Friday, January 30, 2009

The Winds of Change Are Indeed A-Blowin'

Editor's Note: This week the Michigan Main Street Center @ MSHDA welcomed Jamie Schriner-Hooper to the team as our new Organization Specialist. We are thrilled to have her. She shares her thoughts on the move in this week's post.

By Jamie Schriner-Hooper
Organization Specialist
Michigan Main Street Center
Michigan State Housing Development Authority

So, Joe took my idea for a title with his Ch-ch-ch-Changes idea. Granted, I wouldn’t have thought of something as clever as that (have to do a bit of sucking up my first week), but my first blog idea is also all about changes. (Editor’s Note: Nancy Finegood actually named her own blog post last week, but the sucking up is always appreciated. However, I will take full credit, or blame, for this post's title.)

As you may or may not know, I’ve come to the Michigan Main Street Center from Old Town Lansing. I was one of the infamous “Main Street Managers” who works so hard to transform a community from blighted and scary to funky and fabulous. I was in my position about four years, in which time I became extremely attached to my community.

So, why you ask, make a move to the State and leave Old Town? Well, as I’m sure you can imagine, there were a number of reasons, but what rises up to the top is that it was time for a change. For those of you who work on a Main Street program, you know what I’m talking about when I say your community becomes your life. A main street manager’s role is cheerleader, garbage man, accountant and counselor – all at once. I literally had my family surrounding me in Old Town with my husband, two sisters and best friend all within a two-block span of my office. However, there comes a time in your life that you really probably should take a step back, have a few weekends to yourself and share what you do, both right and wrong, with other communities. It was time for me to pass the reigns on to another lover of Old Town, who luckily enough, happens to be one of my past interns and a wonderful person.

Now I have the opportunity to share with the Main Street Managers and communities all of the things that I always wanted to do, but simply never had the time. I’m here to provide resources, the good reference materials and any support you need. Now I’m able to go through the many mountains of reference material I’ve collected through the years that I fully intended to read, but just created dusty mountains. I’ll be able to save you that time and effort and get you the stuff that I believe to be most valuable. I’ll be working with each of your communities, gathering the things that worked well, and the things that you wouldn’t touch with a ten-foot pole, and provide those helpful tidbits to you and your committees.

What about those of you who aren’t a Main Street Manager or volunteer or don’t yet have a Main Street program in your community? I’m here to tell you all of the many reasons you should be working on a Main Street program and improving your community. I’ll come to you, talk to your community and the naysayers and show them how so many communities across the country are breathing new life into their downtowns. Believe me, you can’t argue with the statistics. They are impressive. Plus, this is a great way to quiet the people who always say “they should really do ____ to fix up the downtown.” We all know that you have no right to complain about things if you’re not making the effort to improve things. Main Street will get them involved. Even if you’ve tried things in the past and they didn’t quite work, try, try again. The times they are a changin’ and if you’re not on board to make sure that they’re changing in the right direction, you may end up with a downtown that looks like a ghost town or an Alpine village with everyone shopping at WalMart.

Long story short, I’m full of random ideas, resources and energy and am here to help. I look forward to working with each and every one of you and hearing your many crazy ideas!

Friday, January 23, 2009

Ch-ch-ch-ch-Changes

Editor's Note: We told you you would hear from more than the Michigan Main Street Center @ MSHDA staff! We're fortunate enough to have our partner and good friend Nancy Finegood from the Michigan Historic Preservation Network write for us this week. The MHPN is an extremely good source of information. If you haven't used them in your community, you should!

By Nancy Finegood
Executive Director
Michigan Historic Preservation Network
Finegood@mhpn.org
www.mhpn.org

At a time when change is the buzz word, you might ask what historic preservation has to do with it. Many believe that preservation is about history, stagnant in one point in time, whether it is the Victorian era or the Recent Past. I disagree.

Historic buildings often outlive their original purposes. Schools are closed because of dwindling enrollment in the neighborhood and pressure to build new, modern facilities. Congregations may leave their historic churches to follow the flight from the city to the suburbs. Many factories around the state have been abandoned, when there is no longer a demand for their product. When these once vital resources in the community are abandoned, they are often viewed as eyesores fit for the wrecking ball.

Adaptive reuse is all about change. It is a process that modifies buildings for new purposes while maintaining their historic integrity. Most older buildings have great potential for adaptation to a different use. However, it takes people with creative vision to see new life in the crumbling bricks and mortar. Adaptive reuse is also a very green way of thinking. It reduces the destruction of abandoned buildings and reduces the amount of debris going into landfills.

There are a variety of incentives available that encourage the reuse of historic buildings, Obsolete Property Rehabilitation Act exemptions, Brownfield Tax Credits, New Market Tax Credits, Federal Rehabilitation Tax credits and the newly enhanced Michigan Rehabilitation Tax Credits.

There are many wonderful examples of adaptive reuse all over Michigan. The Inn at Ferry Street in Detroit’s New Center area developed when a local group was intent on saving several historic homes from demolition. The Inn has added a renewed vibrancy to the block that has echoed throughout the neighborhood.

Talk about a great example of innovation and change! Spartan Internet Consulting bought the 85-year-old Holmes Street School on Lansing’s Eastside for $115,000. The company estimates that a brand new 32,000 sq. ft. building would have cost $3 to $4 million, which is significantly more than the $2 million they are spending on the rehabilitation. The entire first floor will house the community-based Information Technology Empowerment Center to teach kids about technology and create a talent pool for local IT employers. Spartan’s headquarters are on the third floor.

If change is the destination, then historic preservation is the best route to take.

"...it is again no question of expediency or feeling whether we shall preserve the buildings of past times or not. We have no right whatever to touch them. They are not ours. They belong partly to those who built them, and partly to all the generations of mankind who are to follow us." John Ruskin, "The Lamp of Memory," 1848

Friday, January 16, 2009

How the Manistee Main Street/DDA is making Michigan smile!

By Jodie Willobee
Promotion, Arts & Culture Specialist
Michigan Main Street Center
Michigan State Housing Development Authority

OK – I really don’t have any way to truly verify that our fair State of Michigan actually smiles. Sounds kind of ridiculous maybe, except I think we all know what she looks when she is unhappy. OK, you’ve got that picture in your head. Take a quick read and judge for yourself if this is the type of thing that can take her from a grumble to a grin.

Several on our Main Street team spent some time in Manistee this week (Laura Krizov, Kelly Larson, Dace Koenigsknecht and me) talking with a lot of interesting and energetic folks involved in their new Main Street Program. Manistee has recently brought on their first Main Street Manager a bright, articulate and equally energetic guy by the name of, Travis Alden.

Our purpose in spending two long (and very cold) days in Manistee was to help them and their brand new Manager, really hit the ground running. This was my first real participation in getting a new Main Street Program going and it was thrilling to be a part of – watching the enthusiasm in the room mix with a bit of hesitation as the reality of the program’s scope unfolds. Seeing their heads nod and the confidence in their step when they left the room, knowing that they really can do this because they really do believe in their downtown, and their downtown is worth it. I feel quite honored to be a part of their induction into Main Street. I believe the Manistee Main Street/DDA program is going to do great things for a downtown that already has such a rich history, stunning structures, gorgeous natural resources and priceless human resources.

So, back to Travis and why I think the State of Michigan would smile. The really cool thing about Travis is that while he was born and raised in Niles, Michigan, he has been living in Iowa and moved BACK to Michigan to take this Main Street job. BACK to Michigan! Imagine that. OK to be honest here, he seems to be a “downtown geek” like the rest of us and how can you not fall pretty hard for Manistee’s downtown, and that river, and those beaches!! But keep in mind he has not seen this city in flip-flops yet. He has only been there a couple weeks and for sure Manistee has been wearing her winter whites. And after two days of back-to-back meetings with barely a moment for a cup of coffee, Travis never flinched. He’s ready for this and we are all fortunate for that.

OK – so it is not a whole micro-enterprise with 250 great paying positions bursting into the State. But it is one, very strong position that will help secure Manistee’s foothold and push it forward. The Michigan Main Street program has been gathering amazing statistics for the last several years and the numbers are astounding. A healthy, active Main Street program in Michigan can expect across the board increases in business retention/attraction, redevelopment, business expansion, and staggering increase in volunteers who absolutely LOVE their downtowns and don’t hesitate to invest their time into making it even better.

So – my congratulations to Manistee for taking this calculated leap to become a Michigan Main Street. And thank you for helping to bring one of our “best and brightest” back to Michigan. What a coup for Manistee! What a coup for the Michigan Main Street Program! And, really, what a coup for the State of Michigan to get back talent, experience, education and enthusiasm – we all should be smiling on this one. (Now can you see it?)

Friday, January 9, 2009

In Tough Economic Times, Avoid the Money War - Sell Teamwork and Leveraging

By Joe Borgstrom, Director
Specialized Technical Assistance
& Revitalization Strategy (STARS) Division
Michigan State Housing Development Authority

It seems like every paper everyday is shouting at us that we are in poor economic times. To make matters worse, you might have a council member or city manager eyeing your Downtown Development Authority (or other Tax Increment Financing- or TIF- mechanism) budget wondering how they can get that money “back” into the general fund. Maybe you’re a non-profit where the city or village is thinking about yanking their funding to pay for “core services." You probably feel like you and your budget are under attack by some of the very people who were singing your praises just two or three years ago. How do you fight that?

First off, you don’t fight, you educate. Fighting creates sides: yours and theirs. You want no part of a win-lose situation. Even if you win in the short term, you lose in end. The education you need to provide involves two keys areas: teamwork and leverage. Let’s look at both of these and how you can use them to continue to do the “core service" of downtown revitalization in an era of shrinking public (and private) funding.

Teamwork
Sometimes you just have to take one for the team. The reason your budget or contribution is being eyed is because it is needed. Tax revenues, especially in Michigan, are providing less and less for units of government to operate. If you’re sitting on a large amount of uncommitted TIF, you would be wise to chip in to help cover costs the local police, fire or DPW folks have normally just provided free of charge in the past (such as security and response to downtown events, barrier set up for parades, etc.) Most TIF laws in Michigan allow for the reimbursement of public services. If you can afford to do it, then you should. Better to give up a little now then have a ton of envy and ill will for years to come.

Possibly in lieu of or addition to partially reimbursing, your organization may also want to consider what services (or other value-added) can be provided for the revenue being contributed. For instance, if the city allows you to send your newsletter out with the water bill, see if your organization can lend volunteers to help stuff the envelopes instead of city staff. That will free up city staff to spend their time doing other things that could contribute revenue to the city. Be creative.

Leverage
One of the easiest mistakes councils and the general public make is the fact that not all of the TIF capture that a downtown organization captures is the local unit of government’s. Many times, the TIF is capturing county, library, transportation, community college and other taxes. If a council were to disband a TIF organization they would not get anywhere near the amount of money into the general fund they think. The money goes back to the taxing jurisdictions themselves. That means if Michigantown’s DDA captures $200,000 in TIF and the council decides to disband the DDA, the general fund may only get $100,000. That means $100,000 LESS will go directly to improve their community. Most of that money will leave the community’s immediate borders and may even fund competing communities. Add that to the fact if that TIF organization had any outstanding bonds, the city or village is then liable for their repayment.

The direct financing leverage education aside, the most powerful education a downtown professional can provide to their council and citizens is the leverage their organization provides by way of results, or in other words, their return on investment. How many businesses has your organization brought to town? How many have you retained? How many new jobs? How many people come to your events? How many buildings have been rehabbed? How many new residents are downtown? There a tons of measurable results your organization could and should be recording and reporting. Never assume everyone knows the good work you do. Like thrifty investors looking to buy stock in a company, councils are evaluating why they should give you any of the public’s precious resource. Prove you are good investment.

One last note: If your downtown organization doesn’t have a presence at your city or village council at least once a month, you should. Many times the lack of communication between downtown organizations and councils lead to the biggest fights over resources. Make sure they realize that the downtown revitalization efforts your organization provides are a "core service." Open and honest communication will help smooth relationships in even the roughest of economic times.

Monday, January 5, 2009

Want to advertise your downtown? Don’t do this!

By Joe Borgstrom, Director
Specialized Technical Assistance
& Revitalization Strategy Division
Michigan State Housing Development Authority

Normally, I’m a supporter of local businesses and “shop local” campaigns. While folks nationally in the Main Street world are split on their effectiveness, I believe any discussion about how supporting local businesses supports your local economy and educates the general public to that effect can’t be bad. These campaigns often point out businesses that offer everyday sundries, cute niche businesses and funky retail shops. Businesses that one would want to frequent or “discover” something unique that you can’t find anywhere else. I didn’t think that a community could hurt its own image doing this…could they? You bet they can.

This past holiday season I watched several television co-op ad campaigns for three or four communities in Mid-Michigan. The commercials urged me to “Shop (community name) for the Holidays.” The tag was then followed by a couple of co-op ads featuring local businesses and the tag repeated again. Not bad right? You want to advertise during the holiday season so people will bring some of their hard earned money to your downtown and buy gifts and create special memories that make them want to come back and spend more later as well. The biggest problem with these particular campaigns is that one assumes when you are shopping during the holiday season that you are talking about retail sales, right? You know, gifts for people at the holidays? Not so fast. That’s where the train goes of the tracks…

Each of these communities, though well intended, did extensive damage to their image as quaint (or even hip) downtown business districts. How? In each community the two co-op ads were done with businesses that weren’t retail. They weren’t the types of businesses one would do holiday shopping in. They advertised banks, oil change places, chiropractors, mechanics, heating repair places and other service industries. Now, I’m not saying communities shouldn’t be advertising for these types of places, especially if they’re in your downtown. What I’m saying is that if those are the types of businesses you have, your tag should be “Support local businesses, support your local economy,” or something to that effect. “Shop (community name) for the Holidays” indicates you have something to sell to people that they would want to give as a gift. That there is traditional retail there to support and “discover.” Asking people to shop in your downtown for the holidays and then showing them a bunch of businesses they can’t buy gifts in makes them think there is nothing in your downtown to support.

That’s an image that will last long after the holiday season.