For those seeking to understand the recent decision to “lay over” the appointment of the new Planning and Economic Development (PED) director for the City of St. Paul, here is my insight having served in the role and why people of St. Paul should take notice.

The city has two arms: the legislative branch represented by the City Council and the executive branch represented by the mayor’s office.

The PED is basically five departments rolled into one: business development, real estate development, planning, housing, and community development.

However, the city also created another entity called the HRA (Housing and Redevelopment Authority) to oversee business development, housing and real estate development in the city. The HRA members are city council members acting as HRA commissioners.

The PED director also has two functions: PED director and executive director of the HRA. The PED director/executive director of the HRA is appointed by the mayor.

Here comes the dance.

The HRA can make decisions without the mayor’s approval because it operates as a separate entity. The way the mayor exercises power is through the staffing of the HRA with the executive director and PED staff, and the power of the executive over other departments in the city.

This dance of power can serve or hurt citizens.

In the decision to lay over the appointment for two weeks, the HRA chair is exercising the power of the HRA and reminding the executive branch that there is shared governance in the economic development of the city. It also reminds the PED director of the constant balancing act between the often competing interests of these two power centers.

Today, this is significant for two important reasons.

There is a lot of excitement about major investments in downtown and large economic development projects, but far less excitement about investments in St. Paul’s beautiful neighborhoods, small businesses, rising property taxes, the educational outcomes of our youth, and the ability of residents to own or remain in their homes with stability.

Then there is the opportunity to think beyond big-box development and think about the emerging new economy — the low altitude economy, the AI+ economy, and the massive transition in talent and skills now underway.

We are seeing this challenge play out even on the battlefield: million-dollar weapons versus the cheap drone.

The lesson is clear. Agility, innovation, talent and adaptability now matter as much as scale.

St. Paul has the talent, creativity and entrepreneurial energy to be at the center of this new economy if we choose to prepare for it and invest in it.

The other major problem is that for a long time the HRA had assets like land and parking ramps that could generate revenue to pay for projects without raising “levies” — the HRA word for taxes. That well has long run dry and the reliance has shifted to levies/taxes or funding from the federal, state or county partnerships. We need to build up the asset base.

This is a pragmatic pause, and a welcome one, for both power centers to ask important questions:

How will this impact the ordinary person in St. Paul?

How can we lay the foundations for the new emerging economy?

How will we reduce our reliance on taxes and levies to fund our needs?

How can we make our neighborhoods’ vibrancy shine?

It can be a win-win future.

Perhaps the two-week pause will bring inspiration and direction for this city we all love and call home.

Bruce Corrie is emeritus professor of economics at Concordia University, former PED/HRA director and currently working on co-creating Cultural Destinations — an economic development strategy focused on joy.