Stimulate growth in slum areas

We have race to-the-top competitions in education and I'm advocating such a race in urban renewal in slum areas. I'm saying that we can have grants to stimulate growth in slum areas. We've had trickle-down economics for the wealthy the past dozen years to have more access to capital and my idea would do the same but with a different group in society.

I'm advocating $15,000 grants be given for guaranteed million-dollar loans for impoverished individuals to have access to capital. The grants would be advocated on a competitive basis, as is done with education's race to the top. The target group would be to provide capital in redlined banking areas.

To receive the guaranteed loans, the recipient would need to be a college graduate and from a slum area. If the candidate has a great idea and is not a college graduate, the program would pay for baby sitters, college tuition and books to assure that he had the capacity to undertake risk and avoid bankruptcy.

This would give impoverished individuals the access to capital that is necessary to succeed. This would mean that those living in slum areas would have the ability to design urban renewal programs that the local community wants, not a giant federal bureaucracy.

Taxpayers would be spending only $15,000 for capital access of a million dollars. This amount is cheaper than the tax cuts currently given to the wealthy 1 percent.

Al Swegle

Cedar Rapids