From the Monday Morning meeting with the Mayor on Hal Row's First Talk program, June 6, 2011: I was listening to Hal and the Mayor talk about a Game changing Investment and if people have an idea that he wants them to bring it to him, no matter how big or small, this is the third month in a row that the Mayor has talked about this idea. $20 million has always been this number that he constantly brings up. He defines it as a parameter, but in the end -- in my opinion -- this is all about politics and frankly, although he's entitled to say whatever he wants, I am personally getting tired of hearing it. He states that he and the Council would take it (the Right Idea) to the people. What parameter defines "The People." First, if I have a $20 million idea, why am I going to bring it to the Mayor. What is his track record of making things happen? And why should I not be worried about it being steered away from myself and towards more connected interests?
Hal brings up the idea about municipal golf courses and the Mayor makes a simple statement about them having mixed reviews. My paranoid side felt like they were trying to poke and prod me to call in and state that I would be against it because it would compete against the local Private Clubs. I could give two piles of horse hockey about that. I know that this would not be a good time to call in about such a subject when one of our areas most important marketing events is taking place. However, my argument would be that there is an over saturation of golf facilities in our community already, especially with the current state of the economy. Go ask the existing golf facilities how their present revenues are going. Most of these "Golfers" don't have a clue about the intensive investment that it takes to run a proper Golf facility.
The next thesis of this program was that we need to bring more retirees into this community. I already have pointed out why I believe this to be a mistake -- ad nauseum. I am willing to debate the Mayor any time and any place on this issue. These two men kept talking about how it would create construction jobs, because these people buy houses and Hal was talking about how these people would buy houses on these municipal golf courses. Let me get this right. We don't have money to spend a few hundred thousand dollars to create a community swimming pool, but we have millions of dollars to spend on building golf courses with the hope that golf lovers will flock to the Hickory to play golf to infinity. We don't take care of the Citizens of Hickory now, but they want to bring in new people that they expect to cater to. Yeah right!!!
Ladies and gentleman, someone has to come out of the woodwork and I have been thinking about two years from now, because we cannot afford to remain on this path to nowhere that we are on. Hickory is a political microcosm of what we see from other dysfunctional governments that we see throughout the World. These governments have detached themselves from the people and do not look at themselves as public servants, instead we are looked upon as subjects. They look to themselves as Authorities and Authorities authorize.
I honestly think the Mayor has no intentions of doing anything. We are not moving forward in this community and the Mayor is basically telling you that he has no ideas. If he had any ideas about how to generate anything economic, then he would not be asking you for yours!!! And to a degree he has implemented his policies, which are to cut, cut, cut, cut.... the budget and by consequence reduce the effectiveness of the local government. Where is $20 million going to all of the sudden appear from?
With this act of desperation, the $20 million idea, he displays over and over again that he thinks he is the final arbiter of whether an idea is good or not and I have never heard him state that any idea sounds great. It is always that he needs to study it further or it has had mixed reviews or it hasn't worked somewhere else or people are looking for "The Right Idea."
The Mayor is becoming a caricature of how Old South Mayors were characterized on television shows like Andy Griffith, etc. back in the days of black and white TV -- jumping in front of the crowd on popular issues, while being scared to death to take any chances, because some political negativity might be pinned on him if he were wrong. I hate to say that, but when he is constantly making these broadbrushed generalities about community investment and other over simplified statements that he has made about the local economic situation and the scenarios to be played out over the next generation, then one can see that he has no intention of doing anything outside of the box to move this community forward. It is a Medicine Man approach to make a situation look grander than it is.
I want someone to come along, who is willing to face down this mess, this lack of focus, and this lack of leadership that is present day Hickory. I am not here to attack people. I do want to help, but I am given nothing to work with. Our leaders keep pushing this notion of this being a cheap place to live. That isn't a great way to attract the movers and shakers of this world. Smart people understand the concept of Cheap Begets Cheap. We need to stress Excellence and Value related to that excellence!!! We don't want to be a cheap place to live with cheap wages and amenities. We want to be a community with an excellent Quality of Life where people are happy and don't have to work two and three jobs to make ends meet; who can say that they don't have to sacrifice their way through life. There is a big difference between what our leaders consider sacrificing and what I am telling you about sacrificing.
We have got to move forward and stop worrying about political gamesmanship and instead think about the people. The people who have Hickory in their blood. Politics will not resolve Hickory's issues. It is going to take someone that will lay the facts out to the folks and be willing to lose in order to win. If you are trying to become Mayor for the next generation, then you will be part of the problem. If you want to get some things done around here and are willing to take some heat from the entrenched interests, then we can get some things done around here. Talk is cheap, let's step up to the plate and make some things happen.
Showing posts sorted by relevance for query Cheap begets cheap. Sort by date Show all posts
Showing posts sorted by relevance for query Cheap begets cheap. Sort by date Show all posts
Tuesday, June 7, 2011
Saturday, January 23, 2010
The State of Hickory - January 2010
One year ago this week, I wrote about the State of Hickory in 2009. I feel that the Hound has had an impact on our local leaderships' thought process over the past year. I believe that they would be reluctant to admit that, for in doing so they would lend to the Hound a sense of legitimacy that they are uncomfortable in dealing with. We are part of our cultures new media and this mission is ever evolving. They don't know how to deal with this new media and frankly I am only trying to fulfill a role that somehow disappeared from our local culture long ago.
Personally, recognition does not matter to anyone associated with the Hound. Why would all of the time, efforts, and personal risks be put at stake over petty concerns such as ego. Ego usually comes from materialistic and simple desires. Look at Harry Hipps and myself. We enjoy associating ourselves with the underdogs and the humble, because from down here the greatest rewards will be found, we will stand at the forefront of cultural change and justice.
In dealing with that certain level of humility, you should not think that we aren't confident in our mission, we are. We believe that Catawba County, the Economic Development Corporation, and the Chamber of Commerce have taken steps towards addressing our area's future. Sadly, we don't think the City of Hickory is on the same page as everyone else. Most everyone recognizes that our young people have been leaving this area in droves and the median age of our community is advancing rapidly, but the City of Hickory has insisted that retirees remain the focal point, even when it has been shown that the majority of people understand the long range implications of such an endeavor. It is clear that our demographics are moving way out of kilter.
The most important accomplishment that the Hound has brought to bare is focusing on the fact that the lack of jobs and job quality is the most important issue our community faces. I think that the mindset has changed to where we are all finally on the same page when it comes to the jobs issue. Unfortunately, since we were late to the party, it is going to be a harder struggle to get back to level ground and, as Danny Hearn and Scott Millar have stated, we must stabilize the economy before we can begin growing again. The key is going to be how we go about taking action on the jobs issue.
The people of Hickory have demonstrated their ambivalence about city leadership and I am not saying this to belittle our city leadership. Approximately 2,300 people (out of an electorate of over 27,000 people = 8.5%) voted in the last election. No one ran against Mayor Wright or Alder Sally Fox, Alder Jill Patton was overwhelmingly re-elected, and the only change was that Hank Guess soundly defeated Z. Anne Hoyle. I don't know why so few people voted in Hickory. My thought process leads me to believe that either people don't care or they think that Hickory City Council is irrelevant in the face of the power of Washington and Raleigh. Either mindset is a disastrous statement about Hickory's future.
We still have the same economic problems as one year ago and sadly the exact same economic outlook for the immediate future. But, we can't blame Washington or Raleigh. Look at the city bragging about all of the stimulus money we received from Washington and it has been stated that statistically the State of North Carolina invested over 40% of it's Economic Development Dollars in Catawba County in 2009. Can we really say that it is us against the world when we can clearly see that money is flowing to this area from the State and Federal Government?
What should Hickory's priorities be moving forward? If our leaders continue to be intent on blaming others for our woes, then it is time for Hickory's leaders to step up to the plate and do something about changing the perception of how Hickory is viewed and treated by those "others."
Hickory needs a strong legislative strategy. The City and other leaders in the area need to step up to the plate and begin to aggressively lobby for a new Economic Development Region to be created by the State Legislature; combining some of Advantage West and the Charlotte Partnership regions and placing Hickory as the hub of said region. Hickory can either continue to blame others for our economic lot in life, or Hickory can stand up and take control of our own economic future and destiny. This would also give our do nothing legislators (Allran/Hilton) something to focus on and work toward. If they can't, or are unwilling to deliver, we have all the more reason to replace them both.
I think our main focus must be on economics (Jobs and Capital obtainment, creation, and infusion), everything else is secondary. Moreover, by focusing on economics, everything else should fall in place.
Hickory's current social structure problems:
The Mayor has been asking for specifics, well in my opinion you can't get any more specific than what I have pointed to above. We can continue to sit around talking and make excuses or we can take some action. These aren't ambiguous items. These are doable.
I am not going to belittle Brownfields, Operation No vacancy, or Graffiti, because these issues are relevant to our community, but they will not change the dynamics of the local economy. We need to have a bold agenda of action that will attack the negative economic momentum we are suffering from on all fronts. We have to change the mindset of the people around here. We have to get people to care about their plight and help them to see that they have a role to play in solving their own problems. There is no magic bullet.
Personally, I get tired of being a broken record, but why is that? Because nothing gets changed or resolved. We have people in positions of power that are tone deaf. The same small cadre runs around from group to meeting to function and they don't see the big picture. Changing people, and getting a larger perspective, is more important than changing venues. They don't see what the average person in this community is going through. This community will only be as strong as its middle class and that middle class is rapidly dwindling.
For far too long, we have seen leaders in the community that have served their own special interests instead of representing everyone in the community. The same sections of town continue to get attention, while the same orphaned areas in the community continue to become more and more dilapidated. The owners of these dilapidated buildings are not suffering anywhere near as much as the people who live in the neighborhoods surrounding them. It is the owners of these buildings who have dropped the ball and it is they who should fix their own building or please do the responsible thing and tear it down. I am curious to know how many of these disrepaired buildings are associated with absentee owners who no longer live in Hickory and thus aren't constantly reminded of the blight?
Poor people have codes enforced on them expeditiously, everyone remains up in arms about the old Buffalo's site that has seen the building demolished, yet the old D&D Trucking building continues to rot on Hwy 127, in the heart of downtown, with nary a peep to be heard. It is these kinds of arbitrary judgments and governance that leave many of us wondering about justice. We have been told that most of these buildings are not fit for modern manufacturing and it is clear that the real estate market will not be coming back any time soon. Plus, we are not going to see the kind of population demand and capacity that would demand that much mixed use or retail in these areas.
That means that these buildings could very easily sit around for decades and at that time they will probably be torn down anyway. Operation Tear It Down would reduce the number of old buildings, would eliminate the worst of the lot, and increase the value of the most viable buildings. It would also be the best alternative in cleaning up some of Hickory's most blighted areas. People are going to have to realize that these are just buildings. Marketplaces are determined by people, not buildings. If these buildings aren't viable, then they just aren't viable.
If something is not done Hickory will become irrelevant, if it isn't already. Look where the growth is in this area. It is in the eastern part of the county. Why is that? Because it is being pulled by gravitation towards Charlotte's economy, which while in recession is a lot more dynamic than Hickory's and that isn't necessarily because of size. Hickory is unfortunately built around keeping things cheap and cheap has a tendency to feed off of itself. We can't sell $250,000 condos, have nice gourmet cuisine, specialized bakeries, operate top-notch clubs, or do anything to attract industries of "the finer things in life" until we fix the economic structure of this community. We just don't have enough demand to create a viable market. People either cannot or will not pay for quality. Culturally, most people in this city don't understand what quality is and they are willing to bargain over it. As much as cheap begets cheap, quality begets quality.
I am told by mentors that we are in a generational fight. They tell me that the younger generations are simply going to have to wait their turn to bring forth ideas focused on growth. Folks, the younger generations are folding their hands and walking away from the table already. The die is being cast. If Hickory does not bring forth bold measures, it will soon resemble a scene from the movie "Cocoon."
Things aren't going to change around here through a political process. It's about the mindset. Look at how Charlotte and Duke Power are focused on new energy. They're retaining their financial capacity and facilitating micro-lending to help entrepreneurs. They have expanded their culinary scene substantially over the years. Restaurant and Hospitality is a real industry that is thriving throughout the Charlotte area. Charlotte has a new biomass center and they have recently opened a Superfund cleanup site. UNC-Charlotte has laid biotech plans that are interconnected with the biotech center in Kannapolis. Concord's retail center and race track are attached to Charlotte at the hip.
Charlotte has sown seeds that will continue to blossom in the upcoming years and Hickory has too. We're going to have more eldercare facilities, doctors, medical industry, cheap housing, fast food, cheap groceries, cheap retail, and cheap labor. The sad thing is that when Charlotte talks about being a hub of economic growth, it stops right at Catawba County. If you don't believe me, ask people that have seen Charlotte's transportation plans looking to future growth.
The thought process that we have been led toward, and subjected to, is that we don't need anybody else and we can be our own little island. I'm sorry, but I don't believe that is a good philosophy. If you take a good look at this modern world, you will see that we are living in an age of connections. The World is a clustered network of constantly moving parts and if you don't have a solid plan that is nimble and able to adapt quickly to changes, then you are going to get bounced to the bottom. Not acting is an action.
We talk about being conservative. We talk about being self-reliant. We are going to be dependent on the government, because the government plays a major role in the medical industry and the major source of income for the elderly is Social Security. How is all of this going to work when the government starts cutting back on healthcare and slows down the growth of payments of Social Security? Does that sound like a promising future?
Hickory's scenario could play out with various enclaves of poor folks and a very wide distribution of income classes. If we continue down this path and this all plays out, we will see the vast majority of our citizens fall into the following three categories. There will be an asset rich, but cash poor class of people who may have inherited property, but cannot find a job with substantial income. They will be able to pay their bills, but they won't have much disposable income. The next group of people will be the people who are indigenous to the area, who are asset poor and just trying to make ends meet. They will be the people who fill positions in the fast food and retail industry. And the last group will be the immigrants who have come to the area. They are willing to work for minimum wage or just over minimum wage and they will do the physical labor jobs for the elderly at cheap rates.
The reality of business is that if the money's there and the market's there, you can afford to make a few mistakes. The more dynamic the market; the greater the chances of success. If the money is there, people are willing to pay for the product, and you have the patience, then eventually you will succeed. If you are in a marketplace where people aren't willing and/or able to pay the "Top Line" price, then you aren't going to be able to stay in business. In Hickory, we are getting into a situation where most people don't have the disposable income necessary to support local businesses. At the least, local area businesses have seen their margin of error cut to practically zero. On the path we are on, we are going to see more and more businesses closing their doors.
We have some leaders who think we are in suspended animation and nothing is happening economically. Granted the economy is terrible in the private sector, as far as income and capital go. But, we have to be laying solid plans to try and turn things around. There is still activity happening and we need to muscle our way in on the action. Even if we are in a stagnant economy, we have to make plans for when things do get better or they never will get better. Mindsets are being formed as relationships are occurring today. Pieces are being put in place. These plans may not get funded and may not bloom until later, but we still have to make those plans as though they are going to happen.
It's like farming. As soon as fall harvest is over and winter begins, then you have to start making plans for Spring planting. It might be a long winter. It might be a rainy Spring. You might have frost come along and kill your blossoms. There are no guarantees in good times or in bad. The only guarantee is that if you don't sow the seeds, then you won't reap the harvest.
We think that things are going to turn around and then we are going to jump on the top of the heap. It doesn't work like that. "New Energy" is already happening and we are still talking. These are just buzzwords to a lot of people around here. Heck, Scott Millar has become a buzzword that I am sure that even Scott is tired of hearing. We don't need buzzwords. We need action. If you've heard about it from the mainstream media, then that is an opportunity that is already gone.
The City recently formed a task force to study how to help small business and the only initiative that looks to be moving forward from that group is the creation of a commission to study how to help small business. I am sure that we will see a ton of money thrown in this direction. If I want to watch something chase its tail, I'll get a dog.
Scott Millar and Danny Hearn have taken action, but these gentlemen have more than a plate full. I have personally seen it. It is my opinion, that they don't need any more tasks heaped upon them. If I am a city official or area representative, I am not going to ask how I can help them, I am going to demand that they let me help them. Cold calls, cold calls, cold calls...
We have these bookend data centers, but we are dropping the ball on the high speed fiber-optic lines that should be coming along with the advent of those data centers. That fiber-optic pipeline can be a game changer. That is an asset that we need moving forward. I really don't think our local leaders understand how necessary those lines are. That surely can't be blamed on myself and other technologists in this area. Everyone in the know, knows how necessary those lines are.
I am sorry that this is not a rosy picture. I am just trying to be straightforward about the economic context of today. I really do believe that if we take some chances that we can turn this thing around. We don't need Scott Millar or Danny Hearn to do more. We need more people around here operating with their tenacious mentality. We need to do some things and quit paralyzing ourselves by worrying about mistakes. Mistakes allow for intellectual growth. Everyone makes mistakes, the most successful people learn from them and turn that lesson into an advantage. It is time for action and if the powers that be want to shut me up, then action is the best way to do it.
In my career of labor, I have actually seen people who spend more energy trying to get out of working than if they would just do their job. Let's all just do a job. We need to all contribute. Too many people around here have bought into hope. They hope that things will get better. People who hope are looking for others to be their salvation. They are looking for others to do the hard work that they can piggy back on. We need to find faith. Faith means that you work hard, pay attention, change what needs to be changed, stay as composed as possible, and believe in your mission; and if you do that, then things will turn out well in the end. Faith allows you to empower yourself.
I would like to thank Harry Hipps and Joe Brannock for lending me advice and contributing to this article. I could not have done it without them.
Personally, recognition does not matter to anyone associated with the Hound. Why would all of the time, efforts, and personal risks be put at stake over petty concerns such as ego. Ego usually comes from materialistic and simple desires. Look at Harry Hipps and myself. We enjoy associating ourselves with the underdogs and the humble, because from down here the greatest rewards will be found, we will stand at the forefront of cultural change and justice.
In dealing with that certain level of humility, you should not think that we aren't confident in our mission, we are. We believe that Catawba County, the Economic Development Corporation, and the Chamber of Commerce have taken steps towards addressing our area's future. Sadly, we don't think the City of Hickory is on the same page as everyone else. Most everyone recognizes that our young people have been leaving this area in droves and the median age of our community is advancing rapidly, but the City of Hickory has insisted that retirees remain the focal point, even when it has been shown that the majority of people understand the long range implications of such an endeavor. It is clear that our demographics are moving way out of kilter.
The most important accomplishment that the Hound has brought to bare is focusing on the fact that the lack of jobs and job quality is the most important issue our community faces. I think that the mindset has changed to where we are all finally on the same page when it comes to the jobs issue. Unfortunately, since we were late to the party, it is going to be a harder struggle to get back to level ground and, as Danny Hearn and Scott Millar have stated, we must stabilize the economy before we can begin growing again. The key is going to be how we go about taking action on the jobs issue.
The people of Hickory have demonstrated their ambivalence about city leadership and I am not saying this to belittle our city leadership. Approximately 2,300 people (out of an electorate of over 27,000 people = 8.5%) voted in the last election. No one ran against Mayor Wright or Alder Sally Fox, Alder Jill Patton was overwhelmingly re-elected, and the only change was that Hank Guess soundly defeated Z. Anne Hoyle. I don't know why so few people voted in Hickory. My thought process leads me to believe that either people don't care or they think that Hickory City Council is irrelevant in the face of the power of Washington and Raleigh. Either mindset is a disastrous statement about Hickory's future.
We still have the same economic problems as one year ago and sadly the exact same economic outlook for the immediate future. But, we can't blame Washington or Raleigh. Look at the city bragging about all of the stimulus money we received from Washington and it has been stated that statistically the State of North Carolina invested over 40% of it's Economic Development Dollars in Catawba County in 2009. Can we really say that it is us against the world when we can clearly see that money is flowing to this area from the State and Federal Government?
What should Hickory's priorities be moving forward? If our leaders continue to be intent on blaming others for our woes, then it is time for Hickory's leaders to step up to the plate and do something about changing the perception of how Hickory is viewed and treated by those "others."
Hickory needs a strong legislative strategy. The City and other leaders in the area need to step up to the plate and begin to aggressively lobby for a new Economic Development Region to be created by the State Legislature; combining some of Advantage West and the Charlotte Partnership regions and placing Hickory as the hub of said region. Hickory can either continue to blame others for our economic lot in life, or Hickory can stand up and take control of our own economic future and destiny. This would also give our do nothing legislators (Allran/Hilton) something to focus on and work toward. If they can't, or are unwilling to deliver, we have all the more reason to replace them both.
I think our main focus must be on economics (Jobs and Capital obtainment, creation, and infusion), everything else is secondary. Moreover, by focusing on economics, everything else should fall in place.
Hickory's current social structure problems:
1 - ineffective local government.Hickory's (possible) solutions:
2 - lack of open, vigorous debate on public policies.
3 - local media's unwillingness to stimulate open, public debate on issues that truly matter.
4 - local citizens' apathy toward their community.
1 - This is an election year. We have to have accountability from elected officials. We have to hear where they stand on the issues and what strategies they are looking forward to introducing and implementing during the upcoming term.
2 - Hickory Young Professional's Group is completely underutilized. These are our best and brightest young people. They must be groomed for participation and future leadership positions. As this group goes, so will the future of this community. These are the tender plants of Spring that have the potential of producing huge rewards in the near future or will they wither and find the path of least resistance by moving out of here before we can reap that harvest.
3 - I really would like to see a point-counterpoint discussion of issues done in the Hickory Daily Record and on Hal Row's First Talk show. We need a lively and vigorous discussion of the issues and these are truly the only media forums devoted to this area. Give everyone the topics and/or questions ahead of time and let them really think about it and then let's truly go into some depth on pertinent issues. Frankly, I am sick of hearing the same ole talking points bandied about over and over and over again by the same ole usual suspects. You want to sell some papers? You want to sell some ad time? Free and Effective Content. Let's Go.
4 - The idea of an Economic and Science Fair is sound. Local businesses and government can sponsor the event. We just need to get the ball going and get the word out so that folks can get started. I could envision holding the first such event in the early Spring of 2011. Why couldn't Alexander County, Burke County, Catawba County, Lincoln County, and the City of Hickory contribute $10,000 each = $50,000. Pepsi, CommScope, Corning Cable, EDC, etc $10,000 each = Grand total $100,000+. The other municipalities in the metro could also invest. Set-up a 501(c)3 non-profit to oversee the "Fair"; as an offshoot possibly, we could see a private "micro-lending" organization facilitate the implementation of ideas, concepts, innovation and inventions that would come out of such an event.
5 - We have to continue the "good fight" against the status quo. It is a conflict of human instincts to want better, while at the same time wanting to feel a sense of comfort and security. We have to understand that any level of change will bring uncertainty and therefore anxiety. We can no longer allow officials to tell us this is going to be our year. We have to make it our year. There is a reason why we have been behind the 8-ball. Sometimes it is imperative that you rock the boat and these are those times. Rocking the boat will separate the wheat from the chaff.
I am not going to belittle Brownfields, Operation No vacancy, or Graffiti, because these issues are relevant to our community, but they will not change the dynamics of the local economy. We need to have a bold agenda of action that will attack the negative economic momentum we are suffering from on all fronts. We have to change the mindset of the people around here. We have to get people to care about their plight and help them to see that they have a role to play in solving their own problems. There is no magic bullet.
Personally, I get tired of being a broken record, but why is that? Because nothing gets changed or resolved. We have people in positions of power that are tone deaf. The same small cadre runs around from group to meeting to function and they don't see the big picture. Changing people, and getting a larger perspective, is more important than changing venues. They don't see what the average person in this community is going through. This community will only be as strong as its middle class and that middle class is rapidly dwindling.
For far too long, we have seen leaders in the community that have served their own special interests instead of representing everyone in the community. The same sections of town continue to get attention, while the same orphaned areas in the community continue to become more and more dilapidated. The owners of these dilapidated buildings are not suffering anywhere near as much as the people who live in the neighborhoods surrounding them. It is the owners of these buildings who have dropped the ball and it is they who should fix their own building or please do the responsible thing and tear it down. I am curious to know how many of these disrepaired buildings are associated with absentee owners who no longer live in Hickory and thus aren't constantly reminded of the blight?
Poor people have codes enforced on them expeditiously, everyone remains up in arms about the old Buffalo's site that has seen the building demolished, yet the old D&D Trucking building continues to rot on Hwy 127, in the heart of downtown, with nary a peep to be heard. It is these kinds of arbitrary judgments and governance that leave many of us wondering about justice. We have been told that most of these buildings are not fit for modern manufacturing and it is clear that the real estate market will not be coming back any time soon. Plus, we are not going to see the kind of population demand and capacity that would demand that much mixed use or retail in these areas.
That means that these buildings could very easily sit around for decades and at that time they will probably be torn down anyway. Operation Tear It Down would reduce the number of old buildings, would eliminate the worst of the lot, and increase the value of the most viable buildings. It would also be the best alternative in cleaning up some of Hickory's most blighted areas. People are going to have to realize that these are just buildings. Marketplaces are determined by people, not buildings. If these buildings aren't viable, then they just aren't viable.
If something is not done Hickory will become irrelevant, if it isn't already. Look where the growth is in this area. It is in the eastern part of the county. Why is that? Because it is being pulled by gravitation towards Charlotte's economy, which while in recession is a lot more dynamic than Hickory's and that isn't necessarily because of size. Hickory is unfortunately built around keeping things cheap and cheap has a tendency to feed off of itself. We can't sell $250,000 condos, have nice gourmet cuisine, specialized bakeries, operate top-notch clubs, or do anything to attract industries of "the finer things in life" until we fix the economic structure of this community. We just don't have enough demand to create a viable market. People either cannot or will not pay for quality. Culturally, most people in this city don't understand what quality is and they are willing to bargain over it. As much as cheap begets cheap, quality begets quality.
I am told by mentors that we are in a generational fight. They tell me that the younger generations are simply going to have to wait their turn to bring forth ideas focused on growth. Folks, the younger generations are folding their hands and walking away from the table already. The die is being cast. If Hickory does not bring forth bold measures, it will soon resemble a scene from the movie "Cocoon."
Things aren't going to change around here through a political process. It's about the mindset. Look at how Charlotte and Duke Power are focused on new energy. They're retaining their financial capacity and facilitating micro-lending to help entrepreneurs. They have expanded their culinary scene substantially over the years. Restaurant and Hospitality is a real industry that is thriving throughout the Charlotte area. Charlotte has a new biomass center and they have recently opened a Superfund cleanup site. UNC-Charlotte has laid biotech plans that are interconnected with the biotech center in Kannapolis. Concord's retail center and race track are attached to Charlotte at the hip.
Charlotte has sown seeds that will continue to blossom in the upcoming years and Hickory has too. We're going to have more eldercare facilities, doctors, medical industry, cheap housing, fast food, cheap groceries, cheap retail, and cheap labor. The sad thing is that when Charlotte talks about being a hub of economic growth, it stops right at Catawba County. If you don't believe me, ask people that have seen Charlotte's transportation plans looking to future growth.
The thought process that we have been led toward, and subjected to, is that we don't need anybody else and we can be our own little island. I'm sorry, but I don't believe that is a good philosophy. If you take a good look at this modern world, you will see that we are living in an age of connections. The World is a clustered network of constantly moving parts and if you don't have a solid plan that is nimble and able to adapt quickly to changes, then you are going to get bounced to the bottom. Not acting is an action.
We talk about being conservative. We talk about being self-reliant. We are going to be dependent on the government, because the government plays a major role in the medical industry and the major source of income for the elderly is Social Security. How is all of this going to work when the government starts cutting back on healthcare and slows down the growth of payments of Social Security? Does that sound like a promising future?
Hickory's scenario could play out with various enclaves of poor folks and a very wide distribution of income classes. If we continue down this path and this all plays out, we will see the vast majority of our citizens fall into the following three categories. There will be an asset rich, but cash poor class of people who may have inherited property, but cannot find a job with substantial income. They will be able to pay their bills, but they won't have much disposable income. The next group of people will be the people who are indigenous to the area, who are asset poor and just trying to make ends meet. They will be the people who fill positions in the fast food and retail industry. And the last group will be the immigrants who have come to the area. They are willing to work for minimum wage or just over minimum wage and they will do the physical labor jobs for the elderly at cheap rates.
The reality of business is that if the money's there and the market's there, you can afford to make a few mistakes. The more dynamic the market; the greater the chances of success. If the money is there, people are willing to pay for the product, and you have the patience, then eventually you will succeed. If you are in a marketplace where people aren't willing and/or able to pay the "Top Line" price, then you aren't going to be able to stay in business. In Hickory, we are getting into a situation where most people don't have the disposable income necessary to support local businesses. At the least, local area businesses have seen their margin of error cut to practically zero. On the path we are on, we are going to see more and more businesses closing their doors.
We have some leaders who think we are in suspended animation and nothing is happening economically. Granted the economy is terrible in the private sector, as far as income and capital go. But, we have to be laying solid plans to try and turn things around. There is still activity happening and we need to muscle our way in on the action. Even if we are in a stagnant economy, we have to make plans for when things do get better or they never will get better. Mindsets are being formed as relationships are occurring today. Pieces are being put in place. These plans may not get funded and may not bloom until later, but we still have to make those plans as though they are going to happen.
It's like farming. As soon as fall harvest is over and winter begins, then you have to start making plans for Spring planting. It might be a long winter. It might be a rainy Spring. You might have frost come along and kill your blossoms. There are no guarantees in good times or in bad. The only guarantee is that if you don't sow the seeds, then you won't reap the harvest.
We think that things are going to turn around and then we are going to jump on the top of the heap. It doesn't work like that. "New Energy" is already happening and we are still talking. These are just buzzwords to a lot of people around here. Heck, Scott Millar has become a buzzword that I am sure that even Scott is tired of hearing. We don't need buzzwords. We need action. If you've heard about it from the mainstream media, then that is an opportunity that is already gone.
The City recently formed a task force to study how to help small business and the only initiative that looks to be moving forward from that group is the creation of a commission to study how to help small business. I am sure that we will see a ton of money thrown in this direction. If I want to watch something chase its tail, I'll get a dog.
Scott Millar and Danny Hearn have taken action, but these gentlemen have more than a plate full. I have personally seen it. It is my opinion, that they don't need any more tasks heaped upon them. If I am a city official or area representative, I am not going to ask how I can help them, I am going to demand that they let me help them. Cold calls, cold calls, cold calls...
We have these bookend data centers, but we are dropping the ball on the high speed fiber-optic lines that should be coming along with the advent of those data centers. That fiber-optic pipeline can be a game changer. That is an asset that we need moving forward. I really don't think our local leaders understand how necessary those lines are. That surely can't be blamed on myself and other technologists in this area. Everyone in the know, knows how necessary those lines are.
I am sorry that this is not a rosy picture. I am just trying to be straightforward about the economic context of today. I really do believe that if we take some chances that we can turn this thing around. We don't need Scott Millar or Danny Hearn to do more. We need more people around here operating with their tenacious mentality. We need to do some things and quit paralyzing ourselves by worrying about mistakes. Mistakes allow for intellectual growth. Everyone makes mistakes, the most successful people learn from them and turn that lesson into an advantage. It is time for action and if the powers that be want to shut me up, then action is the best way to do it.
In my career of labor, I have actually seen people who spend more energy trying to get out of working than if they would just do their job. Let's all just do a job. We need to all contribute. Too many people around here have bought into hope. They hope that things will get better. People who hope are looking for others to be their salvation. They are looking for others to do the hard work that they can piggy back on. We need to find faith. Faith means that you work hard, pay attention, change what needs to be changed, stay as composed as possible, and believe in your mission; and if you do that, then things will turn out well in the end. Faith allows you to empower yourself.
I would like to thank Harry Hipps and Joe Brannock for lending me advice and contributing to this article. I could not have done it without them.
Wednesday, November 26, 2008
Tax Money Spent on Downtown Interests from 2002 to Present
Here is a link of investments made by the City of Hickory in "Downtown Hickory" since 2002.
I got these numbers by reading the minutes of City Council meetings published online. These grants were approved in the consent agenda or directly approved by vote during City Council meetings.
By looking at the numbers, we can see that the vast majority of these grants and studies were done for the benefit of the area in the immediate vicinity of Union Square. 41 of 47 of these grants (87.2%) have been made within 4 blocks of the geographic center of the city.
55.3% of the total number of downtown grants were awarded to these City Center Private Businesses and the dollar amount totaled 23.3% of all downtown grants. The use of these grants included; replacing doors and/or windows, renovating facades, demolition, replacing awnings, landscaping, parking, and painting.
There has also been hundreds of thousands of dollars that have been directly allocated to the Hickory Downtown Development Association.
In the Hounds Opinion :
These numbers show a lack of singular purpose. It seems that people are just flailing away in the dark trying to make downtown work, but the equation just doesn't make sense. Come on, this darkness is self-imposed. Everyone that has lived here for the last 20 years knows what the problems are. We don't need more studies. Consultants have told city officials what needs to be done and it has been conveniently ignored, because it doesn't fit certain people's agenda.
An example? Consultants said that we needed more 4 hour parking downtown in 2002 (council meeting of June 16, 2002) and yet it was insignificantly addressed at the time. Guess what? It was reintroduced in the Catawba Valley Neighbor's article a month ago. The vast majority of the time it wouldn't matter if you allowed people to have extended parking times. Someone down there doesn't realize that having customers (and not running them off) is important to having a viable commercial area.
The tenants want Valley Hills Mall type revenues, but they want the bargain basement lease rates that they pay to operate on and around Union Square. They would never stand for paying half of what Valley Hills Mall tenants pay. Here in lies one of the major issues, because low rent equals low profit for property owners and thus low reinvestment in that property. You don't get something for nothing; cheap begets cheap.
A successful major retail anchor tenant would necessitate a complete change in the existing infrastructure (and philosophy) of the downtown area. Having more customers would lead to more revenues, but it would also mean more traffic on existing downtown streets and surrounding neighborhoods.. Would the Oakwood neighborhood stand for this?
It is my opinion, that the current cabal that runs downtown would not stand for a more robust downtown area and the traffic that would bring. These are the same people that so adamently opposed Lowe's Home Improvement on Hwy 127 and they did everything in their power to stifle the progress of the 127 corridor. Look at the minutes of the City Council meeting on November 16, 2004. The people that were opposed to that development are the same people that are heavily involved in the Hickory Downtown Development Association. No wonder our downtown is such a mess!
It is our opinion that these grants to private entities need to end. What is the citizenry getting out of this commercial welfare? For one of these $5,000 grants, the city could be obtaining close to $100,000 in funding, by using that money to pay for interest on the issuance of bonds. That would be more beneficial to our city. Grant money should be going towards creating commerce (and jobs), not towards beautification projects that create nothing. These grants are arbitrary and thus unfair. If the city is going to give certain businesses $5,000 for renovation, then they should give every business $5,000 for renovation.
The Hound's braintrust have some ideas on how to give downtown a new purpose, but we aren't going to propose these ideas yet, because we feel that people with a vested interest in downtown's current circumstances will not allow this vision to be properly vetted. Hickoryites are going to have to say, "No More!"
Union Square may be the geographic city center of old Hickory and historically it deserves to have a purpose, but we all know that it is no longer the economic center of this city. We don't need to force a square peg into a round hole by needlessly trying to return to the days of yesteryear. Nostalgia is great to dream of, but it becomes a burden on our economy by trying to implement a 1960s mentality into a 2010 world.
It is time that we move forward. There are issues in this city that have needed to be addressed for years. It is time to start developing the city as a whole. It is time to quit neglecting the rest of Hickory just to humor a few merchants in downtown Hickory. It isn't fair, it isn't just, and it isn't right.
I got these numbers by reading the minutes of City Council meetings published online. These grants were approved in the consent agenda or directly approved by vote during City Council meetings.
By looking at the numbers, we can see that the vast majority of these grants and studies were done for the benefit of the area in the immediate vicinity of Union Square. 41 of 47 of these grants (87.2%) have been made within 4 blocks of the geographic center of the city.
55.3% of the total number of downtown grants were awarded to these City Center Private Businesses and the dollar amount totaled 23.3% of all downtown grants. The use of these grants included; replacing doors and/or windows, renovating facades, demolition, replacing awnings, landscaping, parking, and painting.
There has also been hundreds of thousands of dollars that have been directly allocated to the Hickory Downtown Development Association.
In the Hounds Opinion :
These numbers show a lack of singular purpose. It seems that people are just flailing away in the dark trying to make downtown work, but the equation just doesn't make sense. Come on, this darkness is self-imposed. Everyone that has lived here for the last 20 years knows what the problems are. We don't need more studies. Consultants have told city officials what needs to be done and it has been conveniently ignored, because it doesn't fit certain people's agenda.
An example? Consultants said that we needed more 4 hour parking downtown in 2002 (council meeting of June 16, 2002) and yet it was insignificantly addressed at the time. Guess what? It was reintroduced in the Catawba Valley Neighbor's article a month ago. The vast majority of the time it wouldn't matter if you allowed people to have extended parking times. Someone down there doesn't realize that having customers (and not running them off) is important to having a viable commercial area.
The tenants want Valley Hills Mall type revenues, but they want the bargain basement lease rates that they pay to operate on and around Union Square. They would never stand for paying half of what Valley Hills Mall tenants pay. Here in lies one of the major issues, because low rent equals low profit for property owners and thus low reinvestment in that property. You don't get something for nothing; cheap begets cheap.
A successful major retail anchor tenant would necessitate a complete change in the existing infrastructure (and philosophy) of the downtown area. Having more customers would lead to more revenues, but it would also mean more traffic on existing downtown streets and surrounding neighborhoods.. Would the Oakwood neighborhood stand for this?
It is my opinion, that the current cabal that runs downtown would not stand for a more robust downtown area and the traffic that would bring. These are the same people that so adamently opposed Lowe's Home Improvement on Hwy 127 and they did everything in their power to stifle the progress of the 127 corridor. Look at the minutes of the City Council meeting on November 16, 2004. The people that were opposed to that development are the same people that are heavily involved in the Hickory Downtown Development Association. No wonder our downtown is such a mess!
It is our opinion that these grants to private entities need to end. What is the citizenry getting out of this commercial welfare? For one of these $5,000 grants, the city could be obtaining close to $100,000 in funding, by using that money to pay for interest on the issuance of bonds. That would be more beneficial to our city. Grant money should be going towards creating commerce (and jobs), not towards beautification projects that create nothing. These grants are arbitrary and thus unfair. If the city is going to give certain businesses $5,000 for renovation, then they should give every business $5,000 for renovation.
The Hound's braintrust have some ideas on how to give downtown a new purpose, but we aren't going to propose these ideas yet, because we feel that people with a vested interest in downtown's current circumstances will not allow this vision to be properly vetted. Hickoryites are going to have to say, "No More!"
Union Square may be the geographic city center of old Hickory and historically it deserves to have a purpose, but we all know that it is no longer the economic center of this city. We don't need to force a square peg into a round hole by needlessly trying to return to the days of yesteryear. Nostalgia is great to dream of, but it becomes a burden on our economy by trying to implement a 1960s mentality into a 2010 world.
It is time that we move forward. There are issues in this city that have needed to be addressed for years. It is time to start developing the city as a whole. It is time to quit neglecting the rest of Hickory just to humor a few merchants in downtown Hickory. It isn't fair, it isn't just, and it isn't right.
Friday, March 13, 2009
The Future is Now
Click the Link to Check out Catawba County Chamber of Commerce President Danny Hearn's article in the Hickory Daily Record on Sunday, March 15, 2009 entitled Future Economy Council Ahead of the Curve (unpublished on the Web).
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Harry Hipps and I discussed our thoughts about issues involving the Future Economy Council. Of course, we want to be transparent, open, and honest about how issues directly impact this community’s future. We will inform and make everyone aware of the different types of dynamics that may be happening in our world and how quickly these impacts may change the world as we know it. We are living in exponential times and that is a scary proposition, but these challenges must be met head-on or our community will continue to fall further and further behind.
Yes, this is overwhelming to many people. The indigenous inhabitants of this area remember when the population was half the size that it is now. Now we are part of a global experience that scares many of our citizens. But, we cannot stop that change!!!
As Dr. Jane Everson defined, our community must become “nimble,” especially during these drastically changing times. These times will require a lot of creative and critical thinking. Most of our citizens are wary of this type of rapid change and suffering Anxiety at the thought of having to adjust to such a different world. Such change can lead to fight or flight syndrome and it will be the Future Economy Council’s responsibility to help adjust our citizenry’s mode of thinking.
Why are people so scared and reluctant to address these issues of change? Why be scared when you are powerless to stop it? If you can’t beat it, join it. The exponential rate of change is not stopping. Some of us have come to that understanding and embraced this new world, but some people remain in a state of denial.
The number one issue our area faces is the jobs issue. People must come to the realization that careers will no longer be determined by specific tasks. Employment will be determined by broader generalities. You will have to define yourself by the strength of your skill-sets. Whatever you are good at and your niche and interests will determine your career. These manifestations of your unique, and in many ways inherent, skill-sets will determine what you can do.
It will be important to increase the education of the workforce to achieve the flexibility, malleability, and diversity that any industry needs to move forward. The bottom line is that we are going to have to get the basics (reading, writing, and arithmetic) down before we can move to the levels of critical thinking that we need to move forward in this exponentially changing world.
The overwhelming nature of the change that is ahead can make people feel lost, but does that really matter? We have to work on giving young people a firm foundation of values and principles, to establish their well-being. Young people lose their identity when they’re morality is not built upon substance. The result is that they turn to ways of escape from stress. They start drinking and using drugs, which leads to bad consequences that put them behind at a young age. Many times these young people have developed into something that they really don’t understand.
It is debatable how developed that young people are after they graduate from high school or college. We all know that there is development, but at what critical level? The basic mindset may be established, but when these young people advance to the next stage of development, many times they regress to a stage that they are more comfortable with. Many people of our younger generation become accepting of mediocrity. But, what they have to understand is that nothing ever stands still. You are either progressing or you are regressing. Education and attainment of knowledge only end after you leave this life.
I believe that was what Jay Adams was getting at, at this meeting, when talking about the current economic mindset of the local community… (summarizing) that over the last nine years we have become lean and that has in many ways put us in a strong position, but we have also adapted down and become accepting of this extreme level of cost containment at the expense of growth. In my opinion that is an acceptance of mediocrity, because if we aren’t willing to take chances and make some riskier investments in this community, then we will never get back to experiencing dynamic economic growth. Cheap Begets Cheap!!!
One of the main issues that our nation faces is that we have been shielding people from the consequences of their actions. Most people fail due to their own actions, yet we have created moral hazards that encourage the least common denominators in society. We cannot sustain this current way of thinking. We aren’t growing the economy, we are punishing everyone that creates growth in the economy, and we are encouraging the worst of the lot.
The worst part of our system is that our Government is constantly riding roughshod over the little guy. They don’t go after the powerful special interests, unions, agencies, or corporations; but they are systematically nickel and diming small businesses out of existence by creating a nasty regulatory environment and barriers to entry for upstart entrepreneurs. Not only that, but government in all forms is eating up the world’s capital pool, by bellying up to the trough and borrowing money to spend on gluttonous, wasteful expenditures. This is being done at the expense of capitalism and the free market.
Our culture is not going to accept the government crowding out our way of life. We are going to see Black Markets and fraud spring up, if the government continues down this path. That will delegitimize our society, because people will begin bartering and trading goods and services to keep the money away from the government. You will also see professionals get desperate and play with the bills and the books. Why should we criminalize our citizens, by creating more and more regulations that cannot be understood or adhered to? Look at the tax laws that are already on the books. Do you think that system is working?
Did you see today where the Chinese government asked for assurances and guarantees that the United States would meet its debt obligations? What will the implications of that be? What will that mean to our freedom?
We want creativity. That creativity will lead to progress. Creativity will not come without incentives. We cannot afford to kill the incentives towards growth. Yet, this monolithic character called Social Government has the ability to destroy the individuality needed to inspire creativity. That is what happened in the Soviet Union and in Maoist China. Those countries suffered through decades of darkness.
It is understandable that people are apprehensive about what the human race is currently experiencing. We must advance ourselves, both as individuals and as a community, but neither should be done at the expense of the other. What is happening is more than a change in lifestyle. It is a redefinition of life itself. That is a frightening concept, but we cannot stop it, nor should we try to stop it. For trying to stop what this world is now experiencing could lead to cataclysmic consequences for mankind.
We cannot afford to run and hide, either at the local level or at the world level. We have everything to gain by participating in the global community, but we must prepare ourselves to be successful in such a world. That is what Harry Hipps and I hope this “Futures Economy Council” can do; establish the creation of a road map of preparation to help Catawba County, as well as the region, move successfully forward into the future.
------------------------------------------------------------------------------------------------
Harry Hipps and I discussed our thoughts about issues involving the Future Economy Council. Of course, we want to be transparent, open, and honest about how issues directly impact this community’s future. We will inform and make everyone aware of the different types of dynamics that may be happening in our world and how quickly these impacts may change the world as we know it. We are living in exponential times and that is a scary proposition, but these challenges must be met head-on or our community will continue to fall further and further behind.
Yes, this is overwhelming to many people. The indigenous inhabitants of this area remember when the population was half the size that it is now. Now we are part of a global experience that scares many of our citizens. But, we cannot stop that change!!!
As Dr. Jane Everson defined, our community must become “nimble,” especially during these drastically changing times. These times will require a lot of creative and critical thinking. Most of our citizens are wary of this type of rapid change and suffering Anxiety at the thought of having to adjust to such a different world. Such change can lead to fight or flight syndrome and it will be the Future Economy Council’s responsibility to help adjust our citizenry’s mode of thinking.
Why are people so scared and reluctant to address these issues of change? Why be scared when you are powerless to stop it? If you can’t beat it, join it. The exponential rate of change is not stopping. Some of us have come to that understanding and embraced this new world, but some people remain in a state of denial.
The number one issue our area faces is the jobs issue. People must come to the realization that careers will no longer be determined by specific tasks. Employment will be determined by broader generalities. You will have to define yourself by the strength of your skill-sets. Whatever you are good at and your niche and interests will determine your career. These manifestations of your unique, and in many ways inherent, skill-sets will determine what you can do.
It will be important to increase the education of the workforce to achieve the flexibility, malleability, and diversity that any industry needs to move forward. The bottom line is that we are going to have to get the basics (reading, writing, and arithmetic) down before we can move to the levels of critical thinking that we need to move forward in this exponentially changing world.
The overwhelming nature of the change that is ahead can make people feel lost, but does that really matter? We have to work on giving young people a firm foundation of values and principles, to establish their well-being. Young people lose their identity when they’re morality is not built upon substance. The result is that they turn to ways of escape from stress. They start drinking and using drugs, which leads to bad consequences that put them behind at a young age. Many times these young people have developed into something that they really don’t understand.
It is debatable how developed that young people are after they graduate from high school or college. We all know that there is development, but at what critical level? The basic mindset may be established, but when these young people advance to the next stage of development, many times they regress to a stage that they are more comfortable with. Many people of our younger generation become accepting of mediocrity. But, what they have to understand is that nothing ever stands still. You are either progressing or you are regressing. Education and attainment of knowledge only end after you leave this life.
I believe that was what Jay Adams was getting at, at this meeting, when talking about the current economic mindset of the local community… (summarizing) that over the last nine years we have become lean and that has in many ways put us in a strong position, but we have also adapted down and become accepting of this extreme level of cost containment at the expense of growth. In my opinion that is an acceptance of mediocrity, because if we aren’t willing to take chances and make some riskier investments in this community, then we will never get back to experiencing dynamic economic growth. Cheap Begets Cheap!!!
One of the main issues that our nation faces is that we have been shielding people from the consequences of their actions. Most people fail due to their own actions, yet we have created moral hazards that encourage the least common denominators in society. We cannot sustain this current way of thinking. We aren’t growing the economy, we are punishing everyone that creates growth in the economy, and we are encouraging the worst of the lot.
The worst part of our system is that our Government is constantly riding roughshod over the little guy. They don’t go after the powerful special interests, unions, agencies, or corporations; but they are systematically nickel and diming small businesses out of existence by creating a nasty regulatory environment and barriers to entry for upstart entrepreneurs. Not only that, but government in all forms is eating up the world’s capital pool, by bellying up to the trough and borrowing money to spend on gluttonous, wasteful expenditures. This is being done at the expense of capitalism and the free market.
Our culture is not going to accept the government crowding out our way of life. We are going to see Black Markets and fraud spring up, if the government continues down this path. That will delegitimize our society, because people will begin bartering and trading goods and services to keep the money away from the government. You will also see professionals get desperate and play with the bills and the books. Why should we criminalize our citizens, by creating more and more regulations that cannot be understood or adhered to? Look at the tax laws that are already on the books. Do you think that system is working?
Did you see today where the Chinese government asked for assurances and guarantees that the United States would meet its debt obligations? What will the implications of that be? What will that mean to our freedom?
We want creativity. That creativity will lead to progress. Creativity will not come without incentives. We cannot afford to kill the incentives towards growth. Yet, this monolithic character called Social Government has the ability to destroy the individuality needed to inspire creativity. That is what happened in the Soviet Union and in Maoist China. Those countries suffered through decades of darkness.
It is understandable that people are apprehensive about what the human race is currently experiencing. We must advance ourselves, both as individuals and as a community, but neither should be done at the expense of the other. What is happening is more than a change in lifestyle. It is a redefinition of life itself. That is a frightening concept, but we cannot stop it, nor should we try to stop it. For trying to stop what this world is now experiencing could lead to cataclysmic consequences for mankind.
We cannot afford to run and hide, either at the local level or at the world level. We have everything to gain by participating in the global community, but we must prepare ourselves to be successful in such a world. That is what Harry Hipps and I hope this “Futures Economy Council” can do; establish the creation of a road map of preparation to help Catawba County, as well as the region, move successfully forward into the future.
Sunday, January 25, 2009
Light Rail to Charlotte: One Investment Worth Making
An excellent article appeared in today's Charlotte Observer. The article entitled, High-speed train to Atlanta? Speed drives the vision, raised many valid points about the rail route that runs between Charlotte and Atlanta.
You can read the article yourself to get a full understanding, but a few points are: 1) The only present Amtrak route to Atlanta leaves Charlotte at 2:45 a.m and arrives 5.5 hours later. 2) The top speed for the Charlotte-Atlanta route today is 79 mph, but the average speed is much lower, making the train noncompetitive -- a car trip takes 4 hours (1.5 hours less than by train).
Regional authorities want to update this route. They are currently only in planning stages, but the proposed goal is to get a route that averages 90 mph and would take between 3 hours, 31 minutes and 3 hours, 51 minutes to travel from Charlotte to Atlanta.
One of my visions of Hickory is to move back toward passenger rail service. I remember my grandfather (Leroy Shell) taking me when I was 9 years old in 1975 to see the last passenger train pass through Hickory. He used to work at the Hickory Railroad Station, the now rotting building, as a switch operator in the late 1940s up until around 1960. I never understood how big of a deal it was to lose that service at that time, but today I do.
I have seen the way that Charlotte's light rail system has taken off. Granted, it was doing much better over last summer when gas surpassed the $4 barrier. But, we all know that the price of gas will once again rise to those levels in the future; since global demand will not go away, we aren't moving towards increasing production, future alternatives are going to take time to come to fruition, and various other consequential factors.
I would like to see our regional transportation authority move toward creating a light rail line to Charlotte from the Hickory area. We all realize that this will not happen overnight, but I would like to see a study established on the basis of a 20 year plan. Hickory would be the hub of regional operations of this Western-Central North Carolina Light Rail Operation.
There have been other studies done before that haven't quite gotten off of the ground, such as the Report on Western North Carolina Rail Operations and Station Right-of-Way Acquisition released in 2002. I don't diminish the merits of this proposal at all. This plan is more Commercial in nature. A Light Rail plan would help Hickory embrace and develop its geographical relationship with Charlotte. I believe that these two plans can be integrated in some way.
The reintegration of webs of Light Rail Service connected to Commercial Rail Service would move us away from the automobile and towards fully integrated public transportation. Yes, this would take away individual independence as far as the relationship between transportation and time, but it will also take away individual responsibility. You won't have to control your own travel. You will just hop on that Light Rail Service that will take you to the Major hub in Charlotte and from there you will be able to travel pretty much anywhere in Continental America.
I have often dreamed about a day when I could drive (or ride a bus) to the local rail station, hop on a train, sit and relax, and ride to Wilmington. A few stops or a changeover doesn't change my desire for this day to be realized.
I know that this is just a dream at this point, but fruit bearing projects do begin with a dream. Is this project realistic and attainable? Most certainly. Most of the rail lines already exist. A few new connectors will need to be developed. Maybe instead of laying down more asphalt, the state and federal governments could see the worthiness of laying some rails instead.
The key is that this would be an excellent investment. As Charlotte's Metropolitan boundaries expand, they move closer and closer to Hickory's Metropolitan boundaries. Charlotte's larger population base is naturally going to wield more and more influence in this region. We cannot and should not shrink from that influence. We should take advantage of that influence and use it towards Hickory's benefit and enhancement.
The local governmental leaders and citizen's of our area are going to have to start looking towards this area as a region instead of as a collection of medium and small sized city's. We wield much more influence in Raleigh and in Washington when we point to the fact that we are from a metropolitan area that has a population of 400,000 people; instead of talking about Hickory's 40,000, Morganton's 17,000, Newton's 13,000, Lenoir's 18,000, or Conover's 7,000. Regional focus has accomplished a few goals, such as bringing attention toward the Water Transfer Issue. We must start coordinating our efforts more thoroughly when we head to the Capitals looking for capital.
The citizens of this area are going to have to understand that low taxes does not equal zero taxes. I am a conservative, but when I see the opportunity to make a fruitful investment, I am going to go for it. When benefits outweigh the risk of costs, then it is our obligation as a community to move forward toward such investments. Cheap begets Cheap. Our standard of living in this area has fallen behind, because of a lack of investment in this community. We cannot afford to let our community age and crumble. We must make investments toward growth or there will be none. It is our responsibilty and it is our obligation to move forward to the future.
There are other projects in this area that also deem worthiness. The Brownfield Projects come to mind. Besides taxes, there are other ways to raise these investment dollars. Local community bonds, styled after Liberty Bonds, could be sold to local citizens. Paying a little higher rate of interest on bonds issued locally might instill a sense of pride. It might also help garner more support and interest for these infrastructure projects.
I do not pretend to have all of the answers. I am sure that most of you can find some issues to play Devil's advocate about when it comes to these statements I have made here. I know something needs to be done to move this city forward. I feel that this belief that I have "that Light Rail to Charlotte would be an excellent investment" moves this community forward in a positive direction and it meets all of the Criteria and Objectives of the Hickory Hound.
I can understand everyone worrying about the burdens of today, but we cannot afford to become so wrapped up in the misery of today that we throw away the promise of tomorrow.
You can read the article yourself to get a full understanding, but a few points are: 1) The only present Amtrak route to Atlanta leaves Charlotte at 2:45 a.m and arrives 5.5 hours later. 2) The top speed for the Charlotte-Atlanta route today is 79 mph, but the average speed is much lower, making the train noncompetitive -- a car trip takes 4 hours (1.5 hours less than by train).
Regional authorities want to update this route. They are currently only in planning stages, but the proposed goal is to get a route that averages 90 mph and would take between 3 hours, 31 minutes and 3 hours, 51 minutes to travel from Charlotte to Atlanta.
One of my visions of Hickory is to move back toward passenger rail service. I remember my grandfather (Leroy Shell) taking me when I was 9 years old in 1975 to see the last passenger train pass through Hickory. He used to work at the Hickory Railroad Station, the now rotting building, as a switch operator in the late 1940s up until around 1960. I never understood how big of a deal it was to lose that service at that time, but today I do.
I have seen the way that Charlotte's light rail system has taken off. Granted, it was doing much better over last summer when gas surpassed the $4 barrier. But, we all know that the price of gas will once again rise to those levels in the future; since global demand will not go away, we aren't moving towards increasing production, future alternatives are going to take time to come to fruition, and various other consequential factors.
I would like to see our regional transportation authority move toward creating a light rail line to Charlotte from the Hickory area. We all realize that this will not happen overnight, but I would like to see a study established on the basis of a 20 year plan. Hickory would be the hub of regional operations of this Western-Central North Carolina Light Rail Operation.
There have been other studies done before that haven't quite gotten off of the ground, such as the Report on Western North Carolina Rail Operations and Station Right-of-Way Acquisition released in 2002. I don't diminish the merits of this proposal at all. This plan is more Commercial in nature. A Light Rail plan would help Hickory embrace and develop its geographical relationship with Charlotte. I believe that these two plans can be integrated in some way.
The reintegration of webs of Light Rail Service connected to Commercial Rail Service would move us away from the automobile and towards fully integrated public transportation. Yes, this would take away individual independence as far as the relationship between transportation and time, but it will also take away individual responsibility. You won't have to control your own travel. You will just hop on that Light Rail Service that will take you to the Major hub in Charlotte and from there you will be able to travel pretty much anywhere in Continental America.
I have often dreamed about a day when I could drive (or ride a bus) to the local rail station, hop on a train, sit and relax, and ride to Wilmington. A few stops or a changeover doesn't change my desire for this day to be realized.
I know that this is just a dream at this point, but fruit bearing projects do begin with a dream. Is this project realistic and attainable? Most certainly. Most of the rail lines already exist. A few new connectors will need to be developed. Maybe instead of laying down more asphalt, the state and federal governments could see the worthiness of laying some rails instead.
The key is that this would be an excellent investment. As Charlotte's Metropolitan boundaries expand, they move closer and closer to Hickory's Metropolitan boundaries. Charlotte's larger population base is naturally going to wield more and more influence in this region. We cannot and should not shrink from that influence. We should take advantage of that influence and use it towards Hickory's benefit and enhancement.
The local governmental leaders and citizen's of our area are going to have to start looking towards this area as a region instead of as a collection of medium and small sized city's. We wield much more influence in Raleigh and in Washington when we point to the fact that we are from a metropolitan area that has a population of 400,000 people; instead of talking about Hickory's 40,000, Morganton's 17,000, Newton's 13,000, Lenoir's 18,000, or Conover's 7,000. Regional focus has accomplished a few goals, such as bringing attention toward the Water Transfer Issue. We must start coordinating our efforts more thoroughly when we head to the Capitals looking for capital.
The citizens of this area are going to have to understand that low taxes does not equal zero taxes. I am a conservative, but when I see the opportunity to make a fruitful investment, I am going to go for it. When benefits outweigh the risk of costs, then it is our obligation as a community to move forward toward such investments. Cheap begets Cheap. Our standard of living in this area has fallen behind, because of a lack of investment in this community. We cannot afford to let our community age and crumble. We must make investments toward growth or there will be none. It is our responsibilty and it is our obligation to move forward to the future.
There are other projects in this area that also deem worthiness. The Brownfield Projects come to mind. Besides taxes, there are other ways to raise these investment dollars. Local community bonds, styled after Liberty Bonds, could be sold to local citizens. Paying a little higher rate of interest on bonds issued locally might instill a sense of pride. It might also help garner more support and interest for these infrastructure projects.
I do not pretend to have all of the answers. I am sure that most of you can find some issues to play Devil's advocate about when it comes to these statements I have made here. I know something needs to be done to move this city forward. I feel that this belief that I have "that Light Rail to Charlotte would be an excellent investment" moves this community forward in a positive direction and it meets all of the Criteria and Objectives of the Hickory Hound.
I can understand everyone worrying about the burdens of today, but we cannot afford to become so wrapped up in the misery of today that we throw away the promise of tomorrow.
Tuesday, November 10, 2009
Forget about Brain Drain. How about Brain Gain!!!
(From Wikipedia) - Brain drain or human capital flight is a large emigration of individuals with technical skills or knowledge, normally due to conflict, lack of opportunity, political instability, or health risks. Brain drain is usually regarded as an economic cost, since emigrants usually take with them the fraction of value of their training sponsored by the government. It is a parallel of capital flight which refers to the same movement of financial capital. The term was coined by the Royal Society to describe the emigration of "scientists and technologists" to North America from post-war Europe.
Brain drains are common amongst developing nations, such as the former colonies of Africa, the island nations of the Caribbean, and particularly in centralized economies such as former East Germany and the Soviet Union, where marketable skills were not financially rewarded.
The Hickory Metro's Economic Statistics correlate highly with those of Michigan, Ohio, and the rest of what is called America's Rust Belt. That area is also seeing a great loss of the younger demographic as manufacturing capacity and economic opportunity continue to decline. Here is a link to an article about how Detroit is addressing its issue of Brain Drain - Stopping Detroit's Brain Drain. There are a lot of other interesting subjects that are part of this CNN Money Series - Assignment Detroit. Although I don't think Hickory is to the level of Economic decay Detroit is, nor the scale of size, there are definitely some ideas here that our city should consider.
Here is a link to an article that was in this past Sunday's Parade Magazine entitled "A City for Entrepreneurs." The article is about how Cleveland, Ohio is attempting to foster start-up businesses in the city. Cleveland was once a platform where Standard Oil and General Electric's Lighting Division were started; but like many other manufacturing hubs, Cleveland has seen a precipitous decline in jobs from the manufacturing sector over the last 20 years.
A few items from that article really have relevance to Hickory's situation and what we have addressed here on The Hound. Here is a great quote from Ohio Lieutenant Governor Lee Fisher - “Every large company started in someone’s garage or basement. Why shouldn’t it be in Ohio?”
We have spoken of this need to start a garage economy here in this area. This is where our old school Manufacturing companies (textiles, furniture) got there start. Somewhere along the line, we have lost our way. Many of us have heard the story about how Art Viles personally sold stock to start Superior Cable, which became Siecor and then Corning Cable Systems. That led to Commsope and Alcatel (which is now Draka) coming to the area. Why couldn't we go back to that entrepreneurial spirit that once thrived here? Who can stop us other than ourselves?
Here is an excellent town hall meeting that John Kasich and Mike Huckabee held at Ohio State University on October 13, 2009. This does have political moments, but the message is truly valid.
John Kasich talks about the issues of leadership in the face of adversity and how Ohio is going to have to do it themselves. Whether you are conservative or not this message is valid. Mike Huckabee talks about Government being the facilitator of Free Enterprise, instead of the complicator of Free Enterprise. Kasich talks about how Ohio has driven the best and the brightest away and how they are going elsewhere -- sound familiar?
Huckabee talks about the challenge of being a good leader and not allowing the status quo to dominate. He says people don't expect perfection, but they expect integrity and authenticity. Leaders need to speak the same message to every audience, instead of delivering messages that you think people want to hear. People expect high standards and accountability.
Kasich talks about the tea parties and how people are sick of broken promises. He says he would rather lose than do that. People are losing faith, because of the broken promises. He says he has already developed a plan.
Huckabee talks about having people job ready and raising the standards. You have to keep score and make people accountable. Jobs flow like water. If it is difficult to set up jobs, then companies will go elsewhere. Third, he says that you must have a desirable culture where people want to live and be a part of.
Further discussion devotes time towards the creative economy and idea teams.
The Hound: Look at the National studies like the Milken Institute numbers and the Forbes numbers and you will see an objective view of what investors think about our area. We have to change the paradigm. Some people want to talk about quality of life issues. Well, in my opinion, the number one factor that will determine the quality of your life is the quality of your occupation. And at the same time what is the largest and most integral facet of a company's operations? LABOR!!!
A few issues that truly need to be addressed in this area:
1) Get rid of the concept of Low Hanging Fruit - Kept hearing this during the intra-city visit / Revitalization Conference. Lazy approach, bad approach, and not even a valid analogy, because fruit ripens as fast at the top of a tree as it does at the bottom. This is what has been stated when it comes to developing Hickory's retirement community. Honestly, talking about Low Hanging Fruit is very depressing.
2) Hickory's unofficial motto - "It's better than nuthin" - Are we supposed to lower our life expectations? I hear people addressing the underemployed in this area by telling them that they should be happy that they have the job they are overqualified and/or underpaid to perform, because it's better than nothing. I am sick of people adapting down and not expecting excellence in this community. We must demand excellence. Will we be better off than our parents? Will future generations be better off than us? Should we not expect and demand progress?
3) Cheap begets Cheap - In my opinion that is what has led to the economic implosion that we have seen in this community. You can cut your costs to zero, but it doesn't mean you are going to make a penny. Instead, we have devalued our product (Hickory) to the extent that no one looks at us as providing value anymore. This has created a domino effect. We may even be beyond the tipping point on this issue. If so, then we will have to work twice as hard to rebuild our infrastructure and this is going to be hard to do when people have a mindset where they would rather live in squalor than spend money, even when it obviously needs to be spent.
The Hound knows that one can honestly compare our area to some of the most challenging economic environments in the modern world. That is what has caused the Brain Drain. We have a substantial disparity in incomes in this area, both within the community and vis a vis the nation at large. People can easily move here from more affluent metropolitan areas and live twice as good, but our area's indigenous inhabitants can't afford to move to these other metro areas.
Think of people from New York, Los Angeles, San Francisco, Chicago, or Seattle moving here. They can live like kings. Think of one of us trying to move to one of these cities. Most of us would have to live in extreme poverty if we tried to make that transition on our current income and assets. We seem to wear our affordability as a badge of honor, but I believe that it is one of the issues that is truly killing us.
We have got to start growing this economy again and creativity is the only way to do that. That will not come from people who are winding it down. That takes energy and energy comes from young people who want to enjoy the future that is still ahead of them. Young people are a community's seeds. We all benefit when our community sows seeds and lays a path of opportunity for young people to be creative and innovative. The sooner we get started, the sooner we can make this happen and start moving in a truly positive and sustainable direction.
Brain drains are common amongst developing nations, such as the former colonies of Africa, the island nations of the Caribbean, and particularly in centralized economies such as former East Germany and the Soviet Union, where marketable skills were not financially rewarded.
The Hickory Metro's Economic Statistics correlate highly with those of Michigan, Ohio, and the rest of what is called America's Rust Belt. That area is also seeing a great loss of the younger demographic as manufacturing capacity and economic opportunity continue to decline. Here is a link to an article about how Detroit is addressing its issue of Brain Drain - Stopping Detroit's Brain Drain. There are a lot of other interesting subjects that are part of this CNN Money Series - Assignment Detroit. Although I don't think Hickory is to the level of Economic decay Detroit is, nor the scale of size, there are definitely some ideas here that our city should consider.
Here is a link to an article that was in this past Sunday's Parade Magazine entitled "A City for Entrepreneurs." The article is about how Cleveland, Ohio is attempting to foster start-up businesses in the city. Cleveland was once a platform where Standard Oil and General Electric's Lighting Division were started; but like many other manufacturing hubs, Cleveland has seen a precipitous decline in jobs from the manufacturing sector over the last 20 years.
A few items from that article really have relevance to Hickory's situation and what we have addressed here on The Hound. Here is a great quote from Ohio Lieutenant Governor Lee Fisher - “Every large company started in someone’s garage or basement. Why shouldn’t it be in Ohio?”
We have spoken of this need to start a garage economy here in this area. This is where our old school Manufacturing companies (textiles, furniture) got there start. Somewhere along the line, we have lost our way. Many of us have heard the story about how Art Viles personally sold stock to start Superior Cable, which became Siecor and then Corning Cable Systems. That led to Commsope and Alcatel (which is now Draka) coming to the area. Why couldn't we go back to that entrepreneurial spirit that once thrived here? Who can stop us other than ourselves?
Here is an excellent town hall meeting that John Kasich and Mike Huckabee held at Ohio State University on October 13, 2009. This does have political moments, but the message is truly valid.
John Kasich talks about the issues of leadership in the face of adversity and how Ohio is going to have to do it themselves. Whether you are conservative or not this message is valid. Mike Huckabee talks about Government being the facilitator of Free Enterprise, instead of the complicator of Free Enterprise. Kasich talks about how Ohio has driven the best and the brightest away and how they are going elsewhere -- sound familiar?
Huckabee talks about the challenge of being a good leader and not allowing the status quo to dominate. He says people don't expect perfection, but they expect integrity and authenticity. Leaders need to speak the same message to every audience, instead of delivering messages that you think people want to hear. People expect high standards and accountability.
Kasich talks about the tea parties and how people are sick of broken promises. He says he would rather lose than do that. People are losing faith, because of the broken promises. He says he has already developed a plan.
Huckabee talks about having people job ready and raising the standards. You have to keep score and make people accountable. Jobs flow like water. If it is difficult to set up jobs, then companies will go elsewhere. Third, he says that you must have a desirable culture where people want to live and be a part of.
Further discussion devotes time towards the creative economy and idea teams.
The Hound: Look at the National studies like the Milken Institute numbers and the Forbes numbers and you will see an objective view of what investors think about our area. We have to change the paradigm. Some people want to talk about quality of life issues. Well, in my opinion, the number one factor that will determine the quality of your life is the quality of your occupation. And at the same time what is the largest and most integral facet of a company's operations? LABOR!!!
A few issues that truly need to be addressed in this area:
1) Get rid of the concept of Low Hanging Fruit - Kept hearing this during the intra-city visit / Revitalization Conference. Lazy approach, bad approach, and not even a valid analogy, because fruit ripens as fast at the top of a tree as it does at the bottom. This is what has been stated when it comes to developing Hickory's retirement community. Honestly, talking about Low Hanging Fruit is very depressing.
2) Hickory's unofficial motto - "It's better than nuthin" - Are we supposed to lower our life expectations? I hear people addressing the underemployed in this area by telling them that they should be happy that they have the job they are overqualified and/or underpaid to perform, because it's better than nothing. I am sick of people adapting down and not expecting excellence in this community. We must demand excellence. Will we be better off than our parents? Will future generations be better off than us? Should we not expect and demand progress?
3) Cheap begets Cheap - In my opinion that is what has led to the economic implosion that we have seen in this community. You can cut your costs to zero, but it doesn't mean you are going to make a penny. Instead, we have devalued our product (Hickory) to the extent that no one looks at us as providing value anymore. This has created a domino effect. We may even be beyond the tipping point on this issue. If so, then we will have to work twice as hard to rebuild our infrastructure and this is going to be hard to do when people have a mindset where they would rather live in squalor than spend money, even when it obviously needs to be spent.
The Hound knows that one can honestly compare our area to some of the most challenging economic environments in the modern world. That is what has caused the Brain Drain. We have a substantial disparity in incomes in this area, both within the community and vis a vis the nation at large. People can easily move here from more affluent metropolitan areas and live twice as good, but our area's indigenous inhabitants can't afford to move to these other metro areas.
Think of people from New York, Los Angeles, San Francisco, Chicago, or Seattle moving here. They can live like kings. Think of one of us trying to move to one of these cities. Most of us would have to live in extreme poverty if we tried to make that transition on our current income and assets. We seem to wear our affordability as a badge of honor, but I believe that it is one of the issues that is truly killing us.
We have got to start growing this economy again and creativity is the only way to do that. That will not come from people who are winding it down. That takes energy and energy comes from young people who want to enjoy the future that is still ahead of them. Young people are a community's seeds. We all benefit when our community sows seeds and lays a path of opportunity for young people to be creative and innovative. The sooner we get started, the sooner we can make this happen and start moving in a truly positive and sustainable direction.
Thursday, April 29, 2010
The Race to the Bottom
We are racing to the bottom. That is what we are doing as a society, be it on the local, state, national, or world scene. As a society, we no longer strive for excellence. We are heading at breakneck speed towards Third World status.
Particularly in the Hickory area, we have bought into every aspect of this economic concept and it has taken a decade, but we have ruined our economy in this area and until we shift our focus, we are not going to improve.
In studying the dominoes that brought us here, I see a chain of events deeply associated with the long time business model of the area. We had built a vast manufacturing based economy that lasted decades until the 1990s. At that point, we had achieved full employment, which led to hyper-competition for labor during those years. Labor is the number one cost of a company's business expenses and the business owners and management looked at how they might be able to squeeze the labor model and increase their profit margins.
Along came the year 2000 and the stock market bubble involving high tech stocks. Much of the bust involved data communications companies, such as Global Crossing and Level 3 Communications, who were wiring the world. When the bust occurred, these companies drastically slowed down that wiring of Fiber-Optic cable and guess what? We had local companies such as Alcatel, Corning, and Commscope that were riding the crest of that wave. That is when our local economy hit the fan.
Up until June of 2000, it was thought that this Cable Industry business model would not end, but it quickly came to an abrupt and screeching halt. We all remember those days, when the first layoffs started in early 2001. No one thought it would last forever and it might not have, if it weren't for that infamous day in September, 2001.
What also coincided with this period of time was the influx of Hispanic workers into the area. When many laborers left their jobs working in textiles and furniture, working for $10 per hour, to go work for the cable companies making $15 to $20 per hour, the owners of those businesses looked for cheaper and more effective ways to control labor costs. That is the period of time when the State of North Carolina started turning a blind eye towards the massive in-migration of Hispanics into this community.
Now I know that the slacked-jawed amongst us are going to complain about me pointing out the obvious, but what I would like for you to realize is that I don't blame Hispanic Immigrants for wanting to come here. I have worked with many industrious Hispanics over the last 13+ years, since my days working at Bald Head Island. All they want is to improve their circumstances and be able to help their families.
What bothers me is the way that government and industry went about implementing this process. And what I at one time thought was a process, I have come to realize was all along a full blown scheme. It seems that there was no plan other than to bring foreign labor into our area to change the labor equilibrium by increasing the supply of labor. The purpose of which was not to fill labor capacity, but to suppress wages.
In this early 2000 period, we saw the perfect storm occur, because when the tech bubble burst, then additional labor supply increased at a time when the economy began slowing, causing demand for products to slow and thus demand for labor to slow also. The chase to the bottom had begun.
Instead of the old system, where migrant labor was sent home when their service was no longer needed, our government turned a blind eye, because in my opinion, many business owners wanted to continue to maintain their profit margins during the economic crunch.
That is where I am coming from. Business owners have failed to realize that their mindset that revolves around short term economic gain has created a cultural climate of long term economic pain for the middle class laborer. That is what I spoke of when I wrote in the article Getting Back on Track -- Creating a Legitimate Financial System, "A transformed investment model should take into account what impact an investment has on the community. Any investment needs to have a positive impact on what Catherine Austin Fitts terms the "Financial Eco-System" as well as yourself. If you make money, but everyone around you goes broke as a result of your investment, have you truly increased your own wealth (standard of living)?"
First, we saw NAFTA implemented and its effects on our economy. The blind eyed acceptance of illegal immigration into our economy saw a drastic reduction in the standard of living of the middle class, but people were able to keep their jobs for the most part, at that time. The next leg down came when the agreements in accordance with the World Trade Organization started being implemented fully. That next leg down was shipping labor demand capacity overseas.
What this has led to is built in excuses for business owners. "I had to hire illegals, because Americans won't do the work." "I had to hire illegals, because my competitors are hiring them and I can't compete." "I had to hire illegals, because they will do the work and they don't expect the money the lazy Americans expect." "I had to ship my labor overseas, because I can't compete against my competition."
The deal is that this is what industry wants and the Rich get Richer and the Middle Class and Poor get Poorer in this race to the bottom. Americans ARE willing to do the work, but they expect to be compensated fairly. Businesses are always going to have to compete. They certainly seem to expect labor to compete. Instead of asking government to not move us toward World "Free for All" Trade, they decided to utilize and abuse, not only people that were loyal to them in their country, but also take advantage of the illegals by low-balling their labor costs. They also decided to further allow the oppression and abuses that take place in many of these Third World countries and systems that they have sent those jobs to.
What good has any of this done? Our community has been decimated and the low skilled labor is cornered and has nowhere to turn. The cost of living continues to rise and yet income levels are stagnant or depressed. How are people going to make ends meet? Many older businessmen and governmental leaders, who pushed this race to the bottom, are at a loss as to how to even stem the tide of the drain that has been placed upon our community, while at the same time they are unwilling to accept any type of efforts that may be deemed 'Too Risky."
What does this mean to the quality of life in our community? Where will government income come from? Where will businesses find customers for their products, when much of the population can't make ends meet? How will we begin to grow the economy again?
The Prophet (HaHa!) Ross Perot from the 1992 Presidential Debate (He says 15 years):
The effects of NAFTA on the indigenous Mexican Population and the USA:
This is what I mean when I make the statement, Cheap begets Cheap. Everything in our community, when it comes to investment is about frugality. We don't need to be frugal. We need to create value. We need to make a profit. People have mistaken cost cutting measures with making a profit. You can cut your costs to ZERO and that doesn't mean you are going to make a penny. Many times you destroy your customer base by cutting costs at the expense of quality. Let me ask. Who is going to be more willing to ensure that they create an excellent product, an employee you are willing to invest in or an employee that you keep dangling on a string?
As a community, a state, and a country, we have to get back to the idea of excellence. Excellent products, excellent performance, excellent people, and excellent communities. We do that through respect and equality in the administration of justice. You can't look to take advantage of people by scheming them. It can't be about Dog eat Dog. It has to be about loving thy neighbor and helping thy neighbor and I don't mean that under the context of Unilateral Disarmament by being the so-called "bigger man." I mean that as in building relationships of trust, because once trust has been breached, it is hard to ever regain. But, is that not the valuable lesson that we have all learned. Whether we like it or not, we need one another to further our own personal growth.
If we get enough people to buy into the concepts that I describe above, and marginalize those unwilling to participate and play fair, then I truly believe that we will turn our economic lot around.
Particularly in the Hickory area, we have bought into every aspect of this economic concept and it has taken a decade, but we have ruined our economy in this area and until we shift our focus, we are not going to improve.
In studying the dominoes that brought us here, I see a chain of events deeply associated with the long time business model of the area. We had built a vast manufacturing based economy that lasted decades until the 1990s. At that point, we had achieved full employment, which led to hyper-competition for labor during those years. Labor is the number one cost of a company's business expenses and the business owners and management looked at how they might be able to squeeze the labor model and increase their profit margins.
Along came the year 2000 and the stock market bubble involving high tech stocks. Much of the bust involved data communications companies, such as Global Crossing and Level 3 Communications, who were wiring the world. When the bust occurred, these companies drastically slowed down that wiring of Fiber-Optic cable and guess what? We had local companies such as Alcatel, Corning, and Commscope that were riding the crest of that wave. That is when our local economy hit the fan.
Up until June of 2000, it was thought that this Cable Industry business model would not end, but it quickly came to an abrupt and screeching halt. We all remember those days, when the first layoffs started in early 2001. No one thought it would last forever and it might not have, if it weren't for that infamous day in September, 2001.
What also coincided with this period of time was the influx of Hispanic workers into the area. When many laborers left their jobs working in textiles and furniture, working for $10 per hour, to go work for the cable companies making $15 to $20 per hour, the owners of those businesses looked for cheaper and more effective ways to control labor costs. That is the period of time when the State of North Carolina started turning a blind eye towards the massive in-migration of Hispanics into this community.
Now I know that the slacked-jawed amongst us are going to complain about me pointing out the obvious, but what I would like for you to realize is that I don't blame Hispanic Immigrants for wanting to come here. I have worked with many industrious Hispanics over the last 13+ years, since my days working at Bald Head Island. All they want is to improve their circumstances and be able to help their families.
What bothers me is the way that government and industry went about implementing this process. And what I at one time thought was a process, I have come to realize was all along a full blown scheme. It seems that there was no plan other than to bring foreign labor into our area to change the labor equilibrium by increasing the supply of labor. The purpose of which was not to fill labor capacity, but to suppress wages.
In this early 2000 period, we saw the perfect storm occur, because when the tech bubble burst, then additional labor supply increased at a time when the economy began slowing, causing demand for products to slow and thus demand for labor to slow also. The chase to the bottom had begun.
Instead of the old system, where migrant labor was sent home when their service was no longer needed, our government turned a blind eye, because in my opinion, many business owners wanted to continue to maintain their profit margins during the economic crunch.
That is where I am coming from. Business owners have failed to realize that their mindset that revolves around short term economic gain has created a cultural climate of long term economic pain for the middle class laborer. That is what I spoke of when I wrote in the article Getting Back on Track -- Creating a Legitimate Financial System, "A transformed investment model should take into account what impact an investment has on the community. Any investment needs to have a positive impact on what Catherine Austin Fitts terms the "Financial Eco-System" as well as yourself. If you make money, but everyone around you goes broke as a result of your investment, have you truly increased your own wealth (standard of living)?"
First, we saw NAFTA implemented and its effects on our economy. The blind eyed acceptance of illegal immigration into our economy saw a drastic reduction in the standard of living of the middle class, but people were able to keep their jobs for the most part, at that time. The next leg down came when the agreements in accordance with the World Trade Organization started being implemented fully. That next leg down was shipping labor demand capacity overseas.
What this has led to is built in excuses for business owners. "I had to hire illegals, because Americans won't do the work." "I had to hire illegals, because my competitors are hiring them and I can't compete." "I had to hire illegals, because they will do the work and they don't expect the money the lazy Americans expect." "I had to ship my labor overseas, because I can't compete against my competition."
The deal is that this is what industry wants and the Rich get Richer and the Middle Class and Poor get Poorer in this race to the bottom. Americans ARE willing to do the work, but they expect to be compensated fairly. Businesses are always going to have to compete. They certainly seem to expect labor to compete. Instead of asking government to not move us toward World "Free for All" Trade, they decided to utilize and abuse, not only people that were loyal to them in their country, but also take advantage of the illegals by low-balling their labor costs. They also decided to further allow the oppression and abuses that take place in many of these Third World countries and systems that they have sent those jobs to.
What good has any of this done? Our community has been decimated and the low skilled labor is cornered and has nowhere to turn. The cost of living continues to rise and yet income levels are stagnant or depressed. How are people going to make ends meet? Many older businessmen and governmental leaders, who pushed this race to the bottom, are at a loss as to how to even stem the tide of the drain that has been placed upon our community, while at the same time they are unwilling to accept any type of efforts that may be deemed 'Too Risky."
What does this mean to the quality of life in our community? Where will government income come from? Where will businesses find customers for their products, when much of the population can't make ends meet? How will we begin to grow the economy again?
The Prophet (HaHa!) Ross Perot from the 1992 Presidential Debate (He says 15 years):
The effects of NAFTA on the indigenous Mexican Population and the USA:
This is what I mean when I make the statement, Cheap begets Cheap. Everything in our community, when it comes to investment is about frugality. We don't need to be frugal. We need to create value. We need to make a profit. People have mistaken cost cutting measures with making a profit. You can cut your costs to ZERO and that doesn't mean you are going to make a penny. Many times you destroy your customer base by cutting costs at the expense of quality. Let me ask. Who is going to be more willing to ensure that they create an excellent product, an employee you are willing to invest in or an employee that you keep dangling on a string?
As a community, a state, and a country, we have to get back to the idea of excellence. Excellent products, excellent performance, excellent people, and excellent communities. We do that through respect and equality in the administration of justice. You can't look to take advantage of people by scheming them. It can't be about Dog eat Dog. It has to be about loving thy neighbor and helping thy neighbor and I don't mean that under the context of Unilateral Disarmament by being the so-called "bigger man." I mean that as in building relationships of trust, because once trust has been breached, it is hard to ever regain. But, is that not the valuable lesson that we have all learned. Whether we like it or not, we need one another to further our own personal growth.
If we get enough people to buy into the concepts that I describe above, and marginalize those unwilling to participate and play fair, then I truly believe that we will turn our economic lot around.
Saturday, December 6, 2025
Hickory, NC News & Views | December 7, 2025 | Hickory Hound
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HKYNC News & Views Dec 7, 2025 – Executive Summary
Hickory Hound News and Views Archive
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📤This Week:
(Tuesday): Hickory 101: Lesson 5 – Reading the Room - When you look at the data, observe the streets and storefronts, and listen to people’s stories — the town gives you signals. It shows you what’s changing, what’s stuck, and what’s under pressure.
(Thursday): ⚙️Structural Schisms 6 Labor Market Compression - Catawba County’s unemployment rate may look good on paper, but the reality underneath tells a different story. People are working, yet too many are living on the edge.
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📤Next Week:
(Tuesday): Hickory 101: Lesson 6 - From the Kitchen to the Command Post - explains how the pressure, discipline, and accountability learned in real kitchens translate directly into effective civic leadership. It shows why command presence, emotional control, and ownership under stress are essential for fixing systems like Hickory that have drifted without structure or direction.
(Thursday): ⚙️Structural Schisms 7: The Absent Innovation Core - Hickory’s economy still builds things but no longer builds new things. This report explains how the region’s missing innovation core—fragmented institutions, risk-averse culture, and lack of R&D—suppresses wages, drains talent, and locks the city into economic dependence. Rebuilding requires leadership, coordination, and deliberate invention.
🧠Opening Reflection:
When you grow up in Hickory, you come to understand what the people here value. They want stability. They want a place where life feels manageable, where a family can get by without being swallowed by the pace or the price of the larger world. Those instincts are not wrong; they’re part of our cultural DNA. But after spending months digging through the numbers—population patterns, income trends, economic comparisons across North Carolina—it is clear that the things we have valued and the things our peer cities have built are not the same, and the difference explains almost everything about where we stand today.
Charlotte, Raleigh, Asheville, and Wilmington did not grow because they were comfortable or cheap. They grew because they built leverage—economic, cultural, institutional, and political. They constructed systems that attracted talent, created opportunity, and amplified their importance to the state. Their growth may look effortless now, but it came from intentional strategic moves: universities expanding research capacity, specialized industries taking root, cultural identities being cultivated, and public institutions aligning with long-term opportunity.
Hickory never built that kind of leverage. Instead, we leaned into affordability. It kept us afloat after the industrial collapse, and there was a moment when it felt like we had found a workable path: people continued moving here, housing was attainable, and the cost of living gave families a margin of safety they couldn’t find in the metros. But affordability is not a growth strategy. It’s a stabilizer, not a force multiplier. Over time, the same trait that helped us survive also limited us. When a city becomes known primarily for being inexpensive, it begins to attract people who are looking for relief, not people who are looking to build. The result is predictable: population numbers improve, but economic velocity does not.
The hard truth—one we have avoided because it is uncomfortable—is that people came to Hickory because it was affordable, not because it was essential. And places that are not essential do not retain their young talent, they do not generate high-income industries, they do not exert political influence, and they do not accumulate cultural capital. They absorb people who are trying to stabilize their lives and then watch them leave once opportunity appears elsewhere. Meanwhile, the people with the capacity to push the city forward—the innovators, the professionals, the young adults with ambition—are drawn to cities that invested in institutional strength, economic specialization, and upward mobility.
This does not make Hickory a failure, but it does mean we are living inside a framework that cannot produce the outcomes we keep hoping for. Our schools and taxpayers raise, educate, and stabilize the next generation—native and newcomer alike—only to export them the minute they’re qualified enough to earn 25–30% more somewhere else. We run the farm system; the metros get the major-league talent.
Our wage structure lags a full generation behind the state’s anchor metros. Our economic identity is vague and rooted more in memory than in present capability. And our civic narrative, shaped by nostalgia and resourcefulness, no longer matches the demands of the era we are trying to survive.
Yet acknowledging this is not surrender. It is a mark of maturity. Cities cannot correct their trajectory until they confront the structure producing it. Hickory has spent the better part of twenty-five years sustaining itself through stability rather than building leverage. The result is visible in every dataset I’ve pulled, in every comparison to the cities that passed us, and in every quiet conversation you hear around town about what “used to be” and what “might have been.”
But there is a reason to keep doing this work. Our story is not over, and our position is not hopeless. A community that understands its architecture can redesign it. A community that understands its trajectory can redirect it. And a community that understands where its leverage must come from can begin building it deliberately, not reactively.
What matters now is whether we continue to define ourselves by affordability and nostalgia, or whether we choose to build something that matters to the future of North Carolina. The four anchor cities show what happens when a place commits to being essential. Hickory now has to decide whether it is content with being livable, or whether it is ready to rebuild itself into a city that carries weight again.
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Feature
“What They Say, and What the Numbers Say Back”
If you listen closely to the conversations that shape Hickory—the quiet exchanges in boardrooms, the familiar speeches at civic breakfasts, the optimistic notes in official press releases—you will hear a set of talking points repeated with absolute confidence. They sound reassuring. They sound familiar. And in a way, they sound like the city many people still believe we are.
But when you put those talking points next to the data we’ve been tracking for the past three months, a very different picture comes into focus. This week, I want to hold the two narratives side by side: the Powers-That-Be version of Hickory, and the structural reality the numbers keep showing us. Not to attack anyone. Not to embarrass anyone. But because if a community wants to change its future, it has to tell the truth about its present.
So here is the ledger as I see it.
One of the quiet challenges in a place like Hickory is that the stories we tell about ourselves do not always match the structures we live inside. People want to believe the city is stable, growing, and headed somewhere better than the last twenty years would suggest. And so a familiar set of talking points rises up—from elected officials, business leaders, long-time civic influencers, and even well-meaning residents. They sound reassuring, and they create the appearance of order. But when you place these talking points beside the data we have been unpacking for months, the gap between narrative and reality becomes impossible to ignore.
This is not about pessimism.
It is about accuracy.
Because no community ever rebuilt itself by flattering its own illusions.
Counter Talking Points to the Hickory Hound’s Themes
(The arguments the establishment would use to dismiss or dilute the Hound’s analysis)
Talking Point 1: “Affordability is a strength, not a trap.”
What They Argue:
Supporters claim Hickory’s low cost of living attracts families and retirees, provides a competitive advantage over expensive metros, and keeps the region appealing to those priced out of Charlotte and Raleigh. They insist Hickory should not pursue big-city models, because with higher growth comes “big-city problems.” Rising costs elsewhere, they argue, will continue to funnel newcomers into the region.
Why They Use It:
This narrative shields them from confronting stagnant wages, low-skill labor markets, and the city’s lack of modern economic development. It reframes a structural weakness as a strategic position.
Rebuttal:
Affordability kept Hickory afloat after manufacturing collapsed, but it never made the region stronger. A city built on low cost becomes a magnet for people seeking relief rather than opportunity. Affordability stabilizes; it does not elevate. After two decades of wage stagnation, it has hardened into a ceiling that prevents upward mobility. Hickory has been defined as a refuge, not a destination, attracting those trying to survive rather than those trying to build.
Symptom:
Household incomes remain 25–30% below the national average while housing and living costs steadily rise. The city gains population but experiences no meaningful economic lift.
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Talking Point 2: “Population growth proves we’re doing something right.”
What They Argue:
Supporters point to rising population as evidence of success. They claim that if people are moving here, the region must be healthy. They highlight growth rates compared to other North Carolina counties and insist that newcomers themselves “prove” the city is on the right trajectory. If conditions were truly bad, they argue, no one would be arriving.
Why They Use It:
Population growth is the simplest, most superficial metric available. It offers an easy political win because it requires no deeper examination of income, employment structure, or institutional capacity.
Rebuttal:
Population growth without rising household income is not progress; it is added weight on a weakened frame. Hickory has grown through retirees, low-wage workers, and families priced out of larger metros—not through the arrival of young professionals, high-skill workers, or industry builders. This type of growth generates demand without generating leverage. Numbers can rise even as a city loses strength because people often move to lower-cost regions when they have exhausted their options elsewhere. Growth without economic lift is not evidence of success—it is evidence of strain.
Symptom:
More residents arrive, but schools, healthcare, infrastructure, and social services face greater pressure with no corresponding increase in capacity or funding. The population grows while civic leverage declines.
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Talking Point 3: “Local wages are appropriate for the cost of living.”
What They Argue:
Defenders insist Hickory does not need big-city wages because it has small-city costs. They claim wage stagnation is normal for manufacturing and service economies, and argue that companies cannot raise wages without losing competitiveness. They frame the region’s low incomes as “sustainable for our market,” suggesting there is nothing structurally wrong with the wage environment.
Why They Use It:
This argument preserves a cheap labor supply and keeps economic expectations low. It allows leaders to avoid discussing why modern industries avoid the region and why upward mobility has stalled.
Rebuttal:
Wages in Hickory remain 25–30% below the national median and have barely moved in decades. At the same time, housing costs have risen faster than incomes, eroding the cost-of-living advantage that once justified lower wages. Low wages are not a market accident—they are the predictable outcome of an economy structured around low-skill service work and a replacement population. Hickory’s wage floor has not kept pace with inflation, housing costs, or statewide wage growth. The claim that wages fit the local cost of living only works if one ignores twenty years of documented wage suppression.
Symptom:
Workers juggle multiple jobs to stay afloat. Families have little or no upward mobility. Young adults see no path to a middle-class future, and savings or stability remain out of reach even as housing becomes less affordable.
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Talking Point 4: “The schools are doing fine given the challenges — stop blaming the system.”
What They Argue:
Supporters frame rising needs in the schools as evidence of diversity and growth. They emphasize the heroic work teachers and administrators perform and position criticism of the school system as anti-education or unfairly negative. They argue that the district offers wrap-around services comparable to, or better than, those in larger metros, implying that institutional performance is sound.
Why They Use It:
Institutional critique threatens the political and bureaucratic ecosystem. Acknowledging structural decline would require admitting that schools are carrying responsibilities far beyond their intended scope.
Rebuttal:
Schools have become safety nets for an economy that cannot support its own population. They absorb poverty, instability, language gaps, and behavioral fallout that should be addressed by employers, social services, and public health systems. Teachers now carry burdens that belong to multiple failing institutions. What appears from the outside as stability is, in reality, institutional triage. Schools are no longer purely educational systems—they have become the region’s frontline social infrastructure, compensating for economic decline and family instability on a scale the community rarely acknowledges.
Symptom:
Teachers serve simultaneously as counselors, translators, crisis managers, and social workers. Instructional time competes with basic stabilization needs, and academic performance stagnates as educators divide attention between education and survival-level support.
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Talking Point 5: “Immigrant labor and new residents are revitalizing the region.”
What They Argue:
Supporters claim immigrants fill essential jobs that locals avoid and help stabilize industries that might otherwise collapse. They emphasize cultural diversity as a community asset and frame population replacement as renewal rather than erosion. The narrative suggests that an influx of new residents—regardless of income or skill level—signals economic momentum.
Why They Use It:
This framing transforms a survival strategy into a story of progress. It masks the underlying reality: the region relies on imported low-wage labor because its economic model cannot generate or retain a skilled workforce.
Rebuttal:
Immigrant workers are essential and deserve respect, but the model that depends on them is not revitalization—it is maintenance. The system relies on low-wage, replaceable labor rather than upward mobility, skill building, or long-term economic strength. This approach stabilizes the present while weakening the future by suppressing wages, exporting local talent, and locking the region into a low-value labor structure. The contributions of immigrant workers are real, but the structure they enter is not designed to lift them or the community.
Symptom:
Factories operate and service industries stay staffed, but upward mobility remains limited. Local talent continues to leave, the workforce remains trapped in low-wage roles with few advancement opportunities, and overall economic instability grows despite visible activity.
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Talking Point 6: “The story Hickory tells about itself is positive — stop trying to rewrite it.”
What They Argue:
Defenders of the status quo emphasize Hickory’s resilience, close-knit identity, and quality of life. They insist the region remains one of the best places to live in North Carolina and argue that focusing on weaknesses is counterproductive. The prevailing narrative encourages residents to celebrate community strength rather than acknowledge uncomfortable trends.
Why They Use It:
Narratives protect institutions from accountability. A positive civic story keeps public pressure low and shields leaders from confronting long-term economic and demographic decline.
Rebuttal:
Resilience is admirable, but resilience without renewal becomes stagnation. For twenty years, Hickory has relied on the reassuring message that “we’re doing fine,” even as wage stagnation, institutional strain, and demographic inversion intensified. A civic narrative must evolve with reality or it becomes a comforting myth disconnected from present conditions. A city cannot survive on nostalgia. A community can endure hardship without ever overcoming it—and Hickory’s story has not kept pace with its structural challenges.
Symptom:
Civic messaging clings to past identity while the real economy drifts further from its manufacturing-era foundation and deeper into service-sector precarity. Public narratives lean heavily on old reputations, even as wage gaps widen, institutions strain under rising burdens, and demographic shifts reshape the city’s trajectory.
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Talking Point 7: “Economic development is working — look at the announcements.”
What They Argue:
Supporters highlight ribbon-cuttings, minor manufacturing expansions, new retail, hotel renovations, tourism campaigns, and the City Walk/Riverwalk projects as proof that Hickory is in the midst of a real revival. They point to visible activity and new amenities as indicators that the city is moving in the right direction and that economic development strategies are paying off.
Why They Use It:
These announcements shift public attention from structural stagnation to symbolic wins. Surface-level progress is easier to celebrate than confronting the deeper reality that the region still lacks a modern economic engine.
Rebuttal:
Ribbon-cuttings, boutique rehabs, and sporadic expansions do not constitute structural transformation. They are cosmetic victories in a region that has not built a new economic engine since manufacturing declined. True economic development raises wages, increases productivity, expands opportunity, and strengthens institutional capacity. That is not happening at scale. Announcements are not outcomes, and visible activity does not equal rising incomes, modern industry attraction, or long-term leverage. These projects maintain appearances but do not alter the economic foundation.
Symptom:
Boutique openings, small manufacturing additions, and retail expansion create headlines, but median income, productivity, and institutional capacity remain flat. The core economy continues to depend on low-wage service work and imported labor, while new amenities mask the absence of real structural lift.
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Talking Point 8: “We’re not Raleigh or Charlotte, and we shouldn’t try to be.”
What They Argue:
Defenders of the status quo insist Hickory has its own identity and should not be compared to megametro anchors. They argue that different-sized cities play different roles in the state, and that Hickory should avoid aspiring to the density, traffic, or perceived problems of larger urban centers. This framing positions ambition itself as unrealistic or undesirable.
Why They Use It:
The argument lowers expectations. By insisting Hickory occupy a smaller lane, leaders can define even minor gains as success and avoid acknowledging the region’s loss of economic and political relevance.
Rebuttal:
No one is asking Hickory to become a megametro. But every city should strive to matter. Charlotte, Raleigh, Asheville, and Wilmington spent decades building political leverage, cultural relevance, and economic momentum—not by chasing size, but by building value. Hickory can develop its own version of relevance only if it stops treating “small” as an excuse for “weak.” This talking point exists to lower the bar, not to protect identity. A city must matter to its region, its state, and its people, regardless of scale.
Symptom:
Hickory is increasingly excluded from major state-level economic decisions, policy priorities, and growth corridors. The region is not small by strategic choice—it is small by drift. Hickory remains quiet in statewide conversations, underweighted in major planning efforts, and absent from modern economic engines.
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Talking Point 9: “The market will correct itself — just give it time.”
What They Argue:
Defenders claim post-pandemic instability is temporary and that both housing prices and wages will eventually normalize. They insist migration trends will shift in Hickory’s favor and argue that the region simply needs patience rather than intervention. This framing portrays current challenges as short-term turbulence rather than a long-term structural reality.
Why They Use It:
Because structural change is difficult, and patience is easier to sell than reform. Promising eventual correction deflects responsibility and minimizes the need for serious policy or economic restructuring.
Rebuttal:
Markets do not correct structural problems. Wage suppression, talent drain, demographic inversion, and institutional burden are not temporary glitches; they form the architecture of Hickory’s current economic model. The market cannot fix issues it helped create. Prices may fluctuate, but wage floors, labor composition, and institutional strain do not self-correct. Without deliberate structural action, these conditions deepen over time rather than improve.
Symptom:
Families become more financially stressed, schools absorb greater social and behavioral burdens, and the labor market grows increasingly polarized. Skilled workers continue to leave, institutions fall further behind, and superficial population growth masks ongoing erosion. Patience is sold while the underlying structure deteriorates.
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Talking Point 10: “This kind of reporting is too negative — it hurts the community.”
What They Argue:
This talking point is psychological, not analytical. Critics accuse structural reporting of scaring people, making investors nervous, or painting the region in a bad light. They insist the community needs positivity and argue that honest assessments are harmful simply because they are uncomfortable.
Why They Use It:
Labeling facts as “negative” allows institutions and leaders to avoid confronting them. It turns accountability into a communications problem rather than a structural one.
Rebuttal:
If telling the truth is considered “negative,” then the problem is not the message—it is the condition the message exposes. Civic intelligence is not pessimism; it is responsibility. A city cannot rebuild on selective optimism or curated narratives. Transparency is the foundation of reform. Honest structural analysis feels negative only to those who benefit from ignoring it, but sunlight is not negativity—sunlight is accountability.
Symptom:
Leaders avoid uncomfortable data, residents sense a widening gap between lived reality and official messaging, and public trust erodes. People feel the decline but lack a shared vocabulary to describe it, creating a quiet civic dissonance that undermines confidence in institutions.
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Closing Movement
The purpose of this article is not to shame the city or attack anyone in positions of leadership. It is to make something unmistakably clear: Hickory is at a crossroads between the narrative we prefer and the structure we inhabit. The data tells the truth whether we acknowledge it or not. And if we want to rebuild real leverage—economic, educational, cultural, political—we have to start by speaking plainly about where we are.
Sunlight is not negativity.
Sunlight is the first ingredient in growth.
Meta-Point:
These counterpoints exist because your analysis is correct and threatens the comfort of people who benefit from the current equilibrium.
You are asking the region to confront the fact that:
its growth is cosmetic,
its wages are stagnant,
its schools are burdened,
its labor market is imported,
its narrative is outdated, and
__________________________
My Own Time Ω
When I close out a week like this one—after sorting through population curves, income gaps, and every chart that tells the story our civic leaders won’t—I always come back to something simple: Hickory didn’t end up here by accident. We ended up here because for decades we built a structure that rewards stability over strength, affordability over ambition, and silence over honesty. And the bill for that structure is now coming due.
I live within this framework. I work within its structure. I operate through its dynamics.
I’ve spent forty years watching this play out long before the data ever put numbers to it. I am a technologist. I had access to computers at a very young age, and I read the Wall Street Journal in my early teens, when it was still interesting and relevant. Hickory trained people well. We were a command-and-control economy, and that is exactly how our schools operated. Growing up the way I did, I didn’t fit within that structure. I was a dreamer and still am. I don’t drift into fantasy, but I have always been a critical thinker, and yes—because of how my father died, I’ve always felt a bit of doomsday and trouble effervescing around me.
Hickory raised reliable workers: steady hands, people who knew their role and never stepped outside the box. And then there were the young folks who knew how to solve problems on the fly and kept going when the pressure was high. Unfortunately, those types aren’t rewarded like they should be. In the local game of rock-paper-scissors, corporate covers creative.
In local kitchens, warehouses, and plants, you see the same pattern over and over. People get good here. Tough here. Proud here. And the moment real opportunity presents itself, they’re gone. Not because they want to leave, but because Hickory perfected the art of rewarding as little as possible for as long as possible.
I’ve heard the same line from owners, managers, recruiters, and officials since the 1980s:
“We’d love to pay more, but we can’t afford to.”
Everyone knows what that really means: someone else’s profit depends on you never making enough to build a life.
So the metros get the finished product—seasoned workers, young talent, families ready to build a future—and Hickory gets the turnover, the training costs, and the aftermath. We call it low cost of living. They call it free talent acquisition.
This is why none of the talking points we broke down this week feel like “arguments” to me. They feel like the same excuses I’ve heard my entire life—just dressed up and presented at civic luncheons instead of whispered in a walk-in cooler. The names change. The companies change. The operations never do.
And that is why the numbers matter.
Because numbers don’t care about nostalgia.
Numbers don’t care about who’s offended.
Numbers don’t care how many times someone repeats “we’re doing fine.”
They show wage stagnation that never budged.
They show population growth without economic lift.
They show schools carrying burdens that belong to the broader economy.
They show a labor model built on replacement, not retention.
They show a city drifting because it never built the leverage that anchors a future.
The truth is not that Hickory is broken.
The truth is that Hickory is rigged to stay cheap.
I wrote it here sixteen years ago, and several times since:
Cheap begets cheap.
This is the system we inherited, and this is the system that has quietly shaped every generation since the factories fell. And until someone with actual authority is willing to say that plainly, every affordability press release and every glowing population headline is just another way of saying: keep the hired guns hungry.
But here is the part that matters:
We don’t have to keep running this play.
Cities can change their architecture if they understand what they built and why.
A community that understands its own design is capable of redesigning it.
What Hickory chooses now will determine whether we remain a place people stabilize in—or a place people build in. Whether we stay a region defined by cheap labor—or become a region that cultivates, retains, and rewards its own talent. Whether we keep telling an old story—or start writing a new one that carries weight in the future of North Carolina.
Do we want to be that football team that hovers between bad and mediocre? The team focused on making money, not winning championships? The franchise that drafts at the top every year because it never retains its best players?
Our past doesn’t disqualify us.
But denial will.
And as long as I’m here, I’ll keep pulling the numbers, laying out the comparisons, and telling the truth—because this place, and the dream, are still worth fighting for. The next chapter is still unwritten. The question is whether we will keep pretending our stability is strength, or whether we’ll finally decide to build something that makes Hickory essential again.
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Haiku
Stability fades,
Truth reshapes the city’s frame—
New leverage must rise.
Fortune-Cookie Reading
You already know the truth others avoid: a city cannot outgrow the limits it refuses to name. Clarity is your advantage. Keep following the structure beneath the story, and you will start seeing the leverage points others walk past every day.
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