PHILADELPHIA (KYW Newsradio) — Federal cuts have scuttled two big programs that the Philadelphia Energy Authority (PEA) was planning in Grays Ferry and Kensington. At a budget hearing last week, PEA’s president told City Council that other programs may have to be scaled back without more city funding.
“It is a tough time,” said President Emily Schapira. Climate measures in the Inflation Reduction Act were among the Trump administration’s first targets, and it’s had a big impact on PEA’s work.
“We spent the last two years investing a lot of time and effort pulling down federal funding to Philadelphia. There were a lot of contracts in place that won’t be honored by the federal government now.”
Schapira told City Council that PEA has been creative in finding new funding through other federal programs, state agencies and grants, but it needs a big increase in city funds.
Last year, Mayor Cherelle Parker budgeted just over $1 million, but City Council added $5 million for PEA’s extremely popular Built to Last home repair and weatherization program. This year, the mayor again budgeted just over $1 million, but PEA is in a far different position.
“We had raised what we had expected to be about $20 million for Built to Last from federal grants for next year. Those are terminated,” she said.
Schapira said PEA needs $10 million from the city. Half of that would go toward rehabbing 200 homes through Built to Last. Other programs PEA operates include street light replacement, which is saving the city $8 million a year, and a solar farm in Adams County that powers a quarter of city government buildings.
“Now is really the time we need the city to provide that certainty so we can continue to deliver the huge results that we’ve been delivering for Philadelphia,” she added.
Schapira noted that with just $13 million in city funds over the last nine years, PEA has created 8,300 jobs and generated $1 billion in investments — a 75-fold return.