Amending an ordinance approved June 25, 2013 (Bill No. 130180), adopting the Operating Budget for Fiscal Year 2014, by making certain additional appropriations needed to meet the costs of the formerly appealed 2009 arbitration award for Local 22 of the International Association of Firefighters for health and legal services that were not included in the adopted Fiscal Year 2014 operating budget, in accordance with Section 2-301(a) of The Philadelphia Home Rule Charter, all under certain terms and conditions.

WHEREAS, The Operating Budget of the City was adopted by Council and approved by the Mayor on June 25, 2013 (Bill No. 130180), in accordance with the requirements of The Philadelphia Home Rule Charter; and

WHEREAS, The Operating Budget as adopted provided for General Fund appropriations of three billion, eight hundred forty-five million, four hundred three thousand dollars ($3,845,403,000); and

WHEREAS, Bill No. 130745 proposes increasing General Fund appropriations an additional forty-five million dollars, to three billion, eight hundred ninety million, four hundred and three thousand ($3,890,403,000) for appropriations to pay an unanticipated emergency grant to the School District of Philadelphia; and

WHEREAS, A 2009 arbitration award directs the City to make payments to the International Association of Firefighters for health and legal services in the amount of forty-nine million, three hundred and seven thousand thirty dollars ($49,307,030); and

WHEREAS, At the time of adoption of the Operating Budget ordinance, the City had an appeal of the 2009 arbitration award pending based on inability to pay the award and did not anticipate making the payment for health and legal services to the IAFF; and

WHEREAS, Subsequent to the start of the fiscal year, unanticipated changes to the City's financial situation caused the City to reassess the likely ultimate outcome of the appeal and any subsequent re-arbitration, and the City withdrew its appeal, creating the unanticipated circumstance of having to pay the award; and

WHEREAS, Although the City is now legally obligated to pay the award, there currently are not sufficient unallocated appropriations in the operating budget to provide for an authorization of the more than $49 million payment owed to the IAFF; and

WHEREAS, Section 2-301 of the Charter expressly permits Council to make additional appropriations for operations “to meet emergencies which could not be anticipated when the operating budget was passed”; and

WHEREAS, The need to pay the IAFF award requires an increase in appropriations to meet an emergency that could not be anticipated when the operating budget was passed in June, 2013; now, therefore

THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:

SECTION 1. Section 2 of the Ordinance approved June 25, 2013 (Bill No. 130180), adopting the Operating Budget for Fiscal Year 2014, as amended by Bill No. 130745, is hereby amended to increase appropriations made from the General Fund by forty-nine million, three hundred seven thousand and thirty dollars ($49,307,030) from three billion, eight hundred ninety million, four hundred three thousand dollars ($3,890,403,000) to three billion, nine hundred thirty-nine million, seven hundred ten thousand and thirty dollars ($3,939,710,030), which additional increase is appropriated as follows:

2.37 THE DIRECTOR OF FINANCE - FRINGE BENEFITS

Personal Services-Employee Benefits $

1,177,304,676

1,226,611,706

Total $

1,177,304,676

1,226,611,706

SECTION 2. This Ordinance shall take effect immediately.

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Explanation:

Strikethrough

indicates matter deleted.

Italics

indicate new matter added.

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