CAP Report confirms that Living Wage Laws have NO negative impact on economic development or job growth.

On Tuesday, November 30, 2010, the Center for American Progress (CAP) released a report of an eighteen year study it conducted from 1990-2008. The report evaluated the affect of living wage laws on economic development and job growth. The study entitled “Creating Good Jobs in Our Communities: How Higher Wage Standards Affect Economic Development and Employment,” compared 15 cities that were successful in the implementation of a business assistance living wage law to 16 control cities that tried and were unsuccessful in the passage and execution of such laws. To date there are 140 local governments that have enforced some form of living wage laws within their jurisdictions.

The report noted that local governments spend more than $50 billion in policies which aim to draw private investors into areas to increase investments and jobs through avenues such as direct subsidies, tax exemptions, and infrastructure improvements. These dollars often come from public funding which are tax-payer dollars. The success of these avenues is not often victorious with businesses relocating to other cities leaving individuals searching for jobs once again.

Several key findings were revealed in CAP’s report putting to rest opponents’ arguments about the negative impact living wage laws have on business venture and job growth in areas that have enacted these laws. For instance, it is argued that cities with living wage laws scare away potential investors due to higher employee costs forced upon them. Additionally, there is the argument that businesses will not hire additional employees due to these stipulations. However, it was found that cities with these laws have the same level of economic growth as cities with comparable attributes but no living wage laws enforcing labor standards. Furthermore, these laws were found to have no negative effects on low-wage workers or low-wage worker industries.

As noted in the report, Living wage laws allow for local governments to ensure that taxpayer dollars do not subsidize poverty wages. Various ways have been developed in order to connect labor standards to public development projects; such as Community Benefit Agreements and prevailing wage and living wage laws, with living wage laws at the forefront of establishing these connections.

To read the Center for American Progress’s full report please click link below: http://www.americanprogressaction.org/issues/2010/11/pdf/living_wage.pdf.

Heartened by Amendments to MGPP, But We Still Need a CBA

On Monday (11/29/10) afternoon the ECHDC Board of Directors voted to approve the Modified General Project Plan (MGPP) for Canal Side. CEJ and the Canal Side Alliance, as well as several of our members listened to Chairman Jordan Levy discuss amendments to the MGPP, and then presented over 1,000 post cards from Buffalo residents in support of a Community Benefits Agreement for the development project.

For the most part, we were heartened by the steps made by the ECHDC in amending the MGPP. One of our top priorities has always been to create a more accountable and transparent process with increased community engagement. The incorporation of some community ideas into the MGPP makes us cautiously optimistic that the ECHDC is more willing to work with and listen to the community.

Specifically, the hiring of Fred Kent, of the Project for Public Spaces to assist Canal Side architects shows a commitment to embracing the notion of “lighter, quicker, cheaper” which the public has been calling for. This stands in contrast with large-scale private business subsidies and infrastructure designed to accommodate them, which had been a mainstay of the previous plan. An example of this is the decision to table the construction of a major parking garage on the old Aud site. On the whole, it appears there has been a shift in focus towards public infrastructure. Our hope is that they may be realizing what we’ve been saying all along, that spending tax money on public goods is a much smarter investment than giving it away to private businesses and hoping that the public benefits.

In addition, ECHDC announced on Monday the creation of three subcommittees to study the Historic District, the Buffalo River, and the Outer Harbor. The committees will be made up of community members and chaired by Jordan Levy, with assistance from Fred Kent, and will issue their first reports to the board in February. This is another sign of doors opening to authentic community engagement and participation.

While this is encouraging, as we move forward on this project, the ECHDC needs to take the next step and negotiate a Community Benefits Agreement. This would lay out guiding principles for the development project, and make sure the public benefit from this investment is maximized. Absent at Monday’s meeting was the discussion by board members of a CBA, despite the fact that the Common Council passed in March a unanimous resolution conditioning the sale of city land on the successful negotiation of a CBA.

To that end, CEJ hosted meeting of faith leaders and Common Council members on Tuesday, November 30th, in discussion on the need for a CBA. Faith leaders re-iterated their support of a CBA and how the agreement would help the members of their congregations, and Common Council members Rivera, LoCurto, and Haynes explained the history and progress of the fight for a CBA in the Common Council. Break-out groups allowed faith leaders to converse with each other and with their councilmember, each sharing their knowledge and insight as well as concerns moving forward. This allowed faith leaders to learn more about the process of the CBA and understand how they can most effectively lend support to that process on behalf of their congregations.

While amended and somewhat improved, passing the MGPP puts a plan in motion, which is essentially placing the cart before the horse. We still don’t fundamentally understand what will be going down there. For instance, how much money will still be spent on private development? Buffalo faces many challenges including poverty, lack of community control over resources, underemployment and unemployment. A CBA would also address these challenges. A CBA would also set a precedent for future development and establish WNY as a business, community, and people friendly region.

Tell Congress: We need help for the unemployed, not tax cuts for rich!

This holiday season, over 2 million Americans will be cut off from their existing unemployment benefits. The TANF Emergency Fund, which subsidized 240,000 jobs for low-income families and youth, has yet to be renewed by Congress. With the unemployment rate continuing to hover at 9.6%, 5 job-seekers for every available opening, and the number of long-term unemployed continuing to climb, now is not the time to cut programs that help people get by.

But as of now, Congress hasn't even scheduled a vote on extending jobless benefits, and conservative leaders have vowed to put their energy for the few remaining weeks of this Congressional session into extending the Bush tax cuts to the wealthy. The same lawmakers who say our country cannot afford to maintain benefits for the jobless want to extend tax cuts for the rich that will cost the nation more than $700 billion. There is something seriously wrong with this logic!

Thousands of activists like you are calling Congress with a message: do your job for those who don’t have one! Can you take a minute right now and make a call?

Click here to make a fast, free call to Senator Schumer and your Representative, and tell them not to desert our workers!

CALL NOW AT 1-877-662-2889

Until there are enough jobs, we must continue the programs that serve as a lifeline for millions of unemployed Americans and their families. Tell Congress to extend Unemployment Insurance and the TANF Emergency Fund until the economy recovers, not tax cuts for the rich.

Please let us know you called!

Time to hold our new leaders accountable

At this time, most of the election results are in. With the dust still settling on the 60th District State Senate seat, and debris from election night victory parties being swept up, it is important to remember what was promised to us during the electoral campaigns - lest these pledges be swept aside as well.

CEJ created a Voters Guide for the State Senate races in districts 58, 59, 60, and 61. We asked the candidates questions about accountability, jobs, and economic development. Specifically, three important questions were put to the candidates. Unfortunately, it seems that some candidates were afraid to talk about these issues. Patrick Gallivan (R) 59th and Michael Ranzenhofer (R) 61st did not respond to our multiple requests for comment. Tim Kennedy (D) 58th and all candidates from the 58th did respond, as well as both candidates in the 60th district, where the winner has yet to be determined.

Below are the questions we asked, as well as the pledges made in response to those questions from Tim Kennedy (D) 58th, as well as both Mark Grisanti (R) and Antoine Thompson (D) in the 60th district.

Q: What measures would you support to promote greater public accountability in state government and restore public trust?

Tim Kennedy (D) 58th - "In order to clean up Albany, we will also have to fight for real ethics reform and end pay-to-play politics. We need to stand behind initiatives like a state ethics commission and a comprehensive annual financial disclosure form to shed light on the outside dealings of state legislators."

Mark Grisanti (R) 60th - "Albany needs transparency and politicians needs to be held accountable. Additionally, there should be term limits so we do not have career politicians who become out of touch with there constituents."

Antoine Thompson (D) 60th - "I support public financing of elections in order to provide transparency and accountability in government and would continue to meet with my constituents about their concerns and issues, host town halls in my district and work with my colleagues to put forth meaningful reforms and legislation for the people of NY."

Q: The State’s two main engines of economic development, Industrial Development Agencies and Empire Zones, have come under increasing scrutiny in recent years, with changes to the Empire Zone program now imminent. How should these programs be changed or overhauled to better target the state’s economic development resources?

TK (D) 58th - "We need to target investment in high-wage, high-tech industries in economically distressed areas to create family-sustaining jobs. With that said, as the current chairman of the Economic Development Committee in the Erie County Legislature and a member of the ECIDA, I understand first-hand the need for reform within Industrial Development Agencies. This begins and ends with accountability. We cannot afford to give away millions of dollars without demanding that the companies receiving this money provide measurable results in the form of good-paying jobs. If companies fail to live up to their end of the bargain, there needs to be ramifications. The same goes for the Empire Zone program, which is now being phased out and replaced with the Excelsior Program. In order to ensure that both of these programs are spending taxpayer’s dollars wisely, we need additional accountability."

MG (R) 60th - "The Economic problems that we are experiencing here in the Buffalo/Niagara falls are second to none in the state. With an all time low in the economy, and with an all time high in state spending in Albany, the 60th district seems to have been no less than financially abandoned. With a few changes we can reverse this gross overspending, and bring money back to our area once again. Concentrate more on our local economy and REALLY promote jobs, and less on what seems to be never ending cash flow – downstate."

AT (D) 60th - "I sponsored IDA reform bill in the NYS Senate, which ensures that when tax dollars are spent for the purpose of economic development, good paying, sustainable jobs are created to provide long-lasting economic vitality."

Q: What policies or programs would you propose or support to ensure good jobs for Western New Yorkers?

TK (D) 58th - "Our region desperately needs good-paying jobs. Because of this, I have made job creation the focal point of my campaign. Once elected to the State Senate, I will have a small business specialist working out of my office. This specialist will work directly with business owners to help them cut through the bureaucracy and connect with the resources and tools they need to grow and hire more workers. This individual will help business owners develop strategies for strengthening their businesses. Poverty is a major issue in our region, as is the brain drain – only one in about every four students educated in Western New York stays here. To reverse these trends, we need to help build bridges between higher education and business – turning academic progress into economic progress. We also need to make UB 2020 a reality, while ensuring SUNY education is accessible for all students."

MG (R) 60th - "To ensure and support good jobs for WNY, we need to bring jobs to Buffalo and not down-state. For example UB 2020 would have brought tons of Jobs to Buffalo. Additionally, I propose turning the N.F. airport into a major northeast cargo.shipping hub for distribution of goods and services by air and land has been an issue at the. The Buffalo Niagara International Airport can handle international and domestic air cargo through any of its five cargo airlines, including Airborne Express, United Parcel Service, Menlo Forwarding, FedEx, and Superior Cargo Services. Let’s use that to our advantage."

AT (D) 61st - "I support the living wage and prevailing wage standards and have vocalized my support for these standards be in place for any work in Buffalo, especially when public dollars are used to support the project. I firmly believe that living wages foster self-sufficiency and therefore create sustainable and financially stable communities."

CEJ goes to ONE NATION WORKING TOGETHER rally in Washington, DC

On Saturday October 2nd, tens of thousands of energized people demanding jobs, education, and civil rights for ALL Americans gathered at the steps of the Lincoln Memorial for the “One Nation Working Together” march and rally. The rally, which carried the message of putting America back to work, pulling America back together, and moving America forward, attracted people from all 50 states and over 400 diverse organizations focusing on a variety of issues such as immigration reform, demands for jobs and education, LGBTQ rights, and an end to war spending. Among some of the organizations present were AFL-CIO, NAACP, UAW, SEIU, International ANSWER, Farm Labor Organizing Committee, National Gay and Lesbian Task Force, and Jobs with Justice. “One Nation” organizers estimated that the rally drew a massive crowd of over 175,000 people.

A Buffalo Jobs with Justice Delegation was in attendance, along with several other organizations from Western New York including Citizen Action, United University Professions from UB, NYSUT, and American Federation of Teachers. The bus that held the Buffalo Jobs with Justice Delegation left from Buffalo on a cold and rainy Friday night at 11:00pm, transporting a cohort of 60 people. The Coalition for Economic was made up of a group of 30 strong, including several students from Buffalo State Students for Peace. Despite the weather, there was buzz and excitement in the air as individuals boarded the bus.

Although it was a long night of travelling, once the bus arrived at RFK Stadium parking lot everyone became energetic and excited for the day’s upcoming events. Before going to the main event, the Buffalo Jobs with Justice Delegation attended a pre-rally hosted by the IAM’s Union of Unemployed. Participants heard encouraging speeches by Communication Workers of America (CWA) President Larry Cohen, IAM President Tom Buffenbarger, and our national affiliate, Jobs with Justice Executive Director Sarita Gupta. These speakers spoke about the importance of job creation and of citizens voting on November 2nd to ensure their voices are heard. From speeches and chants, an energized crowd got on the metro to the National Mall.

Upon arrival, it was clear that there was a massive presence in Washington as thousands of demonstrators converged on the National Mall with signs stipulating “Full & Fair Employment for All” and “Money for Jobs and Education.” It was inspiring to see so many organizations joining together from many diverse backgrounds, demanding change in our nation. Although several organizations voiced different issues and presented different tactics to accomplish their missions, all of these organizations were able to unite under the call of “One Nation.” This was clearly a rich opportunity for activists from all over the country to build networks which will hopefully lead to some exciting collaborative work in the future.

More inspiring speakers waited for rally participants at the National Mall. Speakers included some heavy hitters from the civil rights movement such as Reverend Al Sharpton and Harry Belafonte, along with union organizers, like Richard Trumka, head of the AFL-CIO. Student organizers committed to social justice, such as Colin Whited a deaf student activist, also offered motivational words about the state of education and the jobs crisis.

The following are some words that attendees found especially powerful from Marian Wright Edelman, founder of the Children’s Defense Fund and former advisor to Dr. Martin Luther King:

“Lesson six—almost done—remember that the Ark was built by amateurs, the Titanic was built by professionals. Use your citizen power, your vote, to wrest our ship of state from that small group of experts and powerful and greedy corporate pirates who recklessly jeopardized all of our lives for personal gain. Feel your own power. Use your own power. Don’t rely on experts.”

Marian Wright Edelman’s words convey an important message that the Buffalo Jobs with Justice Delegation carried back to Buffalo. In our own community, we need to be aware of the so-called “experts,” who are making decisions for us and without our input. Marian Wright Edelman’s words not only encourage questioning the role of these “experts”, but also challenge us to ask ourselves, “How can we use our power to change this and get our voices heard?” In a time when so many Americans feel powerless, when the state of the economy feels unmanageable, and when we are presented with so many unique problems in our own city, Marian Wright Edelman reminds us that as citizens we do hold the power to make change. These inspiring words, along with the rest of those who spoke, will hopefully resonate in the actions of those around the country as they return home and get back to work in their communities.

-Katie and Sarah, MSW Student Interns

A broken job creation tool where millionaire developers rule

Big tax breaks for corporations that don’t produce jobs… Public subsidies for million-dollar luxury condos… Influence-peddling by politically-connected businesses…

Sadly, that just about sums up the sorry state New York’s job creation programs. While everyday New Yorkers struggle to find a job and pay the bills and small businesses try to keep their heads above water, our state’s main job creation programs are favoring corporate giveaways over smart investments that could create quality jobs and get our economy back on track.

This week, the New York Daily News reported that Gubernatorial candidate Carl Paladino is fighting to hold on to a $1.4 million tax break for a company that created only one job and put back into the economy less than it took out. Paladino could be the poster child for what's wrong with so-called economic development in New York. His companies have received millions in IDA subsidies. He successfully lobbied to change Empire Zone boundaries, established to generate jobs and economic growth in areas with high poverty and unemployment, in order to collect tax breaks on a waterfront luxury condominium development. As a result, he was able to avoid paying $875,000 in sales taxes and the buyers of the million-dollar condos will enjoy more than $5 million in property tax breaks over the next 10 years.

But he's not alone. As we recently documented, New York's biggest job creation program handed out $135 million of your tax dollars to companies that created no jobs or actually cut them. Fortunately, state political leaders recently wised up and eliminated the wasteful and much-abused Empire Zone program. But IDAs, now the largest job creation tool in the state, have been allowed to maintain the status quo.

Let's send a message to all state candidates that we won't stand for an unaccountable job creation program that pads the pockets of millionaires instead of delivering the good jobs we need:

Sign our petition to reform IDAs today!

Tell the Buffalo Bills to Respect Westin Hotel Workers

As fans of workers' rights, and fair wages and working conditions, take a moment to send a message to the Buffalo Bills and tell them to respect the boycott of the Westin Hotel in Providence. Workers at the Westin called for a boycott after their employer imposed 20% wage cuts and tripled their health care costs. Ask the Bills to avoid patronizing this hotel during their upcoming game in New England. Tell them not to eat, sleep or meet at the Westin Hotel until this labor dispute is resolved.

Background:

In March the employees of the Westin Providence hotel voted 138-2 to boycott the hotel because of unfair labor practices.

The General Counsel of the National Labor Relation Board has authorized a massive complaint against the Westin Hotel. The NLRB in Washington D.C found merit in the Union’s charges against the Westin’s March 11, 2010 imposition of 20% wage cuts, tripling of health care cost, and subcontracting that cost 50 union workers their jobs.

We need your help, so we ask that you do not eat, sleep or meet at the Westin Hotel.

The employees of the Westin Providence have received an incredible outpouring of support from the Providence community and from around the country. You can read some of the great press on the boycott here:

http://www.projo.com/video/?nvid=414110

http://www.projo.com/news/content/HOTEL_BOYCOTT_05-27-10_OJIKVC1_v15.89a56c7.html

http://www.projo.com/video/news-index.html?nvid=414300

AFTRA (American Federation of Television and Radio Artists) Appeals for Support

Many of you are familiar with the work of WIVB - TV, News Channel 4. Journalists at the station have asked for support in their struggle for a fair contract. Quality journalism remains an important aspect of our democratic society, thus we feel that journalists should be adequately compensated. We are posting an appeal that was sent to us by the folks at WIVB-TV, and at the end of the appeal, there is information about a rally being held this Thursday, 9/23, at 12:00 noon at 2077 Elmwood, where the WIVB station is located.


An Appeal to Maintain Quality Standards in Western NY

As the anchors and reporters of WIVB-TV, Channel 4, we are proud to work for Buffalo’s number one local news station. We work hard every day to gather and deliver the news that matters to our community. We are members of the American Federation of Television and Radio Artists (AFTRA, AFL-CIO), and we need your support in our struggle to get a fair contract that ensures quality journalism.

We are the top Buffalo news station precisely because of our ability to attract and retain the top journalists in our market. We want to ensure that the stories we produce in the future are based on meticulous investigative reporting and production. The owners of WIVB-TV − Rhode Island-based LIN Media − want to make drastic changes in the way news is reported and to the wages and working conditions of its employees. LIN wants to decide how stories are produced without input from professional journalists. In addition, they want to cut some employees’ pay by as much as 30% and to deny pay increases over the life of the contract, even though they are doing very well financially.

Our last collective bargaining agreement with WIVB-TV expired on September 30, 2008. We negotiated with management in a good faith effort to reach a new agreement until December 2009, when management declared an impasse, ceased bargaining with us and simply implemented their last contract proposal. They have already raised the cost of our health insurance and stopped contributing to our retirement accounts.

If the corporation was simply trying to save money, why did the top five executives at LIN Media receive more than $550,000 in bonuses last year? We believe they are attempting to cut costs by penalizing those who have helped the station achieve its number one ranking, even as its top executives line their own pockets. In addition, we believe their destructive changes in the newsroom will result in a decline in the quality news reporting that has made WIVB-TV an award-winning local news station. If WIVB-TV is going to maintain high standards and continue to bring the quality news reporting our region has come to expect, we need your help.

As professional news reporters and anchors, we cannot agree to LIN Media’s changes without reasonable protections that allow us to continue to safely and responsibly deliver the news. We are fighting to keep quality news in our community and we need your support to achieve this goal.

PLEASE JOIN US AT OUR RALLY at NOON (12pm)

THURSDAY, SEPTEMBER 23

WIVB STATION, 2077 ELMWOOD AVENUE, BUFFALO

HELP US SEND A MESSAGE TO LIN MEDIA THAT
QUALITY JOURNALISM MATTERS TO WESTERN NY

Mott’s Workers Achieve Victory with Ratification of New Contract

As you may recall, over 300 Mott’s workers in Williamson, NY went on strike on May 23, 2010, due to unfair requests that the Dr. Pepper Snapple Group (DPS) was making in regards to the workers’ new contracts. DPS was looking to reduce wages and benefits and was making attempts to break their union, Retail, Wholesale, and Department Stores Workers (SWDSU) Local 220.

Yesterday, these workers found victory with the ratification of a new contract. Through their hard work and tremendous popular support, Mott’s workers have a new contract that restores their current wage levels and continues defined-benefit plans. Mott’s workers will be returning to work on Monday, September 20, 2010, knowing that they were able to stand up for themselves, take action for and achieve what they know is right, and were able to show that there is strength in numbers.

Furthermore, this strike demonstrates that good jobs are important and worth fighting for, and that companies should not try to reverse labor standards that have been set in place. If corporations try to reduce workers’ standard of living, it is important to recall this strike and numerous actions before it, take example and stand strong and united in face of injustice.

Mott's Worker's Strike and the Fight Against Corporate Greed

After extensive research, we produced this article which will be coming out in CEJ's Fall Newsletter. We thought it was a very important story, so we decided to post it here as well...

The Mott's Worker's Strike and the Fight Against Corporate Greed

You may not know this, but about 100 miles east of Buffalo, a major battle in the fight against corporate greed is being waged. In the town of Williamson, NY, over 300 workers from RWDSU (Retail, Wholesale, and Department Store Workers) Local 220 at the Mott’s manufacturing plant have been on strike since May 23rd over a proposed new contract that would reduce pay and benefits along with a whole other list of concessions. This affront comes at a time of record profits for the company who owns Mott’s, the Dr. Pepper Snapple Group, which is seeking to take advantage of a depressed economy as an opportunity to lower wages and benefits, and attempt to break the union.

According to workers, things began to noticeably change at the Mott’s plant over 2 years ago, when Dr. Pepper Snapple Group (DPS) bought the company from Cadbury Schweppes. As soon as that happened, DPS began eliminating any and all benefits which were not explicitly included in the contract. These included family parties, hot dog roasts for surpassing production goals, free hams at Easter, and audaciously even, the elimination of a popular work-safety committee. The family-oriented, cooperative atmosphere of the plant was systematically eroded. DPS began following the contract to the letter, to the point where one long-time employee was fired for carrying a knife in his locker that he used to open boxes with.

When it came time this spring to renew a contract, the company failed to negotiate in good faith, presenting an offer which included $3.00 per hour pay cuts, reduction in company contributions to the 401 (k) retirement plans, no pension plan for new employees, and higher health care premiums. The deal would also include the ability of DPS to assign employees to different job titles and pay grades at will, on a day to day basis. For some workers, this new contract would mean the difference between having a good job and living at the poverty level. DPS would not cooperate in negotiations, saying that if the contract was not signed, upon expiration of the current contract they would institute $1.50 wage cuts and benefit reductions, meaning that a good paying job at $38,000 per year would become a $30,000 per year job. Union representation came back to the table with their own offer, conceding 3-year wage freezes but leaving benefits intact. When this offer was rejected by DPS, the RWDSU 220 knew their only option was to strike.

It would be one thing if Dr. Pepper Snapple needed to reduce pay and benefits for financial survival. RWDSU Local 220 has made concessions when times were tight before. However, this past year the company enjoyed a record $555 million in profits. According to RWDSU Local 220’s Bruce Beal, $50 million alone came from the Mott’s plant in Williamson. Perhaps as a result of the record profits, DPS CEO Larry Young received a pay increase this year, up to $6.5 million – a 113% increase from three years ago.

During a meeting between RWDSU and DPS representatives, RWDSU President Larry Applebaum was told that workers should think of themselves like a commodity, such as soybeans or oil. When supply increases, price should decrease, regardless of how large a profit the company was making. If wage reductions would mean that employees could not afford their car or their house, they should sell those things because they were “living beyond their means”. DPS was looking to take advantage of economic hardship and unemployment within the community at large as a justification to pay its employees less. Should they succeed, it would only make the local economy suffer further, as available income to spend at local businesses would decrease as well.

Currently, the Mott’s plant in Williamson is operating with replacement workers from NY State and across the country. As evidence to the skill of the RWDSU Local 220 workforce, the plant, which normally runs at an 87% efficiency rate, is down to a 12% rate. Production has dropped from the usual 40,000 cases per day to around 6,000, while the quality of the product has also suffered. It seems financially unwise for the company to refuse to negotiate. However, Bruce Beal of RWDSU Local 220 put it into a larger picture, saying “their main goal is to break this union,” adding that, “they feel the best way to get to the workers is to go after their pocket books.”

RWDSU Local 220 grows stronger every day, due to the tremendous support they are receiving. Although 10 of the 300 workers are dealing with expensive chemotherapy treatments for cancer, the national RWDSU has paid for their insurance so they can continue treatment. However, as fall rolls around, apple growers are getting anxious as to where they will be selling their product. Currently, 20% of the apples grown in NY State are purchased by Mott’s. Obviously, it is urgent for all involved that the situation becomes resolved as soon as possible. RWDSU is calling on Dr. Pepper Snapple to come to the table to negotiate a new contract in good faith.

As this strike has evolved, entering its 4th month, it has taken on a much broader significance in the context of the fight against corporate greed. Workers across the country have taken notice of what Dr. Pepper Snapple is doing to the employees at Mott’s. This strike is about a set of principles - that good jobs are important and worth fighting for, and that companies that are doing well financially should not be able to take advantage of a down economy to erode the standards of labor in this country that folks have worked so hard in fighting for. If RWDSU Local 220 can show that workers are a powerful force that will not be moved, it will send a message to other companies that may prevent them from doing the same thing to their employees. Victory for the Mott’s workers would represent another major blow to the forces of corporate greed.

For more information, and how to support RSWDU Local 220 and their strike, visit http://www.mottsworkers.org/. There you will find information about how to contribute to the “RWDSU Mott’s Hardship Fund”, and a list of Dr. Pepper Snapple products that they are urging consumers to boycott.

You can also write or fax a letter to DPS President & CEO Larry Young at
5301 Legacy Drive, Plano, TX 75024 or fax it to (972) 673-7976 (RWDSU asks that you please also fax a copy of your letter to the RWDSU at 212-779-2809)

Thanks to Tom Campbell @ WNYLaborToday, Ari Paul @ The Nation, and Stephen Greenhouse @ NY Times, among others, whose research greatly contributed to the writing of this report.

IDA Report in the News

Last weeks report No Return On Our Investment by the NY IDA coalition has recieved positive press from a number of news outlets recently.

The Wall Street Journal covered it, and the Buffalo News' Matt Glynn wrote an article in the business section of the News about the findings of the report.

It's great to hear that folks are concerned that our State is spending more and more on IDAs while job creation is diminishing, and that IDA reform makes sense now more than ever.

An article in WNY Labor Today quoted CEJ director Allison Duwe, saying "These public authorities simply haven't created the jobs, let alone good jobs for local people, and they've shown complete disregard for transparency and public opinion by spinning off new agencies to skirt reform efforts." The full article at WNYlabortoday.net can be found here.

New Report Highlights Failure of Economic Development Agencies

A report released today from the statewide NY IDA Coalition finds that New York State’s main economic development tool, Industrial Development Agencies (IDAs), are spending spiraling amounts of tax dollars each year while failing to create jobs and hiding from public scrutiny.

No Return on Our Investment: the Failure of New York’s Industrial Development Agencies identifies emerging and troublesome economic development issues and uses concrete examples of IDA-subsidized projects and workers, residents and small business owners throughout the state to highlight the flaws of the state’s 115 IDAs. The report also proposes common sense reforms for IDAs that would ensure economic development dollars are reinvested in our communities to boost opportunity, rebuild prosperity, and set New York on a course to long-term economic recovery and sustainable growth.

No Return on Our Investment was produced by New York Jobs with Justice and Urban Agenda, with assistance from the Coalition for Economic Justice.


**The NY IDA Coalition is a broad coalition of public policy experts, government watchdogs, labor unions, community and religious organizations, and concerned small business owners, workers and taxpayers. The statewide coalition is anchored by New York Jobs with Justice and the Coalition for Economic Justice.

CEJ and Friends Strike Again!

Once again, our Strike for Justice fundraiser proved to be a great success, as friends and supporters of CEJ took part in the revelry of a late-summer night's bowling.

Before we say more, we'd like to take a quick time-out to say thanks to all those who attended and who sponsored teams, as well as the staff at Kenmore Lanes for being great hosts. If you missed it, we apologize if we didn't properly inform you as to how awesome it was going to be! Lucky for you, it is an annual event, so you can come next year!

There is something oddly humbling about wearing bowling shoes. Maybe it's the result of lack of comfort combined with the uniformity of attire which brings about that feeling... or it could just be the fact that most of us are terrible bowlers! Either way, it helps you to not really care about that gutter ball you just threw. At CEJ events, though, we appreciate that, which is why the worst bowler took home an awesome prize - a gift certificate to Rustbelt Books and an autographed high-gloss photo of Bill's running back Fred Jackson.

Of course, there were many things to "compete" for, and the best bowler and best team also took home prizes, as well as best "team morale", which went to the team with the best combination of team name and costume. The Springville All-Star Marching band clearly won the team morale award, showing up in full performance outfit with instruments in tow, playing them as they bowled. No small feat, considering one of those instruments was a giant sousaphone!

During the course of the event, a friend and I got to talking about an interesting subject. It was 10 years ago that Robert Putnam wrote the famous book Bowling Alone about the decline in social capital - the wealth of our connections with each other - in the US. He detailed how we Americans belong to fewer organizations, sign fewer petitions, know our neighbors less, and meet with friends less often than say, our parents and grandparents used to. Instead of bowling in leagues and large groups, we bowl alone. In a city like Buffalo, with a rich bowling and social history, that is pretty obvious.

I guess it would be pretty cheesy to say that Strike for Justice, in combination with all of our work at CEJ, is our way of reversing that trend.

...Either way, I just did. Enjoy!

CEJ would also like to thank all the businesses who donated prizes: El Buen Amigo, Flying Bison, Swan's Martial Arts Academy, Betty's, Chef's, the Lexington Co-op, the Bills, Bisons, and Sabres, and Rustbelt Books. Hopefully we're not forgetting any!

Community Benefits NOT Council Bribery

Mayor Brown, along with Larry Quinn and Jordan Levy of the Canal Harbor Corporation is trying to strong-arm Buffalo Common Council members into approving the transfer of 13 acres of city land considered critical to the Bass-Pro anchored waterfront development project.

The Mayor and Harbor Corporation officials struck a deal regarding the land transfer that they now want the Common Council to approve. The deal was brokered behind closed doors and with no council or community input.

The bait being offered - $1 million to each Councilmember for district improvements.

A quick review of the deal reveals it for the sham it is –

• The Councilmembers will have little input into how money gets invested in their district.


• Nothing in the deal the Mayor and the Corporation want approved is enforceable or binding.

In March of this year, the Common Council voted unanimously to condition their land transfer on the successful negotiation of a Community Benefit Agreement (CBA) with the 40-plus member Canal Side Community Alliance.

Please call your Common Council Member today to tell him/her to stand by his/her decision requiring a Community Benefit Agreement (CBA) for the Canal Side project.

It is vital that the Council know their constituents are behind them on this issue, which will have a huge impact on our region far into the future.

The Common Council could act this coming Tuesday, July 27 at 1pm to call a special session and vote on the land transfer.

ACT NOW – Tell your Councilperson to support long-term benefits for the Community (Phone Numbers for the Council Listed Below).

• No Special Session. No Land Transfer without community input and until a binding and enforceable agreement is negotiated.

• The Harbor Corporation just initiated talks with the Canal Side Alliance. Demand that the Harbor Corporation stay at the table to negotiate a CBA.

• Congressman Higgins just gave Bass Pro a 2-week ultimatum. The whole project is suddenly in doubt. You can’t transfer the land if you don’t know what it is going to be used for.
  

SHOW YOUR SUPPORT –

Faith Leaders Speak Out in Support of CBA:

Monday, July 26th

11am

In Front of City Hall

___________________________

Common Council Committee Meeting

Tuesday, July 27th

1pm

Council Chambers – 13th Floor of City Hall


For more information contact Micaela Shapiro-Shellaby at 892-5877
Buffalo Common Council Contact Information:
Rich Fontana – 851-5151
Joseph Golombeck – 851-5116
David Franczyk – 851-4138
Michael Kearns – 851- 5169
Demone Smith – 851-5145
Bonnie Russell – 851-5165
Curtis Haynes – 851-4980
Michael LoCurto – 851-5155
David Rivera – 851-5125

If you don’t know who represents your district on the Council, please refer to the chart on the website below:
http://www.ci.buffalo.ny.us/Home/Leadership/CommonCouncil

Re-imaging Waterfront Development

"Waterfronts around the world are undergoing major transformations. While shifts in industry have left some rusty and dilapidated, many others are being reimagined as thriving public spaces the whole community can enjoy.

PPS’s waterfront program is geared specifically toward working with communities adjacent to waterfronts to develop a new vision for the future. By looking at a waterfront as a series of destinations rather than as a linear space, these places can fit in well with the surrounding communities."

This is a quote from the website of Project for Public Spaces. It is a very good place to stimulate thought about the amazing potential of waterfront development, which is very important for us all to keep in mind as we move forward with our own waterfront development.

Another good place to look is at the city of Pittsburg's riverfront development. In 1999 a group of community leaders organized a task force to create a development plan for their riverfront - and the city listened to them! The result, A Vision Plan for Pittsburgh’s Riverfronts was the winner of the 2002 AIA Honor Award in Urban Planning and Design and the 2002 Merit Award in Planning from the International Downtown Association. The project has been a huge success that has improved the quality of life for Pittsburg's residents and generated billions of dollars for the local economy.

Canal Side Hearing RECAP

Though the Erie Canal Harbor Development Corporation (ECHDC) may be reluctant to hear concerns about the canal side project, Buffalo’s Common Council has been eager to receive advice from the local experts which make up the Canal Side Alliance about concerns over the $300 million development project. The public hearing on Tuesday was the latest effort by the Council to take on the project for further study, and entertain both supporters of the project, as well as those community members with legitimate questions.

The majority of people who spoke at the hearing were in favor of negotiations over a community benefits agreement (CBA). Many people highlighted the merits of green building design in terms of both protecting the environment and reducing costs. A few mourned the lack of an incorporation of historical appreciation in the design. Many more expressed concerns over the importance of a public investment in ensuring good quality jobs that pay a decent wage. Some were against the project entirely, mentioning alternative development strategies that have been followed in cities like Pittsburg, PA, where public spaces lined with small shops and vendors revitalized their waterfront and made the entire city flourish.

And then there were individuals like Carl Paladino, a major local landowner, who lambasted the CBA as a form of socialism. According to him, taxpayers who were doling out hundreds of millions of dollars in subsidies and were asking for decent wages or building standards had no right to do so. Such conditions eliminated “competitiveness”. Susan Davis, CEJ ally and economics professor at UB was astute to point out the easily recognizable irony of businesses asking for huge subsidies and then complaining about socialism. She said that really, these folks just don’t want to pay taxes or contribute to the local tax base. Instead, they push for tax-exempt publicly financed bonds. Her comments were met with loud applause.

The hearing really became interesting when ECHDC Vice-President Larry Quinn took the microphone. Playing down the controversy surrounding the project as simply a “failure to communicate”, he said that the corporation is fulfilling everything which would be in the CBA already, voluntarily, and they plan to submit their own agreement to the Common Council soon, without community input. His promises, which have yet to be substantiated, included Gold-LEED building standards (the highest level of green building), $20 million for the historical district, and a continued importance placed on minority hiring (which has been at 50% so far). Of course, we have don’t know which building or buildings he is referring to that will be Gold-LEED constructed, and the historic district development which includes fake waterfalls and previously non-existent canals was described by one person who testified as inappropriate and a gross misrepresentation of Buffalo’s history. Quinn also repeated claims that Bass Pro is the greatest and best anchor store in the country, which, as has been well-documented through a Public Accountability Initiative report, is a far cry from reality.

If there is a failure to communicate, as Quinn suggested, perhaps it has to do with a misunderstanding among much of the public of what a CBA actually is. A CBA is simply a set of legally binding standards for a development project that is borne out of negotiations between community groups and a development corporation. It is a mechanism for ensuring that public investment of money creates a benefit for the public, as well as private businesses. Typically included in a CBA are green building standards, local and minority hiring practices, and local business ownership.

Interestingly, the only item that CBA opponents mentioned was the issue of living wages, as if that was what the CBA was solely about. In addition, these same people who were against the living wage provision seemed to have the misconception that living wages would apply to small businesses, and thus made the argument that there is no way that small businesses could be competitive under a CBA. Again, however, the truth is a far different matter. In the initial CBA that CEJ has submitted, living wage requirements would only apply to businesses that hire 20 or more employees, making sure that only those businesses with very large payrolls would have to pay more than the minimum wage. Under such a living wage requirement, small business would actually benefit by becoming more competitive.

The Common Council is still in the process of coming to a decision in regards to the transfer of city land to the ECHDC for the project. Council members in attendance mentioned needing to do more research into both how CBA’s have worked across the country, as well as the types of waterfront development plans which have been successful and the lessons to be learned. The council has already agreed to withhold transfer of the land until ECHDC meets with the Canal Side Alliance to negotiate terms of a CBA. Based on statements made by ECHDC at the hearing, Council Member LoCurto who chaired the hearing noted that the sides don’t appear to be too far apart, which makes it very frustrating that they won’t meet. Of course, the “they” he was referring to is the Harbor Corporation, which refuses to meet with CEJ and the Canal Side Alliance.

July Events

CEJ has deemed July 'Getting Our Money's Worth' month. We have a number of important events coming up related to our local and statewide efforts to ensure greater government and corporate accountability.

Some background: CEJ has convened over 40 local organizations as part of the Canal Side Community Alliance. Together we're calling for legally binding standards on the $300 million development of Buffalo's waterfront. We have successfully won a resolution for the Buffalo City Council that they won't transfer 13 acres of City Land until the Harbor Corporation meets with CEJ and our allies to negotiate standards for the project.

But, the Harbor Corporation continues to stonewall, refusing to meet with our community alliance.

Due to continued concern about the viability of the project, and the Corporation's refusal to meet, the City Council has called a public hearing for Tuesday, July 13th at 5pm. We are trying to encourage people to come to this as the more people we have in the room, the more pressure is put on the Harbor Corporation to come to the table. We would greatly appreciate it if you could be in attendance if you are available. The hearing is in the council chambers on the 13th floor of City Hall.

Second, on Tuesday, July 20th CEJ will be leading a panel discussion on overhauling the state's economic development programs, specifically IDAs. This is part of the monthly Partnership for the Public Good Series. It will be at 237 Main Street on the 12th floor from 4pm-5:30pm.

And finally, with the nation in a recession and Albany embroiled in infighting and scandal, we feel like the competence of our elected officials is more important than ever. So, we will be having State Senate candidates from the 58th, 59th, 60th, and 61st districts come and answer questions from an expert panel and the public on Thursday, July 29th. The event will be held at the Allen Hall Theater on University of Buffalo's South Campus at 5:30pm. The forum will be focused on issues of jobs, economic development, and government reform. We're also in the midst of putting together a voter guide for the 58th, 59th, 60th, and 61st districts that we'll be distributing after the forum.

Turnout for the Candidates Forum is particularly important. We aim to achieve a significant turnout and we really want to demonstrate to elected officials that they need to be prioritizing jobs and sustainable economic development.

If you and your friends can make it to any of the above events, we urge your attendance. Together, we can create the pressure needed for bring about change. Thank you!

Thoughts/Reflections on US Social Forum

Over 10,000 people and organizations from around the country and world, including the Coalition for Economic Justice's Buffalo Delegation, marched together down the streets of Detroit as the 2010 US Social Forum began last Tuesday. Amidst the inspiring and eclectic atmosphere of marching bands, workers' rights groups, giant polar bears, and giant puppets of social justice leaders like Mother Jones, a unifying thread began to emerge: we are here, we are strong, and we're not going away.

Perhaps no US city could be a more fitting location for a social forum than Detroit. A phrase we heard repeatedly from Detroit-based organizers was "Detroit is what the rest of the US has to look forward to." A city of firsts - the first auto plant, the first inner-city highway, the first shopping mall and subsequent major suburban population shift, Detroit now describes itself as the first city truly grappling with developing a subsistence economy in a post-Industrial landscape. To their credit, a major food-security movement is developing in the vacant and abandoned city lots, and programs like Detroit Summer, a Boggs Center project, are inspiring and engaging youth in transformational work to change lives and shape the direction of their city.

However, as most of us in the Buffalo Delegation were thinking, Detroit holds many important lessons for our city. The scale of devastation is almost mind-boggling. You have a major downtown center with hardly anyone on the streets, high-rise buildings unoccupied in various states of decay, and entire city blocks vacant in some areas as far as the eye can see. There are plans among city officials of closing off and shutting down large parts of the city due to sparse population. Indeed, the visit to Detroit reminded us at CEJ of the incredible importance of fighting for good jobs and sustainable economic development. If we don't succeed, then the folks from the Motor City might be right, Detroit would be what we have to look forward to.

Beyond Detroit, the rest of the US Social Forum was much less grim, in fact it was awe-inspiring and at times, brilliant. The scene - Appalachian mountain justice activists sitting next to labor organizers from Chicago, Pakistani working women's representatives in conversation with debt cancellation advocates from Columbia and Belgium - people from all forms of work sharing lessons, visions, and growing the kind of solidarity necessary for collective liberation. What really hit home for me through all of this was the clarity with which I was able to see that our struggles are connected. We truly struggle together to advance justice for all. While we face and challenge oppression in different ways, we are fighting the same fight. Therefore my fight is yours, and your fight is mine.

Coming back to Buffalo, I know that this lesson applies here. The question becomes this, "What are the ways in which we can effectively support one another?" Perhaps a Buffalo Social Forum is necessary to draw out those connections... ? I am reminded of the last workshop I attended at the social forum, entitled Establishing Mutual Aid Models with The Rock Dove Collective. A group of women from Brooklyn, NY have established a network of health care service providers for low income and marginalized people based on the economic model of mutually beneficial trades of labor. Members assess their own situations in determining both what they need, and what they can give. Through the existence of the network community members are able to access forms of health care they would normally be unable to afford, and everyone is satisfied with the trade. It seems that mutual aid in terms of solidarity and support is an idea for progressive communities in Buffalo to pay attention to. The Rock Dove Collective show us that our needs, and our abilities to give often overlap, and through bridging those connections we move a little closer to collective liberation.

CEJ Sets Sail for Detroit and US Social Forum

The long-awaited 2010 US Social Forum kicks off in Detroit, Michigan today, and CEJ will be there in solidarity with organizers and movements from across the country and around the world! As you can tell, we are all very excited about this special event, and glad that folks from Buffalo can take part!

What is the US Social Forum, you may ask? The USSF is a 5 day process where tens of thousands of people and organizations come together to affirm and articulate values and strategies of a growing and vibrant movement for justice in the United States. It is a space for building people's solutions to the crises that are effecting us all.

With help from our friends at Buffalo Car Share, our caravan shipped off bright and early from the Lafayette Avenue Presbyterian Church. We know there will be lots to share when we come back, and we will look forward to doing so.

IDA Rally

TAXPAYERS SAY ENOUGH IS ENOUGH!

This past Friday (6/18), we made a wake-up call to Senators William Stachowski and Antoine Thompson, telling them that it is time to fix NYS's broken economic development plans, create quality jobs, and put NY on the road to recovery.

Fellow concerned taxpayers joined us as we carried out a skit showing how Industrial Development Agencies use taxpayers like ATM machines - withdrawing large amounts of cash! The performance gave those in attendance a view into what an IDA board meeting might look like. Although, in real life it's not nearly as comical.

IDAs are the main engine for economic development throughout NYS. They award tax exemptions and tax-free bond financing to businesses in return for job creation and retention. However, a new audit released on May 7, 2010 by NYS Comptroller DiNapoli shows that while spending by IDAs increased, job creation decreased. The Comptroller's report, based on 2008 data, shows net tax exemptions grew 9% over the previous year to $645 million, but job creation decreased nearly 14%.

With the economic crisis we are currently facing, we can no longer afford to give away $645 million in net tax exemptions. And we certainly cannot keep letting IDAs and corporations use taxpayers like their own personal ATMs.

Check out the full script of the skit below!

Rally to Sound the Alarm for Good Jobs
By Andy Reynolds

Location: 237 Main Street
Date: 6.18.10
Time: 12:00 PM

An IDA Board Meeting to Approve Tax Break for Corporation in 1 Act:

Setting: IDA Board Meeting

Designated “Cast”:
IDA Board President: Andy Reynolds
Corporation: Jim Anderson
ATM (Taxpayer) Machine: Rachel Wilson
Activist: Terrence Robinson

Act 1: The Board Meeting (IDA Board President stands behind table; Corporate CEO stands in front of table; and ATM Machine stands to the side of the table)

IDA: “The Everyone’s Cash Industrial Development Agency has one order of business: To give away taxpayer dollars to corporations. With New York State Government soundly asleep, we can do whatever we want with the public’s money.

You look like a fine outstanding business and we’re desperate to make deals. The more deals we make, and the bigger they are, the more money we make here at the IDA. So, The Everyone’s Cash IDA board has decided to give you a million dollars for every job you create.”

Corporation: “We were going to build the project without taxpayer subsidies, but since you are offering, we will take your money.”

IDA: “Well, it isn’t our money, so what do we care. We were created as a public benefit corporation to help companies save or create good paying jobs. We prefer instead to give corporations, and sometimes even amusement parks, handouts and look the other way when they create low paying jobs or don’t create any jobs at all.

It’s much easier for everyone. I mean, we can’t even find the filing cabinet we place billing information in to make sure corporations are paying their taxes on time. Speaking of paying taxes, how long would you like to avoid having to pay your ‘fair share’.” (IDA says mockingly, using finger quotes, when saying ‘fair share’).

Corporation: “Let’s start with 15 years. We can always ask for another 15 year extension when that time is up or we might just move to another suburb before we have to start paying taxes. I’m sure the Amherst IDA would be happy to give us a huge tax-break.

IDA: “You are under no obligations here. You can take this money and run. We both know that a lot of other corporations have already done the same. By the way, we can give you the public funding to build an office park way out in the middle of nowhere. You know the saying: If you build it . . . sprawl will come.”

“Now that we both understand how this agreement works, why don’t you head over to the taxpayer ATM and take as much money as you want?” How many jobs did you say you would create?”

Corporation: “I didn’t, but we can pretend I did.”

Both IDA and Corporation laugh as corporation takes cash from ATM.

Activist:

The 115 IDAs across NYS might not have ATMs in their lobbies, but the skit you just witnessed isn’t too far a cry from what happens regularly here in Erie County and across NYS.

Industrial Development Agencies are one of NY’s primary engines for job creation and economic development. They are authorized by the state to provide financial assistance to “advance the job opportunities, health, general prosperity, and economic welfare of the people of the state of NY.” These quasi-governmental agencies grant projects exemptions from state and local taxes and issue tax exempt bonds.

In a time of great economic uncertainty for many individuals and families across NYS, including here in Buffalo, IDAs are spending more of our taxpayer dollars, and doing less for our communities.


IDAs having been failing us for too long! IDAs are now giving away $645 million in net tax exemptions each year. We’re facing the worst economic crisis since the Great Depression. We can no longer afford to give away the candy store. $645 million is not an insignificant amount of money. Combine that figure with the half a billion dollars we throw away each year through the Empire Zone program and the money starts to add up.

If ever there was a time for meaningful reform it is now. But, The State Legislative session is slated to end next week and so called elected leaders haven’t even passed a budget.

Instead of talking about how many teachers we need to layoff, or what social services we need to slash, why don’t our elected leaders in the Assembly, the Senate, and the Governor’s office start making the ‘tough choices’ they keep saying need to be made.

The NYS Assembly has consistently acted in support of IDA reform, but for reform efforts to move forward the Senate needs to wake up and realize it’s time to work with the Assembly to craft a winning bill.

We’ll be delivering our wake up call to WNY majority Senators Stachowski and Thompson today, asking them to work with the Assembly and Senate Leadership to fix our broken economic development system and put folks to work in quality jobs.

IDAs are plagued by poor performance and ill-equipped to aid in our economic recovery. It’s time to Get our Money’s Worth.

Report on Bass Pro Shops Shows Company Often Fails to Live Up To Its Promises

The Buffalo-based Public Accountability Initiative (PAI) has released a new report on Bass Pro's record of taxpayer-subsidized growth. The report shows that the company frequently fails to live up to its promises as an economic development anchor -- promises which were used to justify major public subsidies.


The report, titled "Fishing for Taxpayer Cash: Bass Pro's Record of Big-League Subsidies, Failed Promises, and the Consequences for Cities Across America," was co-authored by Andrew Stecker and Kevin Connor, both of PAI. It is available here: http://www.scribd.com/doc/32370256/Fishing-for-Taxpayer-Cash.


Among the findings: a Bass Pro-anchored mall in Cincinnati is 65% vacant and has been described as "post-apocalyptic" by visitors; one in Mesa, Arizona helped prompt a statewide ban on retail subsidies; and a shopping plaza in the shadow of a Bass Pro in Council Bluffs, IA was recently described by a local politician as an empty "shell of a building." Bass Pro-anchored projects have won over $500 million in taxpayer subsidies, despite the retailer's frequent failure to deliver on its promises of generating development and growth.


The report is intended to inform the choices of cities like Buffalo, which are considering subsidizing Bass Pro stores in order to generate economic growth, and is being distributed to cities across the country.

The Buffalo News reported on the report in June 2nd's paper. You can see that article here: http://www.buffalonews.com/2010/06/02/1068505/report-doubts-bass-pro-on-tax.htm

A Seat at the Table

The Coalition for Economic Justice and our allies recognize the importance and significance of the Canal Side Project to plans to revitalize our city, and revision an historic site. A Community Benefits Agreement is an innovative economic development tool that when applied to the Canal Side Project will only improve the final product. Our Coalition remains as hopeful as ever, and views the Common Council resolution as a unique opportunity to give community voices a seat at the table as plans move forward. Community Benefits Agreements have been negotiated across the nation with benefit to both communities and developers, CEJ and our allies at PUSH Buffalo, Partnership for the Public Good, and the Buffalo Urban League, and across Western New York look forward to forging an agreement which benefits our community and realizes the potential for economic growth the Canal Side Project promises our city.

Community Benefits Agreements have acted to mitigate for community interests in development projects from coast to coast since the close of the 20th Century. The use of CBA's provides a new model for community input in public development projects, rather than delaying projects or driving costs up, these agreements have acted as conduits for a two-way exchange between Capital and Community. As the Coalition for Economic Justice and our allies prepare to enter negotiations with the Erie Canal Harbor Development Corporation (ECHDC), it has been integral to examine the victories and success communities across the nation have had in protecting their taxpayers' investments.

NON-STARTER? Last week in comments to the Buffalo News, a representative of the ECHDC described the proposed Community Benefits Agreement's living wage provision as a "non-starter," indicating that retailers would never pay the higher wage rate. However, in the ECHDC's Generic Environmental Impact Study, creating living wage jobs is listed among the goals the organization has set for the Canal Side Development. Furthermore, in the past decade, communities in California have secured living wage provisions for five major development projects, most notably the Staples Center CBA in 2001, the Noho Commons CBA in 2001, Marlton Square CBA in 2003, Hollywood and Vine CBA in 2004 and the CIM Project CBA in 2003. It would seem that when massive subsidies are involved, paying a living wage isn't necessarily a red flag for developers or tenant businesses.

Furthermore, it is important to recognize that Community Benefits Agreements are not a West Coast phenomenon. Closer to home, The Connecticut Center for a New Economy negotiated the Yale-New Haven Hospital CBA in 2006. The CBA incorporated funding for housing, economic development, job training, and youth development programs. Likewise, the agreement held strong environmental standards and local hiring provisions. Finally, CEJ has looked into the Hill District CBA in Pittsburgh.

Pittsburgh's Community Benefits Agreement sets an important precedent for former manufacturing centers scattered throughout the Rustbelt. Hill District proves that CBA's are viable economic tools for boom towns and cities working towards recovery alike, with Pittsburgh's economic conditions providing a valuable comparison to Buffalo, NY. Pittsburgh's CBA provided tangible goods to the community in the form of community control of the project, local hiring standards, affordable shopping centers, and a multi-purpose public space for that community.

The history of Community Benefits Agreements in the 21st century has not been one of obstructionism, but rather a story of progress, compromise, and a redress of grievances. Municipalities and their constituents throughout the nation no longer believe massive corporate subsidies should be given without strings attached. CBA's are creating a new way of doing business in which the public has a voice in deciding how their tax dollars are spent.

The question we should be asking, "Why should Buffalo settle for less than our neighbors?" Before we trade away our region's greatest natural resource, shouldn't we ensure that the people of Western New York are getting their money's worth? In the nation's 3rd-poorest urban center, it seems Buffalonians need to be especially mindful of the way in which our limited development monies are utilized...We need to make sure that ECHDC, and the Canal Side Project works for us.

With the common council's courageous action, CEJ and our allies have been promised a seat at the table as plans move forward with Canal Side. We look forward to working alongside our community allies in negotiating an agreement that both the ECHDC and the people of Western New York can live with, and everyone can work with...


The Coalition for Economic Justice would like to thank the Partnership for Working Families for their diligent research on Community Benefits Agreements.

Responding to the Poverty Research Forum

Last Friday, The Homeless Alliance of WNY, Partnership for the Public Good, the University at Buffalo Civic Engagement and Public Policy research initiative, and the Western New York Service Learning Coalition sponsored a Buffalo Poverty Research Workshop.

Findings from Friday's Forum reinforce the necessity for CEJ's work in Buffalo. A look at the precarious position occupied by WNY's workers highlights the need for CEJ's campaigns focused on Living Wages and accountable economic development. As we delve into friday's findings, we'll see just how important a CBA (Community Benefits Agreement) can be in addressing the need for GOOD JOBS in our city.

The workshop featured presentations from prominent local scholars, including presentations from:

• Dr. Kathryn Foster, Regional Institute of Buffalo, University at Buffalo
• Dr. Wende Mix, Geography, Buffalo State
• Dr. Samina Raja, Urban and Regional Planning, University at Buffalo
• Dr. Erin Robinson, Sociology, Canisius College
• Dr. Henry Taylor, Center for Urban Studies, University at Buffalo

Findings presented at Friday's forum present both challenges facing WNY as well as possible solutions for a more secure future...

Dr. Foster of the Regional Institute, highlighting findings found in Regional Institute's February 2010 Policy Brief; "Playing an Insecure Hand: Low-Wage Workers in the New Economy," presented on the new landscape in WNY for job-seekers, and what can be done to alleviate such strains on workers...

Between 2004 and 2008,

• WNY saw a 17% increase in low-wage jobs (0-$30,000)
• WNY saw a 6% increase in high-paying jobs ($70,000+)
• WNY saw a 10% decline in middle-wage occupations. ($30,000-$70,000)

As manufacturing jobs have left western New York, the region has seen an obvious decline inrelative wealth, in 1969 Buffalo ranked 31st in average wage per job at $41,629, almost forty years later in 2008, Buffalo has dropped to 155 in average wage per job at $39,214. In 2009, 46% of all jobs in Western New York earned less than 30,000 per year...

As a result of the limited opportunities available to WNY workers, more families have taken to working multiple jobs in order to make ends meet. Buffalo has seen a rise in the number of households with multiple workers- up to 60%. While employement levels in Western New York mirror national averages, it is the level of under-employment which most threatens today's workers.

___________________________________________________________

Dr. Wende Mix, a geography professor at Buffalo State College presented his findings on "The Geography of Urban Poverty." Dr. Mix's analysis of Poverty in Western New York have presented some interesting statistics on the economic landscape here in Buffalo, and how Buffalo measures up across the nation.

Described as the 3rd Poorest Metropolitan Area in the United States, Dr. Mix presents a different look at Buffalo as it compares with other Urban areas:

• 50% of Metro Areas in the United States have the same, or greater proportion of families below the federal poverty line.
• 10% of Buffalo Families currently live below the federal poverty line.
• 69% of all Families in Western New York living below the federal poverty line are Female Householder with no husband present. (31% of all Female Householder, no husband families live below the poverty line.)
• Less than 10% of urban areas have the same or greater proportion of Hispanic/Latino persons living under the poverty line.
• Buffalo, NY has African-Americans living below the poverty level than 55% of US Urban Areas.

What does this mean? Buffalo, NY has similar poverty levels as those reported across the nation. However, African Americans, Hispanic/Latino, and Single-mother households are being hit the hardest!!! What can Buffalo do to address these issues?_________________________________________________________

Looking at the landscape for WNY's future, What can we do to address these issues?

The Regional Institute of Buffalo has suggested government-mandated Living Wage policies as a proven method for lifitng people out of poverty. The Coalition for Economic Justice has supported Living Wages since our founding, and have won Living Wage resolutions at the City, County, and School Board levels over the past decade.

Furthermore, The Institute recommends other pro-work policies such as subsidies for healthcare, childcare, utilities and trasportation. Sliding scales for eligibility must be introduced as poverty-level indicators are often out of touch with reality, and families earning $1 over threshholds have negative incentives to continue working.

These recommendations are timely, as CEJ fights for full-compliance of a Living Wage resolution supported by the Buffalo School Board to extend coverage to over 1,000 workers. Furthermore, childcare subsidies have recently come under attack, with CEJ, VOICE-Buffalo, and numerous community organizations and leaders pushing for the County Executive to extend benefits to nearly 1,500 families whose income, while barely over the poverty-line, disqualifies them for assistance.

After looking at both the recommendations of the Regional Institute, as well as, Dr. Mix's geographical breakdown of WNY it seems now, more than ever, we need a Community Benefits Agreement to ensure the Canalside Project brings the types of jobs we need for Western New York!

The Canalside development, as is, would bring another 1400 Low-wage jobs to WNY, with an average annual salary of $22,000- WNY doesn't need more low-wage jobs!!!!

Our CBA would:

• mandate living wages for all businesses with more than 20 employees
• mandate minority hiring (a necessity in a region with African Americans and Hispanic/Latinos hit harder than other demographics)
• include affordable housing- Canalside's wage-laborers must be able to afford to live where they work
• Local Independent Business Development- 75% of commercial space must be reserved for local businesses, with special consideration for women and minority-owned businesses (also a necessity with single-mother households hit especially hard in WNY)

There are challenging issues facing the workers of Western New York. Friday's forum was an opportunity for those around the region to share insights on the future of our city. With WNY inundated with an ever-growing class of low-wage laborers, and losses in middle-income positions it seems the Coalition for Economic Justice's fight for Living Wages, and a Community Benefits Agreement for our Waterfront are more pressing than ever in shaping the vision for our economic future.

A Community-Based Survey on Economic Development of Buffalo

Waterfront Development on the Canal Side

A Community-Based Survey on Economic Development of Buffalo

February 10, 2010
by
M.S.W. Intern,
SUNY Buffalo
Coalition for Economic Justice

Goals of the Survey:
The survey was conducted to assess the community’s knowledge of the on-going planning of Waterfront Development at the Canal Side. The survey assessed residents’ knowledge by posing questions about the involved officials such as specific companies, corporations, and stakeholders involved in the project.
In addition to answering the questions, survey participants shared their views of the project’s progress and pros and cons associated with the progress.
Another goal of the survey was to assess residents’ own needs and expectations from the project. Respondents showed their support for application of certain standards in return for tax incentives provided to corporations.
The survey has 3 sections devoted to meeting its proposed goals:
1. A section asking residents about their knowledge about the construction companies, corporations, decision makers, and planners of the Waterfront Development. This section notes arguments for and against companies, corporations, decision makers, and planners involved in the project.
2. A section asking residents’ opinions and suggestions on specific outcome(s) on the standards they expect to be applied.
3. A section assessing the level of trust residents have of appointed officials responsible for the Waterfront Development and their general ideas about providing corporations tax breaks as an incentive for establishing business(es) in Buffalo.
Data & Methods:
· Survey of 159 residents in Buffalo
· Conducted in fall of 2009
· Areas targeted for collection:
o Elmwood Village
o Various areas of East Side Buffalo
o Downtown (Main Street)
o UB – North Campus
o West Side Area
o Buffalo Subway Line (Seneca Station, Lafayette Station, Church Station, Theatre Station, Utica Station)
· Resulting sample represents wide participation of residents in terms of age, race/ethnicity, and region.
Overview of Sample:
· Surveys were mostly conducted/collected during lunch time around noon till 3:00 pm. The residents were randomly approached and were asked questions from the survey. Some residents stopped curiously to participate when saw an exchange of dialogue between the collector and (other) participants. The conversation(s) generated from the surveys usually lasted 10 – 15 minutes, approximately. Some residents engaged in detailed conversation and expressed great concerns on the current economic conditions of Buffalo. Other residents expressed their ideas and suggested strategies to improve current economic conditions in the area.
*Note: Survey participants were approached randomly based on their openness to discuss and part-take in filling out the survey. The participants were diverse members of the community from different races and ages. Many refused to participate in the survey questionnaire and their decisions were respected.
*On various instances, survey participants engaged in detailed conversations about Buffalo’s economic conditions, however only the points pertaining to the survey questionnaire were documented.

Secondary gain: The survey was able to achieve its intended goal during the process of conducting surveys. It enabled participants to get engaged and get information about their community’s social and economic conditions. The interest was sparked through an exchange of dialogue. Most of the participants seemed unaware of the on-going development plans for the Waterfront. Some of the participants addressed the issue of the city’s poor planning strategies. Numerous residents acknowledged their lack of involvement and awareness about the subject matter and shared their desire to become involved, gain knowledge, and participate in Buffalo’s revitalization plan.
1). The following questions were asked to assess residents’ knowledge on the corporations, developers, planners involved in the Waterfront Development Project. The residents also provided us with their perception of developers, planners, and corporations and their overall sentiments on their involvement in the project.
a). Have you heard of Bass Pro?

b). Have you heard of Benderson Development?

In addition to answering the above question, respondents made the following remarks that are divided in following categories.
Positive remarks:
· They are good
· Fair company
Negative remarks:
· Not favorable, they are into politics
· Never trusted them, they do a lot of cheap buildings and shady deals.
· Control freak, anti-worker, all about them.
· Build empty buildings that stay unoccupied
· They are selfish and greedy, charge too high rent. A lot of empty store-fronts.
· Do a lot of large projects in the area. Rents too high for small businesses.

c). Have you heard of Erie Canal Harbor Development?

In addition to answering the survey question, respondents also gave their following remarks.
Positive Remarks:
· Appreciate the owners are willing to invest in Buffalo
· Instrumental in restoring historic area of waterfront
Negative Remarks:
· Trying to improve the harbor, they are not getting anything done.
· Controlled by local politicians
· Private developers should not have such massive control of what happens at our waterfront.
a). Should Bass Pro get tax breaks?

The following reasons were provided, in addition to answering the question.
Why Yes:
· Job providers
· To encourage them to come in
· Otherwise they will go to Ohio
· As long as they give it back to the city
· They will bring a lot of growth to the area
· Businesses that provide jobs should get tax breaks

Why Not:
· Taxpayers shouldn’t be paying for this
· Should give tax breaks to small businesses (3 respondents shared same remarks)
· They got enough money
· We need the money for other things
· Big companies should pay, they have enough resources
· Everyone should have to pay taxes
· “why are these big corporations getting big tax breaks”
· Absolutely not, its thriving $ 67 million
· They are big corporation, they don’t need it
· More help should go to tax payers
Other:
· A small one in return for breaks to the city’s businesses
· If necessary to bring them here
· Depends if they are doing inner-city hiring, local hiring
· If it helps the city then
· Depends how much break, some incentives should be given
· Small tax breaks, they are big corporations so they do not need a big break
· Conditional, in exchange for good paying jobs, with benefits, commitment to community
b). Is it fair to ask companies to meet certain community standards when they receive tax breaks?

The following community standards were recommended by the respondents in return for tax subsidies to corporations.

a). What would you like to see on the Waterfront?

Canal Side Project

The Project:

According to the Erie Canal Harbor Development Corporation (ECHDC), the Canal Side project will likely cost $315 million in public and private investments- more than $155 million in subsidies for this massive development will be provided through public sources. ECHDC plans to use nearly 20 acres of our waterfront to facilitate the development of over 1 million square feet for mixed-use retail, hospitality, commercial, cultural, and residential space in downtown Buffalo.

The project plan includes Bass Pro as the anchor tenant, a major-destination retailer, and sets aside 35 million in taxpayer dollars to directly subsidize the construction of the Bass Pro Outdoor World. The public has already provided millions in subsidies to Bass Pro, footing the nearly $10 million dollar cost associated with the demolition of the Aud. Further public contributions include $4 million+ in subsidies to Benderson Development, as well as funding parking structures and DOT signs for Bass Pro.

CEJ understands the necessity of developing Buffalo's waterfront, but despite our public support, ECHDC is unwilling to require anything in return from Bass Pro or Benderson Development, the project's Master Developer. It is up to us, WNY's taxpayers, to see to it that this project works for us!

Making Canal Side Work for Workers:

WNY's taxpayers must see a return on the nearly $160 Million dollar investment we have made in Buffalo's future. The best way to ensure that Canal Side provides tangible benefits for the community is through a Community Benefits Agreement(CBA). A CBA is a legally enforceable contract between a community group and a developer that guarantees various standards that the developer agrees to provide in exchange for support for the project from the community.

For the Canal Side Project, CEJ would like to see a CBA that;

• Includes a green building and green infrastructure requirement so that all buildings meet the equivalent of LEED-Silver and include effective storm water management and water conservation plans;
• Accommodates and nurtures small and local businesses, as opposed to big box retailers, so that more money re-circulates in our immediate community by setting aside appropriately sized commercial spaces for local, independent businesses;
• Ensures the creation of quality permanent jobs that pay a Living Wage;
• Prioritizes and sets legally binding goals for local and minority hiring;
• Requires prevailing rate be paid on all construction jobs, with minority, local hiring, and apprenticeship goals;
• Focuses on mixed use development; and
• Maintains existing moderate income housing while making new residential units affordable and available to low and moderate income residents.

Community organizations throughout the city have endorsed CEJ’s call for a CBA, including the Buffalo Urban League, PUSH-Buffalo, Citizen Action of WNY, and Sustainable Earth Solutions.

CEJ will continue to meet with ECHDC to ensure a Community Benefits Agreement protects our investment in Buffalo's greatest natural resource, our Waterfront.