HALL MONITOR: DROP reform, nonprofit tax credits, the Clerk's $4.5 million budget

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HALL MONITOR: DROP reform, nonprofit tax credits, the Clerk's $4.5 million budget

POSTED: Thursday, October 21, 2010, 6:04 PM
Filed Under: City Council | Hall Monitor

We go to City Council meetings so you don't have to.

Naming something "DROP" is just asking for it to be hated. We've all read the headline "Drop DROP" ad nauseum, and in today's Council meeting, Councilman Brian O'Neill kept referring to the program as a "DROP in the bucket" in regards to the pension fund problem as a whole. "The pension fund issue is getting lost in the DROP in the bucket issue," he says. "Our pension fund is underfunded by each administration. … I would ask for … Council for the first time to take a more active role" in addressing the larger pension problems.

O'Neill brought this up in light of a resolution Council passed today regarding DROP (more cumbersomely known as the Deferred Retirement Option Plan, which CP's Ralph Cipriano found is costing the city $1 billion). Apparently, when Mayor Nutter announced his plan this August to repeal DROP, enrollment skyrocketed: From the beginning of August to Oct. 12, 2010, 1,888 people have submitted their preliminary applications for DROP. Comparatively, in August of last year, only 82 workers did so. This resolution encouraged workers to re-think their enrollment, assuring them that "in the event Council enacts legislation revising or curtailing [DROP], any such legislation will provide all city employees who are eligible to enroll in the DROP … with a 'window of opportunity' to enroll before any changes affecting their eligibility take effect."

In other news:

- The bill transferring the now-defunct Clerk of Quarter Sessions' $4.5 million budget to the First Judicial District passed unanimously. Read up on why this is disappointing in my article about reform of the Clerk's office falling flat.

- Councilman W. Wilson Goode, Jr. introduced a bill that would allow "a [tax] credit for contributions to community development corporations to add certain nonprofit intermediaries as eligible recipients of contributions." Read the actual bill here.

- And lastly, all Councilpersons were in attendance. Philadelphia, we can fight truancy!

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