The New Birmingham Primer

This brief primer will bring the reader up to speed on city revitalization projects that have succeeded, others that have failed, and the common theory (from the Harvard Business Review) that ties them together as well as shows how to improve successes and reduce the chances for the failure of large urban renewal projects.

Many medium and large-sized cities, especially in the South-East, have funded large-scale downtown renewal efforts.

Chattanooga

"Chattanooga, Tenn., began the process of revitalizing parts of its downtown and environs in the 1980s. The turnaround for Chattanooga took a long time, but the city had a long way to go. In fact, Chattanooga in the late 1960s was known as one of the dirtiest cities in the United States. The Tennessee River running through the city was anything but scenic and was bordered by buildings abandoned by industries that had left town.

Through these cooperative efforts, Chattanooga can now offer its residents and businesses a more livable and workable downtown district. The city also provides tourists a venue that is appealing as a regional destination and not simply interstate exits they pass on the way to somewhere else. As proof of Chattanooga's appeal to travelers, in Hamilton County, where the city is located, tourists spent $466 million in 1997, compared to $335 million in 1990 — an increase of 36 percent — according to the Travel Industry Association." http://www.frbatlanta.org/invoke.cfm?objectid=87B687D8-6666-11D5-93390020352A7A95&method=display

Another initiative that has helped the city is the development of the Atlanta Downtown Improvement District, a nonprofit organization formed just before the Olympics. This organization implemented the Ambassador Force, a team of approximately 50 people who walk beats throughout the 120-block downtown district, providing directions and information for visitors, workers and residents. The presence of the Ambassador Force, combined with initiatives of Atlanta's police force, has contributed to the drop in crime in downtown Atlanta for three straight years." http://www.frbatlanta.org/invoke.cfm?objectid=87B687D8-6666-11D5-93390020352A7A95&method=display

Mr. Porter defines "clusters" in this way: they are "critical masses in one place of linked industries and institutions--from suppliers to universities to government agencies--that enjoy unusual competitive success in a particular field." http://www.isc.hbs.edu/econ-clusters.htm

His key insight is that "Competitive advantage lies increasingly in local things--knowledge, relationships, and motivation--that distant rivals cannot replicate." http://www.isc.hbs.edu/econ-clusters.htm

Autoworld, the SS Admiral in St. Louis, and the Power Plant in Baltimore were all failed attempts to revitalize downtowns. Autoworld in particular is a study in why non-clusters fail. It was located in Flint, Michigan, far from the traditional vacation destinations of tourists, convention goers, and business travelers. Funded in 1980-era Dollars (inflation!) to the tune of the then-enormous sum of $100 Million, it offered an indoor Ferris wheel, animated puppets, an IMAX theatre, and a history of cars display.

But there was no cluster. Potential tourists to Autoworld could count on only a single local hotel for accommodations, and no other significant tourist or business draws were nearby.

What kid is going to pick Autoworld over, say, nearby Cedar Point (which offered a full line of amusement rides and a host of tertiary tourist-related businesses)? By 1997, Autoworld had been leveled to make room for a simple asphalt parking lot at a local university, and the city of Flint was more depressed than ever.

How To Emulate Urban Renewal Successes While Avoiding Urban "Renewal" Failures

For those like myself who subscribe to Mr. Porter's theory of clusters, the city of Birmingham can meet or surpass the success of Atlanta and Chattanooga by fostering the grouping of existing area industries and tourist draws.

Few would argue that our area already has an outstanding university medical/bio-tech center, golf, NASCAR, fishing, football heritage, automotive industry, steel industry, banking center, history, and religious participation. Per the theory of clusters, these existing regional advantages should be encouraged to group closer together as well as to participate in shared promotional and investment cooperation.

For instance, UAB can fund medical/bio-tech research as well as supply ancillary talent and clout that could combine with the City of Birmingham's tax breaks and waivers on property usage that would make one area of downtown hyper-attractive to national and international medical/bio-tech titans and startups.

Birmingham's golf courses and area country clubs could be coaxed into cooperating to attract Ladies PGA (and PGA itself) tournaments, especially when combined with local incentives and prize monies.

And located as it is in the heart of NASCAR country, Birmingham will benefit as leading-edge amusement businesses like U-Drift.com establish inside city limits (e.g. at Century Plaza Mall) to form an automotive triangle of drifting and rock crawling in Birmingham, Porsche Driving School and motorcycle races at Barber Motorsports Park, and NASCAR racing itself at Talladega's Super Speedway (all along the I-20 corridor). This automotive sports cluster is in fact inevitable.

A repeal of Birmingham's automobile manufacturing tax (along with additional incentives) and cooperation with Barber Motorsports plus local automotive titans like Mercedes, Honda, Hyundai, Confederate Motorcycle, and Toyota could attract new manufacturers of cars, motorcycles, trucks, and SUVs from high-cost Detroit, Germany, France, Japan, and Italy into town, in addition.

Alabama's steel industry has recently scored Krupp manufacturing, but Birmingham could bring in other major steel players from India, China, and Russia with a few industry incentives and local steel company (and university metallurgy research) cooperation.

Birmingham's concentration of medium-sized national banks could be used to draw in banking and mortgage conventions. Changes in Alabama law (civil, criminal, insurance, liability, foreclosure, bankruptcy, tax, reporting/paperwork, privacy, equity fundraising, retirement and compensation package treatment for executives, etc.) could be encouraged in order to draw in major bank headquarters relocations to our area, too.

Alabama's civil rights (Birmingham Civil Rights Institute/ Sixteenth Street Baptist Church/ Kelly Ingram Park) and civil war (Tannehill, Tallassee, Tuscaloosa, Huntsville, Montgomery, Mobile) history could be better organized and promoted alongside Montevallo's American Village to draw in new tourists with major historical re-enactments.

The Birmingham area's large religious presence (Eternal Word Television Network, Ave Maria Grotto, Caritas, Samuel Ullman Museum, Muslim mosques, Jewish synagogues, Christian mega-churches) could be more comprehensively promoted to religious tourists and industries, as well.

Likewise, Birmingham's nightlife would do better if clustered. Look at how well the Birmingham Botanical Gardens and Zoo do by being next door to each other, and contrast that daytime success to our Jazz Hall of Fame being so far from the 5 Points nightclubs! Move the Jazz Hall of Fame into 5 Points! Encourage new bars and nightclubs to cluster around *existing* nightlife successes.

Promote DeSoto Caverns Park nationally and we'll draw in more airline passengers through the Birmingham International Airport (as well as rent more cars and have more tourists filling local restaurants and hotel rooms). Ditto for Ruffner Mountain, Moss Rock Preserve, Alabama Farmer's Market, Rickwood Caverns State Park, Southern Environmental Center, Oak Mountain State Park, and the Alabama Wildlife Center, which could all be promoted in package deals to eco-tourists, too.

Birmingham already has numerous stand-alone tourist draws such as Alabama Adventure, the Alabama Theatre, Arlington Antebellum Home & Garden, McWane Science Center and IMAX, Meyer Planetarium, the Peanut Depot, Pepper Place, Sloss Furnaces, Tannehill Ironworks, and Vulcan Park. The challenge is turning those stand-alone attractions into one or more large clusters of attractions.

Conclusion

In short, Birmingham needs Silicon Valley-styled clusters of businesses as well as Disney Land/Disney World styled clusters of entertainment offerings. Consider how many more gamblers go to Las Vegas, where they can find grouped together the MGM Grand, Circus-Circus, Caesar's Palace, et al, than who go to a stand-alone casino such as in Philadelphia, Mississippi.

There is a reason that food courts inside shopping malls do so well. Clusters. Why do CVC pharmacies seem to be located next door to Wal-Greens pharmacies? Clusters. Why are there two or three gas stations on the same intersection? Clusters.

To find industrial success, university success, medical/bio-tech success, NASCAR success, golf success, as well as success in every other viable sector of our local economy, Birmingham can find more examples of over-performance from clusters than from stand-alone activities.

5 Points South and Lakeview

Per Michael Porter's theory of clusters, Birmingham should seek to unite its entertainment districts.

Express evening tour buses need to go from 5 Points South to Lakeview (and back again!). No other stops for those buses. Dedicated tour buses need to also go from the Airport to 5 Points without being hampered by other routes or stops, and additional dedicated tour buses need to go from 5 Points to Vulcan and the BJCC. These changes would make 5 Points South the hub of an interconnected entertainment district.

The street lighting should be brightened inside this entertainment cluster. Make it obvious to new tourists that they are in a "special" entertainment area. Cross-walks and center lane divider lines should be brightly painted onto the streets inside the entertainment zone.

Parking must be improved and security must be enhanced. Deputize the private security/bouncers in the area and connect them to a police dispatcher with push-to-talk Sprint phones. This will give the police dispatcher the option of using the private security until a uniformed policeman can arrive. Foot patrols should also be increased in the area.

The area has to be brighter, safer, and more convenient for both parking and walking. Add information kiosks in high foot-traffic areas so that new tourists can be informed of all of the available entertainment options and dedicated bus routes. Likewise, consider that future light-rail might be more accepted connecting night time entertainment districts than in connecting distant suburbs to downtown day jobs.

For that matter, light-rail that connects suburbs to downtown simply encourages people to live out in the suburbs. Instead, light-rail, if used at all, should be used to make Birmingham itself more efficient and attractive by connecting entertainment districts together as well as uniting downtown with the airport.

END OF PART TWO

In Part One, urban renewal success stories were studied, urban renewal failures were noted for causes, and the Theory of Clusters from the Harvard Business Review's Michael Porter was discussed in context.

In Part Two, it was noted that if you want more tourists that you have to place the tourists first on your list of priorities. Specific actions to take were cited (e.g. a dedicated non-stop bus-route between entertainment districts like 5 Points South and Lakeview). Specific options for crime fighting were listed (e.g. the no-cost approach of deputizing the private security guards of local businesses).

Part Three discussed economic stimulus. Business and home incentives and subsidies are possible. Zoning restrictions can be lifted with no impact to a city budget. Businesses can be directly purchased by a city government, run for a profit, and/or enable basic materials from some businesses like concrete/brick to be sold at below-market prices to give local private companies a competitive edge. City and University temporary surpluses can be invested locally rather than sent abroad for the most possible return. Unused/vacant property can be taxed at higher rates to encourage immediate property sales or better deals to attract in new business.

This PART FOUR will discuss education. Of course, any attempt to discuss this topic will come under intense attack from the usual suspects (e.g. those responsible for sub-standard learning environments). Inviting such attacks is not the point of this Primer, of course, and this Primer is *not* endorsing the options outlined below (even though it will be claimed otherwise by those taking cheap shots). The purpose of enumerating educational options is merely to establish an awareness of what choices are available, should a new path be desired in whole or part at some point in the future.

But why should we care about education? Moreover, why should we change anything about how we currently educate our children?

Well, from a city's viewpoint, a quality educational system is an attraction that lures in new businesses and residents. You don't move to Oxford, England for the weather, after all! In addition to the direct benefits of a quality educational system to a city in the form of lures and prestige, good educational systems indirectly reduce crime, increase average wages and prosperity, as well as stimulate economic and scientific/technical progress.

Where Are We Today?

It may be helpful to print a snapshot of our current educational state of the area.

Standardized tests such as the Stanford Achievement Test are given throughout our school systems nationwide. Birmingham schools such as Banks Middle and the Christian Alternative School scored quite well, nationally (in the low to mid 80th percentiles for 7th grade in all/most subjects, for example), as did the Princeton Alternative with its 5th graders.

Some less-urban, less-affluent schools in Jefferson County did well, but not quite to the 80th percentile level, such as Gardendale Elementary and Corner High.

Birmingham's border suburbs, however, have had some outstanding success stories. All Homewood and Vestavia schools scored in the high 70's and into the mid-80's, as did the Hoover and Oak Mountain schools. And with vastly different levels of affluence, it's interesting to note that rural Trussville schools scored as high as the 85th percentile, while neo-urban Mountain Brook schools universally scored from 82 up to the 95th percentile, nationally.

Clearly those schools are doing something right that does not necessarily align with mere racial or financial excuses. From downtown Birmingham into suburban Mountain Brook and out to Corner High and then Trussville, quality educations can be obtained already.

However, such success stories are not as universal as could be desired. Neighboring Bessemer schools scored as low as the 20th percentile in math at the Charles F. Hard Elementary. Birmingham's own Barret Elementary scored an even lower 18, and Jackson-Olin High scored a dismal 12th percentile nationally (in math). These and other schools need improvement or closing.

In fact, the list is shorter of Birmingham schools that are not in need of closing or radical improvement: Banks Middle, Christian Alternative, Epic, McElwain Elementary Magnet, NH Price Elementary, North Birmingham Elementary, Robert C Arthur Elementary, and Wilkerson Middle are all functional schools educating our children at competitive levels, nationally. Quite simply, Birmingham schools not on that short list (through the 8th grade) could probably not be made much worse by any possible changes, including the closing of such other schools and the mass firing of teachers and administrators therein.

And that brings us to our first potential option:

Ground Zero Education

A ground zero education (GZE) is a concept based upon starting over from scratch. In bureaucratic circles, a GZE is similar to a Zero Budget process wherein a bureaucracy has to itemize its budget needs for the next future year instead of simply asking for a 5% budget increase over the prior year.

If you fired all administrators, terminated all contracts, dismissed all teachers and assistants and staff, you would be left with a pool of money and a series of empty buildings.

This is where a ground zero education would start. What could be done with the given pool of money, given no legacy spending baggage?

1. Private contractors could be hired. They could even be forced to compete with other private contractors based upon price and student test scores. Contractors that failed to deliver would find themselves not winning the same contract in the following year.

2. Teachers could be hired without union restraints against their being fired for sub-standard performance.

3. Massive administration bureaucracies could be avoided.

4. Legacy legal expenses (e.g. $3 Million per year spent currently by Birmingham schools for attorneys to merely sit in on PTA meetings) could be eliminated or at least brought under control.

5. School districts could be redrawn. For instance, one way to draw school boundaries could potentially be based upon the percentage of parental involvement. Areas with similar levels of parental interest in their children's education could be grouped together.

CONCENTRATED RESOURCE EDUCATION

A Concentrated Resource Education (CRE) is rooted in historical military battle philosophy. Traditionally, to win a battle, it has been considered that the most concentrated level of firepower delivered against an enemy would win the day. If you could arrange for 50 of your soldiers to battle 5 of the enemy, then you would be expected to win that minor skirmish even if the enemy had 500 other soldiers available nearby.

Similarly, a CRE concentrates teachers such that there is a temporary superiority. 47 students might be sent out for "recess" or group reading with 1 assistant teacher, while 2 teachers then had 10 minutes alone with one student. When finished learning one item during those 10 minutes, the student would be sent out on recess and one of the 47 students out on recess would then come in for 10 minutes with the same two in-class teachers. This would continue throughout an 8 hour day for all 48 students in said class.

In this manner each student would be outnumbered by teachers during various times of the school day, insuring that *something* new was learned everyday in a completely isolated, controlled environment. No day would ever go wasted. Progress would always be made.

CULTURAL LEARNING SYSTEM

In California, 2006 Teacher of the Year Bryan Brandow is proposing a radical rethinking of how children learn basic educational tenets. Mr. Brandow noticed that so many fathers were immigrating into his U.S. neighborhood from a remote Southern village in rural Mexico that cultural values and basic educational concepts that were once uniform in that village were no longer being taught/transferred to said children.

Bryan then spent a year living in that remote village in order to learn what was missing, and he has come back to the U.S. to show us that children learn many things from their social environment, and when that social environment changes radically those same things go unlearned even though the local school is teaching the same curriculum as always.

Put simply, some things are better taught outside of school. This concept can be integrated into a Cultural Learning System by drafting parents, peers, and important local cultural icons (people, businesses, churches, etc.) into teaching at least one thing to local children under the school's direction or at least with aid/input from the school.

COPYCATTING

Another improvement can be made to currently failing-schools by simply studying firsthand and then copying what is working for nearby successful schools.

How are parents motivated to bring their children to school and wait in line for this greeting each morning? How are the 6th graders motivated to show up half an hour early to school each day in order to perform this service for free?

Better busses, bus drivers, and bus routes will never equal the above. You could spend unlimited money until you were blue in the face and still not create the scholastic environment that is fostered with such personal touches and effort.

Note what works. Copy it.

STREAMLINING

School Administration streamlining can be outsourced. Consulting firms can compete to win the right to reorganize school bureaucracies. Modern technology permits fewer managers to be able to oversee more people, so bureaucratic bloat can be put on a diet without negatively impacting the services delivered/provided. To be honest, the current Administration is not getting most schools to deliver acceptable levels of education. Where does the buck stop?

VOUCHERS

Birmingham spends thousands of Dollars per year for each student. A case could be made that the student would be better off if her parents were simply given a voucher that could be transferred to other schools (private or in neighboring suburbs) to pay for her education in a place with a better track record. This would encourage successful schools to compete for our students in order to obtain these vouchers.

10.Immigration Control Efforts: http://www.nationalreview.com/dunphy/dunphy200401220906.asp

It's also worth noting that the Federal Reserve Bank of Chicago has a study (http://www.chicagofed.org/cedric/files/2005_conf_paper_session1_immergluck.pdf) that shows a 2.33% increase of violent crime for every 1% increase in the local foreclosure rate. Apparently it is bad for society to kick people out of homes or otherwise have vacant property.

Further reference: https://www.police1.com/pc_print.asp?vid=70951

Some of Birmingham’s alarming (negatively) demographic statistics are due to out-migration. Birmingham has out-migration because there are better places to live and work nearby.

To make Birmingham more friendly to live and work, you are going to have to eliminate the City’s overwhelming desire to say "No" to new jobs.

That is the problem, and it isn’t being discussed (even "discussion" itself is overrated, action is instead urgently required).

So what is this "Culture of No?"

In a recent lunch conversation, State Rep Patricia Todd said that Birmingham was once a manufacturing center where blue-collar jobs were common, but now college degrees were required.

Representative Todd, however, is among the first to say "No" to Alabama Power’s desire for a new power plant in her district. Alabama Power could promise blue collar jobs starting at $100,000 per year, going up to $750k/year management positions, and Todd is going to still say "No" to a new nuclear or coal power plant in her backyard.

And that’s fine…but she has to recognize that she is saying "No" to new, plentiful, high-paying jobs. This is all hypothetical, by the way.

What’s not hypothetical is that Glenn Iris residents just said "No" to new construction and to new construction jobs when they cancelled the proposed new apartment building on the Knights of Columbus property.

And that’s fine…but those residents need to recognize that they said "No" to new, plentiful, high-paying jobs, even if temporary.

In June of 1993, Birmingham residents of the Titusville neighborhood took the city to court to block completion by Browning-Ferris Industries (BFI) of a garbage transfer station in their section of Birmingham.

And that’s fine…but those residents need to recognize that they said "No" to hundreds of new, plentiful, high-paying blue-collar jobs. You don’t need a college degree to work most garbage transfer station jobs, after all.
http://en.wikipedia.org/wiki/Titusville,_Birmingham,_Alabama

By the way, those acres of now-decrepit land are still vacant and unused be everyone except crack addicts today, 15 years later.

It’s a Culture of No.

Further, it isn’t just Birmingham’s Titusville residents saying "No."

Birmingham has 99 such neighborhood organizations, each with near veto power over any and all new jobs and construction.

Ninety-Nine.

Having been to multiple meetings with some of those neighborhood associations, the one trait with which they all shared with me is that they *live* to say "No" to any proposed development inside their neighborhoods, which includes legal jurisdiction even over nearby **commercial** zones. Think about that fact for a moment…residential neighborhood associations have veto power over adjacent commercial zones.

Next is City Hall.

Having stood for hours next to the Permits window just inside the entry to City Hall, I was "treated" to bureaucratic "No" after "No" as various businessmen applied for permits to do business inside the city limits of Birmingham.

It’s a Culture of No.

In 2000, Birmingham had 243,000 residents. By 2006, the city had shrunk to 229,000 people. It’s now losing between 5,000 and 10,000 people each year.

And everyone left inside is saying "No" to new businesses, "No" to new construction, and "No" to new jobs.

Now, this paints an unfairly negative picture of The Magic City, but the point here is that Birmingham can change the above. It can say "Yes" instead of "No" to new jobs and construction, if desired.

To paint a fair portrait of Birmingham, I’d have to name myriad positive things (City Stages! Block Parties on the 4^th!) that the City is doing, but there is no need to change those great things, so I omit them here for brevity, and ask the reader’s forgiveness because I realize that leaving out the good makes for a dark hue.