Latest news with #HousingOpportunitiesMadeEasy
Axios
2 days ago
- Business
- Axios
City Hall green lights Mayor Parker's $6.8B budget
Philadelphia legislators signed off Thursday on Mayor Cherelle Parker's $6.8 billion budget, including her centerpiece housing initiative. Why it matters: Parker's plan makes big promises, including cuts to business and wage taxes, no tax increases for property owners, and more homes. But it all comes with a big price tag, despite lingering questions about the potential loss of future federal funding. By the numbers: Under the plan, overall spending will increase nearly 7.5% over last fiscal year. The new fiscal year starts July 1. 🏘️ Inside the plan: Legislators gave the green light to borrow $800 million for Parker's Housing Opportunities Made Easy initiative, which aims to build and preserve 30,000 housing units. The initiative will fund a variety of new housing programs while expanding some existing ones. Plus: The legislation allows the Parker admin to fast-track the sale of up to 1,000 parcels of city-owned land without legislative approval, which has bogged down some land sales. 💰Tax cuts: Workers in the city — both residents and non-residents — will see their wage taxes decline modestly over five years. The intrigue: Businesses are the biggest winners. They'll see the city's business income and receipts tax (BIRT) slashed over 13 years. BIRT's gross receipts portion will steadily decline until it's eliminated in 2039. Meanwhile, BIRT's net income portion will be cut by more than half by then. The fine print: Due to legal challenges, the city is eliminating a BIRT tax break on the first $100,000 in gross receipts, which will hurt small businesses. The big picture: Parker and her vision for the city appear to be winning over Philadelphians. A Pew poll released this week found Parker enjoyed a 63% approval rating at the start of the year. What else: City council approved legislation that will:
Axios
24-03-2025
- Business
- Axios
Mayor Parker outlines $2B plan to overhaul housing in Philadelphia
Mayor Cherelle Parker is setting the stage to reshape Philadelphia's housing landscape under her watch. Why it matters: Philly's dearth of affordable housing is at crisis levels as home prices have spiked and interest rates have ticked up post-pandemic. Driving the news: Parker unveiled a sweeping $2 billion plan Monday that calls for launching housing programs and expanding popular ones; offering tax breaks to spur development; and more quickly converting city-owned properties into housing. The mayor's Housing Opportunities Made Easy initiative aims to build 13,500 homes and preserve 16,500 existing structures. What she's saying: Though the exact timeline is unclear, Philadelphia "should be able to do big things in a short period of time," Parker said during her more than hourlong address. She said that voters had handed her a mandate to make housing a priority. How it works: Parker said the the initiative would be funded by borrowing $800 million in bonds, with another $200 million coming from local, state and federal funding. An additional $1 billion would be kicked in from the city's existing land and property assets. To help pay for the proposal, Parker has called for hiking the city's realty transfer tax to 3.578% from 3.278%. The big picture: It's all part of Parker's new budget proposal, which seeks to boost spending despite uncertainties about federal funding and recession fears. It still needs City Council approval. The intrigue: District legislators could ultimately sink Parker's plan. Those 10 elected officials hold significant sway over land deals and projects in their districts via an unwritten rule known as " councilmanic prerogative." Yes, but: Parker proposed a new framework to sidestep the current need for City Council to pass legislation for all land transfers. She wants to work with legislators to expedite the sale and transfer of certain city-owned properties to preapproved developers for the construction of affordable housing. The new framework would apply to "smaller parcels of land," she said, like single-family homes and triplexes. Zoom in: The mayor's other housing proposals include: Establishing a city-approved list of qualified contractors, home centers and retail stores to help residents avoid scammers. Offering tax breaks for projects in certain neighborhoods. Converting the city's former police headquarters, known as the Roundhouse, and the defunct Holmesburg Prison site into housing. Reworking burdensome zoning codes that slow down developments.
