The idea of a Chamber of Commerce running a city might seem appealing at first glance—after all, who better to manage economic growth and business interests than an organization dedicated to promoting commerce? However, handing over the reins of municipal governance to a Chamber of Commerce is a flawed concept that risks undermining democracy, prioritizing profit over public good, and neglecting the diverse needs of a city’s population. Cities are complex ecosystems requiring balanced leadership that serves all residents, not just the business elite. Here’s why the Chamber of Commerce should not be in charge.
Henry McClure has 45 years of real estate experience of real estate transactions of all kinds. Most of my career has been dedicated Shopping Mall re-development, commercial leasing, commercial sales, Mixed-Use/TIF redevelopment and sales of residential and commercial real estate. I have played real advisory roles including but not limited, commercial and residential development, leasing, zoning, real estate tax valuation, platting issues and Brokers Opinions. #mcre1
Saturday, March 15, 2025
Time for change in Topeka KS
First, a Chamber of Commerce is inherently a private, business-focused organization, not a democratic institution. Its members—typically local business owners, corporate leaders, and entrepreneurs—join voluntarily to advance their economic interests. While these interests are important, they do not encompass the full scope of a city’s needs. City government, by contrast, is accountable to all residents through elections, public forums, and transparent decision-making processes. A Chamber lacks this mandate. Its leadership isn’t elected by the public but appointed internally, often reflecting the priorities of its most influential or wealthiest members. If the Chamber ran the city, decision-making would likely skew toward those with the loudest voices in the business community, sidelining the average citizen—renters, workers, students, retirees, and the unemployed—who don’t have a seat at the table.
Second, the Chamber’s mission is narrow: to promote business growth and profitability. While economic vitality is crucial, it’s only one piece of the puzzle. Cities must also address housing, public safety, infrastructure, education, healthcare access, environmental sustainability, and cultural development. A Chamber-led government would likely prioritize policies that boost commerce—tax breaks for corporations, deregulation, or incentives for developers—over less profitable but equally vital public services. For example, would a Chamber prioritize affordable housing if it conflicted with the interests of real estate moguls seeking higher profits? Would it fund public parks or libraries if those investments didn’t directly yield revenue? History suggests not. Chambers often lobby against regulations that protect workers or the environment when they threaten the bottom line, as seen in their frequent opposition to minimum wage hikes or emissions standards.
Third, a Chamber-run city risks creating a plutocracy—rule by the wealthy. Membership in a Chamber of Commerce often requires dues, meaning it’s already skewed toward those with financial means. Small businesses and startups may struggle to afford participation, let alone influence policy, while large corporations can dominate the agenda. If this group governed the city, policies would likely favor the well-connected elite over the broader population. Consider zoning laws: a Chamber might push for commercial development in residential areas to maximize profit, disregarding the quality of life for families who value quiet neighborhoods. Public input would be reduced to an afterthought, as the Chamber isn’t obligated to hold town halls or respond to voter pressure. The result? A city designed for the few, not the many.
Fourth, Chambers lack the expertise and infrastructure to manage a city’s complex operations. Running a municipality involves more than hosting networking events or issuing press releases about economic wins. It requires managing budgets in the millions or billions, overseeing police and fire departments, maintaining roads and sewers, and navigating state and federal regulations. City governments employ trained professionals—urban planners, civil engineers, social workers, and public health officials—to handle these tasks. A Chamber, by contrast, is typically staffed by business advocates, not public administrators. Without this expertise, a Chamber-led city could falter, leading to mismanagement, inefficiency, or outright neglect of critical services. Imagine a Chamber trying to coordinate disaster response during a hurricane—would it prioritize evacuating residents or protecting business assets?
Fifth, accountability would erode under Chamber rule. Elected officials, for all their flaws, can be voted out if they fail to deliver. A Chamber, as a private entity, answers only to its members, not the public. If it ran the city and made unpopular decisions—say, cutting public transit to fund a tax cut for retailers—residents would have no direct recourse. Protests or petitions might be ignored, as the Chamber wouldn’t face electoral consequences. Transparency would also suffer. Chambers aren’t subject to the same open-records laws as governments, so citizens might struggle to access information about how decisions are made or how public funds are spent. This opacity could breed corruption, as business leaders award contracts to their allies without oversight.
Sixth, a Chamber-run city would likely exacerbate inequality. Businesses thrive on competition, but cities must ensure fairness and opportunity for all. Chambers often advocate for policies that benefit their members—like opposing rent control or pushing for sales tax over corporate tax—without considering the ripple effects on low-income residents. In a Chamber-led city, gentrification could accelerate as developers chase profits, displacing long-time residents. Public schools might lose funding if they’re seen as less critical than workforce training programs tailored to business needs. The working class, who keep cities running as teachers, nurses, bus drivers, and sanitation workers, could find their voices drowned out by corporate interests. Over time, the city would become a playground for the affluent, pricing out everyone else.
Seventh, Chambers are not equipped to handle social and cultural issues. Cities are more than economic engines—they’re communities with histories, identities, and values. A Chamber might excel at attracting tourism or industry but falter when addressing racial equity, homelessness, or public art. These issues require empathy, collaboration, and a long-term vision, not just a profit motive. For instance, a Chamber might see a homeless encampment as a blight to be cleared for a new shopping center, rather than a symptom of deeper systemic problems needing compassionate solutions. Similarly, cultural institutions like museums or theaters might be defunded if they don’t generate immediate economic returns, eroding the city’s soul.
Finally, history offers cautionary tales of business-dominated governance. Company towns, like those run by coal or steel magnates in the 19th and early 20th centuries, illustrate the dangers. In places like Pullman, Illinois, workers lived under the thumb of their employers, who controlled housing, stores, and even local laws. Dissent was crushed, and residents had no say in their fate. While a Chamber isn’t a single corporation, its collective focus on business interests could recreate a modern version of this dynamic—a city where economic power trumps individual rights. Even today, when Chambers wield outsized influence through lobbying, they often clash with public will, as seen in debates over healthcare or labor laws.
In conclusion, the Chamber of Commerce plays a valuable role in advocating for businesses, but it should not run your city. Its private, profit-driven nature conflicts with the democratic, holistic demands of municipal governance. A city needs leaders who answer to everyone—residents, workers, and yes, businesses—not just a select group of dues-paying members. It requires expertise in public administration, not just commerce, and a commitment to equity over exclusivity. Handing control to the Chamber would risk turning a vibrant, multifaceted community into a corporate fiefdom, where the pursuit of profit overshadows the public good. Cities thrive when they balance economic growth with social welfare, not when one drowns out the other. Keep the Chamber in its lane—supporting business, not steering the ship.