From yesterday's News & Record article Who is behind city’s growing downtown? by Amanda Lehmert with a nod to Roch for helping me finally find a working link.
"Downtown has been a hot spot of new investment in Greensboro, just as proponents of the downtown management and marketing group wanted. Investors have spent $365 million here in six years, according to DGI."
What you weren't told was the majority of that spending was almost 6 years ago during the real estate bubble-- the same real estate bubble that burst wrecking the entire world's economy. You see, the type of investment promoted by DGI has proven itself to be unsustainable.
"Downtown is growing faster than the rest of Greensboro."
At the expense of the rest of Greensboro. Half the funding for DGI comes from outside of the BID. But Amanda wasn't allowed to write that.
"That wave of growth started with a handful of condominium developments and was boosted by a DGI-run program to pay interest on construction loans, Wolverton said."
Again, the 6 year ago thing I mentioned.
"The club scene is booming — so much so that the City Council has spent endless hours working on legislation governing late-night noise and violence."
Excuse me, the truth is: Roy Carroll wants the black clubs closed so he can more easily sell his lilly white over priced downtown condos.
"DGI had a hand in the nighttime rebirth, too, Wolverton said. DGI asked the city to lift zoning restrictions that amounted to a ban on downtown bars."
Funny, I remember a strip club on the corner of Davie and Market before there was a DGI. Was it called Twiggys? Amanda couldn't have known that 'cause she wasn't living here then and of course no one was going to tell her there never really was a downtown ban on clubs.
"The arts and antiques stores draw traffic, even with the rough economy. DGI helps lure visitors to those businesses as part of the detailed contracts it has with the city of Greensboro."
Raise your hand if you can show me a visitor lured to any Downtown Greensboro business by DGI. Where does DGI advertise Downtown Greensboro businesses and has DGI done any 3rd party studies to determine if their advertising efforts have any effect? Seriously?
"Small-business owners said they are grateful for the group’s marketing and advertising expertise, which some owners couldn’t afford on their own and which they said has increased foot traffic."
How many small business owners said they are grateful? Ten? Two? One?
"DGI-sponsored events, particularly the popular First Fridays, have been a boon.
“People don’t buy much on First Friday,” said Jules Antiques owner and DGI board member Gary Brame. “But they come the following Tuesday or Saturday. That’s huge.”
This month, a pair of First Friday visitors returned within days to buy a $4,000 table, Brame said. "
So the only downtown business owner you could find for a positive interview just happened to be a DGI board member? Really?
"Then there are the blooming baskets that adorn downtown lamp posts. A large chunk of the downtown tax money pays for cleanup crews who grow the baskets seasonally, paint over graffiti and pick up litter from sidewalks and streets daily."
Baskets? And about that paint over graffiti-- why isn't the City of Greensboro paying to paint over graffiti in neighborhoods other than downtown? In other neighborhoods, property owners risk being fined by the city for not footing the bill themselves. Remember: half of DGI's funding comes from outside of Downtown.
"Wolverton can tell you how many tons of trash workers removed last year: 152.9."
Amanda didn't bother to mention that the City of Greensboro provides DAILY garbage and recycling pick-up in Downtown in specially equipped trucks that are not used throughout the rest of the city.
"The board instituted term limits just last year at the urging of the City Council. Some members have been on the board for nearly as long as DGI has been around."
What Amanda didn't tell you is that some DGI board members still have lifetime seats on the DGI board even with the new "term limits".
"Some DGI board members have benefitted from DGI’s grants and sponsorships."
I'll say!
"Two went to businesses in buildings owned by longtime board member and downtown developer Milton Kern — $2,133 to the restaurant Crafted and $5,000 to the Biltmore Hotel. The hotel also is owned by DGI board member George House.
Kern said he avoided applying for the grants in the past because of the appearance of a conflict. But he said his company will invest $14,000 — in addition to the grant — for awnings and work on the hotel. That’s what the grants were intended to do: encourage owners to spend their money on their properties. "
Poor Uncle Milton. You do realize of course that complying with open meetings rules would have solved that little "appearance of a conflict" Kern was so concerned about. Apparently the "appearance of a conflict" isn't as big a problem for DGI as open meetings might entail. Wonder why? Amanda?
"Another $5,000 grant went to the nonprofit Carolina Theatre, where DGI board member Betty Cone is also a board member.
DGI typically doesn’t give grants to nonprofits because they don’t pay the downtown tax. Wolverton said DGI made an exception for the Carolina because it’s a key historical building."
So does that mean that every historic building in Downtown Greensboro is now elligable for a grant no matter who owns it? Anyone?
"Wolverton said DGI has strict conflict of interest rules, and board member are not allowed to vote on a project with which they are associated."
Without open meetings rules are only talk.
This one made me laugh:
“The only way to attract business downtown is to attract people to live here. You don’t have the bodies,” said Tinker Clayton, owner of the embroidery and silk-screen business Stitch-FX and the accompanying retail store Civic Threads. “When more than 2,000 people live there, when you have 10,000 people downtown, you will have businesses to serve them.”
You see, for over 15 years the City of Greensboro has been trying to recruit businesses to serve my Northeast Greensboro neighborhood and fill the empty City owned shopping center on the corner and there's a lot more than 10,000 people in my neighborhood. Tinker Clayton's assumptions would seem to make sense but the facts prove otherwise.
"DGI Chairwoman Chaney said she envisions the board being a more active, idea-generating body."
Translated: She plans to come up with more ways to spend taxpayers' money and line her own pockets in the process.
"Eric Robert said the group is not forthcoming about how it spends taxpayer money, especially how much goes toward management fees."
I'll say! Eric has shown us some very alarming numbers.
"Council members said they will examine the management fees but there’s no evidence of misappropriated money. City staff is performing its own audit of the nonprofit, in addition to the annual professional audit that Greensboro requires of DGI."
Translated: City Council doesn't plan on changing a thing.
"Downtown has been a hot spot of new investment in Greensboro, just as proponents of the downtown management and marketing group wanted. Investors have spent $365 million here in six years, according to DGI."
What you weren't told was the majority of that spending was almost 6 years ago during the real estate bubble-- the same real estate bubble that burst wrecking the entire world's economy. You see, the type of investment promoted by DGI has proven itself to be unsustainable.
"Downtown is growing faster than the rest of Greensboro."
At the expense of the rest of Greensboro. Half the funding for DGI comes from outside of the BID. But Amanda wasn't allowed to write that.
"That wave of growth started with a handful of condominium developments and was boosted by a DGI-run program to pay interest on construction loans, Wolverton said."
Again, the 6 year ago thing I mentioned.
"The club scene is booming — so much so that the City Council has spent endless hours working on legislation governing late-night noise and violence."
Excuse me, the truth is: Roy Carroll wants the black clubs closed so he can more easily sell his lilly white over priced downtown condos.
"DGI had a hand in the nighttime rebirth, too, Wolverton said. DGI asked the city to lift zoning restrictions that amounted to a ban on downtown bars."
Funny, I remember a strip club on the corner of Davie and Market before there was a DGI. Was it called Twiggys? Amanda couldn't have known that 'cause she wasn't living here then and of course no one was going to tell her there never really was a downtown ban on clubs.
"The arts and antiques stores draw traffic, even with the rough economy. DGI helps lure visitors to those businesses as part of the detailed contracts it has with the city of Greensboro."
Raise your hand if you can show me a visitor lured to any Downtown Greensboro business by DGI. Where does DGI advertise Downtown Greensboro businesses and has DGI done any 3rd party studies to determine if their advertising efforts have any effect? Seriously?
"Small-business owners said they are grateful for the group’s marketing and advertising expertise, which some owners couldn’t afford on their own and which they said has increased foot traffic."
How many small business owners said they are grateful? Ten? Two? One?
"DGI-sponsored events, particularly the popular First Fridays, have been a boon.
“People don’t buy much on First Friday,” said Jules Antiques owner and DGI board member Gary Brame. “But they come the following Tuesday or Saturday. That’s huge.”
This month, a pair of First Friday visitors returned within days to buy a $4,000 table, Brame said. "
So the only downtown business owner you could find for a positive interview just happened to be a DGI board member? Really?
"Then there are the blooming baskets that adorn downtown lamp posts. A large chunk of the downtown tax money pays for cleanup crews who grow the baskets seasonally, paint over graffiti and pick up litter from sidewalks and streets daily."
Baskets? And about that paint over graffiti-- why isn't the City of Greensboro paying to paint over graffiti in neighborhoods other than downtown? In other neighborhoods, property owners risk being fined by the city for not footing the bill themselves. Remember: half of DGI's funding comes from outside of Downtown.
"Wolverton can tell you how many tons of trash workers removed last year: 152.9."
Amanda didn't bother to mention that the City of Greensboro provides DAILY garbage and recycling pick-up in Downtown in specially equipped trucks that are not used throughout the rest of the city.
"The board instituted term limits just last year at the urging of the City Council. Some members have been on the board for nearly as long as DGI has been around."
What Amanda didn't tell you is that some DGI board members still have lifetime seats on the DGI board even with the new "term limits".
"Some DGI board members have benefitted from DGI’s grants and sponsorships."
I'll say!
"Two went to businesses in buildings owned by longtime board member and downtown developer Milton Kern — $2,133 to the restaurant Crafted and $5,000 to the Biltmore Hotel. The hotel also is owned by DGI board member George House.
Kern said he avoided applying for the grants in the past because of the appearance of a conflict. But he said his company will invest $14,000 — in addition to the grant — for awnings and work on the hotel. That’s what the grants were intended to do: encourage owners to spend their money on their properties. "
Poor Uncle Milton. You do realize of course that complying with open meetings rules would have solved that little "appearance of a conflict" Kern was so concerned about. Apparently the "appearance of a conflict" isn't as big a problem for DGI as open meetings might entail. Wonder why? Amanda?
"Another $5,000 grant went to the nonprofit Carolina Theatre, where DGI board member Betty Cone is also a board member.
DGI typically doesn’t give grants to nonprofits because they don’t pay the downtown tax. Wolverton said DGI made an exception for the Carolina because it’s a key historical building."
So does that mean that every historic building in Downtown Greensboro is now elligable for a grant no matter who owns it? Anyone?
"Wolverton said DGI has strict conflict of interest rules, and board member are not allowed to vote on a project with which they are associated."
Without open meetings rules are only talk.
This one made me laugh:
“The only way to attract business downtown is to attract people to live here. You don’t have the bodies,” said Tinker Clayton, owner of the embroidery and silk-screen business Stitch-FX and the accompanying retail store Civic Threads. “When more than 2,000 people live there, when you have 10,000 people downtown, you will have businesses to serve them.”
You see, for over 15 years the City of Greensboro has been trying to recruit businesses to serve my Northeast Greensboro neighborhood and fill the empty City owned shopping center on the corner and there's a lot more than 10,000 people in my neighborhood. Tinker Clayton's assumptions would seem to make sense but the facts prove otherwise.
"DGI Chairwoman Chaney said she envisions the board being a more active, idea-generating body."
Translated: She plans to come up with more ways to spend taxpayers' money and line her own pockets in the process.
"Eric Robert said the group is not forthcoming about how it spends taxpayer money, especially how much goes toward management fees."
I'll say! Eric has shown us some very alarming numbers.
"Council members said they will examine the management fees but there’s no evidence of misappropriated money. City staff is performing its own audit of the nonprofit, in addition to the annual professional audit that Greensboro requires of DGI."
Translated: City Council doesn't plan on changing a thing.
