The Detroit News – 4/14/2011 –
by: Christine MacDonald

— Detroit — Former U.S. Housing and Urban Development Secretary Henry Cisneros is expected to come to Detroit today to headline a conference on saving struggling cities by shrinking them. Six years ago, he came to Detroit promising growth: a $258 million project to build about 3,000 houses on 1,200 acres on the city’s border with Grosse Pointe Park. Detroit spent millions of dollars acquiring land, razing houses and rebuilding roads in anticipation of what was touted as a landmark redevelopment. No houses were built. The land is dumping ground for trash. Court judgments are piling up. And the project has become what some call a lesson for city leaders. “It was billed as one of the largest housing development projects, to see it not come to pass is frustrating,” said Councilman Kenneth Cockrel Jr. “We need to scrutinize these deals very, very closely. We should probably look before we leap.” Cisneros is the keynote speaker in American Assembly’s three-day conference at the Westin Book Cadillac to strategize ways to save declining cities. The nonprofit public policy group based in New York, founded by Dwight Eisenhower, conducts research on everything from race to urban renewal. Cisneros said he’s not ad-vocating any prescriptions for Detroit, and blamed an “unfortunate convergence of events” for the project’s demise. The real estate market collapsed, a partner died and his company went bankrupt, and then-Mayor Kwame Kilpatrick’s administration imploded. “I never like to see something I am in-vested in not succeed,” said Cisneros, the former mayor of San Antonio, Texas, who invested through his company, AmericanCity Detroit. “I have spent a lot of time personally on the project. I was in De-troit almost every month for two years. “The project didn’t fail. The project never got started. … Everyone really broke their backs to do the right thing for Detroit.”

Area now a ghost town — Today, what remains of the New Far East Side Development project is vacant land surrounded by a smattering of houses and frustrated neighbors. “I never believed it was going to happen,” said John Myers, who lives nearby. “I think it’s just been quietly forgotten.” Cecil Williams, 53, who lives on Philip near Jefferson, still believed the development was proceeding until he spoke with a Detroit News reporter Wednesday. But he wasn’t surprised. “Let’s put it this way: It’s hard to be disappointed over something you never had a chance to get,” said Williams, whose home is surrounded by lots filled with broken concrete and tires. “I didn’t have much faith in it to begin with.” Detroit’s investment is unclear, but it spent at least $4 million rebuilding roads and side-walks and installing street lights in an eight-block area known as Fox Creek. Developers were sup-posed to build 700 homes in the first phase of the larger project that was bounded by East Jefferson, Alter, Warren and Conner. The Far East Side Development still owns 580 parcels, but its development agreement with the city is set to expire in November. Cisneros partnered with Detroit developer Melvin Washington, Chicago home builder Kimball Hill and nonprofit U-SNAP-BAC, but he said he hasn’t worked on the project for 21/2 years and isn’t sure if he’s technically still part of the company. “I don’t even know it exists,” said Cisneros, who added he made no money from it. Court records indicate the New Far East Side Development Co. LLC has two judgments worth about $180,000 against it for unpaid bills. “It would certainly be nice if they came and cleaned up their act,” said Andrew Broder, a lawyer for a civil engineering firm that claims it is owed $135,000. “That is no way to do business.” Mayor Dave Bing’s staff didn’t return calls for comment. U-SNAP-BAC Director Linda Smith declined comment. Washington and others haven’t given up. They want to pitch a new proposal to the city to build rentals rather than single-family homes, said Denise Lewis, an attorney for the company. Kimball Hill’s president, David Hill, died in 2008, the same year the company went bankrupt. The market collapse also delayed progress, but Washington wants to keep the project afloat, Lewis said. Washington told a jury last year he gave former City Council President Monica Conyers thousands of dollars for travel, shopping and tuition because she served on the pen-sion board and he wanted it to invest in one of his other developments.

Some see an opportunity — Others hope something good can come from the project. Josh Elling, executive director of the Jefferson East Business Association, said his group is in talks with Bing’s staff about the land. He said he’s been told the property will revert to city ownership and wants to ensure the land isn’t sold before a development agreement expires. He said it is one of the largest ar-eas of vacant land in the city and believes it could be a key area in Bing’s Detroit Works Project to reshape the city in part by consolidating residents in vibrant neighborhoods. Cisneros said the city’s infrastructure investment of new roads and sewers isn’t wasted. “There is no reason in the world that area can’t still be redeveloped,” said Cisneros, who founded a California investment firm called City View in 2000 that claims on its website to have generated $2 billion in urban investment nationwide. “Detroit needs to be thinking about steady progress and a long-term plan.”

Rick Davis, Democratic Party candidate for Mayor of Evansville, learned through the news media today that his opponent has challenged him to a public debate. However, Davis — who officially announced his candidacy on Nov. 11, 2010, said the Troy Tornatta campaign never has communicated a desire to debate Davis before the May 3 primary election.

Tornatta, who has been a candidate for two months, mentions in a press release that jobs are a paramount importance to voters going to the polls in less than 3 weeks.

However, in April 2009, when Tornatta was a County Commissioner, he stood in front of the Downtown Evansville Rotary Club and gave a 100-day report on County government. Tornatta said: “Please keep in mind that all of the best politicians with their most compelling ideas CANNOT GET A COMPANY TO RELOCATE OR STAY IN THEIR COMMUNITY.”

His words were prophetic, as Whirlpool announced it was leaving Evansville only 4 months later.

Now candidate Tornatta is running a television ad stating we need to do “more with our schools and colleges to develop high-tech jobs,” and then he has the nerve to stand in front of Whirlpool and says government can “do more to retrain people who have lost their jobs.” He ends his commercial by saying “we don’t have time for politics, we need to create jobs.”

My opponent can’t have it both ways. As a Commissioner, his attitude was more or less “there’s nothing we can do” to land quality, high-paying jobs to Evansville. But as a candidate, he implies job creation and retention is a top priority.

Actions speak louder than words. However, my opponent’s actions AND words as a Commissioner speak volumes. He had his chance to be a leader in economic development and job growth as a County Commissioner, and he publicly stated it was not possible. What did my opponent do to prevent Whirlpool from leaving town? Nothing. Because he said it wasn’t possible.

I disagree with my opponent’s statement to the Rotary members and I have a plan of action. I will head a committee of business leaders, organized labor, and representatives from our schools and universities and we will meet publicly on a monthly basis and show our taxpayers what is being done to attract business and industry to Evansville. Taxpayers currently have no idea what is being done in that regard, and we deserve to know that our government and community leaders are doing to not only bring jobs into Evansville, but also to retain the jobs we currently have.

Regarding the debate, my opponent had better be ready to debate how he wants to continue the Weinzapfel administration’s path of denying 46,000 homeowners $5 million in homestead credits, or holding “caucuses” — a quorum of City Council members — in the mayor’s office before City Council meetings. He had better be ready to debate how he pushed the controversial patient safety ordinance through the Commissioners without any public input. I have knocked thousands of doors and held 8 Town Hall meetings already in this campaign, and I haven’t found anybody who wants more of the same. My opponent represents more of the same.

My schedule has been set for many days and I already know my opponent’s views on local government. I would rather focus my remaining time going door-to-door and talking with residents on their front porches and in their living rooms, getting the opinions of the taxpayers, because we all have a vested interest in moving Evansville forward.

Rick Davis

16 pages of activity and the moon is not even full

EPD Activity Report April 13 2011

IS IT TRUE? Part 2 April 14, 2011

IS IT TRUE that the recent annexation of the previously unincorporated area in Knight township north of Morgan Avenue has spared one of the original eight businesses in Vanderburgh County that were to have come under the County Commissioners new smokefree workplace ordinance this summer?…that this annexation includes the Eagle’s Club out on Old Booneville Highway?…that the Eagle’s Club would have been going non-smoking this summer under Vanderburgh County law but now under City of Evansville law the smoking will continue?…that the original eight are now down to six?…that Dutch Corner burned down in a smoking related fire taking the protected establishments down to seven?…that annexation by the City of Evansville has now reduced the number of mandated by law come this summer establishments down to six?…that two of those are already non-smoking by choice and that the owner/managers say that business is as good as it has ever been?

IS IT TRUE that when the forces supporting consolidation and having no threshold rejection howl about how we are really one big happy family that they need to look at just how much difference there is between the City of Evansville and Vanderburgh County on the smoking issue?…that for the most part the City of Evansville is a Democratic stronghold and that Vanderburgh County is typically Republican?…that “progressives” are typically associated with Democratic policies and strongly support comprehensive smoking ordinances?…that the Republican dominated Vanderburgh County Council is the body to advance the progressive position in this place?…that it is the Democratic leadership that has failed to enact a comprehensive smoking ordinance in the City of Evansville, reversed one in Vanderburgh County, and has been most vocal against adopting such an ordinance?…that when local Democrats talk about being on the “TEAM”, what they mean must be “THEIR OWN TEAM” as opposed to any national Democratic team?…that one must come to Evansville to hear and see Democrats in power advancing positions from the RIGHT and Republican advancing progressive positions?…that living in a backwards world can be confusing?

IS IT TRUE that the United States Congressional Budget Office has completed its review of the supposedly “historical” $38Billion spending cuts that were celebrated by Democrats and Republicans alike last Friday in the “Faceoff inside the Beltway” that avoided shutting the government down?…that the CBO’s analysis of the $38 Billion in cuts has determined that it is not really (nod, wink) $38 Billion that is being saved?…that the CBO says it is only $352 Million that will be saved in 2011 and not the $38 Billion that was announced last week?…that is only a 99% difference?…that either the congressmen who came up with the $38 Billion number are economically incompetent or someone was trying to pull the wool over the people’s eyes again?…that saying that $500 is equal to $50,000 (scaling the mistake made in the announcement) does not make it so?…that if that were true out here in the real world that we could head over to D-Patrick with $500 bucks and come home with a loaded new BMW with no monthly payment?…that only seems to work in the US Congress?

IS IT TRUE that the website of the Congressional Budget Office is quite informative for those who are interested in digging a little deeper than the talking heads dig?…that if you want to read a real analysis of Congressman Paul Ryan’s budget proposal as opposed to listening to the stuffed shirts the Office of the CBO is the place to go?…that here is a link to their portal?

http://www.cbo.gov/

IS IT TRUE that there is a questionnaire that has been sent to the candidates for the City of Evansville offices from Keep Evansville Beautiful?…that the questions are quite well thought out and give each candidate the opportunity to express positions on RECYCLING, the Evansville CITY PARKS, and QUALITY OF LIFE issues?…that under each of these headings there are some pointed questions that if answered honestly will reveal much about each candidate’s position on the issue of beauty, cleanliness, and green activity as quality of life and economic development influencers?…that we encourage every candidate to put their thinking caps on and answer these questions in an honest manner?…that we congratulate KEB for sending this out and encourage KEB to publish the candidates answers?

IS IT TRUE that one or our favorite and well posed questions issued by KEB is “How do you think quality of life or “curb appeal” affect economic development and employee recruitment for Evansville”?…that the answers to that simple but open ended question will be sufficient to gage whether or not a particular candidate is AWARE of or curb appeal problem, whether or not any THOUGHT has been given to just how much prosperity being drab and disheveled as a city is costing us, and even what they may think can be done to get Evansville into its SUNDAY BEST every day?

IS IT TRUE that the game of attraction whether it is birds in the springtime, young adults searching for a mate, or a city looking for investment always starts with a first impression?…that the birds all get it, the young adults mostly get it, and that some cities get it?…that the City of Evansville does not look like it understands the simple principle that beauty and cleanliness are an easy way to make a good first impression?…that that silly little country song by Cletus Judd called “I’m Going Ugly Early Tonight” (see song below if you like), may apply to one nighters but does not lead to anything that is going to last?…that the beauty and cleanliness in a city attract similar jobs?…that cities that do not make a good first impression may get lucky on occasion but will consistently only draw in jobs that don’t make a good first impression either?…that the next time that an elected official who does nothing about beauty and cleanliness uses the term “BIRDBRAIN”, they should remember that birds all know how to make a good springtime impression?

IS IT TRUE that that CCO “MOLE # 3 has just predicted that Michelle Mercer looks like she shall be one of the Republican City Council At Large primary winners? ….that the CCO “MOLE # 3” shall predict who shall be elected to one (1) of the two (2) remaining Republican primary seats in a couple of days?

IS IT TRUE that CCO “MOLE #3” is predicting that the 3rd seat in the At Large Democratic primary is really getting to become a political dog fight? ….the CCO “MOLE # 3” is predicting that the winner for the third (3rd) seat in the Democratic primary between Sonya Nixon, Steven Smith and Jonathan Weaver shall be decided by a 150 votes or less?

IS IT TRUE we are extremely pleased with the fine work that the newly hired Executive Director of the Evansville Koch Family Children’s Museum? …that Stephanie Terry is also beginning to have a positive impact in her other role as Vanderburgh County Council member?

IS IT TRUE we are pleased that our Vanderburgh County Commissioner Steve Melcher for taking a public stance on the proposed City-County Consolidation scheduled for a referendum later this year? …. that two (2) City of Evansville Mayoral candidates have also taken a public stance on this issue? …..that Rick Davis is against City-County consolidation and Lloyd Winnecke is for it? ….that County Commissioner Marsha Abell and Evansville Mayoral candidate Troy Tornatta are still on the political fence concerning this subject? …that as County Commissioners that Melcher, Tornatta, and Winnecke all voted in favor of eliminating the threshold rejection criteria from the process?…that only Commissioner Melcher has reversed that previous position and supports the rights of the county to offer CONSENT OF THE GOVERNED before consolidation can be approved?

Link to “I’m Going Ugly Early Tonight”

http://www.youtube.com/watch?v=f-5Z9vrlXO8&feature=related

EPD Activity Report April 12 2011

Wealth Report Reports Shifting Wealth Away from the West

A study released by the Knight Frank and Citi Privat Bank Partnership has place the 10 countries with the most billionaires as follows:

1. United States 396
2. China 72
3. Russia 58
4. India 47
5. Germany 43
6. United Kingdom 42
7. Hong Kong 29
8. Switzerland 27
9. Japan 23
10. Canada 22

Some other fun facts that they published about American cities are as follows:

Economic Activity: New York City 1st, Los Angeles 10th
Political Power: Washington DC 1st, New York City 2nd
Quality of Life: New York City 9th, Los Angeles 10th, (Paris was 1st)
Knowledge and Influence: New York City 1st, Chicago 6th, Los Angeles 7th

Top Cities for Entrepreneurs: New Your City #4, San Francisco #9, Palo Alto #10, Dallas #19

Here is a link to the entire study. If you want to follow the money this is a good read.

https://www.privatebank.citibank.com/announce/The_Wealth_Report_2011LowRes.pdf

IS IT TRUE that the City County Observer has seen a jump in traffic in the last week since we finally have our automatic publication notification system working correctly?…that our traffic numbers have been challenged and even mocked by certain operatives who are unwilling to share their names?… that the CCO does extensive analysis of exactly how much traffic we have, where it comes from, how long each visitor stays and what they read when on the site?…that we continually examine what is happening with the use of Google Analytics a third party traffic characterization service?… that we also monitor our rankings on Alexa and most recently on trafficestimator.com?…that the numbers from trafficestimator.com coincide very well with the Google Analytics reports?

IS IT TRUE that trafficestimator.com has the CCO traffic estimated at 95,500 visits per month and rising?…that ranks the CCO as the third highest media website in the Evansville media market?…that the Courier and Press with a traffic estimate of 643,400 is first and WFIE with a traffic estimate of 240,000 is second?…that the CCO exceeds every other traffic estimate for such a site this side of Louisville including daily newspapers in Owensboro, Henderson, Madisonville, and a host of weekly publications?

IS IT TRUE that the new program of landlord registration has the potential to slow down or eliminate the continued abandonment of housing stock in the City of Evansville?…that this program has little capacity to provide any impetus to do the extensive repairs needed on a large number of homes that are currently uninhabited?…that one of the reasons that the number of abandoned homes in Evansville has doubled in the last 10 years according to the US Census is that there has been an adversarial relationship between landlords and code enforcement?…that this program with expedited permits and preferred treatment with complaints may really expedite getting the little things done to prevent future abandonment of habitable homes?…that Vanderburgh County Building Commissioner Ben Miller is a practical, fair, and honest man and that the CCO wishes this program the best

IS IT TRUE that Tom Barnett, Director of Metropolitan Development has accurately pointed out that there are 8,000 uninhabitable homes in Evansville that need at least $1 Billion in repairs to be decent again?…that if that $1 Billion is spent on these houses that they will only have a market value of $400 Million or 40% of the cost to repair them?…that with a shrinking population that there is no reason to think that there is even any demand for these homes?…that the cheapest and perhaps the best solution to this dilapidation issue is to spend $40 Million and just tear the things down?…that if enough of these houses are torn down in areas where the Combined Sewers are that there is the possibility to reduce the number of sewers that need to be repaired and thus saving some of the anticipated $500 Million bill to satisfy the EPA order?

IS IT TRUE that what Evansville really needs to counter the spiral of Detroitization is a vibrant economy, a growing population, an atmosphere conducive to entrepreneurship, available equity investment funds, cleanliness, a well kept park system, etc., etc., etc?…that the song remains the same and that the longer it plays the less likely that it will be to change that tune?…that maybe this is the year to make some real changes?…that we reiterate once again the THE CANDIDATES FOR MAYOR OF EVANSVILLE should offer the public some substance about how to start to repair the situations that started and continues to cultivate the Detroitization of Evansville?…the CCO and the people of Evansville are still waiting for direction for our aspiring political leaders?

IS IT TRUE that the Economic Development Coalition of Southwest Indiana has allocated some federal grant money to pay for a study of the potential that this area has for growth?…that Garner Economics of Atlanta has been commissioned to do this study?…that there are those who will be critical of hiring an outside of Evansville firm to do this study?…that when searching for opportunities that seem to have eluded the local business community and local governance for many years an outside firm is usually the best choice?… that Greg Wathen is very well connected in the economic development industry and made the best choice that he could make with the funds that were available?

IS IT TRUE that SWOT (strengths, weaknesses, opportunities, and threats) analysis were done and published in 2000 and again in 2007?…that in both cases these efforts were locally lead and chose all local participants?…that the results of these analyses were strikingly similar?…that would indicate that little or no positive change occurred between 2000 and 2007 to change the results?…that as informative as these exercises were that in the end they were just exercises?…that in one case there was some “strategic editing” done in the areas of identified weaknesses and threats?…that the “strategic editing” was done so as not to perturb the powers that be?…that this locally driven “strategic editing” is why Mr. Wathen is doing the right thing by hiring an outside firm to do this study?

IS IT TRUE that it is certain that this region has some untapped resources and unknown opportunities that can and should be acknowledge and exploited for economic growth?…that there have been opportunities identified in the past that just do not seem to get the attention of people who pursue them?…that we expect that this study will identify resources and opportunities with positive potential?…that we are quite interested to see if these opportunities will be new or recantations of opportunities published in the past?…that we hope and encourage that any good opportunities be pursued?…that Evansville’s economic problems are not in place because of lack of opportunities?…that there have been many opportunities brought forward but that the initiative, the funding (as in venture capital), and the talent have not been mobilized to capitalize on them?…that maybe this time it will be different?

IS IT TRUE that “CCO “MOLE #3” has just predicted that Conor O’Daniel is on his way to be elected to the second position on the Democratic AT LARGE City Council seat?

IS IT TRUE the political battle lines have been drawn between Davis and Tornatta? ….that the Tornatta campaign is all about keeping things the same while preserving the programs of Mayor Jonathan Weinzapfel and Davis is campaigning on the issue of “a new broom sweeps clean”?

IS IT TRUE that incumbent City Council Dan McGinn hasn’t spent one nickel on yard signs, TV, radio or newspaper ads? …. that we know the reason why? ….that Councilman McGinn has done an outstanding job in representing the needs of the citizens living in the 1st Ward? ….that the fact that he has publically taken Mayor Weinzapfel head on in many issues and won certainly helps enhance his popularity?

Charlotte Suburb Embarks on 25 Field Complex

Do you remember last year when the Evansville Convention and Visitors Bureau wanted to spend $18 Million on 8 little league baseball fields? There was actually broad support for the idea of having a classy ball park complex but the construction price came under fire for being excessive. It was eventually defeated.

Charlotte, North Carolina suburb Mooresville is now embarking upon their own $20 Million little league ballfields project so our curiosity has migrated to just what can you get in Charlotte for $20 Million? Here is what they are getting:

* 25 lighted baseball fields

* 60 cabins

* Laundry

* Dining Hall

* Concession Stands

The 25 fields and the team cabins are expected to draw 80,000 visitors per year and are being developed by private investors. The total public incentives committed to attract the investment was only $1 Million paid out over a 10 year period. The project is expected to create 20 full time and up to 500 part time jobs.

If the proposed ballfields project in Evansville would have involved a private investment of $20 Million and a public incentive of $1 Million there would have likely been substantial support. The cost of a ballfield also seems to be more in line with reality in Charlotte than it was here. Well, in a land of $239,916 apartments what can we expect?

You may read the entire contents at the link below.

http://www.charlotteobserver.com/2011/04/12/2216922/work-starts-on-170-acre-youth.html