sc magazine, vol. 1, no. 2
DESCRIPTION
Sustainable communities magazineTRANSCRIPT
Sustainable Communities
6i-2
TM
NMHC PredictsRising Demand
Rental Housing:
Vol 1, No 2 • March/April 2011 • www.p4sc.org • $12
IN THIS ISSUE
California’s “anti-sprawl” planning process gets underway . . . . . . . . . . . . . . . . . p. 22
The battle over high-speed rail . . . . . . . . . . . p. 26
Regional Focus: North Carolina . . . . . . . . . . . . p. 34
Weatherization races the clock . . . . . . . . . . . . . . . . . p. 44
High Stakes Land Use Decisions?Don’t make a move without consulting our database
When it comes to land use policies and project entitlements, you can’t afford to act without a firm command of the facts and precedents. Now you can get the information you need in one very user-friendly source. It’s the Land Use Research Library from the Partnership for Sustainable Communities.
Whether you are a developer, a city land use official, or an elected leader, PSC’s Land Use Research Library brings you instant access to hundreds of academic studies and surveys on:
• The impact of zoning policies • Housing cost trends and influences • Property values • The most effective economic development measures • Effects of various community development strategies • Economic contributions of inclusionary zoning and affordable housing development
The Library is a benefit of membership in
Partnership for Sustainable Communities.
Join Partnership for Sustainable Communities for just $79 and receive:
• Must-readreportingandanalysison the new land use policies, green building practices, and innovative development strategies that are remaking our cities and towns in Sustainable Communities maga-zine. Published six time per year, this is the only journal that brings together all the threads of change on land use, development, energy, and transit into one succinct, well-organized, highly readable package.
• Opportunitiestonetworkandpromote your organization in our MemberDirectory.
• Criticalnewsalertsinthesubjectareas of interest to you.
• Premiumwebsitecontentatnoextra cost (view an example here).
• DiscountedregistrationfortheSus-tainableDevelopmentConference
Join today and get the tools you need to make good land use decisions. You will also be supporting our advocacy work to advance the goal of sustainable commu-nities including policies that encourage the development of affordable housing near jobs and transit. Join today, and be part of the new era of sustainable plan-ning and development.
For more information, go to www.p4sc.org.
Or request a FREE membership information packet by calling
415-453-2100 x302.
March/april 2011 • SuStainable CommunitieS 1
14 multifamily making a Comeback:
Doug Bibby and the National Multi-housing council see a boom in apartment development coming in response to rising consumer demand.
20 Finance:The Obama administration’s plans to reform the housing finance system call for winding down Fannie Mae and Freddie Mac and cutting back Fha single-family programs. But Fha rental housing programs would be strengthened and expanded.
22 California: regional planning organizations hit high gear in public discussion of land use and transportation planning under the state’s “anti-sprawl” legislation (S.B. 375).
26 transportation & Development:
Federal funding for high speed rail development sparks debate. Find out why three governors rejected the federal money and what advocates and critics are saying about the issue.
37 Cities See High Value in “Complete Streets”
Find out how cities are making their streets much more vibrant and active without spending a lot or hurting traffic flow.
44 Financing energy efficiency:Time is running out for spending $5 bil-lion appropriated for the Weatherization assistance program. Will the money be spent before the March 2012 deadline? how much will go to improve the energy efficiency of multifamily housing? Find out with our in-depth report.
DepartmentS
2 Letter from the Editor
4 Letters to the Editor
5 New Directions
6 Around the Nation
• Florida • illinois • Oregon
• Georgia
8 Land Planning & Design
10 Green Building & Design Duany sees decline in strict green building standards
12 Urban Planning & Design apa president sets new direction
on the Cover:as president of the National Multi-hous-
ing council, Doug Bibby advocates in
Washington for rental housing, making a
strong case for the benefits to commu-
nity sustainability of properties like the
2400 M apartments in Washington, D.c.,
a project of Equity residential.
photo by Dennis Whitehead
Features
March/april 2011
2637
8
644
contents
SuStainable CommunitieS • March/april 20112
Letter from the editor
With the presidential election of 2012 entering its early
stages and budget battles raging in Washington, americans
must choose sides.
long-term thinking has never been popular in american
government, least of all if it promises to hurt the profits of any
entrenched interests.
The Obama administration challenged that paradigm. it won
federal appropriations to fund programs and investments that
will make our communities more sustainable over the long run.
a key part of its economic stimulus package was a renewed
investment in america’s passenger rail system and other intracity transit programs. Billions
of dollars were appropriated for these programs, including the beginnings of a high-speed
passenger rail network in california, New York, illinois and other major markets.
Now, with the economy recovering and the scent of political opportunity in the air, repub-
licans in the house are attacking on a broad front, targeting spending for grants for regional
planning, energy conservation, and community Development Block Grants, among other
domestic programs.
But the pivotal issue in the fast-escalating political warfare in Washington will be the
fight over what kind of wheels to subsidize: steel or rubber.
republicans in Washington and new republican governors in Florida, Ohio and Wisconsin
are trying to choke off proposed funding for passenger rail, especially the high-speed variety.
They have framed this in terms of deficit reduction. hogwash. They are quite happy to
spend billions on roads and bridges but would “zero out” trains and mass transit.
They ignore the near impossibility of spending enough on roads to serve an increasing
population without massive congestion, the wackiness of a gas tax frozen at 1993 levels and
the sheer insanity of depending so heavily on foreign oil. (We take for granted that they don’t
consider air pollution and greenhouse gas emissions to be a problem.)
The coming 20 months will have reverberations on our country for decades to come. if
republicans take the Senate or White house, they will finish what the house is starting now.
They will not just terminate Obama’s initial steps to reinvest for the long-term, they will wipe
out any sign that they ever existed.
We have to fight back, and we must fight especially hard on the threshold issue of trans-
portation. We must follow the lead of people like christine Kehoe, the california state senator
who represents San Diego.
Defying powerful political forces, Kehoe has introduced a bill (S.B. 468) that would require
mass transit to be improved in coastal communities before the state could add lanes to nearby
freeways.
if we follow Kehoe’s lead, the Obama initiatives will survive and our oil-addicted country
will be on a new path. if not, just imagine what the history books will say about the choices we
made in this pivotal decade.
Make your voice heard in the coming political battle. and if you are not already a member
of the partnership for Sustainable communities, please join today and help us make america
sustainable, one community at a time. learn more at www.p4sc.org.
America’s Choice Sustainable Communities Magazine
Editor and PublisherAndre Shashaty, [email protected]
Office & Member Services ManagerCarol Yee, [email protected]
Art DirectorKay Marshall, [email protected]
Advertising & Conference Sales ManagerWendy Chaney, [email protected]
Assistant EditorMegan Truxillo, [email protected]
Board of Directors Rev. Betty Pagett, Community
Acceptance Strategist
Todd Sears, Vice President of Finance, Herman & Kittle Properties
Patrick Sheridan, Senior Vice President for Housing Development,
Volunteers of America
Dianne Spaulding, Executive Director, Non-Profit Housing Association of
Northern California
Leadership Advisory Board Richard Baron, Chairman and CEO,
McCormack Baron Salazar
Doug Bibby, President, National Multi Housing Council
Henry Cisneros, Executive Chairman, CityView; former secretary, U.S. Dept of Housing and
Urban Development
F. Barton Harvey, Former chairman and CEO, Enterprise Community Partners
William C. Kelly, Jr., President, Stewards of Affordable Housing for the Future (SAHF)
Kerry Mazzoni, public policy consultant, former state legislator and former
California Secretary of Education
Nicolas P. Retsinas, Director, Joint Center for Housing Studies, Harvard University
Caleb Roope, President/CEO, The Pacific Companies Mitchell Silver, PP, AICP
DirectorDepartment of City Planning for Raleigh, N.C.
Sustainable Communities Magazine is published by Partnership for Sustainable Communities (“PSC”) is a private nonprofit organization incorporated in Califor-nia. It is not affiliated with the United States federal in-teragency “Partnership for Sustainable Communities,” which is a venture between HUD, DOT and EPA. PSC is not supported by government funding. It depends entirely on membership dues and charitable donations to cover its costs. To make a donation, go to www.p4sc.org and click on the “donate now” button at the top of your screen in the green bar on the left. To join our cause, click on “become a member” also in the green bar.
900 Fifth Ave, Suite 201, San Rafael, CA 94901 415 453 2100 ext 302 www.P4SC.org
Sustainable Communities
6i-2
TM
By Andre Shashaty
Vol 1, No 2 • March/April 2011 • www.p4sc.org
Printed on SFI Certified 10% Recylced Paper with vegetable and/or soy based inks.
At Least 30% Certified Forest Content
SFI-01042
www.enterprisecommunity.org
LIHTC & New Markets Tax Credit Equity | Multifamily Mortgage FinancePredevelopment & Acquisition Loans | Public Policy | Technical AssistanceAsset Management | Housing Development | Capital Markets
Enterprise has proven that green methods and materials can signifi cantly
raise operating revenues by lowering energy and water consumption.
Building green also cuts greenhouse gas emissions and improves transit
access, creating healthier homes in pedestrian-friendly places. Tools like
the Enterprise Green Communities Funds make it possible.
TH I N K
RETHINK
Enterprise is committed to making all affordable homes green by 2020. Are you in?
THINK GREEN COMMUNITIES CAN’T BE AFFORDABLE? THINK AGAIN.
Enterprise-Green2011.indd 1 2/18/11 2:36 PM
SuStainable CommunitieS • March/april 20114
to the editor:
congratulations on publication of
the premier issue of Sustainable com-munities magazine. On behalf of the U.S.
Department of housing and Urban De-
velopment, i commend you and your col-
leagues for putting out a package of very
informative coverage on a wide range of
important issues related to sustainability.
There is a great deal happening here
at hUD to promote sustainability, and we
appreciate your coverage of our activi-
ties. however, the department and the
Obama administration are just start-
ing what is a very long and challenging
process. changing the approach and
focus of government takes hard work.
achieving coordination of federal trans-
portation, housing, development and
environmental programs in pursuit of
sustainability is a long-term project.
We must overcome many challenges,
including political opposition and budget-
ary constraints. We look to the partner-
ship for Sustainable communities as a
critical supporter of the federal govern-
ment’s interagency partnership. We wish
you good luck in attracting government
officials and real estate professionals to
join your organization.
Shelley poticha Director, Office of Sustainable housing and communities US Department of housing & Urban Development
to the editor:
as executive director of the Form-
Based codes institute (FBci) i joined the
partnership for Sustainable communities
as a member because i am impressed by
the quality and range of the articles in
this first issue. as you may know, FBci
is a not-for-profit organization whose
members are leading practitioners in
urban planning, design and law. in addi-
tion to our educational outreach through
courses, webinars, our website and annual
awards for well-crafted and adopted form-
based codes, our members also operate
much as a think tank - discussing how to
improve and further the practice of FBc.
as a leader in the movement to cre-
ate walkable, mixed-use and sustainable
places, our organization offers a wide
range of information on cutting edge
issues in urban design and regulation,
including sample form-based codes. i
invite your readers to visit our web site
at www.formbasedcodes.org/
i wish you success with your fine
publication.
carol Wyant, Executive DirectorForm-Based codes institute
Housing that makes sense.
Today and tomorrow.34NORTH
We believe that sustainable communities and sustainable business are one in the same.
That’s why for over 50 years we have supported sustainability by creating affordable housing opportunities, developing urban infill sites, rehabilitating historic buildings, and constructing LEED certified buildings.
At Herman & Kittle Properties, Inc., we create value through real estate.
Indianapolis, Indiana hermankittle.com 317.846.3111
LetterS to the editor
March/april 2011 • SuStainable CommunitieS 5
Census Shows population Growth Still Centered in Sun belt initial results from the 2010 census
show a continuation of a long-term
shift in the U.S. population from the
north central states to the Sun Belt.
The 2010 census revealed a total U.S.
population of 308,745,538 a 9.7% in-
crease from the population of about
281 million in 2000.
The fastest growing states, with
growth of over 20% since 2000, were
arizona, idaho, Nevada, Texas and Utah.
however, in arizona and Nevada,
the rate of growth actually slowed from
2000 to 2010 compared to the blister-
ing pace set in 1990 to 2000.
The only places that actually lost
population during the last ten years
were Michigan and puerto rico. howev-
er, the relative increases and decreases
in population are reflected in the ap-
portionment of seats in the house of
representatives.
States expected to lose one or more
seats in the house include illinois, iowa,
louisiana, Massachusetts, Michigan,
Missouri, New Jersey, New York, Ohio
and pennsylvania.
States expected to gain seats in the
house include arizona, Florida, Georgia,
Nevada, South carolina, Texas, Utah and
Washington.
The growth of the nation’s foreign-
born population is one of the most
important trends, according to find-
ings from the 2010 census and the
american community Survey. The data
shows that 38,500,000 people, or 12.5
percent of the population, were foreign
born in 2009.
The percentage of the population
that is foreign born has grown signifi-
cantly since the low point in the 1960s.
Much of the growth is attributable
to increases in the hispanic or latino
population. in california, for example,
this segment increased 37.6% over ten
years to 27.8% of the population, while
the non-hispanic, non-latino population
increased only 1.5% to 62.4% of the
state’s population.
affordable Housing Subsidies under Siege
Sponsors of subsidized housing are
still fighting hard in Washington, D.c. and
state capitols to try to fend off cuts in
government support. however, they are
also preparing for a worst-case scenario
in which funding cuts make new develop-
ment infeasible for some time.
Development of new affordable
housing has relied heavily on the use
of federal low-income housing tax cred-
its, which attract private equity invest-
ment to eligible projects. projects also
depend on “soft” secondary financing
and government grants. But state and
local budget problems are forcing se-
vere cutbacks.
in california, for example, Gov. Jerry
Brown has shut down most new state
funding for affordable housing. he also
proposed to close down the state’s re-
development agencies, a key source of
funding for affordable housing. at press
time, advocates were struggling to
preserve some redevelopment agency
funding for affordable housing but the
outlook was uncertain.
in Washington, the house of rep-
resentatives was seeking deep cuts in
federal housing and community devel-
opment programs, as well as elimination
of funding for regional planning grants
to promote sustainable communities.
The funding cuts are so severe
that some housing advocates fear a
long-term reduction in the capacity of
nonprofit community-based develop-
ment groups. Bigger organizations are
changing their focus from development
to acquisition of existing properties and
management of their current holdings.
There is a risk that layoffs and
shutdowns will lead to a reduction in
development capacity, making it harder
to restart affordable housing develop-
ment when government funding starts
to flow again. ❧
NeW direCt ioNS
SuStainable CommunitieS • March/april 20116
1 FloridaFloriDa lonG ranGe
tranSportation plan
CallS For HiGH-SpeeD rail
Despite Florida Governor rick Scott’s
concerns, far-sighted Floridians continue
to consider high-speed rail as an integral
piece of Florida’s transportation future.
a statewide high-speed rail system is
part of Florida’s recently released 2060
Florida Transportation plan, the state’s
long-range transportation plan.
The Florida Department of Trans-
portation, in conjunction with numerous
government, civic and private partners
developed the 2060 plan in a lengthy
year-long, public process. partners in-
cluded 1000 Friends of Florida, the U.S.
Department of Transportation and the
Florida league of cities.
The plan, setting out transporta-
tion policy and goals for the next 50
years, is the first of its kind in the state.
ambitious plans include developing and
operating a statewide high-speed and
intercity passenger rail system connect-
ing all regions of the state and linking to
public transportation systems in rural
and urban areas. The 2060 plan also
commits Florida to make transportation
decisions that support and enhance liv-
able communities.
“in a state like Florida, a narrow
peninsula with substantial wetland and
other undevelopable areas, develop-
ment of train-based alternative infra-
structures to roads and highways will
help to protect our environment and
concurrently will grow new economies,
better community patterns and likely
will be viewed as wise decision-making
by future generations,” said 1000
Friends of Florida, member of the 2060
plan Steering committee.
The 2060 plan, including its call for
high-speed rail, ties transportation to the
probable future development patterns in
the state:
“higher density, mixed use urban
development and rural employment
centers – connected with multimodal
transportation corridors and separated
by open spaces – will be a key emphasis
of development over the next 50 years.”
to view the 2060 Ftp in its
entirety visit http://2060ftp.org/.
2 illinoisaDVoCatinG For urban
aGriCulture in CHiCaGo
chicago residents may soon see
a renaissance in community garden-
ing and urban agriculture: New zoning
provisions, under consideration by the
chicago city council, would add com-
munity and commercial agriculture to
the zoning code, allowing these uses by
right in many parts of the city.
“For centuries, chicago’s fertile land
has been used to grow fresh produce
and create employment opportunities.
But today, city government stands in
the way of a renaissance of local food
production by limiting the size and
revenue potential of these enterprises,”
said new chicago Mayor rahm Emanuel
in support of the zoning.
Urban agriculture makes a vast
contribution to sustainable commu-
nity development, by greening often
blighted or vacant urban spaces, provid-
ing access to locally grown produce
and ensuring food security for many
low-income persons.
although not prohibited outright,
city zoning has stifled efforts by urban
agriculturalists by requiring exhaustive
red tape to open community gardens or
commercial farms and limiting the abil-
ity to sell produce directly to consum-
ers. When Growing home, a non-profit
organic farm, hatched plans to move
its operations into the city, it took two
years and designation as a “technical
institute” to fit within zoning laws.
AroUNd the NAtioN
1
2
3
4
▲ Urban garden in Chicago
cO
Ur
TE
SY W
iKiM
ED
ia
March/april 2011 • SuStainable CommunitieS 7
Mayor Emanuel hopes the new
zoning will help provide fresh produce
to the 600,000 chicago residents who
live in neighborhoods that lack access
to fresh food.
For details on the proposed zoning
change see the advocates for urban
agriculture’s website at http://au-
achicago.wordpress.com.
3 oregonexpanSion oF eleCtriC
VeHiCle inFraStruCture
Electric vehicle (EV) infrastructure
is getting a boost in Oregon, where
San Francisco company EcOtality,
inc. began widespread installation of
residential EV chargers last month.
a massive roll out of residential
chargers is part of the company’s plan
to install over 1,100 public charging sta-
tions in the state, building a network of
chargers down the i-5 corridor.
“We expect most of our customers
to charge up their electric vehicles at
home so today’s residential charg-
ing station installation marks a major
milestone in putting in the necessary
infrastructure to support our EV-driving
customers,” said Joe Barra, director of
business model and program develop-
ment at pG&E.
The installation is part of the “EV
project,” a program to build EV infra-
structure in 18 cities nationwide. The
project is funded by the U.S. Depart-
ment of Energy through a federal
stimulus grant of $114.8 million, made
possible by the american recovery and
reinvestment act (arra).
For more information on the eV
project and eCotality chargers, visit
www.ecotality.com.
4 GeorgiaControVerSy in atlanta oVer
tranSportation SaleS tax
a proposed one-cent sales tax in-
crease to fund transportation projects
in atlanta has the public, and many in
government, up in arms.
The ballot measure, proposed for the
august 2012 election, will ask voters in
a 10-county atlanta region to approve a
one-cent sales tax increase to pay for the
construction and operation of a specific
list of transportation projects.
it isn’t the penny increase that has
citizens upset, but a perceived unfair-
ness in the distribution of transportation
taxes in the region and how transporta-
tion projects are chosen.
in two of the counties asked to vote
on the transportation tax, Fulton and
Dekalb, residents already pay a penny
more in sales tax than other counties to
fund Metro atlanta’s rapid Transit au-
thority, MarTa.
MarTa is the only major transit sys-
tem in the country that lacks dedicated
funding: it relies solely on the penny
taxes from these two counties for its op-
eration. a funding scheme, that has left
MarTa in financial straits.
last april, facing a $120 million
shortfall in revenue, MarTa employees
painted red Xs on 30% of the busses
serving the city, to represent the 30%
cut in service MarTa would need to en-
act to make up the shortfall.
in short, MarTa, along with the rest
of the transportation system in the state
sorely needs funding. But the referen-
dum expressly excludes funding from the
new tax going to MarTa, because the
tax is meant to fund new transit projects
outside of metro atlanta.
This has residents of Fulton and
Dekalb, already subsidizing MarTa to
the benefit of residents in other coun-
ties, unhappy with the new tax.
South Fulton commissioner William
Edwards said he’ll “absolutely” campaign
against the sales tax going on an august
2012 ballot, unless the legislature alters
the law. he wants lawmakers to rethink
having Fulton and DeKalb residents,
already paying a penny tax for MarTa,
paying the additional tax without reaping
the benefits of the additional funding.
MarTa General Manager Beverly
Scott predicts, without solid support in
atlanta, Fulton and DeKalb, the new sales
tax “is not happening, it won’t pass.”
One proposal for remedying the
law is to create a new regional transit
authority, vesting operation and funding
within one agency, as opposed to the
current multi-agency regime.
“We need a regional transit coordi-
nating agency to provide for greater ef-
ficiency, help prioritize our transit needs
and coordinate how we can best meet
those needs on a regional basis,” said
Norcross Mayor Bucky Johnson.
There are many supporters of such a
regional agency, including atlanta Mayor
Kasim reed, who has suggested the
need for regional transit legislation in
the past. ❧
▲ ECOtality charger installed in the
garage of an EV Project participant.
▲ Atlanta’s MARTA
©E
cO
Tal
iTY,
iNc
.
cO
Ur
TE
SY W
iKiM
ED
ia
SuStainable CommunitieS • March/april 20118
GROUNDBREAKER:
LANd PLANNiNG & deSiGN
Construction Commences on Innovative Green Multifamily Building in British Columbia
taking advantage of the
many parks and public
facilities built for the
2010 Olympic Games, con-
struction has begun on a new
“green” multi-family building in
Vancouver, British columbia’s
False creek neighborhood. Slat-
ed for completion in July 2012,
the James at False creek is al-
ready 60 percent sold, accord-
ing to developers the cressey
Development Group.
With 155 units ranging from
553-1449 sq. ft., the James
boasts a number of innovative
features that make it a super-
green development. The archi-
tects, rafii architects of B.c.,
have won a number of awards for
their multi-family developments in
canada and the U.S.
brownfield redevelopment
The James development is part of
the larger brownfield redevelopment of
the False creek neighborhood that be-
gan in the 70’s. The James’s namesake,
James S. Doherty, was a well-respected
industrial figure in False creek.
Until the 50’s, the False creek neigh-
borhood was the industrial heart of Brit-
ish columbia, when industry left and the
area deteriorated. The city government,
with little public input, hatched a plan to
raze the brownfield site for freeway ex-
pansion. Fortunately, long-sighted activ-
ists fought the expansion, saving False
creek from a concrete future.
Through careful planning, False
creek became a vibrant mixed-use wa-
terfront community. Southeastern False
creek, home of the James, is the last
piece of the neighborhood to be devel-
oped. it received a boost in 2010, as the
host of the Olympic’s “athletes Village.”
Fully developed, Southeastern False
creek will house 16,000 residents.
low environmental impact Design
The James is following a leadership
in Environmental Design (lEED) silver
standard in its design and construction.
residences offer Energy Star rated
appliances, careful water efficiency
management indoor and out, and high
quality building envelope design to mini-
mize heating and cooling costs.
To keep electricity use to a mini-
mum, units are designed to maximize
the use of natural light, an important
feature in the often-overcast region.
Whenever possible, building supplies
are sourced locally and from recycled
materials. in addition, a minimum of 50
percent of construction waste will be
recycled. low-toxicity paints, sealants
and adhesives will be used throughout
the building.
To further minimize environmen-
tal impact, the Southeast False creek
Neighborhood Energy Utility (NEU)
generates the energy for the building.
By utilizing economies of scale, the
NEU can adapt to using a wide variety
of renewable “waste energy” options
that would otherwise not be available to
an individual building heating system:
NEU uses sewage heat recovery to sup-
ply approximately 70% of the annual
energy demand, eliminating 60% of the
carbon emissions associated with heat-
By Megan Truxillo
▲ The James rooftop deck
©c
rE
SS
EY
DE
VE
lOp
ME
NT
Gr
OU
p
March/april 2011 • SuStainable CommunitieS 9
▲ Front of the building showing the main tower and townhouses
ing buildings. You can learn more about the NEU on the city
of Vancouver’s website, www.vancouver.ca.
transportation & pedestrian oriented Development
cressey chose the Southeast False creek neighborhood,
in large part because of its close proximity to shops, restau-
rants and public transportation -- many of which, were built
for the 2010 Olympic Games.
Within walking distance of the development are multiple
grocery stores, restaurants and parks. The site also sits min-
utes from a streetcar, bus, aquabus and canada line stop,
connecting to downtown Vancouver, cambie village, the air-
port and B.c. suburbs. canada line is B.c.’s fully automated
rapid transit light rail system.
For residents that own cars, the garage offers electric
vehicle hookups. and to facilitate residents choosing to live
car-free, cOOp vehicles are provided.
Green Spacean innovative feature of the building is its massive 5,000
sq. ft. green roof. The roof, fully landscaped, will offer a chil-
dren’s play area, outdoor kitchen and community garden plots.
a large glass observatory will also make up a portion of the
roof, allowing residents to enjoy the roof during the winter
months.
For more information on the James, visit their website at
www.jamesliving.com. ❧
©c
rE
SS
EY
DE
VE
lOp
ME
NT
Gr
OU
p
SuStainable CommunitieS • March/april 201110
Charlotte, N.c.–Decrying the high
cost of “optimization” of devel-
opment in a lean time, andres
Duany called for a return to common
sense development principals that
harken back to the 19th century and
predicted declining use of the lEED
standards for building efficiency.
Speaking at the New partners for
Smart Growth conference here, Duany
took aim at one of the banes of the
modern developer’s existence—ex-
cessive regulation of development,
particularly the high cost of certifica-
tion of buildings under the U.S. Green
Building council’s lEED rating system.
The Miami-based new urbanist
architect said infrastructure and per-
mitting are “fantastically expensive.”
he blamed this primarily on “optimiza-
tion,” that is, the practice of imposing
increasingly detailed and strict regula-
tions in an effort to take development
from merely good to nearly perfect.
he took a swipe at city emergency
services officials for wanting too much
optimization of roads. But he saved
his strongest words for green building
certifiers.
he criticized green building stan-
dards that don’t give points for low
cost approaches like passive solar
heating, but encourage developers to
buy expensive windows to make sure
that “not an atom of air escapes.”
“Environmentalism got addicted to
optimization and we can’t afford it,”
Duany said.
“it’s absurd what you have to go
through to get lEED certified. it will
crash on its own. it already is.”
“it costs more to get a project certi-
fied under the lEED for neighborhoods
(lEED-ND) program than it does for me
to design it,” he said.
CAliFORNiA:
Duany Predicts Decline of LEED Standards
GreeN BUiLdiNG & deSiGN
March/april 2011 • SuStainable CommunitieS 11
international monetary Fund Headquarters in D.C., Gold leeD Certified
top 10 States for leeD Green buildings
Washington D.c. leads
the country, with 25.15
square feet of lEED-
certified commercial
and institutional green
building space per person,
according to the U.S. Green Building council’s
(USGBc) report. USGBc compiled the top 10 states
for lEED certified buildings per capita based on the
2010 census.
“Using per capita, versus the more traditional
numbers of projects, or pure square footage, is a
reminder to all of us that the people who live and
work, learn and play in buildings should be what we
care about most,” said Scot horst, USGBc senior
vice president of lEED. “2010 was a difficult year
for most of the building industry, but in many areas,
the hunger for sustainable development kept the
markets moving.”
The top states, including Washington D.C.:
• Washington D.C: 25.15 sq. ft. per person
• Nevada: 10.92 sq. ft.
• New Mexico: 6.35 sq. ft.
• New Hampshire: 4.49 sq. ft.
• Oregon: 4.07 sq. ft.
• South Carolina: 3.19 sq. ft
• Washington: 3.16 sq. ft.
• Illinois: 3.09 sq. ft.
• Arkansas: 2.9 sq. ft.
• Colorado: 2.85 sq. ft.
• Minnesota: 2.77 sq. ft.
Duany is a principal of the firm
Duany plater-Zyberk & company (DpZ),
and was co-founder of the congress
for New Urbanism with his partner
Elizabeth plater-Zyberk.
he called on the green building
movement to adopt a dual approach,
with one set of low tech standards and
one set of high tech standards.
“There are many low costs ways
to get 85% of the benefit of today’s
standards. We need $45 windows, not
$250 to $300 windows,” he said.
Duany half-jokingly called for
creation of a “lEED Brown” rating, in
addition to the current silver, gold and
Andres Duany is saying what many developers undoubtedly believe: The increasing demands of meeting lEED and other standards and certifications for green buildings has become way too expensive.
Duany believes current green building certifications are too focused on expensive, over-engineered measures and don’t give fair value to low-cost and traditional techniques, like those in evidence at Seaside, Florida, designed by Duany Plater-Zyberk & Co.
platinum ratings. he sug-
gested this could give builders
credit for using traditional but
low cost measures that are
not easy to quantify or certify.
he described these steps
as “the original green,” and
“what we did when we didn’t
have money.”
he said that high-density
development in urban loca-
tions which entails less reliance
on private cars should get a
free pass on any green build-
ing standards. “Don’t make
apartment dwellers install solar
power,” he said. They are doing
their part just by living densely
and driving less.”
he ridiculed the notion
that single-family homes
would ever lose popularity or
that they should be squeezed
out by public policy. But
he did suggest that they be
subject to more efficiency
requirements to compensate
for the inherent inefficiency of
this use of land.
Duany also had choice
words for government land
use and building officials.
in New Orleans, he said that
government standards for rebuilding
added costs that just about exactly
offset the amount of assistance the
government was going to provide, so
“no one can rebuild.”
What does Duany like these days?
“Slow development,” which he defined
as working up to appropriate density in
a gradual way, likening it to how towns
were developed in the 1800s. he spoke
of the benefits of one-floor retail, with
no housing above it, and of walk-up
apartments, both of which he said are
highly efficient. ❧
SuStainable CommunitieS • March/april 201112
When Mitchell J. Silver takes
over as president of the ameri-
can planning association this
spring, don’t be surprised if the planning
profession starts to enjoy a little higher
public profile.
During his two year term, Silver
wants to correct obsolete notions of
what planners do, including negative
views held by people who remember the
days of federal Urban renewal proj-
ects and controversial uses of eminent
domain powers for
commercial redevel-
opment.
he believes that
planning has evolved
and now encom-
passes many cutting
edge concerns like
environmental jus-
tice, new urbanism,
reduction of sprawl,
and most recently,
the idea of the “smart regions.”
Silver wants to explain the value of
planning in preserving communities for
future generations. “We are guardians
of the future. We must be concerned that
future generations have clean air, clean
water and a good economy.”
he said planners need to deal with
demographic trends, including the aging
of the Baby Boom generation and the
increase in the proportion of single-
person households. Nor can they ignore
climate change, aging infrastructure and
the globalization of the economy.
planners should think of themselves
as more than regulators implementing
codes. Silver believes planners should
be concerned with “the experience of
place.” he said, “we are not just plan-
ners or regulators, we’re experience
Blazing a New Trail for City PlannersSilver brings new agenda to presidency of apa
UrBAN & reGioNAL PLANNiNG
builders. We are in the business of creat-
ing great places.”
as planning director of raleigh, N.c.,
Silver has guided the city through a com-
prehensive planning process that tries
to maximize the economic returns from
creating great places.
Before moving south, he was deputy
director in the Office of planning in
Washington, D.c., and prior to that, he
held several high-level planning posts in
New York city.
Silver says the
biggest challenge for
planners now is to
adapt their ideas and
approaches to a new
generation. he be-
lieves that the Baby
Boom generation’s
influence is waning
and that the Millenni-
al generation should
figure much larger
in how we shape our cities. This is the
generation that is aged 15 to 28 today,
he said. They prefer an urban lifestyle,
they are environmentally conscious and
to a large extent, they are single, he
explained.
To this generation, place matters,
not just jobs, which represents a major
change from their parents, and especially
their grandparents. as Silver pointed out,
the Millennials are just as likely to choose
a community to live in based on its qual-
ity of life as on the availability of a job.
“We as policymakers had better
understand this market, because that’s
who we are planning for. if you want to
hold on to your young people, you better
be smart,” he said.
Silver believes that good planning
requires looking at land as a commu-
nity’s most important asset and making
the most of it. The first step is to do a
land capacity analysis and assess the
supply and demand balance. Then they
need to to maximize the return on that
asset by making strategic investments in
infrastructure.
“land has value, and you can steer
public invest to enhance land value to
help your tax base,” he said. rather than
have 150 acres of single-family homes,
you can have a few acres of high density
development that yields a higher return
on investment, he said.
Silver cautions that the idea of sus-
tainability should not be interpreted as
favoring urban areas over suburban or
rural areas. “While the United States will
continue to grow and urbanize, planners
must not forget that some people will
choose to remain in suburban and rural
areas for their own lifestyle choices.
planners and policy makers have figure
out how to connect these places and
their economies.”
as apa president, Silver will be rep-
resenting 43,000 members who live in
80 countries. “Those planners represent
communities of every type imaginable,”
he said.
“Too often, sustainability has been
mostly about the environment and the
economy (to a lesser extent) in urban-
ized areas, with equity a distant third. i
am concerned with how we can grow to
ensure that all communities (urban,
suburban and rural), protect the environ-
ment, better link our economies so we
can all prosper, and strive for improved
equity and fairness for all,” Silver said.
“That in my opinion should be the role
of sustaining communities. That is what i
will be spending the next two years talk-
ing about.” ❧
Mitchell J. Silver
March/april 2011 • SuStainable CommunitieS 13
The debate about climate change is over as far as planners in many U.S. cities are concerned. instead of being caught unprepared, cities and counties across the country are taking action to plan for the effects climate change may have on their regions.
In california, the county of San luis Obispo is leading the effort to quantify and
prepare for climatic impacts, hoping to avoid some of the estimated $300 mil-
lion to $3.9 billion climate change effects will cost the state annually, according
to U.c. Berkeley researchers.
armed with a hundred thousand dollar grant from the Kresge Foundation, the
non-profit local Government commission (lGc), in partnership with the National
center for conservation Science and policy and the county of San luis Obispo, is
undertaking an effort to explore strategies to address effects of climate change on
six key areas: water, health, infrastructure, agriculture, coastal marine and tourism.
lGc chose to work with San luis Obispo in part due to the local jurisdictions’
commitment to developing climate action plans. “We knew there was political
support and that’s really important. i
don’t think we would have pursued this
without local champions,” said Kate
Meis, project manager with the local
Government commission.
The first phase of the group’s work
entailed a detailed modeling of climate
change impacts on the region, includ-
ing expected temperature increase,
precipitation increase or decrease
and sea level rise. Under the models,
the expected future of the county
includes:
• hotter, drier, and longer summers;
• accelerating sea level rise;
• Eroding coastal bluffs;
• lower groundwater recharge
rates; and
• Stress to water and flood infra
structure.
Based on the result of the model-
ing, the group held workshops with the
public and local leaders to formulate
an adaptation planning strategy for the
county. The result of these workshops
is the integrated climate change ad-
aptation planning report, available on
lGc’s website, www.lgc.org.
adaptation strategies range from
reassessing coastal land use poli-
cies, to avoid building in areas under
threat of sea level rise, to bolstering
wildfire management planning in the
region and shoring up groundwater
supplies.
The group hopes that “by iden-
tifying and addressing underlying
vulnerabilities early, decision makers
in San luis Obispo can increase the
resilience of both the community and
the resources it depends on to climate
change.” ❧
Smart planning Helps Cities adapt to Climate Change
cO
Ur
TE
SY W
iKiM
ED
ia c
OM
MO
NS
.
Diablo Nuclear Power Plant, San luis Obispo County- the plant and the infrastructure upon which it depends are directly exposed to the impacts of coastal storms, flooding and erosion, which will be exacerbated by sea level rise.
CAliFORNiA
By MeganTruxillo
14
Housing Demand
When George W. Bush was president, homeownership rates
reached a record high of 69 percent, and everyone from the
White house to congress on down to local officials sucked
all the political advantage they could get from the growing
ranks of young homeowners. apartment operators wondered how it came
to pass that a young family could get a mortgage even if they could not
qualify for a lease. Single-family cul de sac subdivisions sprouted in outly-
ing areas of every U.S. city with a pulse.
What a difference a few million foreclosures makes. Today, the home-
ownership rate is dropping and rental housing is making a comeback that
could last for decades. it’s about time, according to apartment owners
and their association, the National Multi housing council (NMhc), which
has been arguing for years for government policies that value rental
housing.
“The single-family housing meltdown confirms that homeownership
alone is not sufficient to meet our housing and community needs,” said
Doug Bibby, NMhc president. “We need a more balanced housing policy—
and that policy needs to begin with ensuring a consistent and abundant
capital flow to rental housing.”
The shift toward rental housing dovetails perfectly with the prefer-
ence of many mayors and city planners to see growth channeled into
transit corridors and infill locations, as opposed to development of single-
family homes in subdivisions far from services or jobs.
“Not only do apartments offer housing to a wide range of households,”
66% of new households will rent, NMHC predictsAs new lifestyles tilt balance toward sustainability
SuStainable CommunitieS • March/april 2011
By ANDrE SHASHATy
Community facilty at Northpark Apartments in Burlingame, Calif., a property of Equity Residential
▲
▲▲located within a short train or ferry ride from lower Manhattan, The Pier in
Jersey City, N.J., exemplifies the kinds of properties that Equity Residential develops: Close to transit and jobs and on infill site in existing urban areas.
>>
WWW.CWCAPITAL.COM
strength
Standing Strong. G e t t i n g i t d o n e .
THANK YOU TO OUR CLIENTS & PARTNERS
WWW.CWCAPITAL.COM
CWCAPITAL.COM
F a n n i e M a e – F r e d d i e M a c – F H ABridge – Conduit – Mezzanine – HUD – Fannie Mae – Freddie Mac
For more information or to discuss your specific financing needs, contact:ELLEN KANTROWITZ | MANAGING DIRECTOR | FHA | 781.707.9309 | [email protected]
DONALD KING | MANAGING DIRECTOR | FANNIE MAE/FREDDIE MAC | 781.707.9494 | [email protected]
$388,080,000Douglas Emmett PortfolioSanta Monica & Brentwood, CAFannie Mae DUSRefinance
$89,967,300Archstone Olde TowneGaithersburg, MDFHA 221(d)(4)New Construction
$31,666,000Fay ApartmentsCincinnati, OHFHA 221(d)(4)Substantial Rehabilitation
$29,100,000Villas at CenterviewRaleigh, NCFreddie Mac CMERefinance
$19,088,000Residence at Little RiverHaverhill, MAFannie Mae DUSAcquisition
$11,700,000Rivers Edge/Camelot ApartmentsMadison, WIFreddie Mac CMEAcquisition
SuStainable CommunitieS • March/april 201116
said Bibby, “they can also help us meet
critical national goals like reducing green-
house gasses, growing more sustainably
and creating mixed-use, pedestrian-
friendly communities.”
NMhc says the nation is experienc-
ing a boom in renter households that will
continue for years to come. “We saw a
surge of 2.7 million renters from 2005 to
2007 alone,” Bibby said. “Between 2008
and 2015, nearly two-thirds of new house-
holds formed will be renters. That’s 6 mil-
lion new renter households,” he stated.
Homeownership Not a Can’t Miss Investment
This is partly because of a change in
attitudes about the financial benefits of
ownership. Until the recent spike in fore-
closures, a large percentage of home sales were premised on
the idea that buying was a financial investment, not just a way
to obtain shelter. That is shifting dramatically as more and
more households make housing choices based on lifestyle or
even environmental factors, and no longer assume that own-
ing is a good investment.
These housing choices are largely a function of changing
demographics, according to NMhc. The aging members of
the Baby Boomer generation are increasingly opting to trade
in their suburban houses for apartments as they age and
their children move away from home, NMhc said. according
to census data, 75 percent of all seniors will change housing
type between ages 65 and 80.
a more powerful force for rental demand is the Echo
Boomers, that is, the children of the baby boomers. By 2015,
there will be 67 million people aged 20-34 years of age, the
prime years for renting.
“We have reason to believe
that this generation of young
people will rent for longer than
earlier generations,” said Bibby.
“Not only have they seen first-
hand that owning is not a can’t-
miss investment, they’ve also
learned through the recession
that they need to be more mobile
to respond to changing economic
opportunities and not be bur-
dened by owning a house.”
immigration is another fac-
tor driving future rental demand
because immigrants rent for a
long time after arriving in the
U.S. Eighty-two percent of im-
migrants who have been here for
five years or less rent, and 71%
of those here for 10 years or less rent, according to Bibby.
Demographic ChangeThanks to an enormous wave of immigration in the 1990s
— the largest ever — one in five heads of U.S. households is now
either foreign born or the native-born child of an immigrant.
There is also a dramatic change in what constitutes the “typi-
cal” american household. “For generations, married couples with
children dominated our housing markets and they caused the
suburbs to grow explosively. But now they are less than 22% of
households and that number is falling. By 2030, nearly three-
quarters of our households will be childless,” Bibby said.
“in fact, between 2000 and 2040, fully 86% of our house-
hold growth will be households without children,” Bibby said.
“That’s a profound change that has serious implications for
the kind of housing we need. Our future society will be domi-
▲ NMHC President Doug Bibby
DeClininG Home oWnerSHip rateS uS HouSeHolD GroWtH projeCtionS
>>
ph
OT
O: D
EN
NiS
Wh
iTE
hE
aD
March/april 2011 • SuStainable CommunitieS 17
nated by single people, unrelated
people living together, couples
without children and empty nest-
ers, and these households are much
more likely to choose the flexibility,
convenience and superior locations
offered by rental housing.”
To meet this future demand
requires a fundamental re-thinking
in how we approach housing in this
country. To meet emerging housing
demands, half of all new homes built
between now and 2030 will have to
be rental units, according to profes-
sor arthur “chris” Nelson, director
of Metropolitan research at the Uni-
versity of Utah.
The multifamily industry will
have to get busy to meet that projected demand. New
apartment construction set an all-time post-World War ii low
in 2009 at 97,000 new starts. construction levels in 2010
were predicted to be even lower. “at the current rates of
starts and completions, we’re not even building enough to
replace the units that are lost every year to old age,” accord-
ing to NMhc.
If It’s Not Broke, Don’t Fix itironically, most casual observers see the current oversup-
ply of vacant single-family houses because of the foreclosure
crisis, and assume that the U.S. has a housing glut. That’s not
true, Bibby said. “We do indeed have a glut of single-family
houses, but on the apartment side we are heading toward a
shortage as early as 2012. The shortage of affordable rental
units is particularly acute.”
NMhc is calling for federal, state and local policies that
encourage the development of compact, sustainable housing
located near transportation and employment centers. Bibby
lauded the efforts of hUD and other federal agencies to co-
ordinate housing and transportation to give americans more
affordable housing near jobs and transit.
Bibby said that the Obama administration’s proposal for
changes to Fannie Mae and Freddie Mac single-family finance
programs appears to move government policy away from an
overreliance on homeownership. But he expressed concern
about the plan’s lack of specificity about the future of Fannie
and Freddie multifamily finance programs. (For details, see
separate story.)
“We urge policymakers to be very cautious and not cause
unintended consequences by trying to solve a problem that
doesn’t exist in Fannie’s and Freddie’s multifamily business,”
Bibby said. “Their multifamily programs are not broken.
They have default rates of less than one percent and they
actually produce net revenue (profits)
for the U.S. government. They pose
no risk to the taxpayer. But they—and
the nation’s supply of workforce rental
housing—stand at risk of becoming a
collateral victim of the single-family
meltdown.”
“Over the past 40 years, there have
been numerous occasions when the
private sector has been unable or un-
willing to finance multifamily loans,” he
continued. “a federally backed second-
ary market with an explicit federal gov-
ernment guarantee is absolutely critical
to our industry’s continued health.”
Without the two federal mortgage
firms, from 2008 through 2010, there
would have been widespread foreclo-
sures of otherwise performing apartment properties because
owners would have had no capital source to refinance matur-
ing mortgages, according to NMhc.
Bibby said that 90% of apartment loans purchased by
Fannie and Freddie are for properties targeted to people earn-
ing the median income. “Fannie and Freddie’s multifamily
lending is the government’s most efficient way of producing
workforce housing,” he said. ❧
CHanGinG DemanD,HouSeHolD CompoSition
FHa inSureS larGeSt “Green” renoVation
The largest “green” transaction done with Federal
Housing Administration insurance was closed recently
by CWCapital LLC, a full-service, national lender to
the multifamily and healthcare real estate industries.
The loan was for $36 million to finance renovation of
The Fay Apartments in Cincinnati, Ohio.
The loan will support a 30-month renovation of
the Fay Apartments between October 2010 and March
2013. Details of the renovation project include the de-
molition of 17 buildings, reducing the number of units
to 703, and the implementation of “green” features for
all units, such as energy efficient windows and doors,
eco-friendly carpet and new HVAC systems.
The loan represents both the FHA’s largest Mark-
to-Market transaction as well as its largest “green”
transaction closed to date, according to CWCapital.
To complete the financing, CW worked collaboratively
with Cincinnati-based CMC Mortgage Services Inc.,
who had initiated the finance project before enlist-
ing CW to complete the deal and assume servicing
responsibilities upon the loan’s closing.
SuStainable CommunitieS • March/april 201118
energy and water-efficient buildings and sustainable de-
velopment practices are rapidly becoming standard pro-
cedure among leading providers of apartments
“We are very focused on sustainability,” said alan
George, chief investment officer and executive vice presi-
dent of Equity residential. “Sustainability is the right thing
to do, and it’s also a way of increasing the profitability of our
company,” said George.
The chicago-based, publicly traded company owns 470
apartment properties with 130,000 units. Equity is making
sustainability a factor in all of its major decisions, and that’s
been very well received by employees and customers alike,
George said.
in southern california, SarES•rEGiS Group is pursuing
sustainability and green building, both for its apartment
properties as well as its commercial real estate ventures.
“Before there was even a notion of passing S.B. 375 (califor-
nia’s anti-sprawl legislation) we always targeted transporta-
tion corridors and infill locations,” said Mike Winter, senior
vice president in the company’s Multifamily Development
Division. it calls itself “the largest privately held developer
of green apartments in Southern california.“
▲ Pool and spa area at The Crossing Apartments in Anaheim, Calif., developed by SARES•REGiS Group. The new apartment community boasts in its marketing of using recycled materials, offering a healthful indoor environment and its location on a sustainable site. Quoting from its promotional material for leasing: “Being eco-friendly is a no-brainer at The Crossing. We built in some incredible and innovative green perks for you to enjoy without even lifting a finger (how cool is that!)”
apartment Firms embrace Sustainability, Green building
replacing Light BulbsEquity’s vast portfolio requires lots
of lighting, so it has realized substantial
reductions in energy use simply by re-
placing incandescent bulbs with lED or
fluorescent lights.
For the lighting in common areas and
health clubs at its properties, it is install-
ing occupancy sensors and daylight sen-
sors to reduce energy use when there’s
natural light or no one in the space.
“lED technology is fabulous,” George
said. “The fixtures last for 20 to 30 years,
eliminating the need to stock replace-
ments and the cost of labor to change
bulbs. plus, they produce better light
quality and use less power.”
Equity is planning its first round of so-
lar energy installations this year, includ-
ing photovoltaic and thermal hot water
systems. Two are in New Jersey and one
is in northern california. George said New Jersey and northern
california are two areas where solar makes the most sense be-
cause of rebate programs and the high cost of electricity. Other
installations are slated for properties in southern california and
the phoenix area.
The primary application for solar is for common area utili-
ties, as well as at properties where there is master project-wide
metering as opposed to individual meters in each unit.
like other apartment owners, Equity is debating what to do
about energy saving measures for individually metered units,
where savings accrue to the tenants, not the owner.
Still, he said the firm is making in-unit upgrades that benefit
tenants. as part of its routine upgrades, it is now installing dual
flush toilets, and programmable thermostats. “residents will
give you credit for that in some way,” he said. “You can’t quan-
tify it, but it’s the right thing to do.”
The firm helps tenants be mobile without owning cars by
operating Zipcar car sharing programs at some of its properties.
The firm expects to acquire properties with a total value of
around $1 billion in 2011. it looks for large projects in urban areas
that are near services and transportation. Years ago, Equity fo-
cused on garden apartments that were more isolated in subur-
ban areas but has since sold most of those assets, George said.
March/april 2011 • SuStainable CommunitieS 19
California GreeningSarES•rEGiS Group sees the incor-
poration of green building standards
into state and local building codes as
a positive development, according to
Winter. The changes mean that private,
third-party certifications may no longer
be needed for new projects, which can
reduce the company’s cost for consul-
tants and certification fees.
Given the difficulty in getting debt fi-
nancing these days, he said it’s prudent to
reduce the “soft cost of being green.” The
costs associated with getting a green cer-
tification from a private agency have been
as high as $100,000, he said.
The company owns or manages
16,180 rental apartments and 15 million
square feet of office and industrial space. it has more than 4
million square feet of commercial and industrial space in
the entitlement process and 1,962 residential units in pre-
construction and development.
Winter said the firm does not see much potential in in-
stalling solar panels, partly because it doesn’t project an
adequate savings in utility costs to justify the cost, but also
because low-rise structures often don’t have enough roof
space to accommodate solar.
The company spends a great deal of staff time de-
veloping designs and going through
checklists to see what features and
new technology makes the most sense.
For example, new water-saving toilets,
faucets and shower heads get tested by
staff members or in construction trailers
to see if they are good enough to be put
in a new project.
lenders are not particularly impressed
by green features, focusing instead on a
project’s financial feasibility. But the firm’s
institutional investors like the green quali-
ties of its buildings, Winter said.
in addition to energy and water-effi-
cient construction, the firm is making a
major push to develop infill projects near
jobs and transit.
in 2010, it opened Westgate apartments
in pasadena, a “green” transit-oriented
community of 480 apartment homes.
located in pasadena’s historic district and two blocks from
the Del Mar Station of the Metro Gold line, Westgate offers a
clubhouse, resort-style pool and spa, five themed courtyards
and a fitness center. SarES•rEGiS developed it in a joint
venture with Equity residential.
From a planning, design and sustainability perspective,
this development is transformational,” said Winter.
Winter said new residents at Westgate are attracted by
the combination of the property’s greenness as well as its
easy access to transportation corridors,
key job centers, shopping, dining and en-
tertainment. “it adds up to create a text-
book example for the new-era of modern
urban planning and design,” he said.
in addition to Metro Gold line rail
service, additional transit services serv-
ing Westgate residents include MTa
Metro Bus lines with routes through-
out los angeles county, the pasa-
dena arTS Bus System and Foothill
Transit. There are 174 bicycle parking
spaces clustered near elevator lobbies
throughout the subterranean garage.
The development has two dedicated
charging stations for electric vehicles.
Westgate pasadena is SarES•rEGiS
Group’s second smoke-free, transit-
oriented community. it also opened
The crossing in anaheim, a community
of 312 apartments that received lEED
Gold rating from the U.S. Green Build-
ing council. ❧
▲ alan George, chief investment officer and executive vice president of equity residential
Defend Sustainablity: Join PSCWith budget battles raging in Washington, D.c. and many state capitols,
the community sustainability movement faces severe setbacks.
if you care about making communities sustainable, now’s the time
to act. Take a moment now to become a member of partnership for
Sustainable communities®. Go to www.p4sc.org and click on “become a
member” in the green bar at top, or call 415-453-2100 x 302.
You pay just $79 for an entire year. You will be supporting a good
cause, and you will receive these practical tools you can use immediately
to advance your organization’s goals:
• receive six issues per year of Sustainable communities magazine,
the only magazine focused on planning and community development with
sustainability in mind.
• Get access to our unique, 24/7 online land Use research library
• Free access to premium content on our web site,
• a free listing in our membership directory and
• a 25% discount on The San Francisco conference on Sustainable
housing and community Development” slated for Sept. 19-20
SuStainable CommunitieS • March/april 201120
Congress created Fannie Mae and Freddie Mac to make
sure there was enough liquidity in the banking industry
to provide a steady supply of mortgage lending at reasonable
rates and terms. Now, in the aftermath of the mortgage melt-
down, with the two agencies guaranteeing 90% of all home
loans, the Obama administration wants the government to
reduce its financial support for the mortgage market.
To make a long story very short, the administration is
engaging congress in a political dance that will probably end
with Fannie and Freddie closing their doors in several years,
and the federal government limiting its role to that of a guar-
antor of pools of home mortgages, rather than its current role
as a buyer and securitizer of individual loans.
The impact of the changes could be profound. Most ana-
lysts agree that home loans with fixed interest rates and long
terms will be harder to get and more expensive. That will
mean a reduction in the number of households that can buy
homes and an increase in the number who must rent.
There is some prospect that the changes will steer resi-
dential development back toward rental homes at higher
densities than the single-family subdivisions that sprouted up
during the last wave of easy mortgage money.
The biggest unanswered question is whether households
denied the safety of long-term fixed rate loans will once again
find a ready supply of short-term, adjustable rate loans – the
exact same kind of financing that caused the nation’s foreclo-
sure crisis in the first place. The Obama plan talks in general
terms about preventing predatory lending and requiring more
“transparency” in how private market players do business,
but it falls far short of a detailed plan with a clear chance of
controlling the mortgage market.
The long and very uncertain process of revamping the
federal government’s role in housing finance began in Febru-
ary, when the Obama administration released its 32-page
report to congress on “reforming america’s housing Finance
Market.”
The Obama proposal is very general, but it sets a clear
direction: Federal backing for home loans is going to be cut
back, but federal support for financing apartments will con-
tinue and might even be increased.
The administration wants to wind down Fannie Mae and
Freddie Mac and shrink the government’s current footprint in
housing finance on “a responsible timeline,” which could be
as long as ten years. The republican leaders in congress say
they want to do many of the exact same things, but faster.
They want to phase out Fannie and Freddie in four years.
currently, the U.S. government guarantees more than
nine out of every 10 new mortgages. Both Obama and the
republicans say they want to bring the private sector back as
the primary source of mortgage credit and make it bear the
burden for losses.
What will be put in place after Fannie and Freddie are
Pulling the Plug on Homeownership’s Life Support
END OF AN ERA:
by andre Shashaty
Fannie Mae headquarters
March/april 2011 • SuStainable CommunitieS 21
wound down? The report offers three possible scenarios.
One assumes that home loans will be entirely a private sector
business with no federal backing. One assumes the market
will be private, unless there’s a major credit market crisis re-
quiring emergency federal intervention.
The third option is some sort of mechanism in which the
federal government will insure pools of loans to make an
active mortgage securitization market possible. This is the
option that allows some hope for continued availability of
long-term fixed rate mortgages on a significant scale at a rea-
sonable cost and is considered most likely to be enacted,
The Obama report is vague as to timing, but it is ex-
pected to move this year
to reduce the number of
loans eligible for purchase
by Fannie and Freddie, and
to jack up the pricing for
such loans. The plan also
calls for increasing required
down payments so that any
mortgage that Fannie Mae
and Freddie Mac guarantee
eventually has at least a 10
percent down payment.
The administration pro-
poses to make changes to
Fha single-family programs
to ensure that, as Fan-
nie Mae and Freddie Mac
shrink, the private sector – not Fha – picks up their market
share. The administration will do that by increasing mortgage
insurance premiums and reducing the maximum mortgage
amounts Fha can insure.
Financing ApartmentsThe Obama report takes care to exempt financing for
apartments from the end game for Fannie and Freddie. But
even there, it hedges quite a bit. “Fannie Mae and Freddie
Mac developed expertise in profitably providing financing to
the middle of the rental market, where housing is generally
affordable to moderate-income families. as we wind down
Fannie Mae and Freddie Mac, it will be critical to find ways to
maintain funding to this segment of the market.”
Does that mean Fannie and Freddie will continue to exist
and continue to do multifamily finance or that some other
federal program will fill the gap that will be left when they are
“wound down?” No one knows.
The report is clear about the need for strong multifamily
programs within the Federal housing administration (Fha). it
promises an effort to “explore ways to provide greater sup-
port for rental housing.” it hints at the idea that Fha might
absorb Fannie and Freddie’s multifamily staff, saying “one op-
tion would be to do so by expanding Fha’s capacity to support
lending to the multifamily market. Key to this would be utiliz-
ing existing multifamily expertise so that Fha and other enti-
ties continue the industry’s current best practices and retain
valuable human capital.”
it goes on to suggest some possible “reforms,” such as risk-
sharing with private lenders, to reduce the risk to Fha and the
taxpayer, and programs dedicated to “hard-to-reach property
segments, including the smaller properties.”
it remains to be seen whether the administration is just
recycling old ideas or whether it really intends to make sig-
nificant new efforts in these areas. The Mortgage Bankers
association of america and
many other policy analysts
believe Fha needs to be
more autonomous to be
more effective at innovation.
One long-standing proposal
is to make it a government-
owned corporation, free
from the staffing and bud-
geting constraints of the
federal government.
What’s missing from
the Obama proposal is any
specific effort to steer the
mortgage market toward
a more supportive role in
encouraging community sus-
tainability. There’s been lots of talk about the need for a “loca-
tion efficient mortgage,” that is, a type of loan that is under-
written to reflect the benefits of buying a house close to one’s
job to reduce commuting time and costs. But the closest this
report comes to suggesting any effort to innovate is this: “We
must design access and affordability policies that are better
targeted and focused on providing support that is financially
sustainable for families and communities.”
The Obama administration had a great opportunity to
start a discussion about how mortgage finance practices, in-
cluding Fha programs, can help lead to land use patterns and
development practices that are economically and environ-
mentally more sustainable. One can only hope that the report
is just an opening gambit, and that the administration will
soon put forward more specific ideas and policy proposals.
Some critics are much tougher on the administration. as
one very well-informed observer of the finance scene put it,
the reduction in government backing for home loans will put
home buyers at the mercy of private lenders moreso than
they have been for many years. They are handing the entire
home finance system over to the same folks who screwed
home buyers in the first place – the banks. “it’s stunning,” this
observer said. ❧
SuStainable CommunitieS • March/april 201122
CAliFORNiA VS. SPRAWl:
the battle begins
For a preview of the challenges faced by the 18 Metropoli-
tan planning Organizations (MpOs) across the state of
california in implementing Senate Bill 375, the state’s so-
called “anti-sprawl” law, look no further than the association
of Bay area Government’s (aBaG’s) “initial Vision Scenario.”
Two years ahead of the due date for the Bay area’s final
2050 regional Transportation plan, scheduled for april 2013,
the initial Vision Scenario is a first-shot at identifying how,
through land use and transportation planning, the Bay area
will accommodate a growing population while reducing green-
house gas emissions from cars and light trucks.
“The release of the initial Vision Scenario provides a start-
ing point for conversations with local governments and Bay
area residents about where new development should occur,
and how new long-term transportation investments can serve
this new growth,” said aBaG in a press release.
The Vision Scenario demonstrates just how
hard it will be to turn a meticulous planning pro-
cess into results, in the form of reductions in per
capita emissions from use of private vehicles.
aBaG candidly admits to two fundamental
challenges for the region. First, the scenario’s
projected impact on how much people drive is
insufficient to achieve the state-mandated 15
percent per capita greenhouse gas reduction by
2035. Secondly, the scenario assumes a function-
ing, and even expanded transportation system, at
the same time pointing out that the current Bay
area transportation system is unsustainable, with
operators unable to afford continuation of ser-
vices at the current level.
in Southern california, public transit is a relatively new in-
novation, and the Southern california association of Govern-
ments (ScaG) is not relying too heavily on it to meet its GhG
reduction goals. a massive expansion of the region’s commut-
er light-rail and subways is one element, but ScaG is also pur-
suing compact land use and development strategies, as well
as ideas for making it more costly to drive private vehicles.
confronting the economics of driving and parking private
cars is absolutely essential to meeting the goals of S.B. 375,
said hasan ikhrata, executive director of ScaG. “You can have
a fantasy plan, that’s one way to do it. The law allows you to
do it. But we don’t want that,” said ikhrata. “We will meet the
state GhG reduction goals.”
ikhrata knows that congestion pricing and other measures
to make it more costly to drive are a “hard sell” for the politi-
cians that run the cities in the region, but he promises that
ScaG will “put them on the table.”
San Diego, the first california region scheduled to complete
a Sustainable communities Strategy in October of this year,
adopted a preliminary plan for further developing its 2050 re-
gional Transportation plan and Sustainable communities Strat-
egy last October. The “hybrid scenario” emphasizes transit,
rail/freight and highway improvements, as opposed to focusing
Planners confront the puzzle of how to grow sustainablyas first specifics emerge from state’s ‘anti-sprawl’ law
Hasan ikhrata, SCaG executive director
mike mcKeever, SaCoG chief executive officer
ezra rapport, abaG executive director
March/april 2011 • SuStainable CommunitieS 23
efforts in one area. Unlike aBaG’s Vision Scenario, the “hybrid
scenario” is projected to achieve the state mandated 13 percent
reduction by 2035, and actually surpass it by 5 percent.
Accommodating a Growing PopulationThe San Francisco Bay area is expected to grow by over
two million people by the year 2035. assuming a strong
economy, the scenario estimates an additional 1.2 million jobs
by 2035 and the need for 903,000 more housing units than
currently are available.
To accommodate this growth, “the initial Vision Scenario
makes the most of the Bay area’s existing infrastructure,”
explained MTc planning Director Doug Kimsey. “it projects
that 97 percent of all new households will be accommodated
in already urbanized areas, and particularly in cities where
residents have access to frequent public transit service. Un-
der this scenario, 70 percent of the growth, or 632,100 new
households, will go into places that have been designated
‘close to transit’ by local jurisdictions.”
Specifically, aBaG forecasts 32 percent of the new growth
will occur in San Jose, San Francisco and Oakland. With 17
percent occurring in medium-sized cities like Fremont, Santa
rosa, Berkeley, hayward, concord and Santa clara.
The scenario does meet affordable housing targets, ac-
a primer on Sb 375 SB 375, passed in 2008, aims to reduce
greenhouse gas emissions from vehicles by
coordinating land use, transportation and
affordable housing planning. The law is part of
California’s efforts to meet its AB 32 greenhouse
gas reduction requirements: A law that requires
California to reduce GHG emissions to 1990 levels
by 2020. Here is how it works:
emissions targets: The California Air
resources Board sets greenhouse gas emissions
reductions targets from vehicles for each of the 18
Metropolitan Planning Organizations (MPOs) in the
state. The targets range from a 7-8% reduction by
2020 to a 13-16% reduction by 2035.
Sustainable Communities Strategies: These
emissions reduction targets shape Sustainable
Communities Strategies that all 18 California
regions must prepare. The SCS must show how
each region will reach emissions reductions
targets by putting housing, stores, jobs and transit
closer together, reducing sprawl and vehicle miles
travelled (VMT).
regional transportation plans: The Sustainable
Communities Strategy will be part of the next round
of federal regional Transportation Plans. Herein lies
the power of SB 375: money. Federal regulations
require that regional Transportation Plans be
internally consistent—so the funding outlined in a
plan must be consistent with the plan’s Sustainable
Communities Strategy. That is, transportation
funding will have to be designed to achieve GHG
reduction goals.
regional Housing needs allocations: SB 375
also affects the process by which regions ask
local jurisdictions to plan for housing. Each region
must plan to provide enough housing to match
anticipated population and job growth in the
area, and in all economic brackets. Based on the
projected need for additional housing, jurisdictions
must re-zone to allow for housing projects to meet
the future need.
CeQa Streamlining: There will be some
relief from California Environmental Quality Act
requirements for projects that are consistent with
the region’s Sustainable Communities Strategy.
>>
SuStainable CommunitieS • March/april 201124
commodating all the projected housing need by income level.
reducing Greenhouse Gas Emissions
The scenario only results in a 12 percent reduction in
greenhouse gas emissions from cars and light trucks by 2035.
This falls short of the state-mandated 15 percent reduction in
greenhouse gas emissions. it also assumes expanded public
transportation.
So, although slating only 3 percent of growth for green-
fields is a start, over the next two years aBaG and MTc will
need to come up with additional strategies to reduce green-
house gas emissions in the area. For the full text of the initial
Vision Scenario visit www.onebayarea.org.
Southern California’s ApproachScaG is the nation’s largest metropolitan planning organi-
zation, representing six counties, 190 cities and more than 19
million residents.
like other MpOs, ScaG is working hard to gather public
As California regional planners gear up to start writ-
ing the Sustainable Communities Strategies required
under Senate Bill 375, the public is getting its say.
Surveys, hearings, workshops and other consulta-
tions are underway throughout the state.
Conducting SurveysThe region with the earliest deadline to complete
its strategy is the area served by the San Diego as-
sociation of Governments (SaNDaG). in a survey of
1,200 residents of the 18-city region, SaNDaG asked
the public to weigh in on development of the 2050
regional Transportation plan. The survey revealed that
36% of residents ranked public transit as the highest
priority for future improvement and investment, fol-
lowed by 31% for major roads and 29% for freeways
and highways.
The three factors that respondents felt should car-
ry the most weight when policymakers are developing
transportation policies and plans are:
• reducing traffic congestion (74% extremely or
very important);
• Ensuring that the transportation system supports
the needs of the local economy (73%); and
• improving the safety of the transportation system
(64%).
reducing Vmt & GHG emissions: among all
residents surveyed, 63% stated that they were aware
of the new legislative requirements pertaining to GhG
emission reductions from cars and trucks, whereas
36% confided that they were not aware of the new
requirements and 1% were unsure.
When presented with 10 different strategies for re-
ducing GhG emissions from cars and trucks, residents
of the San Diego region were most supportive of the
following:
• Making road improvements that reduce bottlenecks
and improve traffic flow (88%);
• Expanding programs that encourage telecommuting
and flexible work hours (87%),;
• improving the transit system so that it attracts more
riders (84%); and
• concentrating new housing near existing employ-
ment centers and areas that are well-served by tran-
sit (82%).
Overall, less than one-third of respondents support-
ed fee-based strategies to reduce driving, including
establishing parking fees in urban and commercial cen-
ters (30% support), increasing the gas tax (24%), or
Citizens Weigh in on How to implement ‘anti-Sprawl’ law
—CONTINUED ON PAGE 40
State Sen. Christine Kehoe (D-San Diego) has introduced Senate Bill 468, which would require completion of existing mass transit projects and setting aside funding to improve local roads before any freeway expansion projects could occur in coastal
cities. The bill is rare in its simplicity. The bill would apply statewide, but
it takes dead aim at a proposed I-5 expan-sion in San Diego County from La Jolla to Oceanside, estimated to cost $4.5 billion and adding up to six new lanes to the already eight-lane highway. The expansion project already underwent a lengthy public comment period, drawing
thousands of comments from interested cities, environmental groups and citizens critical to the expansion.
Many comments echoed the sentiment in Kehoe’s bill: limited transportation dollars should fund public transit not more roads. Others expressed concern over the environmental implications of the project, including the health impacts on citizens living near the freeway.
“There are better ways to move people through coastal com-munities than by only widening freeways,” said Kehoe. “Improved transit service costs less, lowers pollution, and reduces conges-tion. Better transit should precede freeway expansion.”
California Senator Fights Freeway Expansion
>>
March/april 2011 • SuStainable CommunitieS 25
establishing a new fee on miles driven per vehicle (21%).
personal behavioral Changes: approximately half
(51%) of San Diego residents indicated that, realistically,
they are willing to reduce the amount that they drive dur-
ing the next six months. approximately 45% indicated
that they were not willing to make this change, whereas
2% indicated that it depended on other factors and 1%
refused to answer the question.
Holding Public Hearingsin addition to opinion surveys, regional planners are
hitting the road to conduct public hearings. The associa-
tion of Bay area Governments (aBaG), which handles
planning for the 9 counties and 101 cities around San Fran-
cisco Bay, is planning extensive public consultations over
the next two years.
in March, aBaG released its initial Vision Scenario,
which identifies “growth opportunity areas” in the re-
gion. The purpose is to start a dialog about where growth
should occur.
at a recent hearing before the Transportation author-
ity of Marin county (TaM), aBaG officials talked about the
steps they are taking to write a Sustainable communities
Strategy for the region. They fielded a wide range of ques-
tions and heard a cross section of viewpoints.
a recurring theme from the county officials and advo-
cates present was the challenge of providing work force
housing near jobs.
an opponent of affordable housing said aBaG should
not require her town to zone for more high-density hous-
ing projects. She said the town does not have sufficient
city staff or sufficient infrastructure to meet regional
housing needs allocations assigned by aBaG.
a supporter of affordable housing development re-
ferred to the “environmental injustice” caused by the lack
of housing for low-income people. he said more housing
must be provided in the county.
Under S.B. 375, transportation planning is linked more
closely to planning for affordable housing. aBaG, like oth-
er regional planning organizations, makes regional hous-
ing needs allocations for each community in the region.
The allocations now in force are for housing elements for
2007 to 2014. The next set of allocations, and the first that
are required to dovetail with the S.B. 375 panning, will be
for 2014 to 2022.
One commenter talked about rising gas prices and how
it was getting harder for Marin county employers to count
on workers driving in from outlying areas in the east and
north parts of the region. “Dispersing population in an era
of rising gas prices no longer is a workable strategy,” he
said, calling on aBaG to look at housing and transporta-
tion costs together.
Looking at PrecedentsSB 375 created a state-mandated approach to plan-
ning for specific state-determined GhG emission reduction
goals. it also linked transportation and housing planning.
But planning organizations in metro areas, including San
Francisco, generally have done previous plans that looked
at land use and ways to reduce greenhouse gas emissions.
at the Marin county hearing, the most recent San Fran-
cisco area transportation plan was called into question.
in 2009, the Metropolitan Transportation commission
(MTc) adopted the Transportation 2035 plan for the San
Francisco Bay area, which specifies how some $226 billion
in anticipated federal, state and local transportation funds
will be spent in the nine-county Bay area over 25 years.
The plan included a program of incentives for cities
and counties to promote future growth near transit in
already urbanized portions of the area. it also included a
Transportation climate action campaign to reduce trans-
portation-related greenhouse gas emissions.
The plan called for expanding carpool lanes into a re-
gional Express lane Network that continues to grant car-
poolers and buses free access to the lanes but permits solo
drivers to pay to use available space in the carpool lanes for
a price. The goal was to use the money to finance comple-
tion of the planned express lane network sooner and fund
other mobility improvements like more express bus and rail
services in the region’s most heavily traveled corridors.
Citizens Weigh in on How to implement ‘anti-Sprawl’ law
▲ michael rex comments at hearing
—CONTINUED ON PAGE 40
SuStainable CommunitieS • March/april 201126
the U.S. has lagged behind other developed nations on
high-speed rail for years, and now it is falling behind
developing nations as well. a new crop of republican
governors and the GOp leadership in the house of represen-
tatives wants to keep it that way.
Newly elected republican governors in Florida, Ohio and
Wisconsin have loudly rejected federal funding for high-
speed rail that was included in the american recovery and reinvestment act of 2009 (arra). The money earmarked
for those states will be spent in regions that want the proj-
ects.
The house republicans now want to block Obama admin-
istration requests for $1 billion per year in additional funding
for its ambitious rail development plan. if they succeed, the
states that have accepted the arra funding could find it
very hard to proceed with their plans.
The Obama plan looked at the $8 billion provided in
the arra as a down payment “to jump-start a potential
world-class passenger rail system and sets the direction of
transportation policy for the future.”
“high-speed rail will modernize america’s valuable trans-
portation network, while reinvigorating the manufacturing
sector and putting people back to work in good-paying jobs,”
said Transportation Secretary ray lahood.
The administration sees high-speed rail as the key to
providing transportation for a growing population without
massive congestion on our roads, and with less pollution.
republicans and the Tea party activists who drive re-
publican positions are in a budget cutting frenzy, at least
when it comes to domestic programs supported by the Obama
administration.
But the governors who have rejected rail funding are slight-
ly more pragmatic, saying there are too many unknowns and
too many risks in the projects pursued by their predecessors.
according to the columbus Dispatch, Ohio Governor John
Kasich believes “there are too many unanswered questions
about how many people would ride the train, how fast it would
go and how much it would cost the state at a time when it
is facing an $8 billion budget shortfall -- and that he has his
own job-creation agenda to pursue.”
Kasich told the feds he would rather use the federal
funds approved for Ohio’s cleveland to columbus to cincin-
nati rail line for freight rail or highway infrastructure. his
request was rejected.
in Florida, incoming Governor rick Scott rejected federal
funding for a line from Tampa to Orlando primarily because
republicans take the offensive against high-speed rail—Governors’ rejection of grants triggers spirited debate
Federal Funding For High Speed rail Development
ph
OT
O: c
OU
rT
ESY
aM
Tr
aK
March/april 2011 • SuStainable CommunitieS 27
of concerns about the state’s liability for costs not covered
by federal funds.
ironically, the move came just a few weeks after the state
adopted a 50-year transportation plan calling for high-speed
rail (see around the Nation).
Wisconsin’s new governor, Scott Walker, is getting media
attention for trying to curtail
state workers’ bargaining
rights. But he also rejected
previously approved federal
money for passenger rail ser-
vice from Madison to Milwau-
kee to chicago. his position on
high-speed rail is simple: the
republican Governors Who rejected Federal Funds for High Speed rail
Scott Walker — Wi rick Scott — Fl john Kasich — oH
tion of the money rejected by Florida, Ohio and Wisconsin.
Other states are actively working on longer term plans for
high-speed rail.
as california Governor Jerry Brown put it:
“high speed rail is a clean, fast, accessible alternative to
air transportation and long in-state automobile trips. This
will create jobs and bring our communities closer together.
as our airports and highways become more crowded, the
need for high speed rail becomes even more acute.”
The debate over the Obama plan illuminated some deep-
seated positions on both sides of the discussion. pro-rail
groups focus almost entirely on perceived benefits of man-
aging congestion and pollution. Opponents hammer away at
the probability the projects will have construction cost over-
runs and that operational budget will run deficits. They do
not want taxpayers to be burdened with those costs.
The following excerpts from various articles and blogs
will give readers a taste of the arguments pro and con for
high-speed rail.
U.S. Dept of Transportation Secretary ray LaHood
excerpts from his statement announcing the $8
billion investment in passenger rail.
With this historic $8 billion investment by president
Obama, we are jump-starting american high-Speed rail.
The bulk of the awards go to new, large-scale high-speed
rail programs. in total, 31 states and the District of columbia
will receive awards. in addition to 13 corridor investments, we
are also awarding several grants for improvement projects
and planning. These efforts on existing routes and emerging
corridors will lay the groundwork for future high-speed and
intercity rail development.
We will make passenger rail more efficient, providing bet-
ter service in travel markets across the country.
• high-speed rail travel offers competitive door-to-door
trip times
rail money should be used for roads and bridges for vehicle
traffic.
“i believe it is a grave mistake for the federal government
to insist on building an unwanted passenger rail system at a
time when our roads and bridges are literally crumbling,” he
wrote in a letter to lahood.
Meanwhile california, illinois, Washington, Oregon, North
carolina, Vermont, Missouri and New York are forging ahead
with plans for high-speed rail and will absorb the realloca- >>
SuStainable CommunitieS • March/april 201128
• it reduces congestion on key routes between cities
• it reduces transportation emissions
• and, most of all, it creates the jobs of the future, the
jobs america needs right now
i am very proud of what our transportation infrastructure
helps us achieve every day. Moving hundreds of millions of
people and millions of tons of goods from place to place. it’s
amazing.
But it’s not good enough. it’s the infrastructure of a previ-
ous century, one with plentiful energy and no sense of the
role carbon emissions play in our health and the health of our
planet. and it’s not adequate for the growth of our nation’s
population, its commerce, its mobility.
We need an expansive, safe and energy efficient rail trans-
portation network. We need to generate economic develop-
ment. We need to reposition our infrastructure for the 21st
century.
We’re connecting cities that are too close for efficient air
travel but--with the highways connecting these cities nearly
choked beyond capacity--too far for productive road travel.
cities like St. louis and chicago.
We know that people already want to travel between these
cities; we’re here to begin making that downtown-to-down-
town travel significantly easier, faster, and more productive.
as i’ve mentioned on this blog before we received many
more applications than we had funds to distribute. States and
regions and communities across the United States are clam-
oring for high-speed service.
But some areas are just not ready. in some areas, invest-
ments to lay the groundwork for increasing the speed and
reliability of current service have been deferred and deferred.
Today we’re fixing that. We’ve made awards to states to
improve existing track, repair tunnels and bridges, and
increase the speeds of lines already serving passen-
gers.
We can’t just put faster trains on old tracks and
send them across bridges that need repairs. So, with
these targeted investments, passengers will see many
benefits in the near term.
high-speed rail corridors will offer competitive
door-to-door trip times. From los angeles to San
Francisco, a 2-hour 40-minute comfortable ride from
city center to city center will replace a 6-hour trek of
fighting traffic to get out of one downtown and fighting
traffic to get into another.
high-speed rail will create jobs now and for the
foreseeable future. We have commitments from over
30 companies in the rail business to create or expand
U.S. rail manufacturing should they be awarded con-
tracts for portions of this money. These companies
know high-speed rail, and they could become partners
to those awarded rail grants.
What kind of jobs? planning rail networks; designing, pro-
ducing, and laying miles and miles of track; building, installing,
maintaining, and operating equipment; constructing or up-
grading stations, tunnels, and bridges; operating the routes.
it’s pretty clear we’re talking about a lot of jobs--tens of
thousands. and let’s be clear about this: that $8 billion will do
its job-creation work right here in america.
high-speed rail reduces oil use and the environmental
costs of the mobility we prize so dearly. i’m an old-fashioned
guy who grew up in the Midwest--i love cars. But let’s be re-
alistic; cars are the least efficient method of travel we have,
even with our fuel-economy standards. rail ridership takes
cars off the road.
The interstate highway system that we take for granted
today did not materialize overnight. it has taken over a half-
century, and we’re still building onto the network.
But, the point is that today we can take it for granted. Our
highways take us where we need to go, and the nationwide
coast-to-coast system has been a model for the rest of the
world.
and president Obama’s vision for high-speed rail mirrors
that of president Eisenhower, the father of that interstate
highway system.
Florida Governor rick Scott: Statement on why he rejected federal high-speed rail funds
after thoughtful consideration, Governor rick Scott
informed u.S. transportation Secretary ray laHood of
Florida’s decision to reject president obama’s tampa to
orlando high-speed rail project. >>
ph
OT
O: c
al
iFO
rN
ia h
iGh
-Sp
EE
D r
ail
aU
Th
Or
iTY
▲ California High-Speed rail
High Stakes Land Use Decisions?Don’t make a move without consulting our database
When it comes to land use policies and project entitlements, you can’t afford to act without a firm command of the facts and precedents. Now you can get the information you need in one very user-friendly source. It’s the Land Use Research Library from the Partnership for Sustainable Communities.
Whether you are a developer, a city land use official, or an elected leader, PSC’s Land Use Research Library brings you instant access to hundreds of academic studies and surveys on:
• The impact of zoning policies • Housing cost trends and influences • Property values • The most effective economic development measures • Effects of various community development strategies • Economic contributions of inclusionary zoning and affordable housing development
The Library is a benefit of membership in
Partnership for Sustainable Communities.
Join Partnership for Sustainable Communities for just $79 and receive:
• Must-readreportingandanalysison the new land use policies, green building practices, and innovative development strategies that are remaking our cities and towns in Sustainable Communities maga-zine. Published six time per year, this is the only journal that brings together all the threads of change on land use, development, energy, and transit into one succinct, well-organized, highly readable package.
• Opportunitiestonetworkandpromote your organization in our MemberDirectory.
• Criticalnewsalertsinthesubjectareas of interest to you.
• Premiumwebsitecontentatnoextra cost (view an example here).
• DiscountedregistrationfortheSus-tainableDevelopmentConference
Join today and get the tools you need to make good land use decisions. You will also be supporting our advocacy work to advance the goal of sustainable commu-nities including policies that encourage the development of affordable housing near jobs and transit. Join today, and be part of the new era of sustainable plan-ning and development.
For more information, go to www.p4sc.org.
Or request a FREE membership information packet by calling
415-453-2100 x302.
30 SuStainable CommunitieS • March/april 2011
▲
My decision to reject the project comes down to three
main economic realities:
• First – capital cost overruns from the project could put
Florida taxpayers on the hook for an additional $3 billion.
• Second – ridership and revenue projections are histori-
cally overly-optimistic and would likely result in ongoing sub-
sidies that state taxpayers would have to incur. (from $300
million – $575 million over 10 years)
• Finally – if the project becomes too costly for taxpayers
and is shut down, the state would have to return the $2.4 bil-
lion in federal funds to D.c.
The truth is that this project would be far too costly to tax-
payers and i believe the risk far outweighs the benefits.
historical data shows capital cost overruns are pervasive
in 9 out of 10 high-speed rail projects and that 2/3 of those
projects inflated ridership projections by an average of 65
percent of actual patronage.
it is projected that 3.07 million people will use the train an-
nually. Keep in mind that amtrak’s acela train in Washington,
D.c., Boston, philadelphia, New York and Baltimore only had
3.2 million riders in 2010. and that market’s population is 8
times the size of the Tampa/Orlando market.
president Obama’s high-speed rail program is not the an-
swer to Florida’s economic recovery.
We must make investments in areas where we will get a
return for the shareholders – Florida’s taxpayers.
rather than investing in a high-risk rail project, we should
be focusing on improving our ports, rail and highway infra-
structure to be in a position to attract the increased shipping
that will result when the panama canal is expanded when the
free trade agreements with colombia and panama are ratified
and with the expansion of the economies of central and South
america.
it is absolutely critical that we make smart investments
with taxpayer dollars, whether state or federal, and i believe
our state will be better served by spending these funds on
projects that will benefit Florida and not turn into a spending
boondoggle.
reaction to Gov. Scott’s decision to reject federal funding
andy Kunz, president of the u.S. High Speed rail
association in Washington, D.C.
as the leading organization advancing high-speed rail in
america, the US high Speed rail association must respond
to Governor rick Scott’s unfortunate decision to cancel the
Tampa to Orlando high-speed rail project. in making his deci-
sion, Scott relied on a controversial report on the Tampa-to-
Orlando project published in January by the libertarian rea-
son Foundation. a key adviser was robert poole, a founder
and transportation director of the reason Foundation, and
member of Scott’s economic transition team.
The reason Foundation is by no means an unbiased orga-
nization, as it receives funding from major conservative and
corporate donors including oil and highway interests, and
it’s consistently opposed to high-speed rail as a transporta-
tion alternative. Scott cited figures and projections pulled
directly from the reason Foundation report, using its false
comparisons with other rail projects to justify his decision.
Scott said, “capital cost overruns … could put Florida
taxpayers on the hook for an additional $3 billion,” but
he provided no evidence for this astounding number that
more than doubles the capital costs. The number is from
the reason Foundation report, a comparison with the esti-
mated cost per mile to build a segment of california’s high-
speed line, which is 111 percent higher than the cost per
mile to build the Tampa-to-Orlando line.
however, the building costs of the two projects are
hardly comparable because the california project has dif-
ficult right-of-way, land-use and terrain issues. The Tampa-
to-Orlando line has a long-established right of way on the
interstate 4 median with accommodations for high-speed
rail that have made it the most cost-effective and viable
project in the nation.
Scott also stated that “ridership and revenue projec-
tions are historically overly optimistic and would likely
result in ongoing subsidies that state taxpayers would have
to incur.” he again relies on the reason Foundation report,
which compares the annual ridership projection of 3.07 mil-
lion with amtrak’s acela train, serving only 3.2 million per
year in the Northeast corridor, with a total population eight
times larger than the Tampa-Orlando market.
This is another false comparison because amtrak’s total
ridership in the Northeast corridor is more than 12 million
per year, and additional ridership is constrained by commuter
trains in the corridor with an annual ridership of 250 million.
▲ Demonstrators in Florida showed support and opposition to a proposed high speed rail line from Tampa to Orlando.
ph
OT
O:
WT
Sp.
cO
M
>>
March/april 2011 • SuStainable CommunitieS 31
The Tampa-to-Orlando line would run on dedicated tracks with
fewer constraints and road crossings, allowing for faster and
more-frequent service. The ridership projections are based on
traffic congestion on i-4 and central Florida as a unique tour-
ist destination with 50 million tourists per year.
it is interesting to note another conclusion of the reason
Foundation report that, if the Tampa-to-Orlando project
were to move forward, the state should ensure that the
builder and operator would be financially responsible for all
cost overruns and revenue shortages. The business consor-
tiums vying for the project were prepared to do just that,
ensuring that Florida taxpayers would not be liable for any
future costs for building and operating the system. Scott
canceled the project before fielding business proposals and
dealt a major setback to what would have been the nation’s
first true high-speed rail line.
Today’s headlines illustrate the importance of reducing our
dependence on unstable foreign oil supplies, with oil prices
at about $100 per barrel and forecasts of $5 per gallon for
gasoline in the near future. Under that scenario, the Tampa-
to-Orlando high-speed rail line would be a great alternative
to driving on i-4 and would provide a model for america of
energy-efficient transportation for the 21st century.
Florida Sierra Club
Gov. Scott’s rejection of federal high speed rail funding is
a tragic loss for our state’s economy, especially our tourism
industry, and our environment, but a win for Big Oil.
Sierra club Florida regrets that Governor Scott has said
“no” to bringing 21st century transportation alternatives to
our state. This decision maintains Florida’s addiction to oil
and sends jobs to other states that will gladly accept our
share of high-speed rail funds.
Floridians lack transportation choices leaving us to
drive our cars and burn oil and pollute our air. currently
we have congested highways, dirty air and a need to
protect our coasts from oil drilling. Sierra club Florida
believes that now is the time to invest in and build the
foundation for a transportation system that helps move us
beyond oil. high Speed rail would have created jobs and
provided Florida with an oil free transportation option.
Governor Scott’s “NO” today means no jobs, no growth,
and no movement away from our state’s addiction to oil.
While Governor Scott expresses a concern for the oper-
ating expenses of high Speed rail, this decision ignores the
on-going boondoggle of spending billions of our tax dollars
on ever-expanding roads. in some parts of our state, roads
cannot be expanded any further to accommodate growth
and seasonal tourism traffic.
Despite this tremendous disappointment, Sierra club Flor-
ida will continue the fight for the clean transportation choices
that our state needs. Governor Scott has just done all in his
power to take away an important choice that would have put
Fl in the lead. it’s now up to Floridians to work together at
the local and regional level to rise to this challenge.
Illinois Transportation Secretary Gary Hannig
excerpts of press release, December 2010 about the
signing of a public-private partnership agreement on
high-speed rail development to bring illinois “one giant
step closer to achieving high-speed passenger service
between Chicago and St. louis by 2014.”
“clearly, the leadership, perseverance and commitment
of Governor Quinn, Senator Durbin, and our private sector
partners, has vaulted illinois into the lead on the devel-
opment of high-speed rail,” Secretary hannig said. “This
announcement is about more than just an historic achieve-
ment for illinois and the Midwest. it is a celebration of the
kind of partnership and vision that is creating jobs now and
providing needed access to a crucial regional transporta-
tion alternative.”
in September 2010, Governor Quinn announced that
illinois had become the first state in the nation to begin
high-speed rail construction through an initial agreement to
upgrade 90 miles of track between alton and lincoln. With
the full cooperative agreement now in place, construction will
continue in early spring from just south of lincoln to Dwight.
This phase of work is expected to conclude next fall.
The next step would then be the installation of new, en-
hanced grade crossing warning protection. The public can
expect to enjoy its first taste of 110 mile-per-hour train service
when a 20-mile segment between Dwight and pontiac is com-
pleted in 2012. procurement of new cars and locomotives, as
well as station upgrades, will be other facets of the project
completed under the cooperative agreement. >>
ph
OT
O:
WT
Sp.
cO
M
SuStainable CommunitieS • March/april 201132
“it’s a wonderful day for illinoisans as we celebrate a mile-
stone achievement towards becoming the first state in the
nation to bring high-speed rail to fruition,” Governor pat Quinn
said. “We applaud the cooperation and hard work of all partici-
pating agencies to bring high-speed rail service, thousands of
jobs, and economic growth to communities across the state.”
“i’m proud that illinois continues to lead the country in its
pursuit of high-speed rail service. This agreement marks one
more milestone in our quest to make safe, reliable, high-speed
rail service a reality in just a handful of years,” said U.S. Sena-
tor Dick Durbin. “
The cooperative agreement also outlines current plans
for 110-mph high-speed rail service upon the completion of
the construction that began in September. The agreement
calls for a total of five daily round trips between chicago and
St. louis, including three daily high-speed round trips in the
initial 2014 schedule — and confirms on-time performance
expectations of at least 80 percent for the service. Expected
reductions in travel time of as much as 48 minutes between
chicago and St. louis are also noted in the agreement, short-
ening the trip between the two cities to as little as 4 hours,
32 minutes. amtrak operates passenger rail service along the
route in cooperation with Union pacific, which owns the track.
in January 2010, the Obama administration awarded il-
linois more than $1.2 billion in federal stimulus funds for high-
speed passenger rail projects, including corridor improve-
ments on illinois’ signature route: chicago to St. louis.
Ohio’s Outgoing Governor reacts to rejection of Funds
Outgoing Democrat Gov. Ted Strickland said: “Today is
one of the saddest days during my four years as governor
because i see jobs leaving Ohio, i see resources leaving
Ohio, i see vital infrastructure leaving Ohio. and i see
other states being enriched by resources that would oth-
erwise have created thousands of new jobs, revitalized our
cities and helped keep our young people in Ohio. i can’t
understand the logic of giving up these vital, job-creating
resources to california and other states at a time when so
many Ohioans need jobs.”
rail Written off as “romantic Notion”
excerpts from Wall Street journal op/ed by Wendell
Cox, principal of Demographia, a consulting firm based in
St. louis. He served on the amtrak reform Council from
1999-2002 and is co-author with joseph Vranich of the
2008 reason Foundation study. “the California High
Speed rail proposal: a Due Diligence report.”
On Thursday the Obama administration awarded $8 billion
in stimulus funds to plan and build high-speed rail projects in
california and Florida, and for other routine passenger-rail
projects masquerading as high-speed rail. This is a political
plum to the states that will receive the money.
it is also a dream come true for fans of bullet trains in
Japan and Europe and the faster, greenhouse gas-belching
Mag-lev (magnetic levitation) lines. But this is not money
well spent.
Supporters say high-speed rail is a cost-effective, “green”
solution to airport and highway congestion. in reality, it is
costly to build and operate and has a negligible impact on
highway and airport traffic. high-speed rail is driven by little
more than a romantic notion to confer a European ambiance
on american cities.
proponents also claim that high-speed rail is profit-
able, but this too is off the mark. internationally, only
two segments have ever broken even: Tokyo to Osaka
and paris to lyon.
ridership in these markets has been bolstered by high
gasoline prices and one-way highway tolls of $40 and $100,
respectively. These and other foreign routes have attracted
much of their ridership from a strong core of rail passengers
that does not exist in the U.S. ❧
For more information:
Midwest High Speed rail:
www.connectthemidwest.com
US High Speed rail Association:
www.ushsr.com
reason Foundation, lobbies against high-speed rail:
http://reason.org
ph
OT
O: F
lic
Kr
.cO
M/p
hO
TO
S/a
UV
ET/
276
330
038
1/
▲ the train depot in lincoln, illinois, will eventually see 18 passenger trains per day.
>>
March/april 2011 • SuStainable CommunitieS 33
“New opportunities to build lasting value” is the theme of the first annual San Francisco
conference on Sustainable housing and com-
munity Development, which will take place Sep-
tember 19-20, 2011.
“it’s been a challenging time for real estate
developers and city officials. Money has been
tight, and for affordable housing, resources have
diminished dramatically, “ said andre Shashaty,
conference chairman. “But this is also a time of
exciting changes in how we plan and develop our
communities – a time when we must look to the
future and forge new paths to healthier commu-
nities and a healthier environment.”
The conference combines high-level policy
discussions on new directions in policy and new
strategies for developers with nuts and bolts
sessions on getting deals done, including using
new models of public-private cooperation.
The big story in california is how to move
from the bold environmental visions of a.B. 32
and S.B. 375 to a workable strategy for more
compact development, including location of
housing affordable to all income groups closer
to job centers. Find out how planners, city of-
ficials and developers are working together to
realize the three goals of
• Environmental protection through reduction
of private vehicle usage and green house gas
emissions
• Economic development, including jobs and
more efficient use of government resources
• Equity for all income and ethnic groups
The conference is sponsored by the partner-
ship for Sustainable communities, a nonprofit
group dedicated to helping city planners and
development officials work with private real
estate interests to advance smart growth and
sustainable development.
cosponsoring is reznick Group, a top 20
national accounting, tax and business advisory
firm. Well known for our depth of knowledge
in real estate and tax credit services, we also
serve a wide range of industries that include
government, healthcare/long-term care, finan-
cial services, nonprofits, professional services,
renewable energy and technology.
Other sponsors include:
• low-income investment Fund
• local Government commission
• Nonprofit housing asssociation of Northern
california
Sustainable Housing & CD ConferenceSet for September 19-20 in San Francisco
• New directions in urban and regional planning and what they mean for developers
• Mixing uses to achieve sustainabil-ity, focusing on retail and housing (market-rate and affordable)
• implementation of new green build-ing standards including calGreen
• Financing green building and retrofits and renewable energy for homes
• New land use and zoning issues for affordable housing developers
• affordable housing weatherization and retrofits, including state and federal funding programs
• New opportunities for commercial
and mixed-use developments on infill locations
• assessing the potential and risks of transit-oriented development, includ-ing the challenges of preserving housing affordability while increas-ing density
• Strategies for coping with NiMBY and for winning entitlements
• The Green Financing Update: a re-view of sources & methods of financ-ing and equity syndication trends
• Energy and water-efficient building techniques and certifications
• renewable energy generation
• Winning zoning, design and parking concessions
The San Francisco Conference on Sustainable Housing and Community Development brings together policymakers and practitioners to explore
The preliminary line up of speakers includes:
• ophelia basgal, regional administrator, U.S. Dept. of housing & Urban Development
• Dana bourland Vice president of Green initiatives Enterprise community partners, inc.
• Cathy Creswell, acting director, ca Dept of housing & community Development
• Gary Downs, Nixon peabody
• Hasan ikhrata, Executive Director, Southern california association of Governments
• tim Kemper, regional Managing principal, reznick Group
• David reznick, principal and chairman, reznick Group
Save the Date: September 19-20, 2011and plan now to come to downtown San Francisco, ca
For details, go to www.p4sc.org/sfconference Or call 415-453-2100 x 302.To register now, send an email to [email protected] and put “conference” in the subject line. Or call 415-453-2100 ext 302.
phOTO: JM TUrEr, cOUrTESY WiKiMEDia
Focus on North Carolina
raleigh
planners
serve up
higher-density
solutions to
challenges
of growing
population,
limited land
raleigh, N.c.–if you haven’t been to North carolina lately, you might not recognize
it. New data from the 2010 U.S. census shows that North carolina’s population
swelled 18.5 percent over the last decade, making it the sixth fastest growing
state. in contrast, the total population of the United States grew at only 9.7 percent dur-
ing the same period. The state is home to 9.5 million people, putting it among the na-
tion’s ten most populous states.
To accommodate the growth, the state’s cities and towns are carefully planning land
use, zoning and public facilities investing. Even more noteworthy is the fact that they are
coordinating their efforts through the newly created statewide Sustainable communities
Task Force.
here in the state capital, a new comprehensive plan for the next 20 years was re-
cently adopted with the hope of redirecting a growth pattern that had earned the city
the nickname “sprawleigh.” The city now has over 400,000 people, and expects to add
120,000 households or 250,000 people by that year.
“We realized sprawl was not sustainable,” said Mitchell Silver, planning director. “We
realized we needed a new way to deal with growth so we had a serious conversation with
our residents.”
For one thing, projected increases in vehicle traffic would be difficult to accommo-
date, and most roads would need to be widened if the previous patterns of development
continued.
The city also had to look at demographics changes. The most fundamental trend is
March/april 2011 • SuStainable CommunitieS 35
the increase in single households.
By 2020 singles will surpass families. By 2050, the
overwhelming majority of households will be single. and
that will lead to a substantial oversupply of single-family
homes. Other factors include the rising price of gasoline
and the potential for water shortages, Silver said.
The first step in writing the 2030 comprehensive plan
was to analyze the city’s land capacity. The city has about
20,000 acres of developable land, not counting redevelop-
ment sites. To get the most out of that land, the plan calls
for increased density. it identifies 8 growth centers and
12 growth corridors. The plan envisions 60% to 70% of all
new growth is to be in designated centers, with only 30%
in suburbs.
Density is a key method for keeping the tax base
stable, Silver said. it would take 600 homes on 150 acres
to equal the tax value of one high rise downtown, Silver
said. a downtown high rise on 3 acres generates enough
taxes to pay off the required infrastructure in 3 years, for
an annual return on investment of 33%. “if you don’t sup-
port downtown development, you are really saying ‘raise
my taxes,’” he said.
The 2030 plan was adopted in 2009. The zoning and
design code changes to implement the plan are under
discussion this year. city leaders are trying to put a half-
cent referendum before voters for development of mass
transit.
Silver acknowledges that there is sometimes resis-
tance to high-density development. To win support, he ad-
vises focusing on how a proposed project will look and how it
will fit into a neighborhood. his strategy is to mitigate density
by careful handling of building frontages, heights and transi-
tions to lower-density areas. “height is the key, along with the
transition to neighborhood, so the surrounding blocks are not
overwhelmed,” he said.
raleigh has a hybrid zoning code, which combines elements
of form-based code with traditional zones for various uses.
By frontage, Silver means how the first 100 feet of a
parcel will be treated, as well as parking minimums and
maximums.
in corridors with higher density, the city wants more
public transit, more pedestrians and fewer huge parking
lots in front of big boxes. One idea is to allow retailers to
take corners of their large parking lots and use them for
separate retail or mixed-use structures closer to the street
frontage.
along with the comprehensive plan, the city is also com-
mitted to sustainability. it defines that as including three
fundamental principles: economic strength, environmental
stewardship, and social equity. according to the city, “a
sustainable community is a thriving community; one that
provides opportunity for all residents, cares for the environ-
ment, and has long-term vision for a prosperous future.”
Sustainable raleigh was created to provide guidance
FACTS AT A GlANCE: raleigh, N.C.
raleigh is the capital of North carolina, and the
largest city in the state’s research triangle, also
known as raleigh-Durham and commonly referred to
as simply “the triangle.” The region is home to North
carolina State University, Duke University, and the
University of North carolina at chapel hill.
The U.S. census Bureau reported raleigh’s 2010
population at 403,892. This reflects 46.3 percent
population growth over the past decade.
raleigh remains the second largest city in North
carolina. charlotte is the largest city.
http://www.raleighnc.gov/
▲
a shopper enjoys the pedestrian-friendly
shopping on lassiter mill road at north Hills.
>>
SuStainable CommunitieS • March/april 201136
for policy development and goal setting for
the city of raleigh based on these principles.
The organization partners with local busi-
nesses, universities, civic, and non-profit
organizations to build relationships, and work
collaboratively with all departments within
the city of raleigh in its mission to become a
leader in sustainability.
North hills – a Walkable Mixed-Use community
North hills is a successful infill
redevelopment project that exemplifies many
of the goals for raleigh’s 2030 plan. in the
first phase, a deteriorating enclosed shopping mall was
transformed into a bustling mixed-use center. The site was a
brownfield, and remediation is nearly complete, according to
Kane realty corporation, the developer.
North hills now features 100 acres of thriving mixed-use
development. retail, dining, apartments, condos, townhomes
and single-family residences are anchored by a luxury hotel,
class-a office space and a 14-screen movie complex. Future
plans include a continuing care retirement community and
another hotel; construction will begin in the fall of 2011.
The development has 900,000 sq. ft. of retail, 700 resi-
dential units (all rental), 229 hotel rooms and 450,000 feet of
office space.
The most recently completed phase was park & Mar-
ket, which opened in 2010. park & Market is luxury apart-
ments above storefront shopping and restaurants with a
harris Teeter grocery store. also completed in 2010 is the
captrust Tower at North hills, class a office space with
amenities and fine dining on the ground floor. This was a
joint project with Kane realty corporation and Duke realty
corporation. ❧
a key part of the movement toward more sustainable
communities is regional cooperation and collaboration.
This means overcoming the tendency of local
governments to compete with each other to attract
employers and residents.
The North carolina General assembly chose to
encourage cooperation by establishing a Sustainable
communities Task Force within the Department of
Environment and Natural resources.
North carolina is now “the latest state to recognize
the connections between cross-agency governance at the
state level, coordination with stakeholders at the local
level, and sustainable communities on the ground.”
The task force’s design makes the connection between
land use patterns and a range of sustainability challenges.
Members include appointees from the North carolina
Departments of commerce, Environment and Natural
resources, Transportation, administration, health and
human Services and the housing Finance agency,
as well as representatives from the North carolina
american planning association, county government,
city government, a regional collaborative organization,
a sustainability nonprofit, the building industry and the
banking industry.
With $250,000 in state funding, the 13-member task
force is charged with:
• promoting regional sustainability partnerships
• providing technical assistance to state agencies, local
government, regional collaborations, and nonprofits
• indentifying and pursuing sustainable development
funding
• Making recommendations for sustainable
development policies and program appropriations to
Governor Bev perdue, members of her cabinet, and
the General assembly
• Distributing task force grants to regional sustainable
development partnerships
• Developing a common local government sustainable
practices scoring system
• pursuing opportunities for coordination among state
agencies and reduced overlap in the responsibilities
of regional entities
New task force encourages regional cooperation
▲ North Hills area in Raleigh offers a mix of uses in a walkable urban
setting, just the kind of development the city wants to see more of.
>>
March/april 2011 • SuStainable CommunitieS 37
In a city where people love cars and car racing, you wouldn’t
think the idea of pedestrian- and bicyclist-friendly “complete
streets” would go over very big. But the city of charlotte has
been putting its streets on “road diets” with great success.
There is a commitment by the city to use transportation
investments not only for mobility, but to create great places.
For many years now, the city has looked at streets as more
than just a way to get cars from one place to another.
“as our director says 13% of all land in charlotte is made
of public streets, so we have an opportunity through streets
to create a great public realm,” said Dan Gallagher, aicp,
transportation planning manager for the city.
car racing is very popular in charlotte, and in 2010, NaS-
car opened its racing hall of Fame right downtown. it used to
be that people liked to drive down city streets fast as well, but
the city’s transportation department is ending that practice
one road at a time.
East Boulevardremake
On East Boulevard, driv-
ers used to exceed the speed
limit routinely. Neighborhood
residents felt like the four-
lane road was a barrier that
they dare not cross on foot,
forcing them to drive short
distances from one side of
the district to the other.
input from residents and
business owners resulted in
a transformative vision for
this major cross-town street
to become a more neigh-
borhood friendly complete
street.
“it was considered a di-
vider of [the] neighborhood,
people did not want to cross
it, and that was a problem.
people told us they wanted to
walk to [the] park or elementary school,” said Gallagher. The
city responded.
instead of two lanes in each direction, the road was reduced
to one lane in each direction, with a new center turn lane, plus
bike lanes, and parking. The city installed pedestrian refuge
medians with landscaping at each intersection. as opposed to
a continuous median, the pedestrian refuge medians make it
easier to cross the street without blocking left turn access to
driveways.
it also used “pedestrian bulbouts,” which extend the
corner sidewalk at an intersection to reduce the crossing
distance for pedestrians.
Gallagher says the revamped street can accommodate the
same traffic volume it did before but at lower speeds, since
there is no passing. in addition to making the street easier to
cross and allowing bicycle use, the change is also expected to
reduce accidents.
Cities Get High returns From low Cost upgrades
STREET WiSE:
phOTO: paTricK SchNEiDEr phOTOGraphY, cOUrTESY OF ViSiT charlOTTE
SuStainable CommunitieS • March/april 201138
The city has completed 19 road diets
and has 9 more on the books.
Economy “Complete Street”
charlotte has some advantages over
other cities in its ability to innovate. it is
a fast growth city with a strong revenue
base, so it has not had to cut back on
staffing and can still afford capital im-
provements.
East Boulevard involved substantial
capital improvements, and the actual road-
work cost about $800,000 for one mile.
There is, however, an economy ver-
sion of the road diet. in fact, many road
diets involve nothing more than recon-
figuring the lanes through restriping as
part of routine resurfacing projects.
Unlike more extensive streetscape
projects, street conversions transform
a street through new lane markings alone. While the actual
curb-to-curb road width does not change, the new lane lines
can transform a street to accommodate more users without
adding to the cost of normal resurfacing.
Typically, the city takes a road from four travel lanes for
cars to three travel lanes for cars, and adds two bike lanes. This
makes it easier for motorists and cyclists to share the road, as
well as protecting pedestrians by providing a buffer space be-
tween roads and sidewalks.
The additional 4 to 5 feet of buffer between walkers and
cars makes a difference, Gallagher said. it makes pedestrians
more comfortable and more likely to walk, he said.
Gallagher’s department takes a very methodical approach
to road upgrades, conducting surveys and consulting neigh-
borhood residents on its design ideas. it has found that the
street layout preferred by most residents, includes a planting
strips between the sidewalk and travel lane.
Charlotte’s Urban Street Design Guidelines
The changes on East Boulevard reflect a philosophy ad-
opted by the city nearly ten years ago in its Urban Street De-
sign Guidelines. The guidelines state the city’s belief that the
safety, convenience, and comfort of cyclists, pedestrians, tran-
sit users, motorists, and the surrounding community, will all be
considered equally when planning and designing streets.
To accomplish this, street planning and design must be a
group process to adequately reflect the varied perspectives of
the street’s users. Simply put, the traditional method of plan-
ning and designing streets only to increase vehicle capacity is
increasingly at odds with other, emerging objectives to create
more and better land use and transportation choices.
While increased connectivity should encourage travel by
non-auto modes, all five street types are also explicitly ex-
pected to provide, in some form, for all modes. There is a shift
in modal emphasis among the street types, with the parkway
▲ East Boulevard
Where streets are complete
According to the National Complete Streets Coali-
tion, 203 U.S. jurisdictions have adopted policies or
have made written commitment to do so. Among
the places with some form of complete streets
policy are the states of Oregon, California, Illinois,
North Carolina, Minnesota, Connecticut and Florida.
The City of Santa Barbara, California calls for
“achieving equality of convenience and choice” for
pedestrians, bicyclists, transit users and drivers.
Columbia, Missouri adopted new street standards
to encourage healthy bicycling and walking. And
the regional body that allocates federal transporta-
tion dollars around Columbus, Ohio has directed
all projects provide for people on foot, bicycle and
public transportation.
The coalition has produced a map that shows
where policy change is happening. It can be found
at http://www.completestreets.org/complete-
streets-fundamentals/complete-streets-atlas/
The coalition’s web address is http://www.com-
pletestreets.org/.
March/april 2011 • SuStainable CommunitieS 39
having the strongest automobile
emphasis and the Main Street
having the strongest pedestrian
emphasis. Boulevards, avenues
and local Streets are expected
to provide some balance among
the modes.
Buffalo Leads New york Cities on Complete Streets
can economically-challenged
rust belt cities gain by redesign-
ing streets to provide more than
a fast route for cars? Yes, ac-
cording to Demone a. Smith, a
member of the common council
in Buffalo, N.Y.
at his behest, the council
voted to create a new complete
Streets coordinator position, to
be shared by the city’s Office of
Strategic planning (“OSp”) and
Dept. of public Works (“DpW”).
This new staff position will be charged with implement-
ing the city’s complete Streets policy, which was adopted in
2008, and regularly interacting with and reporting progress
to the city’s Bicycle pedestrian advisory Board.
Buffalo’s adoption of a complete streets policy put it ahead
of other New York State jurisdictions in remaking its road-
ways, according to the Tri-State Transportation campaign,
which works to create more sustainable, equitable and transit
friendly communities in downstate New York, New Jersey,
connecticut and beyond.
The first fruits of the policy were realized when Buffalo
rebuilt the 700 block of Main Street, the design included a me-
dian strip, bike lanes, new street trees, and a switch from one-
way to two-way traffic, according to the campaign.
For more info, visit the Tri-State Transportation campaign
at http://www.tstc.org/. ❧
The N.c. Board of Transportation has strongly
demonstrated its commitment to improving condi-
tions for bicycling and walking in North carolina by
passing a resolution to make bicycling and walking a
critical part of the state’s transportation system.
although the department incorporated bicycle
and pedestrian elements — including bike lanes and
sidewalks — into many of its highway projects prior
to September 8, 2000, this resolution exemplifies
the department’s dedication to integrating these ele-
ments into its long-range transportation system.
it also acknowledges the benefits that bicycling
and walking offer: cleaner air, reduced congestion,
more livable communities, more efficient use of road
space and resources and healthier people.
The resolution also encourages cities and towns
across the state to make bicycling and pedestrian
improvements an integral part of their transportation
planning and programming.
The N.c. Board of Transportation approved this
policy at the July 2009 board meeting. The policy
requires planners and designers to consider and in-
corporate multimodal alternatives in the design and
improvement of all transportation projects within a
growth area of a municipality unless certain circum-
stances exist.
The board has had increasingly detailed policies to
encourage bicycle use on the state’s roads since 1978.
north Carolina goes from good roads to “complete streets”
▲ la Jolla Blvd. in the Bird Rock neighborhood of San Diego was taken from five lanes down
to two lanes to help create a more successful retail area. The city conducted an extensive
public input process with help from consultant Dan Burden, founder of the The Walkable and
livable Communities institute (www.walklive.org) The roadway design took out 4 signals
and one four-way stop, replacing these with 5 roundabouts. Today pedestrians only cross
12-14 feet, with low vehicle speeds, versus 78 feet with signal designs. Retail life is now
prospering, and there is no traffic being deflected into the neighborhood.
SuStainable CommunitieS • March/april 201140
Urban agriculture is turning vacant land into fertile ground for community transformation. Glean useful lessons from this powerful movement taking root across America.
Available at APAPlanningBooks.com
Are community farms and gardens planting the seeds for healthier cities?
Credit: Adam Golfer
Urban Agriculture: Growing Healthy, Sustainable Places Kimberley Hodgson, aicp; Marcia Caton Campbell; and Martin Bailkey2010 | 148 pp. APA Planning Advisory Service $60 (paperback) | PAS subscribers $30
APA_SustainableComm_0311.indd 1 2/28/11 1:23:23 PM
CALiforNiA VS. SPrAWL: the BAttLe BeGiNS
—FrOM PAGE 24
—FrOM PAGE 25
input on how to make the region more sustainable. it has held
workshops throughout the region. it recently sent a survey to
18,000 residents in the six county region. hoping for at least a
10% response, results will come out this summer.
The region has something no other region can boast – a
public transit war chest. a recently approved sale tax mea-
sure will generate $40 billion for transportation improve-
ments, of which $30 billion is earmarked for transit.
The money will expand a network of light rail, commuter
rail and subways that did not exist at all before 1990.
however, ScaG is not looking to transit as the primary tool
CHiPPiNG AWAY AT SPRAWl
If you fly into Los Angeles
at night, look to the east as
you approach the airport in
Inglewood. That “carpet of
lights” that goes on and on
is the second district of LA
County. It’s one of the most
vivid examples of low-rise
sprawl in the region, but Su-
pervisor Mark ridley-Thomas
wants to change that.
The supervisor knows that
the expansion of public transit throughout the region
represents a great opportunity to create new neigh-
borhood centers. But he sees the potential not just of
physical focal points but creation at the same time of
civic and social centers for a stronger community.
With sprawl, you tend not to have a strong civic,
social, and political infrastructure, said Dan rosenfeld,
a top aide to ridley-Thomas.
rosenfeld is quick to point out that low-density
single-family neighborhoods are important and will
still dominate the district. rather, he is looking at
increasing density at the intersections of major thor-
oughfares, primarily for neighborhood centers, with
buildings of about 7 stories, with only a few going as
tall as 20 stories.
He said buildings that up to 85 feet tall are not
likely to overwhelm nearby single-family housing.
rosenfeld and the supervisor want to see a height
limit and limits on the amount of parking that’s pro-
vided in new development to discourage the distortion
in transportation choices caused by free or subsidized
parking.
They also want to see conversion of commercial
space to mixed use, generally with housing on top of
ground floor retail.
“The MTc plan is a failure,” according to Michael rex, a
Marin county architect and advocate for improved transporta-
tion options. Speaking at the TaM meeting, he said the plan
ignored the preference of the public for more rail travel op-
tions and focused on “tweaking” the region’s freeway system.
MTc did an extensive public outreach survey in preparation
of creating their 2035 plan, rex said. 65% of respondents said
extending rail lines should be a high priority. Only 38% replied
that improving freeway performance should be a high priority.
rex pointed to two charts from the MTc’s own report on
the projected impact of implementing the plan.
MTc’s objective in the earlier 2005 plan was to reduce
vehicle miles travelled (VMT) per capita from 20 miles per
day to 18 miles per day. if MTc’s 2009 transportation plan
for 2035 plan is implemented, VMT will actually increase to
21 miles per day, worse than today and barely a fraction less
than what the current trend projects without the plan.
regarding delays due to traffic congestion, rex said, the
2005 plan’s objective was to reduce delays from 37 to 32
hours per year, but after implementing the 2035 plan, they
project we’ll end up being delayed longer, about 47 hours
per year. That’s better than the 73 hours of delay the current
trend could produce without MTc’s 2035 plan, but still signifi-
cantly worse than today, rex said.
“it seems to me that a plan that projects spending $226
billion that results in more vehicular miles traveled and worse
delays than we’re experiencing now is a failed plan,” rex said.
he said MTc needs to start over to create a better plan as
part of the S.B. 375 process. The question that no one can an-
swer is whether better solutions can be found under S.B. 375
than what regional planners came up with before the “anti-
sprawl” movement became enshrined in state law. ❧
for reducing the region’s carbon emissions. it sees land use
and development patterns as at least equally as important.
The problem with transit is that it’s too expensive com-
pared to driving. The answer is to change that equation, ac-
cording to ikhrata.
“We are not charging the real cost of using our cars. i can
park for $5 for all day in downtown los angeles. it’s ridiculous,“
he said.
ikhrata went on to point out the biggest challenge of all
facing ScaG, aBaG and other MpOs: What assumptions to
make about “externalities” that are beyond the control of
planners and elected officials alike.
For the S.B. 375 process, all the planning requires taking
educated guesses about population growth and job creation.
it also requires projections about the future cost of gasoline.
“When gas hits $5 or $6 per gallon, it will be a different
discussion,” said ikhrata. For its planning, ScaG is assuming
gas will cost $5.50 per gallon by 2020 in today’s dollars. ❧
Urban agriculture is turning vacant land into fertile ground for community transformation. Glean useful lessons from this powerful movement taking root across America.
Available at APAPlanningBooks.com
Are community farms and gardens planting the seeds for healthier cities?
Credit: Adam Golfer
Urban Agriculture: Growing Healthy, Sustainable Places Kimberley Hodgson, aicp; Marcia Caton Campbell; and Martin Bailkey2010 | 148 pp. APA Planning Advisory Service $60 (paperback) | PAS subscribers $30
APA_SustainableComm_0311.indd 1 2/28/11 1:23:23 PM
SuStainable CommunitieS • March/april 201142
Cities have many reasons for want-
ing to encourage more compact
land use patterns and more use
of transit, including the reduction of
greenhouse gases. But many are most
concerned with economics.
“The economic prospects for com-
munities will start to distinguish between
those that are petroleum dependent and
those that are less so,” said James char-
lier president of charlier associates, inc.
(cai) a transportation planning firm based
in Boulder, colorado.
Many cities want to reduce their
vulnerability to the economic risk of
unpredictable and potentially very steep
increases in gasoline prices.
“For most of my clients, the story is
not climate change, its economics,” said
charlier.
Cost of Gas Drives Housing Choice
“Their ability to impact climate change
is miniscule. however, their relative com-
petitiveness in their region is something
they can do something about,” he said.
The current fluctuations in oil and gas
prices are only a precursor of things to
come, according to charlier. he believes
that “we are very close to being maxed
out in our ability to deliver oil to market.
Demand is right up against supply capa-
bility.”
The supply of oil and the cost of gas
will affect everyone who has to drive a lot
to get to work or school or services, but it
will affect lower-income people the most.
communities that are dependent on
by andre Shashaty
Cities See economic risk of Failure to Develop transit options
March/april 2011 • SuStainable CommunitieS 43
private cars won’t have the adaptability that more urban places do, he said. Job
formation will gravitate toward the places that offer transportation options, he said.
The demand for gas is dependent on how much americans drive, which is
measured by vehicle miles travelled or VMT. During the recession VMT has de-
clined on a per capita basis.
Tract-Housing “Nauseates” Millenialshowever, due to population growth, VMT is still rising overall. Factor in the
Graphs compiled by James Charlier of Charlier Associates, inc. show that vehicle miles travelled declined during the recession and have just begun to inch back up. Gas price increases are likely to contribute to an ongoing decrease in vehicle miles travelled on a per capita basis. However, population growth will mean the nation as a whole will continue to drive more. Another graph shows that domestic oil production, even with the addition of drilling in the Arctic, is projected to remain steady, while oil use for transportation is expected to keep rising rapidly, even with increases in Corporate Average Fuel Economy (CAFE) standards. looking back to 1955, Charlier’s data shows that vehicle miles travelled in the US have increased at a much faster rate than our population.
demand from the developing countries
like china, and the currently known
reserves of oil might last less than
40 years, he said. New supplies can
be developed but they will be very
expensive.
charlier believes city governments
understand these trends, and are
responding by encouraging walkable
mixed use, transit-served urbanism.
another powerful influence is the
changing preferences of the new gen-
eration of young adults, often called
Millenials, charlier said. This genera-
tion is choosing a different, less car-
dependent lifestyle. Or, as charlier put
it so succinctly, “the idea of a three-
bedroom tract house in the suburbs is
nauseating to most kids.”
They are driving less than other gen-
erations, and are less interested in even
having a driver’s license, he added.
“people want to be less car de-
pendent,” he said. “That’s why hous-
ing prices in transit-served areas are
skyrocketing and prices in edge cities
have cratered,” he said. ❧
With just about a year left to spend around $2.5
billion in remaining economic stimulus funds,
1,000 state and local administrating agencies
are pushing hard to meet goals for retrofitting homes
and apartments to save energy. They know the stakes
go way beyond just how much they can save low-income
families on utility bills.
in the current politically charged atmosphere, noth-
ing would please critics of federal spending on economic
stimulus more than failure to spend all the money by the
March 2012 deadline. On the other hand,
government watchdogs and cautious
housing and environmental groups are
concerned that the money will be spent
in a rush, accomplishing far too little in
the effort to cut energy use from millions
of aging single- and multifamily homes.
The federal Weatherization assis-
tance program (Wap) received an infu-
sion of just under $5 billion as part of the
2009 american recovery and reinvest-
ment act (arra) stimulus program. The
money has to be completely obligated by September 30,
2010 and spent by the end of March 2012.
Success in spending the Wap money has been care-
fully watched, largely because it represents a one-time
cash infusion to upgrade the nation’s housing stock.
after the money is gone, the most the Department of
Energy (DOE) can hope for is $320 million per year.
That’s what the Obama administration is seeking from
congress. The house of representatives has voted to
appropriate nothing for the program.
The program began in 1976 for weatherizing single-
family homes. Even though it has been allowable to do
multifamily projects since 1985, that authority has not
been widely used by local sub recipients. Until now.
With pressure on to get the money out, more states
are working to start or accelerate programs aimed at
apartments occupied by low-income households.
at press time, states had only spent about half the
stimulus money, so they will have to hustle to avoid
sending money back to the U.S. Treasury. DOE is say-
ing it expects to spend 95 percent of the money by the
deadline based on current rate of spending and pro-
duction of weatherized units. it has an official goal of
591,000 units, but is hoping to hit 700,000. it expects
DOE targets apartments for 20% of production as spending deadline nears
Green building gets all the media attention but cutting
greenhouse gas emissions from structures depends also on
retrofitting existing buildings. Is the $5 billion provided in
the 2009 economic stimulus package making a dent in the
problem of inefficient buildings? Sustainable Communities
magazine takes an in-depth look at the successes and fail-
ures of the Weatherization Assistance Program (WAP), espe-
cially in regard to multifamily housing.
multifamily Weatherization Hits High Gear
Weatherization technicians repair and seal around windows
▲
SuStainable CommunitieS • March/april 201144
March/april 2011 • SuStainable CommunitieS 45
that 20% of those will be in multifamily properties. (See chart
for state-by-state breakdown of spending.)
in addition to weatherized units, DOE says it is also creating
a new generation of “clean energy workers” and is employing
more than 15,000 workers nationwide.
DOE said weatherization assistance reduces energy con-
sumption for low-income families on average 35 percent, sav-
ing families on average more than $400 on their heating and
cooling bills in the first year alone. Nationwide, the weatheriza-
tion of 300,000 homes was complete as of January, saving an
estimated $161 million in energy costs in just the first year.
One of the biggest complaints against the program is the
failure to use the funds to retrofit significant numbers of feder-
ally assisted apartments. a report from National consumer
law center lambastes hUD and DOE for not doing a better job
to coordinate their policies to facilitate more work on assisted
housing. (See box for details.)
a handful of states moved quickly to take a proactive ap-
proach to using the funds for multifamily, according to the lo-
cal initiatives Support corp (liSc). This includes Florida which
allocated 20% for apartments, rhode island, which allocated
33% and New York, which created a 12% setaside. Other states
that have tried to encourage use of the program for apart-
ments include Ohio, Oregon, pennsylvania, Texas and Washing-
ton.
Now, more states are joining the effort to get apartments
into the mix, according to Doug Gurkin of Edgewater Group En-
ergy Solutions (EGES), based in Spicewood, Texas. These states
include South carolina, Georgia, Florida and Michigan, he said.
One of the states just getting into the multifamily weath-
erization business is Michigan, where clEaresult, an energy
consulting firm, has a state contract to work with the state’s 30
community action agencies to get 3,000 apartments weather-
ized within a year. Gurkin weatherized a 160-unit property in
holt, Mich., as prototype to help train the staffers implementing
the effort.
in california, however, low-income housing advocates are
disappointed by the programs’ track record. at press time in
mid-March, Wap money had been used for only 6,568 multi-
family units – of which only 368 are units from projects on the
official DOE list of hUD or USDa-assisted properties, according
to the state Department of community Services & Develop-
ment. There are about 90,000 units of federally assisted rental
housing in the state.
Making Strides for Multisin most years, 6 to 10% of Wap production is for units in
multifamily buildings. DOE started pushing to do more mul-
tifamily units in 2009, when it entered a memorandum of
understanding with the Department of housing and Urban
Development. Since then, DOE says it has more than doubled
multifamily as a percentage of its production, said Bob adams,
a supervisor at DOE overseeing the program.
“We feel confident we will surpass 20% of all production be-
ing for multifamily in the current program year,” he said.
DOE has been criticized for not doing enough to advance
the state of the art in multifamily weatherization. But adams
said it is taking important steps in that direction, directing a
great deal of training and technical assistance at helping pro-
gram subrecipients get up to speed on multifamily.
it is also creating a multifamily energy audit tool that will
work for not just Wap-eligible units but all multifamily units.
The work is being done by lawrence Berkeley National labora-
tory and Oak ridge National laboratory. it will have different
modules for different housing types and variations for different
regions.
DOE is also starting to put together guidelines on how to do
▲ Weatherization technician drilling siding for sidewall insulation
▲ Crew installing a solar panel for a solar hot water system
>>
SuStainable CommunitieS • March/april 201146
weatherization for apartments, including work specifications
and technical reference standards.
he added that DOE is also trying to figure out a way to
overcome obstacles to use of the program on housing financed
with low-income housing tax credits.
DOE sets the general direction and issues regulations, but
the program distributes money by formula to 59 grantees,
which in turn distribute it to community action agencies, non-
profits and units of local government.
Some states have given their housing finance agency pri-
mary responsibility for the program but there is a great deal of
variation in which state agency is in charge.
The program is undergoing its first national evaluation in
two decades. DOE is also spot checking 30,000 units to make
sure the work is being done well.
Helping Owners Access WAP The increasing effort to spend Wap funds for multifam-
ily could help states get the money out in time. it also
presents a great opportunity for owners of properties oc-
cupied by tenants earning less than 200% of the federal
poverty level, or about $44,100 for a family of four. That’s
the maximum a household can earn and still be eligible for
a weatherization grant.
“With all the differences in the implementation of Wap,
one thing remains constant; this is an incredible opportunity
for low-income and workforce rental housing to become more
▲ Mick Hayes, intake specialist for Edgewater, talks with
managers at CopperTree Apartments in Houston, which was
weatherized with federal funds.
To improve the state of the art
in building retrofits, DOE awarded
grants for innovation in 2010. An
award of a Weatherization Innovation
Pilot Program grant of $2.59 mil-
lion went to Stewards of Affordable
Housing for the Future (SAHF) for a
demonstration that would leverage
the grant three to one with other
funds to retrofit 2,500 affordable
apartments at a cost of $3,000-
$4,000 each. rick Samson, who
heads SAHF’s energy division, notes
that “the power of the demonstra-
tion is twofold. It would bring energy
performance contracting into the
private affordable housing sector and
it would do so largely with borrowed
funds, making it widely replicable in
the assisted housing portfolio.”
There will be a mixture of fam-
ily and senior properties in perhaps
five or six states, all owned or
controlled by SAHF members, who
are national nonprofit developers.
SAHF is in the final stages of project
selection. Typically all units are as-
sisted under section 8 or a project
rental assistance contract (PrAC)
and in projects that HUD has certi-
fied as being eligible or that owners
will certify under a process recently
released by HUD.
innovative approaches being tested
FACTS AT A GlANCE: Weatherization
Program was created in 1976 and was expanded to include apartments in 1985.
An energy audit is done to determine the scope of work for each unit.
The grant covers 100% of the cost of eligible improvements.
Maximum grant: $6,500 per unit, plus money to address health and safety risks.
Common areas are not covered.
Usually, master-metered projects can be weatherized if the owner can demonstrate that the cost savings goes to tenants through a reduction of rent.
The program can be used for building-wide improvements, like new central heating, if at least 66% of the units are occupied by eligible low-income households.
>>
March/april 2011 • SuStainable CommunitieS 47
energy efficient,” said Doug Gurkin of EGES.
in an effort to utilize Wap funds for his own apartment
properties, Gurkin realized how complicated the application
process was for multifamily. Now he has completed weather-
ization for several of his own properties and is working as a
facilitator for other property owners who need helping making
sense of the program.
as DOE acknowledges, only a few states have solid ex-
perience making the program work for multifamily. Even
in those states, it is still cumbersome, generally requiring
evaluation of tenant eligibility and potential improvements
on a unit-by-unit basis.
Sub-recipients are responsible for allocating the Wap funds
at the local level, and have substantial discretion in how they
operate and what they require of applicants.
There has been some effort at the federal level to stream-
line use of the program for federally assisted apartments for
low-income families. The U.S. Department of housing and
Urban Development (hUD) and the U.S. Department of agri-
culture (USDa) have provided the Department of Energy a list
of properties occupied by residents that automatically qualify
by income.
Gurkin’s firm has now helped owners of 4,000 units
complete weatherization, and has 30,000 more units in
the pipeline. he is now working with owners in arizona,
Florida, Georgia, South carolina, North carolina, Virginia,
Maryland, pennsylvania, New York State, Ohio, indiana,
illinois, Missouri, Oklahoma, Tennessee, Washington, Min-
nesota and Nebraska.
Gurkin said it is important to note that the tenant is the
applicant for this program, not the owner. income information
must be gathered for each tenant on properties not on the
hUD or USDa lists. Therefore, unless a majority percentage
of tenants agree to provide the required documentation, local
sub-recipients cannot perform under the program. Edgewater
has perfected a system for getting tenants involved and doing
the necessary income and utility spending checks.
in Texas weatherization of multifamily properties is pay-
ing off for tenants, said connie Gray, housing and Energy
Director for programs for human Services, inc. in Orange
Texas, which is east of houston and just a short drive to the
Gulf coast.
“Through Wap and the federal low income home En-
ergy assistance program (lihEap), low-income apartment
residents receiving weatherization measures are no longer
having to choose between keeping their loved ones cool or
warm, or utilizing their money towards food, medicine or even
clothing instead.”
She said weatherization is reducing their cooling and heat-
ing bills and keeping their families healthier and more comfort-
able while conserving energy at the same time. There is a sav-
ings of 25-30% in tenant electric bills, which is a huge recurring
benefit.
Gurkin’s clients are seeing an average expenditure of
$5,900 per apartment.
Federally Assisted Housing Wastes Energy, Money, report Says
The Department of housing and Urban Development
(hUD) should be able to save $1 billion per year off the energy
bills for apartments it owns, according to a new report, “Up
the chimney: how hUD’s inaction costs Taxpayers Millions
and Drives Up Utility Bills for low-income Families.”
“in the long run, hUD should be able to reduce its energy
bill by 20%—representing $1 billion in savings that could be
redirected to high-priority investments in the affordable hous-
ing stock,” said the report by charlie harak, Senior attorney
for the Energy project at the National consumer law center
▲ New HVAC units for individual apartments and units yet to
be replaced at CopperTree Apartments
▲ Charlie Harak
ph
OT
O: c
ha
NN
iNG
JO
hN
SO
N
>>
SuStainable CommunitieS • March/april 201148
(Nclc), where he focuses on is-
sues of concern to low-income
energy consumers.
The report states that hUD
provides housing assistance for
more than 3 million american
families, 1.3 million living in hous-
ing directly owned by public
housing authorities (“phas”) and
2 million living in privately owned
housing where the owner or ten-
ant receives rental assistance
from hUD.
Many of the buildings are
poorly insulated and stocked with
antiquated appliances that are in
need of replacement and upgrad-
ing, says the report.
hUD’s annual energy bill for
its housing programs easily ex-
ceeds $5 billion. Yet in its most
recent report on the topic to congress, it reported shaving off
only $33 million of that multi-billion dollar bill, 2/3 of 1%.
“clearly, hUD can do better for the taxpayers, for the low-
income families it houses, and for our warming planet,” the
report states. it summarizes the impacts of hUD’s failures to
improve the projects as follows:
“Whether the housing authority pays some or all of the
energy bills, taxpayers lose because money that could be more
productively spent on needed capital repairs is being wasted
on inefficient consumption of energy. Where the tenants pay
the energy bills, they run the risk of having their utilities being
terminated for non-payment and living without heat, air- con-
ditioning or electricity—and even being evicted—because the
energy bills are unaffordable. and regardless of who pays the
bills, we all lose because our dependence on fossil fuels which
contribute to greenhouse gas emissions and other environmen-
tal and public health problems is exacerbated.”
The report does give hUD
credit for making “some good
initial steps” with funding made
available under the american
recovery and reinvestment act
(“arra”), but it adds, the fund-
ing is time-limited.
This paper explores the many
ways in which hUD can do bet-
ter, most of them “free” in the
sense that they require no addi-
tional appropriations to hUD by
congress—although leadership
from hUD as well as technical
assistance to subsidized housing
owners will surely be required.
Seven “free” ways to reduce
hUD’s energy bill are delineated,
including:
1. Tapping more effectively into
the estimated $4.5 billion utility companies and energy
efficiency program administrators spend each year on en-
ergy efficiency so that a proportionate share of the fund-
ing reaches low-income, multifamily housing;
2. providing ongoing support to subsidized housing owners
that will allow them to coordinate better with the existing
low- income Weatherization assistance pro-gram (“Wap”)
which pays for insulation and other energy-efficiency re-
lated investments in low-income housing;
3. Better coordination between Wap and hUD’s community
Development Block Grant (“cDBG”) program so that ener-
gy efficiency investments can be more easily piggybacked
on work already being done on the home through cDBG;
4. providing assistance to smaller housing authorities so they
can utilize “energy performance contracts” that are now
almost exclusively used by large, well-staffed housing au-
thorities to improve their energy efficiency;
5. Facilitating greater use of energy efficient “utility allow-
ances,” thereby providing better incentives for housing
authorities and private, subsidized owners to invest in
energy efficiency;
6. collecting much better data on energy usage in hUD-
subsidized housing; and
7. Setting and attaining energy savings targets for hUD’s
housing stock.
The paper also recommends that hUD set up an Office
of Energy Efficiency to help 3,300 housing authorities and
many thousands more of subsidized owners achieve the
maximum energy efficiency savings that are feasible and
provide tenant education on energy conservation. ❧
Alaska
California
District of Columbia
Illinois
Kansas
Nevada
New Jersey
New york
Ohio
Oregon
Texas
Virginia
Washington
Wisconsin
WHERE YOUR STATE STANDS
According to DOE, states where more than 20% of
the weatherized units are in multifamily properties
(or will be soon) include the following:
>>
For details on the benefits of membership, go to www.p4sc.org.
Or request a FREE membership information packet by calling 415-453-2100 x302.
Are you ready for changes in land use planning and real estate development that are reshaping our world?
Now there’s a magazine guaranteed to help you succeed in the new era of sustainable planning and community development. It’s called Sustainable Communities Magazine and you’re holding it in your hand.
Get the Next Best Thing to a Crystal BallCity after city is pursuing new approaches to compact, transit-oriented development that includes affordable housing near jobs to reduce greenhouse gas emissions and reverse the damaging effects of sprawl. Market demand is changing, too.
Unlock the secrets of success in this challenging new era with Sustainable Communities Magazine, the only publication focused on sustainable planning and community development.If you develop, design or finance real estate, you can’t afford to miss a single issue of Sustainable Communities Magazine.
• Getaclearerpictureofwheregrowth is going to occur, where you should acquire sites, and what kinds of projects to plan.
• Tapintonewpublicprivatepartnerships to win financial assistance, zoning concessions and exemptions from onerous environmental reviews.
• Learnhowtomakethenumberswork for green building and alternative energy generation, and how to choose the most cost effective products and techniques
• Findoutwhatfinancingisavailableformixed- use and infill construction
• Keepupwithchangingstateandlocalgreen building and sustainability requirements and priorities for funding
• Takeadvantageoftransit-oriented development opportunities and new incentives for affordable housing construction.
• Learnhowtoturnenvironmentalconcerns from a negative into a positive in the battle against NIMBYism.
If you want to get all the critical information you need in one succinct, readable and insightful package, there’s only one place to turn: Sustainable Communities magazine.
Don’t miss an issue: Join the Partnership for Sustainable Communities and you’ll receive all 6 issues.
CODE: SMN-11-1 PUB/POST: StdSizedPubs; 1st Due 12/3 PRODUCTION: D. Hanson LIVE: 7 in x 10 in
DESCRIPTION: Answers that Last; STD sized Pubs TRIM: 8.5 in x 11 in
Delivery Support: 212.237.7000 FILE: 06B-001764-06A-SMN-11-1.indd SAP #: SMN.SMNCOR.11007.K.011 BLEED: 9 in x 11.5 in
The world of tomorrow needs
answers that last.That’s why we’re building them today, with customers all over the world.
It’s why we’re designing our technology to last longerand use fewer resources. It’s why we’re helping our customers reduce their CO2 emissions. And it’s why we’re pioneering new answers with one of the world’s largest environmental portfolios.
As a result, we were just named the best in our business sector by the Dow Jones Sustainability Index. And recognized as the top company overall by the Carbon Disclosure Project,
the world’s largest independent database of corporate climate change information.
Yet we’d never claim to have all the answers. That’s why we’re working with 190 countries. Thousands of cities. Tens of thousands of companies. In energy, industry and healthcare.
We’re working with the world today to create answers that last for the world of tomorrow.
siemens.com/answers
©S
iemen
s AG
, 20
11
. All R
igh
ts Reserved
.