    [From the U.S. Government Printing Office, www.gpo.gov]

                         DELAWARE COUNTY PLANNING DEPARTMENT

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                                                                    INTEGRATED
                                                             DEVELOPMENT
                                                                          STRATEGY

                                                                             DECEMBER 1984

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                              CZM INTEGRATED DEVELOPMENT STRATEGY

                  The completion of a redevelopment strategy for a portion of the
                  Chester waterfront area in the Delaware County coastal zone as part
                  of the implementation of the Pennsylvania Coastal Zone Management
                  Program.

                                  Delaware County Planning Department
                                           Lima, Pennsylvania
                                             December, 1984

                  The preparation of this report was financed through the Pennsylvania
                  Coastal Zone Management Program under provisions of the Coastal
                  Zone Management Act of 1972, administered by the Division of Coastal
                  Zone Management, Bureau of Water Resources Management, Pennsyl-
                  vania Department of Environmental Resources.

                                         DELAWARE COUNTY COUNCIL

                                           Frank J. Lynch, Chairman
                                       W. Curtis Weldon, Vice-Chairman
                                               Nicholas F. Catania
                                               Edwin B. Erickson
                                              Thomas M. Hayward

                                  DELAWARE    COUNTY EXECUTIVE DIRECTOR

                                               Matthew J. Hayes

                                 DELAWARE COUNTY PLANNING COMMISSION

                                      Thomas J. O'Brien, AIA, Chairman
                                       Thomas J. Judge, Vice-Chairman
                   Samuel E. Burdett     W. Andrew Wright, Secretary          Darrell B. Lewis
                   William K. Davis, AIA                                      John G. Moyman
                   Frank Facciolo                                              Jane W. Nason

                                 DELAWARE COUNTY PLANNING DEPARTMENT

                                          William C. Payne, Director,
                                               Community Planning
                                       John E. Pickett, AICP, Director,
                                                County Planning

                                        Michael T. Trio, Project Planner

                                    Lois A. Binder, Senior Planner & Editor
                                             Carol Murdock, Planner
                                               John Ward, Planner
                   Doris K. Cusano                                       Janice A. Richardson
                   Kathleen A. Mylett                                         John E. Shenkle
                                                Megan M. Tarone

                                    DELAWARE COUNTY PARTNERSHIP FOR
                                   ECONOMIC DEVELOPMENT - TASK FORCE

                                          W. Curtis Weldon, Chairman
                                     Henry F. Thorne, Jr., Vice-Chairman
                                        Wilbur C. Henderson, Secretary
                   Boyd F. Baldwin        Robert J. Bruce, Treasurer            Jack E. Miller
                   Marvin E. Berger                                           Clarence R. Moll
                   Nicholas F. Catania                                      William J. Monteith
                   Edwin B. Erickson                                       Francis V. Mulcahy
                   Frank J. Fitzpatrick, Jr.                                Thomas J. O'Brien
                   Frank J. Lynch                                        C.. Joseph O'Donoghue
                   Arthur J. Megraw                                        Malcolm B. Petrikin
                                              Rufus F. Walker, Jr.

                                          ACKNOWLEDGEMENTS

                  The Delaware County Planning Department greatly appreciates the
                  assistance of the following individuals who contributed inform ation in
                  the preparation of this strategy.

                                      Anthony R. DiArenzo, Conrail
                                 Anthony Dunleavy, Direction Associates
                        Kerry Dyer, Delaware County Economic Development Center
                              David Freedman, Philadelphia Electric Company
                      George Kellogg, Delaware County Economic Development Center
                               Thomas Kleim, Philadelphia Electric Company
                                     Robert Klumbp, PQ Corporation
                                Michael Klumpp, Esq., National Homes Inc.
                                     James Lynn, Ryan Homes, Inc.
                            Steven Merriken, Chester City Planning Commission
                           Leedom Morrison, Chester City Planning Commission
                              Carol Poleo, Chester City Planning Commission
                                         Carl Russell, RDC, Inc.
                                      David Sciocchetti, RDC, Inc.
                  William Tancredi, Esq., Delaware County Industrial Development Authority
                    Chris van de Velde, Delaware County Economic Development Center
                                    Stacia Wallace, Cardinal Industries

                                                    TABLE OF CONTENTS

                                                                                                   PA GE

                      CHAPTER ONE
                      INTRODUCTION            ........................................                 1
                            Purpose     ...................       0.....0   ...0....    *...0......    1
                            Selection Process for the IDS Study Area                    ......         I
                            Definition of the IDS Study Area          ..........        ......         3

                      CHAPTER TWO
                      GOALS AND OBJECTIVES                 ....   0.........0...............           6

                      CHAPTER THREE
                      EXISTING CONDITIONS           ............
                            Historical Overview     .........     04 ......             ...........    9
                            Demographic Characteristics           ..................    *.. 0 ...      9
                                  Socio-Economic Characteristics      ..... **..*       ..........     10
                                        Population  ...................................                10
                                        Racial Composition                  ... 0.. 0   ... *.. 0.. 0. 12
                                        Age Distribution          ... 0.....................           12
                                        Sex Structure      .......0   ......................           13
                                        Educational Attainment        ...   0...        0...0...0....  13
                                        Income      ........      9...0.......* ...                    13
                                        Employment         ...    0......   ............ 0 ...         14
                                  Housing Characteristics         ....                  .....          15
                                  NIA Characteristics .... o. o..                                      16
                                  Summary     ...........                                ....          17
                            Land Use    .............                                                  17
                                  Methodology                               .........   ......         17
                                  Industrial Development Impact Area        ...                        19
                                        Industrial Use     .........                                   19
                                        Residential and Neighborhood Commercial
                                              Uses o.. . * o. *   ..... o...* .....     *..... o.e.    22
                                        Recreational and Institutional Uses             ..........     23
                                  Neighborhood Impact Area                                             24
                                        Residential and Neighborhood Commercial
                                              Uses .. s *.**.*                          .....*.....    24
                                        Industrial and Heavy Commercial Uses            .....          25
                                        Recreational Use          .........................            25
                                        Institutional Use         ......    *......     *.........*    27
                            Zoning      ........  6 ..........                          ........       27
                            Transportation     ................................         o.......       29
                                  Highways     ...........                  ..............             29
                                        Existing Network          .......   0.....                     29
                                        Access Problems           .........................            35
                                        Possible Improvements         ..*   .................          35
                                        Programmed Projects           ....  0.........  0.....         36
                                        Bus Transportation        ........................             37
                                  Rail  Transportation     .........  *.oo.oooo         ... o..o ....  37
                                        Commuter Service          ...       .......     o.......  o**  37
                                        Freight Service                       ..............           37

                                                       TABLE OF CONTENTS
                                                              (Continued)

                                                                                                          PAGE

                                    Water Based Transportation         ..............................        38
                                    Pedestrian Network        .......    ............................        38
                             Utilities    ...........................................................        39
                                    Water Supply       ..............................................        39
                                    Sewer Service      ..............................................        39
                                    Gas and Electricity Service       ...............................        39
                                    Solid Waste Management        ...................................        40

                       CHAPTER FOUR
                       ANALYSIS OF PROBLEMS AND OPPORTUNITIES                                                41
                             Industrial Development Impact Area       .............................          41
                             Neighborhood Impact Area           ...................................          43

                       CHAPTER FIVE
                       ECONOMIC REVITALIZATION PROGRAMS          ..................................          46
                             Types of Financing.                 ...........                                 46
                                    Venture Capital           .....................................          46
                                    Debt Capital       ............................................          47
                                    Governmental Assistance Programs             ..................          47
                             Sources of Financial Assistance               ........................          47
                                    Bank Financing           ......................................          47
                                    Private Financing         .....................................          49
                                    Governmental Financing          .......................                  49
                                          Federal Programs          .........................                49
                                                 Small Business Administration          ..........           50
                                                 Economic Development Administration              ....       51
                                                 Department of Housing and Urban De-
                                                       velopment.    ........................                54
                                                       Community Development Block
                                                              Grant Program     ........................     54
                                                       Urban Development Action Grant
                                                              Program      ............................      54
                                                       Housing Development Action
                                                              Grant Program ...,        ..........           55
                                                       Section 108 Loan Program         ..........           56
                                          State Programs      ............   0  ...................         56
                                                 Department of Community Affairs ...................         57
                                                 Department of Commerce          ....................        58
                                                       Small Business Incubator Loan Pro-
                                                              gram  ............................             59
                                                       Seed Capital Fund Program     .................       59
                                                       Pennsylvania Capital Loan Fund
                                                              Program      ..................                60
                                                       Business Infrastructure Develop-
                                                              ment Program       ...............             60
                                                       Minority Economic Development Pro-
                                                              gram  .....................................    61

    									ii

                                                                       TABLE OF CONTENTS
                                                                               (Continued)

                                                                                                                                         PAGE

                                                                       Employee Ownership Assistance
                                                                               Program          ....................                         61
                                                                       Summary          .........................                            62
                                     Manpower Programs                 ...................................                                   62
                                              Private Industry Council                  .........................                            62
                                              Delaware County Intermediate Unit                               ...  so ... so..               63
                                              Delaware County Office of Employment and
                                                      Training ... o          ....  o*o..o    .........      o o o o . . o.....              63
                                              Customized Job Training Program                           .....      o...   o.....             63
                                              Ben Franklin Partnership                 .....   o o  ..............                           63
                                              Summary .         ...    o.......    o.......    o  ...  o ......    0 0 . . 0                 64
                                     Overview of Local Economic Development Organiza-
                                              tions. . .  .........      ooo   ..........      o......     o..o    ....   o....              64
                                              Delaware County Partnership for Economic De-
                                                      velopment . . o       .....   0*00.0     .....   0.00000.0      .......                64
                                              Delaware County Economic Development Center                                 ....               64
                                              Delaware County Industrial Development Corpora-
                                                      tion .    ...    o.............       o .......     o...     o....  o ....             65
                                              Delaware County Industrial Development Au-
                                                      thority          ... o . 6 ........     o  .....  o . o . o . o........                65
                                              Summary of Publicly Funded Organizations                                    o..o               65
                                              RDC, Inc.                ..........      o  ........................                           66
                                     Overview of Assistance Organizations in Chester                                                         66
                                              City Agencies ...              ................................                                66
                                              Better Housing for Chester                         ............       o ...                .   66
                                              For the People, Inc.                      ... ...    o .............                           67
                                              Chester Community Improvement Project                                ..........                67
                                              Community Support Corporation                               so  ............                   67

                             CHAPTER          SIX
                             INTEGRATED DEVELOPMENT STRATEGY AND IMPLEMENTA-
                                     TION ACTIVITIES                   .............                                      o                  69
                                     Industrial Park Development Strategy                                ...........                         70
                                     Neighborhood Improvement Strategy                                   ...............                     73
                                     Conclusion                 ........................................                                     75

                             BIBLIOGRAPHY                       ....   o...................................                                  78

                             APPENDIX A - SELECTION PROCESS INFORMATION                                                   .....              A-1
                             APPENDIX B -             EXISTING LAND USE AND CONDITIONS
                                     MAP      ........................                so.. o  ........       so.*  .........                 B-1
                             APPENDIX           C - STANDARD INDUSTRIAL CLASSIFICATION
                                     CODE             ......    I ........................                o  .............                   C-1
                             APPENDIX           D -   LIST OF INFORMATION SOURCES                                  ..........                D-1
                             APPENDIX           E -   INDUSTRIAL MODEL DEVELOPMENT CON-
                                     CEPT       FOR THE IDS WESTERN ANCHOR                               ...............                     E-1
                             APPENDIX           F - NEIGHBORHOOD IMPACT AREA VACANT AND
                                     DILAPIDATED PROPERTIES BY ADDRESS                                             .........                 F-1

                                                      LIST OF TABLES

                     TABLE                                                                        PAGE

                       I         Age Distribution: 1980        ......       ..............           12
                       2         Income Characteristics: 1980        ..............     o ...        13
                       3         Employment Characteristics: 1980           - ....o ... ....         14
                       4         Description of Existing Activities at the River-
                                       bridge Industrial Center, 1984                                20
                       5         Firms Utilizing Remaining Minor Parcels in the
                                       IDIA  ...... o.............   o ...... oi .... - ....         21
                       6         Major Contracting and Manufacturing Firms Adja--
                                       cent to the IDS Study Area          o-   .........            22
                       7         Inventory of Existing Recreational Facilities in
                                       Chester City      ..............   09 .... 0 0 0 0 . 0...     26
                       8         Existing IDS Area Zoning            ...0 ...... 00 ......           30
                       9         Programmed Transportation Improvements                .0.#.         36
                       10        General Criteria Matrix - Small Business Adminis-
                                       tration Loan Programs         ....................            52
                     E-1         Manufactured Structures Plant: Inventory of Data.                   E-2

                                                       LIST OF MAPS

                     Map   Number                                                                  PAGE

                           I           Regional Setting                                                2
                           2           Study Area                    ..............                    4
                           3           Demographic Study Area        .........                       11
                           4           Existing Land Use       .... 0 . . 0 . 0 0 0 ......  Soo.*..  18
                           5           Zoning Districts        .......................               28
                           6           Transportation Network                                        34
                           7           Proposed Enterprise Development Area..o..                     44
                           8           Future Land Use         ....... oo  ....... o . o ... o o .   77

                                                     LIST OF EXHIBITS

                     Exhibit

                         A             NIA Redevelopment Scheme                         .... Back cover

                         B             LCA Reuse Model         .........................     Back cover

                                                              iv

                                  CHAPTER 1

                               INTRODUCTION

                        LAW16

                   CHAPTER ONE
                   INTRODUCTION

                   Purpose

                        The focus of the County's economic        revitalization effort in the
                   coastal zone over the past few years has       been on five major under-
                   utilized or vacant industrial sites. Specific site reuse and implementa-
                   tion strategies were developed for each of these sites as part of the
                   CZM Industrial Sites Study of 1982 (Phase      II Study). The Integrated
                   Development Strategy (IDS) is 'a tool for the implementation of recom-
                   mendations set forth in this study for one of these sites, LCA Leasing,
                   and a logical expansion of this effort to the surrounding area. The
                   purpose of, this report is to present a strategy to be utilized as a guide
    14             for revitalization of a section of the industrial river corridor and for re-
                   juvenation of the adjacent neighborhoods (see Map 1). It is also antici-
                   pated that the methodology behind this strategy will be applicable to
    All            Delaware County as a whole.

                        This report will designate industrial    "anchor sites" as pilot cores
                   for economic development. These sites and     the linking land area will be
                   evaluated to explore their problems and       opportunities fDr redevelop-
                   ment,   Along with the immediate anchor sites themselves, the neigh-
                   boring industrial parcels will be examined to determine the health and
                   stability of these activities.   Analysis of the interrelationships among
                   the remaining industrial, commercial, and     residential uses will be per-
                   formed and a strategy for private and public sector improvements will
                   be developed.     With an overall view of these anchor sites and the
                   surrounding study area, improvements to various land use con-
                   figurations and transportation patterns can be recommended to provide
                   private and public sector incentives for revitalization.       Various state
                   and federal funding programs such as Community Development Block
                   Grants (CDBG) and Urban Development Action Grants (UDAG) can also
                   be utilized in this area.

                   Selection Process for the IDS Study Area

                        The selection process for the IDS study area involved designation
                   of geographical combinations of sites examined in the previous CZM
                   Industrial Sites Study.    The sites included Little Tinicum. Island Road
                   and   the     Carbide/Conrail  properties    in  Tinicum    Township,     the
                   Baldwin-Lima7Harnilton site    in Eddystone Borough, the Riverbridge
                   Industrial Center and LCA Leasing (RIC/LCA) properties in Chester
                   City, and the Marcus Hook      Development Park in Marcus Hook Borough.

                        The selection process     examined various economic, programmatic,
                   and infrastructure criteria which made it possible to rank or prioritize
                   each candidate study area (see Appendix A). The criteria demonstrated
                   that the RIC/LCA area possessed the greatest opportunity for positive
                   impacts.   These factors can be summarized by the following points:

                        1)    The area was designated as a 11geographical area of particular
                              concern" by the Pennsylvania Coastal Zone Management Pro-
                              gram.

                                                                                                                                  MAP 1

                                                                                                        Regional                Setting

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                                                                                                    CAMDEN

                                                                                 GLOUCESTER

                          2)   The revitalization and marketing of RIC by the               Delaware
                               County Economic Development Center (EDC) could result in an
                               increase in the number of manufacturing jobs available.

                          3)   The IDS area is within a proposed enterprise development
                               area.   As a result, Chester anticipates that it will see a
                               positive impact on job generation.       Although funding has not
                               previously been targeted to the IDS area, this situation will
                               enhance the opportunity for "sweat equity" and the rehabilita-
                               tion of adjacent neighborhoods and businesses. The enterprise
                               development program is discussed in Chapter 5.

                          4)   The City of Chester and the Philadelphia Quartz (PQ) Cor-
                               poration have obtained a UDAG for $5 million.              The joint
                               venture between PQ and the Degusse Corporation of Germany
                               involves the construction of a $25 million chemical plant
                               located at Front and Lamokin Streets.

                          5)   The City of Chester qualifies for various funding programs
                               targeted for minorities, such as the Small Business Adminis-
                               tration (SBA) minority program, which will provide accessible
                               monies to individuals for commercial and residential revitaliza-
                               tion.

                          6)   A plan for this particular area will serve as a model for other
                               areas in the City.       Implementation can be sought through
                               various technical support entities and through funding from
                               both the public and private sectors.

                          7)   An adequate transportation and utility infrastructure which
                               includes programmed improvements to Route 291, close proxi-
                               mity to regional linkages, access to water borne shipping,
                               and an existing water, sewer, and power grid is in place.

                          8)   Phase I construction of the Commodore Barry Bridge boat
                               launch has been completed, and the facility was opened for
                               use on October 30, 1984.          This facility was designed with
                               CZM funds and constructed with Pennsylvania Fish Commission
                               and Department of Community Affairs (DCA) Coastal Energy
                               Impact Program (CEIP) funding.          CEIP funding is provided
                               specifically for coastal public access projects developed in
                               areas where public access to the waterfront has been signifi-
                               cantly impacted by coastal energy development. A primary aim
                               of this project is to provide a recreational opportunity on the
                               Delaware River. Interest and commitment from state agencies
                               to provide recreational access to the river will bring a stabi-
                               lizing activity to the study area.

                    Definition of the IDS Study Area

                          The  IDS study area is comprised of two component sectors which
                    shall be called 1) the Industrial Development Impact Area (IDIA) and 2)
                    the Neighborhood Impact Area (NIA).              The boundaries of the two
                    sub-sectors are illustrated on Map 2.

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            Integrated                                         STUDY AREA
            Development                                Industrial Development Impact Area

                                                   .........
                                                                            -pact Area                            SCALE
           Strategy
                                                        Neighborhood In
           BASE MAP: PENN DOT 1982                                                                              1   1100,

                         The IDIA is defined as 'the sector of the IqS which encompasses
                   the land area within the coastal zone boundary           (basically following
                   Second Street (Route 291)) between the eastern anchor site, RIC, and
                   the western anchor, LCA Leasing Corporation.           This area is charac-
                   terized by large industrial or warehousing land assemblages with limited
                   manufacturing activities currently in operation.      This industrial area is
                   made up of approximately 255 acres, much of which is vacant. Within
                   this area, approximately seven city blocks are occupied by residential
                   uses.    This area, bordered by Front, Flower, Second, and Fulton
                   Streets, is generally a combination of residential, commercial, and
                   vacant parcels. Marginally sound structures are generally interspersed
                   with vacant and dilapidated "bombed out" building shells. Surrounding
                   areas also contain vacant lots where demolition has taken place. Many
                   of the vacant lots are utilized for parking, scrap yards, and other
                   automotive oriented activities.

                         Because the IDIA is heavily industrial in nature, it does not
                   provide ample opportunity to evaluate the effects of increased industrial
                   development on adjacent and supporting land uses. Consequently, in
                   order to provide a more comprehensive assessment of the area and to
                   show how changes in one sector of a community can impact other sec-
                   tors, the second sub-sector of the IDS was established. It is identified
                   as the NIA and is made up of the portion of census tract 4057 west of
                   the Commodore Barry Bridge (block groups 2, 3, and 4). This area has
                   been established to provide a model area in which to assess the effects
                   of revitalization at the anchor sites and linking areas on the adjacent
                   residential neighborhood.

                         As defined by the "Commonwealth of Pennsylvania Coastal Zone
                         Management Program and Final Environmental Impact Statement,"
                         August, 1980

                                                        -5-

                                     CHAPTER 2

                         GOALS AND OBJECTIVES

                                 IRA
                INSEAM

                  CHAPTER TWO
                  GOALS AND OBJECTIVES

                        To provide direction for development of the planning strategies
                  within the IDS area, specific goals and     'objectives to guide redevelop-
                  ment activities have been formulated. Specific issues can be addressed
                  through goal formulation and the steps required for their implementa-
                  tion.

                        The coastal zone of the City of Chester is representative of many
                  older cities in the northeastern portion of the nation.          The rapid
                 -industrial growth of the early and mid-twentieth century is reflected
                  in Chester by the haphazard development patterns present there.
                  Development pressures precluded a systemized definition of goals
                  resulting in conflicting uses and overcrowding of land area.        Due to
                  shifts in economic activity, the once thriving and wealthy City which
                  employed a significant portion of the regional work force has lost much
                  of its basic economic activity. The existence of obsolete facilities con-
                  flicting land uses, and a low-income population has made redevelopment
                  in the City a difficult matter.

                        In light of these characteristics the following goals and objectives
                  have been formulated to provide a strategy to exploit the opportunities
                  present in the study area.       In this manner, a specific process for
                  the redevelopment and rejuvenation of the study area should provide
                  greater opportunity for economic recovery and increased employment
                  in the IDS and Chester coastal zone area.

                  Goal #1

                        Develop and maintain a business climate that is beneficial to the
                  successful operation of a range of industrial activities so as to provide
                  a variety of employment opportunities for local residents.

                  Objectives

                        �    Support existing industrial, activities by implementing economic
                             assistance programs, including relocation, targeted to achieve
                             a more favorable business climate.

                        �    Provide a package of incentive programs to furnish motiva-
                             tion for location of new industrial companies.

                        �    Establish a resource pool of public agencies and private
                             sources with programs and/or funding that could be used to
                             improve the industrial conditions in the study area.

                  Goal #2

                        Identify deficiencies and provide improvements to the existing in-
                  frastructure network in the study area.

                                                      -6-

                  Objectives

                         0   Develop and coordinate programs which will upgrade water,
                             sewer, and other utility service systems.

                         0   Implement existing plans for Alternative #4 of the Route 291
                             reconstruction which is supported by Chester City, the Dela-
                             ware County Planning Commission (DCPC), and the Penn-
                             sylvania Department of Transportation (PennDOT).

                         0   Ensure sufficient parking areas to provide easy access for
                             residents and employees within the study area.

                         0   Minimize truck invasion into residential neighborhoods.

                         0   Provide for safe and convenient access to all parts of the
                             study area by pedestrian and bicycle movement.

                         0   Encourage use of all available mass transit routes.

                  Goal #3

                         Encourage a mix of residential and service oriented land uses in
                  the adjacent NIA to provide a healthy environment to adequately serve
                  the residents and employees of the area.

                  Objectives

                         0   Require that a substantial amount of new construction be tar-
                             geted to low and moderate income families.

                         0   Eliminate the impact of unhealthy, competitive land uses within
                             the study area.

                         0   Establish and maintain transitional land uses that will effec-
                             tively separate and sufficiently buffer industrial uses from
                             adjacent neighborhood activity.

                         0   Clean up existing park areas and obtain new active recrea@-
                             tional spaces to be utilized by residents and employees.

                  Goal #4

                         Improve the physical (aesthetic) appearance of the study area.

                  Objectives

                         0   Identify sources to renovate or raze deteriorated structures.

                         0   Provide street improvements such as landscaping and street
                             furniture that will augment public places.

                         0   Adjust regulatory controls to promote signage improvements.

                                                      -7-

                  Goal #5

                      Establish a promotional program to ensure that the future environ-
                 ment for industrial and neighborhood activities is healthy.

                   Objectives

                      0     Develop and implement a sound industrial development ad-
                            vertising program for the anchor sites.

                      0     Make known the services available for use by prospective
                            employers and employees.

                      0     Alter the negative perception of the Chester waterfront,
                            and convince industrial organizations that unrealized oppor-
                            tunities are present in the study area.

                                                    -8-

    t
    I
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    I                                           CHAPTER 3
    1                             EXISTING CONDITIONS
    I
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                    CHAPTER THREE
                    EXISTING CONDITIONS

                         For the purpose of forecasting the possible effects of increased
                    industrial activities at the RIC/LCA anchors, a brief historical back-
                    ground along with a survey of the existing conditions will e       xpose the
                    problems and opportunities of the strategy area.            By providing a
                    breakdown of demographic, land use, zoning, transportation, and
                    infrastructure characteristics, these factors will serve as a benchmark
                    from which to establish possible future interrelationships among the
                    various land use and economic activities.

                    Historical Overview

                         Chester is the only city located in Delaware County. Its develop-
                    ment can be traced as far back as the early 1700's when its proximity
                    to the Delaware River made the area an important transportation center.
                    The dependence on river access dictated the types of heavy industries
                    which have developed in Chester since they were supported by this
                    mode of transportation.      Also, the availability of raw, undeveloped
                    land supported unchecked expansion.

                         Heavy industrial expansion continued through the next two cen-
                    turies and was fueled by an expanding population of immigrants who
                    supplied the labor force.     In the twentieth century, the demands of
                    the industrial revolution and two world wars continued to provide a
                    huge demand for the labor force.          Industrial  growth resulted in a
                    surge of population, made up primarily of the immigrant, blue collar
                    work force employed by these industries along the waterfront.              The
                    manufacture of war products such as tanks and aircraft in the 1940's
                    gave way to consumer goods such as automobiles        and washing machines
                    in the boom years of the 1950's and 19601s, when low financing and
                    suburban growth made money easily obtainable.           During this period,
                    Chester experienced overcrowding and misuse            of residential living
                    space.   This created congested land use patterns in the adjacent
                    neighborhoods with no delineation of districts.

                         With the recession of the early 1970's, high labor costs, and con-
                    flicting land uses, manufacturing activities which had a long, profit-
                    able history in Chester began declining.           This resulted in either
                    bankruptcy or a relocation to the growing sun-belt states where regu-
                    lations and labor costs were minimal.       As a result, Chester has been
                    left in a condition of abandonment.        The once large industrial, tax
                    in come- producing parcels are now vacant, and the once healthy neigh-
                    borhoods are dilapidated and occupied for the most part by unskilled,
                    unemployed residents.      Presently, this population has limited oppor-
                    tunity for change or concern about neighborhood improvement.

                    Demographic Characteristics

                         An analysis of the demographic and socio-economic composition of
                    the IDS area provides the necessary framework for identifying and
                    understanding the area's problems and for developing plans and policies
                    t
                    o address those problems.       The majority of land in the IDS area is

                                                         -9-

                   comprised of industrial and mixed residential/ commercial properties.
                   Given that the IDS Study is concerned not only with the industrial
                   sector but also with the relationship between the industrial corridor and
                   its adjacent neighborhoods,- -a demographic study area (DSA) was cre-
                   ated for the purpose of demographic analysis.

                         The creation of this DSA was based on the logical interrelationship
                   between the riverfront area and the neighboring residential areas. As
                   such, it includes both the IDIA and the NIA. Also taken into consider-
                   ation were municipal boundaries, major edges, census geography, and
                   recognized neighborhoods. The DSA is bounded by the Chester City/
                   Trainer municipal border to the west, the Delaware River to the south,
                   Chester Creek to the east, and the Penn Central Railroad to the north.
                   The area's boundaries also coincide with two neighborhoods (Flower
                   West and Flower East) that were designated by the Chester City Plan-
                   ning Commission and the U.S. Census Bureau for the Bureau's Neigh-
                   borhood Statistics Program.        Also important, particularly for the
                   purpose of demographic analysis, is the fact that the DSA follows
                   census tract boundaries. The study area is comprised of the following
                   census tracts: 4055, 4056, 4057, 4058.01, 4058.02, and 4059. Included
                   within the DSA are Neighborhood Strategy Areas (NSA's) 3, 4, 5, and
                   6. These NSA's were designated by Chester City during an           analysis of
                   the City Is community development and housing needs. Those         areas with
                   the highest concentration of needs and containing populations      of over 50
                   percent low-income persons were designated as NSA's and            are, as a
                   result, target areas for the City's community development          funds and
                   programs.    Please refer to Map 3 for a graphic display of the DSA
                   and the various geographic entities incorporated within it.

                         The following demographic profile of the DSA will, in as much as it
                   reflects the IDIA and its adjacent neighborhoods, provide an accurate
                   representation of the composition and characteristics of the area.        The
                   following information is based on 1980 census data which is, at the
                   present time, the most accurate and comprehensive source of data.
                   While the figures are several years old, they reflect the relative posi-
                   tion of the DSA population vis-a-vis the County and Chester City as a
                   whole.

                   Socio-Economic C  haracteristics

                         Population

                         The DSA has a population of 8,980 which represents a 28.4 per-
                   cent decrease over the ten year period from 1970 to 1980.                 Both
                   Chester City and the County also experienced a decrease in population
                   during the decade; however, it was not as significant as in the DSA.
                   Chester City's population decreased 18.7 percent while the County's
                   population declined 8.0 percent.        In relation to Chester City as a
                   whole, the DSA comprises approximately 19.6 percent of the City's total
                   population while Chester City's population represents 8.2 percent of the
                   total County population.      Virtually all of the population in the DSA
                   resides north of Front Street with the southern portion of the DSA
                   (tracts 4056 and 4059) devoted almost exclusively to industrial/ water-
                   front type activities.    This situation existed in 1970 but is even more

                                                       _10-

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                  evident in 1980 with the population south of Front Street declining from
                  121 persons in 1970 to 37 persons in 1980.

                       Racial Composition

                       The composition of the DSA population is 85.0 percent black and
                  14.3 percent white compared to 56.8 percent black and 41.6 percent
                  white in the City of Chester. The racial composition of the DSA has
                  remained relatively stable since 1970, particularly in comparison to the
                  City as a whole.      The black population residing within the DSA
                  increased approximately 4.0 percent while the white population in the
                  area declined by 4.0 percent.

                       During this same period, the City experienced an 11.6 percent
                  increase in the number of blacks and a 12.8 percent decrease in the
                  number of whites residing within its boundaries.      In relation to the
                  County, Chester City in 1980 contained approximately 3.8 percent of
                  Delaware County's total white population and 52.0 percent of the
                  County's black population.

                       Age Distribution

                       Age distribution in and of itself often times is not considered an
                  important demographic factor.    However, it can, when examined in a
                  certain manner, provide some general insights into the economic rela-
                  tionships of a specific area,   In particular, children and adolescents
                  under 18 years of age as well as senior citizens 65 years and older
                  are generally, in an economic sense, considered more "dependent"
                  than "productive" in their own right.    In other words, although not
                  absolute, it is generally true that the young and the elderly depend
                  upon the remaining population (ages 18-64) to provide the services
                  and the income they need for their support.         This need extends
                  beyond economics to include physical facilities such as schools, health
                  care, and public transportation.     Accordingly, it is appropriate to
                  consider the balance between the relatively "productive" and the
                  relatively "dependent" segments of the DSA. The actual proportion of
                  the two groups, as listed in Table 1, shows that the DSA has a some-
                  what unfavorable balance in relation to Chester City as a whole and
                  in particular when compared to the County's balance.

                                                  TABLE 1

                                         AGE DISTRIBUTION: 1980

                                            "Dependent" Ages            "Productive" Ages
                                           (under 18, over 64)               (18-64)

                  DSA                                45%                       55%

                  Chester City                       42%                       58%

                  Delaware County                    38%                       62%

                  SOURCE: 1980 U.S     Census

                                                   -12-

                       Sex Structure

                       The DSA has    the same proportion of females to males as the City,
                  approximately 54.0 percent -female and 46.0 percent male. 'This pro-
                  portion is slightly higher than the County's population which is
                  52.3 percent female and 47.7 percent male.         A more significant fact
                  is that of the 2,064 families in the DSA, 48.0 percent of them are
                  female-headed households.      In comparison, female-headed households
                  comprise 43.0 percent of Chester City's population and 26.8 percent
                  of the County's population. Of the 48.0 percent female-headed house-
                  holds in the DSA, 57.3 percent have children under 18 years of age.

                       Educational Attainment

                       The percentage of high school graduates in the DSA has increased
                  by 18.0 percent over the past decade, bringing the total percentage of
                  persons with diplomas to 41.0 percent. Despite this increase, the DSA
                  has fewer high school graduates than the City, which has 49.1 percent.
                  An even greater disparity exists between the DSA and Delaware County
                  where 72.3 percent of the population are high school graduates.             A
                  similar disparity exists among the number of college educated persons
                  in the DSA (3.7 percent), the City (4.9 percent), and the County
                  (18.9 percent).

                       Income

                       There are a number of measures which are commonly employed
                  when examining income characteristics of an area.          Virtually all of
                  these measures indicate that the persons residing in the DSA have
                  relatively low incomes, particularly in relation to the City and the
                  County. Table 2 illustrates evidence of this fact.

                                                    TABLE 2

                                      INCOME CHARACTERISTICS: 1980

                                                                       Chester         Delaware
                                                        DSA             City            County

                  Median Family Income                 $9,320          $14,214        $23,105
                  Per Capit'a Income                   $4,019          $ 4,984        $ 8,045

                  % of Families with
                    Low/Moderate Income                  63.4%            56.8%           30.0%

                  % of Families with
                    Incomes Below
                    Poverty Level                        34.4%            22.0%            5.7%

                  SOURCE: 1980 U.S. Census

                                                     -13-

                        Although the DSA comprises 19.6 percent of Chester City's popula-
                   tion, it contains 30.2 percent of all families in the City with an annual
                   income below the poverty level.       Meanwhile, the City of Chester in-
                   cludes 29.0 percent of all persons in Delaware County who have incomes
                   below the poverty level.

                        Employment

                        According to 1980 census statistics, 16.6 percent of the labor force
                   in the DSA are unemployed. This is a significant increase of 10.9 per-
                   cent since 1970.     In 1980, the unemployment rates for Chester City
                   and Delaware County were 12.2 percent and 5.9 percent respectively.
                   Once again, a clear disparity exists between the DSA figures and the
                   figures for the City and County.

                        51.3 percent of the DSA's population 16 years of age and over are
                   in the labor force.     In Delaware County as a whole, 60.4 percent of
                   all persons 16 years and older are in the labor force. The majority
                   of the DSA residents    are employed in service occupations with the next
                   largest occupation group in the area         being operators, fabricators,
                   and laborers.     While 61.4 percent of      all workers County-wide are
                   employed in what are considered white        collar jobs, only 30.3 percent
                   of the DSA population are so employed. Table 3 shows the breakdown
                   of persons by occupational category for      residents of the DSA, Chester
                   City, and Delaware County as a whole.

                                                     TABLE 3

                                     EMPLOYMENT CHARACTERISTICS: 1980

                                                                   Chester          Delaware
                                                         DSA           City          County

                   Managerial and Professional
                   Specialty Occupations                   8.8%      11.6%            26.2%

                   Technical, Sales, and
                   Administrative Support
                   Occupations                           21.5%       26.0%            35.2%

                   Service Occupations                   33.3%       24.8%            11.6%

                   Farming, Forestry,   and
                   Fishing Occupations                     -           0.5%             o.6%

                   Precision Production,
                   Craft, and Repair Occu-
                   pations                                 8.1%      11.7%            13.3%

                   Operators, Fabricators,
                   and Laborers                          28.3%       25.3%            13.1%

                   SOURCE: 1980 U.S. Census

                                                       -14-

                   Housing Characteristics

                        In 1980, the DSA contained 3,601 housing units, representing
                   20.2 percent of Chester City's total housing stock.         From 1970 to
                   1980, the DSA experienced- a 12.3 percent decrease in its housing
                   stock. In comparison, Chester City's housing stock decreased 4.8 per-
                   cent while the number of housing units in the County increased
                   8.7 percent in the last decade.    It is interesting to note that although
                   the housing stock within the DSA decreased during the past ten years,
                   72.6 percent of   the residents have lived in the same house for the
                   past five years.

                        In terms of housing occupancy, 1980 statistics reveal that of all
                   occupied housing   units in the DSA, 43.4 percent are owner-occupied
                   and 56.6 percent   are rent er-occupied. This differs from the occupancy
                   structure of the   City, where 53.7 percent of the units are owner-
                   occupied, and the County, where 72.1 percent of all occupied housing
                   units are owner-occupied.

                        A distinct gap also exists in housing values and rents between
                   the DSA and both Chester City and Delaware County. Owner-occupied
                   homes in the DSA are valued at $15,600, approximately $6,400 less
                   than the median value of owner-occupied units in the City as a whole.
                   The median value of owner-occupied homes in Delaware County is
                   $46,500, significantly higher than the City and the DSA.         A similar
                   situation exists regarding contract rents for those housing units that
                   are rent er-oc c upied. The median contract rent for Delaware County
                   ($277) is higher than the median rent in Chester City ($146) and the
                   DSA itself ($117).

                        A certain proportion of vacant housing units at various price
                   ranges is necessary to provide an adequate supply of housing choices
                   within an area. Generally, a 2.7 to 5.0 percent vacancy rate is con-
                   sidered to be healthy and necessary for residential mobility. Delaware
                   County's vacancy rate is a relatively healthy 3.1 percent.        In con-
                   trast, the vacancy rate in Chester City is a high 10.9 percent while
                   the vacancy rate in the DSA is an even higher and comparatively un-
                   healthy 14.8 percent.

                        Substandard housing units are, by definition, units that lack com-
                   plete plumbing facilities for exclusive use and/or units which are over-
                   crowded (1.01 or more persons per room) .         As expected, the DSA
                   has a higher proportion (9.6 percent) of substandard housing than
                   does the City (7.8 percent) or the County (2.8 percent).         26.4 per-
                   cent of Chester City's substandard housing units are located within
                   the DSA.

                        Another important factor to consider when examining housing con-
                   ditions is the age of the structure.    68.4 percent of the DSA housing
                   stock is comprised of units built prior to 1939. In relation to Chester
                   City, where 52.5 percent of the housing stock was built prior to 1939,
                   and to the County as a whole, where only half as many units were built
                   before 1939, the DSA is comprised of relatively old housing structures.

                                                     -15-

                  NIA Characteristics

                       In order to be consistent with IDS objectives, an NIA has been
                  established as a model area-   to assess the specific interrelationships
                  between the industrial sector and the adjacent neighborhoods.       Before
                  one can assess the effects of  increased industrial development upon the
                  NIA , a clear understanding    of the present conditions is necessary.
                  Hence, the following is a brief demographic profile, once again
                  employing 1980 census data, of the particular neighborhood focus of
                  the IDS Study, the NIA.

                       The NIA encompasses virtually all of census tract 4057 with the
                  exception of census block group 1 which is the portion of the tract
                  located east of the Commodore Barry Bridge.       There are 1,759 resi-
                  dents in the neighborhood with the majority of them, 58.6 percent,
                  being black,    Of the 1,759 residents, 58.3 percent are between the
                  Uproductivell ages of 18 and 64, while 41.7 percent fall within what
                  are generally considered to be "dependent" age categories, under
                  18 and over 64 years of age. The neighborhood has a relatively high
                  proportion of residents 65 years old and over (25.6 percent) compared
                  to the City (12.9 percent) and the County as a whole (12.8 percent).

                       Generally, the NIA lags behind Chester City and Delaware County
                  in terms of educational attainment.   Approximately 42.3 percent of the
                  neighborhood population are high school graduates while approximately
                  4.3 percent have a college education.      The neighborhood residents,
                  as one might expect given the characteristics of the overall DSA,
                  have relatively low incomes.    The median family income of the area is
                  $11,721 with 18.7 percent of the families having annual incomes below
                  the poverty level.    Of all persons living in the neighborhood, 65.4
                  percent have low/moderate incomes. Within the NIA itself, the eastern
                  portion of the neighborhood (census block groups 2 and 3) has a higher
                  proportion of low-income persons.

                       Labor force and employment data is not avaiiable at the block
                  group level.   However, since the NIA is comprised of four out of five
                  block groups in census tract 4057, it is believed that data for tract
                  4057 will be representative of the NIA itself.        According to 1980
                  census statistics, 52.2 percent of all persons 16 years of age and over
                  residing in the tract are in the labor force, and approximately 19.4
                  percent of them are unemployed.      The majority (34.8 percent) of the
                  tract's labor force are employed in service occupations, including
                  private household occupations and protective service occupations.
                  Operators, fabricators, and laborers comprise 26.3 percent of the
                  labor force while technical, sales, and administrative support occu-
                  pations employ 20.7 percent.

                       The housing stock within the NIA has, according to 1980 census
                  data, similar characteristics to the housing in the overall DSA. There
                  are 709 occupied housing units in the neighborhood with 53.3 percent
                  of them owner-occupied and 46.7 percent renter-occupied.              This
                  occupancy ratio is very similar to that of Chester City as a whole.
                  Within the neighborhood itself, 66.5 percent of all renter-occupied
                  structures are located in the eastern portion of the NIA (census block

                                                    -16-

                   groups. 2 and 3).    The median value of owner-occupied housing units
                   in the neighborhood is $15,125 while the median contract rent
                   for renter-occupied units is approximately $124.      1980 census figures
                   indicate that the neighborhood has a 14.7 percent vacancy rate, a
                   rate much higher than what is considered necessary for residential
                   mobility.

                        More detailed and up-to-date information regarding the number of
                   vacant structures, commercial and industrial as well as residential,
                   and actual building conditions within the NIA is necessary for an
                   in-depth analysis of the area.      This information is presented in the
                   following section which examines the specific existing land use charac-
                   teristics of the area.

                   Summary

                        In summary, the above statistical information clearly indicates the
                   nature of the IDS area and its surrounding neighborhoods. It is a:n
                   area that is characterized by a declining population and is comprised
                   largely of minorities.   The educational attainment and income levels of
                   the area's residents are significantly lower in comparison to the popula--
                   tion of Chester City and, in particular, in relation to the County popu-
                   lace.   In terms of employment, the area's labor force is comprised
                   largely of skilled and unskilled blue collar workers. In comparison to
                   the City and the County, the level of unemployment is much higher in
                   the DSA.     In addition to its declining population, the area has ex-
                   perienced a decrease in housing units over the past decade.             The
                   quality of the housing stock itself is significantly lower in the DSA than
                   in the City or the County as a whole.

                   Land Use

                   Methodolog y

                        The existing land use patterns will describe current activities
                   within the IDS area and will identify the constraints and opportunities
                   which could affect redevelopment strategies.     Analysis of this informa-
                   tion will also provide a basis for physical planning by identifying and
                   locating vacant and/or dilapidated buildings.        This information will
                   present an opportunity for rehabilitation of the     current structures or
                   for demolition and redevelopment.

                        Information and data were obtained from         current surveys and
                   documentation provided by the City of Chester.       The Delaware County
                   Planning Department (DCPD) supplied information      contained in previous
                   planning studies, aerial photographs, and the        DCPD land use file.
                   To ensure accuracy of the data, a number of field    views were conducted
                   in the study area.      As a result of the data compilation, a map of
                   existing land use patterns and configurations was prepared to demon-
                   strate current trends (see Map 4 and Appendix B).

                                                     -17-

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            Integrated                                              EXISTING LAND USE
            Development
                                                                       SEE APPENDIX B
            Strategy                                                                                                                   SCALE
                                                                                                                                     1    1100,
            BASE MAP: PENN DOT 1982

                   Industrial Development Impact Area (IDI    A)

                         Industrial Use

                         While the IDS area is made up of a variety of land uses, by far
                   the   most dominant use is industrial and related activities.        The IDS
                   anchor sites make     up the eastern and western borders of the study
                   area.   The following description of the major industrial parcels in the
                   study area begins with RIC and proceeds westerly to the LCA tract.

                         RIC is owned and operated by EDC.          It was purchased in 1982
                   at a cost of $5 million.      The complex is seen as a center for new
                   economic variety in the County.       With its subsidized leasable space in
                   combination with financing and training programs, the complex has the
                   potential to become a major job generator.        Riverbridge is the former
                   site of the Ford Motor Corporation and          Reynolds Aluminum plants,
                   The complex is made up of 55 acres and          has 668,000 square feet of
                   leasable building area.    The current cost     of space in the complex is
                   $2.50 per square foot on a "net" basis.         The "net" price per square
                   foot does not include the cost of utility      service for the lessee.      All
                   utilities are available at the center, including electricity, gas, and
                   water, and each company is separately metered.           Rail, highway, and
                   port access is available to the complex, but these facilities are in
                   need of repair or upgrading.

                         The complex is currently leased by various tenants who occupy
                   approximately 217,653 square feet or about one-third of the available
                   floor area.   The vacant land area to the east of the existing structures
                   has been subdivided for sale to companies noted in Table 4 which
                   lists the companies utilizing space at the center.

                         Directly west of RIC is the PQ Corporation plant.           This parcel
                   comprises approximately 21 acres and is occupied by various chemical
                   processing structures and storage tanks.            Most of the currently
                   developed land area is clustered at the end of Lamokin Street. The
                   land area along Norris Street and a large portion of the waterfront
                   area is used for outdoor storage and/or is vacant.            Lamokin Street
                   serves as the main access point to the parcel for truck traffic.             A
                   series of rail spurs from the Penn Central system access the parcel
                   via Delaware Avenue and Front Street.

                         Directly north of the PQ parcel at the intersection of Front and
                   Norris Streets is the Dee Paper Company.            This parcel is approxi-
                   mately 7.5 acres in size and encompasses the entire block. The Dee
                   Paper Company manufactures folded boxes from purchased stock and
                   employs a work force of 120 persons.           The adjacent block between
                   Lamokin and Broomall Streets is utilized for employee parking for both
                   P Q and Dee Paper.

                         108 of the remaining 234 acres of waterfront ground are the prop-
                   erty of the Philadelphia Electric Company (PECO).              PECO has an
                   active plant for storage and distribution of natural gas at the Tilghman
                   Street station.    Main access to the station is via Central Avenue and
                   Norris Street. The remaining land area includes the Chester generating

                                                       _19-

                                                               TABLE 4

                                        DESCRIPTION OF EXISTING ACTIVITIES AT THE
                                            RIVERBRIDGE INDUSTRIAL CENTER, 1984

                              Company Name             No. of Employees                   Activity

                             Gordon Terminal                   40                 Plastic bottle manufac-
                             Packaging                                            turer/fills with oil

                             Wilmington Steel                  15                 Slate steel cutting
                             Processing

                             Towerlite                         10                 Manufactures perlite

                             McGrory Glass                     is                 Plate glass cutting and
                                                                                  distribution

                             D.W. Petroleum                      2                Oil case goods - ware-
                                                                                  housing and distribu-
                                                                                  tion

                             Lane Electric                       5                Outdoor sign fabrica-
                                                                                  tion

                             Precision Spray                     5                Spray painting
                             Painting

                             Finn Motor Lines                  26                 Warehousing and office

                             Biomol Laboratories                 2                Specialty chemical
                                                                                  manufacturing

                             Barns and Buildings               10                 Ready-built out-
                                                                                  building fabricator

                             Jet Blast                           3                Industrial cleaning

                             Giordano Trailers                   3                Truck/trailer repair

                             T.K. Harvin                         0                Temporary parking
                             Chester Steel                     NA 1               NA 1

                             Cocotex                           12                 Process cocoa bean
                                                                                  hulls
                             Ponns & Thomas  2                 10                 Sandblast ing of steel
                                                                                  plate and industrial
                                                                                  painting

                             VP Hydrocarbons                     3                Specialty fuel blending
                                                                                  and distribution
                             Geissler and Pehr  2              15                 Roofing material manu-
                                                                                  facture
                             Blue Line Transfer 2                1                Truck/trailer parking
                                                                                  and storage
                             I
                                  Not available
                             2    Companies which have purchased vacant parcels

                             SOURCE: Delaware County Economic Development Center, 1994

                                                               -20-

                    plant directly east of LCA.      This parcel is not currently utilized but
                    has been retained by PECO for future generation if needed.                  The
                    company has set forth a policy of land banking its existing parcels and
                    acquiring adjacent properties.     This policy included acquisition of one-
                    time residential areas north -of Delaware Avenue. PECO leases portions
                    of its property to private companies, some of which have constructed
                    or plan to construct facilities.

                         The last remaining large industrial parcel       is owned by the LCA
                    Leasing Company. This parcel is located at Front and Thurlow Streets
                    and is the western anchor of the IDS area. This parcel was specifically
                    analyzed for its marketability and redevelopment opportunity in the
                    CZM Industrial Sites Study of 1982. The site is made up of 62 acres
                    and is utilized for general warehousing and storage.         According to the
                    prior CZM studies, this parcel has the opportunity to be the prime
                    industrial site for redevelopment along the Chester waterfront.           How-
                    ever, due to the current price of the parcel (about $2.75 million) and
                    site restrictions, this parcel cannot compete with less expensive in-
                    dustrial parks in other parts of Delaware County.            For this reason
                    and for the purposes of this strategy, the report will follow the
                    recommendation of the Phase II Study and develop a strategy for a
                    single user parcel. This does not rule out parcelization in the case of
                    market change.

                         The preceding descriptions cover the major parcels within the IDIA
                    area.   The remaining smaller industrial firms and their characteristics
                    can be found in Table 5.

                                                      TABLE 5

                                       FIRMS UTILIZING REMAINING MINOR
                                               PARCELS IN THE IDIA
                                                                            sicI
                            Firm                        Location            Code      Employees

                    Chester  Machine Works         Delaware Ave. &          3590          50
                                                     Jef frey St.
                    Chester  Salt                  Flower Street            3295            4
                    GRG Machine Company            Delaware Ave. &          3544          10
                                                     Law St.
                    Joseph Stong, Inc.             742 W. Front St.         1731          20
                    William Schmitt & Son          418 W. Front St.         3444          140
                    1    A brief description of the Standard Industrial Classification Code
                         (SIC) is included in Appendix C.

                    SOURCES:        Dalton's "Delaware Valley Directory/ Business and In-
                                    dustry 198311 and the "Delaware County Chamber of
                                    Commerce Members' Resource Directory 1984-8511

                                                        -21-

                          Much of the industrial base for the City of Chester lies just east
                   of the study area.        Of the remaining industrial firms, Scott Paper
                   Company, Penn Shipbuilding, and Medford's Inc. remain the most
                   important to Chester.        Their continued activity in the City will aid
                   the IDS area by providing some stable industrial activity in Chester
                   on which to expand.         Table 6 is an inventory of the existing manu-
                   facturing and related activity adjacent to the IDS area.

                                                        TABLE 6

                                  MAJOR CONTRACTING AND MANUFACTURING
                                   FIRMS ADJACENT TO THE IDS STUDY AREA

                   Census                                                          sic
                     Tract             Firm                     Location           Code    Employees

                   4055       Fisher Tank & Welding       3131 W. 4th St.          3433       150
                   4057       WitCo Chemical Co.          3300 W. 4th St.          2911       104
                   4057       Teledyne Co.                4th & Townsend    Sts.   3069       380
                   4058.01    Chester-Jensen              345 Tilghman St.         3551         95
                   4058.01    Blue Line Transfer          Broomall St.             4213         63
                   4058.02    Medford's, Inc.             18-40 W. Znd St.         2011       200
                   4059&60    Scott Paper Co.             Front & Market Sts.      2649      24001
                   4060       Penn Shipbuilding           Morton Avenue            3731       3000

                   1
                          Penn Shipbuilding was recently awarded a navy            contract for the
                          refitting  of a frigate, so the number of employees listed may
                          appear to be inflated.

                   SOURCES:          Dalton's "Delaware Valley Directory/ Business and In-
                                     dustry 1983" and the "Delaware County Chamber of
                                     Commerce Members' Resource Directory 1984-8511

                          Residential and Neighborhood Commercial Uses

                          Mixed residential and neighborhood commercial activities are located
                   in the area bounded by Second, Flower, Front, and Fulton Streets.
                   Rounding out the use in this category is approximately a two block area
                   north of the LCA anchor site.          Within the IDIA, there are 356 struc-
                   tures including five mixed residential/ commercial uses.

                          Generallyp the residential configuration of the area is comprised of
                   two-story, single and multi7family semi-detached and attached struc-
                   tures.    Clusters of vacant lots of varied size are interspersed among
                   the units.     Most of the existing housing stock is in need of extensive
                   rehabilitation in order to comply with health and safety codes.                 The
                   portion of the IDIA west of Wilson Street contains the best maintained

                                                          -22-

                    units which require little improvement while the balance of the area is
                    made up of severely deteriorated, occupied or vacant structures. Over
                    55 percent of the residential and commercial use structures are severely
                    dilapidated, in need of extensive rehabilitation, and currently occupied.
                    Seventeen percent of the Units are severely deteriorated and vacant.
                    Thus, over 72 percent of the units are in extremely poor condition.
                    The remaining 28 percent in basically sound condition are spotted
                    throughout the deteriorated area.

                         Vacant structures have become sites conducive to criminal activity
                    and trash dumping and are areas of unsanitary and unsafe conditions.
                    This poses an increased hazard to residents who already live in dilapi-
                    dated units.     Due to the small lot development, vacant buildings/
                    parcels become play areas for children who have limited recreational
                    space.

                         Because of these characteristics, the Chester City CDBG strategy
                    has found that the median value of these structures is approximately
                    $8,700, far below alternative housing costs. Due to the socio-economic
                    status described in the previous section, residents of this area do not
                    have the opportunity for relocating without public assistance. Programs
                    involving rehabilitation are not encouraged in the IDIA because of
                    zoning conflicts and transportation issues such as the land acquisition
                    for the Route 291 reconstruction.

                         Recreational and Institutional Uses

                         The remaining area contains a limited amount of recreational and
                    institutional land uses. There are only two recreational facilities in the
                    area.   The only source of public access to the Delaware River is the
                    Barry Bridge boat launch, located at the foot of Flower and Reaney
                    Streets beneath the Barry Bridge.         This 4-acre parcel is the former
                    site of the Old Chester- Bridgeport ferry and is owned by the Delaware
                    River Port Authority. The City of Chester is leasing this site and con-
                    structing two public boat launches and a parking lot.           Phase I of the
                    project is completed.      The West End Boat Club is a private marina
                    located at the foot of Jeffrey Street. This parcel of approximately five
                    acres is currently under an agreement of sale to PECO.              There is a
                    real possibility that this facility could relocate out of Chester.           This
                    may occur if PECO follows a policy of new plant construction.

                         The City of Chester operates a facility for the Department of Sani-
                    tation at Second and Broomall Streets.         There are no other municipal
                    buildings   located in the IDIA area.         Fire and police protection is
                    supplied  from stations just outside of the study area.

                         The Ukranian Catholic Club is located on Second Street, and it
                    is heavily utilized for meeting space and various religious and com-
                    munity functions.      Although this building is structurally sound,, it
                    lies within the proposed right-of-way for the Route 291 reconstruction
                    project.   A suitable relocation of this center is very important for the
                    continued cohesion of the ethnic community.

                                                         -23-

                   Neighborhood Impact Area (NIA)

                        As mentioned earlier, to augment the IDS area and to gauge the
                   effect of expanded industrial development in the IDIA, the NIA was
                   included.   This area is comprised of land uses not present in the
                   industrial sector.   The NIA is made up of 32 city blocks between the
                   north/south boundaries of Front Street and the Conrail right-of-way
                   and between the east/west boundaries of Flower and Wilson' Streets.
                   The City of Chester has delineated portions of the NIA as NSA's
                   for redevelopment under its CDBG program.            Various City agencies
                   have developed and submitted needs and strategies to the Department
                   of Housing and Urban Development (HUD) which will be further
                   developed by the IDS.

                        Residential and Neighborhood Commercial Uses

                        The NIA consists of 642 residential and mixed residential/commercial
                   structures containing 709 units.      These make up 90 percent of the
                   existing land use pattern and 85 percent of the total land area. The
                   housing stock in the NIA varies. Large, three-story, semi-detached and
                   attached structures are found along Third and Fourth Streets.              In-
                   cluded in the Third Street corridor are mixed residential/ neighborhood
                   commercial units.   Most of the remaining housing stock consists of two-
                   story, attached row units. Apartment buildings are dispersed through-
                   out the NIA as either secondary uses or as free        standing structures.

                        As was found in the IDIA, there is a wide range of structural
                   soundness in the NIA. Of the 642 structures, 201       occupied units or 32
                   percent are in need of substantial rehabilitation.      Vacant units, which
                   make up 10 percent of the existing stock, are in       severely deteriorated
                   condition.  When one adds to this the 88 vacant lots west of Second
                   Street in the NIA, this leaves substantial opportunity for comprehensive
                   rehabilitation or new construction.

                        Units on the south side of Second Street are in the Route 291
                   acquisition area. This has resulted in the City not including the area
                   in its redevelopment plans.     Various local nonprofit housing advocacy
                   groups and the City are working with individuals affected by these poor
                   conditions and with PennDOT.         PennDOT has an ongoing relocation
                   assistance program which awards fair market value for units which are
                   acquired for highway expansion.         These efforts can be helpful in
                   coordinating any relocation activities and in providing counseling and
                   financial assistance to displaced neighborhood residents. By dovetailing
                   these programs with available vacant acres in the NIA, an upgrading of
                   the built environment and provision for displaced residents can result.

                        The predominant commercial use in the study area is neighborhood
                   retail.  Small grocery, eating, and service establishments occupy the
                   first floors, and dwelling units are located on the second and third
                   floors.   Generally, the neighborhood business district extends along
                   Third Street with the main commercial center being located in the
                   vicinity of the Commodore Barry Bridge. The remaining business uses
                   are scattered throughout the entire NIA.

                                                       -24-

                         There are no major retail stores in the NIA. Residents of the area
                    must travel outside of their neighborhoods to gain access to grocery,
                    department, and service stores.        These residents seem to utilize the
                    Edgmont Avenue corridor -in Brookhaven and Upland Boroughs with
                    other clothing and goods being provided by the major malls in Spring-
                    field and Middletown Townships and in the State of Delaware.

                         Industrial and Heavy Commercial Uses

                         Although the NIA is predominantly made up of other land uses,
                    a small portion is utilized by industrial firms, which are noted in Table
                    6.   Some larger parcels in the NIA are utilized as service centers for
                    trucks, contractor yards, and scrap yards. These sites of heavy com-
                    mercial use would provide opportunities for new development due to
                    their large open area which is generally underutilized. An example of
                    this is the large truck center on the west side of Second Street between
                    Engle and Ward Streets.

                         Recreational Use

                         There are two park facilities in the NIA.           Existing recreational
                    areas have been acquired by the City as a result of demolition and
                    acquisition of various small parcels.       The largest public park is the
                    Ward Street playground at Ward and Front Streets.               The parcel is
                    approximately I acre in area and includes playground equipment and a
                    basketball court.    The remaining area is the West End Youth Center at
                    Third and Yarnall Streets.       School yards provide some additional rec-
                    reational area. However, they are generally paved with no grassy field
                    area.

                         While Chester has larger recreational/ open space areas in other
                    parts of the City, they are separated from the study area by significant
                    physical barriers such as the Penn Central right-of-way and the
                    Commodore Barry Bridge support.            These borders effectively deter
                    residents of the study area from utilizing the -peripheral parkland
                    areas, such as Veterans Memorial Park or Chester Park.

                         Table 7, which lists the park facilities in Chester City, demon"
                    strates the lack of parkland in the IDS area when compared to the
                    City as a whole. Of the more than eighteen acres of parkland in the
                    City, only 1.7 acres or 0.9 percent are located in the study area.             A
                    further reduction in recreational open space will result from the loss of
                    the Ward Street playground as part of the acquisition of right-of-way
                    for the Route 291 expansion project.

                         The NIA does not have sufficient accessible recreational area at the
                    present time, and because of the dense building configuration, poten-
                    tial areas for such use will be difficult to identify.         Criteria utilized
                    in the "Delaware County Open Space, Parks, and Recreation Study"
                    were developed by the Delaware Valley Regional Planning Commission
                    (DVRPC) in 1977.        Recognizing the densely populated and built up

                                                         -25-

                                                                            TABLE 7

                                                 INVENTORY OF EXISTING RECREATIONAL FACILITIES
                                                                      IN CHESTER CITY

                                  Park N ame                        Address                    Size (acres)                Facilities

                           Pulaski                     8th & Caldwell Sts.                           1.6            A, PE,  FP, GC
                           Comisiak Playground    1    4th & Booth Sts.                               .3            A, PE,  GC
                           Ward St. Playground         Front & Ward Sts.                              .5            A, PE,  GC
                           Memorial Park               7th & Engle Sts.                             15.8            A, PE,  P, FP,   GC
                           Crosby Square               13th & Crosby Sts.                            3.0            A, PE
                           Chester Park                Elkington Blvd. & Houston St.                71.9            A, PE,  P, RP,   GC, B
                           Washington Park             18th & Melrose Ave.                          13.0            A, PE,  P, GC    ,
                           Deshong                     11th St. & Ave. of the States                18.0            A, PE,  FP, GC-
                           Sun Village                 Curry & Johnson Sts.                          4.0            P
                           Crozer Park                 Kerlin St. & Finland Dr.                     49.4            A, FP,  SP, B
                           Highland                    Curran & Perkins Sts.                          .3            A, PE,  GC
                           Ethel Waters   Pmk          Front   St. & Ave. of the States              1.3            P
                           West End Youth              3rd &   Yarnall Sts.                          1.0            A, PE,  GC
                           Penns Landing               Front   & Penn Sts.                           4.1            P
                           Norris I                    Front   & Norris Sts.                          .2            A, PE,  GC
                           Mitchell                    7th &   James Sts.                            1.0            A, PE
                           1loyd Neighborhood          8th &   Lloyd Sts.                             .1            A, PE,  GC
                           Concord                     Lincoln St. & Concord Rd.                     2.0            A, PE.
                           Octagon                     10th & Pennell Sts.                            .6            A, PE
                           Four Seasons                7th & Pennell Sts.                             .3            A, PE,  GC
                           Butler                      5th & Shedwick Sts.                            .3            A, PE
                           McClurg                     8th St. & Chester Creek                        .4            A, PE

                      KEY:
                           A    -    Active                                     OP     -   Open, play   or informal playfield areas
                           P    -    Passive                                    FP     -   Formal playfields (baseball, football)
                           U    -    Undeveloped                                GC     -   Game court
                           PE   -    Playground equipment                       B      -   Shelter or building
                           P    -    Picnic facilities                          SP     -   Swimming pool
                     1     Located in the IDS area

                     SOURCE: "Delaware County         Open Space, Parks, and Recreation Study," 1978

                   nature of   the study area, DVPRC has set minimum standards which
                   reflect the lack of land area available for such purposes. Following the
                   most minimum standard of 3.08 acres per 1,000 residents, with an NIA
                   population of 1,759 and an.-existing recreational area total of 1.7 acres,
                   the area is still deficient in recreational area by approximately 3.7
                   acres.   This deficiency will be further increased with the loss of the
                   Ward Street playground.

                         Institutional Use

                         Public institutional uses are limited in the study area. There are
                   no public educational facilities located in the IDS area; however, just
                   east of the study area the Chester City School District operates a
                   vocational training center at Dock Street. This center could be a prime
                   source of trained personnel to meet the needs of increased industrial
                   development. The remaining school district property in the area is the
                   former Dewey-Mann Elementary School site at Third and Yarnall Streets.
                   The school had occupied only a small portion of the block, making
                   future development possible.

                         The study area is deficient in public amenities such as library faci-
                   lities. Police and fire protection is supplied by stations outside of the
                   study area.    Due to the lack of City funding, alternative programs to
                   assist the City in addressing this problem must be identified.

                         Private institutional uses are readily found in and directly adjacent
                   to the study area.     The area contains approximately fifteen churches
                   of various denominations, the largest of which is St. Hedwigs Catholic
                   Church at Fourth and Wilson Streets.        Affiliated with this church is
                   a parochial elementary/ secondary school.      Holy Ghost Ukranian Cath-
                   olic Church and school is located at Third and Hardwick Streets. Both
                   of these institutions serve the predominantly ethnic western portion of
                   the study area.     The remaining churches are spread throughout the
                   study area.

                   Zoning

                         As shown in Map 5, the study area is predominantly zoned for in-
                   dustrial use.   All of the land area south of Second Street falls into the
                   M-2 and M-3 Industrial categories, which provide for heavy industrial
                   usage and large-scale structures and coverages. These areas contain
                   hazardous materials and activities that depend on bulk transportation of
                   raw materials and large-scale warehousing activity. The M-1 Industrial
                   district fronts on Second Street on the south and Mary Street on the
                   north, running the entire width of the IDS area.             The remaining
                   lands in M-1 use are located north of Fourth Street. The district pro-
                   vides for less hazardous industrial activities which do not require a
                   great amount of land area.

                         The study area contains two commercial districts forming a ribbon
                   along the north and south sides of Third Street. The C-1 zone., which
                   allows for retail, service, and amusement activities, is comprised of the
                   light commercial areas between Ward and Yarnall Streets and east of
                   Edwards Street.     The C-2 district, which occupies the remaining area

                                                      -27-

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              Integrated                                               ZONING DISTRICTS
                            ''Ou

              Development
                                                                                                COMMERCIAL C-1
                                                           INDUSTRIAL M-1

                                                                               ----------
                                                           INDUSTRIAL H-2        -------------- C OM M E R C I A L C - 2
              Strategy                                                                                                                      SCALE
              BASE MAP: PENN DOT 1982                      INDUSTRIAL M-3                       RESIDENTIAL                               1    1100'

                   along Third     Street, provides for heavy commercial and wholesale
                   activity-

                        The remaining area is -zoned R-3 residential. This district provides
                   for residential uses on lots no less than 750 square feet in area. This
                   district allows a wide range of building types, including single family
                   detached, semi-detached, multi-family, and other dense uses or
                   accessory buildings.      Descriptions of these categories can be found
                   in Table 8.

                        Although the City has est    ablished zoning regulations, much of the
                   City's development pre-dates the code.        Because of this characteristic,
                   the study area contains a mixture of land uses inconsistent with the
                   current code.     The established uses and structures pose an obstacle
                   to increased industrial expansion.

                   Transportation

                        The IDS study area is accessible by three major transportation
                   modes - highway, rail, and water (see Map 6).                      Along with
                   these modes, Philadelphia International Airport is within minutes of the
                   study area.      This accessibility demonstrates the area's importance
                   as a regional hub and provides an excellent basis Jbr increased oppor-
                   tunities for industrial activity. On the other hand, though, the existing
                   street network and rail system within and directly adjacent to the study
                   area have fallen into disrepair.      The following section will provide an
                   overview of existing network conditions along with programmed improve-
                   ments in the various sectors of transportation.

                   Highways

                        Existing Network

                        Chester's street system forms a grid pattern with several diagonal
                   streets.   This pattern lacks continuity and orderly direction primarily
                   because the City is divided by Chester and Ridley Creeks, the AMTRAK
                   Main Line, and the main lines of the Baltimore and Ohio Railroad. It
                   is also divided by 1-95 and the Commodore Barry Bridge, which con-
                   nects 1-95 in Pennsylvania with 1-295 in New Jersey.

                        Because of its industrial complex, the City has been the hub of
                   several major routes traversing the area, including US 13, PA 320,
                   PA 322, and PA 352. With the exception of 1-95, Chester lacks a major
                   thoroughfare which can adequately carry four lanes of traffic. Capacity
                   is lacking on the two major east-west routes, US 13 (Ninth Street)
                   and PA 291 (Second Street or the Industrial Highway) .              North-south
                   movement, especially in the study area, is restricted to Highland
                   Avenue, and further east near the central business district (CBD),
                   PA 352, PA 320, and US 322 are badly hampered by narrow street
                   widths, on-street parking, and poor continuity.            In addition, most
                   of these major arterials serve both local and regional traffic since
                   1-95 and the Media Bypass (US 1) represent the only limited-access
                   highways in the vicinity.

                                                        -29-

                                                                            TABLE 8

                                                                EXISTING IDS AREA ZONING

                              Section of                                                     Uses By                  Prohibited
             Category         Ordinance                 Permitted Uses                   Special Exception                Uses

             R-3              Article 1347     Any use in R-2                                  N/A                        N/A
             Residential                       2 family semi-detached dwelling
                                                 provided that the party wall
                                                 is erected at the same time
                                               Multiple dwelling
                                               Single family attached dwelling
                                                 provided that there are no
                                                 more than 10 dwelling units
                                                 in a series and they are con-
                                                 structed at the same time
                                               Rooming or boarding house
                                               Community garage
                                               Fraternity/ sorority houses on
                                                 certain streets

             C-1              Article 1353     Any use in R-3                            Restaurant, eating                N/A
             Commercial                        Apartment in combination with               place, or cafe
                                                 business                                Place of amusement,
                                               Hotel/tourist house                         recreation, or
                                               Retail store                                assembly other than
                                               Personal service shop                       a theater
                                               Club/theatre, community center            Confectionary /bakery
                                               Bank/financial institution                Laundry, dry cleaner
                                               Transit station                             dyeing establishment
                                               Of fice/studio                            Car sales/service, public
                                               Mortuary                                    garage, parking lot
                                               Private educational institution           Signs when erected in
                                                                                           accordance with Article
                                                                                           1731 of the Building
                                                                                           Code
                                                                                         Accessory use
                                                                                         Use of same general
                                                                                           character

                                                                            TABLE 8

                                                                EXISTING IDS AREA ZONING
                                                                          (Continued)

                               Section of                                                    Uses By                           Prohibit ed
              Category         Ordinance                 Permitted Uses                 Special Exception                         Uses

              C-2              Article 1355    Uses in   C-1                            Use of same general                      N/A
              Commercial                       Car sales/service, public                  character
                                                  garage, parking lot
                                               Wholesale business
                                               Storage/ warehouse, hauling
                                                  station
                                               Coal, fuel oil, building materials
                                                  yard (not junkyard)
                                               Metal working, plumbing, pipe-
                                                  fitting shop
                                               Crafts /repair
                                               Printing establishment
                                               Dairy production
                                               Uses in M-1 as accessory uses
                                               Custom shop
                                               Bakery /confectionary
                                               Accessory use

              CBD              Article 1359    Multiple dwellings /apartments           Place of amusement,                      N/A
              Commercial                       Retail/office                              recreation, or
                                               Bank/financial institution                 assembly other than
                                               Indoor theater                             a theater
                                               Printing establishment                   Restaurant   or cafe
                                               Motel/tourist house with at              Use of same general
                                                 -least 20 rooms                          character

                                                                         TABLE 8

                                                             EXISTING IDS AREA ZONING
                                                                       (Continued)

                             Section of                                                  Uses By                          Prohibited
             Category        Ordinance                Permitted Uses                 Special Exception                        Uses

                                             Personal services
                                             Laundry/dry cleaner/dyeing
                                                establishment
                                             Municipal building and parking
                                             Transit stations
                                             Bakery /confectionary

             M-1             Article 1361    All lawful uses                         Electroplating               Uses prohibited in M-2
             Industrial                                                              Foundry as accessory         Boiler/tank shop
                                                                                       use                        Coal/metal industries
                                                                                     Locomotive shop              Flour milling
                                                                                     Metal working shop           Manufacture of:
            LO
            to                                                                                                      paint, brick, gases,
                                                                                                                    chemicals, alcohol,
                                                                                                                    ink, paper, tar, lime,
                                                                                                                    soap, etc.
                                                                                                                  Rolling mill
                                                                                                                  Smelting and refining
                                                                                                                  Tanning

             M-2             Article 1363    All lawful uses                         Necessary accessory          Junkyard
             Industrial                                                                uses                       Blast furnace
                                                                                     Handling/ processing/        Manufacture of:
                                                                                       storage of haz-              fertilizers, glue, acids,
                                                                                       ardous wastes                explosives, chlorine
                                                                                                                    products, fat products,
                                                                                                                    asphalt, bleach, rubber,
                                                                                                                    linoleum, turpentine, etc.
                                                                                                                  Processing of:
                                                                                                                    petroleum, animal prod-
                                                                                                                    ucts, ore
                                                                                                                  Abbatoir

                                                                         TABLE 8

                                                              EXISTING IDS AREA ZONING
                                                                       (Continued)

                             Section of                                                  Uses By                          Prohibited
             Category        Ordinance                Permitted Uses                 Special Exception                       Uses

             M-3              Article 1365             All lawful uses               Dwellings except   as                  N/A
             Industrial                                                                accessories
                                                                                     Abattoir
                                                                                     Manufacturing of   ex-
                                                                                       plosives, fertilizer,
                                                                                       cement, plaster, acids
                                                                                     Stockyard
                                                                                     Junkyard
                                                                                     Handling/ processing/
                                                                                       storage of haz-
                                                                                       ardous wastes

             SOURCE: "Codified Ordinances of Chester, Part Thirteen            Planning and Zoning Code," 1982.

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               Integrated                                                TRANSPORTATION NETWORK

                                                                                   HIGHWAYS/STREETS
               Development
               Strategy                                              70            BUS ROUTES                                                                        SCALE
                                                               ettatiltelleem      RAIL SYSTEMS                                                                    1     1100'
               BASE MAP: PENN DOT 1982

                       The major highway facility passing through the City of Chester is
                  1-95.  An average daily traffic count of over 86,000 vehicles was re-
                  corded in 1983 on a section of 1-95 in Chester.       Access to and from
                  1-95 is provided by a number of entrances and exits. The southbound
                  exits include Chestnut Street, US 322 east/Commodore Barry Bridge,
                  Highland Avenue, and US 322 west.         The southbound on-ramps are
                  located at Kerlin Street,      US 322 west/Commodore Barry Bridge,
                  Edgmont Avenue (proposed), and Highland Avenue. The northbound
                  e.xits include Highland Avenue, US 322 east/Commodore Barry Bridge,
                  Kerlin Street, and Edgmont Avenue.        The northbound on-ramps are
                  located -at Highland Avenue, US 322 east, US 322 west/Commodore
                  Barry Bridge, and Chestnut Street.

                       The other roads that comprise Chester's major highway network
                  are US 322, US 13, PA 291, PA 320, and PA 352. The main function
                  of US 322 in Chester is to provide access from 1-95 across the Commo-
                  dore Barry Bridge to New Jersey. Local access to and from the bridge
                  is provided via Ninth Street but is limited to an eastbound on-ramp
                  and a westbound off ramp.      Traffic wishing to exit US 322 eastbound
                  or enter US 322 westbound must use Highland Avenue.

                       Of the highways listed above, only 1-95 and PA 291 are good
                  facilities for trucks, and only PA 291 directly serves the study area.
                  While 1-95 is an adequate route for regional truck traffic, PA 291 is
                  the only route for local truck traffic in the study area, and it restricts
                  through movement since it traverses residential streets and the CBD.

                       Access Problems

                       The major access problems in the study area result from the con-
                  figuration of Chester's streets and their connection to 1-95, especially
                  from the industrial sites located in the study area.      Of all the exits
                  and entrances on 1-95 in Chester, only Kerlin Street and Highland
                  Avenue provide direct access between 1-95 and the study area. Neither
                  of these streets provides good truck access to the study area because
                  they are narrow and travel directly through residential areas with on-
                  street parking.    On Highland Avenue, there is a clearance of only
                  1119" under the Penn Central rail line near Sixth Street.        This low
                  clearance hampers truck traffic between the study area and 1-95
                  via Highland Avenue.

                       At present, the best route for trucks to take into the study area
                  is to exit 1-95 at Stewart Avenue in Ridley Park, follow Stewart Avenue
                  south to PA 291, and follow PA 291 south into the study area. If the
                  construction of the Mid-County Expressway, 1-476 (Blue Route), be-
                  comes a reality, access to 1-95 for regional truck traffic will be greatly
                  improved, but Stewart Avenue and PA 291 will still represent the only
                  truck access route to the study area.

                       Possible Improvements

                       The ultimate solution to the access problem would be to build
                  a direct access road between 1-95 and the riverfront area that
                  would have the potential to be used as a truck route. The interchange

                                                    -35-

                    with 1-95 should provide access to and from both the northbound
                    and southbound lanes.         While the PA 291 expansion project, which
                    will improve this road to a four lane highway capable of handling
                    large volumes of truck traffic, will be a significant improvement,
                    access should also be made available from the study area to Ninth
                    Street in the vicinity of the Commodore Barry Bridge ramps.                    This
                    improvement would provide direct access between PA 291 and the
                    Commodore Barry Bridge.             Because of the existing development
                    patterns in Chester, however, an improvement of this type seems
                    highly unlikely.     There is no undeveloped path for a direct access
                    link of that nature between 1-95 and PA 291. Nonetheless, the comple-
                    tion of 1-95 through Philadelphia and the Blue Route would assure
                    improved regional access to and from the study area.

                          Programmed Projects

                         PennDOT has programmed a number of capital improvements which,
                    when completed, should have an impact on access to and from the study
                    area.    These four projects, at a cost of over $300 million, should
                    greatly improve the traffic circulation in Chester.             The majority of
                    this money, over $260 million, would go toward improving regional
                    access to Chester by completing 1-476 from 1-95 in Ridley Township
                    to the Schuylkill Expressway in Montgomery County.                   Two of the
                    programmed projects are located in the study area and are considered
                    to be part of the solution to solving the access problem discussed
                    earlier.   They are the PA 291 reconstruction and the Second Street
                    bridge replacement. Table 9 lists the programmed improvements, their
                    current status, and total cost.

                                                        TABLE 9

                                 PROGRAMMED TRANSPORTATION IMPROVEMENTS

                                                                  Estimated Let             Total
                                   Project                            Date                   Cost

                    PA Ill Reconstruction                                9/87            $ 38,970,000

                    Second Street Bridge Replacement                   10/85             $      600,000

                    Edgmont Avenue 1-95 Ramp                             5/86            $   1,560,000

                    1-476, Mid-County Expressway                         7/85            $261,630,000
                                                                  (MacDade   Blvd.
                                                                  to 1-95)

                    SOURCE: PennDOT 12-Year Program

                                                          -36-

                       Bus Transportation

                       Bus service is provided to the IDS area by SEPTA.           Two bus
                  lines link the study area-with destinations throughout the County.
                  One  line is Route 113, which links the eastern portion of the County
                  from the 69th Street terminal with Marcus Hook via Darby and Chester.
                  This route serves the Chester CBD and the IDS area via Third Street.
                  A second line is Route 70, which connects Brookhaven to Feltonville
                  and Buckman     Village via Third Street in Chester.       Both of these
                  lines stop at   the Chester Transportation Center where connections
                  can be made to  routes throughout the County.

                       Bus stops   servicing the study area are located at Third and Lloyd
                  Streets and Third Street and Highland Avenue, and stops are made
                  at 30-minute intervals.   SEPTA has recently replaced many of the older
                  buses in its fleet and has the capability to provide more efficient ser-
                  vice.

                  Rail Transportation

                       Commuter Service

                       The study area is served by SEPTA's regional high speed lines
                  (commuter rail) , and the station nearest the study area is at Highland
                  Avenue.    SEPTA operates 26 inbound/ outbound trains per day.         The
                  rail line 6perates within the same track bed as AMTRAK's inter-
                  city passenger service.     However, AMTRAK service to Chester was
                  discontinued in early 1983, and these trains pass through the City
                  without stopping.

                       Freight Service

                       Due to the reduction in industrial activity in the study area and
                  the dependence on high way-oriented shipping routes, the demand for a
                  healthy rail network has diminished. However, the existence of rail
                  access for major industrial parcels is a positive factor in any re-
                  development plan.

                       In 1975, existing rail facilities of the Penn Central and Reading
                  lines were consolidated into the Conrail system.         While the Phila-
                  del phia- Washington main line was conveyed to the AMTRAK system and
                  electrified to provide commuter service, Conrail maintains the line and
                  utilizes it for electrified freight service.    Direct riverfront freight
                  service is provided by two branches which follow the former Penn
                  Central rail line. The Chester and Philadelphia branch runs a distance
                  of 13 miles between the D elawar e- Penns ylvani a line and Eastwick. The
                  Reading Company Chester Branch also runs 13 miles between Marcus
                  Hook and 60th Street in Philadelphia. Both lines are non-electrified and
                  operate diesel-powered locomotives.     While maximum speeds on these
                  lines cannot exceed 15 MPH, slow orders of 5 MPH are enforced because
                  of deteriorating track conditions.    Both lines contain many spurs into
                  waterfront parcels currently under or unutilized.      Service crews and

                                                    -37-

                    yard facilities in the study area are located on the former Penn Central
                    line at Thurlow Street and between the former Penn Central and
                    Reading industrial lines at    the Stoney Creek yard in South Chester.

                         In general, the study area is served by a substantial rail system
                    for industrial usage. However, due to the reduced usage and lack of
                    maintenance and manpower, the system must be operated at inefficient
                    levels.  Deterioration of the existing system was evaluated in 1975 by
                    the United States Railway Associates who surveyed approximately 48,000
                    miles of Conrail track. The survey revealed that there is a major need
                    for replacement of ties, track, switching areas, etc.           However, the
                    billion dollars budgeted by Conrail over the past ten years provide
                    only enough funding for repair of existing facilities. No new construc-
                    tion is anticipated to satisfy new shippers' demands.

                    Water Based Transportation

                         The study area is fortunate to have the opportunity for direct
                    access to the -Delaware River for industrial shipping.           However, al-
                    though this access exists, channel depths and river sedimentation
                    adjacent to industrial parcels have made berthing of deep drafting
                    vessels impossible.     Navigable waters are located in the center of
                    the watercourse where the U.S. Army Corps of Engineers (COE)
                    maintains and dredges the 40-foot channel.        Depths fronting industrial
                    parcels range from 6 to 24 feet. The LCA and Riverbridge parcels
                    have direct pier access to a depth of 24 feet.           As a result of this
                    shallow water, direct access is restricted to shallow draft vessels such
                    as barges and river tugs.       Larger ocean-going vessels must dock at
                    deep water ports in Philadelphia and Wilmington or anchor in deep
                    channel areas.

                         Chester may have an opportunity to improve direct port access for
                    industrial expansion.     However, this would require detailed economic
                    and technical feasibility studies since non-federal funds would be
                    required to develop a channel linking the riverfront with the existing
                    40-foot shipping channel maintained by the COE.

                    Pedestrian Network

                         An important issue in the existing neighborhood areas of the study
                    area is the availability and condition of a safe and adequate pedestrian
                    network to serve the needs of residents and employees of area firms.

                         Within the IDIA there is no system of walkways to connect the
                    large parcels to each other nor are there any internal systems.             Due
                    to the heavy dependence on truck and rail access, hazardous pedestrian
                    conditions occur when these activities clash.          Also, because of the
                    difficulty in reaching the neighborhood service areas from the water-
                    front, interaction between the industrial corridor and the neighborhood
                    is limited.   There is a clear need for a planned pedestrian system to
                    link industrial parcels with each other, with neighborhood activities,
                    and with recreation areas such as the Barry Bridge boat launch.

                                                        -38-

                        Within the NIA, the pedestrian network follows the grid street
                   pattern.   Although this network includes an extensive system of
                   sidewalks, much of it is in disrepair and offers no amenities to en-
                   courage pedestrian movement,      The City of Chester has been utilizing
                   CDBG funding for sidewalk and curb reconstruction. There is a clear
                   need for extensive reconstruction including handicapped ramps, tree
                   planting, and street furniture throughout the study area.

                        New development in the industrial corridor and neighborhood must
                   consider pedestrian movement not only to provide adequate and safe
                   access but also to provide neighborhood interaction and beautification
                   which would aid in a more positive view of the area by potential
                   developers.

                   Utilities

                        The IDS study area is fully served by public utilities.          Water,
                   sewers- gas, electric, and refuse disposal services provide an existing
                   useful infrastructure to be utilized by the area. Because of the age
                   and configuration of some specific sections, problems have occurred;
                   however, the agencies which are responsible for their maintenance have
                   kept the systems in good working order.            The following sections
                   describe he services that are available in the IDS area.

                   Water Supply

                        Water is provided to the IDS area by the Chester Water Authority
                   which obtains its supply from the Octoraro Creek and the Susquehanna
                   River. The system has an average daily sendout of approximately 31
                   million gallons per day (MGD) and has the resources to cover a demand
                   of 60 MGD.    About 40 percent of the sendout goes to industrial users.
                   Main transmission lines in the IDS area run along Route 291 and have
                   the opportunity to undergo full-scale improvement concurrent with the
                   highway's reconstruction.    With current demand being satisfied, suffi-
                   cient surplus is available for expanded industrial activity.

                   Sewer Service

                        Sewer service is provided to the IDS area by the Delaware County
                   Regional Water Quality Control Authority (DELCORA).                DELCORA
                   provides service to Chester as well as to most of Delaware County. Its
                   main treatment plant is located directly west of the IDS area and has
                   a capacity of 46 MGD.      The plant is currently operating at 38 MGD.
                   A 30-foot force main located in Fourth Street transports industrial
                   waste, which makes up about 75 percent of the load, to the main plant.
                   The Authority also maintains the entire sewer network within the study
                   area and is responsible for its repair and maintenance.         Any future
                   integration of industrial usage would have to be studied by DELCORA,
                   but capacity appears to be available.

                   Gas and Electricity Service

                        Electricity and natural gas service is provided to the IDS area by
                   PECO.    PECO is a member of a coordinated power grid system called

                                                     -39-

                  the Pennsylvania- New Jersey-Maryland Interconnection (PJM). This is
                  one of the most up-to-date systems in the nation, and through its main
                  office, PJM can shift power to various sectors of its coverage area
                  depending on need.     PECO -has maintained a policy of continuing to
                  update its facilities by retiring old oil-fired generating stations and
                  shifting to more up-to-date facilities,

                       PECO owns a large portion of the IDIA, so it has land available for
                  future plant construction. These holdings include the active Tilghman
                  Avenue gas plant along with the retired Chester generating station.
                  PECO's banking of land areas adjacent to existing generating facilities
                  is consistent with CZM energy facility siting policy. This availability
                  of land area and programmed plant updates make it possible for PECO
                  to service any future needs of industrial expansion.

                  Solid Waste Management

                       Refuse collection in the IDS area is performed by Chester City and
                  private haulers.   Residential collection is the responsibility of City
                  haulers who transport to County transfer stations for disposal to
                  various landfill areas.  Industrial parcels are generally serviced by
                  private haulers under-contract with the various firms. In cases where
                  hazardous chemicals or wastes result from processing, the Depart-
                  ment of Environmental Resources (DER) closely monitors plant disposal
                  practices and requires that only certified haulers handle such wastes.

                                                    -40-

                                   CHAPTER 4'

                                  ANALYSIS OF

                  PROBLEMS AND OPPORTUNITIES

                   CHAPTER FOUR
                   ANALYSIS OF PROBLEMS AND OPPORTUNITIES

                        With the previous portions of this report providing a data base of
                   existing conditions in the -IDS area, identification of opportunities for
                   and constraints to new industrial development or expansion can be
                   analyzed.   This data base will also assist in coordinating existing
                   neighborhood improvement programs and might possibly demonstrate
                   the need for new ones within the NIA.          To discuss these charac-
                   teristics, each sub-sector of the IDS study area will be examined
                   separately.   By illustrating each problem and constraint, a strategy
                   addressing these issues can be developed.            By recognizing the
                   opportunities for redevelopment, the strategy can identify resources to
                   implement physical, infrastructure, and social programs which would
                   benefit the IDS area and the City as a whole by providing increased
                   employment opportunities and an improved living environment.

                   Industrial Development Impact Area (IDIA)

                        The IDIA reflects a continuing trend of declining primary manu-
                   facturing industries in the frost-belt states.       Due to a variety of
                   physical and social factors, many major industries have either moved
                   their operations to sun-belt states or have ceased operating entirely.
                   Examples of this are the former users of the RIC site.          Ford Motor
                   Company and Reynolds Aluminum have both moved from the area.
                   Because of this, many related businesses such as shipping and ware-
                   housing have lost their mark@@ts.

                        The large waterfront parcels which are available for disposition
                   are being marketed in their entirety, and this has resulted in highlv
                   priced sites with limited appeal. When these high purchase prices are
                   coupled with development and site upgrading costs, the properties can-
                   not compete with undeveloped industrial park land in other parts of the
                   County.

                        Due to age and obsolete development techniques, the structural
                   soundness of the existing industrial buildings in the IDIA is very
                   poor with most of these buildings being in need of extensive rehabili@-
                   tation or demolition.   For example, the Phase II Study identified the
                   LCA Leasing property as being in need of $350,000 worth of structural
                   demolition alone.

                        The land use pattern demonstrates a continuance of nonconforming,
                   conflicting uses which have been left over from a time of intense
                   development during the boom years. The remaining residential housing
                   stock represents     a significant architectural barrier to industrial
                   expansion south of   Route 291. The widening of Route 291 will not only
                   serve as the first   large-scale demolition and clearing of the area but
                   will also separate   any remaining nonindustrial areas from contiguous
                   neighborhoods.    Therefore, because of these characteristics, a policy
                   of demolition and relocation from the IDIA should become the long-range
                   alternative for this area.    By identifying redevelopment /rehabilitation
                   areas within the adjoining NIA, the needs of the relocated residents
                   can be met.      Unfortunately,, there have been so many actors in-
                   volved in the problems of relocating residents and acquiring developable

                                                      -41-

                   land assemblages, each utilizing different criteria for assistance, that
                   the efforts have been uncoordinated and somewhat haphazard.                The
                   residents of the neighborhood are in need of coordinated assistance to
                   find alternative living areA9.      Financial assistance programs for re-
                   locating existing residents will be required because of their severe
                   poverty levels.

                         Transportation access, both highway and rail, is in very poor
                   condition.   Access to waterfont parcels is in need of upgrading with
                   reconstruction of Route 291 being the major improvement issue in
                   the area.   Also, access from major linkages such as 1-95 is inadequate
                   and poorly signed.       Flow conflicts and bridge obstructions hinder
                   efficient use of the existing network.       The existing grid network and
                   street widths are insufficient for large volumes of truck traffic,
                   resulting in conflicts between car and truck traffic.        With no delinea-
                   tion between car and truck routes, this will continue to result in
                   hazardous conflicts between neighborhood and i.ndustrial traffic.

                         Along with poor highway conditions, the existing network of rail
                   lines and spurs is underutilized and in poor condition. These lines,
                   which basically run along Front Street, also result in vehicular conflict.
                   Due to lack of service in the area, Conrail has had no interest in
                   upgrading rail conditions.     In 1976, an evaluation revealed that over
                   $1 billion would need to be    expended over a 10-year period to upgrade
                   service throughout the river    corridor.

                         To further retard 'development in the IDIA area, two other major
                   factors arise. The first is the e3dstence of a high crime rate.        Because
                   of this situation, new firms are not an3dous to locate in the area and
                   risk exposing their businesses or employees to crime. Employees would
                   not remain eager to work for firms in areas where this problem exists.
                   Another issue which has restrained development is the lack of skilled
                   labor available for new or "high tech" employment. Although training
                   programs are available, without employee sponsorship, the trainees maV
                   not be able to find jobs.

                         In contrast to these negative features, the study area possesses
                   many opportunities for redevelopment which undeveloped, "raw', acreage
                   does not enjoy.     Supporting infrastructure with public water and sewer
                   service is available.    DELCORA operates sewage facilities located just
                   west of the study area and has the capability of expanding its facilities
                   to process additional amounts of industrial wastes. Increased amounts
                   of processed industrial sludge would provide an opportunity for the
                   production of fertilizer or for energy generation. The Chester Water
                   Authority provides public water to the area and also has sufficient
                   resources to cover increased demand. Any use of public water would
                   probably be limited with the remaining industrial need being satisfied
                   by water from the Delaware River.         This source could be utilized in
                   many cooling processes and returned to the river once its temperature
                   is moderated.     This should not result in any adverse environmental
                   impacts on the Delaware River.

                         The study area has an established street network to serve the
                   industrial zone.    Although this network is in disrepair and has not

                                                        -42-

                   been designed for modern transportation modes, the opportunities for
                   improvement are present and, as noted in Chapter 1, are programmed
                   by various agencies.    Proper and efficient expansion and utilization of
                   the typical 60-foot right-of-way in Chester will stmamline vehicular
                   transportation.   Complementing the circulation network of the immediate
                   study area is the proximity of, and improvements to, the major linkages
                   in the Delaware Valley. The Blue Route, widening of Route 291, and
                   the close relationship to 1-95 are very positive influences. The parcels
                   are easily accessed by Conrail via numerous spurs and are minutes
                   from Philadelphia International Airport.

                        Even with the presence of these positive factors, the most impor-
                   tant component in the redevelopment scheme is the stability of the
                   existing firms in and adjacent to the study area.         Of the industrial
                   firms identified in Tables 5 and 6 and in the text preceeding these
                   tables, many have been located in the same site for many years and
                   have operated successfully.        These companies employ over 6,850
                   workers and can be a major stable foundation on which to expand.
                   These firms represent a benchmark from which to demonstrate the
                   viability of new industrial activity along the Chester waterfront.

                        Lastly, however, the most important issue which will serve as a
                   common thread to tie all of the preceeding opportunities together
                   is the enterprise zone designation (see Map 7).             The enterprise
                   development program provides an extensive array of financial assistance
                   and incentive programs to eligible areas that cannot be applied to al-
                   ternative sites.   In 1983, DCA designated Chester City as an entitle-
                   ment area for this special program.     Funding programs can be utilized
                   for economic development and for neighborhood projects.         Further ex-
                   planation of the enterprise development program is provided in the
                   following chapter.

                   Neighborhood Impact Area (NIA)

                        The NIA exemplifies many of the problems which exist City-wide in
                   Chester.    The poor condition of the housing stock and the socio-
                   economic status of the residents result in formidable problems for
                   redevelopment.     As the previous chapter identified, the majority
                   of the structures in the NIA are either severely dilapidated or are
                   vacant.   Commercial activity and services are inadequate to serve the
                   needs of neighborhood residents and employees of the IDIA, and rec-
                   reational areas are inaccessible and therefore underutilized,       Vehicular
                   and pedestrian movement is haphazardly designed and in disrepair,
                   and the area is under-serviced by public transportation which must be
                   utilized by residents due to the fact that so many do not have access
                   to personal vehicles.

                        In recognition of these characteristics, the City of Chester has
                   designated a large portion of the NIA as NSA's. These areas have been
                   analyzed by the City, and strategies for CDBG funding have been
                   developed.    The severely deteriorated condition of the structures has
                   resulted in past foreclosure and demolition activity by the City which
                   has followed a policy of separation of land uses in the area.         A wide
                   range of opportunities for utilizing various funding sources exists as

                                                      -43-

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                 a result of the extreme degree of social and economic decay. The area
                 contains many large underutilized and vacant parcels which are tax-
                 delinquent. By including these parcels in redevelopment plans, possible
                 new development areas for-low-in'come residents displaced by the Route
                 291 reconstruction project are provided.      Vacant structures could
                 become a resource for homesteading and shopsteading programs which
                 would benefit residents by providing local services.     New industrial
                 development would have a nearby labor pool to provide the manpower
                 for manufacturing activities. Specific NIA redevelopment cores will be
                 explained later.

                                                  -45-

                                   CHAPTER 5

           ECONOMIC REVITALIZATION PROGRAMS

                                          mom

                    CHAPTER FIVE
                    ECONOMIC REVITALIZATION PROGRAMS

                         The following section is concerned          with the various financial
                    assistance programs available from public        and private sources which
                    could be utilized in the IDS area.        Both   private and public projects
                    can benefit from the identification and utilization of the various
                    programs described in this report.         It is hoped that this overview
                    of loan sources and incentives will suggest      opportunities for packaging
                    proposals to benefit existing or new businesses which could trigger
                    reinvestment in the Chester waterfront.

                         It is very important that these programs be coordinated through
                    the local governmental departments, corporations, and organizations
                    currently existing in the City of Chester and Delaware County since
                    they comprise the necessary implementation mechanism.              With these
                    organizations providing access to incentives and strategies for their
                    application, new activity such as increased employment, a widening
                    of the tax base, and the upgrading of the physical environment and
                    infrastructure of the strategy area can occur, with neighborhood
                    activities benefiting from the reinvestment and the IDS area serving
                    as a model and core for redevelopment activities.

                         Many programs have their own specific requirements,               some of
                    which are changing rapidly.        This document provides basic         informa-
                    tion on eligibility.     Further data on these programs can be ob-
                    tained from the specific agency or institution identified in this report.
                    Appendix D contains a list of information sources.

                    Types of Financing

                         The three major types of financial assistance that may be used
                    for economic development are venture capital funds, conventional
                    debt capital, and governmental assistance programs.            Current trends
                    in financing development proposals illustrate that most projects entail
                    a grouping or "packaging" of various types to address specific needs.
                    Because of this characteristic, an overview of these types of financing
                    will provide a basis for strategic packaging.

                    Venture Capital

                         Venture capital funds are established to provide investment
                    dollars in exchange for equity in a business enterprise.             Equity is
                    obtained as a percentage of ownership in an enterprise.              This type
                    of. financing is most attractive to technical firms with a high growth
                    potential.   Venture capital usually has the shortest term and entails
                    a complex set of stipulations that must be negotiated at the time of
                    origination.   For example, venture capitalists may require a business
                    to include equity "kickers." This provision allows investors to receive
                    more shares or requires the businessman to offer more stock to the
                    public from his shares while shielding those of the investors.

                         Recent figures presented by "Venture Magazine" indicate that the
                    venture capital industry has been responsible for the establishment
                    of about 2,500 new companies.         More and more varied and unusual

                                                        -46-

                  sources of venture capital are being discovered.            For example,
                  companies are seeking assistance from partners such as large business
                  enterprises. Large businesses might provide funds to small companies
                  in exchange for their perfo-rming valuable new research and development
                  or simply because they need an investment.            Also, consultants,
                  accounting firms, and law firms have begun to provide services to put
                  new businesses in touch with financing for a fee.

                       Public funding can also be utilized for venture financing. This is
                  a result of the Reagan administration's decentralizing programs and has
                  forced state and local governments to develop innovative forms of
                  funding assistance to maintain economic stability.    Capital pool funds
                  can be created by utilizing business contributions (for which tax
                  bonuses are awarded) such as is done in the state of Indiana. Pension
                  funds for state employees have also been utilized in Michigan and
                  Oregon to provide funding for their economic development authorities.

                       Venture financing with its assumption of risk may be contrary
                  to the long-time conservatism of this region's financial institutions.
                  However, recent demand from "high tech" growth industries has
                  demonstrated that this financing is a viable economic development
                  tool.

                  Debt Capital

                       Debt capital is money borrowed from a source which is to be
                  paid back with interest.    A business has sole control of all activities
                  and responsibility for repayment of the debt.        If the businessman
                  defaults on the loan, the business or other collateral must be liquidated
                  for the lender to recoup his loan funds.

                  Governmental Assistance Programs

                       Various loan and grant programs for businesses are available at
                  the federal and state levels. The main purpose of these programs is to
                  promote a healthy economic environment for the creation and continua-
                  tion of enterprises which provide employment opportunities for residents
                  and an improved tax base for the community. The production and sale
                  of goods and services are seen as stabilizing factors in maintaining a
                  region's economic base.    This form of financing is very important to
                  marginal businesses and new firms which need assistance in their in-
                  f ancy.  Loans can be made available to various social and economic
                  groups which cannot provide the necessary equity to qualify for con-
                  ventional loans.

                  Sources of Financial Assistance

                  Bank Financing

                       Conventional financing from banks is generally the most utilized
                  source of business loans.     The major loan types available are term
                  loans, and within this category there are three types: 1) short-term,
                  2) intermediate-term, and 3) long-term.

                                                    -47-

                        Short-term loans are written for a period of up to 90 days and
                   are usually utilized for the day-to-day operational needs of a business,
                   such as salaries, rent, or insurance.        They are known as revolving
                   loans because they are repa-yed at the end of a manufacturing cycle,
                   when a business receives payments (accounts receivable) for goods
                   and services. When this cycle is completed, a new round of financing
                   can begin.      These loans are usually unsecured (no collateral is
                   necessary because the bank can make the loan on a company's credit
                   rating) and carry lower interest rates than those on secured loans.

                        Intermediate-term loans or "term loans" provide funds for more
                   permanent needs such as equipment.          In addition, this type of loan
                   can be utilized to purchase existing businesses or to establish new
                   businesses, to provide working capital, or to replace long-term debt at
                   a lower interest rate.      Repayment schedules can vary, with payments
                   on a sliding scale increasing during the period of the loan with a final
                   balloon payment common. The lower payments during the early period
                   of the loan  give a new business an opportunity to build up equity over
                   a period of  years while the ongoing operation produces income to repaV
                   the debt.    The loan may be unsecured or secured. Loan agreements
                   will contain stipulations to protect the lenders and usually require the
                   borrower to  submit periodic financial statements. In this way, the bank
                   can monitor the value of the collateral to ensure that there are no
                   drastic devaluations of the product.

                        Long-term loans may take various forms, including sale of certain
                   business assets or injection of new equity and/or investors to provide
                   collateral.  However, for this description long-term borrowing will be
                   covered.    These loans are the longest in duration and are the most
                   difficult to obtain. They can be used to purchase fixed assets and as
                   working capital, with repayment schedules on a quarterly or monthly
                   basis with a fixed, amount through the loan maturity.         Because of the
                   long period of the loan, the business agrees to certain restrictions in
                   its operation along with a pledge of those assets supported by the loan.

                        The majority of loans for new businesses are secured loans which
                   require business assets as collateral.      Collateral to secure a loan may
                   be in -the form of accounts receivable, inventory, or fixed or liquid
                   assets.   Secured loans may also be supported by other parties such as
                   endorsers, comakers, or guarantors.        These second parties to a bor-
                   rower ensure the repayment of a debt in varying degrees.

                        Accounts receivable loans have been generally addressed in the
                   description of short-term loans.      However, this form of collateral may
                   also be the basis for term loans. In addition to the pledge of accounts
                   receivable, a process of "factoring" can be utilized.        In this case, a
                   lender purchases a company's accounts receivable and is then re-
                   sponsible for the collection of outstanding bills, whereas in the former,
                   the company would collect receivables and then in turn pay the debt.
                   Factoring is a more expensive approach to obtaining funds because of a
                   service charge in addition to interest.

                        Inventory loans are utilized by a business which has a lag period
                   in the manufacture and disbursement of goods. The bank receives title

                                                       -48-

                   or places a lien on stored inventory held in some cases by a third
                   party. When the inventory is sold, the business pays on the loan the
                   amount due on the product. There are various stipulations relating to
                   the expense of a product -that entail a review by the lender. An ex-
                   ample of this type of loan is that used for financing automotive pro-
                   duction.

                        Fixed asset loans    are utilized for large capital items such as real
                   estate, equipment, etc. When machinery is involved, the bank holds a
                   'Ichattel mortgage" on    the equipment.     This makes it possible for a
                   business to utilize the   technology necessary to increase equity, while
                   protecting the loan by letting the bank retain title to the machinery.
                   Liquid assets include     savings accounts, life insurance policies, and
                   marketable stocks and bonds. The amounts loaned by the bank vary in
                   each case.

                   Private Financing

                        The two major sources of private funding are commercial lending
                   companies and private organizations or companies not directly related to
                   the banking industry. Each source has specific criteria to       'provide the
                   greatest return to the investors, depending on the situation.

                        Commercial finance companies are specifically targeted for busi-
                   nesses. They do not provide the personal banking services covered by
                   the local bank, Loans are of term duration with credit usually covering
                   periods from 90 days to one year. Interest rates are generally higher
                   than current bank rates.       Because of this, these companies consider
                   financing higher risk and new businesses by accepting collateral sources
                   that are generally ignored by banks. Commercial lenders are similar to
                   banks in the types of security necessary to cover the indebtedness.
                   This includes accounts receivable and a heavy reliance on factoring.

                        The second source of private financing includes insurance com-
                   panies, pension funds, and foundations. Funding from these sources is
                   the most difficult to obtain due to their conservative policies.           Small
                   business ventures usually will not qualify because the administrators of
                   these loans look for stable companies with a history of past profits.
                   These sources could be approached by development corporations that
                   would ensure and properly manage loan disbursement.

                   Governmental Financing

                        Federal Programs

                        At the federal level, the major agencies involved in providing
                   financial assistance are the Small Business Administration (SBA) , the
                   Economic Development Administration (EDA), and the Department of
                   Housing and Urban Development (HUD).

                                                       -49-

                               Small Business Administration

                                    The SBA was formed to provide capital and credit to
                               firms that have not been able to obtain funding at reasonable
                               interest rates through private sources.        The SB A also pro-
                               vides counseling in financial matters, management, production,
                               and licensing, regulates small business investment companies
                               (SBIC), and aids small firms in obtaining government con-
                               tracts.  In addition to the general services provided by the
                               SBA, special assistance is provided to veterans.                 Pro-
                               cessing is streamlined, collateral is decreased, and the
                               maturity of the loans is extended. In addition, applications
                               are processed by a separate "veterans affairs office."

                                    To be eligible for SBA loans, a company must be certi-
                               fied as a "small business."       This is defined as a company
                               (and its affiliates) that is independently owned and operated
                               and is not dominant in its field of operation. Specific criteria
                               for describing what is considered "small" in different fields of
                               operation have been developed by the SBA in the following
                               areas:

                               1)   Manufacturing: maximum employment between 250-1500.

                               2)   Wholesaling: maximum yearly sales of $9.5           22 million.

                               3)   Servicing: maximum yearly receipts of $2             8 million.

                               4)   Retailing: annual sales or receipts of $2 - 7.5 million.

                               5)   Construction: maximum annual receipts of $9.5 million for
                                    the last three fiscal years.

                               6)   Special trade construction: maximum annual receipts of
                                    $1 - 2 million for the last three fiscal years.

                               7)   Agriculture: maximum annual receipts of $1 million.

                               A change in these criteria which would base size descriptions
                               on total number of employees per firm has been proposed.

                                    Applicants for loans must meet general credit conditions.
                               policy criteria, and loan requirements set by the SBA and
                               Congress. Loans are awarded to business owners of good
                               character who have demonstrated managerial ability and have
                               sufficient capital or security to assure reasonable ability to
                               repay the loan.     Collateral for SBA loans may consist of a
                               mortgage on land, buildings, or equipment, marketable prod-
                               ucts, or assignment of receivables.         Interest rates can be
                               variable and are set according to the current prime rate
                               quoted by the "Wall Street Journal" or the "Federal Register."

                                                        -50-

                                  Appropriations from Congress make it possible for the
                            SBA to offer three general forms of business loans. The most
                            widely utilized are the bank guaranteed and the participation
                            loans. The guaranteed loan is provided by a private lender,
                            and the SBA guarantees 90 percent of the funds.          Such a
                            loan has a ceiling of $500,000.     The immediate participation
                            loan, which can be utilized when a guarantee is not available,
                            provides that a bank loan a portion of the needed funds at
                            a market interest rate with SBA loaning the difference at
                            a lower rate.    This form has an SBA ceiling of $150,000.

                                  Direct loans from the SBA are also available as a last
                            resort for businesses that cannot obtain private or other
                            guaranteed or participation loans.    Interest may be slightly
                            lower than other forms, but loans cannot exceed $150,000.
                            Regular business loans have a maturity of 25 years, and loans
                            for working capital are limited to seven years.

                                  The SBA also provides loans to support low and moderate
                            income persons, handicapped persons, energy development
                            companies, and employee stock ownership trusts.       The SBA
                            regulates and supports SBIC's which provide capital or loans
                            to small businesses leveraged by private and public monies.
                            Local development companies can also receive up to $500,000
                            of support under the SBA's 503 program. Table 10 illustrates
                            the general criteria relevant to each of the 8BA loan pro-
                            grams.

                            Economic Development Administration

                                  The EDA is a branch of the Commerce Department. Its
                            main function is to administer development assistance programs
                            for areas with severe social and economic decay.        Programs
                            include loans and grants for public works, business loans
                            for industrial and commercial facilities, and loans for working
                            capital.

                                  To be eligible for EDA assistance, an area must be
                            certified- as a redevelopment area by having demonstrated
                            statistical data in areas such as structural unemployment,
                            population decline, and reduction of business activities and
                            firm s.  The City of Chester was designated an "enterprise
                            zone" by the State in 1983, entitling the IDS area to EDA and
                            other assistance programs.

                                  The major enabling legislation for funding EDA projects
                            is the Public Works and Economic Development Act of 1965
                            (PWEDA). The PWEDA contains ten titles addressing various
                            economic development activities. Three of these programs will
                            be discussed here.

                                  Under Title I, the EDA provides funding for the acqui-
                            sition and development of land and facilities for public works
                            or infrastructure improvements.    Grants are made to govern-

                                                    -51-

                                                                                             TABLE 10

                                                                                  GENERAL CRITERIA MATRIX
                                                                              SMALL BUSINESS ADMINISTRATION
                                                                                        LOAN PROGRAMS
                                                                            Standard 7A Loans           Handicapped
                                                                                       ImmeMate
                                                                                        Particl-        and Minority
                                                       Direct        Guaranteed          pation           (Economic                   I   Economic                       Development
              Eligible Activities                    100% SBA         90% SBA           90% SBA         Opportunity)         Disaster      Injury          Energy          Go. 503

              Land Purchase                               x               x                 x                  x                x             x                                x
              Building Purchase                           x               x                 x                  x                                                               x
              Building Renovat.lon                        x               x                 x                  x                x                                              x
              Equipment Purchase                          x               x                 x                  x                              x                                x
              Equipment Repair/ Renovation                x               x                 x                  x                x                                              x
              Working Capital                             x               x                 x                                   x             x               x
              Research and Development                                                                                                                        x
              Prototype Manufacturing                     x               x                 x                                                                 x
              Construction                                x               x                 x                                   x                             x                x
              Miscellaneous (low/moderate                                                                      x                                                               x
                income. tribes, minorities)_

              Loan Characteristics

              Minimum Amount                                                                                                                                        3      $ 10,000
              Majdmum                                $150,000        $500,000          $150,000            $100,000          $500,000     no ceiling       3 million        500,000
              Maturit y                                25 yrs/7 yrs. for working capital                    15 yre.          30 yrs.       10 yrs.          15 yrs.         20 yrs.
              Services  Fees (Y/N)                        N               Y                 Y                  N                N             N               Y                N
              Subordinate @Y/N)                           Y               N                 N                  N                Y             Y               Y                Y
              Interest Rate
              I     Area must have been declared a        disaster  area  by the federal    government due     to a catastrophic event.
              2     Special consideration Is granted      due to the negative knpact of various governmental policies or procedures.
              3
                    Bank guaranteed (10% must be provided by the applicant).
              4     Interest rates set at time of disbursement.

              SOURCE: Small Business Administration

                               mental units and to private/public nonprofit organizations.
                               The federal government usually provides 50 percent funding,
                               with the remainder being supplied by the grantee. However,
                               in some cases of'-severe distress, the federal share could be
                               as high as 80 percent. The goal of Title I funding is to help
                               the distressed community absorb the front-end costs for
                               physical improvements in infrastructure and to stimulate
                               private investment which was formerly prohibitive.

                                    Title II of the Act provides for loans and loan guar-
                               antees to various concerns, including businesses and private
                               lending institutions as well as political entities and minority
                               groups. EDA guaranteed loans are similar to the SBA guar-
                               antees discussed earlier. However, EDA loans do not have a
                               maximum cap and are 90 percent guaranteed. Interest rates
                               for EDA guaranteed loans must be consistent with those
                               charged to preferred customers of the institution.             Direct
                               EDA loans supported by a firm's fixed assets can be obtained
                               in amounts of up to 65 percent of the value of the assets.
                               Loans for working capital of up to 100 percent of the re-
                               quired amount are also available.       Various requirements and
                               stipulations can be arranged including equity participation,
                               and terms vary from 5-year maturity on loans to cover capital
                               investment costs to 25-year maturity for fixed asset loans.

                                    The Title IX Program was enacted through a 1974 amend-
                               ment to the PWEDA which provides grants for assistance to
                               areas with long term economic deterioration such as the IDS
                               study area. Planning and implementation grants of up to 75
                               percent of the project costs are available. In some instances
                               the EDA will provide 100 percent funding if local matching
                               monies cannot be provided.        As with Title I programs, im-
                               plementation grants for public facilities and services can be
                               utilized by local governments, enumeration districts, and
                               private/public nonprofit organizations representing the de-
                               velopment area.      In addition, business development grants,
                               which can be redistributed by the grant recipient, un-
                               employment compensation, and relocation assistance are avail-
                               able.   Financial guidelines are strictly administered by the
                               EDA to assure reasonable and stable interest rates.             Addi-
                               tional requirements for EDA assistance mandate that the
                               developer/ grantee comply with EDA rules for land acquisition
                               and relocation.      Projects are required      to uphold current
                               prevailing labor wages and practices along with anti-
                               discriminatory regulations.

                                     Title IX assistance is provided on a case-by-case basis,
                               and standard application forms are not utilized. This occurs
                               because an, applicant's varied needs result in a combination of
                               dif ferent activities.  Once an application has been made, the
                               EDA carefully reviews the project. Usually the amount of time
                               involved from application to disbursement of funds is about
                               1. to 11 years.      The EDA will require all documentation to

                                                        -53-

                            illustrate the positive effects guaranteed by the project and
                            any possible negative impact.

                                 In conclusion,  it should be noted that EDA assistance
                            can be packaged M1 combination with various other programs
                            to address specific needs.      Tax-exempt financing, write-
                            downs, and HUD and SBA programs can be utilized in con-
                            junction with EDA assistance to develop attractive' incentive
                            programs for private reinvestment.

                            Department of Housing and Urban Development

                                 HUD is probably the best known and widely utilized
                            source of programs for local governments and agencies.
                            Eligibility for HUD programs is awarded to entitlement areas
                            on the basis of economic hardship and physical decay. The
                            City of Chester is an entitlement area and can demonstrate a
                            need for a broad application of HUD funding.

                                 The four major HUD programs to be described are the
                            Community Development Block Grant         (CDBG), the Urban
                            Development Action Grant (UDAG) , the Housing Development
                            Action Grant (HoDAG), and the Section     108 Loan Program for
                            local development corporations.    These programs can entail
                            combinations of loans and grants and, aside from CDBG, are
                            augmented by private leveraging.

                            Community Development Block Grant Program

                                 The CDBG program is the most commonly used HUD
                            program. Basic eligible activities include acquisition of land
                            and structures, removal of architectural barriers, public
                            facility improvements, payment for non-federal shares of
                            projects (local shares) , and urban renewal completion.

                                 The City of Chester actively participates in this program
                            and has current strategies for neighborhood redevelopment.
                            Chester has community development strategies for two areas
                            within the IDS area and plans to utilize CDBG funding
                            beginning with the Year 7 (1980) allocation. This funding
                            source can enable' Chester to provide improved police pro-
                            tection, more recreational space, local street improvements,
                            and sewer and water and other infrastructure improvements to
                            increase the general attractiveness of the study area to
                            developers or investors.    Although this is not a direct form
                            of economic assistance to firms, the upgrading of the physical
                            environment along with complementary programs provides
                            greater incentive for business location.

                            Urban Development Action Grant Program

                                 The UDAG program was developed to provide incentives
                            for larger and more profitable companies to locate or remain in
                            distressed cities such as Chester. The City could apply for

                                                   -54-

                             the action grant to support an industrial or real estate project
                             that would create jobs and increase city tax revenues and has
                             approximately an    80 percent private funding commitment.

                                  A significant factor affecting the awarding of the grant
                             is the amount of financial participation from local public and
                             private sources.    A process of "leveraging" is assessed to
                             determine the local commitment.     This evaluates the ratio of
                             federal to local monies in the total project cost and identifies
                             the level of community involvement.       The more non-federal
                             money available to the project, the greater the probability
                             that the UDAG will be awarded.         Project feasibility is the
                             final important factor in evaluating UDAG applications. A
                             complete plan which calls for no additional planning, immediate
                             start-up, and assures that there are no environmental or
                             legal constraints is required.

                                  HUD will process applications within 120 days but will
                             not  release funding before environmental assessments are
                             completed and financial commitments are executed.             The
                             project must be consistent with community goals.        This re-
                             quires citizen participation and the encouragement of special
                             measures to provide for low and moderate income residents,
                             minorities, and residents of blighted neighborhoods.

                                  Along with the basic eligible activities (as described
                             under CDBG programs), eligible economic development activi-
                             ties are acquisition and development of real property and
                             public facility development not already eligible under the
                             former category. This has been expanded to include energy
                             conservation and private infrastructure improvements. Sup-
                             port of SBIC's is also included in UDAG projects. This pro-
                             vides another source of funding to local small businesses,
                             such as minority contractors.     Much of the funding to date
                             has been utilized for land assemblage and cost write-downs
                             for infrastructure development.     Since a separate planning
                             entity does not have to be created, this funding source is
                             the most directly accessible program for local economic in-
                             vestment.

                                  Because of the existing state of extreme deterioration of
                             the study area, both physically and economically, UDAG
                             funding should be a continued option. As mentioned earlier
                             in this report, a UDAG is currently being utilized for in-
                             dustrial expansion in the IDS area.

                             Housing Development Action Grant Program

                                  The HoDAG is the newest addition to HUD's housing pro-
                             gram.   The program is currently undergoing review and is
                             awaiting its funding allocation.-     Conflicts over eligibility
                             criteria have caused delays in the implementation of the pro-
                             gram.    Recently, the City of Chester was among 1,470
                             communities named by HUD as being eligible for the $315

                                                     _55-

                                million appropriated for fiscal years 1984 and 1985. - This
                                funding must be used to alleviate a severe rental housing
                                shortage, and it requires that a significant number of new
                                units be made avail-able solely for the occupancy of low-income
                                families.   In addition, these units must remain available to
                                these occupants for up to twenty years.

                                      As with UDAG funding, HoDAG's require a significant
                                amount of local investment.           HUD requires a 10 percent
                                equity investment for for-profit developers.             For nonprofit
                                sponsors, the 10 percent requirement does not apply.                 This
                                will make this form of funding more accessible to public
                                housing authorities.

                                      This program is in its infancy, and there are some
                                problems in its administration and its relationship to existing
                                programs.      In some cases, regulations prohibit the use of
                                HoDAG funding in combination with other sources of federal
                                assistance.    Nonetheless, HoDAG's can be an important tool
                                for neighborhood revitalization.

                                Section 108 Loan Program

                                      HUD Section 108 financing evolves from a statute of
                                CDBG grant programs which enables HUD to guarantee the
                                issuance of local taxable bonds by local governments of en-
                                titlement areas or their designated public agencies which
                                borrow from future entitlement funding. The guaranteed loan
                                amount cannot exceed three times the amount of the en-
                                titlement grant. This will provide funding for public agencies
                                to acquire property for community and economic development
                                projects.    Activities funded through Section 108 include land
                                assemblage     and    clearance,     relocation    of residents and
                                businesses displaced        by    projects,    public infrastructure
                                improvements, and new site improvements related to Section
                                108 projects.

                                      Applications are made       as part of regular CDBG sub-
                                mittals, and risks regarding ability to make repayments are
                                judged by HUD with the amount of current and future en-
                                titlement monies considered as a source for repayment. Loans
                                must be repaid within six years under a contractual agree-
                                ment between HUD and the applicant.

                          State Programs

                          At the state level, Pennsylvania has economic development pro-
                    grams available from various departments. The major sources are the
                    Departments of Community Affairs and Commerce. Many of these pro-
                    grams described below are funneled through what the State calls "area
                    loan organizations" or ALO's.           ALO's are various local organizations
                    that have been designated by the State as disbursal groups responsible
                    for making local contacts, providing technical assistance, and helping

                                                           -56-

                   with application preparation. The various local organizations which are
                   designated as ALO's will be described later.

                              Department of Community Affairs

                                   One major DCA administered program is that which has
                              evolved from the enterprise zone legislation which was
                              approved in 1983.- Recognizing the need for special programs
                              to address the problems of residents of distressed areas,
                              the State has targeted additional assistance and incentives
                              to specified areas.      Chester has been designated as an
                              Henterprise zone."    By creating these zones, the State en-
                              courages   public   and private cooperation to revive the
                              economies of older, impoverished neighborhoods.           Programs
                              provide incentives for private investment by incorporating
                              local tax and regulatory relief, improved municipal services
                              and community facilities, new job training programs, and
                              transportation improvements. Also, it provides low interest
                              loans for commercial and industrial development along with a
                              70 percent corporate tax credit for firms which contribute to
                              neighborhood improvements.

                                   General examples of development activities that could be
                              implemented in the IDS area include infrastructure improve-
                              ments, lighting, industrial rehabilitation, commercial property
                              improvement, site acquisition and demolition, municipal or
                              nonprofit agency-owned industrial plant improvement, re-
                              volving loan funds for businesses, and compensation for em-
                              ployee stock ownership plans.

                                   DCA funding will be provided by specific departmental
                              programs including small community block grants, community
                              services block grants, neighborhood assistance, and other
                              Community Affairs programs. The main thrust of this legisla-
                              tion is to provide incentives for private sector investment by
                              demonstrating governmental commitment and cooperation from
                              various interests.

                                   Another DCA program which is 'applicable in the IDS
                              area is the Recreational Improvement and Rehabilitation Act
                              (RIRA) Program.      Initiated as part of the $190 million bond
                              program under the Pennsylvania Economic Revitalization Act
                              of 1984, the RIRA Program has been allotted $18 million (in
                              increments of $6 million a year) through 1987. Availability of
                              and access to recreational facilities in areas such as Chester
                              is seen as a positive economic influence on existing and new
                              businesses and/or community redevelopment.             Recreational
                              improvements can act as a catalyst for other community
                              resurgence.

                                   The City can utilize this funding to acquire new park-
                              land as critical inholdings or buffer areas adjacent to existing
                              parks and to, rehabilitate and develop existing parks.          The
                              program also provides for the rehabilitation of existing com-

                                                      -57-

                              munity centers and the conversion of schools and other
                              municipally-owned structures to community centers for indoor
                              recreational activities.   The maximum grant amount the City
                              could receive in-any one fiscal year is $200,000.          The City
                              would have to provide a 50 percent match of project costs.

                                   A related DCA administered program is the Land and
                              Water Conservation Fund (LWCF), a federally funded program
                              which makes annual appropriations for outdoor park and
                              recreation projects.      Applicants submit letters of intent
                              requesting funding for projects which a*re evaluated and
                              ranked in a competitive process.        The two primary ranking
                              criteria are per capita income and population density. ' DCA
                              encourages cooperation among           local governments, school
                              districts, and municipal authorities and will more readily
                              support proposals demonstrating such      cooperation.

                                   These funds can be used for          the acquisition of new
                              parklands, the expansion of existing recreational areas and
                              the development of public park and outdoor recreation areas
                              and facilities. There is no set ceiling on the grant; however,
                              the amount of the grant cannot exceed 50 percent of the
                              eligible project costs or the total approved grant amount,
                              whichever is less.      Donations of privately-owned land are
                              encouarged, and the value of such donations can be credited
                              towards the local share of the required matching funds.

                              Department of Coin  merce

                                   The most recent economic development programs offered
                              by the State fall under the Pennsylvania Economic Revital-
                              ization Act of 1984.     This legislation is supported by a $190
                              million bond issue, the bulk of which is administered by the
                              Department of Commerce.        There are six specific programs
                              which are supported by this legislation that could be utilized
                              in the strategy, and a brief description of each will follow.

                                   Two of these programs are administered by the Ben
                              Franklin Partnership (BFP), an arm of the Department
                              of Commerce established in 1981 as          an outgrowth of the
                              Pennsylvania Science and Engineering Administration of the
                              late 19701s.    The BFP is controlled by a fifteen-member
                              executive board made up of state             officials, legislators,
                              representatives of labor and business,      and governor appoint-
                              ments.

                                   The primary purpose of this           group is to promote
                              advanced technology in the Commonwealth. Regional advanced
                              technology centers linking private and educational resources
                              have been established to provide research for private com-
                              panies through university sources, to provide entrepreneurial
                              assistance to new businesses, to create new incubator
                              facilities, and, to a small extent, to develop technological
                              training for employees of "high tech" industries.

                                                        -58-

                             Small Business Incubator Loan Program

                                  The Small Business Incubator Loan Program provides
                             authority to the BFP Board to provide loans to establish small
                             business incubator facilities.  These facilities will provide low
                             cost space and business services to new firms who need these
                             services to help in new business formation and their early ex-
                             Pansion. These centers will serve as temporary business
                             development centers with maximum tenancy of no more than
                             three years. At the end of that term, healthy businesses will
                             be able to find their own facilities at competitive market
                             rents.  New firms must be engaged in manufacturing and/or
                             product development.     Generally, sales and service firms
                             cannot be tenants. However, if such firms provide pro bono
                             assistance to incubator firms, these firms may locate flie-re.

                                  Loans for incubator developments are made through local
                             sponsors and must qualify under the regulations for industrial
                             development bonds.     Amounts cannot exceed 50 percent of
                             project costs or $650,000, whichever is less. Funds can onlV
                             be used to acquire existing buildings and to carry out the
                             required rehabilitation of the facilities.   Terms of the loans
                             cannot exceed twenty years or the "average useful life" of the
                             facility (as stipulated by IRS publication #534).       Repayment
                             can be deferred for two years at the discretion of the Board,
                             but interest will continue to accrue. Interest must be con-
                             sistent with interest on supporting bonds.         This program
                             could be utilized to support new activity in existing struc-
                             tures within the study area.

                             Seed Capital Fund Program

                                  The Seed Capital Fund Program provides $3 million in
                             state funds to be matched by $9 million in private funding for
                             equity and other financing to new firms in early stages of
                             growth. Investments will be made to businesses seeking to
                             develop advanced technology enterprises. This financing will
                             close the gap between small new firms employing 50 or fewer
                             'Persons and larger firms which have been supported in tradi-
                             tional venture markets. Seed funds will be provided through
                             four existing BFP advanced technology centers. A seed fund
                             is granted by the Partnership only after the new fund mana-
                             ger has demonstrated sufficient private investment and can
                             prove extensive experience in fund management. The BFP can
                             then act as a limited partner in the fund with no active role
                             in the fund management.      Since no one fund should exceed
                             seven years, a new fund could be created supported by re-
                             turns of the original.

                                  Seed funding may be used by small businesses with
                             fewer than 50 employees to develop new technology for initial
                             project development, to demonstrate technical feasibility, and
                             to subsidize prototype development.        Funding to any one
                             business cannot exceed $500,000 and cannot be made in com-

                                                      -59-

                               bination with funding from venture firms of more than
                               $250,000.

                               Pennsylvania Capital Loan Fund Program (PCLF)

                                     The PCLF was created in 1982 for the purpose of making
                               low interest loans to businesses for capital development pro-
                               jects which would create new employment opportunities. This
                               legislation has expanded funding for PCLF to augment existing
                               federal programs with approximately $10 million in state funds
                               through 1986.

                                     Generally, eligible businesses must be engaged in a
                               manufacturing, industrial, export service related, or mer-
                               cantile venture.     There are three loan classes, and various
                               restrictions and interest rates exist for each class.              Con-
                               sequently, each loan must be examined by the State or an
                               ALO.     The main requirement is the creation of one         *new job
                               for every $15,000 of the loan within three years. Substantial
                               penalties on interest rates could result if this criterion is not
                               met.    A business may receive a loan of up to $50,000 or 20
                               percent of the total project cost. In special circumstances,
                               loans can be as high as $100,000 at the discretion of the
                               Secretary of Commerce. Loan funds utilized for the purchase
                               of machinery and equipment and as working capital shall not
                               exceed five years.         Funds utilized for the purchase of
                               buildings and improvements cannot exceed ten years.

                               Business Infrastructure Development Program (BID)

                                     The BID Program provides grants and loans through
                               local sponsors such as local governments, industrial develop-
                               ment authorities and corporations, and redevelopment auth-
                               orities to promote the improvement of infrastructure            serving
                               eligible business beneficiaries. Funds can be used to          pay for
                               infrastructure improvement projects that are necessary for the
                               operation of an eligible business or businesses at a            specific
                               job generation site. There must be sufficient private           invest-
                               ment at the site to complement public funds.              The amount
                               of state money injected is dependent upon the level of           private
                               commitment.      For example, a minimum 2:1 private/public
                               funding ratio is necessary for BID assistance of less than
                               $500,000.     The amount of required private investment in-
                               creases in cases of higher BID assistance.

                                     Job generation must be demonstrated by the creation
                               of ten new full-time positions at the site, at least one new
                               job for every $15,000 of BID assistance, the expansion of
                               employment by at least 4 percent in existing businesses, or
                               the expansion of employment by 25 percent in new locations.
                               This must be accomplished within a time period of three
                               vears.

                                                         -60-

                                   This program has a statewid'e allocation of $16 million in
                              1984-85.   The City of Chester would be eligible for $1.6
                              million during the fiscal year. Funding could be in the form
                              of grants of not -more than $500,000 per project, no interest
                              loans to the City f@r infrastructure projects which are acces-
                              sible to the general public and not under private control, or
                              low interest loans for projects benefiting private investment.
                              Applications   for the    BID   Program are      accepted on a
                              quarterly basis and are submitted by the local sponsor.

                              Minority Economic Development Program

                                   The Minority Economic Development Program provides $5
                              million over three years to supplement the Pennsylvania
                              Minority Business Development Act (PMBDA) of July 22, 1974
                              (P.L. 598, No. 206), which established bonding authority to
                              provide financial support to minority business interests. This
                              program is targeted for business enterprises owned or con-
                              trolled by one or more socially or economically disadvantaged
                              persons who are residents of the State.       Disadvantages mav
                              arise from cultural, racial, or chronic economic circumstances.
                              This program is especially applicable to the study area in
                              view of its DCA designation as an "enterprise zone."

                                   Funding can be in the form of a direct loan or a loan
                              guarantee with generally a $100,000 maximum limit. However,
                              because of the enterprise zone designation, the ceiling may
                              rise as high as $200,000.      As in all of the state loan pro-
                              grams, increased employment opportunity is a key goal of the
                              PMBDA funds as well as is the opening up of business enter-
                              prises to low and moderate income social groups.         One new
                              permanent job must be created for every $15,000 of loan
                              funds.   Interest rates cannot fall below 4 percent under the
                              prevailing prime rate.

                                   This program has specific requirements concerning
                              business development, ongoing monitoring, etc.        These con-
                              ditions provide greater direction to aid new minority en-
                              terprises in being successful in the business venture.

                              Employee Ownership Assistance Program,

                                   The Employee Ownership Assistance Program was estab-
                              lished to promote employee take-over of existing enterprises
                              which are experiencing layoffs or which possibly face closing.
                              A turnaround in production and improved productivity suf-
                              ficient to bring back failing firms can be traced to employee
                              ownership.    Funding can be provided for industrial, manu-
                              facturing, or commercial enterprise employee groups con-
                              sidering buy-out of their employer who may require feasi-
                              bility studies and/or capital for purchasing a firm's assets,
                              improvement to facilities, and working capital.

                                                      -61-

                                  Under this program employee ownership can take three
                             forms: 1) a workers' cooperative, 2) an employee stock
                             ownership plan, or 3) direct ownership of the shares of
                             the company.    Specific requirements for each form must be
                             tailored to the specific proposal under provisions of the
                             Internal Revenue Code's tax regulations.
                                  Loans of up to $100,000 or 5 pe'rcent of the project
                             costs, whichever is less, are available to employee groups.
                             The remaining funding must be accumulated through the
                             employee ownership group.        Interest on loans must be
                             equivalent to recent bond issue rates and must be approved
                             by the Secretary of Commerce.      Various forms of repayment
                             can be approved by the Secretary, but general requirements
                             call for repayment at the time of acquisition.          However,
                             deferrals can be granted.

                             Summary

                                  These programs have varied applicability to the study
                             area. Those concerned with infrastructure improvements and
                             capital funding would be the most helpful to the City in
                             possibly enticing new businesses to locate in the IDS area.
                             These programs along with those targeted for private for-
                             profit business investment could serve as a strong magnet to
                             attract new investment into the area.

                  Manpower   Programs

                       Manpower issues are just as important to business location as
                  physical attributes such as plant facilities and transportation access.
                  New and existing firms rely on the availability and skills of the work
                  force of the surrounding area. In the case of- the IDS area, govern-
                  mental incentives for employing low and moderate income persons are a
                  key ingredient in packaging locational proposals.          Because of the
                  chronic long-term umemployment and the relatively small number of
                  skilled employees in the labor force, the state and local governments
                  have initiated training programs to aid in skills development and to
                  provide locational incentives for businesses.

                       This region offers a multitude of excellent conventional education
                  facilities from elementary through advanced degree institutions.        Fur-
                  ther, the study area can be accessed from all parts of the region, so
                  the supply of skilled managerial and technical workers could be readilv
                  drawn from outside of the immediate study area.          However, the im-
                  mediate needs of the City and the study area can be addressed through
                  the special cooperation and partnership of businesses, industry,
                  education,   labor,   community groupso and governmental agencies.
                  Delaware County has various training programs and offers business
                  incentives through the resources described below.

                  Private Industry Council (PIC)

                       The PIC was established by Delaware County Council under the
                  Joint Training Partnership Act (JTPA) of 1982 (PL 97-300). The JTPA

                                                     -62-

                  calls for a partnership of varied community interests to establish poli!-
                  cies and programs for education and training.     As an umbrella organ-
                  ization for private and public resources, the PIC coordinates the efforts
                  of various agencies existin 'g_ in the County and has established the
                  Industry-Education Coordination Program.      The program's goal is to
                  make the County's wealth of resources better serve the business com-
                  munity, and it will act as a clearinghouse to direct companies towards
                  the organizations and incentives most appropriate to their needs.     The
                  program was made possible through a consortium made up of its members
                  including the Delaware County Intermediate Unit (IU) and the Delaware
                  County Office of Employment and Training (OET).

                  Delaware County Intermediate Unit

                       The IU offers various services adapted for business and industry
                  including an Adult Employable Program.       The IU also    supports the
                  County's Vo cational- Technical Education Program through which it can
                  cooperate with business and industry to supply technical   employees for
                  various firms. The IU acts as the primary coordinator of   the Industry-
                  Education Coordination Program, which was discussed above.

                  Delaware County Office of Employment and Training

                       The OET utilizes federal funding funneled through the State to
                  subsidize direct labor force training and education. The agency offers
                  a wide variety of direct training programs which serve as incentives for
                  businesses.   They include the Targeted Jobs Tax Credit Program,
                  which awards federal tax savings to companies who employ permanently
                  displaced workers. The company will qualify for tax credits of $3,000
                  per new employee for the first year and $1,500 for the second year of
                  employment.    The On-the-Job-Training Program provides up to 100
                  percent direct OET reimbursement to companies that offer the required
                  retraining programs.

                  Customized Job Training Program

                       The PIC and the OET in conjunction with the State have estab-
                  lished the Customized Job Training Program.        This program assists
                  firms planning to expand or relocate in designing and financing custom
                  training programs which match employee skills to business requirements.
                  This program is designed to help match the labor force with newly
                  created jobs resulting from new businesses locating in the area.

                  Ben Franklin Partnership

                       The BFP, which has been discussed earlier under financing
                  sources, offers educational programs in advanced technology.          The
                  technical resources in Delaware County are available through Villanova
                  University and Delaware County Community College. The main emphasis
                  of these programs is to provide training and retraining in technical
                  fields and to develop entrepreneurial skills.

                                                   -63-

                   Summary

                        The manpower resources available to businesses which could locate
                   in the study area are great-.      However, the wide variety of agencies
                   and organizations providing manpower assistance makes it difficult to
                   identify those programs which would address specific business needs.
                   By coordinating the efforts of these entities, these programs could be
                   made more readily available for application in many new and existing
                   businesses.

                   Overview of Local Economic Development Organizations

                        A variety of economic assistance programs are offered through the
                   following organizations in Delaware County. The purposes and activi-
                   ties of many of these groups correspond directly with the federal,
                   state, and local loan programs which were previously described.

                   Delaware County Partnership for Economic Development (Partnership)

                        The main "actor" and task force for implementing this strategy
                   is the Delaware County Partnership for Economic Development.              The
                   Partnership was formed in 1983 to develop policies concerning the eco-
                   nomic future of the County. The Partnership is managed by a Board of
                   Directors made up of nineteen members who are representatives of the
                   County's business, educational, and governmental community.               The
                   Board is complemented by an Implementation Group which provides data
                   and performs research for the Partnership.           Responsibility for co-
                   ordinating the efforts of the two groups lies with the Commerce
                   Director.   The director serves as the central implementer of economic
                   development policy and has been asked to develop more attractive
                   marketing of the County's business environment.

                        The Partnership has recently published the "Delaware County
                   Economic Development Strategy."         This is a comprehensive report
                   concerned with the identification and channeling of all of Delaware
                   County's resources to encourage business retention and expansion,
                   educational opportunity, and governmental cooperation.

                        There is a wide range of private and quasi-public financing and
                   development groups which fall under the umbrella of Partnership activi-
                   ties.   A description of the organizations and their available pro-
                   gramming which is most relevant to this strategy follows.

                   Delaware County Economic Development Center (EDC)

                        EDC is a nonprofit corporation serving as the County's "one stop
                   financing and development" source.       A primary function of the EDC is
                   to administer a Revolving Loan Fund (RLF) which is funded by the
                   CDBG program. The fund encourages new businesses which will pro-
                   vide employment opportunities for low and moderate income residents to
                   locate in Delaware County.        The loan program will provide special
                   incentives in terms of reduced debt and interest rates to provide an
                   alternative to firms that cannot obtain conventional financin-. The RLF
                   will support up to 25 percent of a project's cost.        Owner equity and

                                                      -64-

                  various combinations of bank or private financing must provide the
                  balance.

                        EDC is also an ALO as designated by the state Department of
                  Commerce. This makes it possible for the center to take advantage of
                  the programs administered under the Pennsylvania Economic Revitaliza-
                  tion Act, described previously.

                        EDC is also a Local Development Corporation         (LDC) under the
                  SBA's 503 Program. This program designates EDC as         a receiver of SBA
                  funds for guaranteeing loans. These packages are          set up with con-
                  ventional financing supplying 50 percent of the costs and the SBA and
                  additional development equity supplying the balance. In this way, the
                  private lender receives first position on mortgage liens. These loans
                  can support real estate, buildings, and capital equipment.            Interest
                  rates vary and are set at the time the loan is granted.

                  Delaware County Industrial Development Corporation (IDC)

                        IDC is a private, nonprofit corporation set up to receive funding
                  from commercial lenders and the Pennsylvania Industrial Development
                  Authority (PIDA).      Loans can be used to purchase land and erect
                  buildings, to purchase existing buildings, or to enlarge existing
                  buildings. The interest rate for this type of financing is lower than
                  conventional rates and is scaled to the unemployment areas of the
                  County. Minimum financing and new job creation thresholds are applic-
                  able for this financing.

                  Delaware County Industrial Development Authority (IDA)

                        IDA is a public agency providing funds to businesses through loan
                  applications processed through EDC.        The Authority is empowered to
                  borrow tax-exempt mortgage funds and to issue tax-exempt bonds.
                  Borrowed funds can be used to purchase land and erect buildings, to
                  purchase existing buildings, to purchase equipment for use in a new or
                  expanding building, and to provide environmental improvement facilities.
                  The interest rate for this type of financing is below the conventional
                  commercial rate since the lender's rate is based on the interest income
                  earned by the lender being tax-exempt. Minimum financing and new job
                  creation requirements are essential for this program.

                  Summary of Publicly Funded Organizations

                        The three preceeding sources are generally the most accessible
                  public sources for implementation assistance to businesses.          However,
                  these groups are currently in various stages of reorganization. This
                  is an attempt on the part of the Partnership to streamline assistance
                  programs provided to new and existing businesses in Delaware County.
                  The main ingredient in this process which was previously lacking
                  is the expanded role of the Commerce Director who will now directly
                  coordinate EDC, IDC, and IDA.           A more structured informational,
                  vromotional, and application process will result with the close working
                  relationship of these activities resulting in a more efficient packaging
                  of economic assistance and incentives. Through the various remaining

                                                     -65-

                   agencies included in the Partnership, such issues as employee training
                   and community relations can be addressed, and statistical expertise is
                   available.

                   RDC, Inc.

                         A major privately funded organization for economic development in
                   the County is RDC.        RDC is funded by various large corporations
                   which have a permanent stake in the economic stability of the County.
                   RDC offers venture capital to businesses        willing to locate in Delaware
                   County.    Other services include research      and development, site selec-
                   tion, and marketing. In return, RDC can         make profits from the equity
                   in supported firms and reinvest it in other     RDC ventures.

                         Capital is guaranteed through private     bonds which can be utilized
                   to support activities prohibited by public      bond issues.     This capital,
                   used in conjunction with RDC's access to private foundation and grant
                   sources,, makes this group an important source of economic assistance.

                   Overview of Assistance Organizations in Chester

                         A variety of assistance in housing programming and self-help
                   counseling groups is available in the City of Chester.          The next few
                   paragraphs will briefly describe the more active groups in opera-
                   tion at this time.     Generally, funding for these groups comes from
                   either governmental programs or charitable contributions.

                   City Agencies

                         The three City agencies responsible for development and housing
                   programming are the Chester Housing Authority, the Division of City
                   Planning, and the Chester Redevelopment Authority.            These agencies
                   provide overall technical assistance and programming on a City-wide
                   basis.   The Housing Authority provides housing and rental assistance
                   and operates facilities providing housing opportunities to low-income
                   families.  Eligibility is based on family income with Chester residents
                   given priority. The Division of City Planning and the City Redevelop-
                   ment Authority work in tandem to identify various units for rehabilita--
                   tion and to provide financial assistance to low-income families through
                   CDBG rehabilitation funds. City Planning also administers homesteading
                   and shopsteading programs which award tax-delinquent properties
                   acquired by the. City to low-income residents and/or groups who must
                   agree to rehabilitate and occupy these units.          Records of property
                   ownership and conditions throughout the City can be made available
                   to prospective developers in order to identify redevelopment oppor-
                   tunities.

                   Better Housing for Chester (BHC)

                         BHC is a community based, nonprofit, housing assistance corpora-
                   tion that supplies financial assistance and counseling to low-income
                   families in Chester.     A resident wishing to purchase a house from
                   this group must be employed and have an annual income of no less
                   than $14,500 (this figure rises with the number of persons per house-

                                                       -66-

                    hold)    BHC works closely with local banking institutions to help
                    applicants obtain home mortgages with low down payments and interest
                    rates.   BHC units are purchased from Chester or from HUD for
                    nominal prices and are rehabilitated by          licensed contractors on a
                    City-wide basis.

                    For the People, Inc.

                         For the People, Inc., is a community based, nonprofit corporation
                    created to assist low-income individuals affected by reductions in welfare
                    programs (Act 75).       This group obtains abandoned or tax-delinquent
                    properties from the City, and through voluntary labor provided by
                    former welfare recipients and community construction experts, re-
                    habilitates these units.    Following rehabilitation, this group provides
                    emergency housing, rental units, and mortgage opportunities to
                    needy persons without using government subsidies. This program also
                    provides on-the-job training in the construction trades and energy
                    conservation.    Through this program, For the People is attempting
                    not only to identify rehabilitation areas for residents but also to
                    give these residents new job skills so that they can become tax-paying
                    citizens contributing to the City's economy.

                    Chester Community Improvement Project (CCIP)

                         The CCIP Project is a nonprofit, housing rehabilitation corporation
                    working with welfare recipients in Chester.         At this time, the group
                    is primarily assisting low-income families affected by the reconstruction
                    of Route 291.     Once CCIP identifies abandoned properties, research
                    into ownership, encumbrances, etc. is performed. If total acquisition
                    costs exceed $2,000, CCIP cannot pursue the property. All rehabilita--
                    tion is performed by volunteer labor wth major system repair (plumbing,
                    electrical) contracted out.

                         CCIP utilizes a selection    committee to place families in its prop-
                    erties with the stipulation that these families assist in rehabilitation
                    of the properties.     Assistance in acquiring mortgage agreements and
                    counseling is also provided. House prices are set by CCIP to recover
                    expenditures for rehabilitation and supporting costs.

                    Community Support Corporation (CSC)          -

                         CSC is a private, nonprofit organization operating in Delaware
                    County.    Its function is to help low-income families secure adequate
                    housing. CSC works in basically four ways:

                    1)   buying, rehabilitating, and selling homes to low-income families,

                    2)   providing free labor to low-income persons living in rundown
                         houses,

                    3)   working on rental units committed to Section 8 tenants, and

                    4)   providing free labor to nonprofit organizations.

                                                        -67-

                       The general procedure is to purchase a dilapidated house and
                  rehabilitate it to a safe and desirable residence. Plumbing, wiring,
                  and heating systems and roofs are repaired or replaced as needed and
                  brought up to local building-code specifications or better. The houses
                  are insulated for comfort and economy.       Restoration often includes
                  redesigning living space. With the exception of plumbing and wiring
                  work, all of the rehabilitation work is performed by skilled volunteers.
                  Because of limited capital, CSC can only work on one house at a time.
                  Funds used for the rehabilitation are recovered when the house is
                  sold.

                                                   -68-

                                  CHAPTER 6

           INTEGRATED DEVELOPMENT STRATEGY

               AND IMPLEMENTATION ACTIVITIES

                   CHAPTER SIX
                   INTEGRATED DEVELOPMENT STRATEGY AND IMPLEMENTATION AC-
                   TIVITIES

                       The previous chapters- have identified the existing characteristics
                   and the constraints and opportunities present in the study area. These
                   opportunities, when coupled with a variety of funding sources, will
                   provide a strategy for redevelopment of the area. The City of Chester
                   is similar to many other older cities in the northeastern and midwestern
                   states where the economic base has eroded due to a decline in the
                   primary industries.   However, this strategy attempts to demonstrate
                   that there are healthy manufacturing activities that could consider
                   locating in the IDS area an asset due to its regional character and the
                   possible monetary incentives available.

                       In order to give direction to the  recommendations in this strategy,
                   an overview of the County's existing   growth industries and an identifi-
                   cation of industries having a market in the area which is not fully
                   served are necessary'.    The nDelaware County Economic Development
                   Strategy" has identified various activities which can take advantage of
                   the opportunities present in the study area.    Appendix C identifies by
                   SIC code a variety of possible new industrial activities which would
                   find advantages in locating in the IDIA. This listing was compiled to
                   nclude manufacturing and service activities which have demonstrated
                   growth in both number of firms and employment in the past ten years.
                   iAlso, currently there are gaps in certain manufacturing areas which do
                   not seem consistent with complementary service industries, and the list
                   has tried to address this situation.

                       As pointed out previously, much of the recent growth in industrial
                   development and related facilities has been in the area of service
                   activities and "high tech" firms located in, high amenity park settings in
                   the more rural areas of the County.      Efforts to entice new industrial
                   firms into the area shall focus on those demonstrating recent growth in
                   the area and nationally, ability to absorb the local work force or to
                   assist in its training, and adaptability to and/or ability to improve the
                   physical configuration and infrastructure of the strategy area.       Also,
                   the strategy will identify specific model users for the industrial anchor
                   parcels which would benefit from the physical configuration of the land
                   as well as the economic incentives which are available.

                       Many of the identified uses, such as construction related activities,
                   machinery fabrication, and chemical production, have a need for high-
                   way, rail, and possibly port access for the supply of raw materials or
                   the distribution of their products. The availability of a nearby inter-
                   state highway network and its connection with Philadelphia International
                   Airport and with corporate offices located in Philadelphia could make the
                   Chester waterfront a convenient, nearby location for plant facilities.

                       Machinery assembly, chemical production, refining, and fabrication
                   of construction components (doors, windows, etc.) would provide
                   opportunities for the unskilled labor force of the area.       By hiring
                   area residents, the firms would aain access to tax incentives for pro-
                   viding training for this labor pool.    Successful initial start-ups could
                   possibly attract similar new firms to utilize available adjacent parcels.

                                                    -69-

                        The strategy will recommend a, large-scale user from these options
                   for the LCA parcel to be consistent with the Phase II         Study.    The
                   balance of the industrial parcels will be addressed in a      configuration
                   which could serve the remaining targeted types of uses.

                        It must be understood that due to the complexity of      the problems
                   and current conditions in the study area, projections and design
                   schemes can only be representative of a model situation.      The strategy
                   will be tailored to be consistent with currently programmed activities
                   and will incorporate relevant short- and long-term regional objectives.
                   A system of incentives and public improvements will be developed to
                   entice new industrial activity into the area. There is no "rubber stamp"
                   answer to the out-migration of primary activity from Chester.          How-
                   ever, this model can provide a working demonstration plan to present to
                   the various interested public and private parties for implementation.

                   Industrial Park Development Strategy

                        The following recom mendat ions comprise the industrial park de-
                   velopment strategy proposed for the IDIA. It will incorporate possible
                   configurations for the anchor sites and adjacent industrial parcels.
                   Economic packages and assistance agencies along with governmental
                   C
                      peration are suggested for each recommendation.
                   Roeocommendaton #1

                        Reconstruct Route 291 under Alternative #4 of the Environmental
                        Impact Statement prepared by U.S. DOT, PennDOT, the Federal
                        Highway Administration, and the City of Chester. DCPC supports
                        this recommended alternative since it is consistent with Delaware
                        County policies.    The project is the most important public in-
                        centive for development in the area.

                        0    The project should be expedited by the City of Chester,
                             Delaware County, and PennDOT. Funding for the project has
                             been programmed and is explained in Chapter 3.           The re-
                             construction project will incorporate acquisition of properties
                             on the south side of Second Street.        This will allow for a
                             total right-of-way of 85 feet including four directional lanes,
                             a center turning lane, and a parking lane on the north side
                             of the highway.      Also included in the project is sidewalk
                             reconstruction.   Funding for the project will be released upon
                             completion of the final environmental impact statement. The
                             estimated cost of the project is $39 million, and the let date
                             has been tentatively scheduled for September, 1987.

                   Recommendation #2

                        Develop all land area south of Route 291 as an improved industrial
                        park.   This would be consistent with zoning patterns and would
                        provide  sufficient area for satellite industries and heavy commercial
                        uses.   Parcels could be assembled and improved, then sold to new
                        or existing firms. If necessary, firms currently operating in the

                                                      -70-

                       area could be relocated either temporarily or permanently with
                       public support.

                       �    With the reconstruction of Route 291 forcing land acquisition,
                            this opportunity *for creating consistent land use patterns
                            should be exploited.    The City of Chester should   i use this
                            time to acquire dilapidated residential structures for demo-
                            lition. This activity would be a part of any City-wide demo-
                            lition program already in existence. Sources of funding could
                            come from EDA Title I and IX and CD grants. These pro-
                            grams can be utilized for land assemblage, demolition, and
                            clearance.

                       �    Existing industrial firms could take advantage of various
                            funding guarantees, low interest loans, and training pro-
                            grams.   These incentives would be available through LDC's
                            such as   EDC.    These programs could be utilized for plant
                            expansion and other capital reinvestment.

                  Recommendation #3

                       Target possible relocation areas within the adjoining NIA to pro-
                       vide for a portion of the housing needs of the residents displaced
                       by the Route 291 expansion and industrial park development.

                       0    Provide redevelopment areas, rehabilitated structures, and
                            new construction in designated areas within the NIA.
                            Funding for relocation can be provided through PennDOT's
                            relocation assistance program.      This can make available
                            $25,000 per unit plus moving expenses. In many cases, this
                            allocation would not be sufficient to cover new  .housing. To
                            offset this situation, the Chester Redevelopment Authoritv
                            should aid in programming funds for assistance in the NIA.

                  Recommendation #4

                       A major focus of County commitment to the redevelopment of the
                       area is RIC.     The County could investigate the possibility of
                       utilizing portions of the Riverbridge complex to relocate firms that
                       will be seriously impacted by Route 291 reconstruction and indus-
                       trial park development. Firms which relocate into the complex and
                       decide to remain can arrange a future exchange of title.

                       0    It is most important that new expansion activities not in-
                            terfere with existing businesses to the point that a downturn
                            in their economic activity results.    For this purpose, EDC
                            should dedicate RIC as temporary relocation space for firms
                            within construction impact areas. This would be a major con-
                            cession for the center; however, it would facilitate an oppor-
                            tunity for land assemblage below Second Street for industrial
                            redevelopment.   Rents,. fees, and taxes could be subsidized
                            or written down by sources such as the RLF and the SBA's
                            503 program or the firms could make a total commitment to
     _S1                    RIC by exchange of title.      The availability of area at RIC

                                                    -71-

                               would directly impact this recommendation; however, this
                               could provide a stop-gap solution to problems caused by road
                               reconstruction.

                   Recommendation #5

                          Incorporate the strategy presented in the Phase II Study. This
                          calls for the western anchor site, LCA Leasing, to be retained
                          under single ownership at the present acreage.

                          0    This recommendation constitutes the most difficult portion of
                               the strategy.     However, it can be of the most impact.
                               Through the new capital investment of a large plant facility,
                               the City could be the recipient of a large employer which
                               would also serve as a pilot      industry to further industrial
                               development.    City, @ounty, state, and federal resources
                               along with private as  sistance  should be heavily solicited and
                               structured to entice a large user.        The City could utilize
                               UDAG funding, which is the       most direct and effective eco-
                               nomic development tool. The County and State can supply
                               incentive financing through LDC's such as EDC and RDC.
                               Federal tax incentives and loan guarantees must be structured
                               to deal directly with this large industry, with a private
                               sector LDC such as RDC taking the lead.

                          0    Although a marketing brochure has been developed for             the
                               parcel, this should be upgraded. A new portfolio should be
                               developed stressing not only existing physical conditions but
                               also the public financial assistance opportunities available from
                               organizations such as EDC, IDC, and IDA.             The regionis
                               labor pool in all areas should be highlighted as well as the
                               amenities of Delaware County.          The portfolio should be
                               designed as an attractive, eye-catching publication which
                               would be aggressively circulated to companies engaged in
                               activities identified in Appendix C.

                          0    To illustrate a potential successful marketing of the entire 62-
                               acre parcel, a use has been selected from SIC codes which
                               has demonstrated needs which would be satisfied by a large
                               parcel with bulk transportation access, available labor (within
                               Chester and Delaware County), and could utilize outlined
                               financial and labor incentive programs. This use has demon-
                               strated a growth pattern in both the manufacture of related
                               components as well as in a finished product which would be
                               marketable in urbanized and rural areas of the entire north
                               eastern part of the country.         Appendix E illustrates the
                               development of the LCA parcel by a manufactured housing
                               corporation.

                    Recommendation #6

                          Negotiate with PECO to temporarily utilize unleased property to
                          alleviate space problems such as construction storage created by
                          redevelopment activity.

                                                       -72-

                        0    No funding would be necessary for this activity. However,
                             PECO would not be required to pay property taxes on leased
                             lands it would temporarily dedicate for this purpose.

                   Recommendation #7

                        Create and develop amenities such as recreation areas, riverfront
                        access, and pedestrian paths to provide relief for employees. This
                        will provide employers aesthetic as well as@ economic incentives for
                        locating in the area.

                        �    Continue to develop recreational access to the Delaware River.
                             This would include the completion of the Barry Bridge boat
                             launch with funding from DER and the State Fish Commission.
                             Expansion of this recreational area by the acquisition of the
                             5-acre parcel between the West End Boat Club and the boat
                             launch could create a more widely usable recreation space
                             with an active play area and a parking facility. This would
                             create a significant area of public access to the Delaware
                             River and would maintain this section of the waterfront in a
                             water-oriented use.   Funding for further expansion could be
                             made available through the City from the DCA administered
                             LWCF or RIRA Programs.

                        0    Close various streets on the north side of Route 291 to create
                             a limited-:access industrial highway.   Second Street will be--
                             come predominantly a truck route with Third Street (one
                             block north) becoming the main neighborhood collector.
                             Principal access points to Route 291 would be Highland
                             Avenue and Flower and Kerlin Streets, with Jeffrey and
                             Wilson Streets providing any necessary neighborhood access.
                             This will reduce vehicular conflict and the need for signal-
                             ization, yet still provide adequate access to the waterfront
                             industries.

                        �    The City of Chester should perform a traffic study to explore
                             the physical closing of these streets and vacation of these
                             rights-of-way north of Route 291.     Infrastructure relocation
                             could be funded through EDA and HUD programs within the
                             neighborhood.

                   Neighborhood Improvement Strategy

                        The proposals for neighborhood revitalization will be presented in
                   the form of an overall rehabilitation and new construction plan.
                   Specific structures for rehabilitation along with community groups and
                   local sources of monies will be identified. Vacant areas will be assem-
                   bled by eliminating conflicting land uses and razing dilapidated struc-
                   tures for location of new residential units.     Programs for commercial
                   rehabilitation and their location will be an important issue in the recom-
                   mendations.   The loss of recreational area such as the Ward Street
                   playground creates a need for such use in the neighborhood. The
                   overall plan will address this problem. The NIA redevelopment scheme
                   is illustrated in Exhibit A.

                                                     -73-

                   Recommendation #1

                         Close six streets between Third Street and reconstructed Route
                         291. These streets are- Ward, Palmer,. Townsend, Engle, Yarnall,
                         and Reaney Streets.      Utilize the closed street areas for utility
                         rights-of-way, and utilize the adjacent lands which presently serve
                         as large truck parking fields or which have severely dilapidated
                         structures as a new construction core.        This area would be re-
                         designed to hold 80 new single family townhouse structures or 140
                         new  attached duplex units with parking and internal circulation.

                         0    The City has declared the area bordered by Third Street, re-
                              constructed Route 291, Wilson Street, and the Barry Bridge
                              as part of NSA's 4 and 5. This allows for CDBG funding to
                              be directly utilized in the area for rehabilitation and new
                              housing.

                         0    The parcels currently used 'for truck related service would be
                              acquired in exchange for.new improved area within the IDIA
                              along the south side of Route 291.         Ten units on the 200
                              block of Townsend Avenue (202-222) should be acquired.
                              Only two of these units are sound, and three are severely
                              dilapidated and vacant.     This area must be cleared for new
                              construction to take place. New development could be initi&-
                              ted by the Chester Redevelopment Authority either directly or
                              through private development under HoDAG. Private develop-
                              ment -could be awarded various tax incentives for providing
                              housing for low-income residents. This development must be
                              guaranteed to remain in this use for a minimum of 25 years.

                   Recommendation #2

                         Identify the specific address and location of units which are in
                         immediate need of rehabilitation and note which are currently
                         occupied and which are vacant.       An inventory of these structures
                         is contained in Appendix F, and the sites are illustrated in
                         Appendix B.

                         �    From existing building vacancy and conditions surveys, tar-
                              get sites for rehabilitation to serve as models throughout the
                              NIA.    CDBG funding in the form of grants or loans for re-
                              habilitation is available through the Chester Redevelopment
                              Authority.    First priority will be given to occupied struc-
                              tures.   Also covered under the CDBG program for Chester is
                              an Urban Homesteading Program. This is most useful in the
                              NIA. Through the acquisition of tax-delinquent properties by
                              the City and County, these properties can be sold or awarded
                              to displaced low-income residents in the study area.

                         �    These programs can be utilized in conjunction with the pri7-
                              vate, nonprofit corporations such as Better Housing for
                              Chester and For the People, Inc. These organizations may be
                              designated as LDC's which could utilize SBA and EDA
                              funding.

                                                       -74-

                   Recommendation #3

                         Concentrate neighborhood cornmercial redevelopment along Third
                         Street between Yarnall- Street and the -Barry Bridge approach.
                         This should be accomplished through shopsteading, rehabilitation
                         of existing mixed use structures, and possibly through new con-
                         struction.

                         �    CDBG rehabilitation funding is also available for mixed resi-
                              dential /commercial properties which are owner-occupied. Many
                              deteriorating structures on the 1800 and 1900 blocks of Third
                              Street could qualify for this program.              Owner/occupants
                              would apply through the City's Redevelopment Authority in
                              the same manner as above.

                         �    Shopsteading programs are available through the City and,
                              could be tailored to deal with commercial/ residential use struc-
                              tures.    The City could award vacant parcels to low-income
                              individuals for a token price with the stipulation that the new
                              owners rehabilitate them and establish a business.               Many
                              forms of SBA, EDA, and local bank financing could be made
                              available  through local offices.       The City would be re-
                              sponsible for referral to these agencies.       Speculative buyers
                              would be    prohibited unless they guarantee low-income rental
                              units.

                   Recommendation #4

                         Provid e a new community recreational center at the former site of
                         the Dewey-Mann Elementary School at Third and Yarnall Streets.
                         This would provide an active recreational area within the NIA.

                         0    The property should be turned over or nominally leased to
                              the. City for active open space use. Development funding for
                              the park could be provided by public/private foundations and
                              state recreational programs.      Chester City and/or the school
                              district could use state and local resources to purchase
                              equipment or could solicit equipment from more affluent
                              municipalities that are rehabilitating their facilities.     Founda-
                              tion monies are usually available for socially oriented activi-
                              ties.   A designated City office should contact funds such as
                              the Pew Memorial Trust, Fells Foundation, etc.

                   Conclusion

                         The IDS study area has been closely examined, and a strategy has
                   been developed and presented. The most important missing link which
                   must be reestablished if revitalization is to occur is stable and viable
                   industrial development.       Various tools and agencies are available to
                   i3romote re-industrialization of the Chester waterfront. It is imperative
                   that the many groups be streamlined and coordinated to develop pack-
                   ages to alleviate severe social decay resulting from the loss of em-
                   ployment in the industrial base. This strategy is an attempt to provide
                   a guide for a single implementation entity.

                                                        -75-

                        The Delaware County Partnership for Economic Development has
                   appointed a Commerce Director to take the lead in coordinating economic
                   development projects in the County.          In accordance with this, the
                   Commerce Director or a member of his staff should coordinate the
                   implementation of this strategy.     All of the public incentive programs
                   described in this report now fall directly under his administration or
                   can be accessed through it.         This would expedite the process of
                   identifying new firms and matching them with available land and/or
                   facilities in the IDIA.   Packaging financial assistance programs and in-
                   centives would be a "one stop" procedure with negotiations and per-
                   mitting processes with City, County, and other public agencies per-
                   formed in conjunction with his office. It is imperative that once a new
                    irm expresses interest in the study area, every effort be made to
                   execute an efficient and timely relocation of that firm.
                   f

                        Also, the Commerce Director should create a committee made up of
                   officials of existing social and housing assistance groups from the public
                   and private sectors. This'new committee would be headed by a chair-
                   person reporting to the Commerce Director. The group should concen-
                   trate on developing a successful implementation of the NIA strategy to
                   provide a model neighborhood environment adjacent to the industrial
                   corridor. The Housing Committee Coordinator would work directly with
                   the Commerce Director to identify and implement funding activities for
                   the creation of a more viable neighborhood for residential and service
                   activities.

                        This plan proposes a scheme which is consistent with existing
                   land use patterns (see Map 8). However, it must be remembered, as
                   mentioned earlier, that there is no "rubber stamp" cure for the severe
                   deterioration of the industrial base in Chester. If the opportunities for
                   industrial expansion continue to decline, more drastic changes in land
                   use patterns may arise. Industrial revitalization may no longer be real-
                   istic, and alternative uses may have to be encouraged.

                                                       -76-

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             Integrated                                                         FUTURE LAND USE
                                                             [j Residential '0" Mixed Use ED-Recr88tion                                             7Z::;@         >
             Development                                                                  V-0J00
             Strategy                                        Ej     Heavy Commercial/Services                                Industrial               SCALIE
                                                                                                                                                    1    11 00,
              BASE MAP: PENN DOT 1982

                                                  BIBLIOGRAPHY

                   American Planning Association, "Making the Most of Little Known
                   Programs for Planners," American Planning Association, PAS Report
                   #346, Chicago, IL: 1979.

                   American Planning Association, "The Planner's Role in Facilitating
                   Private Sector Reinvestment," American Planning Association, PAS
                   Report #340, Chicago, IL: 1979.

                   Bendavid-Val, A., "Local Economic Development Planning: From Goals
                   to Projects," American Planning Association, PAS Report #353, Chicago,
                   IL: 1980.

                   Brown, Donald, et al., "The Entrepreneur in Local Government Practical
                                   e @ 9-
                   Management     S rie , ff  International   City   Management       Association,
                   Washington, D.C.: 1983.

                   Chester City Division of City Planning, "Codified Ordinances of
                   Chester, 11 Chester, PA: 1982.

                   Chester City Division of City Planning, "Comprehensive Plan for the
                   City of Chester, 11 Chester, PA: October 1978.

                   Chester City Division of City Planning, "Year 7 CDBG Application,"
                   Chester, PA: July 1979.

                   DeChiara, J. & Koppelman, L., "Planning Design Criteria," Van
                   Nostrand Reinhold Co., New York, NY: 1969.

                   Delaware County Chamber of Commerce, "Delaware County Chamber of
                   Commerce Members' Resource Directory 1984-85,11 Media, PA: 1984.

                   Delaware County Partnership for Economic Development, "Delaware
                   County Economic Development Strategy," Volumes 1-5, Media, PA:
                   July, 1984.

                   Delaware County Planning Commission, "Delaware County Land Use
                   Plan 2000,11 Media, PA: January 1980.

                   Delaware   County Planning Commission & Raymond, Parish, & Pine, Inc.,
                   "Delaware County Industrial Patterns," Media, PA: 1974.

                   Delaware   County Planning Department, 11CZM: Industrial Sites Survey,
                   Phase 1, 11 Lima, PA: November 1981.

                   Delaware   County Planning Department, 11CZM: Industrial Sites Study,
                   Phase II, Part III, Final Reuse Concepts," Lima, PA: February 1983.

                   Delaware   County Planning Department, "Delaware County Open Space,
                   Parks, and Recreation Study," Media, PA: August 1978.

                                                       -78-

                  "Delaware Valley Directory/ Business and Industry 1983,11 Dalton's,
                  Haverford, PA: 1983.

                  Direction Associates, Inc., Consultants', "Chester City/Chester Town-
                  ship, Delaware County, Pa., Enterprise Development Area Program,"
                  Pre-application and Addendum: April 1983.

                  Executive Office of the President, Office of Management and Budget,
                  "Standard Industrial Classification Manual 1972,11 U.S. Government
                  Printing Office, Washington, D.C.: 1972.

                  Federal Highway Administration, et al., "Route 291: Draft Environ-
                  mental Impact Statement," ChestJ-C-ity, Delaware County, PA: June
                  1983.

                  Haye s, Rick, "Business Loans, A Guide to Money Sources and How to
                  Approach Them Successfully," Second Ed., GBI Publishing Co., Inc.,
                  Boston, MA: 1980.

                  Kendig, Lane, et al., "Performance Zoning," APA Planners Press,
                  Chicago, IL: 198b_. -_

                  Levy, John, "Economic Development Programs for Cities, Counties,
                  and Towns," Praeger, New York, NY: 1981.

                  Lynch, Kevin & Hack, Gary, "Site Planning," Third Ed., MIT Press,
                  Cambridge, MA: 1984.

                  Montvel-Cohnt Tom, 111982 Users Guide to Government Sources for
                  Economic Development, Economic Growth Series," North wes t- Midwest
                  Institute, Washington, D.C.: January 1982.
                                  0

                  Office of Coastal Zone Management and Coastal Zone Management Branch,
                  "Commonwealth of Pennsylvania Coastal Zone Management Program and
                  Final Environmental Impact Statement," Harrisburg, PA: August 1980.

                  Penn Jerdel Council, "Business Firms Directory of the Delaware. Valley
                  198.3-1984," Greater Philadelphia Chamber of Commerce, Philadelphia,
                  PA: 1983.

                  President's Economic Adjustment Committee,     "Industrial Development
                  Profile, Riverfront Corridor, Delaware County, Pa.," Washington,
                  D.C.: March 1978.

                  Ramsey and Sleeper, "Architectural Graphic Standards," American
                  Institute of Architects, John Wiley and Sons, New York, NY: 1966.

                  Raymond, Parish, & Pine, Inc., "Housing Market and Program Analysis:
                  A Memorandum to the City of Chester, Pa., Division of City Planning,"
                  Tarrytown, NY: June 1973.

                  Raymond, Parish, & Pine, Inc., "Riverfront Extension Study Area: A
                  Memorandum to the City of Chester, Pa., Division of City Planning,"
                  Tarrytown, NY: July 1975.

                                                  -79-

                 Raymond, Parish, & Pine, Inc., "Riverfront Study Area: A Memorandum
                 to the City of Chester, Pa., Division of City Planning," Tarrytown,
                 NY: July 1974.

                 Raymond, Parish, & Pine, Inc., "Transportation: A Memorandum to the
                 City of Chester, Pa., Division of City Planning," Tarrytown, NY:
                 June 1975.

                 Simpson and Curtin, Transportation Engineers, "Delaware River Corridor
                 Freight Transportation Study," Philadelphia, PA: May 1976.

                 U.S. Department of Commerce, Bureau of the Census, 111980 Census
                 Statistics, Delaware County, Pa.," U.S. Government Printing Office,
                 Washington, D.C.: 1982.

                 U.S. Small Business Administration, Office of the Chief Counsel for
                 Advocacy, "Directory of State Small Business Programs," Washington,
                 D.C.: July 1980.

                                                -80-

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                                          APPENDIX A

                                     IN rE R - OFFICE CORRLSPONDLNCL

                                       COURT HOUSE
                                            Media, Pa.

                                                            June 1,             ... 19 83

        FROM Kerry Dyer                          TO   FILE

        SUBJECT.
              Weighting Mechanism for the IDS
              Site Selection

                   The Selection Criteria Memorandum, February 4, 1983,suggested
              that a weighting formula be developed to assist in the selection
              of the IDS site. The following formula has been developed:

                   Weighted          x       Number of
                   point value               Criteria          SCORE
                                            Applicable         (Total Points)

                   The memorandum listed three broad categories of criteria:
              economic, program and infrastructure. of these, the most important
              is the economic criteria (given the overall aim of the project).
              Accordingly, this is given the heaviest weighting value. The
              values are: 6 points for economic, 3 points for program and
              2 points for infrastructure.

                   The following is a list of the items wihin each of the
              categories.

              A.   Economic Criteria

                  Al.  Are there other independent revitalization efforts
                       underway nearby which could be coordinated with the
                       CZM/IDS to create a'9.arger than local" benefit?

                  A2.  Does the designated are have the potential to achieve
                       special status such as a Pennsylvania Enterprise
                       Development Area (EDA), Federal Enterprise Zone (EZ),
                       or Foreign Trade Zone (FTZ) or subzone?

                  A3.  Are there realistic opportunities for ripple effects
                       through new economic activities at the anchor site(s)
                       and study area? Are there opportunities for signifi-
                       cant industrial linkages?

                  A4.  Will the revitalization activities be job generators?
                       Will these jobs be long-term or short-term? Are there
                       possibilities for "sweat equity" programs.

                                               A-1

             B.    Program Criteria

                   Bl.  Does the site really require the plan?

                   B2.  Is the municipality capable of or interested in
                        actively implementing the recommendations of the study?
                        Will the community/municipality cooperate to a suffi-
                        cient degree to make the IDS work; or will the local
                        bureaucracy impede the process?

                   B3.  Does the site have existing groups (church groups,
                        civic associations, stable industries or business
                        groups) upon which Item V of the Scope of Services
                        could be based?

                   B4.  Is it a manageable size for the Study?

                   B5.  Does the site offer a unique opportunity to the muni-
                        cipality to draw on resources or participate in programs
                        which are otherwise unavailable?

                   B6.  Does the site correspond to some distinct area such as
                        a recognized neighborhood, census delineation, poli-
                        tical designation (e.g. ward, etc.)?

              C.   Infrastructure Criteria

                   Cl. Are the significant public works projects planned for
                        (highway, sewer, bridge repair or construction) which
                        will impact on the area?

                   c2.  Is there evidence of structurally sound but unused/
                        under-used buildings in the area?

                   C3.  Is there widespread housing abandonment or housing
                        stock which could be rehab-ed?

                   C4.  Are there any historical structures?

                   C5.  Is there good (or, at least, adequate) public trans-
                        portation?

                                            A-2

                                   INTER - OFFICE CORRLSPONDLNCE

                                      COURT HOUSE
                                          Media, Pa.

                                                                  ................ 19 .83..

                                               TO
        FROM Kerry Dyer                              FILE

         SUBJECT
              Goals for the CZM/Integrated
              Development Strategy

                   A goal is an aspiration. It is a statement of a future
              image which a given area (neighborhood, municipality, etc.)
              has of itself. Further, the goal defines the circumstances in
              a given area which are either to be achieved or preserved.
              The riverfront of Delaware County can be viewed as a single en-
              tity divided into six parts (corresponding to the six juris-
              dictions) and while each jurisdiction is somewhat different,
              they all share the same basic problems. It is for this reason
              that the goals can be identified prior to the selection of the
              specific IDS area. The goals - as general statements - can be
              distilled from existing knowledge and recent experience, building
              on the recent work of the CZM/Industrial Sites Study (the data
              collection in Phase I and the strategies developed in Phase II).
              When taken together, these goals represent the general direction
              which the study will take.

                   The formation of objectives is a second exercise which
              cannot be done until the particular area is selected and there
              is some interaction with the particular community. The objectives
              will, of course, be extensions of the goals and will particularize
              the goals to the IDS area, once selected. In addition, they
              will be the standards against which the general success of the
              project will be measured.

                   (In addition to the formulation of goals and objectives,
              there will also be a statement of tasks which will indicate the
              specific and concrete steps to be taken to operationalize the
              objectives)

                   The following list does not reflect a ranking of the goals:

                   1.   Integrate the past work of the CZM/Industrial Sites
                        Study with the current possibilities and conditions
                        of the Delaware County Coastal Zone.

                                             A-3

                   2.   Determine an optimal mix of basic and service industries
                        for the area.

                   3.   Determine a realistic package of assistance programs
                        and funding to attract a variety of businesses.

                   4.   Build a realistic and working partnership between the
                        public and private sector in which each makes a mean-
                        ingful contribution and which will result in an in-
                        fusion of funds into the IDS area.

                   5.   Determine an optimal mix of, land uses: commercial,
                        industrial and residential.

                   6.   Upgrade the built environment through either rehabili-
                        tation or selective demolition of existing structures
                        and other improvements to the infrastructure.

                   7.   Identify the specific labor skills available in the work
                        force and match the labor skills (including those which
                        exist and those which can be upgraded through training)
                        with the local employment needs.

                   8.   Determine how destructive competition can be kept at
                        a minimum.

               KD/jr

                                             A-4

            DCPD        Delaware County Planning Department
                        350 N. Middletown Rd., Lima, Pa. 19037 (215) 891-5656

               TO:        Deidre Taylor

               FROM:      Kerry Dyer,
                          Planner

               SUBJECT:   IDS Site Selection

               DATE:      June 20, 1983

                     This memorandum presents the findings of the IDS site
               selection  process.and the justification in selecting the
               site. Enclosed are:

                     (A) Summary Sheet of the Candidate Sites;
                     (B') Weighted Criteria "Scoring" Sheet; and
                     (C)  Narrative for each of the Four Candidate Sites.

                    The Narrative may appear desultory but does generally.
               follow the order of the questions as outlined and presented
               in the memorandum of June 1, 1983: Weighting Mechanism for
               the IDS Site Selection.

               KD/mrm

               Enclosures

                                               A-5

                              Intergrated Development Strategy
    					 Summary Sheet:

                                        CANDIDATE SITES
               Site A: The Henderson  - Carbide/Conrail Site
                     Location: Tinicum Township
                     size: 3.5 square miles
                     Description:    The site is the area between The Henderson
                                     Group's is holdings near Philadelphia Inter-
                                     national Airport (CZM/ISS: L.T.I.R.), the
                                     Delaware River, the Union Carbide and
                                     Conrail properties (CZM/ISS: Carbide- Conrail)
                                     and Interstate 95. This proposed area is
                                     virtually the entire township.
                     Priority Ranking: #2

                Site B: B.L.H.
                     Location: Eddystone Borough
                     Size: 0.75 of a square mile
                     Description:    The site is the area immediately north of
                                     the CZM/ISS B.L.H. site and the entire
                                     area south of Industrial Highway to the
                                     Delaware River- contained entirely with
                                     the Borough.
                       Priority Ranking: #3

                Site C: Riverbridge - L.C.A.
                     Location: Chester City
                     Size:   1 square mile
                     Description: The site-is the area between the River-
                                     bridge plant complex, the Delaware River,
                                     the L. C. A. property and 2nd street.
                     Priority Ranking: #1

                Site D: L.C.A.     Marcus Hook Development Park
                     Location: Chester City, Trainer Borough, and Marcus
                                 Hook Borough
                     Size: 0.75 of a square mile
                     Description:    The site is the area between the L.C.A.
                                     property and the Marcus Hook Development
                                     park property, including the entire CZM
                                     area of Trainer Borough.
                     Priority Ranking #4

                                              A-6

                                         Integrated Development Strategy

                                                Weighted Criteria

                                                 "SCORING" SHEET

                Al   A2   A3    A4     Bi   B2   B3  B4 -B5      B6     Cl   C2   C3   C4   C5       TOTALS-

     SITE A     6     6    6    6      0    0    0     3    0    3      0    0    0    2     2         34

     SITE B     0     0    6    6      0    3    3     3    0    3      2    0    0    2     0         28

     SITE C     6     6    6    6      3    3    3     3    3    0      2    2    2    0     0         45

     SITED      0     0    0    6      0    0    0     3    0    0      2    2:-  0    2     2         17

                                          Site A

                                     Economic Criteria

                     There are two major revitalization programs underway at
               these two properties which will - in all liklihood - bring a
               very significant level of capital formation and a large number
               of jobs into the area. These keviatlization efforts - if
               successful - will begin to reverse the image of the Delaware
               County coastal zone as an area of decline and disinventment.

                     Since the area is very close to the Foreign Trade Zone
               (F.T.Z.) at Eastwick, there is a good possibility that some
               part of the candidate area might be designated as a subzone
               of the FTZ. There are strong possibilities that the new
               activities at the two anchor sites would have a ripple effect
               throughout the township's economy.

                     A kind of "gentlemen's agreement" is developing between.
               the two private developers to target different groups of
               users at each of the Tinicum sites so as to minimize debilita-
               ting competition. This targeting will have the effect of
               making each site free-standing, self-contained and very specializ-
               ed. Accordingly, the possibilities for linkages seem remote.

                     The revitalization efforts will provide thousands of jobs
               both long-term and short-term. However,. there are virtually
               no possibilities for "sweat equity" programs since there is no
               abandonment in Tinicum Township.

                                      Program Criteria

                     There is some doubt -as-to whether the condidate site really
               needs a plan. The Township received a $30,000 grant from the
               office of Coastal Zone Management (O.C.Z.M.) to update it's
               comprehensive plan.less thap,three years.ago. If this site
               were selected, the IDS wouTd,.-virtually redo this update. The
               Township is currently encountering some difficulty in imple-
               menting the broad recommendations of the comprehensive plan
               update. The IDS would, presumably, make very specific recom-
               mendations (including such things as fiscal concessions, etc.).
               Accordingly, there is sufficient reason to doubt that IDS re-
               commendations would be implemented.

                     In addition, the recent experience in trying to form the
               Tinicum CZM/ISS task force is an adequate indication that the
               Township neither has a group with the needed technical expertise
               to assist in the Study nor has the desire to form such a group.

                                             A-8

              site A
              Page 2

                   The proposed area is roughly 3.5 square miles and is
              considered a manageable size although somewhat large. The
              area corresponds to the two villages of Lester and Essington.

                                 Infrastructure Criteria

                   The completion of 1-95 will have a significant impact on
              regularizing the traffic flow in the township. There is
              very little evidence of underutilized buildings other than some
              of the historic structures (e.g. Laza.retto). There is no
              housing abandonment and little nged for housing rehabilitation.
              There are some historic structure-9 scattered throughout the
              township; and there is adequate'public transportation.

                                           A-9

                                            SITE B

                                       Economic Criteria

                     The only revitalization efforts under way which might be
                coordinated with the activities at the candidate site in
                Eddystone are those in Tinicum discussed in the preceding
                section. The area holds little potential for designation     of
                either a Pennsylvania EDA, a Federal Enterprise zone or a
                Foreign Trade Zone (or subzone). There will certainly be     some-
                thing of a ripple effect throughout the local economy; but
                would probably not be as significant as elsewhere. The oppor-
                tunities for industrial linkages are significant; but are
                being pursued as part of the implementation of the CZM/Industrial
                Sites Study. The revitalization efforts will provide both
                short-term and long-term employment; however, there does not
                seem to be a sufficient context of. either abandonment or muni-
                cipal ownership to provide realistic possibilities for
                91sweat equity" programs.

                                       Program Criteria

                     Eddystone was recently part of a tri-borough comprehensive
                plan (funded by O.C.Z.M.) which addressed economic development
                issues to some extent. It is questionable that such a re-
                study would be an effective use of funds. On the other hand,
                it is evident that the Borough is quite capable of and ex-
                tremely interested in putting any recommendations of an IDS
                Study into effect and forming a group to assist in the study.

                     The size of the Eddystone IDS area is estimated to be
                approximately .75 square mile. This is considered a manageable
                size, but the site does' not present the Borough with any unique
                funding sources or opportunities to participate in programs.
                The site does correspond to..,Virtually all of the Borough
                (exclusive of the major reeidential area).

                                   Infrastructure Criteria

                The only significant public works project planned in the Borough
                is a sewage treatment facility (a formal feasibility study
                of the facility is underway). There is very little unused/
                under-used buildings in the study area site (i.e. buildings
                not in the former BLH complex). There are some buildings at
                the Pennsylvania Ship Company's yards. However, the management
                at Penn Ship has indicated in the past that it does not con-
                sider the buildings or land to be surplus. The housing stock
                is quite sound (with some scattered and isolated cases of
                housing rehab needs). There are a few scattered structures of
                minor historic interest. Public transportation is adequate.

                                             A-10

                                          SITE C

                                     Economic Criteria

                    There are two significant industrial revitalization
               efforts and one important recreational project underway which
               could be coordinated to create a "larger than local" benefit:
               the Riverbridge project, the Philadelphia Quartz project (PQ)
               and the Barry Bridge Boat Launch. Recently, the Delaware
               County Economic Development Center (EDC) has been successful
               in using part of Riverbridge (approximately 25%) to supply
               the Lansdowne Steel Company with expansion space (keeping
               the company from moving out of state). Also the City of Chester
               and Philadelphia Quartz were successful in securing an Urban
               Development Action Grant (UDAG) for industrial expansion at the
               PQ site. Construction will begin shortly on the Commodore
               Barry Bridge boat launch.

                    This area of Chester is in the exact middle of the pro-
               posed Enterprise Development Area (EDA). Chester is the only
               Delaware County applicant to DCA for EDA designation. It is
               quite reasonable to expect - indeed, anticipate - that the
               creation of new jobs at the Riverbridge anchor site will have
               a favorable ripple effect throughout the study area. Just
               such an effect is.currently being felt in Chester's CBD as
               a result of the presence of the new Southeast National Bank
               headquarters. The jobs at the Chester IDS will be both long-
               term and short-term and the possibilities for "sweat equity"
               programs are quite good due to the significantly widespread
               property abandonment.

                                     Program Criteria

                    Chester has not had an.Update of its comprehensive plan
               for more than a decade. TAe.'IDS coupled, with the data and
               reports which will be collected and developed would become a
               kind of "de facto" plan for a large area of Chester. The
               City is capable of, and interested in implementationof any
               constructive recommendations leading to general economic
               betterment. The Riverfront Development Corporation - together
               with the Delaware County Partnership - could easily provide the
               basic structure for developing a group to add technical ex-
               pertise to the planning process.

                                           A-11

               Site C
               Page 2

                    The size of the Chester IDS is roughly one mile square.
               However, if Chester is designated an EDA, the IDS area would
               become the first "zone" of redevelopment plans for the area
               and - in all probability @ become the paradigm for the subse-
               quent redevel-opment plans forthe other zones. Since the
               area has the highest concentration of minorities in Delaware
               County, the City could qualify for funding specifically geared
               to these minorities (SBA's minorities programs, Urban National
               Corp.'s programs, etc.).

                    The area designated as Chester's IDS does not correspond
               to any particular identifiable area.

                                  Infrastructure Criteria

                    The major public works project scheduled for the Chester
               IDS project is the Barry Bridge Boat Launch. It is hoped that
               the presence of this recreational facility will have a stabilizing
               effect on the surrounding area. There is observable evidence
               of widespread abandonment and a substantial amount of the
               housing stock which could be rehabed. There is also an appre-
               ciable amount of commercial property which could benefit from
               a $'shop-steading" program (such as Baltimore's fairly success-
               ful program). At the same time, a significant amount of the
               housing stock is in fairly good condition and needs either
               no rehab or simply cosmetic rehab (e.g. "paint-up, fix-up").
               There are only a few historical structures of minor importance.
               Public transportation is fair to good.

                                           A-12

                                          SITE D

                                     Economic Criteria
                    This c"andidate IDS site could'possibly benefit from the
               aforementioned revitalization efforts at Riverbridge and Phila-
               delphia Quartz as well as the modest CBD revitalization effort
               underway in Marcus Hook Borough. It does not have a parti-
               cularly good chance of any special designation from either
               the State or Federal governments. Although, it would benefit
               to some degree if Chester City was designated as an EDA due
               to its proximity. There is very little useable land or buildings
               in Site D to accommodate new economic activity which results
               from the ripple effect of the anchor sites' activities.

                    The presumption is that the area would generate comparatively
               few short-term jobs since there is little possibility for con-
               struction. Therefore, of the jobs which are generated, most
               would be long-term. There are few apparent opportunities for
               "sweat equity" programs since there is little abandonment.

                                     Program_Criteria

                    Both Trainer and Marcus Hook have been s tudied in a re-
               cent four borough comprehensive plan. Some problems may develop
               in reaching agreement on the implementation of recommendations,
               since the candidate IDS area spans three jurisdications. There
               is no existing group immediately identifiable to form the
               technical group.

                    The proposed IDS area is less than a mile square (.75
               square miles) and is of a manageable size. There are no unique
               opportunities of which the municipalities could avail them-
               selves; nor is there any pai@ticular distinct area designation
               or identification for the p;roposed IDS ar'ea.

                                  Infrastructure Criteria

                    There is some modest bridge repair and construction plan-
               ned in Marcus Hook. There are some buildings (e.g. the Trainer
               elementary school) which are structurally sound but under-
               utilized. In general, the housing stock is in good condition;
               some scattered and isolated houses could be rehabed.- The
               historic structures of any consequence are in Marcus Hook; it
               may be advantageous to preserve them. Public tranportation is
               adequate.

                                           A-13

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                --------------------------              -

                                                                                                                                                                                                                                                        APPENDIX B
                               Integrated
                               Development                                                                                                                                                                                 EXISTING LAND USE                                                                                                                                                                                                                                                          rn
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      z
                               Strategy                                                                                                                                                                         AND CONDITIONS MAP                                                                                                                                                                                                                            SCALE
                                                                                                                                                                                                                                                                                                                                                                                                                                                                        1100,

                                                                             APPENDIX

                                                         APPENDIX

                           EXISTING LAND USE AND CONDITIONS

                 LAND USE CODES

                               RESIDENTIAL (Single/Multi-Family/All Types)
                        f7                                                        0
                         X     MIXED USE (Residential/Neighborhood Commercial)    z
                        7C     COMMERCIAL (Heavy Commercial/Service)              E:

                               INDUSTRIAL (Manufacturing/ Related)

                               INSTITUTIONAL (Municipal, Religious, etc.)
                        MR     RECREATIONAL (Public/Private Parks & Facilities)

                               UTILITIES

                 BUILDING AND SITE CONDITIONS

                               DILAPIDATED & OCCUPIED

                               VACANT STRUCTURE
                               VACANT/UNDERUTILIZED LOT

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                                                      APPENDIX C

                                STANDARD INDUSTRIAL CLASSIFICATION CODE

                    Industrial activities which are deficient in he area or which have
                    demonstrated growth or stability in Delaware County as identified by
                    the "Delaware County Economic Development Strategy."

                                                                                     SPECIFIC
                    SIC GROUPS             INDUSTRY CLASSIFICATION               INDUSTRY NO.

                    Construction

                          15               Building construction- general        1511, 1522, 1541,
                                           contractors and operator              1542
                                           builders

                          16               Construction other than               1611, 1622,   1623
                                           building construction -
                                           general contractors

                          17               Construction-special trade            1711,  1731,  1741,
                                           contractors                           1742,  1743,  1751,
                                                                                 1752,  1761,  1771,
                                                                                 1781,  1791,  1793,
                                                                                 1794,  1795,  1796,
                                                                                 1799

                    Manufacturing

                          24               Lumber and wood products              2421,  2431, 2434,
                                           except furniture                      2.439, 2441, 2451,
                                                                                 2452

                          25               Furniture and fixtures                2511,  2514, 2515,
                                                                                 2521,  2522

                          26               Paper and allied products             2631,  2641,  2645,
                                                                                 2647,  2649,  2655,
                                                                                 2661

                          27               Printing, publishing, and             2751,  2753,  2754,
                                           allied industries                     2791,  2793,  2794,
                                                                                 2795

                          28               Chemicals and allied products         2831,  2833,  2834,
                                                                                 2892,  2893

                          29               Petroleum refining and related        2951,  2952
                                           industries

                                                            C-1

                                                    APPENDIX C

                               STANDARD INDUSTRIAL CLASSIFICATION CODE
                                                     (Continued)

                                                                                  SPECIFIC
                   SIC GROUPS             INDUSTRY CLASSIFICATION             INDUSTRY NO.

                   Manufacturing

                         32               Stone, clay, glass, and con-        3231, .3241, 3271,
                                          crete products                      3273

                         34               Fabricated metal products           3421,  3422, 3425,
                                          except machinery and trans-         3441,  3482, 3483
                                          portation. equipment

                         35               Machinery except electrical         3573

                         36               Electrical and electronic           3661
                                          machinery, equipment, and
                                          supplies

                         37               Transportation equipment            3715, 3731, 3732,
                                                                              3743, 379 (all)

                         38               Measuring, analyzing, and           3881, 3882, 3832,
                                          controlling instruments;            3841, 3842, 3843,
                                          photographic, medical, and          3861
                                          optical goods; watches and
                                          clocks

                   Transportation
                   and Public Utilities

                         41               Local and suburban transit          4172
                                          and interurban highway
                                          passenger transportation

                         42               Motor freight transportation        4214, 422 (all)

                         44               Water transportation                4441, 4453, 4454,
                                                                              4459, 4463, 4469

                         49               Electric, gas, and sanitary         49 (all)
                                          services

                                                         C-2

                                       APPENDIX C

                        STANDARD INDUSTRIAL CLASSIFICATION CODE
                                       (Continued)

                                                            SPECIFIC
               SIC GROUPS      INDUSTRY CLASSIFICATION    INDUSTRY NO.

               Wholesale Trade

                   50          Wholesale trade-durable goods 5031, 5039, 5051,
                                                          5063, 5072, 5074,
                                                          5075, 5082, 5084,
                                                          5085, 5088, 5093

                   51          Wholesale trade-nondurable 5113
                               goods

               Services

                   75          Automotive repair services 753 (all)
                               and garages

                                           C-3

                                                 APPENDIX D

                                      LIST OF INFORMATION SOURCES

                  Delaware County Partnership for Economic Development
                  Delaware County Economic Development Center
                  Delaware County Industrial Development Corporation
                  Delaware County Industrial Development Authority

                        William J. Tancredi, Esq., Commerce Director
                        1 South Olive Street
                        Media, PA 19063
                        (215) 566-2225

                  RDC, Inc.

                        Carl E. Russell, President and Chief Executive Officer
                        115 East Fifteenth Street
                        Chester, PA 19013
                        (215) 874-5555

                  Private Industry Council
                  Delaware County Office of Employment and Training

                        Joseph Yankowski, Director
                        321 West State Street
                        Media, PA 19063
                        (215) 566-7510

                  Delaware County Intermediate Unit

                        Alfred Gallagher, Director of Pupil Personnel Services
                        Sixth and Olive Streets
                        Media, PA 19063
                        (215) 565-4880

                  Delaware County Planning Department

                        William C. Payne, Director, Community Planning
                        John E. Pickett, Director, County Planning
                        Watkins Building
                        350 N. Middletown Road
                        Lima, PA 19037
                        (215) 891-5656

                  Delaware County Chamber of Commerce

                        Jack Holefelder, President
                        602 East Baltimore Pike
                        Media, PA 19063
                        (215) 565-3677

                                                     D-1

                                                 APPENDIX D

                                      LIST OF INFORMATION      SOURCES
                                                  (Continued)

                   City of Chester, Division of City Planning

                        Leedom Morrison, Director
                        401 Avenue of the States
                        Chester, PA 19013
                        (215) 447-7881

                   Chester Redevelopment Authority

                        Robert Kefalas, Director
                        401 Avenue of the States
                        Chester, PA 19013
                        (215) 447-7850

                   Chester Housing Authority

                        Ernest Trosino, Director
                        P.O. Box 38
                        Chester, PA 19013
                        (215) 876-5561

                   Better Housing for Chester

                        Marion Field, S.N.D, Executive Director
                        18 West Fifth Street
                        Chester, PA 19013
                        (215) 872-8800

                   For the People, Inc.

                        Carolyn Saunders
                        A-9 Crosby Square
                        Chester, PA 19013
                        (215) 872-4727

                   Chester Community Improvement Project

                        John Farrell
                        1614 West Second Street
                        Chester, PA 19013
                        (215) 876-8863

                   Community Support Corporation

                        302 South Jackson Street
                        Media, PA 19063
                        (215) 565-0846

                                                      D-2

                                                 APPENDIX D

                                      LIST OF INFORMATION SOURCES
                                                 (Continued)

                  Small Business Administration

                        M.A. Division, 4th Floor
                        1 Bala Cynwyd Plaza, East
                        231 St. Asaphs Road
                        Bala Cynwyd, PA 19004
                        (215) 596-5889

                  U.S. Department of Commerce

                        Regional Director - Economic Development Administration
                        600 Arch Street
                        Philadelphia, PA 19103
                        (215) 597-4603

                  Department of Housing and Urban Development

                        Regional Community Planning and Development
                        105 South Seventh Street
                        Philadelphia, PA 19103
                        (215) 597-2665

                  Pennsylvania Department of Community Affairs

                        Craig Zumbram, Enterprise Development Coordinator
                        506 Forum Building
                        Harrisburg, PA 17120
                        (717) 787-5329

                  Pennsylvania Department of Commerce

                        Anne Baker, Director, Small Business Action Center
                        400 South Office Building
                        Harrisburg, PA 17120
                        (717) 783-5700

                  Pennsylvania Department of Transportation

                        District 6
                        200 Radnor-Chester Road
                        St. Davids, PA 19089
                        (215) 687-1600

                  Philadelphia Electric Company

                        Martin Gelhaus, Area Development Coordinator
                        2301 Market Street
                        Philadelphia, PA 19101
                        (215) 841-5658

                                                      D-3

                                                 APPENDIX D

                                      LIST OF INFORMATION SOURCES
                                                  (Continued)

                  Philadelphia Electric Company

                        Don Freeman, Real Estate Development
                        2301 Market Street
                        Philadelphia, PA 19101
                        (215) 841-5380

                  Chester Water Authority

                        Peter K. MacEwen, P.E., Executive Manager and Chief Engineer
                        5th and Welsh Streets
                        Chester, PA 19013
                        (215) 876-8181

                  DELCORA

                        William C. Ross, Executive Director
                        100 East Fifth Street
                        Chester, PA 19013
                        (215) 876-5523

                  U.S.  Army Corps of Engineers

                        Administrator, District Office
                        Second and Chestnut Streets
                        Philadelphia, PA 19103
                        (215) 597-4884

                  Delaware River Port Authority

                        Administrative Offices
                        Bridge Plaza
                        Camden, NJ 08101
                        (609) 925-8780

                  Conrail

                        Industrial Development Division
                        150 Allendale Road
                        King of Prussia, PA 19406
                        (215) 893-6025

                                                     D-4

                                                APPENDIX E

                                            INDUSTRIAL MODEL
                         DEVELOPMENT CONCEPT FOR THE IDS WESTERN ANCHOR

                                                LCA Leasine

                  Manufactured Residential/ Commercial/ Industrial Structures
                  (SIC 2434, 2452)

                       The model use proposed for the 62-acre LCA site is a manufac-
                  tured residential or 'non-residential structures plant. Investigation of
                  various companies engaged in this activity has revealed that the plant
                  could be a single user of the property, could provide jobs for residents
                  of Chester, could utilize the various transportation modes, and could
                  have a healthy market in the region to support the company.         Many
                  corporations operate more than one plant to cover large market areas
                  and fabricate many of the internal components such as cabinets and
                  millwork.

                       By compiling a variety of information through informal contacts
                  with existing manufacturers and then developing assumptions, a model
                  "footprint" of the plant was developed for LCA. This included the main
                  manufacturing plant, a sub-plant for manufacturing cabinets, and a
                  headquarters or administration building.    Various parking and storage
                  areas were also incorporated. An important addition was a power house
                  to provide energy through a closed-loop system. This would be fired
                  by a trash-to-steam generator located on the property.

                       An illustrative site plan has been developed showing the possible
                  configuration (see Exhibit B).     The following table contains general
                  characteristics of the development plan.

                                                    E-1

                                                          TABLE E-1

                           MANUFACTURED STRUCTURES PLANT: INVENTORY OF DATA

                      0    Total Acreage                                          62 acres

                      0    Main Plant                                             140,000     square     feet

                      o    Cabinet Plant                                           50,000     square     feet

                      0    Administration Headquarters                             45,000     s quare    feet

                      0    Generating House                                        90,000     square     feet

                      0    Raw Material                                            70,000     square     feet

                      0    Inventory Areas                                         60,000     square     feet

                      o    Rail Sidings                                           2 @ 401     x 500'     ROW

                      0    Parking Lot Area/Stalls

                                 Auto                                             360

                                 Truck                                            25-30

                      0    Employee Recreation Area                               appro3dmately 1.5 acres

                      0    Employment

                                 Administration                                   75-100

                                 Labor                                            200-250

                                 Power House                                      10-15

                      I
                           Based on a range of the average number of employees of corpora-
                           tions with facilities of comparable size

                                                               E-2

                                                   APPENDIX F

                                         NEIGHBORHOOD IMPACT AREA
                            VACANT AND DILAPIDATED PROPERTIES BY ADDRESS

                   601 ROW
                   MAIN
                   GRID
                   STREETS

                                 WEST SECOND STREET (NORTH SIDE ONLY)

                   1800 NIS        1818      L
                                   1820      L

                   1900 NIS        1900
                                   1908      L

                   2000 NIS        2004      L
                                   2006      L
                                   2008      L
                                   2014
                                   2028
                                   2030

                   2100 NIS        2128      L

                   2200 NIS        2200      L                entire block made up of a filling
                                   2206      L                station-large open area used as
                                   2216      L                parking for trucks (approximately
                                   2220      L                1.2 acres)
                                   2222      L

                   2300 NIS        2314      L                .8 acre used as parking
                                   2324      L

                   2400 NIS        2400      L

                   2500 NIS        2504      L
                                   2506      L
                                   2508      L
                                   2514      L
                                   2520

                                                        F-1

                                                     APPENDIX F

                                          NEIGHBORHOOD IMPACT AREA
                             VACANT AND DILAPIDATED PROPERTIES BY ADDRESS
                                                     (Continued)

                    601 ROW
                    MAIN
                    GRID
                    STREETS

                                                WEST THIRD STREET

                    1800 NIS        1816                        1800 S/S         1827
                                    1820                                         1829
                                    1822                                         1831
                                    1826

                    1900 NIS        1900                        1900 S/S         1903
                                    1912        L                                1913
                                    1916        L

                    2000 NIS        School Property             2000 S/S         2009
                                                                                 2011       L
                                                                                 2013       L

                    2100 NIS        2108                        2100 S/S         2101       L
                                    2122        L                                2103       L
                                    2128        L                                2123       L
                                                                                 2127
                                                                                 2129
                                                                                 2131
                                                                                 2133       L

                    2200 NIS        2200        L               2200 S/S         2227       L
                                    2216        L
                                    2226

                    2300 NIS        2300                        2300 S/S         2301
                                    2316                                         2303
                                                                                 2327
                                                                                 2329
                                                                                 2331

                    2400 NIS        2404                        2400 S/S         2427

                    2500 NIS        2528                        2500 S/S         2501
                                    2510        L                                2511
                                    2512        L                                2507
                                                                                 2531

                                                         F-2

                                                     APPENDIX F

                                          NEIGHBORHOOD IMPACT AREA
                             VACANT AND DILAPIDATED PROPERTIES BY ADDRESS
                                                     (Continued)

                    601 ROW
                    MAIN
                    GRID
                    STREETS

                                              WEST FOURTH STREET

                    1800 NIS         1826       IL              1800 S/S         N2
                                     1828

                    1900 NIS         1906       L               1900 S/S         N
                                     1926       L

                    2000 NIS         2024       L               2000 S/S         School Property
                                     2026       L
                                     2028       L
                                     2030       L

                    2100 NIS         2118                       2100 SIS         N

                    2200 NIS         Industrial Use             2200 S/S         N

                    2300 NIS         Industrial Use             2300 SIS         N

                    2400 NIS         2430                       2400 S/S         N

                    2500 NIS         2508       IL              2500 S/S         N

                                                  REANEY STREET

                    200 W/S          207        L               200  E/S         220       L
                                     217
                                     219
                                     223
                                     225

                    300 W/S          N                          300 E/S          N

                    400 W/S          N                          400 E/S          401
                                                                                 403

                                                          F-3

                                             APPENDIX F

                                    NEIGHBORHOOD IMPACT AREA
                         VACANT AND DILAPIDATED PROPERTIES BY ADDRESS
                                             (Continued)

                 601 ROW
                 MAIN
                 GRID
                 STREETS

                                          YARNALL STREET

                 200 W/S       214                    200 E/S       217 Apt. Bldg.
                                                                    219 Apt. Bldg.

                 300 W/S       N                      300 E/S       309

                 400 W/S       N                      400 E/S       N

                                          JEFFREY STREET

                 200 W/S       N                      200 E/S       N

                 300 W/S       N                      300  E/S      N

                 400 W/S       N                      400  E/S

                                           ENGLE STREET

                 200 W/S       N                      200  E/S      213      L

                 300 W/S       N                      300  E/S      N

                 400 W/S       N                      400  E/S      N

                                         TOWNSEND STREET
                 20'0 W/S      200      L             200 E/S       N
                               202      L
                               214
                               220
                               222
                               224      L
                               226      L
                               228      L
                               230      L
                               232      L
                               234      L
                               236      L
                               238      L
                               240      L

                 300 W/S       N                      300 E/S       N

                 400 W/S       N                      -400 E/S      N

                                                 F-4

                                         APPENDIX F

                                 NEIGHBORHOOD IMPACT AREA
                       VACANT AND DILAPIDATED PROPERTIES BY ADDRESS
                601 ROW                   (Continued)
                MAIN
                GRID
                STREETS

                                        PALMER STREET

                200 W/S      N                    200 E/S      N

                300 W/S      N                    300  E/S     N

                400 W/S      N                    400  E/S     N

                                        WARD STREET

                200 W/S      N                    200  E/S     N

                300 W/S      N                    300  E/S     N

                400 W/S      N                    400  E/S     N

                               WILSON STREET (EAST SIDE ONLY)

                                                  200 E/S      225      L  (6440
                                                                           square
                                                                           feet)

                                                  300 E/S      N

                                                  400 E/S      N

                                              F-5

                                                    APPENDIX F

                                          NEIGHBORHOOD IMPACT AREA
                            VACANT AND DILAPIDATED PROPERTIES BY ADDRESS
                   SECONDARY                        (Continued)
                   CITY STREETS
                   (ALLEYS)

                                    MARY STREET (BETWEEN BARRY BRIDGE
                                             AND JEFFREY STREET)

                                                               1900 S/S         1917
                                                                                1919
                                                                                1921
                   2200 NIS         2210   MARY STREET (SOUTHARD)

                   2300 NIS         2310      L                2300 S/S         2313      L (part of
                                                                                             2400-2414
                                                                                             West Second
                                                                                             Street)

                                                  BYRAM STREET

                   200 W/S          218       L
                                    220       L
                                    224       L
                                    228       L

                   1    L - Vacant lot
                   2    N - No vacant or dilapidated properties

                                                         r-6

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