Broad Street Brief: Tax Reform Commission Releases Interim Report

February 27, 2025

City Hall

Tax Reform Commission Recommends Eliminating BIRT, Reducing Wage Tax

The Philadelphia Tax Reform Commission released its interim report this week, proposing that the City eliminate the Business Income & Receipts Tax (BIRT), reduce the wage tax to below 3%, and establish a Jumpstart Fund to support small businesses and workforce development. The Commission also recommended establishing an Office of the Tax Advocate, introducing a temporary 20-year property tax abatement to incentivize converting vacant office buildings into residential units, and raising the City’s minimum wage to $15 per hour, which would require exemption from Pennsylvania’s uniformity clause.

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Mayor Parker Signs Executive Order Formalizing HOME Initiative

Mayor Cherelle Parker signed an executive order to spur residential development, officially kicking into gear her Housing Opportunities Made Easy (HOME) plan to create and preserve 30,000 housing units, which was unveiled earlier this month.

City Council to Investigate Water Main Breaks, Art Therapy

During Thursday’s meeting, the City Council committed to investigate recent water main breaks and sinkholes in District 7 and the use of art therapy programming as a means to treat substance use disorder and mental illness. Councilmember Cindy Bass (District 8) also introduced bills that would add the improper sale of tobacco to the City’s list of “nuisance conditions” and require businesses violating state tobacco laws to post signage indicating they cannot sell tobacco.

Kensington Drug Crackdown Shows Early Progress, Challenges Remain

Philadelphia’s crackdown on Kensington’s open-air drug market has led to declines in shootings and homicides, though some drug activity has shifted to new areas. The City aims to streamline treatment through the new Kensington Wellness Support Center and Neighborhood Wellness Court to improve long-term recovery outcomes.

City Council Pushes for Increased Vision Zero Funding

Despite millions spent on traffic safety, Philadelphia has continued to see more than 120 traffic deaths annually. To combat the high number of fatalities, the City Council is considering a $5 million budget increase to Vision Zero to expedite road safety improvements.

Upcoming Committee Hearings

Philadelphia City Council holds several public hearings throughout the legislative calendar year. Watch here.

  • The Streets & Services Committee will meet on Monday, March 3 at 1:30 p.m. to examine the City’s response to illegal dumping and hear testimony regarding potential improvements to monitoring and enforcement efforts.
  • The Joint Committees on Public Safety and Legislative Oversight will meet on Tuesday, March 4 at 10 a.m. to discuss and hear testimony regarding what actions are needed to significantly reduce the Philadelphia prison population and permanently close the Detention Center.
  • The Public Health & Human Services Committee will meet on Tuesday, March 4 at 2 p.m. to discuss and hear testimony regarding the prevalence of vaping among children and the effectiveness of current enforcement efforts.
  • The Environment Committee will meet on Wednesday, March 5 at 10 a.m. to evaluate progress on the implementation of the Philly Tree Plan and hear testimony regarding additional policies that could promote the City’s sustainable greening goals.

Around Town

Shallow Rent Program for Low-Income Renters Faces Uncertain Future

Philadelphia’s shallow rent program, which has provided rental assistance to low-income residents for the past five years, is set to expire. Housing advocates are urging the City to extend and expand the program, citing its success in preventing evictions and homelessness.

Trump Admin. Fires 400 Philadelphia IRS Workers

The Trump administration terminated approximately 400 Internal Revenue Service (IRS) employees in Philadelphia, generating concerns about the potential impact on tax season and government services.

Philadelphia Federal Detention Center to House ICE Detainees

Philadelphia’s Federal Detention Center plans to house up to 125 U.S. Immigration & Customs Enforcement (ICE) detainees as part of President Donald Trump’s push for more arrests and deportations, a move that has drawn criticism from immigrant advocates and local leaders.

2025 PHS Philadelphia Flower Show Opens This Weekend

The Pennsylvania Horticultural Society’s (PHS) 2025 Philadelphia Flower Show, “Gardens of Tomorrow,” opens this weekend, featuring stunning floral displays, a “visionary” two-level garden, and an innovative multimedia experience. Philadelphia’s 2026 FIFA World Cup host city poster will also be unveiled at the Flower Show on Wednesday.

SEPTA Rolls Out New Navigation System

This week, SEPTA began implementing its new navigation system, renumbering all bus routes and assigning letters to rail transit lines to improve clarity and make the network more user-friendly.

PPA to Use AI Cameras for Ticketing Illegal Parking in Bus Lanes

The Philadelphia Parking Authority (PPA) announced that artificial intelligence (AI) cameras will be installed on SEPTA buses to issue tickets for cars illegally parked in bus lanes, starting in the spring. A 2023 pilot program reported over 30,000 violations in Center City alone.

Hamilton Hall Sold to Scout for Artist Workspaces, Subsidized Housing

Hamilton Hall, a former University of the Arts building, was sold to Scout — the Philadelphia development and design firm behind the Bok Building revamp — for $12.25 million, with plans to repurpose the building for artist workspaces and subsidized apartments, continuing the Avenue of the Arts’ legacy of supporting Philadelphia’s creative community.

Delaware River Named PA’s 2025 River of the Year

The Delaware River won Pennsylvania’s 2025 River of the Year title, earning a $15,000 grant to fund year-long celebrations and activities. This marks the river’s third win, highlighting its historical and ecological significance.

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