PHILADELPHIA (KYW Newsradio) — Philadelphia City Council gave preliminary approval to a budget for the first phase of Mayor Cherelle Parker’s affordable housing plan Tuesday, but only after heavily amending it to shift more of the money to low-income residents, drawing the ire of the Parker administration.
Council added more than $80 million to the proposed budget for the HOME initiative, bringing spending on phase one of the plan to $277 million. Most of the new money went to the Turn the Key program, which helps first-time home-buyers. The remainder was split between homelessness prevention, rent subsidies and affordable housing construction and preservation.
Crucially, the new plan had lower income limits for who qualifies, which was a victory for a vocal group of council members who had advocated for more money to support Philadelphia’s lowest-income residents. When the mayor’s office did not budge, the council amended the budget with no input from the mayor’s office.
“It’s not only the right thing to do, it’s not only the moral thing to do, it’s the fiscally responsible thing to do,” Housing Chair Jaime Gauthier said.
Council President Kenyatta Johnson said he felt the plan still addressed most of the Parker administration’s goals.
“This amendment to the proposal makes sure we address everyone as a part of this particular initiative,” Johnson said, but countered that “members of City Council, the majority of City Council, want to focus on those who are poor.”
The Parker administration was not pleased with the council’s changes. Her office issued a statement Tuesday night, asserting the changes would make it impossible to issue the bonds needed to pay for the HOME program.
“Throughout the legislative process, we have communicated to council that amending the HOME program statement and budget in a way that creates significant legal issues would mean that we will not be able to issue bonds until next year at the end of March at the earliest,” the statement said. “To be clear, that means no shovels in the ground and no homes repaired through the Basic Systems Repair program, which will run out of money in February.”
While the voice vote for the amended bill was unanimous, some council members would have preferred Parker’s original plan, including Councilman Curtis Jones, who said the moderate-income Philadelphians who are now excluded from some of the programs are also affected by the affordability crisis.
“That’s not fair,” Jones said. “They work hard, they do the right thing. They can’t come down here and protest, and you know why? They’re working two and three jobs.”
Jones said he hoped the next spending phase would do more for those Philadelphians, and Parker said she would continue to fight for them.
“I am in discussion with Council President Johnson now as to possible next steps, so we can get these bonds issued ASAP,” Parker said in a statement.