Wednesday, April 16, 2014
Inquirer Daily News

City moves forward with possible PGW sale

City Budget Director Rebecca Rhynhart today told the city's financial oversight board that the Nutter administration plans to hire a financial advisor to guide them through the potential sale of the Philadelphia Gas Works.

City moves forward with possible PGW sale

City Budget Director Rebecca Rhynhart today told the city's financial oversight board that the Nutter administration plans to hire a financial advisor to guide them through the potential sale of the Philadelphia Gas Works.

A Request for Proposals for the job will go out in the next few weeks, Rhynhart told the Pennsylvania Intergovernmental Cooperation Authority, though she stressed that the city was still early in this process. A consultant hired by the city estimated that the sale of the 175-year-old utility could net the city as much as $496 million in profit.

Mayor Nutter has said the city would only consider a deal if certain conditions were met, like the buyer honoring programs for low-income residents and current labor contracts. He held a press conference last month to announce that the city would start exploring the sale of PGW. (Here's a link to a Bloomberg story on that announcement.)

UPDATE, 6:30 p.m.

Keith Holmes, business manager for UWUA Local 686, which represents PGW workers, just sent us a statement slamming the adminstration's plans to hire an advisor.

"The membership of Utility Workers Union of America Local 686 stands firmly against the sale of Philadelphia Gas Works and questions why the city is spending even more limited taxpayer dollars on yet another outside consultant to explore the feasibility of a sale," Holmes said in the statement.

About this blog
Chris Brennan, a native Philadelphian and graduate of Temple University, joined the Daily News in 1999. He has written about SEPTA, the Philadelphia School District, the legalization of casino gambling, state government, the mayor, the governor, City Council and political campaigns. E-mail tips to brennac@phillynews.com
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Jenny DeHuff is a 2005 graduate of the University of Rhode Island, where she cut her teeth in journalism. A South Philly transplant from New England, she joined the Daily News City Hall Bureau in 2013. For the past several years, she has worked as an investigative reporter exposing corruption in suburban politics, covering sometimes ghastly criminal court cases and following the people’s money and how its spent. In addition to being a dogged news hound, she enjoys reading and writing about travel, animals, Irish whiskey and aviation. E-mail tips to dehuffj@phillynews.com
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Sean Collins Walsh is from Bucks County and went to Northwestern University. He joined the Daily News copy desk in 2012 and now covers the Nutter administration. Before that, he interned at papers including The New York Times, The Dallas Morning News and The Seattle Times. E-mail tips to walshSE@phillynews.com
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