The California High Speed Rail Authority won a court victory last week when Sacramento County Superior Court Judge Michael Kenny ruled farmers and other plaintiffs in Kings County had not presented enough evidence to support their claim that the state's high speed rail project had violated the terms of 2008's Proposition 1A. Kenny wrote, "there are still too many unknown variables" and therefore does not constitute sufficient grounds for the suit. The ruling implies that plaintiffs may reopen the case in the future if the project does not comply with requirements of the bond measure. The rail authority still must comply with the bond measure's requirements, including target travel times, ridership, headways, and financial self-sufficiency.
State May Not Garnish Cities' Tax Funds in RDA Disputes, Court Rules
The Third District Court of Appeals ruled, 3-0, that the state may not garnish tax money from cities refusing to surrender funds that the state claims it is owed in the wake of the 2012 dissolution of the state's redevelopment agencies. Of the 400 former redevelopment agencies statewide, nine cities have refused to return funds totaling $24 million to distribute to local taxing entities. The Legislature in 2012 authorized the withholding of sales and tax revenue and property taxes of those cities. The judges said a provision of the California Constitution, passed in 2010 by voters as Proposition 22, prohibits such action. "In passing Proposition 22, the people took away from the Legislature the authority to withhold sales and use tax revenue and property tax revenue from local governments," the justices wrote.
Report Details Consequences of California Housing Shortage
Bay Area think-tank Next 10 released a report predicting that California's housing shortage will impose serious economic consequences on the state. In the ten years between 2005 and 2015, only 21.5 permits were issued per 100 people in the state. The report finds that in urban areas, 45 percent of developers say costs, neighbor opposition or both are reasons they do not proceed with infill projects. Other challenges area CEQA, zoning and potential lawsuits, and Proposition 13 which limits property-tax increases could switch cities from building homes to retail projects. The study found that California has some of the highest rates of post-recession job growth in the nation but also lost 625,000 people to other states. Housing costs in California are the highest in the nation, approximately 35.7 percent more than the national average. "California has an employment boom with a housing problem," said Christopher Thornberg, co-author of the report. "The state continues to offer great employment opportunities for all kinds of workers. But housing affordability and supply represent a major problem."
Anaheim Releases Proposed Streetcar Route
The City of Anaheim released a route for its proposed streetcar. The route would connect the ARTIC transit center in Anaheim to Disneyland and the Convention Center. The project could cost approximately $298.7 million and $4.3 million to operate annually. The 3.2-mile route would have eight stops and carry 120 passengers along the 18-minute trip. But many are opposed citing increased costs and traffic as drivers idle behind the streetcars. The plan will be reviewed by the city council March 14. Disneyland Resort wants to construct its own transportation center for drop-offs and build a new 6,800 space parking structure. The city projects that 1.25 million annual passengers could ride the route by 2035, by which time the Platinum Triangle area is expected to have 25,000 residents, complementing Disneyland's 25 million annual visitors.
Air District Ousts Executive Officer, Faces Unrelated Lawsuit
The Natural Resources Defense Council and other environmental and community groups are suing South Coast Air Quality Management District for adopting what they consider weak smog regulations proposed by Western States Petroleum Association. California Air Resources Board and state lawmakers have asked the air board to reconsider. Oil industry groups have fought against stronger smog-reduction measures because of the steep cost of upgrading pollution control measures. Meanwhile, the board of the SCAQMD recently ousted longtime Executive Officer Barry Wallerstein. The ouster is generally seen as a pro-business move, prompted by the board's Republican members, State Senate President Pro Tem Kevin de Leon denounced the decision in a written statement: "Today's shameful action by SCAQMD is only the latest in a disturbing trend of dirty energy interests dismantling clean air rules that the public overwhelmingly supports."
High Speed Rail to be Delayed Three Years
A recently released revision of the business plan for California High Speed Rail indicates that the project will cost more and incur a three-year delay for the initial leg. CAHSR acknowledges the complications of crossing the mountains from Central Valley to Los Angeles, both geographically and financially. However, the entire price tag for the system has been cut by $4 billion to a total price tag of $64 billion. The authority needs funding from private investors, state and federal government. The initial segment from San Jose to Central Valley, costing $21-billion, will be operating by 2025; the authority hopes that that segment will persuade investors to put up money to complete the system.
Ainsworth Named Interim Successor to Fester on Coastal Commission
Senior Deputy Director Jack Ainsworth has been named interim chief of the California Coastal Commission. His appointment was approved, 10-1. Ainsworth has worked for the commission for 27 years and under Lester, the dismissed director, since October 2011. He most recently held the title of senior deputy director. It will take up to six months to name a new executive director. Ainsworth told the commission he has not decided if he will apply to the position permanently. Meanwhile, activists have gathered 775 signatures to call for an ethics investigation into Lester's dismissal.
Santa Monica Faces Slow-Growth Ballot Measure
Slow-growth advocates in Santa Monica have introduced the latest in a series of initiatives and protests designed to discourage what they see as overbuilding in the city. The Land Use Voters Empowerment (LUVE), sponsored by the group Residocracy, would require public vote on large and medium-size developments in the city. It would amend the city's zoning code to require a vote on all projects over two stories and on any project that seeks a development agreement. A majority of City Council opposes the measure, as they said it would give developers added power and influence in their politics. Residocracy hopes the measure will slow development in an already congested city. At least 6,500 signatures are to put it on the November ballot. (See prior CP&DR coverage.)
Online Tool Tracks Cap-and-Trade Expenditures
Bay Area advocacy group TransForm has released a new interactive map that tracks where California's cap-and-trade program dollars are being invested. The map tallies all the billions of dollars received through the program and their greenhouse gas reductions. The map tracks 412 projects, $1.5 billion in investment and over 3 million megatons of greenhouse gas reduction. Over $150 million from the fund has been used to build affordable, transit-oriented development. The website also marks the funding areas such as transportation and sustainable communities, clean energy and energy efficiency, and natural resources and waste diversion.
Natural Resources Agency Hears Proposals for Salton Sea Restoration
In the long-running effort to restore the Salton Sea, a group of local leaders have formed a Long Range Plan Committee under the sponsorship of the California Natural Resources Agency. Last month, multiple presentations were heard to discuss potential solutions, covering topics such as geothermal technology, environmental management, increasing water in the sea and economic development. Michael Clinton Consulting LLC proposed a $46 billion plan for hydro-electric pumped storage, geothermal development in southwestern Salton Sea area, new water supply for Colorado River Basin, development for Cucupah Tribe, and deep-water port for Mexicali. AGESS Inc proposed lagoon-floating wetlands and specialized plants, microalgae and brine shrimp to clean the water. American Research and Development proposed bringing water from the Pacific Ocean through tunnels and building islands to raise water levels to create a current, all while using private funds.
