News Brief for this week! I hope you find this information Helpful
PA’s lead pipe problem is one of the worst in the nation.
Pittsburgh and Philadelphia alone report 29,000 and 25,000 lead pipes, respectively, and a report from the Natural Resources Defense Council noted that its numbers underestimate the problem due to a lack of data. The council report estimated that more than 660,000 service lines in Pennsylvania contain lead. “In a new level of detail, we see a pervasive problem with cities and towns, big and small, across the country that have documented where people are drinking through what amounts to a lead straw and where we do not even know the pipe materials,” the report authors wrote. In recent years, state and federal funds have provided money for lead pipe removal. In January, Gov. Josh Shapiro announced $200 million for water system upgrades and lead pipe removal. The commonwealth received $300 million in 2022 for water infrastructure projects. State legislators have also pushed for more state funding.
Source: Daily Local; 9/30/2024
A new bill would allow Philly to sue landlords for price-fixing.
Philadelphia City Council is weighing legislation that would formally bar landlords from “price-fixing” rental rates, an illegal practice housing advocates say hurts low-income renters by undermining competition and fairness in the marketplace. The measure is designed to stop corporate landlords from using revenue management software like RealPage to coordinate monthly rents. “Price-fixing through an algorithm is still price-fixing. It’s still illegal, and we ain’t going to allow it in Philadelphia,” Councilmember Nicolas O’Rourke said during a news conference. If passed, the city could file suit on behalf of tenants and impose stiff fines on landlords who violate the law. Renters could also sue landlords directly. Under the measure, violators could be forced to pay $2,000 per violation. Each “prohibited action” would be counted as a separate violation, and the fine would be imposed for every day it “occurs or continues.” O’Rourke’s bill is inspired by legislation passed last month in San Francisco. Last month, the U.S. Department of Justice filed suit against RealPage in partnership with the attorneys general of North Carolina, California, Colorado, Connecticut, Minnesota, Oregon, Tennessee, and Washington.
Source: PlanPhilly; 9/26/2024
Philadelphia’s office buildings have lost over $1 billion in assessed value.
The assessed value of Center City office buildings fell by over $1 billion in recent years, the Office of Property Assessments (OPA) reported to the city council. That spells trouble for Philadelphia’s tax revenue. OPA stated that the assessed value fell from $9.82 billion in the tax year 2023 to $8.78 billion in the tax year 2025, amid persistent office vacancies and recent transactions that have seen buildings selling far below their previously assessed value. “There are a lot of buildings in Center City that are considered to be distressed and several buildings that are in bankruptcy,” said Councilmember Jeffery Young Jr., who called the hearing and represented much of the Center City office district. “Our tax base depends on Center City.” Center City’s vacancy levels have been around 20% for over a year — more than double pre-pandemic rates — as many firms downsize their office space for the era of hybrid work. The potentially most significant blow to the city is falling commercial real estate property tax revenues as owners challenge their valuations.
Source: Philadelphia Inquirer; 9/30/2024
Details emerge of Mayor Parker’s deal for Sixers arena.
Mayor Cherelle L. Parker revealed the terms of the deal she negotiated with Harris Blitzer Sports Entertainment in the months since she entered office. Highlights include a provision allowing the company to skip property taxes on the $1.55 billion Market East development in favor of annual payments in lieu of taxes that average $6 million per year and a $50 million community benefits agreement (CBA). Parker said about half of the CBA funds will go to affected neighborhoods near the arena, and that 70% of the $50 million will be spent within the first decade of the agreement. Of the total, $3.75 million worth of benefits will go to the city through in-kind donations of event space or game tickets.
Source: Philadelphia Inquirer; 9/30/2024
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