Clinton's Christmas surprise

THE BALTIMORE SUN

The good news is that Baltimore won one of the coveted empowerment zone slots, with $100 million in extra federal grants for social programs and $250 million in tax credits to employers who create new jobs. The bad news is that all the contracts and paper work must be completed by Jan. 4, so that the new, Republican-controlled Congress will not confiscate the funds already allocated for the program.

"We will make this happen," pledged Michael Seipp, who oversaw Baltimore's application process. "We'll work around the clock if we have to."

Merry Christmas and Happy New Year too!

This can-do attitude was a key factor in helping Baltimore overcome several obstacles to defeat many other cities and win the federal windfall. Mayor Kurt L. Schmoke's marching orders to Mr. Seipp were to have his staff develop a plan that could not be rejected on its merits. In a cooperative effort involving more than 500 corporate, non-profit and community leaders, they did so, working under tight deadlines.

The empowerment zone award is manna from heaven for Mr. Schmoke, who is facing a challenge from City Council President Mary Pat Clarke in his re-election bid next year. This unexpected federal money is also likely to muffle criticism that has been directed against the Schmoke administration's low-key and seemingly confused style of economic development. Barring a major scandal or some other unforeseen development, it looks now as if Mr. Schmoke will be hard to beat after yesterday's announcement.

Even so, there are many difficult tasks ahead.

During the application process, the Schmoke administration told the White House that if Baltimore got the money, there would be groundbreakings every month between now and the presidential election. Indeed, Baltimore created a skeleton infrastructure to make this possible -- by establishing a Small Business Resource Center to be inaugurated Jan. 12 and a small business investment corporation that has so far attracted $12 million in private backing.

These are only the first steps, however, if the empowerment zone's goals of accelerated improvement are to be realized in Sandtown-Winchester, Pigtown, Fairfield and in the slums that surround the Johns Hopkins medical institutions in East Baltimore.

The Clinton administration's empowerment zone idea is only the latest reworking of a concept that has a spotty record of success. Yet this Yuletide federal windfall must be seen as a rare chance for a city like Baltimore to try to reverse the decline. This can be done only in partnership with the private sector.

The name of the game is jobs.

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