COUNCIL OF THE CITY OF PHILADELPHIA SPECIAL MEETING - COMMITTEE OF THE WHOLE Room 400, City Hall Philadelphia, Pennsylvania Thursday, July 1, 2004, 10:35 a.m. PRESENT: COUNCIL PRESIDENT ANNA C. VERNA COUNCILWOMAN BLONDELL REYNOLDS-BROWN COUNCILMAN DAVID COHEN COUNCILMAN W. WILSON GOODE, JR. COUNCILMAN JACK KELLY COUNCILMAN JAMES F. KENNEY COUNCILMAN JUAN F. RAMOS COUNCILMAN FRANK RIZZO COUNCILMAN FRANK DI CICCO COUNCILWOMAN JANNIE L. BLACKWELL COUNCILMAN MICHAEL A. NUTTER COUNCILMAN DARRELL L. CLARKE COUNCILWOMAN JOAN L. KRAJEWSKI COUNCILMAN RICHARD T. MARIANO COUNCILWOMAN DONNA REED-MILLER COUNCILWOMAN MARIAN B. TASCO COUNCILMAN BRIAN J. O'NEILL ALSO PRESENT: Patricia Rafferty Chief Clerk Special Meeting - 7/1/04 P R O C E E D I N G S
I note that the hour has come, and that a quorum of this Council is present. The Council will please come to order. Members will take their seats and visitors will retire to the seats outside the rails. To give our invocation this morning, I will ask Mr. Charles Register to give us our invocation. All members and guests will please rise.
Oh, eternal God, supreme intelligence of the universe, we come to you in the way of prayer, thanking you for your love, mercy and loving kindness towards the children of men. On this great and wonderful day, we ask that you direct these thy servants to perform their duties, to bring this City of Philadelphia together, without malice, Special Meeting - 7/1/04 grudges or even hate, and that we make good decisions for all the people of this great City. For these blessings we ask in Thy name. Amen.
The Chair thanks Mr. Register for his very inspiring invocation. The next order of business is the approval of the Journal of the meeting of Monday, June 21, 2004. And the Chair recognizes Councilwoman Blackwell.
Thank you, Madam President. I move that the Journal of the meeting of Monday, June 21, 2004, stand approved. UNIDENTIFIED COUNCIL MEMBER: Second.
It has Special Meeting - 7/1/04 been moved and properly seconded that the Journal of the meeting of Monday, June 21, 2004, stand approved. All in favor will indicate by saying aye. (Chorus of "ayes.")
The ayes have it. The motion carries. And the Journal of the meeting of Monday, June 21, 2004, is approved. The next order of business is request for leave of absence. The Chair again recognizes Councilwoman Blackwell.
Thank you, Madam President. There are no requests for leaves of absence on the part of the majority.
Thank you. The Chair recognizes Councilman O'Neill. Special Meeting - 7/1/04
On behalf of the Republicans, there are no requests for leaves of absence.
Thank you. The Chair will dispense with the regular order of business to recognize the guests and visitors joining us in chambers this morning. On behalf of all members of City Council, I welcome you to our Council session. We appreciate your taking the time to join us as we attend to the legislative affairs of our City. We certainly invite you to come again. The next order of business is communications. The Chair requests that the sergeant-at-arms deliver the messages from the Mayor to the Chief Clerk. The Chief Clerk will please read the messages from the Mayor.
To the President and members of the Council of the City of Philadelphia -
Just a Special Meeting - 7/1/04 moment, please. Councilman Cohen.
Can the Chief Clerk speak distinctly and slowly so everybody can hear what's being said.
To the President and members of the Council of the City of Philadelphia: I am pleased to advise you that on July 1, 2004 -
I am pleased to advise you that on July 1, 2004, I signed all of the bills that were passed by Council at its session on June 21, 2004, except 040564, 040565, 040601 and 040608. And I am returning herewith as disapproved Bill Number 040608, passed by the Council on June 21, 2004; and I have made a $4 million reduction to the Police Department's Class 100 line item, the operating budget ordinance, Bill Number 040601. Special Meeting - 7/1/04
Thank you. The messages will be printed in the Journal. The Chief Clerk will please read any other communications in her possession.
Thank you. Council will now proceed under a special order of business to the reconsideration of Bill Number 040608. This bill as passed by City Council on June 21, 2004, and was returned disapproved by the Mayor to today's session of Council. At this time, the Chair recognizes Councilman Nutter.
Madam President, I move that we reconsider the vote with regard to Bill 040608 which was approved by Council on June 21, 2004. UNIDENTIFIED COUNCIL MEMBER: Special Meeting - 7/1/04 Second.
It has been moved and seconded. All in favor will indicate by saying aye. (Chorus of "ayes.")
The ayes have it. The motion carries. Council will now reconsider the vote by which Bill Number 040608 was passed. The Chief Clerk will please read the title of the bill.
An ordinance amending Section 19-2604 of The Philadelphia Code, relating to tax rates, credits and alternate tax computation for the business privilege tax, by reducing certain tax rates, all under certain terms and conditions.
This bill having been read on two different days, was Special Meeting - 7/1/04 duly approved by City Council on June 21, 2004, and returned to Council by the Mayor as disapproved to today's session of Council. The question is, shall Bill Number 040608 pass, notwithstanding the Mayor's disapproval. I would ask you to please note that a vote of aye is to override the Mayor's veto, and a vote of no is to sustain the Mayor's veto. At this time I would ask the Chief Clerk to please call the roll.
I would like to hear an explanation as to why this bill should either be passed or be overridden by those most concerned.
Would the Special Meeting - 7/1/04 Chief Clerk read part of the Mayor's message on why he vetoed this portion of the bill.
Everyone recognizes the importance of a competitive tax structure. However, the Home Rule Charter assigns to the Mayor responsibility to protect the financial stability of the City and provide essential City services. The Tax Reform Commission urges that tax reductions be paid through reduced expenditures and the increase of other taxes. Business and wage tax reductions of the magnitude proposed by Bill Numbers 040607 and Bill Number 040608, approved by City Council, would result in -
Excuse me. Excuse me. I think that Councilman Cohen is the one that asked that this be read, and I don't think... I think he was distracted. Do you want the Chief Clerk to continue Special Meeting - 7/1/04 reading?
Yes. But I nonetheless would like the Chief Clerk to continue to read the letter.
-- approved by City Council -- Bill Numbers 040608, approved by City Council, would result inevitably in an unfair shift in tax burden to the property taxpayers. For example, if half of this tax -
I ask you to read a little slower. Your reading at the rate you read before was excellent.
For example, if half of the tax revenue lost could be made up with service cuts and half through increases in the property taxes, revenues from the property tax would have to increase by over 70 percent for FY 17. The City cannot afford the $3 Special Meeting - 7/1/04 billion tax reduction program proposed by City Council in addition to the tax reduction program, that the administration already proposes. Therefore, I am returning herewith as disapproved Bill Number 040608, passed by Council on June 21, 2004.
I beg your pardon, sir. I'm sorry. I didn't hear you.
I've also asked the sponsor of the bill to state his view and anybody in opposition state their view. I think it's important at this critical time, with the contracts having expired, that there be ample funds. And I think everybody has to make sure that we are in a position to do a fair contract. (Cheers, whistles, applause.)
So I think it's important on this issue to have a full debate, if necessary. So I'd like to ask for the sponsor of the bill to state his or her point of view.
Thank you, Madam Chair. Councilman Cohen, I appreciate the question. As the Councilman will recall, this bill was passed by City Council on June 21 by a vote of 11 to 6. It is the reductions in the business privilege tax over a period of time between now and 2017. It would reduce the gross receipts portion of the business privilege tax, as well as the net income portion of the same Special Meeting - 7/1/04 tax, and eliminate it in 2017. This is similar to the bill that we passed before that was vetoed by the Mayor and not successfully overridden, and it is a part of the larger strategy for tax reform. It was coupled with Bill 607 which apparently the Mayor did sign. So the bills have been running in tandem. And it's also connected with the larger tax reform package. That's the essence of the bill, Councilman.
Madam President, would you ask if Councilman Nutter would accept a question?
Councilman Nutter, would you accept a question from Councilman Cohen?
Of course I'll accept a question. I always take a Special Meeting - 7/1/04 question.
In view of the present circumstances, and in view of the strange circumstance that the Mayor allegedly -- I'll say allegedly with respect to both sides -- the Mayor allegedly cut less from the revenue side of the bill than the Council did, Council nonetheless reinstated a number of the cuts that the Mayor had initiated which creates a very strange situation in which smaller amounts of revenue were providing a larger amount of cuts. Now, I'd like to ask Councilman Nutter to explain how he views this, from the point of view of the ability of the City to deal with the economic problems that the City now has, in view of the expiration of the old contracts and the need to guarantee sufficient funds being available for purposes of executing a new, fair, viable contract with the working Special Meeting - 7/1/04 force of Philadelphia. (Cheers, whistles, applause.)
Thank you, Madam President. I think, as the Councilman knows, and as our guests and visitors and friends know, certainly the Councilman has been a longstanding supporter of our municipal employees but certainly does not have exclusive franchise on that particular friendship or relationship. I, too, care about the upcoming contract negotiations which I'm sure that the Councilman is quite aware of. This City Council is not a part of those negotiations, but obviously through our budgetary authority we play an indirect role. These budget bills -- or I'm sorry -- the tax bills, Councilman, the budget that we approved, a small part of which is coming back to us, is a balanced Special Meeting - 7/1/04 budget. And the five-year plan that we approved a couple weeks ago is also balanced through all five years of the five-year plan. I believe, as in past history, we know that it is pretty much a routine statement that mayors have made in the past, that there was no money for raises and benefits for our municipal work force, but then subsequently they are always found. And that has been the case, at least during my time here in City Council. So, I do not believe that this bill which was passed which 11 of us, including the Councilman voted for, will inappropriately interfere with the City's ability and the union's right to get a fair contract and appropriate wage and benefit increases. That is just my personal view. And hopefully that's been responsive to the Councilman's question.
I think it's a Special Meeting - 7/1/04 pretty good answer. (Laughter.)
If there's any point of view differently, I'd like to hear that.
Pardon me, Councilman Cohen? You said you thought it was a pretty good answer. And you said something afterward which I did not hear.
I asked if anybody has a contrary view, this is the time I believe it ought to be said.
I think Councilman Nutter answered my question very effectively.
Thank you, Councilman. The Chair recognizes Councilman O'Neill.
Thank you, Madam President. I think the body should be clear and Special Meeting - 7/1/04 the public should be very clear on the differences the Mayor has with this business privilege tax reduction bill. We're not talking about a difference in the five-year plan any more. The 160 would not be preventing the Mayor from supporting this bill. It's the 160 in the five years of the five-year plan. In fact, there's no reductions in the current year, where the budget shows a surplus; but it's the out years the years, the years 6 through 12 or through 2017. And I would implore my colleagues to consider, that if you look at the Mayor's view on this, it's that we are not mature enough, we are not responsible enough -VOICE IN THE AUDIENCE: That's right.
-- that if we make cuts in the out years, that we will do anything but go into some kind of legislative paralysis if any other actions have to be taken in the future. That's the way the Mayor sees this Special Meeting - 7/1/04 body. I won't characterize it, but I personally find it insulting that I can't make a decision in the future because of something that's decided today. When in the wage tax cut bill today, there are several previous tax reductions that are being lifted to provide more revenue for this government because of the sad situation we found ourselves in when we started this budget process. And if you can support the 160, the $160 million in the five-year plan but you want to look each year out before making a decision on any other years, you're doing more than just saying that you don't believe Council is responsible or will be responsible in the future should circumstances demand responsibility. What you're basically saying is that we shouldn't send a message to the business community: Not just in Philadelphia, the companies we want to stay here; not just across City Line Avenue, where we've seen the local supply side work in reverse for Special Meeting - 7/1/04 the last 30 or 40 years; and nationally, where this story will be picked up the same way it's been picked up in the last several months. We send a message that we're really not serious enough to make a commitment. And I believe the proper position is to make the commitment, with the whole world knowing that we pass a budget every year and a five-year plan. We could not have been more responsible this year, for the first time reaching out to our oversight board, PICA, meeting with those board members, explaining what we wanted to do, learning what they would support and how they would support it, and then putting together a responsible package both on the budget and on the recommendations to the Mayor on the five-year plan. That is the way this should operate. That would have and will have long-term effect that won't just be for the children. They'll be for the children's Special Meeting - 7/1/04 children because it's the future of the City that's at stake. It's the workers that we want to give the best pay and benefit package to. (Applause and cheers.)
That will benefit from a healthy future for this City. There's no question about that. We are in a downward slide that this Mayor and this Council didn't start, but that this Mayor and this Council can put the brakes on and start us in the right direction. (Applause.)
I don't want to be part of a legislative body that will be described later in later years as one that is now trying at some future point to reverse something that has become irreversible. This is a very reversible trend at this point if we can send a message out that we don't need a half a billion dollars in loans coming out of an economic summit Special Meeting - 7/1/04 to support business and business development and economic development. The best economic development package we will ever have a chance to vote on is before us today. And the business privilege tax reductions are a cornerstone because there is no better help we can give people, whether it's a person out of work looking for a job, whether it's a person looking for a better job, than employment and meaningful employment. And that's what there is all about. It's leveling the playing field so that we're not putting ourselves at a disadvantage any longer, that we've been placing ourselves at for the last 30 or 40 years. I'm sure the people that own the properties, the businesses on the other side of City Line Avenue, get up every day. They don't probably laugh any more as they used to -- they smile still -- that we can't get our act together, that we will Special Meeting - 7/1/04 allow ourselves to charge six and seven times more for the same commodity that they charge and still expect businesses to come here, when we refuse to reduce our prices. We have to figure out a way to do it. I believe that we can. I think there's a will in this Council. I just think it's a shame at this time and it's unfortunate that we don't have a Mayor that agrees with that position. Thank you. (Applause, cheers, whistles.)
Thank you. The Chair recognizes Councilman Clarke.
Thank you, Madam President. Madam President, I just want to briefly note to Councilman Cohen: This particular budget and particular five-year plan calls for a new category, one of which I have not seen in the City. It's called supply side revenue. Special Meeting - 7/1/04 My understanding of the whole issue is that it is somewhat speculative revenue. So, there is some question as to whether or not that revenue will ever be realized in the budget. So, it's not clear to me that the funding will be available for the municipal work force if the speculation is not ripe. (Applause and catcalls.)
So, while I agree with my colleagues with respects to the City's need to be competitive -- And hopefully we will address all aspects of our ability to be competitive as we move ahead. But in this particular five-year plan, personally I'm extremely concerned about the speculative supply side revenue. If we don't realize that, I doubt that we'll be able to take care of the municipal work force. I'm really concerned about that. (Applause.)
The Chair Special Meeting - 7/1/04 recognizes Councilman Nutter.
Thank you, Madam President. One item to note for the record, but picking up in a different way where Councilman Clarke left off, there's one thing that's not speculative in the budget that came before us and that this Council took action on. And it's pertaining to a few of the folks who are up in the balcony over on the opposite side of the room. There's nothing speculative about the cuts that came to us, and that this Council sought to restore and put back in this budget. But still I have young people here whose swimming pool was closed because of that budget. VOICE IN THE AUDIENCE: That's right.
And so the question is, what are we trying to do, not only for our municipal workers who do deserve a fair contract -Special Meeting - 7/1/04 (Applause, cheers, whistles.)
-- and who do deserve an opportunity -(Applause and cheers.)
-- who do deserve the opportunity to work in a growing and thriving City, where we'd actually have more people living here, and working here, and opening businesses here, and generating more revenue for this government. But the tax issue had nothing to do with that swimming pool being closed at Baker Recreation Center, nothing. And we put money back, and they closed it anyway. (Applause.)
And there were nine other pools in the City that were closed that we found out by press release, not a discussion, a press release on Saturday. So there are a lot of things that are in this budget. Some are not speculative. They're the reality of what Special Meeting - 7/1/04 our young people and not so young face every day. And by vetoing this bill, the Mayor creates for himself a larger problem because then he doesn't get the parking tax revenue which this Council, which no one thought we would do, approved the parking tax. It's $10 million a year which it results in the Mayor then having to line item money out of the Police Department for $4 million because we had a $6 million projected fund balance positive for FY '05. He loses the parking tax by vetoing the business privilege tax bill, and now has to cut money from the Police Department. Those are all the mechanics of what we're trying to deal with here. And so, this bill should -- the veto should be overridden because we need the additional revenues. That's not being discussed in this particular conversation. Thank you, Madam President. (Applause.) Special Meeting - 7/1/04
Thank you. Councilman O'Neill, your light is on. Did you want to be recognized again?
Yes. Thank you, Madam President. Just responding to the description of new revenues that may come about because of tax reductions as supply side. And that is the term that is generally given to it. As I spoke with one of my colleagues the other day about this issue, I said, look at the E-Consult report, the study that supports new revenues, using historic trends, to show that if you reduce taxes, you can increase revenues. Some of it gets increased by people wanting to live in the City instead of somewhere else, and the other is businesses and jobs coming here or staying here, rather than going somewhere else. And back in the '80s, when supply side theories were promoted in Washington -- And I think they pretty much fell on their face. I don't think there's Special Meeting - 7/1/04 any doubt about that. And E-Consult in their report -- I didn't concentrate too much on the numbers because I think everybody agrees that the numbers, when you get beyond the second year, are educated guesses at best, and we just have to keep our eye on the ball each year, looking at the budget the second year, and then the more speculative third, fourth and fifth years of the five-year plan. But what came across loud and clear -- And I want to make sure that there's not a person that doesn't understand the plain language of the E-Consult report about supply side locally, as opposed to nationally.
-- and E-Consult said that. I think history has proved it. Special Meeting - 7/1/04 But the reason is because nationally you pretty much have to decide you're going to live in the United States. People don't leave the country based on tax decisions that they have to make. They might go to another state, but they don't leave the country. Businesses don't leave the country and the jobs with them because of some supply side possibility. But locally... We're talking about locally. None of the criticism of supply side has ever dealt with local supply side; no criticism has. But the support for it in the E-Consult report, the support for supply -for local supply side in the E-Consult report, which by the way, was very modest. They could have been a lot more aggressive if they wanted to. In fact, PICA said we could still be a lot more aggressive if we wanted to, and they would still support it. But E-Consult used an example. And Special Meeting - 7/1/04 examples are always nice because even people like myself with an economics degree understand it with an example. City Line Avenue. Do you think the people in Montgomery County, in Lower Merion Township don't believe in local supply side? They look at it every day. It's all on their side of City Line Avenue. You don't think that South Jersey knows about supply side locally, locally speaking? They sure do. We're never going to be doing anything except giving away tax revenues to companies that either threaten to leave or say they're going to not come in unless they get a better deal, and then really treat very unfairly the companies that are stuck here. We're doing the same thing to residents. Most of our residents can't get up and leave. They're stuck here, not just City workers. People are just too poor to get out of the City. We can help them as well. Special Meeting - 7/1/04 (Catcalls.)
But I challenge anybody to dispute local supply side, because it's common sense, it's in front of us, it's around us. The counties that surround us, the two states that surround us, can tell you all about local supply side because they've been the beneficiaries of it. One company -- And I'll end with this because I thought it was the saddest day in the Rendell Administration, in terms of good efforts not resulting in any results. And that was the company SAP, the software company. Mayor Rendell, with the support he knew he would get from Council, had offered SAP for about 2,000 high-paying jobs a deal to go into the Navy Yard where they would literally pay no taxes for, I think, 10 or 12 years. (Boo's.) Special Meeting - 7/1/04
I'll wait for the President. SAP would not only have been 2,000 high-paying jobs moving into the City. This is an internationally acclaimed software company that was located just -It's a German company, but their American base was located just outside the City. They were going to also be the anchor to the Naval Base. They were ready to sign on the dotted line. And their Chief Financial Officer asked Mayor Rendell and his staff if he could just run the numbers one more time and run them out 20 years. He ran them out 20 years. Came back and said, sorry. The numbers are too just too sad, too awful. Whatever we gain in the first 10 we get killed in the second 10. They now are outside the City, still in the area. Somebody's getting a big boost from that, in terms of tax revenue. But I'll tell you, SAP is a great Special Meeting - 7/1/04 example of local supply side. And all we're asking here is a very modest recognition of local supply side in years that aren't even at issue. It's only the first two years of the five-year plan are really meaningful and predictable. After that it becomes very speculative. Everybody that deals with the issue will admit that. We're not even dealing with local supply side until the third year, and then in a very modest level. So, if supply side is the problem, I would ask you to put that problem aside, vote for the business privilege tax cuts which will, I think, give us a future that we can all be proud of. Thank you.
Thank you. The Chair recognizes Councilman DiCicco. COUNCILMAN DiCICCO: Thank you, Madam President. I just want to engage for a few minutes in the same conversation about the Special Meeting - 7/1/04 concern for supply side. Maybe we should have called it something else. (Catcalls.) COUNCILMAN DiCICCO: Because in my opinion we have been, for at least the nine years that I've been here, and I believe even some time before that, been doing tax incentives that to me act or will act similar to what the supply side effect, what we will have as a result of these tax cuts. We have been doing TIFs, tax increment financing deals for a number of years. The reason is, we need to get those companies and those businesses in, so we have to put on the table some sort of a tax incentive. We've done it just recently with Comcast, the KOZ and KOIZs. (Boo's.)
Give it away to the rich. COUNCILMAN DiCICCO: And we make these decisions on individual projects for the purpose of incentivizing those Special Meeting - 7/1/04 companies to either stay or move in, with the end result to increase our tax base and create jobs. So, for me, I'm not frightened about this word "supply side." The word -
Come on. Come on. COUNCILMAN DiCICCO: As someone who voted against the raise, I will try to get through with my comments.
You got your raise. (Screaming, yelling, catcalls.) COUNCILMAN DiCICCO: Could anyone argue with the fact that the TIF's that have been created and have been put into motion have not benefited the City of Philadelphia? I don't think there's a person in here who can argue that they were not in the best interests of the City of Special Meeting - 7/1/04 Philadelphia and all of its employees. And what about the abatements that we've done over the last several years where the Managing Director -- and I know I'm repeating myself from a couple of meetings prior, where the Managing Director was bragging about the number of building permits that have been taken out in this City over the last several years, and the fact that neighborhoods are growing again. But for abatements -- and he readily admitted that -- most likely those building permits would have never been applied for. So for me, I look at those abatements, KOZ zones, TIF's, as tax incentives, reducing taxes, eliminating taxes on certain projects and individuals. For me, this tax package that we're faced with today would be across the board, not for a specific project, a specific company or entity. This would give every business across the City an equal playing field so that maybe at some point we won't have to Special Meeting - 7/1/04 deal with and need to deal with TIF's and KOZ because everyone will have an equal opportunity. That's why I'm supporting this tax package today. Thank you.
Thank you. The Chair recognizes Councilwoman Tasco.
Thank you, Madam President. Just very briefly, I speak on behalf of the businesses in my District which are small neighborhood businesses. I speak about Paul Bill, that does a flower shop up on Ogontz Avenue. I talk about Marco Houski who runs a printing shop on Rising Sun Avenue, where the business strip has become a vacant island of businesses that have left the City. I speak on behalf of all the businesses on Stenton, Ogontz, Washington Lane, Rising Sun in my District, Summerdale, where these businesses don't get the advantage of the tax breaks. Special Meeting - 7/1/04 (Applause.)
What do we do for those small neighborhood businesses who stay in this City and who offer revenue to this City on a daily basis? When they see that we do give tax breaks to, like, the KOZ or whatever the incentives we give, they say, what about us? And I the other day was informed that one of the major companies in my District is thinking about leaving to go to Mexico because they want to know, what about us? So I think that we do have a problem, and if we don't begin to address that problem now, what we're going to end up with is feeding off of each other. We will lose City employees through attrition. People won't be -- Those positions will not be filled. We will not have people in here asking for a raise because they won't be there. We have got to find a way to stem Special Meeting - 7/1/04 the tide of the flow of blood from this City, and fix it so that we can generate revenue, so we can provide employment for City workers, and provide an adequate income for them and their families. But if we don't start -(Applause.)
And if we continue to wait... If we continue to wait, the blood is going to get deeper and thicker. And we have to do something to address this problem. I don't know what's going to come down the pike, but I heard that there may be a $500 million economic development stimulus program coming in here. Well, I want to know how we're going to pay for that, and not pay for some ways to help our small businesses. I thank you, Madam President. (Applause.)
Thank you. The Chair recognizes Councilman Special Meeting - 7/1/04 Mariano.
Thank you, Madam President. Madam President, I think if we stay here long enough today, we're going to hear a lot of things that make sense and some things that may not make sense to a lot of us, and visa versa. I've been involved in the labor movement for over 30 years in this City in one way or the other. And it always comes down to one thing. If we have to help the business owners which we want to do. Everyone on this Council is in favor of tax cuts, even for businesses. But it always comes down to it's on the backs of the labor unions. (Applause and screams.)
It's not going to be on the backs -- It's always like that. They try to separate you by race. They can't separate you. They try to separate you by religion. They can't separate you, Madam President. Special Meeting - 7/1/04 How do they separate you? How can me and that black woman over there be in the same room? Because we're all labor people. If you come to Philadelphia, and you want to do business, that's part of the cost of doing business. (Applause, screams, cheers, whistles.)
This is a labor town. This is a labor town. Them two guys that follow that trash truck on my street every Wednesday and say, hey, how you doing Councilman? They deserve a raise. They deserve a fair raise. Is it their fault health and welfare is going up? Health and welfare's been going up everywhere. It was going up for the electricians for 25 years. (Applause and cheers.)
It's going up. They knew this stuff when it started. And everyone in this Council knows this stuff Special Meeting - 7/1/04 (Screams, yells, whistles and demonstrations.)
Philadelphia -Philadelphia is a labor town, and it's going to remain a labor town. Business can come and they'll survive. The house next door to me sold in a week for $68,000. I bought mine for less than 50 three years ago. Things are happening here. And a lot of the people in here that spoke for these tax cuts did a lot of good things, without giving any names. They're really trying, but not on their back. Not on 47. Not on 33. Never on our back. (Applause, screams, yelling.)
Yeah. We're concerned. We're concerned. Please. Thank you. Let me finish this. We are concerned. We are concerned for everyone, everyone here. But I got to tell you, we've been sitting here for a long time looking at this tax cut. Special Meeting - 7/1/04 If you read the tax cut, you know what's going to happen? In my uneducated opinion. Because I happen to graduated from college barely. Barely. Barely. Okay. I'm not an economist, no disrespect to my beloved colleague behind me. But all these people in this room understand that they don't know how it works. They know that they're the ones who are going to get screwed. It's going to be them. (Screams, applause.)
You can blame the Mayor, you can blame City Council. (Cheers, screams, whistles, applause.)
We can blame the Mayor. We can blame anybody we want. We can blame the Governor. We can blame Congress. We can blame the President. And Councilman O'Neill, I love you dearly, but people did leave here. Not that many people leave. And that was a Democratic thing. People leave this Special Meeting - 7/1/04 country. These people aren't leaving Philadelphia. (Applause, cheers, whistles.)
Their jobs and their families are here. So let's just get over with the bullshit and vote this thing, and vote it now. (Screams, yelling, applause, cheers, whistles)
Thank you, Madam President. Let's vote. Let's vote. Let's vote. Let's see who has the big cajones here. (Screams and yells.)
Let's vote. Let's vote now. (Screams, yells, catcalls.)
Don't stand Special Meeting - 7/1/04 here and say you're for the labor unions but vote the wrong way on this goddamn thing. Vote. (Screams, yells, catcalls, whistles.)
The Chair recognizes Councilman Cohen. Councilman Cohen, your light is on. Did you want to be recognized?
It may be that Councilman Mariano doesn't want anything carried on the backs of workers, but the man he's been supporting politically -that's the Mayor -- certainly does, because the Mayor -(Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.)
You're out of order. Special Meeting - 7/1/04 (Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.)
Mariano, you're out of order. Please sit down there. Sit down there and be quiet. (Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.)
Councilman Mariano, you're out of order. (Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.)
I know it's tough for you to be quiet. (Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.) (Cheers, applause, whistles, catcalls.)
All the noise -Special Meeting - 7/1/04 All the noise -(Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.)
All the noise that Councilman Mariano makes never hides the fact -
Let's vote. Let's vote. It's bullshit. Bullshit. Lock me up. Throw me out of this Council. There is bullshit. Throw me out. It's bullshit. Can't be labor -- This is bullshit. Follow me anywhere. (Councilman Mariano screaming at Councilman Cohen, away from the microphone, not reportable.)
I say all the noise that Councilman Mariano makes does not hide the fact that the plan whose policies he's supporting, the Mayor, Special Meeting - 7/1/04 announced this morning that he wants the wage tax -
You're always saying about the Mayor. I don't see the Mayor in here. (Applause, cheers, whistles, catcalls.)
He's not here. Vote. Vote. Vote. Vote. Vote. Vote. Vote. Councilman, put up or shut up. Now, I respect you but you got to -
Councilman Mariano, you're out of order. Please -
Councilman Cohen is speaking. Please sit down. (Councilman Mariano left the chambers.) (Cheers, whistles, applause.)
The Chair recognizes Councilman Cohen. (Cheers, whistles, applause.) Special Meeting - 7/1/04 (Councilman Mariano returned to the chambers.)
Yeah; he likes me; he don't like me. Tough. Tough. Let's vote. Previous question has been called for.
I'm asking for order, please. (Councilman Mariano screaming, away from the microphone, not reportable.)
Order. Order. (Councilman Mariano screaming, away from the microphone, not reportable.)
I don't care how long it is. Special Meeting - 7/1/04 (Councilman Mariano screaming, away from the microphone, not reportable.)
Councilman Cohen. Councilman Cohen. (Councilman Mariano screaming, away from the microphone, not reportable.)
I have plenty of time, Madam President. At age 89, I figure I only have 89 more years to go.
Councilman, you're going to have to speak into the microphone, please. Councilman Cohen is recognized.
All the noise that Councilman Mariano wants to make will not hide the fact that the man he is supporting, Mayor Street, announced today -
He's not here. Put up or shut up. Vote. Special Meeting - 7/1/04
Councilman Mariano -(Councilman Mariano screaming, away from the microphone, not reportable.)
Councilman Mariano, Councilman Cohen has the floor.
He doesn't have -(Councilman Mariano screaming, away from the microphone, not reportable.)
He has the floor, and I would ask that you please restrain yourself. (Councilman Mariano screaming, away from the microphone, not reportable.)
Councilman Mariano never recognized that fact. He thinks he's the only one that ever has the floor.
Just a moment. Councilman Cohen. Councilman Cohen, I think you deserve more respect. Please proceed.
I said you deserve more respect. I was asking everyone to please be silent so you could be heard.
Oh, I'll be heard. The people know me well enough to respect me. (Laughter.)
I have no concern about that, Madam President. All I want to prevent is that Councilman Mariano permit others -(Councilman Mariano screaming, away from the microphone, not reportable.)
-- to speak as he does. You see, he doesn't want to hear me because he knows I speak the truth. (Councilman Mariano screaming, away from the microphone, not reportable.)
Councilman Special Meeting - 7/1/04 Mariano is supporting the policies of a man who announced this morning that he wants to kill the wage tax cut bill that's targeted to help the low income and the working people in Philadelphia. That statement appears in today's papers in the Inquirer. Now, tell me if that's not using the backs of the workers. (Councilman Mariano screaming, away from the microphone, not reportable.)
Councilman Mariano, this is not a debate, and you're out of order. You're out of order. You're out of order. Now, please restrain yourself. If you want to be recognized, I'll be happy to recognize you.
Councilman Cohen has the floor. (Councilman Mariano screaming, away from the microphone, not reportable.) Special Meeting - 7/1/04
Councilman Cohen has the floor. (Councilman Mariano screaming, away from the microphone, not reportable.)
Thank you, Madam President. All I wanted to make it clear was that in my judgment the issue of a fair contract for workers is foremost, but that doesn't mean that I trust Mayor Street one tiny sixteenth of an inch. (Laughter, applause, whistles, cheers.)
Because I don't. I know it's difficult when your contract expires and your employer asks you to come out and support his proposal because he tells you -- he tells you that he needs the money to support you. Everybody that knows Mayor Street Special Meeting - 7/1/04 knows that with his own proposal, his own proposed budget which provides for much less money than is being provided now to the City that nonetheless the Mayor was going to make the cuts. Yesterday the Firefighters went to court to prevent certain cuts in fire stations, and engine companies, and ladder companies. Who were they met with fighting to maintain the cuts? The Mayor's City Solicitor because that's the Mayor's position. The Mayor wants to cuts. We in City Council have been working hard to prevent the cuts. We've added back most of the jobs the Mayor cut. How much we can do, we don't know because of the strong mayor form of government, but I think this Council has fought nobly and vigorously to defend workers' rights. And Councilman Mariano, truth be said, often supports workers. I usually support workers. Most of Council usually Special Meeting - 7/1/04 supports workers. And no matter what happens on these bills today, we're going to be fighting as hard as we know. And I think it will be a joint Council. And I think Mariano and I may be standing next to each other, if there's a strike, at the doors supporting the workers. (Applause.)
I have trouble with both sides of this issue because I don't know necessarily at all how much help the City is going to get when they cut down on the taxes of business. I'm interested in the plight of working people. They're the ones that have the real difficulty of surviving. And when the Mayor issues a statement saying that he favors eliminating the one wage tax cut bill aimed at helping working people and low income people, it concerns me deeply because it means that the Mayor is interested, as he's always been, in big businesses but never Special Meeting - 7/1/04 interested in the plight of workers. (Applause.)
And so, regardless of what happens here -- And I have to tell you, based on the evidence, I'm going to be supporting the override, not the Mayor, because I don't trust the Mayor enough to rely on him. (Applause.)
But I do trust the City Council. And whatever their decision is, I think everybody is going to find down the road it will be the right decision. And I plan, Madam President, to vote to override this veto, in order to what I think will be a real support base for workers because the only one helping the workers today is the City Council. Council members were at a rally last night in Port Richmond for the Firefighters. They were in court yesterday with the Firefighters. And if there are picket lines, you're going to find Council members there Special Meeting - 7/1/04 because we're not going to let this Mayor or any other mayor ever prevent the City of Philadelphia from justly rewarding the fine work that its workers do day in and day out. (Cheers, whistles, applause.)
Thank you, Councilman. The Chair recognizes Councilman DiCicco. COUNCILMAN DiCICCO: I'm sorry, Madam President. My light was on by accident.
Thank you. Councilman Mariano, your light is on.
Thank you. I was going to ask Councilman Cohen to explain to me how by voting to override a veto and therefore hurting revenue streams will help those people get a better raise. But you know what? Let's just wait Special Meeting - 7/1/04 until it's over, and we'll vote the way we're going to vote. And hopefully enough people here will have the intestinal fortitude to do the right thing, regardless of what the Mayor says or anybody else says. This is about us right now. So, Councilman, we'll have a long talk after this. And with your wisdom and your many years in Council, you explain to me how voting for the override helps them get more money in revenue. Thank you.
Thank you. I will repeat... I will repeat: A vote of aye is a vote to override the Mayor's veto, and a vote of no is to sustain the Mayor's veto. At this time I ask the Chief Clerk to please call the roll.