Market Urbanism – Page 93 – Liberalizing Cities From The Ground Up

North Jersey jitneys take off

by Stephen Smith In the past few years, a relatively new phenomenon seems to be taking hold in cities across North Jersey: the jitney. Similar to the dollar vans that ply the streets of Brooklyn and Queens, jitneys carry more than a taxi but less than a full-sized bus, and run semi-regular routes that often shadow city bus routes. But unlike the dollar vans of New York, the jitneys in North Jersey are legal and regulated (albeit lightly), and so in addition to local feeder service and circuits around New Jersey, they also run routes directly into Manhattan. In terms of quality, the jitneys appear quite advanced – customers report that jitneys come more frequently than NJ Transit buses, and the price is lower (at least for individual tickets). The small bus size guarantees everybody a seat, and buses display stickers to indicate the presence of air conditioning. The complaints about the jitneys are familiar: they drive erratically trying to pick up fares, they’re poorly maintained, they don’t follow traffic rules. Recent random inspections have led to the impounding of more than half of the vehicles inspected, with violations ranging from missing fire extinguishers to gas leaks. The jitney drivers have countered that the inspectors are biased against them and don’t subject NJ Transit buses to such stringent checks, and they’ve also downplayed the nature of some of the violations against them. In any case, the dangerous driving that the jitneys engage in to poach fares from each other is a problem that needs to be solved, lest it take the whole system down. Because the roadway and curbs are provided as public goods to all comers, we encounter a tragedy of the commons, whereby the competition between drivers ultimately becomes counterproductive and harmful of overall welfare. While our ideal […]

Stephen Smith
September 17, 2010
Uncategorized
2

“Buy American” drives up cost of transit

by Stephen Smith As if America’s public transportation networks weren’t hobbled enough by union wages and pensions, the Obama administration’s “Buy American” pandering is adding to the burden. One streetcar line in Houston has been sent back to the drawing board because it didn’t comply with purchasing provisions attached to federal money: The Federal Transit Administration told Metro officials, Mayor Annise Parker and local members of Congress Wednesday that the process Metro used to award a rail car contract violated federal law and “Buy America” requirements intended to promote American employment. To qualify for federal funds on the North and Southeast lines, the FTA said, Metro must cancel its contract with a Spanish company, Construcciones y Auxiliar de Ferrocarriles, and solicit new proposals for a purchase involving up to $205 million in federal money. Meanwhile, Transportation Secretary Ray LaHood is pushing for all federal rail contracts to adhere to Buy American provisions, with “comparable mandates for highways.” (Though obviously this doesn’t apply to the cars running on them, and I’d imagine that the physical properties of asphalt and concrete favor local highway construction companies anyway.) These mandates have had some success in bringing manufacturing home – for the first time in 60 years streetcars are being built in America – but I have to wonder, at what cost? Just something to think about when people try to argue that transit is too expensive to ever be viable. Edit: As a few commenters have pointed out, “Buy American” is much older than the Obama administration, and indeed dates back to at least 1982, although I’m curious as to how domestic vs. foreign procurement decisions have changed since then, as the law allows for quite a few waivers.

Stephen Smith
September 17, 2010
Uncategorized
21

Lazy link list

by Stephen Smith Behold, a list of links that’s turned into a list of short paragraphs: 1. The greater DC area is considering a “massive new toll system” – 1,650 miles of “variably priced” lanes – along with a “500-mile rapid transit bus system” along the toll roads (in my opinion, a BRT would be a much better idea within the city). Of course, the devil’s in the details – “the plan does not suggest actual toll rates,” and the head of the task force admits “he wasn’t sure if there could ever be enough public and political backing to push the plan forward.” 2. (Legal!) private commuter vans have started running in New York City along canceled bus routes on Monday. The city has chosen one operator for each of the five old bus routes taking part in the program, to be phased in over the next two weeks. No word on whether it was the TLC that limited it to one company per route or whether only one applied. After being rehired by the MTA, the workers from TUW Local 100 retracted their bid for one of the contracts. 3. Chicago suburb Evanston has legalized food trucks, while in the Second City itself they’re still practically illegal (no cooking, cutting, or prep of any kind allowed – just serving food that was made elsewhere). 4. Canada, too, has a weak street food scene according to the Toronto Star food editor. The city is taking very tentative steps toward liberalization – it approved less than two dozen new trucks out of almost 800 applicants, with health regulations that look pretty onerous to me. 5. Only 4% of the Seattle DOT’s budget comes from gas taxes, according to one blog. To be honest I find this number suspiciously low, and I’d […]

Stephen Smith
September 16, 2010
Uncategorized
4

Enforced price ceilings on private parking lots

by Stephen Smith I wrote last week about a tendency in developing Asian countries to emulate the most anti-market Western planning policies, but I didn’t realize it was this bad. Paul Barter writes: Would it surprise you to know that some cities control the price of parking even for private-sector off-street parking operations? Beijing, Guangzhou, Hanoi and Jakarta do control parking prices, so I assume the practice is common throughout China, Indonesia and Vietnam. Obviously, the “controlling” is a price cap, not a price minimum, and Barter makes a convincing case that the rates are indeed below the market price. I don’t recall ever hearing about price controls on private parking in the West, but it looks like the urge to come up with new ways to cater to car owners is universal. I should add that Paul Barter’s new blog Reinventing Parking is a must-read for anyone interested in parking policy. He’s based in Singapore and writes a lot about Southeast Asia and China, and has another more general blog called Reinventing Urban Transport.

Stephen Smith
September 15, 2010
Uncategorized
1

Internalizing positive transit externalities

by Stephen Smith The Wall Street Journal ran an article a few days ago claiming that the MTA’s recent NYC transit cuts have lowered real estate prices along train and bus lines that have been axed. While it’s not a quantitative study, the anecdotes are compelling: “The buyer who buys in Astoria is looking for a cheaper price and to get into Manhattan quickly,” said Ms. Palmos, adding that she is having the same problem with a condominium building in Upper Ditmars, north of Astoria. Apartments there that she said would have easily sold for $500,000 with the express bus nearby are now languishing on the market at prices about $420,000. ” ‘How far is it to the train?’ That’s the first thing people ask me,” said Charles Sciberras of Realty Executives Today, a longtime Astoria broker. “The closer to the train the higher the demand… Two to three blocks away from transportation is very easy for me to rent.” […] “The best areas in Brooklyn have great transportation into the city—the most expensive neighborhood in Brooklyn is Brooklyn Heights—you can get just about anywhere in the city easily. You go out into where there is less transportation, the prices go down,” Mr. Giordano said. “It’s one of the many emotional decisions that people make that can add or detract value from real estate.” What’s most striking to me is that a simple express bus route can raise prices by $80,000 for a single apartment. Multiply this by the thousands of apartments along the bus route and it appears that the lost value from the cut bus route ought to exceed, by orders of magnitude, the cost of maintaining the route. But of course, since the MTA doesn’t see a penny of the value it creates, it isn’t surprising that […]

Stephen Smith
September 13, 2010
Uncategorized
12

Food deserts and zoning

by Stephen Smith The other day I put up a post detailing the restrictions that small-scale restaurants and food carts face, but I should mention that grocery stores and supermarkets also face similar restrictions. Like restrictions on restaurants, they end hitting poor, urban, black neighborhoods the hardest, creating the phenomenon known as “food deserts.” Aside from traditional Euclidean zoning that forbids building commercial structures like corner grocers in residential neighborhoods, developers also face a raft of minimum parking regulations and mandatory reviews. NYC’s FRESH initiative has been trying to overturn some of these restrictions (although it also offers developers a bunch of subsidies and tax breaks), but the restrictions they describe are still applicable in much of the city and in cities around the US: Other regulations can drive up the cost of developing grocery stores. The Zoning Resolution currently applies a higher parking requirement for food stores over other types of neighborhood retail and service uses. The current regulations also restrict grocery stores to 10,000 square feet in M1 Districts. These regulations have cost implications and reflect outdated assumptions about the impacts of new food stores. New grocery stores may be required to purchase more land to accommodate parking than would be justified by the demand, in commercial districts where prevailing market rents are high and larger tracts of land are scarce. In M1 Districts where development costs are lower than commercial districts and larger tracts of land are more available, full-line grocery stores are subject to a time-consuming and costly public review process at a very low size threshold. These M1 Districts encompass light manufacturing areas in Mixed Use Districts where residential uses are permitted and light manufacturing areas directly adjacent to underserved residential districts. Supermarkets are difficult to build even in more suburban areas – zoning approval […]

Stephen Smith
September 13, 2010
Uncategorized
2

Deregulating food

by Stephen Smith Urban planners like to discuss heavy things – roads, buildings, cars, trains. Food, though an integral part of humans’ lives, generally doesn’t enter into the equation as more than a footnote. This may be because food service is governed by different departments than buildings, streets, and vehicles, or perhaps because the regulation of food has acquired a quasi-scientific veneer that planners are afraid to impinge on. But that might be a mistake, considering how strongly food fits into the urban fabric of cities and how unlivable a place can be if it lacks the kind of food that people can afford and pick up on a whim. Though cheap and filling and an integral part of cities, towns, and villages around the world, street food in the United States has traditionally been thought of as dirty and backward. Twin Cities food magazine Heavy Table traces Minneapolis’ lack of street food to turn-of-the-century local regulations which regulated vendors out of existence with onerous fees and requirements, and outright bans in many high-traffic areas. The magazine ties the demise of street food in the Midwest to “the advent of automotive culture,” and notes the “uncomfortable whiff of pervasive institutional racism” that dogged the mostly-immigrant peddlers of bratwurst and tamales. Street food’s reputation has been on the mend, though. Urban foodies have embraced it, Anthony Bourdain has championed it on his Travel Channel show, and Top Chef contestants have been challenged to cook it. Cities across America are throwing street food festivals – an urban take on the quintessentially-American county fair. In the late ’90s, formidable public opposition forced Rudy Giuliani, who was supported by established restauranteurs and local business groups, to reconsider plans to ban food vendors from hundreds of blocks of Manhattan streets. Even urban planners are getting […]

Stephen Smith
September 12, 2010
Uncategorized
2

Exporting (sub)urbanism: Kuala Lumpur and the communist world

by Stephen Smith Adam Martin at William Easterly’s development blog Aid Watch has a post up warning about the tendency among developing nations to adopt Western styles wholesale, even if such styles are not even efficient in their countries of origin. He posits this as a sort of developmental Whiggishness, and cites education policy and intellectual property law as possible examples of the trend. We here at Market Urbanism, by virtue of language and location, tend to focus on urbanism in North America and Europe, but I thought this would be a good opportunity to discuss the state of urbanism in developing countries. The starkest example of misplaced developmental Whiggishness in planning I can think of is the city of Kuala Lumpur. The city was practically brand new when it was made capital of the Federal Malay States in 1895, and as a British protectorate, the Crown sent New Zealand planner Charles Reade to the Malaysian capital in 1921 to head its planning department. Schooled in the methods of the nascent Garden City movement in the UK, Reade made a name for himself by spreading the sprawling, proto-suburban style throughout Australia and New Zealand before his posting in British Malaya. Under Reade’s aegis, Kuala Lumpur became a test case for the movement’s applicability outside of the industrialized West. Unlike in the West, where dense, built-up urban cores relegated Garden City developments to small new towns and the outskirts of large cities, Kuala Lumpur offered an opportunity to build a metropolis from scratch as a Garden City. Charles Reade eagerly set to work building sprawling, low-density housing estates alongside wide roads which anticipated widespread private vehicle ownership. Residential, commercial, and industrial areas were segregated and separated by grassy, undeveloped parkbelts, characteristic of the Garden City style. Following independence, a nationalist Malaysian […]

Toronto’s new zoning code

by Stephen Smith Matt Yglesias points to an article about Toronto’s new zoning code. The story is short on details, although the lowering of parking minimums near transit and overall simplification of the code seem like appealing features to Market Urbanists. I did, however, find a blog post from last year about the proposed changes, which has a lot more details. Keep in mind that this is from last year and so it might not still be relevant, but if anyone’s interested in digging a little deeper into the new code, there’s a good place to start. This part, though, is not very encouraging: The new zoning also takes a more coherent approach to minimum parking provisions, requiring a lot less parking for condos/apartments or office buildings that are in the downtown core or on heavy transit lines. Many new projects don’t need the amount of parking required by zoning, and developers would be glad not to pay the extra cost to provide it. But the overall reduction in minimum parking requirements is disappointingly limited — the planner in charge of the project, Joe D’Abramo, estimated it at about 10% less compared to previous requirements. There also seems to be a lot of New Urbanist-style regulation – for example, making it more difficult to build drive-thrus and driveways – that we don’t necessarily support. When you look at the revisions as a whole I doubt that there’s more urban-forcing than urban-allowing, but I do wish that they’d work harder on repealing things like parking minimums and density restrictions before trying mandate density. Even if the mandatory New Urbanist regulations are minor, they give ammo to people like Randal O’Toole and the Cato/Reason bunch to claim that urbanism is being forced down people’s throats rather than simply being allowed. New Urbanist […]

Stephen Smith
August 27, 2010
Zoning
2

Parking round-up

by Stephen Smith At the risk of beating the parking theme deader than the Ground Zero Mosque, here are some recent parking-related stories published around the world: The NYC DOT’s Park Smart program has been called a success in the Park Slope neighborhood of Brooklyn, and officials are considering making the program permanent and expanding it to more streets. Donald Shoup is quoted as saying that rates may still be too low, and the DOT has suggested raising the rate even further. The Park Smart program also expanded to Manhattan’s Upper East Side in June, with rates ranging from $2.50 to $3.75/hour. As Streetsblog points out, though, this is still a steal compared to the $22/hour that one private garage charges, indicating that street parking is still massively underpriced. Towns and cities across the UK (“at least 150 councils”) are raising the price of on-street parking and yearly parking passes in order to plug budget deficits. The Telegraph article makes no mention of any Shoupian benefits, and small businesses and “motoring organisations” are, predictably, opposing the moves. The Independent claims that many cities, including Bristol, York, and Leeds, are planning “to charge for parking at workplaces.” Pittsburgh is considering a 50-year concession agreement for its on-street and garage parking assets, which would almost certainly involve raising rates, although “the city would retain the right to revise fees.” City-owned garages currently charge 25% less than private garages. As in the UK, this deal is mostly out of fiscal necessity. Here is an article comparing the proposal to Chicago’s parking concession, which we discussed in 2008. Philadelphia apparently has about 400 illegal parking lots according to local news reports. The city’s Licenses & Inspections office, charged with regulating lots, apparently doesn’t have a single inspector looking for them. This wouldn’t normally bother […]

Stephen Smith
August 26, 2010
parking
1

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