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File #: 161015    Version: Name:
Type: Bill Status: ENACTED
File created: 11/17/2016 In control: Committee on Commerce & Economic Development
On agenda: Final action: 3/16/2017
Title: Amending Title 18 of The Philadelphia Code, entitled "Commerce," to require the Department of Finance or such other official as the Mayor may designate to report to Council certain aggregate information regarding tax benefits such as tax exemptions, abatements and credits and to report on assessments of the economic impact of such tax programs, all under certain terms and conditions.
Sponsors: Councilmember Domb, Council President Clarke, Councilmember Greenlee
Indexes: COMMERCE, TAXES
Code sections: Title 18 - COMMERCE
Attachments: 1. CertifiedCopy16101501.pdf

Title

Amending Title 18 of The Philadelphia Code, entitled “Commerce,” to require the Department of Finance or such other official as the Mayor may designate to report to Council certain aggregate information regarding tax benefits such as tax exemptions, abatements and credits and to report on assessments of the economic impact of such tax programs, all under certain terms and conditions.

 

Body

THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:

 

SECTION 1.  Title 18 of The Philadelphia Code is amended to read as follows:

 

TITLE 18.  COMMERCE.

 

*                     *                     *

 

CHAPTER 18-400.  TAX INCENTIVE REPORTING.

 

§ 18-401.  Aggregate Data Reporting.

 

 (1)                     The Director of Commerce or such other official as the Mayor may designate is authorized to utilize a third-party evaluator to prepare reports, and shall provide Council with such reports, pursuant to the schedule set forth in paragraph (2) below, that shall include the following: 

 

                                          (a)                     a listing and description of tax exemption, abatement, credit or other benefits allowed against city tax liability for the purpose of spurring economic development, whether against the rate of the tax, the subject on which the rate is applied (such as property value in connection with property tax abatements) or the payment amount due;

 

                      (b)                     the eligibility requirements for, and general objectives of, each such tax benefit;

 

                                           (c)                      aggregate data regarding utilization of each such tax benefit.  For benefits with respect to which taxpayers are eligible to carry over benefits into future tax years, aggregate amounts carried over per tax benefit shall be identified;

 

                                          (d)                     the total amount of tax benefits received by taxpayers with respect to each such tax benefit;  and

 

                                          (e)                     an assessment, including such data and supporting documentation as is meaningful and available, regarding the economic effectiveness and other consequences of the provision of such tax benefit currently and as anticipated going forward.  

 

                                          (f)                     an analysis of similar incentives and benefits provided in comparable cities, including an assessment of the success of such incentives in such cities in comparison with comparable City program; and

 

                                          (g)                     recommendations as to which City incentives and benefits should be maintained, changed or eliminated in order to best promote the objectives of the City with respect to the use of such programs.

 

                     (2)                     The first report shall be a fully comprehensive report covering all tax incentive and exemption programs in effect as of January 1, 2018, and shall be provided to Council no later than June 30, 2018.  No later than January 1, 2021, January 1, 2024 and January 1, 2027 a report evaluating materially changed City incentives and benefits, and any other materially changed conditions, shall be provided to Council with respect to the period since the last report. Notwithstanding the foregoing, Council, at any time, may request that the Commerce Director or such other official as the Mayor may designate provide Council with a report regarding any and/or all tax incentive and exemption programs.

 

 

 

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Explanation:

 

Italics indicate new matter added.

 

End