Okay. Mr. Banner, the current contract with the TV stations -- CBS, ABC, Fox, is it ESPN or TNT? One of those.
ESPN. How much money does that give to the NFL and how much money does each team in the NFL receive from that contract? 325 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85
I do not know the number. I mean, we get at this point one-thirty-first of whatever that amount is, and we have a labor agreement where 64 percent of that money has to go to players' salaries.
So you don't know, you don't have an idea how much money you get from the TV contract? When does this contract expire?
It has, I believe, four seasons remaining on it, plus a three-year option.
I mean, I'm sure there's some escalators in there. I don't really know the details of the deal.
Because we should be able to have at least some idea of the financial stability and capacity of the Eagles since taxpayers' monies are going to be spent in part in giving the Eagles, one, a practice facility, and building the stadium. 326 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85
Well, you know, I would characterize what you said, you know, differently. If there's a stadium deal, then all we've asked the public to contribute to the practice facility is the cost necessary for there to be a site on which we could build, and we've done everything else.
I know it's not happened, but the stadium deal we proposed was the same scenario. We asked to be provided a site ready to build a stadium and an up-front -- asked for nothing more than that, and then asked for a contribution of only the new taxes we created to help with the ongoing operation and maintenance expenses.
And in this agreement that we have, to the questioning of Councilman Nutter, you expressed that you wanted at least the flexibility that if the deal was not consummated by November the 3rd and we had to build this facility, you still would not commit yourself, even though part of the reason for building the facility within Philadelphia is 327 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 because of the wage tax that we would be receiving, that you would not commit yourself to staying in that facility, practice facility until the year 2010, 2011. Meanwhile, the City would not have any flexibility, according to the agreement on whether we have to buy back the stadium or not.
And plus put the $80 million amount of time that David Cohen put forward.
I think you have to refer back to the Chief of Staff's testimony. There was a series of things that the City wanted to achieve in the deal and there was a series of things that the team wanted to achieve in order to agree to the deal. And I think you have to put it into some context. We made this deal with NovaCare to build this complex now a little over 20 months ago.
And we wanted to have the same freedom that every business we're aware of 328 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 have, which was to review all of the sites that were available to us to build this facility at the best location and considering to try to put the other best economic deal we could.
But that's not the case, because the City came to us and said, If you do that, we will not talk to you about a stadium deal. And we did not say that site would be in the City or outside the City, we just said that we wanted the flexibility to consider all of our options, including what was the best economic scenario for us. The City said, If you do that, don't even come and talk to us about stadiums, it's out of the question. So at the City's request, we have sat and waited a very long time at this point to build this facility, to try to retain the flexibility of accommodating what we would call "demand."
But, excuse me, you have to understand that the City is two different bodies. You were speaking with one part of the 329 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 City in terms of the executive that told you that. Nothing was ever presented to this City Council for us to consider.
Yeah, that's true, but with all due respect, I met with many City Councilpeople, some who reached out to me and some who I reached out to, who were very insistent upon the importance of the practice facility being built in the City, and in some instances, reiterated the Administration's position at the time, that if we did not do that, it was not reasonable for us to then come and ask the City government to participate in the stadium project. And by the way, we don't have a problem with that. We think that in the context of doing the stadium, that is a perfectly reasonable demand to be put on us. And we have, as a result, waited to build this project. All we believe is, there is some point at which, based on that demand, we've kind of waited long enough, and we have to be allowed to go forward on some basis. Either go ahead, build it wherever you want and we'll negotiate a stadium deal in good faith.
Mm-hmm. 330 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85
Or keep it in the City. And if we still don't get a deal done, we'll make sure you're not hurt by trying to accommodate us in that manner. That was just the thinking behind the deal. I'm not here to tell you it's right. That feeling was that after having waited that long, it was reasonable to not put us in a position where if we further accommodated the request by actually building the building and we don't get a stadium, we should not be hurt by that.
But the City's flexibility is curtailed because we are -- this legislation commits us to begin building the facility and it commits us to, one, $80 million in three years' time, plus buying back the facility if we don't meet this arbitrary deadline. So in essence, you're asking the taxpayers of this city to take some risk that you're not willing to take at the same time.
Look, I think that the -- and it was hard earlier to hear this and not respond. Somebody testified and made reference to the fact that there needed to be some 331 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 give-or-take. Now, the City came to us with this request twenty months ago, and we said yes, without asking for anything. Then they came to us six months later, and we said yes, without asking for anything. And all the way to last June, which was about fourteen months into this process, we said, Fine, we'll wait, we'll make that sacrifice, we'll do our give, and we're not asking you for anything. At that point, we said, Look, there has to be some point at which we need to know we're going to be able to go forward with this project. So at that point, we worked out a deal where we were going to be able to begin the project with the $7 million stimulus money, and by another six months, to try to get a stadium deal done. Now, that period of time has passed and we're now up to twenty months, almost all of which we proceeded and followed the requests of the City, without asking for anything in return, kept all of these revenues within the City, and are still prepared to make every possible effort we can to continue to do that. 332 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 I think it's only fair, though, at some point we need to say we just can't -- and I'm saying "we," I'm kind of as if I was in City Council, we just can't just indefinitely ask the Eagles to not build this, without having any kind of a sense as to when are we actually going to commit to them that it be done by this date.
And we're not saying that you should, but we are putting forward a whole series of packages that says that a package, a stadium package has to be before this Council by such-and-such period of time. We're not saying that this is not going to be done, we're not saying that we're not going to build a stadium or the practice facility. But as a legislative body and a City Council, we have to be very careful because our -- we don't have stockholders, we have the City taxpayers. The fiduciary agents that we represent are the people of the City of Philadelphia. And if people are saying to us, You're committing to a series of monies and the teams says, If you're not there by a certain point, we reserve the right to move, then we're saying, 333 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 we're saying, If we don't get to that point, we build this facility, we own it, we rent it back to you for a dollar, and you still say that you want more flexibility to move somewhere else.
If there were no stadium deals done today, and we knew there were not going to be any stadium deals done, we would have the right to locate the practice facility anywhere we wanted. And what we believe is a return for other concessions we've made in the deal, it's reasonable for us to continue to have that right only in the event that there were no stadium deals done. And in return for that, we're proceeding with the project now, we've kept these revenues in the City for years, and we believe we've made other concessions. We also believe that you can say to people practically that we're investing $1.9 million in the worst-case scenario. And there is a -- I think you could say reasonably, reasonably a very small risk that we could invest that $1.9 million and not have anything to show for it. On the other hand, it's extremely 334 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 likely that we've invested that $1.9 million and we've retained these tax revenues, which are far greater than the investment that we've made. And we have preserved the rationale for the City to invest in stadiums without having to tap into resources that we're comfortable sitting here and telling you are needed for more important issues.
Thank you. The Chair recognizes Councilman Cohen.
Thank you, Madam President. I asked Mr. Montgomery a question on behalf of the Phillies but did not ask it of you. Let's assume that nothing happens because that's what brings us here -- not the building of the stadium, 'cause we don't have time for that, we only have time to talk about failure, not about success. Apparently, you know, I begin to question if people really want to build the stadium when they have all this free time to talk about a plan in the event that this is all going to fail. So I'm a little troubled by the whole 335 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 concept. But let's assume that everything fails and the trigger of the $80 million comes about. What is the position of the Eagles? Are they still going to be interested in building a stadium, or are they going to say to us, Well, that was the deal about the stadium, it didn't work, therefore we're forgetting all about a stadium? Would your answer be the same as Mr. Montgomery's.
Well, my answer is the same as Dave's, but I would add a kind of a practical comment. We recognize that if the City invests $80 million in renovating and making capital repairs at Veterans Stadium, it's not realistic to think that they're going to turn around in some time closely associated to that expenditure and have a serious dialogue about investing in a new stadium. And we also believe, from the Administration, that this administration believes it has a lot to achieve over the next four years 336 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 and doesn't want to spend four years on stadiums, wants to take one honest run at it, see if we can't get something done, and then be in a position to move on to the other challenges that face the City. So we would continue to have the need, and we would continue to have the request, but we realize realistically that the City is not going to invest $80 million in capital repairs in Veterans Stadium and turn around a week later and want to talk to us about a new stadium. But we will still have the need.
What's -- you know, on the -- I think the very day that you signed the player -- I don't remember his name -- for $30 million a couple of weeks ago, something happened about the stadium deal on that occasion, and I had to say to myself -- I admit I was prodded by some constituents' questions -- what is this $23 million involved in the stadium? That's what we're going to pay you to buy back if certain things happen. What is this great risk, when you can afford, as a team -- and I'm not using the most expensive player in these days, maybe I'm 337 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 using only an average paid player. You sign a player for $30 million over a number of years. If he gets hurt, say he goes out the first day of practice and he gets hurt and is unable to play, are you bound to pay him that full $30 million?
The good news in football, unlike the other sports, is if that player got hurt, we do not owe him the $30 million. He has to play full the length of that contract or he does not get paid.
He gets paid for the season in which he got hurt, and then -- now, if he recovers and you want to bring him back, sure he gets paid. But if a player got hurt and couldn't play, we do not have to pay him.
Well, I guess I'll volunteer to be the attorney for the union to guarantee his pay during the five years, but in 338 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 baseball, they get paid the full time, don't they?
That's an interesting change. But you take it -- that's a $6 million risk, 30 million over 5 years?
So you have at least the 6 million risk. Then what is this great risk of $23 million? Your team -- you know, didn't you -- wasn't there a contract a couple of years ago for some billions -- I don't know how many billions of dollars for a four-year TV contract. Didn't all the teams share in that?
Could you tell me how much money was that involved on a yearly basis? What did the Eagles get?
The honest answer is, I don't know, but I'm certainly willing to concede 339 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 that it's many, many millions of dollars.
Because it's not just 80 million, as I think David -- the other David at the table pointed out, David Cohen, that you're going to have a right, beginning with January 2003, to claim additional capital improvements. But what you're doing is, you're asking us to tell the taxpayers that we exercise our good, sound legislative judgment by causing our taxpayers to be subject to having an empty stadium when we buy back because we didn't arrange to even have a tenant. All we did is bought back the stadium, which is kind of useless for most parts by other than a sports team. And then on top of that, you're saying that we're subjecting ourselves to an $80 million repair schedule for capital improvements. And then a couple years later, you will also have the right to request whatever you feel is needed, and you have a right to demand that of us. And so it's going to be 340 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 much more than 80 million in capital improvements. You have not committed to staying in Philadelphia on the practice field. You know, you present us, and then you say and then we're going to have some kind of a contract with PAID, and you want us now to agree in advance, sight unseen, to agree that whatever the Mayor agrees, just like eliminate City Council, City Council doesn't exist under this scheme. It all is just that you're going to deal with just the Mayor. And you ask that of legislators. Now, I would say that would make sense if there were no City Council, but it makes -- it seems to make no sense to me at all, and I just don't understand why you're doing it all in the name the not pursuing a stadium at all, but preparing for bad faith? What are you preparing for? Who's going to stop you from succeeding in getting a stadium? Do you get nightmares at night and imagine things? I haven't heard anybody here today testify that they're going to fight a stadium. 341 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 Sure, there are going to be questions, we're not going to sign a blank check and say we subject the City to untold liability, do whatever you want to do. We've got a legislative duty to perform. Why do you approach the City Council and tell us that we've got to guarantee that we're dealing with you in good faith, when we don't know anything we've ever done other than to deal with both sports teams in good faith. You tell us about the problem you had with the Mayor, whichever mayor it may have been -- current, previous, maybe three or four mayors down the road, but you've never had those kinds of problems with us.
I don't think you've heard anybody at this table talk about being concerned with the good faith of City Council. I think that you're looking at this deal in terms of what you're giving, which there are clearly things, and not thinking in terms of 342 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 what you're getting in return. And I think that if you list both of those categories, that not everybody would agree, but one could certainly make the case for the rationale of this deal and why there needs to be a deal at this time as opposed to just going on as things have been.
But you haven't gone on with us? This is the first opportunity this body has ever had, still facts unknown, nothing of significance in the way of facts presented to us. We create a public hearing, we're learning about certain plans, we've got a list of proposed capital improvements for the first time today, we know nothing about site selection. We've been clamoring, we want to know what sites have been discussed for the stadiums, and nobody gives us anything. You come to us on the first day and say to us, You've got to prove your good faith by adopting this legislation -- just in case later on, we think you exhibit bad faith by not approving some kind of deal by November 3rd. We won't even tell you when we're going to give you any material. We refuse to put any date in this 343 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 contract. Wasn't that what the Chief of Staff said? What you call "the City" is the Mayor's Office. You say that even the if the Mayor's Office -- she said the Mayor's Office won't put in any date, but you've got to agree by November the 3rd. Now, what kind of -- you know, the men that are here from the building trades union would be insulted if they were given a blank contract by their employer, and they should be, they'd walk out if they were given a blank contract and told to sign it to prove their good faith to the employer. That's -- you would do that in a business transaction. But that's what you're asking us to do. And that's a mighty, mighty difficult thing for us to do because to do it means that we violate the oath of office we took. So we came up with other bills. We came up with bills which we try to accept the basic structure, to give you a comfort level. And we say, Give us time to study it, examine it, and make a decision, a decision which we've all said we hope is going to be a successful one. 344 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 I think we've -- you know, I don't know why we would have to show good faith in the first place, 'cause I think we've always exhibited it, and I think it's kind of an insult to this legislative body to say to us before you deal with us and when you've never had a bad experience with us over many years, to say you've got to prove your good faith by signing things in blank. And that's a mighty tough pill 'cause we think we've been very fair with the sports stadiums. I can't remember a thing that we ever denied that came to us, because we try to work with you. We think you're good for the City. We have lots of priorities to worry about, we've got a big constituency that's got to understand why we're investing, if we do in fact invest public monies. And you put us in this very terrible position to begin with. If anybody chose to set off something on the wrong foot, this would be the way I would move. We really hope you give full consideration to that. We don't know about your experiences with the Mayor, any mayor, because it's never been shared with us. The Mayor has mayoral rights. 345 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 We're not responsible for what he does and he's not responsible for what the Council does, but please don't act with us on the assumption that we're thieves or scoundrels and can't be trusted an inch to perform our duty. And that's how this comes through to us. Thank you, Madam Chair.
Thank you. Certain, certainly. We have another question now from Councilwoman Reynolds-Brown. Is she there? Or Councilman Nutter? I assume you're not Councilwoman Brown? Do you have questions from that side of the room?
Are there any other questions from members of the committee? (No further questions.)
Gentlemen, 346 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 thank you very much, thank you.
Our next witness is Charles Pizzi, and I believe Daniel Whelan wanted to come up with him to testify. Is he still here? (Witnesses come forward.)
Good evening, gentlemen. Thank you for your patience.
Kindly identify yourself for the record and proceed with your testimony.
My name is Charlie Pizzi. I'm President of the Greater Philadelphia Chamber of Commerce. And I will not follow my comments 'cause it starts out, "Madam President, good morning." 347 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 Good evening, Council President Verna and Members of City Council. Today I'm before you representing 6200 businesses in the region to voice our support for Bills 80, 82, and 83. We believe the passage of this legislation is a critical first step in creating an attractive image for our city. I have enormous respect for the Members of this Council and for the responsibilities you have to your constituents. I understand the importance of your role in this process. Today, I'm here to support the new practice facilities for the Philadelphia Eagles, which the legislation will ensure the facility is built. Building a practice facility for the Eagles helps solidify their position in this market. For the City, it means the retention of some $4.3. million annually in wage tax alone. The City has looked to successfully retain and attract numerous businesses, and we should approach sports similarly. This is about retaining a vital component of our economic base and our City's image. As elected officials, you are entrusted 348 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 by the public to oversee the investment of City funds. I know that you take this responsibility seriously. With it comes a need for complete information and a reasonable timeframe in which to review the information. I know of the great concern that it is to all of you. In fact, I have the same concern and I fully sympathize with you as a citizen of Philadelphia. However, we've witnessed serious delays in this project for various reasons. And while Pittsburgh is moving ahead with construction of its facilities, we have been left far behind. These bills offer a reasonable window of time for the Administration to negotiate with the teams and Council to deliberate and act to ensure the process in Philadelphia is not further delayed. As you know, the Pennsylvania legislature acted last year to raise the capital and redevelopment assistance funds, freeing up additional money for funding for important projects statewide, like arts, cultural institutions, and sports facilities. The City must acknowledge the Commonwealth's willingness to move forward with 349 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 this agenda and accept responsibility of fulfilling its end of the bargain. If not, we risk losing credibility with our leaders in Harrisburg, which could jeopardize State support for other local initiatives. Simply put, if we are serious about elevating Philadelphia to a world-class status, we cannot afford to let this opportunity pass. As a city competing nationally and internationally for hospitality-driven dollars, we must move forward. Bills No. 80, 82, and 83 get us in the game. I know decisions will need to be made down the road, and these bills keep the door open for the dialogue on those discussions. Today, I urge your favorable consideration of these bills and offer the Chamber's assistance in whatever role you see fit.
Good evening, Madam President and Members of City Council. Thank you for the opportunity to submit the testimony today. My name is Dan Whelan, and I am 350 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 President and CEO of Bell Atlantic-Pennsylvania. I'm here today in my capacity as Vice Chairman of the Greater Philadelphia First, a regional organization led by the chief executives of 30 of the larger corporations here in Philadelphia and in the region. Our mission at GPF is to make this region, and especially the City of Philadelphia, a better place, to live work, and to do business. Our message to you is a simple one. Greater Philadelphia First urges you to vote in support of the ordinances that were submitted to City Council on Mayor Street's behalf on Thursday, February 17th. We support the Administration's ordinances for the following reasons: First, we recognize that these ordinances do not commit the City to decide the stadium issue one way or the other. However, they do make it possible for the City and for the teams to continue working towards the goal of new stadiums. We believe strongly that new world- class stadiums for the Eagles and for the Phillies are vital to maintaining and enhancing the region's competitiveness. Let me just recite some of the names 351 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 that have been spoken here: Atlanta, Baltimore, Cleveland, Chicago, Cincinnati, Denver, Hartford, Nashville, Phoenix, Seattle San Francisco, St. Louis, Tampa Bay, Toronto, and of course, Pittsburgh. New stadiums have been constructed, or are under construction, in each of these cities. From the standpoint of competitiveness alone, we need to do the same in Philadelphia. Second, the ordinances would set a target date for deciding the stadium issues one way or the other -- November 3, 2000. This makes fundamental sense from a purely planning prospectus. As businesses facing the prospect of huge capital outlays, the teams need some measure of assurance that the issue will not drag on indefinitely. The ordinances provide the framework for negotiations that is fair to both the teams and the City. Third, this is an opportunity for the new administration and City Council to send a positive and reassuring message to the business community and to the world at large. In recent years, Philadelphia has justifiably earned a 352 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 national reputation as a revitalized city, with a renewed sense of pride. Further delays or missteps in completing the new-stadium deals could tarnish this hard-won reputation, at a great cost to the City, its residents, and it's businesses. In today's ultra-conservative global economy, Philadelphia's future depends upon convincing others that it is a can-do place where major projects can move forward to completion and on a timely basis. Fourth, the requirement that the City commit to a schedule of completing up to $80 million in necessary capital improvements to Veterans Stadium, if there is no stadium deal by November 3rd, is reasonable for two counts. First, the City is already obligated, under existing leases, to pay the necessary capital improvements. But more importantly, none of the parties to this agreement actually want to pour $80 million into an outdated stadium. The proposed agreements thus constitute a strong incentive for the teams and the City to complete the new-stadium deals. In fairness to both the teams and to the fans, it also commits the City to 353 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 make repairs that will be necessary if Veterans Stadium remains the home of the Phillies and the East through the 2010 season. 7 million in wage taxes alone. The City's potential exposure of $23 million if it must by the facilities back from the Eagles would be more than covered by either the retained wage taxes or by the projected annual receipts from the proposed new rental car tax.
And it's worth emphasizing that this new tax, as we heard this morning, is spread over many shoulders, not soley Philadelphia residents, and indeed, the majority on nonresidents. Finally, it is essential that the new stadiums be financed in ways that are reasonable to the interest of the region's taxpayers, and the proposed arrangement is consistent with that goal. No one wants the new stadiums more than Eagles and the Phillies. The package does nothing to lessen the pressure on the teams, who intensely want and need to play in new stadiums by 2003. We 354 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 are confident that a negotiated reasonable deal on behalf of the taxpayers will be found in the timeframe allotted under the bills. In closing, I think it's important to know that the members of the GPF board were polled to see whether they supported the Administration's proposals. Twenty-seven members responded to that poll, and all did so affirmatively. There were no 10 no-vote. Collectively and individually, therefore, we believe in this course of action. I would add that the GPF has taken no position at this point on the location of the new stadiums. Again, thank you for the opportunity to weigh in on this very important measure.
Thank you, Mr. Whelan. I appreciate your patience in waiting to testify, and I know that you have said that you do not want to see further delays regarding anything to do with either the practice facility or the stadiums. We Councilmembers feel precisely as you. We received the bills that are before us today on February 16th. They were introduced on the 17th. Despite the fact that we have had 355 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 budget hearings for the last two weeks, we felt very strongly that we wanted to hear these bills as promptly as possible. Therefore, they were listed today. I will tell you that I am the District Councilperson in the area of the proposed site for the practice facility. I know that my constituents want the facility at that location, and that's what we're striving for. I think we all have the same interest. However, it's the way that we get there. And, again, I thank you. Councilman Goode?
I have a few quick questions. For the record, you are former Commerce Director for the City?
And you are a current or a former board member of PIDC.
That's true. 356 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85
You are a current or former board member of Philadelphia Workforce Development Corporation?
What are your responsibilities as vice chair for Philadelphia Workforce Development Corporation?
Well, supporting our chairman, Charlie Conley, from First Union Bank. But more importantly, to ensure that we get as many people off of the welfare rolls and into the workforce as possible, and that is in providing companies to take give opportunities to, frankly, family heads, usually mothers.
Okay. In any of those capacities, Mr. Pizzi, if you were directly involved in negotiating an agreement with the Eagles related to the financing of sports 357 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 facilities with significant public investment, what public benefit criteria would you employ? A, would you guarantee a percentage of jobs for Philadelphia residents?
If you were negotiating the agreement, would you guarantee a percentage of jobs for Philadelphia residents?
In the past, we've always had difficulty in doing that, but we would ask businesses to give residents a first opportunity.
I'm speaking specifically of a sports facility agreement, a major multimillion-dollar public investment. Would you guarantee a percentage of jobs for Philadelphia residents?
But would you specifically negotiate for welfare-to-work 358 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 opportunities?
I wouldn't negotiate. I would really seek the teams, give them opportunities to do that, yes. But not make it part of a formal negotiating package.
It was a hypothetical question. You named a number of different capacities you've served in regarding economic development. I'm saying, if you were directly involved in negotiation regarding a sports facility, would you guarantee a percentage of jobs for Philadelphia residents, would you ensure welfare-to-work opportunities, and would you require an affirmative action plan?
Thank you very much. The Chair recognizes Councilman Nutter.
Thank you. Good evening, Mr. Pizzi, Mr. Whelan, 359 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 and Miss Ashley Andrus over there. I just wanted to get a clear understanding of one of the comments in the -- I received a letter from Greater Philadelphia First, and it talked about further delays or missteps in completing new-stadium deals could tarnish the City's hard-won reputation for revitalization and a sense of pride. And I guess I just wanted to get a little better understanding of what your either belief or perspective was with respect to either delays, further delays, or missteps, and specifically as they relate to City Council? Are you aware of any delays created by this body?
The delays referred to in my testimony and in the letter -- and I speak for Mr. Adrien (ph.) on that behalf, who signed the letter, I believe -- is the general delay that has 360 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 occurred that the teams referenced, that this has been a 30-month process. We're now well into the 20th -- beyond the 20th month of that process. And it's that's kind of delay, with no assurance that further delays are not going to be envisioned. I am not in any way chastising any particular -- any party for that matter, either the teams or the City as a whole or any element of the City, either the City Council or the Administration, either this one or the previous one. It's -- the fact is that we've been at this as a group, as a city, for a very long period of time. And our suggestion, our strong recommendation is, let's define a date and effectively fish or cut bait.
All right. Well, I can certainly agree with that. I mean, again, as the Chair said, as soon as received something, it got introduced and it's been scheduled. We never received anything before, nor were we a part of any of what was really happening in the past. So I mean, there's kind of a -- there seems to be a general misperception that somehow, 361 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 we've been holding up the works, if you will. And all we've ever done is ask for either a bill or more information, or let's get the process started. I'm just trying to make sure that everybody's clear about what has happened and who's done what or who hasn't done what or who hasn't even been a part of any of these delays or missteps.
Mr. Councilman, I agree with that statement. Please don't interpret my comments or the comments in the letter as pointing the finger at anybody. As I stated earlier, all we're saying is, it seems to us that this matter has been in the works for sometime.
Let's get on with it. And frankly, we're -- I would comment that you -- commenting on the President's comment, that indeed you have moved quickly once the ordinances were put in front of you. "Let's keep the ball rolling" is essentially the essence of my message.
I think we will. 362 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 Okay, thank you. I appreciate your clarification. Thank you. Thank you, Madam Chair.
Thank you. Are there any other questions from members of the committee? (No further questions.)
Good evening. Please identify yourself for the record and proceed with your testimony.
I'm John H. Morley, Jr., M-O-R-L-E-Y. I'm a citizen of Philadelphia. I live in South Philly. In March of 1989, I signed a contract with the Philadelphia Eagles football team. I could tell you that my only motivation was to play football. The professional football players that I've met and talked to, they have one motivation, 363 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 and that's money. And I mention that because there's been a few allusions and references to the fact that there's people that feel that a brand-new practice facility is a requisite to attracting new players, and I don't agree with that notion. I'm -- I oppose creating another tax for the purpose of a practice facility, and I oppose the City of Philadelphia becoming a partner with pro-sports teams. This is contract creates the possibility that the City will have paid for the facility and the Eagles will leave town. That possibility exists, and I say that that is not a good contract. Of the money that Americans spend for entertainment, only 1 percent of that money is spent to purchase a ticket to a sporting event, only 1 percent. I got that information from the 1996 Standard & Poor's industry report. I'd like to let Council know that there are organizations being formed all over the country that oppose new tax for stadium financing. There is Voters Against Stadium Taxes, the acronym VAST. There's Citizens Opposed to Stadium Taxes, 364 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 acronym COST. There's People Opposing Stadium Subsidies, acronym PASS. Grassroots Against Mandated Entertainment, my favorite acronym, GAG ME. I wanted to also let Council know that I conducted two polls regarding use of taxpayer money to fund stadium construction. One of my polls was an Internet poll on my Website, and the other was an oral poll. In both polls, approximately 200 people took part. In both polls, 98 percent of the people who took part opposed the use of taxpayer money to fund stadiums. I'm asking Council to also construe that fact to be that the people who took part would oppose the car rental tax to fund the practice facility and opposition to that partnership with the Eagles in that practice facility. That's the end of my testimony.
Thank you very much, Mr. Morley. Are there any questions from members of the committee? 365 3/1/00 WHOLE COMM. - BILLS 79, 80, 82, 83, 84, 85 (No questions.)
Thank you again for your patience. Mr. Banner, I hate doing this to you 'cause I know you don't feel well, but Council will stand in recess until 6 o'clock. Do we have anyone else that wants to testify that was not on the list? (No response.)
Thank you. Now Council will stand in recess until 6 o'clock. (Council stands in recess.) (Proceedings resume.) - - -
This committee will stand in recess until Friday, March 3rd, at 10 a.m. Thank you. Thank you, everyone. (Adjourned at 6:40 p.m.) - - - 366 C E R T I F I C A T E I HEREBY CERTIFY that the foregoing proceedings of the Council of the City of Philadelphia of Wednesday, March 3, 2000, were reported fully and accurately by me, and that this is a correct transcript of same. RE: COUNCIL COMMITTEE OF THE WHOLE BILL NO.'S 79, 80, 82, 83, 84, 85 __________________________________, JOSEPHINE CARDILLO, Registered Professional Reporter