City Budget
Another legacy of former mayor John Street is on its way out the door. A large city-funded non-profit organization that oversees youth violence reduction and after-school programming has decided to disband. The Nutter administration must now find a replacement organization by the end of June. Philadelphia Safe and Sound has been embroiled in controversy since Mayor Michael Nutter took office in January.
By Susan Phillips
Listen Now [1 minute 9 seconds]
WHYY News, April 24, 2008
The agency's $54 million no-bid contract is one of the largets in the history of the city. That raised some flags for Health Commissioner Donald Schwarz.
"The administration was concerned that so many dollars were put out to a single source without being vetted more widely," said Schwarz.
The issue was complicated even further when, back in January, Nutter realized that the previous administration had promised the organization funds that didn't exist. This led to inquiries and accusations that Philadelphia Safe and Sound had high overhead costs and an inflated staff.
Not so, according to chairman of the board Ernest Jones.
"I don't think any other non-profit in the city can say that they can administer a program of this size," said Jones. "This whole issue of feather bedding is false."
Jones said that administration costs for Safe and Sound are 5 percent of their total budget but a recent audit by the Pennsylvania Department of Public Welfare put that figure at 17 percent.
The negative publicity of the audit combined with the city's decision to put the contract out to bid led to the board's decision to disband.
Additional Information
Inquirer Editorial: Safe and Sound - Over and Out
Inquirer: Safe and Sound closing causes scramble
Daily News: City wonders? What should replace Safe and Sound?
Daily News Editorial: Current system is neither safe nor sound
Inquirer: Youth agency decides to close
Daily News: Safe and Sound votes to disband itself
Inquirer: City youth program with ties to Street to fold
|