Putting Transit Over People

A southern California elected official is challenging the notion that the region can solve its congestion problems by putting more money into transit. Richard Bailey, the mayor of Coronado, has written an op ed titled “It’s time to put roads over transit.” Bailey argues that it is wasteful to put more than 50 percent of the San Diego region’s transportation dollars into transit when transit carries just 3.5 percent of the region’s commuters. He hopes to influence the urban area’s next regional transportation plan.

Bailey’s article caught the attention of a local news station that also interviewed transit advocate Colin Parent (starting at 1:05). Parent noted that there are 64,000 households in San Diego County that don’t have a car and cutting transit would hurt those people who use it as “their primary means of transportation.” Continue reading

San Diego Boondoggle Funded

Thirty-five years ago, San Diego kicked off the light-rail fad when it opened the San Diego Trolley, the nation’s first modern light-rail line. The city paid $18.1 million for the right of way and $87.5 million to build 13.5 miles of rail line. Two years later, they double-tracked the line bringing the total cost, including right of way, to $137.35 million, or just slightly more than $10 million a mile. In today’s dollars, that would be $23 million a mile.

Now San Diego is planning a new light-rail line that will cost a mere $2.17 billion for 10.9 miles of line, or slightly less than $200 million a mile–and that’s only if there are no cost overruns. That’s more than eight times the cost per mile of the first line. Ridership is likely to be no greater and probably less than the first line. Despite the high cost, the Federal Transit Administration has agreed to fund half the cost.

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Water Planning, California Style

Thanks to the wonders of government planning, San Diego County residents have to pay more for water they are not allowed to use. California, as everyone knows, is suffering a drought, so the state legislature mandated water conservation statewide, whether it is needed or not.

San Diego is one place where it isn’t needed, as that county has 99 percent of its normal amount of water. Yet residents are still required by state law to “let their grass die.” The costs of providing water haven’t declined, so the reductions in water usage due to mandatory conservation measures have forced the county water authority to raise its rates to cover those costs.

But it gets worse. San Diego is about to get an overabundance of water that is more costly than ever as a new $1 billion desalination plant is about to open that will increase the county’s water supply by as much as 10 percent. The plant is privately financed, but was built only after the county signed a contract agreeing to buy water from the plant whether it needed it or not. The water authority expects to spend $114 million next year buying water that was previously costing it only $45 million. This has led it to increase in water rates yet again.

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The Cost of Regulation in San Diego

Last week, economists at the Fermanian Business & Economic Institute released a report estimating that government regulation increase San Diego housing prices–for both buyers and renters–by an average of about 40 percent. The report says that only 16 percent of San Diego County has been developed (the 2010 census says 18.5 percent), and almost all of the remaining land is off-limits to homebuilders. Yet, the report notes, a significant portion of that land “is geographically suitable for development.”

Although the land shortage is responsible for much of the regulatory cost, there are other costs as well. “The time involved in what is often a prolonged and complicated process . . . can add 15% or more to the price of a new house,” or more than a third of the total regulatory cost, says the report. This process can take 12 years or more before developers can start building a single home. Of course, the Antiplanner has argued that cities can only get away with imposing such an onerous process if they have shut off most vacant land from development through urban-growth boundaries and other regulatory tools.

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