We are conditioned to think and obsess about the unemployment rate, but when economists look at revitalizing urban areas, they now talk about prosperity rather than unemployment. Michigan doesn’t do too well in either unemployment or per capita income, but if we start focusing more on smaller, regional improvements, it looks like we have the raw materials to succeed.
In a presentation last week to the Ann Arbor-Ypsi Chamber of Commerce, economist Lou Glazer outlined what it takes to make Ann Arbor a destination for new businesses and, most importantly, young professionals who will run and staff those businesses. The old idea that a high-tech company can “do business anywhere” is no longer true. Knowledge-industry companies – those in high-tech, healthcare, media, entertainment – want to be where the new college graduates are, and that turns out to be in the center of big cities.
Seventy-five percent of recent college graduates choose to live in big cities. The most popular are New York City, Chicago, and Los Angeles, in that order. Ann Arbor should be in the running, but one problem, according to Glazer, is that the University of Michigan sucks up a lot of the talent pool. Young professionals have to want to stay here, and if they do stay here, the businesses will follow. Chicago has a mayor, Rahm Emanuel, who has promised that Chicago will be the city of choice for Big 10 graduates. Will Ann Arbor’s next mayor throw down the gantlet?
Quality of place matters to these adorable millennials. Music, art, design, cool food and shops are all big draws. But what do they love most? Get ready for it, because it’s a surprise – transit. At the Chamber of Commerce program, a panel of young business owners talked about what attracts them. They want walkable communities. They don’t want to own cars. They want to be able to live in funky Ypsilanti (which Glazer describes as Ann Arbor’s Brooklyn), hop on a train to Ann Arbor, hop back on to go to Depot Town, then take a ride to the DIA.
Brendan Cavendar, a young UM graduate who is one of the brokers working on the sale of the city’s old YMCA lot, says availability of Zipcars, short-term car rentals, and the go!Pass, free bus rides for downtown employees, has been crucial in attracting businesses to downtown.
Several huge transit initiatives are bubbling in Ann Arbor and what happens in the next couple of years could decide whether Rahm Emanuel gets all the college grads or whether Ann Arbor and Ypsilanti get to share some of them. First is the AAATA “Moving You Forward” 5-year transit improvement plan. The AAATA will likely go to the voters for a millage increase to allow better bus service in this region. Hopefully they will not be stymied by the very parochial Ann Arbor City Council. Councilmembers Jane Lumm, Sally Petersen, Sumi Kailasapathy, Steve Kunselman, and Mike Anglin have already needlessly delayed the appointment of Ypsilanti Township representatives to the AAATA board. They are, in a short-sighted way, afraid that Ann Arbor residents will be subsidizing riders from Ypsi and Ypsi Township. But even though township residents don’t currently pay an AAATA millage, the township does buy into bus service, so these residents are paying their way.
Councilmembers perseverating about fixing potholes could also deny us the opportunity for state-of-the-art train service. They finally capitulated and allowed a city match for federal money to study the best place for a new Amtrak train station, but whether they will actually listen to the results of that study remains to be seen.
Finally, The Connector, a collaborative study about high-capacity transit through Ann Arbor, has just finished more public workshops to help determine routes and select the modes of transit that will best suit this population. Again, city councilmembers have been less than enthusiastic and Kunselman even gave as one of his reasons for wanting to cap Downtown Development Authority funding that the DDA might want to spend money on trains. Of course the DDA should cooperate with The Connector. It is a shame, though, that some of the councilmembers value their reputations as obstacles to progress.