Committee Hearing, February 28, 2005

- - - COUNCIL OF THE CITY OF PHILADELPHIA PUBLIC HEARING - COMMITTEE ON FINANCE - - - Room 400, City Hall Philadelphia, Pennsylvania Monday, February 28, 2005, 11:00 a.m. - - - 040133 - An Ordinance amending Section 17-104 entitled "Prerequisites to the Execution of City Contracts" by adding a new subsection (2) entitled "Slavery Era Business/Corporate Insurance Disclosre" to promote full and accurate disclosure to the public about any slavery policies sold by any companies or profits from slavery by other industries (or their predecessors) who are doing business with the City of Philadelphia and recodifying Section 17-104 by incorporating various technical changes; all under certain terms and conditions. PRESENT: COUNCILWOMAN JANNIE L. BLACKWELL, Chair COUNCILWOMAN ANNA C. VERNA, President COUNCILWOMAN BLONDELL REYNOLDS BROWN COUNCILMAN W. WILSON GOODE, JR. COUNCILMAN JAMES F. KENNEY COUNCILMAN RICHARD T. MARIANO COUNCILMAN JUAN F. RAMOS - - - V A R A L L O Incorporated Litigation Support Services 1835 Market Street, Suite 600 Philadelphia, Pennsylvania 19103 215.561.2220 215.567.2670 2 Finance - 040133 - 2/28/05 - - - P R O C E E D I N G S - - -

We will now call into session our hearing before the Committee on Finance, with regard to Bill 8 Number 040133. A quorum is present. To my left, the far left, is Council President Anna Verna. To her right is Vice Chair Councilwoman Blondell Reynolds Brown; to my right, Councilman W. Wilson Goode; and to his right, certainly, is Councilman Rick Mariano. So, we have a quorum present, and we will now ask the clerk to read the title of the bill.

Bill Number 040133, an Ordinance amending Section 17-104 entitled "Prerequisites to the Execution of City Contracts" by adding a new subsection (2) entitled "Slavery Era Business/Corporate Insurance Disclosure" to promote full and accurate disclosure to the public about any slavery policies sold by any companies or profits from slavery by other industries (or 3 Finance - 040133 - 2/28/05 their predecessors) who are doing business with the City of Philadelphia and recodifying Section 17-104 by incorporating various technical changes; all under certain terms and conditions.

Thank you very much. We will now have remarks from the sponsor of the bill, Councilwoman Blondell Reynolds Brown. And this bill is co-sponsored by Councilman W. Wilson Goode.

Thank you, Madam Chair. Good morning.

Good morning.

Let me say at the door a special thank-you to my staff and to the tech staff who have worked very thoughtfully and diligently on this bill over the past 12 months. I appreciate their due diligence. Many of us might agree that this discussion is long overdue, but Martin Luther King said, the time is always right to do 4 Finance - 040133 - 2/28/05 that which is right. So, be that as it may, we're here to have this important discussion on this important issue. And just let me put my teacher hat on for 60 seconds or my former teacher hat on and remind us that on this day in 1932 Richard Spikes, an African American, applied for the patent of the automatic gear shift. So that which is a normal part of life for us, it was an African American man who made that possible. And we should always seize the moment and lift up those from our community who are now making a difference some 100 years later. On behalf of my colleagues, I want to welcome all of you to this important proceeding. And let me say thank you to the members of the administration and individuals representing various civic and civil rights organizations who have joined us today. And let me give a special hello to the young people, to the students, who will see this on a public school network. Let me seize the moment and mention 5 Finance - 040133 - 2/28/05 also that 225 years ago on this day Pennsylvania became the first state to abolish slavery. Our hope is that the learning that the young people and members of this audience today will -- it will move us to making a difference on this particular issue. This public hearing of City Council's Finance Committee is on Bill Number 040133, known as the Philadelphia business corporate and slavery era insurance ordinance. This legislation is patterned after legislation enacted by the Chicago City Council in late 2002. So, it is not new. It is always helpful to look to see what is happening in other major cities across the country. It would require all corporations and businesses who seek city contracts to search their records and disclose, disclose in bold letters, underscored, whether or not they have derived profit from the business of slavery. 6 Finance - 040133 - 2/28/05 States and local governments all across the nation have adopted and implemented financial, environmental and social disclosure and accountability legislation. These policies make it possible for government officials to review levels of quality and the nature of outcomes resulting from corporate, public and private interactions. And polls reveal that between 75 to 85 percent of the American public favor these measures. Let's repeat that. Between 75 to 85 percent of the American public favor the measures like that which we are considering today, especially when public dollars are involved. These proactive policies are vital because they aid in determining if any corporate relationship will be helpful or harmful to patrons and purchasers of goods and services, to providers of goods and services, to our labor forces, to our environmental surroundings and resources and 7 Finance - 040133 - 2/28/05 to our local and regional communities at large. What is the value of disclosure? Why have this hearing? Through disclosure a message is sent to all stakeholders that a company is willing to abide by the terms of a social contract which will require the company to be collectively and consistently responsible for its behaviors, responsive to quality standards of operation and universally committed to fair and humane principles. Today, on this last day of African American history month, we will hear testimony about an aspect of our history, African American history, and American history, that has not received enough exposure, particularly in our school curriculum, the role that certain as yet unidentified private businesses played in promoting and profiting from the slave trade, a most embarrassing and I would say fragile part of African American history. Where are we now?

We will arrive at 8 Finance - 040133 - 2/28/05 a new era when corporations are able and willing to face their past and make proper amends, whatever they may be, for any egregious wrongdoings, while the corporations of today in many ways may not reflect related entities of the past. Present day management cannot escape the results nor the implication of a legacy buried in our history. What is our goal? As mentioned, I modeled Bill Number 040133, known as the business corporate and slavery era insurance ordinance, after a Chicago measure passed a little more than two years ago. With this legislation, we are seeking the answer to basic questions about the companies doing business with the City of Philadelphia. What was your relationship to slavery? What did your company do during the slavery era? Did you accumulate profits from slave trade, labor and/or ownership? What can we expect? Companies disclosing slavery ties will not be banned from securing city contracts. Instead, they 9 Finance - 040133 - 2/28/05 will be required to turn over the findings to city officials. Companies falsely claiming that they had no slave history will render their contacts voidable. The Chicago legislation has had a significant impact on bringing home and making relevant our understanding of corporate ties to the slave trade. That's just one example. The Chicago ordinance forced J. P. Morgan Chase & Company to acknowledge that its roots are linked to the 19th century slave trade and that it profited from the free labor of more than 13,000 Africans. The company wrote in a statement, and I quote, recently J. P. Morgan completed extensive research to meet a commitment to the City of Chicago. Today our research found that between 1831 and 1865, two of our predecessor banks, Citizens Bank and Canal Bank in Louisiana, accepted approximately 13,000 enslaved individuals as collateral on loans 10 Finance - 040133 - 2/28/05 and took ownership of approximately 1,200 of them when the plantation owners defaulted on the loans. Other cities, including Los Angeles and Detroit, have passed slavery era disclosure legislation. And I understand, again, based on some homework, that New York City is currently considering similar legislation. This is an important public hearing for our city, not only because it sheds a powerful light on a very dark time in the life of our nation. It also brings to the open the secrets that some, if not many, have kept hidden and/or discarded. It also helps to set and keep in motion the determination of the majority of us who want to take advantage of the opportunity this new age of enlightenment presents. And that is a chance to put in place an essential element, corporate disclosure and transparency in the social contract of the 21st century, agreements that will indeed 11 Finance - 040133 - 2/28/05 protect and promote the common good for all of us, today and tomorrow. That is our goal. We will now commence with the hearings. And again, I thank each one of you for your interest, for your presence because you could be any place else today, but you chose to be here. And you need to know we appreciate that. )

We will now with proceed with the testimony.

Thank you very much. Would anyone else like to make a statement? (No response.)

All right. We will begin with Commissioner for Procurement, Mr. William Gamble. Commissioner Gamble. Thank you very much for being here. Your next witness will be your Deputy Finance Director, Michael Williams, from MBEC. Good morning and thank you. 12 Finance - 040133 - 2/28/05

Good morning.

Please identify yourself for the record and begin your testimony.

My name is William Gamble, Procurement Commissioner. Good morning, Councilwoman Reynolds.

Good morning.

And members of the Finance Committee. I am William Gamble, Commissioner of Procurement Department. I am here there morning to testify regarding Bill Number 040133, known as the Philadelphia business corporate and slavery era insurance ordinance. As a public official and as African American, I view this ordinance as important to the City of Philadelphia. It is imperative that the City of Philadelphia participates in a process that does not exclude anyone from the competitive process. As Procurement Commissioner, it is my job and responsibility to ensure that 13 Finance - 040133 - 2/28/05 everyone is given the opportunity to bid on city contracts. Procurement has participated in workshops that inform businesses about city opportunities. Procurement implemented program has allowed small business and minority business to compete for contracts up to $25,000. It is socially and economically wrong to do business with companies who are receiving the benefits of people working hard and not being paid a decent wage so that they can increase their profits. These companies should be exposed. The community needs to know who they are and how they are exploiting individuals. Thank you for this opportunity this morning. I'll be happy to answer any questions you may have.

Thank you very much, Commissioner. And we thank you for your cooperation. Whenever we have called, you've always responded. We thank you for that. 14 Finance - 040133 - 2/28/05

You're welcome.

How would your office, then, react to a company, such a company that you became aware of who admitted or didn't admit that they were -- that they were involved in this infraction of the rules?

Well, Councilwoman, what we would do is that we would require all our companies who are doing business with us to divulge whether or not they have currently or in the past been engaged or profited from slave labor. And if individuals, if they're self insured -- self-certifying situation, and it would find that they have violated it, then one of the benefits that we have for us is to deem that company to be non-compliant, and also to find them not responsive, and also to bar them up to five years of doing business with the City of Philadelphia.

Repeat that last statement. And to what?

We would bar them from 15 Finance - 040133 - 2/28/05 doing business with the City of Philadelphia up to five years.

Great. Are there further questions for the Commissioner? Councilwoman Brown.

Currently Philadelphia does not have the practice that we are advocating for today and past professional experiences. Do you have any experience that speaks to what we're proposing today and other professional opportunities where you've worked, Commissioner?

Well, Councilwoman, I have worked in city governments that had ordinances similar to this, South Africa as an example, where if a company was doing business with South Africa, then they would not be allowed to do business with South Africa and have a city contract. So that, I think, is similar to it. And also, we have had experience in dealing with Northern Ireland, where there was an ordinance that the city passed that 16 Finance - 040133 - 2/28/05 required that if you do business with Northern Ireland, that you could not do business with the city.

So, clearly we have examples of where this interest and initiative has worked effectively.

That's correct.

Would you agree?

I agree.

If my memory serves me correctly, I remember when former Congressman Bill Gray was in the House of Representatives, and our former dearly beloved State Representative David P. Richardson was in the state house, and they put forth similar legislation regarding South Africa. And they were both successful in getting that passed through. I thank you for your testimony.

You're welcome.

Thank you. Other members of the committee have questions for the Commissioner? 17 Finance - 040133 - 2/28/05 (No response.)

Thank you very much, Commissioner.

Thank you.

Mr. Michael Williams, Deputy Finance Director, Minority Business Enterprise Council. Good morning. Thank you for being here.

Thank. Good morning.

Good morning.

Good morning. Would you identify yourself for the record and begin your testimony.

I'm Michael P. Williams, Deputy Finance Director.

Pull your microphone closer, Mr. Williams. Thank you.

How's this?

That's better.

Okay. Good. Michael P. Williams, Deputy Finance 18 Finance - 040133 - 2/28/05 Director, Minority Business Enterprise Council. Good afternoon, Councilwoman Reynolds Brown and members of the City Council and this committee. I am here today to offer testimony on Bill 040133, which requires entities doing business with the City of Philadelphia to provide full public disclosure of any slavery policies sold by their company or profits from slavery received by their predecessors. Slavery is the United States of America's greatest shame and tragedy. The trafficking of human beings, the brutality, the forced labor under intolerable and inhumane conditions, the purposeful and frequent breaking up of families, the beatings, whippings, rape and wholesale slaughter... (Sound turned higher.)

That's much better.

I apologize.

That's all 19 Finance - 040133 - 2/28/05 right.

Should I continue from where I started or should I start over again?

Why don't you start over for all of us.

Okay.

In case someone behind you did not hear.

So sorry.

That's all right. Technology.

Good afternoon, Councilwoman Reynolds Brown and members of City Council. I am here today to offer testimony on Bill 040133, which requires entities doing business with the City of Philadelphia to provide full public disclosure of any slavery policies sold by their company or profits from slavery received by their predecessors. Slavery is the United States of America's greatest shame and tragedy. The trafficking of human beings, the brutality, 20 Finance - 040133 - 2/28/05 the forced labor under intolerable and inhumane conditions, the purposeful and frequent breaking up of families, the beatings, maimings, whippings, rape and wholesale slaughter... This will always be part of America's legacy. The slave trade in this country lasted approximately 270 years, beginning in the early 1600s, 170 years before the American revolution. There are some that say we, as Americans, should get over this horrendous time in American history and move on. Well, I would remind those people that slavery's children, lynching, the rise of the Ku Klux Klan, forced segregation, Jim Crow laws, kept slavery's insidious influence in this country alive almost 100 years after slavery was officially banned. Other vestiges of slavery: Poverty, inadequate educational resources, covert and overt racism, racial discrimination, inequity in the justice system, still exist to this day. 21 Finance - 040133 - 2/28/05 To say that we are still fighting for complete racial equality after over 400 years of systemic degradation is unbelievable. Yet, here we are today. Racial discrimination, one of slavery's longest-lasting and most destructive remnants, has played a significant and extremely detrimental role in the overall lack of significant minority participation in City of Philadelphia contracting, as well as in private contracting in this region. The statistics, which chronicle the lack of significant minority participation, tell only half the tale. It is minority vendors that have had and still face an uphill battle and an unfair struggle to fully and significantly participate in contracting opportunities within city government and in the private sector. To hear their stories, to listen to their tales of being excluded from contracting opportunities, finding inappropriate and inadequate financing and 22 Finance - 040133 - 2/28/05 bonding, and thus having little opportunity to compete on a fair and level playing field, is absolutely heartbreaking. While overt racial discrimination is relatively easy to root out, covert racial discrimination is unfortunately alive and well. Covert racial discrimination, in the form of, for example, unfair and burdensome barriers put up to discourage and/or outright deny minority contractors business opportunities is part and parcel of any minority businessperson's attempt to do business here in Philadelphia. Racial discrimination also, of course, has deeply affected work force development, as well as minority participation in city and private sector contracting. All one has to do is to stroll by a construction site anywhere in this region to see the dearth of people of color working on these construction sites, is evident and shameful. 23 Finance - 040133 - 2/28/05 Racial discrimination is a direct descendent of slavery. Although racial discrimination permeates every aspect of modern day society, its power and influence are felt most in business and economics. The minority business enterprise council, MBEC, was created by the city in recognition of the fact that racial inequality in business and commerce exists, despite the abolition of slavery and institutionalized discrimination. At MBEC, our ultimate goal is to further the city's commitment to equalizing the imbalance of wealth and power that slavery created in this country. E. E.

business opportunities throughout the Philadelphia region, improve the MBEC certification process, establish a compliance and 24 Finance - 040133 - 2/28/05 enforcement unit to monitor compliance, partner with ethnic chambers of commerce to initiate economic development projects, and initiate outreach programs to the minority communities to educate them about MBEC and encourage their participation in the MBEC certification process. Any and all attempts to eradicate the vestiges of slavery should be supported, lauded and applauded. Therefore, MBEC enthusiastically supports Councilwoman Reynolds Brown and her fellow Council members in this effort to extinguish the legacies of slavery. Thank you very much for this opportunity to testify. And I will take any questions that you have.

Thank you. I have two. Number one, how would your office react to such a company? And number two, what could your office do, you think, to better -- to foster better relationships between such a company and the city? 25 Finance - 040133 - 2/28/05

Well, first of all, the most of the vendors that we deal with are minority women or disabled vendors. So, we would hope that wouldn't be one of the minority companies. But if were found that, through our due diligence of this bill, that if it was a woman or a disabled vendor who was a majority vendor who had what -- some of these practices in the past, we would remove them from our database. We would feel that that would not be in the city's interest to support a business like that. Now, to foster relationships to them, I actually don't know what we would do. I would have to take the lead from Council to see how they -- how they would want to react, if we had a large company who was found to do that, how we could get them back into the graces of trying to do business with the city.

Questions or follow up? Councilwoman Brown? Finance - 040133 - 2/28/05

We thank you for your testimony. And I believe that your testimony firmly stands on its own. So, I thank you very much.

Absolutely.

Thank you very much.

Thank you. Thank you, Mr. Williams. (Applause.)

Paris Frazier. That is COBRA/CAREY. Good afternoon.

Good morning, Chairwoman Blackwell.

Good morning.

And members of the Finance Committee. I am Paris Frazier, co-chair of the Philadelphia Chapter of N'COBRA, the National Coalition of Blacks for Reparations in America. Today I would like to express some of the benefits from an ordinance for 27 Finance - 040133 - 2/28/05 slavery, for ties to slavery disclosure. Philadelphia and New York are in the spotlight during Black History Month, with proposed -- with proposed ordinances for slavery era disclosure. Similar laws now exist in Detroit, Chicago and Los Angeles. Philadelphia would benefit from responsible city vendors willing to research their history on ties to slavery. It would be advantageous to school children by providing them with an opportunity in their early education by showing how the institution of slavery was intertwined in the American history and ingrained in American society. All Philadelphians would be beneficiaries from exposing and confronting the past, and would learn to live without discrimination, to live without prejudice and intolerance today. Thank you.

Thank you.

Thank you. Very much. Are there questions? 28 Finance - 040133 - 2/28/05

Just one comment. Your remarks with regards to how advantageous it would be for school children is ironic that we had these hearings right on the heels of the School District's new mandate to see that African American history becomes an integral part of the curriculum from K through another year from now. 10 So, for the city to move in the 11 direction of disclosure and link that, if you 12 would, in a responsible way with what the school system is now mandating would be welcome. So I couldn't agree with you more on that. I thank you for your testimony. Can you recommend anything further than what you've given in your testimony on how we on this side of the table can move this, based on your own experience? Anything further you believe we should do on this side of the table?

Well, we would like... My fellow reparators and I would like the opportunity to meet with you in the future to add to this. I think we have a number of 29 Finance - 040133 - 2/28/05 things that we would like to discuss further with this.

Subsequent incremental steps, apart and separate from what this measure seeks to accomplish today?

No. Even to -- Even to add further. But I would refrain until I had the opportunity of my fellow reparators to, you know, discuss it.

Okay. Then, we will welcome a sit-down.

Okay.

Thank you again. (Applause.)

Thank you. Mr. David Hansen, Philadelphia Historical Society.

Good morning.

Good morning. Please identify yourself and begin your testimony. 30 Finance - 040133 - 2/28/05

I'm David Moltke-Hansen, President of the Historical Society of Pennsylvania.

Is it Moltke?

Moltke-Hansen. It's a hyphenated last name.

Moltke-Hansen. Okay. Thank you.

Thank you. The Historical Society of Pennsylvania and its representatives do not advocate for or against legislation. Neither do we advocate for or against historic preservation actions. Rather, we support and share the work of those who bring history to the public by making available one of the great libraries of American history, 20 million items, curricular materials for teachers, programs for historic site interpreters and a variety of publications and web-based materials aimed at researchers and our community history partners. 31 Finance - 040133 - 2/28/05 Here today, however, I may speak to, one, slavery's roles in Pennsylvania history; two, the question of who in Pennsylvania benefited from slavery; three, the issue of researching and documenting such benefits. Slavery's roles. Slavery was present across Pennsylvania, southern border, in Maryland and Virginia long before William Penn founded his colony. Although later the Society of Friends in the colony worked for slavery's abolition, William Penn owned slaves. Slavery continued in Pennsylvania through the Colonial period. As before the American revolution, some wealthy Pennsylvanians owned plantations and slaves after the war, in the south, although the Commonwealth had eliminated continuing slave ownership within its borders. Indeed, some of the wealthiest slave owners in the country in 1860 had grown up in Pennsylvania before migrating to Natches, Mississippi. 32 Finance - 040133 - 2/28/05 These slave owners were not the only Pennsylvanians to benefit from slavery. The Philadelphia area was the chief center of the American insurance and textile industries. And enslaved African Americans produced most of the cotton that Irish immigrants and others turned into cloth and clothing in the area factories owned and insured by wealthy Pennsylvanians. The people who built the homes and factories for and provided the goods and services to these magnates and their kin all received pay that derived in some part from slavery. The same may be said of everyone who dealt with the Philadelphia merchants and bankers who had business relations or often, too, family ties with the south. Tourists now also are involuntary beneficiaries of this wealth when they visit the historic sites and see the art and furniture acquired by these leading Philadelphia families. Indeed, many of the area's 33 Finance - 040133 - 2/28/05 non-profit institutions and their publics in some degree are the incidental and inadvertent beneficiaries of wealth and collections developed by participation in an economy in part based on slavery. Intellectually, too, we have been the heirs, in some degree, of slavery. All the Christians, Jews and Muslims who honor Abraham, father of Isaac, as a spiritual ancestor, are claiming attachment to a slave holder. Plato and Aristotle, the great ancient Greek philosophers, had their lives made easier by slaves. Even Beowolf, the Anglo-Saxon writer, lived in a society with slaves. Scholars have long known these broad implications of slavery in the life of Philadelphia and Pennsylvania. It is more difficult to establish which one of today's individual domestic corporations, foreign corporations, associations, syndicates, joint stock companies, partnerships, joint ventures or 34 Finance - 040133 - 2/28/05 unincorporated associations, including any parent company, subsidiary, exclusive distributor or a company affiliated therewith, engaged in a business or commercial enterprise, derived profits from slavery. Does one include an auction house that has collected a commission on the sale of something once owned by a slave holder? Does one look to the boards of directors or the members of an association or partnership to determine whether anyone had a slave-owning ancestor? Many company's records no longer exist or exist only in part. Smaller businesses often did and do not have elaborate records.

Some records are scattered among many institutions and are not always adequately cataloged or inventoried. An aside: We're working very hard on that issue for Philadelphia area institutions. British government -- British government records may tell part of the 35 Finance - 040133 - 2/28/05 story. Federal records may tell part, as may Commonwealth records. To determine with a fair degree of certainty that an antecedent enterprise had no profits, however broadly or narrowly defined, that derived from slavery can be enormously expensive and time-consuming. Historians would welcome the employment. In the end, failure to find proof of involvement in slavery-derived profits will not certainly clear a current enterprise from the imputation of such profits made by an antecedent enterprise because of those difficulties and full research. Thank you. I'd be pleased to take questions, if there are any.

Thank you very much. Are there questions for Mr. Moltke-Hansen? Councilwoman Brown.

I will yield to Councilman Goode.

Thank you. 36 Finance - 040133 - 2/28/05 Councilman Goode.

Thank you. Why does the Historical Society take no position on the legislation?

Well, for three reasons. One, we are a non-profit, and we are under 501-C3. And we are very concerned about the perception of our lobbying. Two --

Taking a position on legislation is not necessarily lobbying.

Understood. Two, we have a small staff, and are being requested frequently to take positions on a variety of issues that confront the historical community. And as a matter of policy, at some point in the past it was decided that we would not respond to any such inquiries except in an informational capacity, such as I have tried to provide today. And --

Aside from a formal policy position, do you have a personal opinion on legislation?

I do. But that 37 Finance - 040133 - 2/28/05 is -- As I'm here as a representative from the Historical Society, and was invited in that capacity, it's inappropriate for me to share that in this venue. I'd be pleased to speak to you privately outside.

Thank you. Thank you, Madam Chair.

Thank you. Councilwoman Brown.

I'd be pleased to hear your point of view off the record as well. What is the defined role of the Historical Society of Pennsylvania?

We are created to document and provide access to and to share materials from the history of the city, Commonwealth and nation, and are preeminent in the nation in documentation of elements of the nation's founding, and in documenting the ethnic and racial diversity of the nation.

Do you have a floor, a corner, files, a portion of the 38 Finance - 040133 - 2/28/05 Pennsylvania Historical Society... The Historical Society of Pennsylvania -- let me get it correct -- devoted to this period in our state's history?

We have very extensive documentation. However, archival principles require that we organize this material according to the people who created the records and for the -- and with regard to the ways in which the records were created and stored, rather than by subject matter, so that the research required in these records, many of which are not yet fully inventoried, is very extensive, which was the point of part of the point of my latter comment. And these records are shared by us with other institutions in the community, and the Library of Congress, and the Schlessinger Library at Harvard. And the list goes on and on and on. So then, even for Pennsylvania subjects, it is not possible to do all the research in Philadelphia or Pennsylvania.

Well, you make 39 Finance - 040133 - 2/28/05 the comment in your last paragraph, and I quote, many company's records no longer exist or exist only in part. That is based on what? Requests from companies who have come to you seeking a historical information or what? Help me out.

We are the recipients of records on an ongoing basis --

I see.

-- from companies. And for instance, we've just entered into a contract to sort and house and provide research as access to the records of the Philadelphia Cotton Exchange. I mean Philadelphia Stock Exchange. Excuse me. And we have many records of businesses, often involved in family papers as well, because, of course, the separation between corporate and private lives in the 18th century was not nearly so substantial as it has become for many in the 20th century.

I see. My final question. You mention in 40 Finance - 040133 - 2/28/05 your testimony that your society provides curricular materials for teachers.

We do.

Just discuss that briefly. How does that happen? A teacher reaches out to you or you have a standard relationship, partnership?

We have -- We are a recipient of funds from the State Department of Education.

Okay.

And are working very intensively with members of the Philadelphia school community. We are currently focusing on eighth grade but hope to eventually go to high school, and also to fourth grade in the other direction. And the reason for the focus on eighth grade is, that's one of the areas where the curriculum that we're developing with state funding on ethnic and racial history of Pennsylvania is central.

Is it system 41 Finance - 040133 - 2/28/05 wide?

It's...

Is the program system wide for all eighth graders across the city?

It's available to the entire state.

Okay.

And the city is making use of parts of it, and it's available on our web site.

Okay.

As well as through printed materials.

Okay. That's a different answer to the question. Can you tell me which schools in the Philadelphia public school system are taking advantage of this program? Because it's one thing for it to exist, and teachers and principals know about it. It's another thing for it to exist and they have no clue that it's available to provide for their students. 42 Finance - 040133 - 2/28/05

I would be pleased to provide for you a list of all the schools who are sending teachers to our workshops and the people with whom we are in contact. I will ask my director of education and interpretation, Kate Wilson, to develop that material.

Please. If you could forward that to the Chair, that would be very, very helpful.

We would be pleased to do that.

Final question around that. How does the awareness happen? Do you send out a notice to Mr. Vallas and the head of the high school component, Mr. Craig Williams, who's responsible for getting that information to eighth graders? How does that connect happen, in terms of awareness?

We are developing a much more extensive list than that. And we'll be pleased to share it with you, the parameters of that list as well, and 43 Finance - 040133 - 2/28/05 how we are going through building that.

How old is this particular program?

It began in an experimental mode or developmental mode three years ago. And we are -- we have just gone live in the last year.

So it's a multi-year grant.

It's a multi-year project, yes.

And how many years is it?

It's ongoing.

I see. So...

And for so long as the state department finds it worthwhile to do so. There is no terminus ad quem that I'm aware of.

I'll anxiously look forward that information you provide to the Chair on the listing of schools currently aware and using and taking advantage of that program. 44 Finance - 040133 - 2/28/05

We'll be pleased to provide that material.

Thank you for your testimony.

Thank you very much.

Thank you again. Mr. Ronald Johnson, NCA. Gwen and Joe Ragsdale are next.

Good morning. Thank you for your patience. Please identify yourself for the record and begin your testimony. Good morning.

Good morning. My name is Ronald Johnson. I'm here today representing the National Coalition of Blacks for Reparations in America, Philadelphia Chapter. To Councilwoman Jannie Blackwell and all members of City Council, first and foremost I want to pay tribute to my African ancestors, whose trials, tribulations and 45 Finance - 040133 - 2/28/05 great legacy is the foundation on which I stand before you today. I give respect to Alderwoman Dorothy Tillman of Chicago, Illinois, for having the wisdom to introduce a slavery era corporate disclosure bill in the Chicago City Council and have it signed into law. I want to give respect to Council members Blondell Reynolds-Brown and Wilson Goode, Jr., for having the political courage to introduce a slavery era corporate disclosure bill in this City Council, and Councilwoman Jannie Blackwell for having the political will to conduct this public hearing today.

Thank you.

Finally, I want to give honor and respect to my Councilman, Michael Nutter, for first introducing a resolution in 1999 recognizing Reparations Awareness Day in the City of Philadelphia. Why must City Council Bill Number 040133 be made law in the City of Philadelphia? 46 Finance - 040133 - 2/28/05 The unpaid labor of my enslaved African ancestors was the fuel that ran the economic engine of this new nation known as the United States of America. It was the unpaid labor which propelled this new nation to become one of the most powerful nations in the world today. Cotton, tobacco, and rice were just a few of the products produced by the unpaid labor of my African ancestors. Financial institutions, such as banks and insurance companies profited from insuring enslaved Africans, as well as the direct sale of enslaved Africans from one plantation to another. There are precedents in international law that entitle descendants of enslaved Africans to their just inheritance. Even more important than international law is a spiritual power behind this movement to restore and repair descendents of enslaved African people stripped of their original land, names, religion, language, and culture. 47 Finance - 040133 - 2/28/05 In Collosians, Chapter 4, Verse 1 it reads, masters, give unto your servants that which is just and equal knowing that ye also have a master in heaven. In Jeremiah 22, Verse 13, it reads, woe unto him that buildeth his house by unrighteousness and his chamber by wrong, that uses his neighbor's service without wages and give him not for his work. Those governments, businesses, institutions of higher learning, and religious denominations, as well as individuals, who profited unjustly must be held accountable and contribute financially to the ongoing repair of the descendents of enslaved African people, illegally kidnapped and immorally forced into mental and physical slavery in these United States of America. Thank you. I'll take any questions.

Thank you very much. (Applause.)

Thank you again. 48 Finance - 040133 - 2/28/05 Councilwoman Brown.

Yes. I'd like to pose the same question. Let me first thank you for your testimony.

You're welcome.

And as much as you give respect to my colleagues, Councilman W. Wilson Goode and Councilwoman Jannie Blackwell, let me also salute and applaud your vigilance and what my mother calls sticktoitiveness, in making sure that we bring this up and put this up on the radar screen.

I appreciate that.

Can you recommend anything further than what you have given in your testimony, that we on this side of the table should consider as we proceed?

The only thing is to move this process as fast as we can, in a reasonable amount of time, to bring this bill 23 before the full Council for a vote. I mean, that's pretty much where I'm at with it.

Have you 49 Finance - 040133 - 2/28/05 participated in any other lobbying efforts here or elsewhere around this issue?

Yeah. Washington, D.C. We're constantly lobbying to have House Resolution 40 passed in the Congress. And we're also involved, not actively but we do have to step up, trying to get the... There's a state bill also tailored after the bill in Washington. It's called a Commission to Study Reparations for African Americans Proposal. It's a state bill introduced by -- originally introduced by David Richardson.

I see.

Currently introduced by Representative John Myers.

I see.

So, that's where... You know, we're constantly lobbying for those bills.

And the status of the bill in the State House is that it has been introduced?

It's introduced every 50 Finance - 040133 - 2/28/05 year, but...

I see.

As well as the Federal bill. They're in committee. And I believe these hearings and these bills that are being passed in the cities around the country may be -- may be the fuel to help move those bills out of committee, on both the federal and state level.

Okay, then.

I have also, if I may read a letter of support from an organization called the Institute of African Senate Education and Community Development. Can that be read?

Please.

Okay. Again, this is from the Institute of African Senate Education and Community Development. Good afternoon. On Monday, February 28th, Council members will conduct a hearing regarding Bill 040133, slavery era business corporate insurance disclosure, which was 51 Finance - 040133 - 2/28/05 introduced by Council members Blondell Reynolds-Brown and Wilson Goode, Jr. on February 19, 2005. This meeting and hearing are very important, particularly to people of African descent in the City of Philadelphia, and the United States, and are truly long overdue. The members of the Institute of African Senate Education and Community Development want to give our support for the Council record, for this hearing, and for the passing of this bill into law. This amendment will identify corporate entities who benefited financially from the slavery of African people, and assist in the provision of evidence that will serve as the foundation for the passing of Federal legislation regarding reparations. African people are owed, and it is time to collect from guilty corporations and the United States government. Once the hearing process is completed, the institute urges you to do the right thing by voting this bill into law. No 52 Finance - 040133 - 2/28/05 excuses will be accepted. We request that you read this letter into the Council record and send us any information regarding this bill. Your efforts will be greatly appreciated, and we thank you in advance. In closing, we want to especially thank N'COBRA, the National Coalition of Blacks for Reparations in America, for all their hard work in bringing this issue to City Council for consideration. The institute also wants to thank every one involved in this monumental and historic accomplishment. We salute and thank Council members Blondell Reynolds Brown and Wilson Goode, Jr., for having the courage to present the bill to Council in spite of the controversy surrounding it. May Allah bless them. Thank you for your time and attention and have a character-building day. This is submitted by Peter Dixon, he's the founder and Executive Director of the Institute of African Senate Education and 53 Finance - 040133 - 2/28/05 Community Development. I will see that all Council members get a copy of this.

Thank you very much.

Okay.

Thank you for your excellent testimony.

All right. Thank you. (Applause.)

Gwen and Joe Ragsdale, Lest We Forget. Next will be Ernest Caldwell-Bannister, African American Freedom and Re-construction League. Are you here? You'll be next.

Thank you, Finance Committee for having us.

Thank you. Good morning.

Good morning to you all. We have a vast private collection of slavery artifacts and Jim Crow memorabilia which we call Lest We Forget. 54 Finance - 040133 - 2/28/05 In the present stage it is a traveling museum, where we go all over the country exhibiting our collection at schools, churches and other organizations. Our belief is that once you see articles and items that restrained and punished enslaved Africans, it really brings history alive and makes you realize that slavery was a harsh thing that happened to our people, and that it happened for a very long time. And the vestiges of slavery still exist today. My husband started this collection over 30 years ago. His passion is to make sure our young people and all young people recognize that slavery was a dark and tragic period in American history, but it also speaks to the enduring spirit of African American people.

Thank you.

I want to give honor to God, from whom all blessings flow. Without his tender mercy and kindness to me, we wouldn't be here today. 55 Finance - 040133 - 2/28/05 I am J. Justin Ragsdale, President and C.E.O. of the Lest We Forget Black Holocaust Museum and Slavery -- American National, whatever it is, slavery.

Museum of National.

She keeps changing the name on me. Okay. But what we have here is a traveling exhibit. We have a traveling exhibit that I've been collecting, like she said, for 30 years. This exhibit, I have the largest collection of slavery hardware in the country. We have 700 -- We have 7,500 pieces of slavery artifacts. We have 500 pieces of hardware. Oh, strange as it may seem, like a woman would go into her pocketbook and come out with her kid's pictures, we happen to have a few with us. This article here (Indicating) is a slave article that fixes it so slaves would not run away. This also (Indicating) is a slave catcher's shackle. 56 Finance - 040133 - 2/28/05 This is what was done to black people in America, disenfranchised people brought off ships right down here in Philadelphia on our docks, right there at Head House Square, and brought up through 6th and Walnut which was Congo Square and sold like animals. We're here to show the people, mostly young people, give them a value of what happened because without the past they have no future. They don't know what's going on, and it is up to us to tell them. The reason our children are like they are today is because we did not tell it. My mother didn't tell me anything. I had to go find out that my father didn't like butter because he was a slave on a plantation that had dairy farms and he didn't like butter. I had to find these things out. I had to find out that my parents didn't talk about things because they were afraid that we would be less than what we are. We have to tell what happened in the past. 57 Finance - 040133 - 2/28/05 My thing is not to tell you about buckets and brooms. And I'm not concerned about a quilt, and how the shoes the slaves wore. It does not interest me. What interests me is the horrors of the slaves coming down out of those mountains into those chambers and onto those slave ships, those death ships. That's what I'm talking about. This is my passion. That's why I'm here. (Applause.)

The bill that you're trying to push through... God help it. It must go through. Anything that contemplates or even gives a thought that slavery should be abolished or there should be some kind of recompense, then I am 100 percent for it. But right now we must build a foundation. And the foundation is knowledge. And knowledge is power. And without the knowledge of the things that happened in that day, our children are going to die. (Applause.) 58 Finance - 040133 - 2/28/05

Now, I'm here, I'm J. Justin Ragsdale. And I'm able to answer any question you ask me. And help yourself.

Thank you very much, Mr. and Mrs. Ragsdale.

You are not kicking me out, are you?

Absolutely not.

Okay. I've been kicked out of so many places. I'm telling you.

Not here. This is the people's chamber.

Yes, ma'am. Thank you so much.

You're always welcome here. Councilwoman Blondell Reynolds-Brown.

And your passion on the issue is welcomed here. Please brief us briefly what your connect is with the Philadelphia public 59 Finance - 040133 - 2/28/05 school system, how that happens.

Actually, we work with each school separately. We do not have a contract with the School Board. We would like to -- I was just telling Mr. Moltke-Hansen, we would like to talk to him about perhaps partnering with him and his educational program. But what we do is, we have a lot of different schools that we have shown our collection at: Sayre Jr. High, West Philadelphia High, William Penn. But we do it on an individual basis.

So the leadership of the school has to reach out to you.

That is correct, the administration reaches out to us. And many of the times it's through word of mouth and people who have seen our collection in other places. But I can tell you that every time that we do these exhibits, we change young people. Seeing this collection and hearing 60 Finance - 040133 - 2/28/05 the presentation from my husband is a life-altering --

Experience.

-- experience. And you cannot sit and see things like this and hear about the horrors of slavery and not recognize, as he said, some recompense at some time needs to be taken care of. So, it's important to us. And not only young people, but all people, white and black alike, recognize that slavery was horrible, but embrace it and realize that as African Americans, this is our history. Like it or not, this is how we came to America.

You know, understanding is a great thing, you know. If, in fact, a person does something to you and you can understand why he did it, then you're not so harsh in your retribution, if in fact you have it at all. The one thing we must do is make people understand that there is a past in slavery. There is a past. And it's not 61 Finance - 040133 - 2/28/05 over. It's not over. These chains now are on the minds of our children. You see, these are like Pavlov's dog. Pavlov's dog was chained to the wall. He was chained to the wall until he realized that that was where he lived. Our children have no clue as to what's going on. Our children could walk along the street and curse in front of older people, something we were not allowed to do. Miss Susie would tell everything we did. But when Miss Susie came near us, we gathered ourselves together and the cursing stopped. I never told nobody I didn't curse. I was probably a sailor when I was four, but nonetheless, we had some respect. And the one thing we have not, we don't have the discipline. Without discipline, you have nothing. Without discipline, rivers run over their banks. That's how floods are formed because there's no discipline. Without discipline you couldn't hang 62 Finance - 040133 - 2/28/05 the lights in here. The discipline is the steel girder that holds it. You can't even hang a man without a discipline. The discipline is the tree or the branch you put him on. We must get that discipline. We must take control. I've heard that they said they've taken away from us the very vestiges of energy that we need to correct our children, meaning you can't put your hands on them. If we put our hands on our children, then we can go to jail. We should load the jails up. We should be sitting in jail waiting in line to go in because unless we take charge of our children, there are -- They're killing each other now. We're next. I'm telling you. There is no compassion to a gun. There is no compassion to a 6-year-old. There is no compassion to a 10-year-old who picks up a gun and mutilates someone else because he does not know his history. He doesn't have a clue. He doesn't even know. 63 Finance - 040133 - 2/28/05 It is up to us sitting here in Council chambers to do something about it, because we're in the driver's seat, white and black, regardless of who we are. We stand here. You make the rules. How dare we sit here and say, there's nothing we can do. We have to vote on it. Fix it. You in charge. (Applause.)

Thank you very much. Thank you. Councilwoman Brown.

One final question. Have you participated in any other similar lobbying efforts like this any place else around this issue?

No, we have not.

Well, we have been asked to come to Washington to do it, to lobby, and do a talk and bring a presentation. Our presentation was at the Visitors Center Friday, Saturday and Sunday. It was huge. We had out more things than you'd ever 64 Finance - 040133 - 2/28/05 imagine. We have the largest collection. Museums that you go in have nothing on Joe Rags and Gwen Rags; nothing, absolutely nothing. You can go into any museum in this country and find absolutely nothing because we have it all. We have it here in Philadelphia. We have acquired a building. We need help to renovate this building. We need money to fix it. This is Philadelphia, the vestige, and the place where liberty started. How dare we not have something for people to say slavery was here. We abolished it. But Lest We Forget.

Just to answer your question again, Councilwoman. Yes, we have been invited to the Black Caucus. However, we have not been able to take part in anything formally as we have today.

Because they keep kicking me out.

Congressional Black Caucus? 65 Finance - 040133 - 2/28/05

Congressional Black Caucus, yes.

Thank you very, very much for your testimony.

Thank you very much for the opportunity. (Applause.)

Thank you.

Thanks.

Ernest Caldwell-Bannister, African American Freedom and Re-construction League. Thank you very much. Welcome. Please introduce yourself for our record and begin your testimony.

Good afternoon, Council members.

Good afternoon.

My name is Ernest Caldwell-Bannister. I'm Co-chair of the African American Freedom and Re-construction League. I'm here to testify in favor of Bill 66 Finance - 040133 - 2/28/05 040133, introduced by Council members Reynolds-Brown and Wilson Goode, Jr. The African American and Freedom and Re-construction League supports the passage of Bill 040133, that will add a new subsection entitled, Slavery Era Business and Corporate Insurance Disclosure to the existing section entitled, Prerequisites to the Execution of City Contracts. Our organization supports this bill 12 for the following reasons: In the face of historic and current efforts by this nation's, state's, and city's power elites, to deny, demean, obfuscate or simply ignore the holocaust, the MAAFA of the enslavement of Africans brought to the Americas, this bill is one small but important step toward gathering the evidence, establishing the facts and placing on record the legalized theft of labor that allowed the unjust enrichment of many of what are now the leading corporate citizens of American capitalism and commerce. To the extent that this ordinance 67 Finance - 040133 - 2/28/05 assists in making the case that America still needs to make good on the historic bad check written to black America by this government, that Dr. Martin Luther King referred to in his oft quoted "I have a dream" speech, then we view it as a valuable tool in the tool box needed to build the movement to obtain reparations for nearly 500 years of enslavement and neo-subjugation of African people. To the extent that this ordinance 13 helps put the lie to this society's claim of insufficient funds, when it comes to addressing the myriad problems that are slavery's legacy, it is a welcomed and useful public policy. The exposure of those who have profiteered directly or indirectly from the theft of black labor is useful and educates. The African American community in Philadelphia and throughout this country face a litany of crisis in health, education, employment, economic development, crime, and more. 68 Finance - 040133 - 2/28/05 As we put forth in our organization's mission statement over seven years ago, quote, the white establishment and many of its Negro spokes people blame the victims for this horrific situation. They seldom tire of telling the masses: If you don't vote, you don't count or you people are just too lazy, dirty, too pathological, too criminal. It is your behavior, they tell the poor, which is the cause of your poverty. We are a people with problems. We are not the problems. But by blaming us, they seek to divert attention from the social, economic and historical sources of the problem. We must boldly tell them that poverty, joblessness, and despair find their sources in eight generations that endured the killing fields of chattel slavery and the three-and-one-half swallowed up in the semi-slavery of sharecropping and Jim Crow segregation, unquote. We rightfully level harsh criticism at our black elected and appointed officials 69 Finance - 040133 - 2/28/05 when they fail to stand up for the interests of those who elected them and whom they are supposed to represent. We thank Councilwoman Reynolds-Brown and Councilman Goode for introducing this bill and urge your colleagues to support and vote its passage. Submitted with conviction by the African American Freedom and Re-construction League; and I hasten to add, Councilwoman Jannie Blackwell as the Chair because she's got the gavel.

Thank you very much. (Applause.)

Thank you very much for your testimony and your patience. Mr. Leon Williams, attorney-at-law. Mr. Michael Coard attorney, who is here for Avenging the Ancestors Coalition. We welcome you both. Good afternoon.

Good afternoon. 70 Finance - 040133 - 2/28/05

Good afternoon. We thank you for your input on this issue and your many years of hard work in this regard.

It's very good to be here. I'm usually here as an antagonist. I've been a big critic of City Council people over the years. I even sat back there with a broom several years ago advocating a full sweep of the City Council. But I want to be consistent. When I found out about this proposed legislation, I was elated. When I found out who had introduced this, Councilman Goode and Councilwoman Blondell-Reynolds, I was proud. And I don't usually get proud of public officials. I'm sure that there's been some pressure on you two because I know what the impact of this bill will be. It will require justice for a change. And it wouldn't in and of itself bring about reparations, but it will certainly shine a light on the crimes 71 Finance - 040133 - 2/28/05 that have been committed against African people and on the perpetrators of those crimes. African Americans make up at least half of the population in this city, and I'm glad to see the officials that we elected come forth with some sort of legislation designed to do justice to our ancestors. When our leaders do wrong, of course, we criticize them; and when they do right, we need to support them. I just want to say to all the rest of the City Council, I hope you get behind this bill because it's really meaningful. I am surprised that I didn't see it on the front page of the Inquirer or Daily News today. This is the most important piece of legislation that I've seen since I've been here in Philadelphia, and I'm 56 years old. Thank you. (Applause.)

Thank you, Mr. Williams. The Chair also notes that Councilman 72 Finance - 040133 - 2/28/05 Juan Ramos is here. We did not introduce him earlier. Thank you. Mr. Coard.

Thank you. My name is Michael Coard. I'm an attorney, and I'm a member of ATAC, Avenging The Ancestors Coalition. C. but was right here in Philadelphia, beginning in 1790. Just a few blocks from where we sit today, George Washington, the father of this country, held Africans in brutal bondage as slaves. In fact, the interesting thing that most people don't realize is that 73 Finance - 040133 - 2/28/05 Philadelphia itself, Philadelphia itself was among the top ten leading slave ports, leading slave ports ahead of southern slave ports. So, it's perfect that the City Council of Philadelphia is now trying to right the wrong of Philadelphia's history. Having said that, I say, good afternoon to you, Council member Rick Mariano, to Council member Juan Ramos, certainly to Council member Wilson Goode who co-authored this bill, and to Jannie Blackwell, Finance Chair, certainly I say good afternoon to her, and especially to City Councilperson Blondell Reynolds-Brown for not only sponsoring the bill but also personally inviting me and ATAC to be present. I handed out a position paper from ATAC. It's almost five pages long, so I'm not going to spend half the afternoon reading it. Just going to spend maybe two minutes going over the highlights. First of all, before I begin explaining why ATAC supports this bill, I 74 Finance - 040133 - 2/28/05 want to give credit where credit is due, and that's to N'COBRA and Ron Johnson. Much of the information that ATAC has gotten and most folks have gotten in connection with the reparations movement has come from N'COBRA. So, they deserve credit for that. One of the things that I want to make clear, and Leon Williams -- attorney Leon Williams touched on it, is, this bill, Bill 040133 does not -- I repeat -- does not call for reparations. It simply calls for disclosure. And as an attorney, we always hear in court that it's all about telling the truth, the whole truth and nothing but the truth. And that's exactly what the disclosure component of this bill will do. Without going through all the arguments I set forth in my four- or five-page position paper, I'm going to deal with the basic argument. And the basic argument is that there is a historical justification for what we're trying to do 75 Finance - 040133 - 2/28/05 here today and a legal justification. We heard from N'COBRA earlier, and we heard from the African American Freedom and Re-construction League. And the term MAAFA was used. And I think that's pertinent because when you talk about the horrors of slavery, you have to understand that it's much more than what we read in historical magazines. Slavery was real. I mean, imagine for a moment a brother taken away from his little sister in West Africa, a husband taken away from his wife, a father from his son, a mother from her daughter, and you never ever, ever will see that person again. We're sitting here today. Can you imagine some Martians from outer space grabbing the person sitting next to you and you'll never see that person again. And it's horror -- the horror, the horrific nature of slavery commands and compels us to do the right thing here. I talked about how brother was taken from sister, husband from wife, father from 76 Finance - 040133 - 2/28/05 son, mother from daughter. And it didn't end there. They trekked for about 1,000 miles in the African continent to get to the shores of West Africa. And once they got there, they were placed in things called factories which were basically bamboo jails, where they set there for weeks on end. And then after that they saw approaching on the horizon what they came to know as floating hell holes, where they were packed like sardines, in their own feces, in their own urine, in their own vomit for 200 years, from about 1619 to at least 1808. And during this 90-day trek, they were beaten, they were tortured, they were raped, they were inflicted with disease and frequently thrown overboard into shark-infested waters.

So, when we talk about why even discuss reparations, why even discuss disclosure of those who were involved in slavery, you look at what happened to these Africans. They lost not only their freedom. 77 Finance - 040133 - 2/28/05 They lost their culture. And I just want to be clear here. I don't mean to diminish or minimize the horrors of any other ethnic group, but I can say this about the African or I should call it the Transatlantic slave trade. Unlike any other group, from the first time a human being set foot on this planet, Africans lost more than anyone. And folks say, well, what do you mean by that? Africans not only lost their freedom. They lost their culture, their lifestyle, their family, their language, their land, their religion, their name, their status as human beings, and often their lives. )

When you look at the horror of this, you understand that this was not something that happened for a day or for a week or for a year. But for at least 246 years, from 1619 to 1865; and I'd go beyond 1865 to say 78 Finance - 040133 - 2/28/05 that things didn't begin to change until 1964 with the Federal Civil Rights Act. So, we have at least 246 years of uncompensated labor. And despite that, Africans have contributed mightily each century, from the 17th century up till today, in terms of making America the great country that it is. And folks say, okay, Mike, everything you say there might be true, but the fact is slavery doesn't exist any more. Why are you black folks still complaining and whining and moaning today? And the answer's pretty simple. It's all about the vestiges of slavery. That's the key thing here. When you look at slavery, you look not only at those who went through that hell -- and certainty they went through that hell -- but you look at what happened to the offspring, the offspring of those who were enslaved. Their status as victims of institutional racism today, as exhibited in the dejour and defacto vestiges of slavery. 79 Finance - 040133 - 2/28/05 And more important, when you look at our plight today, we're on the bottom of the totem pole when it comes to economics, when it comes to social issues, political issues and educational issues. And when you look at that, you say well, one or two reasons exist for that. Either one, black folks are genetically predisposed to be at the bottom; or two, the vestiges of slavery caused it. And I think the answer there is quite simple. When you talk about historical reasons -- I could go on and on, but I want to wrap this up. History mandates support for this bill. And then I jump to the legal arguments. And as an attorney, I can let you know that if this case -- if any reparations case went to court, there would be solid legal arguments in support of it. Before I get into the legal arguments that would support it, when you look at the law, the law made slavery. And the law can correct slavery and the vestiges. 80 Finance - 040133 - 2/28/05 And people say, what do you mean by that? Let's start with the first official legal/political document to come out of this country, 1776, The Declaration of Independence. 30 -- I'm sorry -- 55. 55 white male property owners signed that document. And while they were complaining about taxation without representation from Britain, they held -- at least one third of those 55 held black folks in brutal bondage. These are the founding fathers, those who laid the foundation for this country. (Applause.)

So, beginning... So, beginning with the first official legal/political document of this country, the racism exists right there, not only in regard to the fact that one third of the 55 owned Africans as slaves, but there was strong language condemning slavery that was in the first draft of the Declaration of Independence, but Thomas Jefferson and others 81 Finance - 040133 - 2/28/05 purposely removed that strong language that condemned slavery. Then you jump to 1789 with the U.S. Constitution. And Leon and I both as attorneys understand that when you talk about the law, the fundamental laws of the U.S. Constitution, well, if that's so -- and it is -- the Constitution itself, the most fundamental document in American history itself is a racist document. And folks say, how is that? And the answer is pretty simple. If you go to Article 1, Section 2, Clause 3 of the U.S. Constitution, you'll see the three-fifths clause. And people say, well, Mike, the three-fifths clause was actually a benefit to you black folks because the south actually would have had more power if they could count their slaves as humans. So, we all did you a favor by saying that we would dilute the power of the south by making slaves only three-fifths. And I say, that would make sense if 82 Finance - 040133 - 2/28/05 it were consistent. It's okay to make us three-fifths, in terms of votes, but also give us three-fifths of the jobs. Pay us three-fifths of the salaries. Give us three-fifths of the land. So, you have to be consistent. And then you look at Article 1, Section 9, Clause 1 of the U.S. Constitution. That's the 20-year continuation of the importation of slavery. In 1789 the founding fathers said, it's too much money being made to end slavery now. So, we're going to carry it on for another years, another two decades. 16 And I got to be clear. They didn't 17 say they would end slavery in 20 years. They 18 said they would end the importation of slaves 19 in 20 years. 20 So, what that meant is in 1808 we stopped bringing in new slaves. But we make new slaves. We find the strongest black woman on the plantation. We find the strongest black man on the plantation. And we force them to breed together, and we make 83 Finance - 040133 - 2/28/05 new slaves, because the new laws of 1808 says we can't bring any more in, but nothing stops us from building more. And the third blatantly racist component of the U.S. Constitution, Article 7 4, Section 2, Clause 2, the runaway return clause, which said, if an enslaved African left a slave state and went to a free state or left a slave territory and went to a free territory, the U.S. Constitution, Article 4, Section 2, Clause 2 mandated that that African be brought back into bondage. The law made slavery. The law supported slavery. And you all as lawmakers can help bring an end to slavery and the vestiges. (Applause.)

It gets even worse with the 1857 Dred Scott decision. People know that Justice Taney stated that the black man has no rights that the white man is bound to respect. But what we don't know is that when Dred Scott first brought that case into court 84 Finance - 040133 - 2/28/05 he went to a jury of six white men, who actually ruled in his favor. The six white men said, okay. You were a slave. You left the slave territory, went to a free territory. Based on the law, you're a free man. Well, his former master and the family filed an appeal, went up to the U.S. Supreme Court, and they decided that he was not a citizen; he was not a human. In fact, Justice Taney made it clear. Your legal argument is sound, but you are a black man making it. And because you're a black man making it, it's like a horse or a dog or a chicken making the same argument. The black man has no rights that the white man is bound to respect. And then when slavery ended, allegedly, in 1865, the south and some northern states came up with what they called the black codes to keep blacks in the slave-like position. 1865 there was a chance to move toward changes with the 13th Amendment and 85 Finance - 040133 - 2/28/05 the so-called Emancipation Proclamation, but they really didn't really go as far as they could have. There were attempts in 1865 by people like General William T. Sherman, who issued Special Order 15, which is the famous 40 acres and a mule. Unfortunately, that order was reversed by President Andrew Johnson. Then in 1866 Pennsylvania Congressman Thaddeus Stevens came up with a 40 acres and a mule amendment to the Freedom's Bill. Again, that was reversed. Just recently in 1989 Congressman John Conyers attempted through House Resolution 40, H.R. 40, to do the same kind of thing toward reparations. And we heard N'COBRA talk about that. What we need to do at this point, from a lawyer's standpoint -- And that's why I said earlier -- And I promise you I'll wrap this up in 30 seconds. What we need to understand is that as horrible as what I laid out -- and certainly it is horrible -- it's 86 Finance - 040133 - 2/28/05 not just an emotional argument. It's a legal factual argument. When you talk about reparations, it's defined in lay terms as repairing. In legal terms it's about a remedy for a wrong done. So, if it's about a remedy for a wrong done, any lawyer can tell you that the fundamental rule of law is that for every wrong there must be a remedy. (Applause.)

And the remedy here would be, first, disclosure as the bill calls for and ultimately reparations. Now, folks say, well, Mike, what do you mean? When you go into court, what are you going to argue? How can you justify an argument for reparations? The answer is simple. Five basic arguments. One is called unjust enrichment. Unjust enrichment is the inequitable possession of benefits belonging to another person. For example, a lot of folks today say -- white folks, I must point out, say -- 87 Finance - 040133 - 2/28/05 well, I didn't enslave you. So, why should we talk about reparations? The answer is simple. And this is the example I always give. I could be walking down Market Street. And I see a white man. He has a really nice watch on. And I say to the man, can I see that watch? And he shows me. And I see engraved on the back, Michael Coard, Sr. And I say, my great grandfather was Michael Coard, Sr. How did you get that watch? And he says, well, my great grandfather gave it to -- He says, my father gave to it me. I said, where did your father get it from? He got from it my grandfather. Where did your grandfather get it from? He got it from his grandfather. And I find out that his great great grandfather stole my great great 88 Finance - 040133 - 2/28/05 grandfather's watch. So, I'm saying to the man, sir, I'm not accusing you of stealing my watch. I'm not accusing you of stealing my great great grandfather's watch. I'm saying the watch was stolen. You got it. You got to give it up. That's the theory of unjust enrichment. (Applause.)

And in addition to unjust enrichment, there's something called theft of services. That's the unlawful taking of the labor of another person. We all know about people who steal cable. You might not pay for the cable but you get it. That's theft of services. So, if somebody does the labor, like enslaved Africans did, and you didn't pay them, that's theft of services. There's also something, another theory called conversion. That's the wrongful exercise of control over that which belongs to another person, to the exclusion of that person. 89 Finance - 040133 - 2/28/05 Number four is the intentional infliction of emotional distress. That pretty much speaks for itself. That's the purposeful causing of mental pain, despondency, despair, distress, anxiety, anguish and/or humiliation. And certainly the enslaved Africans more than 200 years suffered that. And finally, the breach of an implied or quasi-contract. That's the breaking of an unstated, albeit lawfully and/or equitably inferred agreement, to provide a benefit in exchange for a benefit. What we have here is a situation where slavery was wrong. We all agree with that. And the residue of slavery which exists today, the vestiges, that's wrong. Something needs to right that wrong. And this bill which will force us to force companies to tell the truth, the whole truth and nothing but the truth should be wholeheartedly supported. And that's why ATAC and others wholeheartedly support it. 90 Finance - 040133 - 2/28/05 And we thank you all, especially Councilperson Blondell Reynolds-Brown. Thank you. (Standing ovation.)

Any questions from members of the committee? (No response.)

Let me thank both of you for your testimony and your support of this measure. And let me pose the same question to you that I've posed to others, because I don't consider me -- I can only speak for Blondell -- to be the end all be all of knowledge. So I'm open to recommendations and/or suggestions. First, have either of you participated in similar lobbying efforts of this type elsewhere?

I've supported N'COBRA. I've gone to Washington with N'COBRA and I support ATAC.

In fact, I'm so glad you posed the questions, in terms of suggestions. And I heard you ask other persons. 91 Finance - 040133 - 2/28/05 And I have three suggestions. One is to use Ron Johnson and N'COBRA as a key resource. When it comes to reparations, that's pretty much one-stop shopping. You go to N'COBRA and you get all your questions answered. Number two, I would request that the Council actively spread the word about this bill and similar bills by using, for example, the Tribune, the New Observer, the Sunday Sun, Scoop, WHAT and WRD. And the third suggestion would be to simply pass the bill. Thank you.

Thank you very very much, gentlemen. (Applause and cheers.)

We will now ask to come to the podium... And please forgive me if I mispronounce your name... Dadrea, is that correct? Dadrea... last name P-a-e-l-l-m-a-n-n, Restitution Study Group; and Viola Plummer, National Chair of Millions for Reparations. You're welcome to come to 92 Finance - 040133 - 2/28/05 the testimony -- to the table to provide testimony. We'll now say good afternoon.

Good afternoon.

Please state your full name and proceed with your testimony.

My name is Viola Plummer, and I'm the Chairperson of Millions for Reparations. My office is at 456 Nostrind Avenue in Brooklyn, New York. Let me say that I am honored to have received your request to participate this morning with you on this extremely important bill. I am sure that the information of our quest for reparations has reached those of you who have had the insight and understanding that exposure, recognition of a wrong, is of the utmost importance, in terms of correcting that wrong. We, those of us in the reparations movement, are energized by the number of city councils and state legislatures across the 93 Finance - 040133 - 2/28/05 country -- yea, across the world -- who have finally put on the agenda the issue of repair, of compensation, for reparations. I call your attention in the first instance to a bill passed by the French legislature by an attorney, black woman, who said to France that unequivocally the Transatlantic slave trade was a crime against humanity. That bill gave rise to some of the work that I was involved in because I belong to a non-governmental organization called The December 12th International Secretariat. We had the opportunity of lobbying for a world conference against racism by the United Nations that took place in 2000. That conference was of extreme importance because what it did was to have the world body declare the Transatlantic slave trade a crime against humanity. I'd like to just read a section of that bill because -- that declaration, because what it suggests is that the slave trade was a crime against humanity, that it 94 Finance - 040133 - 2/28/05 always was and should have always been declared so. The declaration says that because of the abhorrent barbarism, the magnitude thereof, that it laid the basis for the continued exploitation and human rights violations of millions of African people across the world. I heard the attorney before me talk about pursuit in the legal arena. One of the reasons why the United Nations bill was of extreme importance because the United States government had said that slavery from its inception until its abolition was legal. The declaration said that slavery was and should always have been declared illegal, a crime against humanity. Therefore, the United States, in its desire to say slavery was legal then, it was not a crime then; therefore we do not have any responsibility legally to remove -- to repay, let me say, those descendents of slaves. The major sources of today's racism 95 Finance - 040133 - 2/28/05 lie in its origin of the Transatlantic slave trade. What do I mean by that? I mean that if you'll look at any African American at any level in this society, we must imagine what that African American would have been, could have been, ought to be had it not been for the historical exploitation, racism, that he or she encountered to this very day. In New York, the City Council, as you probably know, have initiated a similar bill. And one of the most important things about a bill that talks about businesses that do business with the City of New York, in this instance, and the City of Philadelphia, as your bill, I know, will pass and say, that those corporations inherited stolen, or as I'm sure the attorneys would say, would inherit fruit from the rotten tree. And therefore, they owe repayment. I tried to look at a particular corporation in Philadelphia. And one of the people that benefited from Philadelphia, Pennsylvania and New York was William 96 Finance - 040133 - 2/28/05 Havermeyer. And William Havermeyer is of extreme importance. And his legacy from 1845 to 1872 made him, through his Pennsylvania Coal Company, one of the most richest individuals in the world. He launched his successful political and business careers from the family's sugar refining business, first called the American Sugar Company and then Domino Sugar. He then went to City Bank in New York.

When I say "he," I mean the corporation that he founded from American Sugar to Domino, from Domino to the Philadelphia National Bank. From the Philadelphia National Bank, it morphed into what we now know as the Mellon Foundation -- I mean, the Mellon Financial Group. And so, therefore, full disclosure by any and all of these corporations presently doing business is of the utmost importance. The disclosure will enable us to prepare evidence, to show ties to modern 97 Finance - 040133 - 2/28/05 corporations and their benefits from slavery. Very recently, in New York we commemorated Elhaj Malik El-Shabazz, Malcolm X. And Malcolm X in a letter here at Penn State, when questioned about reparations by some of the students, who said, my father may have been involved in slavery, but I was not involved in slavery; therefore, I have no 10 responsibility for it. To wit: Malcolm responded, if you inherit any -- any profit, property, status from your father or grandfather or great grandfather, you also inherit his debt. And so, your father may not be here to pay, but you are here to pay, and we are here to collect. )

And finally, the issue of... How can I say... verbal contracts. And again, I was pleased to hear the brother before me. And he talked about that. So, I won't go into that in any detail. But the aborted promise of 40 acres and a mule and decades of disenfranchisement, 98 Finance - 040133 - 2/28/05 Jim Crow, systemic racism, had and has as its real intent the super exploitation and the ultimate goal of forever keeping African Americans economically oppressed and depressed. Reparations, therefore, is no longer a forgotten promise, but a debt that must be paid. Thank you. (Applause.)

Thank you very much. Are there any comments or questions from members of the committee? (No response.)

Thank you very much.

Thank you.

Is there anyone here who would like to who has not testified and who would like to testify with regard to this bill? (No response.)

Any other testimony, any comments from members of the 99 Finance - 040133 - 2/28/05 committee? (No response.)

Seeing none, we will now close out the public hearing portion of this hearing, and we will enter into... One moment, please. (Pause.)

Councilman Kenney, for purposes of us continuing, would you serve as part of a quorum to...

Yes.

Thank you. Thank you. Councilman Kenney, since others have stepped out will serve so that we may continue the business of this hearing. Thank you very much, Councilman.

You're welcome.

We will now conclude our hearings part of this meeting, and enter into the stated meeting. (Public hearing concluded at 1:03 p.m.) 100 CERTIFICATE I HEREBY CERTIFY that the proceedings and evidence are contained fully and accurately in the stenographic notes taken by me upon the public hearing of The Philadelphia City Council, taken on February 28, 2005, and that this is a true and correct transcript of same. _____________________________ DAVID A. DEIK, RPR and Commissioner of Deeds (The foregoing certification of this transcript does not apply to any reproduction of the same by any means, unless under the direct control and/or supervision of the certifying reporter.) 101 - - - COUNCIL OF THE CITY OF PHILADELPHIA PUBLIC MEETING - COMMITTEE ON FINANCE - - - Room 400, City Hall Philadelphia, Pennsylvania Monday, February 28, 2004, 1:03 p.m. - - - 040133 - An Ordinance amending Section 17-104 entitled "Prerequisites to the Execution of City Contracts" by adding a new subsection (2) entitled "Slavery Era Business/Corporate Insurance Disclosre" to promote full and accurate disclosure to the public about any slavery policies sold by any companies or profits from slavery by other industries (or their predecessors) who are doing business with the City of Philadelphia and recodifying Section 17-104 by incorporating various technical changes; all under certain terms and conditions. PRESENT: COUNCILWOMAN JANNIE L. BLACKWELL, Chair COUNCILWOMAN ANNA C. VERNA, President COUNCILWOMAN BLONDELL REYNOLDS BROWN COUNCILMAN W. WILSON GOODE, JR. COUNCILMAN JAMES F. KENNEY COUNCILMAN RICHARD T. MARIANO COUNCILMAN JUAN F. RAMOS - - - V A R A L L O Incorporated Litigation Support Services 1835 Market Street, Suite 600 Philadelphia, Pennsylvania 19103 215.561.2220 215.567.2670 102 Finance - 040133 - 2/28/05 - - - P R O C E E D I N G S - - -

The Chair recognizes Councilwoman Blondell Reynolds-Brown for a motion.

Yes. Madam President, I would like to offer an amendment to Bill Number 040133.

Second.

It is moved and seconded that the bill be amended. Councilwoman, would you like to circulate that or read what the amendment is?

First let me read what the language currently states for the record. of the bill, Section 2, small letter d: Any contract between a city agency and a contractor which fails to provide the requisite affidavit within 90 days of the contract's execution or which includes materially false information on such an affidavit shall be rendered null and void. 103 Finance - 040133 - 2/28/05 I'd like to offer an amendment to delete the words null and void and insert the word voidable.

All right. It has been moved and seconded that this be done. All in favor will say aye. (Chorus of "ayes.")

Opposed? (No response.)

The ayes have it. And so, the bill is amended. Now, we will ask Councilman Goode for a motion on the bill as amended.

Thank you, Madam Chair. I move that Bill 040133 as amended be reported out of committee with a favorable recommendation, and a further recommendation that the rules of Council be suspended so as to permit reading at our next Council session.

Second.

Second. 104 Finance - 040133 - 2/28/05

All in favor will say aye. (Chorus of "ayes.")

Opposed? (No response.)

The ayes have it, and so the bill as amended is passed out of committee and will be heard at our next session of Council. We thank you all. Our hearing is adjourned. Thank you all for your participation and attendance.

Thank you. (Applause.)

Let the record reflect that Councilman Mariano was back in the room and voted yes for both the amendments and the bill. Thank you, Councilman. (Public meeting concluded at 1:06 p.m.) 105 CERTIFICATE I HEREBY CERTIFY that the proceedings and evidence are contained fully and accurately in the stenographic notes taken by me upon the public meeting of The Philadelphia City Council, taken on February 28, 2005, and that this is a true and correct transcript of same. _____________________________ DAVID A. DEIK, RPR and Commissioner of Deeds (The foregoing certification of this transcript does not apply to any reproduction of the same by any means, unless under the direct control and/or supervision of the certifying reporter.)