Day One of the Philadelphia City Council hearings on the proposed 76ers Arena left more questions than answers regarding key aspects of the agreement.
One of the chief concerns centers around SEPTA service during events, and the needed upgrades to Jefferson Station, which could cost $30 million.
Regarding the additional costs associated with the project, administration officials said transit-related aspects were being handled by SEPTA and the 76ers and that the city had allocated an additional $24 million for transit-related costs due to the Commonwealth not increasing transit funding.
Councilmember Jamie Gauthier asked administration officials if the final cost for the upgrades would be known before the final vote on the legislation, to which she was told the final analysis was still being completed. No timeframe was mentioned for the completion of the study.
However, administration officials did say the 76ers would be responsible for any SEPTA-related costs.
Another key contention was the minuscule amount of money put aside for businesses that were disrupted during the project’s construction phase. The $1.6 million, one of the most minor portions of the CBA, provides minimal protection for Chinatown businesses.
The afternoon session of the Committee of the Whole brought more questions about the EOP and CBA and concerns about the overall cost of many aspects of the project, which the administration has not yet fully considered.
Regarding EOP requirements, administration officials said an independent EOP monitor would be appointed to collect information in real time and provide the city with regular reports.
Regarding the CBA, Councilmember Mark Squilla asked administration officials how the city would handle violations of it.
City Solicitor Renee Garcia said the best course of action for any violation of the CBA would be a breach of contract lawsuit.
A constant refrain throughout the afternoon session was the uncertainty created by the incoming Trump Administration and how city revenues would be affected in the coming year. Many members of the council expressed concern over the known details of the arena plan and dismay at the uncertain aspects of the legislation, such as SEPTA funding and funds that are meant to be raised outside of the agreement.
Councilmember Jay Young was more succinct in his assessment of the plan.
” In the history of arena or stadium deals, (the promised economic benefits have not materialized,)” Young said. “No arena has ever come close to (the projected) return on investment.”
In response to a question from Council President Kenyatta Johnson regarding a provision in the legislation requiring the city to provide subsidies to the 76ers should subsidies be provided to other sports projects, the 76ers reiterated their claim that they are not looking for city money.
” What we’re asking for is a level playing field and to be treated equally among our peers,” David Gould, 76ers representative said. “We are not asking for any city subsidies. We have not, and we are not. We think this gives the city a reason and a tool not to provide subsidies in the future for arena construction.”
Regarding the $50 million value of the CBA, representatives from the 76ers said the dollar number was what they believed the project could support. In response to a question from Councilmember Isaiah Thomas, team representatives said they would not increase the value.
The most pointed objection came from Councilmember Cindy Bass, who said the council felt disrespected by the failure of team ownership to attend the hearing.
“The thing to do, if you have something you’re trying to do, you gotta show up, right?” Bass said.
Bass brought up one of the constant themes of the hearings thus far: who will pay for the added costs to Jefferson Station? While the 76ers have agreed to pay the capital costs, which entity will cover the operational costs is still uncertain.
Thomas Calls for Charter Change
Councilmember Isaiah Thomas introduced a resolution and bill to change the city charter by eliminating the city’s “resign to run” provision. If city employees (other than incumbents running for reelection to their current office) wish to run for an elected position, they must resign from their current city job.
According to information provided by Thomas’ office, the proposed legislation would do the following:
- Remove the immediate financial barrier for city employees to run for office.
- This would put local public servants, who understand both city government and city life, in a better position to run for office.
- Even the playing field across the Commonwealth so that our best and brightest can achieve statewide and national offices.
- Ensure all Philadelphians have consistent representation regardless of election cycle or local political dynamics.
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If recommended by the city council committee to which it is referred, the legislation would be placed on the ballot as a referendum, most likely in the spring primary election.
Council Adds Protections For Stadium Workers
On behalf of Council President Johnson, Councilmember Harrity introduced a bill adding “Stadium Concessions Employees as a class of workers entitled to receive prevailing wages, as defined by the City Code, from persons receiving City contracts or leasing land from the City or a City-related agency, adding and modifying definitions, and establishing when such requirements are effective.”
The legislation would cover stadium concession employees, both retail and those serving food and drinks, at city-owned properties or those managed by a city-related agency.
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In determining the wage rate, the legislation uses the following criteria:
The wage paid to the majority (more than fifty percent (50%)) of workers in the classification of Cook II (Cook II) at similar locations in the City of Philadelphia, or, if the same wage is not paid to a majority of those employed in that classification, the average of the salaries paid, weighted by the total employed in the classification at similar locations; provided that the Director is authorized to determine a reasonable approximation of the preceding; or
(ii) the wage determined by the Secretary of Labor under the Service Contract Act, 41 U.S.C. §§ 351 et seq. for the classification of Cook II for Philadelphia County; or
(iii) the wage set forth in § 17-1305 https://codelibrary.amlegal.com/codes/philadelphia/latest/philadelphia_pa/0-0-0-296110(1); and
(.b) the greater of:
(i) the additional benefits, or the monetary equivalent of such benefits, provided to the majority (more than fifty percent (50%)) of workers in the classification of Cook II (Cook II) at similar locations in the City of Philadelphia; or
(ii) the additional benefits, or the monetary equivalent of such benefits, determined by the Secretary of Labor for the job classification of Cook II for Philadelphia County under the Service Contract Act, 41 U.S.C. §§ 351 et seq.
(.7) With respect to the calculation of prevailing wage rates for tipped workers covered by this section Employers may use a “tip credit” to meet their prevailing wage obligation only if the covered employee belongs to a classification in which employees customarily and regularly receive tips which, calculated on an hourly basis, exceed the covered employee’s cash wage, provided that the employer notifies the worker of the tip credit allowance in writing prior to utilizing it.
Squilla Proposes Chinatown Overlay
Councilmember Mark Squilla introduced a zoning overlay which amends the Chinatown Overlay District.
The changes are designed to “protect the existing character of the neighborhood,” according to the legislation, and prohibit the following uses within the overlay area:
(.1) Adult-Oriented Services
(.2) Assembly and Entertainment.
(.3) Smoking Lounges
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The overlay also calls for inclusionary housing, which must include on-site affordable units unless certain requirements are otherwise met.
Additionally, retail and commercial spaces may not exceed 3000 square feet, and building minimum heights will be 25 feet unless they are zoned for a height of 65 feet. Accessory parking lots and non-accessory parking lots will not be permitted.
Squilla also introduced a bill “to create smart loading zones and camera-based enforcement systems for designated parking violations, revise the procedures for identifying and handling stolen vehicles before towing, amend the parking violations subject to towing.”
Smart-loading zones will allow motor vehicles to use designed zones for $.10 per minute for up to 60 minutes. Vehicles cannot park in the zone without paying for more than 3 minutes.
Streets Committee Meets
The City Council Committee on Streets and Services heard testimony on the following bills, all of which were advanced from the committee with favorable recommendations:
Bill No. 240664
An Ordinance amending Title 10 of The Philadelphia Code, entitled “Regulation of Individual Conduct and Activity,” by adding prohibitions and penalties related to litter near mobile providers of goods, all under certain terms and conditions.
Bill No. 240876
An Ordinance establishing parking regulations in the vicinity of: Point Breeze avenue between Moore street and Mifflin street; Rosewood street between Jackson street and Wolf street; Dorrance street between Snyder avenue and McKean street; Garnett street between Snyder avenue and McKean street; Mifflin street between S. 20th street and S. 21st street; Chadwick street between Jackson street and Passyunk avenue; S. 22nd street between McKean street and Mifflin street; Mifflin street between S. 30th street and S. 29th street; Colorado street between Snyder avenue and McKean avenue.
Bill No. 240877
An Ordinance establishing parking regulations in the vicinity of: Mifflin street between S. 23rd street and S. 22nd street; S. 21st street between Moore street and Mifflin street; Bouvier street between McKean street and Snyder avenue; S. 15th street between Snyder avenue and Jackson street; Hicks street between Moore street and Morris street; Mifflin street between S. 19th street and S. 18th street; Hicks street between Jackson street and Snyder avenue; Dudley street between S. 18th street and S. 19th street; Mole street between Jackson street and Snyder avenue; Lambert street between McKean street and Mifflin street.
Bill No. 240878
An Ordinance establishing a parking regulation on Corlies street between Tasker street and Morris street; Wilder street between 21st street and 20th street; Myrtlewood street between Dickinson street and Tasker street; Alter street between S. 18th street and S. 17th street; S. 17th street between Tasker street and Morris street; S. 16th street between Morris street and Tasker street; Hicks street between Morris street and Tasker street; Titan street between S. 20th street and Point Breeze avenue; S. 16th street between Tasker street and Dickinson street; S.16th street between Reed street and Wharton street.
Bill No. 240879
An Ordinance establishing a parking regulation on Garnet street between Snyder avenue and McKean street; Wharton street between S. 24th street and S. 25th street; Bucknell street between Oakford street and Federal street; Cleveland street between Dickinson street and Tasker street; Dickinson street between S. 24th street and S. 23rd street; Dickinson street between S. 22nd street and S. 23rd street; S. 32nd street between Grays Ferry avenue and Wharton street; Morris street between S. 21st street and S. 20th street; Dudley street between S. 19th street and S. 20th street; S. 21st street between Morris street and Moore street.
Bill No. 240880
An Ordinance establishing a parking regulation on Elmwood avenue between S. 63rd street and S 64th street; Greenway avenue between S. 59th street and S. 60th street; S. 67th street between Greenway avenue and Upland street; Yocum street between Lloyd street and S. 72nd street; Grays avenue between S. 62nd street and S. 63rd street; Dewey street between Elmwood avenue and Buist avenue; S. 61st street between Buist avenue and Elmwood avenue; 22nd street between Dickinson street and Reed street; Ellsworth street between S. 18th street and S. 17th street; Tasker street between Point Breeze avenue and S. 23rd street.
Bill No. 240881
An Ordinance authorizing the striking from City Plan Nos. 292 and 321 and abandonment of a certain right-of-way reserved for gas main purposes located along the southwesterly side of Ashburner Street, southeast of Hegerman Street, and extending southwestwardly therefrom, under certain terms and conditions.
Bill No. 241026
An Ordinance amending Section 2of an Ordinance (Bill No. 220188) approved August 31, 2022, entitled “An Ordinance Authorizing the striking from City Plan No. 269 and abandonment of a portion of a certain right-of-way for drainage purposes and water main purposes in the vicinity of the northwesterly side of Civic Center Boulevard, northeast of Osler Circle, under certain terms and conditions,” by extending the period for compliance with the terms and conditions stated therein.
Bill No. 241027
An Ordinance authorizing POSEL WOODLAND ASSOCIATES, L.P. or a subsequent owner to install, own, and maintain an encroachment at 4116-18 Chester Ave, Philadelphia, PA 19104, under certain terms and conditions.
Bill No. 241028
An Ordinance amending Chapter 12-2700 of The Philadelphia Code, entitled “Permit Parking Districts,” by changing certain boundaries and establishing new permit parking districts, all under certain terms and conditions.
Bill No. 241030
An Ordinance amending Chapter 12-3400 of The Philadelphia Code, entitled “Use of An Automated Speed Enforcement System to Improve Safety,” by providing for the use, administration and enforcement of automated speed cameras on State Route 13 within the boundaries of Philadelphia and amending the Internet website notice requirement, all under certain terms and conditions.
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