Optimism? Pessimism? Realism? - Personal Reflection

Over the last few years with the economy in the dumps, many of us who have struggled have heard comments about how, as individuals, being more optimistic could help individuals move forward through their economic travails and get back on their feet sooner and headed towards the path to economic success. Some even surmise that our local community is suffering, because of a pervading pessimistic mood that has taken hold in the community like a contagion. I have been chastised time and time again for not being upbeat about this community. Maybe it is just my inherent personality, but I can't get a feel for what these people are saying.

I understand belief systems, I understand devotion, I understand perseverance and endurance... That is what keeps me going. That is what gives me hope that things will turn around. Yes, it is up to me as an individual to keep moving forward and keep challenging myself, but the anxiety and the depressed state of my emotions to me is understandable. I had no problem with making a modest income and not having all of the fancy trappings of life, but the last five years of my personal life have been a struggle; not in terms of making ends meet as much as not making personal economic progress -- closer to old age with nothing to show. I cannot do the physical work that I do when I get much older. And what does this treading water hold for my future?

I believe that intellectually through the necessity of the expansion of my cultural and social understanding that I have grown greatly. We have leaders on the local level all the way up to the top of the pyramid in this nation who think that if you have the opportunity, then you should work yourself to death. In my line of work, working on a line in a kitchen,  you will not live very long if you work 60 hours a week. I used to do it up until a few years ago and it tears your body up and is mentally very stressful -- to the point of physical and mental exhaustion. In the end what I am espousing is that I believe that it has been necessary for my priorities to change.

Maybe it has been a blessing that so many have had to take a step back from the rat race. I have read stories lately about how the labor dynamic in this country has been permanently altered. Productivity is up, because of robotic automation. Jobs have been offshored due to transfer costs related to labor costs versus the bottom line Corporate Profit picture. While this has gone on, since the year 2000, we see the economic realities of a cost of living that has increased by at least 30% (Consumer Price Index), a median household income that in real terms has fallen by 10%, and a United States population that has grown by 10%. None of that bodes well for the economic future of this nation unless their are dramatic shifts in its economic realities.

As I have stated to others, many of us rightfully feel anger and frustration towards the apathy, ambivalence, and status quo mentality of many of the people in this community; who seem to be saying that the economy is bad around here, because we have bad attitudes. I disagree with that assessment and believe that the anger and frustration comes from the bad economy, a lack of vision of many people in this community, impediments by many in decision making positions towards taking action, and a lack of empathy towards those who are less fortunate.

I can tell you that I don't seek pity. I certainly don't want someone patronizing me. All anyone wants is opportunity. Impediments block opportunity. A lack of acknowledgement of those impediments makes the problems we face even worse. 

I try to convey messages of relevance on this blog. I try to provide proper references and give detailed data and statistical summaries of what I proffer here. I also try to fully separate my opinion from the material presentations that are presented. Yes, I do display emotions, because I am a human being; but unlike the Dinosaur media, I don't try to pretend that I am impartial without a rooting interest, because I am an advocate, but I am an objective advocate.

One thing that I believe that we have spread here on this blog is that we must strive for excellence. That means that WE are going to have to take some risks and get out of our comfort zone  I do realize that there are people who are still doing well economically. I know people from every segment of the socio-economic strata. Many of these people are going about their lives business as usual. I am an observant person. I see the cars people drive and many are obviously still going out to dinner and spending lots of money. But I also see the melancholy that has pervaded much of our society. There is a sense that something is missing. Maybe, just maybe, it is that God and spirituality have taken a back seat to material acquisitions. I see people who wear their religiosity on their sleeves, while promoting their personal material badges. I don't believe that those ideals go hand in hand. Think Humility.

When I speak of striving for excellence, I am not talking about the personal attainment of luxuries. I am talking about the overall "Quality of Life" environment that surrounds us as individuals. I believe that the ecosystem in which we live is integral to the excellence of us as individuals. If the people around me are happier, then I am going to be happier. If you are in a room of 100 people and 10 are in a bad mood, then you can still say that "there is always one in every crowd" and the attitude of the room will remain positive. If you have 50 in that room that are upset, then soon another 40 are going to be upset and the tables are going to be completely reversed. When I talk about momentum, this is exactly what I am talking about. Right now we have negative economic momentum in this community and in this nation.

I look to the fashion that has become ingrained in our culture and in some ways I have been a participant in it. This sense of dressing down and not being judged for how one looks. I think a lot of us have done this , because our jobs don't necessitate us being in a uniform or needing to be presentable. In my personal industry, we are around food and chemicals and we are actively working, so anything we wear is going to get ruined fairly soon. But, in saying that, I do realize that this style has become a reality as part of my every day wardrobe and since the dynamics of my personal life have been downtrodden, I have dressed the part on a mostly permanent basis over the last few years.

In my personal life, I have felt the blahs related to this negative momentum that could definitely be described as pessimism. I have gotten tired of being tired and achy. Some of this has been related to the feeling of mortality due to my grandmother's passing, some has been due to the loss of people in my life, some is related to knowing that my life is closer to over than beginning, and a lot of it is related to this survival mode that I have been in that feels like it is never going to end. I have told people that I have learned to embrace my bitterness. Much of this discomfort had caused me to not go to Church over the last several months and that was only snowballing these feelings. So, I made a New Year's resolution to take a stand,  whether feeling like it or not, and get back to church and try to wear a suit when attending.

In the end, it is all about making an effort, even if one is just going through the motions in the beginning. I think for too long, many of us have found every way possible to follow the path of least resistance. I think the path of least resistance, and the false comfort that lies therein, is what has led this nation to where we are today. It is going to take a few of us, who are willing to take a stand, to turn the tide. We are going to have to create some resistance. Discomfort is coming whether we seek it or we wait on its arrival. Embrace the anxiety. It means you are alive.


Drumroll Please !!! - Hickory Metro is the 8th worst place in the United States to find a job. - U.S.News & World Report - Danielle Kurtzleben - January 23, 2012

Economic Stories of Relevance in Today's World -- January 22, 2012

Bob Chapman - The International Forecaster - January 21, 2012 - If the entire financial system does not come down upon our heads and if we do not have another war, global growth is going nowhere in the year’s ahead. We had a mini-recovery, but it cost $1.8 trillion. We had a second recovery and that cost $1.5 trillion. We are entering a third of what is becoming yearly recoveries that will probably cost $1.3 trillion. In other worlds without these massive injections of money and credit we would probably be in a deflationary depression.          As a result of overspending and poor financial choices state, county and local governments continue layoffs, increase taxes, cut services and attempt to pay back unemployment loans from the Federal government by creating more debt, by floating additional bond issues. The people who run these governments just do not get it. They expect the next bull market is just around the corner and it isn’t. In 2014-2015 we can expect a housing inventory at banks of 9.8 million homes, all for sale. That guarantees no housing recovery for years to come.                    The massive exodus of good paying jobs, one million a year, due to free trade, globalization, offshoring and outsourcing and the loss of 450,000 manufactures will soon end, as a number of countries debate trade barriers. Such protectionism will initially cut back on world demand and the expansion of world debt. Austerity is already a by ward and means restrained spending as well. Governments will become more onerous with additional regulation and taxes, because they have no intention of really cutting spending. We have been waiting for more than three years for debt reduction and saving and it has not as yet really materialized on an ongoing basis. We ask, are American consumers capable of reducing debt and savings? If they do will personal consumption of GDP fall from 70% to lower levels? The answer is of course it will...                   House prices will fall 20% over the next three years and foreclosed inventory could reach close to 10 million homes. Even though your rent is rising, stay where you are for a few more years. If that in fact is the bottom how many years will house prices bump along the bottom? Will it be 8 years or 30 years? We don’t know, but a home is not a good investment at this time...                  As consumers eliminate debt and cut back on credit card usage, retail sales will fall. This tact could be a long-term phenomenon, as spenders use cash and debt cards, because they cannot control their spending otherwise. Even the lay-a-way plan is making a comeback, something we haven’t seen since the 1960s.


HOW DID WELLS FARGO INCREASE EARNINGS 20% IF REVENUE FELL 4%? - The Burning Platform - January 17, 2012 - How many companies do you know that can increase profits by 20% when their revenue falls 4%? It must be amazing productivity. Right?              Nope. Wells Fargo created $600 million of income out of thin air with a journal entry saying their losses will be lower in the future. Sounds familiar.                If you remove this fake income, it seems Wells Fargo’s income went up 3%.


John Williams: No Way Out–Hyperinflation by 2014 - Financial Sense - January 20, 2012 - (Youtube) - http://www.youtube.com/watch?v=TzKPvLDDz4g - Shadowstats.com


The Global Elite Are Hiding 18 Trillion Dollars In Offshore Banks - TheEconomicCollapse.com - In recent days, the fact that Mitt Romney has millions of dollars parked down in the Cayman Islands has made headlines all over the world. But when it comes to offshore banking, what Mitt Romney is doing is small potatoes. The truth is that the global elite are hiding an almost unbelievable amount of money in offshore banks. According to shocking research done by the IMF, the global elite are holding a total of 18 trillion dollars in offshore banks. And that figure does not even count any money being held in Switzerland. That is a staggering amount of money. Keep in mind that U.S. GDP in 2010 was only 14.58 trillion dollars. So why do the global elite go to such trouble to hide their money in offshore banks? Well, there are two main reasons. One is privacy and the other is low taxation. Privacy is a big issue for those that are involved in illegal enterprises such as drug running, but the biggest reason why people move money into offshore banks is in order to avoid taxes. Some set up bank accounts in foreign nations because they want to legally minimize their taxes and others set up bank accounts in foreign nations because they want to illegally avoid taxes. You would be absolutely amazed at what some large corporations and wealthy individuals do to get out of paying taxes. Unfortunately, the vast majority of the rest of us don't have the resources or the knowledge to play these games, so we get taxed into oblivion.


IRS data shows recession took heavy toll on sole proprietors (In North Carolina) - The Business Journal by Chris Bagley, Triangle Business Journal - January 20, 2012 - Sole proprietors in North Carolina saw their incomes shrink more dramatically and much earlier during the Great Recession than most other taxpayers, according to data recently released by the IRS. Analysts say the data reflect a sharp decline in consumer spending and businesses’ general difficulties in adjusting their own spending, particularly on labor. While business income began to decline in 2007, most of the resulting layoffs and wage freezes didn’t follow until 2009, these analysts say.


Gaston Co. schools to decide on proposed closing of 3 schools - WSOC-TV - January 17, 2012 - GASTON COUNTY, N.C. -- On Tuesday, Gaston County school officials will decide whether to shut down three schools. Parents have been fighting to keep Rhyne Elementary, York Chester Middle and McAdenville Elementary schools open. The district said closing the schools will save $27 million over five years. The school board is set to vote on the closures Tuesday night.


Insight: Recovery at risk as Americans raid savings - Reuters - By Jilian Mincer and Jonathan Spicer - January 17, 2012 - In an ominous sign for America's economic growth prospects, workers are paring back contributions to college funds and growing numbers are borrowing from their retirement accounts.           Some policymakers worry that a recent spike in credit card usage could mean that people, many of whom are struggling on incomes that have lagged inflation, are taking out new debt just to meet the costs of day-to-day living.            American households "have been spending recently in a way that did not seem in line with income growth. So somehow they've been doing that through perhaps additional credit card usage," Chicago Federal Reserve President Charles Evans said on Friday. "If they saw future income and employment increasing strongly then that would be reasonable. But I don't see that. So I've been puzzled by this," he said.          After a few years of relative frugality, the amount of money that Americans are saving has fallen back to its lowest level since December 2007 when the recession began. The personal saving rate dipped in November to 3.5 percent, down from 5.1 percent a year earlier, according to the U.S. Commerce Department. (The Hound: Why save money when the government is working hard to devalue the currency and the banks low-risk investments pay next to nothing. Why save for a child's education or retirement, when there is no assurance that the Investment Banks aren't going to steal it from you. That is the mindset!)


Treasury dips into pension funds to avoid debt - Reuters - Reporting By Rachelle Younglai; Editing by Chizu Nomiyama and James Dalgleish - January 17, 2012 - The Treasury on Tuesday started dipping into federal pension funds in order to give the Obama administration more credit to pay government bills. Geithner said Treasury started suspending reinvestments in a federal pension fund known as the G-Fund -- a tool Treasury has had to employ six times over the past 20 years in order to keep the country below the statutory debt limit. The Treasury Department has already tapped another seldom-used fund in order to allow the government to continue borrowing without running afoul of the country's laws.


Insight: Top Justice officials connected to mortgage banks - Reuters - Scot J. Paltrow - January 20, 2012 - U.S. Attorney General Eric Holder and Lanny Breuer, head of the Justice Department's criminal division, were partners for years at a Washington law firm that represented a Who's Who of big banks and other companies at the center of alleged foreclosure fraud, a Reuters inquiry shows.             The firm, Covington & Burling, is one of Washington's biggest white shoe law firms. Law professors and other federal ethics experts said that federal conflict of interest rules required Holder and Breuer to recuse themselves from any Justice Department decisions relating to law firm clients they personally had done work for.               Both the Justice Department and Covington declined to say if either official had personally worked on matters for the big mortgage industry clients. Justice Department spokeswoman Tracy Schmaler said Holder and Breuer had complied fully with conflict of interest regulations, but she declined to say if they had recused themselves from any matters related to the former clients.             Reuters reported in December that under Holder and Breuer, the Justice Department hasn't brought any criminal cases against big banks or other companies involved in mortgage servicing, even though copious evidence has surfaced of apparent criminal violations in foreclosure cases.            The evidence, including records from federal and state courts and local clerks' offices around the country, shows widespread forgery, perjury, obstruction of justice, and illegal foreclosures on the homes of thousands of active-duty military personnel.            In recent weeks the Justice Department has come under renewed pressure from members of Congress, state and local officials and homeowners' lawyers to open a wide-ranging criminal investigation of mortgage servicers, the biggest of which have been Covington clients. So far Justice officials haven't responded publicly to any of the requests.


Warren Pollock on Max Keiser Regarding Bank Holidays

Newsletter about the City Council meeting of January 17, 2012

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 right of this page under Main Information links is an Hickory's City Website link. If you click on that link, it takes you to our city’s website, at the left of the page you will see the Agenda's and Minutes link you need to click. This will give you a choice of PDF files to upcoming and previous meetings.

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 1/17/2012 meeting. There were a couple of important items that were discussed at this meeting and the details are listed further below:

Please remember that pressing Ctrl and + will magnify the text and page and pressing Ctrl and - will make the text and page smaller. This will help the readability for those with smaller screens and/or eye difficulties.

Invocation by Pastor J. Whit Malone, First Presbyterian Church


Special Presentation:
A. Recognize Parks and Recreation Director Mack McLeod for Serving as NC Parks and Recreation Association President for 2011 - Mack has been a member of the association for 27 years. He received an award for serving as President of the NCPRA in 2011. He was commended for outstanding service and leadership as part of the association. He has served on the nominations and elections committee, the professional development committee, procedures committee, and annual conference committee.He was elected and served as the Region 8 Chair in 2006, Secretary in 2007, 2nd Vice President in 2008, Vice President in 2009, 1st Vice President in 2010, and President in 2011.He is serving as past President in 2012. He oversaw restructuring of the NCRPA Board of Directors and represented the NCRPA in legislative meeting with the NC General Assembly. The Mayor added that Mack was instrumental, a few years ago, in having the NC Parks and Recreation annual meeting here in Hickory.

B. Presentation Regarding Pink Heals Activities Held on September 22 – 24, 2011 and Recognition of Volunteers - Deputy Fire Chief George Byers addressed the Council. He talked about the volunteers  and Council who that helped make this event a success. Hickory was one of three cities in North Carolina to represent the tour. He talked about how the lives of so many people were touched by cancer. He thanked City management.

The initial application was submitted in November 2010. In December 2010, the Guardians of the Ribbon, Cares enough to Wear Pink organization announced Hickory as a host; establishing the dates of September 22 - 24, 2011. On February 9, 2011 Steering Committee formed. On February 14, 2011 the steering committee adopted a series of goals and objectives for programs, events, and to brainstorm ideas for the project, On March 1, 2011 Council approved the Pink Heals Tour 2011 program followed by a formal proclamation April 5, 2011. This event was transformed in 264 days. many area businesses volunteered at no expense. Many hundreds of thousands of people were touched about this event through media sources in our area and the Charlotte Metro Area. The group from Washington, DC spent 10 hours to drive to Hickory. The biggest success was the benefit dinner held at First Baptist Church. Over 60 individuals and businesses were involved in this endeavor.


The Steering Committee members were Darlene Huffman, Stephanie Drum, Terri Byers, Sylvia Martin, Claudia main, Mandy Pitts, Matt Hutchinson, Tom Alexander, Tom Adkins, Fred Hollar, Gerge Byers...

14 events were visited in 12 hours throughout the Unifour Area. Over 120 motorcycle riders helped escort the tour out of town. They will return sometime in 2013. This effort received an award from the United Way called "Giving from the Heart." A motorcycle was given away in a  raffle, as was a pink fire helmet. Alderman Hank Guess was the winner of the raffle for the helmet and in the picture below he is presenting the helmet to the Darlene Huffman of the Hickory Fire Department. $16,500 was raised through this project and the benefactor is a local organization "Through Healing Eyes," a non-profit organization (founded in 2003) headed by Katheryn Harlan.

The Hound can see the great heart of the Citizens of Hickory through the endeavor above. Hank Guess showed the overall good guy that he is in the presentation above. One could not help but see what a beneficial event this was from the beginning of this process to what was displayed tonight.

Consent Agenda:
A. Transfer of Cemetery Deed from City of Hickory to Jane Deitz in Oakwood Cemetery

B. Transfer of Cemetery Deed from City of Hickory to Betty Anthony in Southside Cemetery

C. Transfer of Cemetery Deed from City of Hickory to Robert Dixon in Southside Cemetery


D. Special Event Permit Application to Use Union Square for Hickory Downtown Art Crawls on Thursday, May 17, 2012 and Thursday, September 20, 2012 from 5:30 p.m. – 8:00 p.m.

E. Special Event Permit Application to Use Union Square for Swinging Under the Stars on Sunday, May 27, 2012 from 6:00 p.m. – 10:00 p.m.


F. Special Event Permit Application to Use Union Square for Hickory Oktoberfest on Friday, October 12, Saturday, October 13, and Sunday, October 14, 2012 from 5:00 p.m. on Friday to 5:00 p.m. on Sunday)


G. Special Event Permit Application to Use Union Square for A Hickory Holiday! On Thursday, December 13, 2012 from 5:30 p.m. – 7:30 p.m.

H. Offer to Purchase From Mildred A. Mauney to City of Hickory to Purchase City-Owned Vacant Lot Located on 2nd Street SW (PIN No. 370211573006) in the Amount of $2,000.00 - Mildred A. Mauney has presented an offer to purchase the city-owned vacant lot located on 2nd Street SW in the amount of $2,000.00. This .26-acre vacant lot is located beside Ms. Mauney’s home, and she has cared for and maintained the lot for the past 27 years. The property is zoned R-4, which allows single-family, multi-family residential or manufactured homes. The contract states that the buyer agrees to the inclusion of a restriction in the general warranty deed prohibiting the placement of mobile homes upon the property. Habitat For Humanity is not interested in the lot since they want to concentrate in Ridgeview or other neighborhoods like Green Park. Staff recommends acceptance of the offer to purchase from Ms. Mauney and authorization to advertise for upset bids. Once the property is advertised, other parties will have ten (10) days to submit upset bids.


I. Amendment to Traffic Ordinance By Changing All Parking on Union Square from Drive Entrance at 2nd Street NW Westward to Drive Entrance at 3rd Street NW from Two (2) Hours to Three (3) Hours - The Hickory Downtown Development Association (HDDA) has requested an extension of the time limitation for public parking on Union Square. They feel this would better accommodate the needs of customers and clients of the downtown business owners. This was agreed upon by the HDDA Downtown Parking Task Force on October 4, 2011, approved by the HDDA General Membership on December 7, 2011, and approved by the HDDA Board of Directors on December 20, 2011. The Traffic Division has analyzed this request and feels it would be fitting. Changing the signage along this parking area would be simple, and the signs/markings shop has already taken the appropriate steps to ensure an easy transition. Staff recommends approval.

J. Budget Ordinance Amendments
1. To budget $250 of library donations in the Library Books line item.
2. To budget $1,237 of Local Government Revenue in the Police Department Overtime line item. This revenue is payment from Catawba County Mental Health for a portion of an Officers time spent when accompanying involuntary commitment patients.
3. To budget $1,000 of Appropriated General Fund Balance and budget in the Library’s Audio and Visual Materials line item. This revenue represents a grant awarded to the Patrick Beaver Library from the Hickory International Council at the end of June, 2011 to purchase materials. The award came too late in FY11 to process, therefore an amendment is necessary.
4. To budget $6,500 of insurance claim checks from Trident Insurance Company in the Traffic Division Capital Vehicles line item for damages sustained to a Traffic Van. To transfer $13,500 of Traffic permanent salaries to the Capital Vehicles line item to provide the additional funds needed to replace the vehicle.
5. To budget a $10,349 insurance claim check from Farm Bureau Insurance Company in the Water and Sewer Maintenance and Repair of Vehicles line item. This insurance claim check is for damage sustained to Water and Sewer Division truck.
6. To budget funds for the first phase of the Zahra Baker All-Children's Playground Project. This is for the purchase of playground equipment for this project. Revenues include a $102,231 donation from the Hickory Kiwanis Foundation and a $20,000 grant from KaBoom! (to be paid directly to the vendor) This project will be constructed at Kiwanis Park.


Informational Items
A. Report of City Manager Mick Berry’s travel to attend the Redevelopment and Economic Development Meeting in Chattanooga, TN on December 13 – 14, 2011 (room – $198.15; per diem - $60.86; rental car - $200.51; other expenses (fuel) - $136.25)

B. Report of Mayor Rudy Wright’s travel to attend the Redevelopment and Economic Development Meeting in Chattanooga, TN on December 13 – 14, 2011 (room - $198.15; per diem - $60.86)

C. Report of Alderman Brad Lail’s travel to attend the Redevelopment and Economic Development Meeting in Chattanooga, TN on December 13 – 14, 2011 (room $198.15; per diem - $60.86)

D. Report of Alderman Hank Guess’s travel to attend the Redevelopment and Economic Development Meeting in Chattanooga, TN on December 13 – 14, 2011 (room $198.15; per diem - $60.86)

E. Report of Alderwoman Jill Patton’s travel to attend the Redevelopment and Economic Development Meeting in Chattanooga, TN on December 13 – 14, 2011 (room - $198.15; per diem - $60.86)

The Hound: The minutes of this meeting, held in Chattanooga, can be found on this link. They were posted earlier today. We weren't privy to the happenings from this meeting, but I do find the discussions to be very interesting in an odd way even though we have to read between the lines of the subject matter.

They are talking about creating a commission for entertainment and apparently, although she was not present, the thoughts of Alder Fox are to hold some kind of conference/event that centers around this. These minutes were not voluminous, but mention is made of the HDDA being involved in this process. Once again City officials are adamant that Hickory Economic Development center around Union Square.

City Manager Berry talks about the issue of Wayfinding and makes a point that Downtown Parking Deck funds can be used for the project. Isn't it time that the Parking Deck fund was used to build a parking deck? As I stated with the Tent on Union Square, which is also utilizing this fund. This is not going to mitigate the parking issues that people complain about as the number one problem with the Union Square experience. The City does deserve a Thank You for extending the parking hours from 2 to 3 hours, which was a recommendation made over 3 years ago. If you aren't going to utilize the Parking Deck fund for its legislated intended purpose, then let's see some honest government and end this fund and a fund instituted called the "Union Square Pet Projects Fund."

In this meeting, they flat out say that a Hickory Furniture Museum won't work and I think that is ludicrous. No rhyme or reason why it won't work, but I know it would step on some toes and we see a conflict of interest in this conversation -- put the puzzle together... 

The Mayor wants to focus on population growth 25 jobs at a time -- huh?!?!?!? Government jobs are recession proof -- well we will be finding out if that is true here pretty soon. He puts a number on the percentage of growth he would like to see in Manufacturing. How about we not put a number on it and create an environment where modern manufacturing can thrive. There are already efforts under way to do just that and we don't need to limit or constrain our capacity for growth with these numbers from nowhere. If Freightliner can add 1,100 jobs in Cleveland, NC and Solstace can create 500 in High Point, then we don't need to talk about landing such projects as though it is an impossibility.

Why is this blog called pessimistic and yet we point to things that can be done, while our leaders constantly tell us what can't be done and they are lauded for their optimism?


New Business - Departmental Reports:
1. Quarterly Financial Report - GENERAL FUND SUMMARY 50% OF THE YEAR COMPLETE . We have received 60.85% of our budgeted revenues. The 5 year average is 56.28%. Warren states that this is the first time we have been ahead of the game in a while. We have spent/encumbered 49.94% of our budgeted expenditures. The 5 year average is 49.50%. Revenues over (under) expenditures = $6,107,713. The 5 year average is $4,615,523. This is good news and is due to property tax revenues. Water/Sewer Fund - We have received 47.98% of our budgeted revenues. The 5 year average is 45.45%. We have spent/encumbered 52.02% of our budgeted expenditures. The 5 year average is 46.99%. Revenues over (under) expenditures = $189,529. The 5 year average is $173,608.This is a $20 million budget, so this is on target.

The above graph shows that Property Tax Revenues have met 71% of budgeted projections. That is a pleasant surprise, which is better than what has been seen in the last five years. They didn't see this happening, because of the bad building permit numbers. The problem with the lack of building permits is that it will eventually be a drag on revenue growth. Warren stated that the tax base estimate has remained stable (level), which is good news. He says, "so far, so good." This makes up 53% of revenue in the General Fund.

Sales Tax revenue makes up 15% of revenues. This represents 5 months. The City should meet the estimate for the year. There has been a $700,000 drop from peak sales tax revenues of 2008-2009. Investments have earned $36,000 this fiscal year. 90 day CDs are earning .1%. He believes that these earnings will increase in the second half of the year.

Wells Fargo Economic Outlook for 2012 - Expect 2% GDP growth during 2012. Threading the needle between low growth and recession. Continued slow job gains - 123,000 monthly. Modest improvement in income growth - 1%. Bottom Line: A repeat of 2011 assuming Europe and/or oil prices do not "blow up." This will give households another year to reduce their debt and increase savings (hopefully) resulting in increased confidence.

(National) Local Government Outlook - New Reality Slower Revenue Growth = Slower Spending Growth. Continued decline or stagnation of property values will negatively impact the tax base. This may continue to be an issue for years. Small improvement in consumer spending. Little need for new retail construction. Single family construction "dead in the water." Industrial fixed investment will be a bright spot.

What all of this means for us: We are beginning to see some stability and predictability in the numbers. We are not seeing net growth in revenue. Building permits are still at all time lows. Increased funding for fuel costs, health insurance costs, and capital replacement costs will be challenging. Cautious approach to undertaking initiatives that create annual recurring expenses. Will continue to recommend use of cash reserves for economic development related projects.

The Hound believes that Warren's report was an excellent summary rooted in current economic realities. I do believe that Europe is going to financially implode in the near future and the games being played in the Middle East do not bode well for oil price stability. The stability in local property values can be summarized as a dead cat bounce. We are lying on a plateau awaiting the next leg down. This was talked about at the Entrepreneurial Summit last week. We have local industrial property owners that are allowing aspiring entrepreneurs free rent just to keep buildings occupied for security purposes, because of crime such as copper theft of wiring that has been going on. 

I think Warren is dead on in what he has pointed to over the last several years with the building permit numbers. The way things stand now; we have at least another decade, as it stands, before we will see any real growth in property values. The entire country is overbuilt and without job growth and commerce, you are not going to see anything pushing us towards the demand side of the equation when it comes to housing, commercial, or industrial needs. The increase in sales tax revenue is purely a reflection on inflation and is actually negative. Sure some industry might come back from overseas, but until we change the trade paradigm, we aren't going to see a renaissance in the business sector that will sustain robust growth. But, the reality is that if we do find the guts to stand up against the raping and pillaging of our Industrial Base and the Middle Class, then we can see the renaissance that can rebuild this nation.

Economic Stories of Relevance in Today's World -- January 15, 2012

The Hounds notes from the Regional Entrepreneur Summit (Part 1) - January 11. 2012
The Hounds notes from the Regional Entrepreneur Summit (Part 2) - January 11. 2012

The event above was a very good event that I feel went very well with some of the previous events that have been presented by the North Carolina Partnership in Innovation (NCPI) and the Catawba County Chamber of Commerce. The idea of holding these types of events was a big part of the discussions that have taken place during Future Economy Council meetings over the last three years. We have now seen two innovation events take place over the last 14 months and the first Edison Project Event. I truly believe these events have been fruitful and are developing a pattern which is moving the area forward and will bear fruit in the not to distant future.

The above event, which featured keynote speaker Ted Abernathy focused on collaboration, the event in November 2010 focused on creating networks that lead to innovation,  and the Edison Project event was an initiative that put the rubber to the road leading to specific action. We still have a long way to go, but we are definitely way past baby steps and far down the path on this journey.

The Edison Project - Good News and Great Ventures - September 19, 2011
Innovation 2010 - Andrew Hargadon - Creating a Network of Innovation - November 11, 2010


JPM Explains Why The US Economy Is About To Hit A Brick Wall - Zero Hedge - Tyler Durden January 13, 2012 - JPM's head economist Michael Feroli just joined the bandwagon of other Wall Streeters in cutting Q4 GDP, trimming his prior forecast of 3.5% to 3.0%. However, as this is backward looking, it is largely irrelevant if confirming what we already knew: that the economy was certainly not growing as fast as the market implied it was (yes, the manipulated market is not the economy, no matter how much the Fed would like that to be the case). A bigger question is what should one expect from the future. Yes - an in vitro future, isolated from the daily rumor mill of what may or may not happen to the French rating tomorrow or the day after. It is here that there is nothing good to expect: 'we think growth will downshift from 3.0% in 4Q11 to 2.0% in 1Q12. Looking beyond the first quarter, we expect a growing private domestic sector will contend with a fading drag from the external sector and a persistent drag from the public sector." Yet where JPM falls short, is its optimistic view on the private sector. As David Rosenberg showed yesterday, the ratio of negative to positive preannouncements just hit a multi-year high, with the primary culprit being the strong dollar. Unfortunately for Feroli's bullish angle, the private sector will not do all that well at all if the EURUSD remains in the mid 1.20s or falls further. In fact, corporate earnings will likely be trounced, which in combination with everything else that JPM lists out, correctly, could make the second half of 2012 a perfect storm for economic growth, an event which Obama's pre-electoral planners are all too aware of. What is the only possible recourse? Why more QE of course. The only unknown is "when."...

JPMorgan Profit Falls on Trading, Investment Bank Revenue - Bloomberg - Dawn Kopecki - January 13, 2012 - JPMorgan Chase & Co., the largest U.S. bank by assets, said fourth-quarter profit fell 23 percent as trading revenue and investment-banking fees declined.                    Net income dropped to $3.73 billion, or 90 cents a share, from $4.83 billion, or $1.12, in the same period a year earlier, the New York-based company said today in a statement. Earnings matched the average estimate of 28 analysts surveyed by Bloomberg....                 Investment banks are eliminating workers to compensate for falling trading revenue, disclosing plans to reduce staff by more than 200,000, according to data compiled by Bloomberg. Royal Bank of Scotland Group Plc, Britain’s biggest government- owned bank, said this week it would cut about 4,800 jobs.....                U.S. banks are in the middle of the industry’s worst two years of revenue growth since the Great Depression, according to Mike Mayo, an analyst with independent research firm CLSA in New York. Earnings across the industry were weak in the fourth quarter and won’t have much improvement this year, he said.....            

Presenting Mitt Romney's Top Campaign Contributors - Tyler Durden on January 14, 2012 -

Corporate Welfare: State Taxpayers Pay to Train Workers for Large Corporations - AllGov - Noel Brinkerhoff - January 11, 2012 - Taxpayers are increasingly covering the cost of training for a corporation’s workforce, without getting any long-term benefit in return.                      For instance, North Carolina has spent a million dollars for 400 residents to learn skills for working in a Caterpillar factory, in addition to a $4.3 million on a community college program customized specifically to meet the company’s labor needs. While the investments are expected to help Caterpillar remain in the state, there are no assurances that will happen.                Previously, the state spent $2 million to train employees for a Dell factory. Five years later, the computer maker closed down its operation, costing North Carolina nearly 1,000 jobs.             Among the subsidies given to corporations, according to a report by Good Jobs First, are income tax credits, cash grants, low-cost or forgivable loans, reimbursement for worker training expenses and reductions in property taxes.


White-Collar Workers Join Crowd Straining Food Banks - Bloomberg - Patrick Cole - January 11, 2012 - After losing her job as a consultant for nonprofits, Martha Heassler and her husband, a graphic artist, no longer had money for their daughter’s college education, new clothing or groceries.               We’re waiting for my husband’s paycheck, and we probably have less than $200 to our name,” Heassler, 55, said by phone.                   She now makes weekly trips to the Open Door Food Pantry in Gloucester, Massachusetts, to pick up bags of food that include meat, eggs, yogurt and vegetables.              “Without the network of food pantries around us, I don’t know how we would have eaten,” said Heassler, who holds a bachelor’s degree in English literature from Gordon College, in Wenham, Massachusetts.                 As the sluggish economy idles more middle-class individuals and families, their donations to food banks and soup kitchens have evaporated, hitting the nonprofits from both ends..


DailyJobCuts.com
Layoffs - PNC to lay off 600 in NC after RBC merger - WRAL.com - January 6, 2012 - Rocky Mount and Raleigh
Hiring - Freightliner truck plant will add 1,100 jobs in N.C. - AP - Emery P. Dalesio - January 13, 2012 - Cleveland, NC
Hiring - Solstas seeks incentives to add 500 jobs in High Point - The Business Journal - Matt Evans - January 6, 2012 - High Point

Gerald Celente makes talks about Trends for 2012

The Hounds notes from the Regional Entrepreneur Summit (Part 2) - January 11. 2012

The following is Part 2 of a summary of the information provided at the conference on Building Entrepreneurial Communities held this morning Wednesday, January 11, 2012 sponsored by the Catawba County Chamber of Commerce and the North Carolina Partners in Innovation (NCPI). The conference was held at the Crowne Plaza in Hickory and featured speaker Ted Abernathy who is the Executive Director of the Southern Growth Policies Board who believes that "Complex problems need collaborative solutions. Collaboration is not natural, but by following some basic rules communities can use collaboration to create a competitive advantage. Entrepreneurial businesses and collaboration are both a natural fit and a marriage of necessity."

In Part 1 of the presentation you will see local leaders provide ideas, information, and initiatives that can help to turn the Economic plight of our community around. Especially interesting was the information provided by Bill Parrish who is the Director of The Small Business and Technology Development Center and a fellow participant in the Future Economy Council. Much of the information provided within this presentation is relevant to the discussions that have been presented on the Hound.

Here in Part 2, I will write about the Presentation of Ted Abernathy, who in the past was the Director of the Research Triangle Park and wants to work in collaboration to help turn Hickory around. He worked in the past with Bill Parrish of the SBTDC. What you will see is that it isn't us against the World. There are many interested parties in this State that want to see this region turn it around and are willing to help us do just that.

Ted Abernathy - Entrepreneurial Development is Collaboration - Mr. Abernathy first began his presentation by exhibiting percentage of venture capital in the United States. He stated that we aren't going to solve (our problems) by thinking the way everyone else thinks. He added that he was brought in to speak about collaborative models and how we get people to work together to achieve something together. Economic Development has gone from being a game of checkers to becoming three dimensional chess. You have to anticipate and prepare.

 Photos copyright: ©2012 Pat Appleson Studios, Inc. All Rights Reserved, Used By Permission

John F. Kennedy - "Too often we enjoy the comfort of opinion without the discomfort of thought."


Collaboration is the act of working with one or more people to do something that you can't do yourself.
Collaboration = Value - People collaborate when it is in their interest to do so.
Depends on where you sit - The successful process designs itself so that everyone sees the value in the back end
Crisis & Complacency - Motivation comes when Crisis exceeds Complacency
Context matters - Like a Habitat for Humanity House. Agree to the goal and roles of participants.

5 things that make collaboration hard
1) What is the new normal? There has never been a normal. We have to create the future. If we do not create the future, it will be created for us by external forces. The Churn - there are always jobs being increased and lost in communities. Alvin Toffler - Future Shock - The pace of change is so fast it is making us ill (this was 40 years ago). We want and need to know about where we are headed in the future. Philip Tetlock - You can't know enough to predict.
2)Complexity Conundrum - Changing Trends. The complexity of the world causes most people to tune out. Global interdependence shows that the world is interconnected. Top percent GDP Growers in 2012 - They aren't all where you would think they would be. We are in a Matrix Paradox.
3) Cultural Fragmentation - News/Books/Music/Movies/Information. Lack of Familiarity. Today we get information from many more sources, so we aren't as familiar with where others are coming from.
4) We are in a bad mood - Lack of satisfaction in jobs. Most people say things are worse. 100 years ago the life expectancy was 47 years old.
5)The American Dream Crisis - Vision of America. Opportunity for all. It isn't how you were born; It is what you do with your talents. Mr. Abernathy asked what we thought America would be like in 2050. It is hard to be positive about the future when the media is so negative. Building competitive regional clusters is about enabling entrepreneurship through infrastructure, R&D, and training citizens. Global manufacturing - Top 10 drivers in competitiveness. America has to have a strong manufacturing base.


5 things that make for successful collaborations
1) Understanding motivations - "Their best interests." Regions are in this together. Motivations - The Sawyer effect - Create a message that resonates. Co-opts are created to help shops in an area, because vacancies drag down other businesses in an area. Likewise, regions are in this together. When motivating people to help you, you need to figure out how to motivate people to help you through what they want. All communities are competing for economic success. There will be winners and losers in this process. Specific language matters - Franks Luntz.
2)Build a team. Engage every partner. - Business Advantage Center. Evolution of Groups - they get familiar with each other, then build a common language based upon what they want to do, they create shared visions, then work together and eventually learn to trust one another. This builds Social Capital - or Hardwiring a Community. He addressed the people of Leadership Catawba and told them that if they weren't willing to lead, then they should quit the class. The experience is about networking and building trust.
3) Leadership is crucial and models are changing - Hierarchical or Grass Roots. Leadership is changing - Trust/Public/Private/Non-Profit. "Twilight of the Elite." Effective Regional Leadership. Martin Dempsey Quote. What do we want from leadership? Trust and Action. We want to believe that leaders have our interests at heart. There is a need for a catalyst. We get caught up on the fact we think that this is supposed to be hierarchy. Leadership depends on consensus. We need a shared regional narrative. How do we describe our area and talk about it. "A leader is a dealer in hope" - Napolean Bonaparte. “A society grows great when old men plant trees whose shade they know they shall never sit in.” - Greek Proverb. General Martin Dempsey recently said, "In the past, "we would have said we want men who are physically fit, educated, and disciplined. Now, what we way is that we want someone who wants to belong to a values-based group, who can communicate, who is inquisitive, and who has an instinct to collaborate."
4)Narrow whatever it is you are dealing with. The New Economy - how to prepare people and places to succeed in the New Economy. Define the geography. Let the function create the form. Collaborative Capacity -- if there is not a group to keep everything organized, then it will not work. If people don't think the objectives can succeed, then they will fail. You need to set realistic objectives. Collective Success depends on common agendas, shared measurements, mutually reinforcing activities, and support structures.
5) It takes capacity to hold groups together - How do you move people? Social influence - peer pressure. You model the behavior you expect. People get information in different ways, but they expect information. Collective Impact - Success is important.

People receive information in different ways. People are sure that society can't get along, but this isn't anything new. We knew this in the founding of the nation. James Madison - "The latent causes of faction are thus sown in the nature of man; and we see them everywhere brought into different degrees of activity, according to the different circumstances of civil society." Friction - checks and balances. Jacksonianism - Tea Party and other things have happened before and they reset America. Community Resilience was born out of Hurricane Katrina. How do you prepare people before critical times happen? Prepare today for negative events that may happen tomorrow. Communities have to be intentional in what they do in order to be successful. The more social capital, the better.

The Millennial Generation will be the most Entrepreneurial generation that we have ever had. They were born, technological, global, and expecting change to happen. They want to work for themselves.

Southern Growth Policies Board - Southern.org

The Hounds notes from the Regional Entrepreneur Summit (Part 1) - January 11. 2012

The following is Part 1 of a summary of the information provided at the conference on Building Entrepreneurial Communities held this morning Wednesday, January 11, 2012 sponsored by the Catawba County Chamber of Commerce and the North Carolina Partners in Innovation (NCPI). The conference was held at the Crowne Plaza in Hickory and featured speaker Ted Abernathy who is the Executive Director of the Southern Growth Policies Board who believes that "Complex problems need collaborative solutions. Collaboration is not natural, but by following some basic rules communities can use collaboration to create a competitive advantage. Entrepreneurial businesses and collaboration are both a natural fit and a marriage of necessity."

In Part 1 of the presentation you will see local leaders provide ideas, information, and initiatives that can help to turn the Economic plight of our community around. Especially interesting was the information provided by Bill Parrish who is the Director of The Small Business and Technology Development Center and a fellow participant in the Future Economy Council. Much of the information provided within this presentation is relevant to the discussions that have been presented on the Hound. In Part 2, I will write about the Presentation of Ted Abernathy, who in the past was the Director of the Research Triangle Park and wants to work in collaboration to help turn Hickory around. What you will see is that it isn't us against the World. There are many interested parties in this State that want to see this region turn it around and are willing to help us do just that.

Michael Blackburn, CEO of Frye Regional Medical Center and the current chairman of the board of the Catawba County Chamber of Commerce mad introductions for each speaker at the event.

Dr. Jane Everson the Chair of the NCPI explained the purpose of the NCPI and how it consists of the UNC system and the region's Community Colleges along with the four county Chamber of Commerce's. She introduced the top three finalist winners of the Edison project and spoke about entrepreneurial initiatives in the area. Dr. Everson is the outgoing Director of the Appalachian State University - Hickory Partnership and the outgoing chair of the NCPI. It will be hard to fill her shoes in these positions, because she has worked hard getting these initiatives off the ground.

Dr Garrett Hinshaw, President of Catawba Valley Community College was the next speaker. He talked about how hard it was to define entrepreneurship and compared the economy of the 1990s to now. What has happened? The challenge comes in the uncertainty of the future. He spoke about Frye Regional Medical Center and a patient with a fibrillating heart. You have to do something. The community is going to have to provide the shock and create the vision and it includes a role to play for every person in the community. He challenged the people at the conference to help determine what the shock will be. We have to determine that action. The answer has to be created. He introduced Bill Parrish.

Bill Parrish is the Director of the The Small Business and Technology Development Center (SBTDC). He paid complements to the work of Dr.s Hinshaw and Everson. He talked about last years event - (Innovation 2010 - Andrew Hargadon - Creating a Network of Innovation). He gave credit to Dr. Jim Zuiches and Dr. Tom White of NC State University, stating this event couldn't have taken place without their help. Bill spoke of the Catawba County Chamber's role in this event and wanted to emphasize Catawba County Chamber President Danny Hearn's point that this is a regional event. He pointed to the organizations that have supported this event.

Bill talked about a study done by a group called Collaborative Economics. Entrepreneurship and small business plays a key role in economic development and is the single business driver of economic well being, technological innovation, and wealth creation. Entrepreneurs are innovators, connectors, and collaborators raising money from people they don't even know. Entrepreneur - a person who organizes and manages any enterprise, especially a business, usually with considerable initiative and risk, but their are more definition than can be counted.

Execution - the act of putting ones ideas into action... putting it into a business entity that is sustainable.
He pointed to the movie "The Sound of Music" and how Julie Andrews character got things done in spite of children that didn't like her and an overbearing father. Execution separate the dreamer with an idea from the business visionary who takes it forward and creates jobs. He pointed next to Steve Jobs, the president of Apple.

So what? Who Cares? What me worry? Carrying on with business as usual won't get us where we need to go. Manufacturing in the United States was 20% in 1990 and has fallen to below 12%. Manufacturing in the Catawba County was over 50% in 1990 and has fallen to 27%. Technology Explains Drop in Manufacturing Jobs.


U.S. Manufacturing Productivity and Output.

We have lost 35% of our jobs in the 1987-2010 time period shown in the graph above. 49% of rural folks who become unemployed find work in one year. That means that 51% didn't. 30% of these people made less than half of what they made in their previous job. North Carolina Rural Economic Development Center

Dashboard Indicators- Most Communities are not Entrepreneurial
Change in Output - Local Equivalent of the National Gross Domestic Product
Employment Growth
Productivity
Per Capita Income Growth - Jobs is one thing, but to sustain and grow, you need income growth.

Keys to Regional Growth
Skilled Workforce - We are dead last in educational attainment. Local initiatives have created programs to address this. It will take time to turn around.
Business Dynamics - Churning - Entrepreneurial turmoil where businesses are created and destroyed.
Legacy of Place - The cost of outdated facilities and the effects of a shrinking tax base.
Location Amenities - Quality of Life. Will people want to move here?

Environmental Ecosystem
Assets - Education Infrastructure, Financial Institutions, Broadband
Connections - Networking, Partnerships, Collaboration
Culture - The mindset and attitude of the community towards entrepreneurs of different lifestyles.
Quality of Life - The Environment and pools of talent in a community
Combination - Recipe of Ingredients. The community has to put the ingredients together and make them work.

National Trends 2011
Focus on Region - Action and tangible outcomes of regionalism
Reorganizing Economic Development
Access to Capital - As hard to come by as ever
Tax Incentives - NC has a number of them
New Commitments to Technology Based Economic Development (TBED) - More money being spent on targeted research.
Research Investment
Higher Education & Stem Incentives - Science, Technology, Engineering, Mathematics

Fortune 500 Replacement
Replacement of 1/3 of companies in 1960 took 20 years, in 1983 it took 11 years, in 1999 it was down to 4 years. Those are the big businesses where things turn slower. Think of the smaller businesses and this churn rate. The entrepreneurs are having to outrun the big guys.

Bill next talked about Facebook
130 - Average # of friends of users of Facebook
50% growth of users in 2011
800 million users worldwide
$70 Billion minimum market cap estimate for when the company goes public


Bill wants us to watch a story that will be broadcast on NBC on January 16, 2012 at 10pm that will discuss the restart of Cochran Furniture. The company is being reborn as Lincolnton Furniture. The company CEO is Bruce Cochran and he was interviewed by Carolina Business Review (starts at the 11:00 mark in the video below).


CBR 2115 - Bruce Cochrane, President & CEO, Lincolnton Furniture Company from WTVI Charlotte on Vimeo.

The Hound's take on Mayor Wright's Interview with Hal Row - 1/9/2012

This morning I got up to listen to the Mayor on Hal Row’s show doing the “Monthly Morning Meeting.” Much of what was discussed seemed to be a rebuttal to what has been discussed here on the Hound.

In speaking with Harry about what we heard this morning. Harry had something very interesting that he pointed out. Remember Frank Luntz coming here last year and how everyone has bought into Frank Luntz’s word magic. It seems that the city is looking to take a page out of the Frank Luntz playbook and this is what they think branding is all about -- A game of semantics. They don’t like the fact that the $285,000 Big Tent on Union Square has been labeled that. They are jumping here, there, and everywhere to come up with some kind of descriptive moniker that will stick.

There was a comment in one of the earlier posts, about this subject, in which the responder stated that he didn’t think the Council understood the project. Although the wheels have been in motion on this thing for several months, I also don’t think the Council grasps the concept of what this structure is or its purpose and I think that this interview reiterated that point. The Mayor was using names like the gathering area, the Agora, meeting place, exhibit locations, pods, big pod, smaller pods, units, etc.; but it was almost as if he was doing an on air fishing expedition to find some way to describe what this thing is.

No matter how it is spun, this tent fulfills none of the capacities they are attempting to solve. I don’t know what the intrinsic artistic value will be worth, but it is plain as day to see its limitations. The Mayor said that there will be 16 to 20 pods. From what I understand there are presently 33 vendors at the Farmer’s market, where will the other 13 to 17+ vendors be placed? Does it make sense that this is supposed to be a permanent structure for the Farmer’s market and yet it doesn’t even sustain the current level of market activity? And does this not show that the Farmer’s Market on Union Square is maxed out and cannot grow anymore? And what about the fact that the fabric on the structure is going to have to be replaced in the not too distant future?

Then to call this structure an Amphitheater is a bastardization of that term. It will be less than two feet off the ground (look below your knees) with very limited seating and according to Mr. Zagaroli himself, this will not enhance the acoustics of that area. This token all purpose structure is being built to avoid a bolder, riskier move. So basically all they are doing is modernizing the current setup, yet we hear that there are still members of the City Council that want to see an end to some current events, such as Hickory Alive. So we are going to run off current draws with no guarantees of replacement events?

Once again, I don’t see where any of this adds up to helping recoup the $285,000+ that is being spent on this project,  coming from the general fund and penalty money revenues that people have had to pay due to the poor parking situation on Union Square. One of the biggest issues we hear from citizens who complain about their Union Square experience is the parking problems. Yet, money is being diverted from the fund that was instituted under the guise of creating infrastructure to help solve those problems. This is the definition of a slush fund folks.

Much of what we discuss above is the very reasons why we don’t want the City be in charge of building and running anything of this nature. We saw what they did at the LP Frans this past September with the Gay Pride Festival and we know how they are trying to find problems with Hickory Alive. Have you ever inquired about using a facility that is operated by the City of Hickory? It ain’t cheap folks! Do you want the Hickory City Government micro-managing entertainment choices in this community?

All anyone has asked the City to do is to foster and facilitate ideas and maybe help with seed monies that will be recouped as soon as possible. Any entertainment venues need to be operated by an “Authority,” which would be a local autonomous public-private venture. The Hickory City Council should have zero input on such a venture, with the exception being current codes and ordinances.

If you are going to build any public venue, then you institute an initiative. You have public entities come forward with requests for proposals, then you take a look at the ideas and how they fit within the framework of a budget and then after taking all variables into consideration, you make the decision on the project and who will build the project. That is what we saw with the Google initiative and that is what we are supposed to see with all Governmental initiatives, especially expensive ones.

The next big issue discussed was the Mayor inferring that $5 million to $10 million was going to be spent on a project that will be implemented this year.  The "Craftsman" idea is apparently the main theme behind whatever it is that council is going to do.  So this $5-10 million is going to be spent with that in mind.  Apparently, there is going to be some private investment as well.  But this notion of Hickory is ___________...  That blank is going to be filled in by the Council with the help of the City Manager's office and the Business Development team.  But given the track record we have witnessed, the ”It” will be what the Mayor (with City Manager Berry’s tweaking) wants to do, is thinking, wants done.

It seems the BIG project might be a business incubator, such as what Alderman Lail described from the visit to Chattanooga. The specific place they visited connected business owners with entrepreneurs. The Company Lab - (Facebook) connects idea people with artists. He said this space was full of energy. That could be an excellent endeavor, but it will depend on the process. Will we see an honest and above board process or will this be another manipulation that pads club members’ pockets.

A cynical worry is that “Investment” monies will be directed towards the airport under the economic development banner; looking to cover the mismanagement by the prior operators, which the city allowed to go on for years, with an explanation that they are "restructuring" the airport. In layman’s terms, how much debt incurred by River Hawk is the City of Hickory on the hook for and how much is it going to cost to recover from the neglect and recklessness created by River Hawk?

As usual, the big question will be how much public input will be allowed and how will the City attempt to spin the issues revolving around this investment? They don't have a track record of listening to the public and implementing what the public wants. You can rest assured that if the Mayor has introduced this topic that something is already on the table and will soon find its way out from behind the curtain. As we have witnessed for years, the fix is always in and it's going to be all about the sales job. 

Ironically, the initiatives that have been discussed here on the Hound have traction, but the Powers That Be are looking for ways to implement them “on the cheap.” They aren’t making the bold moves that we encourage. They are utilizing the initiatives discussed here as talking points, while we seek boldness and action. The Frank Luntz technique is all about political strategy through wordsmanship. I have nothing against Mr. Luntz, but I view him as a pop culture entertainer. He has no leadership capability and his methods create distrust; because we need people who say what they mean and mean what they say.

We must insist on accountability from the leadership of this community. That comes through cost/benefit analysis mechanisms, competitive bidding for projects, and real studies of the potential effectiveness of projects through compare/contrast analysis. The Big Tent deal is definitely not a template for a community to follow. The public is going to have to decide if they want mind games that lead to nowhere or real actions that can get us moving forward.