Category Archives: Uncategorized

Brick and Mortar Merchants Oppose Weekend Closure of 7^th After Hine Construction – Want Tax Break While Hine Project Gets Built

by Larry Janezich

Some 30 brick and mortar merchants on the 200 and 300 block of 7^th Street SE will support closure of 7^th street during the construction of the Hine project, but not beyond.  Perhaps remembering this dismal effect of construction of street car lines on H Street on some businesses located there, the 7^th street merchants are proposing they receive a tax break to compensate them for the proposed weekend closure of the 7^th Street to accommodate the flea markets.  . 

Their position was made public last Tuesday night, when the ANC6B Planning and Zoning Committee considered a resolution sponsored by Commissioner Brian Pate to support closure of the 300 block of 7^th Street, SE, on weekends during the construction of the Hine development for the vending.  The resolution recommends coordinating with Eastern Market and the brick and mortar businesses on the 200 and 300 blocks of 7^th Street, and calls for a fair, open and legal contracting process in any operation of market activities on the street done through the Department of General Services or Eastern Market.  The resolution states that revenues from vending activity resulting from the closure will become part of the revenue stream of Eastern Market.  The Planning and Zoning Committee voted 10-0 to forward the resolution to the full ANC and recommended expedited consideration at the October meeting next Tuesday night. 

The resolution was an about face from an earlier version, also offered by Pate, which failed to pass the committee in September.  That version explicitly moved the current flea market managers to the head of the line of prospective flea market operators. 

ANC6B candidate Steve Holtzman spoke in support of the current operators, saying that they know how to run the businesses and there is no other strategy for keeping the flea markets running. Pate responded that the resolution under consideration was driven by what is possible to get through the committee. 

The resolution was in response to a request from the Deputy Mayor for Economic Development and Planning for ANC6B’s opinion regarding the application of the current flea market operators – Mike Berman and Carol Wright – to close the street during the construction period in order to locate the flea markets there. 

Berman later expressed his disappointment with the measure, saying that the sole priority of the resolution is to assure Eastern Market has control of the flea markets.  He said of the committee’s action, “They would rather twist the proposed Eastern Market legislation (which also would give preference to the current operators) than acknowledge the communities’ strong desire for the flea markets to continue in a vastly reduce state.”

The full ANC6B meets Tuesday night at 7:00pm in Hill Center.  In the wake of the stalled Eastern Market legislation and the various unknowns involved in the Hine construction process, there is no clear vision yet for how the weekend flea markets, a much beloved neighborhood institution, will be sustained.

The Week Ahead….

by Larry Janezich

Monday, October 1

CHRS Historic Preservation Committee meets at 6:30pm, Kirby House, 420 10^th Street, SE

Tuesday, October 2

ANC6B Planning and Zoning Committee meets 7pm – 9pm, St. Coletta of Greater Washington, 1901 Independence Avenue SE

Agenda includes:

Historic Preservation application for new condos at 1211 G Street, SE

Closure of 300 block of 7^th Street, SE, during construction of the Hine School

Consideration of Stanton-Eastbanc, LLC’s October 1st Procedural Order Proffer

Wednesday, October 3

ANC 6B Transportation Committee Meets 6:30pm – 8:00pm, Hill Center

Agenda includes:

Traffic Study Request to District Department of Transportation (4th & 5th Streets between East Capitol Street & Pennsylvania Avenue SE)

Discussion of 8th Street SE Pedestrian Crossing Signals at E and G Streets SE

Discussion of 8th Street SE Pedestrian Crossing at D Street SE

Proposal to use Performance Parking Community Funds for the park at 8th Street and Independence and North Carolina Avenues SE

Thursday, October 4

ANC6B ABC Committee meets at 7pm, Hill Center

Agenda includes:

Increase occupancy and operating hours for La Plaza, 629 Pennsylvania Avenue SE

Vacant House at 735 12th Street, SE Has Troubled Neighbors for Years

ANC6B Task Force Takes on Vacant Properties

by Larry Janezich

Thursday night, Commissioner Brian Pate’s Outreach and Constituent Services Task Force met in order to continue exploring ways to deal with the ongoing problem of vacant and blighted properties.

On hand were several residents living in close proximity the property pictured above at 735 12th Street, SE; Kim Graziani of the Center for Community Progress; and Reuben Pemberton, program manager, Vacant Building Enforcement, Department of Consumer and Regulatory Affairs.

Residences within 500 feet of a vacant house lose between 2 and 10 percent in value depending on existing conditions, according to Kim Graziani.  By that measure, with up to 2700 vacant or blighted properties in DC, a significant number of DC residents are affected.

Residents often don’t realize that the city does not automatically monitor and deal with vacant buildings.  Regardless of how long a property has been vacant, it doesn’t start being a vacant property until it comes to the city’s attention in the form or a complaint. 

Once a property is identified, Pemberton can impose a tax on it to motivate the owner to fix or sell the property.  The tax is $5 per $100 of the assessed value for vacant houses and $10 per $100 of the assessed value for blighted houses – an annual tax of $20,000 on a $200,000 property in the latter case.

Enforcement can be a problem, according to Pemberton.  Owners can apply for an exemption from the higher tax for a variety of reasons, including economic hardship and good faith efforts to sell or renovate the property.  However, there is a limit on the exemption:  three years for a single owner and five years for a property.  After that, the city could move to condemn and demolish the property, but that is a long process and expensive for the taxpayer.  Pemberton says the purpose of his office is to get that property functional and to turn abandoned properties into assets.  “It’s not our business to tear down properties, we want to save them,” he said.  But making vacant and blighted properties viable depends on many factors: locating the owner, economic realities (location of the property), and availability of a purchaser.

Pemberton stresses that the Mayor is aware of the problem and wants to do something and   Pemberton has taken the initiative, cobbling together a loose task force involving his office along with representatives of the Deputy Mayor for Economic Development, the Office of Tax and Revenue, and the Department of Housing and Community Development to deal with the worst vacant or blighted houses.

Graziani’s organization – the Center for Community Progress – is a national organization that addresses the issue of vacant properties.  The organization provides advocacy, technical assistance and organizational development services to governments and activists to help implement strategies to prevent and reuse vacant properties.  Graziani lives in the Capitol Hill neighborhood and offered to continue the dialogue both with the ANC Task Force and Pemberton.  For more information:  http://www.communityprogress.net/  At the level of city council, Pemberton cited Councilmember Jack Evans and Muriel bowser as being particularly active on the issue of vacant properties.

To report a vacant or blighted building, email vacantbuildings@dc.gov, or call 202 442 4332.

Marvelous Market Evolves Into The Silver Spork

by Larry Janezich

Seth Shapiro – Managing Partner of “Just Around the Corner LLC” – announced on Monday that after six years as a Marvelous Market, the retail food venue across from Eastern Market would relinquish its association with the Marvelous Market chain and become “the local independent shop we have strived to be all this time.”

Shapiro says, “We have chosen the name ‘The Silver Spork’ and that is a big change, but really not too much will.  We will continue to search for quality products that can be offered in our quick serve environment.”

DC General Counsel Nails Coffin on Changes to Hine Development

by Larry Janezich

The DC General Counsel has found that there is no reason at present to go back to the drawing board on the Hine project.

At a contentious community meeting last May 23, Councilmember Tommy Wells, under pressure from the community,  pledged to ask the DC General Counsel for a legal opinion on whether Stanton-Eastbanc’s expansion of the Hine project beyond what the city initially approved constitutes a violation of the contract with the city which would trigger a rebid of the contract.   The councilmember agreed to do so and to post the opinion on his website.

ANC6B candidate Jerry Sroufe, who is running against current Commissioner Ivan Frishberg for the ANC6B02 seat which includes the Hine project, obtained a copy of the General Counsel’s 14 page opinion and shared it with Capitol Hill Corner.  Sroufe testified before the Zoning Commission against greater height and density for the project.

The “Short Answer” provided by the General Counsel states:  “Neither statutory law, the land disposition and development agreement, nor the zoning regulations provide for a rebid due to changes in design or construction.  Rather the District’s legal framework for land development anticipates changes and provides procedures for changes to be approved or disapproved throughout the development process.

Firstly, the Mayor is required to transmit to the Council for approval any substantive change made in a term sheet after the Council’s initial approval of a development.  To date, no substantive change has been transmitted and, based on available documents, no change has been made to the term sheet.

Secondly, under the agreement between the District and the developer for the Hine site, material changes require approval of the Deputy Mayor for Economic Planning and Development, the Mayor’s delegate; non-material changes do not require approval.

Thirdly, pursuant to its statutory powers, the Zoning Commission, which must approve a planned unit development, has the authority to grant or deny requests for relief from the requirements of its zoning regulations.

Termination of the agreement, by either party, would end the current developer’s development of the project.  Only then might a rebid be necessary.”

City agencies, including the Deputy Mayor’s Office for Planning and Economic Development, the Office of Planning, the Historic Preservation Review Board, and the Zoning Commission have all lined up in support of the project which is the largest commercial development ever undertaken in the Capitol Hill Historic District.  The proposed development generated considerable opposition from nearby neighbors and others who were concerned about the impact of the project on the quality of life in the neighborhood.  It is also fair to say that much of the neighborhood would have preferred a rival bid for the Hine development, one that was smaller, more attractive in the eyes of many, and better-funded.  Since the term sheet has been signed, Stanton/Eastbanc has compiled a laundry list of disappointments for the community:  lost tenants and amenities, including a neighborhood hotel; lost space for the weekend flea market; and greater height and density in the overall project.

The text of the full document, which constitutes a comprehensive review and discussion of the legal steps in the commercial development of city property, can be found in a separate page under the “Pages” directory on the lower right of the CHC homepage, or by clicking the link at the top of the page.

Correction:  The document also appears on Councilmember Wells’ website here:  http://www.tommywells.org/2012/09/posting-of-requ.php.

The Week Ahead…..

by Larry Janezich

Tuesday, September 25

ANC 6B Executive Committee Meeting, 7pm-8pm, Hill Center

Tuesday, September 25

Capitol Hill Restoration Society hears Jennifer Steingasser, Deputy Director of Development Review and Historic Preservation, DC Office of Planning, speaks to CHRS members and the community on what the proposed rewrite of the DC Zoning regulations and what it could mean for Capitol Hill.  7pm-9pm at Hill Center.   During the Zoning Commission on the Hine Project, the Office of Planning was fully supportive of increased height and density for the Hine Project.

Wednesday, September 26

Eastern Market Community Advisory Committee (EMCAC) will meet at 7pm in Eastern Market’s North Hall.  Among items on the agenda is discussion of the closing of the 300 block of 7^th Street for the flea markets.

Thursday, September 27

ANC 6B Outreach and Constituent Services Taskforce meets 7pm to 9pm at Hill.  The taskforce will continue to review its research regarding vacant and blighted housing policy.  In addition, Kim Graziani, Vice President of Community Building for the Center for Community Progress, will speak on the topic.

Sunday, September 29

Hill Center Open House from 10:30am until 2:00pm, featuring commemoration of Civil War era anchor at 10:30am.

Protestors block East Capitol at 9th Street, halting Nazis march to the Capitol

Some demonstrators attempt to turn the protest into a sit down demonstration at 8th and East Capitol

Dedicated protesters appear to invite arrest but later were persuaded to move aside

Metropolitan Police Stand Ready to Clear the Streets

Demonstrators give way to mounted police

Demonstrators show strength of numbers in front of Folger Library

US Capitol Police in riot gear joined Metropolitan Police at 2nd an East Capitol where the march turned south to Pennsylvania Avenue before continuing around the Capitol

Protestors Outnumber Nazis Thirty to One – Photos of the Counter Demonstration

by Larry Janezich

A small group of 12 Neo-Nazis who had secured a demonstration and marching permit elicited a protest of several hundred strong and a large Metropolitan, U.S. Park and U.S. Capitol Police presence of well more than a hundred officers and dozens of squad cars.  Deputy Mayor for Public Safety and Justice Paul Quander was on hand to oversee police operations.

The Nazis arrived by bus at Lincoln Park just past noon and were greeted by jeers, taunts and chants from protesters gathered on the corners of 11^th and East Capitol Streets.  The Nazis started out for the Capitol about 12:20pm, with six mounted police clearing their path forward, their flanks lined by Metropolitan Police on bicycles and motorcycles who warned march protestors to stay on the sidewalks.  Protesters halted the march three times on East Capitol, at 9^th, 8^th, and 7^th Streets each time dispersing after hearing a warning that they were in violation and subject to arrest.  Police were ready with paddy wagons and plastic handcuffs but rather than arresting protestors on the final attempt to halt the march, disbursed them with mounted police.

Eastbanc’s Hine Negotiator Named CEO of Georgetown BID

by Larry Janezich

Thursday, the Georgetown BID announced Joe Sternlieb will be its new CEO.  Sternlieb is familiar to those following the Hine development as the public face of Eastbanc in the Stanton Eastbanc partnership that won the bid from the city to develop the Hine project, and the chief negotiator with the ANC6B representatives on the memorandum of agreement outlining community benefits and amenities.  Since Sternlieb joined Eastbanc as vice president of acquisitions, Eastbanc has been awarded two plum city projects – the West End Library and the Hine development.  Both have aroused considerable controversy within their respective neighborhoods, although Eastbanc made far greater concessions to the community on the West End project once it became clear that Councilmember Jack Evans would not vote for the Land Disposition Agreement unless the developer did so.

In his new position, Sternlieb will be responsible for promoting Georgetown as a retail and entertainment destination as well as its potential as a location for new office buildings.  He will also oversee the BID’s administrative, financial and daily operations.

Sternlieb has a long record of service as a political activist, fundraiser and local government official.  He raised funds for Mayor Fenty and for Councilmember Mary Cheh.  His wife, Linda Singer, was appointed DC Attorney General by Fenty, and served a year before resigning, reportedly because Fenty relied more on the Office of DC General Council for legal advice.

In the early 1990’s he was an elected member of ANC 2C.  Between 1993 and 1996 he was the Staff Director of the D.C. Council’s Committee on Economic Development where he managed legislative work related to the creation of the Washington Convention Center Authority, the MCI Center, Industrial Revenue Bond Forward Commitments, and Business Improvement Districts.

While working for Eastbanc, Sternlieb was a reliable presence at DC Council hearings and ANC 6B meetings concerning the Hine Development.  His close ties to city government as well his own expertise made him a formidable force throughout the Hine Development project.  It is unclear whether Eastbanc will assign a new face to the Hine project, or whether local developers at Stanton will now take the lead in future discussions.

CHRS Considers Weighing In On City Closure of 7^th Street For Flea Market

by Larry Janezich

Last night the Capitol Hill Restoration Society (CHRS) Board of Directors heard a request from Barbara Eck, the Board’s representative to EMCAC, that the Board write a letter to the city in support of EMCAC’s position that the city close the 300 block of 7^th Street to accommodate the flea market during the construction period for the Hine project.  The request was supported by Board Member Chuck Burger, who sits on EMCAC in his capacity as a representative of CHAMPS, and Board Member Monte Edwards, who sits on EMCAC in his capacity as a representative of the Stanton Park Association.

In support of the request, Burger said, “We have to take care of the vendors.  The question comes up who should be responsible for the vendors?”  Board Member Gary Petersen said, “Who should control the vendors is a separate issue we shouldn’t have to get involved in.  The flea market is clearly a part of the culture of Eastern Market and we should support it.”

Board Member Elizabeth Nelson said she wasn’t sure the CHRS should take sides without assessing the impact on the “brick and mortar” businesses on the block.  Her concerns were shared by Board Member Shauna Holmes.

For the first time in the public debate, the issue of compensation for the “brick and mortar” merchants was raised.  Burger noted, “We need more ammo to get compensation for the brick and mortar merchants.”  It was unclear what he was referring to, but it is known that the brick and mortar merchants are formulating a position on the street closure at the request of ANC6B.  As a representative of CHAMPS, Burger is a likely participant or coordinator of that effort.  It is also noteworthy that one of the Hine developers, Stanton Development, owns several of the buildings housing the “brick and mortar” merchants on the block.

At the September meeting of the ANC, Commissioner Brian Pate announced he would postpone until October his resolution requesting closure of the street during the Hine construction period, in order to give the merchants on 7^th Street an opportunity to have input on the proposed street closure.  ANC6B has been at odds with EMCAC over the closure, with the ANC trying to provide some protection for the current flea market managers, and EMCAC trying to put the flea market under the control of the Eastern Market manager.

Although the CHRS Board evidently desires to stay out of the question of who controls the vendors, in effect, if the city closes the street by Mayoral order, the Department of General Services – and thus, the Eastern Market manager – will control the vending on the closed street, which is the position EMCAC has been advocating.

The consensus of the Board was that no vote was necessary to proceed, and the further consensus was that a letter would be drafted and circulated for consideration by email after the meeting.