WHEREAS, On March 18, 2004, the Mayor submitted to Council a Revised Five Year Financial Plan for the City of Philadelphia covering Fiscal Years 2005 through 2009 (Plan); and
WHEREAS, On May 19, 2004, the Mayor submitted to Council proposed amendments to the Plan that primarily addressed the Mayor's decision to forego the annual $18 million payment from the Philadelphia Gas Works (PGW), and to delay until Fiscal Year 2009 PGW's repayment of the City's $45 million loan to PGW; and
WHEREAS, It is the intent of this Resolution to provide Council's approval to the Plan, with the amendments submitted by the Mayor on May 19, 2004, provided the Mayor further amends the Plan in accordance with the provisions of this Resolution prior to its submission to the Pennsylvania Intergovernmental Cooperation Authority (PICA); now, therefore,
RESOLVED BY THE COUNCIL OF THE CITY OF PHILADELPHIA
THAT Council hereby approves the Five-Year Financial Plan for Fiscal Year 2005 Through Fiscal Year 2009 (the Plan) as submitted by the Mayor on March 18, 2004 and with the amendments submitted by the Mayor on May 19, 2004, provided the Mayor makes the following changes to the Plan prior to its submission to the Pennsylvania Intergovernmental Cooperation Authority (PICA):
(a) The Plan shall use as the rates for the wage and net profits tax and the business privilege tax the tax rates set forth in Bill No. 040607 and Bill No. 040608, as passed by Council on June 21, 2004.
(b) The Plan shall incorporate the FY05 operating budget set forth in Bill No. 040601, the FY05 capital budget set forth in Bill No. 040602, and the FY05-FY10 capital program set forth in Bill No. 040603, as those Bills were passed by Council on June 21, 2004.
(c) The Plan shall include in Fiscal Years 2006 through 2009: (i) the specific annual restorations of $14,053,000 set forth in Exhibit A; (ii) the specific cuts of $8,226,000 in FY06, $7,574,000 for FY07, $3,950,000 for FY08, and $4,450,000 for FY09, all as set forth in Exhibit B; and (iii) an annual transfer of $4,000,000 for scholarships from the Mayor's Office to Council.
(d) The Plan shall include revenues representing additional growth expected from passage of Bill Nos. 040607 and 040608 in the amount of $2,000,000 in FY06, $5,000,000 in FY07, $9,000,000 in FY08, and $12,000,000 in FY09.
(e) The Plan may include, beginning in FY06 and for each fiscal year thereafter, an across-the-board cut of up to 1.5% of departmental payroll expenses and related fringes for a total annual amount not to exceed $23,019,000.
EXHIBIT A
Annual Restorations For FY06 Through FY09 (in thousands)
Activities Fund
800
Art Museum
2,000
Recreation Centers
3,000
Atwater Kent
264
African American Museum
30
Mural Arts
49
Cultural Fund
1,000
Cultural Office
100
Historic Philadelphia
30
Film Office
30
Community College
750
District Attorney
1,000
Free Library
1,000
Fire
4,000
Total Restorations
14,053
EXHIBIT B
Specific Reductions (in thousands)
FY06
FY07
FY08
FY09
Inspector General
250
250
250
250
Managing Director's Office
350
350
350
350
Police Productivity Bank repayment
276
124
0
0
Finance
250
250
250
250
Prisons Overtime
500
1,000
1,500
2,000
Law
600
600
600
600
Reduce Fleet Acquisition Budget
1,000
1,000
1,000
1,000
Delay Library Borrowing
3,000
3,000
0
0
Retain a Portion of the Scoop Earnings
2,000
1,000
0
0
Total Proposed Reductions
8,226
7,574
3,950
4,450
End