Across the Spectrum: A Rousing Success

On December 8^th, 2011, Greater Ohio Policy Center, The Buckeye Institute and The Center for Community Solutions co-hosted a powerful conference that successfully raised the level of public discourse beyond the current partisan posturing that is so prevalent in our nation and state. “Across the Spectrum: The Future of Ohio and the Path to Prosperity” brought together 20 state and national experts to propose and debate a variety of solutions to some of the most urgent policy challenges facing Ohio and the nation: government consolidation, health care, government pensions, federal, state, and local taxes, the modernization of Ohio’s constitution and the culture shift underway in American society.

Lively and collegial discussion between panelists, and between panelists and over 300 audience members, demonstrated to all attendees that there is much common ground from which we can develop new policies and programs that aren’t “right-wing” or “left-wing” but an innovative “third way.”

Perhaps best modeling the ability to forge agreement on lightening-rod issues was the lunchtime discussion between Dr. Arthur Laffer, Founder and Chairman of Laffer Associates and The Laffer Center for Supply-Side Economics and Dr. Alice Rivlin, member of the National Commission on Fiscal Responsibility and Reform and former director of the Congressional Budget Office.  During their friendly debate on “National Debt, Deficits and the Future of Fiscal Federalism” they agreed that the country’s national debt had to be addressed immediately and that “flexibility”—though perhaps not compromise—by both parties would be one important way out of the morass.

At dinner, Professor Walter Russell Mead, Professor of Foreign Affairs and Humanities at Bard College and Editor-at-Large of The American Interest, gave the dinner keynote address, “Where is America headed?” and offered a vision of America’s future where community—defined by place, as well as by interests and/or workplace training—will remain the bedrock of American society.  Identifying the democratization of information through the internet and higher levels of education attained by Americans, Mead argued that the future will hold a range of opportunities (and options for getting there) that is markedly more varied that our 19^th and 20^th century past and that this complexity will be our greatest competitive advantage.

Throughout the day, numerous audience and panelist members commented that as a result of the sincere conversations prompted by the panels, they felt extremely hopeful for Ohio’s future and the political discussions that will get us there.

We anticipate “Across the Spectrum” will have long-lasting impacts on the political dialogue in Ohio—please leave your thoughts on the conference in the comments section below to let us know what you think and to keep this important conversation going.

Investing in Over-The-Rhine: Highlights from 3CDC

Greater Ohio's partners continue to create innovative programs and models that are building prosperity across Ohio. This month we spotlight the Cincinnati Center City Development Corporation (3CDC) as an innovative private-public partnership that is providing catalytic leadership in revitalizing Cincinnati’s urban core.  This month’s guest blog post comes from Anastasia Mileham, Vice President of Communications at 3CDC.

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The Cincinnati Center City Development Corporation (3CDC) is a non -profit, full-service, real estate development company formed in 2004 by Cincinnati’s corporate and civic leaders. Its mission is to strengthen the core assets of downtown by revitalizing the Central Business District (CBD) and Over-The-Rhine (OTR).

Over-the-Rhine is one of the most economically distressed areas in the country with a poverty rate of 58%, unem­ployment rate of over 25%, and median household income of $9,895. Geographically situated just north of the center city, the troubles in OTR have contributed to a destabilization of the CBD. This unstable environment has prevented growth and investment in the city’s core, which has in turn impacted the health of the entire region. In the absence of a major turnaround, the region was in danger of losing some of its largest employers, further exacer­bating the persistent distress in Cincinnati’s center city.

 3CDC's efforts to revitalize low-income communities are funded by five separate revolving loan funds, totally over $195 million.  3CDC has also been awarded three New Market Tax Credit (NMTC) allocations to date, totaling $103 million. (The NMTC Program provides a credit against federal income taxes to privately managed institutions investing in distressed areas.)  Since its formation 3CDC and its partners have invested more than $324 million in the CBD and OTR by making below market-rate loans to commercial, residential and community real estate projects. Without access to the funds’ low-cost capital, such efforts would not be financially feasible.

 3CDC’s redevelopment efforts in OTR have resulted in 186 condominiums, 68 rental units, and more than 91,000 SF of commercial space, mostly created in historic, vacant and vandalized buildings. More than 85% of the condominiums are sold, the rental units are 100% filled, and a vibrant shopping and dining district has replaced empty storefronts with over 80% of the completed commercial space now leased. Since 2004, crime has dropped more than 51% and continues to decrease.

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 The first NMTC allocation of $50 million is used as a revolv­ing loan fund, which has enabled 3CDC to invest $69.6 million in real estate projects throughout Cincinnati’s urban core. The second allocation of $35 million is invested into three critical developments: (1) Washington Park, an 8-acre public park with a 450-space underground parking garage, (2) 21c Cincinnati, a 160-room boutique hotel with public art museum, and (3) Saengerhalle, a 32,000 SF mixed-use office and retail complex. The third allocation of $18 million is invested into a vacant building (Maisonette) being renovated into a restaurant/entertainment complex in the CBD, and an historic building in OTR (Paint Building) being developed into 10,000 SF of commercial space.

 3CDC has set high standards with its investments using proceeds from the previ­ous $103 million NMTC allocation. Its successful track record would not have been possible without the Federal New Market Tax Credit program. All of these projects, endorsed by the community, were catalytic in nature and resulted in significant commu­nity and economic impact felt throughout the region.

Last Chance to Register in Advance for Across the Spectrum

Register now for our December 8^th conference, "Across the Spectrum: The Future of Ohio and the Path to Prosperity" taking place at the Columbus Renaissance Hotel. To register, please go to http://www.futureohio.org/register.php. Greater Ohio, along with the Buckeye Institute and the Center for Community Solutions, are jointly sponsoring this unique conference to promote bi-partisan dialogue and debate about a range of critical issues for our state, including:

• Transforming 21^st Century Government for sustainable growth—governance reform for our urban and metro regions
• Reforming Health Care—how can we improve coverage and outcomes while restraining costs
• Reexamining Government Pensions— balancing the public and employee interests
• Restructuring State & Local Taxes & Ohio’s Future Prosperity—reduce the tax burden, while ensuring essential service delivery
• Ohio’s Constitutional Review—are there fundamental changes we need to make in the state Constitution that underlie many of these proposed structural changes?

Dr. Arthur Laffer, Founder of The Laffer Center for Supply-Side Economics, and Dr. Alice Rivlin, former Director of Office of Management and Budget under President Bill Clinton, will keynote a lunchtime discussion on the national debt and deficits.  During dinner, Professor Walter Russell Mead, Editor-at-Large of The American Interest will give a keynote address on the country’s future course.

The panels comprise a variety of ideological viewpoints and will engage in a healthy exchange of ideas. This conference challenges individuals and organizations to think out of their intellectual and ideological silos and work collaboratively to jumpstart a new economy in Ohio.

For more information about the event, please see our September 26, 2011 Press Release.

We look forward to seeing you on December 8^thand to your participation in this dialogue.   Warm Regards, Lavea Brachman Executive Director, Greater Ohio Policy Center

Growing Support for Franklin County Land Bank

On Sunday, The Columbus Dispatch ran an article on the potential formation of the Franklin County Reutilization Corporation. This morning, the Dispatch had an editorial supporting the establishment of the county-wide land bank.  We applaud the Dispatch for their coverage and support of this significant development, and Ed Leonard, Franklin County Treasurer for undertaking this vital program. Though Franklin County currently operates a land bank, they are barred from obtaining residential property. The Franklin County Reutilization Corporation could acquire foreclosed properties (including residential homes), rehabilitate them, or sell the properties qualified non-profit developers.  The City of Columbus currently has a land bank that holds almost 900 properties; the establishment of a county-wide land bank would work in conjunction with the city’s land bank to combat the vacant property crisis.    

Since the passage of both SB 535 and HB 313, in which Greater Ohio was instrumental, four counties have established land banks: Cuyahoga, Lucas, Montgomery and Trumbull.  Cuyahoga, Lucas and Trumbull counties have acquired an impressive 1900 properties.  There are an additional seven counties who are in the process of launching land banks, including Stark County and Butler County.

With the devastating problem of vacant and abandoned properties, and their negative impact on so many Ohio neighborhoods, it is imperative for the state to help cities and counties develop solutions.  Greater Ohio praises these leaders throughout the state who are implementing land banks and we are working to continue to advocate for additional state tools and solutions that will address the property challenges all our communities are facing.

Deliberating Sustainability in Ohio

Greater Ohio's many partners from across the state and nation host innovative and thought-provoking events throughout the year to discuss issues concerning the prosperity and future of Ohio.  The GreenCityBlueLake Institute is presenting a series of seminars on energy, and the environment, and how both issues impact Ohio.  The three events will take place at the Cleveland Museum of Natural History. For more information on these events, and others visit the Institute’s website.     The Promise & Peril of Energy from Shale Formations in Pennsylvania & Ohio Wednesday, November 2; 7 pm Dr. Nels Johnson, director of conservation with The Nature Conservancy of Pennsylvania, leads the discussion. A panel of Ohio experts will follow. Free with Museum admission.   National Policy Forum with the Brookings Institution Climate Change and Our Energy Future: A Challenge for Cleveland, America and the Human Race Friday, November 4, 2011; 7:30 pm Climate change is a critical issue for cities, nations and the entire planet. How do we reach across boundaries of geography and politics to create policies that will actually reduce the threat? Strobe Talbott, president of the Brookings Institution, will discuss the state of domestic and international efforts to tackle the existential challenge of climate change. Bruce Katz, vice president of the Brookings Institution, will describe the vital role of cities in reducing greenhouse gas emissions. Moderator is Ronald Richard, president of the Cleveland Foundation. Admission is $8.   Climate Change and Health: Large Scale Risks and Opportunities Wednesday, November 16, 7pm Dr. Jonathan Patz, MPH, professor and director of Global Environmental Health at the University of Wisconsin in Madison, will speak on his research into the effects of climate on heat waves, air pollution and water and vector-borne diseases.  Patz has chaired the health expert panel of the U.S. National Assessment on Climate Change and was convening lead author for the United Nations/World Bank Millennium Ecosystem Assessment.  In addition, Patz has been a lead author for the United Nations Intergovernmental Panel on Climate change (IPCC).  This lecture is presented in partnership with the Case Western Reserve University School of Medicine through the Center for Environmental Health and Human Ecology.  Free with Museum admission.

Forging a Regional Identity

By Lavea Brachman This is the second post on Executive Director Lavea Brachman's tour of European cities as part of the "Cities in Transition:Shrinking Cities Project", sponsored by the German Marshall Fund. Please visit our blog for past and future posts on this series.  

One remarkable observation from the Germany’s Ruhr region is their leaders’ purposeful focus on forging a regional identity out of “polycentric” area -- that is, a region with at least five significant cities and multiple other smaller cities.  This effort began as early as the 1960’s at the time that the coal and steel industry in the area first began to decline.  The Ruhr experience, with its multiple proximately located cites with similar industrial histories, potentially poses lessons for Northeast Ohio and its three significant cities, related historic industrial bases, and an existing strong set of universities, community colleges, and other educational institutions. 

In meetings in the Ruhr with managers of several of the regional networks, we noted how the cities have managed to effectively restructure separate but related economies within a polycentric region, and leveraged a tradition of competition among the cities to do so (such as holding an “Innovative City” competition).  We observed how the Ruhr forged a regional identity, labor market and business sector, on the one hand, prevailing over the traditional economic loyalty to individual cities that can lead to poaching and hinder development of a common regional identity and strategy, on the other hand.  Our Ohio cities can and should take a page out of these efforts. 

One of the first actions taken to bolster the Ruhr’s flagging economy was the founding of a network of universities in the late 1960’s with the specific objective of creating engines of innovation, and more recently these universities have formed a regional alliance. Unlike in Ohio, the Ruhr area previously had no institutions of higher education, so we should more actively and deliberately leverage the advantage of existing institutions. Other regional efforts have followed suit, such as in the land use planning and corporate social investment areas.  Finally, in 2010, the whole region was selected as the European Capital of Culture (an award that usually goes to a single city), and policymakers seized on the opportunity to promote further the collection of cities as a single place, the Ruhr.

On the Go: First Convening of Ohio Land Banks

Last week Greater Ohio was on the road to Cleveland to attend the First Convening of Ohio Land Banks, hosted by the Federal Reserve Bank of Cleveland and the Thriving Communities Institute.  The purpose of the day-long gathering was to educate interested elected officials and civil servants on the possible ways a county in Ohio might establish their land bank.  The day heavily featured Cuyahoga County’s Land Bank (i.e. Cleveland area) as it is the oldest land bank in Ohio—since 2009—and is paving the way for many of the other lank banks around the state in terms of working out logistical kinks, as well as demonstrating the success of land bank property acquisition.

Two other land banks—Lucas County (i.e. Toledo area) and Trumbull County (i.e. Warren/Youngstown area)—were also featured.  These land banks were established under legislation Greater Ohio was heavily involved in writing and passing in 2010.  (Here is the actual the legislative language of Sub HB 313 and a layman’s explanation of the bill.)

The convening was extremely useful and for the 50 or so attendees and included practical advice for future land bank staffers (ex. this is how to interface with the EPA for asbestos removal), basic education (ex. what kinds of financial abilities HB 313 grants land banks), and presentations from established Land Bank officials from around the state.

Although Trumbull, Lucas and Cuyahoga Counties have all developed significantly different programs and aims within their land banks, the biggest concern raised consistently throughout the day was that land banks could be most effective if there was adequate funding for demolitions.  At this time, there are very few funding sources for demolition—the little money that land banks receive is often paid out to staffing and overhead, and title acquisition.

Greater Ohio is very heartened by the ongoing interest and development of county land banks as we believe land banks are a critical tool in helping cities stop decline and rebuild their urban cores.  We congratulate the land banks currently in existence and are excited for the creation of more.  In the two years since SB 353 passed (which allowed Cuyahoga County to create a land bank) and HB 313 passed (which allows an additional 43 counties in Ohio to create land banks), the land banks have achieved with great success.

Some impressive statistics shared at the convening:

• There are four land banks operating currently: Cuyahoga, Lucas, Trumbull, Montgomery.
• Another eight or so are in the process, including: Mahoning, Hamilton, Erie, Lake, Franklin, and Stark.
• Additional counties interested in forming a land bank but are still in the early stages: Portage, Allen, Ashtubula (by way of comparison, Michigan has 37 established county land banks.)
• Since 2009, Cuyahoga Co. has acquired 1196 properties and transferred 408 properties to developers or cities.  The county’s current inventory is about 788.
• Since 2010, Trumbull Co. has acquired about 450 properties.  Four hundred properties are now owned by individual homeowners and are being repurposed as residential sidelots.  Forty remain on Trumbull’s rolls.
• Since 2010, Lucas Co. has acquired 250-300 properties.  All but one have been moved onto end-users. 

Ohio Leaders Learn Lessons from Europe

Greater Ohio’s Executive Director, Lavea Brachman, will be joining 20 leaders from Cleveland, Youngstown, Flint, Detroit, Pittsburgh, the federal government, and select philanthropic foundations on a 8 day learning tour through Barcelona and the Ruhr Valley of Germany.  Sponsored by the German Marshall Fund of the United States, the tour is part of a 3-year “Cities in Transition: Shrinking Cities” Project that is exploring successful policies and practices Europeans have used to rebuild their cities and economies.   Lavea Brachman is a senior fellow at GMF and has played a leadership role in shaping the Cities in Transition project for the last 18 months.  While in the metro regions of Essen and Barcelona, this year’s study tour participants will learn about innovative regional economic development agencies that coordinate business site selection, industry clustering, and external promotion of the region; the transformation of heavy manufacturing facilities into multiuse R&D labs, business incubators and recreation spaces; remediation of coal mining sites for new uses; and the incentives and investments used to develop a knowledge economy.  These cities and their surrounding industrial regions have successfully addressed many of the economic development challenges Ohio’s cities still face. 

This tour offers unparalleled opportunities to talk to the architects and officials who envisioned and implemented the rebirth of Europe’s struggling cities and regions.  Viewing the results, talking about strategies that have and haven’t worked, and learning how a metro’s vision became a reality enables participants to quickly gain a deep understand of best practices that might be replicated in Ohio, Michigan and Pennsylvania.

In the coming weeks, we will discuss lessons learned on our blog and website.

To learn more about the key takeaways and observations from last year’s German Marshall Fund study tour to Manchester, England and Leipzig, Germany, you can read past posts on: the use of public money as investments not subsidies; the role of leadership in these cities’ revitalization; neighborhood revitalization successes; comprehensive urban, economic, and community planning and development.

Parking Smartly and Alternative Uses for Metered Parking Spaces

Car parking and specifically, parking spaces, have been getting a fair bit of attention lately in Ohio and beyond.  San Francisco recently launched “SFPark” a web-based system that enables smartphone users to find available parking in real time.  The sensors that provide information on open and filled spots are also helping the San Francisco Municipal Transportation Agency to determine high-use and underused areas.  With this information, SFMTA can adjust meter pricing to incentive drivers to utilize (cheaper) spots away from the high-use streets.  Although the initial investments for this pilot project have been expensive (a $19.8 million grant from US Department of Transportation), the long term savings of improved traffic flow will result in reduced gas consumption and emissions from circling cars, and a likely increased use in public transit to high-use, high priced, areas.  Most importantly, this system allows San Francisco to more effectively use the resources they have already, and reduces the need to build more parking in the urban core—an aggregated cost that likely would be much higher than the price of the pilot. Closer to home, cities throughout Ohio will be participating in PARK(ing) Day on Friday September 16^th.  PARK(ing) Day is a worldwide event where artists and citizens use metered parking spaces for temporary public art spaces.  The event uses DIY art installations to “call attention to the need for more urban open space, to generate critical debate around how public space is created and allocated, and to improve the quality of urban human habitat.”  Whereas SFPark works to make the existing parking infrastructure more efficient, PARK(ing) Day raises questions about the infrastructure itself and suggests that public space can be used for more than just car parking.  Here in Greater Ohio’s homebase, Columbus, high school and college art students can register their PARK(ing) Day spot for a public art competition.

Revitalizing our cities and using land in intelligent and economically competitive ways means that parking will always be part of the conversation. 

The original PARK, a public art installation set up for two hours at a San Francisco parking meter in 2005.  Photo courtesy of Rebar Art and Design Studio.

Setting the Stage for Brownfield Redevelopment

Greater Ohio's partners continue to create innovative programs that are building prosperity throughout the state.  This month's guest post is from Diane Alecusan, an Urban Revitalization Specialist for the Department of Development.  The US EPA defines a brownfield as property “complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant”. The impacts of brownfields however are often not limited to the potentially contaminated property alone. These negative impacts may move beyond the property and have an economically devastating effect on the larger area including homes, businesses, schools, and recreational areas that are not brownfields. Impacts can range from vacancy to a decrease in property values to public health concerns. Planning for this larger brownfields-impacted area at one time can ensure that remediation and reuse occur in a coordinated, efficient way and in turn, result in greater success.

The Ohio Department of Development, Urban Development Division has developed the Brownfield Action Plan Pilot Program in an effort to engage with communities on improved, more focused brownfield and area-wide planning techniques. The pilot program will use existing funds to assist communities in the development and implementation of an area-wide brownfield action plan. The development of the plan will set the stage for a quicker, clearer path to redevelopment of the area, resulting in successful revitalization of the community, returning entire corridors to productive use, and restoring neighborhood health.

The pilot program, loosely modeled after the US EPA’s Brownfield Area-Wide Planning Pilots, will involve two parts: 1) technical assistance from the Division for development of the plan, and 2) completion of a grant-funded activity that will provide more detailed research or jump-start implementation of their recently-completed plan. The two-phase process is designed to quickly but thoughtfully develop an actionable plan and maintain momentum to ensure the plan’s next steps are implemented, increasing the likelihood and speed with which properties will transform into economically beneficial use.

The Division’s goal is to use the area-wide planning approach to help communities leverage and prioritize limited local, state, and federal resources to create the greatest economic impact in areas containing brownfields.  In addition, the Division has partnered with the Community Development Division to maximize funding availability and flexibility and to provide an additional level of expertise.

The Urban Development Division will release the Request for Letters of Interest and application form on Thursday, September 1, 2011 with a due date of Friday, October 14, 2011. The Division anticipates awarding up to four pilot projects, which would be notified by the end of November. Additional information can be found on the program webpage: www.development.ohio.gov/urban/brownfieldawp.htm.