Equity at PDC and the need for an Anti-Displacement Policy
“Gentrification, what does that mean anyway?”
The dismissive tone of these words, uttered by Patricia Weekley, Social, Business and Workforce Equity Professional at PDC, seemed all-too appropriate, given the history, mission and culture of the PDC.
The agency’s primary purpose is to invest public funds in capital projects in chosen areas of the city, to in turn attract private investment, increase property values (and rents), and to then pay off the initial bonds with the additional tax revenue, thus completing the circle of TIF (Tax Increment Financing). This form of debt-financed urban renewal has been utilized in different forms throughout the US, to spur economic growth and improve “blighted” neighborhoods, for over a generation.
Regardless of where one stands on the gentrification debate, even if one believes that the term itself is toxic, generalizing, or polarizing, it would seem appropriate for the PDC to have a working definition of the term, if only so that folks like Ms. Weekley, whose position is to increase inclusion and reduce disparities, don’t come across as sounding insensitive or blind to the severe negative impacts that Urban Renewal can unleash, even if the eventual positive aspects of the investments far outweigh the negative.
To be clear, Economic Development is not my primary gig, so if I am missing some key literature or concepts here, let me know. My primary experience and knowledge of gentrification and place-based economic revitalization comes from the community development and housing perspective, so I am admittedly biased.
To quote fellow PhD student, Jamaal Green, aka Surly Urbanist, “Gentrification is a dirty word…as it should be,” and we should not turn away from subjects or concepts that may expose ugly truths in which we are complicit. It would benefit the PDC, and the city as a whole, to examine its equity impacts, not only on how it chooses to hire contractors and sub-contractors for its projects as it does now, but how an existing population and community is impacted when such a great amount of capital is driven into an urban area in such a short period of time.
While I imagine (and hope), the PDC does make efforts to track and mitigate these negative impacts, I am unaware of how successful they are in assessing and limiting commercial displacement – businesses having to re-locate or shutter because of all the changes. PDC should ensure that existing businesses have access to the capital, support, and technical assistance they may need in order to stay viable, despite rising rents and dramatic demographic changes in the surrounding customer base. I have heard many critiques that the PDC prioritizes supporting new, emerging small businesses, rather than the existing businesses that may be struggling, but have a strong existing customer base, and could benefit from the new investments and residents that it brings. These existing businesses are more likely to be minority-owned, whereas the new, emerging small businesses, are more likely to be owned by white men and women, who already have greater access to resources and capital, and are the “gentry” of gentrification.
Would a robust Anti-Displacement policy be feasible in new Urban Renewal Areas? Such a policy would survey existing businesses and collect data regarding rent, revenue, wages, and employee and customer demographics, before the URA is officially designated. Existing businesses that experience hardship due to the rapid changes could then apply to grants, rent assistance, technical support, and other forms of support so that they might adapt and survive, until the area finds it’s new economic and demographic equilibrium. PDC would track the number of businesses that had to move or close despite these efforts, and analyze what kinds of equity effects these closures had, based on the demographics of ownership, employment, and customer base.
Most local businesses believe that substantial public investment in their neighborhood can have long-run growth and business opportunities, but there is often lag between the increased rents and loss of current customer base (through residential displacement, I won’t even get into this right now), and the later business opportunities and growth. Given the millions of dollars the PDC invests, and Anti-Displacement policy would seem to be a cost-effective method to ensure that these public investments have a net-positive effect on the agency’s, and the city’s equity goals.
Ethan 1:58 am on February 20, 2013 Permalink |
Justin… If you want to excise dirty words, then don’t stop with just one… no selective memory here. How about segregation? Or disinvestment? Or ghettoization? Or unintended? Or guilt (of any color or stripe)? I am hoping that you’re not cherry-picking the dirty word department. And if you’re not, what will we call the sum total of our dirty lexicon? What is its contemporary manifestation? What kind of response gets us to avoid fighting one dirty word with another and move towards a positive vision of the future? Are we doomed, due to dirty words or unresolved, unacknowledged injustice or simply habit, to constantly fight the last war, or is there a way to move affirmatively towards a more inclusive and better collective future? What do we want “city” to mean, after all? What do you think?
cherrington 4:08 am on February 24, 2013 Permalink |
Ethan… Justin is emphatically demanding that we REFUSE to excise the “dirty word” of ‘gentrification.’ He is criticizing PDC’s refusal to engage with the issue of gentrification, as exemplified by the statement, “Gentrification, what does that mean anyway?” Justin does not want us to excise dirty words. He wants us face our own dirty history — in this case a history of PDC investments that have led to gentrification — and then devise strategies to ensure that we do not repeat our past mistakes. In my reading, Justin is calling for precisely the “more inclusive and better collective future” that you would like us to talk about. He has even put forward a concrete proposal for how PDC might build anti-displacement strategies into its urban renewal program.