I wish it didn’t take brinksmanship to force constructive dialogue in Trenton.

Everyone agrees (I hope) that we need a rethink about Trenton’s financial health. Everyone also agrees (I hope) that there is a price at which selling the suburban portions of the Trenton Water Works is a good idea.

And, let there be no doubt that it’s too late to patch this year’s budget. Without drastic action we’re facing catastrophic disaster from a tax hike that will drive away investment, force foreclosures and thereby further reduce city revenue.

My hope is that the administration and petitioners can reach an agreement that commits the city to budgeting, openness and planning reforms that address our structural problems. I also hope that they can reach an agreement to allow the sale to move forward and, as stipulated in the City Council’s resolution, use only $20M of the proceeds to fix budget gaps. The remaining $60M should pay down long term debt principal.

Emotions are running high on both sides, for all of our sakes, let’s hope and pray cool heads prevail.

A Modest Proposal to fix the budget and still keep the Water Works

In “Invest the Trenton Water Works proceeds in the future not the past” I argued that the proceeds from the sale of the Water Works should not be applied directly to the 2010 and 2011 budgets. I allowed that it was too late to fix the 2009 budget and therefore $20M of the proceeds should be used to patch this year’s gaping budget hole.

If a group of Trenton citizens have their way, the sale will be delayed until a public vote can be taken and it’s not certain at all that the public will go along with the administration’s plan. We’d be left with a huge problem. Therefore, we’d better come up with plan B for patching the 2009 budget. Read the rest of this entry »

That the suburban portion of the Trenton Water Works will be sold seems to be a foregone conclusion. This is a good thing.

Running a water company for Ewing, Hopewell and other towns isn’t core to the business of running Trenton. It’s safe to say that we have more pressing concerns than whether or not our neighbors to the north have good water pressure. Continuing to run TWW would stretch our already thin and getting thinner, management resources.

Those that argue against the sale need to consider the big picture.

Read the rest of this entry »

Of the five major ways to foster urban revitalization;

1. Facilitating high end real estate development,
2. Supporting the arts and culture,
3. Cleaning up the joint,
4. Squashing the gangs, and
5. Creating a reason for Trenton to be here,

Only “Cleaning up the joint” can be done inexpensively.

Visitors to Trenton often comment that the city looks “run down” and dirty. Residents agree. Read the rest of this entry »

It’s useful to honestly measure the things that make a city attractive to its current and future residents. Clean streets, low crime rate, diverse retail options, value for the housing dollar and jobs are obvious elements of attractiveness. A thoughtful city planner or economist would measure these things, understand their impact on revitalization and then target spending to get the biggest bang for the buck. Read the rest of this entry »

If you ask a Trentonian about their number one city issue, crime will probably come up. Yet we don’t really seem to have any clue about its measurable affects on our city or how to manage them.

Previously, I wrote about the cause and effect of a city’s crime level and it’s immigration level ( How Crime Affects Trenton). However, this is a very small part of the story. First, we have to agree on what it is about a city that we’d like to improve. In general, the best measure of a city’s health is its per capita income. Cities with high crime rates have low per capita incomes and vice-a-versa (The Economics of Crime).

Read the rest of this entry »

The current financial crisis and recent shock in oil prices will usher in a new era for the American lifestyle.

We’re going to be a more modest nation. We’ll buy what we need to live and be less concerned about fads and status.  We’ll be concerned about our exposure to fossil fuels and will seek out dense urban living for both the economy of heating and driving. Read the rest of this entry »

The Mercer Alliance to End Homelessness and its funder, the Educational Testing Service have produced a report, “Housing the Vulnerable in Mercer County” that defies the laws of economics, makes unfounded assertions and argues for the abandonment of Trenton. However, it does not address homelessness.

Link to the report

Read the rest of this entry »

I’d like to call ReinventTrenton readers attention to an excellent Harvard University Panel discussion on the causes of our financial crisis.  These are some of the best economic minds in the country including a Nobel laureate and the Dean of the Havard Business School.

Harvard Panel on the Financial Meltdown 9-25-2008

Basically, there are two drivers to the current problem, one of which affects Trenton and the other one, not so much. Read the rest of this entry »

We Trentonians apparently have the notion that we’re entitled to services far beyond both our means and our needs.

In 2006, many Trentonians and their politicians were in an uproar as Capital Health Systems planned to close one of their two hospitals in town. We were upset even though Trenton has a far higher ratio of hospital beds to people than the rest of NJ and the nation. Even with just two hospitals, our average is higher. Though there will be no shortage of hospital facilities, it was just the appearance of losing the entitlement to more than its fair share of services that ticked off Trentonians.

Here we are again. Read the rest of this entry »