Tag: Detroit

  • How Urban Planning Made Motown Records Possible

    I’m reading Once in a Great City: A Detroit Story by David Maraniss, a book I plan to review for City Journal. But I want to highlight something briefly that really caught my eye about Motown Records. It’s no secret Detroit punches above its weight in musical influence, and the Motown sound was clearly a big part of that. Maraniss asks “Why Detroit? What gave this city its unmatched creative melody?” He lays out his theory of the case with regards to Motown Records.

    The family piano’s role in the music that flowed out of the residential streets of Detroit cannot be overstated. The piano, and its availability to children of the black working class and middle class, is essential to understanding what happened in that time and place, and why it happened, not just with Berry Gordy, Jr. but with so many other young black musicians who came of age there from the late forties to the early sixties. What was special then about pianos and Detroit? First, because of the auto plants and related industries, most Detroiters had steady salaries and families enjoyed a measure of disposable income they could use to listen to music in clubs and at home. Second, the economic geography of the city meant that the vast majority of residents lived in single family homes, not high-rise apartments, making it easier to deliver pianos and find room for them. And third, Detroit had the egalitarian advantage of a remarkable piano enterprise, the Grinnell Brothers Music House. [emphasis added]

    Like most things, the rise of Motown Records was multifactoral. Maraniss keys in on the prevalence of pianos in black homes. Note his factors creating this, to which one could also add the first rate musical education available to public school students at places like Cass Tech that he refers to multiple times throughout the text.

    But of course I highlight: “the vast majority of residents lived in single family homes, not high-rise apartments, making it easier to deliver pianos and find room for them.”

    It’s no secret that Detroit, like most Midwest cities, is a city of single family homes. Detached houses have a bad rep in planning circles today, but in this case the space they afforded allowed black families to have a piano – and in Motown Records founder Berry Gordy, Jr.’s case, a baby grand at that. This would be much more difficult in a microapartment to say the least.

    Let’s not get too carried away. As Gordy was founding Motown, Jane Jacobs was pointing out the trouble with Detroit’s “gray belts” of single families that were already being abandoned. Pete Saunders has highlighted Detroit’s housing stock as one of the nine key urban planning reasons Detroit failed (ironically, in part because today these houses are too small).

    Nevertheless, no preponderance of single family homes, no widespread pianos in black Detroit homes, and likely no Motown Records either. The history of American music was literally shaped by the single family housing character of Detroit. If we can acknowledge its flaws, it’s only fair to acknowledge it’s unique strengths too.

    What this suggests is that cities shouldn’t despair too much about their existing built form, even if in many cases they are struggling with it. The question might be, what does that form enable that you can’t get elsewhere? Grinnell Brothers Music figured out that auto money + under-served black households + single family homes meant a potential market for pianos. And the rest is history. What other market opportunities exit right before our urban planning eyes that we have not yet noticed?

    Aaron M. Renn is a senior fellow at the Manhattan Institute and a Contributing Editor at City Journal. He writes at The Urbanophile, where this piece originally appeared.

  • How To Develop Detroit

    Detroit’s downtown is gentrifying— or, to be more accurate, a very small portion of the 139 square miles that make up the city is doing so, as it becomes populated by a new generation of workers. But the city’s vast, remaining area is mostly blighted. A massive effort has been made to remove substandard and neglected homes, creating large sections ripe for redevelopment. We believe that a model community for families could be built within that devastated area, and we’ve launched a kickstarter campaign to get development going. You can look at this idea in detail on our new video, too: https://www.youtube.com/watch?v=cGOY_04k7Vw. A minimum land area of fifty acres would be a significant enough mass to provide a sustainable approach to growth. Here’s what we would like to see:

    At Rick Harrison Site Design Studio our redevelopment model is vastly different from existing models that either want to turn Detroit into farmland, or to place the existing population into high-rise projects. Both those approaches would need subsidies to be achieved. Our model takes a ‘market focused’ approach that is competitive with the cookie-cutter housing of the surrounding suburbs.

    The plans we’ve developed at well over 900 sites during the past twenty-five years have averaged a 25 percent reduction of infrastructure, compared to conventional design. This reduction of street paving and utility mains has translated into increased green space per resident. For Detroit, our goal is to eliminate 60 percent or more of the existing infrastructure, and recapture the right-of-ways for residents. That will enable us to increase density while also increasing space.

    We will start from scratch and design the main trails first. The street system will reduce both time and energy, compared with designs in the surrounding suburbs. All the homes will have interior floor plans and living spaces that coordinate with adjacent open spaces and views. And every home will have an energy savings HERS rating of 50 or better, so more of the resident funds can be used for better living, rather than going towards energy that escapes from a chimney. Elegant, meandering walkways will connect every home to the main trail system.

    A half-century ago Detroit was America’s model city. Then, segregation and racial tensions led to the riots of 1967, which created a mass exodus to the suburbs. Those residents and businesses that could afford a new home on a large lot left the city. I began my planning career in 1968, designing those Detroit suburban subdivisions.

    Let’s make Detroit a leader again by increasing living standards, connectivity, property values, tax base, open space, density, and safety while significantly decreasing construction costs, environmental impacts, energy usage, and the enormous infrastructure that currently plague the city. Detroit was once an inspiration for other cities. We’d like to make it an inspiration again.

  • The New, Improved? Rust Belt

    There is no longer a Rust Belt. It melted into air. The decline of manufacturing, the vacancy of the immense, industrial structures that once defined the productive capacities and vibrant lives of so many pockmarked towns, the dwindling of social capital—all the prognosticators writing the obituaries for these dead geographies were right.

    How long were rust belt cities going to be able to, as author Robert Putnam would phrase it, “bowl alone?” It turns out not very long.

    Rust Belt cities don’t exist because the narrative surrounding them over the past few years has slowly changed. No longer are they identified as places of decay; now the story is that they’re places of opportunity and renewal. This conviction is emerging against the backdrop of a general sort of reintroduction of the American city as a great, good place; a crucible of talent, energy, youth and creativity. (As if that hasn’t always been the case.)

    Now, for every Detroit horror story, there’s a shiny Shinola. Buffalo is a nascent hipster haven.

    Levon Helm has risen from the dead and is singing, “Look out, Cleveland, some craft brew is comin’ through…”

    With its well-defined physical landscapes and deep cultural histories, the Rust Belt aesthetic has long been subject to the same forces that have turned places like Williamsburg, Brooklyn and Chicago’s Wicker Park into moneyed enclaves of those seeking a repurposed past for modern means. As the global city shatters into a million pieces, Rust Belt cities are poised to piggyback on their own organic growth, becoming ever more attractive with their lower barriers to achieve a sense of urban authenticity.

    Yet, as pockets of Rust Belt cities are successfully redeveloped, is there reason for concern that they may be losing some of what sets them apart?

    In Chicago, where the Rust Belt exists under the glittering shadow of its Global City sheen, the steady march of hipsterdom through Wicker Park and Logan Square is nearly complete. On the Far South Side of the city, on the fallow 700-acre grounds of the former US Steel South Works mill, a massive, master-planned mixed-use development is envisioned and (very) slowly taking shape.

    In the Corktown section of Detroit, the long-abandoned and derelict Michigan Central Station has morphed into an asset for a bevy of bars, shops and nightlife stops, which have deservedly garnered travel nods from Martha Stewart. Working through the Bedrock Financial-led-revitalizing downtown and past the hip enclave of Midtown, a new steward is currently cleaning up the infamous Packard Motor Plant and entertaining plans of perhaps an “autonomous community.”

    In Pittsburgh, a city always a little ahead into the future, Lawrenceville has been dubbed one of the “top 26 most hipster neighborhoods in the world” by Business Insider magazine, while in the South Side neighborhood, the old J&L Steel mill on the banks of the Monongahela River is currently home to SouthSide Works, a “shop/dine/play/live” mixed-use lifestyle center of offices, residences, movie theaters and outlets of H&M, American Eagle and The Cheesecake Factory.

    These movements through the cityscape may seem disconnected, but they represent a waning of the cultural affect that is specific to a sense of place and defines it. Whether it is a sort of hipster-variation-on-a-theme or a top-down, master planned repurposing of formerly industrial sites, there is an emerging urban typology that is seen and felt in cities everywhere. In this way, these commoditized developments echo their suburban forbearers in standardizing a formula for successful sameness.

    When the French anthropologist Marc Auge coined the term ‘non–place’ to describe the interstitial spaces in which so much of modern life unfolds, he focused in on the transitory nodes of transit and commerce such as airports, highways, and supermarkets to describe a condition wherein the individual “becomes no more than what he does or experiences in the role of passenger, customer, or driver”— namely, a consumer. Many critical urban theorists have adopted Auge’s theory to describe the monotony, placelessness, and anywhere-ness of sprawling suburbs.

    One could argue, though, that as cities proper increasingly mirror one another in their (re)development, Auge’s theory now threatens to apply itself to the fabric of cities themselves. It begs the question of whether there are perhaps other ways to engage and activate ‘non-place’ into meaningful, active space.

    Managing needed investment while maintaining distinctiveness — which is, of course, what makes any city worth its while to begin with — is a delicate dance. Like everywhere else, the Rust Belt is inspiration for a form of American magic realism, wrestles with this.

    Cities change. To assume the city hasn’t always been a speculative spectacle is ludicrous, as silly as it is to perpetuate dead geographies onto the living. But the refashioning of Rust Belt cities’ physical and cultural landscapes should at least give us pause to wonder if we’re losing realism and magic in manufacturing a sense of place.

    Ben Schulman is the Communications Director for the American Institute of Architects Chicago (AIA Chicago) and the co-creator of the Contraphonic Sound Series, a project that documents cities through sound.Follow @skyscrapinknees (https://twitter.com/skyscrapinknees)

    Flickr photo by Russ: Detroit Bike City Shinola

  • The Three Generations of Black Mayors in America

    A select group of cities elected black mayors during the brief and tumultuous Black Power Era, seeking to implement an activist social justice platform.  These cities – notably Cleveland, Gary, Newark and Detroit among large cities — became stigmatized in a way that few have been able to recover from.   A negative narrative was developed about most of them that stuck, despite considerable efforts to dispel them.  Cities that elected “first black mayors” after the Black Power Era, during a period of relative calm, were able to adapt as the political skill set grew in the African-American community.  However, the Black Power Era’s near-toxic combination of heightened white racism, black disenfranchisement and disillusionment – and ill-prepared black political leadership – accelerated the downfall of these select cities.

    If the cities that elected black mayors during this tumultuous period are ever to move forward, to achieve their potential, they must be released from the purgatory they inhabit.

    Just as many people have well-developed thoughts and opinions on the American Civil War but little understanding of the turbulent Reconstruction Era that followed, many are familiar with the 20th Century Civil Rights Movement, yet are far less knowledgeable about the local social and political events that followed it.  The Black Power Movement supplanted much of the Civil Rights Movement after the assassination of Dr. Martin Luther King, with an emphasis on turning social activism into political empowerment.  Several cities elected their first black mayors during that period.  Cleveland was the first with the selection of Carl Stokes as mayor in 1967.  Gary, Indiana followed suit the same year with the election of Richard Hatcher, and the federal government appointed Walter Washington to become Washington, DC’s first black mayor as well.  Later, Newark (Kenneth Gibson), Dayton (James McGee) and Cincinnati (Ted Berry) followed suit by 1972, and culminated with the elections of Tom Bradley (Los Angeles), Maynard Jackson (Atlanta) and Coleman Young (Detroit) in 1973.  A new era of African-American political empowerment had begun.

    Taking a long historical view, it’s clear that the people who became first African-American mayors beginning in the late ‘60s and continuing through today held different views, developed different paths to victory and methods of governance, and had differing perceptions of their skills among their constituents.  Mayors elected through about 1975 were often activists straight from the Civil Rights Movement, and were looking for ways to turn the movement into actual political power.  The group of black mayors that followed them, from about 1975 to 1990 or so, had more distance between them and the Civil Rights Movement and were less concerned about implementing movement politics; they were more concerned about developing the kind of coalition that could get them elected and help them win legislative victories once in office.  The third group of “first black mayors”, coming after about 1990 and continuing through today generally came to terms with a different demographic landscape in most major American cities.  Whereas first black mayors elected twenty years prior could dependably rely on a supermajority of black votes in their favor – and an equally large supermajority of white votes against them – the most recent group works in a more nuanced and less racially charged environment.  Younger white residents without the racial grievances of their parents or grandparents were returning to cities, and Hispanics were rapidly increasing in numbers.  Anyone who would attempt to become a “first black mayor” in that environment would have to develop an appeal that goes beyond racial boundaries.

    And yes, the decade that followed Dr. Martin Luther King’s assassination was as tumultuous as they come for America’s largest cities.  That period, well remembered by those who lived it as a time of particularly strong urban and social tensions, coincided with the downward slide in momentum of the Civil Rights Movement and the subsequent rise of the Black Power Movement.  Older adults likely remember the period well: urban riots, fights over school busing, Affirmative Action battles, efforts to eliminate long-entrenched policies like blockbusting and redlining.  Skyrocketing crime, heated debates on the inequity of public services, and the development of a new, rapidly expanding land called “suburbia” that was looking very appealing to a growing number of city residents.  Nearly all large cities developed scars during that period.  The question is whether they healed, and healed well.

    “It’s Our Time”



    Detroit Mayor Coleman Young.  Source: Detroit News

    Coleman Young, elected as Detroit’s first black mayor in 1973, in many ways epitomizes the first group of black political leadership that emerged following the Civil Rights Movement.  One might call them the Black Power set.  Born in 1918, Young was part of a generation of African-Americans who stood tantalizingly closer to economic prosperity and social equality than any previous generation, yet were reminded that they could never achieve it.  After serving as a bombardier and navigator for the U.S. Army Air Forces during World War II, Young returned from his service disillusioned by the segregation he and his fellow troops suffered.  He went on to become a labor leader with the UAW and later built a political base as a state representative and state senator in the Michigan Legislature, representing Detroit’s East Side.

    Young became a vocal critic of local leadership after the 1967 riots, and targeted the heavy-handed efforts of Detroit police to reduce crime.  Young announced he was running for mayor in 1973 in large part to work to disband the Detroit Police Department’s STRESS (Stop the Robberies, Enjoy Safe Streets) unit.  The unit was often mentioned as the initiator of police brutality complaints, and was allegedly responsible for as many as 22 deaths of black residents over a 2 ½ year period.  Young ran against John Nichols, the city’s police commissioner and staunch supporter of the troubled unit.

    Young won a narrow victory over Nichols in 1973 in a race that was almost entirely split along racial lines in the nearly 50/50 city.  In his inaugural address, Young famously told “all those pushers, (to) all rip-off artists, (to) all muggers: It’s time to leave Detroit; hit Eight Mile Road! And I don’t give a damn if they are black or white, or if they wear Superfly suits or blue uniforms with silver badges. Hit the road.”  Young maintained that his message was that criminals were not welcome in Detroit; the quote has often been interpreted by white former Detroit residents as a throwing down of the gauntlet, urging whites to leave the city for the suburbs.  Young went on to win four more terms in office.  He balanced budgets yet struggled to maintain services in a city with a rapidly declining tax base.  He remains one of the most controversial leaders in Detroit history.

    Conversely, Cleveland’s Carl Stokes and Newark’s Kenneth Gibson may not have provoked similar passions in their respective cities, but they did not fare much better.  Stokes obtained his law degree in 1956, served three terms in the Ohio Legislature and narrowly lost a bid for mayor in 1965.  His eventual win in 1967 garnered him plenty of national attention as he became the first African-American mayor of one of the nation’s ten largest cities.  He was successful enough to pursue and win a second two-year term in 1969, but his tenure in office was characterized by constant feuds with the Cleveland City Council and the Police Department.  Stokes left office at the end of his second term.  After studying civil engineering in college, Gibson worked for nearly two decades as a structural engineer with the New Jersey Highway Department, the Newark Housing Authority and the City of Newark.  He pursued the mayor’s office as a reformer wishing to restore honor to the office following the corruption scandals of incumbent Hugh Addonizio.  Gibson won in 1970 but perhaps his attachment to people like Newark poet and playwright Amiri Baraka, who challenged Gibson to push the city’s corporate interests to take a more active and responsible role in the community, served as a lightning rod to the city’s remaining middle class element.  Gibson was elected to four terms, but Newark’s slide continued unabated.

    Black National Political Convention

    It’s probably fair to say that the political pinnacle of the Black Power era took place between the elections of Gibson and Young, with the advent of the Black National Political Convention in 1972.  Held in Gary, Indiana and hosted by Mayor Richard Hatcher, delegates from the entire spectrum of black leadership convened to establish a black political agenda for urban America.  More than 8,000 people attended the three-day convention, with 3,000 selected to be voting delegates.  Newly elected black officials attended, along with celebrated black nationalists and revolutionaries.  Delegates with more moderate position also attended.  However, whites were not invited.  No white speakers whose views were sympathetic to the movement; not even white reporters.  This exclusion caused groups like the NAACP and the Urban League to skip the event and be critical of the gathering.

    Renee Ferguson, a former Chicago local news television reporter and currently the press secretary for U.S. Rep. Bobby Rush (D-IL), attended the convention as a 22-year-old reporter for the Indianapolis News.  In an interview with Chicago public radio station WBEZ remarking on the 40th anniversary of the convention in 2012, she spoke about the frenzied nature of the event.  “When I got there it was very disorganized, much bigger than anybody had planned for and impossible actually for anybody to see what was happening. The speeches were long and there were a lot of egos and there weren’t many women.”

    Ferguson said that the agenda of the convention was framed by a basic question, and was the source of great tension.

    “Are black people going to work on the inside with the system, or are they going to have their own and work on the outside? And that was the big argument no matter what else they talked about,” Ferguson said. “That was the underlying intrigue and the most interesting thing for me to document as a young reporter.”

    In the end, black nationalists won the day.  The prevailing theme of the convention was that African-Americans would seek to create change outside of the system.  The agenda included platforms that had support from other liberal factions (elimination of capital punishment, national health insurance), but also included platforms that sought to consolidate political control with the growing number of leaders (community control of schools, busing for school integration).  Perhaps the biggest message of the convention, however, was that “White politics had failed Black people”.  And a new group of leaders set out to implement that vision.

    Coalition Builders



    Chicago Mayor Harold Washington, the day after winning the election in 1983.  Source: Illinois Historic Preservation Agency.

    Almost immediately after the convening of the convention, a group of rising black political figures who rejected the premise of the Black Power era leaders sought to ascend through coalition building.  Rather than work exclusively outside of the system, and alienating those who disagreed with them, this group stressed their ability to work within the existing power and political framework.

    As a state representative at the time representing Illinois’ 26th legislative district, Harold Washington would’ve been eligible to serve as a delegate to the Black National Political Convention.  Whether he attended is uncertain.  But it is clear that he adopted a coalition-building style that served him well as he ascended to the office of Mayor in Chicago.

    Born in 1922 and just four years younger than Detroit’s Coleman Young, Harold Washington nevertheless followed a different path to mayor of Chicago.  Washington also served in the Army during World War II, building runways for long-range bombers in the North Pacific.  Upon his return from service he graduated from Roosevelt College in Chicago in 1949, and from Northwestern University Law School in 1952.  Washington immediately became immersed in local Chicago politics after law school, working for 3rd Ward Alderman and former Olympic athlete Ralph Metcalfe.  While working with Metcalfe Washington became intimately familiar with Chicago’s brand of Machine politics – a spoils system, patronage, and a personal approach to bringing out the vote on Election Day.

    Contrary to Young’s experience in Detroit, African-Americans in Chicago experienced a fair amount of political enfranchisement.  In many respects, African-Americans were just one part of the ethnic milieu that made up Chicago’s political landscape, like the Germans, Poles, Italians and Irish.  The foundation of Chicago’s political machine was its ability to meet the specific needs of those who could be convinced to depend on them, and convincing as many people to depend on them as they could.  The Machine’s success meant that it could not ignore or exclude potential votes, wherever they came from, and that included the African-American community.  The Machine’s strength was derived from its network of precinct captains, committeemen and elected officials that would convene regularly to discuss its political platform, slate of candidates vote targets and distribution of benefits.    Washington received a sound political education in coalition building through his work in Chicago’s Machine.

    Washington was elected into the Illinois House of Representatives in 1965 and to the U.S. Congress in 1980.  Over the years, he developed a reputation of independence from the Chicago Democratic Party leadership, often becoming an unreliable member of the Machine’s state legislative contingent.  As a State Senator Washington was one of a group of independent black Democrats who partnered with white liberal Democrats and moderate Republicans to push forward the Illinois Human Rights Act of 1980.  His ascension to Congress later that year, defeating Machine loyalist Bennett Stewart, further alienated him from the Machine.

    This effort afforded Washington a unique political perspective.  He enjoyed strong independent support from his African-American base, largely developed apart from the Machine.  He had strong connections with members of Chicago’s “lakefront progressive” community, which had a fairly large contingent in the city’s Hyde Park community, where Washington also lived.  It was likely evident to Washington and others that this pairing provided him a wider base than other black elected officials who rose through the ranks and focused solely on serving the needs of their African-American constituents.  Furthermore, Washington likely realized that the Hyde Park progressive community’s networks with other progressives, particularly on the North Side, opened up opportunities for offices beyond Congress.

    Washington rode the wave of his unique coalition into mayoral politics in 1983.  Bolstered by support from his African-American base and reform-minded white progressives, Washington won against Republican Bernard Epton that November.  Once elected, however, he was confronted with a solid bloc of 29 aldermen (out of 50) firmly wedded to the “Democratic Organization” structure that had survived for so long in Chicago.  The bloc led a four-year period of legislative gridlock in Chicago known as Council Wars – the bloc assumed control of all Council committees, allowing it to set the legislative agenda; the bloc voted down virtually all of the mayor’s appointments; the bloc fought bitterly with Washington’s supporters on budget and appropriations.

    Despite the challenges, however, Washington’s coalition held firm.  Federal lawsuits led by Washington allies challenged Chicago’s ward redistricting following the 1980 Census.  At the time, Chicago’s population included approximately 40 percent white and black residents, and 15 percent with an Hispanic background.  However, Washington supporters argued that wards were gerrymandered to maximize the number of white aldermen in the racially polarized city – at the time of Washington’s election as mayor there were 33 white, 16 black and one Hispanic aldermen.  Federal courts ruled in favor of Washington’s supporters in 1986, causing a redrawing of seven wards and special elections.  Washington supporters won four elections, creating a 25-25 split in the City Council and effectively giving the mayor control of the Council through his ability to cast a deciding vote.  Unfortunately, Washington’s control was short-lived.  He died of a massive heart attack on November 25, 1987, just months after his defeat of the obstructionist bloc.

    Whereas Harold Washington’s political acumen made him a coalition builder, Baltimore mayor Kurt Schmoke’s stellar athletic and academic pedigree, wonky sensibility and personable nature drew coalitions toward him.

    Schmoke attended the prestigious Baltimore City College for high school, where he excelled in football and lacrosse.  He entered Yale University in 1967, where he played quarterback for the freshman team and developed into an undergraduate student leader.  After graduating from Yale with a degree in history in 1971, Schmoke studied as a Rhodes Scholar at Oxford University and graduated from Harvard Law School in 1976.

    Schmoke’s first electoral victory was as Baltimore State’s Attorney in 1982.  He defeated William Swisher in a surprise landslide, running a race-neutral campaign against the law-and-order, and (according to some) racially insensitive incumbent.  Schmoke was technically not Baltimore’s first black mayor; that title goes to Clarence “Du” Burns, who was elevated to mayor after the election of the previous mayor, William Donald Schaefer, as Maryland’s governor.  But Schmoke inherited much of Schaefer’s progressive and business establishment, as they saw him as the one who could articulate their agenda in a largely black city.  Schmoke challenged Burns in 1987 and won narrowly.  Recalling Schmoke’s victory for an article in Baltimore’s City Paper, City Council member Bill Cunningham said it was a “new-day-is-dawning thing.”  In the same article, the Rev. Arnold Howard of Enon Baptist Church said, “We were looking for someone to encompass our hopes for the future, someone who would validate our own journey.  He went into office with all that on him. He was the new savior. He was the one who would fulfill our dreams.”

    In the end, however, despite being twice re-elected, Schmoke’s analytical approach to leadership alienated coalitions who thought they were getting something else.  He developed a reputation for establishing bold policy goals that were difficult to build consensus around – improving adult literacy, drug decriminalization – and put in place department heads who brought the same policy wonk approach to their work that he did.  The business establishment and African-American community alike thought they were electing a dynamic “mover and shaker” who could energize them as they pushed toward new heights.  But Schmoke was perhaps more manager and caretaker than mover.  As a result he left office in 1999, deciding not to seek a fourth term, with a frayed coalition: a business community slightly betrayed, and an African-American community slightly disillusioned.

    Trans-Racial Appealists

    With the start of the 1990’s a new type of black political figure began to emerge.  Gains made through increased access to education and job opportunities were putting more African-Americans in previously unattainable positions, and allowing them to pursue previously unattainable avenues.  Wellington Webb, the first black mayor of Denver, fits this bill.

    Webb was born in 1941 in Chicago and arrived in the Mile High City at age 11.  In his autobiography, he chronicles a difficult childhood; his mother had a drinking problem and he ended up being raised by his grandmother, and he had academic difficulties at Denver’s Manual High School.  But Webb fought through his family problems and personal demons.  He attended and graduated from Northeastern Junior College in Colorado in 1960, and obtained his bachelor’s degree from Colorado State College in 1964.  He was introduced to politics by his grandmother, who was a Democratic Party district committeewoman in Denver.  Webb wanted to become a teacher, but found it difficult to obtain a position in Denver’s public schools, and thought local political involvement in some of the federal “War on Poverty” programs of the late 1960’s might help.  He transitioned from working in a potato chip factory to working in city government, and later obtained a master’s degree from the University of Northern Colorado in 1971.

    Webb developed a reputation as a numbers-cruncher and policy wonk in city government, and was pulled into politics rather than pushed into it by any sense of bitterness.  He was elected to the Colorado House of Representatives in 1972 and represented the Northeast Denver neighborhood he grew up in.  In 1977 he was appointed by President Jimmy Carter to serve as regional director of the U.S. Department of Health, Education and Welfare, and in 1981 he was appointed by Colorado Governor Richard Lamm to be executive director of the state Department of Regulatory Agencies.  Webb held that position until 1987, when he ran and won in the election to become Denver’s city auditor.

    Webb’s political ascendance through the ‘70s and ‘80s certainly put him on a path to consider pursuing citywide and even statewide positions, but it was unclear whether an African-American in a city with a small minority population, in a state with a small minority population, could be competitive.  He did not start with a built-in large political base like Young or Washington; nor did he have to ability to strengthen a base through coalition building the way Washington did.  His only strategy, should he pursue another office, was to make a trans-racial appeal that would highlight his experience, skills and vision.

    Webb entered the campaign in late 1990.  Three leading candidates emerged: Webb, Denver District Attorney Norm Early (also African-American), and Republican lawyer Don Bain.  Webb carried out his “Sneaker Campaign”, going door-to-door in virtually all of Denver’s neighborhoods while preaching a message of competency.  He surprised everyone by forcing a runoff with Early in the May 1991 primary, finishing with 30 percent of all votes to Early’s 40 percent.  Webb was able to consolidate the support from other candidates with a law-and-order platform prior to the general election against Early in June 1991.  Webb won with 57 percent of the vote.



    Sacramento Mayor Kevin Johnson.  Source: gbmnews.com

    Perhaps a better version of a first black mayor who won with a broad trans-racial appeal would be Kevin Johnson of Sacramento.  Johnson was born in Sacramento, where he was a standout student and athlete.  He excelled in basketball and baseball, and accepted a scholarship to play basketball at the University of California, Berkeley.  From there he went on to a storied college basketball career and a long professional career with the NBA’s Cleveland Cavaliers and Phoenix Suns.

    Even during his playing days Johnson maintained strong roots with his native Sacramento.  He established the Kevin Johnson Corporation, which focused on real estate development and business acquisitions, and the St. HOPE nonprofit organization as an after-school program in the Oak Park neighborhood he grew up in.  After his retirement from basketball in 2000, he broadened St. HOPE to include charter schools and nonprofit development in Sacramento.  Today, St. HOPE is a network of four charter schools in Sacramento, and a development company with more than a dozen new construction and renovation projects in Sacramento.

    Johnson had intimated his political ambitions for years, but finally announced his run for mayor in 2008.  Race was hardly a factor in the race; indeed, Johnson was viewed as a decorated favorite son of California’s capital city.  Johnson received numerous endorsements from Sacramento’s business and political establishment, and was the highest vote getter in the nonpartisan election that June.  He forced a runoff against two-time incumbent mayor Heather Fargo, and soundly defeated her in November.

    Johnson has parlayed his athletic, corporate and nonprofit success well in the government sector.  He has been a staunch supporter of charter schools, along with his wife Michelle Rhee, the former chancellor of the Washington, DC Public Schools.  He was actively involved in keeping the NBA’s Sacramento Kings basketball team from fleeing the city, orchestrating the team’s sale to a group of local investors.  He easily won reelection in 2012, and in April 2014 was elected as president of the U.S. Conference of Mayors.

    There are other black mayors who fit the trans-racial appeal profile, but are not the first black mayors of their respective cities.  Kasim Reed of Atlanta, Michael Nutter of Philadelphia, and Cory Booker of Newark each brought impressive academic credentials, strong corporate backgrounds and youthful passion to their positions as mayor, distinguishing them from their predecessors.    Reed interned for U.S. Rep. Joseph Kennedy II before earning his juris doctorate from Howard University, and became a partner at a law firm prior to entering politics.  Nutter earned a business degree from the Wharton School at the University of Pennsylvania.  Booker earned his bachelor’s and masters degrees from Stanford, earned a Rhodes Scholarship to attend the University of Oxford, and earned his juris doctorate from Yale.

    Because of their academic and corporate credentials, Reed, Nutter and Booker are as comfortable in corporate boardrooms as they are in churches or community centers.  Each has forged partnerships with political opponents, and adopted a pragmatic bipartisan approach to governing cities.  Each has focused on effective service delivery rather than empowerment or redistributive policies.  Booker’s success as mayor of New Jersey’s largest city propelled him to his current position as New Jersey’s junior U.S. Senator through special election in 2013.

    The Power of Perception

    Detroit, Cleveland, Newark, Chicago, Denver, Baltimore and Sacramento occupy different positions on the success spectrum of American cities.  Of these five Chicago would certainly occupy the highest perch.  Chicago clearly is a global city – a world financial center, the home of a dozen Fortune 500 companies and the critical link in the nation’s rail and air transportation network.  The Windy City has extensive economic connections throughout the world.  Indeed, world-class architecture firms based in Chicago are designing the gleaming skyscrapers sprouting everywhere in China’s large cities.  Denver would rest in a position not far behind Chicago.  Denver has become the capital of the Great Plains and Mountain West, a mid-continent transportation hub that built its wealth on its access to mineral resources in the Rocky Mountains.  Sacramento would likely occupy a position behind Denver.  Sacramento’s growth has been more recent than the others, and it still sits in the shadows of much larger California metropolises.  But as the capital of our nation’s largest and most influential state, it has heft.

    Baltimore, Cleveland and Newark would occupy another place on the spectrum.  All are well known for enduring the storm of industrial decline, and in Cleveland’s case, fiscal insolvency.  They’re slowly recovering from a nadir reached perhaps a decade or two ago and have made small steps toward improvement.  They’ve worked hard to revitalize their cores – Newark has leaned on its financial services sector to turn the tide, while Baltimore and Cleveland have relied on their assets in education, health care services, and biomedical and biotech research.  However, all are far from being complete success stories.

    Then there is Detroit.

    Each city has had African-Americans serve in the city’s highest office.  Chicago’s Harold Washington endured tough times as mayor of Chicago, but he built a lasting coalition that allowed him to prevail.  Denver’s Wellington Webb learned to adapt in a pluralistic environment and raised the profile of a Western city.  Cleveland, Newark and Detroit each elected first black mayors during the turbulent post-Civil Rights era and paid a steep social price for doing so.  Cleveland and Newark began their turnaround some years ago; perhaps Detroit’s, with its recent bankruptcy filing, has just begun.

    If anyone doubts the impact of electing an African-American mayor during the racially tumultuous late ‘60s-early ‘70s era, examine the general perceptions that formed of the cities during that period and have endured ever since.  Newark and Detroit, already tainted by the aftermath of urban riots, were effectively shunned by white residents after the elections of their first black mayors.  Cleveland may have been headed down the same path after the election of Carl Stokes in 1967.  But Stokes chose not to run for a third two-year term as mayor, leaving a wide open field.  Stokes was followed by three consecutive white mayors — Ralph J. Perk, Dennis Kucinich and George Voinovich – before the election of the city’s second black mayor, Michael White, in 1990.  Atlanta touted itself as the “City too busy to hate” in the ‘70s, but Maynard Jackson’s 1973 election coincided with rapid white flight out of the city, at the same time that Sun Belt migration from the north was strengthening the suburban base.  In Washington, DC, black political empowerment there was often wrapped up in the controversy of federal political representation for the District.  Mayors in the District were federally appointed until Walter Washington was elected mayor in 1975.

    Perhaps the best way to view perceptions of cities that elected “first black mayors” during the Black Power Era is to examine the fortunes of Detroit and Philadelphia during and after this period.  Entering the 1970’s the Motor City and the City of Brotherly Love had similar populations (about 1.5 million people in Detroit, 1.9 million in Philadelphia), with a similar geography (about 140 square miles) and similar demographics (approximately a 60/40 split between whites and blacks).  As noted, Coleman Young was elected mayor of Detroit in 1973, narrowly winning against Police Commissioner John Nichols.  It was clear that Nichols’ candidacy was an effort by his constituency to restore order to a city during a difficult time.  Meanwhile, another police commissioner, Frank Rizzo, assumed power as mayor of Philadelphia in 1971.  As mayor Rizzo was regarded as having a strained relationship with the city’s African-American community.  Rizzo’s “law-and-order” tactics were viewed positively by his white ethnic base and have been credited by some for keeping Philadelphia from suffering the same fate as other cities.  Could the Nichols campaign have been modeled after the successful Rizzo election two years earlier?

    Possibly.  Yet it is instructive to view the difference in perceptions of both cities since that time.  Philadelphia was certainly hit hard by the decline of the nation’s manufacturing sector.  Philly had substantial losses in the shipbuilding, oil refining and food processing industries over the decades, losing thousands of jobs as a result.  Yet did Philly endure what was in effect a boycott of the city by white residents?  Troubled North and West Philadelphia are well known, but did their troubles define the entire city?  I think many people could imagine a real-life “Rocky Balboa” coming from Philadelphia in the ‘70s and ‘80s, but far fewer could imagine a similar character coming from Detroit.

    Philadelphia’s national perception took a tumble over the last 40 years, but the city has fought back hard to rebuild itself as a premier city with a strong economic foundation in education, health care and financial services.  Detroit, however, continued on a descent no other city endured.  High crime rates, racial tensions, dilapidated abandoned buildings in a desolate post-industrial landscape  — all defined Detroit then and continue to define it today.

    Between 1970 and 2010, Philadelphia’s population dropped by 22 percent, from 1.9 million to 1.5 million.  The decline was largely driven by a substantial loss of its non-Hispanic white population over the period, which declined by 56 percent.  Over the same period, Detroit’s population dropped by 53 percent, from 1.5 million to just over 700,000.  Its decline too was largely driven by a loss of its non-Hispanic white population, which dropped by 93 percent. Ninety-three percent.

    Something happened that kept a base or core of white residents in Philadelphia.  Something happened in Detroit that led to their virtual disappearance.

    Cities that elected their first black mayors during the Black Power Era deeply suffered in national perception because of the gamut of social challenges they had at the time, and found it difficult to stabilize poor economies or for revitalization to gain traction.  But they suffered far worse than other cities because they were in effect shunned.  They suffered from the greatest increases in crime.  They experienced the largest declines in school quality and performance.  They witnessed the steepest drops in property values.  They had the widest divides between police and community.  They had the highest numbers of white middle-class residents departing for the suburbs.  Newark was shunned.  Gary was shunned.  Detroit was shunned.  Maybe Cleveland, Los Angeles, or Cincinnati, or Dayton did not suffer the same fate because African-American populations there did not approach parity with whites, who were eventually able to “reclaim” the city’s highest office.  In the end, however, select cities paid a price for the election of black mayors during this time, a price not paid by cities that elected black mayors after them, or not at all.

    Another Transition



    Detroit Mayor Mike Duggan on election night in 2013.  Source: wikipedia.org

    On January 1, Michael Duggan assumed the difficult and unenviable responsibility of becoming the 75th mayor of Detroit, Michigan.  Given the most recent difficult period that Detroit has endured, and the continued difficult times ahead, Mayor Duggan’s inauguration was a subdued affair.  There was no inaugural ball or celebration.  The new mayor was simply sworn in with a short ceremony in his new 11th floor office in the Coleman A. Young Municipal Center.

    The new mayor said he would focus on operations – removing blight, snowplowing streets, repairing lights, making sure buses run safely and on time.  The mayor suggested he would move into Manoogian Mansion, the palatial mayoral residence on the Detroit River that was deeded to the city in the 1960’s.  As far as the focus on operations goes, he really has little choice in the matter.  The State of Michigan-appointed emergency manager Kevyn Orr, brought in with exceptionally broad powers to resolve the city’s financial mess and currently leading the Motor City’s largest-ever municipal bankruptcy, has a lock on policy decisions right now.  Mayor Duggan says his focus is to “return the city to elected leadership on October 1,” the day that Orr’s 18-month appointment from the state ends.

    And with that, Mike Duggan became the first white mayor of Detroit since 1973, mayor of a city with a population that is 83% African-American.  This most recent election, most observers believe, is a venture into the unknown, and is as much an experiment as Detroit’s bankruptcy itself.  An era of African-American political leadership has ended in Detroit, but no one is certain of what the next era might be.

    Perhaps the bankruptcy, the election of a white mayor and the growing urban pioneer spirit that is visible in parts of the city means that the shunning of Detroit has ended.

    This post originally appeared on August 10th, 2014 in Corner Side Yard.

    Pete Saunders is a Detroit native who has worked as a public and private sector urban planner in the Chicago area for more than twenty years.  He is also the author of “The Corner Side Yard,” an urban planning blog that focuses on the redevelopment and revitalization of Rust Belt cities.

    Top photo: The Monument to Joe Louis, commonly known as “The Fist”, in downtown Detroit. For more than thirty years, the sculpture has been a controversial symbol of black power in Detroit.  Source: Pete Saunders

  • Michigan’s State Legislature Needs to Cut Detroit Down to Size

    What’s often forgotten in politics and governance is municipalities are the creation of state legislatures.  A good deal of the population growth in major cities in the second half of the nineteenth century was due to annexation. One of the best examples is New York‘s amazing growth due to annexing Brooklyn. Few people are talking about it but it’s time to consider smaller political units. As Detroit struggles with failure of bankruptcy, the geographical size of the Motor city is becoming a major issue.

    Detroit’s long decline eventually put it a federal bankruptcy court. The reasons are numerous but the reality is here.  How Detroit exists from bankruptcy court is now an issue. Putting Detroit on a sound economic footing is essential to preventing another bankruptcy. The Detroit Free Press reports:

    The investment banker representing the City of Detroit had talks with billionaire real estate investor Sam Zell and investment firm the Blackstone Group about selling them the city’s vacant property — but the investors weren’t interested, the Free Press has learned.

    The revelation comes as the value of Detroit’s abandoned and blighted property — which the city considers assets in its Chapter 9 bankruptcy — is in dispute.

    Creditors argue that city-owned property is a source of significant value that is being ignored in the city’s bankruptcy restructuring blueprint, called a “plan of adjustment.” The creditors argue the approximately 22 square miles of vacant or blighted property the city owns could be sold — with the proceeds distributed to creditors and even reinvested in the city.

    But Ken Buckfire, president of the city’s investment banking adviser Miller Buckfire, testified that city-owned land “to some extent has negative value,” according to a deposition transcript obtained by the Free Press.

    One way to interpret the comment about “negative value” is where the land is located. If Michigan’s state legislature re-drew Detroit‘s geographical boundaries, investors would be more interested in the land. A new municipality, without Detroit’s corrupt and expensive politics would be a major reform. Detroit as it exists today isn’t viable for job growth and a stable population. Detroit’s local politicians and special interest groups would obviously fight any changes in geographical boundaries in Michigan’s state legislature because a declining Detroit was a way to plunder taxpayers. But Michigan taxpayers need to start asking themselves: is Detroit’s 143 square miles a viable long term enterprise?

  • The Uniqueness of Detroit’s Housing Stock

    Last week, as part of my series on planning reasons behind Detroit’s decline, part 2 of the nine-part series was about the city’s poor housing stock.  I started to play with some numbers to see if there was any validity to my opinions about the city’s housing, and I found some very intriguing things.  Detroit’s housing stock is definitely unique among its Midwestern and Rust Belt peer cities, and perhaps among cities nationwide.  Let’s examine.

    Grouping the cities by population figures from the 2013 U.S. Census population estimates, and housing data from the 2008-2012 American Community Survey, I looked at housing age and single family detached housing data for 15 Midwest/Rust Belt cities with populations above 250,000.  One city I typically include in an analysis like this, Louisville, was not included due to a lack of ACS data.  Data for the Twin Cities of Minneapolis and St. Paul were aggregated into one (sorry, Minneapolis and St. Paul) because they jointly function as the core city for their region.  Here’s the big table with all the data:



    That’s a lot to digest, so I’ll take the data piece by piece.  First, let’s look at the cities ranked by their percentage of housing units built in 1969 or earlier:

    You’ll see here that, perhaps following the general national perception of Detroit housing, the Motor City has an older housing stock.  Only Buffalo has a higher percentage of older housing. Generally speaking, the cities at the top half of this list have older housing because they lack redevelopment activity that replaces older housing, while cities at the bottom half consists of cities with decent levels of redevelopment activity, or more recently built housing that’s been annexed into the city in recent decades.  Here, Detroit does seem to fit the pattern.

    But does it really?  If you look at the Census’ earliest category for age of structure, 1939 or earlier, Detroit drops considerably on the list:

    Instead of ranking second as in the earlier table, Detroit falls to tenth.  The rest generally hold the same spots they occupied from the previous table as well. The only ones ranking lower than Detroit here are smaller cities (Omaha, Ft. Wayne) and the cities that annexed large amounts of land post 1970 (Kansas City, Indianapolis, Columbus).

    Next, let’s look at how the cities rank in terms of their concentrations of single family detached homes:

    Detroit shows up here with the second highest percentage of single family detached homes, comprising nearly two-thirds of the city’s housing stock.  Once again, the only comparable cities are the smaller cities and the big annexers.

    Clearly, most observers believe Detroit has more in common with Buffalo, Cleveland and Pittsburgh than with Ft. Wayne, Kansas City and Indianapolis.  What happened to Detroit’s housing stock that gave it such an odd profile?

    To understand, let’s pull out a specific category on the age of structure table, the 1950-1959 category:

    Here, we find that Detroit has, by far, the highest concentration of housing units built between 1950-59 of all its peer cities.  Nearly one in four homes in Detroit were built during this period.  In fact, Detroit, along with Milwaukee and Toledo, occupies a strange space among Midwestern/Rust Belt cities.  (Side note: the more I study Detroit against other Midwestern cities, the more I find that Detroit and Milwaukee are virtually the same city.  And it doesn’t surprise me that Toledo, just 75 miles from Detroit, would share its characteristics as well).  Detroit, Milwaukee and Toledo all added their greatest numbers of housing at the outset of the modern suburban development period, what I’ve called the Levittown Period in my so-called Big Theory of American Urban Development.  This supports my thinking that if anyone was ever interested in establishing a Levittown-style national historic district, Detroit would be a good candidate.  The Motor City has perhaps more small Cape Cod-style, three-bedroom, one-bath single family homes than any city in the nation.

    How did Detroit get this way?  Housing demolition likely had some role in a city that lost so much.  Detroit likely lost older single family homes and multifamily buildings over the last few decades, leading to skewed numbers.  The same is also true of Indianapolis, Kansas City and Columbus, cities that annexed large undeveloped areas after 1970 and built new housing there.  Keep in mind, though, that Milwaukee and Toledo, Detroit’s comparables, may not have had the same level of demolition loss that Detroit had, yet they still match the Motor City well.

    That leads me to believe that a concentration of housing development at a unique time is a crucial piece in understanding Detroit’s housing stock.

    Here’s another way of looking at this.  I grouped the cities by age and single family home concentration and came up with interesting groupings:

    Here it becomes clearer that Detroit and Toledo stand alone as locations for old or moderately old structures that are largely single family.  Also, Milwaukee’s greater mix of single family and multifamily units begins to set it apart from Detroit and Toledo, even when it has a similar concentration of Levittown-style housing.

    Finally, let’s consider housing adaptability as part of the housing stock analysis.  Chicago, the region’s largest city and lone “global city” member of the group, comfortably rests in the middle of all tables except for the single family detached table, where it shows the lowest concentration of single family homes.  My guess is that Chicago’s continued desirability means more newer housing has been built, and that its lower single family housing numbers mean that other housing types (lofts, condos and the ubiquitous 2-flat and 3-flat) created a more flexible and adaptable housing development landscape.

    Assuming that younger structures are more often suitable to renovation for adaptability, moderately old structures require more intense rehabs, and older types are more often subject to demolition and rebuilding, I reorganized the previous table in terms of housing adaptability:

    And if I put in the cities next to this adaptability scale, it’s easy to see the magnitude of Detroit’s housing challenges:

    Detroit is such a unique city in so many ways.  The Motor City needs more research and analysis that highlights its uniqueness and adds to our understanding of the what led to its downfall, and less of our ire and contempt.

    The more I study Detroit, the more I see the seeds of a similar downfall in other cities nationwide.

    This post originally appeared in Corner Side Yard on July 6, 2014.

    Pete Saunders is a Detroit native who has worked as a public and private sector urban planner in the Chicago area for more than twenty years.  He is also the author of “The Corner Side Yard,” an urban planning blog that focuses on the redevelopment and revitalization of Rust Belt cities.

    Lead photo: A scene from the Grixdale neighborhood on Detroit’s northeast side.  Source: Google Earth.

  • Detroit: A Chip off the Old Bulb

    Seven months after the announcement, it still seems like the largest municipal bankruptcy filing (at least up to this point) is the stuff of legend—the culminating event, after successive blunders.  The apex.  Or the nadir. No doubt those of us living here are guilty of a degree of chauvinism as we experience how it plays out firsthand, but it’s easy for anyone with even moderate media curiosity to see how much the city has hogged the headlines.  It may be for all the wrong reasons, but Detroit is prominent once again.

    Yet it was only weeks—if not days—after the declaration made international news that, in order to convey to the world the magnitude of the city’s financial woes, journalists honed in on more mundane failures—failures that, by virtue of their banality, were all the more shocking.  Locals have known about them for ages.  A portfolio of abandoned public school real estate larger than many cities’ functional school systems.  An absence of snowplows, even after heavy storms.  A stonewall of silenced civil servants, hogtied from effectively carrying out duties by daily uncertainty about the security of those same jobs.  The virtual absence of any emergency response, resulting in two-hour waits for an ambulance or a police call.

    But the one that crowds out the rest, no doubt at least partially due to its ubiquity and ordinariness, is the persistent non-functionality of those streetlights.  One of the editorialists for the Free Press has branded it “the city’s deepest embarrassment”.  By most estimates, up to 40% are out on any given night.  Anyone passing through can tell when crossing into the city limits for this exact reason: even huge stretches of the interstates are black, although they’re state or federal highways.  It’s hard to determine if these shadowy streets originate from a cash-strapped DPW’s inability to replace the bulbs—which obviously require periodic maintenance—or an oversight that far precedes the checkered Kilpatrick administration, when the city’s fiscal woes first garnered national attention.  All it takes is a trip down Mack Avenue on the city’s east side to postulate that the problem is a half-century in the making.



    Silhouettes of streetlights punctuate the dusky penumbra, but even at a distance, the shape of these lights seems odd.  Antiquated?  Probably.  And a closer view confirms it.



    To be frank, I can’t recall seeing lights like this before anywhere else in the country, and I’m well-traveled across some of the more economically deprived pockets.  From the baroque iron filigree work of the stanchion to the acorn shape of the light itself, my guess is this streetlight comes from an inventory that most cities had fully retired over three decades ago.  And there’s probably good reason for that: this one is broken.



    And so is another one half a block away.



    About half of the lights along this stretch of Mack use this design, and most are cracked.  A big distended bulb offers more surface area encased in glass—more space for something to wrong.  Whether hit by flying debris hit or (my suspicion) deliberately smashed by a passer-by, this streetlight is almost definitely non-operational.  And the visible hardware is only half the problem: inside that quaint, clunky bulb (your grandmother’s streetlight) is—or was—a mercury vapor lamp. Detroit is one of the few cities that still depends heavily on this less efficient, increasingly obsolete method of illumination; most other large cities have replaced their inventory with superior metal halide lamps.   USA Today also noted that Detroit and Milwaukee share the dubious distinction of being the only large cities that still deploy series circuits for much of the streetlight network, meaning that if one transformer box breaks down, the whole strip of lights goes dark, like an old string of Christmas tree lights.  While the Mack Avenue streetlight featured above remains attached to a wood, other lights in the city append to metal poles, presumably the same age as the lights themselves, characterized by rust, peeling paint, and sometimes even open cavities at the base.  The whole contraption has seen better days.

    But viewing these cracked eggs through a cultural lens can help temper some of the scorn.  They might not work well as modern lamps and they’re much easier to vandalize, but they’re relics—they’re curiosity items.  And they’re particularly eye-catching along Mack Avenue because there are so many of them, yet they’re still interspersed with more contemporary designs.  This cool pic doesn’t win awards for clarity, but it still shows the juxtaposition of old and new streetlights, through their silhouettes.



    Or on opposite sides of the street.



    And on a depopulated residential street not so far from Mack, a different kind of lighting style emerges—perhaps not as old-fashioned but still an oddity.






    Perhaps a style and technology that never caught on?

    The irony of the 1950s-era (or maybe even 1940s) lighting that lingers on in Detroit is that, in a broader spatial context, it exemplifies technological advancements playfully defying shifts in taste culture for a particular design.  On Mack Avenue, ancient streetlights bespeak a broke, ineffective government.  And yet, elsewhere in the metro, they convey something else.



    Forgiving the quality of the photo, it’s still easy to see a similar style of lighting to the ones on Mack Avenue, but this time they’re impeccable.



    But this is the comfy suburb of Livonia, presumably part of a streetscape improvement along a thoroughly auto-oriented corridor of strip malls and big boxes.  And they no doubt were a deliberate choice from the Public Works Department because they look good—providing a vintage, old-timey feel.  Apparently they don’t worry in Livonia about ne’er-do-well pedestrians throwing rocks at these distended bulbs.  Maybe it’s because Livonia has few ne’er-do-wells….and even fewer pedestrians.  But even some of the economically healthier neighborhoods within Detroit have caught the bug, replacing older streetlights with a newly vintage design, like these twin lamps in Midtown, near Woodward Avenue.



    This inversion of taste cultures pervades streetscapes across the country, where everything old is new again, in order to exploit nostalgia among a generation that never really experienced a normative walkable environment—a landscape that was still the standard during the era when city crew first installed those acorn mercury vapor lamps.  We’re seduced by nostalgia and novelty; a hybrid of the two is doubly sweet.  Just go to the French Quarter in New Orleans, where a city equally negligent in modernizing its utilities now capitalizes on this same inertia—the flickery gas lanterns that once were a backwater embarrassment are now ambiance.  Detroit isn’t yet so lucky to take similar advantage of its obsolete lighting (and the fact that most streets like Mack are a hodgepodge of styles doesn’t help), but that doesn’t mean that an emergent cultural voice won’t someday call those lights “genuine retro”, and the preached-upon choir will be listening.

    The periodic “freshening” of basic urban infrastructure is only partly due to necessity, as it may very well be in Detroit.  But a great deal simply has to do with keeping up with the joneses, resulting in often needlessly costly capital investments.  For example, the standard for pedestrian signals at intersections now typically involves a “countdown” timer, telling pedestrians exactly how many seconds they have left to cross.  While useful, are these timer boxes essential?  Regardless, public works departments are rapidly phasing out the single-box approach for these new timer-boxes, with little evidence of public advocacy one way or another (despite the fact that the public inevitably is paying for most of these replacement costs).  From decorative viaducts to Day-Glo yellow road caution signs, jurisdictions hell-bent on an infrastructural one-upmanship should look to Detroit as an inverse exemplar—what might happen when profligacy goes perpetually unchecked.  Unless, of course, these granny-and-gramps streetlights become hip and cool again, in which case the Motor City might have the last laugh.

    This post originally appeared in American Dirt on February 27, 2014.

    Eric McAfee is an itinerant urban planner/emergency manager who fuses his cross county (and trans-national) travels and love of contemporary landscapes into his blog, American Dirt, where a different version of this article appeared.

  • The Ugly City Beautiful: A Policy Analysis

    When it comes to the future, Detroit and San Francisco act as poles in the continuum of American consciousness. Detroit is dead and will continue dying. San Francisco is the region sipping heartily from the fountain of youth. Such trajectories, according to experts, will go on indefinitely.

    Harvard economist Ed Glaeser has a grim outlook for the Rust Belt. “[P]eople and firms are leaving Buffalo for the Sunbelt because the Sunbelt is a warmer, more pleasant, and more productive area to live,” he writes in City Journal.

    Glaeser echoes this sentiment in a recent interview with International Business Times, saying “[s]mart people want to be around other smart people”, and the Rust Belt has a long slog ahead given that “post-industrial city migration is dominated by people moving to warmer climes”.

    But is this true? Is there a “brain drain” from the Rust Belt to the Sun Belt and Coasts? In a word: no. But Rust Belt leaders have bought this narrative hook line and sinker, and the subsequent hand-wringing has led to wasteful public investment.

    “Michigan’s cities must retain and attract more people, including young knowledge workers, to its cities by making them attractive, vibrant, and diverse places,” reads a 2003 memo from the National Governor’s Association about Michigan’s “Cool Cities” campaign.

    But the campaign struggled. “Government can’t mandate cool,” reflected Karen Gagnon, the former Cool Cities director. “As soon as government says something is cool, it’s not.”

    What’s worse, “cooling you city” with talent attraction expenditures can exacerbate economic disparities on the ground. Cities, like Chicago, are increasingly becoming bifurcated cities based on faulty assumptions that “trickle down urbanism” works. That said, the challenge of the day—for not only Rust Belt cities, but all cities—is not “brain drain”, but “brain waste”. Those cities who can best rebuild middle class communities tied to emerging markets will be the future of investment, like they were in the past.

    Through Rust-Colored Glasses

    When a people fall from grace, the sentiment of decline tends to stick. The Rust Belt’s demise is cemented. Meanwhile, the future is elsewhere. Like toward the sun. For instance, from 2000 to 2010, the Sun Belt metros of Houston, Dallas, Atlanta, Riverside, Las Vegas, Miami, Orlando, and Phoenix experienced the largest population growth. The biggest losers? It’s a “who’s who” of Rust Belt metros, led by Detroit, Cleveland, Pittsburgh, and Buffalo.

    America is a country governed by growth: big cars, big belt buckles, big houses, and big populations. Shrinkage is weakness. It is a sign of place failure. The problem here is that population growth is an ineffective, broad-brush measure when trying to understand regional underlying dynamics. A new study by Jessie Poon and Wei Yin in the journal Geography Compass called “Human Capital: A Comparison of Rustbelt and Sunbelt Cities” details exactly that.

    In it, the authors compare human capital levels between the Sunbelt metros in California (including San Francisco and L.A.), Nevada, New Mexico, and Arizona with Rust Belt metros in Michigan, Ohio, Indiana, Pennsylvania, and upstate New York. When it comes to share of population with a college degree, the authors find that the Rust Belt is experiencing a brain gain equal to their Sun Belt peers from 1980 to 2010. Poon and Wei also found that skill ratios of immigrants is higher in the Rust Belt than Sunbelt. The authors note that despite population decline, the Rust Belt continues “to be important sites of human capital accumulation”.

    The study coincides with recent work out of the Center for Population Dynamics that shows Greater Cleveland’s number of 25- to 34-year olds with a bachelor’s or higher increased by 23% from 2006 to 2012, as well as Pittsburgh economist Chris Briem’s work that shows the metros of Pittsburgh, Detroit, and Cleveland rank 1st,, 6th, 7th in the country respectively when it comes to the number of young adults in the labor force with a graduate or professional degree.

    Beyond human capital, the Rust Belt continues to produce and export wealth at a massive pace. The “Chi-Pitts” mega-region, which mirrors the Rust Belt boundaries with the addition of Minneapolis, generates $2.3 billion in economic output, second only to the “Bos-Wash” mega-region that makes up the Northeast Corridor.

    Also, using IRS migration data from the 2009-2010 period, a team of researchers led by Michal Migurski showed that Los Angeles County, New York County, and Cook County sent the most people and money to the rest of the United States. Detroit’s Wayne County was fourth. Cleveland’s Cuyahoga County was 9th, one spot ahead of San Francisco County. Speaking to Esquire, which published the work in a visual called “Where Does the Money Go”, Migurski explains the findings:

    "We realized that if you look at the biggest ‘losers,’ essentially what you’re looking at are the biggest cities in the U.S.," Migurski says. One of those losers: New York County, which lost $1,306,548,000 and 15,100 people. "But does that actually mean New York is a big loser?" Migurski asks. "One of our ideas was that, you’re not a loser if you’re losing money. You’re an exporter." The sort of exporter, he says, that boosts the rest of the U.S. economy. Traditional Sun Belt retirement areas comprise the gainers; areas like South Florida and Southern California in particular, create what Migurski calls "money sinks."

    Still, the notion of “loser” for Wayne and Cuyahoga County sticks, despite evidence to the contrary. But why? Why the constant “poor post-industrial people” sentiment, if not a low-grade captivation that comes with “ruin porn” rubbernecking?

    Well, if an ideal exists—you know, the experts beckon: be the “new” city, the “hot” city, the “creative” city—then a study in contrasts is necessary. The Rust Belt, with its connotations of smoke stacks and demographic decline, fits the bill.

    “[Richard] Florida suggests that Rustbelt cities’ high concentration of less creative blue-collar workers also produces unhappy residents,”Poon and Wei conclude in their Rust Belt/Sun Belt study. “We suggest that such a doom and gloom picture of urban and regional development for the uncool industrial Rustbelt needs to be tempered with a trend of brain gain that is growing across cities in the region.”

    But for this tempering to happen a clearer understanding of the importance of accumulating human capital needs to be ascertained. More exactly: Is it to put your city to work, or to “live-work-play”?

    Build it and they will…what?

    In his 1921 work Economy and Society, social scientist Max Weber details a city’s raison d’etre. Cities can be producer cities, wherein importance is derived from industries that demand national and international trade. Think Detroit and cars. Additionally, cities are consumer cities, in which growth is tied to how much is spent consuming goods and services in the local economy. Think eating, drinking, and buying houses.

    The cities that are the most economically robust have wealth generated from global production, which in turn enables local consumption. San Francisco’s tech economy drives it real estate market and artisanal toast scene. That is, if the question was “What came first, the farm-to-table chicken or the egghead?” The answer is “the egghead”, hands down.

    But this logic—i.e., in order to go to a restaurant, you need a job, and your job prospects are tied to the viability of your region’s global industries—is often turned on its head in economic development. Here, the goal is growth, no matter the rhyme or reason.

    “Like in many Sun Belt cities,” writes a Seattle Times columnist and Sun Belt expat, “Phoenix’s economic plan devolved into merely adding people, no matter the enormous long-term costs”. The columnist goes on to note that while the population has boomed, the city lags on most measures, such as per capita income (see Figure 1 below).

    Moreover, the Phoenixes of the world exist partly because of retired Baby Boomers and the disposable income that comes with it. The Sun Belt feeds off the legacy of production in the Northeast and Midwest. Other cities, like Portland, are fed by a not dissimilar dynamic. But it’s not the retired who come, rather the pre-retired.

    “The Portland metro area’s young college-educated white men are slackers when it comes to logging hours on the job,” lead’s a piece in the Oregonian about a study conducted last year, “and that’s one reason people here collectively earn $2.8 billion less a year than the national average.” Figure 1 demonstrates Portland’s sluggish income gains compared to Rust Belt peers Pittsburgh and Cleveland.

    Similarly, in a paper circulated by the Federal Reserve Bank of Atlanta, the author analyzed the top 86 “brain gain” metros in the nation to determine whether or not a region’s increase in human capital was paying off in terms of per capita income, labor force participation, poverty rate, and unemployment. The author found Portland was one of twelve metros that experienced zero economic outcomes. Pittsburgh scored 4 for 4. The authors suggest that talent attraction and retention—when untethered to production capacity—“may be largely inefficient, a kind of traditional economic development ‘buffalo hunting’”.

    Portland is perhaps America’s consummate lifestyle city. No doubt, the city has experienced a significant brain gain over the last decade. Portland is a talent attraction model. But it is not a talent producing or refining model. Rather, Portland is producing a scene that is run by the consumption of the scene’s aesthetic. Writes one young worker who left:

    “I can’t stay too long because I know if I stayed a day too long in Portland, I’d suddenly be happy to embrace the slow pace of the city and stop working… I’d end up getting sleeping real late every day, drink some coffee, maybe write some poetry on my porch (or not), and then find a part time job selling cigars like I had in college.”

    The lesson is that accumulating talent is not enough. There has to be something for the talent to do, or a context that fosters “doing”. It is also a warning for cities investing in the lifestyle game. Spending on creative class amenities ensures nothing. Creating a field of dreams won’t pay the bills. But it will run up the tab.

    The Ugly City Beautiful

    In 1998, the Chicago Sun-Times ran a piece called “Building the City Beautiful”. “The mayor of the city of Chicago, Richard M. Daley, is a big admirer of Martha Stewart,” it begins, before describing Daley’s plans to begin the "Martha Stewart-izing" of Chicago. The article goes on to quote a University of Illinois at Chicago professor who said Chicago is turning from a producer city to a consumer city. "The producer city was the industrial city — the smoke and the noise and the industrial jobs,” noted the professor. “The consumer city is the city of Starbucks, boutiques and so forth.”

    The professor was only partly right. By the 1990s, Chicago was indeed becoming brainier. But its emerging knowledge economy was an outgrowth of its “big shouldered” manufacturing base. Columbia University professor Saskia Sassen recently noted that pundits overlook this when examining the city’s transformation, with the bias being that “Chicago had to overcome its agro-industrial past, [and] that its economic history put it at a disadvantage”. Notes Sassen:

    [I]n my research I found that its past was not a disadvantage. In fact, it was one key source of its competitive advantage. The particular specialized corporate services that had to be developed to handle the needs of its agro-industrial regional economy gave Chicago a key component of its current specialized advantage in the global economy.

    Similar economic transformations from legacy cost to legacy asset are found throughout the whole of the Rust Belt. Pittsburgh, for instance, no longer provides the muscle for steel making, but it does act as the “brain center” for the world’s steel frame. How this came about is detailed in the article “Pittsburgh’s evolving steel legacy and the steel technology cluster”.

    With the arrival of the new economy also came “new economy” tastes. Sassen noted that when she arrived in to study in Chicago in the 90s she was greeted by “old lofts transformed into beautiful restaurants catering to a whole new type of high-income worker—hip, excited, alive.”

    In other words, local consumption patterns began setting up around the emergent worker demand. Going was the Italian Beef and arriving was pickled beets. This demand also impacted housing, with the attraction to urban living setting the stage for gentrification. This, in a nutshell, is the dynamic driving the transformation of urban neighborhoods nationwide: a new economy demands new workers which in turn demand a new kind of lifestyle. The problem, though, is that leaders have the causality backward, or that creating a new lifestyle will incur new worker supply and then poof: new industries. But as we see with Portland, it is not that easy. The industrial DNA and social history of your city matters more than the cosmetics atop the topography.

    Still, from a policy and strategy standpoint, it is easier just to make your city “cool”. And that’s exactly what Chicago has been doing at a significant pace. In a recent piece entitled “Well-healed in the Windy City”, author Aaron Renn details Mayor Rahm Emanuel’s policy of using tax-increment financing (TIF) to create geographic “winners” and “losers” across Chicagoland. “The true purpose of Chicago’s TIF districts—which now take in about $500 million per year,” writes Renn, “appears to be tending to high-end residents, businesses, and tourists, while insulating them from the poorer segments of the city.”

    The strategy was spelled out explicitly by Mayor Emanuel during a recent ribbon cutting for a bike path in Chicago’s Loop. Said Emanuel: “I expect not only to take all of their [Seattle and Portland’s] bikers but I also want all the jobs that come with this, all the economic growth that comes with this, all the opportunities of the future that come with this.”

    Notwithstanding the faulty logic in the strategy—e.g., if Portland lacks the jobs for its residents, how can it supply jobs for Chicagoans—the real problem is the costs associated with such bifurcated investment. In West and South Chicago, the byproducts of the City Beautiful approach are downright ugly. But they are not unexpected. They are the long-documented economic and social effects of concentrated poverty and segregation. Continues Renn:

    Safety levels in Chicago can no longer be plotted on a single bell-shaped curve for the entire city. Today, that curve is split into two—one distribution for the wealthy neighborhoods and one for the poor ones. A lack of resources is part of the problem: the police department is understaffed… While the city budget is tight, failing to increase police strength during a murder epidemic is a profound statement of civic priorities.

    Urban priorities flow from a perception of what is at stake. For long, the push for human capital accumulation has pitted city versus city amidst the backdrop of an urban popularity contest in which the “winner” is assured nothing outside of popularity. But victory in the vanity game is fleeting. The young and the restless are exactly that, and many people who come to New York or San Francisco, or for that matter Portland, leave as they get older and seek out affordable places to raise a family. What remains on the ground is the reality of brain waste. Without the prioritization of equitable, integrated middle-class neighborhoods a city’s progress will be always be disparate, if not illusory. Talent attraction is but part of a redevelopment process. So is talent refinement for those arriving and talent production for those in place. After all, neighborhoods are factories of human capital. Building people, not places, is what a successful city is all about.

    But to know this is to “know thyself”. The Rust Belt has been dying for some time now, so say the experts. The region has absorbed the projections, and given that desperate times call for desperate measures investment has been wasted. “[Creative class theory] is bad because it distracts from what’s important,” says Sean Stafford, author of Why the Garden Club Couldn’t Save Youngstown.

    Regaining focus entails removing the rust-colored glasses. Rust Belt leaders will see there are assets to work with, not to mention feel the freedom that comes with no longer being a study in contrast for those touting a future that really isn’t.

    Richey Piiparinen is Senior Research Associate at the Center for Population Dynamics at the Maxine Goodman Levin College of Urban Affairs at Cleveland State University. The Center for Population Dynamics at Cleveland State University’s Maxine Goodman Levin College of Urban Affairs aims to help partner organizations competitively position the region for economic and community development. It will do so through the lens of migration, applied demography, and culture.

    Lead photo courtesy of bctz Cleveland

  • May the (Insidious) Force Be With You

    Google Earth pic to the left of the boundary between Detroit and suburban Grosse Pointe Park, MI. Alter Road (cutting from upper left to lower right) is the boundary between the two. Take note of the differences in vacant land between Detroit (on the left) and Grosse Pointe Park (on the right).

    Too many people think today’s “de facto” segregation in metro areas is the result of personal preferences expressed by individuals, when the fact is that public policy has created the conditions we live with today.  In fact, I see the demise of Jim Crow through the Civil Rights Act and the Voting Rights Act corresponding with the immediate rise of an insidious, “non-racist” racism that shapes our metros today.  Our metro areas have never dealt with this.

    In the aftermath of the Donald Sterling controversy (which, if you aren’t aware of, you truly are under a rock), the Atlantic’s Ta-Nehisi Coates posted an on-spot critique of how racism is viewed and how racism is really working in today’s society.  It is a truly beautiful piece on the perception of racism versus its realities — the perception being that racism is the purview of dunces like Sterling (and Cliven Bundy before him) who get caught making inelegant statements that shed light on their true feelings, and a reality that is far more insidious and receives far less attention.  Coates describes how “elegant racism”, that insidious force, shapes where we live, what jobs are available to us, how we’re educated, and who is incarcerated and who isn’t:

    “Elegant racism is invisible, supple, and enduring. It disguises itself in the national vocabulary, avoids epithets and didacticism. Grace is the singular marker of elegant racism. One should never underestimate the touch needed to, say, injure the voting rights of black people without ever saying their names. Elegant racism lives at the border of white shame. Elegant racism was the poll tax. Elegant racism is voter-ID laws.”

    And to better describe how “elegant racism” works, he cites Chicago as its key implementer:

    “Throughout the 20th century—and perhaps even in the 21st—there was no more practiced advocate of housing segregation than the city of Chicago. Its mayors and aldermen razed neighborhoods and segregated public housing. Its businessmen lobbied for racial zoning. Its realtors block-busted whole neighborhoods, flipping them from black to white and then pocketing the profit. Its white citizens embraced racial covenants—in the ’50s, no city had more covenants in place than Chicago.

    If you sought to advantage one group of Americans and disadvantage another, you could scarcely choose a more graceful method than housing discrimination. Housing determines access to transportation, green spaces, decent schools, decent food, decent jobs, and decent services. Housing affects your chances of being robbed and shot as well as your chances of being stopped and frisked. And housing discrimination is as quiet as it is deadly. It can be pursued through violence and terrorism, but it doesn’t need it. Housing discrimination is hard to detect, hard to prove, and hard to prosecute. Even today most people believe that Chicago is the work of organic sorting, as opposed segregationist social engineering. Housing segregation is the weapon that mortally injures, but does not bruise.”

    (Let’s parenthetically stop here for a second; the symbolism in that last sentence is incredible.  The implication is that victims of elegant racism “die” from internal injuries, which are often believed to be sustained from a lifetime of poor personal choices.  But elegant racism made those choices for them.  Absolutely incredible).

    I don’t know if Chicago was the innovator of this type of racism, but I do believe it was something created in Northern industrial cities — i.e., the Rust Belt.  I suspect it has its seeds in the antebellum North, whose cities had small African-American populations prior to the Civil War and immediately afterwards.  I imagine at that time, when blacks comprised maybe less than five percent of, say, Buffalo’s population, it was relatively easy to isolate blacks without necessarily singling them out, as in the Jim Crow South.

    But the Great Migration changed everything.  The need for industrial labor in the North, and rapidly declining conditions in the Jim Crow South, pushed African-Americans into Northern cities.  Once there they encountered competition for jobs and housing from both longtime “nativists” and more recent European immigrants.  The ten years from 1910-1920 were fraught with racial conflicts in Northern cities, culminating with the Red Summer of 1919.

    But Northern cities did something that Southern ones did not.  They sought to limit and stigmatize the places where blacks lived, instead of limiting or stigmatizing the people themselves.  Out of this a whole set of policies emerged.  Racial covenants.  Redlining emerges during the New Deal.  Blockbusting came about as a tool to clear room for a growing black population, accelerate suburban expansion, and enrich real estate speculators.  Public housing was concentrated where blacks lived, and infrastructure investments ground to a halt.  Investments in education fell behind that of suburban schools, or couldn’t keep up with growing social challenges.  “Tough-on-crime” measures like mandatory sentencing and the “War on Drugs” were effective in removing potential workers from the workforce, reducing competition.  Taken together, these “non-racist” racist policies, often grounded in sound, rational economic thinking, created deeply ingrained patterns within metros that shape them today.

    This position is further buffeted by research done by Nancy DiTomaso, a business professor at Rutgers University in New Jersey.  In her book, The American Non-Dilemma: Racial Inequality Without Racism, she says this:

    “Because whites disproportionately hold jobs with more authority, higher pay, more opportunities for skill development and training, and more links to other jobs, they can benefit from racial inequality without being racists and without discriminating against blacks and other nonwhites. In fact, I argue that the ultimate white privilege is the privilege not to be racist and still benefit from racial inequality.”

    There are other strong claims made by DiTomaso in that interview; it (and the book, which I loved) is worth your attention.

    In my opinion the practice was perfected in the Rust Belt but has spread everywhere.  Milwaukee Journal-Sentinel is doing a series on political segregation in southeastern Wisconsin, and found that its roots are in the state’s residential segregation legacy.  Lee Atwater’s famous quote about the abstraction of racial policies, uttered in 1981, possibly signaled to Southern metros that there was a way to accomplish the separation that Jim Crow had earlier provided.  I see a correlation between the number of blacks within a metro area, and the impact of insidious policies on residential and job patterns.  In some metros, the impact, while there, is not as strong (New York, Boston), because of lower relative numbers of blacks.  In some Sun Belt metros, Jim Crow likely enforced similar patterns but subsequent post-War growth and the new policies altered things a little (Atlanta, Charlotte, Nashville).  In other Sun Belt metros with more recent growth the numbers of blacks has hardly been enough for full-on “elegant racism” implementation (Phoenix, Las Vegas).  But insidious racism is a critical feature of today’s Rust Belt cities.

    This is in part why I’m skeptical of new calls from urbanists to increase affordable housing in cities, when I see vast neighborhoods that have suffered from policies that simply removed them from the consciousness of the majority of the housing market.  I’d prefer to address yesterday’s mistakes before creating new ones.

    Plus, I keep thinking about that saying that the only thing necessary for evil to prosper is for good people to do nothing…

    This post originally appeared in Corner Side Yard on May 9, 2014.

    Pete Saunders is a Detroit native who has worked as a public and private sector urban planner in the Chicago area for more than twenty years.  He is also the author of “The Corner Side Yard,” an urban planning blog that focuses on the redevelopment and revitalization of Rust Belt cities.

  • Some Implications of Detroit’s Bankruptcy

    There’s been so much ink spilled over Detroit’s bankruptcy that I haven’t felt the need to add much to it. But this week the judge overseeing the case ruled that the city of Detroit is eligible for bankruptcy. He also went ahead and ruled that pensions can be cut for the city’s retirees. Meanwhile, the city has received an appraisal of less than $2 billion for the most famous paintings in the Detroit Institute of the Arts.

    A couple of thoughts on this:

    First, every city in America should be doing a strategic review of its assets, and moving everything it doesn’t want turned into de facto debt collateral into entities that can’t be touched by the courts. In the case of the DIA, the city owns the museum and the collection. Hence the question of whether or not art should be sold to satisfy debts. If it were typical separately chartered non-profit institution, this wouldn’t even be a question.

    At this point, I’d suggest cities ought to be taking a hard look at whether they own assets like museums, zoos, etc. that should be spun off into a separate non-profit entity. Keep in mind, the tax dollars that support the institutions can continue flowing to it. But this does protect the assets in the event of a bankruptcy.

    In the case of Detroit, it seems inevitable that at least some art work will be sold. Given that worker pensions are going to be cut, it would be pretty tough to say no to selling art. Assuming this is the case, post-sale the museum should be spun off as a separate entity to hopefully reboot its standing the museum world. As the trustees of the group that operates it have been adamantly opposed to any sale, one would hope other museums would not hold any violations of industry standards against them for, particularly if they acquire ownership of the building and artwork away from the city afterward. The city of Detroit doesn’t need to be in the museum business anyway. It has bigger fish to fry.

    Secondly, public sector employees will have to start rethinking their approach to retirement benefits. The current mindset has been to grab as much as you can anytime you can because the taxpayer will always be forced to cover the promises no matter what. As the actual results in Central Falls, RI and now this show, that’s no longer a good assumption.

    Detroit’s workers don’t have lavish pensions as these things go. But they weren’t shy about abusing the system either. They in effect looted their own pensions by taking out extra, unearned “13th checks”. They also used pensions funds to give a guaranteed 7.9% annual rate of return on supplemental savings accounts workers were allowed to establish. All told these “extra” payments drained about $2 billion out of the pension system.

    This was not something the city did through an arm’s length transaction. As the Detroit Free Press reported, Mayor Dennis Archer was alarmed by the practice and wanted to stop it. But “the city doesn’t control its pension funds, which have been largely administered by union officials serving on two independent pension boards.” So he tried to amend the city’s charter to stop the practice. According the Free Press, “Archer backed an effort to block the payments through a proposed new city charter, which actually passed in August 1996. Enraged, several city unions and a retiree group sued and won. Archer tried again to block payments through a ballot initiative, called Proposal T, but it failed.”

    The unions could brazenly loot their own pension plan because they felt rock-solid assurance that the taxpayers would ultimately be required to make them whole. This bankruptcy is showing that may not be the case after all. It should serve as a warning to unions everywhere not to get too aggressive with their shenanigans.

    They’ll of course appeal the judge’s ruling and may win. But the Michigan constitution says pensions are a contract right. The very definition of bankruptcy is that you can’t pay what you’re contractually obligated to. Bankruptcy is all about breaking contracts. The bondholders have contracts that are not supposed to be impaired too, after all. I’m a fan of local government autonomy as you know, but as Steve Eide rightly points out, any freedom worth its name is freedom to fail. If cities and their various constituencies don’t suffer the consequences of their mistakes, they should be heavily micromanaged from on high.

    When individuals fail, we have a safety net (unemployment insurance, for example). Plus we have personal bankruptcy to give people a fresh start. We don’t even worry about whether the person is at fault for their own position or not. We provide that backstop regardless. But that backstop doesn’t allow people to go on living like they did before as if nothing happened. Similarly, cities in trouble shouldn’t be abandoned, but they need to realize that there are genuine consequences for failure. A realization that failure has consequences for pension holders as well as the taxpayer should hopefully promote healthier decisions about how retirement benefits should be offered, funded, and administered.

    Aaron M. Renn is an independent writer on urban affairs and the founder of Telestrian, a data analysis and mapping tool. He writes at The Urbanophile, where this piece originally appeared.