Category Archives: Belief in Capitalism

TECHNOLOGY AND US

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When I was a kid, the most advanced technology we had was a black and white television with “rabbit ears”. As I became more tech savvy, I received a transistor radio for Christmas and an old manual typewriter in high school. Rich or poor, there just weren’t many gadgets to buy. There were no cell phones or computers or tablets. You shared a single phone line with several of your neighbors which was euphemistically called a “party” line.

When I first started working in a real estate office, listings were kept on index cards in file drawers very similar to library catalogues. We used ledger books to record rents and expenses. Comptometers (manual calculators) added and subtracted columns of numbers. And, I marveled at the IBM Selectric typewriter.

In the ensuing years technology has advanced and intruded more and more into our daily work and personal life. Now I am instantaneously connected with e-mails. My businesses records and information reside in a “cloud.” I can work from anywhere with any computer and have all my business and personal records available whether I am sitting in my office or using my smart phone in some far off place. This has allowed productivity to be increased exponentially.

As a nation we are unfortunately in danger of not being able to take advantage of all these possibilities. Like so much of our infrastructure, our technology is woefully behind our global competitors. Our internet speed is ranked 11th and the cost is three times as high as France or the UK or most of the OECD due to a lack of market competition. This has led to a lack of spending by the internet providers to improve their product. If this continues along with a governmental neglect of the rest of our infrastructure, the U.S. will eventually not be economically competitive.

The more immediate problem today is the lack of skilled technicians to service our technology. We train electricians and plumbers for years both in school and on the job. The person who fixes our computer or diagnoses our connection problem has two weeks or a month of training before being “certified”. The IT professional in your company could have been self-taught and relies more on trial and error than any real knowledge. There is a growing gap between the technology and the people charged with its maintenance.

This is just another symptom of our nation’s failure to confront our problems head on. Many of our governing, educational and social models are no longer capable of providing answers and solutions. We need to rethink and restructure our approach. The world in which we find ourselves today is vastly different than when I was a child or a young adult or even the world at the turn of the 21st century. We can keep our core believes enshrined in the Declaration of Independence but adapt our governance to solve the problems of today and tomorrow.

Maintaining Stuart’s Unique Charm AND Economic Prosperity

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I am a strong proponent of economic development for our city. I believe that we can maintain our unique “old Florida charm” and still bring new businesses, jobs and residents to Stuart. However, I am not in favor of changing our 4-story height limit (which, according to code, can be as much as 60 feet from slab to peak). I do not want to see Stuart become Delray Beach or City Place. If we are to stand out from the rest of South Florida, we must maintain and enhance our strengths not try to emulate others.

If elected, I will strive to enhance our Economic Development Department. I would like to see it act as an ombudsman with every city department for anyone trying to open a business or construct a building. Most interactions between the public and city departments are informational and problem solving. Every employee should be customer centric. The city government should not be seen as an obstacle but as a resource.

That is not to say that we do not enforce our rules, regulations and laws. Bad projects are still bad projects. Those rules, etc. are there for the safety of all. We do need to treat everyone the same whether they have just come to town or their family has been here for generations. There is no room for favoritism at City Hall. Cronyism will sabotage our efforts to increase our economic development.

At the same time, I am not in favor of subsidies for any individual or business regardless of the promises made for expansion or bringing employment.   Subsidies come from tax revenue collected from our citizens by the city, and tax revenue should not be used to benefit a favored few. The role of government is not to pick winners and losers, but to make our city a good place for every business and family to succeed and thrive.

Within the framework I have outlined, I will work with anyone to accomplish his or her dream of starting or expanding a business in Stuart. I will sit down with any developer who wishes to build here as long as what they propose is in keeping with Stuart traditions. New residents are drawn here because of our water front, neighborhoods, parks and way of life. We cannot destroy any of it in the name of economic progress. Actions that do will only be counterproductive and lead to the opposite of what we are trying to achieve.

THOUGHTS ON COLORADO, DEVELOPMENT AND THE SALES TAX

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I was reading my earlier posts, and there is one instance where I really was wrong, and that was the Colorado Avenue upgrade. While I am still not a fan of traffic circles, I think that the narrowing to two lanes, pedestrian crossings and center median have contributed much to the revitalization of the entire street from Federal Highway to Confusion Corner. Now, with the planned addition of public art to the avenue, this will really be a great introduction to downtown.

When the current sales tax initiative was first brought up, I supported a more limited ½ cent for a three- to five-year duration.  I now believe it should be a full cent for ten years. The county and city infrastructure is crumbling before our eyes. Without a prolonged and targetted income stream to address these problems, planning and implementation will not happen. Because of the uncertainty of future funds, only projects for the favored few will be done instead of projects for all of our benefit.  With the right language in the statute, we can make sure that the proceeds won’t be used for another Splash Park.

Here are a few things I did get right. The idea of a Customs and Immigration facility at the “county” airport should be, once and for all time, scrapped. The same oligarchy that is always crying against expansive and expensive government wants to have the tax payers pick up the bill for their convenience. Besides the separation of powers in our constitution which clearly leaves this function to the federal government, we do not need to vote ourselves one more unfunded mandate to pay.

The BDB still needs to be weaned from the taxpayer’s treasury. There is no earthly reason to continue to support an organization that business people themselves won’t support with their own funds. Business will organically develop when they believe that Martin County and its cities have expedited permitting processes, good schools and is a great place to live. The worst thing we can do is subsidize any business entity with the promise of jobs or tax revenue at some future date. It is the same crony capitalism that we deplore in Putin’s Russia.

I will continue to speak out and fight for the maintaining of our county’s Comp Plan. Sprawl happens when we allow the supposed benefit of building for building sake and the “they will come” mentality to overlook sound economic judgment. Within the Urban Service District, Stuart and the other municipalities are where new and repurposed development should be encouraged. At the same time, Martin County and Stuart need to come together in common cause. Stuart is not a step-child that needs the county’s permission to perform as a government. The commissions and their staffs, especially on the county side, need to operate for the good of all residents.

Now that development is heating up, we will once again face challenges to maintain the Martin County way of life and the “Old Florida” ambiance of Stuart. Developers will try to breach the four story height limit through seemingly innocuous means such as roof top entertainment. We need to toughen not only the granting of Special Permits but how often and how many can be given in any one year. Legitimate restaurants and other establishments that operate within the parameters and the spirit of the law should be encouraged. At the same time those that use a mechanism meant to foster one-time events (such as block parties) as their business model should be stopped from ruining an entire neighborhood’s tranquility.

Outdoor music venues need to erect soundproofing barriers around their areas and position their speakers differently to minimize sound being carried beyond the venue’s boundaries. There is no constitutional right to have music blaring to the detriment of others who live nearby. I want to encourage people coming Stuart to enjoy themselves, but there are responsibilities that businesses have to the community as a whole.

I also would like to see in Stuart a mandatory meeting by the Development Office between developer and the neighbors when any new projects come before the city. There are instances where the plan being presented is more advantageous in terms of density, parking and setbacks for the neighborhood than what the developer has “as right” to build.  If both sides are talking to each other there would be less chance that a good plan is misunderstood. A little advanced planning could go a long way to solving problems before the politics take over.

 

 

LETTER TO COUNTY COMMISSIONERS

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I believe that the following e-mail sent to the county commissioners expresses my opinions on the sales tax, new passenger trains and proposed customs house:

Dear Commissioner:

There are three issues I would like to address with you.

The first is “All Aboard Florida” owned by FECI a company of the Fortress Group which has real estate worth $62 billion under management presently. In 2002 the group had $2 billion. Obviously, there is much more to their operation than a railroad. FECI’s, Flagler Company describes itself on its web site this way:  Flagler is one of Florida’s oldest and largest full-service commercial real estate companies. The company owns, manages, leases, or has under development more than 7 million square feet of Class-A office and industrial space located in strategic markets throughout the state. Flagler also owns 2,500 acres of Florida land with entitlements in place for in excess of 14 million square feet of development. Additionally, Flagler provides world-class, third-party real estate services including brokerage, property management and asset management to a prestigious roster of corporate, private and institutional clients.With more than a century of experience specifically in Florida, a business model built on the concept of stability and innovation, and an integrated service line, Flagler is the strongest choice for any organization seeking a Florida partner in commercial real estate.

“All Aboard Florida” can be a loss leader for their parent for years in order to further and accomplish what I believe their real goal… real estate development. As Commissioner Scott stated yesterday at a Martin County Chamber event, railroads in this country are almost sovereign. A full scale battle against this behemoth is not winnable in my opinion. It may be much more to our advantage to work with the Coast Guard and our legislative delegates to minimize the impact of the trains and to continue to lobby for a stop in Stuart which is the most logical place on the Treasure Coast.

My second issue is the sales tax. As I stated at Tuesday’s commission meeting, I would like to see a 10-year one cent proposal. It needs to be tightly written so as to make sure that the proceeds are used for the intended uses only. You are right that past commissions used the money for favored projects such as building the outrageous water park.  At first, I supported a three-year limitation but upon further thought, it seems that will not allow enough time or resources to really make a difference to the infrastructure deficit. A shorter span may result in just “favored projects” being planned and completed which will leave most of the public seeing little benefit in voting once again to extend the tax three or five years hence.

Lastly I want to address the Customs facility. I object to us as a county having anything to do with this for multiple reasons. First, no matter how a deal is structured (either with private entities or by using the airport fund), any shortfall for any reason will need to be made up by the county. It is ultimately the responsible party in this instance. Secondly, we have seen time and time again that no matter what assurances we receive from Washington as to how the facility is to be operated and that any local obligations will remain consistent, we all know that the federal government can rewrite the deal obligating us to spend funds for things never contemplated at any time. We may not even be able to close the facility at our discretion.

I don’t believe that we, as a county, should be maintaining and paying for a facility that clearly falls under federal authority. There is no ambiguity as to who will be in charge of enacting and enforcing regulations and laws pertaining to trade and immigration. It is a federal responsibility. For argument sake, even if we agree that it may be beneficial to a few of the county’s residents and businesses, it does not mean that it should be done. It has always amazed me that the biggest proponents for governmental subsidies, quotas and tax breaks are supposed conservative, free-market-oriented wealthy individuals and businesses. The free market is great unless they must operate within its parameters. This is one such instance where we should not allow the favored minority to trump the interest of the majority. 

THE COST OF OUR SWEET TOOTH

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I keep hearing that all politics are local. However, there is much more to that phrase than one might think. One of the prime reasons that we cannot re-establish a flow way south from Lake Okeechobee is nothing more than the political clout of the sugar cane industry. Our rivers and lagoons on the Treasure Coast are being destroyed so that a few families can continue to live in a baronial manner. Big Sugar has blocked every attempt to correct our flawed earlier ecological mistakes when their inexcusable business practices are at all threatened. Floridians’ futures are being stymied by one interest group that is impeding us from economically moving forward.

Like no other state in the U.S., our waterways are the thing that brings billions of dollars to Florida each year. Tourists won’t come if they can’t fish or are afraid to go to our beaches or just paddle a canoe on our rivers. Without clean water, new development won’t happen, commercial and sport fishing will disappear and other types of agriculture will be harder to sustain.

So how does the sugar industry manage to stand against the interests of the rest of us? Political power is the answer without a doubt. A few sugar families located in Palm Beach County receive hundreds of millions of dollars each year in tax payer subsidies, supports and grants. That enables Big Sugar lobbyists to “contribute” to the campaigns for president, senators, congresspersons, governors and state legislators.  Political party, ideology or rhetoric is never an impediment to receiving that money. A vote that is cast for corporate welfare and crony capitalism by a pol calling himself or herself a liberal, conservative, Democrat or Republican is all the same.

Yes, the sugar cane industry is local but the politics are national. Not only do we, the citizens, support the industry with our tax dollars, we also pay well above the world price for sugar in America.  If the U.S. stopped producing sugar tomorrow, each of us would be better off. We could import our sugar at cheaper prices. Tax dollars would stop flowing to multi -millionaires. Politicians would have to get over having a sweet tooth for those contributions. And our state and its waters could stop being polluted for the benefit of the chosen few.

 

WHY GOVERNMENT ACCOUNTABILITY IS SO DIFFICULT TO ACHIEVE

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In the last Martin County Defender Ginny Sherlock wrote concerning how county employees seem to bend the rules to the benefit a chosen few to the detriment of the rest of us. I urge you to read that issue of the Defender and to get on the e-mail list. Here is a link for your convenience;

http://cache.nebula.phx3.secureserver.net/obj/NTM1RUQwREJGOUQ0RTZBNDBEQjE6OGYxYjVlNWM2ODYyYjQyZjM0MjZiNjdkYzU4Y2FhMzQ6Ojo6

However I believe that county employees and all government in general lack accountability for their actions for a more basic reason which is accountability. Here are my comments to Al regarding this.

 

Dear Al:

I always enjoy reading your “Martin County Defender”. On county affairs it is almost always right on the money.  I want to thank you for doing such good work.

Ginny Sherlock is correct in her assessment of how some county bureaucrats seem to be going out of their way to help certain people to the detriment of all residents. I don’t believe that is consciously the case. Instead the county employee sees his job as trying to expedite a request, especially one that is asked from a familiar lawyer or architect or consultant. That is the way things are done among “friends”. The other and more telling factor is that when confronted with a problem all employees, private or public, just want it to go away.

The real problem is supervision. I owned my first business, a luncheonette in Queens N.Y. at eighteen years old, and more than forty years later still own a business. In all that time I have owned restaurants, bars, hotels, construction companies, dress factories and always real estate firms specializing in property management. I have stressed to all employees to bend over backwards to assist the customer or client. They are never to argue. Mine and the manager’s job if needed were to confront the offending person and set him straight. The nub of the problem is there is no “boss” in government.

You can say there is a county administrator or a department head and their responsibility is supervision and stepping in when something like Trailside is about to happen. The bottom line is that there is no bottom line. It is not their money as it is mine. They won’t lose their job for those reasons. No one is ever disciplined.Human nature is not to make waves unless there is a gain by making those waves. The proof is no one raised any flags at the county when that monstrosity of a house was being built out by Trailside.

It is the same mentality that permeates the schools where every student is a genius and every teacher is superior. Yet we continue as a nation to fall in world rankings. The students aren’t to blame nor are teachers who play the game. It is the school superintendent and school board for accepting mediocrity and claiming that it is superiority. The county commissioners do the same by praising their employees for doing their jobs as if that is an accomplishment. When was the last time they held anyone accountable for not doing their job? The commissioners have no skin in the game either.

SENT TO MARTIN COUNTY COMMISSION ON OCT 29TH 2013

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Dear Commissioner:

I am writing today regarding three issues on your November 5th agenda. The first is the Business Development Board Contract. Regardless of your political and philosophical temperament, you are stuck trying to make the terrible better. The previous commission or any commission should never be able to enter into a contract of such a long duration. In this case not only is it for an eternity but the lopsidedness of the contract’s terms makes it seem more a “sweet heart” deal than a benefit to the county. It is a perfect reason why there is so much distrust of government by citizens.

In a perfect world the government should not be a party to this at all.  But the county is stuck between negotiation and a lawsuit which is perhaps winnable perhaps not but certainly expensive and time consuming.  Your goals should be to negotiate the shortest term possible for the smallest amount while holding them to measurable standards easily quantifiable. Going forward if this organization means so much to the business community of the county then they should pay for it. The government’s responsibility to business and to all citizens is to have in place easy to understand rules, quick permit and license application processes and ideally an ombudsman to assist the business in opening and expanding in the county. Digital Domain showed us what happens when government tries to insert itself into the market.

The second matter is the customs facility. Once again the so called interests of free market capitalism want the local government to provide a subsidy for their businesses. The very idea that once the federal facility is opened that our local government will control the operation or be able to limit or close the facility is probably a dream. The federal government will ultimately dictate to Martin County what will be allowable or not. The commission’s obligation will be to figure out how to pay for it. Just like the runway extension, once you involve Washington, local control is gone except for funding.

Some will say that this should be provided by the county because businesses will relocate or expand, or it is a governmental function like parks or schools and anyway once built increased fees from airport users will pay for the facility. This is all based on fantasy numbers and rosy scenarios. Parks and schools are not for the few or well-connected but for everyone. Those are legitimate functions of local government. Immigration and Customs are clearly federal functions and if there was a need at Witham Field the proper place to lobby for them would be in Washington.

My last point is the Seven50 Plan. As a planning tool it may be good and the locality can opt in or out of it in part or in its entirety. I don’t believe it is an insidious plot by the UN to gain control of the good old U.S. of A. After reading some of it and after speaking to someone on the executive committee, I do believe that the federal government will begin using the recommendations contained therein in awarding grants to the localities. Much of what is contained in the proposed plan such as density requirements would be in direct conflict with my beliefs and those of the commission majority. Much needs to be explored before continuing with the relationship.

How you look at these three issues is determined by your governing and governmental philosophy. If one consistently applies the principles of the free market, local control and smart growth then you should agree with my positions on the above.  I do not know whether any of you read your e-mail or not but this is one citizen’s way of expressing his opinions without taking time from your already over packed commission meeting schedule to do so.

Rivers Coalition Meeting

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I was at the Rivers Coalition meeting in Stuart last night. I learned a few things that I did not know. I was very heartened to see that the turnout had filled the chamber. It is important that we keep the pressure on our elected state and federal representatives. But I can’t help but feel that they are paying lip service to the cause. Not one official above the county level has done more than talk about the plight of our waters.

While they introduce bills, have ideas and blame the other guy for the problem; so far the only boat they have rocked is ours. Mr. Judah from Lee County in his presentation stated that to complete the flow way south we would only need 7% of the Agricultural District. That to me shows that this is quite doable except for an unwillingness of our elected officials to confront Big Business and Big Agriculture. They are afraid of losing the money they are paid to continue talking, studying and meeting to keep us quiet and hopeful.

It is a sickness that pervades our political establishment becoming worse as you get closer to Washington. The powerful use government given subsidies, tax breaks, quotas and insurance (ultimately borrowed from abroad or paid by us) to keep the gravy train flowing unimpeded while “contributing” to the very people who are supposed to look after the people’s interest. That is one reason why to most of the world we look like a failed state and not the supposed great one that many of us continue to think we are. Actions, perceptions and results are what matter not bluster, talk and rhetoric.

This has led me to the conclusion that the only way we can save our waterways is to insist that Washington do away with all agricultural subsidies and supports. We consider ourselves a free market economy and a get the government out of the way society. The “Bigs” continue to spout that official line but fill their pockets with government provided welfare and they will fight to the death if those perks are challenged. Maybe by championing the end to those subsidies, etc. we can keep a few more tax dollars in our pockets and save our waterways.