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Sohodojo Advisory Board Member
Jim Schneider
The Taxman86 Speaks...
31 July 2000
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Where Are The High Tech Employees Going; Our Readers Are Right On Target, The Lawyers Always Win; Can Pittsburgh's Enterprise Community Become The Next Silicon Alley.

1. "Cool Counts in Luring Hot Techies."

We have seen it happen in San Francisco's South of Market Area [SoMa] in the middle 90's, New York's Silicon Alley and now it happening all over according to Gary Chapman in his July 31, 2000 Digital Nation Column in the L.A. Times. What he does not see coming is the pending tax incentives for urban Empowerment Zones and may be Enterprise Communities which will have a major impact on the incentives that High Tech Companies can provide to High Tech Employees. His comments about what the high tech employees are looking for is right on target based on our own experiences in San Diego's Gaslamp Quarter, Seattle's Pioneer Square, Portland's Old Town, and Denver's LoDo Area, to name a few. It also helps to have work/live loft space.

2. The Reader is right, the lawyers win.

One of our reader wrote us the following: ""...I really think the RIAA is wasting its time to go after NAPSTER, downloadable music will always exist on the internet. For every NAPSTER that shuts down, there are five other sites sprouting up to handle the demand. It is making alot of lawyers happy, though..." We agree.

Check out the latest legal battle in New York City over the right to publish Hacker Code on the Internet.

For those that are interested, Napster's hits went from 1.8M per day to 5.8M hits per day after the trial began and computer equipment manufactures are jumping onto the bandwagon, big time.

3. Where is the Pittsburgh Enterprise Community.

If you check out the EZ/EC Hud Locator for the Pittsburgh Enterprise Community you will see it is right near the center of downtown and jumps the river. We suggest that Richard Florida, a professor of public policy at Carnegie Mellon University in Pittsburgh missed this in his report Competing in the Age of Talent: Enviroment, Amenities, and the New Economy..

Moreover, we suggest that he update his study [pre and post Distressed Community Legislation] since proposed IRC Section 1397B, the Capital Gains Roll Over, goes into effect when the President signs the bill, when all other provisions are effective next year or the year after 2002. Thus for those starting new companies, or selling old ones, in Empowerment Zones, or Enterprise Communities, keep your eye on the ball. Downtown Pittsburgh may never be the same.

Jim Schneider, LL.M.
Taxman86

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