It can be both a source of amusement and one of frustration to see how eco-radicals assign human cognition to inanimate objects … like the earth.  You’ll hear them say a natural catastrophe is the planet’s way of warning us to stop burning fossil fuels, emitting carbon, using plastic grocery bags, etc.

But what’s the message when Mother Earth seems to work against their agenda?

Only in Seattle could an event touted as a way to help the environment get washed out during what is supposed to be the driest time of the year.  Car-free days is part of Mayor Greg Nickels’ campaign to encourage people to walk, bike or take mass transit.

So playing by the rules of the eco-egotist, I guess we should conclude that Mother Earth is sending us a message: Drive a Car!  What better way to demonstrate the superior utility and functionality of the automobile over other modes of transportation?! 

Maybe Mother Earth doesn’t have the environmental vanity of her zealous worshippers?  Or here’s an even crazier thought: Maybe it just rained.

Quit your fussing!  It’s only one billion, eight hundred million dollars over budget!

The Denver Post reports, “The price of the FasTracks rail expansion — if it is to be completed by 2017, as promised to voters — has jumped from $6.1 billion to $7.9 billion.”

Readers of this blog know that while the cost overrun may be eye-catching, the habit of projecting low and coming in high is standard practice of the rail transit lobby.  So going over promised projected costs by 30 percent is well within the responsible planning paradigm.

Here’s how it works: Voters are promised a wonderful light rail system in which everyone but yourself will ride it, leaving you all alone on the roads, then voters approve a sales tax or reallocate existing taxes to fund it, then … oops - “Did we say $xxx million?  We really meant $xxx billion!”

By this time, the community is too far invested in the program and special interests have already dug the trenches.  Politicians, lacking the courage to pull the plug or perhaps sharing the theory-driven fantasies of rail advocates, only look to raise new taxes … some how, some way.

On a related front, a certain “Mr. Mfui Mhanneman IV” has sent an open letter to the good people of Hawaii asking them to share their bank account numbers in addition to their voting support for the island’s light rail boondoggle line.  It’s eerily similar to those spam emails we get from a wealthy dissident in Africa needing our help (i.e., bank account number) in securing his millions, but I suspect Mr. Mfui Mhanneman IV doesn’t really exist.  Rather, someone else may be trying to make a point!

May the good people of Denver receive a similar email in their inbox!

UPDATE: The Antiplanner is on the case, and he is a far better number-cruncher than Yours Truly.  Plus, he has gone back and looked at the original projections for FasTracks and shows the estimated cost when voters were duped approved the extensions in 2004 was $4.7 billion, which means the new numbers are 68 percent higher than what was voted on.

Worse, the original investment study conducted between 1997 and 2001 pinned the number at $2.8 billion.  In other words, FasTracks is only a mere 179 percent over budget!

 

L.A. Weekly reports on an odd development in the city’s plan to raise a half-penny sales tax to fund transit.  It seems unionized transit workers oppose it.  This has led to an even odder political alliance.

It’s not every day that the lefty bus advocates find themselves on the same side of the political fence as leaders of the Sherman Oaks Homeowners Association — where a political unknown named Howard Jarvis first shopped his California tax revolt.

This alliance isn’t so odd afterall … when you think it through and weigh it against empirically driven commentary.  The fact is light rail projects usually cannibalize bus transit systems because light rail always underperforms and, thus, cannot be self-sustaining and it’s high operating costs must get funded lest the political trophy get pulled down from the mantle.  So the bus system suffers.

Also, light rail lines tend to serve upper middle class yuppies/urbanites and not the traditional users of transit - low income, minority communities.  The tension on this point seems to be the hinge in the L.A. quagmire.

So it looks like Chic Urbanism is spurring a new slogan: Workers of the World - Divide!

Op-ed published in the Gainesville Sun: Mandates make housing too costly

Concern for affordable housing is rising in urban areas, and elected officials are expected to “do something about it.”

Inclusionary zoning mandates (IZMs) seem like an attractive way to help low income people realize the American Dream of homeownership. The idea behind IZMs is to increase the quantity of homes that are affordable to people whose income is below the median level in a given area.

The typical mandate requires builders to sell a certain percentage of homes (usually 10 percent to 20 percent ) at below market rates. As housing stock increases, the theory goes, so will the number of units affordable to low income people.

Sounds wonderful! But responsible policymakers should want more than just theory. What are the facts?

Read the rest here.

I recently sent this letter to the Los Angeles Times about inclusionary zoning mandates.  IZMs are like other -isms (communism, facism, New Urbanism, totalitarianism, etc.) - they have a visceral appeal but a devastating effect.  In the case of inclusionary zoning mandates, the impact is less - not more - affordable housing with the poor and minorities hit hardest.  IZMs are like timeshares (Thanks, Kelly Smith, for the clever association!) - they give the appearance of ownership but with such restrictions that the ownership is in name only.  In this case, your co-owners are the local housing authority and political body!

* * * * * * * * * *

The L.A. City Council plans to introduce an inclusionary zoning ordinance to help poor people realize the American Dream of homeownership, but it’s a price control that will actually reduce the quantity of affordable housing.  Research of the San Francisco Bay area showed below-market housing reaching just 5 percent of demand after inclusionary zoning mandates were adopted.

Inclusionary zoning mandates spread costs over remaining units, making them more expensive for all other homebuyers.  Since the number of price controlled units cannot reach parity with the number of low income people, this hits the vast majority of poor people who find homeownership increasingly unattainable.

Inclusionary zoning mandates confer second class status on recipients.  Owners of price controlled homes cannot will their property to their children, take out a second mortgage to start a business or pay for college, or sell their home for the highest value.  These privileges are available to ordinary homeowners but denied to owners of price controlled units under “separate but equal” provisions.

These mandates ignore the real reason for high housing costs – excessive governmental regulation.  Cato Institute scholar Randal O’Toole analyzed hundreds of metropolitan areas and coined the term “the planning penalty” to explain the gap between construction costs and home prices.  The planning penalty in Los Angeles is already $316,000 per unit.  Will that number increase or decrease after inclusionary zoning regulations are adopted?

The economic evidence is overwhelming.  If the L.A. City Council fails to acknowledge that increasing regulations will increase costs, they’re not serving their constituents.  They’re tricking them. 

Ed Braddy
Executive Director
American Dream Coalition
ed@americandreamcoalition.org

I admit I am a novice at the details of tax increment financing (TIF). I have spent all day reading up on it online, and I am still left with many questions. Can you help me out here?
From what I gather, the average citizen has barely any knowledge of TIFs, if any at all. The effects that TIFs have on the average citizen are unclear because they are in the form of tax revenue that the city would have collected and used for general purposes, but instead the redevelopment agency (RDA) and/or the private developer gets this future money to use to pay for their project now. A bit of a “Field of Dreams” perhaps, but more circular: if we build it, the tax dollars will come, but we need money to build it, so we will use those future tax dollars now? It makes me dizzy.
I know my innovative state of California first invented TIFs in 1952, and now they permeate our state. They have been used for so many projects; there must be data on all of them somewhere. Has anyone analyzed this data? Do we know the specific dollar amounts of how much tax increment money as flowed back to RDAs and private developers? It might be good to know… In the absence of TIFs, would all of that money have gone back to the general funds of individual cities?
I also looked up the history of RDAs with one question in mind: how else (besides TIFs) are RDAs funded? Without TIFs, RDAs would have less money to spend, and perhaps that would help them focus on only the most worthy projects.
My last question is, if TIFs are here to stay, would the impact on the average citizen be less harsh if the city took into account the annual rate of inflation as part of the tax revenue it keeps in its general fund? It is slight, I know, but at least it would put part of the tax increment back into the community.

Some “serious” news stories are just too funny to let pass without comment.  New Urbanists want cities to spend roadway dollars promoting “transportation choice.”  Get out of your cars!  Take the bus!  Better yet, get off the road and ride a bike or walk.  Heck, why not rollerblade!

What happens if people do all three?

Mr. Bruce [chief bylaw officer] said his office has received a growing number of calls about altercations between the cyclists, walkers and in-line skaters who share the paths - with obnoxious cyclists at the top of the list of complaints.

This is in Calgary, Ontario, as reported by the Globe and Mail.  The city has issued 400 warnings and given away 500 bells to cyclists.  Those cyclists better straighten up and dingle those bells … or else!  According to the news article, “Bylaw officers armed with laser guns will be enforcing the 20-kilometre-an-hour speed limit.”

What?!?!  Laser Guns?!?! Like the kind Stormtroopers had in Star Wars?!?!

Maybe the editor needs to clarify that sentence, but just to be on the safe side if I’m ever in Calgary I’m going to take an automobile and stay far away from bike paths where feral cyclists and laser-toting bylawmen roam menacingly!

… as in holding on to Number One rankings.  Yet another study - A View from Corporate America - is a survey of state business climates, conducted by Development Counsellors International.

Texas comes in first place, North Carolina is second, and Georgia is third.  (The top ten list can be found on page 26 with internals on subsequent pages.)

Interestingly, the only Smart Growth state that makes the top ten is Florida.  Under state mandate, all Florida counties and cities must adopt 10-year Comprehensive Plans.  Fortunately, not all county and city leaders have drunk the Smart Growth kool-aid, so even though growth management is the law of the Sunshine State many communities have avoided the harmful impacts of Smart Growth.

Other states that are more fully Smart Growth oriented are nowhere to be found in the report.  California, Oregon, Washington, Maryland

Of course, the report doesn’t talk specifically about Smart Growth, and why should it?  It identifies the states with the most favorable business climates and doesn’t drill down to the causes.  And most people are not well versed in the language of urban public policy.  For most people, terms like Smart Growth and New Urbanism have as much meaning as roadway terms like arterials and collectors.

For everyday Americans, growth management schemes simply translate into business UN-friendly environments, and this report does a good job of showing that. 

“State and local government spending has been rising three times as fast as revenue amid warnings from governors that their finances are nearing crisis stage.”

More here.

In these times of $4/gallon gas, pro-transit folks are trumpeting light rail as the solution. In blogs from all over the country, the debate is hot about whether or not to accept the outrageously expensive light rail projects on the local ballot. That is why it is somewhat refreshing to read two recent articles about local areas that are instead focusing first on increasing their bus rider ship.
The first article is about South Florida where the sprawling infrastructure does not lead itself easily to implementing light rail. However, they would benefit from more frequent buses and additional stops as well as an express bus route. All of these things are in the works for the next year or two. Not bad.
The second article describes the new Illinois 13 bus route that links rural communities to several important locations, including major hospitals, colleges, the airport and the mall. It was a joint effort between the Rides Mass Transit District, the Illinois DOT and three colleges. I say, good job folks, in accessing the needs of your people and responding in a fiscally responsible and practical manner.
In general, increased bus activity is preferable to a monster light rail project. The question is, how do you get people to park and use the buses? In the Illinois example, we see the route catering specifically to students who need that connection between campuses and seniors who need access to hospitals and shopping. So, how will South Florida tailor their new bus services to accommodate the riders they want?

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