in addition11 to upgrade -- in addition to modernizing12 the system for 2010, let's say, a system13 that was originally designed in 1993, it14 also will enable us to track15 transactional matters and figure out what16 their progress is and sort of match up17 our own internal case management with the18 ASIS system that manages the contracts19 from department to law firm.20
Is this21 off the shelf? Are other firms using22 this?23
It was designed --24 I think it's an off-the-shelf system that25 308 5/5/09 - WHOLE - BILL 090212, etc.1 was modified for us, because the original2 system is called 4-D and that, I think,3 is an off-the-shelf product that was4 originally modified for us, and this is5 additional modification and also an6 upgrade for the transactional side.7
Okay.8 Last question, how are you doing -- I9 notice you said you were able to hire10 four reasonably experienced attorneys.11 How close are you to being at capacity12 where you'd like to be?13
We have another14 several -- we have 11 vacancies. We15 have, I think, four in the process now of16 waiting for approval, and we are17 interviewing to try to fill the rest.18
In the19 appropriations discussion because of the20 fact that you had gone over budget, in21 your Fiscal 2010 situation, there's an22 additional 6 million-plus that's23 requested. Are you going to be able to24 stay in line with that?25 309 5/5/09 - WHOLE - BILL 090212, etc.1
I think so. We've2 actually only -- as I testified at the3 transfer ordinance hearing, we had4 reduced last year and continue to reduce5 as we get more staff the number of6 matters that we send out. So I don't --7 I think that the number that we're8 budgeted for for Class 200 more9 accurately reflects what our real10 expenditure was, which last year's budget11 did not. We didn't start from a12 reasonable -- we didn't start from a13 budget place last year that really14 corresponded to our expenditures. This15 year we're -- in the Fiscal '10 budget,16 we are starting from a place that does.17
But18 what's your number you expect at the end19 of the year to be over your budget this20 year?21
I think we're25 310 5/5/09 - WHOLE - BILL 090212, etc.1 projecting another 1.9.2
For a total of --5 which would be a total for the year of 96 million, I think. And we projected in --7 when we were here for the transfer8 ordinance, we thought it would be another9 2.1. So we're actually a little ahead of10 ourselves, which is good.11
So it's12 your testimony today that the budget that13 was given to you will not result in an14 over budget of 9 million?15
What is18 your Plan B if we don't have all of the19 revenue projections that we need as a20 city?21
Well, we were not22 asked to prepare a Plan B, because our23 choices are either we cut our outside24 counsel budget and then end up spending25 311 5/5/09 - WHOLE - BILL 090212, etc.1 the money anyway because we need it,2 because a cut doesn't reflect our actual3 history of expenditures, or we cut our4 internal staff and then have to spend the5 money on outside counsel anyway because6 we don't have enough lawyers to handle7 the work, because as I've testified8 before, we don't have control over what9 we get and so we have to deal -- we are10 sort of like the Prisons, that we have to11 take what we get and defend it in12 accordance with the Rules of Professional13 Responsibility.14
The15 issue becomes we're asking everybody to16 have a Plan B.17
As you19 are well aware, we are very far off from20 agreeing on our revenues. So I think it21 would be appropriate that you submit to22 us a Plan B, because from my perspective,23 you have two things. People who generate24 revenue, which is why I think it's25 312 5/5/09 - WHOLE - BILL 090212, etc.1 important that we track our ability and2 our revenue, and the people that deliver3 service. So we have to cut -- we may4 disagree with the Mayor on this -- what's5 in the middle. So you either generate6 revenue or you provide a vital service.7 If you're in the middle, then you're on8 the table.9
Right. I don't10 think we're in the middle, though. If11 you would put us in the middle, I think12 you and I would disagree on that.13
I'm not14 putting you there. I'm saying what's15 your Plan B? If everybody is expected to16 have a Plan B, we expect our law office17 to have a Plan B.18
Thank24 you.25 313 5/5/09 - WHOLE - BILL 090212, etc.1 The Chair recognizes2 Councilwoman Tasco.3
Since the7 new state Right to Know law went into8 effect, has there been any noticeable9 change, increase or decrease, in the10 number of requests for documents received11 by the City or in the scope of those12 requests?13
I think there has18 been a slight increase, yes. I don't19 have the number off the top of my head,20 but I think based on the ones I see, I21 think there has been a slight increase,22 yes.23
So what is24 the method the Law Department is using to25 314 5/5/09 - WHOLE - BILL 090212, etc.1 monitor this situation?2
We have a Right to3 Know officer, Chris DiFusco, who works4 with City departments and counsel to5 respond to Right to Know requests. We6 track them and we respond to them in7 accordance with the law.8
Do you9 respond to them or do you refer them to10 the department that would --11
I think it depends12 on the response. If the response is13 simply to provide the information -- what14 we do is work with the department to15 figure out whether or not the request16 falls legitimately within the Right to17 Know law; that is, they're asking for18 information that on its face is what I19 call right to knowable, disclosable, and20 if it is, then the department can just21 respond to that, or if they like, we can22 work with their -- they're all supposed23 to have a Right to Know officer or within24 each Deputy Mayor group, they're supposed25 315 5/5/09 - WHOLE - BILL 090212, etc.1 to have a Right to Know officer. We can2 work with that person to provide a3 response to the person who requested --4 to draft a response to the person who5 requested the information.6 If for some reason we believe7 that what's requested falls within an8 exception to Right to Know, then Chris9 will either work with the department to10 craft an appropriate response along those11 lines or we'll do that for them.12
PGW13 recently had a case where they denied14 access to customer records, and the15 company requesting this information16 appealed to the state. Even though the17 Law Department was aware of the case, the18 City did not intervene. Is there a19 reason why the City didn't intervene in20 this situation and does the Law21 Department have any criteria for when the22 City would intervene in an appeal23 involving a City-related entity?24
It's my25 316 5/5/09 - WHOLE - BILL 090212, etc.1 understanding that we received2 information about that appeal and the3 deadline about two days before the4 deadline -- for us to intervene if we5 were going to. We made a determination6 that PGW had thoroughly and appropriately7 drafted a brief on all of the relevant8 issues and that its position would not be9 necessarily enhanced by City10 intervention, and we didn't feel like we11 had enough time given the deadline to try12 to craft additional materials that would13 add anything to PGW's position in that14 short period of time.15
Okay.16 What steps is the Law Department taking17 to keep departments and stakeholders such18 as City Council informed of Right to Know19 do's and don't's that may surface as a20 result of appeals?21
I believe when the22 new law -- before the new law took23 effect, Chris DiFusco conducted a series24 of training sessions both for the City25 317 5/5/09 - WHOLE - BILL 090212, etc.1 departments at one or two executive team2 meetings. He did one early on before the3 law -- when the Administration first4 changed, he conducted a training at an5 executive team meeting, and then6 subsequently as the law was about to7 change, he conducted at least one or two8 more, and I believe he also conducted a9 similar training for City Council. If10 I'm not mistaken, he worked with Anne11 Kelly King to set that up and conducted12 training for City Council. And as13 updates -- to the extent that14 developments in that new law have come15 up -- and there haven't really been any16 recently, there haven't been any so far17 that I'm aware of -- he certainly18 disseminates those to the clients as19 necessary.20
The25 318 5/5/09 - WHOLE - BILL 090212, etc.1 Chair recognizes Councilman Rizzo for a2 point of information.3
The Right to4 Know law -- I just want to make sure I5 hear it from you -- it's available to6 other than the media?7
So if the12 general public wants to know something,13 you still put it through that exercise of14 whether --15
Thank19 you.20 Councilman Green, your light is21 on. Did you want to be recognized?22
Yes, Madam23 Chair.24 Councilwoman Quinones-Sanchez25 319 5/5/09 - WHOLE - BILL 090212, etc.1 touched on this a little bit, but I2 wanted to just make sure I understand3 exactly what the expenditure is going to4 be for Fiscal 2009. So I will be asking5 specifically about the estimated6 obligations that are on of the7 departmental summary, but by way of8 background, I think last year in the9 budget testimony you decreased outside10 attorney expenditures by 2.7 million or11 84 percent, and you testified that,12 quote, "with four additional attorneys to13 represent the City in litigation, we will14 reduce Class 200 expenditures for outside15 counsel." When you appeared in February16 seeking an additional 5 million in Class17 200 funding, you testified the Law18 Department had hired two General Fund19 attorneys. Your testimony today20 indicates that you've now hired four,21 quote/unquote, "reasonably experienced22 attorneys" since January 2009. So that23 it appears that you've hired the number24 of attorneys that you testified about25 320 5/5/09 - WHOLE - BILL 090212, etc.1 last year that you needed to drive down2 outside counsel costs, but you are3 basically requesting -- you've received 64 million in additional Class 200 this year5 and you're requesting FY10 basically that6 same $6 million. Can you explain that to7 me?8
Sure. I believe --9 first of all, at the time that I10 testified for my Fiscal '09 budget in11 2008, we had not yet commenced --12 certainly we had not completed labor13 negotiations. So we have -- so that's a14 significant driver of our outside counsel15 costs. That's one thing. They're not16 handled in-house. And at the conclusion17 of that, because we reached contracts18 before just a year, we've basically been19 in continuous labor negotiations. So20 that, I would say, characterized -- was21 sort of an unanticipated -- a bit of an22 unanticipated cost for outside counsel.23
And how much24 are you going to spend on that category25 321 5/5/09 - WHOLE - BILL 090212, etc.1 of outside counsel costs in '09?2
Our total outside3 contracting costs, including the4 healthcare consultant that was agreed to5 as part of the contract, $927,000, just6 about a million so far, and another7 approximately $400,000, which comes out8 of our budget, our Class 200 budget for9 the healthcare consultant. So that's10 just so far.11
I'm sorry.12 You've requested 6 million in additional13 Class 200 funding this year and you spent14 a million on labor negotiations.15
I wasn't finished.16 You asked me. I was explaining. I said17 first thing is.18
So where we started20 last year in our -- where we started in21 Fiscal '09 in our budget allocated to22 outside counsel was at $516,000, which23 was not a number that correlated in any24 way to any previous year of outside25 322 5/5/09 - WHOLE - BILL 090212, etc.1 counsel expenditures, and what we've been2 doing is making up for that. I think at3 end of this year, we'll be at a total of4 about $9 million, which is over even the5 average expenditures for previous years,6 but what we're requesting for next year7 is a more reasonable -- the $6 million is8 a number that reflects, including the9 cost of labor negotiations, an amount10 that we typically spend for outside11 counsel when we're more or less fully12 staffed. So we're not requesting the13 same amount that we spent this year.14 We're requesting less, but it's certainly15 more than was budgeted in Fiscal '09. Is16 that clear?17
No. I mean,18 you testified last year with great19 assurance that you would be able to20 achieve these savings. We've spent a lot21 more money than you testified you'd be22 able to do. This year you're testifying23 that you can lower it a little bit and24 you're giving us your assurance that you25 323 5/5/09 - WHOLE - BILL 090212, etc.1 can do that.2
So I'm just4 trying to understand what's really going5 to happen this year.6
Well, again, the7 amount of money that was budgeted this8 year was completely disproportionate to9 any amount that we typically spend.10
You asked18 for $15 million total spending last year.19 You came and testified that you could do20 this.21
Okay. I have22 reduced the number of cases, the number23 of matters that we have sent out, from24 the first year -- just a minute.25 324 5/5/09 - WHOLE - BILL 090212, etc.1 In 2007, calendar year 2007,2 the Law Department sent out 68 matters.3 In 2008, we sent out only 54 matters.4 From 2009 to date, we've sent out four.5 So I have continued to reduce6 the number -- as I've been able to hire7 people, I have continued to reduce the8 number of matters that we send out. My9 ability to do that -- and I think I10 testified -- I tried to testify to this11 at the transfer ordinance hearing -- we12 have to have the right people in place in13 order to have the matters handled14 appropriately.15 Last year we had what I would16 describe as some unexpected attrition in17 relation to our staffing and our ability18 to handle those. We've adjusted so that19 we now have attorneys in-house who are20 able to handle the kind of matters that21 we have in-house, and we've been able, as22 I said, to increase that number. And23 correspondingly, we have substantially24 reduced the number of matters that we25 325 5/5/09 - WHOLE - BILL 090212, etc.1 have referred out.2 So based on that and assuming3 that that staffing continues, that we4 keep in place the kind of attorneys that5 we need to do the work, we should be able6 to continue at that pace and maintain a7 level of spending that's within the8 number that's budgeted.9
Okay. But10 what you're saying is sort of11 inconsistent in that you have given out12 far fewer cases this year. You've only13 spent a million dollars on labor14 negotiations. You expect to have many15 fewer cases given out next year, but you16 still are requesting a Fiscal 201017 obligation level of $8,832,911.18
We have matters19 outstanding that are already with outside20 counsel that we cannot efficiently bring21 in-house. We have cases that it's just22 not efficient to bring in-house. We have23 the prison class action matter. There's24 one -- the original one is still active25 326 5/5/09 - WHOLE - BILL 090212, etc.1 and the second case is still ongoing, as2 an example. And we have a number of3 matters that are out and cannot be4 brought back in. So as those matters5 conclude, the amount of our outside6 counsel expenditure will decrease, but7 those matters have to conclude.8
Oh, the other11 thing, before I answer your question, the12 other factor is that we always have13 conflict matters that we can't anticipate14 that have to be sent out. So we have to15 factor in a potential cost for those16 conflict matters, and we do that based on17 prior year's expenditures. And in the18 bulk of our outside counsel matters,19 other than labor costs, is conflict20 matters. So those are matters that we21 always have to send out, and we have,22 again, no control over when we get them23 or what kind of work they require. Those24 are matters that just have to go out.25 327 5/5/09 - WHOLE - BILL 090212, etc.1
How is the5 fact that because over time you're going6 to be able to refer less people or fewer7 cases to outside counsel by maintaining8 your current staffing level or maybe9 even, if we can really gain all these10 efficiencies, increasing your staffing11 level, how is that fact reflected in the12 Five-Year Plan?13
I'm going to speak14 to -- I'm going to ask Mr. Agostini to15 speak to that.16
While we're17 waiting for Mr. Agostini, if you could18 please -- Solicitor, while we're waiting,19 if you could please provide to the Chair20 all of the outstanding cases with outside21 counsel that we can't bring back --22
-- the24 nature of the case, who is handling it25 328 5/5/09 - WHOLE - BILL 090212, etc.1 and when you expect that case to be2 resolved.3
That way, we7 can take a look in the Five-Year Plan and8 see if we can perhaps claw back some of9 that cost. And the cost, the anticipated10 cost.11 Thank you.12
With respect to13 the reflection of changes in14 efficiencies, the '09 budget did include15 approximately a $1.2 million reduction in16 the outside counsel that was reflected in17 the increase of approximately half a18 million or so in the Class 100. We did a19 direct trade where we lowered Class 20020 for outside counsel in order to provide21 additional funding for Class 100, so22 staff would be on board and save money.23 In the process, however, we ran24 into difficulty because of the November25 329 5/5/09 - WHOLE - BILL 090212, etc.1 revise in filling positions --2 COUNCILMAN GREEN:3 Mr. Agostini, the question --4
The question7 on the table is about the Five-Year Plan.8
I'm getting9 there, if you'd let me finish my answer,10 please.11
I'm getting14 there. Would you let me finish my15 answer?16 COUNCILMAN GREEN:17 Mr. Agostini, please let me finish my18 sentence.19
I just22 wanted to make sure you understood the23 question.24
I did. I was25 330 5/5/09 - WHOLE - BILL 090212, etc.1 right there.2
Now that I3 know that you understood the question,4 please proceed. And please stop.5
I understood6 your question. I was here. I heard it.7 I was answering it.8 So that million two was9 reflected in the '09 through '13 Plan.10 There was an increase in the Class 10011 cost associated with that. As I was12 saying, at the time of the November13 revise, a number of positions throughout14 the City government were held in order to15 see where we would be in addressing the16 revise and, in essence, reviewing or17 hiring moving forward. Because of that,18 many positions were not filled, and to19 this day, there are still a number of20 those positions that have not been21 filled. That change was reflected22 throughout the '09 through '13 Plan. In23 the transfer ordinance hearing that we24 had about 45 days ago, we increased by25 331 5/5/09 - WHOLE - BILL 090212, etc.1 approximately $5 million the amount that2 was going into Class 200 for this year.3
Class 200 that5 was in the budget for FY09. Those6 changes in staffing are still reflected7 in the Five-Year Plan. Those have not8 been changed. So the augmentation for9 the number of positions in staff in-house10 and staff for the purpose of avoiding11 Class 200 costs are still reflected in12 the budget and in the Five-Year Plan, the13 '10 through '14 Plan.14
What changes15 are reflected in the Five-Year Plan?16 What is reflected in the Five-Year Plan?17
As I said a18 moment ago, Councilmember, the changes19 that were done in staffing that were --20
So you're21 maintaining a lower staffing level or a22 higher staffing level in the Five-Year23 Plan?24
We added a half25 332 5/5/09 - WHOLE - BILL 090212, etc.1 a million dollars in staffing in the2 Class 100. That augmentation was3 reflected not only in the '09 through '134 Plan, but remains in place for the '105 through '14 Plan.6
Okay. That7 being said, the Solicitor has testified8 that with that additional staff, she will9 be able to refer many fewer cases in the10 out years, because the only reason11 outside counsel spending is so high,12 according to the testimony, is because of13 current cases. She's only referred four14 cases to outside counsel so far in 2009.15 The question is, are the savings16 attendant with having a fully staffed17 Solicitor's Office carried through the18 Five-Year Plan in Class 200?19
I want to make sure20 that we're talking about the same numbers21 before we get to -- as we answer your22 question. When I explain about costs so23 high, I'm referring to the costs over24 what we typically pay for outside25 333 5/5/09 - WHOLE - BILL 090212, etc.1 counsel. If you go back several years2 and look at our annual expenditures,3 because that's what we -- when we budget4 or when we estimate our cost, that's what5 we base our analysis on. So if you go6 back to 2002, Class 253 costs were $57 million, 2003 they were million, 20048 they were million, 2005 they were 39 million, 2006 -- so they average10 somewhere between two and a half and $511 million every year. That's our average12 in the past. So when we talk about --13 when I talk about extra money being14 spent, I'm referring to in excess of that15 amount of around three and a half or so16 million dollars on average, which is17 where we are this year.18
Okay. But19 you were saying that there are savings as20 a result of the additional 500,000 in21 Class 100 that we can't see this year22 because of existing cases.23
Right, but savings24 off of expenditures for this year, not25 334 5/5/09 - WHOLE - BILL 090212, etc.1 savings off of what our typical annual2 costs are, because those are based on a3 more full staffing level to begin with.4 Those numbers I was just reciting to you5 are numbers based on a higher level of6 staffing than we had in, let's say, 2006,7 2007, going into 2008 that we're now8 recovering from.9
In Class10 200, in FY11, it is the same amount of11 money for Class 200.12
Even though14 some of the cases that you say you can't15 take away from outside counsel will be16 finished, and you are referring fewer17 cases to outside counsel than you have in18 the past because of your additional Class19 100 --20
As a25 335 5/5/09 - WHOLE - BILL 090212, etc.1 consequence, in the Five-Year Plan2 shouldn't that savings be reflected in3 the Class 200 budget in the out years?4 In FY12 you maintain it at 9,152. In5 FY13 the same expenditure. In FY14 the6 same expenditure. You're saying that7 over time the cases are going to bleed8 off, that you're referring far fewer.9 Why are we budgeting for $9,152,000 then10 in FY14?11
Well, we're trying12 to get back to a more normal, meaning13 historical, annual expenditure amount,14 which correlates to a higher staffing15 level in the office. In other words,16 normal in relation to what's been17 expended in this fiscal year and the18 previous fiscal year, '09 and '08, plus19 an additional amount of money -- the20 Class 200 costs also include contracts21 for our internal expenditures for writ22 service and for experts for litigation.23 So that's all included in Class 200.24 That's not just outside counsel.25 336 5/5/09 - WHOLE - BILL 090212, etc.1
I2 understand.3 I mean, I don't know how else4 to ask the question. You've testified5 that you're going to refer fewer cases6 every year in the future because of the7 additional people that this body has8 allowed you to hire. You've said that9 cases that you currently have are going10 to bleed off. Why don't we see that11 reflected in Class 200 expenditures in12 the out years of the Five-Year Plan?13 You've just told us in your own testimony14 that you're going to save us money as a15 result of giving you these four new16 positions and that the only reason you're17 not saving money in the current year is18 because of existing cases that are19 already referred. So I'm just asking you20 based on what you told me why we're not21 lowering outside counsel expenses in the22 out years of the Five-Year Plan. "I23 don't know" is a fine answer. We can do24 that for you.25 337 5/5/09 - WHOLE - BILL 090212, etc.1
Councilmember,2 when we did the FY09 Plan and then3 compared that, particularly in light of4 the transfer ordinance that we had5 earlier this year, we had already made a6 reduction of about a million dollars. We7 built that into the base moving forward.8 Clearly, this year the expenditures were9 much higher than we anticipated for a10 variety of reasons that the City11 Solicitor has, I think, described, but12 that initial reduction is still in the13 base.14 Now, if the question that15 you're asking is why isn't that declined16 or why isn't that going down further over17 time, I think we had made an assumption18 that with the addition of the four -- the19 500,000 in Class 100 expenditures for the20 Solicitor's Office, that we would see a21 ratcheting down, and then if you looked22 at the average for the prior four or five23 years, we would be at about four and a24 half to $4.6 million over that period of25 338 5/5/09 - WHOLE - BILL 090212, etc.1 time. That's what we put in the budget.2 So that has been built in.3 If your question is why isn't4 that declining even more, then we just5 built a base and assumed the base was6 going to be the same over time. And7 that's the answer to the question, at8 least from my perspective.9
Based on the12 information that we had in front of us13 and based on the analysis we did, that14 was what we put in the budget.15
Thank you.16 I just -- I don't feel like there's17 anywhere else to go on this question, so18 if you could just provide the information19 I requested about the existing cases, I'd20 appreciate it.21
Turning to23 the subject of ongoing labor negotiations24 which you mention your department is25 339 5/5/09 - WHOLE - BILL 090212, etc.1 involved in, on what dates -- now, can2 you tell us when you agreed with the DC3 47 and DC 33 last year to extend the4 contracts one year so that you'd have5 time to negotiate --6
I don't remember7 what those dates were off the top of my8 head. I believe they were in July or9 early August, but I don't remember the10 specific dates. I remember 33 because I11 remember that the Mayor actually was on12 vacation and came back, but I just don't13 remember what the dates were. I'm sorry.14 I can get them for you, but I don't15 remember what the dates were.16
I thought it17 was before the end of the fiscal year, it18 was in May or June.19
So from that24 time -- let's just call it July.25 340 5/5/09 - WHOLE - BILL 090212, etc.1
-- when did3 the City make its first proposal to DC 334 and DC 47? The purpose of the extension5 was so that people could sit down and6 negotiate and figure out how to reach a7 resolution. When did we make our first8 proposal to DC 33 and DC 47?9
Well, part of the10 purpose of the one-year extension was so11 that the Administration could get a12 better handle on its options with respect13 to the very expensive cost drivers, like14 pensions and healthcare. Those did not15 require negotiation or discussion with16 the unions as much as they required17 internal examination of those18 expenditures and the options that might19 be available to us as we headed into20 negotiations.21 All of that said, there is a22 statutory timeframe within which23 proposals are to be submitted to the24 unions, and it is, I believe, 120 days25 341 5/5/09 - WHOLE - BILL 090212, etc.1 before the budget is submitted. I do not2 remember -- because the Mayor's Office of3 Labor Relations is actually the first4 line of negotiations and they are the5 ones that exchange the proposals. I6 don't remember the exact date on which7 the proposals were delivered, but I can8 certainly get that for you.9
Well, I can10 tell you it was last week. No proposal11 has been submitted to DC 33 or DC 4712 before last week, or maybe it was the13 week before.14
I'm not sure if it15 was last week. I know there was a16 meeting last week.17
So we have18 taken all this time so that we wouldn't19 have to be in a situation where we20 wouldn't know what the labor expenses21 were going to be for the next period, and22 we spent a million dollars on our23 lawyers, and we didn't submit one24 proposal to them until last week. Is25 342 5/5/09 - WHOLE - BILL 090212, etc.1 there an explanation for that?2
First of all, I'm3 not sure that it was last week. I know4 there was a meeting last week. Of that I5 am aware. I don't believe that is when6 the proposals were delivered.7
Okay. But as I10 said, one of the primary reasons for11 negotiating a one-year contract was so12 that the Administration could develop a13 better understanding of the pension and14 healthcare issues, which are, as15 certainly you are absolutely aware,16 complicated in terms of what solutions17 might be available and how to approach18 those.19 We have been working -- we20 negotiated with all of the unions an21 agreement to work cooperatively on the22 healthcare issue and we have been -- the23 Director of Labor Relations is in regular24 communication with the union leadership.25 343 5/5/09 - WHOLE - BILL 090212, etc.1 As you're also aware, there was2 a mid-year budget adjustment that caused3 layoffs to occur and there were4 discussions that occurred around that.5 The universe changed in terms of our6 fiscal situation from the time that the7 contracts were negotiated until the time8 that proposals were exchanged, and so9 some of the time is certainly10 attributable to that.11
Okay. I'm12 glad you mentioned pension, healthcare13 stuff. I have questions on that.14 So when the City entered its15 one-year contracts, there was a lot of16 press and announcements about how we17 entered into -- we were going to18 establish a series of joint City-union19 committees, and during the course of the20 year, these joint committees were going21 to meet and figure out savings on22 healthcare and figure out savings on23 this. So how often has the24 Labor-Management Cooperation Committee25 344 5/5/09 - WHOLE - BILL 090212, etc.1 met?2 (Bell rung.)3
Off the top of my4 head, I don't know, but I know that the5 Managing Director has kept a record of6 that.7
Never.13 How often has the committee14 charged with looking at contracting out15 in the Health Department met?16
The Managing17 Director has kept a record of when all of18 these committees have met.19
Okay. With20 respect to the healthcare consultant who21 was going to take information from all of22 the unions, when were they finally hired?23
They were finally24 hired sometime between when -- it was25 345 5/5/09 - WHOLE - BILL 090212, etc.1 sometime before the firefighters award2 was issued, I believe, sometime shortly3 before the firefighters award was issued,4 because all of the union representatives5 participated in the selection of the6 consultant.7
Why did it8 take so long to hire them? They were9 originally supposed to be hired in10 November.11
No. I14 understand that they weren't given the15 data because the Solicitor's Office was16 negotiating a fee.17
"Given the data" is18 not hired to me. I don't know what you19 mean by that.20
They were21 not -- there was no contract with this22 consultant until January of this year,23 and my understanding is that is because24 the Solicitor's Office spent months25 346 5/5/09 - WHOLE - BILL 090212, etc.1 negotiating a contract with this2 healthcare consultant, resulting in3 savings of $50,000 off the original4 proposal, which I would commend you for,5 except now we will not have the report of6 this consultant until after the contracts7 that we have in place expire.8
Okay. The9 consultant began working with the10 committee long before that. I would --11
If you would12 just, rather than debate this, if you13 would just get the Chair exact dates --14
-- I'd16 appreciate that.17 And we have to pass a budget18 out of this Chamber by not this Thursday,19 but next Thursday. So if I don't get20 answers by Monday, we're going to have to21 just start making assumptions on all22 sorts of things with respect to --23
I'm happy to24 provide you with the information you're25 347 5/5/09 - WHOLE - BILL 090212, etc.1 requesting.2
Thank you.3 I'm sorry. I don't know if4 somebody else has questions, Madam Chair.5
Let me just8 see if there's anything I must ask.9 (Pause.)10
I will11 submit the rest of my questions in12 writing, Madam Chair.13
Thank you14 for your cooperation, Councilman Green.15 Any other questions?16 (No response.)17
We18 appreciate his cooperative spirit, and19 you may leave.20
Thank you.23 You know when you come, to bring your24 lunch and/or dinner.25 348 5/5/09 - WHOLE - BILL 090212, etc.1
Good5 evening. Would you please identify6 yourself for the record and begin your7 testimonies.8
Madam Chair, I'm9 Robert Heim. I'm Chair of the Board of10 Trustees of the Free Library of11 Philadelphia.12
And I'm Siobhan13 Reardon. I'm the President and Director14 of the Free Library of Philadelphia. And15 Bob is going to start with a statement.16
Could you19 please speak into the microphone. Bring20 the mike up to you so we can hear you.21 Thank you. Thank you.22
Oh, yes.24 Much better.25 349 5/5/09 - WHOLE - BILL 090212, etc.1
16 Your commitment to the Free Library and17 their commitment confirms the value of18 our services, and as I believe you know,19 the statistics show that nationally in a20 time of economic stress, usage of21 libraries tends to increase, and that22 certainly has happened across the country23 and it has happened here in Philadelphia24 as well. 5 I was honored to succeed Wilson6 Goode this past July as Chair of the7 Board of Trustees, and I am very pleased8 to be here with you today. The Trustees9 are deeply engaged in the work of the10 Library. They approve policies, they11 look at finances, they visit the branches12 and talk to our library staff, and we13 learn a great deal every time we're out14 looking and meeting with the staff and15 the people that make our libraries go and16 make them so effective, and that includes17 our customers and our patrons. 1 you that I've personally visited all of2 the regional branches and most of the3 neighborhood branches since I've been a4 trustee -- what impresses one most is the5 dedication of the library staff. Despite6 operating today with more than 100 less7 employees than we had just six months8 ago, the staff continue to provide9 meaningful programming for children, to10 assist job hunters with using computers11 and submitting online applications, and12 ensuring that our facilities are safe and13 secure. Simultaneously, we are keeping14 abreast of changing needs. We are15 offering online books and video,16 materials in non-English languages and17 electric fees payment. 1 about a year ago that led a national2 search. It was a Board that consisted of3 trustees and members of the Foundation4 Board of Directors, and after that5 nationwide search just a year ago, we6 selected Siobhan Reardon, and we selected7 Siobhan Reardon to lead the Library based8 on her deep understanding of library9 issues, a firm grounding in finance and a10 vision of what the Library can be in11 coming years. And I can tell you that12 when we met, the search committee met,13 one of the questions that was asked of14 every candidate is, What are the great15 libraries in this country doing. What16 are the truly great libraries doing to17 serve their patrons and customers. 9 Siobhan Reardon is the first --10 well, she's the seventh President and11 Director in our 100-plus years and12 Siobhan is the first woman to lead the13 Free Library of Philadelphia in those14 100-plus-year history. And I want to15 publicly thank her for her leadership and16 tenacity, particularly under the17 challenging circumstances that we've all18 had to deal with in the last six, seven,19 eight, nine months. 24
Thank you25 354 5/5/09 - WHOLE - BILL 090212, etc.1 very much for your testimony. We2 appreciate it and appreciate your3 leadership.4
Council President6 Verna and members of the Council, as I7 mentioned, I'm Siobhan Reardon, President8 and Director of the Free Library of9 Philadelphia. 13 I am pleased to be appearing14 before you for the first time and thank15 you for the past support that you have16 given to the Free Library of17 Philadelphia. 1 have learned much about this historic2 city. While I have many observations3 about the Free Library, three in4 particular stand out: the dedication of5 the staff, the important role that all of6 our libraries play in the lives of our7 citizens and the breadth of services that8 the library staff provide. 13 In 53 neighborhoods we14 transform lives every single day through15 the care and expertise of our staff, by16 providing programs for job seekers and17 entrepreneurs and an array of programming18 for young people that help improve school19 performance and reduce the City's dropout20 rate. 968 million2 in City General Funds. 6 In addition, the Governor's budget calls7 for 13,964,000 in grant revenues from the8 Commonwealth of Pennsylvania. The latter9 funds supports services for the Library10 for the Blind and Physically Handicapped,11 the Mayor's Commission on Literacy and12 general operating funds, which support13 collections and general maintenance of14 our 54 aging buildings, among other15 things. 18 With this level of funding, the Free19 Library will be able to provide days and20 hours of service comparable to the21 current schedule, with somewhat more22 stability. All neighborhood libraries,23 including the three regional libraries -24 Joseph E. Lucien E. Before proceeding, I want to5 publicly thank the employees of the Free6 Library for their warm welcome and7 support. I have been continually8 impressed by their dedication and9 professionalism, particularly during10 these difficult times. 16 Personnel costs represent 8517 percent of the Free Library's operating18 budget. Our staff are the linchpin in19 ensuring that the Library, and thus our20 customers, thrive and have access to the21 information they need. Over the past22 months, in order to keep open as many23 locations as possible, we have been24 redeploying staff on a daily basis. 1 the month of March alone, for example,2 2,446 staff hours were spent by employees3 who were moved on any given day from a4 location to which they were assigned to5 another location so that we could keep a6 branch library open. 9 As I mentioned, the Free10 Library is able to offer a wide array of11 materials and services. While some may12 think of the library as an institution13 that simply lends books, we are in fact a14 multi-disciplinary cradle-to-grave15 institution that serves teens,16 entrepreneurs, older adults, new17 immigrants, job seekers, young children18 and employers, among others. And as the19 economy declines and unemployment rises,20 we are seeing increased demand for our21 services. 2 There are comparable increases in the3 number of reference questions answered by4 our staff, a 12 percent increase over the5 prior year, 17 percent over two years ago6 and a 22 percent increase more than three7 years ago. 16 The power of new digital collections,17 technology and public training position18 the Free Library to help Philadelphia19 make the transition from a service20 economy to a high-tech and21 information-based economy. Many people22 entering the workforce rely on a library23 to get them online. 1 databases to help write business plans,2 keep competitive and to find new business3 opportunities. Families and caregivers4 rely on the Library to provide essential5 pre-school reading and learning. 9 We know the public values our10 services, because they have told you and11 they have told us, both directly and12 through increased utilization of our13 resources. 17 As mentioned earlier, 8518 percent of the Free Library's budget is19 personnel.
Consequently, if we had to20 absorb an additional ten percent21 reduction in the budget for Fiscal Year22 2010, 168 full-time equivalent and 8623 seasonal employees would be laid off. 3 The schedule would preserve LEAP, the4 after school assistant program, which5 serves 80,000 young people annually. We6 would offer six-day service at the three7 regional libraries and, as required by8 law, seven-day service of the Parkway9 Central. We'd also cut back on several10 contracts, including cleaning, building11 maintenance and contract guards, and take12 a minimal amount from equipment. 21
Thank you22 very much. I appreciate your testimony.23 And thanks to the supporters and Board24 members who have come out to give your25 362 5/5/09 - WHOLE - BILL 090212, etc.1 support.2 The Chair recognizes Councilman3 Green.4
Thank you,5 Madam Chair.6 Good afternoon -- or good7 evening. I'm sorry we kept you waiting8 so long. I appreciate your patience.9
I want to12 start by asking Mr. Heim just a very13 quick question.14 For the record, Mr. Heim, how15 did I get the idea to provide dedicated16 funding for libraries?17
Well, I don't know18 whether the thought came from -- I think19 the original thought, to be fair, came20 from Representative Mark Cohen at a21 meeting that we had at the Cohen branch.22 And when he raised it and told me about23 it, I said, Wow, that is really a24 fascinating, interesting concept, and25 363 5/5/09 - WHOLE - BILL 090212, etc.1 then I asked Siobhan whether that2 happened anywhere else, and she told me3 that in fact there are other places where4 there is -- that there are in fact a5 number of localities, municipalities6 where they have dedicated funding for the7 library.8
I can't take credit10 for it. It really is Representative11 Cohen.12
Well, I may have. I19 may well have. It was an intriguing20 concept.21
So just for22 the record, the Board of Trustees would23 support dedicated funding for the Free24 Library?25 364 5/5/09 - WHOLE - BILL 090212, etc.1
Well, I don't -- I2 never try to speak for the Board of3 Trustees until the Board of Trustees have4 spoken. I think the Board of Trustees5 finds it very interesting, but as one6 Trustee said to me, the devil is in the7 details. We'd like to know more of the8 details.9
We have10 proposed a bill. We'll be happy to send11 it over. I think we did in fact send our12 bill to the Board of Trustees for your13 review.14
We sent it17 to the Central branch. So perhaps18 Ms. Reardon will share it. It was19 addressed to the Board of Trustees.20
Very good.22 Before the current budget23 crisis and the court's order not to close24 11 libraries, the Free Library opened25 365 5/5/09 - WHOLE - BILL 090212, etc.1 libraries with three staff members2 present, as has been its policy for3 years. In fact, it's in written notes of4 negotiations between labor and5 management, et cetera.6 In February, the Library7 administration announced a new policy8 under which four workers, including a9 security guard, must be present before a10 library branch can be open.11 As we've heard from hundreds of12 library users, constituents and as the13 Free Library has admitted, implementation14 of this new policy has resulted in15 something like chaos, with unexpected16 closings and resulting uncertainty in the17 community about whether a given library18 branch will be open on a given day. I'm19 trying to understand why in this budget20 crisis when both library users and21 employees understand the need to make22 accommodations to maximize service with23 limited means the Library is taking the24 opposite inflexible approach executing a25 366 5/5/09 - WHOLE - BILL 090212, etc.1 major policy change with the clear2 predictable result of limiting library3 service.4
Councilman, the5 opening with three was not the norm. It6 was actually the exception. And when I7 came in in September, the actual norm for8 opening a library was six staff members,9 and it is basically between five and a10 half and six.11 When I started going around to12 each of the libraries, I was deeply13 concerned that we were not -- that14 somebody who was very busy up in the15 front of the library couldn't see what16 was going on in other corners of the17 library. And then the other issue for me18 was the safety and security and the19 cleanliness of each of the buildings and20 so, therefore, not having a municipal21 guard who does two jobs, basically he or22 she will clean the building in addition23 to securing the building. And it's24 really a procedure or guideline. It is25 367 5/5/09 - WHOLE - BILL 090212, etc.1 not a policy. It's not a stated policy.2 It is a sort of standard operating3 procedure which we've put in place. And4 I'm different from you. I'm hearing from5 the staff that they're thrilled with the6 fact that we need to open with a security7 guard or a municipal guard, because that8 person is also the front line on any9 issues with the building, in addition to10 securing when the library gets busy. So11 from 2 o'clock on, they change their12 uniforms and they're a security guard.13 So it is -- I want to make sure14 that our public is served by professional15 librarians and that there's adequate16 library assistance staff that's in there17 re-shelving the books and moving the18 collections as they come in.19
We have --23 basically the services -- 39 branch24 libraries are basically staffed very25 368 5/5/09 - WHOLE - BILL 090212, etc.1 similarly, between five and a half and2 six people per library. Then we have3 larger units that are either bigger4 one-floor square foot units or two-floor5 units, and then we have the regional6 libraries.7
So if you8 take -- I'm sorry, Madam Chair. I will9 come back.10
All right.11 The Chair recognizes Councilman12 Jones.13
Thank you.14 Good evening and, once again,15 thank you for your patience.16 A couple of questions. I17 understand you have 428 employees and18 then 54 from the state?19
We have 62820 employees and then another 50 from the21 state, yes.22
And where do23 the state employees -- what fund does24 that come under?25 369 5/5/09 - WHOLE - BILL 090212, etc.1
We get $13.92 million from the State of Pennsylvania,3 and most of them are basically4 supplemental. They supplement the5 schedules, collection care, also6 maintenance support of the building. But7 basically it supplements the operating8 support of our organization, and many of9 them also work for -- the Library for the10 Blind and Physically Handicapped has a11 number of staff, I want to say 28 to 30.12
Is that an16 addition over last year's level of17 staffing?18
No, no. Last19 year we started the year with 73020 allowable employees on the City fund and21 also the same number of 55 on the state22 fund. We have not an increase in the23 state fund.24
Under the25 370 5/5/09 - WHOLE - BILL 090212, etc.1 questions that my colleague raised about2 the closures, you said you went from3 three to six to now four?4
No. Our5 libraries -- you can go back and see that6 our branches, the 39 sort of smaller7 branches, have an average of six staff.8 They had six in September. But what the9 discussion is what it takes to open a10 library, not operate a library, and what11 I have asked is that we put a procedure12 in place where we have a minimum of four13 to open and one of those four have to be14 municipal guard.15
My concern16 with that is that it has created an17 environment for your employees of18 unpredictability. So they get up in the19 morning and, if I understand your20 process, they have to call in and see21 what the head count is at the particular22 library. If that head count falls below23 that level, that library is closed and24 then they're disbursed to other branches25 371 5/5/09 - WHOLE - BILL 090212, etc.1 throughout the City; is that correct?2
What happens is3 that the staff report to their original4 locations and that they have an hour past5 the time the library is supposed to open,6 because we will open with three as long7 as one of them is a municipal guard or a8 municipal guard is on the way. We've9 opened as long as there is another person10 coming.11
Based on12 your standard now, what has been the13 closure rate of libraries throughout the14 system?15
It's accelerated.16 We have 300 -- if I find my statistics,17 but we've had since the beginning of the18 year 11,000 libraries with -- hold on.19 Let me get the right numbers for you.20 We've had over 300 hours -- we've had 30021 days closed.22
Isn't one of23 the responsibilities of librarians and24 other staff that are at the libraries to25 372 5/5/09 - WHOLE - BILL 090212, etc.1 plan for the summer vacation period and2 create programming during that period for3 youth and participants in summer programs4 affiliated with the library?5
Do you think7 that this unpredictability has a8 disruptive impact on their ability to9 plan summer programs if they're not going10 to be there one day, and to what effect11 do you think these random closures have12 on parents that use the library for a13 stable way of having activities that are14 supervised for their children?15
Well, I'm going16 to go back to the fact that we didn't17 operate the library with three people.18 We always operated with five and a half19 to six people per library. And so to20 answer your question specifically about21 the summer reading program, is that our22 last Saturday of service will be June23 6th, and so we normally -- we absolutely24 will go down to five days during the25 373 5/5/09 - WHOLE - BILL 090212, etc.1 week. We will not have Saturday hours,2 and so that will then stabilize the3 schedule, and the staff will only work on4 a five-day schedule than worrying about5 trying to cover a six-day schedule, which6 is what the problem is now.7
So you8 believe by reducing the amount of hours9 that the library is open, you can10 condense the amount of staffing and11 fewer --12
Okay. Let14 me say this to you -- and I understand15 the unintended consequences and impact of16 library closures -- there are some parts17 of my district that when your library18 facility is closed, if they had to walk19 out of their house and figure out whether20 they were going to run into a book, a21 vegetable or a gun or bullet, they're22 going to wind up -- the two they would23 get to before would be not the reference24 book, but the gun or bullet, and they25 374 5/5/09 - WHOLE - BILL 090212, etc.1 won't see the vegetable.2 We have a situation in some3 parts of this city where you are the safe4 haven, where that's where the good kids5 go, that's where the kids that want to6 develop a future, and in some of those7 areas, the parents are too poor to afford8 anything other than a staycation at a9 library.10 So I want you to understand11 that you are an important, vital,12 integral part of our community. So when13 we're playing around -- and I don't14 believe you're playing around. I15 shouldn't have used that kind of word.16 (Bell rung.)17
But when we18 are tinkering with this, this kind of19 operation has massive impacts on a family20 when they walk up to that library that21 morning and that single-parent with a22 dependent child is on her way to work in23 a recession where she's holding on by the24 skin of her teeth to a job, to find out25 375 5/5/09 - WHOLE - BILL 090212, etc.1 that the after-school provisions aren't2 there, it has unintended consequences3 that are far-reaching within the4 community. And I wanted that to be a5 part of your understanding of why you're6 so important.7 Thank you, Madam Chair.8
Let me just,9 before we finish, I think what's really10 important is that we did lose 10211 positions. So we're trying to keep a12 six-day schedule with 102 positions down,13 and it's -- I think we're doing a pretty14 darn good job.15
We agree19 that you are doing a good job. We can20 all do better jobs. We have one of the21 best library systems in the nation, and22 so why mess with it.23
Right. Thank24 you.25 376 5/5/09 - WHOLE - BILL 090212, etc.1
Thank you4 very much.5 Let me just ask you about the6 employees who are funded with your state7 supplement. Are they considered state8 employees or are they city employees?9
They are paid10 through the City of Philadelphia. The11 money actually comes through the City.12
Right. So, for18 instance, when we went through the layoff19 roster back in October, literally the20 state-funded employees were part of the21 total mix, and so some of the people that22 were also laid off were people, we were23 surprised, were people from Library for24 the Blind, which were never part of the,25 377 5/5/09 - WHOLE - BILL 090212, etc.1 what we would assume, were part of the2 mix, but very much are, because they're3 part of the overall funding for the4 library.5
Welcome.15 This is your first round budget16 experience?17
Take all19 of what Councilman Jones has articulated.20 It requires us to work different and21 smarter as a government, and with that in22 mind, have you and members of the Board23 and/or your strategic think tank had a24 chance to sort through or flesh out25 378 5/5/09 - WHOLE - BILL 090212, etc.1 partnerships like with Girls Club and2 Boys Club? As Councilman Jones3 indicated, you have some parts of our4 city where once you close the library and5 rec centers, those young people have no6 place to go, and we know what happens7 between the hours of 3:00 and 6:00. So8 relationships with churches, what type of9 non-traditional approaches are you10 looking at given this circumstance that11 we are in as a city?12
There are a few13 right now. Obviously our strongest14 relationship at the moment is with the15 Rec Department, and so we work to have16 that strong collaboration in the17 neighborhood so that the children -- for18 instance, if we're closing the Wadsworth19 Library for the afternoon, they know to20 go around to the rec center around the21 corner.22 The other pieces of our23 relationship is building quite strongly24 with the School District so that we know25 379 5/5/09 - WHOLE - BILL 090212, etc.1 when -- in trying to develop strong2 library services, so that if the school,3 which most schools don't have a library,4 where we can start building the strength5 in those communities and those libraries6 as well.7
Is that a8 new relationship that you're cultivating?9
So there's11 a designee at the School District who has12 the responsibility to sit with you and13 your team to figure out how those young14 people have access to what libraries15 offer?16
Yes. And then in17 each individual neighborhood library,18 part of our work as professional19 librarians is to make sure that we are20 reaching out deeply into each community.21 And our responsibility is to establish a22 relationship with literally everybody,23 but also those people who can partner24 with us on programming and space. And so25 380 5/5/09 - WHOLE - BILL 090212, etc.1 naturally it would be the churches and it2 would be other social service agencies as3 well.4
How do you9 determine operating hours? That can go10 one of two ways. It can be having11 conversations, discussions, meeting with12 community members and let them drive the13 decision, or you knowing what your14 resources are from a staff perspective15 and letting that drive your decision.16 And then the greater problem is, then how17 are you informing the surrounding18 communities that in these hours of19 irregularity or during these days of20 irregularity, here are our operating21 hours so that we maximize our usage?22
Right. Well, the23 goal that's happening in 2010 is that we24 establish a set schedule, and so that we25 381 5/5/09 - WHOLE - BILL 090212, etc.1 are looking at -- every single2 neighborhood library now would be five3 days a week across a six-day span of4 time. So that we are covered -- so two5 libraries would be paired. One library6 would be open Monday to Friday. The7 second library would be open Tuesday to8 Saturday. Our LEAP, after school9 assistance program, would cover all six10 days, and so we would be expanding LEAP11 to the weekend, to Saturday. Then we12 notify the -- so, for instance -- so I'm13 going to step back now.14 Now if we close a library, we15 notify the school in the local area so16 that they do know so that the children17 don't leave and go to a place that's18 closed. So we have a fairly large19 network of sort of calls that we make20 when we know that we're going to close a21 library or open it late.22 But we have great partners with23 the Friends, who have been helping us in24 this process. Practically every single25 382 5/5/09 - WHOLE - BILL 090212, etc.1 library in the system has a Friends group2 and they work with us to try and3 coordinate efforts too, and we take4 advantage of volunteers to help us with5 the flow of information as well. But6 fundamentally if we don't have the right7 level of staff, we will not open.8
Well, I9 look forward to the School District10 coming before us so that we know that the11 dots are indeed connected.12
That's a very13 active conversation that began a couple14 of weeks ago. Actually, it began back in15 January with myself and Lori Shorr and16 Dr. Ackerman, and it has accelerated --17
It's time.20 Moving now to a totally21 different interest of members of Council.22 It was the hope and expectation of23 Councilmembers that every single City24 department that is receiving anything25 383 5/5/09 - WHOLE - BILL 090212, etc.1 from the City of Philadelphia would come2 prepared in the body of their testimony3 to tell us where you are with regards to4 MBE/WBE participation, and we need to5 know what those numbers are.6
Okay. In my7 testimony, in the written testimony that8 you have, there is a chart which reviews9 the number of contracts that we have.10 And so we have 29 minority -- MBE and WBE11 contracts, and there's actually 15 this12 year. There were 29 last year. And13 that's just a reduced number of contracts14 overall because of budget.15
The bell18 has rung, so I'll circle back on the next19 round.20 COUNCILWOMAN TASCO:21 Councilwoman Sanchez.22
Thank23 you, Madam Chair.24 First I want to thank the Board25 384 5/5/09 - WHOLE - BILL 090212, etc.1 of Trustees for their volunteerism, the2 Friends groups and all of the other3 stakeholders who worked through our4 discussion and our challenges in the5 budget this last fall, at some points6 very tense, but for me very healthy to7 see the level of passion that exists both8 in communities and among the different9 stakeholders for libraries and what we've10 come to enjoy to be a very robust library11 system because of, piggybacking on what12 Councilwoman Blondell Reynolds said,13 School District's lack of focus on14 providing that. And I'm encouraged by15 your discussion that there are some16 dialogues happening, but unless you tell17 me otherwise, they're still in a very18 superficial level, and let me explain19 why.20 We have a stimulus package21 that's coming in and the School District22 that's due to receive about $135 million23 and I think, from my vantage point, an24 opportunity to really change the tide in25 385 5/5/09 - WHOLE - BILL 090212, etc.1 terms of the library services offered at2 school. Can you tell me if there are any3 discussions around facility coordinations4 with any schools in the School District?5 Are we going to hear any of that?6
Yes. You are7 right in that these are preliminary8 discussions that are going on, but the9 actual group is called Co-Location, and10 it is about how it is the public library11 and the school libraries on the School12 District can look at libraries13 particularly where there's a density of14 schools and not a density of public15 libraries to see where it is we can share16 the space half the day that would be17 under the management of the School18 District and the second half of the day19 where it would be open to the public in20 that area.21 As I said, it's very22 preliminary. It's called hybrid23 libraries. And so we have a lot of work24 to do, a lot of work to do with unions,25 386 5/5/09 - WHOLE - BILL 090212, etc.1 and so we have to begin the discussion.2 And I think what's also important is that3 everybody understand the nature -- the4 difference and the nature of the work of5 the school media specialists, the school6 librarian, and they are part of the7 teaching curriculum of the school versus8 those of us who are public librarians and9 the breadth of our work is far more10 broad.11
Again,12 one of the opportunities that this13 financial crisis has enabled us to do is14 really help break down silos that have15 existed in government and really force us16 to think out of the box. This is a17 conversation I shared with the Mayor and18 I had with Lori Shorr and I have not had19 directly with you is, I don't know when20 we're going to get another opportunity21 for that type of School District22 investment. And so there is a sense of23 urgency around how those conversations24 move forward so that we make sure we see25 387 5/5/09 - WHOLE - BILL 090212, etc.1 some of it happening quicker rather than2 later on that, because, again, we are3 very concerned about what a Plan B4 situation looks for the Library if we're5 not able to generate the revenues that6 the Mayor is requesting. And it's really7 challenging, because at the end of the8 day, people just see on the one hand we9 have a great PR spin of there's all this10 money coming in. On the other hand,11 we're telling people we got to increase12 their taxes. And on the other hand,13 we're cutting their services. And14 there's always this mixed messaging that15 we're sending.16 So I just want to go on the17 record and say -- because I'm going to18 ask this of the School District. I have19 quite a lengthy list of questions as it20 relates to that capital and libraries,21 but just from the Library's perspective,22 the School District is a huge bureaucracy23 and it's not as important to them as it24 should be to you, so we need to move that25 388 5/5/09 - WHOLE - BILL 090212, etc.1 along.2 In your written testimony, you3 highlighted some good libraries.4 Feltonville, which the Mayor and I had an5 opportunity to visit when we were doing a6 groundbreaking of our new playground at7 Feltonville, and so our volunteers -- the8 success of those libraries are based on9 our volunteers, and I think the one thing10 that we learned in this last round is11 that if we talked to our volunteers, they12 will do more.13 (Bell rung.)14
If we15 talk to our volunteers, they will come up16 with out-of-the-box suggestions.17 And so I want to continue to18 encourage you to not only rely on the19 Friends groups, but the other folks who20 really made it possible for you to even21 have the budget that you have.22 Ultimately, we give you a budget and you23 got to make it work, but I think that I24 want to take this opportunity, because I25 389 5/5/09 - WHOLE - BILL 090212, etc.1 do have to go to another meeting, to say2 that the library system is now really3 owned by a lot of stakeholders and we4 need to take advantage of that.5 Thank you.6
Councilman8 Green, do you have another meeting, too?9
Councilwoman, I must12 tell you that I grew up playing13 basketball at the B and Wyoming14 Recreation Center, and then when I was15 too exhausted after playing basketball,16 that was my library, the Wyoming branch17 of the Library.18
You were24 next and when you spoke, you lost your25 390 5/5/09 - WHOLE - BILL 090212, etc.1 space. So are you speaking now?2
Thank you.6 So I appreciate what you're7 saying and the difficulties that were8 presented when you arrived in9 Philadelphia, and I'm sorry that your10 first year in Philadelphia was the year11 you experienced, and I must say that the12 Library is now doing what it testified in13 court that it couldn't do, which is14 keeping the branches open. So obviously15 you've been able to manage with these16 resources, and I think that's tremendous.17 I'm no management guru, but it18 seems to me if you have one library where19 there's three people and you have one20 library where there's six people, instead21 of sending the three people somewhere22 else, maybe you send one of the six to23 the one with three so that that library24 can open.25 391 5/5/09 - WHOLE - BILL 090212, etc.1
I'm sorry.7 That's opposite of how you just8 testified.9
If a library10 is -- what happens is that we have --11 when you're down 100 positions, not12 everybody has the six. So we're trying13 to get you to --14
Before you15 go any further, you said that several16 times. How many positions are you down17 in the extension service?18
Yes, but25 392 5/5/09 - WHOLE - BILL 090212, etc.1 contributing to how it is we keep our2 libraries open, we pull people from the3 Central Library as well. So it's really4 acting as very much a system now.5 But if a library has enough to6 open, if in fact a library -- there's7 three people in the library and we know a8 fourth person is coming, we will open9 that library. We will not close that10 library. But you have to have four to11 operate. But I think you were saying12 that we will not operate if there's13 three, and you're right. If one of those14 three -- and especially if one of those15 three is not a security guard, that's16 absolutely right.17
No, that's18 not what I said. What I said was, if19 there are some libraries -- you say the20 average staffing is five to six people.21
So if there2 are any libraries where there are two or3 three people who show up, why don't you4 move people from the branches where six5 have shown up to the libraries where only6 two or three have shown up and then they7 can all be open?8
Well, basically13 today we opened all libraries, but we14 open --15
No, no, no. We22 regularly fare -- probably we open many23 late. About five are open late every day24 while we do the shuttling around. But it25 394 5/5/09 - WHOLE - BILL 090212, etc.1 is about moving that group of people, if2 they have six to operate at five so that3 somebody can operate at four.4
So if you5 have five, why not move one so that --6 basically you can do that every single7 day.8
You're11 telling me that on -- I'll tell you what,12 the last ten times libraries were closed,13 send me the actual staffing at every14 single one of these 39 branches that15 you're talking about.16
Because I'm18 going to tell you what it's going to show19 me. It's going to show me that some20 libraries had six and three showed up at21 one and you closed them.22
But let me also23 say that what also has been complementing24 it up until recently is that since25 395 5/5/09 - WHOLE - BILL 090212, etc.1 January we've had two libraries closed2 altogether for various building repairs.3 And so those five to ten to 12 people4 have been complementing and helping keep5 that open. Those libraries are all open6 now, so now it's been challenging.7
I know where8 to find you nine people, though. Book9 Mobiles. If we're going to leave all the10 branches open, perhaps you can explain11 why we want to spend half a million12 dollars on Book Mobiles, which could be13 Class 100 for additional guards so that14 there was a guard at every library.15
What we're also16 proposing is that moving money from the17 contract guards in the 200 series to --18 there's $281,000 there -- to the 100 so19 that we can bring on full-time security20 staff. So we will be covered.21
No. They're only24 security, and they're only security for25 396 5/5/09 - WHOLE - BILL 090212, etc.1 six hours.2 (Bell rung.)3
Could I just add one5 thing at this point about security6 guards? Because as I've been traveling7 around to the branch libraries, a number8 of the security guards have told me --9 and I always talk to them, because I10 think they're very observant and very11 interesting people. A number of them12 have told me that the security problems13 in our branches are more difficult today14 than they have been in previous times,15 and they say the problem is not with the16 children. The children are fine. The17 problem is that in very difficult18 economic times, a lot of troubled people19 come into the libraries, people who are20 just angry because they're angry with21 life and they're angry with what happened22 to them and --23
And the result is25 397 5/5/09 - WHOLE - BILL 090212, etc.1 that their job is more difficult and2 it's -- the importance of it has3 escalated.4
Let me8 follow up on that. How many guards would9 we need --10 COUNCILWOMAN TASCO:11 Councilman, your time is up.12
Thank you,16 Madam Chair.17 Did you know the library at18 6017 at Ogontz was closed today?19
Did I know20 it? I don't know nothing. I'm in here21 all day.22
All right.23 And do you know what the circumstances24 were as to why that library was closed?25 398 5/5/09 - WHOLE - BILL 090212, etc.1
Well, it's one of2 two things, either there wasn't a3 security guard or there wasn't enough4 staff to open.5
And under6 your formula that Councilman talked about7 that we couldn't have -- I really would8 like to know why this library was closed9 today, and if someone could find out why10 this library was closed today and what11 our alternatives were, that would help12 me.13 My second question is, what is14 your book disposal process?15
I'm going to have19 Hedra come up and answer that question,20 because she's best at that.21 (Witness approached witness22 table.)23
Hi. I'm Hedra24 Packman, Director of Library Services for25 399 5/5/09 - WHOLE - BILL 090212, etc.1 the Free Library.2
Good evening.5 We have a collection6 maintenance policy, which basically gives7 us guidelines on what we remove from our8 shelves, which, first of all, are items9 that are physically in bad shape,10 possibly out-of-date items, items that11 have not been used, and, therefore, our12 staff, our branch staff and our materials13 management staff, make those decisions14 every day and they go -- there's an idea15 of about five percent of a collection16 will be weeded out every year.17 Once the collection is weeded,18 it is put into the books-to-go process,19 and that process is that we have an20 ability for City agencies to come get the21 books for free and then other agencies22 come and get the books, and then I23 believe there's a 25 cent charge for the24 general public. The last week of the25 400 5/5/09 - WHOLE - BILL 090212, etc.1 month there's a 25 cent charge and2 anybody can come get any of those books.3
Is it true4 that some of those books actually wind up5 at the main library in the trash?6
First they're7 offered to the book bank. They're8 offered to other places, daycare centers.9 They're offered to all the City agencies,10 Prisons, whoever, and then if nobody11 wants them --12
When you say13 "offered," I would like you to do -- I'm14 not saying you're not doing a good job.15 Let's up our effort to try to make16 marketing of these books.17 The most horrifying sight I've18 ever seen was to come to that main19 library and actually see books wind up in20 the dumpster. It just spoke ill to -- it21 hurt my soul to see good books that to me22 were good, and we have probably different23 standards as to what is outdated, but I24 happen to know and I visited public25 401 5/5/09 - WHOLE - BILL 090212, etc.1 libraries where, for example, the2 business section in some of our high3 school libraries are restricted only to4 accounting, bookkeeping and secretarial5 skills that could be enhanced by a good6 book about what an entrepreneur is versus7 a manager. And I actually saw some of8 those kinds of books in that disposal9 area.10 So what I'm respectfully saying11 is, could we do a little better job of12 marketing these books, these13 good-to-some-people books, that could be14 given away. And I understand that you15 don't want to incur an increased cost for16 mailing or anything like that, but I also17 know and have been to Graterford where18 they literally have a captive audience19 and that these kinds of books could mean20 the world to them and be even life21 transforming. So I'd like to see if we22 can't work with folks like Representative23 Waters, who does periodic trips to24 prisons, and see if we can't get a25 402 5/5/09 - WHOLE - BILL 090212, etc.1 busload of those books up there and see2 if they can't be put into a good use as3 opposed to that dumpster out back of that4 main branch.5
Actually,6 Councilmember, it's interesting you7 should say that. I have come to discover8 a group of librarians that of their own9 volition and among their own time have10 gotten involved with an organization11 called Books Through Bars and are taking12 some of our ready-weeded materials and13 putting them in -- and we've created a14 contract with them. And they have15 established a relationship with the16 Riverside Prison and they go in there on17 their days off, and then they work with18 the population there in building the19 library and building the resources there20 as well.21
Could you22 provide to the Chair just some of the23 other institutions maybe that we could24 market that to. I think there are people25 403 5/5/09 - WHOLE - BILL 090212, etc.1 that constantly go back and forth there,2 and through whatever screening processes3 we have, it might in some small way4 reduce the recidivism rate, increase the5 literacy rate of those vulnerable6 populations.7
Right. We're8 hoping to build that relationship with9 the prison population as well.10
Well, that's11 good news. I'm glad it's on the record.12 I'm going to ask about it next year.13
Yes.17 Councilman Jones, what library was that?18 I'm sorry. I didn't mean to be flip.19
That's24 Councilwoman Miller's district.25 404 5/5/09 - WHOLE - BILL 090212, etc.1
I didn't2 say it was your district. I said did you3 know.4
I know where6 your district is. That's the mighty 9th.7 This would only be the 8th.8
I just want to11 address the Councilman's question on the12 Ogontz Library, is that one of the things13 that we're challenged with now -- and I14 don't mean to sound cranky or whatever --15 is that our staff levels are frozen at16 the moment and we are down nearly nine17 positions and we're not able to replace18 them. And so Ogontz is one of these19 situations where we have three full-time20 employees there, one didn't show up and21 so we had two left, and it was the22 determination of the area coordinator23 when she looks at the deployment among24 the libraries in her region, in her area,25 405 5/5/09 - WHOLE - BILL 090212, etc.1 to make a decision to either close or2 keep a library open through other3 redeployments, and she had already4 redeployed to cover other libraries for5 us.6
Well, could7 you provide the Council a running list of8 when this occurs so that as we keep track9 of what your challenges are as we make10 financial decisions, our intention is to11 be helpful.12
Thank you.19 Let me underscore Councilman20 Jones' important recommendation that21 every corner of the City where there are22 no books have an opportunity to have23 books.24
And2 include on that list homeless shelters.3 We do an annual event with the homeless4 with children, and I go into homeless5 shelters and there are no books. So they6 too should be on that list of children on7 the fringe who don't have the benefit of8 books.9 It is unfair to hold you10 accountable for that which you do not11 know. You've been in place for X number12 of months, and next year please13 understand that we are paying close14 attention to the numbers with regards to15 MBE/WBE activity. It is clear by the16 numbers here that our $5.4243, 4.517 percent, is the extent of the18 participation. So we would hope that19 internally you all will strategically20 figure out how the business you do with21 Philadelphia looks like Philadelphia,22 number one.23 Number two, it's been my24 observation in the nine years I've been25 407 5/5/09 - WHOLE - BILL 090212, etc.1 here that at the executive level of the2 Philadelphia Free Library, it does not3 look like Philadelphia. And so not this4 year, but next year know that we want in5 the body of your testimony what you have6 done to improve the presence of women at7 the executive level and the presence of8 professionals of color at the executive9 level, because we know they are here in10 the City of Philadelphia and oftentimes11 all they need and deserve is an12 opportunity.13
Okay. Great. I14 do want to say that you are right, and15 this is something that we're actively16 working on, especially with Pat Coulter,17 the President of the Urban League, to18 start working with us on placing, you19 know, sort of our rising stars and who is20 that in our pool of staff that next21 generation of library leadership. So Pat22 is putting together a list of programs23 for me to begin identifying the staff24 that is ready for leadership.25 408 5/5/09 - WHOLE - BILL 090212, etc.1 There's also, you should know,2 is that we have a grant from the3 Institute of Museum and Library Services,4 and in that we've made it possible for5 employees to complete their BA degree and6 in some cases their MLS degree, and that7 population, 69 percent of the people we8 have assisted have been female, 579 percent of that pool African American,10 eight Hispanic and one Asian.11
So you're12 actually creating a pipeline of13 professionals who want to grow --14
Excellent.19 Thank you all very, very much for your20 testimony and your important work.21
Thank you.25 409 5/5/09 - WHOLE - BILL 090212, etc.1 The Chair recognizes Councilman2 Green.3
Thank you,4 Madam Chair.5 I'm going to close the loop on6 the question that I was asking you about,7 and then the Chair has informed me we're8 going to have the Library back again to9 testify on the 11th.10 We received at 1 o'clock today11 a response to questions that I've been12 asking since December of 2008. We13 haven't had time to go through it. We14 received it at 1 o'clock. So we will15 have you back on the 11th to complete16 your testimony. But just to close the17 loop on this question, could you tell me18 how many guards there are right now in19 the system?20
And how many22 guards would it take to ensure that23 there's a guard for each library every24 day? What is the average absentee rate,25 410 5/5/09 - WHOLE - BILL 090212, etc.1 whatever you want to call it? How many2 additional guards would you need?3
We need 11 guards4 in the libraries, in the neighborhood5 libraries. So the difference between6 what we have also includes -- when I give7 you that number of 61 or 67 --8
They are -- when11 we move the money from -- am I answering12 the question correctly? When we moved13 the money from the 200 to the 100 and by14 nine guards, plus redeploy guards from15 the regionals, we will cover the 11 we16 need in the neighborhood libraries.17
Okay. But18 in FY10 you're going to a five-day-a-week19 schedule.20
So you're22 answering the question, but not quite.23 How many guards would you need24 using the current system in order to make25 411 5/5/09 - WHOLE - BILL 090212, etc.1 sure that the libraries could be open six2 days a week?3
Well, basically12 we're going to a five-day system to13 ensure stability in the schedule, to14 ensure customer -- so that our customers15 know when the library is open. Right now16 is the catch-as-catch-can. But it's17 quality, it is stability and it is the18 need for people to be able to and for us19 to begin to develop a strong program.20 Right now we're kind of not there.21
We'll follow22 up on this on the 11th, how many guards23 do you need to make sure you have four24 people in each library on a25 412 5/5/09 - WHOLE - BILL 090212, etc.1 six-day-a-week schedule.2 Thank you.3
It's four to4 open, but all I want to know -- can I5 finish this? What's important for us to6 understand is that our libraries are7 busier than they have ever been and that8 people are coming in, and it takes more9 to operate than just four people. We10 open with four, but we actually have to11 build a schedule that's stronger than12 that.13
Thank you15 very much for your testimony. There will16 be callbacks, not only just the Library17 but other departments will be asked to18 come back on Monday, the 11th. I imagine19 the President will hopefully develop a20 schedule so you have some timeline, but21 you will hear from the President's Office22 about that.23 Thank you very much. Thank you24 all for coming, and we appreciate your25 413 5/5/09 - WHOLE - BILL 090212, etc.1 time. Sorry about the delay.2 Thank you.3 (Committee of the Whole4 recessed at 6:50 p.m.)5 - - -6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 414 1 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 May 5, 2009, and that this7 is a true and correct transcript of same.8 9 10 11 12 13 ______________________________14 MICHELE L. MURPHY15 RPR-Notary Public16 17 18 (The foregoing certification of this19 transcript does not apply to any reproduction20 of the same by any means, unless under the21 direct control and/or supervision of the22 certifying reporter.)23 24 25