Thursday, March 18, 2010

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.

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