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Minutes

Committee Hearing, April 7, 2004

Philadelphia City Council Committee HearingsApr 7, 2004

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.

Organizations mentioned

Mr. Syrnick

There are some same people and there are some new people. But I agree with you, in the middle of the 399 04/07/04 - WHOLE - BILLS 040257, 040258 bureaucracy it pretty much tends to be the same people over a career. At the higher levels it does change more frequently.

Councilman Clarke

So primarily, your interaction with PennDOT has been under the old -- your recent interaction has been under the old administration? And I'm assuming -- at least we used to think that. Now that we have a new Governor in place the interaction would be a lot more likely with the new Governor in place who used to be the Mayor who actually was very interested in projects like the Avenue of the Arts North that we can have a broader spirit of cooperation and more willingness to get involved in a process that allows us to move things in a expeditious manner. Would you suggest that maybe higher-ups -- and you said this earlier. Understanding that there are new players in place now, meet with those people to talk about this in a way that would not create a 15-year process? In your mind 15 years. I mean, I would hope to think it's a lot better 400 04/07/04 - WHOLE - BILLS 040257, 040258 now.

Mr. Syrnick

I think that could only help.

Councilman Clarke

Ms. Griffith, you had indicated you were going to get which higher up involved? Did you say the Managing Director?

Ms. Griffith

I think that would be the appropriate person at the cabinet level. Obviously, we do transportation planning out of the City Planning Commission. We are also tremendously frustrated with the Avenue of the Arts North delay. And as a matter of fact, Mr. Syrnick was kind enough to come over a couple of weeks ago and brief us and give us the blow by blow. But since this is really an operational issue, we'll support the MDO in any way necessary but I would suspect he would take the lead or at least he would direct or advise the Mayor on how to proceed.

Councilman Clarke

Okay. So you'll make that call?

Ms. Griffith

Absolutely.

Councilman Clarke

Can let me know 401 04/07/04 - WHOLE - BILLS 040257, 040258 what he says, if he's willing get involved in this process and hopefully put together a policy in conjunction with PennDOT that puts us a position we're not here next year asking Mr. Syrnick about the Avenue of the Arts North, Broad Street.

Ms. Griffith

I will certainly do that.

Councilman Clarke

Based on some of Mr. Syrnick's testimony, I really think I'll be here next year asking you about Avenue of the Arts North, but I hope I'm wrong.

Ms. Griffith

We might be talking about this into your golden years, Councilman.

Councilman Clarke

Okay. Thank you. That's all.

Mr. Mcpherson

Councilman Nutter.

Councilman Nutter

Thank you. Mr. Syrnick, you'll be surprised that for the moment I don't any questions for you. I would like to have Mr. Tustin back to follow-up on some items from Monday and today. 402 04/07/04 - WHOLE - BILLS 040257, 040258 Mr. Tustin, I actually had this as a question the other day, and when Councilman Ramos was asking -- I think it was Mr. Isdell -- about MBE or minority participation issues out at Philadelphia International Airport, my question from the other day which is reinforced by the Councilman's question is I think it would be very helpful if CPO rather than on a project-by-project basis as members have thoughts in their minds about previous year projects, it might be helpful if CPO would actually put together an annual report based on the previous year's work and layout for all the projects that you've worked on. And I know that CPO -- CPO does not work on all projects; is that correct?

Mr. Tustin

That is correct, Councilman.

Councilman Nutter

So for the moment, just for yourself, if you would have an annual report for us of the previous year's activities and lay out in that report what the participation levels were on a project-by-project basis, one, it would be 403 04/07/04 - WHOLE - BILLS 040257, 040258 helpful just to have the information; two, we wouldn't have to ask you on a project-by-project basis; and three, we could figure out for ourselves whether things were going in a particular direction as opposed to, you know, projects out of however many you 8 do. 9 Is it possible to do something like 10 that? 11

Mr. Tustin

Yes. Yes, Councilman, 12 I do believe it's possible to do that. 13

Councilman Nutter

And if CPO 14 doesn't do the work on the projects, who does? 15

Mr. Tustin

As far as the design work or the construction work, Councilman?

Councilman Nutter

Both.

Mr. Tustin

We're very much like the Streets Department and a lot of the design work that we do get contracted out. We hire architectural firms, engineering firms, environmental consultants.

Councilman Nutter

I'm assuming you have guidelines that you have to adhere to based on those projects, right? 404 04/07/04 - WHOLE - BILLS 040257, 040258

Mr. Tustin

We do. Our office acts more of a project management capacity as it does a project design capacity. When we have smaller projects, we do have staff in-house that are very capable of doing design work.

Councilman Nutter

But for the projects that you outsource the activity, is CPO required to pursue or utilize any particular criteria related either minority, female or disadvantaged --

Mr. Tustin

Absolutely. Every year before we start, when we put our Capital Program together even before the budget gets passed finally, we sit down with the MBEC. We review all of design contracts that we believe are coming up that year, and they work with us to establish the goals that we want to set for that project.

Councilman Nutter

But, again, let me try to figure this out. Maybe I'll take it another way. What departments does CPO work for and what departments do you not work for?

Mr. Tustin

We have 16 operating departments that we do project management for. 405 04/07/04 - WHOLE - BILLS 040257, 040258 Do you want me to name them all?

Ms. Griffith

If I understand it correctly, they're all of the agencies under the Managing Director's purview, except Streets.

Councilman Nutter

Well, I think it would be helpful to have a list because unless somebody read the City Charter, I think we only had 10 operating departments. So, I mean unless there's -- I mean, I know I was out for a week, but did something happen?

Mr. Tustin

No Councilman. More than just operating departments. Some are agencies, not just departments.

Councilman Nutter

Why don't you forward to the Chair and get us a list of who CPO works for. And then for anyone that you don't work for, what I'd like to have in that same memo is who does their work. I'm assuming it's the department themselves.

Councilman Nutter

And I did see earlier -- and he is still here, maybe we can get the Procurement Commissioner -- I mean, 406 04/07/04 - WHOLE - BILLS 040257, 040258 you've been around a little bit with us and just had the pleasure of all of questions. Whether it's on the capital side or on the general operations of the government, it seems to me that if -- I mean, it wouldn't be attached to the Operating Budget, but whether it's July 1, January 1, there should just be a regular point in time where we just automatically get a report. I mean, it's not a mystery, it's not secret that we're interested in these kinds of issues. You could spend a week going through the different departments, going through the agencies, going through the divisions, capital side, operating side, supplies and equipment, you've got professional services, I mean, it's a whole operation. And it just seems to me that if we had an annual report that laid out all of that information, it would move this process along a lot quicker.

Mr. Tustin

I agree.

Councilman Nutter

Commissioner, would you like to tell us something about that? 407 04/07/04 - WHOLE - BILLS 040257, 040258 COMMISSIONER GAMBLE: Yes. Good afternoon, Councilman. William Gamble, Procurement Commissioner. Councilman Nutter, we do submit an annual report that talks about minority participation in SS&E, equipment and supplies, as well as for capital projects.

Councilman Nutter

Okay. When was the last one you sent us? COMMISSIONER GAMBLE: Last year, sir.

Councilman Nutter

Who did you send it to? COMMISSIONER GAMBLE: What we do is we send it out on a monthly basis and we send it to MBEC and MBEC correlates everything in it and submits it as a report.

Councilman Nutter

Well, the MBEC has been a little busy recently. I don't remember seeing a report in recent times about any of this. COMMISSIONER GAMBLE: Well, Councilman, I will get you the report.

Councilman Nutter

Well, do me a 408 04/07/04 - WHOLE - BILLS 040257, 040258 favor. COMMISSIONER GAMBLE: Send it to the Councilpersons.

Councilman Nutter

Seventeen copies. COMMISSIONER GAMBLE: Keep in mind, Councilman, that it only deals with the Procurement aspect, not professional services because don't deal with professional services. We only deal with those areas SS&E, supplies, service and equipment, and public works.

Councilman Nutter

Who is responsible for professional services? COMMISSIONER GAMBLE: Individual departments are.

Mr. Tustin

Councilman, if I suggest, I think what you're asking is that you get one comprehensive report that includes it all. If that is the case, and I know our office does on our own tracking of percentages minority participation on professional services. I'm sure the Streets Department does. I'm sure Aviation does. I'm sure Water Department does. And -- 409 04/07/04 - WHOLE - BILLS 040257, 040258

Councilman Nutter

Okay, but who's responsible for putting it all together so that we have one complete document and package that you could go to and say, "I want to know what happened in the last year in professional services, supplies, services and equipment, Public Works and anything else that we do"? I mean, you're doing one thing, you're doing something else, I got 10 operating departments, agencies, everybody's doing their own thing. The information is all over the place. You get over here, and I could have 14 pages of questions just on that in a budget 15 process that goes on for two, two and a half 16 months. It's like it's a mystery. 17

Ms. Griffith

Councilman, if I may, 18 it would seem to me that that is an MBEC 19 responsibility on an ongoing basis. If you 20 wanted something in response to this capital hearing, we could put something together for you on an ad hoc basis, but it seems that what you're asking for is a regular, ongoing, routine report. And because of the various sources that this would come from and because 410 04/07/04 - WHOLE - BILLS 040257, 040258 MBEC is the common entity amongst them and the organization charged with this, it would seem to me that MBEC would be the appropriate entity.

Councilman Nutter

Madam Secretary -- I'm sorry, you are a Secretary, right?

Ms. Griffith

Secretary and a Director.

Councilman Nutter

Well, Madam Empress. (Laughter.)

Councilman Nutter

And I mean that facetiously. I hear what you're saying, but by the Administration's own determination, the MBEC is not working. The agency has been under reconstruction for the past year or so. I won't even go into the other issues. Maybe in a perfect world that would be the right situation. But I don't necessarily know that they're in a position at the moment -- maybe they will be at some other point in time -- t do that. But we've had hearings here when 411 04/07/04 - WHOLE - BILLS 040257, 040258 MBEC was here and said that they weren't necessarily included in certain meetings, conversations, flow of information, or oversight because they get cut out sometimes.

Ms. Griffith

Well, you're correct, Councilman, that the organization is being revamped. And as I said, I think for this period of time, the most appropriate thing to do would be for the folks charged with pulling together the Capital Budget, since the request is coming to us at this hearing to get it together, and we will do that. But I guess what I'm saying is on an ongoing -- and one would hope that this time next year we would see a revitalized and revamped MBEC, and it would seem to me that they would be appropriately charged with this. But we would be happy to work with CPO, Procurement, and the agencies and Budget, of course, to pull that information together for you this year.

Councilman Nutter

Okay, I appreciate it. Thank you. I'm not sure who gets this question, but of the book is related to the 412 04/07/04 - WHOLE - BILLS 040257, 040258 Office of Emergency Shelter and Services. And what I'd like to know is what shelter services are presently available for victims of domestic violence?

Ms. Griffith

May I ask if there's a representative from that agency here? We're going call Director Hess. If he is unavailable, we will get you that information in writing through the Council President's office.

Councilman Nutter

Well, it will be a two-part question if he does not arrive. One, what's presently available; and two, are there any plans to increase the shelter services or space or locations available? It is my understanding from some limited information that whether we compare ourselves to other locales or not that Philadelphia is significantly inadequate in this particular area. And I know that, was it last year, I think we announced the creation of a domestic violence task force I think either headed or co-headed by Police Commissioner Johnson, but I think there is a 413 04/07/04 - WHOLE - BILLS 040257, 040258 space problem.

Ms. Griffith

If I may, I think the Budget Director has located some general information while we seek Mr. Hess.

Mr. Dubow

There's a million dollars in the Operating Budget for domestic violence, and part of that money is to be used for expanding the number of emergency shelter beds for battered women and their children. But Rob Hess can give you details on that, so we're trying to get him here. But there is funding to expand that.

Councilman Nutter

Do you know if the City, other than contractual obligations -- has the City made available any buildings, any homes, any space, any facilities on its own? Have we taken any properties into inventory of our own provide that kind of service in more of an undisclosed location arrangement?

Mr. Dubow

I don't know.

Councilman Nutter

More of an undisclosed location arrangement?

Mr. Dubow

I don't know. 414 04/07/04 - WHOLE - BILLS 040257, 040258

Councilman Nutter

All right. When Mr. Hess comes over, I can talk to him about it. Let me ask this question -- and I don't know if anyone is here from the Commerce Department. And the particular location is not in my district but more in the context of the Committee that I Chair, Transportation and Public Utilities. What is the status of the new Schuylkill River green-way and trail at the railroad crossing?

Ms. Griffith

I see Mr. Syrnick walking in this direction.

Councilman Nutter

Is he walking toward us or away from us?

Ms. Griffith

Believe it or not, Councilman, he seems to be walking towards us.

Mr. Syrnick

Joseph Syrnick, Chief Engineer, Streets Department. Councilman, you're asking about the ongoing negotiations with the CSX Railroad regarding access to Schuylkill River Park. The City and the community are anxious to get two railroad grade crossing into the park, one 415 04/07/04 - WHOLE - BILLS 040257, 040258 at Race Street and one at Locust Street. The railroad has consistently opposed those gray crossings as being inherently unsafe. In the late '90s, the City made an application to the Pennsylvania Public Utility Commission which has jurisdiction over rail highway crossings. We asked for the approval to build these gray crossings. The railroad opposed our petition, and the PUC sided with the railroad and denied us permission to do that. Now that the park is almost complete and is being used a lot, there has been a lot of community support and a lot of newspaper articles which are sort of suggesting that the access without these gray crossings would be insufficient. And we've been meeting on a regular basis with the railroad. When met last week and we're meeting again on the together on the 20th. I don't want to be overly optimistic, but for the first time in the meeting before last, the words "gray crossing" were actually used by the railroad. Up until that, they would not entertain any 416 04/07/04 - WHOLE - BILLS 040257, 040258 discussion about it. They certainly haven't approved it, but I think we're actually making process.

Councilman Nutter

This is not going to be another one of those what Councilman Clarke laid out, like, this is not a 15-year situation, is it?

Mr. Syrnick

Well, the park is going to be paved in the next two weeks, so more and more people are going to use it. Right now there are openings at that locations. The railroad in November threatened to fence them off and bill the City for doing so. That would not be a good idea. We believe if that happened, there would be a number illegal crossing established by people who would cut a hole through the fence. As I said, I think we're making some progress, but the cards are going to be shown within the next month or so. Something has to happen one way or the other. Earlier this week, we did open up the ramps from Chestnut Street and Market Street which provides additional access to the 417 04/07/04 - WHOLE - BILLS 040257, 040258 park, access which does not involve crossing of the railroad. So there are some other options available to users.

Councilman Nutter

Thank you. I've had some inquiries by users of the trail, and I know that Councilman Clarke is trying to deal with this particular issue as the District Councilperson. I was intrigue, though, this item is listed under the Commerce Department. Are they going to be responsible for --

Mr. Syrnick

I believe that's the next stage of construction. The next stage of construction is sort of the greening up of the park, the landscaping, if you will. And the Streets Department is not involved in that.

Ms. Griffith

If I can add that the placement of those funds comes in part because of the previous Commerce Director's interest in this area and his participation on the Board of the Schuylkill River Development Corporation.

Councilman Nutter

Okay, so I understand the placement of the funds issue, 418 04/07/04 - WHOLE - BILLS 040257, 040258 but who's ultimately going to be responsible for trail maintenance?

Ms. Griffith

I'm looking to Mr. Syrnick again.

Mr. Syrnick

The park is clearly part of the Fairmount Park system and ultimately will be the responsibility of Fairmount Park. There have been discussions that the Schuylkill River Development Corporation entering into some kind of contract or arrangement with Fairmount Park whereby they would be able to take over some of those duties, perhaps with an opportunity for some fund-raising activities such kind of like a special service district might do. There's been no decision made on that. So for right now, I think it's a Fairmount Park facility.

Councilman Nutter

Thank you. Mr. Dubow, I asked a question of the library representatives on Monday with regard to the George Institute which has been closed, unfortunately, for an extended period of time. My concern is, given both the anticipated cuts 419 04/07/04 - WHOLE - BILLS 040257, 040258 from the State and the impact on the library system as well as kind of a general situation of you have a facility that's not presently open, when it's completed and looks to reopen and is slightly expanded, will there been staffing available to run the library?

Mr. Dubow

One of the things that Mr. Tustin and I did after the meeting was talk to them about that. And they're working through that issue now. That's part of the reason we don't have a full answer on it yet. We're trying to figure how to work that so that there's staffing there without drawing -- without impacting service at other branches, so we're working through that issue to figure how to do that.

Councilman Nutter

What's that conversation have to do with Mr. Tustin?

Mr. Dubow

Because one of the questions you asked Monday was when is it going to open up. So understanding when it's going to open up, we had to figure out how staffing is going to work.

Councilman Nutter

Well, I 420 04/07/04 - WHOLE - BILLS 040257, 040258 understand that. I think what I'm looking for is a commitment that when the building is done and it reopens that, again, given both the library issues related to the State and our and our City financial picture and what's been laid out as some of the possibilities, I want to ensure now that as we go through this process and whatever it is that we're going to spend to make the improvements and do the expansion that whenever that happens that the Budget Office, the Finance Office and ultimately the Mayor's Office is going to ensure that we'll have staff to open the place.

Mr. Dubow

Yes, we won't open it up and not have staff for it.

Councilman Nutter

All right. Just wanted to ask. And it is going to open?

Mr. Dubow

Yes. I mean, we're going to figure out -- that's what we're figuring out the staffing now.

Councilman Nutter

All right. I just have two more questions. One 421 04/07/04 - WHOLE - BILLS 040257, 040258 is a two-part -- two Fairmount Park issues, Manayunk Canal improvements, , Item No. 4 2 this. Has been a long-running project and I'd like to understand the status of it when will it be completed.

Mr. Tustin

Rick Tustin, Capital Program Office Director. Councilman, let me try to take a stab at it. I don't have the appropriate staff here to give me the little detail I think you're looking for, but we are now in Phase 3 of a five-phase project along Manayunk Canal. It does include other funding sources other than the City, and we've broken it down into phases so that we can do the work without having too much of an adverse affect on the neighborhood and the area that it's being done in. This is also a situation where we're working with the railroads as well and we've had to coordinate the construction work along with the railroad deliveries, the flagmen, and everything else associated with that. So it takes a project a little bit longer to be constructed when we have a train going through 422 04/07/04 - WHOLE - BILLS 040257, 040258 the site every day and we have to stop construction. If I can get back to you, I can give you a whole lot more detail once I talk to the actual project manager about it.

Councilman Nutter

In terms of the train, I understand that. One day in this country, someone will be able to tell the train people what to do. But isn't the train still operating at basically one train a day.

Mr. Tustin

I believe so. And what we tried to do initially was to get them to change their schedule. It's basically for deliveries of supplies, it's not a passenger train. And they have certain clients in that neighborhood, in that area. We tried to initially get them to change their schedule deliveries to either first thing in the morning or last thing at night. It was in midday which created a problem. So we've had several discussions with them on trying to change that.

Councilman Nutter

I understand. I know you need to get more detailed 423 04/07/04 - WHOLE - BILLS 040257, 040258 information. It has been going on for sometime. We need to get the water moving in the canal. I mean, there's serious ecological fish-related issues.

Mr. Tustin

The first couple phases and even the next phase has to do removal of a lot of silt and a lot of re-dredging, if you will, part of the canal. I think the last phase of the project includes the sluice skates which are at the north end of it which will also increase the water flow through the canal.

Councilman Nutter

All right. Let's talk about , Line Item 38, guideline, fencing, and gates, Fairmount Park. Is this money going to be accessed for the roadway improvements leading to Daisy Field?

Mr. Tustin

This is an annual allotment that's put in for this type of work, Councilman. I'm not sure whether it's going to be for that specific project, but this line is access for all this type of work throughout the year. So I would imagine --

Councilman Nutter

If we were going 424 04/07/04 - WHOLE - BILLS 040257, 040258 to do work, is that line that it would come from?

Councilman Nutter

Can you get me. An answer as to --

Councilman Nutter

Let's talk about . And our good friends over at MOIS. Can you tell me a little BIT more about this project, No. 56.1? It's the Business and Information Continuity Recovery Project.

Ms. Griffith

Let me see if I can take a stab at it. We may have to get you additional information. It's my understanding this would be a plan to ensure that in case of a catastrophic event, core information from each agency would reside in a secure place and location so that the City could recover rapidly. And I believe this initial money is for research and design of that system and also working with each agency to determine indeed what is core information, because it would be impossible to store all the information from all City agencies and 425 04/07/04 - WHOLE - BILLS 040257, 040258 entities.

Councilman Nutter

Just a quick question on that. Is that the kind of item that we should think about in the context of the productivity bank or --

Ms. Griffith

Let me defer to the Budget Director on that.

Mr. Dubow

Can you repeat the question, please?

Councilman Nutter

This is about the Business and Information Continuity Recovery Project, which I'm sure by the time we get together again you'll have an acronym for that. The question is, capital dollars various productivity bank and whether that's kind of a judgment call, is it something better over there as opposed to in capital? That was the question.

Mr. Dubow

I'm not sure that this one fits in the bank because there's no 22 increase in productivity that provides us protection, so it's an important thing to do. But in terms of fitting into the bank's policies, it might be a hard fit. 426 04/07/04 - WHOLE - BILLS 040257, 040258

Councilman Nutter

Although if you end of having to use this --

Mr. Dubow

Then it would immediately pay off.

Councilman Nutter

Big bay back.

Mr. Dubow

That's right.

Councilman Nutter

All right. That was the question.

Ms. Griffith

Councilman, if I may, Mr. Hess is here if you would like him to respond to your question.

Councilman Nutter

Wonderful.

Mr. Hess

Good afternoon, Rob Hess, Deputy Managing Director.

Councilman Nutter

Good afternoon, Mr. Hess. I was looking at the Capital Budget for OESS and the question was, what shelter services are presently available for victims of domestic violence?

Mr. Hess

It's kind of a two-part answer. The answer is that the entire shelter system is available to anyone who may be a victim of domestic violence. And very often we have folks enter the shelter system who are 427 04/07/04 - WHOLE - BILLS 040257, 040258 victims of domestic violence and do not self-identify on the front end. They're crisis, there's a variety of reasons where they may be in the shelter system for some time before we're able to determine that they're victims of domestic violence. The second part of that answer is that we have a location that address will remain unknown where we are able to have beds for victims of domestic violence that are at risk and have self-identified. And that facility is jointly funded by DHS and OESS.

Councilman Nutter

How many beds are available at that particular location?

Mr. Hess

I don't recall the exact number, but it's between 50 and a hundred.

Councilman Nutter

And is that adequate for the amount of demand, unfortunately?

Councilman Nutter

Is this a site -- and you'll only tell me what you can; and if you can't, tell me that. Is this a site that is owned by the 428 04/07/04 - WHOLE - BILLS 040257, 040258 City, or we under contract with someone?

Mr. Hess

It's under contract and it's owned by the provider that the contract is held with.

Councilman Nutter

What would you estimate -- if we were going to try to serve the actual demand, what would you estimate the need to be?

Mr. Hess

I'm not sure. The Mayor has created the Task Force on Domestic Violence. It's Co-Chaired by Carol Tracy and Commissioner Johnson. And that's one of the issues that we're struggling with. We need to figure out a way to better screen and determine on the front end or as possible, given the crisis that people tend to present themselves in who has been a victim of domestic violence and how better to serve that particular population. But there's no 21 question that we need more domestic violence beds, and we're doing a number of things to move in that direction.

Councilman Nutter

Are you able to say what some of those things are? 429 04/07/04 - WHOLE - BILLS 040257, 040258

Mr. Hess

I can tell you that we are in the process of trying to develop a new location where we'd be able to expand the capacity. We are also -- in this budget, the Mayor has put some dollars in the budget to relocate the administrative offices out of current facility so that we can increase the capacity of the current facility. So there are those things that are currently underway that will increase the capacity, I suspect, not enough but is moving us in the proper direction.

Councilman Nutter

Have you put forward or -- let me rephrase that. Could you put forward to us a plan, based your professional expertise, of things that we should do or could do as this City Council in working with the Mayor and his Administration to significantly increase the amount of secure, undisclosed locations? And there must be some -- I'll assume that there's probably some need for geographic diversity as well. Could you put forward to us a proposal or a plan of what we should be doing and how much 430 04/07/04 - WHOLE - BILLS 040257, 040258 it would cost and those issues? And I guess lastly, is it preferable to have locations under contract or to have them owned by us and then have a contractor run them?

Mr. Hess

We can look at all those issues and make those recommendations back to you. And we will be happy to work with the Mayor's Task Force on Domestic Violence to do that. So yes.

Councilman Nutter

Thank you. This is not a capital item, but it's related to this issue. What happened with the hotline issue on domestic violence? I think this was something that came up last year.

Mr. Hess

Yes. The Mayor has put some additional dollars in this budget, I think in the $200,000 range, I'd have to get you the exact number, to expand and coordinate hotline services for domestic violence. And so it's been given a very high priority for this coming year.

Councilman Nutter

Thank you. 431 04/07/04 - WHOLE - BILLS 040257, 040258

Mr. Hess

Thank you.

Councilman Nutter

Thank you, Madam Chair.

Council President Verna

Thank you. Are there any other questions from Members of the Committee? Councilman Cohen.

Councilman Cohen

Is anybody here from the Commerce Department, PIDC.

Ms. Griffith

I believe we did have a representative from PIDC earlier.

Councilman Cohen

Maybe the Planning Commission could deliver the message. Over the weekend, the Inquirer had a story indicating that with respect to the KOZ program, there was no evidence at all that there were any jobs created. Or if there were, there were so few that it was hard to document them. I'd like to -- it's a question I've asked over the years and never got a reply except from the witness who always said, "Yes, we can furnish it," and nothing ever was furnished. With respect to all of the TIFs and 432 04/07/04 - WHOLE - BILLS 040257, 040258 the KOZ programs, what are the claims that were made as far the job production and what are the results now? In other words, considering all the funds that the Council has voted for TIFs, tax abatement, KOZ plans and everything else, what were the predictions as to jobs what were the facts by project? Now, I think maybe the Planning Commission ought to do that, maybe it ought to be them instead of Commerce and PIDC, because I don't know how the Council can take any action on any matters before it in face of that charge, which seems to be legitimate. It's very easy for a witness to come and say, We're going to hire 50 more people or 75 more or 10 more or whatever they're going to say, but we ought to have a means before we put taxpayer money into these plans of establishing that there's been some real production. And these various abatements and other things that have been going on for years, it's taking Monday Friday from the Capital Program, it's taking money from the 433 04/07/04 - WHOLE - BILLS 040257, 040258 General Fund, it's taking money from the School District. It's shifted the burden of taxation because somebody has to pay the share that's being awarded to somebody's inducement to create jobs, somebody else pays it if they don't pay it. I think it's important that we have such a study. And if you tell me the Planning Commission will make the study, I will know you will do it.

Ms. Griffith

Well, certainly, the Planning Commission will reach out to PIDC and Commerce and try to evolve such a study. Obviously, we don't have the facts and figures. We would have to go to them to obtain them. I would also suggest that this might be an appropriate focus for the Economic Development Summit which will be happening in June and perhaps out of that summit can come not only the initial information that you are concerned, but also some sort of ongoing monitoring because I think that's another focus of your question, not only for historical information but how do you get 434 04/07/04 - WHOLE - BILLS 040257, 040258 accountability on an ongoing basis as we move forward.

Councilman Cohen

Well, I agree with you except that I think it's time to put up, you know, to show the whole card when you play poker because we've been bluffed, I think, for many years as to job production. I think that the number of jobs produced has almost zero. And I think it cuts across all of these abatement programs. I think it's just a plan to get more money shifted in certain directions. But if not, then we ought to get the facts. If they are pluses the we know we have a genuine instrument of economic development. If not, we ought to stop fooling ourselves and stop fooling the taxpayer into believing that we're doing something when in fact we're not. So before drawing ultimate conclusions, I have suspensions because no 22 answers have been given. But I think in fairness, we ought to get the reply. And I think if the two departments are not prepared to do it, then I think it properly fits the 435 04/07/04 - WHOLE - BILLS 040257, 040258 Planning Commission. How do you plan for economic development? Isn't that part of your plan?

Ms. Griffith

Indeed it is.

Councilman Cohen

You've got to have credibility when you come before us to say that if there are jobs, we're going to monitor it. And I don't think we can depend on the summit because the summit will be largely influenced by people who will be making application for these various programs. And absolutely, it's the advantage of anybody to get government money if they can because it means they have to put up less money of their own. So I would not rely on them to necessarily to do the stringent kind of accounting that I would expect from you.

Ms. Griffith

Well, I understand your query and I will do my best to get you that information.

Councilman Cohen

And could you send some sort of reply in about a week or so? Would that give you time enough to help look over the possibilities? 436 04/07/04 - WHOLE - BILLS 040257, 040258

Ms. Griffith

It certainly would give us time to be able to tell you what we could do. I don't think we would have been able to complete --

Councilman Cohen

No, but if you could tell us what you could do, then we can go from there.

Ms. Griffith

I'd be happy to do that.

Councilman Cohen

Now, anybody from the airport here? Mr. Isdell and he was accompanied by somebody. Mr. Isdell, first, I wanted to congratulate you on the Southwest Airlines and Frontier, but I'm wondering why is that now possible? Has there been a change in law or regulation that permits Philadelphia and Philadelphians to travel from the International Airport? Because for years I understood when I raised the issue, I was told there were contractual limitations and we couldn't bring in these low-cost airlines. But I think it's certainly a positive for all Philadelphia, and I'll have to stop 437 04/07/04 - WHOLE - BILLS 040257, 040258 apologizing to Philadelphians for their having to go to Baltimore to take a flight or somewhere in New Jersey rather than from the airport.

Mr. Anastasi

My name is Ed Anastasi, Deputy Director of Aviation for Finance and Administration. Charlie Isdell, the Director, had to leave early. He has a family situation, so I'll try to answer your question as best I can. In terms of the Southwest Airlines choosing Philadelphia, I don't believe it was because of any change in specific laws but I think they reconsidered Philadelphia because over the past few years we've been able to construct new facilities that would enable an air line like Southwest to have access to Philadelphia International Airport. I think that's one reason. And a few years ago we did not have the aircraft gate positions that Southwest Airlines needed to operate at Philadelphia. And now we've corrected that situation with the construction of new gates and the freeing up of some gates in our 438 04/07/04 - WHOLE - BILLS 040257, 040258 Terminal E facility, the creation of --

Councilman Cohen

How did you free them up?

Mr. Anastasi

We freed them up from American Airlines, as a matter of fact, because they used to TWA gates and American took control of TWA when TWA went out of business and they took control of their gates here and other facilities at Philadelphia International Airport. However, American Airlines didn't need those facilities because they were in Terminal E and American Airlines' other gate facilities at the airport are in Terminal A. So it just made sense for us to get back those gates from American Airlines so we can provide them to other new entering airlines that wanted to do business in Philadelphia like Southwest.

Councilman Cohen

Well, could you explain to me, wasn't it apparent to Philadelphia that for many years Philadelphians general public, low blue collar workers were traveling to other airports to other place because the fares were lower? 439 04/07/04 - WHOLE - BILLS 040257, 040258

Mr. Anastasi

I understand that that has happened to some degree. We spoke with Southwest Airlines about that as to whether or not Southwest was attracting Philadelphia citizens to their operation at Baltimore. And they felt that although there was some attraction in some of our citizens using Baltimore Airport for Southwest flights, they didn't seem to think that it would be that much. And one of the things they mentioned when they decided to come here to Philadelphia is that they did not expect that the presence of Southwest in Philadelphia would have much of an impact on their Baltimore operation because they believe that there wasn't that much of a bleeding of our operation over to BWI because of their presence down at Baltimore/Washington.

Councilman Cohen

Well, I've always felt that we planned the airport for business travel, and unless people were prepared to pay kind of the rates that businessmen might, that the airport wasn't interested in them. We were running a business rather than running a 440 04/07/04 - WHOLE - BILLS 040257, 040258 service for Philadelphians. And I feel very strongly that the first obligation of any city agency is to run a operation on behalf of Philadelphians. So as I view it, I'm very glad to see these airlines coming in because I can tell you from my personal knowledge, I know of many families, ordinary rowhouse families that haven't traveled at all because they couldn't afford to. And those that knew about these other airports used them. And I was stunned to find the degree to which that occurred. You know, people working for a city government often visiting family or having family come would use Baltimore, and that's how I got to know it when I learned about some staff members traveling outside. And I said, "How can you do that? You work for the City of Philadelphia." They said, "We can't afford to use the airlines that Philadelphia limits itself to. What I'm trying to get from you and if you would raise it with Mr. Isdell, I would like to know whether the decision on the kind 441 04/07/04 - WHOLE - BILLS 040257, 040258 of services offered, who makes those decisions? Who would have been the proper group for me to have complained to when I first discovered that, in my judgment, most Philadelphians were eliminated from using their own airport because there were other cheaper airports available? Who would have complained to if I felt that way?

Mr. Anastasi

Well, it's a difficult question to answer. I think if you a problem, for instance, with the airfares at Philadelphia and the routes that are flown out of Philadelphia, probably the best thing to do initially is to go to the Director of Aviation, go to the Division of Aviation to make that complaint.

Councilman Cohen

Could you just transmit my message. I'd be very glad to talk to Mr. Isdell. And let me raise the other question I have on the airport. I'm very supportive of the statements made by the Councilman who spoke before about the minority business program, minority, women's efforts by the 442 04/07/04 - WHOLE - BILLS 040257, 040258 airport to include increased employment to them. And I was wondering who actually makes those decisions in the airport? Is there a board? Who worries about whether there is minority representation or female representation?

Mr. Anastasi

We work very closely with the Minority Business Enterprise Council.

Councilman Cohen

Do they issue any kind of regulations or recommendations as to how you do it?

Mr. Anastasi

What they do, whenever we develop a request for proposal or a request for qualifications, we submit a copy of that to MBEC. And what MBEC does is they establish the disadvantaged business goals for that particular RFP. So those goals become a part of the RFP which is issued out which the consultant, for instance, have to respond to this their proposal.

Councilman Cohen

Are there other requirements other than the fact that somebody be a minority? Are there income requirements of any kind? Professional requirements or any 443 04/07/04 - WHOLE - BILLS 040257, 040258 kind?

Mr. Anastasi

Yes. I believe MBEC does set forth certain requirements that need to be met to be certified as a disadvantaged business enterprise. And they are financial-type requirements that need to be met and I assume that there are other requirements as well.

Councilman Cohen

Are there separations between requirements for entrepreneurial activities like running a business of any kind, any vendor, as against becoming an employee?

Mr. Anastasi

Councilman, as far as that one, I'm really not sure. Perhaps MBEC could address that one. They probably would be able to provide information on that.

Councilman Cohen

Well, I was wondering what the relationship is between MBEC and your agency or any agency in the City. Is there a coherent regular program existing in the City of Philadelphia? So for example, I assume the airport's almost always engaged in some kind of construction work. 444 04/07/04 - WHOLE - BILLS 040257, 040258 You're changing something or other. Am I pretty much right on that?

Mr. Anastasi

Yes. As far as construction, the Procurement Department -- since all construction goes, Public Works projects, even airport projects go through the Procurement Department, I think the relationship there is between the Procurement Department and MBEC.

Councilman Cohen

Between the Procurement Department of the City?

Mr. Anastasi

Yes, and MBEC.

Councilman Cohen

But if you could refer to Mr. Isdell again the kind of question I raised about MBEC after the present questions that newspapers are dealings with, and we don't want to interfere with whatever is going on there. And I realize that your ability to answer questions may be limited that way, I just want you to know there are a number of Councilmembers that are very concerned that there seems to be lacking a centralized policy that would take care of a lot of questionable practices that we think 445 04/07/04 - WHOLE - BILLS 040257, 040258 may be existed that shouldn't have or maybe weren't even started in the beginning. So let Mr. Isdell know, I think that it isn't only Councilman Ramos that's interested. I think there's a clear overwhelming number of Councilmembers that are very concerned about the employment both at the entrepreneurial level and how it impacts on the ordinary rowhouse liver who's a member of a minority and who desperately needs work.

Mr. Anastasi

I'll certainly take that message back to Mr. Isdell, and we will continue to work with MBEC in these area.

Councilman Cohen

Thank you. Thank you, Madam President.

Council President Verna

Thank you. Does anyone else have any questions? (No response.)

Council President Verna

Seeing none, this Committee will stand in recess until Tuesday, April 13 at 9:30. Thank you very much. (Council adjourned at 6:00 p.m.) - - - - 446 C E R T I F I C A T I O N I HEREBY CERTIFY that the foregoing proceedings of the Council of the City of Philadelphia of Wednesday, April 7, 2004, were reported fully and accurately by me, and that this is a correct transcript of the same. RE: COMMITTEE OF THE WHOLE _________________________ Lisa C. Bradley, RPR