Last Thursday, City Council met to discuss the Outer Harbor Initiative, a resolution to direct more resources toward improving derelict neighborhoods that lie outside the affluent Inner Harbor region and other areas throughout the city.
The initiative targets Baltimore's some 17,000 abandoned rowhouses and 13,000 vacant lots and seeks to renovate abandoned properties into homes that families can purchase by enforcing housing codes, renovating abandoned buildings and selling them to new owners.
"As you look at the city, there's this ring around the harbor where neighborhoods have thrived, but if you go just outside that ring, there are a number of neighborhoods that have been stymied in development," said Mike Mitchell, chief executive officer of the Chesapeake Habitat for Humanity.
Financial limitations are likely to prove a major hurdle to the initiative's implementation. William Cole, 11th District city councilman and sponsor of the initiative, estimated that $20 million of investment would be required.
"I can tell you, that money's not sitting out there right now. So, we'd need something to happen. Frankly, this was the start of a conversation about how to do things differently," Cole said.
Mitchell suggested that some of the financing could come from tax reinvestment.
"There are financing mechanisms in other jurisdictions around the country that allow for the increased tax revenue that results when you redevelop an area to help catalyze more development," he said.
According to Andrew Kleine, Baltimore City budget director, while city officials support the spirit of the initiative, the budget will prohibit the city from reinvesting or providing additional income through taxes.
"We estimate that we're already going to forego $175 million in property tax revenue in the next fiscal year from a whole variety of tax credits and other tax breaks, some of which would benefit the kind of development that is being envisioned in the resolution," he said.
"The city has a wide range of critical needs, and we're trying to fund them with not enough money, and we have to really prioritize that funding and not be creating new tax breaks every time we see a worthy project."
Mitchell felt that the initiative was still worthy to pursue, despite the fact that city funding is not forthcoming.
"Ultimately, it comes down to the paradox that Baltimore has 30,000 vacant houses, but there are 30,000 families out there that could be living in those houses. That's a paradox that needs to be addressed," he said.
The initiative calls for the city to invest in three main components: code enforcement, capital and developer participation and neighborhood association or associated marketing.
Mitchell explained that code enforcement was a key component of the initiative's success.
"The city has the authority to prosecute landowners that are not keeping their properties up," he explained.
"So, for example, if you own a house, and it's vacant, and there are rats or crime or prostitution or such things going on in the house, there's an opportunity to prosecute the owner of the house, and basically say, 'Look you need to fix up this house, or someone else will come in who will.'"
According to Cole, the initiative's name is somewhat of a misnomer, as it applies to properties throughout Baltimore, not just those bordering the Harbor.
Some of the areas that are considered part of the "Outer Harbor" include neighborhoods like Pigtown, Madison Park and the areas above Patterson Park.
Both Mitchell and Cole said that the difference between the Outer Harbor program and existing renovation projects in Baltimore is its holistic nature compared to a more piecemeal approach that has previously been implemented.
"You're seeing pockets of redevelopment [in the areas above Patterson Park], and you now have the foundation of a really good community organization there, and they're doing community cleanups and [police] walks, but the development is happening at a relatively slow pace because it's piecemeal," Cole said. "You're only getting one or two properties at a time."
Cole added that since the initiative is simply a resolution, it does not commit the city to funding the project.
"Right now, there's really not much we can do other than continue to work with Habitat and do what they're doing right now, which is acquire what properties are available to them and finance using the methods that are available to them," Cole said.
"We hope that as we move forward, we can look at this issue from a more global perspective as opposed to three or four houses at a time."
Several community groups spoke at last week's meeting in support of the initiative, including the St. Ambrose Housing Aid Center, a group that helps to create housing opportunities for low-to-moderate income individuals, including Baltimore residents.
The Baltimore Police Department also supports the initiative.
"We do support the initiative of revitalizing neighborhoods and what the commissioner says time and time again, that everyone has a role to play in making Baltimore a safer city," said Anthony Guglielmi, spokesman for the Baltimore City Police Department.
"Taking pride in your home and in your neighborhood makes Baltimore a safer city, and we will and do support any efforts and initiatives supporting that cause."
Cole felt that developing neighborhoods and communities would help to reduce crime.
"Twenty sets of eyes are a lot better than two," Cole said. "You can't tell me that having a full block isn't better for the city, for the police and for all the neighbors than a lone person on one block."
