Authorizing Council's committee on Fiscal Stability and Intergovernmental Cooperation to hold hearings regarding actions the City could take to stimulate the local economy, and the City's preparedness for targeted federal stimulus funds pursuant to the American Recovery and Reinvestment Act.

WHEREAS, The national economy has been experiencing one of the most severe financial crisis in decades with the National Bureau of Economic Research recently announcing the country is officially in a recession that began in December of 2007; and

WHEREAS, More than in any recent recession or near recession, cities and towns are taking the brunt of effects while local governments continue to face increased local budget demands to accommodate services; and

WHEREAS, As a result of this economic downturn and losses in the City’s pension fund the City of Philadelphia’s five-year financial plan now has more than $1 billion gap causing the administration to announce plans to eliminate jobs, overtime and City services while delaying tax reductions; and

WHEREAS, In an effort to address this economic situation locally Council adopted Resolution 080961 authorizing the Council President to direct the Committee on Fiscal Stability and Intergovernmental Cooperation to investigate and report on actions the City could take to stimulate the local economy; and

WHEREAS, More recently the $787 billion American Recovery and Reinvestment Act was passed by Congress and signed by President Barack Obama and includes provisions for Modernizing the Federal Infrastructure, Expanding Health Care, Relief for Families, Improving Education, Investing in Science Research and Technology, Increasing Alternative Energy Production and Helping Small Businesses; and

WHEREAS, It is expected that the State of Pennsylvania will receive more than $16 billion over the next 18 months benefitting Philadelphia and its residents in many ways, including funding for the City’s housing authority, education, food stamps and between $30 million and $50 million in community development block grants, as well as transportation projects expected to get underway with SEPTA receiving in the neighborhood of $200 million; and

WHEREAS, The Fiscal Stability Committee’s report will be submitted in the coming weeks and will reflect both short and long-term recommendations for dealing with the City’s current economic conditions, and will include recommendations as to how the City may best take advantage of the federal stimulus; and

WHEREAS, It would be in the City’s best interest to further examine actions the City could take to stimulate the local economy, including the recommendations contained in Fiscal Stability Committee’s report, as well as others, and also take a comprehensive look at the City’s preparedness to fully take advantage of targeted federal stimulus funds; now therefore

BE IT RESOLVED, By the Council of the City of Philadelphia that Council’s committee on Fiscal Stability and Intergovernmental Cooperation be authorized to hold hearings regarding actions the City could take to stimulate the local economy, and the City’s preparedness for targeted federal stimulus funds pursuant to the American Recovery and Reinvestment Act.

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