| CITY OF PHILADELPHIA: NEIGHBORHOOD TRANSFORMATION INITIATIVE |
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Press Releases 2004 11/9/04 10/13/04 1/15/04 Seven employers are the first to enroll in
Philadelphia Home.Buy.Now: New, city-sponsored homeownership program off
to a great start A partnership between the City of Philadelphia's Neighborhood Transformation Initiative and the Greater Philadelphia Urban Affair Coalition (GPUAC), Philadelphia Home.Buy.Now provides a menu of loan and educational products, technical support and government matching funds that increase the purchasing power of employees who buy a home in Philadelphia. A total of $1 million is available this year, through the Neighborhood Transformation Initiative, to assist employees with their down payment and closing costs. There are no income restrictions. Competitive first-purchase mortgages are available through the participation of six area banks: Beneficial Savings Bank, Commerce Bank, Citizens Bank, National Penn Bank, Sovereign Bank and United Bank. Since marketing began a few months ago, seven employers have enrolled in Philadelphia Home.Buy.Now or are finalizing their enrollment plans. The first employers to join Philadelphia Home.Buy.Now include: CitySort LP, a full-service mail processing company located at 5th and Jefferson Streets, in the American Street Empowerment Zone. People's Emergency Center, Pennsylvania's oldest and most comprehensive social service agency for homeless women, teenagers, and their children, located at 325 North 39th Street, in West Philadelphia. Germantown Friends School, an independent co-ed school for grades K-12 established by the Germantown Monthly Meeting, located at 31 West Coulter, in Germantown. Also, Citizens Bank and Fannie Mae, two businesses that introduced their own homebuyer assistance programs several years ago, and plan to enhance their offerings with products available through Philadelphia Home.Buy.Now. On November 10, from 9:00 am to 11:00 am, at United Way of Southeastern Pennsylvania, Seven Benjamin Franklin Parkway, in Philadelphia, a symposium will be held for nonprofit organizations interested in learning more about Philadelphia Home.Buy.Now. Speakers include: • Patricia L. Smith, director, Neighborhood Transformation Initiative, City of Philadelphia; • Sharmain Matlock-Turner, president, Greater Philadelphia Urban Affairs Coalition; • Daniel Hoffman, consultant to employer assisted housing programs nationwide; • Melissa Long, director, People's Emergency Center CDC; • and John Friedman, associate head for financial affairs, Germantown Friends School. Through their employer's participation in Philadelphia Home.Buy.Now, employees become eligible for up to $3,000 in City homebuyer assistance, matched on a dollar-for-dollar basis with the employer's contribution. There are no employee income eligibility limits to obtain City funding. Additional aid of up to $2,000 is also available from the Philadelphia Housing Finance Agency for income-eligible employees. Employers decide how much to spend and how dollars are to be allocated. For example, employer contributions can be used toward home purchase costs, such as down payment or closing costs, toward home improvement costs, or toward homebuyer workshops. Some employers include a cost recovery provision in their program; other employers focus their programs on specific types of employees or job classifications. There is a $500 minimum contribution required of employers for each participating employee, but there are no costs to an employer until an employee uses the program, and no continuing costs once an employee has received the benefit. "The Home.Buy.Now program is an innovative way for the private and public sectors to work together to strengthen our neighborhoods. We believe many local businesses will see the benefit of offering housing assistance to their employees and will participate in the program," says Patricia Smith, director of the city's Neighborhood Transformation Initiative. Philadelphia Home.Buy.Now is also a way to reach those who may be on the fence about living and working in Philadelphia. "The idea is to get those people who are coming new into the community and new into this market to consider Philadelphia a place where they would like to put down roots," says Sharmain Matlock-Turner, president of the Greater Philadelphia Urban Affairs Coalition. While the City-GPUAC sponsored program is new, one of the nation's first housing benefits program started in our city, at the University of Pennsylvania. Since launching its mortgage guarantee program for employees in the late 1960s, Penn has transacted more than 1,000 loans, enabling it to help employees purchase homes in the West Philadelphia community, strengthen real estate values and improve community life. For more information visit the website www.gpuac.org, or call 215-851-1774. The Neighborhood Transformation Initiative is Mayor John F. Street's unprecedented commitment of resources to Philadelphia neighborhoods. Under NTI, the City is investing more than $275 million in bond funds, $250 million in federal Community Development Block Grant funds and $50 million in general operating dollars in hundreds of projects and programs designed to revitalize Philadelphia neighborhoods. NTI accomplishments include: 5,000 new units of market-rate housing; 5,000 new units of affordable housing: and another 4,000 new units of housing planned or underway. In addition, as part of NTI, the City has cleaned 31,000 vacant lots; removed more than 200,000 abandoned cars from city streets; eliminated graffiti from more than 200,000 buildings; cut down 15,000 dead street trees; and demolished more than 5,000 dangerous properties. The Greater Philadelphia Urban Affairs Coalition
(GPUAC) brings together business and community leaders to solve urban problems,
operates programs, and supports an array of government and private sector-sponsored
initiatives to help the disadvantaged and working poor of the Metropolitan
Philadelphia region 10/13/04 PHILADELPHIA – Citizens Bank, with dual headquarters in Philadelphia and Pittsburgh, announced today that it is increasing the bank's support of revitalization efforts in Philadelphia's neighborhoods to $250 million. The new commitment, under the Citizens Bank Neighborhood Investment Program, is more than double its original goal of $104.3 million over five years to provide below market mortgage and home improvement loans as well as community development loans, technical assistance and grants, targeted at low-and moderate-income census tracts. "We believe investing in our neighborhoods is smart business. We are using our capital resources, technical assistance, sweat equity and hundreds of hours of personal time to stimulate and improve the quality of life in our neighborhoods. Because so many of our customers and bank colleagues live in the city, it is important that we continue this effort with the City of Philadelphia, other City agencies and community groups," said Stephen D. Steinour, Chairman & CEO of Citizens Bank of Pennsylvania. In April 2003, Citizens Bank launched this initiative, its largest partnership with the City of Philadelphia. At the time the bank committed, more than $50 million in residential mortgage and home improvement loans along with $26 million in community development loans for real estate construction projects and $25 million in small business loans as part of Mayor John F. Street's Neighborhood Transformation Initiative (NTI). In total, the bank committed more than $105 million by August 2004, exceeding its five-year financial goal by almost $1 million. "When Citizens Bank announced less than 18 months ago the largest private financial commitment ever dedicated to Philadelphia's neighborhoods, we believed it would take us the full five years to meet our goal," said Steinour. "We are thrilled to report that we have already met and exceeded the financial commitment and we believe we have been successful because so many community partners have been helpful to us." Praising Citizens Bank's outstanding leadership, Mayor John F. Street said, "We started NTI in 2001 as a bold plan to address the decline and abandonment of the city's neighborhoods and we knew we would need strong partners in the business community. We are grateful to Citizens Bank for providing the corporate leadership and financial support we needed to help residents become homeowners and to stimulate real estate development and assist small businesses." More than 100 community development and housing leaders, city council members, and homeowners gathered at 17th and Oxford Streets in North Philadelphia, a neighborhood that is being revitalized with new houses, schools and churches. City Councilman Darrell Clarke, who represents the district, applauded the new commitment and said opportunity for homeownership and small business growth has given new energy to North Philadelphia. "Our city is undergoing tremendous growth, in part, because of initiatives by our corporate friend Citizens Bank and the Mayor's Neighborhood Transformation Initiative," said Clarke. "The Citizens Bank Neighborhood Investment Program and NTI have allowed for disadvantaged communities to have the opportunity to celebrate the American Dream through new development, new playgrounds for our children, and new homes that people can afford to own." Several homeowners who have benefited from below market mortgage rates and home improvement loans also attended today's announcement. "With the help of a low-interest mortgage from Citizens Bank, we were able to purchase our first home this summer," said Donna Johnson Bullock, an attorney with Community Legal Services. Bullock and her husband purchased a house that had been rehabilitated in the Strawberry Mansion section of Philadelphia. The Citizens Bank Neighborhood Investment Program has also committed $850,000 in grant money, including funding for technical assistance for small businesses, "greening" projects in conjunction with the Philadelphia Horticultural Society and provided grant money for a campaign entitled "Don't Borrow Trouble" aimed at fighting predatory lending. Citizens Bank volunteers have worked with the Pennsylvania Horticulture Society to plant the seeds of hope and revitalization in twelve area parks and community gardens. About Citizens Bank of Pennsylvania About NTI 9/30/04 Philadelphia Steps Up Anti-Predatory Effort, Decrees October "Don't Borrow Trouble" Month PHILADELPHIA, PA . . . Philadelphia Mayor John F. Street and Pennsylvania Secretary of Banking A. William Schenck joined officials from Citizens Bank and Freddie Mac today to unveil an intensive new advertising blitz to alert borrowers in North Philadelphia and other target neighborhoods about the dangers of predatory lending and to encourage them to call the city's Don't Borrow Trouble anti-predatory lending hotline at 215-523-9520. Mayor Street and Secretary Schenck unveiled the new campaign at Freddie Mac's second national Don't Borrow Trouble summit for anti-predatory lending leaders and activists from around the nation being held in Philadelphia today. Predatory lending practices include charging excessive interest rates and up-front fees and knowingly submitting incorrect financial information. In addition, Mayor Street and City Councilwoman Marian Tasco presented Freddie Mac with a resolution decreeing October as "Don't Borrow Trouble" month to focus more attention on the dangers of predatory lending and the success of Philadelphia's Don't Borrow Trouble program. The Don't Borrow Trouble program includes financial literacy, credit counseling and consumer education workshops to reach individuals before they become victims. Since its launch in June 2002, Philadelphia's Don't Borrow Trouble program has helped nearly 4,000 households resolve predatory lending issues. Philadelphia's October Don't Borrow Trouble will feature a major advertising campaign, dubbed "Protected by Knowledge," which will include billboards on SEPTA buses, subways, and elevated cars, new print advertising in community newspapers, and start an intensive door-to-door campaign in targeted areas hit hard by predatory lenders. The new outreach effort will also place hotline posters in 125 public facilities, including libraries, senior citizens centers, and housing counseling agencies. Mayor Street's Neighborhood Transformation Initiative (NTI) administers Don't Borrow Trouble with support from Freddie Mac and Citizens Bank. "We're in a battle to protect the well-being of our families and the quality of life in our neighborhoods. More than any thing else, we want to end predatory lending in all its forms, and help homeowners make wise financial decisions and live free of excessive debt," said Philadelphia Mayor John F. Street. "And, now, with the solid support of great corporate partners, such as Citizens Bank and Freddie Mac, I am confident we will succeed. We will continue to fight predatory lending and we will win." "Philadelphia's Don't Borrow Trouble program is an important effort to provide consumer information and protection and a model for other communities in the Commonwealth" said Pennsylvania Department of Banking Secretary Bill Schenck. "It's message is concise and valuable: If a loan comes looking for you, don't do it. If you have questions, don't sign it. Take an extra day to review the terms, and call the Don't Borrow Trouble hotline at 215-523-9520 for advice." "Thanks to Mayor Street and Councilwoman Tasco's leadership, Philadelphia has one of the nation's outstanding Don't Borrow Trouble campaigns," said Craig Nickerson, vice president of Expanding Markets at Freddie Mac. "By working together, Philadelphia's Don't Borrow Trouble network is helping an estimated seven Philadelphia families a day recognize and avoid predatory lending practices. We chose Philadelphia for the second national Don't Borrow Trouble summit because it would give us the opportunity to learn from their leadership in the fight against predatory lending." Citizens Bank presented the city's Don't Borrow Trouble program with a $30,000 check. This is the second installment of a $150,000 five-year grant designed to help with anti-predatory lending. Last year in addition to the grant Citizens Bank also provided technical assistance to help develop the "Protected by Knowledge" advertising campaign. "Citizens Bank is proud to pledge its financial and creative support in the fight against predatory lending," said Stephen D. Steinour, Chairman dof Citizens Bank of Pennsylvania. "We have a firm commitment to being a neighborhood bank dedicated to the people and the communities we serve." Freddie Mac Honors Philadelphia Leadership in Fight
Against Predatory Lending About 100 community activists, attorneys, and local leaders from 35 cities are expected to participate in this year's summit to share experiences with their local campaigns and hear about the latest predatory lending scams. Some of the nation's leading community lending experts are expected to tell the attendees that in addition to relying on familiar tactics – including inflated appraisals and closing costs – a growing number of predatory lenders are focusing on purchase mortgage and foreclosure scams now that the refinance boom is winding down. Don't Borrow Trouble was created in Boston by Mayor Thomas M. Menino and the Massachusetts Community dCouncil and launched by Freddie Mac in 35 major cities and states, including Washington, DC and Philadelphia. "I am gratified to see so many communities using Boston's Don't Borrow Trouble model to protect families from the predatory lenders who would steal away the hard won equity and security of their homes," Boston Mayor Thomas M. Menino told the summit. "I am impressed by the commitment shown by Mayor Street and all of the local officials who have come here today to learn better ways to combat predatory lending." Don't Borrow Trouble is a key component of Freddie Mac's effort to expand responsible homeownership opportunities in the Philadelphia area. Over the past five years, Freddie Mac has invested more than $35.2 billion in mortgages, making affordable homeownership possible for nearly 258,000 Philadelphia metro area families. In addition to Don't Borrow Trouble, Freddie Mac has taken several actions to help protect borrowers from predatory-lending practices. These actions include a ban on the purchase of mortgages that require mandatory arbitration, mortgages with prepayment penalties in excess of three years and single-premium credit insurance policies, and requiring subprime lenders to accurately and fully report monthly borrower credit files to credit repositories so families can benefit from their good payment histories. The Neighborhood Transformation Initiative is Mayor Street's unprecedented commitment of resources to Philadelphia neighborhoods. Under NTI, the City is investing more than $275 million in bond funds, $250 million in federal Community Development Block Grant funds and $50 million in general operating dollars in hundreds of projects and programs designed to revitalize Philadelphia neighborhoods. NTI accomplishments include: 5,000 new units of market-rate housing; and 5,000 new units of affordable housing. Another 4,000 units are planned or underway. In addition, as part of NTI, the City has cleaned 31,000 vacant lots; removed more than 200,000 abandoned cars from city streets; eliminated graffiti from more than 200,000 buildings; cut down 15,000 dead street trees; and demolished more than 5,000 dangerous properties. Freddie Mac is a stockholder-owned corporation established by Congress in 1970 to create a continuous flow of funds to mortgage lenders in support of homeownership and rental housing. Freddie Mac purchases mortgages from lenders and packages them into securities that are sold to investors. Over the years, Freddie Mac has made home possible for one in six homebuyers in America. (For more information about Freddie Mac, visit http://www.freddiemac.com.) Citizens Bank of Pennsylvania is a $28.4 billion state-chartered bank with dual headquarters in Pittsburgh and Philadelphia. It has more than 390 branches, more than 640 ATMs and a convenient network of commercial banking offices throughout Pennsylvania. It also operates eight retail branches and eight ATMs in southern New Jersey. It has approximately 5,300 employees. 6/28/04 Developed in cooperation with the Neighborhood Transformation Initiative (NTI), Minority Business Enterprise Council (MBEC), and the Procurement Department, the NTI Small Demolition Bid Package Program will build upon NTI's existing accomplishments in the areas of local, small business development and inclusion. The new program includes features that will improve the ability of small and emerging contractors to compete for NTI small demolition packages. Eligibility extends to MBEC certified contractors and/or firms whose annual gross revenues have not exceeded $12,000,000. "This new program is an extension of our ongoing commitment to expanded economic opportunity for all," said Mayor John F. Street. "By assembling NTI demolition work into smaller packages and streamlining many of the requirements, we are improving the ability for our smaller contractors to compete as prime contractors." To kick off the program, the Administration organized a training session for contractors who have shown an interest in bidding process specially designed for smaller demolition packages of five to 10 properties. Traditional demolition packages usually involve 50 or more properties in one package. The workshop will take place at 2 p.m., on the 16th Floor of the Municipal Services Building, 1401 JFK Boulevard. During the workshop representatives from various City agencies will be available to answer questions and provide additional information on how to qualify for the program. The Small Demolition Bid Package Program is another example of the innovations and successes of the NTI Program. By packaging demolitions into smaller units, the City of Philadelphia is creatively leveling the playing field for small, minority and women-owned businesses. The new bond form being offered to contractors in this Program will make it easier for these contractors to obtain bonding and financing. Due to the small dollar amount of the contracts to be issued as part of this program, several bonding requirements have been modified to reflect the reduced risk associated with these contracts and still provide the City with the highest level of security. "The NTI demolition program reflects the Administration's strong focus on ensuring that small, minority and women-owned firms benefit from City sponsored programs and initiatives," said NTI Director Patricia Smith. "The Small Demolition Bid Package Program is an example of what can be accomplished when various City agencies work cooperatively towards a common goal." Developed under the Street Administration, the Neighborhood Transformation Initiative is a $275 Million program designed to address safety and quality of life issues in Philadelphia's neighborhoods. Key components of the initiative include demolition and encapsulation of dangerous and abandoned buildings, cleaning and greening of vacant lots, expanded support of neighborhood-based real estate development and ongoing emphasis on building neighborhood business infrastructure. "Consistent with our ongoing commitment to minority and women business development, MBEC is pleased to play a central role in this initiative," said MBEC Director Michael Williams. "This initiative is designed to not only aid in providing business opportunity, but also to help build long-term capacity and opportunities for small businesses to serve as prime contractors." NTI Small Demolition Bid Packages will be issued every two weeks, beginning in mid-July. For more information about NTI Bidding Opportunities, visit the NTI website, www.phila.gov/nti or the City of Philadelphia Procurement website, http://bids.phila.gov/index.asp, or call the Procurement Department at 215-686-4820. Neighborhood Transformation Initiative Upcoming Small Bid Packages for the 1ST Quarter of FY2005 Neighborhood---Bid Package Number---No. of Demolitions---Advertisement Date (week of)---Bid Opening Date (week of): Paschall---038J---5---July 12, 2004---August 9, 2004 49th and Saybrook--038K---7---July 26, 2004---August 23, 2004 Fallon and Hanson--038L---6---August 9, 2004---September 6, 2004 Farson---039A---10---August 23, 2004---September 20, 2004 Dearborn---039B---7---September 6, 2004---October 4, 2004 The Standard Specifications for NTI Demolition Bid
Packages, individual Project Manuals, and bid information are available
on the City of Philadelphia's Procurement website at http://bids.phila.gov/index.asp. "One of NTI's goals is to encourage the development of housing throughout the city," Hanna explained. "OHNP created this guide to enable developers to partner with us in producing housing for Philadelphia residents of all ages. We want our residents to become ‘Citizens for Life,' meaning as they age and their housing needs change, we want them to find a full array of housing options to satisfy those changing needs right here in Philadelphia." Written with input from a focus group of local developers,
the publication describes the City's requirements for building new housing,
renovating existing housing and restoring historical properties. Sections
spell out the City's land acquisition and disposition processes along with
the application and approval procedures for licenses, permits and zoning.
Information on federal, state and city tax credits and tax abatements is
included. Featured are financing programs such as the federal Community
Development Block Grant, the Pennsylvania Housing Finance Agency and the
city's Homeownership Rehabilitation Program which gives developers a subsidy
for the renovation of vacant houses to be sold to first-time buyers. Contact
information for city, state and federal agencies involved in development
are listed, along with an extensive directory. Contributing to the guide were NTI, OHNP, Office
of Housing and Community Development, Philadelphia Housing Development
Corp. and Philadelphia Redevelopment Authority. Other city agencies include
the Board of Revision of Taxes, Empowerment Zone/Renewal Community (EZ/RC),
Historical Commission, Licenses and Inspections, Minority Business Enterprise
Council, Planning Commission, Streets Department and Water Department. The OHNP Guide to Residential Development is being distributed to participants in today's Annual Developers Breakfast and Neighborhood Tour, sponsored by EZ/RC and OHNP. Developers who would like copies should call Catherine Califano, OHNP deputy secretary, at 215-686-9756.
1/15/04 DAP is a workforce training and development program for unemployed and under-employed adults age 18 and above that primarily focuses on moving minorities into the construction building trades apprenticeships. An initiative of the Philadelphia Revitalization and Education Program, and managed by the Housing Association of Delaware Valley, DAP provides the life skills and educational activities to ensure that participants are fully qualified and prepared to enter the trade apprenticeships. DAP was formed in response to the limited number of minorities employed in the building trades and the education and skill levels of many minorities interested in entering the building trades. Over the past two years, DAP has worked with the building trade unions, elected officials, educational institutions and training programs in order to bridge these gaps. "I am happy to play a role in helping to ensure greater participation of minorities within the building trades. This graduation illustrates what we can accomplish through cooperative efforts," said Mayor Street. "DAP is an integral part of our Neighborhood Transformation Initiative. Under NTI, we're not only rebuilding our communities, we are providing opportunities." The NTI Economic Opportunity Plan established participation goals of 35% for minority owned firms, 12% for women owned firms and 2% for disabled owned firms. In addition, the Plan calls for good faith efforts to employ a workforce that meets the goal of 75% of total work hours performed by minorities. The City has exceeded Philadelphia resident hiring and minority participation goals on NTI demolition projects. NTI demolition activity has resulted in more than 300 jobs on various worksites throughout Philadelphia. More than 80% of those employed are Philadelphia residents and minority participation numbers have exceeded project goals by as much as 21%. At the request Mayor Street, DAP customized its workforce development and training programs to help prepare individuals for apprenticeships on NTI demolition projects and employment in the construction industry. The NTI program utilizes a three-pronged approach based on employment, academic and social skills development. It shows participants how to meet the standards of the building trades and construction work environment. The Building Trades participating in this effort are: Laborer's Local 332, Plasterers Union Local 8, Carpenters and Joiners, Roofers Union Local 30, and Operating Engineers Union Local 542. To date, 42 graduates of the NTI workforce development program have secured full-time employment, of which 12 are working as apprentices on NTI demolition projects and 13 other general construction projects. "The Diversity Apprenticeship Program has been a godsend," said James Feldman, a recent graduate. "It gave me a second chance to make a career. I would recommend anyone to go to DAP." NTI is one of the landmark programs of the Street Administration, designed to improve the quality of life in neighborhoods throughout the City of Philadelphia. In addition to blight removal, public safety and community development, NTI includes an aggressive component that targets local and neighborhood-based employment and training, as well as minority, women and disabled business development. The Diversity Apprenticeship Program graduation ceremony will be held at Sheet Metal's Workers Local 19 Union Hall Penn Landing's Caterer 1301 S. Columbus Boulevard at 6pm. In addition to Mayor Street, confirmed guests include Pennsylvania's Secretary of Labor and Industry Stephen M. Schmerin, State Representative Louise Williams Bishop, Sam Staten Sr., Business Manager of Laborers Local 332 and Pat Gillespie, President of the Business Trades Council of Philadelphia and Vicinity, and former Secretary of Labor and Industry Johnny Butler. |