Title
December 1, 2004
TO THE PRESIDENT AND MEMBERS OF THE
COUNCIL OF THE CITY OF PHILADELPHIA:
I am returning herewith without my signature Bill No. 040760, passed by the Council on November 18, 2004. Bill No. 040760 transfers $750,000 to the Director of Finance Class 500 appropriation for the purpose of providing grants to distressed businesses impacted by the SEPTA Market Street Elevated renovation project. The Bill directs that this appropriation of $750,000 be transferred from the Public Property - SEPTA Subsidy Class 200 appropriation.
In past years, due to timing differences between the City's and the Commonwealth's budgets, the City typically had excess appropriation in the SEPTA subsidy line item. For this reason, and because the Administration believed that this grant was a one-time process, the Administration agreed to transfer $500,000 in FY04 for this program. However this year the City actually has a shortfall in the SEPTA subsidy line item of $770,000 less than required to meet the City's legal obligation to fund SEPTA under state law.
The City is also currently facing the very real possibility of layoffs of city workers to eliminate projected deficits, as is SEPTA. While I understand and appreciate the legislative intent of Bill No. 040760, to ease the financial repercussions on local businesses of the Market Street Reconstruction Project, this financial-aid program is simply not something that the city can afford to continue on an ongoing basis.
This appropriation transfer will require spending and service reductions in other core service areas of the City's budget. It also increases the pressure for additional workforce reductions. Although I will not spend funds appropriated under this bill, I commit to working with Council and the affected businesses to identify and secure other resources to assist their enterprises during this renovation project.
For these reasons, I am returning Bill No. 040760 to City Council without m...
Click here for full text