Category: Urban Issues

  • Build It, Even Though They Won’t Come

    The recent decision by Los Angeles County Superior Court Judge Allan J. Goodman to reject as “fatally flawed” the densification plans for downtown Hollywood could shake the foundations of California’s “smart growth” planning clerisy. By dismissing Los Angeles’ Hollywood plan, the judge also assaulted the logic behind plans throughout the region to construct substantial high-rise development in “transit-oriented developments” adjacent to rail stations.

    In particular, the judge excoriated the buoyant population-growth projections used to justify the plan, a rationalization for major densification elsewhere in the state. The mythology is that people are still flocking to Los Angeles, and particularly, to dense urban areas, creating a demand for high-end, high-rise housing.

    The Hollywood plan rested on city estimates provided by the Southern California Association of Governments, which estimated that Hollywood’s population was 200,000 in 2000 and 224,000 in 2005, and would thus rise to 250,000 by 2030. All this despite the fact that, according to the census, Hollywood’s population over the past decade has actually declined, from 213,000 in 1990 to 198,000 today. Not one to mince words, Judge Goodman described SCAG’s estimates as “entirely discredited.”

    This discrepancy is not just a problem in the case of Hollywood; SCAG has been producing fanciful figures for years. In 1993, SCAG projected that the city of Los Angeles would reach a population of 4.3 million by 2010. SCAG’s predicted increase of more than 800,000 residents materialized as a little more than 300,000. For the entire region, the 2008 estimates were off by an astounding 1.4 million people.

    Similar erroneous estimates run through the state planning process. In 2007, California’s official population projection agency, the Department of Finance, forecast that Los Angeles County would reach 10.5 million residents in just three years. But the 2010 U.S. Census counted 9.8 million residents.

    Such inflated estimates, however, do serve as the basis for pushing through densification strategies favored by planners and their developer allies. In fact, SCAG’s brethren at the Association of Bay Area Governments, seeking to justify their ultradense development plan, recently went beyond even population estimates issued by the Department of Finance.

    The problem here is not that some developers may lose money on projects for which there is inadequate demand, but that this densification approach has replaced business development as an economic strategy. Equally bad, these policies often threaten the character of classic, already-dense urban neighborhoods, like Hollywood. Indeed, the Los Angeles urban area is already the densest in the United States, and a major increase in density is sure to further worsen congestion.

    Not surprisingly, some 40 neighborhood associations and six neighborhood councils organized against the city’s Hollywood plan. Their case against the preoccupation with “transit-oriented development” rests solidly on historical patterns. Unlike in New York City, much of which was built primarily before the automobile age, Los Angeles has remained a car-dominated city, with roughly one-fifth Gotham’s level of mass-transit use. Despite $8 billion invested in rail lines the past two decades, there has been no significant increase in L.A.’s transit ridership share since before the rail expansion began.

    The Hollywood plan is part of yet another effort to reshape Los Angeles into a West Coast version of New York, replacing a largely low-rise environment with something former Mayor Antonio Villaraigosa liked to call “elegant density.” As a councilman, new Mayor Eric Garcetti proclaimed a high-rise Hollywood as “a template for a new Los Angeles,” even if many Angelenos, as evidenced by the opposition of the neighborhood councils, seem less than thrilled with the prospect.

    If the “smart growth” advocates get their way, Hollywood’s predicament will become a citywide, even regional, norm. The city has unveiled plans to strip many single-family districts of their present zoning status, as part of “a wholesale revision” of the city’s planning code. Newly proposed regulations may allow construction of rental units in what are now back yards and high-density housing close to what are now quiet residential neighborhoods.

    “They want to turn this into something like East Germany; it has nothing to do with the market,” suggests Richard Abrams, a 40-year resident of Hollywood and a leader of Savehollywood.org. “This is all part of an attempt to worsen the quality of life – to leave us without back yards and with monumental traffic.”

    Of course, it is easy to dismiss community groups as NIMBYs, particularly when it’s not your neighborhood being affected. But here, the economics, too, make little sense. New, massive “luxury” high-rise residential buildings were not a material factor in the huge density increases that made the Los Angeles urban area more dense than anywhere else in the nation during the second half of the 20th century. Even in New York City, the high-rise residential buildings where the most affluent live are concentrated in the lower half of Manhattan; they house not even 20 percent of the city’s population.

    Under any circumstances, the era of rapid growth is well behind us. In the 1980s, the population of Los Angeles grew by 18 percent; in the past decade, growth was only one-fifth as high. Growth in the core areas, including downtown, overall was barely 0.7 percent, while the population continued to expand more rapidly on the city’s periphery. Overall, the city of Los Angeles grew during the past decade at one-third the national rate. This stems both from sustained domestic outmigration losses of 1.1 million in Los Angeles County and immigration rates that have fallen from roughly 70,000 annually in the previous decade to 40,000 a year at present.

    Nor can L.A. expect much of a huge infusion of the urban young talent, a cohort said to prefer high-density locales. In a recent study of demographic trends since 2007, L.A. ranked 31st as a place for people aged 20-34, behind such hot spots as Milwaukee, Oklahoma City and Philadelphia. It does even worse, 47th among metro areas, with people ages 35-49, the group with the highest earnings.

    In reality, there is no crying need for more ultradense luxury housing – what this area needs more is housing for its huge poor and working-class populations. More important, we should look, instead, at why our demographics are sagging so badly. The answer here, to borrow the famous Clinton campaign slogan: It’s the economy, stupid. In contrast with areas like Houston, where dense development is flourishing along with that on the city’s periphery, Southern California consistently lands near the bottom of the list for GDP, income and job growth, barely above places like Detroit, Cleveland or, for that matter, Las Vegas.

    Despite many assertions to the contrary, densification alone does not solve these fundamental problems. The heavily subsidized resurgence of downtown Los Angeles, for example, has hardly stemmed the region’s relative decline.

    Instead of pushing dense housing as an economic panacea, perhaps Mayor Garcetti should focus on why the regional economy is steadily falling so far behind other parts of the nation. One place to start that examination would be with removing the regulatory restraints that chase potential jobs and businesses – particularly better-paying, middle class ones – out of the region. It should also reconsider how the “smart growth” planning policies have helped increase the price of housing, particularly for single-family homes, preferred by most families.

    At the same time, the mayor and other regional leaders should realize that L.A.’s revival depends on retaining the very attributes – trees, low-rise density, sunshine, as well as entrepreneurial opportunity – that long have attracted people. People generally do not migrate to Los Angeles to live as they would in New York or Chicago. Indeed, Illinois’ Cook County (Chicago) and three New York City boroughs – Manhattan, Queens and Brooklyn – are among the few areas from which L.A. County is gaining population. Where are Angelinos headed? To relatively lower-density places, such as Riverside-San Bernardino, Phoenix and Houston.

    Under these circumstances, pushing for more luxury high-rises seems akin to creating structures for which there is little discernible market. Once demographic and economic growth has been restored broadly, it is possible that a stronger demand for higher-density housing may emerge naturally. Until then, the higher density associated with “smart growth” neither addresses our fundamental problems, nor turns out to be very smart at all.

    This story originally appeared at The Orange County Register.

    Joel Kotkin is executive editor of NewGeography.com and Distinguished Presidential Fellow in Urban Futures at Chapman University, and a member of the editorial board of the Orange County Register. He is author of The City: A Global History and The Next Hundred Million: America in 2050. His most recent study, The Rise of Postfamilialism, has been widely discussed and distributed internationally. He lives in Los Angeles, CA.

  • The Evolving Urban Form: Charlotte

    There may be no better example of the post World War II urban form than Charlotte, North Carolina (a metropolitan area and urban area that stretches into South Carolina). Indeed, among the approximately 470 urban areas with more than 1 million population, Charlotte ranks last in urban population density in the United States (Figure 1) and last in the world. According to the United States Census Bureau, Charlotte’s built-up urban area population density was 1685 per square mile (650 per square kilometer) in 2010. Charlotte is not only less dense than Atlanta, the world’s least dense urban area with more than 4,000,000 residents, but it is only one-quarter the density of the supposed  “sprawl capital” of Los Angeles (Figure 2).

    Over the last seven decades, Charlotte also has been among the fastest growing metropolitan areas in the United States. Charlotte is the county seat of Mecklenburg County, and as recently 1940 as was home to 101,000 residents while with its suburbs in Mecklenburgh County was barely 150,000.

    Declining Densities in the Core City

    Charlotte is also in example of the difficulty of using the core municipality data for comparisons to the suburban balance of metropolitan areas. With North Carolina’s liberal annexation laws, Charlotte has pursued a program of nearly continuous annexation such that in every 10 years since 1940, the city has added substantial new territory.

    In 1940, the city of Charlotte covered a land area of 19 square miles (50 square kilometers) and had a population density of 5200 per square mile (2,000 per square kilometer). For a prewar core municipality, this was not at all dense. For example, Evansville Indiana, which had approximately the same population at the time, had a population density nearly twice that of Charlotte. Other larger core municipalities approached triple or more Charlotte’s population density, such as Trenton, Buffalo, Providence, and Milwaukee.

    Over the last seven decades, the city’s population has risen by 6.2 times, while its land area has increased by 14.4 times (Table $$$). The result is a 53% decline in the city of Charlotte’s population density, to 2456 per square mile (948 per square kilometer). This is only slightly above average density of the US built-up urban area – which includes the smallest towns and suburbs of every size – of 2,343 per square mile (1,455 per square kilometer). Indeed, the average far flung suburbs (30 miles distant) of Los Angeles, such as Pomona and Tustin, are more than 2.5 times as dense.

    City of Charlotte (Municipality)
    Population & Land Area: 1940-2010
    Census Population Area: Square Miles Area: Square KM Density (Sq. Mile) Density (KM)
    1940           100,899 19.3 50.0          5,228          2,019
    1950           134,042 40.0 103.6          3,351          1,294
    1960           201,564 64.8 167.8          3,111          1,201
    1970           241,178 76.0 196.8          3,173          1,225
    1980           314,447 139.7 361.8          2,251             869
    1990           395,934 174.3 451.4          2,272             877
    2000           567,943 242.3 627.6          2,344             905
    2010           731,424 297.8 771.3          2,456             948
    Change 625% 1443% 1443% -53.0% -53.0%

     

    Growth by Geography

    The core city of Charlotte’s ever-fluctuating boundaries make it necessary to use smaller area measures to estimate the distribution of population growth. This can be accomplished using zip code data from the 2000 and 2010 censuses.

    Inner Charlotte, for the purposes of this analysis (zip codes 28202 through 28208) covers approximately 28 square miles (73 square kilometers) and had a population of approximately 92,000 in 2010 . This is a larger area than the city of Charlotte in 1940, which covered only two thirds as much land area and had more people. Between 2000 and 2010, this inner area population rose by 6,200 residents. All the gain was in the central zip code that comprises the downtown area (central business district), which in Charlotte is called "Uptown." Outside this small 1.8 square mile area (4.7 square kilometers), the inner area actually lost 1,400 residents.

    Overall, the inner area of Charlotte – which has somewhat an obsessive hold on many city leaders – accounted for 1.0% of the metropolitan area growth from 2000 to 2010. This is not unlike other major metropolitan areas, which have experienced slow growth, particularly in areas adjacent to the downtown cores. Among the 51 US metropolitan areas with more than 1,000,000 population in 2010, net gain occurred within two miles of city hall, while this gain was erased by a loss of 272,000 between two and five miles of city hall.

    Another 13% (64,000) of the 2000-2010 growth occurred in the middle Mecklenburg County zip codes (28209 to 28217), virtually all of which is in the city of Charlotte. This 185 square mile area, combined with the inner area, exceeds the land area of the city in 1990.

    Mecklenburg County’s outer zip codes, many of which are in the city, captured 37% of the metropolitan area’s growth (184,000). The remaining 49% (247,000) of growth in the Charlotte metropolitan area was outside Mecklenburg County (Figure 3).

    From 1990 to 2010, Charlotte was the seventh fastest growing metropolitan area out of the 51 with a population exceeding 1 million. Early data for the present decade shows Charlotte to have slipped to ninth fastest growing; however during this period, Charlotte has displaced Portland, Oregon as the nation’s 23rd largest metropolitan area. Between 1990 and 2012, Charlotte added nearly 1,000,000 residents and now has 2.4 million residents.

    Uptown: The Commercial Story

    Unlike other post-World War II metropolitan areas (such as Phoenix, San Jose, and Riverside-San Bernardino), Charlotte has developed a concentrated, high rise downtown area." Part of this is due to the city’s strong financial sector. Charlotte is the home to Bank of America, the nation’s second largest bank and the successor to the San Francisco-based California bank of the same name that was the largest bank in the world for decades. Nation’s Bank, the predecessor to Bank of America, erected a 60 story tower in 1992 that was among the tallest in the United States.

    Charlotte was also home to Wachovia Bank, which built its 42 floor headquarters before, and nearby the Bank of America Tower. Wachovia had intended to move to a larger, 50 story building. However, the time it was completed, Wachovia had been sold to Wells Fargo Bank, a casualty of the US financial crisis. The new building was renamed the Duke Energy Center.

    Thus, Charlotte consumed one San Francisco bank, and lost another to San Francisco. Now Uptown Charlotte has six buildings more than 500 feet in height (152 meters). With six buildings of this height,  Charlotte has developed by far the concentrated central business district among the newer metropolitan areas.

    However, the high employment density has not converted into a transit oriented business district, as some might have predicted. American Community Survey (CTPP) data indicates that approximately 87% of uptown employees use cars to get to work. Further, more than 90% of the jobs in the metropolitan area are outside Uptown.

    Uptown: The High Rise Condominium Story

    Uptown’s commercial progress has not been replicated in the residential market, as overzealous high rise condominium developers apparently may have confused Charlotte for Manhattan or Hong Kong. One of the more recent 500 foot plus towers was The Vue, a 50 story condominium tower. Too few condominiums were sold, and a foreclosure auction followed. The new owner has converted the condominiums to rental units. A 40 story condominium project ("One Charlotte") was to feature units priced from $1.5 million to $10 million, but was cancelled. Another condominium building, the 32 story 300 South Tryon was also cancelled. A tower base was prepared for a 50 plus story condominium monolith, but this was never built, while depositors were claiming they could not find the developer to get their deposits back. It was also reported that legendary developer Donald Trump had plans for the tallest building in town, a 72 story condominium tower, which would have been joined by another tower. These have also been cancelled (for artists renderings, click here).

    Charlotte’s Continuing Dispersion

    While Uptown condominium developers were unable to sell many units, Charlotte’s labor market dispersed so much between 2000 and 2010 that the Office of Management and Budget expanded the metropolitan area by four counties. The net addition to the population of this revision was approximately 460,000.  This is by far the largest percentage increase to a metropolitan area over the period, though much larger New York added counties with 660,000 residents.

    Charlotte seems to say it all with respect to the ill-named "back to the city movement" (ill named, because most suburbanites did not come from the city to begin with). Yes, there is growth downtown and yes, it is important and yes, it is healthy. But, in the overall scheme of things, it is small, and relative to the rest of the thriving region, likely to remain less important in the years ahead.

    Wendell Cox is a Visiting Professor, Conservatoire National des Arts et Metiers, Paris and the author of “War on the Dream: How Anti-Sprawl Policy Threatens the Quality of Life.

    Photo: Uptown Charlotte courtesy of Wiki Commons user Bz3rk

  • Some Implications of Detroit’s Bankruptcy

    There’s been so much ink spilled over Detroit’s bankruptcy that I haven’t felt the need to add much to it. But this week the judge overseeing the case ruled that the city of Detroit is eligible for bankruptcy. He also went ahead and ruled that pensions can be cut for the city’s retirees. Meanwhile, the city has received an appraisal of less than $2 billion for the most famous paintings in the Detroit Institute of the Arts.

    A couple of thoughts on this:

    First, every city in America should be doing a strategic review of its assets, and moving everything it doesn’t want turned into de facto debt collateral into entities that can’t be touched by the courts. In the case of the DIA, the city owns the museum and the collection. Hence the question of whether or not art should be sold to satisfy debts. If it were typical separately chartered non-profit institution, this wouldn’t even be a question.

    At this point, I’d suggest cities ought to be taking a hard look at whether they own assets like museums, zoos, etc. that should be spun off into a separate non-profit entity. Keep in mind, the tax dollars that support the institutions can continue flowing to it. But this does protect the assets in the event of a bankruptcy.

    In the case of Detroit, it seems inevitable that at least some art work will be sold. Given that worker pensions are going to be cut, it would be pretty tough to say no to selling art. Assuming this is the case, post-sale the museum should be spun off as a separate entity to hopefully reboot its standing the museum world. As the trustees of the group that operates it have been adamantly opposed to any sale, one would hope other museums would not hold any violations of industry standards against them for, particularly if they acquire ownership of the building and artwork away from the city afterward. The city of Detroit doesn’t need to be in the museum business anyway. It has bigger fish to fry.

    Secondly, public sector employees will have to start rethinking their approach to retirement benefits. The current mindset has been to grab as much as you can anytime you can because the taxpayer will always be forced to cover the promises no matter what. As the actual results in Central Falls, RI and now this show, that’s no longer a good assumption.

    Detroit’s workers don’t have lavish pensions as these things go. But they weren’t shy about abusing the system either. They in effect looted their own pensions by taking out extra, unearned “13th checks”. They also used pensions funds to give a guaranteed 7.9% annual rate of return on supplemental savings accounts workers were allowed to establish. All told these “extra” payments drained about $2 billion out of the pension system.

    This was not something the city did through an arm’s length transaction. As the Detroit Free Press reported, Mayor Dennis Archer was alarmed by the practice and wanted to stop it. But “the city doesn’t control its pension funds, which have been largely administered by union officials serving on two independent pension boards.” So he tried to amend the city’s charter to stop the practice. According the Free Press, “Archer backed an effort to block the payments through a proposed new city charter, which actually passed in August 1996. Enraged, several city unions and a retiree group sued and won. Archer tried again to block payments through a ballot initiative, called Proposal T, but it failed.”

    The unions could brazenly loot their own pension plan because they felt rock-solid assurance that the taxpayers would ultimately be required to make them whole. This bankruptcy is showing that may not be the case after all. It should serve as a warning to unions everywhere not to get too aggressive with their shenanigans.

    They’ll of course appeal the judge’s ruling and may win. But the Michigan constitution says pensions are a contract right. The very definition of bankruptcy is that you can’t pay what you’re contractually obligated to. Bankruptcy is all about breaking contracts. The bondholders have contracts that are not supposed to be impaired too, after all. I’m a fan of local government autonomy as you know, but as Steve Eide rightly points out, any freedom worth its name is freedom to fail. If cities and their various constituencies don’t suffer the consequences of their mistakes, they should be heavily micromanaged from on high.

    When individuals fail, we have a safety net (unemployment insurance, for example). Plus we have personal bankruptcy to give people a fresh start. We don’t even worry about whether the person is at fault for their own position or not. We provide that backstop regardless. But that backstop doesn’t allow people to go on living like they did before as if nothing happened. Similarly, cities in trouble shouldn’t be abandoned, but they need to realize that there are genuine consequences for failure. A realization that failure has consequences for pension holders as well as the taxpayer should hopefully promote healthier decisions about how retirement benefits should be offered, funded, and administered.

    Aaron M. Renn is an independent writer on urban affairs and the founder of Telestrian, a data analysis and mapping tool. He writes at The Urbanophile, where this piece originally appeared.

  • The Abuse of Art in Economic Development

    City building is an imperfect process. Poverty, segregation, and income disparities persist, or worsen, despite longstanding efforts to affect change. The unsightliness of these social failures are called “blight”. Blight is commonly thought to be the antithesis to beauty.

    Urban revitalization efforts have been infatuated with idea that removing blight creates the conditions for community good. Specifically, the field of aesthetics—or that branch of philosophy that deals with the principles of beauty and artistic taste—has for long been held up as a lens through which society can be ordered, with the thinking that beautification can “rehab” the masses.

    For instance, the early 20th-century upper crust framed the conditions of poverty this way: the deprived were laggards on the evolution toward modernity, and they needed aesthetic inspiration. So arose the City Beautiful Movement, whose premise, according to Julie Rose at the University of Virginia, “was the idea that beauty could be an effective social control device”.

    Put simply, outside pretty would arouse inside pretty, inspiring civic loyalty and morality in the impoverished.

    A line in the 1904 classic “Modern Civic Art, or The City Made Beautiful” puts it frankly: “[M]odern civic art can now hope to banish the slum thus to redeem the tenement and to make its own conquests thorough.”

    Cleveland tried its hand with this approach. Back in the early 1900s the city’s elites commissioned then-starchitect Daniel Burnham to create the Group Plan. The Plan called for a City Beautiful civic center, which involved demolishing downtown housing tenements and commercial structures deemed expendable, with a series of elegant Beaux Arts-style buildings eventually being constructed around a plaza-like green space, now known as the “Mall”. It was believed such a central source of civic beauty would radiate out into the city, curing ills of all types. The beauty would be timeless, without half-life—always anchoring Cleveland’s progression, like a compass of godliness.

    Courtesy of groupplan.dhellison.com

    It didn’t work. Today, Cleveland is wayward, with a poverty rate of over 30 percent, and more vacant houses than perhaps ever before. Such failures made plain the fact that impoverishment cannot be “prettied” out of the city.

    The use of aestheticism in city building has not gone away. In fact efforts have redoubled over the last decade. The idea is no longer about flushing impoverishment out of the city system, but rather using art—particularly the romanticization of the artist and the act of creation—to spark economic growth.

    In the article “Artists, Aestheticisation and the Field of Gentrification”, scholar David Ley discusses this strategy, whereby a neighborhood moves from “from junk to art and then on to commodity”, or form poor to reinvested in. The gist of the process—one with roots in 1960s France to present-day everywhere—goes something like this:

    Artists, as members of the bohemian vanguard, historically seek affordable, gritty locations. They do this out of necessity—most of the creative class is paid pittance—but also for creativeness.

    “Hardship was the price one paid for being in the thick of it,” wrote artist David Byrne in the article “Will Work for Inspiration”.

    Where artists cluster, so does the concept of anti-conformity and “cool”. Here, according to Ley, the space of the artist and the space of middle class youth overlap, bringing an era’s hipsters into a neighborhood’s fold. Things can turn quickly after that. Developers and entrepreneurs constantly sniff out the next big thing so as to buy lower and rent higher, with the scent pegged to “what the kids like”, hence the incessant “Millennial” fixation. Eventually, as gentrification continues, the artists and hipsters give way to professionals, until a landscape of wealth and conformity fills in the “starving artist” romanticism that greased its path.

    Notwithstanding which side of the gentrification debate one falls on, the fact of the matter is that this form of city revitalization—from junk, to art, to commodity—is rampant, becoming defacto neighborhood development. In Cleveland, the arts-fueled districts of Tremont, Detroit Shoreway, Collinwood, and St. Clair-Superior speaks to the popularity of this approach.

    This isn’t to say it inevitably works. There are only so many artists and hipsters to go around, and not everywhere is Portland, Austin, or Brooklyn. And so when Anywhere, USA does the art-as-development approach, things do not always go as planned.

    In the recent piece called the “Best of All Possible Worlds”, writer Mark Lane travels to Evansville, Indiana, where a public art contest sparked “a debate over class, race, and good taste”. The story details how the town’s arts district plan devolved into land-grabbing by a quasi-governmental agency whose attempt at subsidizing housing for artist attraction often turned into the demolition of stately structures, if only because getting artists to move to small town Indiana is hard.

    Courtesy of The Believer

    Courtesy of The Believer

    Beyond the wisdom of such a strategy, the piece examines the role of art as an aesthetic discipline, noting that the use of art in city revitalization is commonly not art for art’s sake, but is rather employed as a means to “fertilize” low-income neighborhoods for the arrival of the creative class.

    “It’s not about the art,” noted an Evansville city planner to Lane. “Art is just another tool for economic sustainability.”

    Such is a far cry from Picasso’s purpose of art, which is “washing the dust of daily life off our souls”.

    Curiously, you don’t hear much from the mouthpieces of the art establishment as to the way the discipline is being used: as a means to create commercial order. Historically, the beauty and need of civic art has been about allowing the brokenness of life to enter into the artist’s realm so that the pain and suffering of humanity could be recast through the value of creation. Here, the soul is the audience, with the ovation meant to reverberate into how we “do” community.

    But civic art as “junk, to art, to commodity” achieves something else. It turns the act of creation into the act of “creative classification”. And given our current economic inequalities and the erosion of the middle class, it is fair to wonder why a field that can heal the soul is being used to patch a system that adds dust to our daily living by the day.

    Richey Piiparinen is a writer and policy researcher based in Cleveland. He is co-editor of Rust Belt Chic: The Cleveland Anthology. Read more from him at his blog and at Rust Belt Chic.

    Top photo courtesy of aaronacker.com

  • Urban Planning For People

    The recent publication of the United States Department of Energy, Energy Information Administration’s (EIA) 2014 Annual Energy Outlook provides a good backdrop for examining the importance of current information in transportation and land-use planning. I have written about two recent cases in which urban plans were fatally flawed due to their reliance on outdated information. In one case, San Francisco’s Plan Bay Area, the planners are ignoring reality, and a court challenge is underway. In the other, a court invalidated the city of Los Angeles Hollywood Plan.

    Progress In Automobile CO2 Emissions

    The new Annual Energy Outlook forecasts continuing and material progress in improving energy efficiency, reducing fossil fuel consumption and reducing carbon dioxide emissions from cars and light trucks (light vehicles). Per capita carbon dioxide emissions from light vehicles are projected by EIA to fall to 51 percent below the peak year of 2003 (Figure 1).

    The gross (not per capita) 2040 carbon dioxide reduction from light vehicles is projected to decline 28 percent in 2040 from 2003. Most significantly, the reduction is to occur as gross driving miles increases 29 percent (Figure 2). The actual 2040 emissions are likely to be even lower, because the 2014 Annual Energy Outlook assumes no vehicle fuel economy improvements after 2025. Improvements in vehicle technologies and cars using alternative fuels, and under government incentives, seem likely.

    The emissions forecast improvements have been stunning, to say the least. The 2002 Annual Energy Outlook had expected a 46 percent increase in carbon dioxide emissions from light vehicles between 2000 and 2020. The revised forecast – which takes into account what actually has occurred – says there will be a 9 percent decrease.

    This is the result of multiple factors. In 2002, EIA predicted a 55 percent increase in driving between 2000 and 2020. The 2014 Annual Energy Outlook revises that figure to 22 percent (Figure 3). Fuel economy is improving, which is being driven by stronger regulations as well as technological advances.  

    Driving is Down

    Driving per capita fell nine percent from the peak year of 2003 to 2012. This decline is not surprising given the sorry state of the economy and high unemployment. Gas prices have risen 85 percent (inflation adjusted) over the same period. The decline in driving is modest compared to the increase in gas prices – a 0.9 percent reduction in driving per capita for each 10 percent increase in gasoline (Figure 4), inflation adjusted. This is half or less the reduction in transit ridership that would be expected if fares were raised by the same percentage.  

    Meanwhile, little of this reduction in driving has been transferred to transit. The increase in transit per passenger miles per capita captured less than one percent of the driving decline. Indeed, the daily increase in per capita transit use is less than the perimeter of a 20-to-the-acre townhouse lot.

    With fewer jobs, higher gas prices and the new reliance on social media, as well as a rise in people working at home, people may have become more efficient and selective in their driving patterns (such as by consolidating shopping trips). Certainly those with jobs use their cars for those trips above as much as before.

    Meanwhile, the EIA forecasts that driving per capita will rise gain, once the economy is released from intensive care. However, with the near universality of automobile ownership, the potential for substantial increases is very limited.

    Hiding Success?

    It might be thought that the planning community, with its emphasis on reducing greenhouse gas emissions, would be rushing to incorporate these into their plans and even to herald the improvements.

    Yet, this is not the case. San Francisco Bay Area planners hid behind over-reaching state directives to "pretend-it-was yesterday" and employed out of date forecasts for vehicle emissions. Data in Plan Bay Area documentation shows that 95 percent of the projected improvement in greenhouse gas emissions would be from energy efficiency improvements. These have nothing whatever to do with its intrusive land use and transport strategies. The additional five percent requires social engineering residents into "pack and stack" high density developments, virtually outlaw detached housing on plentiful urban fringe land and will likely cause even more intense traffic congestion.

    California’s high speed rail planners have made the same kind of mistake, using out-dated fuel economy data in their excessively optimistic greenhouse gas emissions reductions.

    The Illusion of Transit Mobility

    Part of the problem is an illusion that people in the modern metropolitan area can be forced out of their cars into transit, walking, and biking, without serious economic impacts (such as a lower standard of living and greater poverty).

    Transit is structurally incapable of providing automobile competitive mobility throughout the metropolitan area without consuming much or all of its personal income (of course, a practical impossibility). But there is no doubt of transit effectiveness and importance in providing mobility to the largest central business districts (downtowns) with their astronomic employment densities (Note 1). Yet, outside the relatively small dense cores, automobile use is dominant, whether in the United States, Canada, Australia, or Western Europe. The transit legacy cities (municipalities) of New York, Chicago, Philadelphia, San Francisco, Boston, and Washington, with the six largest downtown areas account for 55 percent of all transit commuting in the United States.

    The Delusion of Walking and Cycling as Substitutes for Driving

    Illusion becomes delusion when it comes to cycling and walking. Walking and cycling work well for some people for short single purpose trips, especially in agreeable weather. However, walking and cycling are inherently unable to provide the geographical mobility on which large metropolitan areas rely to produce economic growth. True, cycling does approximate transit commute shares in smaller metropolitan areas, like Amsterdam, Rotterdam, and Bremen, but still accounts for barely a third of commuting by car according to Eurostat data. Prud’homme and Lee at the University of Paris and others have shown in their research that the economic performance of metropolitan areas is better where more of an area’s employment can be reached within a specific period of time (such as 30 minutes). That leaves only a limited role for walking and cycling.

    Toward an A Non-Existent Nirvana?

    The "Nirvana" of a transit-, walking-, and cycling-oriented metropolitan area proves to be no Nirvana at all. We don’t need theory to prove this point. Take Hong Kong, for example, with its urban population density six times that of Paris, nine times that of Toronto, 10 times Los Angeles, 12 times New York nearly 20 times Portland, and nearly 40 times that of Atlanta.

    This vibrant, exciting metropolitan area cannot deliver on a standard of living that competes with Western Europe, much less the United States. Despite the high density, the overwhelming dominance of transit, walking, and cycling, Hong Kongers spend much longer traveling to and from work each day than their counterparts in all large US metropolitan areas, including New York and in most cases the difference is from more than 50 percent (as in Los Angeles) to nearly 100 percent.

    The problem goes beyond the time that could be used for more productive for rewarding activities. Housing costs are the highest among the major metropolitan areas in the eight nations covered by the Demographia International Housing Affordability Survey. Hong Kong’s housing costs relative to incomes are more than 1.5 times as high as in the San Francisco metropolitan area and almost five times as high as Dallas-Fort Worth. Meanwhile, the average new house in Hong Kong is less approximately 485 square feet (45 square meters), less than one-fifth the size of a new single family US American house (2,500 square feet or 230 square meters), though Hong Kong households, are larger (Note 2).

    When households are required to spend more of their income for housing, they have less discretionary income and necessarily a lower standard of living. This loss of discretionary income trickles down to people in poverty, whose numbers are swelled by higher than necessary housing costs.

    Planning is for People

    Contrary to the current conventional wisdom, the prime goal of planning should not be to achieve any particular urban form. What should matter most is the extent to which a metropolitan area facilitates a higher standard of living and less poverty.

    ——————

    Note 1: In 2000, employment densities in the nation’s six largest downtown areas (New York, Chicago, Washington, Boston, San Francisco and Philadelphia) was three times that of the downtowns in the balance of the 50 largest urban areas, and 14 times as dense as outside the downtown areas.

    Note 2: According to the 2011 census, the average household size in Hong Kong was 2.9 persons. This is more than 10 percent larger than the US figure of 2.6 from the 2010 census.

    ——-

    Wendell Cox is a Visiting Professor, Conservatoire National des Arts et Metiers, Paris and the author of “War on the Dream: How Anti-Sprawl Policy Threatens the Quality of Life.

    Photo: Prius photo by Bigstock.

  • NewGeography’s Top Stories of 2013

    A new year is upon us, here’s a look back at a handful of the most popular pieces on NewGeography from 2013. Thanks for reading, and happy New Year.

    12. Gentrification as an End Game, and the Rise of “Sub-Urbanity” In January Richey Piiparinen points out that gentrification driven by affluent young people moving back to the city might be creating “a ‘sub-urbanity’ that is emerging when the generalization of gentrification meets the gentrification of the mind.”

    11. The Cities Winning the Battle for the Biggest Growth Sector in the U.S. Joel and I put this index together to measure growth and concentration of the professional, technical, and scientific services sector among the nation’s largest metropolitan areas. As high-end services become easier to export, this sector is becoming a critical region-sustaining sector in many parts of the country. This piece also ran at Forbes.com.

    10. A Map of America’s Future: Where Growth will be Over the Next Decade Working with Forbes Magazine in September, Joel and I laid out seven regions and three city-states across the nation. Regional economic diversity is one of America’s most critical attributes.

    9.  The Dutch Rethink the Welfare State Nima Sanandaji outlines the trajectory of the social services culture in the Netherlands.

    8.  Suburb Hating is Anti-Child In this provocative, widely-discussed piece, Mike Lanza takes it to politicians and commentators who advocate against suburbs, pointing out that “we need to fix suburbs and the way families utilize them,” but “what we shouldn’t do is try to force families to live in dense city centers.”

    7.  Fixing California: The Green Gentry’s Class Warfare Joel Kotkin points out that many green policies are pro-gentry and anti-middle class, particularly in California. This piece originally appeared at U-T San Diego.

    6.  How Can We Be So Dense? Anti-Sprawl Policies Threaten America’s Future In this piece from Forbes, Joel Kotkin argues that high-density housing advocates should be open to a broader range of housing options because policies pushing high density often favor real estate investors over the middle class and the concept of upward mobility.

    5.  Class Warfare for Republicans Joel takes the Republican Party to task for ignoring the issue of class and small business growth in favor of rhetoric about social conservatism, gun control, and free market idealism. This piece originally ran in the Orange County Register.

    4.  Houston Rising: Why the Next Great American Cities Aren’t What you Think In this piece from The Daily Beast, Joel argues that a city’s most important quality is its ability to foster upward mobility and to sustain a middle class, not its urban form.

    3.  The New Power Class Who Will Profit from Obama’s Second Term Who stands to benefit most from the second Obama administration? Joel argues that it’s the plutocrats of Silicon Valley and new media industries and the clerisy of academia. This piece originally appeared at Forbes.com.

    2.  Why are there so Many Murders in Chicago? Aaron Renn lays out seven possible reasons contributing to violent crime in Chicago and calls for an adjustment in strategy to fight it.

    1.  Gentrification and its Discontents: Notes from New Orleans The most read piece of the year is this excellent expose of gentrification and its impact on the culture and age demographics of New Orleans by local geographer Richard Campanella.

    Mark Schill is a community strategist and analyst with Praxis Strategy Group and New Geography’s Managing Editor.

  • The Metro Areas With The Most Economic Momentum Going Into 2014

    America’s economy may be picking up steam, but it remains a story of parts, with the various regions of the country performing in often radically divergent ways.

    To identify the regions with the most momentum coming out of the recession, we turned to Mark Schill, research director for the Praxis Strategy Group, who crunched a range of indicative data from 2007 to today for the nation’s 52 largest metropolitan statistical areas. To gauge economic vitality, we used four metrics: GDP growth, job growth, real median household income growth and current unemployment. To measure demographic strength we looked at population growth, birth rate, domestic migration and the change in educational attainment. All factors were weighted equally.

    Our assumption is that strong local economies attract the most people and create the best conditions for family formation, which in turn generates new demand. Strong productive industries drive demand for such things as heath care, business services and retail, as well as single-family houses, a critical component of local growth and still the aspirational goal of the vast majority of Americans. This, of course, depends on economic factors, which drive perceptions of better times and provide the income necessary to qualify for a mortgage.

    Our results are based on metrics often overlooked in assessments that are focused primarily on either asset inflation — stocks or out-of-control housing prices — or are built around anecdotal, cherry-picked data from, for example, just one part of a metropolitan region. Despite all the attention lavished on places like Manhattan or Chicago’s central core, virtually all the fastest-emerging economies coming out of the recession are either in the Southeast, Texas, the Great Plains or the Intermountain West. Of our top 10 metro areas, only one is on the east or west coast: 10th-ranked San Jose/Silicon Valley.

    Most of the strongest local economies combine the positive characteristics associated with blue states — educated people, tech-oriented industries, racial diversity — with largely red, pro-business administrations. This is epitomized by our top-ranked metro area, Austin, Texas, which has enjoyed double-digit growth in GDP, jobs, population and birthrate since 2007. The Texas capital has a very strong hipster reputation, attracting many of the same people who might otherwise end up in Silicon Valley or San Francisco, but it also boasts the low taxes, light regulation and reasonable housing prices that keep migrants there well past their 30s.

    As has been the case for most of the past five years, Texas cities are clearly the place to be in terms of job creation, wealth formation and overall growth. All the other major Lone Star cities place highly on our list, including second-place San Antonio and Houston (fourth). Clearly many parts of the Sun Belt have not died off, as many Eastern pundits gleefully predicted during the recession. The migration of Americans southward, thought by the Eastern press to have petered out, has resumed, particularly to Texas and Sun Belt cities with strong economies.

    One critical factor propelling growth has been the energy revolution, which is rapidly transforming big swathes of middle America into a production hub for fossil fuels and the best place to secure cheap electric power. Besides the Texas cities, other energy capitals doing well including Salt Lake City (No. 3) and Denver (No. 7) — both of which also boast burgeoning tech sectors — as well as Oklahoma City (No. 8).

    One canary in the coalmine suggesting future dynamism is a rising share of highly educated people in the population. Places like Nashville, Denver and Salt Lake are all getting smarter faster, increasing their numbers of educated people faster than “brain” regions such as Seattle (14th), San Francisco (22nd), Boston (26th), New York (31st), Chicago (40th) and Los Angeles (44th). Another survey looking at areas that have gained the most young college graduates since 2006 found similar trends, with Nashville, New Orleans, Dallas, Austin, San Antonio and Houston among the leaders. More important still, in these high- growth cities, educated labor is not tethered to the current social media bubble, but to more diverse industries such as medical services, energy, manufacturing and business services.

    Other evidence of these areas’ dynamism includes high rates of birth and family formation. After several years of declines, the nation’s fertility rate now appears to be rebounding somewhat, with some demographers predicting we may on the cusp of a “birth bounce,” in part as millennials start entering their 30s. Certainly this welcome trend will accelerate if the economy continues to gain strength.

    So where will these new families likely settle? With the exception of  Washington D.C. (12th), virtually all the areas with the fastest projected rates of household formation are in the Sun Belt, led by Houston, which is expected to add 140,000 new households by 2017, the largest increase in the nation, nearly twice as many as much larger New York. Indeed despite some of the most active homebuilding in the nation, the energy capital clearly needs more homes; sales have been so strong that it has now reached the lowest inventory in recent history.

    Critically, most of these cities embrace growth, whether in their urban cores or suburban peripheries. In contrast, some strong economies, such as San Jose and San Francisco, are also among the most restrictive in terms of new construction, leading to ever escalating prices that tends to force 30-somethings and families out of the region. High housing costs also play a depressing role in always hyped New York, as well as Los Angeles and Chicago; all suffer high rates of domestic out-migration and depressed household formation. Chicago is now projected to have virtually no job growth next year, not a good sign in an economy that remains well below its 2007 employment level.

    What other regions are likely to lag, even amid a strengthening recovery? The list includes Sun Belt metro areas where the housing bubble hit hardest and job growth has not revived, such as Las Vegas (51st) and Riverside-San Bernardino, Calif. (49th). In these cities real per capita household income remains almost 20% below 2007 levels. With fewer people able to afford new homes, these areas have roughly 8% fewer jobs than five years ago.

    Other bottom-dwellers include several industrial cities where even a resurgence in manufacturing has failed to erase the catastrophic losses suffered in the recession. Detroit ranks dead last at 52nd; Providence, R.I., 50th; and Cleveland 48th. All three have fewer people than in 2007 and at least 5% fewer jobs than.

    These differentials between regions could widen further in the future, as the impact of the energy revolution deepens and the current social media craze begins to die down. This happened after the first dot-com bust at the beginning of the last decade, sending roughly half of California’s tech workers out of the industry or out of the state.

    Sky-high housing costs, coupled with stricter mortgage restrictions, could accelerate the development of new, less pricey tech centers, including Seattle, New Orleans (16th) and Pittsburgh (19th). Once the venture capital punch bowl is removed, it is likely the surviving social media firms will need to find more affordable places to locate, if not their leading researchers, at least much of their marketing and administration.

    Looking across the board, it seems likely that the best places to look for work, or invest, will be those that have diversified their economies, kept costs down and attracted a broad cross-section of migrants from other parts of the country. These may not all be the favored cities of the media, or the pundit class, but they are the places offering a variety of positives to residents at every stage of life. These balanced regions are the places employers and families are most likely to flock to. Such places have not only transcended the worst effects of the recession, but seem primed to take advantage of a nascent expansion that could redraw the map of the country.

    2014 Regions to Watch Index
    Rank Region (MSA) Score GDP Growth, 2007-2012 Job Growth, Aug-Oct 07-13 Population Change, 07-12 Unemplymt Rate 2013 Median Real Hshld Inc Growth, 07-12 Dommestic Mig Rate 10-12 Birth rate, 10-12 Pt Change in Educ. Attain Rate, 07-12
    1 Austin 82.8 21.7% 11.8% 16.3% 5.4% -5.4% 17.0 14.2 2.2%
    2 San Antonio 69.7 11.2% 6.2% 11.1% 6.2% 0.4% 9.2 14.2 2.2%
    3 Salt Lake City 69.4 10.7% 3.7% 8.3% 4.4% -5.3% 0.8 17.0 3.0%
    4 Houston 67.7 12.3% 9.2% 11.5% 6.3% -4.7% 5.2 15.3 1.9%
    5 Nashville 64.4 11.5% 6.5% 8.4% 6.7% -8.4% 7.0 13.3 4.0%
    6 Dallas 62.9 9.3% 6.4% 10.2% 6.2% -6.0% 6.9 14.7 1.7%
    7 Denver 62.1 6.6% 3.4% 9.4% 6.6% -5.7% 8.2 13.4 3.4%
    8 Oklahoma City 61.4 9.2% 5.3% 8.1% 5.1% -3.1% 7.1 14.3 0.7%
    9 Raleigh 58.8 8.9% 2.9% 14.9% 6.8% -6.3% 10.9 13.2 0.6%
    10 San Jose 58.2 15.3% 2.6% 7.3% 6.7% -2.2% -1.3 13.4 2.7%
    11 Portland 55.9 23.6% -0.7% 7.1% 7.1% -7.1% 4.8 12.2 2.5%
    12 Washington 55.3 8.0% 2.9% 9.1% 5.6% -4.2% 2.3 13.8 0.9%
    13 Minneapolis 54.0 6.1% 1.2% 4.7% 4.7% -6.3% 0.0 13.0 2.6%
    14 Seattle 52.3 9.0% 0.8% 7.5% 5.8% -7.2% 3.9 12.6 1.6%
    15 Columbus 49.6 2.2% 2.5% 5.6% 6.2% -6.2% 1.4 13.5 1.7%
    16 New Orleans 49.2 8.6% 3.7% 11.9% 7.1% -16.7% 6.1 13.2 1.1%
    17 Baltimore 49.2 8.2% 1.9% 3.2% 7.2% -5.1% 0.1 12.2 3.0%
    18 Louisville 48.4 5.6% 0.7% 4.0% 7.9% -3.4% 0.2 12.7 2.9%
    19 Pittsburgh 46.7 4.6% 2.6% 0.1% 6.7% -0.1% 1.4 10.0 2.9%
    20 Richmond 46.7 4.8% -0.2% 4.9% 6.0% -9.7% 2.4 12.0 2.4%
    21 San Francisco 46.3 3.7% -1.0% 6.5% 6.4% -8.1% 2.3 11.9 2.2%
    22 Indianapolis 45.9 3.3% 1.5% 5.6% 7.1% -11.9% 1.1 14.2 1.9%
    23 Charlotte 45.6 4.5% 1.9% 10.1% 8.5% -11.0% 7.8 13.0 0.9%
    24 Grand Rapids 45.0 -2.4% 3.6% 2.4% 6.6% -6.7% 0.9 13.3 1.9%
    25 Kansas City 44.9 3.9% -1.1% 4.3% 6.5% -8.0% -1.1 13.6 1.9%
    26 Boston 44.9 7.6% 3.0% 4.3% 6.4% -4.9% -0.1 11.2 1.1%
    27 Virginia Beach 42.0 2.2% -1.5% 2.2% 6.0% -7.8% -3.4 13.4 1.8%
    28 Phoenix 41.7 -4.8% -6.3% 7.8% 7.0% -14.5% 4.8 13.7 2.6%
    29 Birmingham 41.4 0.7% -6.5% 2.7% 5.8% -10.5% -1.7 13.7 2.6%
    30 Buffalo 41.4 2.0% 1.0% -0.3% 7.3% 1.2% -2.5 10.5 2.5%
    31 San Diego 40.6 -1.0% -1.9% 6.8% 7.3% -11.8% 0.2 14.3 1.3%
    32 Philadelphia 39.1 1.9% -1.9% 2.3% 8.1% -6.9% -2.4 12.3 2.8%
    33 Atlanta 38.9 -0.5% -1.5% 7.7% 8.1% -13.7% 3.2 13.6 1.2%
    34 New York 38.9 1.9% 1.6% 3.1% 7.9% -6.1% -5.8 12.7 1.9%
    35 Milwaukee 37.6 0.3% -3.8% 2.4% 7.1% -8.6% -2.9 13.1 2.0%
    36 Jacksonville 37.6 -5.4% -3.3% 5.4% 6.6% -16.2% 3.5 12.8 2.1%
    37 St. Louis 35.8 0.2% -3.6% 1.5% 7.2% -10.1% -3.7 12.3 2.6%
    38 Cincinnati 35.6 1.3% -3.4% 2.1% 7.0% -9.0% -3.0 12.9 1.4%
    39 Tampa 33.5 -3.4% -2.4% 4.3% 6.9% -14.0% 5.9 10.9 1.0%
    40 Chicago 33.0 0.2% -2.5% 2.0% 9.1% -9.7% -5.9 13.2 2.5%
    41 Orlando 32.9 -5.7% -2.0% 8.1% 6.6% -18.3% 7.4 12.0 -0.2%
    42 Rochester 32.8 -2.2% 0.2% 1.0% 6.9% -9.3% -3.2 11.0 1.6%
    43 Miami 32.3 -4.3% -3.9% 6.3% 7.4% -14.4% 3.8 11.6 0.9%
    44 Memphis 31.2 -4.0% -5.8% 3.0% 9.6% -9.8% -1.7 14.5 1.7%
    45 Los Angeles 31.1 -2.5% -4.6% 3.3% 8.9% -10.9% -3.2 13.5 1.8%
    46 Hartford 29.1 -6.9% -1.0% 1.3% 8.0% -6.4% -5.0 10.0 2.2%
    47 Sacramento 26.4 -6.0% -7.9% 5.5% 8.3% -14.1% 0.8 12.9 0.5%
    48 Cleveland 25.1 -1.9% -5.5% -1.3% 7.0% -12.1% -5.8 11.0 1.7%
    49 Riverside 23.6 -9.0% -8.1% 7.0% 10.1% -18.5% 2.3 14.9 0.4%
    50 Providence 23.4 -0.4% -4.2% -0.1% 9.1% -9.4% -4.3 10.5 1.4%
    51 Las Vegas 21.6 -10.4% -8.6% 7.1% 9.6% -20.1% 1.5 13.8 0.7%
    52 Detroit 18.3 -6.0% -5.6% -1.9% 9.7% -13.5% -4.7 11.5 1.8%

    Analysis by Mark Schill, Praxis Strategy Group, mark@praxissg.com
    Data Sources: Bureau of Economic Analysis, Bureau of Labor Statistics, U.S. Census Population Estimates Program, U.S. Census American Community Survey

    This story originally appeared at Forbes.

    Joel Kotkin is executive editor of NewGeography.com and Distinguished Presidential Fellow in Urban Futures at Chapman University, and a member of the editorial board of the Orange County Register. He is author of The City: A Global History and The Next Hundred Million: America in 2050. His most recent study, The Rise of Postfamilialism, has been widely discussed and distributed internationally. He lives in Los Angeles, CA.

  • Public Engagement Miracle on 24th Street

    Confrontation and conflict are the favorite dispute resolution tools of Baby Boomers, who were born in the aftermath of WWII and grew up in the rebellious ‘60s. In stark contrast, members of the Millennial generation, born 1982-2003, bring a spirit of collaboration and consensus to solving any problem they encounter. A great example of the difference this generational distinction can be seen in the parents at the LA Unified School District’s 24th Street school, most of whom are Millennials in their twenties or early thirties, in how they resolved  the dispute over the school’s future.

    Located near the 10 freeway and Western Avenue in a predominantly Hispanic, hardscrabble neighborhood, the school appeared regularly on the District’s list of academic underperformers. Beyond poor learning outcomes, the parents at the school were upset by LAUSD’s apparent unwillingness to address their complaints about cleanliness and health issues in the schools including non-functioning bathrooms and dead animals on the premises.  They also felt the principal had a tendency  to use suspensions and a police presence as the way to enforce discipline. Before California’s Parent Trigger law gave parents the legal status to challenge incumbent administrators, the parents had organized a protest designed to remove the principal, but LAUSD failed to respond to their request.  

    So when organizers for the Parent Revolution non-profit that originally conceived of the Parent Trigger law contacted the school’s parents in May  2012, they found a group that was  prepared to spend long hours in the grinding work of organizing their peers into a cohesive and unified force that LAUSD would have to deal with. The parents knocked on doors and handed out flyers at the school inviting mothers to come to a nearby park where they met every Thursday after dropping off their kids at school. The “parent union” leaders surveyed all the other parents to determine what they liked or didn’t like about the school and encouraged those interested to attend the Public School Choice programs LAUSD ran to learn more about school reform options. Dissatisfied with what the District’s processes, the parents who came to the park elected a steering committee that met every Monday morning to organize the Thursday discussions.

    The discussions led to an emerging consensus on the changes the parents wanted to see at the school site.  They wanted to make sure that children with special needs had the right level of support services and the restoration of the preschool Early Education Center the district had eliminated due to budget cuts.  They demanded that dead animals, including gogs and rats, and other health hazards be addressed immediately. But the demand that brought about a real transformation of the conflict at the school and changed its culture in the most fundamental way was their insistence that everyone “play nice” together. They wanted LAUSD’s K-5 24th St. school and the Crown Prep charter school that ran a somewhat competing 5-8 charter school at the same site to embrace a spirit of collaboration addressing  the needs of the children, not necessarily their individual institutional interests.

    On January 17, 2013, about nine months after they were first contacted by Parent Revolution, the parents submitted a “parent trigger” petition to LAUSD, asking that the school be reconstituted under the federal No School Left Behind law’s guidelines for underperforming schools. Unlike other instances in California when such a petition has been presented to a school district’s board, LAUSD, under the guidance of its reform minded superintendent, John Deasy, responded positively to their request.  Eight Letters of Intent were presented to the parents from entities that wanted to take over its operations, including ones from Crown Prep and LAUSD.

    The parents formed a committee, which met every day from 8:30 AM until 2:30 PM, to review these proposals. They presented all the ideas to the parents at the weekly Thursday meetings and asked each bidder to come to the park and talk to them. On the day of LAUSD’s presentation it rained continuously, but Superintendent John Deasy stayed to talk to the parents about how to find common ground.

    Finally, the parents reached a consensus on how to restructure the school. They wanted to retain the college prep focus of the existing charter school, but they didn’t want an organization with little expertise in elementary education taking over K-4. So they asked LAUSD and Crown Prep to establish a collaboration on behalf of their children. If both entities would agree, a brand new LAUSD school with a new principal and new teachers would have responsibility for kindergarten through fourth grade on the campus and Crown Prep would have uncontested responsibility for grades 5-8.  Parents wanted both organizations to agree in writing that children would be on a college readiness track when they went to high school and that both organizations would share professional development of the 24th St. School teachers to ensure a seamless environment on the two school campus, including coordination of schedules. 

    Then a miracle happened. The two competing bidders found a way to agree with the parent’s unprecedented request. They signed an addendum to their bids acceding to the parents’ wishes. The parents voted their approval on April 10, 2013, just about one year after their organizing activities had begun.  A newly responsive LAUSD school board approved this innovative new concept one week later and parents became part of the committees that interviewed prospective principals and teachers for their school. The newly reconstituted school opened in the fall of 2013, with a new principal and a new set of teachers who, in the words of one of the parents, “have lots of new ideas and a strong desire to work on behalf of los niños.”   The early education center is scheduled to reopen in January, 2015.  

    When it came time for LAUSD to decide whether to retain the services of Superintendent Deasy, one of the most eloquent speeches on his behalf was delivered by a parent from the 24th St. School who recalled that day in the rain in the park as evidence of Deasy’s commitment to the children of Los Angeles. A school board riven by differences in personality and policy was taught a lesson about how to work in a more collaborative way by the Millennial parents who had embodied this new spirit in everything they did. As Boomers age and fade from their current leadership roles, perhaps more institutions will find a way to embrace Millennial values and behaviors that have already brought “a smile instead of tears” to the faces of the children of the 24th St. school in the City of Angels.

    Morley Winograd and Michael D. Hais are co-authors of the newly published Millennial Momentum: How a New Generation is Remaking America and Millennial Makeover: MySpace, YouTube, and the Future of American Politics and fellows of NDN and the New Policy Institute.

  • The Law’s No Ass: Rejecting Hollywood Densification

    The city of Los Angeles received a stunning rebuke, when California Superior Court Judge Alan J. Goodman invalidated the Hollywood Community Plan. The Hollywood district, well known for its entertainment focus, contains approximately 5% of the city of Los Angeles’ population. The Hollywood Plan was the basis of the city’s vision for a far more dense Hollywood, with substantial high rise development in "transit oriented developments" adjacent to transit rail stations (Note 1).

    The Hollywood Plan had been challenged by three community groups (Savehollywood.org, La Mirada Avenue Neighborhood Association of Hollywood, and Fix the City), which argued that the approval process had violated provisions of California law, and most particularly had relied on population projections that were both obsolete and inaccurate.

    Judge Goodman called the Hollywood Plan "fatally flawed," and noted that it relied on errors of both "fact and law." He ordered the City to:

    (1) Rescind, set aside and vacate all actions approving the Hollywood Plan and prepare a replacement that is lawful and consistent with the City’s general plan.

    (2) Grant no permits or entitlements from the Hollywood Plan until it has been replaced with a lawful substitute.

    An "Entirely Discredited" Population Baseline

    The principal issue in the case revolved around out-of-date and erroneous population estimates (Note 2). The city based its densification plan on an assumption that the population of Hollywood would rise from 200,000 in 2000 to 224,000 in
    2005. This estimate was produced by the Southern California Association of Governments (SCAG), which is the metropolitan planning organization for all of Southern California outside San Diego County. SCAG had further projected that Hollywood’s population would rise to 250,000 by 2030.

    To house these additional residents, the city reasoned that higher density development was necessary. In a related matter, the Los Angeles City Council approved Millennium Hollywood, a pair of 35 and 39 story mixed use towers. This was in spite of warnings from the State Geologist that the property was bisected by a dangerous earthquake "rupture" fault (Note 3). Litigation is pending.

    But there’s a fly in this planning ointment, rather than gaining population, Hollywood is losing people.   Before the Hollywood Plan was finally approved, 2010 United States Census data was released that indicated the population had dropped to 198,000. This revealed both the SCAG estimate of the actual population and its 2030 projection to be highly inaccurate. Judge Goodman referred to the SCAG 2005 estimate as "entirely discredited."

    Elementary Questions Raised

    Nonetheless, the city proceeded based upon the incorrect population data. This led the Judge to raise elementary questions about the process (paraphrased below).

    (1) Why was the SCAG population estimate used as a baseline by the city of Los Angeles if the US Census count, readily available before the environmental process was completed, had shown a significantly smaller population?

    (2) Why was the 2030 projection (from SCAG) not adjusted in the Plan based on the new, lower 2010 US Census population count?

    The City defended using the stale and erroneous population data. Judge Goodman commented: "That clearly is a post-hoc rationalization of City’s failure to recognize that the HCPU (Hollywood Plan) was unsupported by anything other than wishful thinking" (parentheses and emphasis by author). The Judge continued that this resulted in a "manifest failure to comply with statutory requirements."

    The Judge set out the burden faced by the City to achieve a legal (and rational outcome):

    …if the population estimate for 2030 were to be adjusted based on what the 2010 Census data had shown, then all of the several  analyses which are based on population would need to be adjusted, such as housing, commercial building, traffic, water demand, waste produced -as well as all other factors analyzed in these key planning documents.

    To its discredit, the city incredibly argued that "it was entitled by law to rely on the SCAG 2005 population estimate." The Judge disagreed. Any other conclusion would have proven "the law to be an ass" (Note 4).

    Abuse of Discretion

    The La Mirada Avenue Neighborhood Association argued that the city of Los Angeles had failed to exercise "good faith effort at full disclosure," contrary to the requirements of California environmental law. Judge Goodman appeared to agree, finding that the city of Los Angeles had abused its discretion, noting "A prejudicial abuse of discretion occurs if the failure to include relevant information precludes informed decision-making and informed public participation, thereby thwarting the goals of" the environmental process.

    Inaccurate Population Estimates and Projections

    This is not the first time that Southern California population projections have been so wrong. With more than a century of explosive population growth, more recent trends may have eluded some of the planning agencies. In 1993, SCAG projected that the city of Los Angeles would reach a population of 4.3 million by 2010. SCAG’s predicted increase of more than 800,000 materialized into little more than 300,000. This is not to suggest that projecting population is an exact science, nor that SCAG has been alone in its inaccuracy.

    In 2007, the state’s official population projection agency, the Department of Finance projected that Los Angeles County would reach 10.5 million residents in just three years. But the 2010 US Census counted only 9.8 million residents (See 60 Million Californians? Don’t Bet on It). In contrast with the previously accustomed growth from other parts of the country, Los Angeles County lost a net 1.2 million residents to other parts of the nation while the rate of immigration fell.  

    Not a Unique Problem

    This instance of overinflated and inaccurate projections is not unique to Los Angeles. The use of out-of-date or erroneous information is increasingly being used in regional planning. Recently, the Association of Bay Area Governments and the Metropolitan Transportation Commission approved the San Francisco Plan Area Plan, which used population projections substantially higher even than those of the Department of Finance (despite that agency’s previous over-optimism).

    As in Los Angeles, Plan Bay Area also used outdated data for automobile greenhouse gas emission factors that have long since been rendered obsolete by technological advancements. Other planning agencies around the nation have engaged in similar practices.

    Planners in the Bay Area, SCAG and elsewhere in California are using similarly flawed projections that presume a substantial change in housing preferences toward multifamily and smaller lots. Yet, years later, the projected trends have not emerged in any significant way (See: A Housing Preference Sea-Change: Not in California).

    Wishful Thinking: No Basis for Action

    Judge Goodman’s decision could have relevance well beyond Los Angeles and the state of California. Regional plans must be based upon current and reliable data, no matter how late received.  To proceed based on faulty data is no different than not changing course when an iceberg appears in the navigation path. Wishful thinking has no place in rational planning.

    ——–

    Note 1: The Hollywood rail stations are on the Red Line subway, which was projected to carry 300,000 daily riders by 2000. The Red Line is carrying approximately 170,000 daily riders and would need three-quarters more to reach the projection for more than a decade ago (see: Report on Funding Levels and Allocations of Funds, Urban Mass Transportation Administration, 1991, page B-49)

    Note 2: The plaintiffs also argued that the Hollywood Plan’s densification would result in additional traffic congestion. This is a serious concern, given Hollywood’s central location in the second most congested metropolitan area in North America (following Vancouver, which recently ended the decades long reign of Los Angeles). Greater traffic congestion is associated with higher population densities.

    Note 3: LA Weekly said that the fault might be capable "of opening the Earth, splitting buildings in half" (See: How the Hollywood Fault Made Millennium’s Future Uncertain, and L.A. a Laughingstock).

    Note 4:  "The law is an ass" (as in a donkey) refers to cases in which the law is at odds with common sense. This phrase was used by Charles Dickens, but appears to have first been used in a play as early as 1620.

    Wendell Cox is a Visiting Professor, Conservatoire National des Arts et Metiers, Paris and the author of “War on the Dream: How Anti-Sprawl Policy Threatens the Quality of Life.

    Photograph: Los Angeles City Hall (by author)

  • The Blue-Collar Heroes of the Inland Empire

    The late comedian Rodney Dangerfield (nee Jacob Cohen), whose signature complaint was that he “can’t get no respect,” would have fit right in, in the Inland Empire. The vast expanse east of greater Los Angeles has long been castigated as a sprawling, environmental trash heap by planners and pundits, and its largely blue-collar denizens denigrated by some coast-dwellers, including in Orange County, who fret about “909s” – a reference to the IE’s area code – crowding their beaches.

    The Urban Dictionary typically defines the region as “a great place to live between Los Angeles and Las Vegas if you don’t mind the meth labs, cows and dirt people.” Or, as another entry put it, a collection of “worthless idiots, pure and simple.” Nice.

    In reality, the people who live along the coast should appreciate the “909ers” since they constitute the future – if there is much of one – for Southern California’s middle class. The region has suffered considerably since the Great Recession, in part because of a high concentration of subprime loans taken out on new houses. Yet, for all its problems, the Inland Empire has remained the one place in Southern California where working-class and middle-class people can afford to own a home. With a median multiple (median house price divided by household income) of roughly 3.7, the area is at least 40 percent less expensive than Los Angeles and Orange County, making it the region’s last redoubt for the American dream.

    Without the 909ers, Southern California would be demographically stagnant. From 2000-10, according to the census, San Bernardino and Riverside counties added more than 1 million people, compared with barely 200,000 combined for Los Angeles and Orange counties. And, despite the downturn that impacted the Inland Empire severely and slowed its growth, the area since 2010 has continued to grow more quickly, according to census estimates, than the coastal counties.

    Families & foreign-born

    Perhaps nothing illustrates the appeal of the region better than the influx of the foreign-born. In the past decade, Riverside and San Bernardino counties grew their foreign-born population by more than 300,000. In contrast, Los Angeles and Orange added barely one third as many. The rate of foreign-born growth in the Inland Empire, notes demographer Wendell Cox, was roughly 50 percent, while Los Angeles and Orange counties managed 2.6 percent growth. The region, once largely white, now has a population that’s 40 percent Latino, the single largest ethnic group.

    And then there’s families. As demographer Ali Modarres has pointed out, the populations of Los Angeles, as well as Orange County, are aging rapidly while the numbers of children have dropped. In contrast, families continue to move into the Inland Empire, one reason for its relatively vibrant demography. Over the past decade, while Orange County and Los Angeles experienced a combined loss of 215,000 people under age 14 – among the highest rates in the U.S. of a shrinking population of children – the Inland Empire gained more than 20,000 under-14s.

    For these basic demographic reasons, the Inland Empire remains critical to Southern California’s success. And there are some signs of progress. Unemployment has plummeted from more than 13 percent to 9.6 percent, higher than in Orange County but considerably better than Los Angeles’ 10.2 percent. There are also some signs of growth, as signaled by some new residential development, and interest in the area from overseas investors.

    Coastals call shots

    The long-term outlook, however, remains clouded, in large part, because of state and regional economic policies that undermine the very nature of the predominately blue-collar 909 economy. This reflects in part the domination of the state by the coastal political class, concentrated in the Bay Area but with strong support in many Southern California coastal communities. The Inland Empire, where almost half the population has earned a high school degree or less, compared with a third of residents in Orange County, is particularly dependent on the blue-collar employment undermined by the gentry-oriented direction of state regulatory policy.

    Losses of jobs in these blue-collar fields, notes economist John Husing, have helped swell the ranks of poor people in the area, from roughly 12 percent of the population to 18 percent over the past 20 years. Part of the problem lies in a determination by the state to discourage precisely the kind of single-family-oriented suburban development that has attracted so many to the region. The decline of construction jobs – some 54,000 during the recession – hit the region hard, particularly its heavily immigrant, blue-collar workforce. This sector has made only a slight recovery in recent months. Ironically, the nascent housing recovery could short-circuit further gains by boosting housing prices and squashing any potential longer-term recovery.

    Other state policies – such as cascading electricity prices – also hit the Inland Empire’s once-promising industrial economy. With California electricity prices as much as two times higher than those in rival states, energy-consuming industries are looking further east, beyond state lines.

    Indeed, according to recent economic trends, job growth is now occurring fastest in places like Arizona, Texas, even Nevada, all of which compete directly with the Inland Empire. As the nation has gained a half-million manufacturing jobs since 2010, such jobs have continued to leave the region. Had the regulatory environment been more favorable, notes economist John Husing, the Inland Empire, with industrial space half as expensive that in Los Angeles and Orange, would have been a major beneficiary.

    Finally, there is a major threat to the logistics industry, which has grown rapidly over 20 years, adding 71,900 jobs from 1990-2012, a yearly average of 3,268. The potential threat is posed by the expansion of the Panama Canal, and the resulting expansion of Gulf Coast ports, all of which could reduce these positions dramatically in coming decades. Husing suggests that attempts by the regional Air Quality Management District to slow this industry’s expansion is a “a fundamental attack on the area’s economic health.”

    Keys to rebound

    Can the Inland Empire still make another turnaround, as it did after the previous deep regional recession 20 years ago? Some, such as the Los Angeles Times, see the key to a rebound in boosting transit, something that, despite huge investment, accounts for barely 1.5 percent of the IE’s work trips, even less than the 7 percent in Los Angeles or 3 percent in Orange County.

    This “smart growth” solution remains oddly detached from economic or geographic reality; more transit usage may be preferable in some ways but can only constitute a marginal factor in the near or midterm future. What the Inland Empire needs, more than anything, is an economic environment that spurs middle-class jobs, notably in logistics, manufacturing and construction.

    Equally important, the area needs to focus more on quality-of-life issues that may attract younger, educated workers, increasingly priced out of the coastal areas. This means a commitment to better parks and schools, attractive particularly to families. This approach has helped a few communities, such as Eastvale, near Ontario, become new bastions of the middle class.

    Without a resurgence in the Inland Empire, all of Southern California can expect, at best, to see the area age and lose its last claim to vitality. This should matter to everyone in Southern California whether they live there or not. Without the 909ers, we are not only without the butt of jokes from self-styled sophisticates, we will have lost touch with the very aspirational dynamic that has forged this region throughout its history. It’s time maybe to give them some respect.

    This story originally appeared at The Orange County Register.

    Joel Kotkin is executive editor of NewGeography.com and Distinguished Presidential Fellow in Urban Futures at Chapman University, and a member of the editorial board of the Orange County Register. He is author of The City: A Global History and The Next Hundred Million: America in 2050. His most recent study, The Rise of Postfamilialism, has been widely discussed and distributed internationally. He lives in Los Angeles, CA.