Crowdsourcing and Crowdfunding
Revolutionizing Public Participation in Urban Planning and
                Real Estate Development?
Damon Orobona
                                   Miller, Miller & Canby

                                   damon@mmcanby.com




                                   Ben Miller
                                   Popularise; Fundrise

                                   ben@fundrise.com




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Damon Orobona
                                   Miller, Miller & Canby

                                   damon@mmcanby.com




                                   Ben Miller
                                   Popularise; Fundrise

                                   ben@fundrise.com




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Damon Orobona
                                   Miller, Miller & Canby

                                   damon@mmcanby.com




                                   Ben Miller
                                   Popularise; Fundrise

                                   ben@fundrise.com




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Damon Orobona
                                   Miller, Miller & Canby

                                   damon@mmcanby.com




                                   Ben Miller
                                   Popularise; Fundrise

                                   ben@fundrise.com




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Damon Orobona
                                   Miller, Miller & Canby

                                   damon@mmcanby.com




                                   Ben Miller
                                   Popularise; Fundrise

                                   ben@fundrise.com




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Public Participation Context




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
The Age-Old Urban Planning Challenge:

               How can we reach large numbers of
               people and allow them to effectively
               engage in meaningful citizen participation
               without slowing down the process?




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Sherry Arnstein’s Ladder
  of Participation (1969)




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Three Perspectives on Participation

          Perspective                  Justification            Examples

          Normative                    Part of ideal of         Pateman (1970)
                                       citizenship &            Mansbridge (1983)
                                       democracy

          Substantive                  Needed for good          Fung (2006)
                                       plans & policies:
                                       ideas, knowledge,
                                       views

          Instrumental                 Required to resolve      Burby (2003)
                                       problems, achieve        Susskind (1987)
                                       acceptance



Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
                                                                                            4"
Today, Two Typical Outcomes in the Participatory Process




                                                  1. Very little (or no)
                                                     participation, which is not
                                                     representative of the
                                                     community; or

                                                  1. Involvement, but louder
                                                     voices dominate the
                                                     discussion in community
                                                     meetings. “Squeaky wheel
                                                     gets the grease.”




Introduction   Public Participation Context   Crowdsourcing        Crowdfunding    The Future   Q&A
Little Attendance = Unrepresentative of Complete Community




Introduction   Public Participation Context    Crowdsourcing      Crowdfunding      The Future   Q&A
Opposition More Vocal than Supporters = Unrepresentative of Complete Community




Introduction     Public Participation Context    Crowdsourcing      Crowdfunding      The Future   Q&A
“We’ve tainted the process by not
                                                                    understanding that the [immediate]
                                                                   neighbors are a special interest… they
                                                                     are not the community.” – Andres
                                                                                   Duany




               The Status Quo has led to a Debate regarding the Importance of Public Participation




Introduction     Public Participation Context      Crowdsourcing       Crowdfunding        The Future   Q&A
“New mechanisms were devised [in the 1960s]
                                                                           to empower ordinary citizens to shape and
                                                                           guide the planning process… I can think of no
                                                                           other profession that has done anything quite
                                                                           like [this]. Imagine economists at the Federal
                                                                           Reserve holding community meetings and polls
                                                                           to decide the direction of fiscal policy. Imagine
                                                                           public health officials giving equal weight to the
                                                                           nutritional wisdom of teenagers- they are
                                                                           stakeholders, after all!... This is why it is a fools
                                                                           errand to rely upon citizens to guide the
                                                                           planning process. Forget for a moment that
                                                                           most folks lack the knowledge and expertise to
                                                                           make intelligent decisions about the future of
                                                                           our cities. Most people are too busy, too
                                                                           apathetic, or too focused on their jobs or kids to
                                                                           be moved to action over planning issues unless
                                                                           those issues are at their doorstep. And once an
                                                                           issue is at the doorstep, fear sets in and reason
                                                                           and rationality fly out the window. So the very
                                                                           citizens least able to make objective decisions
                                                                           about planning action are the ones who end up
                                                                           dominating the planning process…”
               The Status Quo has led to a Debate regarding the Importance of Public Participation
                                                                                  -Tom Campanella, Department Chair, UNC




Introduction     Public Participation Context      Crowdsourcing       Crowdfunding            The Future           Q&A
Montgomery County is currently rewriting its zoning code (so is DC and many others)

Multiple community meetings and public hearings required in the existing state of affairs

One of the major comments given to improve planning and zoning processes is to streamline –
not to remove, but to make more efficient – the public participation process

   Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Compare the American Experience with that of China



                                                            “To visit China today as an
                                                          American is to compare and to
                                                           be compared… with enough
                                                            cheap currency, labor, and
                                                         capital – and authoritarianism –
                                                          you can build anything in nine
                                                                months.” – Thomas
                                                            Friedman, New York Times




Introduction   Public Participation Context    Crowdsourcing      Crowdfunding   The Future   Q&A
Dongting Lake, China, December 2011




               [Video clip removed. Not supportable on SlideShare.]




Introduction     Public Participation Context   Crowdsourcing     Crowdfunding   The Future   Q&A
Shanghai, China, June 2009




Introduction   Public Participation Context   Crowdsourcing        Crowdfunding   The Future   Q&A
Audience Snap Poll




          A. The process is fine as it is. We are effectively reaching the community.
             The speed of accomplishing planning projects is swift and nimble.

          A. Public participation (and public process in general) is overrated. We
             don’t need the community’s input. We should be able to build
             anything in 90 days.

          B. We need to rethink public participation to make it more inclusive and
             effective.




Introduction   Public Participation Context       Crowdsourcing    Crowdfunding   The Future   Q&A
Crowdsourcing




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
What is crowdsourcing?
           Utilizing the benefits of mass collaboration
           (not to mention sheer volume of workers) to
           reach a desired outcome.
                                               - About.com




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Benefits of Crowdsourcing
Open vs. Closed Model

                                                        Open                    Closed

         Community Engagement                           Broad                   Narrow

         # of People Involved                           1000s                     10s

         Amount of Input & Ideas                        More                     Less

         Data                                        Quantitative              Subjective

         Community Buy-In                           Representative             Random




                                  1. Better decision-making
                                  2. Engaged community
Introduction    Public Participation Context   Crowdsourcing    Crowdfunding     The Future   Q&A
Crowdfunding




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
What is crowdfunding?
           The funding of a company by selling small
           amounts of equity to many investors.
                                             - Wikipedia




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Benefits of Crowdfunding
 Democratize Investment


                          Online Direct Investment



               1. Cuts out middlemen: lowers cost of capital
               2. Real people invested: increases social capital




Introduction     Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
What Does the Future Hold?




Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
[Video clip removed. Not supportable on SlideShare.]




Introduction     Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Introduction   Public Participation Context   Crowdsourcing   Crowdfunding   The Future   Q&A
Questions?




Introduction   Public Participation Context    Crowdsourcing   Crowdfunding   The Future   Q&A

Crowdsourcing presentation (slideshare)

  • 1.
    Crowdsourcing and Crowdfunding RevolutionizingPublic Participation in Urban Planning and Real Estate Development?
  • 2.
    Damon Orobona Miller, Miller & Canby damon@mmcanby.com Ben Miller Popularise; Fundrise ben@fundrise.com Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 3.
    Damon Orobona Miller, Miller & Canby damon@mmcanby.com Ben Miller Popularise; Fundrise ben@fundrise.com Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 4.
    Damon Orobona Miller, Miller & Canby damon@mmcanby.com Ben Miller Popularise; Fundrise ben@fundrise.com Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 5.
    Damon Orobona Miller, Miller & Canby damon@mmcanby.com Ben Miller Popularise; Fundrise ben@fundrise.com Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 6.
    Damon Orobona Miller, Miller & Canby damon@mmcanby.com Ben Miller Popularise; Fundrise ben@fundrise.com Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 7.
    Public Participation Context Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 8.
    The Age-Old UrbanPlanning Challenge: How can we reach large numbers of people and allow them to effectively engage in meaningful citizen participation without slowing down the process? Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 9.
    Sherry Arnstein’s Ladder of Participation (1969) Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 10.
    Three Perspectives onParticipation Perspective Justification Examples Normative Part of ideal of Pateman (1970) citizenship & Mansbridge (1983) democracy Substantive Needed for good Fung (2006) plans & policies: ideas, knowledge, views Instrumental Required to resolve Burby (2003) problems, achieve Susskind (1987) acceptance Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A 4"
  • 11.
    Today, Two TypicalOutcomes in the Participatory Process 1. Very little (or no) participation, which is not representative of the community; or 1. Involvement, but louder voices dominate the discussion in community meetings. “Squeaky wheel gets the grease.” Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 12.
    Little Attendance =Unrepresentative of Complete Community Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 13.
    Opposition More Vocalthan Supporters = Unrepresentative of Complete Community Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 14.
    “We’ve tainted theprocess by not understanding that the [immediate] neighbors are a special interest… they are not the community.” – Andres Duany The Status Quo has led to a Debate regarding the Importance of Public Participation Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 15.
    “New mechanisms weredevised [in the 1960s] to empower ordinary citizens to shape and guide the planning process… I can think of no other profession that has done anything quite like [this]. Imagine economists at the Federal Reserve holding community meetings and polls to decide the direction of fiscal policy. Imagine public health officials giving equal weight to the nutritional wisdom of teenagers- they are stakeholders, after all!... This is why it is a fools errand to rely upon citizens to guide the planning process. Forget for a moment that most folks lack the knowledge and expertise to make intelligent decisions about the future of our cities. Most people are too busy, too apathetic, or too focused on their jobs or kids to be moved to action over planning issues unless those issues are at their doorstep. And once an issue is at the doorstep, fear sets in and reason and rationality fly out the window. So the very citizens least able to make objective decisions about planning action are the ones who end up dominating the planning process…” The Status Quo has led to a Debate regarding the Importance of Public Participation -Tom Campanella, Department Chair, UNC Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 16.
    Montgomery County iscurrently rewriting its zoning code (so is DC and many others) Multiple community meetings and public hearings required in the existing state of affairs One of the major comments given to improve planning and zoning processes is to streamline – not to remove, but to make more efficient – the public participation process Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 17.
    Compare the AmericanExperience with that of China “To visit China today as an American is to compare and to be compared… with enough cheap currency, labor, and capital – and authoritarianism – you can build anything in nine months.” – Thomas Friedman, New York Times Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 18.
    Dongting Lake, China,December 2011 [Video clip removed. Not supportable on SlideShare.] Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 19.
    Shanghai, China, June2009 Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 20.
    Audience Snap Poll A. The process is fine as it is. We are effectively reaching the community. The speed of accomplishing planning projects is swift and nimble. A. Public participation (and public process in general) is overrated. We don’t need the community’s input. We should be able to build anything in 90 days. B. We need to rethink public participation to make it more inclusive and effective. Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 21.
    Crowdsourcing Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 22.
    What is crowdsourcing? Utilizing the benefits of mass collaboration (not to mention sheer volume of workers) to reach a desired outcome. - About.com Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 23.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 24.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 25.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 26.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 27.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 28.
    Benefits of Crowdsourcing Openvs. Closed Model Open Closed Community Engagement Broad Narrow # of People Involved 1000s 10s Amount of Input & Ideas More Less Data Quantitative Subjective Community Buy-In Representative Random 1. Better decision-making 2. Engaged community Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 29.
    Crowdfunding Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 30.
    What is crowdfunding? The funding of a company by selling small amounts of equity to many investors. - Wikipedia Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 31.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 32.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 33.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 34.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 35.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 36.
    Benefits of Crowdfunding Democratize Investment Online Direct Investment 1. Cuts out middlemen: lowers cost of capital 2. Real people invested: increases social capital Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 37.
    What Does theFuture Hold? Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 38.
    [Video clip removed.Not supportable on SlideShare.] Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 39.
    Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A
  • 40.
    Questions? Introduction Public Participation Context Crowdsourcing Crowdfunding The Future Q&A