Thursday, May 16, 2013

The Last Five Years

Owosso has a budget problem, and has had one for the last five years.  Good management, tough policy decisions, and sacrifices by residents and employees have made it possible for the City to get through the last half decade.  However, unless we make some further difficult choices and structural reforms, things will not get easier in the years ahead, even if the economy recovers.

In 2007, the City was enjoying several years of modest growth, a healthy national economy spread some new investment our way, and rising property values translated into increasing revenues for the City.  In 2007, the long-time City Manager Gregg Guestschow was forced to resign, and changes were made in how City Hall was run.  In 2008, the economy was strong and a large new grant was secured to help make improvements in downtown.  Things were still looking good until the stock market collapsed on September 20.  

The ensuing economic downturn in 2009 has persisted to the present day, and while the national economy is recovering, and employment and incomes are up, property values--the primary driver of City revenues--have continued to fall.  In addition, state revenue sharing has suffered significant cuts and government grants have dried up.  The City responded in three ways:  1) aggressive cuts in City spending, primarily by reducing the number of employees and the benefits of remaining workers; 2) a modest 1 mil increase in taxes to pay for City-provided services; and 3) renewed efforts at economic development and neighborhood improvement in an attempt to increase, or at least maintain, property values.  The table below paints the picture.

The most difficult number is the first one, the SEV, or State Equalized Value, or the collective worth of all property values in Owosso:  it has declined 30% in the last five years.  Not surprisingly, the tax revenues the City receives have also dropped, by $200,000 in the same five years and another projected $100,000 this budget cycle.  The drop would have been even greater but for the fact that the City Council in 2010 approved a tax rate hike from 13.7 mils (tax dollars per $1,000 assessed value) to 14.7 mils (the decimal changes in the table reflect small changes up, and down, due to bond and other obligations).

Retirement Funding.  One significant cost not shown in the above table is the increasing cost of meeting the City's obligations to its retirees.  In 2005, the City Council approved changes in the retirement benefits it offers to employees.  Now, more recent employees have access to a defined contribution plan (as opposed to a defined benefit plan) that shifts responsibility and risk for retirement planning to employees; it is also easier to make a budget around.  However, for public safety workers, the many long-term employees of the City, and those who have already retired, the City has an ongoing financial responsibility.  

It has been difficult to get accurate, long-term figures for retirement costs, but they are significant.  In the current year, an estimated $829,038 contribution is being made to the City's retirement plan; in the next year, the budget estimates costs will increase almost $100,000.  By some measures, these costs have doubled in the last five years.  It becomes difficult to manage, much less plan, for these large expenditures, which vary based on changing actuarial estimates and the rise and fall of the investments that underpin the retirement fund.  The City has a legal--as well as moral--obligation to support its retirees, but attention needs to be paid to the fiscal management of retirement funds and how it impacts the City's budget.

Budget Cutting has been the primary pre-occupation in City Hall for the last five years. The number of employees has dropped from over 100 to around 80 now, with some difficult lay-offs and early retirements part of the solution.  As well, staff have seen their benefits reduced and they have stepped up to higher contributions to their health care.  The management team has also negotiated cost-saving contract renewals with our represented employees. Overall, close to $900,000 in spending was cut from the budget.

Making these cuts without drastic reductions in services is to the great credit of talented administration and hard-working employees. There was not a lot of fat available to cut.  Prior to 2007, City Councils and City Manager Guetschow had been very careful spenders, keeping the lid on employment costs, not indulging in any big park improvements, and always seeking limited and efficient delivery of services.  Fortunately, they also left the City with a healthy Fund Reserve and very little debt.  

Are Taxes Going Up? While the decline in property values has hit the City's budget hard, it has provided some relief to taxpayers in Owosso.  The average tax bill paid by a homeowner has declined from $506 in 2007 to $473 last year, and this occurred despite the 1.0 mil increase in City property taxes adopted in 2010.  For the coming fiscal year, the City Manager has proposed a small increase in the tax rate of about 0.2 mils to support economic development activities and promotion of the City's three historic structures (Curwood Castle, Comstock Cabin, and the Gould House).  Even with this increase in the tax rate, the actual tax paid by most homeowners will actually decline because of the continuing slide of property values.

What to Do?  The City faces both an immediate short-term budget crisis and a long-term challenge in ensuring sufficient revenues to operate the City and maintain its infrastructure.  For the coming budget year (which begins July 1) the City has only a few options, or combination of these options to address the short-term budget issues:
  • reduce labor costs through cuts in services: management and labor have probably squeezed as much efficiency and made as many sacrifices as possible; to reduce the cost of government further, cuts in services are probably necessary (i.e. fewer police and fire employees, less maintenance of roads or parks, etc.).
  • delay further equipment purchases:  the City has postponed for five years the purchase of new trucks, a streetsweeper, a new ambulance, fire station upgrades, and audio-visual equipment for the City Council chambers.  There can be a delay in the purchase of these and other items, but at some point the cost of maintaining old equipment becomes prohibitive.
  • increase fees and the property tax rate: neither of these revenue-generating options is desirable, nor will they offer that much help in balancing the budget, but the political pain probably exceeds the economic pain.
  • tap into the City's reserve funds:  through prudent management and a wise policy to not use reserve funds to balance the budget, the City's fiscal health is sound.  This makes it possible to borrow money more easily and cheaply; tapping into reserves may set a dangerous precedent. 
None of these choices are pleasant, and the Council has been seeking alternatives, professional advice, and public input on how to balance the 2013-14 budget.  Several workshops, public hearings, and difficult conversations have moved along the budget process.  

Whatever happens with this year's budget, the challenges will likely persist in future years.  Even if the real estate market recovers in the coming year and property values rebound, property tax revenues will not rise quickly because the provisions of the 1994 Proposition A limit the rise in assessed values to the rate of inflation with a cap of 5 percent (see my earlier post "Budget Challenges Are Here to Stay").  As we are experiencing almost no inflation, even if property values rise 10 percent in 203-14, the City's revenues are likely to rise only 1 or 2 percent.  Meanwhile, deferred maintenance in equipment and our infrastructure (roads, sewers, parks) will catch up with the City and increase the cost of operations.  As well, the City's retirement fund, which will likely have fewer employees making contributions, may also require additional public investment.

Options to address the long-term budget challenge include the following:

  1. restructuring of local government to either further scale back services or implement more radical cost-efficiencies like contracting out public services, combining delivery of services with surrounding jurisdictions, or fee-for-service provisions.
  2. asking non-profit entities which are exempt from property taxes like healthcare providers and private educational institutions to make payments in lieu of taxes
  3. increasing revenues through new taxes on cable television, local businesses, or residents; or having voters approve new property taxes for specific services and public investment like roads, parks, or public safety
  4. have the State of Michigan provide some relief or assistance to local governments through revenue-sharing, increased grants, or revisions to the provisions of Proposition A
  5. spur economic development and new investment in commercial and residential properties that will increase the tax base of the City.
None of the first three choices are desirbable, the fourth option is politically difficult, and the fifth requires persistence, wisdom, and commitment over time.  

What advice do you have for your elected representatives?





Thursday, April 4, 2013

We are in a Lifeboat


Owosso, like most of Michigan and other parts of the country, have had a rough time since the economic downturn in 2008-09.  In addition to the financial suffering and human pain in businesses and families, local government has been tested as well.  Three years ago, I wrote about the then three year decline in property values and its negative impact on our local budget (read it here).  The most recent news from our assessor, shows that property values--and thus City revenues--have continued to decline.  Our challenges are not over with.

I am optimistic however.  The Michigan economy has turned around and some good things are happening in Owosso:

  • A local auto parts manufacturer have gained more work, and with help from the City and the Shiawassee Economic Development Partnership (SEDP) have opened a new plant; this is but one of several economic success stories.
  • Our downtown theater, burned six years ago in a fire, is now being restored as the Shiawassee Performing Arts Center, with lots of local effort and state assistance (one of the last state tax credit deals); other downtown buildings are being renovated.
  • New parks and recreation facilities have been built through the initiative of local citizens and with some small amount of state aid (one of the first local grants from the Passport program).
In thinking about the last few years, a story came to mind.  While I wrote it about Owosso, it could apply to other communities and the State of Michigan as well.

We are in a lifeboat. A little over four years ago we were struck by a storm and we were forced to take refuge. Our boat is sturdy, but old: the frame is solid, a few of the fittings are missing, and there have been some leaks, but the craft is seaworthy. After the storm, we were adrift and uncertain about what to do. We gathered the survivors, assessed our supplies, regained some of our strength, and waited for rescue; it didn't come. 

Some of the passengers gave up, and swam off on their own. Some found flotsam to which they clung, others were rescued by a passing cruise ship, and some, sadly, were lost. It has been a hard time, and many of the survivors are hurting; to the extent possible, we have tended to their needs. 

After rescue did not come, we discussed our predicament. Some among us wanted to wait, and a few flares were sent up in search of help.  Others wanted to take action. Couldn't we find an island and seek a new beginning? Or at least move into a shipping lane and hope to be discovered? Fortunately, a few professional sailors survived, and their knowledge of charts and the elements enabled us to consider some options.  

There was, of course, more than one place we might seek safety. Some were well known to some of us, others we had heard rumors of, and some were foreign and appeared dangerous. We consulted all of the passengers and crew, and after some debate, decided on a plan of action.

To reach our destination we needed everyone to volunteer to help.  Most able-bodlied passengers took up oars, but we were in disarray; someone provided instruction, and another a cadence so the rowing could be coordinated and efficient.  The sailor took readings from the sun and stars.  We also needed someone to take the tiller, and by vote we chose a few from among us who seemed to have the most experience, clearest vision, and a firm hand.

Most everyone found a task: some took account of our precious food, others bailed or made repairs, and a few ingenious folks designed a method to collect water from rain that still fell on us. We all took turns caring for the weak and injured, but some were more able to extend sympathy than others.  

We all came to appreciate those who provided a kind word to the tired or encouraged those at the oars to move us forward. Thank God for those who remembered their prayers, hymns, and sea shanties to inspire and entertain us.

It has been some time now that we have been at sea, and some among us are discouraged or doubting the wisdom of our plan. Mistakes have been made along the way. Some grumbling has been heard amidship. The sailor assures us we are on course. Others think they see land on the horizon, but it is still cloudy and our vision remains obscured.  

Our captain is optimistic. We are almost there. If we can stay the course, work together, and keep looking forward, then we will escape the storm.

This is how I see Owosso.  We have been on a critical journey for the last several years, and have accomplished much.  We have not yet arrived, and the effort has been hard on all of us.  I believe we are on the right course. Thank you for the part you have played to keep us afloat and sailing forward.

Tuesday, December 18, 2012

A Season of Peace?

This is the season of peace on earth and goodwill towards all, but it does not feel that way to me.  On my mind as a parent has been the tragedy in Connecticut; on my mind as an elected official has been the public discourse that has followed the tragedy.  There is important substance in the exchange of ideas about what to do about school shootings, but the mean quality and negative attitude of some of the public conversations have me again thinking about how we relate to one another, how public policy depends on public opinion, and how a representative democracy solves problems.

Can We Talk? Before the violence at Sandy Hook Elementary School, I was depressed by a spectacle in our State Capitol, where a group of elected officials raced through legislation without discussion, and a group of citizens raced the Capitol doors without decorum.  There was no dialogue, only shouting and name-calling.  People who are my friends compared our popularly-elected Governor to a genocidal dictator; other of my friends used despicable terms of body waste to refer to the people who teach our children and build our cars.  There was no holiday cheer in Lansing, and very little goodwill in the public exchange of opinion that accompanied the process.

Perhaps it's the speed and shortness of response offered by Facebook and Twitter, but my online reading strongly suggests that people have lost the ability to respect one another.  Rather than engage in conversation, or even write a message to a legislator, the favorite form of expression these days is a  angry, snide, or rude posting that demeans those who hold a contrary opinion.  Anger can be useful to move us toward action, and certainly history shows righteousness to be a motivating force for positive change.  However, I fear we are moving to anger not based on the disruption of a truth we hold dear, but because of our failings as a people to talk to one another.

Representative Democracy.  I ran for public office, as I believe most people do, because I want to help my fellow citizens, strengthen my community, and serve in what I believe is the best form of government.  The idealism contained in the previous sentence has been put to the test in my three years as a City Councilmember.  I have been called an anti-constitutionalist, godless, a shill for business interests, a communist, financially self-serving, and a criminal (among other things).  Most of it is so ridiculous as to not be worth recounting, and I don't do so to seek sympathy. I know criticism comes with the job, but I worry what such language does to the public dialogue that is necessary for our democracy to work.

We elect people to represent our interests, our point of view, our concerns. We hold public hearings, and enshrine this process with rules and procedures, so that people can share their opinions and expertise with those who must make decisions.  We make provisions so that the deliberations and actions of our representatives are open to all and can be easily shared through the media.  As an elected official, I value public input and seek it out through both formal and informal means, both at Council meetings and at the supermarket, and in handwritten letters and on my Facebook page.  I especially enjoy longer conversations and group meetings where there is a chance for true dialogue.

Good Conversation is hard to have when people are calling one another names, distorting the truth, and attacking the motives of their opponents.  I worry that when the State Capitol, or City Hall, or an on-line venue is dominated by extreme points of view, those with more moderate perspectives choose not to participate.  And when one side makes an outrageous attack against the other, the emotional response is also one of anger.  When I am criticized in extreme terms, I certainly don't hear well what the other person is trying to say.  That is not only unfortunate, it also reduces the input I get as a decision-maker.

Democracy depends on getting out the most information as possible; verbal assaults reduce our collective knowledge.  Like a nozzled hose, an angry protest may increase the power of the flow of information, but it also limits how widely that knowledge may be shared.  If democracy is a garden, wide conversation, not a narrow stream of insults, will make it grow.

A House Divided Cannot Stand.  I worry that extreme voices, harsh language, and a lack of respect will paralyze local, state, and federal government.  Perhaps it already has. If there was anything that could bring us together, one would think it would be the death of innocent children. "This is our first task--caring for our children," said the President of the United States. "It's our first job.  If we don't get that right, we don't get anything right." Yet, even during this speech, people were criticizing the President, with racial epithets, for interrupting a football game.

Constitutional rights and civil rights are all serious topics where one might expect emotions to be high.  But I now hear outrage, and read the "F" word online, when the City Council discusses water fees, building codes, or snow shoveling.  These are all important issues, to me at least, but are they so visceral that only strong emotion is the only viable form of expression?

So What to Do?  Maybe the issues that face us, such as the inexplicable use of assault weapons by those with a history of mental illness, are too difficult for government to address. I don't think so, but the answers are not easy. I think people feel disenfranchised from, and distrustful of, government, even at the local level.  Those of us involved in government, especially those who are elected to represent the public, need to work harder to welcome people into the process, to value their presence, to truly hear them, and to engage in conversation.  We need to work harder to find a common language, to speak the truth, and to listen boldly.  We need to stop the shouting, so we can hear.

For all of us involved in our democracy, at any level, whatever in our role as citizen or official, here are five things we can do to begin to restore meaningful dialogue (and I need to remind myself frequently of these goals):

  1. Take a deep breath, stay calm, think before we speak, and don't overreact.
  2. Value all voices; start with the assumption that the other guy has good intentions, even if they are mistaken in their position; show respect.
  3. Listen first, speak second; ask questions; or as Stephen Covey said "Seek first to understand, then to be understood."  
  4. Be truthful in all that you say and do; rely on data; base your argument on facts, not insults.
  5. Be comfortable with ambiguity; there may be more than one right answer, and you probably don't have it.  
I am fortunate to be part of a City Council where the men and women who serve on it seriously strive to reach these standards.

What I have (re)learned in the past week is that we cannot control everything, we cannot prevent bad things from happening.  We need each other to get through the tough times.  And as much as we may want to, we can't solve every problem; but that doesn't mean we shouldn't try.  We need each other to find the best solution.  None of us alone is as smart as all of us together.  But for us to rely on one another, to help one another, we need to be able to talk to one another.




Monday, July 30, 2012

A Master Plan for Owosso




Updated November 18, 2012
Where is the City of Owosso going in the future?  Will we be in a reactive mode, waiting for good things to happen and working to counteract the negative impacts on our community?  Not if we can adopt a Master Plan, a blueprint for pro-active effort to guide the future growth of the City.  In all its history, Owosso has lacked a plan.  While in the past there have been successful efforts to influence and direct private investment and public actions, there has been no overall set of plans, policies, and goals that are forward looking. That is about to change.

In 2008, then Mayor Mike Bruff appointed Cindy Popovitch (now a fellow council member) and me to a Blue Ribbon Committee to define some future goals for the development of the City of Owosso.  Now, we have seen the promise of that work realized in a new Master Plan.  This achievement is thanks mostly to the expertise and effort of Owosso's Community Development Director Adam Zettel, the persistent work of the Planning Commission (which included the chairmanship of Burton Fox, who is now on the Council) and the input and interest of many citizens.  This 18 month effort involved a pubic survey, focus group meetings, and several public hearings.  The plan was put together by staff without the use of public dollars to hire consultants or other professionals (a group of Michigan State University students also provided valuable baseline research).

Why a Plan?
A Master Plan is an articulated set of policies and programs to guide the future development of a City. While there is much focus on, and legal weight, in the map of Future Land Uses (see above), the greatest value in a plan is the direction it sets for the future, the policy statements it contains, and the actions it will direct.  The vision statement for the new Owosso Master Plan states that "The City of Owosso will provide superior municipal services and implement guiding principles that continually enhance the quality of life.  Owosso will be the proud home of numerous creative entrepreneurial leaders and will function as the heart of Shiawassee County.  The community will be a vibrant, progressive, knowledge-based community, which promotes the highest quality of life."

A cynic might dismiss such a vision as wishful thinking, and a realist recognizes that Owosso faces severe economic challenge and other deficits.  However, the adoption of a Master Plan is a conscious effort to try to control, or at least manage, the many forces shaping the community, rather than be a passive observer or victim of larger trends.  At a minimum, the plan helps provide the City Council, City Manager and his staff with a work plan to apply the tools within our control.  Where should the City invest its limited dollars?  Where should roads, water lines and other infrastructure improvements be made?  How can we inspire community efforts to improve parks or other public spaces?  How do we use zoning and other development regulations to direct private investment?  How do we talk about ourselves as a community and what image do we present to those who come to Owosso?  Answering these questions will have a profound impact on our quality of life, and a Master Plan gives us the ability to define and present ourselves in the best light possible.


Community Goals
The draft Master Plan sets forth these goals for the future of the Owosso:
  • Create safe, tranquil, clean and healthy neighborhoods with enduring character
  • Increase and maintain the mobility of of Owosso citizens through a comprehensive and well-planned transportation system
  • Deliver urban development and management that strives to preserve and include the natural environment
  • Support well planned, quality and sustainable growth
  • Enhance and promote historical community resources
  • Develop and maintain quality, cost-effective community facilities, infrastructure and services with ensure our city is cohesive and well connected
  • Pro-actively create new educational and economic opportunities for all citizens
  • Create more youth activities and amenities that service the community and neighborhoods
  • Make Owosso a center for culture and entertainment in Mid-Michigan
  • Ensure Owosso provides a lifestyle that accommodates the aging population
  • Make Owosso a regional center of health care service excellence
  • Be known as a community that delivers healthy and active lifestyles

The Planning Commission recommended the draft Master Plan to the City Council.  At its meeting on August 6, the Council will voted on a proposal to officially accept this Plan.  The Plan then was  distributed for review.  The Plan became a public document and a copy sent to surrounding jurisdictions and other governmental bodies for their review and input.  After public input and further review by the Planning Commission, the Council formally adopted the Plan on November 19.  

The important next steps after adoption will be to begin work on the many implementation steps outlined in the Plan (Chapter 8).  This will require the City to set some priorities, but a review and update of the City's Zoning Ordinance, which legally controls the location and standards of development, will be an important first action.  Specific action plans also need to be adopted for Westown, the highway gateways to the City, the Shiawassee River, and other critical areas.  The primary emphases of the Plan are on encouraging entrepreneurial activity and economic development, place-making and the adding of recreational and cultural amenities, and promoting Owosso's quality of life for families, seniors, and all who would call us home.  Promoting equity and encouraging diversity are specific aims of the Plan.

Adam Zettel recommended that the City Council, City staff, and the community "develop a culture of unity" behind the plan as our guidepost and touchstone.  Several members of the Council stated their desire to have the community work together to take care of one another, improve Owosso, and move us positively forward into the future.  A new master plan gives us the opportunity to do just that. 


Monday, July 2, 2012

What To Do About the Dams on the Shiawassee?

The Shiawassee River has always been a special river to me and more than 15 years ago I came together with others to form the Friends of the Shiawassee River.  I grew up canoeing on the Shiawassee River, and when a teen I participated in several clean-ups. My grandfather, Don Cook, who took me on my first Shiawassee canoe trips, helped Jim Miner with the Shiawassee River Improvement Association, the group that first sponsored clean-ups and got a trail built between Owosso and Corunna. The Friends picked up on Jim's work, and have put on more than 20 river clean-ups and tree plantings, helped promote recreational use of the River, and organized several hundred people to care for, share, and enjoy the river that gives our County it's name. (In my blog Tom's Travels you can read my personal observations about the River).

Dams. In the City of Owosso, there are three small dams that impede the River. In Corunna, there is a somewhat larger former mill dam and a partial dam upstream at a brick plant. The largest dam is the former hydroelectric facility at Shiatown. And just above Byron there is a dam where two forks of the River come together. All of these dams are old, and none are actively used for the purposes for which they were constructed.

For the last several years, the dams on the Shiawassee have become a concern, mostly because of their age. The deterioration of these dams makes it clear that some action is necessary. Also, national awareness about the negative impacts of dams has resulted in an increase in technical and financial assistance for dam removals from both public and private bodies. The safety hazards of dams has again become apparent, most recently with the death of a 12-year old girl at the Shiatown Dam. For these reasons, the Friends of the Shiawassee River as well as state and local governments have given considerable thought and study to the future of the dams in our community.

Dam Facts: There are three key things to keep in mind when discussing the dams on the Shiawassee River:

  1. Rivers are healthier without dams. Rivers are naturally occurring features that pre-date human settlement. Dams were built to control water flows and levels, usually to serve economic interests such as power generation. While rivers and their inhabitants have adapted to the unnatural intrusion of dams, aquatic biologists and other scientists have come to learn that rivers are healthier without them. Dams block the movement of fish up and down the river, isolate species populations and hamper reproduction of all types of creatures. While anecdotes and folk wisdom abound about the Shiawassee, all of the research shows that the River and its fish and other inhabitants will be better without dams (read this study on the ecology of dam removal).
  2. The existing dams do not control water levels on the River. While this may seem counterintuitive, we need to realize that none of the dams are currently managed. Without the operation of control gates, the opening or closing of sluiceways, or the insertion of boards into openings, none of the dams impact water levels. When it rains, the River goes up; when we get a drought, the River becomes shallow and in places muddy. Several of the dams have impoundments behind them, but the level of these wide, slow spots go up and down just as the River does.
  3. Rivers are ever-changing; doing nothing is not an option. With time, the flow of water defeats rock and concrete, and rivers constantly move sediment and thus their banks. If a dam is not maintained, it will decay and begin to fall apart, as we are now witnessing. As well, the area behind a dam fills in with eroded soil and the impoundment shrinks. The good news is that life on the River is also ever-changing, and plants and animals move into new shallows and fill in exposed shoreline. If we do nothing with the dams on the Shiawassee, nature will have its way and remove or overrun them, but it will take time and the process may not be pretty nor best serve the interests of human residents of the local watershed.

Dam Removal. If the dams on the Shiawassee still served an economic purpose, private investments would be made to repair them and make them operational for flow control. With no private ownership of the dams, it falls to the public sector (state, county, and city governments) to determine proper action. A decision to "leave the dams alone" is a decision to promote deterioration and invite uncontrolled consequences to both human and natural communities. Some people have expressed a desire to restore the dams to their former size and function, but it is clear that local governments alone will have to bear this cost. State and federal funding is available for dam removal, not dam repair. As well, regulatory agencies that ensure dam safety, monitor water flows, and protect fish and wildlife will give any dam rebuilding scheme a high degree of scrutiny, at best.

Given these realities, it is prudent for our community to investigate the options for complete or partial dam removal. While costlier, there is also the option for the replacement of dams with rock rapids that allow for fish passage. This has been done successfully downstream at Chesaning (learn more and see photos here). Obviously, each dam and its location on the River is unique, and any specific removal or replacement would require careful study and good engineering. Whatever specific design, in general there are three benefits of dam removal on the Shiawassee:

  1. Increased recreational use of the River by both boaters and anglers. While some kayakers enjoying the challenge of the existing dams in Owosso, most boaters find the dams a hindrance or a danger. The dams in Corunna and Shiatown cannot be safely negotiated: a few years ago, a kayaker died trying to go over the Corunna dam. Removal of the dams would make the Shiawassee more open to recreational canoers and kayakers, and might encourage private canoe rental facilities to make greater use of more of the River, especially between and through Corunna and Owosso. As well, removal of the dams in Owosso and those upstreams would allow for greater upriver migration of walleye, a popular gamefish, from Saginaw Bay.
  2. Elimination of safety hazards would the primary benefit of dam removal. Over the years, there have been several drownings at dams on the Shiawassee.  Flowing water can be an attractive hazard, especially to the young or the uninformed.  However, the flow of water over and below dams can be deceptive, and all of the dams in the County have the potential to kill.  This is true of even small dams, especially in high water (see this video that explains the hydraulic flow over low dams).  
  3. Using our River heritage for our future should guide our thinking and actions about dams. Our communities grew up where they are because of the Shiawassee, and we have had an evolving relationship with the River ever since. Over time, we have used the River for transportation, power, waste disposal, and recreation. What is the best role for the River today? As we move to a future built on the quality of life of our communities, we should think of the waterway flowing through town as an amenity. What would make the River most attractive to those on adjacent walkways, fishing its banks, paddling downstream, or just sitting along its banks? Importantly, what will attract businesses to make investments in our River-centered downtown? Decaying concrete that is unsightly and dangerous is not an attraction. Rather, let's use the challenge of dam removal as an opportunity to invest in the creation of a healthy, scenic, and usable River. As the Friends of the River mission statement says, let's "care, share, and enjoy" the Shiawassee.

The City of Owosso has not yet made any specific decisions about the three dams within the City limits. The Friends of the Shiawassee River did commission a study to look at options for the future of the dams (A copy is available at the City's website). The result of this work by an engineering firm and an aquatic biologist showed that the current dams are deteriorating, do hinder fish passage, limit recreational options, and create minor upstream impoundments that are less than when originally constructed. The study showed the dams could be removed with a minor impact on the character of the River. The River would be slightly narrower and shallower for a short distance upstream of two of the dams, but in a few years new banks would be established and vegetation would move in. Deliberate restoration activities would hasten this process.

What the City Council did decide to do was to work with the Friends of the Shiawassee River to look at options for dam removal and replacement. Currently, there is funding available from a variety of sources for taking out dams; there is no funding available for dam repair or reconstruction. The City is faced with two choices: 1) Do nothing, and let the dams slowly deteriorate; or 2) Investigate options and define some potential projects that maintain what we like about the dams and enhance what makes the Shiawassee special. In several public meetings, people mentioned what they liked about the dams: the sight and sound of rushing water and an attractive location to enjoy the River. It is possible to achieve these objectives while removing the dams as barriers and safety hazards.

Change is Difficult and no one involved in planning for the future of the dams in Owosso is acting precipitously. In fact, analysis and discussion has been spread out over time to allow people to think about what they value about the dams and what role they want the Shiawassee River to play in our community. In the short term, there is no need to act and the dams could probably stay in their present state for several years. However, funding opportunities may pass and eventually the dams in Owosso will fall apart. We can try and ignore time and the facts of the situation, or we can move ahead deliberately and consider options. Then, with community input and a sober look at costs and funding, we can make decisions that will best serve the City and continue to make the Shiawassee River an asset to our community.


Additional Resources can be found at these two websites

  1. A "Dams Overview" from the Michigan Department of Natural Resources that covers the regulation of dams, their environmental impact, and their history in our state. The website also lists examples of dam removals in Michigan as well as providing resources
  2. "Dams and Dam Removal" information from American Rivers, the premier national resource and advocacy group on rivers in America. While most of their specific projects have occurred on larger dams on the east and west coasts, the site does provide some good educational material.




Monday, June 18, 2012

Optimistic Persistence


This past week, the City of Owosso achieved two long-awaited milestones, and the journey to them offers several lessons for those of us engaged in local government and community change.  The first piece of good news was for the Owosso Community Players who received construction loan approval from Chemical Bank for the rebuild of the Lebowsky Theater.  Now, with State assistance, long-term federal financing, and lots of hard-earned private support, the Shiawassee Performing Arts Center will begin its final phase of construction in the next few months.  Second, the members of the City's Park and Recreation Commission realized a three-year goal with the construction of a large playscape at Bentley Park.  This project, the result of a City investment and community donations of time, labor, and money, is the first of several steps in remaking this park into a gateway for Owosso.

Positive Change Takes Time we are reminded by both of these projects.  We live in an era of quick communication and amidst a constant stream of up-to-the-minute news.  Social media makes it possible to share photos, provide updates, and offer opinions in real time.  But reporting is not the same as achieving, and frequently local government does not move as fast as we would like.  We expect results quickly, and the bold step of announcing a goal (e.g. "Rebuild the theater") is sometimes forgotten when it takes months, or years, to achieve the objective.  The typical narrative of news stories leads us to expect a speedy progression of problem statement, resolution, and completion.  Our local newspaper headlined the playscape story with the modifier "finally" reflecting this impatience to get results.

However, it takes time to achieve real progress or make change.  Frequently, the problems are complex, and putting together the right plan of action requires both technical and political analysis.  Upon determination of a solution, the alignment of partners and the assembly of resources takes both skill and time.  Frequently, a project is started without having defined an exact path forward.  For example, the City started the playscape with a commitment of $15,000 several years ago knowing that this amount of funding was insufficient.  It took months before Kiwanis and other service clubs were fully on board, business sponsors had to be approached slowly, and the many fundraising efforts took lots of time and effort to initiate, coordinate and promote.  In the end, close to $100,000 was raised for the project, most of it from local, private donations..

Risk is Inherent to any community improvement effort, especially when not every detail is arranged or known in advance.  Things can, and probably will, go wrong and critics will be quick to point out the shortcomings of any plan that requires modification or is delayed.  Champions of change have to be flexible and be open to hearing the suggestions, or requirements, of other partners as they join in.  Most importantly, as obstacles are encountered, proponents have to be patient while finding additional sources of funds, coming up with an alternative design, or suffering through political attacks.  In both the playscape and the theater projects there were setbacks, and it is a testament to the organizations behind them that people kept moving forward, even when it required a step or two sideways, or backwards, before the goals could be achieved.

Optimistic Persistence may be the most necessary ingredient for any change effort.  I marvel at the people involved with these community improvement initiatives.  Some people had a vision, and would not abandon that dream despite being mocked or criticized.  Other people had the tenacity to keep to their task, whether that be asking for funds or shoveling wood chips.  Several people accepted the challenge to rework the plan and seek out an alternative options. And all of them had persistent optimism, a belief that things would get better if they were willing to stick to it.  Sadly, there are too few people with such an attitude, but I have come to appreciate how important they are to moving our community forward.  (I would add that news of these projects occurred as Governor Rick Snyder announced a cooperative plan with Canada to build a new bridge to support economic growth in Michigan; here too is a leader with optimistic persistence).

Long-Term Perspective is essential in our community if it is to weather the current economic crisis.  We need to look past today's tough times and recognize that the changes we are making now may not show results for several years, perhaps after our terms of service are over.  Policy choices can be distorted when we look for a quick return on our political investments. If creating an entrepreneurial culture in Owosso will take time to take hold, if gaining regional cooperation takes repeated outreach to build trust, if building community facilities requires waiting for the right grant, then we can not be afraid  to pursue such goals. If we avoid the long-term issues, then we might only adopt empty ordinances and resolutions, hire (or fire) staff people to show some sort of action, or take only the most careful and smallest of steps forward.  I am inspired by the examples of those who show optimistic persistence to keep the long-term view in sight.

Monday, June 4, 2012

The Worth of Woodard


In the continuing efforts at the state and local level to rework Michigan's economy, much attention is given to creative genius, the role of entrepreneurs, and the skill level of our workforce.  A new show at the Shiawassee Arts Center provides a fascinating historical view of how these economic development factors combine in a family, a company, and a community.  This record of lessons, 146 years old and still going, offers guidance to our economic development goals of today.

Woodard Furntiure is world-renowned for its hand-crafted, wrought-iron construction.   Examples can be found in the White House Rose Garden, in the Smithsonian, and in other museums of design, art, and history.  The furniture is still made in Owosso, and the history of the company is entwined with that of the City.  Started in 1866, the company began when Lyman Woodward moved from upstate New York and bought a mill on the banks of the Shiawassee River at the site of the present City Hall.  At first, the company relied on the abundance of wood, water power, and rail transport to make and distribute furniture. His wife, parents, and brothers also moved to Owosso, setting the pattern of a true family business that would persist for the next 100 years.

When we talk today about the types of companies we want to grow, we talk about those that rely on creative talent, can adapt to changing conditions, and employ skilled workers.  These have been the  hallmarks of Woodard Furniture since its beginning.  After surviving the setbacks of several fires to establish the means to produce wooden furniture, a second company was created to take advantage of the assembled assets. The Owosso Casket Company was one of the foremost manufacturers in the early 20th Century, producing 150 caskets a day, including those for two presidents (McKinley and Harrison).  The company closed during World War II, but the factory building still stands on S. Elm Street in Owosso.

Creativity. Versatility.  In 1934, the Woodards produced their first metal furniture, a result of the depletion of wood, the changing labor force, and the design genius of Lee Woodard, son of the founder.  The Depression did in Woodward Furniture, but a new company, Lee L. Woodard and Sons was formed in 1938, and was run a cooperative basis where sons Joe ran engineering and production, Russ finance, and Lyman design and marketing.  Lee's wife Sadie summed up their business style when she wrote "the ingredients of the soil for the Lee L. Woodard and Sons planting were faith, courage, creativity, versatility, business ability, integrity and many other divine qualities."  

During World War II, the Woodards developed their metal working skills through several military contracts.  The company played an important role in training arc welders at night through a government contract to supply workers to war production plants in surrounding metropolitan areas.  Thanks to Baker College, Owosso continues to train people in a variety of trades today.

After the War, Woodard Furniture became the producer of premier outdoor patio furniture, with unique designs based on European motifs as well as setting trends, and winning awards, with modern designs.  The combination of creative design with solid engineering, long-term employment of craftsmen, and sound management led to success and worldwide recognition.  As David Vaughn, one of the first non-family members in management notes, "Woodard hired and encouraged an outstanding staff.  They selected good brains and gave them the freedom to experiment for betterment."  In Michigan we have been concerned with reducing labor costs, but as we prepare for the future it is perhaps useful to recall the past when a skilled workforce was a true asset.

Woodard today persists as an Owosso-based manufacturer, employing 170 people, the most in over five years.  As Woodard generations passed away, and corporate America evolved, the company changed hands through various mergers and acquisitions.  But the worth of its products has remained. Today the company is owned by Texas-based Litex, whose CEO, Jean Liu, observed that "furniture is art."  As value-based products again gain consumer recognition, the future of Woodard Furniture is again looking bright.  The photo at left is of the new Jax Collection, which received a 2011 design excellence award.

A final economic development note:  in 1995, Woodard Furniture faced a dilemma.  It valued its highly competent workforce and their craft skills.  However, it was hampered by its outmoded, five-story brick building in downtown Owosso.   At risk of losing this heritage employer, the City of Owosso worked with Owosso Township and various state and local economic development entities to create a PA 425 property tax sharing agreement to enable the company to relocate to the Township's industrial park.  There, with municipal services, the company was able to build a 332,000 square foot facility.  This is the home of Woodard Furniture today.  The City of Owosso agreed to acquire the former plant for redevelopment.  The City turned its economic development skill set to the project, and through the use of state tax credits, other public assistance, and private capital, Woodard Station was constructed, a mixed-use development of condominiums, student housing, office, retail, and the well-received Wrought Iron Grill.

The history of Owosso and Woodard Furniture progressed together, with the company and the City helping each other in turn.  The lessons learned from this experience should help shape our future in Owosso and Shiawassee County, as well as offering useful inspiration to the rest of Michigan as it seeks to inspire artistry and support the companies that turn creative genius into economic growth. 

To see the show:  "The Worth of Woodard" is on display through July 29 at the Shiawassee Arts Center, located at 206 Curwood Castle Drive on the banks of the Shiawassee River in downtown Owosso.  The gallery is open Tuesday through Sunday from 1 to 5 p.m.   Visit the website to learn more.  

Much of the material in this blog is drawn from the publication "The Worth of Woodard" which is available at the Shiawassee Arts Center.