NOTICE: In accordance with Title 17 U.S.C. Section 107, this material
is distributed without profit to those who have expressed a prior
interest in receiving the included information for research and
educational purposes.
May, 1998
Cindy Frazier column: Should Santa Monica have its own currency?
The Argonaut, Marina Del Rey, CA
May 14, 1998
One of the more unusual ideas to surface at a recent meeting of
the Ocean Park Community Organization is that of a local currency
for Santa Monica.
Just when our friends "over there" have finally nailed down a
unified currency – the euro –Santa Monica City Councilman Mike Feinstein thinks Santa Monica should offer its own "currency" system.
Feinstein – who is also a very active member of the Green Party
– added this to his laundry list of "futuristic" ideas for the
city in the year 2020.
The theme of the meeting was "Santa Monica: 2020 Vision."
Turns out that the currency idea is not so far-fetched as it first
seems.
A number of cities in the East, Midwest, Canada and Europe have,
in fact, developed their own local "dollars" based on a unit of
labor, according to supporters.
Cities from Ohio to Manitoba, Canada, are offering their own hometown
"currency," with various names.
In Ithaca, New York, for example, the currency is called "Hours," and each Hour is worth $10. Workers can receive one "hour" for
each hour they work.
There are also "half-hours," "quarter-hours" and "eighth-hours."
Businesses can sign up to accept "hours" in addition to the good-ole
U.S. dollar.
In effect, it's like the scrip you might buy at a carnival, although
this scrip can be more widely accepted within the local community.
RECESSION-ERA– The idea seems to have caught on during the "great
recession" of the early 1990s – promulgated by former Venice resident
Paul Glover, who literally wrote the book on hometown currency.
Supporters say the local economy is strengthened by allowing local
people to trade labor hours directly for goods and services.
They claim their local currency is legal – and is taxable as income
– and have taken pains to safeguard the certificates from counterfeiting.
The immediate effect is a raise in the minimum wage to $10 per
hour for those people who accept the scrip, which boosts the buying
power of lower-level workers significantly, supporters say.
The idea of a locally based currency has evidently attracted businesses
as a survival tool in a distressed economy, but we question whether
it would ever fly in Santa Monica, with our ever-booming international
tourist trade.
In contrast to Feinstein's vision of the future, we wonder if,
in the year 2020, Santa Monica businesses might not find it desirable
to start accepting the euro.
NAME QUESTION – Still, it would be fun to have our own currency.
The big question is, what would it be called?
The "Monica?" (No, too much baggage.)
The "Dolphin?" (Not a bad choice.)
Feinstein, however, likes the idea of naming our local currency
after City Manager John Jalili, who is credited with bringing
the city through the aforementioned recession with a Triple-A
bond rating.
In the year 2020, if Feinstein has his way, we could see the following
signs in local supermarkets and hair salons:
"Jalilis accepted here."