4 20 09 Work Session - Washington Neighborhood Plan_Staff DocumentsT®: The Honorable Mayor and City Council Members
FR®nll: Michael C. Van Milligen, City Manager
SU JECI': Work Session -Washington Neighborhood Plan
DATE: April 14, 2009
Housing and Community Development Department Director David Harris is transmitting
information for the Work Session on the Washington Neighborhood Plan.
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Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David Harris, Housing and Community Development Department Director
T'®: Michae Van Milligen, City Manager
FR® David Hrris Housin and Communit Develo went De artment
9 Y p p
Sl! JECT: Washington Neighborhood Worksession
®ATE: 2 April 09
Introduction
The purpose of this memorandum is to introduce the City Council to the strategic
planning process that has been under way in the Washington Neighborhood for the past
nine months.
Background
Teska Associates, from Evanston, Illinois, was selected as the City's consultant,
partnering with the Chicago-based Center for Neighborhood Technology. In addition,
Teska used the services of two national firms for retail business and marketing analysis:
MJB Consulting, from New York; and MetroEdge, affiliated with the Local Initiatives
Support Corporation (LISC), a major equity partner in affordable housing and
community development projects around the country.
A Citizens Coordinating Committee (CCC) was formed, consisting of about 35 persons
(see attached list) representing a spectrum of neighborhood interests: resident
homeowners and tenants, landlords, business owners, social services agency
personnel and church and school leaders. This group met five times, beginning in
August and concluding in March.
This effort was staffed by the City through the efforts of the following individuals: Mary
Rose Corrigan, Health Department; Laura Carstens, Planning Department; Kelly
Larson, Human Rights Department; Gil Spence, Leisure Services Department;
Neighborhood Specialist Jerelyn O'Connor; Police Chief Kim Wadding and Capt Russ
Stecklein; and the Housing Department, including Joleen Patterson, Kris Neyen and
Lisa Barton. Tara Nelson, from the Community Foundation, also served on the staff
coordinating committee. Several AmeriCorps and VISTA members also assisted,
including Maddie Carney, Nick Stuber and Alyssa Hauser.
In addition, two "all-comers" Neighborhood Workshops were held, hosted by CCC
members, in an effort to obtain as much input as possible on the several plan drafts as
they were published. Over 100 additional individuals attended these meetings.
The consultants began their work through interviews, both individually and in small
groups, with additional neighborhood and downtown stakeholders. These sessions
were held with business leaders, lenders, development professionals and realtors,
among others. Special efforts were made to reach out to seek the opinions of Hispanic
and African American leaders. In all, more than 70 persons participated in these
interview sessions.
A series of plan drafts was published and distributed to CCC members. At each stage,
recommendations and strategies were discussed and modified according to feedback
received.
Teska served as lead consultant. The Center for Neighborhood Technology's role was
to identify educational and social service needs and opportunities. MetroEdge
conducted retail market analysis to determine neighborhood consumer behaviors and
market trends. MJB's role was to develop a `re-marketing strategy' for the
neighborhood and identify niche businesses to add to the mix of retail uses in the area.
iscuaai®n
Washington Neighborhood Strategic Plan
The final report summarizes the analysis and strategies under three major categories:
Retail Business Support and Development
Youth and Family Support and Programs
Housing and Community Development
The report lists 68 separate recommendations under these categories, covering a broad
range of strategies to directly address identified issues and to plan for an improved
future for the neighborhood. The `center piece' recommendation is the formation of a
neighborhood-based community development corporation - a Washington
Neighborhood Development Corporation (WNDC.)
Neighborhood Development Corporation
The mission of a neighborhood development corporation, in this case, would be to
implement the recommendations and strategies from the plan. The long-term success
of this effort will depend on our ability to `base' activities in the neighborhood: to obtain
the commitment and involvement of local persons to take ownership -- both to improve
the physical environment and to develop the `human capital' potential of the
neighborhood's residents.
The WNDC would be anon-profit corporation, with a governing board of directors
representing a variety of constituent groups. A key element in the success of the
WNDC is the ability to hire staff - an executive director to oversee operations of the
corporation. The director's duties would include staffing the board of directors and
committees, organizing volunteer activities and initiatives, writing grants and otherwise
seeking funding for operations and projects, and coordinating the activities of the
corporation with the City and the many other partners required as part of this long-term
effort. In simpler terms, the development corporation's mission is to mobilize
neighborhood stakeholders to sustained action, in ways that City staff can't provide.
The activities of the corporation are `grass-roots' based, sustainable over time because
of the commitment of residents and local businesses to the effort. CDC's have a long
history of success, nationally, in achieving neighborhood and community development
objectives.
Other Recommendations
A major focus of the report concerns preservation and development of neighborhood
retail businesses. The strategy is first to "protect and preserve" existing businesses,
given the current fragile economic environment. Over time, recruitment of other `niche'-
type retailers can be attempted.
Central Avenue is the western boundary of the Washington Neighborhood. It too is a
focus of plan recommendations, given the high level of storefront vacancies and
marginal operations. A strategy promoting `incubator' businesses in storefronts -artist
studios, small start-ups - at low or free rents, in the interest of re-occupancy and re-
establishing asense of vitality in this commercial corridor is an essential element of this
approach. This also includes formation of a business owner's association, with
activities to include refurbishing the exteriors of these buildings with some type of
uniform signage, lighting and paint color schemes. Central Avenue would also benefit
from improved streetscaping and beautification, both to make the area more inviting to
shoppers and as an incentive to property owners to rehabilitate their buildings. Dubuque
Main Street could be a partner in these activities.
Another recommendation is for redevelopment of the Five Points commercial area,
through acquisition of parcels, establishment of a tax increment financing (TIF) district
and construction of an expanded and up-dated retail service block. Key also to this
approach is creation of a `link' to the proposed redevelopment of the former Pack site at
Riverview Plaza, in the interest of establishing a connection to that retail site and
capture of `spill-over' business to the Washington Neighborhood. This also includes
creation of employment opportunities for neighborhood residents. Dubuque Initiatives
could be a major player in this strategy.
The list of recommended strategies and actions is summarized as follows:
Retail Business Support and Development
An important purpose in establishing a Washington Neighborhood Development
Corporation (WNDC) is to provide services in support of neighborhood businesses,
including:
® Remarketing campaign to create improved neighborhood image
® Creation of "neighborhood brand" to attract business investment
® Neighborhood logo
® "Protect and Preserve" existing neighborhood businesses
® Small business start-up training
® Locate sources of capital for financing small business start-ups
® Micro-enterprise training and start-up assistance
® Promote in-home small business entrepreneurship
® Develop partnerships with area college business schools to provide assistance to
retailers through internships and work-study programs
® Secure `pooled' capital from area lenders for business loans
® Approach Dubuque Main Street to create partnership to deliver services
® Attract "niche" businesses to meet un-served needs, i.e., services/products to
African-American and Hispanic households
® Secure funding from city for building fagade design and improvements
® Establish area business owners association, focusing on Central Avenue
o Develop unified signage and lighting; repaint storefronts in period colors
o Develop program to reoccupy vacant storefronts:
® Short-term rent-free use for artist studios
® "Incubator" space for new small businesses
® Create "sense" of occupancy/vibrancy along Central corridor
o Establish a streetscaping and beautification program for the corridor
Create "Shop Locally" program to encourage local retailer patronage, through
reward cards system
® Create local business directory
® Develop program to encourage `shopkeeper' re-occupancy of vacant upper-story
apartments above storefronts
Plan redevelopment of Five Points retail site; activities to include:
® Planned City/Dubuque Initiatives acquisition of parcels as available
® Land banking and resale to developer(s) for new retail center
® Research use of tax increment financing (TIF) for commercial redevelopment
® Establish commercial "link" to Riverview Plaza (former Dubuque Pack) site to
insure capture of "spill-over" business to Five Points/Washington Neighborhood
® Develop partnerships with Riverview businesses to encourage training/
employment of Washington Neighborhood residents
Youth and Family Support and Programs
Establish bus "circulator" system within neighborhood to improve transportation options
for youth and transit-dependent persons
Establish Neighborhood Youth Collaborative, to recruit and promote youth leadership, in
partnership with existing network of service/school agencies
Identify "signature" Neighborhood youth project targeted to older youth for design and
implementation
Establish Neighborhood Welcome Center; activities to include:
® Provide place for newcomers to learn of neighborhood resources
® Publish monthly "Calendar of Events"
® Create neighborhood website
Establish working relationship with the expanded Multicultural Family Center, to
promote joint programming and eliminate duplication of services
Establish bike safety program; place bike racks throughout neighborhood
Examples of youth programs to be developed:
® Intramural sports
® Little league teams; secure corporate sponsorships
® Hip Hop dance clubs
® Drill team
® Mentoring programs (expanded with existing or new partners)
® Expand Open Gym programs
® Expand after school programs, including securing business/agency sponsorships
® "Warm Summer Fun on Cold Winter Days;" promoting youth-parent activities
Hold an annual Sports-Health Fair
Hold an "Eat-n-Greet in Washington Neighborhood" annual event, celebrating ethnic
foods and featuring neighborhood grocers and restaurants
Establish amulti-generational community garden
Examples of career programs for youth to be developed:
® Career Fair, including vocational training and career counseling opportunities
® Rising Star training program
® NICC/IWDC outreach for interview training/resume preparation
® "Saturday Resume Workshops"
® Job shadowing in local businesses for neighborhood youth
Housing and Community Development
Include information on housing programs on neighborhood website
Establish Neighborhood Tenants Association
Educate tenants and landlords about rights and responsibilities
Support City programs promoting homeownership and maintenance of rental properties
Expand existing conservation districts to Neighborhood boundaries
Explore establishing historic preservation district in the Neighborhood
Establish pedestrian-bike `greenway' connections to Pack Site, Warehouse District and
the Bee Branch parkway
Retract commercial zoning at south end of Neighborhood
Phase out industrial uses at south end of Neighborhood
Install "traffic-calming" devices, like speed bumps, and raised or painted sidewalks, to
promote pedestrian safety
Rebuild alleys; multiple activities/objectives to include:
® use of pervious pavement to control chronic storm water run-off
® install high speed Internet cable to "wire" Neighborhood
® install geothermal or biomass shared power generation infrastructure
(shared with Warehouse District?)
reconstructed alleys would serve as incentive to more responsible resident
management of trash and recycling and would facilitate snow removal and ease
of entry by Public Works and emergency vehicles
Install "gateway" monuments at major street entries to identify Neighborhood
Install signage throughout Neighborhood, reinforcing identity and historic character.
In time, the Neighborhood Development Corporation could become more involved in
delivery of housing programs and services, including purchasing and selling properties,
recruiting buyers and administering rehab loan programs
Buelget Innpact
Implementation of these recommendations would entail a combination of continuing and
expanding existing programs, creating and funding new programs and funding new CIP
requests. A budget for all the recommendations has not been developed. A cost
estimate for the Washington Neighborhood Development Corporation, including annual
operating costs, is attached.
Conclusion
.Like all planning documents, the Washington Strategic Plan will prove useful only to the
extent that a sustained implementation effort is maintained and achieved. Achieving
measurable success in the Washington Neighborhood will be a long-term effort,
requiring a partnership between the City and neighborhood interests. Developing a
core group of stakeholders to `steward' this effort is our greatest challenge. With a
combination of financial and human resources, vision and a `reborn' sense of faith in the
neighborhood's future, this strategic plan can become a reality.
Citizens Coordinating Committee -Washington Strategic Planning Process
Victor Anderson
Beverly Berna
Michelle Brown
Avery Butler
Theresa Caldwell
Gary Carner
Noreen Carter-Wade
Keith Clark
Steve Cook
Janice Craddieth
Amy Esterhuizen
Andy Ferguson
Larry Gearheart
Doris Hingtgen
Pastor Jay Ilten
Stephanie Joyner
Tom Kane
David Kapler
Cathy Kelley
Wayne Klosterman
Pastor Parker Knoll
Butch Lee
Nancy Leslein
Dan LoBianco
AI Lundh
Angela Mangeno
Chris McCarron
Michelle Mihalakis
Charlotte Miller
Fred Miller
Mark Otterbeck
Susie Peterson
Jim Schumacher
David Shaw
Kendra Stoner
Kathy Weber
Margie White
Jay Winger
Julie Woodyard
Sharon Carner
Terri Krier
Mark Litka
Tammy Lynch
Sandy Tilton
Washington Neighborhood Plan
Addendum: Neighborhood Development Corporation (WNDC)
We have recommended that the development corporation be the driving force behind
implementation of strategic plan recommendations. This is the strategy that will build
long-term resident/stakeholder participation in reinvestment in the neighborhood's
future. It is a grass roots-based approach to neighborhood revitalization, seeking to
move the focus from city enforcement to resident ownership of initiatives for change.
An Information Sheet has been prepared by Teska Associates, describing in general
how community development corporations are formed and operate. It is attached. We
have also prepared a projected annual operating budget, attached, for a WNDC office.
This would include the services of an executive director. The model we are
recommending would be to start small, with aone-person staff. In time, with success in
obtaining foundation support or other federal or state grants, the staff could expand.
This budget has been estimated at about $90 000 for the first year.
A key to this approach is to identify, recruit and train a representative board of directors
to oversee the activities of the corporation. For this reason, we have included proposed
consulting fees from Teska Associates to perform this function, as a start-up cost. We
will also research the availability of other firms to provide these training services to the
new board.
The WNDC office would ideally be located centrally in the neighborhood, in a location
with high visibility. We have included rental costs for a small office in the budget, for a
typical storefront lease in the area. A number of other locations could be in the mix for
consideration. These include the Neighborhood Resource Center at Prescott School,
the COP office at the Carnegie Library, the new Multicultural Family Center, Comiskey
Park and the former Housing offices at 18t" and Central Avenue.
Support for operations of the WNDC could come from a variety of sources. Currently,
Dubuque Initiatives is preparing an application for New Market Tax Credits. A
percentage of the proceeds from the sale of those credits, if awarded, would be used to
assist qualified community-economic development efforts in the downtown. The
neighborhood corporation would be an eligible use of those funds.
We have made an initial contact with the Neighborhood Development Corporation, a
national non-profit which assists local development corporations to establish operations,
providing board and staff training and support, as well as access to capital for housing
rehabilitation activities. Affiliates currently operating in Iowa include Community
Housing Initiatives, in Spencer; and the Des Moines-based Neighborhood Finance
Corporation.
Direct City start-up assistance could be made available from reallocation of General
Funds from the Washington Neighborhood Homeownership Grants CIP. Another
possibility is reallocation of General Funds from the Multicultural Family Center
pac,E 2
construction project. In the first case, there is a substantial current unspent balance; in
the second, newly-available CDBG funds could be used to replace General Funds
committed to the MFC project.
We would expect to research foundation grant opportunities, through use of the data
base at the Community Foundation of Greater Dubuque. As well, we will continue to
monitor stimulus bill opportunities for assistance.
Also attached is a reprint of a March article from the Cedar Rapids Gazette, announcing
formation of a Neighborhood Development Corporation in that city for neighborhood
housing and commercial redevelopment. The NDC has received an initial capitalization
grant in the amount of $1.5 million, the majority from State flood recovery funds.
Washington Neighborhood Development Corporation (WNDC)
Proposed Annual Operating Budget
Rent (1000 square foot office)
Heat
Electricity
Water/sewer/trash
Custodial/snow removal (in-house)
Telephone/internet service
Fax line
Copy machine lease/contract
Staff:
Executive Director (Grade 34 equivalent)
FICA
Health Insurance ($600/month)
Business liability insurance
Property loss insurance
Directors and Officers insurance
Advertising
Printing
Postage
Office supplies
Accounting/payroll
Audit
Legal (pro bono)
Non-recurring costs
Total
Consulting:
Board training/business plan/fund raising
plan (Teska Associates)
Tax exempt filing/incorporation
Phone system (2 phones)
Computers (2)/printer/router
Office furnishings (used from City)
$ 7 200
1 200
600
400
N/C
600
450
1 095
50 000
3 600
7 200
600
1 500
600
400
500
1 000
N/C
$ 76 945
$ 7 800
750
100
3 300
N/C
Total $ 11 950
fn formation Sheet -Community Development Corporation
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Washington Neighborhood Development Corporation (V1/NDC~
One of the organizations recommended to take responsibility of (or be a partner for) many of the
programs/projects is a proposed new organization caked the Washington Neighborhood
Development Corporation {WNDC}, As a community development corporation (CDC} for the
Washington Neighborhood, the WNDC would manage a variety of tasks, including (but not limited to}
promoting and facilitating economic development Qobs and business activity), developing programs,
fundraising, advocating for neighborhood issues and activities, and organizing residents, businesses and
community groups. The mission of the WNDC would be to implement the Work Program defined in
this section. leadership for the WNDC would be comprised of active residents, business leaders, and
other community leaders in the Washington Neighborhood. The WNDC would work in close
collaboration with the Washington Neighborhood Association (WNA}, the City, and other local
community groups, schools, churches, and businesses to address the needs of the neighborhood,
particularly as they pertain to the programs and projects outlined in the Work Program, The WNDC
would be a partner to other agencies and organizations serving the Washington Neighborhood in the
planning process, helping to leverage their resources and focus them as effectively as possible,
What is a CDC?
A community development corporation (CDC) is a common type of not-for-profit organization that
exists to generate commercial business, housing, or job development in a community, in the interests of
that community. CDCs commonly play an integrative role -they bring together local government
support, funding from a number of public and philanthropic sources, private business investment, and the
vision and local knowledge of community residents to make projects happen. The projects might be
new businesses, homes, or services (such as job training or transportation) that are needed in the
community, What makes a protect happen might be the CDC's work in identifying a funding source and
writing a successful grant application; or the CDC becoming an equity partner in a development deal; or
the CDC becoming a counselor to small businesses or home buyers in a targeted community. As
organizations created for the good of the community CDC's also sometimes organize or support
community initiatives on issues that are generally not viewed as directly related to development such as
programs for the care of the elderly and the training of youth in practical skills.
CDC's are supported by a combination of contributions from residents and stakeholders in the
community area, fees for service or other earned income, funding from local or higher levels of
government (sometimes in the form of contracts to perform specific services), and philanthropic grants.
Younger CDC's tend to be more dependent on philanthropic grants and general support from local
government, More mature organizations tend to derive more of their revenue from earned income.
CDCs share a general mission of achievfig economic redevelopment for the benefit of their
communities, but the specific functions and tasks they take on vary according to local needs and
opportunities, In virtually all cases, partnerships and influence are critical, and the value that CDC's
bring to their communities lies less in what they do or spend directly than in what they leverage. CDC's
work with their partners in government, business, and civic institutions, and they generally perform the
tasks that wiEl enable a partner to invest more in the community, or they fill a gap in what the other
partners can do so that the community's deveiopment plan is implemented.
Washington Neighborhood Pian -- City of Dubuque IA Page 1
The Cedar Rapids Gazette -Cedar Rapids, Iowa City, Eastern Iowa Page 1 of 1
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Article published: Mar 26, 2009
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The City Council last night created a new non-profit corporation, the Neighborhood Development Corp., and
also funneled $1.5 million in state grant money to fhe endeavor.
Carol Bower, who has run a similar non-profit in Des Moines and who has been providing advice fo the city of
Cedar Rapids since the fa11, has been chosen to run the Cedar Rapids operation.
In conversations Wednesday with Bower and Marty Hoeger, the city of Cedar Rapids' real estate development
coordinator, the two said the new Neighborhood Development Corp. will become a driving fiorce behind
reinvestment In fhe city's core neighborhoods, particularly those now frying'to get back an their feet since the
June flood.
The operation will focus on helping bring about fhe buiEding of affordable pausing, but, in addition, will
concentrate on revitalizing neighborhood commercial development as well.
Hoeger said the commercial developmenf effort is likely fo focus on Czech Village, New Bohemia and tpe Ellis
Boulevard area of Tlme Check.
"The idea is to get businesses back into those neighborhoods," Hooger said.
Look for the Neighborhood Development Corp. to quickly Identify properties in need of redevelopment and, in
some instances, to acquire the property and "get it back online," said Hoeger.
The corporation will operate Independently of fhe city of Cedar Rapids,
It will have a nine-person board. Three of the members will be from neighborhoods; four wlil be people in the
business community familiar with development; and an elected official or employes from both the city and
county governments will round out the board.
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