Investigators say it happened just before 7:00 p.m. on the 1800 block of Hoffman Street after the officer and the three individuals got into an argument over a water gun.
Relatives identified the victim as 23-year-old Howard Williams. Williams was taken to the Hospital of the University of Pennsylvania where he was pronounced dead.
A 26-year-old woman and an 18-year-old man were both shot in the leg and taken to the hospital. The are both listed in good condition.
Police are investigating the incident.