FULL INTERVIEW: Seattle economic development director says city looking beyond payroll tax exemption

[00:00:00] Speaker 1: Why are we here? Why did you choose this spot to meet up? [00:00:03] Speaker 2: Well, I do really like to be in community. As you probably know, small businesses are very, very close to my heart. I'm an immigrant who moved here in 2003 with nothing, and I started my own business with only $250 selling jewelry on farmer's markets. And I was able to grow my business from that to have three stores and retail wholesale. And since then, I've just been very active in the community about what is the importance of small business. So this plaza is an activation of small business. We have Marjorie Donna Moody, the owner, and she has been benefits on some of our programs. So we are very, very grateful for the opportunity to collaborate with her, which is an amazing entrepreneur. I met Donna when she had her business in Belltown. I had an opportunity to enjoy her food in Belltown. And since then, we are growing her in the multiple spaces that she owns. And with our business investments that we do at the city, she's been able to kind of secure the space. And not only affordable, but also she's building wealth. So we want those businesses to stay, because it's a legacy business. And the city is making those investments to make sure that those businesses stay with us. So that's where I choose the plaza. And not only Donna, but we have Christy Brown with Communion, and another of my clients, and the 4 million organization that I lead, Ventures. Christy Brown was one of my first businesses that we support at Washington Couch, later on Ventures. And Christy is also very close to the work that we do. And I love to support Communion, and I love to support Marjorie and all these businesses. I also live in the neighborhood, and I walk this neighborhood all the time. So this is a very important part of the history of Seattle and economic development and what I bring these businesses in activation and give them more opportunities. [00:01:54] Speaker 1: What is your vision for economic development in Seattle right now? [00:01:57] Speaker 2: Well, I mean, I'm a unifier. I believe that we all have to come together and work together on the opportunities that we face as a city, as a region. Also the challenges, what is not working. I believe in an ecosystem. Yes, I have worked with very, very focused on small business all my career. But as a founder of a nonprofit and seeing the challenges of fundraising money for a nonprofit, and how do you leverage, I have worked in the nonprofit sector with the city, all kinds of cities, county, state, federal government, multiple federal grants, financial institutions, philanthropy, corporations, CEOs. So I do know how to bring people together in a more different spectrum, as you say, nonprofit. But nonprofit also does what brings people together. So my vision is like, how do we unify? How do I set up the tone that we all come together? And when I say we all, small businesses, mid-sized businesses, large businesses, financial institutions, philanthropy, public-private sector, it's so important. Like the public-private funds that we have developed over the years, they're very successful. So I have that kind of vision of how do we bring that to solve the issues, but also activate our city into the next generation. [00:03:22] Speaker 1: How do you reverse the trends of the DSA just outlined yesterday that they claim is a five- or six-year trend? With jobs moving to Bellevue because of the climate right now and the climate at City Hall. [00:03:34] Speaker 2: Yeah, that's a really good point. I do believe this is a region. I'm a regionalist. Definitely, I'm working for the city to make sure that people know what the city offer. Seattle is such an innovation place. It's such a great opportunity that we have. At the same time, this is not a competition. I feel like it's more like an inspiring opportunity. Bellevue offer different things that Seattle offers. And I just recently met, actually yesterday, with Mayor of Bellevue. And we agree that this is an inspiration between each other. How do we work together? If businesses decide to move to Bellevue because it's a better fit for their business, we're going to collaborate and work. And it makes an impact in our region. And also, at the same time, I want to make sure people know what we offer here in Seattle. That's my job. And Seattle offers multiple other things that cities like Bellevue or other regions in our country don't offer. And one of them is innovation. There's a lot of office vacancy, though, right now. I agree. And we have been just very, very challenged since the pandemic. The pandemic makes a lot of challenges. We don't have to diminish what happened with our downtown. And we need to continue really working on what is those opportunities like with the vacancies. For me, the vision that I have as a director of economic development is like, again, how do I work with those tenants? How do I really kind of do we need to kind of create some subsidies? Do we need to create some incentives? Do we need to kind of help them to figure out what is needed? My team work very, very hard, very hard meeting those individuals and kind of remove barriers. So we need to make it faster, easier and with more productivity for those businesses to open. And that's why I'm here. Like, I really want to talk to them and I really task my team to really meet those individuals. What are the challenges? What they are not being able to to rent those spaces. And that's what I'm committed. Can we be creative? Can we be innovative? What are the opportunities beyond retail? Retail is an opportunity for downtown. We don't see a retail of what it was before pandemic. We just see Nordstrom is just coming back from the red numbers after the pandemic. So they are coming back. They are moving their store across for the rack. It's some businesses that are doing really well over there. But I think it's like, what is the opportunity that we have here? And that's where I'm working with my team. [00:05:53] Speaker 1: Yeah. So what does that mean? Because Pacific Place is half empty. Westlake Center is half empty. The Abercrombie and Fitch Corner, that whole Fourth Pine corridor, ton of empty space. Are you talking about trying to make another push to turn that into housing versus retail? I mean, how can how can your office change that trajectory? [00:06:13] Speaker 2: And that's, again, moving with the conversations with these tenants. How do we really work with them and figure out what is the best strategy for them and for us as a city with us? Like, how do we kind of align with our plans? I will say with the Pacific Place, we are working very closely with the business owners and the owners of the Pacific Place of like the activation that we have with FIFA right now. It's an opportunity for us to kind of activate and figure it out and how do we have legacy after that? We can see how Pipeless Market is doing really well in terms of retail. How do we create some of that kind of space for those empty spaces? You see the connection with the waterfront and the Pipeless Market and everybody is very excited about that and that is retail. So how do we create some of those models that retail is different these days? And I think our residents want to see something different than it was before pandemic. And that's where we are doing our research. And as I just a new director of Economic Development a few months in, that's what I'm working like. Be more creative, be more innovative, get inspired from another cities, from another countries. I have lived in different places in my career, in my life. So I want to have that perspective, what we can bring here that we're not doing. [00:07:25] Speaker 1: You know, John and the DSA made this whole case in that study that the jumpstart tax has actually jumpstarted Bellevue's economy and that the jobs have moved over to the east side. And you're in an interesting position in that you're trying to create economic development at a time when there's a discussion whether the jumpstart tax should be expanded to fill a budget hole come this fall. The mayor openly suggested on the campaign trail that she's interested in perhaps expanding the jumpstart tax. She's one of the architects of the jumpstart tax. If the mayor was to come to you and say, hey, I think we need to expand the jumpstart tax to offset this budget shortfall, what would you tell her? [00:08:07] Speaker 2: Well, the conversations are happening and it's not what I have here from leadership from Mayor Wilson. We are exploring based on the data we have these days that other opportunities that is not progressive tax at this time. So we really want to listen and hear what is the data that we are receiving as the DSA share this article. We definitely need to kind of start thinking better on how to really activate our economic development plan beyond the jumpstart and all the progressive tax that we've been implementing. So that's what I'm really kind of advising and working with the leadership on let's think about data. What is that the impact that is making and from there we can make decisions at the same time going back to like less engaged with those businesses with those corporations. What do they see? How can they partner with us in that way? We can find other solutions again going back to creative creativity. I'm a big believer that entrepreneurs we are very good, very entrepreneurial, very creative. And if I bring them all together on a table, I might find solutions that they feel part of the solution and they are not part of the problem. [00:09:14] Speaker 1: So just so I'm clear, because I don't want to put words in your mouth. It sounds like you're advising not to seek any sort of expansion of the jumpstart tax. [00:09:22] Speaker 2: At this moment, that's kind of like just thinking of really to see the data that we are collecting. And then from there, making our strategic decisions on how do we move forward with how do we do it the best way possible? [00:09:36] Speaker 1: So again, not seeking an expansion of a jumpstart tax. I just want to make sure I'm perfectly clear. [00:09:42] Speaker 2: Yeah, at this moment, that's what I have seen getting from my my leadership team. We are that's what I'm hearing from from from the leadership team. [00:09:52] Speaker 1: Gotcha. I just want to make sure I'm clear. You also had a announcement here in the last week about the small businesses and the back to business program and and increasing the grant amounts for vandalism and property damage recovery. Is that a sign from the city and acknowledgement that that perhaps small businesses have been unfairly impacted or overly impacted by graffiti and other crime? [00:10:20] Speaker 2: Well, it's not just that we have a lot of challenges with public safety. I mean, that's part of one of the things that we're working very tireless with not only my office, but other departments. So how do we respond to the public safety and the impact that is making into our small businesses? We create these programs to response after pandemic, but also like what is like the impact that the crime is making into these businesses. I totally hear the small businesses they are coming with with those challenges and better. The things are not really showing up for us because the impact that the public safety is making into this business. So we are working parallel on how do we create a more active, vibrant neighborhoods like that they do stabilize them through these investments. At the same time, how do we create more public safety into our neighborhoods? [00:11:12] Speaker 1: So, you know, there's this big push. It seems like in this city for four years of planning for the World Cup, everything was focused on making sure Seattle is ready for the World Cup and making sure the storefronts have new signage and signage downtown and making sure the waterfront was done. Sound Transit had to get the Cross Lake line up before the World Cup. So a lot of momentum here in the last few months, but how do you keep that momentum going after the World Cup when there's not something in the city for people to rally around on the calendar? [00:11:43] Speaker 2: Well, I think this is a really good question and a very important for us to kind of like put Seattle in this path, not only national, but international. We have more than 750 visitors that they will bring a lot of economic development. So for me, it's a time for the city to reset. And this is a great opportunity for us to reset, to identify what are all that data that we have. And from there, really show Seattle what is it like, as you mentioned, the waterfront, the investments that we're doing, the infrastructure, the innovation. We do have a lot of really cool things that people don't know. I have traveled the world. I have lived in so many places, and I'm still a big believer that Seattle is one of the most beautiful places in our world. And that's what I'm serving. That's what I'm here. I want to find solutions. I'm very, very grateful. I'm very humble for the opportunity to serve for my city. And I want to find those solutions, but I cannot do it by myself. I don't really need to do it with a group of individuals who are very passionate, and I see so many of them. So we are just building from that, and I'm very excited because I think it's an opportunity. With that, I have been working very diligent with the administration, with Mayor Katie Wilson and the leadership and my team, making some announcements pretty soon about what is that the next part of or after FIFA. And so stay tuned because we want to make sure that you are involved in those conversations. And because I'm very, very excited about those news and all our economic development plan. And what is the next part after FIFA and the World Cup? [00:13:16] Speaker 1: So how do you sell Seattle to people outside Seattle? Because perceptions on social media are one thing and perceptions on the street are another. [00:13:26] Speaker 2: Well, I mean, we have built some of the most successful corporations and businesses in the world. And I'm very proud of that. At the same time, we have all these beautiful culture, arts. We have a beautiful waterfront. The pipelines market is very unique. It's the largest farmers market in the whole country. We have innovation. We have one of each engineers that they are specializing in. And I live in a region. I will say beyond all that innovation and economic opportunity, we are surrounded for such a beautiful nature, water, clean air. You have the cleanest water, the cleanest air, the quality of life. People want to live here, even with all those conversations that you mentioned about the perspective of what Seattle is. When you are here and when you move here and when you are visiting Seattle, it's a different perspective. So I'm selling Seattle as a place that you really kind of raise a family. You can be successful. You can be equitable here. And that's what I'm working towards. Like it's a more equitable economy that works for everybody. [00:14:35] Speaker 1: So what's the metric of success in six months, one year for you, for your office, for Seattle? [00:14:42] Speaker 2: Well, one thing is I want to change the civic narrative that we have. Like the Seattle is not open for business or Seattle is a very difficult place to start a business. So that's one piece that I feel like it's an opportunity for us to announce that is like, no, we want you here and we want to make it better for you. So that's one metric of success that I will see that we will start sending some sign-offs. Another is like, how do we are really like making these investments of building their relationships that we have with multiple partners that we have over the years? So that's what I'm working on. Start announcing who, when do I meeting with these individuals? Like sending those messages of these individuals are working with the city of Seattle and the economic development. So in six months, I want to see that civic narrative change about how Seattle is a place that you can start a business and make it faster and easier for you to kind of have it here. [00:15:34] Speaker 1: There's not a number like, you know, over 32% office vacancy, getting that down the other way or retail vacancies, getting that down the other way, there's no metrics there. [00:15:44] Speaker 2: Well, at this point, I don't have a specific number. I will just be very honest that I don't have a specific number on how it will be the reduce of those numbers because six months is a very short period of time. But I'm very excited to like, oh, I will be committed to you and the community to kind of bring back up. What is our wins and also what are our challenges? [00:16:01] Speaker 1: I think we have about five minutes left to walk and talk. Yes. But I'm going to give you one other question because we are sitting in the Central District so much focus about downtown and redeveloping downtown and the waterfront being redeveloped. But how do you spread that wealth to to the Central District, to South Seattle, to Soto that has had complaints about economic redevelopment? How do you how do you spread the wealth as the economic development director? [00:16:29] Speaker 2: Well, this is a very exciting. We have wonderful leaders around across the whole city with the business improving areas, the BIS. John Scholl is one of them with the DSA. We're talking about downtown. But we also have that kind of organizing community in multiple neighborhoods in our city. So for us is how do we work and how do we make investments with all those BIS and all those leaders? As I was mentioning before, we are going to activate this plaza on Saturday for June 10th. And that's a way for us to kind of spread the wealth and the economic opportunities for communities who are not in downtown. Central District is one of them. We have made a lot of investments in multiple like Capitol Hill, downtown, University of Washington. So all those places are really part of our plan. We just look into what are the neighborhoods who are struggling the most and how do we make those investments strategically to help them to kind of also be part of this economic development. Downtown is the heart of our city and is going to be continue being a part of our priority and is one block at a time. But how do we do it more in an expanded way with all the neighborhoods that we offer and they oversee at my office. [00:17:50] Speaker ?: We're going to have a lot of new neighborhoods that we have to do with all the neighborhoods that we're going to have. We're going to have a lot of neighborhoods that we're going to have to do with all the neighborhoods that we're going to have. We're going to have a lot of neighborhoods that we're going to have. We're going to have a lot of neighborhoods that we're going to have to do with all the neighborhoods that we're going to have. We're going to have a lot of neighborhoods that we're going to have.