For months, the School District has been open and honest about the impact that its $304 million budget shortfall would have on District students and employees and the quality of education that it would be able to provide.  Today is the reality of that disastrous, bare-bones budget.

The layoffs of the 3,783 teachers and school support staff is devastating not only to those individuals who will lose their jobs but to the thousands of students and parents and the school communities that will suffer because of these regrettable personnel reductions and other budgetary cuts.

This has been an exceptionally difficult process for Dr. Hite, the School District leadership and the School Reform Commission.  No one wants to close schools, lay off teachers or staff but the current leadership is determined to make the District’s fiscal health, immediate and long-term, a top priority.

To help the children of this City, there has to be a real commitment from the Commonwealth, City and the unions to find critical funding for Philadelphia public education.  I have proposed a revenue package that would provide the District with $95 million in vital funding.  Now, we need action in Harrisburg and City Council to pass that legislation.  We need Harrisburg to do its share and support the School District.  And, we need the education unions to accept critical economic and work rule changes.

If we come together, now, we may be able to stem the tide on these grievous cuts and give our young people the kind of education they deserve.

FOR IMMEDIATE RELEASE

Philadelphia, May 6, 2013 – A Philadelphia Office of the Inspector General investigation of 19 Philadelphia Housing Development Corporation contracts has found that 11 prime contractors used JHS and Sons Supply Company to circumvent the City’s antidiscrimination requirements by paying JHS only for its name and its minority-owned business certification. So far, the City has signed a no-fault settlement agreement with one prime contractor and has hammered out compliance agreements with eight other prime contractors.

“It was clear from the beginning that this problem was widespread,” said Inspector General Amy L. Kurland. “These settlements meet our goal of ensuring that companies comply with our antidiscrimination requirements. Our mission is to bring companies into compliance, not to put them out of business.”

Investigators first discovered that prime contractors were using JHS to circumvent the City’s antidiscrimination requirements in PHDC’s weatherization contract with UGI HVAC Inc. In that case, the OIG established that William Betz Jr. Inc. had colluded with JHS and UGI to make it appear that JHS had provided equipment and supplies when Betz was in fact the supplier.

In January 2012, the City signed a no-fault settlement agreement with UGI, which agreed to pay the City $100,000, increase minority-business participation in future contracts and adopt new policies and procedures to comply with the City’s antidiscrimination requirements. The City also removed JHS from the Office of Economic Opportunity’s registry of certified minority-owned businesses.

In October 2012, the City signed a no-fault settlement agreement with Betz, which agreed to pay the City $128,000, comply with the provisions of an Equal Opportunity Procedures Policy and voluntarily declare itself ineligible to participate in City contracts for two years.

The case led to the adoption of Executive Order 03-12, which strengthened the City’s previous antidiscrimination policies and made it more difficult for companies to hire sham minority-, woman- and disabled-owned businesses (M/W/DSBEs) as subcontractors. All of the contracts in which JHS posed as a working minority subcontractor were signed before JHS was removed from the OEO registry.

After concluding the UGI case, the OIG continued investigating contracts involving JHS and Betz, and found that JHS provided no services to the 10 other prime contractors that had identified it as a subcontractor for 18 PHDC contracts. Those contractors are Burke Plumbing & Heating, Inc.; Clements Brothers and Sister, Inc.; DMC Environmental Group, Inc.; Buzz Duzz Plumbing, Heating, & Air Conditioning, Inc.; Edward Hughes and Sons, Inc.; Martin Johnson Plumbing and Heating, Inc.; Paragon Contracting; J.J. Magnatta, Inc.; John Stevenson, Inc.; and S. Murawski & Sons. The contracts ranged in value from $100,000 to $350,000.

Prime Contracts Involving JHS

In most cases, Betz facilitated the arrangement between JHS and the prime contractor, providing JHS’ minority business certification and the supplies necessary to complete the job. As a result, Betz received more than $640,000 worth of business that was intended for legitimate minority-owned companies. JHS received at least $70,000 for acting as a pass-through.

Most of the prime contractors that used JHS as a minority pass-through were small businesses that did not fully understand the City’s antidiscrimination requirements. The companies reached out to other contractors or suppliers for advice on how to comply with the requirements when they should have sought help from the Office of Economic Opportunity.

While the settlement agreement with UGI references a specific instance in which the City believed UGI had violated the City’s antidiscrimination policies, the compliance agreement with the remaining prime contractors is general in scope and does not include a payment to the City.

The purpose of the compliance agreement is to clarify the contractors’ legal obligation to provide meaningful opportunities for M/W/DSBEs and to educate the contractors about the assistance that the Office of Economic Opportunity can provide when searching for a qualified M/W/DSBE. Moving forward, these prime contractors now understand what is required under Executive Order 03-12 and are expected to follow the City’s policies on M/W/DSBE participation.

“After one year since signing the Open Data Executive Order, we drafted the City’s first Open Government Plan, hired a Chief Data Officer, established the Open Data Working Group and released vital data sets to the public,” said Mayor Nutter.   “In the years to come, our Administration will remain focused on transparency, open engagement with the public and using best practices for making government data available to citizens.  I want to thank the many City departments and offices for their commitment to good governance and contributions to open data.”

In addition, the release schedule for City data sets has been made publicly accessible at www.trello.com/board/city-of-philadelphia-open-data-pipeline/51487d15bb68f5de3b0099b0.

To access all new open data sets, log on to www.opendataphilly.org, the City’s community built and maintained open data directory.  Philadelphia is the only large City in the country with an official open data repository managed in collaboration with outside stakeholders.

“The City of Philadelphia casts a long shadow in the world of open government,” said Chief Data Officer Mark Headd.  “Because of the strong leadership of Mayor Nutter, Managing Director Rich Negrin and Chief Innovation Officer Adel Ebeid, the City of Philadelphia has been able to achieve things in its first year of open data.”

The City’s Open Data Plan, developed by the Open Data Working Group can be read at
https://github.com/CityOfPhiladelphia/open-gov-phl
.

Mayor Nutter signed Executive Order 12-1, which formally established the City’s open data policy, on April 26, 2012.

In January, Mayor Michael A. Nutter and WorkReady Philadelphia announced the 10,000 Summer Jobs Challenge, a charge to the City to unite and create 10,000 enhanced WorkReady summer job opportunities for youth ages 14-21 in 2013. 

“Summer jobs provide valuable experiences for our young people and ensure the vitality of our local economy and a brighter future for the entire City of Philadelphia.  I am asking local businesses, non-profits and individuals to take up the charge of investing in our youth through the 10,000 Summer Jobs Challenge,” said Mayor Nutter.  “Our efforts for 2013 have helped us surpass last year’s number of youth internships but we still have work to do to reach our goal.”

At the time the Challenge was launched, WorkReady was projecting less than 5,000 summer internships. Last summer, WorkReady served more than 6,800 youth.  Current and projected funding sources will allow the WorkReady system to provide more than 7,500 youth employment opportunities this year.

“Over the past three months, I have been overwhelmed by the diligent and impressive efforts of our city on behalf of young people. Throughout the past ten years of WorkReady summer programs, we have learned that summer jobs work best when local businesses work together on behalf of youth,” said Stacy E. Holland, President and CEO of Philadelphia Youth Network, which serves as the managing partner of WorkReady.  “The next two months are critical as summer quickly approaches and many youth in Philadelphia are seeking employment.”

On the call, President Obama stressed the importance of engaging the business community throughout youth employment efforts. During summer 2012, 146 Philadelphia businesses financially supported more than 1,100 internships.  However, there are more than 30,000 private sector businesses in the City of Philadelphia.

“Everyone in this city has a part in this Challenge,” said John McNeil, President and CEO of Cancer Treatment Centers of America (CTCA).  “Since first participating in WorkReady seven years ago, we at CTCA have continued to increase the number of interns we hire in order to accommodate the needs of local youth. It’s a privilege to provide them with a platform to develop their work ready skills. And, the benefit is mutual— our organization reaps the rewards from having energetic, bright, young minds contribute to our daily work. As employers in Philadelphia, we all need to unite and participate in this valuable program and do our part to provide opportunities for all youth.”

For more information on the 10,000 Summer Job Challenge, log on to www.phillysummerjobs.org.

Philadelphia, March 19, 2013 – Mayor Michael A. Nutter announced today that the Philadelphia Industrial Development Corporation (PIDC) will partner with First Round Capital, one of the most active investment firms in the country, to invest in and manage the Startup PHL Seed Fund, a new effort by the City of Philadelphia and PIDC to increase the availability of investment capital for Philadelphia-based startups.  Both PIDC and First Round Capital will invest $3 million and First Round Capital will manage the fund to make early-stage investments on behalf of the Startup PHL Seed Fund.  First Round Capital will not receive a management fee, or any other form of compensation, for managing the Startup PHL Seed Fund.

“Supporting entrepreneurs, startups and small businesses in Philadelphia is a priority for my Administration and is crucial for the future of our city. I am thrilled that one of the leading investment firms in the country will partner with us in this effort,” said Mayor Michael A. Nutter.  “Josh Kopelman is one of the most successful investors in the venture community and a leading entrepreneur who has demonstrated his commitment to this city time and time again.  With his help and the support of our entrepreneurial community, Philadelphia will once again be recognized as one of America’s leading cities for innovation and entrepreneurship.”

Josh Kopelman, First Round Capital’s founder, said, “We are thrilled to be participating in this effort. Mayor Nutter’s Administration has been very supportive of entrepreneurship and the Startup PHL Seed Fund is a very concrete example of how the City of Philadelphia is dedicating real attention and resources towards helping founders succeed in America’s founding city.”

PIDC also announced that through its Penn Venture Fund, it will invest up to $500,000 in the University City Science Center’s QED Program, the country’s first multi-institutional proof-of-concept funding program for healthcare and life sciences technologies.  PIDC’s loan will provide direct funding to qualifying research projects at Philadelphia-based academic and research institutions participating in QED. The projects will be developed and selected through QED’s market-driven process. The loan will be repaid from PIDC’s share in proceeds from successful projects.

“PIDC is excited to invest with partners like First Round Capital and the University City Science Center, both of which are highly respected national leaders in their fields,” said PIDC President John Grady.  “These new investments are both designed to bring more capital to entrepreneurs in Philadelphia at earlier stages, so that they can turn their big ideas into reality sooner and more efficiently.  Today’s announcement illustrates PIDC’s ongoing commitment to find innovative ways to partner with the public and private sectors and to develop new resources for Philadelphia businesses.”

The QED Program has funded a total of 16 projects since its launch in April 2009.  So far, five of the projects have resulted in technology options or licenses, and close to $9 million in follow-on funding has been raised. Twenty-two universities and research institutions in Pennsylvania, New Jersey and Delaware, including 11 in Philadelphia, participate in the program.

“Due to a lack of funding, promising technologies are often stranded in the lab and never make it to the marketplace where they can have a positive impact on patients’ lives,” says Science Center President & CEO Stephen S. Tang, Ph.D., MBA. “PIDC’s investment will help launch new companies that commercialize Philadelphia-based discoveries.  We at the Science Center look forward to working with PIDC to encourage these companies to stay and grow in the city.”

Mayor Nutter also announced that six local organizations will receive Startup PHL grants from the City of Philadelphia for programs or services that support the entrepreneurial community in Philadelphia.  The Startup PHL ‘Call for Ideas’ received more than 115 submissions, which were reviewed by City officials, PIDC, and representatives of the entrepreneurial and startup community. The grant winners are the following:

• Ben Franklin Technology Partners/Campus Philly - $25,000 to create the Targeted Internship Matching Program to place Philadelphia-area college and university students at BFTP portfolio companies in Philadelphia this summer. The goals of the program are to provide Philadelphia startups with talent and to connect college students to startups/mentors, increasing the likelihood that they stay in Philadelphia post-graduation.  Matching funding will be provided by the companies hosting interns.
• The Enterprise Center, Center for Culinary Enterprises, Philly Food Innovation Program – $15,000 to support the development of a workshop series for 25 early to middle stage food entrepreneurs to help accelerate their businesses.
• Greater Philadelphia Chamber of Commerce – $18,400 to develop an online Entrepreneur’s Resource Directory, working with Select Greater Philadelphia, PACT and the Philadelphia startup community.  The Directory will provide a centralized location for entrepreneurs to find information on funding sources, professional and technical expertise, specialized facilities and professional services.  Matching funding will be provided by a corporate sponsor or the Chamber.
• PhillyCORE Leaders – $15,000 to support the Supporting Entrepreneurship in Education (SEED) program, which includes a pitch event for education entrepreneurs to compete for funding.  The winning teams will then participate in the Fels Institute Social Innovations Lab to further develop their ideas.  Matching funding will be provided by corporate sponsorship.
• Startup Corps – $20,000 to support the expansion of the high school entrepreneur program that provides programming to a diverse range of teenagers looking to develop entrepreneurial skills and build businesses.  In 2013 Startup Corps plans to expand the number of students served by 50% and develop new partnerships with organizations that support entrepreneurs.  Matching funding will be provided by private sponsorship.
• VentureF0rth – $25,000 to create a ‘community commons’ space at the existing VentureF0rth co-working facility that will provide an increased range of services to the startup community, including daytime programming, job training for individuals looking for work in the technology sector, and an increase in the number of entry-level low-cost spots available to entrepreneurs.

Alan Greenberger, Deputy Mayor for Economic Development, said, “The overwhelming response to the ‘Call for Ideas’ is further evidence of the strength of Philadelphia’s startup and entrepreneurial community and one of the many reasons why the Nutter Administration is committed to supporting business creation in Philadelphia.  Increasingly Philadelphia is becoming a place of choice for businesses to start, stay and grow and the Startup PHL initiative is just one more tool we have to help make that happen.”

The City of Philadelphia and PIDC expressed their gratitude to the following people for their support and assistance: Andrea Allon (Greater Philadelphia Chamber of Commerce and PIDC Board Member), David Brussin (Monetate), M. Therese Flaherty (Wharton Small Business Development Center), Steve Goodman (Morgan Lewis), Apu Gupta (Curalate), Sam Landman (Comcast Ventures), Bob Moul (Artisan Mobile and Philly Startup Leaders), and Richard Vague (Gabriel Investments).

For more information please visit www.startupphl.com.

“Philadelphia is honored to be chosen as a hub for the Financial Empowerment Centers,” says Mayor Michael A. Nutter.  “With 28 percent of our residents living in poverty, the Financial Empowerment Centers come at a critical juncture, offering many struggling Philadelphians the opportunity to transform their lives, and ultimately their communities. It is a comprehensive solution to a complicated problem, and we are excited to see results.”

The Centers opening in Denver, CO; Lansing, MI; Nashville, TN; Philadelphia, PA; and San Antonio, TX, expect to serve more than 30,000 people over three years. Through the program, professional financial counselors will provide clients with one-one-one counseling and guidance on issues such as managing and paying down debts, opening safe and affordable bank accounts, building healthy credit and creating budgets that facilitate savings.

The City has partnered with Clarifi, the region’s leading financial counseling non-profit, to provide the services.  “Helping low-income residents become financially stable has been an ongoing challenge. The Financial Empowerment Centers will offer Philadelphians the tools and guidance need to achieve this stability—in the neighborhoods that need it most,” says Patricia Hasson, President and Executive Director of Clarifi. “Clarifi has a history in helping people improve their financial lives and we’re excited to work with the City of Philadelphia and other partners in this initiative.”

The Financial Empowerment Centers will be integrated within agencies offering complementary services, so that clients can more efficiently receive a wider spectrum of supports.  Sites include Congreso, People’s Emergency Center, Community Legal Services, Welcoming Center for New Pennsylvanians, Community College of Philadelphia, and the City’s Municipal Services Building. Appointments are available Monday through Saturday and can be scheduled by calling 1-855-FIN-PHIL (1-855-346-7445).

In January 2013, the CFE Fund awarded grants – made possible by a $16.2 million investment from Bloomberg Philanthropies – to replicate New York City’s Financial Empowerment Center model. New York’s 30 Financial Empowerment Centers have helped more than 19,000 families reduce their debt by more than $9 million and save nearly $1 million since 2008. By investing in these five cities, Bloomberg Philanthropies seeks to further demonstrate the effectiveness of the model, making a powerful case for even more cities around the country to begin taking up this important work.

Join the conversation on Twitter using @FEC_Philly. To learn more about the CFE Fund, visit
http://www.cfefund.org/
. Join the conversation on Twitter using #FinancialEmpowerment.

Financial Empower Centers’ Operating Hours:

• Municipal Services Building, 1401 John F. Kennedy Boulevard, 215-686-8686: Monday-Thursday, 9am to 7pm; Friday, 8am to 5pm; Saturday, 9am to 3pm;
• Congreso, 216 W. Somerset Street, 215-763-8870: Monday, Wednesday 8am to 6pm; Tuesday 9am-7pm; Thursday 8am to 7pm; Friday 8am to 5pm;
• Community College of Philadelphia, 1700 Spring Garden, 215-751-8000: Monday, Wednesday 8am to 5pm;
• Welcoming Center for New Pennsylvanians, 1617 John F. Kennedy Boulevard, 215-557-2626: Tuesday11am to 8pm; Friday 9am to 5pm;
• Peoples’ Emergency Center Families First Building, 3939 Warren Street, 215-382-2499: Tuesday, Wednesday, Thursday 9am to 6pm; Friday 8am to 5pm;
• Community Legal Services 1410 W. Erie Avenue, 215-227-4730: Monday 9am to 6pm; Thursday, Friday 8am to 5pm.

About Bloomberg Philanthropies

Bloomberg Philanthropies is on a mission to improve and lengthen lives. We focus on five key areas to create lasting change: Public Health, Environment, Education, Government Innovation and Arts & Culture. Bloomberg Philanthropies encompasses all of Michael R. Bloomberg’s charitable activities, including his foundation and his personal giving. In 2012, $370 million was distributed. For more information, please visit www.bloomberg.org

About The Cities for Financial Empowerment Fund

The CFE Fund supports municipal efforts to improve the financial stability of households by leveraging opportunities unique to local government. By translating cutting edge experience with large scale programs, research, and policy in cities of all sizes, the CFE Fund assists mayors and other local leaders to identify, develop, fund, implement, and research pilots and programs that help families build assets and make the most of their financial resources. For more information, please visit
http://www.cfefund.org/
or email us at info@cfefund.org.

“Philadelphia keeps moving in the right direction,” said Mayor Michael A. Nutter. “The dynamism, innovation and diversity of our population is attracting new people to Philadelphia and encouraging residents to want to stay in one of the greatest cities in America. We are proud of the increase in population and continue to take steps to ensure that people want to live here.”

The PEP program produces estimates of the population for the United States, its states, counties, cities, and towns, as well as for the Commonwealth of Puerto Rico and its municipios. These estimates are used in federal funding allocations, as survey controls, as denominators for vital rates and per capita time series, and as indicators of recent demographic changes.

“Philadelphia is a city that is in demand and continues to grow,” said Deputy Mayor Alan Greenberger.  “With new exciting companies starting here, students staying here after receiving a world-class education, and a growing, diverse population, Philadelphia is a city of choice.  Welcome to all of the newcomers, we hope you feel at home!”

Philadelphia City Planning Commission Executive Director Gary Jastrzab added, “These are annual population estimates made by the Census Bureau, based on administrative records, such as birth and death certificates, data from U.S. Citizenship and Immigration Services, and other sources. Because Philadelphia is both a city and a county, we get a preview of our annual estimate. Estimates for other cities won’t be available until May. An increase of 9,040 new Philadelphians continues our population turnaround beginning in the last decade, and is actually a little ahead of the City Planning Commission staff’s forecasted growth for the short- and long-term in our Philadelphia2035 comprehensive plan. Should this trend continue, we will have to adjust our forecast upward.”

• Monday, March 25, 6pm-8pm – Overbrook Library, 7422 Haverford Avenue
• Wednesday, March 27, 6pm-9pm – Calvary Temple, 3301 South 20^th Street
• Wednesday, March 27, 6pm-9pm – Protestant Homes, 6500 Tabor Avenue

Additional dates and locations may be added.

For more information about AVI, property owners can call the Office of Property Assessment hotline at 215-686-9200 or go online to www.phila.gov/opa.

City Council

Philadelphia, March 14, 2013 – In his annual budget address, Mayor Michael A. Nutter detailed the proposed Fiscal Year 2014 (FY14) Budget and Fiscal Year 2014 – 2018 Five-Year Plan to City Council. The Mayor’s proposed budget of approximately $3.75 billion includes smart investments in services to citizens, provides support for city employees and improves the city’s vital infrastructure.

“Today I am presenting a budget and Five Year Plan which will serve as a turning point to a brighter future for Philadelphia.  It will move us closer to being the city I know we can be,” said Mayor Nutter. “At the heart of this budget is a reform that Philadelphia property owners have been denied for decades; a reform that was long overdue.  We will now have the property tax system we deserve – a system that is fair, accurate, transparent, understandable and equitable. The Actual Value Initiative, AVI, will bring assessment credibility to a growing, dynamic City.”

During the last two years, the Office of Property Assessment completed a comprehensive reassessment of all properties in the City, resulting in the City’s total taxable property increasing in value from $36 billion to more than $98 billion.

Due to the increase in property values across the City, Mayor Nutter proposed a tax rate of 1.3204 percent, reducing the current rate of 9.771 percent, in order to collect the same amount of current year property tax revenue in 2014 as was collected in 2013 – about $1.2 billion – with 54 percent going to the Philadelphia School District and the rest to the City.

To moderate the impact on those that will see their property taxes increase, Mayor Nutter called for a series of relief measures including a $15,000 Homestead Exemption that benefits all homeowners and up to $30 million in funds aimed at severely impacted property owners. This relief funding is in addition to other City and State relief programs already available to low-income and older Philadelphians.  “My goal is to maintain the lowest possible tax rate for every Philadelphian while still making provisions for targeted relief to those who will need it, such as long-term, low-income homeowners living in gentrifying neighborhoods and small business property owners,” said Mayor Nutter.

Mayor Nutter proposed $99 million in added expenditures from the general fund budget, including $69 million in spending related to employee pensions and salary increases for Police officers.

Mayor Nutter also said he will set aside $26 million of the fund balance in the FY14 budget for future labor obligations to District Councils 33 and 47, Local 22 of the International Association of Fire Fighters and Deputy Sheriffs.  Over the Five Year Plan this set aside is an $84 million commitment.

In addition to property assessment and tax reform, Mayor Nutter called for tax reductions to support job and business growth by re-starting the Wage Tax reductions that were suspended during the recession.  He sent legislation to City Council that will set annual Wage Tax reductions through Fiscal Year 2018.

Some of the Mayor’s FY14 spending proposals include:

• $5 million over two years to modernize Free Library of Philadelphia branches, and  an additional $1 million to expand branch library hours to benefit young people, job seekers and seniors, including the LEAP after-school program.
• Investing $624,000 in KeySPOT public computer centers to continue offering internet education classes and computer tutorials to Philadelphians.
• $1 million for the Community College of Philadelphia to help off-set rising tuition costs.
• Additional funding to complement FY13 funds to allow for the hiring of 30 new Department of Public Property employees to revitalize police and fire stations, and perform other building maintenance, and deploying 40 Philadelphia Parks & Recreation employees to the facility maintenance team to maintain pools, parks, playgrounds and recreation buildings.
• $2.1 million for improvements to fire houses, and $4.7 million for new self-contained breathing apparatus, air bottles and 35 new ‘Jaws of Life’ equipment.

Mayor Nutter added, “Today, I am proposing that we spend tax dollars on the health and wellness of our citizens, on libraries and recreation centers, on playgrounds and parks, on public safety, on creating an environment that fosters economic development instead of stifling it.  We are moving forward, working in partnership, and we will continue to make progress on our goals for today and the future.”

Philadelphia, March 13, 2013 – Mayor Michael A. Nutter today announced that the City of Philadelphia is one of the five winners in the Bloomberg Philanthropies’ Mayors Challenge, a competition to inspire American cities to generate innovative ideas that solve major challenges and improve city life – and that ultimately can be shared with other cities to improve the well-being of the nation. Philadelphia was selected as a Mayors Challenge winner out of a pool of over 300 applicant cities, based on four criteria: vision, ability to implement, potential for impact, and potential for replication. Philadelphia will be awarded a $1 million innovation prize to implement its idea to create the Philadelphia Social Enterprise Partnership, a new effort to engage social entrepreneurs in working with city government and other partners to tackle urban challenges. Philadelphia will also receive a sculpture created by world-renowned designer Olafur Eliasson to commemorate each of the Mayors Challenge winners.

“Philadelphia’s selection as a Mayors Challenge winner is a huge honor for our city and a testament to the creative, innovative work that is going on across city government,” said Mayor Nutter. “Through the Philadelphia Social Enterprise Partnership, our goal is to explore innovative new approaches to issues affecting cities across the country and ultimately to improve the quality of life for our residents. I want to thank Mayor Bloomberg and the Mayors Challenge for supporting innovative thinking in cities across America. The City of Philadelphia is also grateful for the efforts of GoodCompany and the Wharton Social Impact Initiative; both partners were integral to the successful collaboration that advanced our application through the Mayors Challenge process.”

“Procurement processes can stifle innovation and prevent local leaders from solving pressing city problems,” said Michael R. Bloomberg, philanthropist and Mayor of New York City. “Mayor Nutter’s winning idea will help city government leverage innovation and creative talent to tackle an array of major challenges. Bloomberg Philanthropies is eager to see this idea take hold in Philadelphia and across the country.”

The Philadelphia Social Enterprise Partnership will create a process through which entrepreneurs and city government can work together on researching, developing, and applying innovative solutions to urban challenges. By building on existing innovations taking place in Philadelphia and cities around the country – such as opening up city data for use by citizens and entrepreneurs – Philadelphia will demonstrate that creating partnerships between innovators within and outside of government provides the opportunity to develop more effective solutions to some of our most intractable challenges. Philadelphia will identify two to three issues per year for which it will seek proposals from entrepreneurs, bringing them to the city to develop and pilot their ideas through a proven social enterprise accelerator program.

The Mayors Challenge is a competition to inspire American cities to generate innovative ideas that solve major challenges and improve city life. Mayors of U.S. cities with 30,000 residents or more were eligible to compete, with 305 cities representing 45 states submitting applications last September. Providence was awarded the $5 million grand prize, while Chicago, Houston, and Santa Monica were also awarded $1 million prizes. To learn more about the Mayors Challenge, visit bloomberg.org/mayorschallenge.

The Mayors Challenge is the latest initiative of Bloomberg Philanthropies’ Mayors Project, which aims to spread proven and promising ideas among cities. Other Mayors Project investments include Cities of Service, Innovation Delivery Teams, and Financial Empowerment Centers.

About Bloomberg Philanthropies
Bloomberg Philanthropies is on a mission to improve and lengthen lives. We focus on five key areas to create lasting change: Public Health, Environment, Education, Government Innovation, which includes the Mayors Challenge, and Arts & Culture. Bloomberg Philanthropies encompasses all of Michael R. Bloomberg’s charitable activities, including his foundation and his personal giving. In 2012, $360 million was distributed. For more information, please visit http://www.bloomberg.org.

For more information on Bloomberg Philanthropies, media should contact Meghan Womack, meghan@bloomberg.org.

“The Office of the Inspector General is an integral part of our effort to maintain the highest standards in City government and to ensure tax dollars are spent properly,” said Mayor Michael A. Nutter.

The $9.2 million in savings and recovery comes from City employees via pension disqualifications, demotions, suspensions and DROP program forfeitures, through fines, assessments and recoveries from business that violated minority-business requirements, and from funds returned to the City through restitution.

“The investment of Philadelphia tax dollars into good government practices has paid off many times over,” said Inspector General Amy Kurland.  “The OIG will continue working hard to ensure that City departments, agencies and employees are doing the right things and that businesses are abiding by City contracts.”

Over the last five years, the Philadelphia Office of the Inspector General has helped the City save or recover a total of $34.9 million while working with an annual budget of $1.3 million or less.  According to the OIG Annual Report, investigations since 2008 have led to the termination or resignation of 166 total City employees and the arrest or indictment of 44 individuals.

In the last two years, OIG investigations of companies that circumvented the City’s minority, women and disabled-owned business entity (M/W/DSBE) requirements has generated more than $2 million in settlement revenue for the City.

Since January 2008, the OIG’s collaboration with the Law Department and the Board of Pensions and Retirement to identify and disqualify City employees convicted of felonies related to their jobs has saved the City almost $15.5 million, including more than $5.7 million in 2012.

“Collaboration has played a key role in our success,” said Kurland. “It has allowed our small office to have a big impact on how the City operates, and it has helped change the culture that has damaged the reputation of so many honest City employees.”

The report is available online at the OIG’s website at
http://ph.ly/_ONVF
.