Numerous economic development departments, programs, and organizations exist, many with special initiatives geared toward the economic development of impoverished inner city areas. Despite the plethora of these programs, the poorest sections of the City of Syracuse continue to have high rates of poverty, unemployment and welfare dependence. While the recession has been slowly lifting in Onondaga County as a whole, inner city neighborhoods in Syracuse are still mired in economic problems. Many of these problems extend beyond being purely economic in nature, although a lack of financial resources and opportunity has a severe impact on people’s lives. The problems experienced in the inner city touch on many other areas, including education, health, family stability, transportation and housing, among others. The complex nature of these problems speaks to the importance of viewing economic development in light of community development. Many times “economic development” cannot occur, because members of the community do not have the basic social infrastructure in place, such as affordable transportation, stable families, decent housing, and the necessary education and training.

This report details the economic and community problems being experienced in today’s inner city neighborhoods in Syracuse and discusses the interdependent nature of economic and community development. Because of the complexity of the situation, tackling even one aspect of the problem can impinge on a number of different areas. For example, a much-cited concern of residents was the lack of a major grocery store in the inner city to offer competitively priced foods and other essentials. This absence of a supermarket cannot be blamed on just one cause, but is the result of numerous, overlapping factors. Thus, the answer to this – or any other concern cited by inner-city residents – cannot be contained in one simple, expedient program. Economic development must be viewed holistically, incorporating areas that have been traditionally viewed as community development.

The Community Reinvestment Act (CRA) has been viewed as one tool that could play a major role in inner-city revitalization. Passed by Congress in 1977, as an effort to stem redlining by banks, the CRA underwent rule changes in April of this year. The CRA uses three criteria – how actively banks lend in their communities, how banks deliver their products, and the extent of banks’ community investments – to evaluate banks. These evaluations are weighed when banks apply to merge, expand or open new branches. An important component of the CRA – that of community challenges to such applications – ahs been seen as a crucial resource in gaining greater financial investments in previously underserved neighborhoods. Locally, activism by a community group was successful in getting a greater commitment to inner-city housing development by a local bank. Although the CRA is currently under fire in Congress, it continues to be seen as a major instrument in local community redevelopment.

Some of the recommendations offered in this report touch on the CRA, while others speak to greater communication between various components of the community. The Onondaga Citizens League notes that banks have been more active in recent years in supporting community reinvestment, such as through the Time of Jubilee housing program. Whether or not the CRA is weakened, the League encourages this financial support of inner-city development to continue. Such support should take the form of organizational improvements in staff training, making bank employees more aware of the programs that are available, and the financial support of a community microcredit program. Since a multitude of entities already exist, much improvement could be achieved with greater collaboration and coordination. The Onondaga Citizens League calls for the establishment of designated information centers in various locations to provide residents with information about programs, jobs and other resources, as well as the establishment of an electronic bulletin board to coordinate access to information and support services, such as transportation. The Citizens League also calls upon churches and congregations in the Syracuse area to exert a more proactive role in the economic redevelopment of their neighborhoods – both through the establishment of a church-based revolving loan fund and supports, such as assisting with access to housing and day care, that can enable people to secure employment.

No successful community reinvestment can occur in the long-term, however, without a community vision. Other communities have shown that community visioning projects can result in successful economic development and can attract substantial outside dollars. The visioning project being proposed by the alumni group of Leadership Greater Syracuse should be seriously considered as an important tool for successful community development. At the same time, this study showed the importance of incorporating the voices of all members of the community. The Citizens League urges that organizations responsible for economic development planning be more concerned about and responsive to the needs of inner city neighborhoods. The community as a whole cannot fully prosper if a portion of it continues to have severe economic and community problems.


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