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From YouTube: Committee on Finance 11-13-2019
Description
The Committee on Finance of the Council of the City of Philadelphia held a Public Hearing on Wednesday, November 13, 2019, at 10:00 AM, in Room 400, City Hall, to hear testimony on the following item:
190746 An Ordinance amending Section 19 1508 of The Philadelphia Code, entitled “Refunds and Forgiveness for Poverty Income,” to revise the tax rate, under certain terms and conditions.
A
A
A
A
You
excuse
me
I
forgot
to
note
that
we
do
have
a
quorum
to
my
left,
councilman
bill
Greenlee
to
his
left,
vice-chair
Bobby
Heenan
to
my
right,
councilman,
David,
oh,
and
to
his
right,
sponsor
of
the
bill
Allen
down
to
the
left
to
our
extreme
left,
Councilwoman
Cheryl
Parker.
Thank
you
very
much.
We
more
than
have
a
form
and
we're
happy
to
see
everyone
here.
Thank
you.
Please
continue.
A
C
Opportunity
to
testify
on
bill
number
one
907
46,
while
the
administration
supports
the
bill's
intent
reasons
I'll
discuss
later
in
the
testimony.
We
don't
support
its
passage
at
this
time.
The
legislation
would
expand.
The
current
0.5%
income
based
wage
tax
refund
in
two
stages,
starting
in
July
2020
with
fi
21
qualifying
philadelphi
residents,
would
receive
roughly
two
point.
C
As
I
said,
we
support
the
bills
intent,
which
is
to
increase
the
income
of
Philadelphians,
who
are
living
in
poverty
and
proposed
promoting
economic
mobility.
For
that
reason,
working
with
Council
to
combat
poverty
will
be
a
priority
of
the
21
budget,
we'd
like
to
spend
more
time
working
with
the
bill
sponsor
and
other
members
of
council
to
shape
an
approach
that
is
targeted
to
residents
living
at
or
near
poverty,
and
that
does
not
include
non-residents
or
individuals
who
may
pay
limited
wage
tax,
but
have
other
sources
of
income
and
are
not
in
poverty.
C
Research
and
experience
in
other
cities
has
shown
that
increasing
incomes
of
people
in
poverty,
when
coupled
with
Earned
Income
Tax
Credit,
is
among
the
most
impactful
levers
at
scale
to
move
individuals
and
families
out
of
poverty.
The
administration
believes
an
approach
that
provides
refunds
more
closely.
Aligned
with
the
ITC
could
generate
the
intended
results.
Further
incentivize
the
EITC
uptake
and
use
scarce
municipal
resources
with
efficiency
and
efficacy
currently
drafted
the
bills
refund
expands
an
existing
Department
of
Revenue
program
and
the
increased
benefit
would
likely
increase
utilization
of
refunds.
C
Roughly
2000
refunds
are
issued
annually
through
the
existing
program.
Analysis
from
revenue
suggests
that,
based
on
2016
data,
roughly
51,000
wage
taxpayers,
including
commuters,
would
be
eligible
for
up
to
about
25
million
dollars
in
annual
refunds.
Following
adoption
of
legislation
this
level,
the
benefits
would
average
about
$40
per
months
for
taxpayers,
which
would
obviously
be
a
help,
but
not
enough
to
live
people
out
of
poverty.
Revenue
also
anticipates
needing
to
hire
a
couple
of
employees
to
process
refunds.
The
rebate
program
requires
individuals
to
file
a
completed
Pennsylvania
form
confirming
their
income
eligibility.
C
The
threshold
is
determined
by
the
state.
Not
all
taxpayers
need
would
be
eligible
for
a
refund
while
including
those
with
high
incomes
from
pensions
and
other
sources,
not
taxable
at
the
Commonwealth.
Linking
access
to
assistance
to
the
PA
program
could
also
leave
out
individuals
who
don't
file
the
form
or
file
it
incorrectly.
In
addition,
the
existing
rebate
system
is
complicated
to
administer
and
would
grow
even
more.
So
if
uptake
were
to
grow
following
this
legislation,
employers
file
tax
returns
on
behalf
of
their
employees,
serving
as
their
agents
for
the
wage
tax.
C
That
means
that
employers
must
retrieve
the
information
that
is
needed
to
process
an
employee's
refund,
and
then
the
data
has
to
be
verified
by
revenue.
It's
also
challenging
for
revenue
to
aggregate
paperwork
for
individuals
who
have
multiple
jobs
in
the
city's
inclusive
growth
strategy
released
in
early
2019,
the
administration
called
for
state
action
to
give
Philadelphia
the
flexibility,
their
more
progressive,
efficient
and
competitive
tax
structure.
Pablos
uniformity
Clause
prevents
Philadelphia
from
enacting
a
more
progressive
tax
structure
that
would
meet
the
intent
of
this
bill
to
lower
wage
tax
contributions
for
low-income
earners
in
poverty.
C
A
D
You
Tom
sure,
and
thanks
for
your
testimony,
Rob
as
elected
officials,
we
are
charged
with
providing
essential
services
and
creating
policies
that
improve
and
benefit
the
quality
of
life
for
all
philadelphians
and
in
many
cases
where
we
have
made
gains
as
a
result
of
our
legislative
action,
whether
it's
tackling
the
opioid
crisis,
providing
affordable
housing
or
improving
education.
We
are
faced
with
a
barrier
that
we
have
yet
to
truly
overcome,
and
that
barrier
is
poverty.
D
It's
been
cleaned
too
our
city
for
decades,
and
it
can
no
longer
be
acceptable
for
a
quarter
of
our
population
to
live
in
poverty.
Furthermore,
selected
officials,
we
can
no
longer
tolerate
being
the
largest
poorest
city
in
the
country.
Many
of
us
have
made
great
strides
at
providing
programs
that
offer
opportunities
for
individuals
and
families
to
improve
their
financial
health.
Many
of
these
opportunities
have
created
pathways
to
sustainable
good-paying
jobs,
but
we
are
here
today
to
discuss
an
opportunity
that
would
provide
assistance
to
those
living
in
poverty.
D
The
legislation
I
introduced
bill
number
1,
907
46,
would
provide
a
wage
tax
refund
to
almost
60,000
low-income
Philadelphia
households.
It
would
have
men
the
city's
current
reimbursement
at
my
mouth
of
a
half
a
percent.
We
currently
have
a
program
where
we
reimburse
a
half
a
percent.
This
just
increases
that
program
to
two
point:
three,
six
percent,
which
is
the
city's
portion
of
the
wage
tax.
D
The
impact
this
would
allow
a
family
of
four
earning
an
income
of
thirty
four
thousand
two
hundred
fifty
dollars
to
receive
about
eight
hundred
and
ten
dollars
a
year,
a
family
of
four
thirty,
four
thousand
two,
fifty
eight
hundred
ten
dollars
a
year
by
2024.
If
the
pike,
a
portion
of
the
wage
tax
is
removed,
that
reimbursement
rate
would
be
increased,
allowing
that
same
family
of
four
to
be
reimbursed
more
than
thirteen
hundred
dollars.
I
want
to
make
it
really
clear.
This
is
not
a
new
program.
D
It
is
simply
expanding
the
current
program
administered
by
the
city's
revenue
department,
allowing
low-income
individuals
and
families
to
receive
an
amount
and
almost
full
refund
on
the
amount
they
paid
the
city
in
wage
taxes.
The
facts
are
that
Philadelphia
taxes,
its
poorest
population
at
the
highest
rate
of
the
top
50
cities
in
the
country
at
18
percent,
larger
than
any
other
large
city
across
the
country.
More,
we
shouldn't
be
filling
the
city's
coffers
on
the
back
of
people
earning
poverty
wages.
We
should
be
putting
their
hard-earned
money
back
into
their
pockets
to
help
them
thrive.
D
This
program
is
similar
to
the
federal
Earned
Income
Tax
Credit.
As
most
in
this
legislative
body
know,
we
all
have
been
a
tireless
advocate
for
making
sure
that
everyone
who
qualifies
for
the
EITC
applies
for
it.
Unfortunately,
due
to
the
state's
uniformity
clause,
it's
illegal
for
Philadelphia
to
create
an
exact
local
copy
of
the
EITC
program.
We
started
conversations
with
the
revenue
department
in
March,
and
it
has
been
understood
that
we
must
rely
on
the
state's
verification
process.
This
would
alleviate
some
of
the
work
on
the
city's
end.
D
D
Additionally,
the
city's
processing
method,
is
less
strenuous
because
those
applying
would
already
receive
the
state's
refund
in
the
state
would
have
already
verified
that
the
taxpayer
falls
within
the
guidelines.
The
structure
of
this
bill
and
its
expansion
of
the
wage
tax
refund
is
the
only
legal
way
to
provide
wage
tax
relief
to
our
lowest
income
tax
payers
and
just
because
our
tools
might
be
dulled
by
uniformity.
Does
it
mean
we
shouldn't
use
them
to
help
those
who
need
relief?
D
The
most
the
administrative
burden
to
expand
the
program
is
extremely
minor
and
well
worth
it
to
put
more
money
directly
into
the
hands
of
lower-income
workers.
Additionally,
the
city
has
the
ability
to
cover
the
cost,
to
provide
these
refunds.
It
is
already
shown
it
has
the
will
to
increase
its
budget,
which,
in
the
last
four
years,
went
up.
855
million
and
tax
revenues
have
increased
dramatically
with
the
thriving
economy
and
they
have
outpaced
projections
annually.
We
need
to
extend
this
success
to
the
neighborhoods
that
need
it
most.
D
A
C
E
Yeah,
thank
you.
Ma'am
cheering
Thank,
You
councilman
Dom.
Mr.
beau,
a
few
years
ago
there
was
a
vote
to
take
away
the
so-called
Cohen
tax
cut.
You
know
which
it's
not
similarities
and
I
think
what
we're
talking
about
here.
I
voted
for
that,
because
I
think
I
was
convinced.
The
city
had
a
real
financial
problem.
Right
took
a
little
heat
for
it.
People
reminded
me
who
I
work
for
for
26
years,
but
that's
okay,
I,
think
I
I
think
it
was
the
right
thing
to
do
that.
E
But
you
know
I
just
heard
on
KYW
today,
AB
city's
talking
about
I
know
things
can
change,
but
that
we're
much
better,
financially
I,
guess
just
on
a
general
sense
and
councilman
Tom
touch
on
this.
Why
shouldn't
people
who
are
working
but
not
making
a
lot
of
money
but
are
working
a
lot
city
residents
we
put
some
stuff
on
them.
We
put
some
fees,
I
voted
for
most
of
that
I
voted
for
the
soda
tax.
All
that
don't
apologize
to
that,
but
why
is
it
shouldn't?
E
C
And
I
think
if
we
say
our
issue
is
not
with
the
intent
of
the
bill,
our
issues,
we
want
to
make
sure
that
we're
providing
that
relief
in
the
most
effective
way
possible.
We'd
like
to
have
those
discussions
as
part
of
the
twenty
one
budget
process
and
the
change
that
this
bill
suggests
doesn't
go
into
effect
until
FY
21.
So
having
those
discussions
as
part
of
the
budget
process,
wouldn't
delay
the
impact
if
we
decided
yes,
this
is
the
best
way
to
do
it.
E
E
C
F
It
makes
me
think
about
the
impact
on
nine
philadelphians,
and
it's
with
that
in
mind.
If
you
could
just
to
refresh
my
memory
what
to
say
our
projected
revenue
collection
was
supposed
to
be
at
about
five
billion
dollars,
almost
five
billion.
What
percentage
of
that
five
billion
dollars?
Would
you
say
the
wage
tax
represents
the.
F
When
you
note
that
you
think
the
average
benefit
would
be
about
forty
one
dollars
a
month,
and
you
know
it
really
always
bugs
me
when
I
hear
people
talk
about
how
little
any
ROI
is
for
people
who
are
struggling
to
make
ends
meet
because
every
little
bit
will,
but
is
there
a
difference
in
some
news?
Outlets
have
even
said
that
it
would
be
as
much
as
eight
hundred
dollars
a
year
like
for
family.
F
F
F
You
kept
talking
about
implementation
of
challenges
because
they
already
have
to
contend
with
applying
to
other
programs
like
nah
he'd
been
snap
like
how,
with
all
of
that
work,
especially
when,
in
your
testimony
you
make
reference
to
that
state
form
and
I
hate
to
bureaucracy
associated
with
people.
Having
to
you
know,
know
what
the
number
of
the
forms
are
and
just
just
how
to
get
there
to
even
receive
the
benefit.
So
so
what
do
you
think
about
that?
So.
C
F
C
G
Devote,
let
me
start
first
also
by
echoing
and
underscore
ting
underscoring,
but
I
would
say:
punctuating
a
Councilwoman
Cheryl
Parker's
comments
with
regards
to
Dawn's
analysis.
Evidence
matters,
facts
matter
and
to
know
that
you
reach
to
CLS,
which
is
an
organization
I
count
more
heavily
when
we're
trying
to
help
those
of
us
who
are
on
the
edge
of
circumstances
just
helps
to
build
a
case.
That,
for
me,
is
always
very
very
compelling.
So
thank
you
for
that.
C
G
G
C
So
what
we
really
want
to
be
able
to
do
is,
as
we
go
through
the
FY
21
budget
process,
because
this
is
something
that
doesn't
go
into
effect
until
FY
21.
Look
at
whether
this
is
the
best
way
to
provide
the
relief
that
that
we
all
want
to
provide
and
to
go
through
a
process
where
we
look
at
what
our
options
are
and
figure
out.
What
the
best
option
is
so.
C
C
G
C
C
H
Very
well,
thank
you.
I
just
had
a
couple
of
questions.
The
first
is
on
the
communication
that
the
administration
has
had
with
a
sponsor,
because
I
find
that
so
much
of
the
time.
The
communication
is
a
communication
as
a
part
of
the
issue
as
to
why
we
can't
resolve
so
many
of
the
things
that
and
my
mind
could
so
easily
be
resolved
and
so
I'm
noticing
the
in
your
testimony.
H
You
said
that
you
just
needed
to
sit
down
with
a
sponsor
and
work
out
some
details
and
to
my
understanding
you
have
had
some
conversations
with
the
sponsor,
so
I.
Don't
know
why
we
would
want
to
delay
something
knowing
that
you
all
are
kind
of
on
the
same
page
in
terms
of
you
know
wanting
this
to
happen,
working
to
make
it
happen,
but
it
almost
sounds
like
it's
just
a
matter
of
time
and
amount
in
the
administration's
eyes,
and
so
I
don't
understand.
C
H
If
we're
having
the
conversations
now
on,
knowing
that
our
budget
has
been
that
we've
had
significant
surpluses
in
the
last
few
years,
isn't
that
something
that
we
can
have
that
conversation
now
and
take
all
of
that
into
account
to
have
a
dialogue
so
that
we
can
get
something
done
now?
Why
we
don't
have
to
wait,
even
though
it
doesn't
come
into
effect
until
2021,
right.
C
And
we
had
had
discussions
over
recently
yesterday
about
things
to
do
in
in
the
current
year
right
because
that's
where
we
are,
but
when
we
look
at
21
right,
there'll
be
a
whole
series
of
things
we're
looking
at,
and
it
makes
sense
to
look
at
things
that
have
an
impact
as
part
of
that
larger
conversation
rather
than
in
isolation.
Okay,.
H
I
would
disagree
with
that.
I
think
that
we
can
have
some
of
these
conversations
along
the
way
and
that
at
the
end
of
the
day,
well,
you
know
we
would
take
into
account
those
other
conversations
when
we
get
to
the
budget
cycle
next
year,
but
I
think
that
we
have
plenty
of
time
to
work.
This
out,
try
to
figure
out
ways
that
the
administration
could
support
it
and
figure
this
out
now.
One
of
my
concerns
is
that
it
seems
like
when
it
comes
to
low
income
folks,
poor
folks.
H
We
always
want
to
say
that
you
know.
Oh,
it's
not
going
to
make
a
difference.
Oh
they
don't
need
that
money
and
even
hearing
your
testimony,
it
says
that
it's
about
forty
one
dollars
per
month,
which
is
not
likely
enough
to
lift
people
out
of
poverty.
Well,
I
agree.
Forty
one
dollars
is
not
enough
to
lift
someone
out
of
poverty,
but
if
you
ask
someone
who's
living
in
poverty,
do
you
want
your
forty
one
dollars
per
month?
Or
do
you
want
the
city
of
Philadelphia
to
have
it
guess
what
they
would
say?
Yeah.
C
H
I
think
the
41
is
a
start
and
I
think
that
that
start
should
begin
as
quickly
as
possible.
So
if
we
could
do
it
now,
if
we
could
be
assured
that
we
would
have
at
least
forty
one
dollars
and
and
moving
forward
that
we
could
hopefully
have
a
whole
lot
more
than
that.
I
think
it
would
make
a
big
difference,
and
the
other
thing
I
just
wanted
to
mention
is
this.
So
much
reminds
me
of
a
bill
that
I
had
floated
it
back
in
the
spring
around
tax
amnesty
and
the
idea
that
we
give.
H
H
Think
that
just
going
back,
I'm
going
to
make
another
plug
for
support
for
tax
amnesty
that
we,
the
city
of
Philadelphia,
do
a
tax
amnesty
program
sometime
in
the
year
2020.
You
know.
That's
something!
I
think
that
we
just
really
can't
minimize
the
impact
that
it
would
have
when
we
talk
about
taxes.
The
way
that
taxes
are
affected
folks
are
affected
here
in
the
city
of
Philadelphia
disproportionately
and
how
we
can
make
an
even
level
playing
field
right
now.
H
It's
not
even
it's
not
level,
but
if
we
do
some
things
to
help
some
folks
out,
we
can
greatly
change
what
we're
doing
here
in
terms
of
Taxation
and
policy
here
in
the
city
of
Philadelphia.
So
you
know,
I
certainly
hope
that
the
administration
would
take
that
into
account,
particularly
in
light
of
all
of
the
surpluses
that
we
have
had
in
recent
years.
I
mean
we.
The
city
is
doing
very
well
financially,
at
least
on
paper.
A
A
D
You,
madam
chairwoman,
and
thank
you
to
my
colleagues
who've,
asked
questions
today
and
I
appreciate
it
a
couple
last
few
questions
Rob
the
way
I
understand
at
the
wage
taxes
the
city
collects
is
about
two
billion
a
year
and
this
program
could
cost,
maybe
twenty
five
million
so
we're
looking
at
a
program
that
costs,
if
I,
do
the
math
correctly
just
over
1%
of
the
total
wage
tax
collection.
It
sounds
about
right,
okay
and
then
the
other
question
in
the
five-year
plan
for
the
city.
D
D
C
D
In
mind
one
thing:
we
haven't
we'd
any
economic
benefit
of
the
fact
that
the
people
getting
this
money
are
not
gonna
put
the
money
in
a
401k
they're
gonna
pay
off
bills.
They're
gonna
spend
the
money
in
the
neighborhoods
they're
gonna
reinvigorate
their
economy
with
this
money,
so
it's
going
back
into
the
economy,
so
there's
an
economic
benefit
there
also,
which
I'm
not
even
counting
in
this
proposal.
I'm.
D
Just
looking
at
this
and
saying
you
know
what
it's
terrible,
that
we
have
the
reputation
of
the
top
50
cities
that
we
tax,
lower
income
and
people
in
poverty
the
highest,
and
we
should
eliminate
that
reputation
and
get
the
money
back
to
them.
They
can't
put
food
on
the
table,
let
alone
it's
just
it's
just
not
right.
So
how
do
we?
Thank
you
for
your
testimony.
Thank
you.
Mom
sure
thank.
A
A
Who's
asked
to
speak
here
today.
We
also
have
written
testimony
for
Monte
Wilson
Esquire
CLS
IRA
Goldstein
reinvestment
fund
marry
Arthur,
campaigned
for
working
families,
Inc
and
Michael
Dershowitz,
a
business
owner
that
will
be
made
part
of
the
record
as
though
they
made
the
presentations.
Thank
you.
B
B
My
name
is
Pauline
Abernathy,
I'm
chief
strategy
officer
for
benefits,
Data
trust,
a
national
nonprofit
headquartered
here
in
Philadelphia
across
the
street,
with
a
mission
of
providing
helping
people
live
healthier,
more
independent
lives
by
creating
smarter
ways
to
access
essential
benefits
and
services,
including
tax
benefits
such
as
the
one
we're
discussing
today.
I,
don't
need
to
tell
any
of
you
that
Philadelphia
has
the
highest
poverty
rate
of
any
big
city
in
the
nation.
It
also
has
the
highest
local
local
wage
tax
in
the
nation.
B
Philadelphia's
wage
tax
has
been
and
been
mentioned
is
particularly
pernicious
and
regressive
because
it
applies
to
every
dollar
someone
earns,
and
it
is
the
same
whether
you
earn
two
thousand
dollars
or
two
hundred
thousand
dollars.
We
are
literally
taxing
working
philadelphians
in
and
into
poverty.
B
By
contrast,
New
York
City
provides
a
refundable,
Earned,
Income
Tax
Credit
that
supplements
the
federal
EITC
and
the
state
AITC,
and
helps
lift
thousands
of
New
Yorkers
out
of
poverty,
so,
rather
than
taxing
their
wages,
it
is
supplementing
them
every
day,
be
VTA
and
our
partners
in
the
benefit
in
ishutin
that
helps
people
citywide
access,
essential
benefits
and
services.
Here's
from
Philadelphia
struggling
to
make
ends
meet
a
40-year
three
year
old,
Philadelphia
man
in
Brewery
town
recently
came
to
one
of
the
benefits
enters
for,
help
applying
for
energy
assistance
and
food
assistance.
B
He
is
raising
three
children
on
his
own,
including
an
infant.
He
earns
$15,000
a
year
at
a
catering
company.
That
means
he
paid
about
580
dollars
in
wage
taxes
under
this
bill
if
it
were
in
effect,
he'd
get
a
three
hundred
and
fifty
four
dollar
wage
tax
refund
and,
ultimately,
a
full
refund.
Once
the
bill
goes
fully
into
effect,
that's
money
he
can
use
to
pay
his
feed
his
children,
his
utility
bills,
pay
off
his
credit
card
debt,
and
this
is
not
an
isolated
case.
B
As
has
been
stated,
low-income
residents
are
currently
eligible
for
a
0.5%
refund
of
the
city
wage
tax,
but
very
few
people
receive
it.
Last
year,
less
than
2%
of
those
eligible
received
it,
the
city
and
state
tax
refunds,
have
identical
eligibility
rules.
So
why
did
over
98%
of
those
who
got
the
state
tax
refund
not
get
the
local
tax
refund?
The
answer
is
because
the
local
tax
refund
currently
requires
a
separate
paper
application
form.
B
B
D
T's
core
business
is
to
develop
smarter
ways
to
access
benefits
and
services.
We
know
from
experience
that
the
more
complicated
you
make
an
application,
the
fewer
people
will
get
the
benefit
if
you
want
to
get
help
more
people
and
make
it
easier
to
in
administer
a
benefit.
The
way
to
do
that
is
to
tie
it
to
another
benefit
or
an
action,
and
that's
what
we
recommend
be
done
in
this
case.
B
With
the
city
wage
tax
refund,
we
offer
three
administrative
recommendations
to
increase
the
bills
impact
without
changing
anything
in
the
bill,
as
drafted
first
is
to
work
with
the
state
to
make
the
process
as
automatic
as
possible.
Taxpayers
should
not
have
to
fill
out
a
separate
application
for
the
local
wage
tax
refund.
If
Philadelphians
receiving
the
state
special
tax
refund
are
all
eligible
for
the
city
refund,
the
state
could
simply
issue
local
refunds
when
a
resident
claims
the
state
special
tax
refund.
B
The
city
would
then
reimburse
the
state
for
the
total
amount
of
the
local
refunds.
This
is
essentially
how
New
York
City
administers
its
VIP,
see
how
the
EITC
is
administered
in
New,
York
City.
The
state
administers
it
and
it
is
by
far
the
simplest
solution.
You
know
this
state
of
Pennsylvania
administers
the
local
sales
tax
here
as
well.
B
Second
short
of
the
state
of
ministering,
the
local
wage
tax
refund,
which
is
by
far
the
best
solution.
There
are
low
cost
opportunities
for
the
city
to
greatly
simplify
the
local
refund
application
CLS
and
their
written
testimony
made
at
that
point
as
well.
This
is
a
complicated
application
and
really
shouldn't
isn't
necessary.
B
Currently,
the
city
tax
firm
asked
people
to
report
their
wages
in
six
month,
increments,
January
to
June
and
July
to
December.
This
is
burdensome
and
would
not
be
necessary
if
the
city
applied
a
single
tax
rate
for
the
entire
calendar
year.
In
addition,
there's
is
no
need
for
filers
to
have
to
attach
a
poor
copy
of
their
state
tax
form
and
their
w-2s,
because
the
City
Department
of
Revenue
is
already
checking
with
the
state
to
confirm
the
taxpayer
qualified
for
the
state
state's
special
tax
refund
before
issuing
a
local
tax
refund.
B
Finally,
the
city
can
do
much
more
to
get
the
word
out
about
the
local
wage
tax
refund.
The
first
the
city
could
ensure
that
national
companies
like
into
it,
who
runs
TurboTax
and
H&R
Block,
promote
and
support
the
local
wage
tax
refund,
in
the
same
way
that
they
currently
support
and
promote
the
state
tax
refund.
In
addition,
the
community
partners,
like
the
campaign
for
working
families,
could
expand
their
efforts
to
help
eligible
residents
claim
the
local
refund.
B
I
I
Much
your
name-
oh
I'm,
sorry,
my
name
is:
will
Gonzales
I'm
the
executive
director
of
ceiba?
Thank
you.
Saber
supports
allowing
more
than
60,000
philadelphians
to
be
reimbursed
when
they
pay
the
city
wage
taxes.
This
bill
is
important
to
Latinos
the
poorest
ethnic
group
in
the
nation's
poorest,
big
city,
because
it
does
more
than
establish
a
local
Earned,
Income
Tax
Credit.
This
bill
is
a
powerful
tool
to
help
our
children.
A
local
AITC
will
magnify
the
federal
ITC's,
well-documented
long-term
positive
effects
on
children.
I
According
to
numerous
studies,
some
of
them
catalogue
and
the
CDC
report
from
March
2019
stated
that
the
EITC
has
kept
more
children
living
above
the
poverty
line
than
any
other
tax
credit
program.
A
local
guy,
T
C
program
in
Montgomery,
County
Maryland,
for
example,
adopted
in
1998,
decreased
the
probability
of
low
birth
weight
babies
by
1.9
to
two
point
four
percentage
points
among
likely
eligible
voters.
I
If
city
leadership
can
be
sensitive
to
the
tax
burdens
borne
by
big
businesses
and
take
into
consideration
that
to
marshal
all-out
efforts
to
forge
plans
to
implement
tax
cuts
to
attract
corporations
like
Amazon
to
Philadelphia,
then
the
city
has
a
capacity
to
muster
ways
to
implement
a
local
AITC
to
help
low
wage
earning
families
stay
in
Philadelphia.
That
includes
streamlining
how
people
access
that
local
GI
t
see,
as
stated
by
the
benefit
data
trust.
If
we
are
committed
to
equitable
economic
development,
then
we
must
aim
to
encourage
workers
to
live
and
work
in
the
city.
I
At
the
same
time
that
we
seek
to
encourage
corporations
to
come
to
Philadelphia.
A
local
AITC
is
a
good
investment.
Eeew
sees
incentivizes
low
income
individuals
to
enter
the
labor
force.
Please
note
by
itself
the
Pennsylvania
tax
forgiveness,
credit,
the
Pennsylvania
tax,
forgives
them
forgiveness,
credit
does
not
incentivize
people
to
work
and
its
benefits
are
limited
to
the
amount
of
tax
the
taxpayer
owes,
and
this
is
not
helpful
to
those
who
pay
little
tax,
including
the
lowest
income
wage
earners
and
many
who
are
just
entering
the
workforce
from
welfare.
I
The
EITC
local,
the
EITC
reimbursement
of
City
wage
taxes
will
also
bolster
the
economies
of
Philadelphia's
neighborhoods,
using
the
conservative
multiplier
effect
of
1.15
for
tax
refunds,
determined
by
the
Federal
Reserve
Bank
of
Atlanta.
One
can
project
that
the
local
AITC
will
result
in
a
15
percent
return
for
local
businesses
for
each
dollar
that
the
city
reimburses
a
low-wage
worker
in
taxes.
I
This
makes
the
local
AITC
a
powerful
weapon
in
the
arsenal
that
City
Council
is
building
to
help
low-income
philadelphians
via
a
special
committee
on
poverty,
prevention
and
reduction.
Philadelphia
is
poised
to
make
the
most
out
of
a
locally
ITC.
United
Way
has
marshaled
a
collective
of
strong
community
organizations,
including
ceiba,
to
provide
Volunteer
Income
Tax
Assistance
services
to
help
low-income
workers,
secure
free
assistance
with
their
income,
tax,
return,
preparation
and
thereby
access
the
federal
EITC.
I
The
Department
of
Revenue
of
the
city
has
also
shown
great
leadership
in
this
area
by
working
with
the
Volunteer
Income
Tax
Assistance
centers
to
access
the
federal
EITC.
Accordingly,
the
Department
of
Revenue
and
the
Volunteer
Income
Tax
Assistance
sites
can
collaborate
to
make
work.
The
local
AITC.
Thank
you
for
your
attention
to
this
matter.
We
will.
We
welcome
the
opportunity
to
provide
you
with
additional
information
about
the
importance
of
putting
into
place
a
local
AITC
in
Philadelphia.
J
You
counsel,
general
counsel:
my
name
is
Greg
Waldman
representing
a
clean
energy
company,
g1
quantum
before
I
begin.
Why
I'm
here,
I
just
like
to
echo
councilman
Bass's
comments
about
the
$41
and
the
income
tax
initiative
coming
sooner
than
later,
obviously,
election
year,
economic
uncertainty
having
that
will
allow
the
dollar
to
cut
across
the
periphery
of
Philadelphia
to
stimulate
growth
and
that
be
a
positive
initiative
again
amidst
economic
uncertainty.
Why
am
I
here
today?
Well,
it's
a
similar
tax.
J
I
guess
you
could
think
about
wire
fraud
as
intangible
federal
tax
to
an
extent,
but
the
the
reason
why
I'm
here
today
is
several
fold.
There's
an
issue
regarding
a
gentleman
by
the
name
of
Mark,
Rubin
and
Nicole
lapin
from
the
76ers
basketball
organization.
There's
a
ongoing
issue
where
once
previously
Nicole
happened
was
a
reporter.
J
In
the
proper
context,
I
mean
it
has
dissipated
to
an
extent,
but
there
there
seems
to
be
a
blurred
line
between
issues
like
that
that
I've
just
described
to
you,
which
I'll
follow
up
with
you
and
email
reaching
finality
and
continuing
on,
like
I,
said
in
this
blurred
line
of
value
of
social
media
and
allocating
resource
resources
to
execute
wire
dragnets
and
for
pretty
malicious
means.
So
you
know
on
that
note
I.
Thank
you.
For
the
council's
time
and
I
appreciate
you
dressing
that
issue.
Thanks.
D
You
thank
you,
madam
chair.
Just
want
to
thank
the
panel
for
being
here
today
and
testifying,
and
information
is
very
valuable.
I
also
want
to
thank
all
the
written
testimony
we
received
from
all
the
other
organizations.
So
thank
you
very
much
for
your
support
and
we
really
appreciate
it.
Thank
you.
Thank
you.
Thank.
A
You
we
thank
those
also
who
submitted
written
testimony
and
for
submitting
that
for
this
important
issue.
Are
there
any
other
comments
or
questions?
Is
there
anyone
else
here
who
would
like
to
testify
seeing
none?
This
will
conclude
our
part
of
the
hearing
and
we
will
enter
stated
meeting.
The
chair
now
recognizes
councilman
Heenan
for
a
motion
on
bill
number,
one:
nine,
zero,
seven,
four,
six.
E
A
It
is
removed
and
properly
seconded
that
bill
number
one:
nine
zero,
seven
four
six
be
reported
from
this
committee
with
the
favorable
recommendation
and
further
move
that
the
wolves
of
Council
be
suspended
to
permit
first
reading
of
this
bill
at
the
next
session
of
council.
All
those
in
favor
of
the
motion
will
signify
by
saying
aye
opposed
the
eyes
have
it.
The
motion
carries
in
bill
number
one:
nine,
zero.
A
Seven
four
six
will
be
reported
from
this
committee
with
the
favorable
recommendation
and
a
request
that
the
rules
of
council
be
suspended
so
as
to
permit
first
reading
at
our
next
session
of
council.
Let
me
thank
all
members
of
the
Finance
Committee
all
of
you
here
to
testify,
and
this
meeting
is
adjourned.