TELAVIV-YAFO

A Fortress of Democracy

An Interview with The Honorable , Mayor, -Yafo

EDITORS’ NOTE Ron Huldai is an These two characteristics – a non- we have the fi nancial capacity to do so, but Israeli politician and a former high stop city and the city of startups – com- also, unfortunately, because the state does less school headmaster and fi ghter pilot. plement each other and are a center of on these issues. In the course of his 26 years of military attraction and interest in our city on a Moreover, there is a fascinating political service in the , he served global level. phenomenon occurring all over the Western as a combat pilot and held several key This is your fi fth term as mayor world: national governments headed by con- senior command positions, includ- of Tel Aviv. What has made this role servative leaders, which maintain tense relation- ing Brigadier General. Following his so special for you? ships with cities controlled by a progressive retirement from active duty, he A mayor’s job is to do good. We political establishment. Look at what’s happen- became headmaster of the prestigious touch on so many aspects of residents’ ing in the United States – nearly all major cities Herzliya Hebrew Gymnasium (High lives – in the education of their chil- are headed by Democratic mayors, operating School) and remained in offi ce for six dren, in their living environment, in policies that are at times contrary to those of years. A member of the Labor Party, The Hon. Ron Huldai the culture they require. One of the the conservative president. The same is true Huldai was fi rst elected Mayor of Tel good things about being a mayor for many European countries, where conserva- Aviv in 1998, and was reelected in 2003, 2008, is that you get to see the fruits of your labor. tive forces often challenge the values that have 2013 and again in 2018. Currently, for example, we’re inaugurating the guided the countries on the continent since city’s largest football stadium with 29,000 seats; World War II: tolerance, pluralism, the welcom- How do you describe the Tel Aviv brand? completing the renovation of one of our reper- ing of immigration, and the blurring of bor- The slogan of the city expresses its real- tory theaters with three stages; and opening a ders between countries. Today, the very belief ity: “the city that never sleeps.” There is no museum on the White City’s architectural heri- in democracy and its values is under threat one in who is not familiar with this slo- tage. In what other profession can you dream and, in this situation, mayors have a crucial gan which, as stated, reflects the city’s true of a project one night, and the next day get up role to serve as a democratic fortress in their nature; it is vibrant, energetic, creative and and make it come true? nations. In Israel, too, there are forces working dynamic; a city of culture and art, great night- However, it is very important to under- to weaken democratic institutions, and I see life and culinary richness; a safe city that is stand that a mayor’s role in the 21st century is the role of Tel Aviv as preserving the values pleasant to live in, good to work in and fun to much broader than it use to be. Several years that the state was founded on 70 years ago. It spend time in. The “city that never sleeps” did ago, I published a joint article with my friend, is no coincidence that our town square is the not create itself, but is the result of very hard Mayor of Paris Anne Hidalgo, about the respon- main focal point of major political demonstra- and strenuous work – 6 percent of our annual sibilities of mayors nowadays. In the past, there tions in Israel. We invest great efforts to enable budget is invested in culture and art, includ- were issues that were considered “national” and freedom of expression and creativity; we work ing a makeover in infrastructure, upgrading included substantive and fundamental matters, to make every group and minority feel at home public spaces and encouraging strolling while “municipal” issues were more mundane. in the city; we have established the world’s fi rst about, policies of encouraging young people The expectation was that the national leader- municipal community center for the gay com- and defining recreation areas – all of these ship would navigate the weighty issues, while munity and budgeted for dozens of community have created a city that thrives 24 hours a day, the mayors would deal with infrastructure and activities and groups; we have implemented 7 days a week. construction, cleanliness and public spaces. an affi rmative action policy in the municipality Another aspect of the brand has been Today the situation is different. Governments for employees from the Arab minority in Israel; added in recent years. I always say that if are waning in power, ceasing to provide ser- and, in addition, we act to ensure at least half the world was a newspaper, then Tel Aviv vices on many issues that were previously in of the managers and members of the munici- would once have been covered in the Culture, their domain. It’s not that needs have changed. pal boards are women. This, if you ask me, is Lifestyle, and Tourism pages. However, On the contrary, needs have increased. But the most important role of a big city – to be a about a decade ago, we began appearing in in many countries of the world, a vacuum is fortress of democracy in a world of increas- other parts of the paper – the Economy and created, which the mayors are required to fi ll. ing extremism. Technology sections. As many know, the State Mayors are fi nding themselves operating in new Will you highlight your efforts in of Israel is known as the “Startup Nation.” fi elds, and decisions are needed on issues that recent years to position Tel Aviv as a global As is the case in many countries where there were never on their agenda. I always call Tel hub of innovation and creativity? is an important technology sector, the initial Aviv “the social home front of Israel” as we In recent years, our city has experienced phase of this sector – the start-ups – usually provide services not only to our residents, but an extraordinary economic miracle. fl ourishes in cities. That is what has happened also to residents from dozens of municipali- From a local economic center that served with us, too. Little Tel Aviv, which is about the ties around us – giving aid to addicts, special the Israeli market, the city has become the size of Manhattan, has about 2,000 start-ups – education students, single-parent families, sex father of technology-led companies that attract making us the city with the highest number workers, street children – everyone is looking entrepreneurs and fi rms from all over the world. of companies per capita or per square mile in for solutions in the big city. We do this out of This phenomenon is happening as Israel the world. love and with a sense of responsibility, because itself is undergoing an economic upheaval. In

192 LEADERS POSTED WITH PERMISSION. COPYRIGHT © 2019 LEADERS MAGAZINE, LLC VOLUME 42, NUMBER 4 the fi rst decades of its existence, Israel was a poor country with few resources, but in the 1990s a revolution began with the growth of the technology sector, the entry of many edu- cated immigrants from the former Soviet Union, and the removal of the Arab boycott. The Israeli government, which recognized the opportunity, developed a very successful sys- tem of encouragement and support for technol- ogy, and the result is that Israel has become a Startup Nation – a global hub of innovation and creativity. As is the case with countries with a signifi - cant technology sector, many companies – espe- cially small startup companies – concentrate in a big, vibrant city. Along with unprecedented investment in urban infrastructure and the return of young people to the city, Tel Aviv has become Israel’s Startup City. We recognized the opportunity, and decided to leverage it. Our program focuses on two main channels of activ- ity – helping companies and advertising them to the world. In the area of aid, we have low- ered the municipal taxes that start-ups pay at the outset; we have opened up the municipal databases to developers; we have inaugurated urban work spaces for entrepreneurs; we cre- The vibrant city of Tel Aviv ate dozens of entrepreneurial events a year and partner with hundreds more happening in international research and development cen- of today we have enjoyed 17 years of a bal- the city; and about a year ago, we launched ters, and countless companies offering fi nancial anced budget with a surplus. The Israeli affi liate a joint space with which tools, legal aid, foundations, and support ser- of Standard & Poor’s rated our municipality as serves as the beta site for a trial of Smart Cities vices. Today, 1 in 10 employed people in the Triple A Stable. technologies. city works with technology – this is an entire How did we do that? First of all, we live In the area of exposure, we leverage the ecosystem with a huge impact on the urban on what we have, not on what we don’t have; media’s and influencers’ great interest in economy. my parents taught me that. I grew up on a Tel Aviv, and set meetings with investors and The municipality under your leader- , and in today’s terms we were poor. decision-makers, providing PR and exposure ship manages to maintain a balanced bud- The kibbutz is a kind of Israeli collective that for dozens of entrepreneurs a year. get while investing in infrastructure, public advocates pioneering and manual labor, and The most signifi cant expression of techno- space, and municipal institutions. How my parents were pioneers who came from logical growth in the city is the rate of startups have you been able to achieve this? Poland in the 1920s to establish a kibbutz in operating here: close to 2000 start-ups, which When I took offi ce in the city, it was in Israel along the highway between Jerusalem is the highest rate in the world per capita or bankruptcy. We could not pay salaries to and Tel Aviv. They and all their friends square mile. Along with these companies, there employees nor to suppliers. After a few diffi cult worked hard and were content with little, and are dozens of accelerators, more than a hundred years, we made an absolute turnaround and as the values that guided them have served me throughout my life. Today, Tel Aviv is fi nancially sound, and this stability has been achieved thanks to proper management. The budget structure in Israeli cit- ies is different from the American method: we do not have sales tax and we do not receive any of the revenue of businesses in the city. Our revenue is based on property tax based on property size. With our method, residents pay very low taxes, while offi ces and businesses pay very high taxes and actually fund our abil- ity to provide services to our residents. In the past two decades, there has been tremendous momentum in building commercial spaces and offi ce buildings, greatly increasing the city’s sources of income. With all the accomplishments you have achieved, do you take moments to refl ect on and appreciate what you have been able to do for the city of Tel Aviv? I am not a nostalgic person. I seldom look back, only forward. My head is still full of proj- ects and my drawer is full of work plans. I get up every morning feeling a great privilege: my job is also my hobby. I love what I do, and I do what I love.• VOLUME 42, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © 2019 LEADERS MAGAZINE, LLC LEADERS 193