indexing liveSearch the record

Minutes

Committee Hearing, March 28, 2012

Philadelphia City Council Committee HearingsMar 28, 2012

Open source PDF View original

People mentioned

Names our system found in this transcript. Automatically extracted, so it can include anyone named in the record, not only officials or parties.

Discover Works Global 888.557.8650 www.dw-global.com COUNCIL OF THE CITY OF PHILADELPHIA COMMITTEE OF THE WHOLE Room 400, City Hall Philadelphia, Pennsylvania Wednesday, March 28, 2012 11:24 a.m. (Hearing recessed.) ORDINANCE - 120164 - An Ordinance to adopt a Capital Program for the six Fiscal Years 2013-1018 inclusive ORDINANCE - 120165 - An Ordinance to adopt a Fiscal 2013 Capital Budget ORDINANCE - 120166 - An Ordinance adopting the Operating Budget for Fiscal Year 2013 RESOLUTION - 120167 - Resolution providing for the approval by the Council of the City of Philadelphia of a Revised Five Year Financial Plan for the City of Philadelphia covering Fiscal Years 2013 through 2017, and incorporating proposed changes with respect to Fiscal Year 2012, which is to be submitted by the Mayor to the Pennsylvania Intergovernmental Cooperation Authority, the Authority, pursuant to the Intergovernmental Cooperation Agreement, authorized by an ordinance of this Council approved by the Mayor on January 3, 1992, bill No. 1563 dash A, by and between the City and the Authority. - - - Discover Works Global 888.557.8650 www.dw-global.com CHAIRMAN CLARKE: Good morning, colleagues, good morning visitors, and good morning great city workers of The City of Philadelphia. Glad to see you this morning. This is an continuation of a public hearing of the Committee of the Whole regarding bills No. 120164, 120165, 120166 and Resolution No. 120167. Ms. Lewis, would you please read the following bills and the resolution.

Open in source Similar wording

The Clerk

Bill No. 120164, an Ordinance to adopt a Capital Program for the six Fiscal Years 2013-2018 inclusive. Bill No. 120165, an Ordinance to adopt a Fiscal 2013 Capital Budget. Bill No. 120166, an Ordinance adopting the Operating budget for Fiscal Year 2013. Bill No. 120167, A Resolution providing for the approval by the Council of the City of Philadelphia of a Revised Five Year Financial Plan for the City of Philadelphia covering Fiscal Years 2013 through 2017, and incorporating proposed changes with respect to Fiscal Year 2012, which is to be submitted by the Mayor to the Pennsylvania Intergovernmental Cooperation Authority, the Authority pursuant to the Intergovernmental Cooperation Agreement, authorized Discover Works Global 888.557.8650 www.dw-global.com by an ordinance of this Council approved by the Mayor on January 3, 1992. Bill No. 1563 dash A, by and between the City and the Authority. CHAIRMAN CLARKE: Thank you. We will now continue the public hearing of Committee of Whole as various bills read by the secretary that constitute the polls operating in capital spending methods for Fiscal 2013. Capital program and a for living plan for Fiscal 2014 through 2017. We would ask now for the Administration to please come forward. Good morning. To my colleagues we will continue not only the hearing, but we will continue the three minute limit, and anticipate that we may have to alter that but during the course of the first part of the hearing today. Thank you. Please proceed. We're going to go straight to questions. Councilman Green, please pick up where you left off, sir.

Open in source Similar wording

Councilman Green

Thank you, Mr. President. We were talking about the RTT and I just had a few remaining questions about that when we stopped on Monday. I think we discussed in past years, but to what extent are the real estate transfer growth projections based on, an increase in Discover Works Global 888.557.8650 www.dw-global.com transactions? And to what extent are they based on the increase in values? REBECCA RHYNHART: Rebecca Rhynhart, Budget Director. It's a combination of transaction growth as well as price growth. So the projection incorporates that transaction growth will pick, and then as transaction growth picks up then price growth will pick up about a year or so later.

Open in source Similar wording

Councilman Green

Okay. The general expectation is that the cost impact of AVI will be concentrated on higher value homes which have been relatively under valued under the current assessment system. To what extent do these estimates take into account for extent that the City revenue forecast and consultant consider the impact of AVI on both home values and the volume of sales, Discover Works Global 888.557.8650 www.dw-global.com would that be contained in the report? REBECCA RHYNHART: No. The report focuses on the four major taxes that I just -- those expensive projections for the wage tax, business privilege tax, the sales tax, and transfer tax. The real state tax because of the extensive changes that have been spoken about going on with the assessments they didn't focus on that. They provided us with a forecast of how much they felt from their data that home values have increased in value over -- since 2004.

Open in source Similar wording

Councilman Green

I'd like if you could just provide everything written from the local or just anybody else who has helped you prepare these estimates to the Chair, including the report that's referenced on of the Five Year Plan, and anything else that might impact to the revenue. I'll just skip these questions and take a look at where we are. During Monday's hearing I asked that the OPA or somebody from OPA come in and tell us what the aggregate value of the 70 percent of the assessments that have already been done is. Do you have that answer here today? ROB DUBOW: We've talked to OPA they have not aggregate all the information. They -- so they don't have that information.

Open in source Similar wording

Councilman Green

Okay. During Monday's hearing we started discussions about various assumptions underlying the administrations proposal for implementing AVI. I'd like to review those assumptions and be clear on how and where they are incorporated into the operating equation the administration proposes to use for FY 13 real estate tax rate. For each of the following variables, please discuss the administrations assumptions and how the assumptions are reflected in the proceed formula payment rate. ROB DUBOW: The collection factor? When you say payment rate that's what you mean?

Open in source Similar wording

Councilman Green

Yes. ROB DUBOW: So for the city side it shows a target revenue of 512 million, which is what the revenue would be before you take out appeal losses and the collection factor. And when you take those out I can get down to collection of 458 million of that also includes returning guess. There's a little like five million returning. So the appeal loss that we built in is $937 million of assessed value. So that was based on a assuming about a 50 percent increase in assessment losses assuming that there would be a large increase in the number of appeals when we went to the actual value.

Open in source Similar wording

Councilman Jones

Well, consistent with my theme of having the City develop an anti-poverty plan that in your projections that you should like we focus on a greener city, like we focus on economic development, like we focus on anti-crime measures, that we should focus on an anti-poverty measure that number should be a part of your everyday calculation. And to that in the Five Year Plan it says that we will in non-tax revenue such as fees, fines and permits generate about $2.5 Discover Works Global 888.557.8650 www.dw-global.com million. Is there anyway to dedicate some of those dollars to replace dollars that we're going to lose in areas of affordable housing, economic development and other places, can we start to look at a fund that we use to augment those cuts. Are we looking to see what those impacts are on service delivery organizations such a PHDC, RDA, OHCD, and the various non-profits that the fund? REBECCA RHYNHART: A few questions in there. I think in term is of what we're doing about those cuts there's going to be a consolidated plan brought before City Council that addresses the cuts. It's being worked on right now and addresses the impact of those cuts, and that will be brought before you during this budget process.

Open in source Similar wording

Councilman Jones

And what I'm asking you to consider is the impact of those cuts just like we're looking at the human services side Discover Works Global 888.557.8650 www.dw-global.com of the house and the cuts that are happening at the State level, we should also be bracing ourselves for the lack of affordable housing that we -- and that is a part of a total plan to deal with an anti-poverty plan or prospective that the City needs to develope. So theatrically I'm going to keep asking about those things until we kind of focus a little bit on them. ROB DUBOW: Okay. I understand.

Open in source Similar wording

Councilman Kenney

Thank you, Mr. President. Yesterday there was a lengthy, lengthy hearing by the education committee about a myriad of issues with the School District, and I was somewhat surprised at the answer to a question that Pedro Ramos made relative to the conditions -- fiscal conditions of the School district today, and he basically paraphrased by calling it fiscal incompetence. I have voted three times in three years to raise real estate taxes for the School District based on issues around the kindergarten, bus service and all kinds of things that are brought to our attention. So I have no real knee jerk reaction against taxes when I think they're needed. Just Discover Works Global 888.557.8650 www.dw-global.com subjectively because you're sitting here, the $94 million in additional revenue that you projected as a result of AVI and the milage adjustment, can we justify it? ROB DUBOW: I think we can. I think the SRC and the District Administration understand that they have to justify it, and that they will justify it.

Open in source Similar wording

Councilman Kenney

What mechanism do we have to make them justify it. They haven't justified any of the tax increases that we've given them so far even during election year, not that politics matter necessarily, but they're hard votes to make in an election year. And this AVI issue is probably going to be the most difficult and angry issue that we're facing maybe since I came into Council in '92 when the Government was on it's hills. I can't yet find a justification for explaining to people that I represent citywide why the additional $94 million make sense. ROB DUBOW: No, I understand your question, and I think the district understands it too. And they will be making that case in justifying it.

Open in source Similar wording

Councilman Kenney

And would Discover Works Global 888.557.8650 www.dw-global.com you agree with me subjectively that if the $94 million was off the table it will be difficult for people to argue this is in fact a tax increase? If we did AVI, if we did actual value, milage adjustment made it fair, made it transparent, made it consistent, and the $94 million wasn't on the table, would it be a tax increase? ROB DUBOW: Well, I don't think without getting into whether it's a tax increase now, no. 11

Open in source Similar wording

Councilman Green

Thank you, Discover Works Global 888.557.8650 www.dw-global.com Mr. Chair. Before we get back to the formula. If you could just sort of like follow up on Councilman Kenney's questions. When you were at PICA you -- PICA wrote a report that said that if we do AVI it should be on a completely revenue mutual basis so that people can't make the constant arguments that Councilman Kenney just mentioned. Could you sort of tell us how you're thinking as involved on this issue since you wrote that report at PICA? ROB DUBOW: Yes. I think the big difference is that we've gone a number of years without doing a full assessment. I think back then we didn't really think it would take until 2012 to get to AVI. So I think there's a different set of facts from the facts that were existing then.

Open in source Similar wording

Councilman Green

The premise was simple though we collect the same amount of revenue one year to the next and the public can't complain that we're hiding anything. That was the premise of the PICA report not a fairness issue or whether or not the City's moratorium that imposed itself has caused this problem or other things. ROB DUBOW: I'm not really just talking about the moratorium, we were talking about not having a full accurate assessment now. A full Discover Works Global 888.557.8650 www.dw-global.com assessment is eight years, an accurate assessment in who knows how long. But I think that makes a significant change when you've gone that amount of time without doing a broad assessment.

Open in source Similar wording

Councilman Green

Okay. That's -- I don't want to belabor that. So we were discussing the formula we had 458 million equals Discover Works Global 888.557.8650 www.dw-global.com 512, and we had started with the appeals right, but I'd like to start with the -- so 512 minus the payment rate. Can you explain the payment rate portion of the formula? ROB DUBOW: Sure. We project that we'll collect 87-and-a-half percent of the current year collections as based on a five year average.

Open in source Similar wording

Councilman Green

So basically you're saying 87 percent of 512? ROB DUBOW: Eighty-seven-and-a-h alf percent of -- well, you know, take a step back. It's actually based on assessments. It's a five -- so it's actually we started with current level of assessed value which is about 12 point three billion then convert that to market value by taking out the common leve ratio of 32 percent that got you to a number that was somewhere around in the 38 billion. The appeals lost comes out of that and that's the 937 we talked about. And then you apply your collections and factor to that number the number Discover Works Global 888.557.8650 www.dw-global.com that you get after you appeal it.

Open in source Similar wording

Councilman Squilla

And if we -- if that number now goes -- in face if it doubles, right, so now we're talking -- ROB DUBOW: Well, there are two things. This is -- that's after applying the 32 percent, right. So that's under the current way we do collections. We're proposing that we go to AVI to use market value rather than just -- rather than using the Commonwealth ratio. So probably the equivalent we're proposing would be on the 38 Discover Works Global 888.557.8650 www.dw-global.com billion.

Open in source Similar wording

Councilman Squilla

Because now every resident would most likely look at their bill 5 now that way while all this is happening and have a chance to appeal. And if all those appeals were granted we would collect a lot less in revenue, correct? ROB DUBOW: We would. We think that when you go to actual value and we have appeals that -- and you have assessment that are based on actual value, that it will be harder for people to appeal. But we still think that there will be so much activity you would see an increase in appeal lost.

Open in source Similar wording

Councilman Squilla

And I know we discussed in a meeting the other day that we don't know the likelihood of that. Some people believe it may happen, it may not happen then it has to go to the house. If we can't lower the rate are Discover Works Global 888.557.8650 www.dw-global.com we still able to go AVI? ROB DUBOW: We could still go with AVI. I think we would have to look at what we do on the revenue side. I think we have to have a different bill from what we have now.

Open in source Similar wording

Councilman Squilla

So then again, we still don't know to tell the public what -- not only how the formula is going to work, but we don't know if the Senate is going to pass certain bills to allow us to do things. And we don't know if we're going to be sued in Court, which most likely we will be sued for using this formula like evaluation of the tax in order to come up with that number. So we're still at a point where we cannot give the public real information because we don't know everything that's going to happen in the future; is that correct? ROB DUBOW: We don't know what's going to happen with the Senate. We could get sued. I think one difference if we get sued we'll have an assessment system that we can say it is accurate and, you know, we have a better defense for it than what we have now.

Open in source Similar wording

Councilman Green

Is it important for this piece of the formula to know what aggregate value of taxable real property is in the City in terms of reaching the end number that is subtracted from 512? ROB DUBOW: I think whatever the aggregate is we use 12-and-a-half -- I'm sorry, I'm Discover Works Global 888.557.8650 www.dw-global.com trying to think this through. That's independent of the aggregate, it's based on the tax bill. So the appeal loss will kind of probably look -- we're looking at them moving up and down depending on the aggregate amount of assessments. The collection factor in there is independent of assessments.

Open in source Similar wording

Councilman Green

Let me answer -- ask the question a different way. The way we're doing this out right formula it doesn't appear that it matters what the appeal losses are in the beginning because that's a subtraction from the 512 the way you described it to me. So assume there's no appeal losses, assume there's no collection rate, the collision rate is 100 percent, what is the aggregate number of tax that the bills would collect if everybody paid? Is that 512? ROB DUBOW: If everybody paid, yes.

Open in source Similar wording

Councilman Green

Okay. So can you tell me within that formula what the utilization -- how you're preparing for the utilization of the deferral option already available under the code, which basically if you have a tax increase of 15 percent you're allowed -- I just want to for the record describe it to people. If you have a tax increase over 15 percent your currently allowed then to apply -- to defer that until you sell your home. And I imagine that the rate of that would increase some -- rather the request for that might increase dramatically. ROB DUBOW: It may increase. In our minds we thought that was captured in the growth Discover Works Global 888.557.8650 www.dw-global.com and appeal losses. And we talked about this the other day, that's kind of where we think that will get.

Open in source Similar wording

Councilman Jones

Thank you, Mr. President. I'll be real brief and to the point. From what I'm hearing from all this testimony from my colleagues who are all well meaning and sincere about this process, you got to do three things. Number one, you need to address the outstanding questions as it relates to the math of this thing. Both from the formulas, both on the issue of whether or not we are suddenly asking the public for a tax increase. And be real clear and open and genuine about it because when they have to go out to the public, you know, they -- the public is not taking teeth for the fever, they're asking them directly what is this. And we just need to be genuine about it so that people can decide where they are on the issue. Number two, I think we need to say that Discover Works Global 888.557.8650 www.dw-global.com there are some outstanding legal questions and challenges both at the State level whether or not we're going to get the kind of support at the State level to actually implement this thing, and whether or not we will face legal challenges here locally and be real clear about it. And finally, will the citizens get what they're paying for. And I think our President has clearly articulated that we need some accountability from the SRC, the respective administration over at the School Board. And what are we going to get for the money if we decide to produce it that we haven't gotten in the past. Because we got spun in the last administration. We, you know, we were saving kindergarten and the little yellow bus, and all that stuff and we got caught up on the emotion. I am committed to the public school system. I'm committed to the improduct of students, but what my colleagues are saying in various ways and different languages is we need to know what we're getting by way of what the School Boards cuts mean and what their accountability will be, and what the product there will produce. And until we get those answers, you know, you're asking people, you know, to go out there some Discover Works Global 888.557.8650 www.dw-global.com with some heavy lifting in parts of the City that I don't have to go justify that stuff too. So if you do those final things and just do it straight forward then the members of this body can make a 5 decision as to where they stand on the this issue. 6 But the public isn't going for the okey doke, and I 7 don't think neither is Council, and that's real 8 clear. And I don't think you're trying to do that, 9 but we need to be real clear about those three 10 issues. 11 ROB DUBOW: Okay. 12

Open in source Similar wording

Councilman Squilla

And I mean, we know just like the police and the fire fighters it's not somebody who just gets hired who is able to go out there and perform the job at a high level, you like to bring them in a little bit so that they can train with the fire fighters before we lose everybody. Because we're going to be at a -- Discover Works Global 888.557.8650 www.dw-global.com actually at a deficit, and public safety is always a major issue when we go out to the community and talk about things. And if we end up short we're hiring 160 at this point that's just to fill the gap for 2013. REBECCA RHYNHART: But we budget it so that they actually need to hire -- I mean they would need to hire probably closer to 300 fire fighters in order to keep up with the levels of petition in fiscal 2013, so they're significant numbers.

Open in source Similar wording

Councilman Squilla

I'm good. Discover Works Global 888.557.8650 www.dw-global.com CHAIRMAN CLARKE: You're good. Real quick before -- I want to follow-up with Councilman Squilla's question relating to public safety. And we've had these conversations briefly with yourself earlier. With respect to the public safety issues and the camera program, and the reason I mention that is I was at a meeting last might along with Council Member Johnson and the question came up about where we were going with our camera systems and it was in an area, Rittenhouse Square, which is an area where you traditionally wouldn't think there was concern about the need to have cameras, video surveillance cameras to deal with crime, so you see people are concerned all over. And, you know, we gave an answer but it wasn't an answer that had a whole lot of confidence in it because in all honesty we really don't know where we're going. Can you just briefly talk about the game plan. And I understand there's some technology issues, and some of the internal issues relating to the ability internally to tell us. Can you kind of walk us through in realtime where we're going to end up. REBECCA RHYNHART: Sure. I think there is funding in IT's operating budget for Discover Works Global 888.557.8650 www.dw-global.com cameras, surveillance cameras and so I think they would be best able to provide that type of information if you want to call them up. Would you like to? CHAIRMAN CLARKE: They work for you guys. REBECCA RHYNHART: We'll have to get back to you on the locations. There's money in the budget, but in terms of the locations of the cameras where they'll be purchased and the overall strategy. CHAIRMAN CLARKE: I'm not asking about that. REBECCA RHYNHART: Okay. CHAIRMAN CLARKE: I want to know how much money, when it's going to be spent, what the strategy is for getting it spent because we've been dealing with this camera issue. We had a lot of starts, false -- we had some starts and stops starting in the last administration, and more recently it was an issue about the existing cameras and some of the conditions. And I know publicly we don't want to talk about too much because of some of the concerns about the condition of some of the cameras. But I need to know what the game plan is Discover Works Global 888.557.8650 www.dw-global.com or when we're going to start first maintaining or fixing the existing cameras, and start expanding our camera program in a meaningful way. Inspite of the fact that we're going to hire an additional 400 police officers that's just going to leave us at current levels because of the result of a number of retirements coming down the pipe. So -- REBECCA RHYNHART: I understand your question. CHAIRMAN CLARKE: -- the Mayor, myself and a number of Council Members stood up at Strawberry Mansion High and we talked about the new crime initiative a few months ago, and the camera program was one of those initiatives. So is there anybody here who can just kind of talk us through where we are with that or the status? REBECCA RHYNHART: Yes. I think the appropriate person probably is not here yet, so I think if we could get back to you on that. I completely agree of the importance of getting an answer to that question. So we can -- if we can get back to you on it. CHAIRMAN CLARKE: Today? REBECCA RHYNHART: We can get back to you today, yes. Discover Works Global 888.557.8650 www.dw-global.com CHAIRMAN CLARKE: Who is that person? REBECCA RHYNHART: Well, I think -- it's in IT's budget, so the head of IT is Adel Ebeid or it could be a public safety question as well. I'd like to -- I want to get the right person. ROB DUBOW: Adele will be here today. REBECCA RHYNHART: Yes. ROB DUBOW: Adele will be here in a little bit. CHAIRMAN CLARKE: For the camera? REBECCA RHYNHART: Yes. ROB DUBOW: Yes. CHAIRMAN CLARKE: Okay. Thank you. The Chair recognizes Council Member Green.

Open in source Similar wording

Councilman Green

Thank you, Mr. President. So the utilization of the deferral option already available under the code, the 15 percent is in the appeal losses. How do you account for this formula utilization of the home sted exclusion? How many people -- what percentage of the population are you estimating is going to take Discover Works Global 888.557.8650 www.dw-global.com advantage of the post exclusion, and how does that work into your formula? ROB DUBOW: The home sted exemption would work into the formula in terms of just a reduction from assessments. So whatever the -- whatever the total value of assessments are you would knock those down for the value of the home sted exemption.

Open in source Similar wording

Councilman Green

-- some homes are going to be only worth 50. So a 90,000 home sted exemption won't deduct for them from the price. Some, you know, as the one example. So I want to understand how that works within the formula so that if we seek to move out we understand how adjust it. ROB DUBOW: Right. We would have to do an analysis of median value homes and 50 percent of median value homes and then figure out what that meant. If we change -- I mean the median value home is well above $30,000. So 15,000 that isn't an issue, you're right if we go up we have to figure that out.

Open in source Similar wording

Councilman Green

So -- well, don't we have to figure it out today because we don't know -- people -- a property can be owned in someone's individual name and still have it be a rental property. Are we -- how does this -- in other words, there won't be full utilization on the 370,000 homes. What utilization are you Discover Works Global 888.557.8650 www.dw-global.com anticipating? And if it's less than that will that be revenue that the City captures, and how does that work into the formula? ROB DUBOW: If we got the utilization off from where we think it is, whatever direction it's off it will have to have an impact on the collection --

Open in source Similar wording

Councilman Green

So how will you know -- so how does that work in the formula exactly? I'm not sure I understand where that is in the writing. ROB DUBOW: So it's not -- when we talked about it we talked about what total assessment would be, that total assessment number will change based on whether their home sted exemption, and how many people participate. So we'll have to do that analysis as part of the -- when we actually calculate the formula that will be Discover Works Global 888.557.8650 www.dw-global.com part of figuring out the assessments.

Open in source Similar wording

Councilman Goode

So explain the art to me. ROB DUBOW: That's what I'm trying to do, apparently not very well. That's what I'm trying to do. If we have -- we wanted to get an a number that would have an impact on lower value houses and we thought if the median is around 120, 130 that you really want to help most properties that might be two-thirds of that or less. So if you get into a property that's, you know, in the 80 Discover Works Global 888.557.8650 www.dw-global.com range and you take 15,000 off would mean something.

Open in source Similar wording

Councilman Green

Thank you, Mr. President. So the way the home sted exemption is going to work is you have to process the applications and that's the way it's baked into the $512 million worth of revenue that we're going to collect that comes back. State law requires home sted exemptions to be in by March 1st. Is the applications -- I understood that we were just going under the existing State law and conforming with everybody else. Our local legislation says July Discover Works Global 888.557.8650 www.dw-global.com 31st. Do we know that people would be able to apply this year for the home sted exemption under State law, which would obviously triumph our local law? ROB DUBOW: Right. We think that there will -- we can add that to the things that we've asked law to look into.

Open in source Similar wording

Councilman Green

Thank you, Mr. President. The budget production scenarios prepared by the department says the proposed budget the does not reflect reductions in State and Federal aid, which we expect are coming. These funding reductions will be concentrated in a handful of key departments particularly behavioral health, public health, OHCD. And we're going to face a choice about whether to absorbed the cuts entirely with those departments or make reductions in other departments to soften the blow. Do you have scenarios prepared in those department assuming the cuts come as projected in the Governments, and know what you'll be cutting from those departments as a consequence? ROB DUBOW: I think there was a hearing where some of that was discussed, and I Discover Works Global 888.557.8650 www.dw-global.com think each of the departments has looked at that and what it would mean for them. And probably they can talk about that now or in their departmental hearings.

Open in source Similar wording

Councilman Green

Okay. So I was just wondering in response -- Councilman Goode ask this question, but I'd like to ask it a different way. In the -- on of the Five Year Financial and Strategic Plan there's a chart that Discover Works Global 888.557.8650 www.dw-global.com talks about the affordability index and how typically 30 percent or more of household income on housing in Philadelphia is considered being able to be affordable. To what extent did affordability and meeting that affordability index play into the 15,000 number, if at all? ROB DUBOW: Well, we clearly thought that doing the home sted exemption would help with affordability for lower valued homes that was part of what we looked at.

Open in source Similar wording

Councilman Green

But do we have any idea of how the 15,000 relates to -- or this shift in taxes relates to affordability, and how it will impact the affordability index in the City of Philadelphia in terms of whether people's budgets will -- whether they will be spending more or less than the suggested number of 30 percent at the lower side of the income? ROB DUBOW: We don't know and we haven't done the analysis of what it does to the 30 percent. We do know that for lower valued homes this will make a big difference, and it should help with that percent.

Open in source Similar wording

Councilman Green

Sure. But for people living in higher valued homes and have Discover Works Global 888.557.8650 www.dw-global.com little income, which is a large part of the concern that you're hearing from many District Council people. We don't -- we just don't know I guess is the fair answer. There is no analysis that demonstrates whether this will increase or decrease the affordability index. And really until we have actual numbers we're not going to be able to know how it impact, is that fair until we get actual numbers? ROB DUBOW: It will -- clearly the home sted exemption clearly helps. The question is how much will it help.

Open in source Similar wording

Councilman Green

I was done with the formula questions for the time being. So in the budget hearings for the past three years, I've asked for detailed information about position levels in City Government. I've also asked about new and unfilled positions scheduled to be filled the next fiscal year. Specifically for each department I've requested a description of any new or currently vacant positions in the department that are scheduled to be filled. The job duties of the new or unfilled positions. How those duties are being handled currently, and what would happen if the position was not created or filled. I'm reiterating that request for this year and would like the information provided to the Chair prior to the departmental hearings, so that we might go through those positions or not need to go through Discover Works Global 888.557.8650 www.dw-global.com those positions with the department. ROB DUBOW: We did that last year. REBECCA RHYNHART: We did it last year. ROB DUBOW: It's the same as we did last year.

Open in source Similar wording

Councilman Green

Okay. I'm also reiterating my request from the past three years budget hearings for departments to provide a list of all contracts over $50,000 they plan to enter into in the coming fiscal year. Descriptions of the specific services provided to citizens under the contracts, and an explanation of how they monitor the contracts to ensure that citizens are receiving value from it. In other words, how they make sure that the other party is complying with the contract. So if you could also please provide this information prior to the departmental hearings. For capital spending on technology measuring outputs being -- measuring outcomes investing technology should be measured in terms of productivity enhancements rather than hardware or software purchased. This is a conversation that we have every year, so I'm pleased that we're going to Discover Works Global 888.557.8650 www.dw-global.com spend 120 million that's in the capital budget. It's now spread over seven years and include only seven-and-a-half million from this year down from 4 million. That expenditure is designed to ensure the 5 Government runs more effectively and efficiently. 6 In the -- on of the Five Year Plan 7 while I ask this every year, hope does spring 8 eternal. Does the plans provide any efficiency 9 savings from the IT invest,ment the five year plan. 10 Do we assume that as a consequence of some of this 11 expenditure we will save money in the outer years, 12 is that reflected at all? 13 ROB DUBOW: We don't show dollar 14 reductions in the plan from the projects. 15

Open in source Similar wording

Councilman Green

Okay. We've 16 seen individual departments ranging from the Board 17 of Pensions to procurement to records, and the 18 savings that have resulted from implementing 19 technology. Does the -- and the Court system also 20 has had tremendous savings from going paperless, for 21 example. Does the administration not think there 22 will be similar savings from making significant 23 investment in IT across City Government? 24 ROB DUBOW: I think there will 25 be a couple of things that happen, and the big Discover Works Global 888.557.8650 www.dw-global.com benefit will be that the Government runs better. And that there will be things that we'll be able to do more quickly. There probably also will be savings. We haven't quantified those at this point, so we didn't want to put them in the plan.

Open in source Similar wording

Councilman Green

Well, as we go through the IT spending one of the most -- and where we're going to spend IT dollars, I think one of the things I'm going to look at out of the departmental budget hearings with respect to how IT is going to affect them, is what we're prioritizing in IT something that can result in savings down the road whether or not you are comfortable forecasting that because we can't force you to do that. ROB DUBOW: Correct. I understand. I think that's fair.

Open in source Similar wording

Councilman Green

Thank you, Mr. President. CHAIRMAN CLARKE: Mr. Dubow, thank you so much. com GARY JASTRZAB: Good afternoon Council President Clarke and members of City Council. I'm Gary Jastrzab, the Executive Director of the Philadelphia City Planning Commission. With me this afternoon is Rebecca Rhynhart, the City's Budget Director. We're here today to present for your review and consideration the recommended Fiscal Year 2013 through 2018 Capital Program, and the Fiscal 2013 Capital Budget as approved by the City Planning Commission and its meeting on March 6, 2012. The Philadelphia Home Rule Charter directs the City Planning Commission to prepare and submit to the Mayor a Recommended Capital Program and Budget. The Recommended Program is a six-year plan for investing in the City's physical and technology infrastructure, community facilities and public buildings. The Budget recommends spending appropriations for the first year of the six-year program. The projects included in the Recommended Program and Budget support the overall goals of the City to become one of the safest cities in America. To improve the education and health of Philadelphia. To make Philadelphia a place of choice. com the greenest and most sustainable city in America. And for Government to work efficiently and effectively with integrity and responsiveness. Beginning each August, the City Planning Commission staff works closely with the Finance Departments Office of Budget and Program Evaluation, The Department of Public Property, The Managing Director's Office, and City operating departments to prepare the Recommended Capital Program and Budget. It is a collaborative, labor intensive and iterative process, and we believe it yields a program and budget that carefully balance the City's facility needs with limited capital resources. As in years past the availability of City tax supported general obligation bond funding for capital projects depends upon two factors, the debt limit imposed on the City by the Pennsylvania Constitution, and the City's financial capacity to service debt on borrowed funds. Despite these constraints the Administration is committed to maximizing it's investment in the City's physical infrastructure and recommends funding that exceeds last years totals. com public facilities. 9 million is recommended for 64 projects. Key projects include continued investment for street repaving, the design and redevelopment of Love Park, improvements to neighborhood recreation centers and libraries throughout the City, funds to improve the City's technology infrastructure, increased funding for police and fire station improvements, and funding for the fit out of the new Health Center 2 in South Philadelphia, which will primarily be paid for by the Children's Hospital of Philadelphia through a partnership between the City and CHOP. 5 million of previously appropriated funds are recommended to be carried forward into Fiscal Year 2013. 7 billion of improvements. 6 million of City tax supported bond funding is planned for public improvements. com Program projects nearly $10 billion of public improvements during the Fiscal Year 2013 through '18 period. Since the projects comprising the Recommended Program and Budget support the five City goals mentioned earlier, I'd like to cite several of the most important budget year projects supporting these goals. 5 million in new City funds recommended for police facilities to be used for station improvements, roof replacements and mechanical, electrical, plumbing renovations. The construction of a new SWAT/Bomb Squad K9 facility, and the conversion of two former US Army Reserve sites for police department use. 6 million in new City bond funds for security control system and other building improvements at wo facilities the Philadelphia Industrial Correctional Center and the Detention Center. com improvements, roof replacements, and other mechanical, electrical and plumbing improvements at fire department facilities.

Open in source Similar wording

Councilman Green

Projects that improve the education and health of Philadelphians also help to create complete neighborhoods with ample cultural health human service and recreational opportunities. 9 million in new City bond funds recommended for Free Library improvements in Fiscal '13. These include HVAC, infrastructure, interior and exterior renovations at several branches. 1 million of new City bond funds supplemented by operating revenue and state funding is recommended for health facility improvements and renovations. As I mentioned earlier Health Center 2 in South Philadelphia, the City and Children's Hospital are working on a partnership to build a new community health facility with the potential to also include a new South Philadelphia Branch Library, and a replacement for the aging DiSilvestro Recreation Center. com Planning Commission's recently adopted Philadelphia 2035 comprehensive plan. Health center in Northeast Philadelphia is also recommended for $850,000 of interior and exterior improvements in Fiscal '13. Operating revenue totalling $3 million is recommended to continue the development of an electronic health records system in the Health Department. million in new City funds is proposed to fund improvements to Parks and Recreation facilities, including community rec centers, pools, other buildings and infrastructure in City neighborhoods and the Fairmount Park system. 5 million is recommended for investment in neighborhood recreation centers and pools across the City. com traffic and travel to and from Philadelphia through capacity enhancement airfield and facilities improvements, and safety and security projects. $18 million in new City bond funding is recommended for the Streets Department to reconstruct and resurface City streets, and to make improvements to sidewalk ramps at intersections in compliance with the Americans with Disabilities Act. 5 million in non-City sources of funds for bridge rehabilitation and traffic signal technology to create high-capacity transit corridors. Continued funding for public space improvements at Penn Square and the Benjamin Franklin Parkway is also recommended. 5 million for rebuilding Dilworth Plaza and $11 million for the reconstruction of JFK Plaza, Love Park is included in Fiscal '13. This project will create an accessible green space connection between the new Dilworth Plaza with a revitalized Benjamin Franklin Parkway. SEPTA bridge track station and other infrastructure improvements support home to work connections as well as making other destinations accessible to Philadelphia's population. 1 million in new City funds is recommended to leverage $94 million in federal and state funding for such projects. Making Philadelphia the greenest and most sustainable city in America includes projects that focus on our parks and riverfronts, and promote environmental and sustainable practices. These projects include: $950,000 of new City funding recommended to enable the Office of Sustainability within the Managing Director's Office to continue implementing energy efficiency projects in City facilities, and to provide grant funds to City departments to leverage high performance building improvements. 2 million in new City funding is recommended for greening open space and trail connections, and extensions along our Delaware and Schuylkill riverfronts. This will leverage $3 million of federal, state and private funding for these projects. com acres of new publicly accessible open space in the City. Projects that enable Government to work more efficiently and effectively with integrity and responsiveness, foster a high performing public sector that works better at less cost. 5 million of new City funding recommended for the Office of Innovation and Technology to stabilize and enhance City Governments information technology network infrastructure. By the end of Fiscal 2017, $120 million will have been invested in our essential digital technology infrastructure.

Open in source Similar wording

Councilman Green

About $4 million of new City funds are recommended for the Department of Public Property to continue making functional improvements to major City Government buildings including City Hall and the Municipal Services Building. 2 million is recommended for the Streets Department to begin reconstructing the City's Northeast Incinerator to create an energy efficient and safer more functional work environment at that location. This project is also intended to achieve LEED silver status. com the range and variety of projects that are recommended for funding in Fiscal Year 2013, and shows how the Recommended Program seeks to make strategic targeted investments in Philadelphia's infrastructure using our limited resources for the greatest public benefit. Thank you very much for your attention. My colleagues and I would be happy to address any questions that you may have. Please note that the leadership of City departments is present, in addition to representatives from the Department of. CHAIRMAN CLARKE: Thank you so much, Mr. Jastrzab. Before we proceed with questions and conversation with members of the various departments of Capital, a little special order of business that we would like to take care of. We have had earlier conversation with both the Budget Director and the Finance Director, and the Mayor with respect to a Capital Budget Amendment. So what I would like to do is go into a public meeting very briefly, so I can offer an Amendment to the Capital Program and Capital Budget. Councilman Jones will offer these amendments on my behalf, not with a request and a vote on the amendments. com Briefly let me tell you what the purpose of this is. In last years Fiscal Budget there was a $4 million -- four-and-a-half million dollar Amendment Capital Budget by Council in the last term. In the FY13 Budget those -- that four-and-a-half million dollar Amendment is simply carried forward, so there's actually no new dollars. So the intent for this particular year is to add an additional $5 million for neighborhood, commercial corridors, and we believe this is very critical for the continuation of the improvement of our neighborhoods. We like the Parkway and Love Park, but at the end of the day most of us represent Districts that have very, very critical needs right in the heart of some of our neighborhoods, so we want to make sure that there are new dollars. I understand that the administration did have a list that was compiled over a period of years in various stages of planning possibly implementation. So we just want to simply ensure that there's enough Capital dollars to move along throughout that process. For this particular Amendment it will be $5 million in Fiscal '13 Capital Budget for commercial corridors. I would now like to recognize -- okay. com just want to make sure we do everything in order. Actually, I'll take this action now because the requirement in the Home Rule Charter concerning amendments to the Capital Program. Before Council can enact an Amendment to the Capital Program of this stage, you must first request through the Mayor the recommendations of the City Planning Commission. The Commission as you know has 30 days in which to respond with this recommendation. So I want to start the clock running today, if that's okay with you. All Council members have copies of the Amendment? Everybody is good? Okay. Thank you. Now, I would like to recognize Council Member Jones who will be offering that Amendment. But first I would like to go into the public meeting for purposes of offering such an Amendment.

Open in source Similar wording

Councilman Jones

Thank you, Mr. President. Mr. President, I offer proposed Amendments to bills No. 120164 and 120165, and request that no vote be taken on them at this time. CHAIRMAN CLARKE: Thank you. We'll be sure to make sure the stenographer receives a copy of the Amendments. And will now get back into the public hearing. Thank you. com You're finished your testimony. I have a couple of questions, Mr. Jastrzab before I turn it over to my colleagues. I wanted to get to the -- your testimony on the airport. And in your testimony on , you reference $336 million in federal, state, private money for the airport. Any of this related to the expansion of the airport these Capital funds? GARY JASTRZAB: It is. There are funds in the budget for airfield improvements and capacity enhancements at PHL. So the answer essentially would be yes. There is money for making continuous improvements at the airport. CHAIRMAN CLARKE: So there will be a requirement for an action by Council for purposes of moving these funds to make them available for expansion of the airport? GARY JASTRZAB: Yes. You would need to appropriate those funds in the budget year for them to be spent. com told that Council had no approval process relating to an airport expansion, and I did not believe that to be the case. But I wanted to ask that on the record today. And in fact we will be required to do several things not just this Capital Program, but some additional things that relates to the airport expansion. I wanted to ask you -- you talk about in your -- again, this is a labor issue to a degree. You talk about new City funding for various parts related issues of streets, trees and additional green programs relating to open space. And while I'm all for that I would like to talk about, you know, a critical need and state the opportunity as the Chair to talk about the particular issue in my District that I talk about every year, it's called the Montgomery Avenue Bridge. And if Commissioner is here from the Streets she's well aware of that. I would like to know if that has moved up on the list because it seems like every year we talk about the Montgomery Avenue Bridge, and it always stays at number four. com now the Ridge Avenue Bridge which is as you referenced a high traffic bridge is now in pretty poor condition. And I only referenced this in my particular District because I'm assuming that in other Council Districts particularly in some of the older parts of the City we have similar situations where we have aging and deteriorating bridges. So I'm just trying to get a sense of priority as it relates to infrastructure improvement. So I start out with asking about the Montgomery Avenue Bridge continues to the City number four on the list, inspite of the fact that I've been here 12 years. I'm just wondering is it ever going to move up the list? REBECCA RHYNHART: I think actually the Streets Commissioner could probably best answer the way that the bridge projects are prioritized. So if you want her to come up. I think that there is money allocated for bridges, and it's summary prioritization for the City. CLARENA TOLSON: Good afternoon Council President. CHAIRMAN CLARKE: Good morning, Commissioner. com record, you are one of my favorite Commissioners, if not my favorite Commissioner. CLARENA TOLSON: I will be leaning on that today, sir. Montgomery Avenue Bridge have been a bridge that you certainly been attentive to in your tenure. On one hand I'm happy to say that we're working diligently in design to get that completed 2013, however, we still do not have sufficient funds for the project. We have it slated in 2015 with the hope that we'll have sufficient federal funding, and it will be on our tip that we can do it at that time. But at this time we do not have the funding. CHAIRMAN CLARKE: Okay.

Open in source Similar wording

Councilman Jones

Well, you kind of made my point when you talk about additional funding for new projects, and somehow it's a similar reference to the Montgomery Avenue Bridge when you start the process, but there's never sufficient funds for the Montgomery Avenue Bridge. And again, I say I suspect that there are other situations in other Council Districts. So I'm wondering when is there ever going to be sufficient funds for the Montgomery Avenue Bridge and other like bridges in neighborhoods that are highly traffic. com REBECCA RHYNHART: I think there are bridge projects that the Commissioner detailed that our budget for '13 and 14, and the Montgomery Avenue Bridge is in the budget for '15 assuming that there's federal funding. So you highlighted that there is more need then we have funding for, so we try to balance the need of the project in terms of the amount of bonding capacity and financial capacity that we have. CHAIRMAN CLARKE: But what I'm seeing here is a simple case of priority. CLARENA TOLSON: Certainly. President Clarke, we have a significant number of bridges in the City, and they are in dire need of repair. However, I would also say that there's significant resource requirement for them. So what we have done is we've leveraged a significant amount of central funding, state funding to -- particular through our TIGER Program to work on some of our bridges. In the next round of applications we again will be doing that. $64 million over the last few years leveraged to work on our bridges and trails, we will continue that work. com understand the notion of priority and I understand also that Montgomery Avenue has been your top priority, and we have not reminted from that. But we at the same time are also addressing any number of issues facilities, street paving through a limited Capital Budget. And we'll work along with all the other departments to do what we can. Our bridge projects we try to maintain them in a safe and good repair to the best of our ability. And we will ask as funding is available for this. CHAIRMAN CLARKE: You referenced TIGER Funding? CLARENA TOLSON: Yes. CHAIRMAN CLARKE: How much funding did we get from the TIGER program for Dilworth Plaza? That may not be a question for. CLARENA TOLSON: Dilworth, I have no -- the Streets Department did not receive any funding. CCD received some funding out of TIGER II. CHAIRMAN CLARKE: I'm sorry? CLARENA TOLSON: The City -- the Streets Department did not receive anything. CHAIRMAN CLARKE: Right. com CLARENA TOLSON: CCD received -- CHAIRMAN CLARKE: CCD got how much funding for Dilworth Plaza? STEVE POLLACK: Steve Pollack, Streets Department. I believe it was $15 million, but we can check that. CHAIRMAN CLARKE: $50 million? STEVE POLLACK: $15 million, one, five. CHAIRMAN CLARKE: Fifteen million in TIGER Funding for Dilworth Plaza? STEVE POLLACK: Correct. That was selected by the USDOT Committee. CHAIRMAN CLARKE: Now, that was got by who, the Center City District? CLARENA TOLSON: The Center City District. CHAIRMAN CLARKE: A separate application without the City involvement? STEVE POLLACK: The City signed a letter of support, but it was not our application. CHAIRMAN CLARKE: Okay. How much money did the City get in TIGER Funding this past fiscal year? com year in total it's $64 million that -- one second Council President. STEVE POLLACK: The TIGER III we receive $10 million in federal funds for TIGER III. CHAIRMAN CLARKE: To do what? STEVE POLLACK: Well, there's -- three separate applications. TIGER I is under construction. TIGER II is Dilworth Plaza. TIGER III was a $26 million project. $10 million federal, $10 million state, $4 million City, $2 million SEPTA. CHAIRMAN CLARKE: And that was for what? STEVE POLLACK: That was for the upgrade of traffic signals and transit signals priority down traffic signals, ADA ramps on Bustleton Avenue and Woodland Avenue. Roughly 75 in total. CHAIRMAN CLARKE: Okay. Those were in neighborhoods? STEVE POLLACK: Correct.

Open in source Similar wording

Councilman Jones

CHAIRMAN CLARKE: That's good to know. All right so Commissioner. CLARENA TOLSON: And Council most of that has been in neighborhoods. com CHAIRMAN CLARKE: Pardon me? CLARENA TOLSON: Most of that has been in neighborhoods. CHAIRMAN CLARKE: I'm just trying to get a correlation in the projects for in the area in the City that I asked you about was Center City versus what traditionally are called neighborhoods as it relates to Capital Funding. Because at some point I'd like to get the Montgomery Avenue Bridge done. It's now at a point where you cannot walk across the Montgomery Avenue Bridge. And it is over in the Northeast corridor, I thinks it's a significant certain from the safety perspective. If things start falling on the Amtrack trains then we'll really have a problem. REBECCA RHYNHART: We hear you. CHAIRMAN CLARKE: Okay. I've got a couple of other questions about airport, but I'm actually going to turn this over to my colleagues, and I'll come back with some of the airport related questions. Thank you. The Chair recognizes Councilman Jones. I think he got bumped as a result of his introduction pf the amendment. So Councilman.

Open in source Similar wording

Councilman Jones

Good afternoon, actually. A couple of questions and some of them are repetitive from last year. Councilman Kenney talked about this that if you stay around here long enough you have -- you start to give the same questions for which you don't receive the answers for, but we're still going to hope that hope springs eternal. When it comes to Capital improvements we have a huge backlog still, and then as I understand it we're going to carry over $274 million in projects from last year. But in the Five Year Plan we say that we're not going to do that anymore. So are we going to actually process $274 million worth of Capital improvements in the next fiscal year? REBECCA RHYNHART: That is a very good question and one that we're working on. I would say the Mayor actually brought this up in his Budget Address that the speed with which we complete Capital projects needs improvement. So I acknowledge the problem that you're raising. In terms of the question of will the $274 million be spent in the next year, I would say it's probably Discover Works Global 888.557.8650 www.dw-global.com unlikely to spend that full $274 million in the next year.

Open in source Similar wording

Councilman Jones

So why would we carry it forward in the plan like that we are going to actually spend it reflects that? REBECCA RHYNHART: Well, it gives the opportunity to spend it if we're able to. So I would like to just talk for a minute on what we are -- the steps we're beginning to take to fix this. I would say because -- I mean it's been raised by Council, it's been raised by the Mayor. So we are establishing a working group and Council will be involved in that and we've contacted Councilman Clarke's office already to set that up in order to look at the way other cities and counties do Capital projects, and to try to speed them up and do them cheaper if possible.

Open in source Similar wording

Councilman Jones

The $274 Discover Works Global 888.557.8650 www.dw-global.com million represent a stimulus package that we control, that we can deliver, and so I'm very concerned about our ability to actually do that. On the note of Councilman Clarke's point with the Montgomery Avenue Bridge is he absolutely right that there are 300 bridges in and around the City of Philadelphia all of which -- or many of which are over 100 years old, 100 years old. In fact I keep a railroad spike from a crumbling bridge that I bring every year to Council, matter of fact here it comes, that comes from a bridge at 52nd and Jefferson that still is in a state of disrepair according to a Inquirer report. That bridge actually is deemed dangerous, and many of them are deemed -- not just in poor repair, but dangerous. This is -- these are spikes that came from that bridge as young people walked on their way to and from school, and seniors walked to and from recreation centers. What does it take before we start to either A, because all them are not owned by the City of Philadelphia, but get our transit vehicles ride across Philadelphia every day. What will it take a class action suit to actually address these bridges in our neighborhoods? The multiplier flag Mr. President is that when you spur development Discover Works Global 888.557.8650 www.dw-global.com and people -- perspective investors come into these communities and they see bridges like in Councilwoman Blackwell's District, and in my District, you know, they say to themselves well, what is this a tombstone over a dieing community. So I would even go as far by way of challenging City Government to look at whether or not there is a disparity between how bridges are maintained in Philadelphia, and how bridges are maintained in suburban. And if there is a disparity between in how they're maintained, how often they're treated then we have a problem that needs to be address legally. Because I don't want to, Mr. president, hear about the Montgomery Avenue Bridge next year, I want to at least have an answer. I want to hear about the 52nd and Jefferson Bridge. And so I'm frustrated about this being my fifth year with these railroad spikes, and we keep talking about what we might be able to do. We are going to look at soon all respective parties who don't maintain safe bridges in this economy of Chair of Public Safety. This is very unsafe. Thank you, Mr. President. CHAIRMAN CLARKE: Thank you, Councilman. The Chair recognizes Council Member Discover Works Global 888.557.8650 www.dw-global.com Goode.

Open in source Similar wording

Councilman Goode

Thank you, Mr. President. I've already made a request for a list of Capital projects that would require project labor agreements. I've made request for a list of Capital projects that would require economic opportunity plans. My next question is are there business and work goals already set for some of these Capital projects? REBECCA RHYNHART: Yes. I think the best people to speak to that would be -- I think the Deputy Commissioner for Public Property can speak to the Capital projects under public property, if you'd be interested in hearing them. But yes, there are goals set.

Open in source Similar wording

Councilman Goode

-- for the Discover Works Global 888.557.8650 www.dw-global.com Chair. And based upon information you already have of $585 million that we propose to spend the six years, how much diversity in planned? REBECCA RHYNHART: Again, I think that the goals are kept by -- public property keeps the goals for the departments that they cover, which is the majority of the City Government, they can come up and speak to that. And then the Streets, Water and Aviation and Commerce, and IT do theirs separately, and they can speak to their areas.

Open in source Similar wording

Councilman Goode

But I asked that question last year, and I will ask that question again next year. I expect that if you oversee both the Planning Commission and you oversee the Office of Economic Development that all this stuff will be planned simultaneously, but not separately. The right hand should know what the left hand is doing. The next questions -- I'll just move on and break it down. A similar question that I asked last year, the most typical capital Discover Works Global 888.557.8650 www.dw-global.com improvement project is improvement in terms of curbs and sidewalks; is that correct? ALAN GREENBERGER: That's a very common one.

Open in source Similar wording

Councilman Goode

So what are we doing to provide opportunities for local base businesses and local based workers at the mercy of businesses and workers? In other words, are we contracting out curb and sidewalk work to non-Philadelphia business and if so, why? ALAN GREENBERGER: We -- all of those projects have goals that are attached to them. They're all contract based. The goals as I said, vary a little in their ranges depending on the exact scope of work. Some projects, for example, a total building excavating --

Open in source Similar wording

Councilman Goode

Thank you, Mr. President. CHAIRMAN CLARKE: Thank you, Councilman. And for the record, we have changed the Discover Works Global 888.557.8650 www.dw-global.com call back process for this particular Budget Hearing. So we will have call backs throughout the process as opposed to the end of the traditional Budget Hearings. So some of the issues that you've been asked for we would like for you to provide that before the next call backs, so we can ask questions related to the information that has been requested, okay? So we don't have to wait until June or the end of May. Thank you. The Chair recognizes Councilman Greenlee.

Open in source Similar wording

Councilman Greenlee

Thank you, Mr. President. Good afternoon everyone. I just have -- wanted to asked a little more specifics on a couple of quick things. And if you don't have the answer, I understand maybe you can get it through the Chair. First on the police facilities for the 9.5 million, I know it's brought up usually. The former Council President brought this up every year. I know a lot of the District buildings are in pretty bad shape. Do we know which Districts will get treated in this money, do we know that yet or -- REBECCA RHYNHART: We have -- we do have plans. Let me just step back for a minute on the -- I agree with you that there are police and fire stations that have significant capital need Discover Works Global 888.557.8650 www.dw-global.com through out the City. And one thing we did this year was that we asked the police and fire departments what is your total -- what is your total ask, and we funded them at that level. So we have a list of police and fire stations. There's six police stations and fire houses that are 7 scheduled for improvements. That could always 8 change if there's an emergency at one of the 9 stations. But we do have that and we can provide 10 that information. 11

Open in source Similar wording

Councilman Greenlee

Thank you. When talking about money for the Health Department it's mentioned Health Center 10 is recommended for $850,000, and I know every year we go through and ask the question about the long waiting list of Health Center 10. Do you know is that money or at least some of that money intended to try to cut down some of that or is it just kind of maintaining -- trying to maintain what's there already? In other words, are the improvements -- REBECCA RHYNHART: I think it's just main -- it's upgrades in terms of renovation.

Open in source Similar wording

Councilman Greenlee

Sure. Good afternoon, Commissioner. In the testimony it talked about traffic signal technology to create high capacity transit corridors. Do you have -- maybe could you explain that a little more that we Discover Works Global 888.557.8650 www.dw-global.com can -- do you have any examples or do you have target where those corridors will be? CLARENA TOLSON: We do have a list of corridors that we can share with Council. What we're looking to do is through our Traffic Operation Center, which is underway in terms of development to manage our corridors based upon realtime conditions. We will be able to monitor activity on the streets for emergency activity, emergencies, rush hour, other activities. And manage the signals on some of those major corridors to support proper flow of traffic.

Open in source Similar wording

Councilman Squilla

Paving streets, pot holes, dips, bumps and everything else that go along? CLARENA TOLSON: Pot holes and dips as you may call them, and other aggravations on the streets are taken care of as they are Discover Works Global 888.557.8650 www.dw-global.com identified. So throughout the year the Streets Department is responsible for maintenance of the streets, and we will manage pot holes continuously throughout the year. For things like ditches or cave ins they require different treatment which may take a longer time to get a permanent repair to them, but always they will be kept safe throughout the year. The next level up from the simple maintenance issues are paving. Paving occurs based upon the conditions of the streets. So for -- so we will survey the streets around the City -- in fact we completed a survey a few months back. It took us almost two years to complete it -- complete this last round, and we determined which streets were in worse repair. And then based upon their state of disrepair and then also some limited batching for the sake of efficiency, we then create the list of potential streets that we would pave. Some streets may be too far along that they cannot accept traditional or conventional paving and they need to be completely reconstructed. In that case, they are kind of put to the side until we get -- until we're able to have the resources to do them or until a utility does some major work on Discover Works Global 888.557.8650 www.dw-global.com the streets, and then the street can be reconstructed. There's also something new that we're trying this year which is to address streets which have not quite gotten to the point of needing total paving. However, their life can be extended by five to seven years through a pyro treatment that we're going to try called mirosurfacing. So that's how we create our list for paving. Basically it is those that we can extend some life to by some treatment or those that are in bad disrepair and we can do conventional paving.

Open in source Similar wording

Councilman Squilla

So if we have a certain report of streets in our District that are really bad and may not make your list, is that something we can do to work with you to see if that's something to be done or no? CLARENA TOLSON: We certainly will be glad to accept the list from our Council people with regard to locations that they think are problematic, and we can look at them. Actually, I should also add that there's some coordination for all of the street work with -- coordination with other entities, utilities, cable companies, and the like. Because we like to look at what work may be Discover Works Global 888.557.8650 www.dw-global.com done by other entities other than just the City of Philadelphia. So there may be a street that is in need of paving, however, let's say the Water Department is going to be doing a major job on that street in another year. We would not paved that instead we wait for the Water Department to do it's work or Verizon, PECO, whoever it might be. We would hold off on the paving work that needs to be done. So I would certainly be happy to receive any list that you might have so we can look at and determine that status of the street.

Open in source Similar wording

Councilman Squilla

The Capital funding being spent and it says I think it was $9 million for neighborhood playgrounds. Do we have a list of the playgrounds that are -- that money is looking to be spent in or is that just a work in progress? REBECCA RHYNHART: I think the nine-and-a-half million for the rec centers and pools that includes the funding that's given to each Council District. So there's 790,000 give to each Council person that has a District, and so that money is then allocated according to how you would want to allocate that money in conjunction with us.

Open in source Similar wording

Councilman Squilla

Yes. Like if we have problems with bathrooms or roofs or other issues within the current rec centers, is that -- REBECCA RHYNHART: There is also -- I mean there is money that's also just given to rec, given in the Capital Budget a much smaller amount for improvements in addition to what the Council Districts get. Usually we work in conjunction with each Council person to say well, here is the list -- we would say here is the list of project that we think need work, and when you would Discover Works Global 888.557.8650 www.dw-global.com say why, well, I think this is the most important or this is the top priority, and we work together with improvements.

Open in source Similar wording

Councilman Squilla

And I believe at least a lot more problems when we have a lot of rec centers run down, and parks and playgrounds that are not maintained end up costing us more money in the long run. REBECCA RHYNHART: Right. I think there's two issues. There's the money which I think -- I mean, we are getting nine-and-a-half million, and I know that it's given to each Council person, but that is money for Capital improvements. In terms of maintenance one thing we're looking at in the Operating Budget this year is to start to hire more people to do maintenance. We're first starting with police and fire stations to do more ongoing maintenance, and the hope is that by putting Discover Works Global 888.557.8650 www.dw-global.com $735,000 into the Operating Budget for ongoing maintenance that it will actually keep the facilities in better condition, and then prevent larger Capital projects from needing to happen. So basically checking the boiler instead of having a boiler explode because it's been checked, that type of thing. So that's something that we're working on and that's been put into the Operating Budget to start next year on police and fire, and other State buildings.

Open in source Similar wording

Councilman Squilla

That's been a major concern of mine and every project that we do along with the City I think it's important to realize we need to look at how we're going to maintain the structures that we have. Because we seem like we spend more money on Capital improvements having to redo things over again because we don't maintain them. And I think we have to constantly look at putting more money into that -- $750,000 doesn't sound like a whole lot of money. REBECCA RHYNHART: It's -- I think it's about the hiring of about 15 people. So our idea is -- obviously we don't have a lot of extra money in the Operating Budget and -- or any Discover Works Global 888.557.8650 www.dw-global.com extra money in the Operating Budget. So the idea is to hire those people and to see -- Public Property is going to be tracking what they view in savings from the 735,000. So that if it works the way we think it's going to work which is that it will actually prevent bigger cost in the Capital Budget as you have mentioned, then we would -- the intent would be to roll it out in a bigger way in Fiscal -- 15. So I agree with you. 10

Open in source Similar wording

Councilman Squilla

Thank you. 11 CHAIRMAN CLARKE: Thank you, 12 Councilman. We're running a little longer than we 13 anticipated. Why don't we take a break until -- 14 take a break until 2 o'clock give people a chance to refresh, get a bite to eat, and we'll come back ready and energized. Thank you. (At this time, a lunch break was taken.) CHAIRMAN CLARKE: Good afternoon, everyone. We will continue the FY13 Budget Hearing on Capital Program. Ms. Rhynhart did you want to have -- REBECCA RHYNHART: I did. CHAIRMAN CLARKE: Are they here? REBECCA RHYNHART: He's on his way over. Discover Works Global 888.557.8650 www.dw-global.com CHAIRMAN CLARKE: Okay. We'll pick up where we left off. The Chair will now recognize Council Member Johnson.

Open in source Similar wording

Councilman Johnson

Thank you. One of those 46 votes I won by. Make sure that don't happen again in 2015. I had a couple of questions in regards to the airport. And I wanted to get some clarification on the $336 million of federal, state and private funds that will be used toward the Northeast Philadelphia Airport, but more specifically the Philadelphia International Airport is my focus because it -- although it impacts the City, it's still in the seconds Council District, so Discover Works Global 888.557.8650 www.dw-global.com I've been paying attention to this project thus far. The Capital Enhancement Program, right, are these funds that's being allocated now are they a part of that proposal that the administration is rolling out with the airport expansion or these are actual funds are in the pipe line totally separate from that particular proposal? REBECCA RHYNHART: I think what might be best is to have Mark Gale. MARK GALE: Good afternoon, Councilman.

Open in source Similar wording

Councilman Johnson

Hey, what's up. MARK GALE: Good afternoon, Council President, how are you? CHAIRMAN CLARKE: How are you doing. MARK GALE: Councilman in response to your question, last year in City Council we came before you and the airport received approval for an extension of our use and lease agreement with the airlines. And as part of that extension the airlines approved us to proceed with the first $250 million associated with the Capacity Enhancement Program. Roughly it will be called the CEP, and Discover Works Global 888.557.8650 www.dw-global.com that was -- CEP implementation is what we refer to it as. The funding that you -- the dollar figure that you noted here, the $336 million, a good share of that is actually part of the CEP implementation. It has to do with things like hand acquisition, getting the program stood up and starting to move in the right direction. The funding sources for the Capacity Enhancement Program as a whole come from a variety of resources. Some of it will be bond funded. There's a piece of it -- a good piece of it that comes from the Federal Government in terms of grants. And there's also a good piece of it that comes from funds that are collected by the airport that are called passenger facility charges, that are fees that are actually in the tickets that airline -- that the passengers pay the airlines, and pieces of those are remitted to the airport. That's all part of our funding plan we move forward.

Open in source Similar wording

Councilman Johnson

-- how that project is moving forward at the base of this current Fiscal Budget. My other question was in Discover Works Global 888.557.8650 www.dw-global.com regards to the -- it's not for you Mark. Thank you very much, Mark. The $7.5 million City funding recommended for the Office of Innovation and Technology to stabilize and enhance City Government's information technology network infrastructure. Can somebody please clarify how that money is going to be spent on what particular projects. REBECCA RHYNHART: Sure. That --

Open in source Similar wording

Councilman Johnson

Good afternoon. ADEL EBEID: So the goal for the $7.5 was to supplement another part of Capital that Discover Works Global 888.557.8650 www.dw-global.com carried. And the focus is on the current citywide infrastructure which includes wireless network, data centers, servers, all the infrastructure that runs the day-to-day City Government. So the goal is to try to get that up to a level where it's stable and it's secure so that we can approve the up time for both the agencies who are currently using the infrastructure, and so we can start preparing for business application modernization which are going to utilized that infrastructure.

Open in source Similar wording

Councilman Johnson

And this directly impacts my District. The proposed project Discover Works Global 888.557.8650 www.dw-global.com the City, public private partnership with CHOP health center, and I don't believe in blinding siding I also had a conversation had some questions before me in regards to -- I think this is a good idea, but this as a potential -- if CHOP builds this new health center potentially we will have a new recreation center, and a new library but potentially and actually having one is totally different things. REBECCA RHYNHART: I agree with you.

Open in source Similar wording

Councilman Johnson

I kind of thought it was like a package. REBECCA RHYNHART: Okay. So for a little bit of background on this, health Center 2 we've been talking about what to do with Health Center 2 for a few months before this opportunity came up with CHOP, because it's in need of about $7 million in renovation. And once we found that out we looked at the cost of what it be to actually build a new health center, and it was $10 million. And then in conversations with CHOP they had our interest aligned actually because they wanted to build a center for children for pediatric care in South Philadelphia. So they have committed to fund the new health center. They need -- in order to Discover Works Global 888.557.8650 www.dw-global.com make the library rec center work the reason that's it potential and it's not an actual yet is because they need a donor to back that project. And so that's the open item and that's what's being worked on, and there is possibility of that. So that is a potential.

Open in source Similar wording

Councilman Johnson

Just can you just give a overview on how those funds will be actually utilized as well. And also, I have been looking into the need for the building of infrastructure and transportation funding on a State level. Governor Tom Corbett transportation has some recommendations which he hasn't followed through just yet, but I do know the impacts our surrounding economy as well as how we support transportation and infrastructure in the City of Philadelphia. So can you briefly touch on how that correlates and how we're funding you, the City. com you probably know that starting with Fiscal '11 SEPTA loss approximately $100 million in State funds, and that issue has not been resolved yet. The Governor did not address that in his Capital Budget, and that still has to be worked between the Governor and the legislator for this State. We're hoping for a solution as soon as possible, so right now we've been -- Fiscal '13 which is our upcoming Fiscal Year is the third year in a row that we'll be without the percent in Capital funding. So ago 11 lot of projects that we settled, we have designed 12 ready to go and other ones that we want to move 13 forward it's just actually just sitting there 14 waiting for this funding solution. So we have a lot 15 of projects to advance including the City Hall 16 Station. 5 20 million, which we do already have in place so that 21 we, you know, we be in part that we can. But the 22 big project which additional $100 million that 23 project is being delayed until we get the funds 24 resolved with the State. We're hoping at this point 25 that our federal funds will stay at the same level. com There was speculation at one time of federal funds being reduced by about 30 percent, but that's pretty much off the table now. We're confident at some point that the Federal Government will continue to advance a multi-year transportation program which is currently just being extended short periods of a time that we do pull, you know, a two to six year plan in place and that the funding will continue to stay about the same level, that's our goal. 5 million that I mentioned some of that funds is actually going to fund the CCD elements of their project for their undertaken investments waiting to SEPTA assess. Part of their -- because we're both kind of stepping on the same area there we're coordinating the efforts of what SEPTA takes on as our Capital project versus what the Center City District take on. com Plaza. We also have 100,000 in there as matching federal, state grants for the new payment technology which was awarded just a few months ago and that project just starting up it's a multiple year project that just kind of in the designing pilot phase right now. There's three phases, there's a pilot phase that we're looking how we're going to implement within all our stations. And then the second phase will be implemented it on the surface, the buses, the trolley, the subway surface. And the third phase we're going to implement the system into the regional rail system. Additionally, we have funds in there for about 800,000 for SEPTA's moving forward program it's an infrastructure safety renewal program. That's a group of a lot of small to midsize projects that we undertake mostly with our own work force, and we accomplish the prudence throughout the whole system. com approximately 70 to 80 percent of the required percent locally matched.

Open in source Similar wording

Councilman Johnson

CCT Program. And I remember -- I work with various senior centers in the District, and they were talking about although the economy goes up, right, there isn't an increase in the action on subsidy as it related to them being able to use their discount pass and in getting on the bus. So is there going to be any type of revamping of that program so the discount that the seniors receive kind of match the economy scale as we move forward? FRANCIS JONES: The funding for the CCT Program and the Senior Program is based upon the lottery. So that's how SEPTA receives the funds Discover Works Global 888.557.8650 www.dw-global.com and that's how our seniors are able to ride free in some instances and at a discounted rate. But it's based purely upon the lottery and the money that we get from the State.

Open in source Similar wording

Councilman Johnson

Okay. I think the lottery is doing pretty good right now. So I guess -- I think, you know, as we move forward and there probably needs to be -- and I don't mind helping out with this an actually assertive specific plan from a lobbying standpoint to kind of work in conjunction with the folks in Harrisburg saying this is a need. And kind of work in conjunction on a State and a City level to see if we can actually address make that a high priority as it relates SEPTA's supporting our seniors. Just something to take into consideration. FRANCIS JONES: Certainly, we're most appreciative of any assistance that the Philadelphia elected officials will give to support what the Philadelphia deligation does in Harrisburg. But we would be most appreciative of your assistance and your assistance in finding funding on -- increase funding on a State level to have it included in the Governors budget. We need as much money as we can because as Discover Works Global 888.557.8650 www.dw-global.com Mr. Guman said the dollars that are not there do not allow us to really do the Capital projects that are on the drawing board, and those that are sitting on the shelf. Now, there are instances where we are able to do smaller capital projects because we have applied for grants that the City has supported and giving letters of support that we we're able to do as a result of getting federal funding. And so that helps us but only on a very, very small scale.

Open in source Similar wording

Councilwoman Bass

Very well. I just have a couple of questions for you. Let's start with money that's going to be put into public safety. You know if you just go back it states that -- well, one of the goals of the City is to be Discover Works Global 888.557.8650 www.dw-global.com one of the safest cities in the United States, and so we're putting in about $16 million into police facilities, the Philadelphia Prison System, and also for fire alarm and electrical improvements at fire department facilities. And so my question is this because if we're going to have a relationship between being a safer city and, you know, how we spend our money I'm wondering if you think that this will directly have a result on crime and public safety here in the City of Philadelphia. And let me just start actually by saying that, you know, in my District I have probably one of -- I think one of the worse police stations in terms just being outdated, and in really disrepair. It needs a lot of work and so obviously I'm someone who very much supports having this work done. But I'm wondering if you see that as somehow being related directly to public safety because as I see it we can, you know, build a brand new shinny police district and there's still going to be all kinds of crazy things happening around the corner on the avenue. So I don't know if you want to address that. REBECCA RHYNHART: I would say Discover Works Global 888.557.8650 www.dw-global.com in terms of how it impacts public safety, I think our police and fire and prisons -- if you take the example that you give us short of crazy things happening and looking at maybe police. They do need facilities that are, you know, up to today's standards in order to perform their jobs. So in that way I think that it's important that we put money into capital improvements on the public safety side in order to have facilities that, you know, are up to date. So I don't know if that -- I think that if we put money into police facilities in the Capital Budget but don't have enough officers on the street then that's not going to work. So I think that's why it's a combined effort in the Operating Budget to increase the number of officers, and also in the Capital Budget that we're talking about today to make sure that their facilities are in good condition.

Open in source Similar wording

Councilwoman Bass

I agree. I think that they should be in acceptable condition. But I just, you know, just thinking about I guess the language of it and the Cities wording in terms of being one of the safest cities in the US. And, you know, spending the money -- like how we spend it Discover Works Global 888.557.8650 www.dw-global.com if that's going to translate into that, just a thought. REBECCA RHYNHART: I would say on the Operating Budget side that it's more directly investment -- the proposed increase investment is more directly related to crimes on the street in terms of the number of officers.

Open in source Similar wording

Councilwoman Bass

Okay. Let's see regarding the $2.9 million in City bond funds recommended for Philadelphia Library improvements in Fiscal Year 2013, including HVAC, infrastructure, interior and exterior renovations at several branches. How many are several branches, and do you know which branches they are? REBECCA RHYNHART: It's actually part of a three-year investment in neighborhood library branches. So we're putting in $7 million over three years for the neighborhood branches, and the goal is to raise private money to supplement that. And the goal is to make an improvement to every neighborhood library branch. That is the goal.

Open in source Similar wording

Councilwoman Bass

Okay, great. And the other question I had was just in terms of the amount that was spent or plans to be spent at Love Park. And I noticed it mentioned $11 million. I think before the number million was tossed 12 around. Is it 11 or 20 or somewhere in between or? 13 REBECCA RHYNHART: The 11 14 million -- they're exactly exact numbers, but I'll 15 explain the difference. The 11 million is for 16 Fiscal '13 amount. So the total cost of the project 17 over two years is 20 million. So when we're looking 18 at the $117 million in the Fiscal '13 proposed 19 Capital Budget 11 million of that is for Love Park. 20 So when we're looking at the $2.9 million for libraries or the 9.5 million for rec centers, and pools that's the numbers.

Open in source Similar wording

Councilwoman Bass

Okay. And for the 12.9 million in city bond funds for improvements to parks and recreation, and I know you Discover Works Global 888.557.8650 www.dw-global.com said nine-and-a-half million will go to neighborhoods in the Districts. And we'll be able determine how the funds are spent. The other 3.4 million how is that going to be allocated, is that more for the park systems or? REBECCA RHYNHART: I would have to check. GARY JASTRZAB: Other -- it's for other park improvements on trail improvements and extensions, which we're trying to pursue pretty aggressively.

Open in source Similar wording

Councilwoman Bass

Just one more or two. Under making Philadelphia the greenest and most sustainable city. The first point $950,000 of new City funding is recommended to enable the Office of Sustainability within the Managing Director's Office to continue implementing energy efficient projects in City facilities, and to grant -- and to provide grant funds to City departments to leverage high performance building improvements. Can you give me an example of what Discover Works Global 888.557.8650 www.dw-global.com that means, what you're referring to in that? REBECCA RHYNHART: Okay. We'll have Andrew Stober to come. ANDREW STOBER: Good afternoon, Councilwoman. Andrew Stober, from the Mayor's Office of Transportation and Utilities. We in collaboration with the Mayor's Office of Sustainability have operated something called the energy efficiency fund for the past few years. We have City department apply for what are relatively low cost, high impact Capital projects that have pay backs typically less than five years related to energy efficiency. So, for instance, at the fire department facilities we are replacing of the incodecent light bulbs with CFL light bulbs. We've put timers on lights. We put in new lighting at Streets Department, street department facilities and put sleep timers on other facilities.

Open in source Similar wording

Councilwoman Bass

What kind of impact do you think financially it would have on the City? What kind of savings? ANDREW STOBER: The projects that we pick typically payback in five years. We have a very large on the electricity side a long spend about $60 million a year. The kind of changes that we see from these efficiencies are relatively modest in that regard but, you know, every little bit counts. And in the long-term the only way that we reduce the cost of electricity and other utilities is to reduce our consumption, and so this makes an important contribution.

Open in source Similar wording

Councilwoman Bass

Just to have an idea, you know, how -- what 950,000 will get us. What will it get us in savings. And just the last question real quick, which is more of a statement. In terms of the seven-and-a-half million in new City Discover Works Global 888.557.8650 www.dw-global.com funding -- actually, by the -- just jumping down to the Office of Innovation and Technology. And it says by the end of Fiscal Year '17, $120 million will have been invested in our essential digital technology infrastructure. And so I'm taking that to say that by the end of 2017, we will have invested significantly in all of our technology throughout the entire City offices, and we'll, you know, be able to see new technology starting from now up until then. But I guess I'm wondering by the time we get to 2017, will what we've done at this point -- because I know we probably won't have the funds to do it again or start -- or maybe we will start over. But what we're doing at this point by 2017 will be outdated; would you agree or am I -- REBECCA RHYNHART: I think Adel Ebeid is probably the best person, he's the head of the IT Department. ADEL EBEID: Councilwoman I think the investments over the next three to four years are really carved out in two sections. The first and the most immediate section is when I responded to the Councilman regarding the securing and stabilizing the City infrastructure. This is no Discover Works Global 888.557.8650 www.dw-global.com different than paving our roads, beefing up our bridges. So our digital infrastructure needs to be up to the level where it can accommodate modernization. The balance of the funds will be spent on modernizing a set of business application out in the departments that have been prioritized recently, and meet certain criteria with regard to emergency, value, cost, alignment with business goals. We've gone through the process over the last two-and-a-half-months and we've identified roughly between eight and ten large scale multi-jurisdiction type projects that would be -- the first to be modernized touch a large portfolio in the City. So if I'm -- L&I to police to prisons to revenue, finance, administrative systems.

Open in source Similar wording

Councilwoman Bass

Not exactly, but I'll come back to it. I'll come back to it at a later point. Thank you for now. REBECCA RHYNHART: Do you want Adel to answer the commerce question that you had? CHAIRMAN CLARKE: Briefly because I have another -- Discover Works Global 888.557.8650 www.dw-global.com REBECCA RHYNHART: However you -- CHAIRMAN CLARKE: -- new member who's ready to take a stab. REBECCA RHYNHART: Okay. That's fine. However you want to do it. CHAIRMAN CLARKE: Let me let one of the new members. Councilman Henon.

Open in source Similar wording

Councilman Henon

Thank you, Mr. President. Majority leader mentioned earlier the carry over of $374 million carried over. How long was -- is that just carried over from FY12 or from previous years? REBECCA RHYNHART: It's from many years. Actually, the 111 million of that is actually Fiscal '12 money. So that money only becomes available -- only became available in December, so that money has not had much time to get spent. Because the way this works if Council if you Discover Works Global 888.557.8650 www.dw-global.com approve hopefully the Capital Budget in May then it goes -- then there's a loan authorization it goes to voters in November. So it doesn't become available until December. So that's -- there's a good reason why that -- a lot of that money isn't spent yet, about 111 million because it just became available. But the rest of the funds is from multiple years, 2011, 2010 and a few other years going back. We can provide you with a list of it. But as I said to Councilman Jones this is something that we view as an issue, and we're working towards a solution on it.

Open in source Similar wording

Councilman Henon

Right. Discover Works Global 888.557.8650 www.dw-global.com REBECCA RHYNHART: So with that said though, there's another strain on our ability to borrow which our ability to pay the debt service the principal interest in our Operating Budget, so we have a financial constraint that's in addition to the constructional constraint so both have to be looked at as we move forward. So it's not -- it's not -- unfortunately, it's not just that okay now that we go to full evaluation we have all this extra room to do all these extra projects because we also still have to afford to pay the principal loan interest.

Open in source Similar wording

Councilman Henon

What is the city's current ratio of debt service? REBECCA RHYNHART: The -- I'll have to check on it. The debt service obligation I believe it's under ten percent. But a better way to look at it is fix cost as a percentage of expenses because we have very high cost related to pension and other fix cost, and that is significantly higher in the double digits. So it is higher and we have a Discover Works Global 888.557.8650 www.dw-global.com debt policy where our goal is to get that down because the more of our budget is fixed the less flexibility we have.

Open in source Similar wording

Councilman Jones

So could I have the Streets Department come back up and ask -- the Planning Commission as well. Why they're approaching the bench, I'd like to ask the question. Based on your testimony the Planning Commission works closely with the Finance Department, The Office of Budget and Program Evaluation, The Department of Public Property, The Managing Director's Office, and operating departments to recommend a Capital Budget Program. Can you explain for our serious six in brief how we come up -- come together on what those projects, capital projects should be? How is that determined and what imput will they have going toward to make recommendations? GARY JASTRZAB: Basically, every August or so we're provided with financial guidance Discover Works Global 888.557.8650 www.dw-global.com by the Financial Director and the Budget Director as to how much the City can afford to spend in general obligation bond funds for the budget year, and for the program. So the past -- the past few years we've been attempting to front load some of that spending. So beginning in August there is a call letter, a budget call letter that is sent out to all of the City operating departments that have -- that operates facilities or have other physical assets that may need to be constructed to be rehabilitated to be renewed.

Open in source Similar wording

Councilman Jones

I understand that. My question is: If Councilman Clarke has a bridge in his District that he wants repaired or if Councilman Henon has some roads that need some attention or various Council persons how will they impact that process? REBECCA RHYNHART: I think what I'm hearing you say is that you'd like to be more Discover Works Global 888.557.8650 www.dw-global.com involved at the beginning of the process, and I think that, you know, we could make that conversation happen going forward.

Open in source Similar wording

Councilman Jones

And we will note that for the record, and take advantage of that. Because I think this -- the elected officials in this room have some roots on their ground, they walk around those bridges, and actually see the crumbling infrastructure in their respective Districts, and they have something by way of a recommendation or two, not that you're bond by it but at least you should know of it. And so I'll say that. I'm going to shift my question to our Commissioner who does a great job I would say earlier on in this part. What I want to know is that we do million dedicated to street 18 resurfacing, if that's the number. Have gas prices impacted material cost for you? CLARENA TOLSON: It's extensive that's certainly gone up. The major portion of our cost come to the ramps that are installed when we do our paving, and that could take about two thirds of our cost go to preparing the ramps and not to paving the streets, which is why this year we -- Discover Works Global 888.557.8650 www.dw-global.com

Open in source Similar wording

Councilman Jones

What is that number? CLARENA TOLSON: So this year we are going to do 30 miles of streets with conventional paving. But because we have to also -- when they do conventional paving install ADA ramps along with that. So we might like to do say 120 miles, 150 miles of streets if we had our drivers, but because that is not possible because of the cost of doing all that's required when we pave, we have to cut the paving miles back so that we can also install ramps along with every mile that is paved.

Open in source Similar wording

Councilman Jones

So under the federal formula is there a particular funding that Discover Works Global 888.557.8650 www.dw-global.com we can go after to particularly address the American with Disabilities Act requirement that we can go after because, you know, as we do these worth while curb cuts and other things we cut down on a number of miles of resurfacing that we have every year. And what is -- are they very expensive to do? CLARENA TOLSON: Yes, yes.

Open in source Similar wording

Councilman Jones

In what manner? CLARENA TOLSON: So our cost of -- may go from approximately eight -- let me get my numbers out so I give you the exact information. Give me one second, please. Okay. Here it is. So our conventional paving is $7 and 99 -- I'm sorry it's going to be $7.99 million this year. The cost with the ramps is about $24 a square yard. If we were doing that same mileage without the ramps, we might cut that down to eight. So that's why we're doing a lot less. Now, this year I should add we are policing a new technique, new for Philadelphia, it's called mirosurfacing where we're removing a very thin layer of the asphalt this will extend the life of the street. It is not traditional paving and in doing that the cost is about $3.80 a square yard. Discover Works Global 888.557.8650 www.dw-global.com

Open in source Similar wording

Councilman Jones

-- and our fluctuation in price goes up every time we hear the price of oil going up, so I recognize that. Shifting a little bit can we talk about the sinking homes in the City of Philadelphia and as it relates to AVI. And my question becomes if we are -- I have blocks in my District, and I would imagine in other Districts where we are experiencing shifting, not so much in the degree of the Logan homes, but blocks have these particular. When it comes to AVI how are we going to address that with the value of property if indeed there are impacted by those kind of conditions, subsurface conditions? CLARENA TOLSON: That is one that I think that I have to defer to somebody else in terms of the AVI process, and how -- with limitation of the low rate value may be, I cannot answer that. REBECCA RHYNHART: And I think AVI is going to full market value, so if there was something that impact it to any negative value would Discover Works Global 888.557.8650 www.dw-global.com be taken into consideration.

Open in source Similar wording

Councilman Jones

But he may cometh but his math better be right, because are Discover Works Global 888.557.8650 www.dw-global.com going to lose votes. Thank you so much. CLARENA TOLSON: Can I just add Councilman, you also mentioned the bridges. I did go did go back and check on the two bridges that you all mentioned. The 52nd Street Bridge is an Amtrack Bridge, so we will contract Amtrack about safe repair. We have been in dialog about that and have been working with them on it. We too share your concern for the safety there. And Councilman on the Ridge Avenue Bridge at 29th Street that is a PennDOT maintained bridge. We have made contact with them about the state to repair that because it was built in 1918, and it's currently carrying ton. We want to make sure 15 that they are on top of the maintenance of that. 16 CHAIRMAN CLARKE: Thank you. 17 CLARENA TOLSON: And we'll keep 18 you informed as to what happens. 19

Open in source Similar wording

Councilman Green

Thank you, 25 Mr. President. I hope I'm treated with the leniency Discover Works Global 888.557.8650 www.dw-global.com of the freshman, Mr. President. The -- so I'm going to talk and I'm going to start with ORT Capital Projects, so Pages 71 through 74 of the through 4 18, 37 through 39 of the 12 through 17 and 40, 41 5 through 16 five-year plans. So we're there's 120 6 million investment in technology over six years with 7 75 million front load the first three years of the 8 program was original in the plan. Now, we've -- in 9 the FY13 Capital Budget we've got only 7.5 million 10 in IT spending in the first year. And if my 11 understanding is that we spend none of the 10 12 million appropriated for FY12, and only about 5 13 million of 25 million appropriated for FY11. So when you add all of that up for this year it's $37-and-a-half million that will be available to be spent this year? REBECCA RHYNHART: That's correct. This year meaning for the Fiscal --

Open in source Similar wording

Councilman Green

Okay. Well the administration has informed Council that it's identified ten citywide business applications initiatives that will be funded with IT capital dollars. It's also noted that the return on Discover Works Global 888.557.8650 www.dw-global.com investments analysis was part of the prioritization process for IT projects. I think we had testimony here that none of those are reflected in the plans. So next week when you come I'd like to if -- I believe this is power point project prioritization process that you gave to us on February 29th. In here it says that the ranking and scoring criterion are included opportunity in parens cost reduction, cost initial and recurring. So you're evaluating the cost of it and recurring cost I assume that's compared to some baseline. And then the final bullet point or square point is value maximization and anticipated pay back. So that is a return on investment analysis. I'd like the details behind all of the projects that are in the IT prioritization process specifically with respect to return on investment when you come in next week since that was part of the process that you conducted and presented to Council. ADEL EBEID: Yeah, I think the criterion that you're looking at those are objectives that we would use to rank and score projects.

Open in source Similar wording

Councilman Green

Right. So you have to have -- in order to rank a score based Discover Works Global 888.557.8650 www.dw-global.com on anticipated pay back, you have to have the anticipated pay back numbers. In other words, the return on investment how many years. ADEL EBEID: Let me just put some context around some of those -- May I, Mr. President? May I continue? CHAIRMAN CLARKE: The bell is not for you. ADEL EBEID: Okay. So the -- clearly the eight systems that were identified frankly they are in such fragile state that a cost benefit analysis would not accomplish -- would not sort of confirm the fact that we need to replace them. We listed a comprehensive list of criterion that we would use, but if I have a system that clearly is several years past it's useful economic life, has absolutely no support mechanism in place from a vendor or from the City staff perspective, frankly I don't need to go any further to confirm that that's a system that has to be in the top eight. So our con -- we concentrated on making sure that we are identifying the top most fragile systems in the City and a cost benefit analysis whether it's from a cost avoidance or from actual savings perspective, it wasn't going to confirm anything Discover Works Global 888.557.8650 www.dw-global.com further for us.

Open in source Similar wording

Councilman Green

Thank you, Mr. President. CHAIRMAN CLARKE: Thank you, Councilman. Real quick do you want to give me the quick overview on the video surveillance? REBECCA RHYNHART: Sure. Council President Clarke had asked a question about just the money for camera and how quickly -- what was the strategy and the time frame for fixing those cameras. CHAIRMAN CLARKE: Both existing -- we're not going to say the percentage, but we understand that it's a significant number that inoperable and what the strategy is to deal with that. And the strategy moving forward as it relates to the expansion of the video surveillance security program. ADEL EBEID: Sure. This is how much I know so far, I'm still in the process of trying to kind of put my arms around the entire surveillance camera strategy frankly. There's about 191 cameras that were deployed in the time frame of 2007 and 2008. Discover Works Global 888.557.8650 www.dw-global.com CHAIRMAN CLARKE: I don't need any history. I just need to know -- we have a couple I don't want to say, but we have a number of cameras that are inoperable, and we're trying to find out when they're going to come online? What the strategy is to get them online? What the strategy is to continue maintaining not only those cameras, but the ones that are operable. And we're going to get to an expansion program as referenced in prior years, and more recently an announcement made by a number of members that were here and the Mayor about the new crime plan. ADEL EBEID: So three weeks ago the City awarded two contracts for the maintenance and upkeep of the cameras. That is primarily going to be our preventative maintenance strategy to maintain as many cameras up and running as possible. CHAIRMAN CLARKE: How much was that? ADEL EBEID: How much -- CHAIRMAN CLARKE: The contract. ADEL EBEID: The contract is for a total of about $3.3 million. CHAIRMAN CLARKE: Okay. ADEL EBEID: Divided into one Discover Works Global 888.557.8650 www.dw-global.com component for installation and equipment, and another components for maintenance. We're in the process of working with both vendors right now to on board the process, and we should be starting within a couple of weeks of identifying -- working with police identifying the most urgent cameras in the highest crime areas and making those a number one priority. CHAIRMAN CLARKE: Okay. I would like to have a little more detail. But you'll be in next week. ADEL EBEID: Next week, correct. CHAIRMAN CLARKE: If you can do me a favor -- because I understand that there is obviously a public safety component, and you're IT guy. But the reality is that these locations are supposed to be driven by the Police Department. My assumption is that their imput is in the process in determining priority areas, and the time in which you place those cameras in a location. Can you interact with them leading up to next weeks testimony so we can have a little more detail? ADEL EBEID: Yes. CHAIRMAN CLARKE: Is that okay? ADEL EBEID: Yes. Discover Works Global 888.557.8650 www.dw-global.com CHAIRMAN CLARKE: Thank you. The Chair now recognizes Council Member Oh.

Open in source Similar wording

Councilman Oh

Thank you, Mr. President. I have a general question about the Capital Budget. Just on the issue of IT, I know we've gone through it, but I find it difficult to get a grasp on it because there is $47 million in purchase of services, and $36.8 million in payments to other funds. And if you can just bring some type of summary that kind of identify what that is and how it breaks down the other vendors and cost. REBECCA RHYNHART: I think you may be referring to IT's Operating Budget. Is that -- those numbers.

Open in source Similar wording

Councilman Oh

Well, what I'm saying is when you're talking about $120 million for Discover Works Global 888.557.8650 www.dw-global.com the IT upgrades, I asked that during the Operating portion of the presentation, and I thought I was told it was Capital. REBECCA RHYNHART: Okay. Maybe I'm not understanding your question. The $120 million is Capital. I thought you were referring to the dollars of the past 200 in the Operating Budget. But the 120 million is definitely Capital.

Open in source Similar wording

Councilman Oh

And so that I understand when you were talking about coming up with a Capital Budget in August, what are the perimeters around the budget? In other words, I understand that a different departments that may have some failing facilities may be contacted and say we have these projects. And is that primarily what the Capital Budget is for? REBECCA RHYNHART: Well, the Capital Budget there's -- the Capital Budget is for facility and infrastructure improvement. So there's certain rules that govern what we considered Capital versus Operating. And on the Capital side, for example, projects have to have a useful life of at least five years. They have to cost -- the project have to cost at least 15,000. So there's certain rules that govern what can be considered Capital versus being put in the Operating Budget.

Open in source Similar wording

Councilman Oh

I'm asking what is your consideration or strategy in terms of investing capital dollars into income producing or revenue producing projects in the City as opposed to maintenance or improvements investment into those structural things that will produce revenue, more money for the City? REBECCA RHYNHART: We look at -- the thing is it's a good question, and we are so far behind I think overall for so many years on our Capital -- on our Capital spending that we do tend to have to put Capital money into really keeping our Discover Works Global 888.557.8650 www.dw-global.com buildings up to date. Because even the 117 million a far below, for example, what the City Planning Commission recommended of 185 million a year, which we can't afford to spend. So in terms of is this a revenue producing conduct and it is something that is looked at, but often we are -- we need to make the decision to put the money into just keeping our facilities up to date.

Open in source Similar wording

Councilman Henon

Thank you, Mr. Leader. If you can Rebecca turn to or 146. If you can talk me through their various approach investment and collection systems. REBECCA RHYNHART: The Water Department. I think Joe Meyer, the Deputy Water Commissioner will be best -- oh, Howard Neukrug, the Discover Works Global 888.557.8650 www.dw-global.com Water Commissioner is here. The Water Department might be best suited to walk you through the Water Capital Projects.

Open in source Similar wording

Councilman Henon

Good afternoon, Commissioner. So if you could talk me through the various proposed investments the collectors systems. HOWARD NEUKRUG: In the collectors systems is mostly our storm service systems, our flood systems. And these are money that are going towards investing in the house. And basically it's mostly Capital investments into those pipes replacement. Not so many new pipes, but rebuilding those pipes that are bad. And we're also moving towards the CSO program, pipes program and managing our storm drains.

Open in source Similar wording

Councilman Henon

So the primary purpose is not to replace damages to move forward to a two point system? HOWARD NEUKRUG: It's very much about renewel, replacement of our existing system. Our sewer pipes are about 80 years old on average. Discover Works Global 888.557.8650 www.dw-global.com That means there are pipes that are much older than that, and there are pipes that are younger than that. They are very expensive to replace, but we do an inspection program and look at all our pipes. And we do look to see what needs to be relined, what needs to be rebuilt, what needs to be made bigger, and what could be abandoned.

Open in source Similar wording

Councilman Henon

Okay. What types of vehicles are you planning? Is it for the construction of these collectors or -- HOWARD NEUKRUG: Yeah, it's all different types of vehicles. And we've put off the program of bringing in new vehicles into the department to keep up with that. On the streets on any given day you see the vehicles that are crews are out there with stinger vessels, stinger trucks, dump trucks, they're trucks that clean enlets. You'll see that they're pretty old and some of them pretty rusty, and it's time to put in an additional replacement program for them. REBECCA RHYNHART: Just for clarification that is -- it looks like operating revenue, and that's over a seven year period so it gets transferred to the Capital Budget.

Open in source Similar wording

Councilman Henon

Is there a -- I'd like to get an accurate -- is there any chance to get an accurate list of City owned public property who is using it the utilities? Any data on the facilities that we own. The amount of money that's allocated to maintain these facilities we Discover Works Global 888.557.8650 www.dw-global.com own. A list of all the properties we lease. Who is using this space and the facility consolidation of why these lease exist. I know it's a lot. REBECCA RHYNHART: It's sounds like the task force.

Open in source Similar wording

Councilman Henon

I through it out there for a reason because I -- I'm having a little -- I initially made the request for that data in January, and I've only receive certain small parts of it. I'd like to have a more -- April 13th if I could provide -- have that information provide through the Chair, and myself. And if you can't provide it I'd like to know -- have an written answer of why the savings are not available for City facilities, and how we could get that service information. REBECCA RHYNHART: Okay. We'll, talk with you about that, and provide you with information.

Open in source Similar wording

Councilman Green

Thank you, Mr. Leader. Just back on IT briefly. I will wait for the answers at the hearing for the Office of Discover Works Global 888.557.8650 www.dw-global.com Innovation and Technology. But I just do want to note that Tier one which is the critical infrastructure piece is only million of the $37 4 million. Tier two is $66 million. And, you know, 5 if we're presented with a power point saying this is 6 how we're going to address how this spend is made. 7 We're going to score these criteria, it includes pay 8 backs and other things, when that's presented to us 9 we believe that and we rely upon that in 10 understanding -- because we're appropriating this 11 money before these decisions are made about where it 12 goes. We're relying on a process has as a factor 13 pay back and other things, and so, you know. I'm 14 going to have -- I'm going to want a lot of detail 15 on this in the OIT hearing, and I'm just explaining 16 sort of in advance why. 17 Without -- so it's just my big concern 18 that without this we're going to end up replicated existing and inefficient processes. I'm concerned that we're already heading down that path, for example, my understanding is that the planned -- Enterprise Resource Platform or ERP which is basically a modernization of back office processes will include the electronic imagining of paper invoices basically replicating a paper system in the Discover Works Global 888.557.8650 www.dw-global.com computer. So there will be less people needed to -- less time involved in managing that paper, but still you're simply replicating an already inefficient, not modern process by doing the implementation that way. And so for that project in particular which is not a critical infrastructure system, I'd like to see how it measured up on this oracle when we get to OIT. And I'm just letting you know that in advance so that hopefully that information will be available at the hearing. REBECCA RHYNHART: Sure.

Open in source Similar wording

Councilman Green

So with respect to the general obligation fund my questions goes back to a question Councilman Johnson asked. You talked -- there was I think $337 million in airport in this Capital Budget, and the placement of the general obligation bond questions on November ballot impacts the timing of the borrowing. But I'd like to get a better understanding of our approach to finding the Capital project. Because the administration has recently proposed using a commercial paper program for Capital projects at the airport to borrow funds for, quote, unquote just in time borrowing and spending to reduce our interest costs. Has the administration considered there Discover Works Global 888.557.8650 www.dw-global.com approach for City supported Capital projects so that we're not borrowing and sitting on cash, an paying interest on it prior to the time we actually need it? REBECCA RHYNHART: So just to step back on the idea of issuing bonds before we need it. We actually don't issue bonds before we need it. So here when the Capital Budget gets approved by Council then the -- and the voters approve the memorandum, then the appropriations become available, and then the projects can start. We can start our planning, we can start design work. But we manage the bond issuance based on our cash level. So, for example, we might -- let's say there's a $5 million project and once the voters approve the total that include that 5 million, we'll start the process of our planning and design work. But we might not need all of that 5 million for a year or two, we wouldn't issue the bonds right way. We issue the bonds when the cash levels get low. So we don't waste money paying interest.

Open in source Similar wording

Councilman Green

Which is have you considered using a commericial paper program so that -- for Capital projects like you're considering for the airport so that you don't pay interest for two years on money that you're not using. And only fill the bucket up with bonds once you've drawn down on commercial paper so you're spending as you go and not paying unnecessary interest. Paying off the commercial paper with bonds. Wouldn't that be a better way to do Capital spending? REBECCA RHYNHART: There is some -- I mean on the general funds side we -- of course we issue short term on the Operating side for our cash flow. I mean, I can speak from my experiences when I was the treasury here, that the risk of sort of issuing commericial paper on the general funds side is that at some point that Discover Works Global 888.557.8650 www.dw-global.com commericial paper needs to get taking out by long-term bonds. So we can take about it. We can definitely talk about it. There's reasons why it's difficult to do it. It has to do with taking out the short-term paper with long term bonds, and -- you know, two years is not considered a long period of time to have long-term debt outstanding, and, you know, just spend it down.

Open in source Similar wording

Councilman Jones

Thank you, Councilman. I'm next so I'll take a couple of seconds -- a couple of questions. Tom Knox is head of a committee that's looking at asses there. On that committee we have Councilman Kenney, Councilwoman Sanchez, and other members of the committee. How are we looking asses sales and mergers, synergies and capital buildings in relationship to this five year plan and Capital projects. How are we doing that? Discover Works Global 888.557.8650 www.dw-global.com REBECCA RHYNHART: I think this task force is broader to do with city facilities right overall and possibly lead to -- I'm sorry, and your question?

Open in source Similar wording

Councilman Jones

My question really is: How is that being moved into our thinking to determine our Capital Budget. So if you have a library rec center, if you a school all in the same block. All three of them don't need libraries, all three of them don't need gymnasiums, all of three don't need auditoriums. And that there might be in our forward thinking a multi-purpose building that services all three entities. How are we moving those recommendations into our planning? REBECCA RHYNHART: Well, the task force I think is working over a two-year period starting months ago. So I don't think that it's at a point right now to integrated into this Capital program. But I do see your -- and I do think that going forward it would be something that will be advantageous to integrate.

Open in source Similar wording

Councilman Jones

In light of the fact that we're going to be looking at the City relationship with the School Board who is going through a right sizing of their facilities trying to Discover Works Global 888.557.8650 www.dw-global.com downsize to the degree of the population of students available. We should now be talking to them about their future capital plans, where they're building schools, where we're considering building recreations centers. I just know about my District there's a field at 26th and Chalmers which services six schools. The recreation department -- it just seems to make good synergy to start planning that now as oppose to them come up with a plan, we come up with a different plan, the school board recreation department, libraries, three different plans. So under the capital why aren't we kind of looking forward thinking now to take those recommendations and plan out on how we can better utilize our limited resources? GARY JASTRZAB: If I could add to Rebecca's statement. You know as we go forth with the Philadelphia 2035 comprehensive planning process we have a citywide vision document, we've just -- the Commission just approved two District plans. As we move forward with the District plans we're looking at those opportunities. The joint use of facilities, working with the school board staff on their capital program. We review that each year and the Commission -- the City Planning Commission Discover Works Global 888.557.8650 www.dw-global.com has an opportunity to comment upon their proposed Capital program. So we are and will be as we go District by District looking at those opportunities for the joint use of facilities.

Open in source Similar wording

Councilman Jones

Even if we go beyond just the three headed monster of recreation -- not monster, but entities Recreation, School District and the City property; PHA Philadelphia Housing Authority has a beautiful gymnasium auditorium in Abbottsford where there is no recreation center right near there because it's almost on an island. You know, they don't have the staff to run programs. You have recreation centers next to schools where they don't have facilities, and put -- those synergies could not only save on the Capital side but on the Operating side. Who pays the electric bill, sharing of expenses that go forward we can have all kinds of savings if we just put our heads together. GARY JASTRZAB: There's a lot of creative opportunities out there that we're, you know, we're looking for.

Open in source Similar wording

Councilman Jones

On the liability side not on the -- other district council people need to -- we're in public safety we're Discover Works Global 888.557.8650 www.dw-global.com looking at the geography of crime. And what I mean by that is where criminal instances occur. So in one school that has been vacant in my District for over a decade, we did analysis of what is going on there. And they said that there was -- police records indicating the following, vandalism, criminal mischief, possession of weapons, terroristic threats, the possession of synthetically manufactured narcotics in one location that has been vacant. So as we solve the vacancy problem, we solve what is contributing to the crime problem. Because, you know, that criminal element takes refuge in some of our vacant buildings, so when you address one aspect of it you address another. And that's what I -- The Chair now recognizes Councilman Johnson.

Open in source Similar wording

Councilman Johnson

Thank you, Mr. Leader. I just have one small question regarding the 3.2 million that's going towards the development of Delaware and Schuylkill Riverfronts. I'm highly interested in the development of the Schuylkill River Trail, so if someone can give me an update on that particular project. REBECCA RHYNHART: Okay. I'll Discover Works Global 888.557.8650 www.dw-global.com have Alan Greenberger. ALAN GREENBERGER: Good afternoon, Councilman.

Open in source Similar wording

Councilman Johnson

Good afternoon. ALAN GREENBERGER: Depending on how much detail you want to go into, I'll give you the general overview. But if you want more detail there are people from Schuylkill River Development Corp here as well. There are -- it's really short on both rivers. They both Delaware River Waterfront and the Schuylkill River Development Corporation are looking to complete as many pieces of trail as they can get control of property now and then try to do the interconnections. So the Schuylkill River you know about the crescent that is under construction I think it's near complete. So the crescent is happening around the old Dupont Marshall Lamp Site. DC is working to -- they put out bids for the boardwalk piece of the trail that would get us -- that has to be over water. Down South Street they're doing studies for other pieces of trail, they're working with us on -- with PIDC with planning on a piece of trail that would connect in front of Bartrum on two pieces of land. So it's Discover Works Global 888.557.8650 www.dw-global.com lots of piece and then you join them together.

Open in source Similar wording

Councilman Johnson

Out of 3.2 million how much is going towards the development of Schuylkill River versus the Delaware River WaterFront? ALAN GREENBERGER: We have that information here, give us a second. Okay, so on the Schuylkill there is 1 million and on the -- a million for the Schuylkill and North Delaware 500,000, Central Delaware it's also 1 million. So 1 million for Central Delaware, 1 million Schuylkill Waterfront, and half a million North Delaware Waterfront. And obviously these are money that are frequently used to match grant foundations and other resources that the individual Waterfront Corporations can bring to the situation.

Open in source Similar wording

Councilman Johnson

Thank you. Because I think that when we talk about expanding our revenue base, right, and making sure Philadelphia is a City of -- a destination city as we develope the actual Schuylkill River Trail along the Waterfront as well as the Delaware River on the Waterfront. I think that plays a major roll on also how we recruit folks to actually come and stay in Philadelphia. And I encourage anyone to come to the Discover Works Global 888.557.8650 www.dw-global.com great 2nd Council District and watch a movie during the summertime along the Schuylkill River Trail, and I will guarantee you, you will know that this is an investment that's needed in terms of recruiting folks to stay in Philadelphia or encouraging people to stay, at the same time encouraging more people to move to our city. And so I just wanted to get a more accurate account of how that money was being divided up amongst the three Waterfronts. Thank you very much, Al. ALAN GREENBERGER: You're welcome. And we agree with your premiss.

Open in source Similar wording

Councilman Henon

About the 393 that are on the list, and in particular the police department and fire houses. I'll be here on Friday morning. I have an ongoing concern with the 15th Discover Works Global 888.557.8650 www.dw-global.com and the 2nd Police District, they are combined. The Police Department facility is one of busiest facilities in the entire City. And it seems like -- they're working under deplorable conditions, and, you know, I'm not quite sure that there is a simple fix to every time it rains fix a roof, you know, constant complaints about, you know, infestation and, you know, other City reports from the controllers office con down on the status of their conditions. In light of the unfortunate Archdiocese and the public school situation that are vacating many buildings. Is there a plan that the public property has possible relocating this -- these two particular Districts that are combined to another facility. ROB DUBOW: Not that I know of Council at this time anyway. The -- we don't have anything right now on the books for a new police facility as we sit here right now or even a relocation of one. The -- I am familiar with the problems in the 2nd and 15th, and I know that facility well. I think a lot of the issues are due to the drain water that comes in.

Open in source Similar wording

Councilman Henon

It's a space that is overflowed with folks not going -- they Discover Works Global 888.557.8650 www.dw-global.com could be working out in the parking lot in residential neighborhood that I've repeatedly tried to -- my office had tried to, you know, convene and meet to discuss this with the former Safety -- Deputy Safety -- Mayor of Safety or her new Chief of Staff and to no avail. So I would like to request that you -- REBECCA RHYNHART: I'm sure if you want that meeting that we can schedule something so that we can talk about it.

Open in source Similar wording

Councilman Henon

I appreciate it. I just learning something from our majority leader here that kind of laying the ground work out for, you know, departmental hearings in the upcoming, you know, weeks you know relating to thinks that, you know, that I hear every day. I hear about this deplorable conditions, you know -- or I just heard from the Water Department that they're spending $36 million and I'm sure it's needed for vehicles when we have 5, 6 vehicles, you know, for our police officers who are trying to keep our, you know, our citizens safe, you know, at any particular time. So there's a need for a lot of resources, you know, for our officers and our fire departments. So I just wanted to, you know, through Discover Works Global 888.557.8650 www.dw-global.com that out there and see if we can, you know, start the conversation and actually sit down and have some talks about it. REBECCA RHYNHART: Sure.

Open in source Similar wording

Councilman Henon

In referencing in regarding the Department of Rec. Due to the new redistricting of our legislative body here in the City of Philadelphia, I inherited four new rec centers, and I have what approximately 30 rec centers, Pennypack park, seven pools and a very limited budget to service the needs and the status of our rec centers. You know I'm interested in, you know, our Deputy Mayor of Parks and Recs has been gracious to, you know, come to discuss how he could be cooperative and combining some of the money to actually, you know, address some of the issues. But it seems like my issues are a little larger than, you know, maybe others. You know this is a serious problems we're just band-aiding, fixing, you know, to keep our rec centers and some of our public properties safe for our children. We have the summer coming up and it's very concerning. So again, you know, I know we're on limited budget, you know, I'd like to see if we can find a little more money to address somebody who is bursting at the Discover Works Global 888.557.8650 www.dw-global.com seams with, you know, public resources, you know, that we can, you know, have a safe place for our kids and families to enjoy. REBECCA RHYNHART: We'll be happy to talk with you.

Open in source Similar wording

Councilman Green

About five. So that's really about six-and-a-half million dollars in interest that we paid this year that we don't have to pay if we don't borrow the money until we need it if we have the commercial paper program. Six-and-a-half million dollars a year is real money. REBECCA RHYNHART: If it would be feasible. But there's issue of commericial paper on the GO, the issue of commericial paper so -- and this is probably a more detailed conversation to be had with the treasury on this subject, which could be continued at a later date.

Open in source Similar wording

Councilman Green

Back to Councilman Henon's questioning with respect to the police and fire stations, et cetera. I just want to make a point about -- and I made this point every single year with respect to budgeting even in the Capital Budget for prioritizing and presumably everything that we've chosen -- the Administration has chosen to spend money on it thinks is more important than things that it has not chosen to spend money on. And so in that context I'd like to say spending $20 million to redo Love Park instead of cleaning it, and not spending it in Police Districts 15th and 2nd which are deplorable is a choice that Discover Works Global 888.557.8650 www.dw-global.com the Administration is making. Choosing to spend the money in Love Park instead of choosing it to be spent in a commercial corridor or in rec centers or at pools is a choice that the Administration has made. And as we get through the hearings on the different budgets and impacts, I think it's going to be a fair question to ask the Administration to defend that choice. REBECCA RHYNHART: I would like to try to defend it a bit right here, if that's okay. I think that when we create the Capital Budget there is a balance of making improvements to all the City neighborhoods and all the City facilities. So out of 117 million Fiscal '13 Capital Budget there is $11 million for Love Park. There's also nine-and-a-half million for neighborhood rec centers and pools. There is $3 million for libraries. There is money for various facilities in the neighborhoods. So if you add it up our rate greatly exceed the 11 million that we're putting towards Love Park. So there is a balance that we look at between the neighborhoods and Center City, which is also a neighborhood but also a civic center for the entire City that we try to balance. And your point of would it be good if we could spend Discover Works Global 888.557.8650 www.dw-global.com money on many more things, yes, it would. But every year we try to create a balance that make sense for the whole City.

Open in source Similar wording

Councilman Green

No, I'm comparing it to the investments you said you were making in neighborhoods, which I believe was 13 million. REBECCA RHYNHART: I think it was many more than that. I just at the top of my head I mean I know that there's at least, you know, the nine-and-a-half -- and then there's seven Discover Works Global 888.557.8650 www.dw-global.com million in police -- six point seven million in police and fire, there's nine-and-a-half for recs and pools, there's two point nine million in libraries. There's a lot of neighborhood improvements.

Open in source Similar wording

Councilman Green

That's right. And the other big choice that is made by the Administration when talking about Capital dollars is not just what's in the budget, but what is spent during the course of the year. And so I can assure you that if we appropriate the Love Park money that's going to be spent next year. I have absolutely no assurance that if we appropriate the money for police stations as we have in past years, and I'm about to go through that, that it will be spent because that money is not being spent. REBECCA RHYNHART: I don't think that's fair to say that because I don't think that would be right. I think that as I've mentioned there is an issue with the speed with which we finish Capital Projects that would apply to all Capital Projects.

Open in source Similar wording

Councilman Green

The police mechanical, electrical, plumbing improvements with a project cost of $4,477,453 based on a 2009 letter I Discover Works Global 888.557.8650 www.dw-global.com think from Commissioner Sauderback, that was to be completed -- this the first construction being impacted, so that was to be completed in March of 2010. I'm sorry, all construction -- all work is for July 2011. Has that work been started or completed? REBECCA RHYNHART: I don't know the answer offhand to that project.

Open in source Similar wording

Councilman Green

I'm referring to the projects that the Administration sent us in 2009 giving us specific completion dates for them because of conversations like the one that we're having right now about us appropriating money for things that we consider to be important and it not being spent and other things being prioritized. And so my point is if you don't have that Discover Works Global 888.557.8650 www.dw-global.com off the top of your head we can discuss it when we get to the specific departments or we can discuss it on call backs -- ROB DUBOW: Sure.

Open in source Similar wording

Councilman Green

Maybe we'll call back on these specific projects. But the fact of the matter is the money -- it was only 4 million, but that appropriated for Dilworth Plaza las year is being spent this year, and that seems to just work out that way. With respect to -- let me see. Give me one second. So previously DPP provided a list of five critical projects designated for PICA funding indicating that all projects would be finished by the end of 2011. From the Capital Program F13 to 16 it looks several of those projects including 17 building improvements, quote, that are essential to 18 maintain operations and safety at fire department facilities have been pushed back for several more years. It also appears that almost 7.2 million in available funding from PICA for these facilities, fire, police dating back to FY08 for these projects, 6.2 million for police facilities and million for fire facilities has not been spent. Discover Works Global 888.557.8650 www.dw-global.com So could you please -- ROB DUBOW: I can. I can go over every project with you. Every project is -- we have one roof project completed. We have three NAP projects deep into construction right now, I'm talking about police. The SWAT/Bomb unfortunately which was $5 million is just getting off the ground, we just made the awards on that. But that costly non-income yet.

Open in source Similar wording

Councilman Jones

Are there any other questions, comments from Members of the Committee? The hearing being none this Committee will stand in recess until Monday, April 2, 2012 at Discover Works Global 888.557.8650 www.dw-global.com 10:00 a.m. Thank you. (At this time, the Hearing was concluded at 4:03 p.m.) Discover Works Global 888.557.8650 www.dw-global.com C E R T I F I C A T E I, HEREBY CERTIFY that the proceedings, evidence and objections are contained fully and accurately in the stenographic notes taken by me upon the foregoing matter on March 28, 2012, and that this is a true and correct transcript of same. ------------------------- APRIL KATE YOUNG

Open in source Similar wording