With new conditions, Philly spending plan gets approval from state fiscal watchdog

Philadelphia City Hall.
Photo credit Holli Stephens/KYW Newsradio
PHILADELPHIA (KYW Newsradio)  The Pennsylvania Intergovernmental Cooperation Agency, known as PICA, has approved Philadelphia’s financial plan but with a lot of concerns and some new conditions.

PICA executive director Harvey Rice said the board found the city’s revenue projections in the five-year plan were reasonable and appropriate, but was concerned that business tax estimates in the first two years of the plan were overly optimistic, given the COVID-19 impact. 

Rice said the board also demanded that by September, the city submit an overtime reduction plan by department.

“The board is very concerned with the cost of overtime and how high it has become in this past year,” Rice said.