The Herald's conflict of interest

The Herald's parent company, the Journal Register Co. is selling The Herald building to the Arete Development Co., a company that apparently has a downtown redevelopment agreement with the city, according to The Herald in this June 12 report. (I'm not certain if the agreement is final or just pending.)

The Herald reported on June 4 its plan to sell its building to Arete. Its report included this sentence:

Meanwhile, a plan released early this year hints the newspaper offices could be replaced by a six- to eight-story apartment building and a four-story building with retail and office space. Between them would be a semi-public garden.

What does the word hints mean in a news report?

In that same story, this is what the developer had to say about JRC's building sale:

“This is a strategic partnership. I’m very focused on finding a new space for The Herald that’s a part of the downtown plan,” said Michael Bailkin, chairman of Arete.

This isn’t a news story. It’s a press release, and that’s exactly where The Herald’s downtown development coverage is likely to head, now that it is in a “strategic partnership” with Arete. What does that hint at?

The Herald now has a conflict of interest in covering the downtown development story. It has to recognize it. Its reporters and editors have been put in a very difficult position. I don't know how the newspaper is going address it, but it can't ignore it.

In my view, The Herald has been effectively neutered as source of independent news on downtown development.

What about The Courant? I’ve given up on this newspaper. Is it capable of in-depth local reporting? It is caught in its own ownership swamp. The company is being run by bean counters. The parent company, the Tribune Co., is planning major cutbacks, according to The New York Times in a June 6 report.

It is the most disheartening thing in the world to see the newspaper industry unravel.

But I digress.

Regarding the Arete plan -- a list of obvious questions should include:

How does the city get out of the agreement and at what cost?

How will the city use its eminent domain power that is evidently (according The Herald report) part of the agreement? And over what area?

What does this plan obligate the city to?

What costs will the city incur? Will there be any surprise bonding measures?

What’s the time frame for deliverables?

The newspaper reports indicate a potential multi-million dollar benefit to the city if the development proceeds. That's all well and good. But I'd like to see a better understanding of the risks in these reports as well.

What happens if another developer comes along with a better plan for a particular parcel?

Also, I think the city should post on its Web site as much information about this development deal as possible. Closed-door negotiations? Interested residents should challenge any closed door meeting as well as request under the state's Freedom of Information laws access to as much of the information as they can get. Why accept 'no' without a fight? What has hurt New Britain the most is the lack of sunshine on its development deals. This information is going to come out sooner or later, and it will be much better if it can be examined now by sharp and interested minds in the community.

I did like this quote The Herald’s story about the city's agreement.

“This is the most important vote we’ve ever taken,” said Tony Cane, the commission’s secretary, just before the unanimous ruling. “I’ve seen so many plans fall flat. We’ve had projects come and go. We’ve had movie theaters torn down. This vote can make more empty parcels, or it can bring life back into downtown.”

Great quote. Mr. Cane has summarized the city's development history. What’s the follow-up story?

Why doesn't The Herald engage readers?

A friend forwarded a link from the Hartford Business Journal about the Journal Register Co., which owns The Herald. It begins:

Dailies In Danger
JRC, parent company of New Haven Register, Connecticut Magazine, in financial crisis

By Sean O’Leary

Hartford Business Journal Staff Writer

Today

The finances of the Pennsylvania parent company of 75 Connecticut publications, including the New Haven Register and Connecticut Magazine, have hit an all-time low, prompting surprise newsroom layoffs and threatening the delisting of its stock.

The decline of the Journal Register Co.’s financial condition has been swift and steep. After earning $42.4 million in 2005, the company lost $9.7 million in 2006 and $130.1 million in 2007.

And its financial woes continue to worsen. Last month, the New York Stock Exchange halted floor trading of shares of JRC because they slipped below the exchange’s $1.05 per share floor-trading threshold. ….

The JRC's stock was trading below 60 cents today.

I have not been in touch with people at The Herald for many years, so I have no idea how this is impacting that newspaper if at all.

The JRC bought The Herald, Middletown Press, Bristol Press and a number of other Connecticut publications beginning in the early 1990s. The JRC’s strategy is fairly simple: Buy distressed independently owned newspapers located in close proximity to one another and through centralized management, combined advertising and cost cutting, make them profitable. For a time, it seemed to work.

The JRC’s stock price was over $20 just a few years ago. The company has grown aggressively in multiple states and took on a lot of debt. The JRC is under enormous pressure.

I want to make one observation that illustrates what's wrong with the JRC.

One of the most important things a publication must do today is build community with its readership. It is for that reason why most newspapers let readers comment on stories.

There is no obvious way to comment online in response to a story on The Herald’s web site. I suspect that Herald reporters and editors would like a Web site that is modern and interactive but they are obviously at the mercy of the JRC executive management.

But even on their own blogs, The Herald’s approach is confusing. The blog “Blog Central,” a sports blog, has set comment moderation, meaning that comments have to be approved by the blog author. The same is true for Talkn’ Sports. But “Lip Service” by Ken Lipshez doesn’t have the moderation requirement. Why are there different rules for these blogs?

And why just sports blogs? What’s up with that? Isn't anyone interested in blogging about local politics, land use, schools?

This inability of readers to comment on stories tells a lot about the JRC. If the executive management of this company was really interested in turning this company around, it would be moving aggressively to build an online community. But it is not even trying.

If the JRC's executive management doesn't have the drive to produce first-rate newspaper Web sites, then the future of this chain is not good.

Downtown is New Britain's new neighborhood

Downtown New Britain is no longer a "downtown," if that word means anything. But if it's no longer the city's commercial or business center, then what is it?

A little political history

Former Mayor Bill McNamara was a big booster of downtown so much so that it eventually became a political liability for him. When Don DeFronzo was running in 1989 for mayor he argued that city neighborhoods had been neglected at the expense of downtown.

McNamara had to focus on downtown. When he became mayor in the 1970s downtown was a dismal landscape of empty factory buildings, incomplete highways and a growing number of vacant storefronts. It was at its absolute worse.

But DeFronzo’s election wasn’t really about neighborhoods vs. downtown. It was about the thing the drives most elections in New Britain and that’s the fight for power among city Democrats. Nonetheless, the neighborhood theme probably helped DeFronzo. In 1989, as today, there was much anxiety about the city’s housing price decline.

1987 and 2007 real estate trends

In 1987 stock prices plunged, economic growth had slowed, and by 1989 residential property values were in steep decline. People were becoming anxious. (I can write from personal experience. I bought three-family that I lived at and owned jointly with some friends for $150,000 in 1987, probably the height of that housing bubble. By 1989 the price had declined below the mortgage amount to about $115,000 we estimated).

Fast forward to the present day, 2007. Housing prices have long zoomed past the 1980s highs but the country is skirting a recession, housing prices have stalled or are in decline and local foreclosures are probably on the rise. The city is going through a revaluation, which almost always shifts the tax burden to residential housing.

New Britain residents (and just about everywhere else) will be anxious, once again, about real estate prices, mortgage interest rates and taxes. But one issue unlikely to return is the idea that downtown is distinct from any other neighborhood.

Downtown New Britain is a neighborhood in a way it wasn't 20 years ago.

Downtown's most telling business

Have you noticed C-Town? C-Town may be the most important downtown business. It’s an urban grocery store. It serves, primarily, people living south of Main Street, down Glen Street and Arch. C-Town would not have opened this store – a pedestrian oriented store -- unless market studies had convinced it that there is a sufficient number of people living in that area to support it. That is very telling.

Grocery stores make urban areas livable, improve property values, and draw in other businesses. Urban neighborhoods are appealing because they allow people to easily walk to stores, entertainment and public transit. Downtown New Britain has all those things and there are signs of more to come.

The Rao Building redevelopment, which is also injecting new retail life into the adjacent Andrews building, is helping drive home the message that downtown New Britain is also a place to live.

The bus hub looks like a dangerous hangout

Downtown housing is likely to be occupied by single adults or couples who want to be in walking distance to essential services and stores. I also believe that, more and more, people will be interested in living without a car. (I just paid about $25 for 8 gallons of gas at the Sunoco near West Farms. What happens when gas hits $4 a gallon?)

Can you live without a car in downtown New Britain? It’s a question worth looking at because it could be a strong selling point for developing downtown. (Living without a car is not a radical idea. Many people choose to live without cars in metropolitan areas because of the cost of mass transit, including cab use, is less than the cost of car ownership and insurance. And then there are new services emerging, such as Zipcar and Flexcar, that leave cars parked on city streets for use by members on an hourly or daily rate.)

But state transportation officials don’t do enough to market mass transit as an alternative. The best I can say about Connecticut’s mass transit is that it exists to fill the need of people who truly depend on it but is not interested in encouraging people to use it as alternative to driving.

One thing New Britain should try to get the state to do is improve the downtown bus hub. The bus pick-up location at West Main and Main Streets is dismal and unattractive. It actually looks dangerous. It needs an extreme makeover to encourage new riders. One thing I would love to see are electronic signs forecasting bus arrival times.

Hartford's downtown disappeared as well

If people can be convinced that mass transit is an alternative to cars – or at least a strong supplement – it might encourage more downtown development and gentrification.

Downtown will be affordable. Single family home prices remain out of reach of many young adults. CCSU grads, in particular, may welcome the chance to buy an efficiency or one bedroom condo in downtown New Britain. Young adults will also bring some energy into the downtown neighborhood.

New Britain’s downtown will never be a commercial center again. Just look at Hartford's ongoing effort to create a new downtown. While the state spends millions to create a convention center, the most exciting development is happening in West Hartford. Hartford’s new downtown is West Hartford center.

But I can easily see New Britain’s downtown turning into a very attractive neighborhood catering to young people, singles, empty nesters and couples without children. Downtown New Britain isn't so much the place to be (the old city slogan), as it is a place to live. It has the potential to become an interesting and lively neighborhood.

Don't give up, Meadowland

I like places that age well and develop character along the way and that's why I went to the Meadowland Restaurant. It was a short walk from my Miller Street home and its restaurant a quick and good alternative. Having a meal and a drink in a place that has been operating since 1934 is a treat.

The Herald is reporting that Meadowland is closing its restaurant but evidently will continue as a bar with a limited menu. The Herald's reporter, Jason Vallee, went to the restaurant and spoke to its owner and customers and turned out a solid report. What I especially liked about this story was how it tied the restaurant's decision to broader changes in the city. But as I read this story, I was also troubled by its message. Is the restaurant owner retreating or fighting back? I suspect the former.

Here's an excerpt from the story.

One problem for Meadowland has been the loss of old customers without the ability to draw today's younger generation. With a shift in the city's makeup during the past decade, Fournier said his business has seen a sharp decline in the number of younger customers entering.

"There is just no industry left, nothing to keep people in the area for long periods of time," James said. "As our older customers continue to age, they can't come as often or unfortunately pass away and we aren't getting the younger generations to make up for it."

The problem [restaurant owner James] Fournier has experienced is not unique. For Connecticut in general, this has been a growing economic problem. The state ranks second to last, sitting just above Alaska when it comes to retaining college graduates and residents ages 20 to 29.

The restaurant was also burdened with sharp increases to electrical costs, gas costs and food pricing.

It's tough for college graduates in Central Connecticut. The area doesn't have the opportunity or the potential of major Metro areas. But that said, plenty of college graduates -- especially those who have attended CCSU -- stay and make a good life for themself.

Meadowland is in a stable neighborhood. I know my former neighbors on Miller Street continue to invest in keeping up their homes. This neighborhood is not in decline. Far from it. It's a very good place to live.

So what's the problem?

I don't doubt the truth of what the restaurant owner is saying. But what is the Meadowland doing to attract new patrons?

The Meadowland has a lot going for it. It really is a little gem of a place that needs to reach out to people and look for ways to change with the community. The Meadowland is also important to community. Young people, especially, who decide to live in an urban area want to be close to attractive places. Businesses like the Meadowland can help make a neighborhood a warm and inviting place to live.

There are, for instance, many hobbyist photographers in the city -- why not invite them to display and sell their photography? Invite artists as well. CCSU has a strong arts community. It would moderinze and enliven the decor and probably draw in new customers.

Mr. Fournier, from this story, strikes me as a thoughtful and opinionated person -- the ideal blogger. Creating an online presence, a blog, is a means to engage a broader audience. People go to bars to interact with others, and a blog continues that discussion once they leave.

Perhaps the Meadowland is already doing some of these things. I haven't been in there in some years, but I'll make a point of it next time in town, in a month or two. The next story I read in The Herald about the Meadowland will, hopefully, be one about how landmark has become optimistic about the city and its own future.

It’s an easy thing to give up on New Britain. It’s easy to overlook how much the city has that makes it a nice place to live. The Meadowland is one of things.

How a stop sign taught me about the importance of local news

There are no unimportant issues in New Britain City Hall and this is something I learned more as a resident of the city than as a reporter at The Herald. I'll use my experience with street signs to make this point.

Mayor William McNamara use to joke about how New Britain officials never met an intersection that didn't need a stop sign. (He was far wittier about it.) But that brings me to this story about my experiences with two street signs.

I lived on Lawlor Street for many years as well as Miller Street and, as a result, frequently used Allen Street.

One day, I was driving up Allen to Stanley Street and realize that I just blew past a stop sign at Carlton and Allen. I never hit the brake. The stop sign wasn't there the previous day. I never noticed it. But what upset me the most was the fact that I never alerted Herald readers about it. I was The Herald reporter responsible for informing people about items before the Common Council.

My suspicion was that many other residents didn't see the new stop sign at Carlton and Allen and that gave me a story idea.

The next day, a photographer and I parked on Carlton and watched what happened. And sure enough, a lot of drivers went through that stop sign without slowing down. We kept count and I wrote a story about it. I also asked city officials about whether there was a need to do more to alert residents about new stop signs. The story didn't change anything, and I'm sure residents are still surprised from time-to-time by the sudden addition and removal of signs.

Stop signs, no parking signs, are usually the result of complaints by residents who want to slow traffic down or get rid of on-street parking. Aldermen have been apt to support restrictions because they don't cost much and it usually earns the thanks of neighborhood residents. But this brings me to another story.

When I moved to Miller Street in 1987 there were signs prohibiting parking during the winter months. For reasons unknown to me, the parking signs were removed before winter began that season. It was a big relief. I had bought a three-family with some friends. In total we had six cars, but only enough room for two cars in our driveway.

Some years later, the Common Council was asked to approve a no winter parking restriction on Miller Street. It was on an agenda. I called the alderman sponsoring it and was told by him that his petition was at the request of some Miller Street residents. It had to do with the mess the plows made to get around cars not removed during parking snow emergency bans. But this is a problem in every neighborhood.

None of my neighbors wanted a seasonal parking ban because they all had small driveways and needed off-street parking. The push for no parking was no doubt coming from those Miller Street residents with large lots and room for all their cars.

When I pointed out to the alderman that there were many other residents on Miller Street who needed on-street parking and would be forced to park on adjoining streets (gobbling up on-street parking spaces used by residents on those streets) and then walk, often after dark, to their homes, he pulled the measure.

My experience with the signs on Allen and Miller streets helped to drive home an important lesson: that there is no such thing as a routine item on a council, board or commission agenda.
If I was living on Miller Street today and not in Washington DC, I would have a blog and mailing list as well, about this neighborhood. It would be a way for neighbors to share information and news of importance. An effort by some neighbors to ban parking would be noticed and debated. I think that -- in time -- most neighborhoods in New Britain will have blogs that focus on these often important local issues.

But one thing local bloggers need is access to information and the city has a very important role to play here.

Common Council agendas and minutes are posted online, but you won't find agendas online for many other governmental bodies, such as the Zoning Board of Appeals, an extremely important group or the Police Board. Aldermen can really help by making expanded online posting a priority. There should be very little costs -- if any -- to make reports, agendas and minutes available online.

Keeping residents informed today involves more than newspapers. It includes actions by concerned elected officials, as well as neighborhood residents.

For those New Britain residents interested in creating neighborhood blogs, a great resource is placeblogger. You can also look at my blog in DC, DCBlogs for an idea of how local blog communities develop. Some of the local blogs in placeblogger and DCBlogs are sophisticated but don't let that scare you off. All it takes is opening a free account at blogger.com and within minutes you can have an attractive blog. Adding photos and video is easy as well. Blogging is also a great hobby and much fun. If you want some help, please email me at dcblogs@gmail.com.

Note: Please welcome Elisa, a former Herald reporter who I worked with, will also be writing on this blog. We worked together on many stories, and she loves this city as much as I do.

Photo: Taken on Allen Street this past summer from my car.