Posts Tagged Chris Warren
See-Saw Economics – Up Here and Down Over There
Posted by Roldo Bartimole in Economic Development, Media on July 14, 2009
July 14, 2009… The drums are beating loudly and often about Cleveland’s East 4th Street. Even the New York Times had an extensive piece about the lively street that’s become an open air bazaar of restaurants.
It’s a small economic oasis in a virtual desert of inactivity. But not much more.
Go directly north across the street. Lively it ain’t. There sits the grandest of Cleveland’s buildings – The Arcade. Built in 1890. “It has no peer in the United States…” says Eric Johannesen’s Cleveland Architecture 1876-1976.
And it’s dying. Economically, that is.
Just a few steps from East 4th St.
As full as East 4th might be on any July noon, that’s as empty as The Arcade will be at the exact same time.
Into each project has flowed millions of public dollars. Chris Warren, the city’s economic development major domo, says $10 million has gone into East 4th St. Well, that’s high subsidies for such a short street.
I expect with tax relief and other subsidies it’s more than $10 million.
At The Arcade, more than $10 million of public money has been given.
It had a $6.26 million historic tax credit; a TIF (form of tax abatement) worth $6,454,000; a $1 million, 30-year city loan at zero interest rate for 26 years and 2 percent on the remainder; another $3 million loan for 20 years at 6 percent and another $2 million, 20-year loan via the County at 2.5 percent. Foundations also made contributions.
As bad as that is, The Arcade was seeking a $15 million property tax reduction in its value, a cut of more than half of what it was on the tax duplicate.
Look at The Arcade. It will depress you. The grand building lacks even the pretense of commerce.
So why the cheering for East 4th?
Just a few steps away from East 4th, the city gave $3.3 million in low interest loans to the Colonial/Euclid Arcades and diverted property taxes to help these two arcades. Both seem in economic decline. Very depressing.
So where is the percentage in the city dishing out free money? Does one subsidized street simply rob commerce from three arcades? Does anyone but the developer make money?
Indeed, all around the Great East Fourth Street Miracle – as seen by the Plain Dealer and New York Times – economic failures abound.
And don’t forget the $200 million RTA fix-up of Euclid Avenue, a pretend urban transit investment that rides right through this E. 4th and Arcade site.
If you go to East 4th street from any side, you’ll hit protesters. They’re handing out flyers that complain about the East 4th Street developer, MRN. Calls the developer “rats.”
“MRN, Ltd. wants to keep all the cheese for themselves. Tell them they have to share,” says the flyer from the Regional Council of Carpenters.
So despite heavy public subsidization, MRN won’t use union carpenters on their development, which includes housing.
By the way, the protesters have been out there for weeks. Have you read anything in the Pee Dee, The Plain Dealer, about this?
Plain Dealer Publisher Egger Driving “Opportunity Corridor”
Posted by Roldo Bartimole in Economic Development, Media, Politicians on June 3, 2009
June 2, 2009… Steve Litt had to swerve and swivel in writing about the Opportunity Corridor – the road Cleveland’s Establishment now finds irresistible. The reason: His boss.
Litt, The Plain Dealer’s architectural critic, did well in being honest about a touchy issue for a Plain Dealer writer. However, he had to tread lightly in Sunday’s article.
After all, Terry Egger, his boss, is co-chairing the panel put together by the Greater Cleveland Partnership to push the “Opportunity Corridor.” Egger is publisher of the PD.
Why he would put himself into this situation can only be read as a need for power. Don’t see it any other way.
Co-chairman Egger had the public panel’s first meeting held incommunicado from the public, which will pay for it. Where? In his Plain Dealer’s offices. Weeks ago.
There is nothing like guarded secrecy from the same people who demand transparency of others. That’s the Plain Dealer.
Litt is a big booster of the road but he outlined some of the problems of a panel chosen to tell us that “We need this!” It’s the cry for another big project.
As someone mentioned to me today, I thought the Euclid Corridor was the highway from downtown and the interstate roads to University Circle. Didn’t we just spend more than $200 million for that? Yes, we did.
For that matter shouldn’t we be moving away from encouraging private transportation? Should we not be improving public transportation, doing everything we can to encourage people to use mass transit rather than getting in their auto. Shouldn’t we be moving people away from trying to save two or ten minutes by constructing multi-million dollar roadways?
I think the answer is YES.
As usual our leadership – the Greater Cleveland Partnership, the Plain Dealer, Cleveland Foundation and Gund Foundation, prime funders of the panel – moves us in the wrong direction. Very expensive wrong direction. The foundations anted up $100,000 each for a phony public show. Just give us slogans.
The less than three mile road – from East 55th & I-490 to E. 105th – will cost an estimated $350 million.
Litt correctly gives us citations from the Federal Highway Administration Web site about requirements that the public be involved in such decision-making.
That’s like saying children should behave or be quiet.
Not going to happen.
He quotes Egger saying that his “point of view is that the public’s business needs to be done in public.” Publicly? In his office. Are you kidding?
Egger says that even as he holds the panel meeting in his own offices at the Plain Dealer. In private. No press allowed.
What utter nonsense. None of this “planning” is going to be done with any real public input.
Litt and Chris Warren, Mayor Frank Jackson’s director of regional development, credit the panel with being more diverse. Litt cites membership by three Cleveland City Council members. Pleeeze!
We have another stacked deck, citizens. They could change the name of the city to Rigged Ohio. Nobody would notice and the foundations would pay for it.