[Electronic-lan] Info on Lawrence Opportunity Zones + Crisis of democracy in Lawrence

Wed Jan 16 11:08:00 CST 2019

Hi, I would like to share a few thoughts re our agenda item, "Identify
Issues we expect to address this year", and background for the "Opportunity
Zone" agenda item.  Thanks, Eric

*A crisis of democracy*

Regarding our agenda item, "Identify Issues we expect to address this
year", I think we are facing a *crisis of democracy* in Lawrence, and
should address it.

In spite of having a great City Commission which should be making key
decisions with neighborhood and resident input, city employees have taken
over decisionmaking on many key issues, with no public notice until the
decision is a fait accompli.

Three examples:

1, The city started dumping nitrates into the Kansas River without a vote
by the City Commission. The City Commission did not know it was underway
until a citizen asked about it at a City Commission meeting

2, City employees decided not to accept an opportunity for the city to use
all-renewable wind energy and save huge amounts of money, apparently
without even notifying the City Commission of the option. *City officials
explain why Lawrence didn’t take Westar’s offer of wind energy,
<https://na01.safelinks.protection.outlook.com/?url=http%3A%2F%2Fwww2.ljworld.com%2Fnews%2Fcity-government%2F2019%2Fjan%2F15%2Fcity-officials-explain-why-lawrence-didnt-take-westars-offer-of-wind-energy%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=ASoDQSm18UJeJEtRzx9vYpio6C9xb6rbxICFRji8V4A%3D&reserved=0>*
LJW

3, Without notice to or a vote of the City Commission, or any involvement
with landowners and residents, but in coordination with non-resident
"economic development partners", city employees caused all of East
Lawrence, all of Brook Creek, and part of the Barker neighborhood to become
part of an Opportunity Zone.

To me, there are *at least *two key issues here, *sharing information with
residents,* and *providing opportunities for input.*  In many cases, we are
getting neither.  I think the LAN should consider taking the lead on
addressing this issue, and demanding that the City Commission make key
decisions, with input by residents and neighborhood organizations.

*Opportunity Zone references and resources*

As background for our Opportunity Zone agenda item, I pasted a few
references below.

The Lawrence Opportunity Zones
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Flawrenceks.org%2Fed%2Fopportunity-zones%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=Wn%2FAHwMg6Zms%2Ft9gqDZzNWpCfeR50On2dKSN2cByi%2Bg%3D&reserved=0>, as designated by the
Governor

*Discussion of the East Lawrence, Brook Creek, & Barker "Opportunity Zone"
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.facebook.com%2Fgroups%2F321045395173629%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=yfvnohjWhu06j2z608HBtIirzv5I5snsHflMj1H7CMc%3D&reserved=0>*(Public Facebook Group)

*Will Opportunity Zones help distressed residents or be a tax cut for
gentrification?
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.brookings.edu%2Fblog%2Fup-front%2F2018%2F02%2F26%2Fwill-opportunity-zones-help-distressed-residents-or-be-a-tax-cut-for-gentrification%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=Y9JSfEzlmkEKzX8jQ%2BHyt09Ilw%2FKkEGzvp10NZjXDF8%3D&reserved=0>*,
Brookings Institute
"Supporters say this will help revitalize distressed communities, but there
is a risk that instead of helping residents of poor neighborhoods, the tax
break will end up displacing them or simply provide benefits to developers
investing in already-gentrifying areas."

*How Opportunity Zones Benefit Investors and Promote Displacement,
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fitep.org%2Fhow-opportunity-zones-benefit-investors-and-promote-displacement%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=Oew4XeXeQghT5Gvdzm6N6Jc%2B6xiT%2Fp63%2BWp1G1KwK7c%3D&reserved=0>*
Institute
on Taxation and Economic Policy
“... additional investment driven by opportunity zones could have the
unintended effect of fueling higher real estate prices that serve to
displace low-income citizens and businesses rather than benefit them."

*Opportunity zones: vital community development tool or tax windfall for
the rich?
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.curbed.com%2F2018%2F10%2F3%2F17898370%2Fopportunity-zones-tax-bill-community-development-capital-gains&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=lvbX7PV%2BcNmek6fM5QXrjKsFyHk%2BAz%2BF5LY9kqIg4Zc%3D&reserved=0>*
, Curbed
"...some policy analysts call it a loophole-riddled windfall for the
ultra-rich that won’t lead to additional development but just make
developments already in progress that much more profitable for investors."

*Opportunity Zones: What We Know and What We Don’t,
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Ftaxfoundation.org%2Fopportunity-zones-what-we-know-and-what-we-dont%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=SAY9WnmRnUeKJJvzTisxlEscLVl73TyJJz5GKCKSeVY%3D&reserved=0>*
Tax Foundation
'Research suggests place-based incentive programs redistribute rather than
generate new economic activity, subsidize investments that would have
occurred anyway, and displace low-income residents by increasing property
values and encouraging higher skilled workers to relocate to the area.'

'While opportunity zones present certain budgetary and economic costs, it
is unclear whether opportunity zone tax preferences used to attract
investment will actually benefit distressed communities.'

*An Unlikely Group Of Billionaires And Politicians Has Created The Most
Unbelievable Tax Break Ever,
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.forbes.com%2Fsites%2Fforbesdigitalcovers%2F2018%2F07%2F17%2Fan-unlikely-group-of-billionaires-and-politicians-has-created-the-most-unbelievable-tax-break-ever%2F%237b1774f41485&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=irOOsr1ZJEpRvxfFucglP%2FE1HkafHmAHiu4hqIx4y%2FQ%3D&reserved=0>*
Forbes
“If everything goes right, a big slice of the estimated $6.1 trillion of
paper profits currently resting on American balance sheets is about to go
to work to revitalize America’s depressed communities. If all goes wrong,
however, it will prove to be one of the biggest tax giveaways in American
history, all in service of gentrifying neighborhoods and expelling local
residents.”

*New tax breaks could lift distressed areas — or become a big, gentrifying
tax giveaway
<https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.twincities.com%2F2018%2F12%2F15%2Ffrom-15-story-buildings-to-tiny-apartments-opportunity-zones-mean-promise-and-risk%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=x7%2B1mxXO05zS4t2A%2BKsQhcQ3r7IkGdmrvPqc2CrQ4wM%3D&reserved=0'>*,
Twincities.com
"Cities such as Minneapolis have signaled to the investment community that
they’re seeking O-Zone projects that deliver a social good, such as
affordable housing, rather than upscale housing."

Regards,

Eric Kirkendall
785-550-3408
-------------------------------------------------------------------------------------------

>
> > On Jan 14, 2019, at 1:50 PM, Courtney Shipley via Electronic-lan <
> electronic-lan at lists.ku.edu> wrote:
> >
> > Hello, Everyone!
> >
> > Join us Wednesday evening for the first LAN meeting of 2019. REMEMBER TO
> PAY YOUR DUES FOR THE YEAR. It is $25 for neighborhoods and $5 for
> individuals.
> >
> > Please take a moment to tell us if you'd like the regular meeting time
> to change by taking this Doodle poll. Several people have had conflicts
> with the third Wednesday of the month. Click the link below and tick the
> days of the month that work for you.
> >
> https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fdoodle.com%2Fpoll%2F2wxrbx95ddzyqfe9&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=cIoq6EnuniElOkGDO8au0hYcSMneBg0VO0%2BvEPPBuOY%3D&reserved=0
> >
> > Please also take a moment to review the LAN Mission Statement.
> >
> https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Flawrenceneighborhoods.wordpress.com%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989236005&sdata=hrH6ERFnmQlA9BuhSUjiM82GJpaFRvhPPKA%2FmKeeX40%3D&reserved=0
> >
> > Also review the Policy Document.
> >
> https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Flawrenceneighborhoods.wordpress.com%2Flan-policy-document%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989246014&sdata=Pz%2BUUGmtaHZHkcIuzxbkykv%2Fl0swzMpFdGOcmDPRz%2BI%3D&reserved=0
> ?
> >
> > As well as The Constitution and By-Laws for discussion.
> >
> https://na01.safelinks.protection.outlook.com/?url=https%3A%2F%2Flawrenceneighborhoods.wordpress.com%2Flan-constitution-by-laws%2F&data=02%7C01%7Celectronic-lan%40lists.ku.edu%7Cf0509c6a6b79442d9f0308d67bd534a9%7C3c176536afe643f5b96636feabbe3c1a%7C0%7C0%7C636832552989246014&sdata=DnYjkmovrJBAG2HgU9xgrWlRXwz6Jf2WZAcO%2BjU33A8%3D&reserved=0
> >
> > See you all soon!
> > Courtney Shipley, Chair
> >
> >
> >   Lawrence Association of Neighborhoods Agenda
> > Lawrence Public Library
> > January 16th, 2019 7:00 p.m.
> >
> >  Introductions
> >
> > Accept minutes from December
> >
> > Treasurer?s Report: Cindy Suenram/Edna Mosher
> > Don?t forget to pay your dues for 2019
> >
> > Update from City Planning Department: Becky Pepper, city planner
> >
> > Neighborhood reports
> >
> > Discussion of possible Opportunity Zones in Brook Creek, East Lawrence,
> and Barker neighborhoods.
> >
> > Identify Issues we expect to address this year
> >
> > Review the LAN Mission Statement, Policy Document, and Bylaws.
> >      Discuss whether updates are needed.
> >
> > <Jan 2019 LAN Agenda.pdf>
> >
> ***************************************
>
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