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    "localId": "1133440",
    "label": "12/3/75 - National League of Cities, Miami Beach",
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{
    "id": "1133440",
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    "contentType": "document",
    "title": "12/3/75 - National League of Cities, Miami Beach",
    "description": "This file contains material relating to Community Development.",
    "citationUrl": "https://catalog.archives.gov/id/1133440",
    "collections": [
        "Carla A. Hills Speeches",
        "Speeches"
    ],
    "subjects": [
        "Census data",
        "Local government",
        "Population trends",
        "Real property",
        "Revenue sharing",
        "Urban policy"
    ],
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        "logicalDate": "1975-12-03",
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        "year": 1975
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{
    "seq": 1,
    "pageIndex": 0,
    "type": "document",
    "url": "https://s3.amazonaws.com/NARAprodstorage/lz/presidential-libraries/ford/grf-0305/656148/1133440.pdf",
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    "ocrText": "The original documents are located in Box 1, folder \"12/3/75 - National League of Cities,\nMiami Beach\" of the Carla A. Hills Speeches at the Gerald R. Ford Presidential Library.\nCopyright Notice\nThe copyright law of the United States (Title 17, United States Code) governs the making of\nphotocopies or other reproductions of copyrighted material. Gerald Ford donated to the United\nStates of America his copyrights in all of his unpublished writings in National Archives collections.\nWorks prepared by U.S. Government employees as part of their official duties are in the public\ndomain. The copyrights to materials written by other individuals or organizations are presumed to\nremain with them. If you think any of the information displayed in the PDF is subject to a valid\ncopyright claim, please contact the Gerald R. Ford Presidential Library.\nDigitized from Box 1 of the Carla A. Hills Speeches at the Gerald R. Ford Presidential Library\nFINAL\nNATIONAL LEAGUE OF CITIES\nMIAMI BEACH, FLORIDA\nDECEMBER 3, 1975\nIT SEEMS LIKE LIGHT YEARS AGO -- BUT IT WAS ONLY LAST\nJULY THAT I SAW MANY OF YOU AT THE UNITED STATES CONFERENCE\nOF MAYORS IN BOSTON.\nIN THAT TIME, OUR CITIES HAVE AGED UNDER THE HEAVY\nWEIGHT OF SCARY HEADLINES. BUT YOUR RECORD PRESENCE, HERE,\nAS YOU PASS YOUR LEAGUE'S HALF-CENTURY MARK, SAYS SOMETHING\nTHAT THE DOOMSAYERS TOO OFTEN OVERLOOK:\nTHAT, SEEMINGLY \"UNSURMOUNTABLE\" PROBLEMS,\nNOTWITHSTANDING, THE PEOPLE WHO KNOW\nAMERICA'S CITIES BEST, STILL COUNT THE\nCITY AS THIS NATION'S GREATEST HOPE FOR\nTHE FUTURE.\nIN TRUTH, THE FORCES OF ENERGY, MOBILITY AND BECKONING\nSPACE -- WHICH ONCE COMBINED TO DRIVE WEALTH AWAY FROM OUR\nCITIES -- ARE NOW COMBINED IN REVERSE TO WELCOME A NEW ERA\nOF URBAN OPPORTUNITY,\nFORD & LIBRARY OERALD\n-2-\nYOUR FULL, AND INTELLIGENT, AGENDA FOR THIS IMPORTANT\n51st YEAR CONFERENCE OF THE LEAGUE OF CITIES LEAVES LITTLE\nDOUBT THAT YOU AREN'T OVERLOOKING ANY BETS IN PLANNING FOR\nTHE FUTURE. BUT, I SOMETIMES WONDER IF WE AREN'T so\nCONDITIONED, BY HABIT, TO THE CONVENTIONAL THINKING OF THE\nPAST, THAT WE FAIL TO GRASP THE BEST OPPORTUNITIES FOR THE\nFUTURE,\nSINCE ALL OF US HAVE BEEN SCHOOLED IN THE IDEA THAT \"WE\nCAN'T WIN TODAY'S BATTLES WITH YESTERDAY'S WEAPONS\", IT'S\nNATURAL FOR US TO BRISTLE IF OUR FORESIGHTEDNESS IS QUESTIONED.\nBUT THE FACT REMAINS, IT'S A LOT MORE COMFORTABLE TO BE\nCONVENTIONAL THAN IT IS TO ESPOUSE UNTRIED CONCEPTS.\nWHEN I TALKED TO YOU UP IN BOSTON, I SPOKE OF MY AMAZEMENT\nAT THE SHOCKING LEVEL OF WASTE THAT WE SEEM TO TOLERATE --\nOUT OF SHEER HABIT -- IN OUR URBAN CENTERS.\nNow -- WE CAN BLAME THE \"SHAPE OF THINGS\" IN OUR CITIES,\nON THE SIMPLE PASSAGE OF TIME.\n-3-\n\"THE ATTRITION OF OLD AGE,\" -- ON BUILDINGS, STREETS,\nPLUMBING AND UTILITIES -- IS A HANDY EXCUSE. BUT, IT\nDOESN'T REALLY WASH WHEN WE LOOK AT THE STILL-VIABLE,\nANCIENT CITIES OF EUROPE.\nNOR CAN WE LAY IT OFF ON OUR FRUGAL FOREBEARERS WHO BUILT\nOUR CITIES. FOR MANY OF THE PROUD HOUSES WHICH THEY ERECTED\nSTAND, TODAY, AS SENTINELS OF TARNISHED GRANDEUR IN OUR\nWASTED NEIGHBORHOODS.\nFUTURE GENERATIONS WILL ALMOST SURELY TRACE THE LEGACY\nOF URBAN DECLINE TO OUR GENERATION -- BUT, IF WE SUCCEED IN\nTHIS STRUGGLE THAT IS PECULIARLY OUR OWN, THEY COULD ALSO\nTRACE TO US THE LEGACY OF SUCCESS,\nBECAUSE, THE FACT IS THAT THE \"TRADITION\" OF PRODIGALITY\nWHICH WE PERCEIVE AS AN AMERICAN \"WAY OF LIFE\" IS A NATIONAL\nPHENOMENON THAT DATES BACK LESS YEARS THAN OUR MEDIAN AGE.\n-4-\nIN OUR OWN TIME, WE HAVE WITNESSED THE BIRTH AND MASSIVE\nGROWTH OF OUT-MIGRATION THAT MOVED THE CITY'S WEALTH AND\nVITALITY TO AN EVER-WIDENING RING OF SUBURBS.\nYou, PERHAPS MORE THAN ANY OTHER GROUP, HAVE BEEN\nCAUGHT UP IN THE STARK REALITIES OF THIS GRIM REAPER WHICH,\nLITERALLY, HAVE WIPED OUT WHOLE NEIGHBORHOODS BEFORE YOUR\nVERY EYES,\nIT IS SAID THAT A WEARY PEOPLE GET so ENURED TO A LONG\nWAR THAT THEY NO LONGER EVEN TRY TO THINK AROUND IT.\nTHE SEIGE OF OUR NATION'S CITIES AT ITS WORST, SPANS\nLESS THAN TWO DECADES - AND I JUST WONDER IF THE \"HABIT\" OF\nTHE WAR ISN'T so INGRAINED THAT IT IS BOTTLING UP SOME\nNECESSARY INNOVATIVE THINKING ABOUT HOW TO END IT.\nI ASK THAT RHETORICAL QUESTION - -- BECAUSE THE BULK OF\nWHAT I READ ON THE SUBJECT OF OUR CITIES -- RECITES A SAD\nLIST OF CITY PROBLEMS AND A DETAILED HISTORY OF HOW THEY GOT\nTHAT WAY.\n-5-\nYET, I KNOW FULL WELL -- THAT MANY OF YOU ARE WADING\nINTO THESE PROBLEMS, AS THEY EXIST TODAY WITH SOLUTIONS\nGEARED NOT ONLY TO RECLAIMING WHAT IS LOST, BUT TO ENSURING\nTHAT THE OLD CYCLE DOESN'T HAPPEN AGAIN.\nWE KNOW THE PROBLEMS. I'D LIKE TO TALK ABOUT SOME OF\nTHE OPPORTUNITIES.\nWE START WITH THE NOT-VERY-SURPRISING PROPOSITION THAT\nA CITY IS \"PEOPLE\" -- AND A HEALTHY CITY IS A CITY OF ALL\nPEOPLE IN EVERY INCOME. STRATA, PROVIDING ENERGY, CREATIVITY,\nPERSONAL INVOLVEMENT AND EARNING POWER,\nWE CAN READILY CALCULATE THE INVESTMENT MONEY NEEDED TO\nREPAIR, REHABILITATE OR REBUILD AN OLD URBAN NEIGHBORHOOD.\nBUT THE GREATEST NEED OF ALL IS HUMAN RE-INVESTMENT.\nABOUT 20 PERCENT OF AMERICAN FAMILIES MOVE EACH YEAR.\n-6-\nYou ALREADY KNOW WHICH END OF THE TAX-BEARING MIX HAS\nREPLACED THE FAMILIES WHO HAVE MOVED OUT OF YOUR CITIES OVER\nTHE PAST TEN YEARS, MORE THAN THAT, THROUGH THOSE LEFT\nBEHIND, YOU FELT THE FULL BRUNT OF THE 1973 UNEMPLOYMENT\nSITUATION THAT DROVE UP THE DEMAND FOR PUBLIC SERVICES\nDURING AN INFLATIONARY SPIRAL THAT WAS DRIVING UP THE COST\nOF THOSE SERVICES,\nTODAY, THE HIGH COST AND SKIMPY AVAILABILITY OF FUEL --\nCOUPLED WITH SCARCE LAND, STRICTER CODES AND SHEER COST OF\nSUBURBAN CONSTRUCTION -- HAVE COMBINED TO PROVIDE OUR\nCITIES WITH A NEW WEALTH OF HUMAN RE-INVESTMENT POTENTIAL.\nIN TRUTH, FOR THE FIRST TIME IN MORE THAN A DECADE,\nPEOPLE OF MODERATE MEANS ARE FINDING MORE REASONS FOR MOVING\nINTO THE CITY THAN FOR MOVING OUT OF IT,\nTHE CITY'S OPPORTUNITY TO ACCOMMODATE THEM - TO SAY\nNOTHING OF HELPING THEM STRETCH DOLLARS WHILE ENHANCING THE\nCOMMUNITY COFFERS - IS SUMMED UP IN THIS APT OBSERVATION\nFROM A RECENT ISSUE OF THE WASHINGTON POST. SAID WRITER\nWOLF VONECKARDT:\n-7-\n\"As THE COST OF NEW CONSTRUCTION KEEPS\nRISING, CITIES ARE REDISCOVERING THEIR\nVAST STOCK OF OLD AND NEGLECTED HOUSES\nAND APARTMENT BUILDINGS, REHABILITATION\nIS STILL EXPENSIVE BUT EVEN 'GUT\nREHABILITATION' IS GENERALLY ONE-THIRD\nLOWER THAN NEW CONSTRUCTION.\"\nAND, WE KNOW THAT IT TAKES ALMOST 50 PERCENT LESS OF\nEVERYTHING -- LAND, LABOR, MONEY, AND ENVIRONMENTAL DISRUPTION\n-- TO REHABILITATE A CITY NEIGHBORHOOD THAN TO BUILD A NEW\nSUBURB.\nHOWEVER, WE ALSO KNOW FULL WELL THAT \"COST\" ALONE --\nEVEN WITH THE PRESSURES OF INFLATION IS NOT ENOUGH TO\nATTRACT THE MIDDLE AND HIGHER INCOME FAMILIES IN THE KIND OF\nNUMBERS THAT YOU NEED FOR YOUR SURVIVAL.\nSo, LET US LOOK AT CURRENT DEMOGRAPHIC TRENDS. TODAY,\n50 PERCENT OF OUR TOTAL POPULATION LIVE IN ADULT-ORIENTED\nHOUSEHOLDS, MORE THAN 80 PERCENT OF OUR NATIONAL POPULATION\nGROWTH BETWEEN 1970 AND 1974 WAS IN SMALL FAMILIES -- VERY\nOFTEN HEADED BY WOMEN.\n-8-\nCHARACTERISTICALLY, THESE HOUSEHOLDS COMPRISE SINGLES,\nYOUNG MARRIEDS WITH FEW OR NO CHILDREN AND THE ELDERLY,\nAND, THESE ARE THE FAMILIES WHOSE LIFE STYLES ARE MOST\nSUITED TO THE VERY THINGS OUR CITIES HAVE TO OFFER -- SMALLER\nHOUSING CONVENIENT TO JOBS, ENTERTAINMENT AND CULTURAL\nAMENITIES, RECREATIONAL OPPORTUNITIES AND, VERY OFTEN, THE\nCHARM OF OLDER HOUSES,\nTHEY ARE ALREADY MOVING BACK.\nIN THE WASHINGTON AREA, FOR EXAMPLE, THE PRINCIPAL\nINCREASE IN POPULATION HAS BEEN IN THE 25-35 YEAR AGE GROUP,\nBUT WITH A SUBSTANTIAL DROP IN THE NUMBER OF SCHOOL-AGE\nCHILDREN,\nAs FOR THEIR POTENTIAL IN STABILIZING THE FUTURE CITY\nTAX BASE, THE NEW URBAN DWELLERS ARE IN THE MIDDLE-UPPER\nINCOME RANGE -- AND, FOR THE MOST PART, COLLEGE GRADUATES\nWHO WORK IN THE PROFESSIONS OR WHITE-COLAR BUSINESS POSITIONS,\n-9-\nTHEIR COLLECTIVE AFFLUENCE AND EDUCATIONAL LEVELS ACCENT\nTHE CULTURAL AND INTELLECTUAL PURSUITS WHICH, IN TURN, ARE\nMOST APTLY AVAILABLE IN THE URBAN ENVIRONMENT.\nALTHOUGH THE OUT-MIGRATION OF COMMERCIAL ENTERPRISE\nHAD MATCHED THE CITIZEN FLIGHT TO THE OUTSKIRTS OF TOWN FOR\nA NUMBER OF YEARS, THE RE-LOCATION OF \"DOWNTOWN\" OFFICES IS,\nAGAIN, ON THE INCREASE -- ABETING THE RETURN OF THE PEOPLE\nWHO MUST RUN THEM.\nWE ALREADY HAVE SEEN THE SHIFT IN THE OCCUPATIONAL\nDISTRIBUTION OF THE CITIES' LABOR FORCE TOWARDS PROFESSIONAL,\nTECHNICAL AND MANAGERIAL SKILLS,\nALTHOUGH CITIES GAINED ONLY 4 PERCENT IN EMPLOYED\nRESIDENTS OF ALL KINDS FROM 1960 TO 1970 -- 26 PERCENT OF\nTHEM WERE PROFESSIONAL, TECHNICAL OR MANAGERIAL PEOPLE.\nAND, OF COURSE, YOUNG PEOPLE IN CLERICAL OR START-UP\nJOBS HAVE NOT LOST THEIR ZEST FOR THE ATTRACTIONS AND\nCONVENIENCE OF CITY LIVING.\n-10-\nTAKEN TOGETHER, THE STARS AND THE PLANETS ARE IN THE\nRIGHT PLACE FOR THE NEW AGE OF TWENTIETH CENTURY CITY. WE\nCANNOT AFFORD TO LET ANY OF OUR PAST HABITS ROB US OF THIS\nGOLDEN OPPORTUNITY TO WIN BACK THESE POTENTIAL URBANITES,\nYou, YOURSELVES HAVE IDENTIFIED, IN YOUR AGENDA FOR\nTHIS CONFERENCE, THREE OF THE GREATEST CONCERNS IN THE\nREVITALIZATION OF OUR CITIES: PERSONAL SAFETY, EASE OF\nTRANSPORTATION AND QUALITY EDUCATION,\nAND, THESE ARE THE CONCERNS YOU MUST ALLEVIATE TO TAKE\nFULL ADVANTAGE OF THE NEW DEMOGRAPHIC TRENDS THAT RATE WITH\n\"COSTS\" AS A QUILL OF URBAN OPPORTUNITY,\nAND, THOSE ARE PRECISELY THE AREAS IN WHICH CITIES AND\nSTATES HAVE SPENT 60 PERCENT OF THEIR GENERAL REVENUE FUNDS.\nIN SHORT, BY YOUR OWN RECKONING, YOU HAVE USED YOUR\nGENERAL REVENUE FUNDS TO SWEETEN THE BAIT THAT WILL ATTRACT\nTHE PEOPLE-MIX NECESSARY TO REJUVENATE YOUR CITY,\n-11-\nBUT, I THINK THAT UNLESS ALL OF YOU GET A LOT MORE\nINVOLVED IN WHAT'S NOT HAPPENING RIGHT NOW IN CONGRESS,\nYOU'RE GOING TO GO BACKWARDS IN YOUR PLAN TO FORWARD THE FUTURE\nOF YOUR CITIES.\nAs CONGRESSMAN MINETA TOLD YOU ON MONDAY, \"THE MOOD\nOF THE CONGRESS\" AT THIS LATE DATE IN THE CURRENT SESSION\nBODES NO GOOD FOR THE FUTURE OF REVENUE SHARING. IN FACT,\nYOUR ODDS ARE LESS THAN 10 PERCENT THAT CONGRESS WILL RESPOND\nTHIS YEAR TO THE PRESIDENT'S REQUEST TO RENEW THE STATE AND\nLOCAL FISCAL ASSISTANCE AcT WHICH EXPIRES DECEMBER 31, 1976.\nTHIS DELAYED CONSIDERATION IS PARTICULARLY GRAVE IN VIEW\nOF THE FACT THAT MANY OF YOU FACE BUDGET DECISIONS FOR YOUR\nFISCAL YEAR 1977 DURING THE FIRST HALF OF CALENDAR 1976.\nAND, NEXT YEAR THE PROVISIONS OF THE BUDGET AND IMPOUNDMENT\nCONTROL AcT WILL BE IN EFFECT -- WHICH WILL PRECLUDE CONSIDERATION\nOF ANY SPENDING PROGRAM UNTIL AFTER THE ADOPTION OF THE\nFIRST BUDGET RESOLUTION ON MAY 15, 1976.\n-12-\nWORSE THAN THE DANGEROUS TIMING IS THE FACT THAT AT\nPRESENT YOU STAND A 50 PERCENT CHANCE OF LOSING THESE FUNDS\nALTOGETHER.\nPOLITICAL GAMESMANSHIP IS JEOPARDIZING THE MOST VALUABLE\nDOMESTIC PROGRAM WE HAVE. ITS OPPONENTS HAVE ATTACKED THE\nFORMULA FOR DISTRIBUTION; THE USE OR ALLEGED NON-USE OF THE\nFUNDS; AND/OR THE LACK OF APPARENT APPRECIATION FOR THE\nPROGRAM, AND, I FEAR, SOME FOES WOULD PREFER TO RETURN TO\nCATEGORICAL AID WHERE GRANTSMANSHIP SEEMS TO OFFER MORE\nPOLITICAL ADVANTAGE,\nADMITTEDLY THE AcT HAS HAD SOME PROBLEMS AND PRESIDENT\nFORD HAS RECOMMENDED CORRECTIONS, INCLUDING MEASURES TO TAKE\nACCOUNT OF INFLATION; TO STRENGTHEN CIVIL RIGHTS PROTECTIONS;\nAND TO STRENGTHEN PUBLIC PARTICIPATION. YET, NO CRITIC HAS\nISOLATED A COMPELLING SINGLE REASON FOR SCUTTLING THIS VITAL\nMEANS TO AID OUR CITIES, STILL, THE THREAT IS VERY REAL.\n-13-\nSo, THE FIRST THING YOU HAVE TO DO IS TO FIGHT TO KEEP\nYOUR GENERAL REVENUE SHARING FUNDS -- AND, I HAVE BEEN\nAMAZED AT THE LACK OF COMMOTION FROM OUR CITIES,\nI UNDERSTAND THAT YOU PLAN TO SEND GROUPS OF NLC\nREPRESENTATIVES TO CAPITOL HILL FOLLOWING THIS CONFERENCE\nTO TALK RATHER FORCEFULLY WITH YOUR ELECTED REPRESENTATIVES\nABOUT RENEWING THIS AcT, AND I HOPE THAT NOTHING I HAVE\nSAID TODAY WILL DISCOURAGE YOU FROM THAT UNDERTAKING.\nIN ADDITION TO PROVIDING SERVICES TO ATTRACT BACK YOUR\nTAX-PAYING RESIDENTS, YOU MUST APPEAL TO THEIR SENSE OF\nAESTHETICS.\nWE KNOW THAT THESE POTENTIAL NEW URBAN DWELLERS GRAVITATE\nTO HISTORIC NEIGHBORHOODS; NEIGHBORHOODS AROUND COLLEGES\nAND UNIVERSITIES; NEIGHBORHOODS WITH UNUSUAL ARCHITECTURAL\nSTYLES; AND NEIGHBORHOODS NEAR PUBLIC SQUARES AND PARKS,\n-14-\nWE ALSO KNOW THAT THEY ARE OFTEN ATTRACTED BY THE\nGREATER CONVENIENCES OF URBAN LIVING. LOCAL SHOPS NOT ONLY\nADD TO THE CHARACTER OF THE NEIGHBORHOOD BUT ALSO PROVIDE A\nLIFE-EASE OFTEN LACKING IN THE SPREAD OF SUBURBIA.\nIT SOUNDS A BIT CIRCULAR; MERCHANTS WILL LOCATE WHERE\nTHERE ARE CUSTOMERS AND CUSTOMERS WILL LOCATE WHERE THERE\nARE MERCHANTS, BUT, IT IS MORE GEOMETRIC THAN CIRCULAR,\nFOR RESTORATION THRIVES IN THESE neighborhoods, AND ONCE\nBEGUN, SPREADS TO CONTIGUOUS LESS REMARKABLE NEIGHBORHOODS,\nOBVIOUSLY, CITIES ALONE DO NOT BEGIN TO HAVE THE FUNDS\nTO RESTORE OR TO REBUILD THESE neighborhoods. MOST OF THE\nCAPITAL INVESTED IN OUR URBAN AREAS IS AND ALWAYS WILL BE\nPRIVATE,\nBUT, YOUR LIMITED FUNDS CAN PROVIDE EFFECTIVE INCENTIVES\nFOR PRIVATE IN-TOWN INVESTMENT. THEY CAN BE LEVERAGED INTO\nA MASS THAT CAN REVITALIZE YOUR URBAN NEIGHBORHOODS,\n-15-\nTAKE THE GREAT LATITUDE LOCAL OFFICIALS ARE GIVEN WITH\nRESPECT TO THE USE OF HUD COMMUNITY DEVELOPMENT FUNDS. IT\nIS RECOGNIZED IN THE 1974 Act -- REALLY FOR THE FIRST TIME\n- THAT EACH CITY IS DIFFERENT AND EACH NEIGHBORHOOD WITHIN\nEACH CITY IS DIFFERENT; THAT THERE ARE NO ALL-PURPOSE FORMULAS\nTO PRODUCE URBAN REVITALIZATION.\nIN THE FIRST YEAR YOU EMPHASIZED PRESERVATION. OF THE\n$2.6 BILLION IN COMMUNITY DEVELOPMENT ENTITLEMENT GRANTS,\nCITIES BUDGETED OVER 60 PERCENT FOR URBAN PRESERVATION\nACTIVITIES.\nBUT, THE IMPACT WAS STILL FAR LESS THAN THE POTENTIAL\n- THE PRIMARY REASONS, AS SHOWN IN HUD STUDIES, BEING LACK\nOF FOCUS AND INADEQUATE CITIZEN INVOLVEMENT.\nIN VIEW OF THE RATIO OF NEED TO MEANS, YOU SIMPLY\nCANNOT SHOOT FOR LESS THAN 100 PERCENT OF THE POTENTIAL.\nYET, OF 140 COMMUNITY DEVELOPMENT APPLICANTS STUDIED, A\nMAJORITY DID NOT EVEN DISCUSS PARTICIPATION IN CONTEMPLATED\nCOMMUNITY DEVELOPMENT ACTIVITIES WITH THE MAJOR LOCAL\nPRIVATE INVESTORS, ONLY ONE AUGMENTED ITS COMMUNITY\nDEVELOPMENT FUNDS WITH MONEYS FROM STATE OR OTHER LOCAL\nGOVERNMENT SOURCES,\n-16-\nCITIES HAVE TREATED THE CITIZEN PARTICIPATION REQUIREMENT\nOF THE COMMUNITY DEVELOPMENT PROGRAM MERELY AS AN OBLIGATION\nTO LISTEN - YET IT IS EQUALLY AN OPPORTUNITY TO ENCOURAGE\nPRIVATE INVOLVEMENT.\nOUR URBAN REINVESTMENT TASK FORCE ILLUSTRATES THAT\nINVOLVEMENT OF LOCAL REAL ESTATE AND LENDING FIRMS IN\nDEVELOPING PRESERVATION STRATEGIES ENCOURAGES PRIVATE\nINVESTMENT.\nTHE CONSTRUCTION TRADES ALSO SHOULD BE INVOLVED. JUST\nLAST APRIL, THE NATIONAL ASSOCIATION OF HOMEBUILDERS JOURNAL\nOBSERVED THAT REMODELING OFFERS THE BRIGHTEST NEW BUSINESS\nPROSPECT FOR BUILDERS,\nHARNESSING THE INITIATIVE AND DEDICATION OF PRIVATE\nENTERPRISE CAN AND WILL MAKE URBAN RENAISSANCE A REALITY,\nRELATED TO LEVERAGING YOUR FUND THROUGH PRIVATE\nPARTICIPATION, IS THE QUESTION OF HOW TO FOCUS YOUR PUBLIC\nMONEYS - INCLUDING YOUR COMMUNITY DEVELOPMENT FUNDS,\n-17-\nYou HAVE THE OPTION OF DISPERSING THEM IN A HIGHLY\nVISIBLE MANNER OVER AS MUCH OF THE CITY AS POSSIBLE, WHICH\nMAY HAVE FEW LASTING EFFECTS BECAUSE THE AMOUNT AVAILABLE\nIS INADEQUATE TO MAKE A DECENT DENT,\nOR, YOU CAN FOCUS YOUR FUNDS ON FEWER SELECTED\nNEIGHBORHOODS OFTEN IN LESS VISIBLE FORMS, BUT IN A\nCONCENTRATION SUFFICIENT TO MAKE A DIFFERENCE.\nAND, IF YOU DECIDE TO FOCUS YOUR FUNDS IN A FEW\nNEIGHBORHOODS, YOU MUST DECIDE WHICH ONES: THE MOST\nBLIGHTED, WHICH MAY MEAN MAJOR CLEARANCE AND REDEVELOPMENT\n--- OR THOSE IN A TRANSITIONAL STATE, WHICH WILL PROVIDE\nMORE REHABILITATED HOMES FOR FEWER DOLLARS,\nMANY OF OUR OLD CATEGORICAL PROGRAMS REQUIRED YOU TO\nFOCUS ON YOUR MOST SERIOUSLY DETERIORATED AREAS AND YOU\nCOLLIDED WITH THE PROBLEMS OF POVERTY, UNEMPLOYMENT, HIGH\nCRIME RATES AND VANDALISM -- OFTEN TOO DIFFICULT TO BE\nSOLVED WITH THE DOLLARS AVAILABLE.\n-18-\nURBAN BLIGHT, LIKE A CANCER, SPREADS so RAPIDLY IT\nCAN EAT UP IMPROVEMENT PLACED IN ITS MIDST. AND, IT IS\nDIFFICULT TO LURE BACK THE PEOPLE NECESSARY TO MAINTAIN\nTHE RESTORATION, WHEN YOU OFFER THEM AN ISLAND SURROUNDED\nBY BLIGHT.\nTHOSE CITIES WITH SERIOUSLY ERODED TAX BASES MAY\nBELIEVE THAT THEIR FIRST STEP IS TO ATTRACT A HETEROGENOUS\nPEOPLE-MIX AND THAT THEIR FOCUS MUST BE ON NEIGHBORHOODS\nJUST BEGINNING TO DETERIORATE. THIS BROADENS THEIR OPPORTUNITIES\nFOR LEVERAGING FUNDS AND THEIR POTENTIAL FOR ATTRACTING\nHIGHER TAXPAYERS. HERE THE STRATEGY IS ONE OF CONTAINMENT\nWITH REAL SPILL-OVER POTENTIAL WHEN USED IN NEIGHBORHOODS\nWITH UNUSUAL FEATURES,\nCERTAINLY, LOCAL TREASURY LIMITS ARE DELICATELY FINITE\n-- BUT, THEN, so ARE THE RESOURCES OF THE FEDERAL GOVERNMENT\n-- SINCE, IN THE FINAL ANALYSIS, ALL PUBLIC MONEYS COME FROM\nTHE PRIVATE TAXPAYER,\n-19-\nAND, CITIES HAVE ALREADY PROVED THAT ONE OF THE SURE\nWAYS OF DEPLETING THEIR INCOMES IS TO TAX THEIR TAXPAYERS\nRIGHT OUT OF TOWN. PATIENCE MAY YIELD MORE REAL DOLLARS\nIN THE LONG HAUL,\nSOME OF YOU HAVE EXHIBITED SUCH PATIENCE BY YOUR\nWILLINGNESS TO POSTPONE TAX REVENUES AS AN INVESTMENT IN\nTHE FUTURE.\nFOR EXAMPLE, THE KENTUCKY LEGISLATURE IS BEING ASKED\nTO ALLOW A 5-YEAR MORATORIUM ON PROPERTY TAXES FOR RENOVATED\nDWELLINGS, AND WHY NOT? WHAT IS THE 5-YEAR TAX POTENTIAL\nOF A HOUSE THAT JUST SITS THERE AND ROTS?\nWILMINGTON, HARTFORD AND BOSTON HAVE PROVIDED TAX\nABATEMENT ON RESTORATION WORK,\nST. LOUIS IS OFFERING ABATED TAXING ON NEW AND EXPANDING\nBUSINESS WITHIN ITS METROPOLITAN BOUNDARIES.\n-20-\nAND, THERE ARE OTHER LEVERS OF INVENTION.\nKANSAS CITY HAS SIMPLIFIED BUILDING CODES AND SOUGHT TO\nENHANCE COMMUNICATION BETWEEN THOSE UNDERTAKING RESTORATION\nAND LOCAL BUILDING INSPECTORS. SINCE 75 PERCENT OF URBAN\nRESTORATIONS ARE MADE BY OWNER-OCCUPANTS, ANY REDUCTION IN\nFRUSTRATING RED-TAPE SPEEDS RENEWAL AND SPREADS THE WORD.\nSOME CITIES HAVE FOUND THAT WHERE THE PRIVATE LENDERS\nHAVE RETREATED FROM LENDING IN A NEIGHBORHOOD, THEY CAN\nINCREASE PRIVATE INVESTMENT INCENTIVES WITH INTEREST SUBSIDIES,\nLOAN GUARANTEES, HIGH RISK LOAN POOLS OR SEED MONEY GRANTS.\nAsk THE CITY PLANNERS IN CHICAGO, GALVESTON, PHILADELPHIA\nAND PORTLAND.\nTHE POINT IS NOT THAT ANY ONE - OR EVEN ANY COMBINATION\nOF THESE EXAMPLES - MIGHT TURN THE CORNER FOR YOUR CITY,\nBUT, EACH OF THEM, IN TURN, PROVES THAT THERE IS AN ALTERNATIVE\nTO \"HABIT\" THINKING,\n21-\nBy THE SWIFT CLOCK THAT COUNTS THE DAYS IN THIS FOURTH\nQUARTER OF THE 20TH CENTURY, IT TOOK OUR CITIES A LONG TIME\nTO GET TO THEIR PRESENT PREDICAMENT.\nALL OF US PUT TOGETHER -- JOINED BY ALL OUR REALTORS,\nLENDERS, BUILDERS, CONSUMERS AND INVESTORS - AREN'T GOING TO\nREVERSE THIS GREAT, THREATENING MONSTER OVERNIGHT,\nBUT, AS YOU HAVE SHOWN BY YOUR DELIBERATIONS AND\nPLANNING HERE AT YOUR 51st ANNIVERSARY CONFERENCE -- THE JOB\nCAN, AND WILL BE DONE WITH THE APPLICATION OF NEW THINKING\nAND INVENTIVE IDEAS,\nHAPPY 51st BIRTHDAY - AND I HOPE TO SEE YOU ON CAPITOL\nHILL."
}