A different approach in Los Angeles

Probably the most-intriguing thing I've heard in my two days at the Good Jobs First conference in Baltimore is what economic development officials are doing in Los Angeles.

By their own admission, they've long functioned as "piggy banks" for developers, providing subsidies with few if any strings attached and hoping for the best. Sound familiar?

The Los Angeles Community Redevelopment Agency has changed the way it does business the past two years. Yes, the agency still assists developers, but there's much more of a quid-pro-quo involved. The agency has land and money, but for developers to get their hands on it, they have to meet the agency's progressive objectives, which include:

-- Affordable housing.

-- Green design and construction practices.

-- Creation of good-paying jobs, particularly in targeted growth sectors.

-- Investing in areas of the city often overlooked in the past.

"Our goal is to create good-paying career jobs for people," said Cecelia Estolano, the agency's CEO, who came across as an "I mean business" kind of progressive.

The agency has been a pioneer of sorts in negotiating Community Benefit Agreements, in which developers commit to taking certain steps above and beyond the norm in exchange for subsidies. One CBA might require businesses to hire a certain percentage of neighborhood residents; another might commit them to pay for a community park. Some of the deals are expansive and complicated.

"We dictate terms, we shouldn't be afraid of that," she said.

Now you may be thinking that's easy to do in California. But keep in mind that Estolano is doing much of her business in some of the most "challenged" neighborhoods in the nation. Like Watts.

The change at the redevelopment agency is one of several noteworthy developments in LA. The city council recently adopted new building codes that require that all commercial construction projects be build to LEED standards.

It helps that LA has progressive organizations like the Los Angeles Alliance for a New Economy, whose executive director serves on the redevelopment agency's board.

Madeline Janis, who also spoke at the conference, said the agency has become "a tool for public good."

There are lessons for Buffalo in what is happening in Los Angeles. It would serve our policy makers to look west.

Comments

[John Smith]

The Los Angeles Alliance for a New Economy is a fancy name for UNION ORGANIZERS. Calling a bunch union organizers "progressive" would be laughable if it wasn't so scary that the peson using the term purports to be an "objective" reporter with access to the front page of a major newspaper. This guy's a walking conflict of interest.

"Progressive union" is one of the all time great oxymorons. We're just surrounded by progressive unions like the BTF and the Operating Engineers Local 17.

[Perspective]

Here's what I've concluded:

1.) As a reporter, particularly as an investigative reporter, James Heaney is very good.

2.) As an opinion generator about what makes sense for the economy, James Heaney is ridiculously left wing.

If Heaney were in the Senate, Barak Obama would no longer be ranked as having the most leftist voting record. Heaney would out-liberal him.

Green this, pro-union that, blah blah blah.

[Colin]

According to the two geniuses below, it's left-wing to: 1. hold the corporate recipients of economic aid accountible, 2. encourage environmentally-friendly design, and 3. try and create good-paying jobs.

If that's the left, I don't want to be right!

[Dave]

I don't see anywhere in the article about how well that's working out. We're having a tough enough time getting jobs in the area now, so let's start putting more restrictions on businesses coming in; yes that'll work great.

This state, as well as California, have been liberal strongholds for as long as anyone can remember. Isn't it funny how both are among the highest taxed, least jobs, etc.? Californis is losing jobs almost as fast as NY, so yes, let's definitely go more liberal.