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Wednesday, January 6, 2010

Newsletter about the City Council meeting of January 5, 2010

This newsletter is about the Hickory City Council meeting that I attended this past week. City council meetings are held on the first and third Tuesdays of each Month in the Council Chambers of the Julian Whitener building.

At the bottom right of this page under main information links is a Hickory's Local Government link. If you click on that link, it takes you to our city’s website, at the bottom of the page you will see the future dates for meetings scheduled for this year.

At the top of the page, if you click on the “Documents” link, you will find historic Agenda and Minutes links. Agendas show what is on the docket for the meeting of that date. The Minutes is an actual summary of the proceedings of the meeting of that date.

Here is a summary of the agenda of the 1/5/2010 meeting. There were a couple of important items that were discussed at this meeting and the details are listed further below

Invocation by Rev. Robert Ford, Chaplain at Frye Regional Medical Center

Consent Agenda:

A. Approval of Property Tax Refund as Recommended by Catawba County Tax Office to
Suntrust Equipment Finance & Leasing in the Amount of $12,500.00 - Catawba County listed a 2006 Learjet valued at 11,000,000 in 2008 and paid by Suntrust, while Burke County discovered it to be a 2002 Learjet in their county valued at 8,500,000. Therefore, Suntrust requests a refund of those taxes paid in 2008 to Catawba County for Hickory’s portion in the amount of $12,500.00. Information has been verified pursuant to the Catawba County Tax Office.

B. Accept Library Services & Technology Act (LSTA) Planning Grant in the Amount of $20,000.00 - The LSTA Grant is a no match planning grant in the amount of $20,000.00 which will be used towards supporting the library’s long-range strategic planning project approved by the Library Advisory Board for their 2009-2010 workplan. Mr. Bill Millett of Scope View Strategic Advantage will assist library staff and planning committee with the systematic review of current services, collection holdings and programming.

C. Approve Hickory Sand Company, Inc. Change Order No. 1 Regarding the Cripple Creek Outfall Replacement Project in the Amount of $54,700.00 - Change Order No. 1 is needed to address project field conditions that were not discernible during the design process, which includes a need for 60 feet of additional 36” bore and encasement to prevent any conflicts with road repaving. This Change Order has been pre-approved through the NC Construction Grants and Loans procedure for eligible expenses. Funds are available within the project and no budget amendment is necessary.

D. Request From Hickory International Council for the Use of Union Square for the International Spring Fest to be Held From April 30 to May 1, 2010 From 4:00 p.m. Friday to 8:00 p.m. Saturday

E. Budget Ordinance Amendment No. 13
1. Budget $100 Library donation from the Hickory’s Woman’s Club for the purchase of large print books.

2. Appropriate $655 to the Police Departmental Supply line item. This appropriation is necessary to purchase supplies for the class instruction portion of the DARE program. $655 represents a part of the remaining Police State Reimbursement balances from previous years (1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008 and 2009) that have been rolled into Fund Balance at year end. Therefore, an appropriation is necessary.

3. Budget a $372 insurance claim check from Scottsdale Insurance Company in the Water and Sewer Pipes, Hydrants and Meters line item. This payment is for damage sustained to a fire hydrant on 11-03-09.

F. Grant Project Ordinance No. 9
1. Budget $85,649 of Community Development Block Grant Recovery Funds in the Economic and Community Development Green Park Subdivision project. This Grant is funded by American Recovery and Reinvestment Act of 2009 and will be combined with additional 2009 Community Development Block Grant funds allocated for the Green Park Subdivision. Funds will be used to develop City of Hickory owned property in the Green Park Neighborhood for affordable housing and will help with the installation of street, water and sewer lines, curb, gutter and sidewalks.


New Business - Departmental Report
1. Small Business Job Growth Team’s Recommendation to Establish a Business
Development Commission And Approval of Member Criteria Matrix - The Small Business Job Growth Team (SBJGT) was appointed by City Council in June 2009 to develop recommendations related to assisting small business owners in their effort to create and retain jobs. Since that time, the SBJGT has met eight times as a whole group and numerous other times as subcommittees. Their recommendations consist of Council establishing a seven member Executive Committee to be appointed by Council to continue the work of the SBJGT and also to approve the Member Criteria Matrix to use as a framework for member selection. The SBJGT also recommends having a dedicated staff resource to support the work of the follow up committee, which they feel is critical to the committee’s future long term success. This recommendation is not yet recommended by City Staff and will need to be weighed along with other budget requests for FY 2010-11. Andrea Surratt made the presentation and summarized the recommendations of the SBJGT. She stated that there were no easy solutions to the problem of unemployment in the area. She stated that they feel that jobs come from an increase in activity and spurring activity can increase jobs growth. They feel a gap can be filled by a group that will consider economic development proposals - high level research and ideas that are focused on business - to bring forward to council. This Business Development Commission would consider research and looking into new markets. There is currently no one point of entry. A business that wants to relocate here doesn't have one place to enter (go to).

From this group, you would have the chance for good ideas to filter up quickly to be supported by a group that has a lot of expertise. This group would assess and recommend business development ideas to local government. There would be a seven member executive committee that would have a resource group to support it. The recommendation is to create a business development committee based upon a matrix that represents various interests and expertise from the business community. The matrix represents people who would be team players and be objective. The group would include individuals from banking and finance, retail, government, non-profit, education, and legal. Within the categories you want people with certain skills such as long range planning, legal expertise, accounting expertise, or research expertise.

This group would research new sectors of the economy in conjunction with the EDC and eventually a staff resource will be needed to go along with this group. A solicitation of ideas and how they will emerge is still being worked out. The ideas will be formulated and brought forward to the public just like a planning commission (or public arts commission) about how to engage the group. In summary, the group would spend time thoroughly researching projects to send through city staff to council and to the EDC. This would be a set of experts that would decide whether this (and issue or project) is something we want to do or it is something that we may not want to tackle. Ms. Surratt feels that the way to define success is by what activity comes forth from this group and the jobs created going forward.

Bruce Meisner asked if ETJ would be included in this group? Ms. Surratt stated that they didn't get specific about that, Hickory area wasn't a specific boundary. Alder Patton stated that she attended many meetings and she believed that you would start with the City of Hickory and then their would be an expansion. Alderman Lail staed that the staff already is using the WPCOG and this group can help with research? City Manager stated that this group would be more long range and strategic as far as what new quadrants we can develop and pursue. He doesn't believe that they can be expected to step into specific fields that are part of the process that might be confidential. Alder Fox asked if staff was comfortable with the work that it is going to take. Manager Berry stated he thinks the group will grow organically and
that at this point in time he can cover it with existing staff. At a point in the future you will have to decide whether to contract expertise, partner with the EDC, or hire a city staffer. For the next few months they can handle this (the process) until they see how the process evolves. Alderman Guess asked how many of the current groups is interested in participating in this (proposed) group? Ms. Surratt stated that half the group is interested - 7 to 10.

Manager Berry stated that the city council needs to decide whether to keep this as a task force extended for a period of time or create an ordinance and by laws. The matrix will be used to fill the seven positions.

The Hound is somewhat perplexed by this presentation. I have read about the momentum and the proposals that have been moved forward by this committee. I have spoken to two of its members in an in depth manner, but all I see here is process and no tangibly defined developments brought forth from 8 months of work. So logically, we are talking about a process to create a process. Is that not why people have lost faith in government. So we are going to create the structure to implement a government sponsored Think Tank?

I have no problem with the concept of a Think Tank, I participate in one myself. But, I don't think our tax dollars should expressly be invested towards one unless there are tangibly defined goals from the get-go.

We are told that people are going to be anointed as experts and it is inferred that they are going to make decisions about the economic development in this area. If I have a business idea, I am not going to go run to this board to see if they approve of my idea, we don't need that. What we need is a method of facilitation. We need to streamline processes for entrepreneurs.
We certainly don't need ideas gummed up by the inner workings of a bureaucratic machine.

Even though the terms of this Small Business Job Growth Team were never fully defined, this is not what my understanding was when it came to the end game. Now we are seeing that there will be no end game. Instead we are going to create another layer of bureaucracy, that will ultimately lead to backscratching, and further will lead to ego clashes and legal wrangling when this group tries to bar certain businesses from the local area, because they don't meet their predefined criteria.


Here is what I stated about this project in my Newsletter after it was presented and addressed at the City Council Meeting on May 5, 2009:

The Hound likes this idea, especially when it comes to the idea of innovation. There were a lot of comments about the idea not being fleshed out and witnesses would have to agree. We can all see that we are going to have to start thinking outside of the box, because the status quo has not worked for years. I believe that this process has to be open ended and accommodative to the broadest participation and dialogue possible. The internet would be an excellent tool to facilitate such an open-minded goal.

Where I worry about the sentiments of council is when they start focusing so much attention and commentary towards existing business owners. Accepting their input as the Gospel is a further continuance and definition of the status quo and I don't mean that to be insulting. While these business owners are integral to the process, they are but one variable element when it comes to solving this area's economic woes. I believe that it will take sources from all over the globe, with new ideas, to bring us out of this malaise.

I also don't like hearing the idea of business retention espoused. Folks, another word for that is bail-out. That would be an open money pit. Who is going to decide who deserves the bail-out. That would be an arbitrary process that will lead to a community full of people with hard feelings.

The City better not try to pick winners and losers in this process. We need a clean slate. We do need existing business owners to provide their expertise about this area's existing business conditions, so that information is available to upstarts. It also will provide feedback about the city's processes concerning commerce. What is in it for existing businesses? A growing economy will naturally increase patrons and thus revenues. They can also look to create synergistic off shoots of their personal business, that might close the loop on a needed product or service or reduce the cost of having to rely on far away trading partners.

Where the city can truly help is by creating a clearing house of information and connectivity to help with business plans and streamlining the processes so that new businesses can get their operations up and running sooner. If time is money and money is tight, then naturally helping upstarts get their operations up and running sooner will give that business greater odds to succeed.

Existing entrepreneurs can help facilitate capital infusion. Maybe the aspiring proprietor doesn't have the capital to start a business, but if he has a viable project, maybe the city's clearing house can point this wannabe businessman in the direction of capitalists that will at least listen. They might be willing to invest in something they consider "The Right Idea." From this, I am sure that we can get a few new businesses off of the ground.

I agree with the Mayor on the details of what he defined as incubators. The city does not need to play the role of Washington and have our local city bureaucracy fully intertwined with private enterprise. The city can facilitate the start-up process, but when the city starts dictating commerce and artificially supporting day-to-day operations, then we begin heading down a slippery slope.

A committee is important to wrap up the process, but input must be from open ended sources. I believe that economic commerce is like water. It follows the path of least resistance. Closed ended processes create barriers and any stifling bureaucratic interests will assure you that money will flow right on past this community. We must ensure that this does not happen.
I hate stepping on toes on this issue, because I know there were some very bright minds involved in this project, but in my opinion what was presented is not worthy of what is being asked for. I think somewhere along the way this process got sidetracked. I would certainly like to know what the process was over the last eight months and what the end game currently is, because Ms. Surratt introduced nothing but ambiguous terms during her presentation - nothing new, nothing tangible, nothing substantive.

2. Possible Options for a Graffiti Removal Program for the City of Hickory City staff will outline concepts for a possible comprehensive graffiti removal program -
Other cities use cost share measures with private property owners to combat the property damage that occurs on buildings. The area of Hickory hardest hit by graffiti is the Commercial Revitalization Area covered by the Operation No Vacancy Redevelopment Program; however graffiti problems are not limited by boundaries. A Graffiti Removal Program could improve the appearance of Hickory and remove symptoms of blight in our neighborhoods. Manager Berry stated that City Staff is ahead of council on this. Reed Baer made this presentation. In Background, he stated that there is graffiti throughout the city. Vacant building are more frequently targeted. Buildings around downtown and on heavily traveled roadways are more noticeable to citizens, because more citizens are walking around and looking around these areas. The commercial revitalization area identified by operation no vacancy is one area in need of some graffiti issues being addressed. If you travel the main avenue area, then you will see graffiti on some of the old industrial buildings.

As far as what other city's are doing, there is a myriad of things that have been and continue tried both short term and long term. What these two bullets represent are long term sustainable solutions that several cities have chosen. You have graffiti removal kits and neighborhood organized cleanups that have been tried. Research shows that these are difficult to sustain long term, becasue they require a large sustainable effort within a community.

In California, citizens report the graffiti and the cities clean it up at no cost to the citizen. In Glenwood, CA you can go to a website and type in the address and they will come and clean the graffiti. Another long term solution is to view graffiti as a nuisance and that the property owner is responsible for its removal and if the owner fails to remove the graffiti, then it is termed a violation of city ordinance. We (Hickory) currently don't have anything dealing with graffiti specifically.

In Hickory graffiti is considered a crime (property damage), which is a misdemeanor in the state of NC. When it is reported, law enforcement reports it as a crime and then seeks to find the person who has committed the offense and charge them. Research shows that when graffiti is left on a building for 24 to 48 hours can create an environment where crime increases. Removal tends to show a decrease in the likelihood that crime will return at that location. Currently code enforcement ordinances do not deal specifically with graffiti.

Several options would allow the city to partner with property owners to address the blight caused by leaving the graffiti on the buildings for long periods of time. Some solutions to deal with this are 1) a public awareness campaign, 2) Adopting a city code (to deal with nuisances) - this puts the burden on the property owner, 3) a 50%-50% cost share program between the city and property owners to remove the graffiti. There are more options to consider.

Alderman Guess stated that he was interested in the proposed ordinance and guidelines. Alder Patton wanted to know if man hours could be identified pertaining to the removal of the graffiti items? Lt. Baer stated that currently it would be difficult to assess this without knowing what is out there. Alderman Seaver asked about what could be done now? Lt. Baer and Alderman Guess stated that there was no city code permitting anything to be done. He reiterated what can be done and Alderman Guess stated that the way it is now, if the property owner doesn't want to do anything, they don't have to, there is no penalty. Alder Fox stated that she had gone on a tour with city staff to show them where the graffiti was and it is just a drag on these areas where we want to revitalize. Alderman Meisner spoke about the problem of absentee owners and asked if in the adoption of the 50%-50% cost share program we could enforce a possible lean on the property. Alder Patton stated that this hurts small business and is a real deterrent towards development in these areas.

Alderman Lail said a lot of this isn't seen, but along the main corridors there is a community wide benefit to cleaning those up. He believes the first step is to create a graffiti specific ordinance. They (offenders) are using specific tools to create this graffiti. He went to Lowe's and AC Moore and saw that you can get tips for spray cans. Spray paint is 99-cents and people are buying them by the case. In some cities, signs are posted detailing that use of these paints for graffiti purposes is illegal and punishable. They are also using markers that are available on the internet. We ought to have a community ordinance that says it is illegal to possess those items (in public) if you are a minor or after certain times of the night. There are models out there that other communities have implemented. Alder Lail stated that he is reluctant to say it is all a property owners burden. they are the victim and somehow that doesn't seem fair. And it doesn't seem fair that it should be the taxpayers burden to clean up other people's property. We have to somehow meet in the middle. He doesn't believe there is going to be a slam dunk solution.

Alderman Seaver asked how often these graffiti artists are caught. Lt. Baer stated that it was rare. By the time it reported, it has already happened and there is seldom any witnesses. Alder Fox stated that it is a community problem that hurts business. Alder Patton stated that it is also a gang problem that has been discusses by gang awareness groups. She stated that she doesn't know the solution, but she does know that it needs to be addressed.
Alderman Lail says he believes that Community Service people need to be utilized to clean this up.

Attorney Crone stated that he would look into ordinances to assure that they pass constitutional muster. Manager Berry says that there should be a special workshop on this issue. At this time, he is only looking for options and direction on this issue. Which was agreed upon by council. Alder Patton suggested that we look at what other communities have implemented on this issue and their success rates.


The Hound can understand the angst over this graffiti issue, but I can't see the taxpayers getting hit up over it. Like a friend told me. The house down the street where they live got toilet papered last Saturday night. Is the city going to come help clean it up? Are they going to pay someone to clean it up? If your car gets egged, is the city going to pay to wash your car?

Frankly, I don't care what they do in California. We should not strive to emulate California in any way, shape, or form. You have cities out there looking to unincorporate (Vallejo, CA) because they can't afford their bills. California is broke, because of free spending policies such as this. Let's not go down that path. There are people behind those tax bills.

We went down this road last year and remember what the Mayor said:
"he didn't want to get involved in what deductibles businesses were paying on their insurance. He said that this program would only reward businesses with high deductibles and businesses with first dollar deductibles would receive nothing. Mayor Wright wants to push for a victim's fund that will be built by true work by the perpetrators. He understands the good intentions of the HDDA and the CAC, but he isn't certain any buildings will be cleaned, because they qualify for $250. They will either clean it or not clean it. The Mayor motioned that the issue be tabled until some of the issues that he brought up can be explored and worked through."
I like what the Mayor said last year and Brad's idea about utilizing Community service to clean this stuff up. I will wrap this up by pointing to what I wrote in the comment section in addressing what an anonymous poster wrote and what Harry had stated in his post on this issue. And I think it's a real (and affordable) solution to this problem.
Or what about the Community Advisory Committee getting some volunteers to go volunteer to help businesses clean this stuff up. The business pays for the chemicals and paint and the volunteers help clean it up.

What blows my mind is that the city's answer to everything is "Hey, lets go pay ACME painting some inflated sum to clean up XYZ business."

I can guarantee you that if volunteers from around the city are cleaning this stuff up, then all the sudden you will see raised awareness from the public and volunteers and you will see these delinquents caught.

It's called "skin in the game" and for some reason the city is clueless about the concept. Everything in this city revolves around no pain and getting others to solve my problem or sweeping it under the rug.

Shoot, if the city is going to create makework off of such trivial matters, then why shouldn't painting/cleaning companies just pay some kids to go paint up the town and then they will create business for themselves that will pay many times over that investment. $10 worth of spray paint can create thousands of dollars of business opportunities.

I can tell you that law enforcement can't stop this. It will take people paying attention and caring to stop it. I guarantee that there are people that know who is doing the graffiti and tagging, but they aren't going to turn their buddy in.

The most important variable in this equation is to change the mindset of the people around here. If they don't mind living in a rundown ghetto, then that is exactly what they will live in.

City money will not solve this (these)problem(s). Property owners have to have enough pride in their property/investment to find personal solutions to these problems!!!
3. Council Discussion Regarding “Wingfoot District” Redevelopment Plan; a Business District and Association Promoting Economic Development Through Residential, Commercial and Industrial Redevelopment - The Wingfoot District concept was briefly presented to City Council during its recent Council Staff Retreat in December, 2009. Since then, discussion has continued regarding planning for the redevelopment of the area between Highway 127 and the new Lenoir Rhyne Boulevard, encompassing certain areas. Pete Zagaroli envisions a partnership with the City of Hickory and private investors to develop a design plan for redevelopment including improvements to public infrastructure. This plan does not fall under the guidelines of the City’s Vacant Building Revitalization Grant, but City Staff recommends the City consider the concept of redevelopment planning since one of the goals of the Operation No Vacancy initiative is to create redevelopment plans for sub-areas within the Commercial Revitalization Area. Staff recommends that Council discuss and identify policy issues related to the City expanding it’s revitalization efforts to include design planning and financing methods and partnerships to implement plans for public infrastructure improvements in redevelopment areas.
Pete Zagaroli addressed the council, he stated that he was coming before the council as both a citizen and a designer. He is looking to create some synergies to spur economic development in the area and move things forward. His focus tonight was on conceptual ideas.

The name comes because the district area he is looking to revitalize is in the shape of a winged foot. In the district, there are eight buildings that are historically significant to the textile and hosiery industry. His concept involves the history, but it is not a historical district that he is promoting. He is promoting a business district that promotes economic development through residential, commercial, and industrial redevelopment. The area is around Lenoir-Rhyne and Mr. Zagaroli believes that is is the most significant gateway into downtown.

He based the model on Downtown Durham (which is seeing a renaissance). The district would tie the university to downtown. It will create a better gateway to downtown. the historical significance would tie in with our current historic districts and promote them and future preservation. The importance comes from the private sector. In the district, owners have spent money on drawings and redevelopment. As an estimate, the expenditures have been in the $300k-$400k range. He would like to see the city to appropriate funds towards the design work of the infrastructure within the district. He feels the private investment has to start first.

The proposed redevelopment expenditures are $11,213,714 and another $2.9 million on top of what has already been done. To isolate an area creates exclusivity. More than anything this will expedite the private investment. There is no commitment to put the infrastructure in place, only a commitment to design. If successful here, then it can be implemented elsewhere in the city. He is not meaning to slight other areas in town, but he feels this is the most important area as far as gateways.

Alder Fox thanked Mr. Zagaroli his enthusiasm and stated that she thoroughly enjoys his plans. She asked if Mr. Zagaroli had looked into how Durham had financed their downtown revitalization? Zagaroli stated that he had not, but he has intentions of doing so next week. Time is critical and this area needs a morale boost. People don't always believe what they hear and read, but they believe what they see. If we can have something tangible, then this is an overall goal that he can show a potential client. He knows that they have a lot of work (to do), the city is feeling the pain that we all are feeling. He thinks if we can find some momentum. The private sector is looking to move forward. They need the end users a reason to come here. We need to focus where it will be noticed first and the momentum can work outside of that. If we try to fix the overall area or problem, there are 700 empty buildings in Catawba County; that is too daunting a task. Let's try to fix 20 buildings and that can move outward. Then move over to west Hickory. The reason why the initiative hasn't worked on the west side is because the initiative needs to come from the private sector. The people in his district are ready to move on this and make it better, If you know that your neighbors are ready to invest and raise the value of their building, then you are going to be more willing to invest in your own property. The public part comes after that.

He is meeting with Federal and State officials to see what grants are available through them. Any money left over will be spent on aesthetics. Sewer, water, and other infrastructure is already available. If you put $2 million into raw land, it will go towards infrastructure and then there is not much left. These redevelopment
projects are diamonds in the rough.

Alder Patton asked if they had applied for Operation No Vacancy grants? and he stated that they have. Further conversations went into Grants available. And Mr. Zagaroli stated that he hoped the city would not look at this as "Zagaroli Construction." What he is looking for is help with infrastructure. It is up to private business to development their building, but it is the city's responsibility to create the streetscape. He understands that everyone in afraid (of investment), but he feels that we can create morale and momentum, and give a reason to reinvest in ourselves and our community.

Alderman Lail stated that there was no doubt in his mind that with the completion of 8th street NE, that bisects this district, city council should have input on what this does look like. If we can create the district that is special and unique, then it has potential for these old buildings. Zagaroli says that this can be the ultimate in mixed-use. He wants to see it truly incorporate all of the facets. This will work within the city's protocol and guidelines from day one. These funds would be qualifying and based upon expectations.

Alderman Lail interjected that he might be piggybacking on what Sally stated earlier. There is a mechanism that city council has to facilitate this kind of development. It is called Business Improvement Districts (BID). It is a true public-private partnership that has demonstrated success throughout the State of North Carolina. Alder Fox stated that she was going to instruct staff to call Durham and find out what kind of financing they use. Durham's downtown district is huge, There are BIDs in more than just downtowns. They are in historic and business districts and it is a true public-private partnership. She believes that Mr. Zagaroli is a little ahead of council, but they are looking for means to finance these types of areas. There is a rural grant that is population specified (the Rural center Pre-Development Grant). She wants staff and council to look into these grants.

Mr. Zagaroli stated that he would do anything to move this forward. He would look into whatever grants are available, but to be frank, he can't keep moving forward on this gratuitously. Alder Fox stated that they needed to find this out and they need to do their homework and it may take a couple of months to do that homework. Alderman Lail sated that this idea is great because it focuses on the heitage of our Furniture and Textile history. Mr. Zagarili stated that this is part of a bigger picture. This isn't just about Hickory, it's about the region. There is 110 years of our history locked up in these buildings that can be lost forever. The story can create a novelty and interest. That can get people to move here.

This is about communication and moving forward and trying to achieve the same goal. He would move forward on this himself, but he cannot afford to. He wants to move forward as quickly and efficiently as possible. The council decided to discuss this issue at the same workshop in which they will discuss graffiti. Further Manager Berry asked the council to think about prioritizing some of these agenda items at the upcoming retreat.

The Hound likes this concept. I think, Mr. Zagaroli, a lot of this will hinge upon the city's infrastructure costs associated with this development and how that capital can be facilitated under the current economic climate. I truly believe what he is addressing here, when he talks about momentum. That is the kind of entrepreneurial mindset needed to turn our community's fortunes around. I can always appreciate the way he is trying to make things happen. I don't necessarily believe that proposing a $14 million project creates confidence, but if you can bring that project to fruition, then you will instill confidence -- especially if you can start getting prospective tenants to buy in.

I do agree that area is a huge untapped resource and I do believe it construes the big picture of what the vision of a fully incorporated Downtown will be. I also agree that the BID tax is vital to the economic growth of businesses in our area. We need a public-private partnership where everyone has skin in the game. I think BID taxes create that Skin in the Game mentality.

There will have to be some specific development tied to this concept. If the BID tax is incorporated, then I think the city should run with this; because it would be a pioneer project that can be an example and new paradigm of development in Hickory
.


Request to be heard - Larry Pope addressed the council about removal of snow and ice from sidewalks. He stated that the city does a wonderful job of cleaning streets, but they aren't properly cleaning the sidewalks and walking is his main form of transportation. The City of Newton does a better job of cleaning their sidewalks and he hound out they use a machine called a skittle machine. This machine will not damage the sidewalk.

It is important that Hickory's sidewalks be accessible to pedestrians. The law requires that the city do something about the sidewalks. A man was hit assisting Mr. Pope around a snow pile, because the car was coming over a hill and could not see them in the street.

Mr. Pope stated that he is going to go no matter rain, sleet, snow, or whatever; he his going to go when he needs to go. He is asking City Council to consider doing something about cleaning the most travelled sidewalks during inclement weather. Alder Lail asked that the city mananger have the public works director speak with Mr. Pope.

*** City Manager Berry asked the Council to recognize a proclamation honoring the Hickory Community Theater for the award they received from the North Carolina Theater Council as the theater of the year for 2009 in our State.

The Hounds feelings about last night's meeting. I would like to note that I thought last night's meeting was the best performance by council since I started attending these meetings a year and a half ago. All of the council members seemed fully engaged. Every council member asked good questions and laid their thoughts right on the table. I felt that the council members seemed more comfortable during last night's proceedings and the meeting ran very smoothly. Even though I couldn't agree with some positions, I appreciated the fact that they were forthright in feelings and observations. I am being sincere in this assessment. Thank You.

Monday, January 4, 2010

City of Hickory -- Same Stuff, Different Year

Hickory , North Carolina – Conservative, Old Fashioned Values, Anti-Big Government, Independent.

OH REALLY!

If you look at how Hickory City Government really works there isn’t much difference between the actions and philosophy of City Council versus Barack Obama. For example, this Tuesday the Council will consider and no doubt approve a “partnership” with local businesses and local government (insert “taxpayer”) to remove graffiti from businesses astute enough to suck up to the public teat. The argument is that graffiti is unsightly, looks blighted and bad and, of course, detracts from the public good as well as the private business. What is the difference between this and Obama’s desire to take over the health care industry? In both cases the taxpayers will foot the bill for private business activities with “the public good” as the rationale for government involvement. Or how about the take over of GM? Well, a vibrant auto industry is in the public interest isn’t it? We need the jobs here. (Too bad the blacksmiths didn’t have Obama around in the horse and buggy days)

Why not pay for their garbage pick up? After all, garbage laying around is unsightly and could lead to disease. Why not paint their walls and re-carpet their floors? After all, poorly maintained businesses detract from the image of a prosperous, progressive Hickory . Why not have the taxpayers pay a bonus to all business owners? After all, we don’t want our wealthier folks too far down the ladder of prosperity. We want our Country Clubbers to be able to proudly hob nob with the best, don’t we.

The bottom line is that you can justify almost any kind of expenditure with this kind of fuzzy thinking and there is far too much of it in Hickory City Government. We yell ‘ fascist’ and ‘socialist’ when Obama does it but when Rudy-Mick and company do it the few literate people in Hickory who do notice it apparently give it a collective: duh huh. Apparently, passing out the public’s goodies to the politically connected will continue apace even though the City’s finances aren’t in the best shape.

We have no cause to yell at the current Federal government when we do the same here in Hickory . But with the apathy in this City I’m sure it won’t even be noticed, much less create a stir. Welcome to the first great legislative action of Hickory 2010. The Obama/Wright leadership team rolls on.

Wall Street Journal: U.S. Economy Likely to Perform Poorly Over Next Decade

Wall Street Journal Article - U.S. Economy Likely to Perform Poorly Over Next Decade - By Luca Di Leo - January 3, 2010
This article points to the fact that the past decade 1999-2009 saw the worst growth (1.9% GDP) since the 1930s. And, "The economic recovery seen from the second half of 2009 has been driven by a government stimulus that will be fading in 2010." Also, "the large debt accumulated to counter the crisis will be a major headache for the U.S. economy."

That 1937 Feeling - By PAUL KRUGMAN - Published: January 3, 2010
As with all of Krugman's pontifications, his hopeful soliloquies eventually get around to reality. "During the good years of the last decade, such as they were, growth was driven by a housing boom and a consumer spending surge. Neither is coming back."

Obama already told you what was going to happen - Obama: Too much debt could fuel double-dip recession - By Caren Bohan - Reuters - November 18, 2009
Who ran up the debt?????

And before Mr. Obama there was Mr. Shell - 20 months of Recession (December 2007 to Present) - The Hickory Hound - James Thomas Shell - July 24, 2009

Believe it or not, we have been lucky so far. We made it through the hurricane season unscathed and we haven't had any game changing International incidents, but it does seem that Foreign relations aren't on a positive track. In other words, our good fortune in the Critical Events category will not last forever. And as I said on July 24...
I believe a double dip recession is inevitable, because you cannot have a real, sustainable economic recovery without a significant improvement in the job picture. We have real problems with our country's ability to grow jobs. The other issue is that of inflation. With as much money as we have seen put in the system, as soon as any signs of economic recovery come along, you are going to see a rise in commodity prices. That starts the cycle over again.

Until we find something to produce and the government gets off of the backs of job creators, it is going to be impossible to have a lasting and worthwhile recovery. Our leaders, in every level of government, are going to have to take some chances along the way, because we have fundamentally changed the economic structure of our nation. We cannot sit around and wait for the picture to improve. We are going to have to take proactive stances and government officials are going to have to find the inner strength needed to rediscover their roots as public servants.


If our government were a company, would you say it was well run? If you had a nest egg for retirement, would you let our current government take care of it? It is time that people start expecting our government to be run like a business. The government has a fiduciary responsibility to look out for everyones interests. Whether the government invests in a project or institutes a program, it is time to set some goals, assess the risks, implement the tasks in an efficient manner, and take care of the shareholders of the United States Treasury; which is supposed to be the Citizens of the United States.

Thursday, December 31, 2009

Happy New Year 2010

Last year I asked people to admit that we hadn't lived up to expectations. In any 12 step program, the first step toward solving a problem is admitting that we have one. Well, I believe that we have come to an understanding that we have a problem. The new paradigm from 2009 is that it was a disappointing year, but we are going to work hard to turn things around in 2010 and hope that things will get better. Just smile and hope everything will get better. A good attitude will make everything better.

Like I said last year. Let's not talk about 2010 being our year. Let's make it our year. You want leadership? You want someone to come save the day? I have the answer. I have the solution. Get up from where you are now and go into the bathroom, turn on the cold water, cup your hands underneath the faucet and fill you hands, then bring it up to your face and douse your face with it. Then if you need to slap yourself a couple of times go ahead, because it is time that you wake up and understand that you are who you are looking for.

Don't be afraid to speak your mind and don't be afraid to take sides. We are in a time of change whether we like it or not. No comfort or security is on the way and that is the reality of this era. There is no reason to look for the easy way out, because you are only stalling your destiny. During times of great change it is best to take bold steps and make decisive decisions. During these times, the timid will be squashed.

I hope that you will read the article from last year based on what John Kennedy quoted from Dante's Inferno. It is entitled The Hottest Places in Hell.

I have learned a lot in the past year. Most of the people in this community don't realize the power that they grasp in their own hands. We are taught in school that we are supposed to look to others for leadership. This makes people uncomfortable about taking the lead role in projects or tasks. We are taught that our destiny is in others hands.

It is truly sad to see many of our leaders looking for leaders. If our leaders do not understand their roles and/or the context of leadership, then what does that say for our community's destiny. Government as an entity is supposed to our partner. They are not supposed to hold power over us. The only purpose of government is to help hold our society together as a cohesive unit. Washington is not supposed to be more powerful than Raleigh who in turn is supposed to be more powerful than Catawba County or Hickory. They are supposed to work together in unison to help people in their pursuit of Liberty.

You may not agree with the context that I have laid out above, but I hope that you might come to an understanding of my point of view. In my opinion, the opposite point of view is what has gotten us where we are today as a community. We have rendered ourselves powerless by abrogating our authority to a few people -- an oligarchy. The further we go up the chain, the fewer people who have to answer to us. And we have made them unaccountable for the decisions they make.

In my opinion, the more people work together to make decisions, the better the decisions will be, and the more accountable we will all be for our actions. We should not concentrate power in the hands of a few people, who have a vested interest in maintaining the power that they hold over us. That is what has kept us in this Status Quo mentality. These people we have vested power in have their egos at stake and they are more worried about their personal self-esteem than what is best for the people they serve.

I am scared to think of what this is all leading to. As long as people perceive they are in a comfort zone, then they will strive towards the status quo as long as possible; but if a sudden jolt causes discomfort then they will go berserk. Think of 9/11/2001, it brought us all together after the fact, but think of the hours of that day when everything was unfolding. Think of the chaos in New York City. Think about everyone on that bright blue skied morning and how quickly it was brought asunder. What if we had events that led to a protracted period like that. Are you going to look for a leader or are you going to be a leader?

Nothing has ever been the same since those events took place. Our economy has never been the same, our liberties are slowly being extracted, and trust is looked at as the naivete of the innocent. The road back to where we were will not come through the government. It must come through the people. The people must stand up and take charge and empower themselves.

We are now coming back to an election period that will be vitriolic. We must demand that the politicians give us a reason to support them. We should all be tired of voting against the other guy. We need people and causes that we can support. There are certain things that the vast majority of us can support through consensus. It is time that we start working on those issues and leave the divisiveness for another day. If we don't start building toward the future, then we will be sure to be sitting in rubble soon.

I know that this may not have been the positive message that some are seeking heading into the new year. I am sorry. I don't believe in hope. Hope is when you are looking for someone or something else to solve your problems. That is for children.

What I do have is faith. A belief that eventually the good in this world will win out over the bad. That those with good in their heart will take the challenges that lie before us and use them as the building blocks towards a brighter future. But, if we are unwilling to understand the meaning and context of these challenges, then we are not going to build the firm foundation that we desire to build tomorrow upon.

I would like to thank the 18,000 people who have read this blog so far. Whether you agree with me or not, it makes me feel good to know that people have spent time reading and interpreting my thoughts.

Thank You and God Bless You this Year,
James Thomas Shell

Wednesday, December 30, 2009

The American Corporatocracy

The estimated 29.6 million small businesses in the United States:
* Employ just over half of the country’s private sector workforce
* Hire 40 percent of high tech workers, such as scientists, engineers and computer workers
* Include 52 percent home-based businesses and two percent franchises
* Represent 97.3 percent of all the exporters of goods
* Represent 99.7 percent of all employer firms
* Generate a majority of the innovations that come from United States companies
Source: U.S. Small Business Administration Office of Advocacy, September 2009
Small Business Survival Rates


Small Business Openings & Closings in 2008:
* There were 627,200 new businesses, 595,600 business closures and 43,546 bankruptcies.
* Seven out of 10 new employer firms survive at least two years, and about half survive five years.
* Findings do not differ greatly across industry sectors.
Sources: U.S. Small Business Administration Office of Advocacy, September 2009

Down With Big Business - Paul Ryan, 12.11.09,
How the government is smothering dreams and stifling growth.

The Anti-Corporate GOP?

What happened to the party of business interests? - By Peter Suderman
Newsweek Web Exclusive - Oct 28, 2009

The Hound believes that small business is the backbone of America, yet we have created all of these barriers to entry that are making it harder and harder for small business entrepreneurs to initiate a business and secondarily to survive.

A frequent cause of small business bankruptcies is undercapitalization. There are a lot of great entrepreneurs out there with fabulous, innovative ideas; but we are regulating these people to death. Whether as primary or secondary costs, expressed or hidden, these regulations cost money. Think of all of the great businesses that have been started in a garage, basement, or backyard workshop. Is that even possible today? can you start a business on a shoestring budget?

Corporatism is a big problem in many aspects. A corporation is an institution that is granted a charter recognizing it as a separate legal entity having its own rights, privileges, and liabilities distinct from those of its members. These entities allow individuals to operate in a manner that small businesses cannot. It allows individuals to take more risks in the name of the corporate entity, that they will not be liable for in the event of business failure.

The largest companies can afford the lobbyists, the legal teams, and political contributions that allow them to massage legislation and manipulate the system in their favor. In many cases this has been done at the expense of small business and it has inhibited their ability to compete, grow, and prosper.

I certainly don't want to kick big business in the teeth. Businesses that have been around and have a history deserve to enjoy what they have worked hard to build. But, we have seen too many times where big business will step outside of their realm to squash businesses that might compete with them in the future.

Look at how the Big Oil companies lobbied legislative bodies for years to keep alternative energy companies from developing. These companies would not have been directly competing against Big Oil, but they may have competed for energy dollars in the future. Now Big Oil has turned into Big Energy and they are lobbying to get legislation passed that they were against 20 years ago. That is 20 years of wasted time, where entrepreneurial growth lost out to the marriage of Politics and Big Corporations. Folks, that limits the growth of our nation, that keeps our country from developing and transitioning into what it potentially can be.

I am not however saying that we need to protect Mom and Pop to give them a leg up either. We see it all the time on the local level, where Small Business people are peddling influence with their buddies to obtain special favors for their personal business at the expense of others. No, what I am talking about is a fair shake and equal protection under the law for all citizens.

As the citizens of this nation, we need to demand the end of lobbying and influence peddling in our governmental bodies. This is the root cause of the lack of leadership and bad legislation coming from the government. It is wasting money that matriculates through every part of our financial system and is passed on to consumers and the citizenry. We also need to put a stop to the revolving door between government and the private sector. I talked about it in this article
Goldman Sachs' Treasury - The Biggest Conflict of Interest Ever from October 2008. Tell me, what has changed?

I personally believe in globalization and foreign trade. And if what was promised would have been delivered, then we would be in a much different situation today. Instead, we saw the vote buying and influence peddling create Least Common Denominator deals that helped the Corporateers and Washingtonians loot the treasury and fleece the American people. We need to have people who will demand fair trade or no trade. We need capital to foster creative endeavors to move forward, but where is the money that was supposed to facilitate that path? It's padding the pockets of the Wall Streeters.

Today, people either think the average government official is a lying scoundrel or is telling acceptable distortions of the truth; and that is all based upon their personal Republican-Democrat ideological paradigm. Hardly anyone feels they are being told the truth straight up. Everything has to be spun.
We are at the proverbial fork in the road. We have built a system that lacks credibility and integrity. It is time to get back to basics or meet our demise. Which path will we take?

Monday, December 28, 2009

Heroes of the Future



I follow this gentleman, Warren E. Pollock, on youtube and on his blog, because I enjoy his in-depth philosophical discussions of history and current events, especially economic and finance issues.

The video above is excellent. He talks about the "Future Heroes," the younger generation born between 1982 and 2004.

He talks about a principle called something gained, something earned.
1) Remain true to yourself.
2) Find personal solutions.
3) Responsibility to yourself
4) Responsibility to others
5) Be your own leader - people follow the wrong leader. Relying on yourself keeps you from being lead astray.
6) Look far off in the distance


In being a leader and getting the message out about where humanity stands economically and socially.
1) Have endurance on telling the story
2) No such thing as truth just perception
3) Too few people have woken up
4) 2010 will be a year of "Social Consequences."


The Old World Order and Near Term U.S. politics
1) Be your own leader - We are electing people, because they are not the other guy and we are hoping for change. What we find out is that there is no change or they may be even worse.
2) Social differences don't matter in crises - the context of this era is that the Empire is in decline and our system is collapsing.


Personal Solutions - People of the past were able to scratch out an existence against amazing odds. They were a lot more independent than we are. They were less interdependent than we are.

1984-2005 - Culture wars (Unraveling Era) -
1) Unraveling of Societal direction after World War II - No direction at all
2) Maximum acceptance of individual rights
3) Angry moral arguments based on individual groups
4) Increasingly paralyzed government, public trust failing
5) Public mood changes after 9/11 and Katrina


2005 - ??? - Clash of civilization -
1) Totally paralyzed government
2) Real Estate and Credit bubbles
3) Public increasingly anxious over finances and world affairs
4) The rest is to be determined


Counting on the Hero Generation
1) Worried about trivialities like texting. They don't have much to say. They want money based on old assumptions and expect it to be handed to them.
2) We have to protect them as much as we can even if we have to give up our own perceptions and biases. We need to determine (be participants in) history and effect change. If we are passive, then we will end up being victims of history.
3) It can be very costly to play the "Hero."


Too great a sacrifice for our children - Repeating the history of the WWII generation
1) They will do great things (like the WWII generation was forced to do).
2) They will give their children peace and a higher standard of living (through sacrifice).
3) They could end up in war and pay for it with their lives.
4) Should we not be willing to make the sacrifice and not force it upon them? Drop the hotpoint issues, ideologies, isms, and misconceptions. Starve the beast (big government) and start asking questions. Be our own best leaders and heroes.


The Hound agrees with what Warren states above.
We are setting the current younger generation up for failure. They are going to be forced to pick up the pieces of bad policies that they did not conceive.

Look at all of the third rails that politicians have chosen not to deal with, because they have chosen their career paths over leadership. I don't think the people of today can fathom the mindset of our forefathers, who conceived an idea of public servitude over aristocracy. What do we have today, other than an elected aristocracy, who in many cases feel like they do not have to represent the will of the public.

Look at the healthcare system. Everyone other than insurance companies, lawyers, and pharmaceutical companies are looking to lose on this deal, as it stands. Yet, the older generations only seem to be looking at the effects on medicare. What about the effects on 20 and 30-somethings, who don't go to the doctor much, but are expected to foot the bill for older generations. Is that fair?

Look at Social Security, the world's grandest Ponzi Scheme. Who amongst us feels that future generations are going to receive benefits commensurate with what they are expected to put into the system. There seems to be a pattern here. We have built our social and economic foundation around the model of a used car lot. Go ahead and take it home today and we'll worry about the details tomorrow.

The Current Economic Realities we as a country face are the greatest since its inception. It is ridiculous that no one cares about the ramifications of what has been done. When you start talking about the numbers people get this blank stare and then they intellectually shut down. To me that is where I start questioning my thoughts on an issue. If I don't understand the issue, then I start digging into it until I can resolve it somehow, otherwise I am unsettled. People you must wake up. You have been sold a bill of goods.

The debt that this country faces is not fair to future generations, who will not reap the benefits. This has become a matter of national security. We owe these foreign nations all of this money and one day they are going to come to collect. The future generations will have to be brave to maneuver through this elaborate mess left behind by decades of mismanagement and gluttony. They will be forced to make courageous decisions in foreign relations, while not having a position of strength to fall back on.

So it is time that we start getting our country back on the right track. I think much of what we are going through is what Dr. Elizabeth Kubler-Ross labeled the five stages of grief - denial. anger, bargaining, depression, and acceptance. I think our country has entered the anger stage and by the end of 2010, we will have met that phase full-on. In the next year and a half it will start sinking in and we will realize that elections aren't a quick-fix and no matter what we do, there will be a tough road ahead and by the Spring of 2011 we will enter into the bargaining phase.

I have been two steps ahead of the public on this. I am in the depression phase when it comes to our economy. I don't think people will wake up until its too late. People do not understand or care about economics and finance. That is what has allowed them to be fleeced. Look at all of the athletes who have been fleeced. It is the exact same thing.

If you do care, please spread the word, please speak up. All we can do is try to affect one person or a couple people at a time. If you want to take the first step towards what Warren Pollock is addressing, then it is time to step forward and speak up about what is happening with our economy and it is important that you lead by example in taking care of your own personal finances. Get out of Debt. We can't change things over night, but we have to start somewhere.

Friday, December 25, 2009

Merry Christmas 2009

Let me tell you about how I am blessed. We had our annual extended family get together for Christmas Eve. My sister Angie made potato soup and spinach dip. I made Sub Sandwiches with Roast Beef, Salami, Turkey, Pepperoni. Provolone, Parmesan, Olive Oil, Vinegar, Italian Spices, on Toasted Cobblestone sub rolls. Then others brought stuffed cheesy mini potatoes, stuffed mushrooms, I made fresh salsa with my tomatoes from summer, we had nacho cheese dip, a Rotel & sausage cheese dip, banana bread, pound cake, and a stuffed raspberry pastry.

Tomorrow, I will be roasting a Standing Rib Roast, baking cheese souffle mashed potatoes, sauteing asparagus, my mother is bring the shrimp cocktail, fresh salad, homemade bleu cheese dressing, and my sister is bringing something else and we are having cheesecake for dessert.

You know, I might not have much, but at least I get to eat some of the best food in the world. My family doesn't care about the eating part, we love good food... Perfect Food... and that goes for both sides of the family. That is truly something I get to be thankful for. That I have gotten to savor excellent food for the greatest majority of my life. In that manner, I can truly say that I am blessed. And anyone who knows and has been touched by my family will admit to that.

That is one thing that I can truly be thankful that God has provided me in this life -- Great Food. And it is always nice to have family and friends at my house on Christmas Eve. It would be nice if every day could have a touch of Christmas.

Have a Merry Christmas and we'll see you soon,
James Thomas Shell