• Ahead of Time and Under Budget

    A Virginia Department of Transportation team has won plaudits from Gov. Timothy M. Kaine for delivering the engineering of a Rt. 5 bridge over the Chickahominy River ahead of schedule and under budget. Writes Matt Sabo with the Daily Press:

    The total cost for preliminary design and right-of-way acquisitions amounted to 5 percent of the cost of construction. Usually the design and right-of-way costs account for 12 percent or more of the project fees.

    The state estimated that had the project been developed over three or more years, as is typical, inflation would have bumped the total construction cost significantly. The savings generated by the bridge team came to $5.3 million, plus cutting off two years of waiting for a new bridge to be built.

    VDOT has been improving its on-time/on-budget performance, but this project was unusual. There was a special sense of urgency because, without the deteriorating bridge, motorists would have encountered a 63-mile-long detour.

    Said VDOT spokesman Dawn Eischen: “What helped us to ‘fast-track’ this project was the fact that everyone from all levels recognized the critical need for a new bridge and resources were dedicated to move the project to advertisement as quickly as possible.”

    Now that we know what VDOT is capable of, we should expect more of it. At the same time, the state should be able to reward superior performance with more than an “attaboy” from the Governor. When VDOT employees save that much money and time, they should get money in their pockets. Of course, state personnel policy makes that impossible. Until that policy is modernized, such spectacular performance will remain the exception rather than the rule, and VDOT will never be all that it can be.


  • Brain Teaser of the Day

    OK, class, here is the mental exercise of the day. Consider the implication of the following sets of facts:

    2004 population
    Houston-Sugarland-Baytown metro area: 5.5 million
    Washington-Arlington-Alexandria metro area: 5.3 million

    2005 Housing Starts
    Houston (single family): 55,200
    Washington (single family): 18,500
    Houston (multi-family): 16,600
    Washington (multi-family): 9,500

    Houston and Washington are two of the fastest-growing large metro areas in the United States. But one has an affordable housing crisis and the other doesn’t. Deduce which is which, and give the reasons why.


  • Dominion’s New Hire

    Ever wonder how Dominion built the most powerful lobbying team in Virginia. Look no farther than the last line of an article in Thursday’s Washington Post:

    William L. “Bill” Murray, the governor’s legislative director, announced earlier this month that he is leaving the administration to become a director of public policy for Dominion Virginia Power.


  • After Leighty, What Comes Next?

    What are the implications of William H. Leighty’s departure at the end of the day as Gov. Timothy M. Kaine’s chief of staff? Leighty, who has served Kaine for two years and Gov. Mark R. Warner for four years before him, is understandably burned out. Writes Kimball Payne with the Daily Press:

    “Somewhere along this journey my role of chief of staff and the person of Bill Leighty merged,” Leighty told colleagues. “I neglected my friends and family. I stopped going to the funerals of those who stood by me and taught me so much. I stopped bird watching and I went to bed snuggling my Blackberry; all in the name of service to Virginia.”

    Leighty was widely respected for his meticulous planning and attention to detail. He was the guy who made the trains run on time. Although he caught flack last year for making derogatory remarks about Republican delegates, he was widely perceived as a “good government” Democrat more interested in getting things done than scoring political points.

    As one correspondent puts it, “We are four hours away from the end of the Warner administration. The training wheels, and gloves, come off at 5pm EST.”

    Will a more partisan, more confrontational Kaine administration be the result? Stay tuned.


  • Fairfax Ties the Big Boxes in Knots

    The Fairfax County Board of Supervisors has enacted regulations that could curtail the construction of big box stores. Stand-alone stores of 80,000 square feet or larger now must obtain board approval. Mega-stores approved as part of a mall or a larger development are exempt. (Read the story in the Connection Newspapers.)

    Bill Lecos, president of the Fairfax County Chamber of Commerce, opposed the new regs. The uncertainty of gaining approval could scare off potential new businesses, particularly in shopping centers that need revitalization. That’s a valid point, I think, but not a compelling one. There are countervailing considerations.

    As foes of the big boxes rightly point out, Wal-Marts, Targets and other giganzo stores draw from vast market areas. People drive greater distances and place more strain on the transportation infrastructure when patronizing the big boxes than when patronizing neighborhood stores near their homes. Now, there’s nothing wrong with offering lower prices made possible by economies of scale — unless you expect someone else to pay the costs imposed by the traffic congestion caused by those economies of scale.

    That’s the problem. Some of the efficiencies and “cost savings” achieved by the big boxes are illusory. Rather than creating genuine efficiencies, the big boxes are externalizing their costs to motorists at large (or to taxpayers at large, if they’re expected to upgrade the transportation infrastructure).

    Every big box store should be required to submit a traffic impact analysis (maybe they are in Fairfax County, and I just don’t know about it). If the local road network is overloaded (which seems to be the case throughout most of the county), I find it entirely reasonable for Fairfax supervisors to require some kind of proffer, offset or design change as compensation for the costs imposed upon the public.

    (Photo Credit of Wal-Mart in Madison Heights outside Lynchburg: Wikipedia.)

  • Kaine to State Agencies: Prepare for Budget Cuts

    Responding to warnings that the state budget could experience a $300 million revenue shortfall this year, Gov. Timothy M. Kaine has asked state agency heads to look for savings in the current budget that can be set aside to soften the impact of potential cuts in next year’s budget. (Read Tim Craig’s story in the Washington Post.)

    Del. Vincent F. Callahan Jr., R-Fairfax, chairman of the House Finance Committee, said the projected shortfall is “not a big deal” in a biennial budget of $70 billion. “The governor doesn’t really have to cut anything; he can juggle stuff around and delay spending.”

    Callahan was referring to this year’s spending. Presumably, Kaine wrote his memo to agency heads in anticipation of possible additional shortfalls next year. A slowdown in revenue growth next year, compounded on top of one this year, could generate the kind of numbers that could become a big deal. Kaine is wise to prepare for the possibility.

    Meanwhile, the Axis of Taxes is using the temporary dip in revenues to argue for… you guessed it… more taxes. As Craig summarizes the sentiment: “Even so, the forecast of lean budget times has become fodder for foes of the recently approved transportation plan. They argue that the plan is fiscally irresponsible and will not do enough to relieve traffic congestion because it does not include a statewide tax increase.”

    Senate Minority Leader Richard L. Saslaw, D-Fairfax, finds the prospects so alarming that he’s reverting to Harry F. Byrd mode, advocating pay-as-you go for road funding. The problem with the newly enacted road funding plan, he said, is “you go sell those bonds, and those bonds have to be repaid. You can’t say, I am not going to fund the bonds this year because I am short of revenue.”

    I don’t recall Saslaw speaking against issuing bonds earlier in the decade to fund the expansion of the state park system and a building program for higher education. Inconsistent, you say? The only thing inconsistent about Saslaw is the principles he evokes to justify his position of the day. He is utterly consistent in his quest to expand state spending. If issuing bonds to pay for parks expands state spending, bonds are wonderful. If issuing bonds for roads undercuts the case for raising taxes and spending even more, bonds are bad.

    Fortunately, economic growth is likely to pick up speed next year, and Gov. Kaine’s worst revenue fears will not be realized… in which case all this talk will be forgotten.


  • Good Vibes for Crystal City ReDevelopment

    The Crystal City area of Arlington can support significant increases in density, Arlington’s director of economic development has concluded. The employment center, located near the Pentagon, has 20.1 million square feet of leased office and residential space. But, despite the expected loss of 3.2 million square feet resulting from recommendations by the Base Realignment and Closure Commission, demand could reach 33.9 million square feet within the next three or four decades, Terry Holzheimer told the Crystal City Task Force Tuesday. (See the coverage in Examiner.com.)

    Not only will the demand for office space increase — confirming Ed Risse’s assertion that job creation will remain center-weighted in the Washington New Urban region — but preliminary analysis of traffic flows indicate that there is sufficient transportation capacity to accommodate the growth.

    Especially encouraging is Holzheimer’s finding that demand for residential units โ€œis and will remain strong and grow.โ€ Arlington County has done a magnificent job of promoting transportation-efficient growth along the Rosslyn-Ballston corridor, but the massive Pentagon/Crystal City employment center dwarfs the supply of residential housing available close by. The imbalance of jobs/housing is a major contributor to region-wide traffic congestion because so many employees are forced to live in outlying counties and commute long distances into work.

    It appears that Holzheimer acknowledges the critical importance of planning for a much larger residential component in Crystal City than exists now. Let us hope that other county officials do, too. The re-development of Crystal City as a mixed-use community at higher densities could prove extremely positive for Northern Virginia as a whole.


  • The Green Energy Boom Hits Hampton Roads — But What’s All This About Jatropha Nuts?

    There is huge business news brewing in Hampton Roads that has yet to generate much attention outside the region: Two separate ventures are planning to build gigantic biodiesel facilities that would require capital investment exceeding $1 billion and would generate more than 600 million gallons a year of ethanol and biodiesel fuel.

    Bio Energy Virginia, a Chesterfield-based, Swiss-owned company, first anounced its intention to build a $500 million plant in the Elizabeth River in Chesapeake. The plant would make 235 million gallons yearly of ethanol, and transform soy oil into 75 million gallons per year of biodiesel fuel. (See the May 19, 2007, Virginian-Pilot article.)

    Days later came the news that Virginia Point Biodiesel, a subsidiary of a California company, would spend $532 to erect a facility, also on the Elizabeth River in Chesapeake. The plant would be capable of converting jatropha plant oil into 320 million gallons of biodiesel fuel. (See the May 22, 2007, Virginian-Pilot article.)

    Both facilities will require state air permits as well as local government approval. Chesapeake officials relish the prospect of a $1 billion injection to the city’s tax base, but they’re worried about odors emanating from the plants, the impact of hundreds of trucks on city streets, and emergency access for fire trucks. The companies insist that the odors are containable, and tax revenues from the two plants, worth millions of dollars annually to the city, should be more than adequate to fund any infrastructure improvements. (One potential complication: Some of the infrastructure improvements may have to be made in the neighboring City of Portsmouth, which, in Virginia’s winner-take-all tax system, would not reap any of the tax windfall.)

    The green energy boom is coming to Virginia. We’re helping pay for it at the gasoline pump when buying fuel mixed with ethanol, so it’s good to see that Midwestern corn farmers aren’t capturing all of the economic benefits.

    Just one question: What’s this business about using the jatropha plant as a biodiesel feedstock? According to Wikipedia, jatropha is found mainly in tropical regions. Oil from the jatropha nut is used extensively in India to make biodiesel fuel. Unlike soy beans, which Virginia is well suited to grow, I doubt there’s much opportunity for Virginia farmers to cultivate the jatropha plant.
    (Photo credit for jatropha plant: Photogallery of District Kanpur Dehat.)

  • A Mighty Wind (Farm) off the Delaware Coast

    Last November I wrote a column, “Wind Shear,” that outlined the potential for building massive wind farms off the Virginia coast. The Mid-Atlantic coast of the United States, it seems, is an ideal location for massive arrays of electricity-generating windmills. In theory, a wind farm with a footprint the size of Virginia Beach — about three percent of Virginia’s continental shelf — could supply the equivalent of 20 percent of the Commonwealth’s current electricity needs.

    It appears, however, that Delaware is getting the jump on Virginia when it comes to developing this resource. Bluewater Wind, of New Jersey, has won preliminary approval from a panel of state officials to build a wind farm, although the company might have to scale down its original proposal for 200 of the 250-foot-tall windmills.

    Reports the Washington Post: “At a meeting yesterday in Dover, the state capital, leaders from four Delaware agencies ordered an electric utility, Delmarva Power, to negotiate with the wind farm’s developer. … Phil Cherry, who represented the state environmental agency at the meeting, said the agency also expressed a preference for a site off Rehoboth Beach.”

    Advocates argued that the windmills, stationed several miles offshore, would generate clean electricity — no pollution, no greenhouse gases — and appear to beach bathers as toothpick-thin specks on the horizon. The article did not elucidate the cost of the wind-powered electricity compared to conventional technologies. It does not bode well for the economics of the project that Delmarva Power may be required to maintain a back-up plant fired by fossil fuels to supply electricity when the wind wasn’t blowing.

    Bluewater is the first company to propose building a windfarm off the Atlantic Coast. If the Delaware project demonstrates the economic viability of wind power, it shouldn’t be long before Virginia sees a similar proposal.


  • Register for the Blogs United Conference

    You can now register for the Blogs United conference scheduled for July 13-15 in Newport News. Click here to register. Sign up now to get the $25 early-bird special.


  • Virginia Joins the Climate Registry

    Joining 33 other states in a national effort to track greenhouse gas emissions by large industries, Gov. Timothy M. Kaine has signed onto The Climate Registry. The goal is to replace the patchwork reporting system with standardized and verified measurements of carbon dioxide, methane and nitrous oxide that can inform the debate over global climate change.

    Writes Christina Nuckols with the Virginian-Pilot:

    Rob Jones, executive director of the Virginia Climate Initiative, said the uniform reporting system could move the country closer to a system that combines emission caps with market-based regulations that give industries some flexibility in achieving pollution reductions.

    Industry leaders say the registry could benefit them by simplifying what is now a patchwork of confusing regulations in different states. “We’re already reporting all of this data anyway,” said David Heacock, Dominion’s senior vice president of fossil and hydro. “We’re pleased to see Virginia is coordinating with other states to provide standardized reporting requirements.”

    This sounds like a positive development. The dynamics of global climate change and the extent to which climate is influenced by human agency are still imperfectly understood. Both sides of the Global Warming debate can agree, however, that public policy should be based upon sound science and sound data. The cost of setting up the program is minimal: between $20,000 and $30,000. This looks like a no brainer.


  • Traffic Impact Regs: Dazed and Confused?

    A centerpiece of the Kaine administration’s transportation policy is a 2006 law that requires major rezoning projects in Virginia to undergo traffic impact analysis. The goal is to ensure that local government officials understand the level of traffic that proposed developments will dump onto local and regional road networks before granting approval.

    The idea is a simple one, but, as always, the execution is easier than it looks. Assistant Secretary of Transportation Jimmy Carr oversaw the drafting of regulations late last year, and now the Virginia Department of Transportation is holding a series of workshops around the state to make sure all the stakeholders — VDOT staff, local government officials, land developers — all understand the regulations. So far, so good.

    But problems are emerging, I hear from one of my correspondents, who attended a VDOT session in Chester yesterday.

    On the positive side, he said, the session was well attended, and the presentation covered all major topics. People are encouraged by VDOT’s proactive outreach. And attendees received free highlighters and calculators!

    On the problematic side, my source said, many questions went unanswered. For example, who is covered by the “527 regulations,” as the regulations are called? Attendees could not get clear answers. Concludes my correspondent: “Following this latest training seminar, consultants are crazy if they don’t assume every potential development will meet the 527 regs.”

    Intructors frequently brushed aside hypothetical questions with a we-don’t-think-we’ll-see-that-situation-very-often, so-we’ll-just-deal-with-that-on-a-case-by-case basis response. My source’s concern: “Hear me now and believe me later, EVERY case will become a ‘case-by-case basis’”.

    And a final point: Mixed use developments are becoming increasingly prevalent in Virginia, driven by the conviction that they generate far less traffic on critical collector roads and arteries than traditional development does. Says my source: “The regs — though recently updated — include outdated methodologies that will particularly impact mixed use.” He’s concerned that the impact studies will overstate the traffic impact of many mixed use projects, thus discourage use of a beneficial land use strategy.

    I have no idea whether this kind of feedback filters back up to senior Kaine administration officials, or whether the top dogs get told everything is just hunky dory. But the Kainiacs cannot afford to see this signature initiative flounder. Someone needs to ride herd on the training-and-outreach process to make sure the initiative doesn’t plunge the development sector into a state of confusion.


  • Virginia’s Working Waterways

    Lyle Solla-Yates, Bacon’s Rebellion’s summer intern, has filed the following report:

    A vital piece of Virginiaโ€™s heritage — the lively commercial fishing and boating community — is threatened by coastal development, environmental stress and foreign imports. Last week, representatives of government, nonprofit, and industry representatives met in Norfolk to discuss threats to working waterways across the nation and how to respond.

    Commercial and recreational boating has suffered a series of setbacks in the last century. Environmental problems from runoff pollution, destruction of wetlands, and over fishing have greatly reduced potential catches in the Chesapeake Bay and the Atlantic Ocean. At the same time, imports of fish from foreign countries that subsidize their fishing fleets have driven seafood prices down. High end condominiums and other development have crowded out active waterfronts in favor of private coastal access for those who can afford it.

    The net result has been lost jobs, greater dependence upon foreigners for our food supply, an unsustainable trade imbalance, and a loss of cultural and historic heritage.

    Government and civic leaders discussed how to reinvigorate waterfronts in Virginia and across the country. High property taxes and burdensome environmental regulations were a consistent target, creating calls for tax and regulatory reform. Some called for moratoria on coastal development. Communities could use the time to update master plans emphasizing preservation of working waterfronts. Seafood festivals and boating tours were suggested as effective ways to get people out enjoying the waterfront, having a good time and learning the issues threatening our waterways.

    The Working Waterways & Waterfronts 2007 Symposium website can be found here: http://www.wateraccess2007.com. Information for this article is drawn from their final report, which I assisted in collecting.


  • Another Budget Warning, Louder This Time

    The state of Virginia is heading for a shortfall of between $200 million and $300 million in budgeted revenues this fiscal year. With only a month and a half in the year left to go, the Kaine administration will have to move quickly to decide where to pare spending.

    Del. Vincent F. Callahan Jr., R-Fairfax, suggested that the administration could cover the shortfall by postponing some $1 billion worth of capital projects in the budget, according to Michael Hardy with the Times-Dispatch.

    With the prospect that this year’s shortfall could spill into next year, Del. S. Chris Jones, R-Suffolk, sounded an alarm about the Governor’s proposal to implement universal preschool, a program that could cost $300 million a year when fully implemented. Said Jones: “I hope [Kaine] will take the pre-kindergarten program off the table.”


  • Salvaging the Motor Mile

    One of the great unsung stories of The Comprehensive Transportation Funding and Reform Act of 2007 is how it will give transportation planners more tools to clean up highways clogged with too many intersections, stoplights and retail access points. This aspect of the landmark legislation got zero attention from the Mainstream Media, but it will affect the design and functioning of critical pieces of our communities.

    In the first of two articles, “Fighting Corridor Torpor,” Peter Galuszka outlines the thrust of the legislation: reducing the number of intersections and access points to major highways, with the goal of allowing traffic to move more freely. The state is writing the detailed regulations, which will go into effect in early 2008.

    In a second article, “Reinventing the Motor Mile,” Bob Burke takes a close-up look at U.S. 29 north of Charlottesville, where the community has taken matters into its own hands. Planners have written a draft master plan, Places29, that envisions recreating a limited-access highway through the 29 corridor with a parallel network of parallel boulevards, avenues and streets providing local access to neighborhoods and shopping centers. Development will be characterized by greater density, mixed uses and greater attention to pedestrians, bicycles and mass transit.

    Some of the worst traffic congestion in Virginia is concentrated in these retail corridors. Between the powers enacted by the General Assembly and the innovative vision of Places29, there’s no excuse for communities across Virginia not to get cracking on cleaning up their congested corridors