Connecting Lake Erie to the Global Economy

Yesterday, the Cleveland Plain Dealer released a thoughtful op-ed discussing the merits of Cleveland connecting its port with Montreal. The Cleveland-Cuyahoga County Port Authority has struggled for years to develop a comprehensive vision. Developing a strategic partnership with Montreal is a step in the right direction for opening up our ports to the global economy.


Montreal link with Cleveland port is worth a look: editorial
By: Plain Dealer Editorial Board


They're back. But this time the Cleveland- Cuyahoga County Port Authority is developing a strategy for container traffic within the Great Lakes that could actually hold water -- and make Cleveland a leading innovator for a new form of lakes shipping.

Former ports CEO Adam Wasserman first flagged the idea of expanding the Cleveland port to handle containers that also ship by truck and rail. But Wasserman never moved beyond pie-in-the-sky schemes.

Since taking over after Wasserman's ouster, current port President Will Friedman has been busily establishing the contacts and key planning elements needed to create the first international container service on the Great Lakes. Among them:

• The definition of a route between Montreal and Cleveland. Great Lakes Feeder Lines, a joint American-Canadian company, would provide a vessel to shuttle containers back and forth.

• A demonstration that Cleveland's current docks could handle container cargo without added taxpayer investments. Last month, one of Great Lakes Feeder Lines' vessels was in town to demonstrate how containers could be loaded and unloaded here. Cleveland has the necessary longshoremen, a terminal operator with the needed equipment and the road and rail connections to move goods throughout Northeast Ohio.

• A realistic sense of scale. Cleveland is not going to compete with the Port of New York and New Jersey, which handles more than 5 million containers a year. Friedman figures the feeder line would handle 16,000 containers a year, linking with ocean-going vessels plying trans-Atlantic routes. "We're trying to provide a niche service for Northeast Ohio," he said.

Initial response from Fortune 100 and Fortune 500 companies in the region has been good, according to David Gutheil, who was hired last month as vice president of maritime and logistics for the Cleveland-Cuyahoga County Port Authority.

For taxpayers, the good news is that, unlike Wasserman's approach to international shipping, Friedman's envisions no public subsidy. But it's not all likely to be smooth sailing. 

Transit time and cost must be competitive enough to give ocean shippers a reason to change to a new mode of transportation.  And let's not forget Mother Nature. The St. Laurence Seaway and the Great Lakes freeze between mid-December and mid-February 

Still, the idea of a contained container service between Montreal and Cleveland merits further study. As cargo tonnage on the Great Lakes drops, it is crucial that the port embrace innovative ways of selling its services. And container traffic could help buoy it up.

The End of Our Real Estate Market Woes?

Without question the latest economic recession has had a devastating impact on the economy of Northeast Ohio. Exacerbated by the foreclosure crisis, Cleveland's real estate market has been in decline as early as 2007. However, recent market trends show some signs that Cleveland's real estate market may be on the upswing.

While the housing market in cities like Detroit and Las Vegas has yet to fully recover, the Cleveland market has begun to stabilize and bottom out. According to the most recent numbers, home sales in the greater Northeast Ohio area from January through September are better than they were in 2009. Throughout the region, housing consumers are beginning to buy and their appetite for investment has been increased due to historically low interest rates and federal tax credits. Home prices have also gone up over the past six months, which bodes well for residents who have seen their housing values plummet due to the sub-prime mortgage crisis that almost paralyzed the region. While these trends are promising, Cleveland's economy still has a long way to go to fully recover.  Over the past 10 years, Cleveland lost a a fifth of its jobs as the manufacturing base eroded. Leaders in the region are now working vigorously to retrain workers in healthcare, one of the regions greatest economic assets.

Moving forward, Cleveland and its leaders must continue to work towards creating regional economic development strategies that will attract new investment. Cleveland's unique location by Lake Erie and its emerging strengths as a biotechnology and healthcare capital are all great foundations to build upon.

In Cleveland Loyalty Matters

Check out this latest commercial a group of Clevelander's put together in response to LeBron's latest Nike Commerical.  Gotta love that Cleveland Pride!!!

A New Path for Revitilization

Yesterday voters elected Ed Fitzgerald, Mayor of Lakewood, as the new County Executive for Cuyahoga County. Under the backdrop of the worst corruption scandal in county history, Fitzgerald was able to overcome his Republican challenger, Matt Dolan, who spent millions of dollars linking Fitzgerald to the current scandal facing the local Democratic party. As the first County Executive, Fitzgerald will be faced with a laundry list of challenges. While restoring faith and credibility in county government should be his main priority. Fitzgerald has a unique opportunity to re-imagine Cleveland's role as the economic nucleus of Northeast Ohio.

Earlier last month, urban development experts from across the country gathered in Cleveland to discuss how to use vacant properties as an economic asset. Many cities across the country have had no choice but to make this issue a priority, as towering mortgage debt and urban disinvestment continues to plague many inner-city communities. In 2009, Cleveland alone witnessed more than 20,000 foreclosures, according to cases filed in the Cuyahoga County Common Pleas Court. This coupled with rising population loss and increasing levels of poverty, has undermined real GDP growth in the region. Yet while these structural challenges seem impossible to address, there is hope as some communities in the city are beginning to turn the page. Urban wine gardens are being created in the Hough Neighborhood, and University Circle is only at the cusp of witnessing how the new transit line will help link its assets to Downtown Cleveland. "Instead of figuring out what to do with (all) the vacant land, we need to figure out for each neighborhood, 'What are your most pressing problems, and in what way can vacant land be part of an answer?" says, Terry Schwarz, director of Kent State University's Cleveland Urban Design Collaborative. And it may take this neighborhood approach to really help make Cleveland, and thus Cuyahoga County, more economically competitive. 

Nonetheless, as Fitzgerald begins his transition as the region's newly elected leader, he must do all the he can to listen to leaders in Cleveland to develop a sophisticated economic agenda that places the city at the center. In this age of austerity, rethinking how we utilize our must underused properties will be integral to that economic agenda. Cleveland can't afford to wait for another historic election to solve its problems. If Fitzgerald does his due diligence, he can help lead the both the county and the city to a new age of prosperity.