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Facing a Two-Front Crisis
Jack Evans Report
May 23, 2011
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-As we’re suffering through Washington’s worst heat wave of the year, take a moment to check in with your elderly or ill neighbors who might need a little assistance. Weather like this can effect even the healthiest of us.
This promises to be a long, entertaining summer in terms of Washington’s number one spectator sport, politics. With heated contests for mayor, council chair, two at-large seats and four ward council seats, there will be no shortage of candidate forums, neighborhood rallies and straw polls.
The best thing that any Washingtonian can go do is get out there and participate. Attend a neighborhood forum and ask the candidates about what’s on your mind — from education to crime, from the economy and jobs to improving city services. I truly believe each of us has something to contribute to this important dialogue about the future of our city. So in addition to our new pitcher Stephen Strasburg heating up the mound at Nationals Park and the Washington Kastles gracing downtown with World Team Tennis this month, we have plenty in the sport of politics to look forward to!
The responsibility of governance will return soon enough in the fall and we have many challenges ahead. We may even have to revisit the FY 2011 budget, due to declining revenue projections. It’s anyone’s guess, but looking at states and localities around the country, one can’t but watch and continue to wonder. Jurisdictions are trimming back, instituting employee reductions, mandating furlough days and retrenching some programs. Some states are even borrowing from pension funds to meet current expenses and issuing IOUs to taxpayers for tax refunds the states cannot afford to send. I am grateful D.C. has managed to do better than others, but I do have to chuckle a bit when I read these stories about other states — who’s calling for control boards for THESE folks?
President Obama and some in Congress have been talking about additional stimulus spending, particularly to keep state employees and teachers on the job. While there are merits to this, it would also add to the federal deficit most likely, in itself another problem. Ultimately I think that may be a short term fix at best, which I’d rather avoid. We’ve managed to avoid a severe day of reckoning here in D.C. through a variety of means — some of which I don’t support — such as spending reserves and other one-time measures. Ultimately, given the unlikely return of the “irrational exuberance” in the boom economy of a few years ago, we will have to align the District’s budget to actual sources of revenue, which can be tweaked here and there, without the use of one-time gimmicks and fixes. In short, while our most recent revenue estimate is flat — which is good news in itself — we still have yet to address some of the fundamental, structural problems with matching the size of the government to our revenue sources.
Finishing up, I want to take a brief moment to remember my staffer Desi Deschaine on the upcoming one-year anniversary of his death. We have truly missed Desi as part of our office and part of our lives, and I know those of you who were touched by him do as well. Here’s remembering you, Desi — you remain in our hearts and minds.
Jack Evans Report
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-I’m feeling a little more optimistic these days and wondering if we are turning a corner, at least in one respect, with regard to the economy. For the first time in the last couple of years, I can see how some development projects important to Ward 2 could move forward. The key in all instances has been this: access to capital is opening up and people are looking for places to invest. Fortunately, I think D.C. has rebuilt and maintained a good reputation over the past decade as a good place to invest. Not just because of the relative economic stability that comes with the presence of the federal government, but also that we, as citizens, have brought the city back to life. We are no longer the financial and physical wreck we once were a decade ago, and if I have anything to do with it, we will never, ever return to those days. That doesn’t mean there aren’t still challenges ahead, of course.
I think the economy is warming up a bit, and what that means is investment capital is loosening and looking for a place to go. D.C. needs to be in the position to say, like a kid perhaps, “Pick me, pick me!” We are doing all we can to make this happen and having conversations about projects large and small across the city and ward.
Of particular interest are the Market at O Street project in Shaw and the new Convention Center hotel on Ninth Street. Both of these projects, after several financial delays, appear to be back on track and moving. I particularly appreciate the hard work of Roadside Development in moving the O Street project forward. Imagine trying to finance a development that contains a new Giant grocery store, a hotel, condos, senior housing, an underground garage, and other retail. The financing for each of these components, in case you didn’t know, can be quite different. You can secure financing for the grocery store, but there was a serious downturn in financing hotels for quite some time. The complexity of the financing of this project cannot be underestimated, so I am especially glad we’ll see a groundbreaking in earnest in early September. Bravo! This truly is a lynchpin project in the heart of Shaw that I believe will help spur other positive investment.
The new Convention Center hotel, likewise, is making headway after a period of stalling. The District stepped up to the plate to help provide bond financing for the project, but a dispute between JBG and Marriott on some other issues delayed moving forward on the matter. Like any number of other disputes, you just have to get the parties to keep talking, and I salute the work of Attorney General Peter Nickles in getting the two parties to settle so we can move forward on issuing the bonds, with groundbreaking commencing shortly thereafter. This project too will serve as a catalyst on the west side of the Convention Center and will help serve as an anchor to further investment along Ninth Street in Shaw.
The District government, of course, has very little influence on the national economy, as one might expect. But, where we can make a difference is in two ways: by stepping up to the plate as needed and providing financial assistance to close gaps and move projects forward in tough economic times and by keeping our nose to the grindstone and not giving up on projects we know will be a success, such as these two. There have been many challenges standing in the way of both of these projects — political, economic, logistical, etc. — but I have found that if you keep focused, you will be prepared to move forward when things are looking up again. And at this juncture, I think things are looking up.
Where has the time gone?
May 18, 2011
•On April 30, I celebrated my 20th anniversary of being elected to City Council representing Ward 2, and on Friday, May 13, I will celebrate my 20th anniversary of being sworn in, which makes me the longest serving current councilmember. When I finish this term I will be the longest serving councilmember in history; it’s a good time for reflection.
The first Ward 2 Councilmember was John Wilson, who took office in January 1975 and served until December 31, 1990. He was sworn in January 2, 1991 as Chairman of the Council, creating a vacancy, which had 15 candidates in the special election. I won the election with 2,926 votes, 360 more than Jim Zais. Bill Cochran and Clarene Martin each received 1,050 votes.
Sharon Pratt had just been elected Mayor and had taken office in January 1991. The finances of the city were not bleak and two weeks before my swearing in, there were three days of riots in Mt. Pleasant after a rookie police officer shot an Salvadoran man.
Things in the District went from bad to worse. Mayor Pratt, Chairman Wilson and the Council did not have a good working relationship, which meant legislation was hard-pressed to get passed. Then in 1993, Chairman Wilson hung himself in the basement on his Washington home, rocking both the political arena and citizens who had found hope in his leadership. By 1994, the District’s finances had further deteriorated and Mayor Pratt approval ratings declined drastically. The Mayor’s election in 1994 saw the return of Marion Barry as mayor. By the end of 1995, Congress imposed a Control Board, which gave Congress the power to override all financial decisions made by the mayor and city council.
They were turbulent days. The turning point came in 1996, when we saw a resurgence of life come to D.C. With Mayor Williams’ election in 1998, he joined Chairman Linda Cropp, with myself as finance and revenue chairman and chief financial officer Natwar Gandhi to lead the city in a comeback in both business and population. As I look back, I remember great challenges and great progress. Our city stands today as one of the most dynamic in the country, with strong finances and a AAA bond rating, a measure of how financially stable an institution is.
I was 37 years old, single and living in a condo in Dupont Circle when I was first elected. My mother died on Mother’s Day in 1993 and my Dad in 1996. I married Noel, my first wife, in 1994 and moved to 32nd Street in Georgetown. We got a dog in 1995 and then had triplets in 1996. We moved to P Street in Georgetown and I was reelected in five subsequent elections.
In 2003, Noel died of cancer. Kayla died in 2007, a year after getting another dog. I married Michele, the woman I am still married to, in September 2010 and am running for re-election in 2012. I just celebrated my 40th high school reunion.
Life as a city council member does not always lend itself to working eight hours a day or normalcy in the traditional sense, but I wouldn’t trade any of it. My identity as a politician and family man has defined my life. There is still much work to be done and I look forward to a great future.
The Jack Evans Report
September 22, 2010
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-In my last column, I addressed two challenges (education reform and fiscal responsibility) which will face the next Council and Mayor. This election season we will elect a Mayor, Council Chair, two at large Members of the Council, and four Ward Councilmembers (Wards 1, 3, 5 and 6). The city faces five key issues which the Mayor and the Council will have to confront after all the speeches are done and the buttons and signs are put away – and these are my thoughts on the final three:
3. Creating an investment environment. Too many of our neighborhood commercial strips have languished over the past 40 years. Elected officials in town talk a lot about helping small businesses, but I’d point this out — small businesses pay the same outlandishly high tax rates as big businesses! I believe this has greatly discouraged investment in our neighborhoods. Three years ago, the Chairman and I authored legislation which reduced the commercial property tax rate from $1.85 to $1.65 for the first $3 million of a building’s value, which was quite helpful in our neighborhood commercial areas. But even the $1.65 is far higher than the surrounding jurisdictions – we’ve priced ourselves right out of competition with our neighbors, all while we hemorrhage retail spending across our borders. The business income tax rate at 9.975% is among the highest in the country, and we tax unincorporated businesses which our neighbors do not. If we are really serious about changing the business climate in DC – often ranked among the nation’s worst — we need to look long and hard at these rates if we are ever to bring more jobs and opportunities to our neighborhoods, and retain the spending power of DC residents right here in the city where it belongs.
4. Public Safety. We have made great strides over the past decade in implementing community policing, utilizing new technologies, and pinpointing resources at data-identified problem areas. We have much to celebrate — the murder rate is the lowest in 40 years. But we have a ways to go on continuing to lower robberies and theft – and we face particular problems with juvenile crimes and dysfunctionality of the juvenile justice system. These are the next areas we will need to focus on.
5. Self-determination. This area is one in which there can be either incremental or large steps. I believe a two pronged strategy will be needed to obtain statehood for the District, and/or any of the steps along the way. We will need a Mayor and Council that has a good working relationship with the Congress. Statehood ultimately is but a majority vote in the Congress, but there are issues, particularly financial ones, to address along the road to statehood. Smaller steps could be such things as budget and legislative autonomy for the District. Budget autonomy in particular would allow us to conduct a more rational budget process every year rather than the “hurry up and wait” that we suffer now as we wait for the Congress to approve our spending of our own locally-raised funds.
I believe we can achieve these things, but like many things, we’ll all have to wait until the dust settles after the election to get back to work on many of the pressing issues facing our city.
The Jack Evans Report
August 27, 2010
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-It truly is the dog days of summer! Or, in the words of Nat King Cole, “roll out those lazy, hazy, crazy days of summer!” In this kind of heat and humidity the best thing you can do is do nothing, move as little as possible and have a cool, frosty drink nearby.
Oddly enough, those recommendations notwithstanding, we’ve been doing quite a bit in the council office lately. First of all, we’ve continued work on the Georgetown Waterfront Park, and I am happy to announce we have received a commitment from Pepco for a donation of $50,000, which fills an important gap in moving the remaining parts of the project along.
Logan Circle was busy this past weekend with the 11th annual “Dog Days” sidewalk sale events, with participation by both retailers and community groups. And just recently we helped the neighborhood secure funding from the District to help design a marketing plan for the 14th Street corridor.
In Shaw, we celebrated the grand opening of the brand new Watha T. Daniel Library, a great community resource for the neighborhood and city. As you may recall, the previous library was a big heap of unattractive concrete, often compared to a prison or a wartime bunker, which was neither inviting nor very functional. I am very proud of the hard work of my staff, the D.C. Public Library, and community stakeholders in making the new library som
In Shaw this past week, we celebrated the start of a $31 million rehabilitation of the Gibson Plaza Apartments, which will renovate the 271-unit affordable housing building with a variety of green building features, and will be funded by federal HUD funds. I am happy to report that not a single resident will be displaced by this renovation.
Whew — after all that, I think we better slow down a bit! Actually, I love getting things done and it is gratifying that we’ve been able to move forward on a number of projects in the past week or two.
Don’t forget the upcoming elections. One thing is for sure: it is going to be a very interesting month and a half.
The Jack Evans Report
August 25, 2010
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-Our long hot summer will soon enough turn the bend of Labor Day and the September 14 primary which will select the Democratic nominee for Mayor, Council Chair and a number of races down the ballot. As many of you know, I have endorsed Mayor Adrian Fenty for reelection, but regardless of the election’s outcome, the city faces 5 key issues which the Mayor and the Council will have to confront after all the speeches are done and the buttons and signs are put away. We’ll talk about two of them today:
1. Schools. This continues to be one of the central issues facing the city, and historically has broken down like this: “rich” kids go to private or parochial schools and “poor” kids are stuck in run down schools with no future. Over the past 30 years the city has hemorrhaged middle class people, but good schools are key to retaining middle class families in the city and improving outcomes for low income kids. Mayor Fenty has made some pretty big changes, starting with authoring the Schools Facilities Modernization Financing Act as a Councilmember, and of course, as Mayor, implementing the takeover of the school system and installing Chancellor Michele Rhee as its head. As a result of the first legislation and a lot of hard work by Allen Lew and his facilities team, our school construction and maintenance efforts are the best they have been in a generation, by far. At some point credit is due to the Mayor for this. The other changes have been somewhat more controversial, but I believe Fenty and Rhee are on the right track by trying to bring more accountability into the system. My observation over the years has been this: for years we had a performance evaluation system where almost by magic no one was ever fired for lack of performance, but our schools were at the same time among the worst performing in the nation. Fenty has quite correctly identified this as fundamentally problematic and has sought to change old ways of doing business.
2. Fiscal responsibility. As Chair of the Council’s Committee on Finance and Revenue, you’ve seen me write about this topic often, and it continues to be a concern of mine. Fortunately, the District has the relative stability of the federal employment base, but in the FY 2011 budget cycle this spring, I expressed a number of concerns which all go back to this one notion: we can’t live beyond our means. For the last several years we’ve spent down revenue from our fund balances, which were once over $1.5 billion but which now are down to about $500 million. I believe the decline in our revenue — chiefly in the realm of commercial property — is not likely to return in the near term. A certain amount of our economy through the 2000’s was built on the shaky foundation of irrational exuberance. Yet the size of our government has not been restrained in proportion to the shrinking revenue. Using our fund balance the past three year has allowed us to paper over the problem, but I believe the next mayor and council won’t have this luxury — and I’ll note I was the only Member of the Council to vote against the budget this past year.
Those are the two biggest issues we’ll face next year. Next column we’ll talk about three more.
The author is a city councilmember representing District Ward 2.