COUNCIL OF THE CITY OF PHILADELPHIA COMMITTEE ON PUBLIC PROPERTY AND PUBLIC WORKS Room 400, City Hall Philadelphia, Pennsylvania Monday, December 2, 2024 1:25 p.m. PRESENT: COUNCILWOMAN QUETCY M. LOZADA, CHAIR COUNCILMAN MARK SQUILLA, VICE-CHAIR COUNCILMAN MICHAEL DRISCOLL COUNCILWOMAN JAMIE GAUTHIER
240874, 241022, 241023, 241025, 241029, 241031, 241050, 241051, 241052, 241053 - - -
Good afternoon, everyone. Welcome to Philadelphia City Council and the Committee of Public Property and Public Works. I now note that the time has come. Mr. Cameron, will you please call the roll and take attendance. Members that are in attendance will you please indicate you are here by saying present when your name is called.
Thank you. A quorum of the Committee is present and this hearing is now called to order. This is the public hearing of the Committee of Public Property and Public Works regarding Bill Nos. 240874, 241022, 241023, 241025, 241029, 241031, 241050, 241051, 241052 and 241053. Mr. Cameron, will you please read the titles of the bills.
Councilmembers, please note Bill No. 22 240874 is being held at the request of the sponsor. We will not be taking any testimony on that bill today. The bill titles are -- 2
Bill No. 9 240874, an ordinance authorizing the 10 Commissioner of Public Property, on 11 behalf of the City of Philadelphia, 12 to enter into a sublease with the 13 Philadelphia Municipal Authority for 14 use by the City of all or a portion 15 of the premises located at 6233 16 North Broad Street, under certain 17 terms and conditions. 18 Bill No. 241022, an 19 ordinance authorizing the 20 Commissioner of Public Property, on 21 behalf of the City of Philadelphia, 22 to enter into a lease agreement with 23 2401 Walnut LP for use by the City 24 of a portion of the premises located at 2401 Walnut Street, Philadelphia, Pennsylvania, under certain terms and conditions. Bill No. 241023, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a lease agreement with AC HSS Office Ventures II, LLC for use by the City of a portion of the premises located at 1930 South Broad Street, Philadelphia, PA 19145, under certain terms and conditions. Bill No. 241025, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to convey to the Philadelphia Housing Authority or all or part of a parcel or parcels of land containing approximately 23,595 feet located in and about the area bounded by Market Street, 39th Street, Ludlow Street and 40th Street, under certain terms of conditions. Bill No. 241029, an ordinance authorizing the Commissioner of Public Property, on behalf of the City, to acquire fee simple title or a lesser real estate interest by purchase, dedication, donation, condemnation, agreement in lieu of condemnation, or otherwise, in and to all or portions of certain parcels of land located along the west bank of the Schuylkill River in and around an area generally bounded by South 58th Street, as extended to the bulkhead line of the west bank of the Schuylkill River; South 61st Street; and West Passyunk Avenue for public park, recreation, and transportation purposes under certain terms and conditions. Bill No. 241031, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority, for use by the City of a portion of the premises located at 1 South Broad Street, Philadelphia, Pennsylvania, under certain terms and conditions. Bill No. 241050, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into various lease and sublease agreements with various landlords and tenants, for use by the City of all or a portion of various premises located at 1835 South Broad Street, 6000 Woodland Avenue, 4029 Market Street, 5610 Lancaster Avenue, 2301 North Broad Street, 6420 Frankford Avenue, 2739 North 5th Street, 5361-91 Chew Avenue, 6233 North Broad Street, and 1619 Grant Avenue, all under certain terms and conditions. Bill No. 241051, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to acquire fee simple title or a lesser real estate interest by purchase, dedication, donation, condemnation, agreement in lieu of condemnation, or otherwise, in and to all or portions of a certain parcel of land known as 923 West Butler Street, under certain terms and conditions. Bill No. 241052, an authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority for use by the City of a portion of the premises located at 1600-26 John F. Kennedy Boulevard, Philadelphia, Pennsylvania, under certain terms and conditions. And Bill No.
241053, an ordinance authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority for use by the City of a portion of the premises located at 30 South 15th Street, Philadelphia, Pennsylvania, under certain terms and conditions.
Thank you. Will the Clerk please call the first panel we have to testify this afternoon on Bill No. 18 241022.
Joseph Brasky, Interim Commissioner of the Department of Public Property, testifying on 241022. (Witnesses approached Witness table.)
Thank you for joining us. Please state your name for the record and begin with your testimony. COMMISSIONER BRASKY: Joe Brasky, Department of Public Property, Interim Commissioner.
Patrick Livingston, Real Estate Operations Administrator, Public Property.
Thank you. COMMISSIONER BRASKY: Thank you for having us first off on your busy -- I know this is a busy time for you guys. We appreciate you welcoming us into your house. Good afternoon, Councilperson Chairperson Lozada and members of the Committee on Public Property and Public Works. My name is Joe Brasky. I'm the Interim Commissioner of the Department of Public Property. I'm here today to testify in support of Bill 241022, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to enter into a lease agreement with 2401 Walnut LP for use by the City of all or a portion of the premises located at 2401 Walnut Street, under certain terms and conditions. Licenses and Inspections opened its new Central West District office at 2401 Walnut Street after Bill 190710 was authorized by City Council and certified by the Mayor in December of 2019. The 2019 ordinance and lease provided L&I the opportunity to establish a community presence in what was considered the gateway between University City and the Central Business District. Today the Central West District Office remains vital to L&I and its commitment to continue to build community awareness, provide education aimed to reduce City ordinance violations and become more accessible overall in the community. As such, when the 4,924 square foot office suite next door became available, DPP and L&I jumped at the opportunity to expand its footprint and reset the base term by seeking a new 10-year lease with an already established landlord. 2401 Walnut Street is centrally located between University City, Fairmount and Francisville and south to Grays Ferry. This proposed new lease would allow L&I to continue to focus on these neighborhoods which remain prime for growth and development through 2035. In addition to the ideal physical location of the Central West District office, 2401 Walnut continues to offer Class A office space in Gold LEED-certified building, giving L&I employees an opportunity to continue to enjoy a more modern, efficient and environmentally-friendly workspace long term. The Department of Public Property supports this measure. And accordingly, I respectfully ask the City Council to approve Bill 241022. Thank you. I'm here to answer any questions you may have.
State your name for the record and begin with your testimony.
Are there any questions from the panel for this witness? (No response.)
Hearing none -- thank you for your testimony. COMMISSIONER BRASKY: Thank you.
Hearing none, Mr. Clerk, would you please call the panel to testify this afternoon on Bill No. 241023.
State your name once again for the record and begin with your testimony. COMMISSIONER BRASKY: Joseph Brasky, Department of Public Property Interim Commissioner. Good afternoon, Chairperson Lozada and members of the Committee of Public Property and Public Works. My name is Joe Brasky, Interim Commissioner of the Department of Public Property. I'm here to testify in support of Bill 241023, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to enter into a lease agreement with AC HSS Office Ventures II, LLC for use by the City, of a portion of the premises located at 1930 South Broad Street, commonly known as the Constitution Health Plaza, under certain terms and conditions. City Council's approval of Property Bill No. 210248 in 2021 authorized DPP to enter into a long- term lease agreement for the new BSL-3 laboratory space at Constitution Health Plaza on behalf of the Philadelphia Department of Public Health. The lab space was constructed and delivered by the landlord to PDPH on November 1, 2023 and served the community ever since. This new proposed lease would add 6,991 square foot of required office space adjacent to the lab and would increase the City's footprint at the medical campus to a total of 59,442 square feet. This proposed new office space would expire roughly the same time as the current BSL-3 lab lease, giving PDPH the ability to control, utilize and enjoy the office space through tenant renewal options together with a brand new state-of- the-art laboratory space over the next three decades. The Department of Public Property supports this measure. And accordingly, I respectfully ask the City Council to approve Bill 241023. Thank you. I may be happy to answer any questions.
Thank you for your testimony. Are there any questions for this panel? (No response.)
No. 22 There being none, Mr. Clerk, would you please read the names of the panel to testify this afternoon on Bill No. 241025.
John Mondlak, Chief of Staff of the Department of Planning and Development. (Witness approached Witness table.)
Good afternoon. Please state your name for the record and begin with your testimony.
John Mondlak. Thank you. Good afternoon, Chairperson Lozada and members of the Public Property and Public Works Committee. My name is John Mondlak. I'm the Chief of Staff in the Department of Planning and Development. Thank you for the opportunity to testify on behalf of the Parker Administration in support of Bill 241025. The legislation authorizes the conveyance of a parcel of land approximately 23,595 square feet bounded by Market Street, 39th Street, 40th Street and Ludlow Street. The parcel is to be conveyed by the Department of Public Property to the Philadelphia Housing Authority for the purpose of constructing affordable housing. As such, the bill represents a critical milestone towards fulfilling the City's commitment to providing affordable housing opportunities on the site of the former University City Townhomes. Pursuant to a carefully negotiated settlement agreement dated March 17, 2023 between the City and I.B.I.D. Associates, Limited Partnership, known as IBID, agreed to subdivide the parcel in question from its other holdings at 3900 Market Street. The subdivision was formally completed and recorded earlier this year. In the meantime, City Council and the Department of Planning and Development collaborated on a series of steps that will culminate in today's critical vote on Bill 241025. Bill 6 No. 230413 was enacted to authorize the Department of Public Property to acquire the parcels from IBID. The City has committed to partner with PHA and financially support the creation of approximately 70 affordable housing units. The bill you are considering today brings us close to the finish line of the City's legislative process and allows for the conveyance of this property to PHA. In authorizing this conveyance of land, City Council is fostering a partnership that leverages the strengths of both the City and PHA to create lasting impact on the neighborhood. The Parker Administration strongly supports this legislation. It's consistent with the City's goals of equitable housing development and demonstrates the City's commitment to addressing those housing needs. We urge Council to approve this ordinance 8 and we especially thank Councilmember Gauthier -- perfect timing -- for her relentless focus on the needs of her constituents and her tireless efforts to improve housing equity in our city. Thank you for your time and consideration and I'm happy to answer questions.
Are there any questions for -- the Chair recognizes Councilmember Jamie Gauthier.
I don't have questions. I just wanted to thank you. I'm really, really proud of what we've done with this effort. And it was just such a great partnership with the Administration going way back when, right, when Renee was still here, our former Solicitor was here, Tumar, all those folks, you guys really, really, really helped to get a great and just settlement out of a very contentious situation, and then even afterwards we worked really hard together to get the money from the Tenant Fund into the hands of the tenants to secure the $14 million to redevelop the site. And now, this final piece -- well, not final piece, but crucial piece of transferring this property to PHA. So just a wonderful, wonderful partnership and I thank you on behalf of not only the former tenants of the University City Townhomes but our community more broadly. Thank you so much.
Thank you for your testimony. Will the Clerk please call the first panel we have to testify this afternoon on Bill No. 9 241029.
Sarah Clark Stuart, Trails and Transportation Manager for the Streets Department. (Witness approached Witness table.)
Good afternoon. Good afternoon, Chairmember, Chairwoman Lozada and members of the Committee of the Public Property and Public Works. My name is Sarah Clark Stuart and I am the Trails and Transportation Manager for the Streets Department. I appear before you today on behalf of the Administration in support of Bill No. 241029. Bill No. 241029 allows the City of Philadelphia to acquire right-of-way land for the purpose of connecting and extending the Schuylkill River Trail by constructing a trail segment from its current terminus in the vicinity of 61st Street, along the river bank to the south side of Passyunk Avenue. Upon completion of construction, the right-of-way will be operated and maintained by the Schuylkill River Development Corporation in conjunction with Philadelphia Parks and Recreation. The proposed right-of-way will become part of the larger circuit trail system in Philadelphia. The Streets Department supports this measure. And accordingly, I respectfully request that City Council approve Bill No. 241029. I'm happy to respond to any questions that you may have.
Thank you for your testimony. Are there any questions or comments from this Committee? (No response.)
There being none, will the Clerk please call the next panel to testify on Bill No. 241031.
That's going to be Joe Brasky. (Witness approached Witness table.)
Please state your name for the record and begin with your testimony. COMMISSIONER BRASKY: Joe Brasky, Department of Public Property, Interim Commissioner. Good afternoon, Chairperson Lozada and members of the Committee on Public Property and Public Works. My name is Joe Brasky. I am the Interim Commissioner of Department of Public Property. I'm here to testify in support of Bill 241031, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to enter in a sublease agreement with the Philadelphia Municipal Authority for use by the City of all or a portion of the premises located at 1 South Broad, under certain terms and conditions. Built in 1932, 1 South Broad offers a convenient location directly adjacent to City Hall. The iconic and time-honored building has recently undergone lobby renovations in addition to a new exterior facade that includes 50 foot of glass panels and provides a prominent and grand entrance on Broad Street. Recent renovations also include complete elevator system modernization, new security and life safety systems and a wired certified Gold building recognization due to its high quality infrastructure measures now in place. As a whole, 1 South Broad is now poised to consider amongst the most attractive office buildings in Center City due to its history, ideal location and now modern qualities. The proposed 15-year sublease would provide the City with the entire third floor to utilize for its general office as well as the amenities offered available throughout the building, including a conference center available for reservation. With an ample tenant improvement allowance package coupled with free rent credits, the City has the opportunity to capitalize on the current office market and provide its employees with a modern workspace at discounted rental rates. The Department of Public Property supports this measure. And accordingly, I respectfully ask that City Council approve Bill 241031. Thank you. I will be happy to answer any questions you may have.
Thank you for your testimony. Are there any questions for this panel? (No response.)
There being none, will the Clerk please read the names of the panel to testify this afternoon on Bill 19 No. 24050 -- 241050.
That would be Joseph Brasky again. COMMISSIONER BRASKY: Joseph Brasky, Department of Public Property, Interim Commissioner. Good afternoon, Chairperson Lozada and members of this Committee on Public Property and Public Works. My name is Joe Brasky. I'm the Interim Commissioner of the Department of Public Property. I'm here today to testify in support of Bill 241050, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to enter into a 10-year lease agreement with landlords and tenants for use by the City as satellite election offices of all or a portion of various premises located at 1835 South Broad Street, 6000 Woodland Avenue, 4029 Market Street, 5610 Lancaster Avenue, 2301 North Broad Street, 6420 Frankford Ave, 2739 North 5th Street, 5361-91 Chew Avenue, 6233 North Broad Street and 1619 Grant Avenue, all under certain terms and conditions. Over the past two years, Public Property worked with the City Commissioners to identify and open new satellite election offices. 4 If approved by City Council, each 5 Council District would have its own 6 long-term satellite election office 7 that would continue to serve 8 constituents as an information 9 resource center and act as a safe 10 and secure one-stop shop for all Philadelphians -- all Philadelphians' election needs. With the introduction of these new satellite election offices earlier this year, Philadelphians are now available to register to vote, request their mail-in ballots and return their completed mail ballots all in one visit. With a concentration on inclusivity, accessibility and convenience to all communities in Philadelphia, these satellite election offices present new opportunities for voters and should continue to become a staple in each Council District every new election. The Department of Public Property supports this measure. And accordingly, I respectfully ask that City Council approve Bill 241050. Thank you. I'll be happy to answer any questions you may have.
Thank you for your testimony. And I don't have a question, but I do want to make a comment about the satellite offices that were open, particularly the one in my District. I felt like -- I really saw a difference, right, once the actual space was open and how engaged people were and how comfortable they were coming in to ask questions about the actual process in their own neighborhoods. And so, I commend the Administration. I commend all of those who were involved in making sure that all of these satellite offices across the city of Philadelphia were open and accessible and that they were staffed with people from the community where people felt very comfortable coming in to ask questions. So thank you very much. COMMISSIONER BRASKY: Thank you.
Are there any additional questions from the Committee for this panel? (No response.)
Thank you so much for your testimony. COMMISSIONER BRASKY: Thank you.
Will the Clerk please call the panel to testify on Bill No. 241052.
That would be Joseph Brasky once again. COMMISSIONER BRASKY: We're down to 52?
I'm sorry. I want to fix that. Bill 6 No. 241051 first. COMMISSIONER BRASKY: Good afternoon, Joseph Brasky, Interim Commissioner, Department of Public Property. Good afternoon, Chairperson Lozada and members of the Committee on Public Property and Public Works. My name is Joe Brasky. I'm the Interim Commissioner of the Department of Public Property. I'm here to testify in support of Bill 241051.
051, correct. COMMISSIONER BRASKY: I got you. Thank you. I'm Interim Commissioner of the Department of Public Property. I'm here to testify in support of Bill 241051, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to acquire free simple title and lease or real estate interest by purchase, dedication, donation, condemnation, agreement in lieu of the condemnation or otherwise in all the portions of certain parcel of land known as 923 West Butler Street, under certain terms and conditions. To stay in compliance with the Clean Water Act, Philadelphia Water Department is implementing various stormwater management projects across the city. The Philadelphia Water Department is actively designing a stormwater management system located at 923 West Butler in coordination with upgrades to the adjacent Butler Street Playlot. This site improvements are supported by the neighborhood groups and are in line with several planning initiatives important to Philadelphia Water Department. The Department of Public Property supports this measure. And accordingly, I respectfully ask that City Council approve Bill 241051. Thank you. I will be happy to answer any questions you may have.
Are there any questions from the Committee for this panel? (No response.)
Thank you for your testimony. Will the Clerk please call the first panel to testify on Bill No. 241052.
That would be Joseph Brasky once again. COMMISSIONER BRASKY: Joseph Brasky, Department of Public Property, Interim Commissioner. Good afternoon, Chairperson Lozada and members of the Committee on Public Property and Public Works. My name is Joe Brasky. I'm the Interim Commissioner of the Department of Public Property. I am here to testify in support of Bill 12 241052, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to enter in a sublease agreement with Philadelphia Municipal Authority for use by the City of all or a portion of the premises located 1600-26 JFK Boulevard, commonly known as Four Penn Center, under certain terms and conditions. Located on the southwest corner of 16th Street and John F. Kennedy Boulevard, Four Penn Center sits above SEPTA Suburban Station within walking distance of the triplex. Public Property has increased its efforts to provide modern space to City employees and has been fortunate to see heavily discounted Class A office space opportunities due to the current state of the Center City office market. Public Property has been active in the market in its attempts to modernize its office portfolio with the emphasis on quality and overall budget. Not knowing what this volatile office market may soon look like, DPP has aggressively pursued long-term Class A office leases and subleases in hopes to start closing the gap between City and the private sector and what continues to be a very competitive hiring market. This proposed 15-year office lease for 26,805 feet at Four Penn Center is one step towards this goal. The Department of Public Property supports this measure. And accordingly, I respectfully ask the City Council to approve Bill No. 7 241052. Thank you. I will be happy to answer any questions you have.
Thank you for your testimony. Are there any questions? (No response.)
There being none, will the Clerk read the names of the panel to testify this afternoon on Bill No. 17 241053.
Our final panelist is Joseph Brasky once again on 241053. COMMISSIONER BRASKY: Joe Brasky, Department of Public Property, Interim Commissioner.
Please begin with your testimony. COMMISSIONER BRASKY: Good afternoon, Chairperson Lozada, members of Committee of Public Property and Public Works. My name is Joe Brasky. I am Interim Commissioner of the Department of Public Property. I'm here to testify in support of Bill No. 10 241053, authorizing the Department of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with Philadelphia Municipal Authority for use by City, of all or a portion and premises located at 30 South 15th Street, commonly known as the Grand Building, under certain terms and conditions. Situated across City Hall, the Graham Building offers a convenient location near SEPTA Suburban Station and within walking distance of the triplex. This boutique Class A office building has modern efficient floor plates with polished concrete floors and exposed ceiling. With a state-of-the-art Center City office market, the Department of Public Property pounced on the opportunity to provide City employees premier office space at heavily-discounted rental rates by agreeing to proposed sublease terms for 30,352 feet over the next 10 years. With generous tenant improvement allowance and free rent credit packages included, Public Property continues to strive towards City employees custom-built modern workspace and could be proud of its rates that it can afford. This proposed 10-year sublease would provide the City with the entire 17th, 18th and 21st floors to utilize for its general office use. The Department of Public Property supports this measure. And accordingly, I respectfully ask that City Council approve 241053. Thank you, and I'll be happy to answer any questions you may have.
Are there any questions from members of the Committee? (No response.)
Thank you for your testimony. This concludes the hearing and now we will go into the public meeting. There being no 15 further questions from members of the Committee and no other witnesses to testify on the bills before the Committee today, I will ask if there's anyone else present in this hearing whose name we have failed to call and that wishes to offer testimony on the bills being considered today? (No response.)
Hearing none, we will go into the public meeting to consider the actions to be taken on the bills before this Committee today. We will now convene the public meeting. Mr. Cameron, will you please call the roll to take attendance. Members that are in attendance please indicate that you are here by saying present when your name is called.
Thank you. A quorum is present and we will now be begin the public meeting. Please note that Bill No. 13 240874 is being held at the request of the sponsor and no action will be taken on that bill today. The Chair recognizes Councilmember Harrity for a single motion on Bill Nos. 241022, 241023, 241025, 241029, 241031, 241050, 241051, 241052 and 241053.
Madam Chair, thank you. I move that Bill Nos. 241022, 241023, 241025, 241029, 241031, 241050, 241051, 241052 and 241053 be reported from this Committee with a favorable recommendation and further move that the rules of Council be suspended to permit first reading of these bills at our next session of Council. (Duly seconded.)
The Chair notes for the record that Councilmember Harrity -- or Councilmember Gauthier seconds the motion. It has been moved and properly seconded that Bill Nos. 241022, 241023, 241025, 241029, 241031, 241050, 241051, 241052 and 241053 be reported from this Committee with a favorable recommendation and further move that the rules of Council be suspended to permit first reading of these bills at the next session of Council. All those in favor of the motion will signify by saying aye. (Aye.)
The ayes have it and the motion carries. This concludes the business before this Committee of Public Property and Public Works today. Thank you all very much for your attendance. Have a good afternoon. (Committee on Public Property and Public Works concluded at 1:58 p.m.) C E R T I F I C A T I O N I, hereby certify that the proceedings and evidence noted are contained fully and accurately in the stenographic notes taken by me in the foregoing matter, and that this is a correct transcript of the same. __________________________________ TANEHA CARROLL