Time to Reconsider

Portland’s first light-rail line turns 30 years old this year, which is about the expected lifespan of a rail line. Not by coincidence, the system was highly unreliable last year, being “plagued with delays and disruptions” and having terrible on-time performance.

The line between Portland and Gresham originally cost more than $200 million to build, which in today’s dollars is around twice that. It is likely it will cost roughly that amount of money to restore it to like-new condition.

But Portland has a choice. Instead of sinking a bunch of money into an already-obsolete transit system, it could scrap it and replace it with buses. Before building the rail line, the parallel freeway had HOV lanes; restoring those lanes (or turning them to HOT lanes) would give the buses an uncontested route to fallow. We know that the buses would be faster than the rail, because the rail line was slower than the buses it replaced.
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No, We Don’t Have to Sacrifice Neighborhoods to Save the Planet

Here’s a video of Portland City Commissioner Steve Novick saying the city needs to “sacrifice” its single-family neighborhoods in order to stop climate change. We’ve known that planners feel this way, but rarely do they say it in so many words.


From portland politic on Vimeo.

Previously, many Portland politicians have promised to preserve existing neighborhoods by keeping all high-density developments within a half mile of light-rail and other major transit lines. The unspoken truth was that nearly all single-family homes were within a half mile of a major bus corridor, and Portland wants to build so many rail lines that soon most homes would be within a half mile of one of those lines as well.

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Supply, Not Demand, Is the Problem

Portland officials are quick to blame population growth for the rapid decline in housing affordability. But Portland is hardly the fastest-growing urban area in America, and many that are growing faster remain much more affordable.

Census estimates show that, between 2010 and 2014, the Portland urbanized area gained 103,000 new residents. That’s a lot, but the Houston and Dallas-Ft. Worth urban areas both grew by more than four times that number, and Atlanta grew by three times that number, and all three remain very affordable. Portland’s median home value (American Community Survey table B25007) was 3.8 times median family income (American Community Survey table B19113) in 2014, while Houston’s was 2.2; Dallas-Fort Worth’s was 2.3; and Atlanta’s was 2.6 times incomes.
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Those urban areas are all larger than Portland’s, but the Raleigh urban area is only half the size of Portland’s, and it also gained about 100,000 people between 2010 and 2014. Yet its median home value was just 2.8 times median family incomes. There’s no getting around it: Portland housing would be quite affordable if the city didn’t have an urban-growth boundary artificially limiting the amount of land available for development.

Transit Down, Driving Up to Downtown Portland Jobs

The Portland Business Alliance’s latest survey of downtown Portland employers shows a massive decline in transit commuting and a massive increase increase in commuting by car to downtown jobs between 2013 and 2014. The 2013 survey found that about 44,800 downtown workers commuted by transit and 36,600 commuted by car; in 2014 transit declined to 38,600 while auto increased to nearly 46,400.

At least some of this shift is likely due to survey error. As the above chart shows, 2013 numbers showed a huge increase in transit commuting combined with a sharp decline in auto commuting, both deviating from trend lines from previous years. The Antiplanner didn’t find 2013’s numbers to be credible, and this year’s survey bears that out.

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The Price of Hipness: Cultural Disruption & Displacement

Educator and writer Michael Copperman has discovered that Portland’s hip scene has come at a price: young people moving to Portland from other parts of the country have gentrified North Portland, traditionally a heavily black neighborhood, and displaced blacks to the suburbs. “The number of people living in poverty in Portland’s suburbs shot up almost 100 percent between 2000 and 2011,” observes Copperman.

While such income and racial integration might be welcome, it has its costs as well. While the whites gentrifying North Portland neighborhoods enjoy food carts, boutique restaurants, and ethnic grocery stores, displaced blacks are not better off in the suburbs and in many cases are worse off, replacing the single-family homes they rented with cramped apartments.

“Suburban Portland, home to the most notorious white West Coast gangs, has in some hotspots become a turf war apartment complex by apartment complex, the traditional Crips and Bloods of urban Portland overlapping areas dominated by the European Kindred and affiliates, all battling to control lucrative sex trafficking operations off the I-5 Corridor,” says Copperman, a transition that is pretty much invisible to recently arrived Millennials.

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Higher Cost = Less Affordable, Not More

Portland columnist Steve Duin laments that the city is not doing more to make housing affordable. He proposes to either tax new homes and use the money to build affordable housing or to mandate that developers to sell or rent a certain percentage of their new homes at below-market prices (inclusionary zoning).

The problem with either of these policies is that they create a few “affordable” homes by making housing more expensive for the vast majority of renters and homebuyers. Taxing new homes obviously makes them more expensive. But like the rising tide lifting all boats, it also raises the price of existing homes because sellers of those homes see that their competition–new homes–is more expensive so they can ask for more too.

Research has shown that inclusionary zoning leads developers to build fewer homes and then to sell the market-rate homes they do build for higher prices to make up for the losses on the below-market homes. Since inclusionary zoning pushes up market rates for new homes, that same rising tide makes all other homes less affordable as well.

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Turning Portland into San Francisco

A couple of decades ago, the planning mantra in Oregon was “don’t turn Portland into Los Angeles,” meaning don’t make it more congested. So planners were a bit chagrinned to discover that their plans actually aimed to turn Portland into Los Angeles (see p. 7), meaning a dense urban area (L.A. is the densest in the nation) with a low number of freeway miles per capita (L.A. has the lowest of the nation’s fifty largest urban areas). Since then, Portland-area congestion (measured in hours of delay per commuter) has reached the Los Angeles’ 1985 level.

Today, the mantra is “don’t turn Portland into San Francisco,” meaning an extremely unaffordable housing market. So it should be no surprise that Portland planners are following exactly the policies that will turn Portland into San Francisco.

“We have a crisis of housing affordability in this city,” says Portland Mayor Hales. But expanding the urban-growth boundary is not the answer, he claims. “It’s not true that new housing at the edge is affordable,” he argues. “Maybe it once was when there was cheap land, cheap money and cheap transportation. That’s not true anymore.” Yes, but the reason it isn’t true is the urban-growth boundary. Get rid of the boundary and associated planning restrictions, and vacant land becomes cheap, and new homes built on the urban fringe will cost a lot less. In turn, that will force prices down throughout the city and region.

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Metro Admits Light Rail Is Slow

Portland’s regional planning agency, Metro, is proposing a “faster transit line to Gresham.” Gresham happens to be the terminus for Portland’s first light-rail line, which opened 29 years ago. But the “faster-transit” line will use buses, not rail.

Before the Gresham light-rail line opened, Portland’s transit agency, TriMet, operated express buses between downtown Portland and Hollywood, Gateway, Gresham, and other neighborhoods along the rail corridor. All of these were cancelled when the light-rail opened, even though the busses were faster than the trains. This is one reason why Portland transit ridership plummeted during the 1980s.

In proposing a faster-transit line to Gresham, is Metro tacitly admitting that light rail was a mistake? Only indirectly. The bus routes is is proposing won’t be express buses but bus-rapid transit, and as such probably will be a little slower than the light rail, at least between downtown Portland and Gresham. They’ll just be faster than the existing conventional bus service.

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Be Careful What You Wish For

Metro, Portland’s regional planning agency, funds its hundreds of planners out of garbage fees, which is why Portland has the highest garbage collection costs in the Pacific Northwest. But Metro also encourages people to recycle in order to reduce their garbage refuse.

As a result, Portland garbage has declined enough to threaten Metro’s budget. Metro’s response, naturally, is to tax recyclables, which would probably lead some people to stop recycling.
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Since transit is partly funded out of gas taxes, if most people actually stopped driving and started riding transit (which they show no inclination of doing in Portland or elsewhere), Metro would probably start taxing transit riders. And many places use inclusionary zoning or other housing taxes to pay for affordable housing for low-income families, so if builders stopped building high-end housing and started building exclusively for low-income families, Metro would start taxing the poor to pay for their housing. It seems likely that Metro hasn’t really thought this through.

Portland Attracts the Creative Class by Increasing Congestion and Demolishing Neighborhoods

Joseph Rose, the Oregonian reporter who proved that streetcars are slower than walking, has left the paper’s transportation beat. So it took another Oregonian reporter, Andrew Theen, to make the brilliant discover that Portland highways really are at or above capacity.

Of course, that shouldn’t be a surprise to anyone who lives in the Portland area. According to the Texas Transportation Institute’s latest urban mobility report, Portland has more congestion today (measured by hours of delay per auto commuter) than Los Angeles did 30 years ago, when LA was considered to be about the worst congested city in the world.

It’s no wonder, since Portland and Oregon have added virtually no new road capacity since the 1970s, when the region’s population was about half what it is today. Although officials complained to Theen that new capacity was too expensive, the region hasn’t hesitated to spend roughly $5 billion on light-rail lines that carry an insignificant share of the region’s traffic.

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