Gigi Godwin, the President of the Montgomery County Chamber of Commerce, is interviewed by TBD.com on the state of Montgomery County's economic recovery.
Showing posts with label Chamber of Commerce. Show all posts
Showing posts with label Chamber of Commerce. Show all posts
Friday, October 08, 2010
Gigi Godwin on MoCo's Economic Recovery
Thursday, April 29, 2010
Business Groups Band Together to Fight Energy Tax
Thirteen business organizations have sent a joint letter to the County Council protesting the County Executive's proposal to double the energy tax. They have attached some truly eye-popping numbers on what the tax would cost MoCo businesses.
Following is the letter and the data supplement.
April 29, 2010
Councilmember Nancy Floreen, President
Montgomery County Council
100 Maryland Avenue
Rockville, MD 20850
Re: Expedited Bill 15-10 Taxation-Fuel-Energy Tax – Rate and Resolution to Change Fuel/Energy Tax Rates
Dear Council President Floreen and Councilmembers:
As organizations representing more than 5,000 businesses throughout Montgomery County, together we are writing to you to express our deep concerns regarding County Executive Leggett’s proposed energy tax increase.
As you face what are some very difficult budget decisions this year, we would like to make you aware of what some of the negative impacts will be on job retention and creation if you choose to enact the 100 percent increase in the energy tax proposed by the County Executive. We believe that this approach, while filling a short term budget gap, ignores what are some serious long term implications of the action.
Many of our business members have worked very hard over the past few years to reduce their energy consumption levels in order to reduce energy costs and preserve jobs. The 100 percent increase not only wipes away these cost savings that have been achieved but places yet an additional burden on businesses, small and large, that they simply cannot afford. Our commercial property owners tell us that their delinquency rates from small local and regional retailers are higher than ever, and every day landlords in Montgomery County are working on rent relief agreements in order to keep these businesses in their current locations. Many of these businesses, because of various constraints, simply cannot pass this cost on to their customers.
In addition to the impact on current small business owners, the increase runs totally contrary to Montgomery County’s economic development strategy. Montgomery County’s focus on high technology and biotechnology will be undermined by tax increases to some of these companies of over $500,000 annually. These companies have indicated to us that the size and scope of this increase means that engineers, nurses, and many other skilled workers will not be hired because of the increased costs of doing business here in the County.
While many have applauded the idea that this tax hits our federal government facilities, it seems an inopportune time to place a burden on these federal facilities while we are in a difficult competition to keep the Department of Health and Human Services in Montgomery County. In the next 3 years, 60 out of 90 federal agency leases in Montgomery County will be up for renewal. We need to be in a strong position to compete with the District of Columbia, Prince George’s County, and Northern Virginia to retain these tenants.
We believe that this is the right time for County government to reexamine its priorities, focus on essential government services and take a serious look at government consolidation in order to eliminate duplication of services and achieve savings.
The only way to have a sustainable future for Montgomery County is to be competitive with our regional neighbors and grow our tax base through the attraction and retention of jobs. This tax increase significantly undermines the County’s ability to achieve this objective.
Thank you for your consideration.
Sincerely,
Ms. Janice M. Freeman, President
African American Business Council
Margaret O. Jeffers, Esq., Executive Vice President
Apartment and Office Building Association of Metropolitan Washington
Marilyn Balcombe, Ph.D., President/CEO
Gaithersburg-Germantown Chamber of Commerce
Ginanne M. Italiano, President & CEO
The Greater Bethesda-Chevy Chase Chamber of Commerce
Jane Redicker, President & CEO
Greater Silver Spring Chamber of Commerce
James Dinegar, President & CEO
The Greater Washington Board of Trade
Edward “Guy” Curley III, President
Maryland-National Capital Building Industry Association
Richard Ehrenreich, Executive Director
Mid-Atlantic Association of Cleaners
Steve Elmendorf, Esq., Legislative Committee Chair
MD/DC NAIOP
Georgette Godwin, President & CEO
Montgomery County Chamber of Commerce
Virginia Mauk, Executive Director
Olney Chamber of Commerce
Andrea Jolly, Executive Director
Rockville Chamber of Commerce
Renee Winsky, Chief Executive Officer
Technology Council of Maryland
Friday, January 15, 2010
News Channel 8 on Manno Pension Bill
Here's how one MSM outlet covered Delegate Roger Manno's pension bill. Note the amount of attention they pay to the tax provisions versus the underlying problems in the pension system.
Saturday, December 05, 2009
Bob Jepson Becomes Gaithersburg-Germantown Chamber Chair
Washington Adventist Hospital super-lobbyist Bob Jepson has become the new Chair of the Gaithersburg-Germantown Chamber of Commerce. Following are his remarks on his appointment, which include a detailed analysis of the economic challenges facing Montgomery County.
GAITHESRBURG/GERMANTOWN CHAMBER REMARKS
12/3/09
Opening Comments
It is great to be with you this evening. I thoroughly enjoy interacting with the board, staff and members of the Gaithersburg-Germantown Chamber of Commerce, a pragmatic organization that through the years has been, and is, honorably and consistently supportive of the basic principle that business and jobs are necessary for creating a healthy, vibrant and sustainable community.
I join you in honoring the service of Allen DeLeon, a business owner who has done much for the chamber and the community over the years. He is a widely recognized expert within our community and at the state level for his expertise and advocacy for his profession, accounting. If any of you have questions about combined reporting, he’s the expert on that issue. Thank you Allen, for serving the chamber all these years and your careful stewardship of the Chamber’s resources.
I also wish to highlight the work of our great chamber staff, Laura Rowles, who is fun to work with and the incomparable Marilyn Balcombe, the face, heart and soul of the chamber. Few people get as much done in a day as Marilyn and she makes it very easy to serve the chamber. We are very fortunate for her commitment, honesty, tact & advocacy.
Challenge and Opportunity
Tonight, we face a challenge and an opportunity.
The problem is a stubbornly persistent weak economy that has stifled economic development, reversed job growth and made it difficult for many businesses to simply tread water much less expand and thrive. Compounding this challenge is an environment in the County and State that has not always been friendly to business and economic development. The link between vibrant businesses and the general well-being of our larger community, the link between an expanding jobs base and the ability to provide services residents need and want, has not always been appreciated.
Defining Reality
In defining the reality of the challenges we face, here are a few statistics worth noting.
In comparison to six of our local regional competitors – Prince Georges County, Fairfax County, Arlington County, Alexandria City, the District of Columbia, and Loudon County -- we are falling behind.
Data for 2001 to 2008 per the US Census Bureau, the Bureau of Labor Statistics and various County/City websites shows the following:
• Population – Montgomery County, with 950,000, is 2nd only in population to Fairfax with 1,015,000; since 2001 we have added nearly 56,000 residents to our community while Fairfax County has added about 31,000 residents.
• Job Creation – Montgomery County is next to last in the region in job growth, adding only 7,800 jobs. By contrast, Fairfax County added nearly 43,000 jobs. This is a noteworthy disparity in job growth and population growth.
• Totals Wages Growth and average annual pay –Montgomery County has only the 3rd largest total wages in the region with Fairfax leading Montgomery County by $13 Billion and our growth in wages and average household ranks 4th out of 7 in the region.
We can change this trend, but first we have to define reality, and the reality is that this trend line is unacceptable if we want a vibrant future for our children, our community and ourselves. Jobs lead to economic growth, economic growth stimulates revenue, revenue enhances public resources, public resources enhance quality of life which attracts people and business to our community in an ideal, continuous cycle.
But, as the current economic reality has so clearly shown, the growth and economic success we experienced in the past created the resources that allowed us to have the vibrant community we have come to expect, and when this growth and economic success stalled, the resources we depended on to fund government activities disappeared. The County’s and State’s current budget crisis is a testament to this fact.
Maybe -- when our community was content with low unemployment, housing prices going up, tax dollars rolling in, business growth without effort -- we had the luxury of acting as though thriving commerce and business success were, at best, a necessary evil.
What we did not realize was that our County’s and State’s economic success was in spite of the burdens we placed on commerce and business. We can no longer afford the luxury of old attitudes, approaches, regulations and taxes.
We must become the competitors that our competitors already are and we must not waste this moment in time.
The Opportunity
This is a challenge, but one we should eagerly embrace. In fact, we should take this burden upon ourselves, not cast the blame at any individual or group. We are on the eve of a new year, 2010, which also happens to be an election year. As policies and ideas are discussed in the public realm, this is a terrific window of opportunity to advocate for policies that promote a favorable business climate, one that promotes job growth and is friendly to business expansion.
Let’s make our voice heard in a clear, effective manner. This coming year, the Chamber will provide opportunities and forums where our message of job growth and economic development will be heard by elected officials and the community at large. I hope you will take advantage of these opportunities to make your voice heard. Let’s turn our advocacy up a notch, but do so with a clean-timbred tone and the cleared-eyed voice of respect, which resonates far louder than blame, threats or accusation.
Honoring Small Businesses
The Gaithersburg/Germantown Chamber has about 400 members, 60% of which have 10 or fewer employees. I work for a large organization, Adventist HealthCare, which employs some 7,200 people in this region and has worked and is working to expand access to health care in the upcounty community.
But while I work for a large employer, I believe that it is small businesses that employ most people in our community and small business forms the backbone of our economy, locally and nationally.
My hat goes off to the courageous entrepreneurs’ who, despite challenges, assume risk, balance your books, meet payroll, produce goods and services and serve the community.
Ben Franklin, whose thoughts and ideas served as the founding for much that is considered cultural Americana, was a small business owner himself and envisioned our republic as a thriving community of business owners, where work and thrift and ingenuity and entrepreneurship are highly valued.
He is an ideal model linking business success with public good. He was a small business owner who helped found the University of Pennsylvania, created the lending library and created one of the first volunteer fire departments.
219 years after his death, we have an opportunity for our voice to ring with the message of business success and public good here in the upcounty and throughout Montgomery County and the State. Let’s not be shy about proclaiming the value to one and all of a thriving business climate and the necessity of creating jobs.
In closing, I wish to thank someone who is not here, my wife of 21 years, Idelys Jepson, who is at home helping our kids with their homework. She is my best friend and moral compass.
Thank you for being here tonight, have a great evening and let’s go out and create some new jobs!
Friday, October 09, 2009
Business and Labor Agree on I-270
In an unusual statement of agreement between business and labor, Montgomery County Chamber of Commerce President Gigi Godwin and MCGEO President Gino Renne submitted a joint statement of support for the CCT and widening of I-270 to the Gazette. Whether one agrees with their position or not, this is an interesting display of coordination between a prominent business organization and a large public employee union. Is this the beginning of broader labor-management cooperation in Montgomery County?
Monday, July 20, 2009
Chamber: Delay Vote on CCT, Support Toll Lanes on I-270
Following is the letter from the Montgomery County Chamber of Commerce to the County Council.
July 20, 2009
Phil Andrews
President, Montgomery County Council
100 Maryland Avenue
Rockville, Maryland 20850
Re: Corridor Cities Transitway and I-270 Recommendations
Dear President Andrews and Councilmembers:
As you prepare to make your recommendation to the Governor regarding the preferred alternatives for the I-270 Multimodal corridor study, the Montgomery County Chamber of Commerce would like to take this opportunity to urge you to act in the best interest for the future economic development and vibrancy of this community. We must make wise investments in our infrastructure that will provide adequate support for our future generations of businesses and residents to thrive.
Corridor Cities Transitway Mode Selection: As we have emphasized in our previous testimony, light rail transit along the CCT alignment provides the strongest opportunity for economic development, and a permanent sense of transit commitment to the I-270 corridor. While we understand that Bus Rapid Transit may be the option that ultimately meets FTA standards for cost effectiveness, we do not believe this decision can adequately be made today without the benefit of approved master plans in Germantown and Gaithersburg West. The Maryland Transit Administration will study the impact of these increased densities on ridership regardless of the Council’s recommendation, which will delay the project 9 to 12 months. Therefore, no urgency exists for the Council to make a recommendation to the Governor until that data is presented. The Council should postpone making a recommendation on mode choice to the Governor until the ridership data includes critical master plans that could change the ridership dramatically. If the Council feels a recommendation must be made at this time, it should be a recommendation for light rail, demonstrating a commitment to making transit work in this very important growth center of the County.
I-270: We continue to urge the Council to select highway option 7, which provides for two additional express toll lanes in each direction on interstate 270. As you know, I-270 is a corridor planned for major job growth, and is already one of the most congested roads in the region. Companies cannot be expected to want to continue to locate in the I-270 Corridor as it simply grows more congested every day, and their employees are forced to sit in traffic. As the State Highway Administration informed the Council’s T&E Committee, widening I-270 will not only positively impact mobility, but will also positively impact the environment, contributing to a net improvement in air quality when cars aren’t spending time idling in congestion. The express toll lanes as provided in option 7 are not only needed for our future, they are long overdue. We urge you to move forward with option 7 so that future companies will select a vibrant I-270 corridor to be a part of, rather than avoid Montgomery County because of our traffic congestion challenges that negatively impact our quality of life.
Sincerely,
Georgette Godwin
President and CEO
Montgomery County Chamber of Commerce
Tuesday, June 09, 2009
Whispers of the At-Large Race, Part Two
Believe it or not, the County Council at-large race is almost upon us. And of course we have the inside scoop on the incumbents, the prospective challengers and their chances. But there are a number of factors that influence the outcome of any race. Here are the questions we are asking in assessing what 2010 will look like.
1. Who can raise enough money?
A successful at-large campaign will require a full-time campaign manager, a combination of paid and volunteer staff, disciplined use of a voter tracking database, multiple mailings and other ads, a press operation and multi-media outreach (including to blogs!). All of that will take money – lots of it. Our political consultant sources tell us that just one county-wide mailing could cost up to $50,000. We are advising at-large challengers that they must have $100,000 in the bank by January 2010 in order to be taken seriously by the county’s power brokers and should plan on spending $300,000 by the end of the campaign. There are a very limited number of contenders who can raise that kind of money on their own.
2. Will there be any slates?
At the moment, there are no slates. But that may change by next year. There are three good reasons to form slates: mutual protection, knocking off enemies and money. The escalating cost of campaigning is making that third reason especially important since slates can do joint advertising. We may see incumbents – possibly together with one or more challengers – forming at least one slate even if they have to hold their noses to do it. And the creation of one slate may very well stimulate the creation of a rival slate. The current 5-4 split on the council (Nancy Navarro, Valerie Ervin, George Leventhal, Nancy Floreen and Mike Knapp vs. Phil Andrews, Marc Elrich, Duchy Trachtenberg and Roger Berliner) may offer a rough starting point here but nothing is guaranteed. Former County Executive Doug Duncan organized a slate in 2002 and used it evict his greatest adversary, incumbent at-large Council Member Blair Ewing. Would Ike Leggett participate in any slate?
3. What will the unions do?
Last time, the unions went their separate ways more than once. In the County Executive race, MCGEO endorsed Ike Leggett, SEIU supported Steve Silverman and MCEA stayed neutral. In the at-large race, the Police, Fire Fighters and SEIU supported Nancy Floreen but the other unions did not. Labor was relatively united in supporting George Leventhal, Marc Elrich and Duchy Trachtenberg, who non-coincidentally finished first, second and third in the at-large race.
This time, the public employee unions have a common priority: getting rid of Duchy Trachtenberg. They are split on whether to support Elrich, who rubbed some of them the wrong way in voting to hold up the FY 2009 budget because of his disagreement with the structure of the property tax increase. Moreover, the unions may have differing opinions on the challengers.
Labor is always at their best when they stick together. The Apple Ballot, union member canvassing, independent expenditures and PAC contributions are a powerful combination if employed in concert. If labor rallies around one or two at-large challengers, they will maximize their impact on the race.
4. Who can attract support from the business community?
Many activists have two misconceptions about the county’s business community: first, that they are monolithic, and second, that they care only about encouraging development and building the ICC. That is far too simplistic an analysis.
Developers will always contribute to county candidates because their livelihoods depend on land use. But the rest of the business community mirrors the diversity of the county. Check out the Board of Directors of the Montgomery County Chamber of Commerce. It includes representatives of multi-national corporations, real estate firms, law firms, hospitals, banks, IT firms, utilities and even the Gazette and Montgomery College. And there are countless more businesses – especially small businesses – who are members of the local chambers. Two issues unite most of these businesses: transportation and tax policy. Both apply to the state level as well as the county level. Candidates who hope to draw support from business outside of the development community must emphasize how they would successfully deal with these issues.
In 2002, the business community gave substantial support to Doug Duncan’s End Gridlock County Council slate. These days, the Chamber of Commerce is more focused on promoting transportation and pro-business tax policy than it is on promoting politicians. But business money can still be had, and a challenger probably will not be able to win without it.
5. What will be the hot issues?
Education, development and traffic are perpetual issues in Montgomery County. In 2006, a strong economy, crowded schools and congested roads gave slow-growth candidates the edge. Next year, job creation won’t look like such a bad thing. Ben Kramer and Nancy Navarro both prioritized it in the 2009 District 4 race and together grabbed 88% of the primary vote. But the sleeper issue may be crime. Will incumbents who supported cutbacks in the police department pay a price?
Dear readers, we will be seeking answers to all of these questions throughout primary day. But enough! Now we will proceed to what you really want to know. Besides the incumbents, who is running at-large? Who could run? Who has the best chance of winning? Who should avoid embarrassing themselves? Our spies tell all, starting tomorrow. Don’t miss it!
Friday, March 27, 2009
Kramer's Chamber of Commerce Questionnaire
Recently, District 4 candidate Cary Lamari released his Montgomery County Chamber of Commerce questionnaire. At the time, he said, "I challenge my opponents to be as open, transparent and accountable as I am being, and also allow you to publicize their Chamber Questionnaires. I want people to hold me accountable, read what I am about. If I say one thing and do another I want you and your readers to hold my feet to the fire."
Since then, Nancy Navarro and Rob Goldman sent their questionnaires to MPW. Ben Kramer's campaign did not respond to Lamari's challenge. But the Chamber itself has posted all four candidates' questionnaires on its website. We reproduce Kramer's questionnaire below.
Tuesday, March 24, 2009
Bethesda-Chevy Chase Chamber of Commerce Endorses Kramer
Following is their press release.
FOR IMMEDIATE RELEASE
B-CC Chamber PAC Supports Ben Kramer for Montgomery County Council’s 4th District
Bethesda, Maryland – March 23, 2009 – The Bethesda-Chevy Chase Chamber Political Action Committee (B-CC Chamber PAC) today announced its endorsement of Ben Kramer for the Montgomery County Council, representing District 4. The B-CC Chamber PAC represents the political interests of the business community in Bethesda, Friendship Heights, Chevy Chase, North Bethesda, Montgomery Mall/Wildwood and Rock Spring. Prior to making its decision to endorse Kramer, the PAC distributed questionnaires to each of the candidates and reviewed each of the candidates’ priorities in relation to the Chamber’s legislative agenda.
“It’s an important election for the business community as economic development, transportation and the economy are issues of primary importance to the continued success of the County,” says B-CC Chamber PAC Chairman John P. Chaplin. “We are confident that Mr. Kramer will provide strong leadership and will listen to all sides of every issue that comes before the County Council in the months and years ahead. He realizes the importance of a strong government that supports economic development as one of the County’s top priorities. He also realizes the need to maintain a more stable tax and regulatory climate that will help local entrepreneurs thrive.”
Chaplin adds, “This is especially important in Bethesda-Chevy Chase, the county’s economic engine. We’ve selected a candidate who has first-hand experience in running a small business and understands the challenges businesses face every day. He has already proven his understanding of business issues and has demonstrated the ability and willingness to see business as part of, and partner with, the community through his public service in Annapolis. We believe that Ben Kramer will make an excellent member of the County Council.”
Media Contact:
John Chaplin, 301-683-5473
# # #
Thursday, March 19, 2009
What the Montgomery County Delegation Can Do on Transportation Funding
By Lisa Fadden, Vice President for Public Affairs, Montgomery County Chamber of Commerce.
There aren’t many issues that all 32 Senators and Delegates in the Montgomery County Delegation can agree upon. Better yet, there are even fewer issues that both the Montgomery and Prince George’s Delegation can agree on. Ironically, the one issue that falls into that category – the issue with near unanimous support - is also one that has had no solution for decades – transportation funding.
This session – amidst budget cuts and ugly revenue estimates, there actually are some opportunities for the Montgomery County Delegation to have an impact, albeit small, on the issue of transportation funding.
Problem 1: Plummeting Revenues
Revenues in the transportation trust fund have plummeted rapidly, even more so than revenues in the general fund. The Maryland Department of Transportation has cut over $2 billion in revenues to projects over the past six months. These cuts have meant delays or deferrals of projects critical to Montgomery County, including the Georgia Avenue/Randolph Rd. interchange, the County’s top highway priority for years, along with cuts to the State commitment to both the Purple Line and the Corridor Cities Transitway.
Problem 2: An Unsustainable Trust Fund
Our model of funding transportation at the State level in Maryland is totally unsustainable. The Trust Fund’s top source of funding still remains the gas tax, in addition to the titling tax and driver registration fees. The gas tax has not been raised since the early 90’s, and has not even been indexed to the rate of inflation in those nearly two decades.
While we applaud efforts to encourage transit oriented development and believe it is imperative that the automakers design more fuel efficient cars, this has already had an impact on gas tax revenues, an impact that will grow staggering over the coming decades. If we don’t find alternate methods of funding transportation, the infrastructure hole that we have dug ourselves into will only continue to grow larger, until we literally cannot dig ourselves out of it.
Problem 3: Vulnerability from the General Fund
In these difficult times, the Transportation Trust Fund has a huge target on its back. In thirty years, the trust fund has been raided ten times in order to fill budget gaps in the general fund. While it was the right thing to do for the General Assembly to place sales tax revenues in the Trust Fund during the special session, these revenues are particularly vulnerable given the historic perspective of these revenues as General Fund revenues.
The bottom line: If we cannot demonstrate to the Federal government in the next few years that we have enough revenue in the Transportation Trust Fund to pay for our State share of our Federal New Starts projects, the Purple Line and the Corridor Cities Transitway, these projects have no chance of survival – and we only get one shot at it.
Some solutions:
TTF Protection Bill – House Bill 140, sponsored by Delegate Brian Feldman (D-15), would protect the Trust Fund from being raided by the general fund for the purposes of filling general fund deficits. The bill requires that before the governor removes money from the trust fund, he must have the approval of the legislature, and must demonstrate a repayment plan. This is a very modest proposal to protect the trust fund.
Transportation Infrastructure Task Force Bill – Senate Bill 853, sponsored by Senator Rob Garagiola (D-15), would establish a commission to report back to the General Assembly in January of 2011 that would identify the most appropriate sources of revenue to fund the future of the trust fund. While many people shrug or sigh at the idea of another task force, this bill would take into account climate change and environmental factors that are much more prevalent in our reality today than they were even five years ago. In addition, this task force could serve as a vehicle for the movement of a revenue bill during the 2011 session, safely after the 2010 election.
NOTE: While there are many gas tax increase and inflationary adjustment bills that merit passage, I don’t mention them here given that they are highly unlikely to pass this session.
Traffic relief still remains amongst the top two issues for voters. If the Montgomery County Delegation could unite on the two bills above, and unite with their colleagues around the State, we could take a modest step towards ensuring the future of the transportation trust fund.
Thursday, March 12, 2009
Goldman Releases Chamber of Commerce Questionnaire
District 4 County Council candidate Rob Goldman has released his Chamber of Commerce Questionnaire to MPW.
1) What is your vision for the role that Montgomery County will play in our future global economy?
With the growth of green businesses, montgomery county certainly has a role in the global community, promoting companies that solve environmental and social problems, starting on the local level. Montgomery County can make a greater contribution to the preservation of the environment and practices that improve the quality of life for employees and customers.
a. What would you do as a member of the County Council to reach this Vision?
I will ensure economic impact studies are performed to analyze the growth of various industries, I will work to ensure business retention and expansion, I will work with local colleges and universities to produce skilled workers in Montgomery County’s various industries.
2) Do you believe that providing incentives for companies to locate in Montgomery County is an important part of economic development strategy?
Certainly, in order to be competitive and ensure that companies and businesses will relocate and thrive here we need to provide some incentives. At a time when so many businesses are closing, these incentives will enable our citizens to go back to work and our local economy to rebound.
3) Economic downturn has resulted in decreased revenues for Montgomery County. What do you believe are the best methods for boosting County revenues? What should be trimmed from the County’s budget in these difficult times?
As explained on my website, www.goldman4montgomery.com, my position has been to take a long look at the budget and re-evaluate where our tax money is going. With foreclosures out of control and the number of citizens who are unemployed, we cannot raise taxes right now to increase revenues. That is financially irresponsible. We need to refocus our spending. The county’s risk management budget for this fiscal year is in excess of $9 million. The county council should look at private insurance for some or all of the risk management, with the hopes of decreasing this budgeted item. Second, almost ¾ of the county’s grant money goes to programs that have been in place since before 2000. Our needs have changed since then and we should not be tied to outdated programs. We can re-direct our grant money elsewhere. We should abolish stipends for volunteers to county committees and boards. This work should be voluntary. These are but a few examples that would give us some flexible economic flexibility.
4) Given that Maryland’s investment in transportation continues to decline and traffic congestion remains a huge concern for voters in Montgomery County, how do you believe that the County Council should address our traffic relief?
As somebody who has an 18 mile commute from home to work but is in the car for 1 ½ to 2 hours everyday, I know about traffic congestion. We need to promote public transportation—get moving on the purple line, reinstate bus routes that have been changed or terminated and remove aging-diesel fueled buses from service and replace them with environmentally friendly, cng or hybrid buses. The Intercounty Connector should help in the future, but in the interim, alternative means to cars and private transportation should be addressed with promoting public transportation. Also, riders of public transportation should be entitled to better financial incentives/rates for riding public transportation.
5) What is your position on some of our key traffic relief projects including the Purple Line, Corridor Cities Transitway and the widening of I-270?
I am and will continue to be in favor of anything that makes our lives and commutes easier. For too long, the infrastructure has not matched our growth. Failure to do anything now will ultimately make the traffic problems worse later and lead to a decline in our population and quality of life. Nobody wants to spend their lives in their cars, angry and frustrated. Responding to growth and preparing ourselves for future growth is necessary through these projects.
6) Please discuss your thoughts on the Master Plans that will come before the County Council in 2008 including: Gaithersburg West, Germantown and White Flint, as these areas are all opportunities for important economic development.
I think that it is terrific to focus on Germantown, as a possible hub for culture and employment. People tend to focus on only certain areas closer to the district as areas of employment and activity in montgomery county. Germantown is a good locale in the county for this development. Gaithersburg west is a prime location for life science growth to serve as the county’s hub for science. White flint will create more greenspace. Each of these ideas for the master plan will give the various areas of montgomery county a uniqueness, a reason to visit and explore the various diverse areas of the county and will centralize the various industries/activities/opportunities in that particular region of the county.
7) Why would you like to be a member of the Montgomery County Council and what do you hope to accomplish?
As a parent, resident of montgomery county, member of the legal community and volunteer, I see my neighbors in district 4 and my friends in the county suffering through economic difficulties, paying their mortgages, keeping their homes and jobs, and their children’s educations. I also see their concerns for safety and their retirements. These are not atypical concerns or concerns that are new. However, my career has been about helping people, making their lives better and protecting their interests. I want to continue to do that for all of the citizens of my county, to make my children’s lives better and easier and to help others make their lives better and easier.
Wednesday, March 11, 2009
Navarro Releases Chamber of Commerce Questionnaire
In response to Cary Lamari's challenge, Nancy Navarro has released her questionnaire from the Montgomery County Chamber of Commerce.
Montgomery County Chamber of Commerce
The Voice of Montgomery County Business
Candidate Questionnaire - District 4 Special Election
Name: Nancy Navarro
Party Affiliation: Democrat
1) WHAT IS YOUR VISION FOR THE ROLE THAT MONTGOMERY COUNTY WILL PLAY IN OUR FUTURE GLOBAL ECONOMY?
It is a great question. Montgomery County is already playing a significant role in what I call the new economy. This economy is fueled by globalization thanks to advances in Internet connectivity and the collaboration that the new tools allow in the areas of scientific research, product design, development and marketing. We are blessed with an abundance of knowledge workers in companies and institutions in and beyond the I-270 corridor. We need to do more, to harness these resources and attract and retain new businesses to our county. I envision a business-friendly Montgomery County that is able to leverage its formidable financial muscle to attract 21st century businesses into our communities.
a. WHAT WOULD YOU DO AS A MEMBER OF THE COUNTY COUNCIL TO REACH THIS VISION?
As a county council member, I will reach out to the leaders of the business community to hear from them what it would take for Montgomery County to be able to attract and retain new and leading edge businesses. I would work with my colleagues on the council to explore responsible and sustainable business incentives to keep our businesses here and thriving. I would also explore the establishment of a think tank in partnership with our business community and the county executive that keeps a pulse on current and future trends in business. We have to stay ahead of the curve in the new business dispensation.
2) DO YOU BELIEVE THAT PROVIDING INCENTIVES FOR COMPANIES TO LOCATE IN MONTGOMERY COUNTY IS AN IMPORTANT PART OF ECONOMIC DEVELOPMENT STRATEGY?
Absolutely I do. Research has shown that these incentives, once they attract the right businesses, pay for themselves many times over. We must have a strategic plan that guides the selection of companies and ensures a fit with our overall economic development vision.
3) ECONOMIC DOWNTURN HAS RESULTED IN DECREASED REVENUES FOR MONTGOMERY COUNTY. WHAT DO YOU BELIEVE ARE THE BEST METHODS FOR BOOSTING COUNTY REVENUES? WHAT SHOULD BE TRIMMED FROM THE COUNTY’S BUDGET IN THESE DIFFICULT TIMES?
As the immediate past president of the Montgomery County Board of Education that oversees half of the county’s $4 billion budget, I can say unequivocally that maintaining consumer confidence is key to boosting revenues. For the past several years I have been part of a leadership team ensuring that Montgomery County Public Schools (MCPS) remains an institution of excellence that workers want to keep their children in. We have been very successful at that and businesses know that. MCPS is regarded as the crown jewel of the county and for good reason. We need to look at ways of generating our own local stimulus package to jump start spending. In the past few months, I am glad to have been a part of the team that convinced our school system’s employee unions about forgoing pay raises for the good of the county. The conduct of our unions sent a strong message to the community that we were all prepared to do what it takes to keep the economy going.
4) GIVEN THAT MARYLAND’S INVESTMENT IN TRANSPORTATION CONTINUES TO DECLINE AND TRAFFIC CONGESTION REMAINS A HUGE CONCERN FOR VOTERS IN MONTGOMERY COUNTY, HOW DO YOU BELIEVE THAT THE COUNTY COUNCIL SHOULD ADDRESS OUR TRAFFIC RELIEF?
We need to implement the transit, road and intersection improvements that are already identified in the county’s 10-year transportation plan. I would keep key transit projects like the purple line and corridor cities transitway at the top of our priority list, and work with our state delegation to secure more funding for transportation. I would also invest in other initiatives that provide relief like telecommuting.
5) WHAT IS YOUR POSITION ON SOME OF OUR KEY TRAFFIC RELIEF PROJECTS INCLUDING THE PURPLE LINE, CORRIDOR CITIES TRANSITWAY AND THE WIDENING OF I-270
Montgomery County needs significant transportation relief. I am a transit advocate who has testified on behalf of the Purple Line, and has expressed support for the Corridor Cities Transitway. I believe that we need to have a futuristic approach towards transportation that gets people out of cars and into mass transit as much as possible. We should also increase the use of telecommuting by our workers.
6) PLEASE DISCUSS YOUR THOUGHTS ON THE MASTER PLANS THAT WILL COME BEFORE THE COUNTY COUNCIL IN 2008 INCLUDING: GAITHERSBURG WEST, GERMANTOWN AND WHITE FLINT, AS THESE AREAS ARE ALL OPPORTUNITES FOR IMPORTANT ECONOMIC DEVELOPMENT.
I am generally pleased with the plans. The Germantown plan emphasizes its continuing development as a county employment hub, improves upon transportation through interconnectedness of neighborhoods and proposes to establish Germantown as a cultural center for Northern Montgomery.
A similar theme runs through the planning for the White Flint master plan as North Bethesda’s urban center. I like the emphasis on neighborhoods, sustainable businesses and improved transportation including the pedestrian and biking environment.
The Gaithersburg West master plan’s emphasis on creating a vibrant life services center for business, health care, and academic uses is appealing to me from a business perspective. This plan seeks to create a campus that would bring prominent institutions of higher learning, like John Hopkins University, Universities at Shady Grove, and possibly connect them with agencies like the FDA and NIH to create a knowledge-based 21st Century hub right here in our County. We can also establish a connection to the public school system in order to begin the process of innovation early on. There are entire cities in China and areas in India that have establish similar centers, we are fortunate to have this opportunity in our County. I look forward to engaging in dialogue with council members and the business community on these plans.
7) WHY WOULD YOU LIKE TO BE A MEMBER OF THE MONTGOMERY COUNTY COUNCIL AND WHAT DO YOU HOPE TO ACCOMPLISH?
I welcome the opportunity to join a team of councilmembers and engage in a meaningful conversation about the state of Montgomery County today and fashion a vision for a desired state. Joining the county council would give me a great opportunity to give back to District 4 and a county that I happily call home. Montgomery County has changed in profound ways and I would like my leadership perspective to give voice to the yearnings of all our citizens.
Tuesday, March 10, 2009
Lamari Releases Questionnaire, Challenges Rivals on Transparency
District 4 candidate Cary Lamari is publicly releasing his questionnaire from the Montgomery County Chamber of Commerce. In the following statement to Maryland Politics Watch, Lamari challenges the other candidates to do the same.
Adam,
As promised, I am enclosing my Chamber of Commerce Questionnaire.
I do not expect to get the chamber endorsement; there are many developers that are members of the Chamber of Commerce. I support a quantifiable and measurable growth policy that would require growth be balanced with infrastructure investment and there should be a prioritization where Montgomery County targets investment where they want to grow in a responsible fashion in cooperation with developer contributions. It worked in Silver Spring and makes sense.
I appreciated the opportunity to be able to speak to the members of the Chamber of Commerce. Whoever is elected will have to work with and be a partner in the endeavor to encourage both a quality of life that we all can enjoy and a business environment rich with opportunity.
I challenge my opponents to be as open, transparent and accountable as I am being, and also allow you to publicize their Chamber Questionnaires. I want people to hold me accountable, read what I am about. If I say one thing and do another I want you and your readers to hold my feet to the fire.
Thank You,
Cary Lamari
*****
Montgomery County Chamber of Commerce
The Voice of Montgomery County Business
Candidate Questionnaire - District 4 Special Election
Name: Cary Lamari
Party Affiliation: Democrat
1) WHAT IS YOUR VISION FOR THE ROLE THAT MONTGOMERY COUNTY WILL PLAY IN OUR FUTURE GLOBAL ECONOMY?
We are the suburbs of the Nations Capitol; we host much of our Nations intellectual elite. We are the home to many federal agencies. Having these federal agencies in Montgomery County has had both beneficial and a negative attribute as we also bear the infrastructure demand that accompanies hosting these agencies, however we do not benefit from property tax income from these facilities. We have traditionally done well with this exchange, because as a result we also host much of the worlds support industries to these Federal agencies. We must continue to leverage opportunities that may be by products of our federal residents. (Biotech, high-tech, and the New Green industries along with the accompanying hospitality industries)
a. WHAT WOULD YOU DO AS A MEMBER OF THE COUNTY COUNCIL TO REACH THIS VISION?
As a member of the Montgomery County Council, I would work to promote the wonderful attributes of our county: the high-tech/biotech industry which is located here; our commitment to the arts, such as A.F.I., Strathmore, Blackrock, et cetera; & I would also use my seat to support good business legislation which has a comprehensive vision which demonstrates a strong economic return and takes into account the high standards that we place on the quality of life in Montgomery County.
2) DO YOU BELIEVE THAT PROVIDING INCENTIVES FOR COMPANIES TO LOCATE IN MONTGOMERY COUNTY IS AN IMPORTANT PART OF ECONOMIC DEVELOPMENT STRATEGY?
The simple answer is yes. I believe that we need to continue our history of creating an environment, which attracts business here. Additionally, I believe that we need to compete in order to retain those businesses, which have demonstrated significant returns to our County. To these ends, I believe that it is necessary to invest in business in order to achieve those goals.
3) ECONOMIC DOWNTURN HAS RESULTED IN DECREASED REVENUES FOR MONTGOMERY COUNTY. WHAT DO YOU BELIEVE ARE THE BEST METHODS FOR BOOSTING COUNTY REVENUES? WHAT SHOULD BE TRIMMED FROM THE COUNTY’S BUDGET IN THESE DIFFICULT TIMES?
I believe that during a time of fiscal crisis, we must ferret-out waste and fraud in our government spending, demand accountability when we find waste and fraud, which is a point that I can elaborate more on in our interview. We should reconsider how we redevelop public facilities and reduce architectural attributes in favor of more utilization. And we must work with County employees through hot lines to be able to understand other options in which we may either reduce spending or address poor management practices which has the potential to cost government significantly each year. I also believe that we must reduce the level of bureaucracy in our government, review and restructure programs based on performance, and enforce our laws in order to promote legal businesses in Montgomery County. By supporting business we may be able to increase Capitol gain revenues. Additionally, we must promote and encourage new niche markets such as in green industries. This includes encouraging innovation in the realms of green construction, energy reduction, and research and development. I believe as our global climate changes and air quality declines, green technology will be the next frontier in a global economy.
4) GIVEN THAT MARYLAND’S INVESTMENT IN TRANSPORTATION CONTINUES TO DECLINE AND TRAFFIC CONGESTION REMAINS A HUGE CONCERN FOR VOTERS IN MONTGOMERY COUNTY, HOW DO YOU BELIEVE THAT THE COUNTY COUNCIL SHOULD ADDRESS OUR TRAFFIC RELIEF?
I have always maintained that traffic isn’t only addressed through new transportation projects, but also needs to be addressed through land-use. I believe that we must develop a comprehensive growth policy, which balances growth with infrastructural demands. Furthermore, we must develop a prioritization system, whereby government and developers will work together in order to address growth in a responsible fashion by placing dollars, investment as funds become available with developer contribution, directing that investment to the priority projects. I also believe that we must promote a balanced transportation strategy, encourage transit, increase Metro and MARC services, promote the purple line/ Corridor Cities Transit-way, and study the benefits of Bus Rapid Transit. These initiatives should be studied from a cost/benefit perspective, and should be implemented if they are cost effective, in order to create the most benefit for the taxpayers of this county at the cheapest cost, and in the quickest fashion possible. I also believe that, especially in District 4, we must promote grade separated intersections at the intersections of Randolph Road & Georgia Avenue Norbeck Road & Georgia Avenue. Additionally, we must promote some road widening on Muncaster Road and Norbeck road east of Georgia Avenue.
5) WHAT IS YOUR POSITION ON SOME OF OUR KEY TRAFFIC RELIEF PROJECTS INCLUDING THE PURPLE LINE, CORRIDOR CITIES TRANSIT WAY AND THE WIDENING OF I-270?
I support both The Purple Line and the Corridor Cities Transit-way. I see the Purple line as a project that is ready for implementation, and I feel that the C.C.T. is probably one of the most important projects today, given that there are no transit options other than the MARC train from the termination of the Metrorail at the Shady Grove Road Metro station to the city of Clarksburg. Given this deficiency, I see the potential for a significant increase in ridership. I suggest considering a potential alignment that connects the Metrorail, Rio Mall, Crown Farm, Kentlands, Germantown, and ultimately Clarksburg. I would look at potentially using Bus Rapid Transit as a quick and affordable mode of transportation that can be implemented in an expedited fashion.
Regarding the widening of I-270, I would have to see studies showing that it would result in an improvement in traffic congestion. To my understanding, it could be argued that widening I-270 perpetuates more congestion on certain segments of roadways. From my perspective, the action that would result in the most benefit to Montgomery County would be to green-light immediate spending on the widening of the Beltway, south of the I-270 spur. I support this course of action because I feel that it will reduce the bottleneck effect that currently exists today in that area.
6) PLEASE DISCUSS YOUR THOUGHTS ON THE MASTER PLANS THAT WILL COME BEFORE THE COUNTY COUNCIL IN 2008 INCLUDING: GAITHERSBURG WEST, GERMANTOWN AND WHITE FLINT, AS THESE AREAS ARE ALL OPPORTUNITES FOR IMPORTANT ECONOMIC DEVELOPMENT.
We must work with community input in order to achieve a comprehensive Master-Plan. The county government must allow an open and transparent process, whereby residents, the business community, and non-profit organizations sit down to discuss the dynamics of their individual communities, and develop a targeted, strategic plan for their neighborhoods. Following these conferences, the Montgomery County Council must review any consensus that the various groups came up with and integrate that strategy with the overarching plans of the county. The council must develop a prioritization of growth areas in the county and commit funds to working with developers in order to bring this vision to fruition. The history of Montgomery County and its disjointed development patterns must stop. For example, the I-270 Corridor was designed as a transit-oriented corridor with attributes that promoted a high quality of life and enticed successful businesses to Montgomery County. Instead, we have created very many lovely communities with very few transit options. Thus, the county is in need of significant infrastructure investment, which includes Police, fire/Rescue, and educational facilities and strained road networks. If Montgomery County desires to flourish in the decades to come, we must develop a measurable, quantifiable growth policy. We need to identify where and how Montgomery County wants to grow and target that growth in a fashion that balances the need of infrastructure with available funding from the government and the developer community.
7) WHY WOULD YOU LIKE TO BE A MEMBER OF THE MONTGOMERY COUNTY COUNCIL AND WHAT DO YOU HOPE TO ACCOMPLISH?
I feel Montgomery County is at the crossroads. There are two directions and two different visions that our County may implement. One is to become a community with poor infrastructure and lacking amenities to promote both business and a reasonable quality of life. On the other hand, Montgomery County could strive to create a more balanced, flourishing community, which possesses an improved transit network and a combination of urban, suburban, and rural attributes keeping with the historical values that we all enjoy. I also value community participation and a government whose primary goal is to work for the people and to take their interests at heart first. I believe that we have a delicate balance on the County Council. I truly believe that my candidacy represents a more balanced council, as I would take a path similar to that of former Councilwoman Marilyn Praisner. I believe that I am more in touch with the residents of District 4 than my opponents, and for this reason I wish to represent the residents of District 4 on the Montgomery County Council.
Friday, December 12, 2008
Thursday Night Smackdown!
Last night, business and labor squared off on the CARR bill in one of the more entertaining bouts of the state hearing season. But there is a lot more to this story than the controversy over just one bill. Tensions are on the rise between two of the county’s most influential groups as Budget Armageddon builds steadily to its bloody climax.
Delegates Susan Lee (D-16), Brian Feldman (D-15), Anne Kaiser (D-14), Roger Manno (D-19) and Bill Bronrott (D-16)
But first, supporters and opponents of the CARR bill made their case at the House Delegation’s hearing on local bills. Five supporters testified, including three from labor: Bonnie Cullison, President of MCEA; Bob Stewart, Executive Director of MCGEO and Sean Dobson, Executive Director of Progressive Maryland. Their main points were:
1. The bill authorizes commercial property tax hikes by the County Council but does not mandate them.
2. The residential share of the county’s assessable property base has been climbing steadily for many years.
3. Splitting the residential from the commercial property tax rates would make it easier for the County Council to raise taxes without incurring a homeowner property tax revolt.
Sean Dobson, Delegate Al Carr (D-18), Bob Stewart and Bonnie Cullison
Nine opponents testified, including representatives from four Chambers of Commerce, one trade association and four businesses. Their main points were:
1. Residential property owners benefit from the homeowners property tax credit and the 10% annual cap in principal residence tax bill increases, neither of which are available to business.
2. The cumulative impacts of the special session tax hikes and county commercial property tax increase under the CARR bill would put the county at a crippling disadvantage.
3. Businesses are reeling under the terrible economy and further cost increases will put some of them over the edge.
The arguments on both sides have some merit and mirror my blog posts on the issue. But politicians are creatures of the moment. They want to know why something must be passed now. While the supporters talk about correcting what they see as historical inequities, opponents talk about the devastating consequences of tax hikes in the current environment. Alexandra Whitaker’s Get Real Consulting was named the Emerging Business of the Year when it was in the Rockville incubator. Shortly after leaving, Ms. Whitaker claims that her business is in a “delicate state of growth” and would lose customers if they must pass on the cost of a lease increase. David Fraser Hidalgo of Sandglass Systems in Kensington said, “Any increase in property taxes would have a devastating impact on our margins and our employees.” These arguments are particularly strong in a bad economic climate and are reinforced by an anti-tax disposition among the state’s politicians. The supporters find it difficult to counter them and as a result, none of our sources believe the bill will pass next year.
Alexandra Whitaker from Get Real Consulting, Kathleen Kittrick from Verizon, MoCo Chamber VP Lisa Fadden, Joshua Bokee from Comcast
But the CARR bill debate has illuminated a number of changes in Montgomery’s body politic. Three of them are:
1. The Re-Emergence of Business
Labor is a long-time power center in the county. Of the eighteen most-influential non-elected citizens in our recent poll, six are active in the labor movement. The leaders of MCEA, MCGEO and SEIU are especially visible. But last night spotlighted an increasingly important hidden hand in the county’s policy debates: Montgomery County Chamber of Commerce Vice-President Lisa Fadden. Brainy, relentless and occasionally combustible, Ms. Fadden attracts many comments from our spies.
“Smart and talented,” says one. “I think she's an intelligent advocate for the business community,” says another. One old hand comments, “She’s more effective than most lobbyists many years her senior.” And one particularly effusive spy gushed:Lisa Fadden is young, smart (really smart), brash, cute and knows what she thinks. She has no fear. She is not cut out of the old mold, in fact she represents what the future for leaders in this county look like. They are not waiting for anybody to give them permission to do or say what they think. Look out – the future has arrived.
Your author would not go that far, though we certainly enjoy covering brash characters on this blog. But Ms. Fadden is part of a youth movement that is slowly infiltrating many parts of the county’s political life. Business is one example. The Chamber of Commerce was once personified by its brilliant and imperious former CEO Rich Parsons and was thought to be primarily interested in development and the ICC. But the Chamber has diversified its interests over the last two years and is starting to mobilize its membership in ways reminiscent of civic associations. (See their revolt against Nancy Floreen’s parking space tax.) The economy is damaging the business community, but it is as politically relevant as ever.
2. Distrust is Building Between Business and Labor
The business and labor communities have a common interest in pursuing a revitalized economy. Labor in both the public and private sectors benefits from job creation, and job creation only happens when businesses are profitable. But the CARR bill dispute has interfered with their ability to work together.
Last spring, labor’s top priority was defending its cost-of-living adjustments. Many individuals inside the business world grumbled about those raises, but the business associations stayed out of the COLA debate. And none of the county’s major business associations opposed the recently-passed prevailing wage law. That silence benefited labor and isolated its opponents. But in advocating for the CARR bill, labor is pushing a measure that business considers “discriminatory” and “punitive.” Business feels the same outrage that labor would have felt had business opposed their COLAs.
School Board President Nancy Navarro offered substantial appeal to both business and labor during the County District 4 Special Election. Her campaign combined dozens of union member volunteer canvassers with influential business fundraisers. In the current atmosphere, that level of cooperation would be unlikely to occur if such an election were held today. Both business and labor may pay the price if an opening is created for candidates hostile to both of them.
3. Distraction from Armageddon
Even if passed, the CARR bill would not offer a total solution for the county’s budget problems. Judging from Senate President Mike Miller’s comments at the Committee for Montgomery breakfast on Monday, those problems are about to get a lot worse. Ann Marimow scooped the room in obtaining this post-speech quote from Big Daddy, which warrants repeating here:“There are going to have to be some adjustments,” Miller said after his formal remarks. “The county that gives big salaries and big benefits is going to have to make some adjustments.”
This is an existential and naked threat to labor, and not just in Montgomery County. Baltimore City and Prince George’s County also benefit from the Geographic Cost of Education Index (GCEI), which directs education aid to jurisdictions with higher schooling costs. All counties benefit from the state’s assumption of teacher pension liabilities. Both of these items are now at risk. If they are cut by the state, the public employee unions will be hit with layoffs and permanent budget difficulties in addition to the loss of their COLAs.
Labor’s political capital is limited. The more that is spent on the CARR bill, the less will be available for more important items. Refocusing on the priorities that really matter may be the only way to fend off Budget Armageddon.
Thursday, November 20, 2008
Gigi Godwin's Testimony on the Purple Line
Georgette "Gigi" Godwin has been President and CEO of the Montgomery County Chamber of Commerce since 2006.
Good Evening. I am Gigi Godwin, President of the Montgomery County Chamber of Commerce. Thank you for the opportunity to testify tonight in support of the Purple Line. The business community supports those transportation projects that do the most to relieve congestion, promote economic development, and contribute to the long term economic and environmental vibrancy and sustainability of our community.
For those reasons, the Montgomery County Chamber of Commerce supports a Light Rail Purple Line. We believe that this is the best long term investment that the Maryland and Federal Transit Administrations could make in our community. A Light Rail Purple Line will provide a reliable, efficient and environmentally sound mode of transportation for our employees, our students and all our citizens. A high quality mode of transportation is a critical component of attracting and retaining high tech employers and high tech jobs. And, finally, a Light Rail Purple Line will provide the missing link in our regional transit connectivity.
Therefore, we urge the selection of a Light Rail mode along the Georgetown Branch Alignment as the locally preferred alternative.
Reliability and Efficiency
In order for a new transit system to improve the convenience and connectivity of those who ride it everyday, it must be reliable and efficient. It must provide significant decreases in travel times via car and it must be able to reliably deliver on those promises for decreased travel times. The Light Rail options outlined in the DEIS significantly outperform the Bus Rapid Transit (BRT) options in both reliability and efficiency.
Given that both the low and medium BRT systems would use shared lanes and existing roadways, reliability of these systems decrease as traffic continues to increase, with those buses stuck in the same traffic as the cars on the road, offering commuters no incentive to leave their cars and use the Purple Line. Light rail, however, with its faster speeds and dedicated right of way along the Georgetown branch trail, offers significant efficiency AND reliability, with travel times of 9 minutes from Bethesda to Silver Spring as opposed to the 25 minutes the Bus Rapid Transit system would offer.
For businesses and their employees, time is money, and the only way these employees will use the system is if they know they can rely on it to get them to their destination, whether it be work, school, or daycare, in a predictable and short period of time.
Economic Development Benefits
Economic Development along the Purple Line’s East/West corridor will prove to be a major benefit of the transit project. Many stations have been identified as opportunities for economic development including Chevy Chase Lakes, and the Takoma/Langely area, which is part of a joint master plan between Montgomery and Prince George’s Counties. This kind of economic development is consistent with both Montgomery County and State of Maryland Strategy for transit oriented development that creates environmentally friendly pedestrian communities. Light rail is preferable to Bus Rapid Transit because of the fixed investment by government in the infrastructure, which gives potential buyers of property, both business and residential, a confidence that property will continue to appreciate because of proximity to the light rail station.
Regional Connectivity
The Purple Line plays a critical role in connecting our region’s outdated transportation system – a system based primarily on assumptions of employee’s work habits and commuter patterns that were true 30 years ago, but have drastically changed in the past three decades. As our economy has changed, so too has our workforce, and the way we work. A purple line light rail link is CRITICAL to ensuring new regional connectivity. This new regional connectivity will allow our community to continue to grow and thrive in our new, diverse, growing economy.
Thank you for the opportunity to get the Montgomery County Chamber of Commerce’s comments regarding the AA/DEIS on the record. We look forward to working with the MTA to make this project a reality.
Tuesday, October 21, 2008
Nancy Floreen Calls the Question
In a jam-packed conference room last Wednesday night, MoCo County Council Transportation Committee Chairwoman Nancy Floreen rolled out her parking space tax proposal before the county’s business community. Hey, do any of you remember the old Waylon Jennings song, “Looking for Love in All the Wrong Places?”
First, a few details on the Council Member’s proposal. Drawing on one of the recommendations of last year’s county-sponsored Working Group on Infrastructure Financing, Ms. Floreen suggested levying an annual $250 tax per commercial parking space. The tax would apply to both for-profit and non-profit owners and would be indexed to increase with inflation. Owners could reduce the levy by up to 50% if they had a traffic mitigation agreement that required employees to pay market parking rates and gave employees discounts for transit use and carpools. Owners who did not pay the tax would be subject to interest, penalties and possible conviction of a Class A violation. Proceeds of the tax would be dedicated to transit projects only.
Present in the room to greet the Council Member were nearly 40 people representing county employers, including GEICO, Foulger Pratt, Washington REIT, Colonial Parking and Discovery Communications. Everyone who spoke opposed the proposal on a variety of grounds. Chamber of Commerce Vice-President Lisa Fadden questioned the fairness of the tax, noting that upcounty employers would pay it but not have access to the transit projects it would fund. Foulger Pratt principal Bryant Foulger estimated that the tax could reduce county property values by up to $1 billion, thereby depressing property tax receipts. Former Chamber of Commerce CEO Rich Parsons called the tax a “non-starter” and declared, “I would not go anywhere near a parking tax now or in the near future if you care about the business climate here.” Several other people called the tax an example of “double taxation” because they already pay property taxes on their lots.
But the crowd did not simply say no to all new revenues. One attendee claimed that switching to digital meters could raise extra money without raising rates. Another participant suggesting levying an infrastructure surcharge on top of the property tax, phasing it in and sunsetting it later. One wag joked about setting up toll booths on I-270 and US-29 at the county lines to snare commuters. (As a former District of Columbia resident, I can tell you that such ideas are taken seriously down there.)
Ms. Floreen and the attendees may have disagreed about this specific proposal, but all acknowledged the need for new transportation funding. And the Council Member deserves credit for calling the question. As the Chairwoman of the County Council’s Transportation Committee, her job is to build the infrastructure that the county needs. And that job has become a lot tougher with the state’s billion-dollar transportation cut, an adjustment that favors Baltimore’s Red Line over MoCo’s Purple Line and Corridor Cities Transitway. It would be the easiest thing in the world for Ms. Floreen to hang back, do nothing and complain about the state. Instead, she continues to look for project funding even at the risk of offering unpopular ideas.
As for the business community, they favor transportation funding. During the 2007 special session, the Montgomery County Chamber of Commerce called for a 6-cent increase in the state’s gas tax. During the last general session, the Chamber advocated for a $600 million revenue increase for the state’s Transportation Trust Fund. Chamber CEO Georgette Godwin laid out three criteria for transportation funding that the Chamber would support:
1. The revenue source should be broad-based and raised from both business and residents.
2. The revenue should be dedicated to transportation and not diverted to other uses.
3. The financed projects should include both transit and road projects in order to address the needs of every part of the county.
One sentiment united every person in the meeting: an absolute disdain for the county’s statehouse delegation. NO ONE credited them for bringing back adequate infrastructure funding from the state. When one participant suggested that the Council “work more with the state delegation,” the room broke out with rueful smiles and shaking heads. “We have got to get our delegation on the same sheet of music,” blustered one attendee. Another captured the prevailing cynicism in the room by railing, “There is no consequence for bad behavior at the state level!”
Regardless of the reaction to Ms. Floreen’s parking tax proposal (which she has since withdrawn), this discussion hammered home a fundamental truth: Montgomery County in the broadest sense favors more transportation funding. Prior to the 2007 special session, business called for a gas tax increase. So did the County Executive. So did the County Council. Governor O’Malley proposed indexing the gas tax for inflation. But instead, the legislature chose to increase vehicle excise taxes and title certificate fees and to devote part of its sales tax hike to transportation. Those revenues are now falling short while the needs are as acute as ever.
Tuesday, November 06, 2007
Montgomery Legislators Work to Moderate Proposed Income Tax Hike
According to the Washington Post, Montgomery legislators are leading the effort to moderate the impact of a proposed income tax hike by making the new rates less progressive than originally proposed by Gov. Martin O'Malley:
One Baltimore Democrat dislikes the package even more than his Montgomery colleagues. James Brochin (D-Baltimore County) has threatened to join Republicans in an attempt to filibuster it.Legislators from Montgomery, home to more high-income earners than any other county, raised concerns about O'Malley's proposed overhaul of the state's income tax brackets. The governor's plan, aimed at making the brackets more progressive, would provide a modest tax break to most households but require the state's top income earners to pay several thousand dollars a year more.
Many members of the Montgomery delegation told Busch that they would not support the governor's proposal unless a compromise is reached to reduce O'Malley's proposed 6.5 percent rate for the top bracket, said Del. Brian J. Feldman (D), chairman of the Montgomery House delegation, the state's largest.
"If they were to put a plan out there for a vote that does not reflect some of these concerns, frankly there are quite a few members of the delegation that would likely vote red on the board," Feldman said.
House Majority Leader Kumar P. Barve (D-Montgomery) said the county's lawmakers will use their clout in both chambers to protect Montgomery's interests. "We're willing to work towards a sensible common ground," he said.
For weeks, Montgomery lawmakers and county officials have questioned O'Malley's proposal, saying it places an unfair burden on taxpayers and threatens the county's broader economic interests. Montgomery residents also pay a local income tax of 3.2 percent. A top combined state-county rate of 9.7 percent would exceed the top rates in Virginia and the District.
Montgomery County Executive Isiah Leggett (D) unveiled an alternative plan last week that would tax high-end earners at 5.5 percent. At a hearing last week, the Maryland Chamber of Commerce said some business owners have said they might relocate their businesses to Northern Virginia from Montgomery if the governor's tax plan becomes law.
"The risk of unintended consequences is very high," Feldman said. "Even members who believe that progressivity is a good idea are concerned."
Wednesday, October 24, 2007
The Chamber v. The People
The Gazette reports that the Montgomery Chamber of Commerce has taken a position on the governor's tax proposal:
Today, the Washington Post released a poll showing the opinion of Marylanders on various tax proposals floated by the O'Malley administration (click here to see the graph). According to the Post poll, 69% favor increasing the cigarette tax, 68% favor slots, 66% favor upping the corporate income tax, 62% favor raising the top income tax rates, and 57% favor extending the sales tax some additional services.The chamber specifically opposes raising state income taxes on high-income payers, a ‘‘mandatory unitary tax” on corporate profits and expanding the sales tax to include more business services.
Everything else in O’Malley’s package, including raising the sales tax by 20 percent and legalizing slot machines at racetracks, should be considered by the legislature, said Lisa Fadden, the chamber’s vice president for public affairs.
However, only 29% like the idea of increasing the state sales tax from 5 to 6%--the Montgomery Chamber's of Commerce preferred option. The Chamber has its reasons. Montgomery Chamber President and CEO Gigi Godwin told the Gazette that ". . . onerous new taxes on business will harm Maryland’s ability to compete globally”. Godwin has a point though she should focus more on interstate than international competition.
As I discussed previously, higher income tax rates could encourage very affluent taxpayers to plump for Virginia or DC over Maryland if our tax rates are significantly higher than these jurisdictions. According to a previous article in the Washington Post, the proposed top tax rate for higher earners of 10% in Maryland would exceed the top rate of 5.75% in Virginia and 8.5% in the District of Columbia.
McLean could start looking a lot more attractive than Potomac to someone who earns $5 million per year; they would pay $191,250 less in state income tax in Virginia than in Maryland on income over $500,000. My guess is that impact would be felt slowly as the increase would be more likely to influence where people new to the region settle than cause current Maryland residents to pick up and leave. However, the impact on revenues would grow stronger over time.
Income taxes could impact business indirectly. As Joel Garreau explained well in Edge City, when businesses move, they always move closer to the home of the CEO. If more CEOs live in Virginia, more business could go there as well. Of course, higher corporate tax rates would provide a nice business reason for the move.
The impact on affluent taxpayers has made increasing income tax rates somewhat less popular in Montgomery than elsewhere in Maryland. Even if you don't earn more than $150,000 and would not pay higher rates, it isn't hard to figure out than the vast majority (over 80%) of the money would be paid by people in Montgomery and most of it would not be coming back here. According to the Post, only 54 percent of people surveyed in Montgomery favored increasing income tax rates compared to 62% statewide.
Still, a majority of people in Montgomery appear to favor the increase, and my guess is that support is a lot higher in among the people who vote in the crucial Democratic primary. Legislators from solid Democratic districts (e.g. Districts 16, 17, 18, 19, and 20) would probably be safe voting for the increase even though several represent the most affluent voters in the state. Legislators from more marginal Montgomery districts (e.g. Districts 14, 15, and 39) may feel more intensely cross-pressured between their primary and general electorates.
Moreover, Maryland's wealth rests primarily not on a relatively flat state income tax level but the quality of education and infrastructure. We have never been regarded as a low tax state. However, the quality of services is far higher than many other places. In Montgomery, the quality of the school system is an obsession in which we can pride--I remember when I went to college and was floored to learn that people elsewhere actually vote down money for schools. An educated workforce is critical to the State's future continued success. What would the Chamber cut out of the budget?
The one place where the Chamber and the people appear to have a meeting of the minds is on slots, though support for the proposal in Montgomery and Prince George's is heavily conditioned on none of the machines being located here:
Almost two-thirds in Montgomery and 56 percent in Prince George's favor allowing slots as part of the effort to trim the budget gap. But that support would dip sharply if slots were allowed in their counties. Only about four in 10 Montgomery and Prince George's residents would support them in that case.Although a vote for slots is widely viewed as a tough vote for Montgomery legislators, it may not play so badly with the people. Legislators in Montgomery may find it easier to vote for slots than other tax increases. Of course, it would be very interesting to have a survey of Democrats and Democratic activists and primary voters. My guess is that they are less supportive than the electorate as a whole.
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