Search Results for: plan bay area

CO2 Glut Threatens High-Speed Train

Jerry Brown’s brilliant plan to fund the California high-speed rail line out of greenhouse gas emissions allowances appears to be coming to a screeching halt. California’s most-recent sale of such allowances was expected to bring in at least $600 million; instead, it earned just $8.2 million. At the projected average cost of $200 million per mile, that’s enough to build about 200 feet of rail line.

The problem is that there is a “glut of emission allowances on the market” because so many entities, including various European nations and, in California, various public utilities, are trying to earn money selling them. On the other hand, potential buyers are unsure about whether the program will continue; if it is cancelled, the allowances they buy will be worthless. The California law is supposed to sunset at the end of 2020, and if revenues remain so law the legislature is not likely to renew it.

The other problem is that Brown was counting on emissions sales to fund projects the state can’t really afford. While the efficiency benefits of cap-and-trade are proven, it is far from efficient to use permit revenues to fund boondoggles. Even the Pope questions the morality of selling the right to pollute.

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The Transit Industry Needs Structural Reform

Another transit agency is having financial problems. The San Francisco Bay Area Rapid Transit District is seeing ridership decline and both transit fares and sales tax revenues are falling short of expectations.

BART’s staff has given the board a laundry list of things it can do to make up the shortfall: raise fares, crack down on fare evaders, increase advertising revenue, increase parking fees, charge companies that send buses to pick up employees at BART stations, and automate trains to eliminate drivers. Even if they do all of these things, however, they “will not be able to address the deficit we are facing” without major service cutbacks, BART’s budget director told the board.

Another thing BART could do, but probably won’t, is hire more employees so it won’t have to pay so much overtime. Last November, Transparent California found that a BART janitor whose base pay was $57,000 a year actually earned $270,000 in 2015 with overtime and benefits. To get this, he supposedly worked 114 hours a week, which is more than 16 hours a day, every day of the year. But a local television station tracked this worker and found he was spending several hours a day hiding in a storage closet, while the stations he was supposed to keep clean remained filthy.

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Colorado Transit Doesn’t Need State Funding

According to ColoradoPolitics.com, the state of Colorado ranks 29th in per capita funding for transit, spending just one-twentieth of the national average. Thus, transit is getting “left by the roadside.” This is highly misleading. In fact, Colorado apparently ranks 29th in state transit funding. That’s because most of the funding for transit comes from the regional level.

The misleading-news site’s misleading data are based on a report by a Boulder group known as the South West Energy Efficiency Project (SWEEP), which is urging the state legislature to spend more money on transit. But this recommendation is based on three fallacies.

First is the fallacy that more spending on transit leads to more transit ridership. In fact, the state with the highest state per capita transit funding is Alaska, which has far from the highest level of per capita ridership. Just 1.6 percent of Alaska commuters take transit to work, compared with 5.5 percent nationally. Other states spending more on transit than Colorado, but not attracting a lot of people to transit, include Vermont, Tennessee, New Mexico, North Dakota, Oklahoma, and Wyoming. About 2.3 percent of Wyoming commuters take transit to work; in the other states listed here, it’s less than 1.5 percent.

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Resisting Rail

San Antonio, notes Texas Public Radio, is “the largest city in the country without a rail system to move” its residents. As a result, the article implies, people are “stuck behind the wheel,” and the article’s headline asks, “Should San Antonio Reconsider Rail?”

Betteridge’s Law of Headlines, of course, suggests that “Any headline that ends in a question mark can be answered by the word no.” But more important, the article is guilty of the Politician’s Fallacy, which is: “1. We have to do something [in this case, about congestion]. 2. This [rail] is something. 3. We have to do this [build rail].”

Before jumping to any conclusions, San Antonians should ask how well rail is moving people in other cities. The first point to note is that, when TPR says that San Antonio is the largest city not to have rail, there are only six larger cities to consider. We don’t think of San Antonio is being the nation’s seventh-largest city, but it is true because Texas cities have strong annexations powers, so tend to be much larger than cities elsewhere. Houston, Dallas, and Austin are also among the nation’s eleven largest cities.

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Not All Infrastructure Is Created Equal

An op-ed in the New York Daily News argues that Trump’s infrastructure plan “will result in wasteful spending and do little to fix crumbling facilities or promote economic growth” unless it is properly targeted, and the best way to target is to spend only on infrastructure that can be built and maintained with user fees.

The country should also avoid building new infrastructure that will soon be obsolete. For example, Bay Area Rapid Transit (BART) spent nearly half a billion dollars building the Airport Connector, a 3.2-mile elevated cable-car line to the Oakland Airport. BART expected to cover operating costs by charging people $6 to travel between the airport and the nearest BART station. Instead, it is losing money, and they are blaming Uber and Lyft. It was a dumb idea even if they did recover operating costs, but new technologies have made it even dumber still.

The Trump Administration needs to learn the Antiplanner’s Law of Transportation Infrastructure: Any transportation technology that requires new infrastructure is doomed to failure because it will be unable to compete against technologies using existing infrastructure such as the nation’s hundreds of commercial airports and millions of miles of highways.

If You Don’t Like Growth Boundaries, Move

Palo Alto may be the most expensive housing market in America. The American Community Survey says the home of Stanford is the only city whose median home price was more than $2 million in 2014; the survey numbers don’t go higher than $2 million so we don’t know how much more.

Coldwell Banker’s 2015 report on average prices of a four-bedroom, two-bath home found that Palo Alto’s was $2.1 million; only Newport Beach, at $2.3 million, was higher–but the American Community Survey says a median home in Newport Beach was “only” $1.7 million. (Coldwell Banker’s 2016 numbers don’t include Palo Alto.)

Palo Alto residents earn more than the national average, but not enough to make up for the high housing prices. The median family income was $176,000 in 2014. That happens to also be the nation’s highest, but value-to-income ratios are still more than 11 when they should be under 3.

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Rail Transit’s Endless Hunger for Money

In 2008, Santa Clara County voters approved a sales tax increase to build a BART line to San Jose. But cost overruns have forced the county’s Valley Transportation Authority (VTA) to go back to the voters for yet another tax increase. To make it more attractive, it says only a quarter of the tax increase will go to BART while the rest will be used for highways, bikeways, and some transit projects.

As described in the San Jose Mercury-News, the list of projects looks balanced: $1.5 billion for BART, $1.2 billion for street repairs, $1.85 billion for highways, $1.0 billion for CalTrains, $500 million for “transit for vulnerable and underserved populations,” and $250 million for pedestrian and bikeway improvements. A closer look at the measure, however, reveals that it is anything but balanced.

The $1.2 billion for “street repairs” is actually going to go for “complete streets” programs, which means taking away street capacity from cars and giving it to transit, bikes, and pedestrians. A significant chunk of the $1.85 billion for highways will actually go to constructing bus-rapid transit lanes, and some may even go for a new light-rail line. Motor vehicle users will be lucky to see any projects that actually relieve traffic congestion.

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Partners or Competitors?

Two weeks ago, the Denver suburb of Centennial announced it would subsidize transit riders to use Uber or Lyft to or from their transit stop from or to their origin or final destination. By solving the “last-mile” problem, they hope that this will make transit more attractive to Centennial residents.

A couple of days later, the Livermore Amador Valley Transit Authority announced it would do the same for transit riders in Dublin and other nearby suburbs of San Francisco-Oakland.

Through such agreements, ride-sharing services are trying to persuade transit supporters that they aren’t competitors, but potential partners with transit agencies. Some of them are buying it, while others are more skeptical. The Antiplanner thinks this is just a transition phase before the complete elimination of transit in all but a few cities.

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Don’t Blame Housing Affordability Problems on the Free Market

Miami is one of many places where housing prices have reached crisis levels, and the Miami Herald editorial board blames the problem on the free market. Only government intervention in the form of subsidized low-income housing will fix it, says an August 3 editorial.

Wrong. Government caused the problem in the first place. No matter what the cause, subsidized housing for a few low-income people will not solve it, except for those lucky few.

Despite being one of the fastest-growing states in the nation, Florida housing remained affordable up through 2000. Miami was generally the state’s least-affordable housing market, probably because an influx of immigrants kept median incomes down. But from 1959 through 1999, median home prices remained between two and three times median family incomes.

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Zoning Isn’t the Problem

Lengthy permitting processes are responsible for housing affordability problems in many cities, reports the Washington Post. Of course, I’ve been saying this for nearly two decades, but it doesn’t become true until it is reported in one of our newspapers of record.

While the Post is right about the problem with permitting, the article gets a lot of other things wrong. “Land is obviously part of the problem,” says the article. “San Francisco and Boston, hemmed in by water, have only so much of it left to build on.” Um, not really. The San Francisco Bay Area has built on less than 18 percent of the land available. Just 53 percent of the Massachusetts counties in the Boston metropolitan area have been urbanized, and that doesn’t count parts of the metro area in New Hampshire and Rhode Island. Why do people think that water on one side means they can’t expand in the other three directions?

The article never mentions urban-growth boundaries or other artificial constraints on urban expansion. Instead, it says “critics” have “blamed zoning laws.” In fact, zoning by itself isn’t the issue. Houston doesn’t have zoning, while Dallas does, yet both are growing rapidly and about equally affordable. Instead, the problem is urban containment.

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