Moving toward Illinois legislation to merge metropolitan transit agencies

Limited budgets. Lots of traffic. Multiple regional actors, including city and suburban officials. A legislative process plus backroom conversations. All of these are involved in developing a proposal for merging Chicago area transit agencies:

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The proposal is part of a broader look at transit funding, as the region’s public transit agencies face a combined $730 million budget hole once federal COVID-19 relief funding starts running out, which could be as soon as 2025. Transit agencies have warned failure to plug the financial hole could lead to catastrophic service cuts and fare increases, and the Chicago Metropolitan Agency for Planning was tasked by the Illinois General Assembly with developing recommendations to overhaul transit, which were delivered to lawmakers in December.

The decision to introduce legislation is a signal of how some lawmakers and civic organizations want to proceed. Already, the transit agencies have sought more state funding, while the civic organizations and lawmakers say funding must be linked to changes to the way transit is overseen. But debate about consolidating the transit agencies and funding could prove thorny in Springfield.

Still, merging the transit agencies has garnered some support. The Civic Federation, a business-backed Chicago watchdog group, recently endorsed the idea, and Cook County Board President Toni Preckwinkle also previously expressed her support for the concept…

The proposal set to be introduced this week in Springfield is expected to replace the Regional Transportation Authority, which coordinates financing for the agencies, with a new Metropolitan Mobility Authority. The new agency would oversee the operation of buses, trains and paratransit, rather than having the CTA, Metra and Pace each operate their own services.

The proposal would revamp the number of board members on the new agency and who appoints them. The current system is complex and layered, regional planners have pointed out, with 47 board members across the agencies appointed by 21 elected officials. That has given nearly two dozen state, suburban and city officials varying levels of influence on the transit boards.

There is a lot to be worked out. No one community can address this issue. Even if the big city in a region has a great system, that city does not stand alone as people and business moves throughout the region. Indeed, in many regions, many of the jobs and much of the activity takes place in the suburbs where driving is even more prominent. Thus, I am in favor of this if it can improve transit options, create budget efficiencies, and help the region plan for the future.

One outcome is consistent in postwar era in the United States: we tend to get more roads and increasing traffic. In many regions, there are multiple competing interests regarding transportation. Do suburbanites want mass transit lines? What infrastructure already exists? Who controls the budgets? What political processes do ideas and plans need to work through? In a country devoted to driving, it can be hard to promote alternative options.

Economic cooperation in the Chicago region; Why now? Can residents be convinced of its need?

Skeptical that regional economic cooperation will succeed given the history of such projects in the Chicago region, the Chicago Tribune nonetheless touts its potential:

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A dynamic, cooperative region that thinks and behaves collectively has a better chance at prosperity than one that functions as an amalgam of fiefdoms.

We know that’s hard for politicians to grasp. They want to be able to tout in news releases that they’ve persuaded a mega-firm to relocate its headquarters to their turf, and it doesn’t matter that those jobs and tax revenue have been lured away from a nearby community.

But it does matter, because it’s not a win for the region. Municipalities that compete among themselves may win some skirmishes, but they’ll win the war if they band together and compete as a region — against other regions in the country and globally…

What’s missing is the will to capitalize on those assets collectively, rather than selfishly.

Perhaps this latest attempt at regional cooperation will gain the traction that previous tries could not. For the sake of Chicagoland’s short-term and long-term outlook, we hope so.

I wonder if this renewed interest has anything to do with concerns about population in the region and companies headed elsewhere. It is one thing to compete when the region compares favorably to many other places in the country. In this situation, there might be plenty of companies, residents, and growth to go around. But, in a region that is struggling or the perception is that it is struggling, can the different communities afford to compete with each other?

While the editorial mentions the need for politicians to change their approach, the public might need some time or convincing to get there as well. One way to define a community is in opposition to or as different from another community. How many suburbanites define their neighborhoods and communities in comparison Chicago and the troubles it faces? Might this also happen for some who live in Chicago and view the suburbs as problematic? (This does not even get to how Chicago area residents might view further-flung locations such as Indiana, Wisconsin, or downstate Illinois.) A robust regional partnership could help residents see the advantages to cooperating and recognizing the advantages numerous communities bring.

Balancing the needs of a region and nation versus the impact on local communities

Following up on a possible railroad merger that would affect multiple Chicago suburbs, several suburban leaders acknowledge that there are both community and larger interests at stake:

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Communities’ concerns about the length and frequency of trains are valid, but the key is to find a balance between alleviating their concerns and letting the railroads operate efficiently, bringing needed goods from one place to another, said Karen Darch, village president of Barrington and a board member of the Chicago Metropolitan Agency for Planning who has worked on railroad issues.

“We need transportation, this is a big industry for us, for the country,” she said. “And yet we want our communities to be safe and livable.”…

“It’s hard to argue against the commercial benefits that will occur from unifying these lines, and so the city’s trying to be realistic in terms of balancing its own interests with the greater benefit that can come for the U.S. economy,” he said. “We’re just asking, with the recognition that the railroads are going to benefit from this merger, we need some help.”

This is a conundrum that faces communities, regions, and the nation in multiple areas. The issue often arises in transportation but could also include eminent domain and land use, the move of a company from one location to another, and uneven development across communities. Whose interests should win out? How much room for compromise is there? How much can everyone involved see all of the layers?

There is little question that the Chicago region is an important region for railroad traffic in the United States. At the same time, that traffic impacts day-to-day experiences as well as long-term prospects for communities. What is good for the region or for national traffic may not look like what communities want.

The key here might be the efforts of the railroads themselves. What would they be willing to change about their operations and how much money would they contribute to help alleviate problems? This could range from listening to concerns, rerouting traffic away from residential areas, and contributing to the construction of bridges or underpasses to alleviate issues at at-grade crossings. This also helps make the contributions of railroads more tangible to suburbanites; people may know abstractly that railroads are important but have little to no direct interaction with any railroad company or representatives.

Increasing residential segregation in the Bay Area

A new report shows an increase in residential segregation in the Bay Area over recent decades:

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The Bay Area has become more racially segregated since 1990, mirroring a long-running national trend of cities and neighborhoods dividing more starkly along ethnic lines, according to a new study by UC Berkeley researchers.

Oakland, Fremont, San Francisco and San Jose are all among cities ranked as “highly segregated” by the university’s Othering & Belonging Institute…

Menendian said land use policies, including restrictions on denser housing and apartments, have driven segregation, particularly in the Bay Area. “It’s crystal clear that excessive restrictive zoning plays a significant role.”…

The impact of segregation, Berkeley researchers say, is clear: residents in communities of color have lower future economic gains, educational achievement and poorer health.

The full report includes a number of interesting sections.

In some ways, the Bay Area is seen as a success story. Exciting cities and and cultural opportunities. Proximity to Silicon Valley and the tech industry. Diversity. A striking setting. But, this report hints at a darker side of this success: an ongoing process of homogenization. Divisions by location based on race and class. Zoning that keeps uses and people separate.

Do the two trends – success and division – necessarily go together? One does not have to lead to the other or vice versa. The same project found high levels of residential segregation in cities in the Midwest and Northeast, places without the same level of success as the Bay Area in recent years.

One way to think about this is to look at how the region as a whole could address this. Individual municipalities could address particular topics – like affordable housing or zoning issues – but might only help so many people and push the problem into other communities. A region-wide approach would help think about how gains can be shared and how concerns can be addressed by all. Even the biggest cities cannot go it alone when they rely on nearby places for workers and amenities.

Another matter to think about as addressed in the final paragraph above: residential segregation has cascading effects that can last for a long time. Where people live affects many aspects of life, ranging from what jobs can be accessed, the quality of housing, what is available through local schools and other institutions, and more. This is not an issue of people choosing to live some places rather than others; residential segregation speaks to patterns that can become reified and can physically establish different social worlds.

Finally, I am reminded of the Emerson and Smiley book Market Cities, People Cities. Is the long-term goal of the region to put the economy first? Or, is there enough interest in promoting more people friendly policies? The reputation and history of the area suggests there are resources and collectives to move toward more people oriented policies. However, this is a difficult move for any American city as social, political, and economic forces push toward placing the economy first.

The scale of warehouse and intermodal facilities in Will County, Illinois

As residents and local officials in Joliet and Will County debated a proposal for a new 1,300 acre office park, WBEZ put the size of the issue at hand in perspective:

The county is home to the largest inland port in North America and 3.5% of the nation’s GDP passes through here…

And $65 billion worth of products moves through Will County annually, according to the Will County Center for Economic Development.

In other words, this an important area for the current economy and the land use case has local, regional, and global implications. A few thoughts:

  1. Joliet and neighboring communities might not want the additional facilities and trucks but having these facilities in this part of the metropolitan region might be good for 9+ million residents. Balancing local interests and metropolitan interests is not easy. And the Chicago region has a lot of railroad and shipping bottlenecks.
  2. This is a symptom of larger economic changes as the economy became globalized, shipping goods across the country and on-time delivery became common, and Internet sales picked up. The effects may be local but Will County is part of a larger system.
  3. The changes in Joliet over time are striking, The news story hinted at how the community, what social worker Graham Romeyn Taylor in Satellite Cities: A Study of Industrial Suburbs in 1915 would have called an “industrial suburb,” has changed:

“Three steel mills closed. Caterpillar went from 8,000 people to a little over a thousand. We had numerous manufacturing plants shuttered,” said John Grueling, president and CEO of the Will County Center for Economic Development.

No other county in Illinois has seen job growth like Will County. It’s the epicenter of transportation for goods that move across the region and country with North America’s largest inland port. Now another real estate company wants to expand in the area by developing a logistics business park, and its raising concerns about the future of the county.

In summary: local land use decisions can have big impacts.

(See an earlier post about how the Will County community of Elwood responded to a large intermodal facility.)

Limiting suburban through traffic by putting up gates during rush hour

Some neighborhoods and communities are fed up with people cutting through on their streets. A Denver suburb considers putting up gates:

The town of about 800 is now proposing gates at two main entrance/exit points, blocking access during the morning and evening rush…

“The traffic has become increasingly problematic both in volume and speeding. The Town does not have sidewalks and it is dangerous for residents to walk,” said Lisa Jones, mayor of the Town of Foxfield.

While two gate locations are recommended, there are still about a half dozen other entrances to Foxfield that would not be gated. The gates will be paid for by the Town of Foxfield.

I can imagine a driving landscape in a decade or so where only certain vehicles are allowed down certain streets. Imagine a large city banning Uber and/or Lyft during certain hours of the day. A wealthy suburb restricting access to delivery trucks in the early morning. Another community not wanting commuters to go through residential neighborhoods. A neighborhood not allowing certain size vehicles (like oversized pickup trucks).

All of these might help local residents feel better but they fail to help with the bigger problem: traffic is a regional issue. Communities should be working together on these issues, not walling themselves off. Creating more private space will only serve to make the problem worse for everyone.

I am not sure who exactly would have any sway in these matters. In the case above, it sounds like other communities could lodge objections and emergency services could require that the gates allow them access. Should state transportation agencies look into this? Can a legislature suggest restrictions cannot be put on public roads? Could a coalition of local and regional governments make a pact not to do this to each other? Perhaps this is not needed yet as few communities have gone too far down this road. But, it might come sooner than we think.

Three larger issues underlying mass transit problems in the Chicago suburbs

Suburbs in the Chicago region are looking for ways to help workers make the “last mile” connection between existing transit and their workplaces but there are few easy solutions:

Transit advocates and local officials are looking at ways to fill the “first mile/last mile” gap, which could include shuttle buses, bikes, scooters, better sidewalks, ride-share vehicles and, eventually, autonomous or self-driving vehicles…

Suburbs with manufacturing and warehouse businesses offer examples of the last-mile problem. Bedford Park has just 600 residents, but 400 businesses and about 30,000 jobs at big companies like Cintas, FedEx, Home Chef and CSX. Located near Midway International Airport, the village has for years promoted itself as business-friendly, and has seen jobs grow…

The last-mile problem goes beyond Bedford Park and into other other suburbs with light manufacturing like Addison, where it’s difficult for workers to connect with Metra because of varying shifts, Wennink said. It also affects white-collar work zones, like the office complexes of Naperville and Warrenville, Wennink said.

A longer-term solution to the job/worker disconnect is to have more jobs located in transit-oriented development areas, Wennink said. But in the meantime, businesses, employers and towns are trying a patchwork of fixes.

These commuting issues connect to three broader issues that, if addressed, could help address the last mile problem:

1. As noted, the Chicago region operates on a hub-and-spoke model where train lines and other transit options tend to radiate out of downtown but then there is little connecting the spokes. As one example, efforts to create a rail line that would connect some of the existing rail lines and job centers did not get very far.

2. Individual suburbs will find it difficult to address these issues on their own without more regional or metropolitan-wide support (and resources). These are collective problems but the preference for local governments in the suburbs plus limited organizational capability or power in the Chicago region means the efforts will likely remain just a patchwork.

3. While this might look like a transit problem, it could also be a housing issue. If people do not or cannot easily live near where they work, then transit is needed. The deeper underlying issue, however, might be residential patterns regularly organized by race/ethnicity and class that makes it difficult for many of the workers described in the article to be close to their place of employment. The social science term for this is spatial mismatch.

Considering housing shortages and gentrification together

An MIT economist looks at the relationship between gentrification and a shortage of cheaper housing:

Unsurprisingly, the geography of a place and the community residing there are linked. Along the most measurable dimensions, richer people tend to live in places with attractive geographies. Conversely, places with undesirable attributes like industrial or transportation pollution, poor access to jobs, and uninviting climates are usually left for the poorest and most marginalized.

Usually—but not always. Occasionally, physically attractive locations come to be occupied by low-income communities, immigrant communities, black communities. Neighborhoods like these are ripe for gentrification. Changes in labor markets, large investments by public or private institutions, or even just changing preferences among the wealthy move these neighborhoods into the sight lines of richer people, and then they gentrify.

The housing shortage, meanwhile, is a region-wide round of musical chairs, in which the winners sat down before the music even stopped. Whereas gentrification reshuffles which communities occupy which parts of the city, the housing shortage can operate at the scale of cities and regions as well as neighborhoods…

Policies introduced to fight gentrification—rent control and tenant protections—may ameliorate the effects of neighborhood change, but they won’t build new homes. We must allow new construction somewhere, despite the changes this will bring. Of course, we must do so in a way that avoids gentrification.

Four quick thoughts on this argument:

1. This reminds me of my post from the other day comparing the perspective that there is not enough housing and there is plenty of housing but it is not cheap enough. This piece suggests there are multiple housing issues at work and policies might tackle one particular issue and not others (or even make other housing issues worse).

2. Does the multiplicity of housing issues require that Americans prioritize which issue matters to them most? If middle-class people want cheaper housing, that will lead to different approaches (public policies, legislation, urban planning, decisions by developers, etc.) compared to a consensus that gentrification is not desirable. Historically, Americans have tended to prioritize housing for the middle-class (broadly defined) at the expense of housing for the poor or homeless.

3. To truly address all of these issues, metropolitan-wide approaches are needed. Individual neighborhoods or municipalities are often left to tackle these on their own even though decisions by nearby neighborhoods or municipalities have significant effects on their housing.

4. Additionally, a comprehensive housing policy is needed, not just one that tackles the most important or noisiest issue at the moment. On one hand, many Americans would not want the government to become involved in such issues even as the government has promoted suburban homeownership for roughly a century.

Keeping track of the Democratic field on housing

Curbed is tracking the housing positions of the Democratic candidates for president in 2020. Here is part of the overview of YIMBY policies:

Yes In My Back Yard (YIMBY)…

Because these laws are administered at the local level, federal policy can’t do much to directly change these laws and instead attempts to incentivize—or punish—local governments to change them. Castro has proposed a Presidential Commission on Zoning Reform to establish federal guidelines on land use and zoning. O’Rourke would direct HUD to come up with a model for setting zoning and land use policies that let formerly restrictive communities to allow more housing production.

Warren’s plan puts $10 billion into a new grant program communities can use to build infrastructure, but local governments have to reform land-use laws to be eligible.

Booker’s plan uses a similar mechanism by tying more than $16 billion in federal block grant money—including Community Development Block Grants (CDBG)—to local governments reforming zoning laws that serve as barriers to building more housing units. Castro also wants to expand CDBG and rural development programs by $2 billion per year and tie the money to zoning reforms. O’Rourke would double CDBG funding and provide new grants to communities that eliminate restrictive zoning laws.

Klobuchar proposes “prioritizing” local governments that reform local zoning laws when allocating federal housing and infrastructure funds, but doesn’t specify which ones.

Bennet would create a one-time $10 billion competitive grant program for state and local governments that reform zoning laws to allow for more housing density, in addition to increasing the funding of transportation grant program BUILD to $4.5 billion and make it eligible only to local governments that allow for more housing density near transportation hubs. Eligibility for New Starts, a grant program for fixing rail infrastructure, would also be deployed in this manner.

O’Rourke has a zoning-related proposal that’s unique among the candidates. He would allow people to deduct more in state and local taxes from their federal tax returns if they live in areas without restrictive zoning. There’s currently a $10,000 cap on SALT deductions, and that cap affects mostly coastal cities where restrictive zoning is a major issue. He would also pass a $1 trillion infrastructure package to repair transportation lines that would be tied to eliminating exclusionary zoning.

Three quick thoughts:

  1. As the section above goes on to note, it will be difficult to enact change within wealthy communities through federal policy. Without buy-in from whole metropolitan regions regarding housing, would any YIMBY policies at a federal level simply push cheaper housing into communities that already have more of such housing?
  2. The subheadline for this article suggests “Housing policy is taking center stage in the 2020 election.” This is a bold pronouncement as housing seems to attract little attention in debates or drives little national conversation. I would still be interested to see someone really run with the housing issue.
  3. I have not seen recent numbers on this: how does housing as an issue rank among other possible issues among the electorate? There are certain areas of the country – like some of the largest metropolitan areas – where this is a pressing issue while it is less important elsewhere. On one hand, housing effects all possible voters but it rarely attracts national attention, particularly compared to other national economic issues like jobs or income.

What would happen if the Supreme Court addresses inclusionary zoning?

A legal case involving zoning in Marin County, California may make it to the Supreme Court.

Back in May, authorities in Marin entered into a new voluntary compliance agreement with the U.S. Department of Housing and Urban Development to build new low-income housing outside areas where black or brown residents make up the majority. This is now the county’s second big push since 2010 to satisfy the government’s demand that it work on desegregating its affordable housing.

Fair housing is a challenge for Marin, an enclave of million-dollar bungalows across the Golden Gate Bridge from San Francisco. According to a nonprofit project called Race Counts, it has the highest racial disparities of any county in California. That’s in part because Marin County doesn’t want to build any housing. Homeowners here are at the forefront of NIMBY efforts to stop plans for new construction, whether they’re local, regional, or statewide.

The county’s iron grip on its land is the backdrop for a case that may soon appear before the U.S. Supreme Court. Back in 2000, two Marin County property owners, Dartmond and Esther Cherk, looked to split their undeveloped land into two single-family-zoned lots. As developers, they were liable to preserve some part of the property for affordable housing or pay into a low-income housing production fund. The fee was nearly $40,000; the Cherks sued.

The Marin County case may test the constitutionality of inclusionary zoning, a tool that local jurisdictions rely on to expand the supply of affordable housing, especially in tight housing markets. The court has expressed an interest in the case, which the justices may wind up using as a wedge to reshape property rights. It’s possible the inclusionary zoning ordinances—and local regulations more broadly construed—will not stand under the court’s scrutiny.

I’m on the record suggesting the Supreme Court would approve inclusionary zoning. While this piece suggests conservatives on the court might be spoiling to affirm property rights, the courts more broadly have helped develop plans to promote more affordable housing (think the Gautreaux case in Chicago or the Mount Laurel decision in New Jersey). Earlier decisions did not eviscerate property rights but they did suggest that the responsibility for housing was wider than a single community and its zoning. Additionally, having developers pay a fee into an affordable housing fund or provide some units of affordable housing as part of the larger project is common practice across American communities.

Beyond just the actions of Marin County and its own housing supply and population composition, the bigger issue is this: if a community or township or county restricts development and/or housing, it puts a bigger burden on other municipalities in the same metropolitan region to provide housing. And if many municipalities refuse certain kinds of development, more affordable housing ends up in a limited number of places that are (1) not necessarily located near jobs and (2) relatively lower-class. Housing is an issue best tackled by a whole metropolitan area (as are other issues including mass transit and transportation). More dispersed outcomes would likely lead to better outcomes across the region with the biggest loss being the communities that cannot easily remain as exclusive as they would like.