civus
Minutes

Committee Hearing, May 28, 2002

Philadelphia City Council Committee HearingsMay 28, 2002

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

Councilwoman Blackwell

Okay, I believe Christine left, Blueprint to End Homelessness left, but did leave her testimony which will be a made a part of the record. We 290 5/28/02 - FINANCE - BILL 020275, RES. 020285 believe gave that to the stenographer. We will make sure you have that testimony. It will be added in its entirely into the record. After that Community Land Trust next. Thank you. Thank you for your patience. Please identify yourself for the record and begin your testimony.

Ms. Hughes

Good evening, Councilwoman Blackwell. My name is Allison Hughes the Executive Director of the Homeownership Counseling Association of Delaware Valley, and I am pleased to be joined here today by my associate Ruth Gaskins of the Urban League. We are with the Housing Counseling Association. It's a membership-based organization comprised of 30 nonprofit agencies throughout the five-county area. Twenty-two of our member agencies are located in the City of Philadelphia and receive funding from the Housing and Community Development. Our members play a crucial role in helping low- and moderate-income families achieve and maintain the dream of homeownership. We appreciate this opportunity to provide input 291 5/28/02 - FINANCE - BILL 020275, RES. 020285 today on the City of Philadelphia's Office of Housing and Community Development Year 28 Consolidated Plan. We are very proud to be part of the nation's largest homeownership initiative. HCA applauds Deborah McColloch and her staff of OHCD for their support of community-based housing counseling programs. OHCD generously provided funding for HCA to develop and to deliver anti-predatory lending training in order to build the capacity of our existing counselors to work with predatory lending cases. We hope that OHCD can in the future continue to support our association and activities that will continue to build capacity in counseling services. While the availability of counseling is commonly known, there are several facts about the impact of housing counseling that are not common knowledge. For instance, in contract Year 26, housing counselors helped over 32,691 households with housing issues ranging from tenancy, pre-purchase, post-purchase, mortgage defaults and predatory lending. The counseling programs today have matured far beyond processing settlement grants for mortgage-ready applicants. 292 5/28/02 - FINANCE - BILL 020275, RES. 020285 For most of our families, the process of purchasing a home may require two or more years of intensive counseling so that they will be ready to start the home-buying process. Another misconception about housing counseling is the assumption that since the number ment assisted grants has declined that there is less of a demands for pre-purchase counseling. The reduction of the settlement assistance grant to $800 coupled with the more extensive lead paint inspection is not enough of an incentive to entice some home buyers to use the programs. Many Realtors actually discourage potential homeowners from working with the program and offer seller's assistance in lieu of the grant. ACA urges you to explore ways that the grant may be restored back to $1,000. The overall demand for housing counseling remains strong. FannieMae, FreddieMac as well as most lenders now require housing counseling in their affordable mortgage programs, and we have experienced a tremendous growth in delinquency default counseling as well. Therefore, we are saddened at the 293 5/28/02 - FINANCE - BILL 020275, RES. 020285 loss of counseling dollars. In the past two years we have watched member agencies struggle to accommodate the demand for this more intensive counseling as well as address new problems such as predatory lending without additional staffing. We are concerned that without new resources to fund additional staff and living wages as well as benefits for counselors, we will begin to see our counselors leave or burn out. We are also concerned with the cancellation of the Tier III Basic Systems Repair Program for grants up to $25,00. Given the age of our housing stock and the knowledge that we have programs which give low-income families vacant properties and expect them to rehab those properties within five years, most of these homeowners lack the financial resources or the skill to successfully restore the properties on their own. Without the higher level of grant, we're really setting people up to fail. Perhaps we can look at some other mean for replenishing these funds.

Councilwoman Blackwell

Thank you.

Ms. Gaskins

Good afternoon, my name 294 5/28/02 - FINANCE - BILL 020275, RES. 020285 is Ruth Gaskins and I'm the Housing Director of the Urban League of Philadelphia. Councilwoman Blackwell, to the Finance Committee and to those remaining Councilpeople, it is a pleasure to speak to you today. I'd like to tell you a couple of things. First, I would like to thank Council for your foresight and your support in passing Bill 11 No. 000715, that's predatory lending. And you know, Marian Tasco, Councilwoman Marian Tasco supported and spearheaded that particular bill. Even though the bill was overturned by the State, we continue to see parts of our model used in other states. As a matter of fact, a few minutes ago I heard Andy Frishkoff from GPUAC speak of his bank investment plan, which is part of an endeavor that Marian Tasco's task force has spoke and convened many lenders throughout this City to explore ways in which we could help those in predatory lending. And one the things that we talked about was coming up with a product whereby we could assist those in need. I would like to tell you some of the 295 5/28/02 - FINANCE - BILL 020275, RES. 020285 things that the counseling HCA and its members, OHCD-sponsored members are doing today in fighting and combatting predatory lending. To date, we have trained 50 OHCD-funded counselors in predatory lending awareness and prevention measures. Sixteen counseling agencies have been designated as specialists in this particular field so that they can assist those who are victims of predatory lending. We will continue to provide additional training to all of OHCD's counseling agencies as they are needed. Our efforts have yielded such things as refinancing victims out of predatory loans by using the Home Equity Prevention Loan Program model with reinvestment funds and beneficial savings. We've also refinanced them with some, believe it or not, other lenders who are not prime lenders but it was the way to get them out of a bad loan. The funds we need, and we need additional funds to support this effort. We've educated many clients against engaging in predatory loans and we're looking at them to make them mortgageable with the prime lenders, thus avoiding unnecessary fees and other 296 5/28/02 - FINANCE - BILL 020275, RES. 020285 experiences -- unwanted experiences and unwanted fees. One of the things or one of our experiences that I would like to talk about today is the fact that we were able to assist two police people, a husband and wife team. I didn't say policemen, so it's police officers, that's the right word. Husband and wife, recoup $8,000 in payments resulting from an inflated appraisal on a house with glaring repairs that was not done. Certainly, they were a victim of predatory lending, too. It's simply to dispel the fact that it is those that are unknowing and old -- at least that's what they were saying, those are the prototype. It can be anybody that receives the mailing and anyone that gets that telephone call or anyone that listens to the techniques and fraud taught and experts from lending institutions or from the different Realtors. One of the things that we would like to suggest is additional funding in the PHIL Loan. But, you know, in getting additional funding in the PHIL Loan, we must do something about the underwriting guidelines. We would like 297 5/28/02 - FINANCE - BILL 020275, RES. 020285 to applaud Pat Smith and NTI for some of their changes that they've made in the interest rate. That's great. But however, if something is not done to relax the underwriting guidelines for the lenders, the program will not serve the needs of the community. We're simply asking you as counselors that we be involved in that discussion in creating a document or creating ing that product to fit those victims of predatory lending. I know the term "bailout" is not politically correct; however, call it anything you'd like.

Ms. Gaskins

What we are seeking or what we're asking is that we're in desperate need of a program to rescue victims of predatory lending. My suggestion is that we look at the banks and of course and that program of GPUAC and we look at the bank when they talk about credit worthiness. We need to help them create a program whereby you do not look at today's credit worthiness of the person who has been a victim, but we must look past, we look before they became a victim as to he they respected and paid their bills and it should be based on that and not today's credit 298 5/28/02 - FINANCE - BILL 020275, RES. 020285 scoring. Again, we urge you that if doing that, in creating this document and creating this, please involve counselors because we have become experts in dealing with people who are victims of this predatory lending. Many of our victims have been scammed by the home inspection and contractors. What we've asked is that we need from our inspection program, our home inspection program, we need to work with them so that we can create a product whereby when a person is a victim of predatory lending that we can send the home inspector out to actually assist us in saying or determining what's best suited for them in getting out of this. We also need assistance in getting the information to the public. Well, rather, we use what OHCD has done before, and that is the gas bill and putting the notices there, or other public media, we really would like for City Council to encourage and help us in getting the message out that there are agencies and there are people who are trained, willing, and able to assist those who 299 5/28/02 - FINANCE - BILL 020275, RES. 020285 are victims of predatory lending. Thank you so much for your time. And we will give you this written report.

Councilwoman Blackwell

Thank you. Ear ear: I just have one other comment in reference to the $750,000 for the subprime product. That's considered to be a preventive. There is no money that has been really put aside for bailout or rescue. So our problem is we have families that are in our offices every day, they can't wait another six months to a year; they won't be in their homes. So we really need to move up the priority of bailout or rescue or whatever we're going to call this product.

Councilwoman Tasco

I'd just like to say thank you to both of you. And, certainly, thank you, Ruth, for participating on the task force. I am very keen on this whole issue of predatory lending and counseling. And I will caution all of us in this room that we don't let our counseling program get tainted by the counseling programs that are misleading people. In some way, we have to send a message that our 300 5/28/02 - FINANCE - BILL 020275, RES. 020285 counseling services are basically low cost or no 3 cost. And they just did an expose on 20/20 -- on, I think, Channel about debt counseling. 5 And I don't want our counseling programs to fall 6 into people get confused and think that they go to our counseling programs or they're going to a debt counselor they have to pay and they're going to get caught up in all of the trickery by some of these debt counselors. So we need to have some public, public education about the value of counseling, the value of receiving counseling from a City-funded counseling agency and that for the most part, that counseling is free. And so, when I heard this story on television, I said, "Oh, dear Father, we have another problem here because we could be confused, our counseling agencies, with these debt counselors who charge a monthly fee and get people deeper into debt. I mean, there's no end to at least scoundrels. I just wish I could wipe them off the face of the earth. Thank you very much. (Applause.)

Councilwoman Blackwell

Thank you. 301 5/28/02 - FINANCE - BILL 020275, RES. 020285 And would you respond to rescue or bailout programs when you respond to the issues?

Councilwoman Blackwell

Thank you. Thank you very much. We did call Vivian VanStory, Community Land Trust. After her EPOP, Bob Smiley, Eastern Pennsylvania Organizing Project. Gordon Whitman, Michael Cunningham. So EPOP, you're next. (Witness comes forward,.)

Ms. Ripley

I'm speaking for Vivian VanStory. My name is Denise Ripley and I'm a concerned citizen of North Philadelphia. Thank you, Councilwoman Blackwell.

Councilwoman Blackwell

Thank you for your patience.

Ms. Ripley

And Councilmembers. I'm testifying on behalf of Vivian VanStory. Proposed Consolidate Plan Fiscal Year 2003. Miss Vivian VanStory has been a director of the Community Land Trust. She has served the organization of North Philadelphia, Central Philadelphia neighborhood which is bound on North 302 5/28/02 - FINANCE - BILL 020275, RES. 020285 Philadelphia by Cecil B. Moore neighborhood and on south by the Francisville community for more than ten years. She comes before you today to seek your assistance in helping to ensure the long-term viability of North Philadelphia by assisting us with acquisition and rehabilitation of vacant and abandoned properties within this community. It is our goal to rehabilitate these properties so that they can provide home ownership opportunities to working families. Current property value in the area are sufficiently below those in surrounding areas. With financial assistance from the City, we can begin to take steps over the next five years that would lead to an increase in property value, thereby leading to an increase in private-sector investment in the area. There are about 100 homes in the neighborhood that would like to be preserved and renovated over the next five years. Unless these homes are renovated, they will become a cancer on the area and help to destabilize the area further, reduce property value and sale prices. We would like to start with the renovation of 303 5/28/02 - FINANCE - BILL 020275, RES. 020285 eight properties in the area. Renovating of these strategically located properties, 1828, 1830, and 1832 Girard and 1800 and 1809 and 1812, 1840, 1824 Master Street, would serve as a catalyst to help spur other developments in the area and to supplement the work the City has supported and plans to support in nearby communities. The Office of Housing and Community Development proposes to continue homeownership development in the lower North Philadelphia area as part of the Home in North Philadelphia Initiative. The renovation of the eight above-mentioned properties coupled with the preservation and upkeep of open space, which has long been our forte, would ot only help to stem the tide of abandonment, it would also support the important work that is being done by the City in Homeownership Zone in the Cecil B. Moore area which, immediately abuts my neighborhood. Renovation of vacant homes in North Philadelphia is critical in that will also help to supplement a second phase of the Homeownership Zone, which would include sites on Bovier from 304 5/28/02 - FINANCE - BILL 020275, RES. 020285 Master Street to Montgomery Avenue and west of the sink ironwork site, from 19th to 20th Street, on Harlan Street, Sharswood Street and Jefferson Street. It would also help to support the popular Nehemiah venture and the Master 2000 development. Thus, as you can see, the activities I'm proposing to undertake represents a logical extension of the work that the City has already initiated in previous years, as well as the work it proposes to undertake in the Year 28 Consolidated Plan. The area bounded by Master Street on the North, 20th on the west, Girard in the South, and Broad Street in the east, is critical to the financial and technical assistance my organization stands to undertake the much-needed preservation work in this area. During Year 28, we are requesting funds for predevelopment activities so that we can acquire the first eight critical buildings and their modernization. Additionally, we are requesting funds during Year 28 so we can develop a comprehensive neighborhoods revitalization plan that would enable us to undertake the following 305 5/28/02 - FINANCE - BILL 020275, RES. 020285 planning activities that would lead to a more large-scale revitalization initiative: Establish a current database of information relative to the housing stock, demographics, land use, economics, and human service needs of residents of the targets area in which to base the master plan activities.

Ms. Ripley

Create a vehicle for effective participation by neighborhood stakeholders in the development and implementation of shared vision for the neighborhood. Create a blueprint for action in the form of a five-year comprehensive revitalization strategic which addresses the physical, economic, and social needs of the community. Develop a projection of the financial cost and components of the implementation plan and a strategy for raising necessary public and private capital over a multi-year and multi-phased implementation period. Create a documentation that will articulate vision and strategies as to form the basis for campaign to secure the necessary political support to launch the redevelopment 306 5/28/02 - FINANCE - BILL 020275, RES. 020285 effort. Conduct a market study of the area to determine needs for various services. Conduct assessment of the availability of supportive services in the area and develop a comprehensive community and supportive services program to address the needs. Acquired through negotiated purchases, in conjunction with the City of Philadelphia eminent domain, donor-taker, sheriff sale, Vacant Property Review Committee. Undertake any environmental reviews required to implement a specific development project. And identify potential investors for participation in its financing of a specific project. Prepare applications for financing as needed to ensure that adequate funding is available for each designated project. I would like to thank you for the opportunity to speak to you today, and I look forward to working with you to improve the lives of the residents of the North Philadelphia 307 5/28/02 - FINANCE - BILL 020275, RES. 020285 community. Thank you.

Councilwoman Blackwell

Thank you so much. EPOP. Councilwoman Tasco tried but she had to leave. She so wanted to hear you. Please come forward, you're next. They left? Okay. I'm sorry, yes, sir.

Mr. Smiley

I'm Bob Smiley from EPOP.

Councilwoman Blackwell

Okay, you're there and Judith Jamison, your next. Please begin your testimony. Thank you. Talk right into the mic because we're having a hard time hearing you.

Mr. Smiley

My name is Bob Smiley. I represent St. Joe of EPOP which is in Frankford. We joined EPOP over three years. We're one of 27 member organizations representing approximately 35,000 people within the City. When we joined EPOP we were concerned by the parishioners expressions that we had abandoned housing, deteriorating housing. And as a result 308 5/28/02 - FINANCE - BILL 020275, RES. 020285 of that concern, we organized a project where we would go about and take survey what the problem was in our neighborhood. When you go through Frankford, you will not see large stretches of abandoned property, but what we found was that at that time we had over 50 houses that were abandoned in clusters of one or two or three over blocks, possibly over a square mile. And that was surprising to us. People didn't realize that the situation had become that bad. At the same time that we undertook our project, EPOP as a group went into a project with Temple University Center for Public Policy and we joined that project because it was similar to what we were working on. And the result of that project was the blight study that they published last October That's titled "Blight-Free Philadelphia Public Policy Private Strategy to Create an Enhanced Neighborhood Value." What our parishioners told us as a group and what we believe this report has underscored is that if we don't address this blight situation in Frankford today, we're going to have twice as many houses to look at five 309 5/28/02 - FINANCE - BILL 020275, RES. 020285 years from now. This is not a situation that's going to go away by itself. While we are now in partnership with Frankford Community Development Corporation and we've developed a plan to rehab a hundred houses over the next five years, that was the core of the plan that we see that has now been adopted by NTI, and certainly we endorse NTI because of that. We've been working with City Council and people in the Administration over the last 13 months from the time that NTI was an idea. And 14 we found that there were some improvements made 15 along the way and we're very happy to see that. 16 Our belief is that employee-assisted housing and 17 anchor institutions as part of the NTI strategy 18 is critical. We hope that the City can move that along and invite nonprofit institutions to participate in neighborhood revitalization. The City can't do it by itself. It will take other stakeholders to be involved. We're also happy to see there's a larger number of encapsulation and renovation properties involved in our area. It's important that stabilization strategies be done 310 5/28/02 - FINANCE - BILL 020275, RES. 020285 on a large scale so that people can see it has an impact in the neighborhood. It's an important goal in getting people to reinvest in the neighborhood. Homeowners and businesses will invest money to improve their property if they see that there's improvement taking place. So we would like to endorse NTI and we encourage you to move on this as quickly as possible. Thank you.

Councilwoman Blackwell

Thank you so very much. Thank you. Judith Robinson. (Witness comes forward.)

Ms. Robinson

Good afternoon.

Councilwoman Blackwell

Good afternoon. MS ROBINSON: I'm here to testify regarding 020275 and 020285. My name is Judith Robinson, and I am quite upset today because I learned something in this hearing that quite concerns me. First of all, I'm very concerned and offended that you all would move forward in 311 5/28/02 - FINANCE - BILL 020275, RES. 020285 spending million-plus dollars on demolition and all of the housing preservation programs combined only equal up to $11 million. That's the first thing I'm really offended by. Then find out today that basic systems repair funding has been reduced, and you know it's always been at least two, three years behind and always runs out of money in the middle of the year. So how is that allowed to happen? I understand that you all are going to move forward today, probably at the end of this session, you're going to vote, you're going to pass this bill; and we, the citizens, are going to be hit with all of the things that you heard folks talk about today. I don't understand how you all as Councilpeople in a responsible position could allow this to keep happening. You keep moving forward voting on these things year after year. Although I will respectfully submit that you do have some Councilpeople that do dig deeper into the finances as it relates to each one of these budgets each year. I really do respect those of you that ask those very in-depth questions and then send these folks back to get answers. 312 5/28/02 - FINANCE - BILL 020275, RES. 020285 I'm really concerned about the fact that L&I Emergency Repair Program has been reduced, another preservation program. All programs in the name of preservation, in the name of housing preservation have been reduced, and we move forward with $25 million to tear down and we don't know what, we don't know what projects will be developed in place of these houses. All this is very vague. And after two years of the dog and pony show from the NTI group, we still don't have answers to see some of these very basic questions. I'm going to switch to community planning because that's one part of NTI that was supposed to be one of the basic foundations of NTI. It's an insult that the people of the 5th District at this hearing today found out that our Councilperson, Darrell Clarke of the 5th District, has already run ahead and signed onto demolition. We had a meeting in the community. We had three meetings so far. We had one in early April, I believe it was April 4th, a large meeting at Strawberry Mansion High School, and it was a general community meeting. We did not get 313 5/28/02 - FINANCE - BILL 020275, RES. 020285 very specific about the details of NTI. At that meeting, I asked my Councilperson for the list of the properties to be demolished. We went back and forth on this; where do you go to get it, do you get it from Licenses and Inspections or can you get it from the Councilperson's office? I don't have time to play these games. Second meeting, April the 30th, okay, at 32nd and Montgomery. Finally we get a list of the properties, 39 properties to be demolished. Of that list, 12 of them were PHA-owned properties or City of Philadelphia. I have a violation from one of those properties that is owned by Licenses and Inspections that I want to go into the record because since 1987, PHA was aware of the violations on that property. The property address is 3221 West Berks Street. And the violation was rotted porch pillar is leaning and causing porch roof to drop. Repair porch pillar or remove porch pillar and porch roof. That was basic back then. PHA has been getting millions of dollars, billions at this point and they haven't been taking care of their inventory. It's like our community has been systematically 314 5/28/02 - FINANCE - BILL 020275, RES. 020285 targeted to just tear it down.

Councilwoman Blackwell

And every block where these 39 properties are listed -- with my background in real estate, I tapped in my computer and I see where City of Philadelphia and PHA already owned properties on those blocks and they were blighted, they were left to be abandoned and here we are now years later from 1987 till now? Now we're talking about demolishing some more? Meanwhile, the Mayor who was our Councilperson at that time did nothing to protect us. You all must protect us. That is unfair what is going on right now. And then to have our councilman move forward in the process where we're sitting up at a community meeting like we're being respected and he's already signed the document to have these properties demolished. That is totally wrong. And if you all vote yes to that money moving forward, you are leaving us open to anything that can happen to us because we are not respected in our community when things like that happen and demolition is moving forward and we can't stop it. The person that is my Councilman's liaison 315 5/28/02 - FINANCE - BILL 020275, RES. 020285 in his office when you call to try to get demolition stopped or to complain about the conditions that some of these contractors have left, we cannot get any respect. This is out of order. It's very much out of order. And I plan along with my neighbors to do everything necessary legally to stop what is happening because it is wrong. And it's no respectable community planning that could takes place in this June meeting that you all have planned coming up, the NTI team has planned coming up, because you already have moved ahead. And we said that in the meeting: You sound like you have moved ahead. And in fact, you have. And our councilman is running ahead trying to get this demolition list approved because he's already signed up for those properties to be demolished. And then after the fact, if we choose to possibly maybe some of them can be taken off the list and half of them or a substantial portion of them are owned by PHA and the City of Philadelphia. Please. In addition, there is no concrete evidence that the properties are eminently 316 5/28/02 - FINANCE - BILL 020275, RES. 020285 dangerous. There's no documentation. What I do, you all, and I'm very thorough because I don't have time to waste. Whenever I see a property on a list, I go down to Licenses and Inspections and I call for every violation. And you think a pillar, a roof, a rotted pillar or porch -- a porch is not a structural part of a house. You know, I really hate to get too upset about this because, you know, we have to all live together in this City here and I really don't want to get so bent out of shape about this that I appear to be disrespectful of this Body, but this is very disrespectful of the community. The NTI Program is very vague in details. The community planning process is very disrespectful. There is no plan development, Even for market-rate housing. There was a article today about the gentleman by the name of John Ruskum (ph) who wants to develop on some land in Brewerytown area. That is some land that was given a TIF the Brewerytown TIF two years ago. We didn't even know the land was now being -- has been sold to a private developer. That's not the land that time 317 5/28/02 - FINANCE - BILL 020275, RES. 020285 that these 84 properties are being demolished. This is not the land to do that development. I thought this is what NTI was all about, to bring market value housing back, to transform our neighborhoods. All they're doing is just demolishing properties. And unfortunately, a substantial number of them are under public ownership. That's disrespectful. Then if any agency should be streamlined, it should be PHA; it should be PHA. All of those millions of dollars that they get every year and have been for all of these years and then to turn around and have them be a major part of NTI demolition. How can you all allow that, how can you all allow that?

Councilwoman Blackwell

And some of you all have been around here long enough to know these things. And let's not just move forward and keep passing these bills like it really is not affecting the lives of people. It's nothing wrong with the land of North Philadelphia, West Philadelphia or any other neighborhood that's blighted. It's nothing wrong with the land. If you move the people, if you transform the houses, I guarantee you other people will be moving in 318 5/28/02 - FINANCE - BILL 020275, RES. 020285 that same space and making a go of it and making a neighborhood of it. So let's not be disrespectful of people because they don't have the money. We didn't set up our tax rates. And in a lot of cases I'm seeing now, we didn't systematically destroy our neighborhoods. I would like to see which came first, the City-owned properties being demolished or the private people that left after their block was blighted. That's what I would like to see. There is no real -- there was nothing offered to the prototype area for property stabilization or encapsulation, nothing. Not one property was presented to us as being available for encapsulation, but a list of 84 to be demolished. No program was offer to us for stabilization of our commercial corridors even though we have a proposal -- we're going to have a new library on Lehigh Avenue. Blight all around it and they're ready to plop a brand-new library. So we had to galvanize as a friends group to protect that. Although we're happy it's coming, believe me. The CLIP Program is great, it really 319 5/28/02 - FINANCE - BILL 020275, RES. 020285 is. I'm really happy about that. I don't want to pretend I'm just upset about everything. However, the CLIP Program should be common all over the City. Public education about do not litter, vandalism, galvanizing a whole team to come in and handle nuisance all at one time, all in one place; that shouldn't be something only in the 10th and the 6th district. It should be all over. In addition, HRP is tied only to the properties that are stabilized. So we need to be real careful about what properties you're stabilizing because that's tied directly to that. The PHIL Loan. Nothing about the PHIL Loan has changed except the interest rate, and that's a good thing. However if the criterion to qualify for a loan are still A products and they're not subprime, not predatory lending -- ing I was a mortgage broker, I am a mortgage broker; I have been for ten years. It's nice to ask a counselor, but why don't you ask somebody that packaged loans, what criterion should be used to determine what's A, B, C, D credit and then set up a loan pool fund. Stop 320 5/28/02 - FINANCE - BILL 020275, RES. 020285 with all this consultation and counseling and all of that. Get to the meat. You all work very hard here putting together a predatory lending bill. However, I knew as someone that's licensed as a broker from the State that you all didn't have jurisdiction. I said that. That's one thing I agreed with the Mayor on. However, now that you have the opportunity to really do something about anti-predatory lending product, make sure that this Administration puts some money, take some of the this $25 million and takes some of those millions and put them in a real pool of funds and then set up for criterions for people for them and give people the loans or grants or whatever or take some of this money and put it in Basic System Repair because some people cannot even qualify for a loan. They just don't have a the income. Ask somebody that really knows. Because, I mean, you spent a lot of money. What, half a million dollars went into counseling. And you could counsel all day long but you still don't have no money to offer these people. As a matter of fact, on of the budget and statement for NTI, it states it. 321 5/28/02 - FINANCE - BILL 020275, RES. 020285 There's no money, there's no access to money. Therefore, duh, then you give us more of the same, a consultation program.

Councilwoman Blackwell

Give us some money 'cause that's what's needed. Also, I think you all need to really consider letting the market work. I hear how somebody wants to borrow money or get money from NTI pay it back later and all of this. If you would let the market work, you would know that there's a program called FHA 203K. All you got to do is hook a buyer up with a seller. The house might not be in the best condition. The buyer gets the loan. They have a special inspector come out. It's a FHA product so it's government protected. And the buyer takes the weight. They get a mortgage. You don't have to put a dime into that. So what is all this stuff, you know, we're talking about counseling people and you could go and do a loan where somebody could benefit, get money for the mortgage and the cost of repairs and that's it. They're the ones that pay it back over a 30-year period. And the default rate is lower than the regular FHA program because people don't have to spend money 322 5/28/02 - FINANCE - BILL 020275, RES. 020285 doing work later. It's already done before they move into the house. And this is not something that will be talked about in the NTI. The employee-assisted program is great. I've used it many times with University of Penn. If Temple University had the same type of program with some money attached to it, however NTI could help with that, it would be great. I could sell homes right in my neighborhood. I could market Temple University, okay, because I would have a product to tell people about. It's a great thing; it's a great thing. There is no money available for me, someone like myself to educate my community, no 17 technical assistance funds available for helping me to help my community protect themselves. But you know what, I'm not here today looking for money. I'm just saying I am a little tired of spending my own money and then to be disrespected and I feel betrayed by NTI team because they came to our community as though we have some input. And yes, I am unabashedly asking for funds available for me to galvanize my community to 323 5/28/02 - FINANCE - BILL 020275, RES. 020285 protect ourselves. And I'm coming to all of you all as Councilpeople to ask for some of those dollars, you know, walking-around dollars, whatever you call 'em, to help protect my community because I see now that we cannot rely on these folks that have represented to us as truthful agents from the government to tell us about transforming our community. We cannot accept that. And I do have a witness here that was at the meeting where our community said, we do not want a major demolition program going on in our community. They said it. We told our councilman that. And then to come here today and find out that we have been betrayed, you know? It's really a bit much, but I really thank you all for your time. I want to put this in record about properties that the City has owned, PHA and City of Philadelphia violations. I want to also put this list of the properties that we were presented at the two meetings to show how many of them are PHA and City of Philadelphia-owned. And I thank you all very much for your time.

Councilwoman Blackwell

Thank you, Miss Robinson. 324 5/28/02 - FINANCE - BILL 020275, RES. 020285 (Applause.)

Councilwoman Blackwell

Catherine Newland, Associate Director of Philadelphia Green. Is Farah Jimenez director of Mt. Airy neighbors here? You'll be next after Miss Newland. Thank you. (Witness comes forward.)

Councilwoman Blackwell

Please identify yourself for the record.

Ms. Newland

Hi, I'm Catherine Newland, Associate Director of Philadelphia Green, Pennsylvania Horticultural Society. And I'm here to talk about Community Development Block Grant Year 28. The Philadelphia Green Program has been working in the City for nearly 30 years helping neighborhoods residents, community organizations, City agencies and other groups to create and maintain quality open spaces. These projects range from small community gardens on vacant lots that help to improve the appearance of a neighborhood block to large landscapes within public realm such as Art Museum and Penn's Landing. Through Community Development Block 325 5/28/02 - FINANCE - BILL 020275, RES. 020285 Grant dollars, Philadelphia Green has been able to carry forward its mission of improving the quality of life and building community through horticulture. Our work touches nearly every corner of the City. We support the grass roots efforts of hundreds of neighborhood volunteers and create maximum impact by establishing strong partnerships with various City agencies, neighborhoods institutions, corporations, other nonprofit organizations, and the business community. We very much appreciate the Community Development Block Grant support provided to Philadelphia Green bit Housing and Community Development over the years. We have put these resources to good use and have been able to leverage Community Development Block Grant dollars and significant support from foundations, businesses, and other entities in the private sector. Over the past several years, Philadelphia Green has focused greater attention on the problem of vacant and abandoned land in the City. The nearly 31,000 vacant lots scattered throughout Philadelphia's neighborhoods 326 5/28/02 - FINANCE - BILL 020275, RES. 020285 diminish quality of life, depress property values and frequently overwhelm redevelopment efforts. Along these lines, Philadelphia Green continues its work in the New Kensington neighborhood in partnership with the New Kensington CDC to permanently clean and green this neighborhood's 1100 vacant parcels. As an initiative that has been supported by OHCD, we're happy to say that the partnership has to date successfully treated over 60 percent of these lots. As a result, residents who were thinking of leaving the neighborhood are deciding to stay. Side yards have been conveyed to resident homeowners, putting these once-abandoned properties back on the tax roll. And local businesses are beginning to go invest in vacant land as a means to expand and support their business needs. The New Kensington experience served as inspiration for vacant land stabilization program in the American Street Empowerment Zone. With financial support from the Empowerment Zone and matching resources from the City's Department of Streets, the William Penn Foundation and the Pennsylvania Horticulture Society, over 12 acres 327 5/28/02 - FINANCE - BILL 020275, RES. 020285 of land representing over 300 lots were cleaned and stabilized with grass and trees. This effort was accomplished in partnership with four neighborhood organizations: Association for Puerto Ricans on the March, the Women's Community Revitalization Project, Norris Square Civic Association and Kensington South NAC. These organization engage community residents in the planning process, identified potential sites, and now manage the maintenance of these sites using funds provided by the Empowerment Zone. This model has provided significant insight regarding the needs and methods for establishing a citywide vacant land management system. For too long, acres of land within the City have been abandon and hidden under piles of rubble and debris. Through this vacant land management process, the land has been revealed with all the potential and opportunity it has to offer. Whether in the neighborhoods or in the downtown area, we at Philadelphia Green believe that quality landscapes and urban open spaces are an integral part of a vital city.

Ms. Newland

Properly developed and managed spaces, of course, improve 328 5/28/02 - FINANCE - BILL 020275, RES. 020285 the physical appearance of the area, but more importantly, such efforts are also attractive. They attract new residents, attract new businesses, and attract new investment in the City. A recent survey conducted by the National Home Builders Association indicates that proximity to well-maintained neighborhood parks and other open spaces is one of the top factors that determine where people choose to live. With over 10,000 acres of park land within its boundaries and the opportunities for redevelopment and open space presented by the abundance of vacant land, the City has some true assets that cannot be ignored. For Year 28, we at Philadelphia Green advocate for expanded Community Development Block Grant support of neighborhood-based vacant land management efforts. The opportunity is now. The problem of vacant land has finally been put in the spotlight. And the Mayor's Neighborhood Transformation Initiative is actively pursuing solutions. Most importantly, our experience to date demonstrates that neighborhood-based organizations and their constituents are ready 329 5/28/02 - FINANCE - BILL 020275, RES. 020285 and willing to provide their support, but they cannot go it alone. We have found that when thier dedication and motivation is matched with some resources, the progress they make in this area exceeds all expectations. We look forward to continuing our work with OHCD and the neighborhood organizations throughout the City to advance the cause of vacant land management. Let's keep Philadelphia on the cutting edge of this very significant urban issue and maintain Philadelphia as the model that other cities follow. Thank you very much.

Councilwoman Blackwell

Thank you very much. Thank you for the good job you do. (Witness comes forward.)

Ms. Jimenez

My name is Farah Jimenez (ph), I'm the executive director of Mt. Airy USA, which is a community development corporation in Northwest Philadelphia. We've been around 21 years and have been working to improve the quality of life of residents of Mt. Airy. Our work has focused primarily on the transformation of our long blighted commercial 330 5/28/02 - FINANCE - BILL 020275, RES. 020285 corridor which is Germantown Avenue, but in addition we've provided summer jobs to 150 high school students and educated more than 1,500 first-time home buyers and most recently did an educational seminar for older homeowners called the "Money Matters" which address anti-predatory lending issues of which we had 125 older adults. First of all, I just want to say you've been thanking us, Councilwoman Blackwell, for your patience, but I want to do in turn thank you and those who are here representing all the because I know it's a yeoman's job to sit and listen to testimony for as long you have all day. So I thank you for your commitment to this process. I know a number of CDCs have already spoken about the things that we are supporting in the NTI Program. I'll reiterate them because they're worth reiterating. Really, I think it's important that NTI does the work of creating an MIS system for tracking vacant property and development projects, probably something that's long overdue. So we're really supportive of that as well as the allocation of $11 million in NTI 331 5/28/02 - FINANCE - BILL 020275, RES. 020285 funds for property acquisition, the use of neighborhood planning as a basis for prioritizing the implementation and allocation of resources, and most importantly, an increase in funding to the Homeownership Rehabilitation Program. In addition, however certain areas that you've heard us all talk about in terms of places where the devils in the details and that we would like to see some improvement in the details. I won't go into depth about them because you've heard them before, not the least of which is acquisition -- and I hope, Councilwoman Blackwell, you had extended an offered for Pat Smith to come and speak about that issue. And I hope, I guess, at the close that maybe she'll address some of those, that acquisition issue from the perspective of NTI. But in addition, you heard about need to increase the per-unit subsidy for the HRP Program and we're supportive of that as an entity that counsels a lot of clients who go through that process. And also as a neighborhood where all the mod rehab projects have already been snapped up and what's left are the fire-damaged oversized twins on you Upsul street 332 5/28/02 - FINANCE - BILL 020275, RES. 020285 and long-abandoned and need of substantial rehab row homes on something like that Weaver Street. So the per-unit subsidy is something we'd really like to see increased. But in the context of Mt. Airy, one of the struggles we've had with the NTI Program is that it doesn't speak to the theory of change in a neighborhood like Mt. Airy. The reason we were created was to focus on improving and revitalizing our blighted commercial corridor. And the feeling was that if we impacted the blight on the commercial corridor, we would be able to address the blight on the unit blocks because much of the residential blight in Mt. Airy is really contained to those unit blocks which speaks to the fact that we've got commercial corridor that's struggling and is, therefore, creating a disease that's corroding the rest of the community. So if we're able to improve commercial corridor we'll be to stabilize residential vacancies. So one of the places for where NTI is fairly silent is on the issue of economic development and investing on commercial. Corridors and more frightening is the fact that 333 5/28/02 - FINANCE - BILL 020275, RES.

Ms. Jimenez

020285 there's actually been a reduction in the amount of monies allocated to the Commerce Department which, in my opinion, is one of the strongest agencies that we have with respect to economic development in the neighborhoods. So I guess my focus would be that -- I'll speak a little bit what we've done in Mt. Airy. We've just recently completed an 18,000 square foot office and retail complex along Germantown Avenue. Many of you may know it as the Wagon Wheel. We've since renamed it Phoebe Commons in honor of a runaway slave that had been sought but in that area. But Phoebe Commons is an example of what happens when the Commerce Department and PIDC are able to use their tools effectively and have sufficient resources to partner with Community Development Corporation like Mt. Airy USA. With the $250,000 that received in neighborhoods development grants, we were able to get a two for one match from the State. So means the State kicked in arrest $500,00 and we were get an additional equity from private sources in order to be able to complete this project. And we took what used 334 5/28/02 - FINANCE - BILL 020275, RES. 020285 to be in essence a one-acre blighted area and converted it into what many are now viewing as the flagship for Germantown Avenue. It's a gorgeous building, and I invite you all to go out and take a look at it if you haven't. The comment I often get, and it's still not completely done is that it's absolutely beautiful. But more important than it being beautiful is that it's bringing new retail, new services, new jobs, new contracts with landscaping services and cleaning services and maintenance crews to Germantown Avenue. And I'm really proud to say that were it not for the fact that the City had kicked in the dollars to make this project possible, we probably would have gone the way of a private developer which immediately start leasing to whomever knocks on the door firs. And in our instance that was hair salon, day care, laundromat and dry cleaner. And inside what we're able to bring to the neighborhood are state government offices, a new and improved retail post office which is not just a movement of the existing, one but new jobs because they're expanding their services in the 335 5/28/02 - FINANCE - BILL 020275, RES. 020285 neighborhood. A new branch of the Philadelphia Federal Credit Union, a new branch of Nationwide Insurance, and we're hoping an Italian restaurant. So it just gives you an example of what happens when the City invests in projects that CDCs do because not profit motivated in the same way that a private developer is. We're more global in the way that we approach our projects and we're willing and need to carry projects so that we can bring in what will transform a neighborhoods as opposed to fill empty space we've just built. The other thing, too, is that one of the values that the Commerce Department adds is that it also supports work like our commercial corridor revitalization project which is called the Avenue Project. And later this summer, we're planning to launch Main Street maintenance program called the Ambassadors Program which will employ five full-time workers to clean and green Germantown Avenue. It will come with a whole brand and identity package for Germantown Avenue, banners, uniforms, the motorized cleaning vehicles. Hope to expand that by partnering with 336 5/28/02 - FINANCE - BILL 020275, RES. 020285 groups Philadelphia Green in terms of landscape improvements, streetscape improvements. And were it not for what in essence is a small amount of money, $75,000 a year that we get from the Commerce Department. Were it not for those dollars that help sustain, you know, the life blood of our activities that we're able to then use to leverage additional resources you wouldn't be able to see some of the transformation and the energy that's happening on Germantown Avenue. If you haven't been up there a while, I invite you to come up because there's some great new restaurants.

Ms. Jimenez

And a lot of it I think can be attributed to the investment that the Commerce Department made in us. I think the final piece, which I don't think I heard talk to, although I understand Mjenzi was asked to speak about it a little bit, it's the value of economic stimulus dollars. The City has pushed a lot of its general operating expenditures onto CDBG to the tune of $31 million which funds jobs. And I understand the importance of that, but one would argue that wouldn't it have been wonderful if to 337 5/28/02 - FINANCE - BILL 020275, RES. 020285 the extents that we're putting some of these general operating cost burdens into the CDBG budget that we would be relieving the Operating Budget and providing more economic stimulus dollars. From what I understand in prior administration that that was the way that it worked. And economic stimulus dollars, although CDBG dollars are wonderful and they're great, they come attached with a lot of strings, not the least of which is the fact that when did our commercial development project when we thought we were going to have CDBG dollars in it instead of economic stimulus, we were required to do so an archaeological dig to the tune of $25,000. Had it been economic stimulus dollars, instead of hiring archeologist to find chards, we would have been able to invest it directly into our project. So it's an example of an important and invaluable tool for economic development and housing development, for that matter, because it doesn't come with the strings, it doesn't require as much of an exercise to get it committed, and it doesn't take 12 months for you to get on the roll for those dollars. So I would encouraged -- 338 5/28/02 - FINANCE - BILL 020275, RES. 020285 since I understand this is the body that can really kind of push for an expansion of economic stimulus funding, I would really encourage you to encourage more -- to the extent that you've got CDBG paying for some of the general operating expenses that you release some of the general operating budget to allow for economic stimulus. I guess that's the end of my comments. I want to thank you again for your long day and your patience and commitment to this process.

Councilwoman Blackwell

Thank you very much. Thank you for your great testimony and your patience as well. Mr. Rodriguez, YouthBuild Charter School. (Witness comes forward.)

Councilwoman Blackwell

Sorry I thought you were gone after so a long a day. Thank you, Angel. This is YouthBuild Charter School that does such a wonderful job. Identify yourself for the record and begin.

Mr. Rodriguez

Sure. Thank you 339 5/28/02 - FINANCE - BILL 020275, RES. 020285 Councilwoman Blackwell. My name is Angel Rodriguez and I'm here today as the executive director of YouthBuild Philadelphia Charter School. I'm here to provide a brief update on the status of YouthBuild and the support we received through the Office of Housing and Community Development. We're finishing our tenth year as use the YouthBuild Program and our fifth year as a charter school. Our school combines individualized academic education with on-the-job training and construction with students spending 50 percent of their time at construction sites and the other half in classrooms. All of our students are former high school dropouts who have decided that they want to get lives together. 8 percent based on the US Census data. Historically, our statistics show that approximately over 85 percent of these young adults are low to very low income, 23 percent have been previously victimized by violence or 340 5/28/02 - FINANCE - BILL 020275, RES. 020285 crime, 68 percent have been expelled or suspended from their previous school, percent have been 4 through juvenile court, and nearly 10 percent 5 have been referred to drug and alcohol abuse 6 treatment programs. 7 During the year our students have 8 been working on the full-gut rehabilitation of 9 seven houses in South Philadelphia. YouthBuild 10 has over 600 graduates and has built over 50 11 house for low-income families in Philadelphia. 12 Over 80 percent of our last three graduating 13 classes have gone on to full-time jobs or 14 continued their education, whether at Temple or 15 at Community College of Philadelphia. OHCD has 16 supported us by providing us with an important 17 operating grant and by subsidizing housing 18 construction our students do. 19 I thank OHCD and City Council for 20 their support on behalf of the many young men and 21 women in Philadelphia who are in need of a second 22 chance. YouthBuild Philadelphia has been a 23 grantee of the City's Office of Housing and Community Development for eight years now. During this time, we've combined housing 341 5/28/02 - FINANCE - BILL 020275, RES. 020285 revitalization with economic and job development initiatives to help low-income people attain and retain jobs. For the 2002-2003 academic year, YouthBuild will enroll another 150 out-of-school youth from a number of districts in the City. OHCD has proposed to continue to support YouthBuild for the 2002-2003 year with operating support of $800,000 and development subsidies provided on a project-by-project basis through CDBG funds. This represents a funding decrease of $200,000. While we are aware of the reasons surrounding these cuts by OHCD and have been told that these funds would be replaced through other sources, those arrangements have not been made yet. Should there be difficulties in attaining these funds, we hope that City Council would be supportive in revisiting the issue of restoring our funding to previous levels through CDBG funds. These CDBG funds have been vital to us as we work to leverage other resources for our program. Each year for the past seven years, we 342 5/28/02 - FINANCE - BILL 020275, RES. 020285 have used CDBG funds to leverage federal, state, and private monies, including an increasing competitive YouthBuild grant from US Department and Urban Development. The development subsidies that are provided through CDBG funds will be used to allow students in 2002-2003 class to rebuild six abandoned houses in the City. We're grateful for the support that we have received from the City, and it has allowed to us to address tow of the City's most critical issues: First, undereducated youth; and secondly, abandoned housing. Our program design provides a way for mobilizing at-risk youth to become a positive work force and reversing urban blight. The benefits of our program are tangible and encompass the entire community.

Mr. Rodriguez

We have still to reach the capacity and enroll larger numbers of young adults. Each year we are able to enroll less than a third of the youth that apply to our program. Continued support from the City is crucial to us as we serve an increasing number of at-risk youth in Philadelphia and continue to rebuild communities 343 5/28/02 - FINANCE - BILL 020275, RES. 020285 one block at a time. Thank you. )

Councilwoman Blackwell

Thank you very much. I wish I could duplicate your program fold. It's just a wonderful, wonderful 8 program. I wish I had you in my area. Thank you 9 very much. 10

Mr. Rodriguez

Thank you.

Councilwoman Blackwell

Jim Reed, African-American Reconstruction League and then Flo Jo Mason. Is there anyone else out there? (No response.)

Councilwoman Blackwell

Thank you.

Mr. Reed

Yes, good afternoon.

Councilwoman Blackwell

Thanks for your patience, Mr. Reed.

Mr. Reed

Oh, that's all right. My name is Jim Reed. I'm soliciting assistance from anyone in Council that's willing to give it. I've sat here all day listening to people talk about NTI, the demolition of buildings and whatever, and the Basic System 344 5/28/02 - FINANCE - BILL 020275, RES. 020285 Repair. Now what I need is someone to enforce all of these programs. There are guidelines established by City Council or someone within the City. I have a report here, inspection report here of air pollution. No one has mentioned that all day long. Yet still, they're tearing these buildings down. They coming out at night while you're asleep and can't see the dust that they're generating and there's asbestos in these properties that they're tearing down, but no one seems to be concerned about that. I already have asbestosis. I just got out of the hospital again with breathing problems. Now, I want to know who's going to enforce these code violations. Also, the Basic System Repairs. When they do come in to do the Basic System Repairs, the quality of work is substandard. Who enforces that? I'm a victim of both here. And I've gone to your office, I've gone to other offices. No 21 one seems to care. But I've been in the house 35 years and never had no problems because I did all of my own maintenance. I can no longer do it so I have to sit back and watch our people do inferior work. And accept that? Not living. 345 5/28/02 - FINANCE - BILL 020275, RES. 020285 You see, I can do my own electrical repairs. I can do my own plumbing repairs. But I can't do it any longer and now I have to sit here and suffer all these indignities from people that are in charge, and I find that totally unacceptable. I just want to know what would you recommend I do at this juncture? I've gone through all of the legal channels, soliciting people from PHDC and whatever to come out and check the problems. They deny that they did it. Well, I never had no electrical problems in my house in 35 years. You come out and make a repair and now all of a sudden I've got problems with something that you installed, but I'm the one that's at fault. That doesn't make very much sense to me. They put a drain in the bathroom. Now you can't walk on the floor without the floor giving away. I've got to pay to get another floor put in. They put another heater in, okay? That cost $1500. It's going to cost me thousands of dollars to get the heater out of the house simply because it has asbestos in it. These 346 5/28/02 - FINANCE - BILL 020275, RES. 020285 houses tearing they're down have asbestos heaters in them, too. Nobody's saying anything about that. But I go to pay thousands of dollars to get rid of something that you allegedly gave me? Something's wrong with that picture. I'm soliciting some help, that's all. Ya'll have a nice day

Councilwoman Blackwell

Thank you, Mr. Reed. I know that I've seen you in my office. There are people who care. So who waited on you in my office?

Mr. Reed

Its young man who just came in here earlier.

Councilwoman Blackwell

That's my chief of staff. All right. We'll check on your case, but people care. Flo Jo Mason. Miss Mason will be our last person today and then we will recess until 11:00 tomorrow when a few councilpeople have more questions from the Administration. This will end all public testimony. (Witness comes forward.)

Councilwoman Blackwell

Thank you. Identify yourself for the record and begin with 347 5/28/02 - FINANCE - BILL 020275, RES. 020285 your testimony.

Ms. Mason

Thank you. Hello. Good evening to the Councilmen and women. My name is Florence Mason I call myself Flo Jo Mason, that's a name that my sister gave me so I'm kind of representing my people to that fact. I'm just coming here representing the community of 32nd Street, Strawberry Mansion, and those all over the City of Philadelphia. I'm coming as, one, Judith Robinson when she made her testimony, she said that there was a witness to the community meeting that was supposed to be held by the NTI Committee and Darrell Clarke, that was on May the 24th at Cornerstone Baptist Church. And we were told that a move would not be made without the notification, the implement and planning of the community being involved, that before a single building would be demolished, the community would have an involvement in it. That has been has not been so. The people of this community and of this City has been lied to, systematically, continuously; not just own one occasion, on every occasion that the community meetings have 348 5/28/02 - FINANCE - BILL 020275, RES. 020285 happened. The first community meeting that the people was made aware of the NTI Initiative or whatever came about April the 4th where we was at the Strawberry Mansion School. And, you know, what amazed me is that our own Mayor said, you know, we're going to borrow money and figure out how we're going to pay it later. Well, I want to learn how to borrow money and figure out how we're going pay it later also. If my Councilman and my government can do it, I want to know how to do it, too. Everyone here has been talking about predatory lending. I was once a mortgage broker, okay? And predatory lender is not our answer because if that was the fact, then our councilmen and everyone in here should have got after MidPenn for their reign and their terror on the community since 1970 and God knows when. And one of the biggest predatory lending here in this city, but no one did nothing about him. 9 percent to give a loan to anybody in the community because there was no other lenders that would give us a loan. 349 5/28/02 - FINANCE - BILL 020275, RES. 020285 We talk about we want to come in and NTI demolish these homes. What lender is going to give loans to people with houses that's got nothing but gardens on the block. Where is the marketability for those housing? No lender is going to come there. They're already redlining against us. We cannot get the loan that people get out there in the Northeast or in Cheltenham or anywhere else like in North Philly. North Philly is a great community. I lived in Germantown almost all of my life and then recently because of situations with DHS, which I will love to read into my testimony so that people can know that the poor -- the conditions of the housing is the reason that DHS come in and take your children. You don't have to be neglectful parents of this City. This City is now telling people that it is against the law to be poor. If you don't have the forwithal (sic) to do whatever you supposed to do or try to get repairs done and Welfare Back to Work, if you can't do any of those things, then you are not running against the law. The law has the right to come against you and sue you, citizen, in 350 5/28/02 - FINANCE - BILL 020275, RES. 020285 court without you being there or anything and take your children and say that you're neglectful parents because of poor housing conditions. Now where does the government have the right to do that? Where is the humanity for the people and the sympathy -- not even sympathy, but just willing to help and aid the people of our community to make a quality of life of living. I'm pretty sure that most of us do not want to live in substandard housing.

Ms. Mason

I'm pretty sure you wouldn't want your sister, your child or your daughter living in poor housing situations and then have the City or State come in and claim them as a neglectful parent and then say, because of your house, you no longer have a right to be a parent to your child. It seem like to me that this government is just ready to throw millions of dollars out here to organizations and companies that don't even have a clue or any real plan to revitalize our neighborhoods. They don't live in it, they don't know what's going on, and their inspection is way below standards. I mean, they say that some of these houses is eminently 351 5/28/02 - FINANCE - BILL 020275, RES. 020285 dangerous. What is the definition of imminently dangerous. Under what protocol do they go and say that this house is eminently dangerous? I can go to plenty of those houses that they had on the list -- at first, the community was told that they didn't have a list. Now when we get to some of these meetings, all of a sudden they have the list. If the community's supposed to be involved in this and this is the community that they going to affect -- it seems like to me they more infecting it than they affecting it. And why should we just stand idly by and just let anybody at will come into our community and tell us that this is what they going to do and this is how we think your community should look. When I listened to the Redevelopment earlier, he was talking about, Oh, well, on the other side of this particular area, we can make houses worth 129,000. If they can make their houses worth 129,000, what about the people who already been in the neighborhood for over 20 to 30 years? What are the property values of their houses going to be? Because it's not going to be 352 5/28/02 - FINANCE - BILL 020275, RES. 020285 new, it's not going to be equal value of they houses they just so-called rebuild. And what about the material they use to rebuild those houses? Is it going to be of the same quality as the houses that was built years ago? I don't think so. We lose out all the way around. I'm not against having green some places. I love to see green scenery. But I'm going to see green scenery every other house on the block where there was 30-some houses? And then we got vacant land everywhere with no plan of redevelopment in the near future? How many vacant lots we got right now that stood up there where once a house were and now all of a sudden there's no plan of doing anything that still there be for five or ten years. It seems to me like even they was talking about the landlords who don't do work or do things have all of these violations and how we can penalize them. But what about penalizing the City government agency who does not do the things that they promised to the people in the community? What about them being penalized? What about putting in a law some real action if 353 5/28/02 - FINANCE - BILL 020275, RES. 020285 we give a certain amount of our taxpayer money -- because when my mother worked, she paid taxes. When I worked, I paid taxes. So evidently, this money that is going to be allocated and just given away freely to these special groups come along, where is the assurety that they going to do what they claim they can do? Where is their commitment to me as a community member that they going to do the things that they claim that they going to do when put forth these grant situations. And then they going to tell me how to live in my community and what they think is best for my community. Where is their responsibility? Who are they going to answer to and when are they going to answer to me as a person that wants something to be done? So I don't think -- I'm not agreeing with just money being allocated and there's nothing on the law books for them to have an answer or to pay back the money that they got freely and they have no 22 responsibility to. That's what I'm seeing that the NTI is all about.

Ms. Mason

They sitting up here talking about that they have the best interest of the community 354 5/28/02 - FINANCE - BILL 020275, RES. 020285 at heart. They don't have the best interest of the community at heart because if they had the best interest of the community at heart, instead of tearing down you would be talking about rebuilding. Instead of sitting up there talking about we going to be creating, we will actually be committing to showing dollars and cents of how we going to make that available. We would be talking about how we going to make it possible for the already-existing homeowners to have a way to repair their house that they already in in order to make the community a beautiful and better place to live. Because the way you talking to me, it's not that you looking for us to occupy this community; you have a plan for somebody else to come in here and occupy this community. And I'm not having it. So I'm telling this committee and anybody else in City government that if our community is not represented and we do not have a say in what's going on in our community, oh, you better believe it's going to some problem because Flo Jo Mason is here to stand up to let you know that you're not going come in my community and do 355 5/28/02 - FINANCE - BILL 020275, RES. 020285 whatever you want to do without me having a say to you. Thank you very much. Oh, Before I leave, I'm sorry, I did say I wanted to do read this. This is a petition for DHS to have a removal of my children. And I'm going to let you know it was me who had to go through this. It says here, "Philadelphia Department of Human Services, Children and Youth Division is a local government agency responsible for the care an supervision of dependent children in Philadelphia. The above named juvenile is a dependent under provision of the Pennsylvania Juvenile Act 42 PA Constitution Statute 6301 through 6365. It is in the best interest of the child and the public that the petition be brought. The petitioner has made and continues to make responsible efforts to prevent placement of the minor child. The petition is filed in the same time as the petition for four other siblings. The DHS social worker assigned to this cas Mr. " That's his number, I think. "The child is in currents of DHS. 356 5/28/02 - FINANCE - BILL 020275, RES. 020285 Upon information and believe, the child is a dependent and/or abused pursuant to the Juvenile Act or the Child Protection Service Law in that the petition is filed pursuant to restraining order RO which the Department of Human Services obtained on September 10, 2001. " Again, that word "preservation" comes up. And what are we preserving? " Meaning, and when it says here again found the home in poor condition so that was a reason for him to remove my children. Again, it says all my children which are Sherriah, Crystal, Tyral, Clifton and Vincent. " Why would I enter a shelter when got a six-bedroom house. Why would I enter a shelter when I been on a list for basic repairs and weatherization since 1996? Why would I enter a 357 5/28/02 - FINANCE - BILL 020275, RES. 020285 shelter with five kids and trying to be an entrepreneur and on public assistance to receive help for my children but could not get it. But yet a dead beat father bench warrant was erased. Through all this whole instance, the house had -- we went on the list. We had so-called was supposed to get heating repairs like the gentleman who previously spoke before me had a heating repair done by the Weatherization Program which they you the put in the heater knowing it was too small for the house. The heater would not have worked to keep the whole house warm, so it broke back down and burnt a hole in the heater itself. So therefore, our lives was put in danger by the Weatherization Program because to save a little bit of money instead of putting the things that was actually needed in the property, they gave us substandard material to go into the house.

Ms. Mason

So, therefore, every situation that we're talking about, about quality housing, about self-sustaining wages, there's an inkling for DHS to come in and remove us as parents over our children because of substandard housing because we cannot find a job 358 5/28/02 - FINANCE - BILL 020275, RES. " So therefore, under the assumption that we're protecting our children from harm and dangerous things, our City has now put in us this predicament. Again, I'm not going to let you do it. And if it comes to a point where I have to holler at every meeting there is to sit up here an stop this City from further abusing the people of this community, you better believe Flo Jo will be there.

Councilwoman Blackwell

Thank you very much. As was said earlier, we will receive a response in writing with regard to the CDCs and site control. This hearing will be recessed until tomorrow at 11:00. Again, public testimony is over. It will give those Councilpeople who said they have more questions, specifically Councilman Nutter and Councilwoman Tasco who said the same, an opportunity to finish up on whatever questions they have. Thank you everybody for coming and sorry the day was so long. 359 5/28/02 - FINANCE - BILL 020275, RES. 020285 Thank you. (Proceedings end at 6:49 p.m.) - - - 360 CERTIFICATE I HEREBY CERTIFY that the foregoing proceedings of the Council of the City of Philadelphia's meeting of the Committee on Finance of Tuesday, May 28, 2002, are contained fully and accurately in the stenographic notes taken by me, and that this is a true and correct transcript of same. RE: Ordinance No. 020275 and Resolution No. 020285 _______________________________, Josephine Cardillo Registered Professional Reporter and Notary Public (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.)