[HN Gopher] Why Galesburg has no money
       ___________________________________________________________________
        
       Why Galesburg has no money
        
       Author : ingve
       Score  : 320 points
       Date   : 2022-01-16 09:39 UTC (13 hours ago)
        
 (HTM) web link (inlandnobody.substack.com)
 (TXT) w3m dump (inlandnobody.substack.com)
        
       | lr4444lr wrote:
       | The fallacy here is fixed costs. A capital project to repair just
       | 584 ft. of road is insane. The author then projects these
       | outsized fixed costs as the variable cost of fixing all roads in
       | the town.
       | 
       | This kind of small job is either something you petition the state
       | dept. of transit to do in a special division they have for these
       | things, or you find some temporary workaround until a more
       | comprehensive road repair plan is warranted. Yes, even in big
       | well funded cities sometimes roads are just detoured for months
       | if not longer.
       | 
       | The budgetary breakdown of the towns I've lived in simply do not
       | support this thesis. The major cost is always schools and to a
       | lesser but noticeable extent the police, specifically the labor
       | and pensions. Not roads.
        
         | Macha wrote:
         | The argument is that the cost cities are paying for the roads
         | is less than they need to. Underfund a school by 50% and there
         | are immediate consequences - class sizes go up, more consumable
         | supplies like photocopying, art or gym equipment run out.
         | Student satisfaction goes way down, if they can't heat/AC the
         | building as appropriate, they have less personal space in
         | classrooms and less time with teachers.
         | 
         | Underfund a road by 50% and in the first year and nothing
         | happens. Over a few years, you get potholes. With the standards
         | these roads are being built to, in 30 years the road is
         | unusable. But there's no money to rebuild it. It was built the
         | first time with revenue from new developments, but there's no
         | such revenue now. People aren't going to sell their houses and
         | give a comparable amount to the city as it took the developer
         | in building it to setup that infrastructure (i.e. probably a
         | net loss for the home owner, even with property price inflation
         | ahead of general inflation) just because the road needs
         | replacing.
        
       | talkingtab wrote:
       | In Amsterdam, the tax laws were based on the number of feet (or
       | meters) of street frontage. Hence even long ago houses in
       | Amsterdam tended to go up rather than out. (I don't have a
       | reference for this so it may not be completely correct). Clearly
       | tax laws should focus on frontage, but even more they should
       | focus on the long term costs of the city to provide the
       | infrastructure.
        
         | ejb999 wrote:
         | >>Clearly tax laws should focus on frontage,
         | 
         | That really doesn't make any sense at all imo; if you have a
         | flag lot, i.e. a small amount of frontage with a 100 acres
         | behind it accessed by the 200'ft of road frontage, shouldn't
         | that be taxed higher than someone with a 1/4 lot also with 200'
         | of frontage?
         | 
         | I object to the current state of property taxes altogether -
         | seen too many people (in some areas) that buy a house live in
         | in for 30 years, pay off their mortgage and are forced to sell
         | it because all of a sudden the property taxes are $40K/year.
         | Doesn't seem right to me.
         | 
         | IMO, taxing people on income is much fairer - by definition as
         | you income goes up, you can afford to pay more - but having a
         | house that you live in go up in value really doesn't give you
         | more ability to pay the tax bill, and we shouldn't be in the
         | business of taxing people out of their houses.
         | 
         | 2nd, 3rd, 4th houses - ok in that cases, but a person living in
         | their only house shouldn't be forced to sell it just because it
         | went up in value.
        
         | hnuser847 wrote:
         | That seems way more sensible than what we have the US and is
         | more akin to the "land tax" system that's talked about a lot
         | here. The property tax scheme we use in the US only "works" as
         | long as the city is growing. The moment the population
         | stagnates or starts declining, the city rapidly becomes
         | unsustainable and must rely on funds from the state or federal
         | government to pay for basic maintenance and services.
        
           | ajmurmann wrote:
           | IMO, land tax usually refers to a Georgist land value tax.
           | That certainly would increase taxes for underdeveloped, large
           | plots.
           | 
           | I do wonder though if it's fair to expect people who live in
           | high-density areas to pay for the lifestyle of people who
           | want to get away from society. I wish we could have a true
           | land tax that's fairly high and identical regardless where
           | the land is. Sprawl has a lot of negative externalities;
           | financial for city and states as well as environmental.
        
         | pooper wrote:
         | Quick question: who collects the taxes? Is it the local
         | government or the central government?
         | 
         | I suspect we need to take property taxes away from the local
         | government to the federal government in the US so businesses
         | cannot pressure local governments to give them a handout for
         | opening their business there.
        
       | swayvil wrote:
       | If schools take most of the tax then reduce school funding. Is
       | that crazy?
       | 
       | We have a similar case in my town. Schools get most of the
       | property tax. We're paying for laptops for all the kids. Subs are
       | making 12/hr.
        
       | tomohawk wrote:
       | One obvious problem is that the roads are too expensive to
       | maintain, primarily because they are only built to last 20-30
       | years. Government expenditure favors employment over long lived
       | infrastructure. Legislators favor distributing funds to
       | contractors who may reciprocate with campaign funding.
       | 
       | There's no technical reason why these roads could not be put in
       | to last far longer than 20-30 years without major repairs.
       | Source: family member was a civil engineer specializing in road
       | pavement and construction for many decadeds.
        
       | closeparen wrote:
       | Perhaps small town and exurban governments will at some point
       | find it cheaper to purchase lifted pickup trucks for all three
       | families in their community who don't already have one.
        
       | runxel wrote:
       | Eventually they will realize that the zoning laws are the
       | culprit.
       | 
       | Until then most US urban planning will stay the sh*t show it is.
        
       | gumby wrote:
       | I have never heard of Galesburg but I found this analysis
       | riveting. Somehow it was more informative to me than the Strong
       | Towns posts.
       | 
       | I suspect you can extend this analysis to the country at large.
       | The national budget suffers from the same imbalance.
        
       | tzs wrote:
       | > Take for example the taxes I pay on my home. I pay $260.17 to
       | the city every year in property taxes. I live on a 60 ft wide
       | lot. If you take the $20/ft/year road maintenance metric, cut it
       | in half because I'm just on one side of the street, and then
       | multiply it by the width of my lot you get $600. I would need to
       | contribute $600 a year through my property taxes to just pay for
       | the maintenance of the portion of the street in front of my
       | house.
       | 
       | That is a questionable calculation because the street in front of
       | their house is not just used by them. For example, consider a
       | dead end street with 100 houses on one side and a forest on the
       | other, with each house having the same length of street in front
       | of them. Assume each house uses the street once a day to leave
       | the neighborhood and once a day to return.
       | 
       | The house at the open end of street, call it house 1, uses the
       | segment in front of their house (call it segment 1) 2 times each
       | day.
       | 
       | The house next next to house 1, house 2, uses its segment
       | (segment 2) 2 times each day and it uses segment 1 2 times each
       | day.
       | 
       | In general, house N uses each of segments 1 through N 2 times a
       | day and does not use segments N+1 through 100.
       | 
       | Looking at it from the point of view of the segments, segment 1
       | is used equally by 100 houses, segment 1 is used equally by 99
       | houses, and so on.
       | 
       | Figuring fair share by width of lots is even more questionable. A
       | wide but shallow lot and a narrow but deep lot of the same area
       | with similar occupancy aren't going to inherently have different
       | street usage (or different water, sewer, police/fire, or other
       | tax funded service usage).
        
         | michaelt wrote:
         | _> Looking at it from the point of view of the segments,
         | segment 1 is used equally by 100 houses, segment 1 is used
         | equally by 99 houses, and so on._
         | 
         | It doesn't matter.
         | 
         | If a dead end street with 100 houses costs $120000 to maintain,
         | those 100 houses must contribute a total of $120000.
         | 
         | You can price that as every house contributing $1200; or as the
         | first house contributing $24 for access to one segment, the
         | second $48 for access to two segments and so on until the 100th
         | house pays $2400.
         | 
         | But no matter how you rearrange things, the houses'
         | contributions must sum to $120,000 meaning the mean
         | contribution must be $1200.
        
           | rdtwo wrote:
           | That's how shared sewer works in my area. The person on the
           | end pays the most and the person right at the hook up the
           | least.
        
           | tzs wrote:
           | Does your analysis change if it is not a dead end street?
        
             | michaelt wrote:
             | If it's not a dead-end street, the idea of charging
             | different houses different amounts makes even less sense,
             | because the resident of the first house might drive past
             | the 100th house just as often as the resident of the 100th
             | house drives past the first house.
        
               | tzs wrote:
               | But if it is not a dead end street then there will be
               | through traffic. Why should the people who happen to live
               | next to that street be covering the maintenance costs
               | that are due to that traffic? And why should they get a
               | free ride--no pun intended--for the traffic they cause
               | when they drive outside of their neighborhood?
               | 
               | The point I've been trying to implicitly make is that the
               | road system is best viewed as a whole. Neither the
               | benefits one gains from the road system nor the
               | maintenance costs to repair the wear from one's use of
               | the road system are in general related to how much of the
               | road system is in front of one's house, and so the
               | maintenance costs of that segment of the road system are
               | a poor way to estimate what you should be paying in taxes
               | to support the road system.
        
           | mnd999 wrote:
           | Indeed, as soon as you get into "I don't use that so why
           | should I pay for it", you're being consumer and not a
           | taxpayer.
        
         | acdha wrote:
         | I'm sure the author would be the first to agree that this isn't
         | a detailed analysis - they had various comments to that effect
         | - but it doesn't change the point by anywhere near enough to
         | invalidate it. Most roads are not long dead end streets and
         | especially now that people use navigation apps there's a lot
         | more traffic on neighborhood roads than there used to be, too.
         | 
         | The big problems are low density and how much most cities end
         | up subsidizing non-taxpayers who drive a significant fraction
         | of road demand with only minimal economic contribution. Those
         | subsidies are doubly expensive because they hurt the city and
         | discourage use of more sustainable transportation.
        
         | _dark_matter_ wrote:
         | "Fair share" is irrelevant, they're now designing an actual
         | taxation policy. Instead they're trying to apportion costs to
         | describe how high the expenses are, based on maintenance costs.
        
         | Ekaros wrote:
         | Now this leads to question that it only solves problem for that
         | road.
         | 
         | What about all the other roads you use? Maybe solution would be
         | to mandate tracking on all traffic? So you would pay what you
         | use, with pedestrians being billed for maintenance of sidewalk,
         | the motorist, heavy traffic and bicyclist the road with some
         | reasonable multiplier.
        
       | muth02446 wrote:
       | What puzzles me: if you focus on tax revenue per plot area/width,
       | dense cities have a huge advantage - not even considering
       | economies of scale and stuff like savings for heating/AC. And yet
       | dense cities tend to have much higher cost of living and run huge
       | deficits. How can this be explained?
        
       | lixtra wrote:
       | In some countries you have to pay for the road maintenance and
       | development along your plots.
       | 
       | That can lead to other absurdities, that a field owner along an
       | agricultural road has suddenly to pay for make over and street
       | lights that add zero value to their field.
       | 
       | A solution could be a more federal approach. Residents of the
       | neighborhood have to decide how their taxes are used for
       | maintenance. And they would directly feel the lack of taxes for
       | maintenance.
        
         | bell-cot wrote:
         | That solution feels like it needs refinement...
         | 
         | - In a commercial / industrial district (taxpaying companies,
         | but no _residents_ ), do those taxpayers decide?
         | 
         | - Is the "Residents...have to decide" voting weighed by how
         | much each one is paying? It seems reasonable for Walmart to
         | have a bigger say than any of the little stores & restaurants
         | across the street from Walmart.
         | 
         | - Is there some "I don't need" opt-out? A farmer growing 640
         | acres of corn across the road from Walmart probably doesn't
         | even need the road to _exist_ - the dirt roads along the other
         | 3 sides of his field are good enough for tractors.
        
       | citizenpaul wrote:
       | I remember about 8 years ago I read a very interesting report
       | (Bloomberg?) that said basically over 50% of American cities have
       | overbuilt highly inefficient infrastructure and cannot even by
       | greatly raising taxes continue to maintain them. I think it
       | called them zombie cities or something like that.
       | 
       | The only choice for the distant suburbs will be to come up with
       | some sort of self sustaining infrastructure (old farmhouse style)
       | or abandon the suburbs and move closer to the city.
        
         | tankenmate wrote:
         | The prime example of overbuilt highly inefficient (and unsafe)
         | infrastructure that comes to mind for me is the "Stroad"[0];
         | it's somewhat like a comment that Elon Musk made about
         | optimising something that shouldn't be there.
         | 
         | [0] https://www.youtube.com/watch?v=ORzNZUeUHAM
        
       | jSully24 wrote:
       | In Minnesota when improvements or repairs like roadwork are done,
       | directly effected property owners are billed above their normal
       | property tax.
       | 
       | This story explains it better than I can:
       | https://www.twincities.com/2020/02/25/15700-street-assessmen...
       | 
       | work on a street with only local traffic will have a higher
       | percentage of the project cost paid by the property owners on
       | that street.
        
         | adolph wrote:
         | This seems like a way to make sure nice neighborhoods have the
         | best maintained streets. Oddly regressive for Minnesota.
        
           | jSully24 wrote:
           | I had not thought about it from that perspective. That's a
           | great point.
           | 
           | My thinking was that it puts real costs in front of people.
           | You see more directly what that street to your house costs.
           | 
           | I've always thought about advertising the cost of the section
           | road you're in costs to build, maintain, and push the snow
           | off.
        
             | adolph wrote:
             | I'd agree that putting real costs in front of people is
             | important because what people will pay for something is
             | critical to understanding the relative value of that thing.
             | People don't like toll roads but given there is no free
             | lunch, the toll of other roads is just hidden.
             | 
             | On the other hand, I once chatted with a person who
             | performed a large wintertime bicycle give-away in low
             | income neighborhoods. The operation was so large that they
             | ordered bikes directly from factories. I asked something
             | like "why don't you put your branding on the bikes then" or
             | something like that. The person's reply was that they
             | didn't want the bikes to be seen as the free ones--that the
             | bikes could be ridden without the stigma of poverty. Maybe
             | the roads, sidewalks, bikelanes and parks in any city are
             | likewise and the cost of them should be abstracted somewhat
             | from the adjacent properties so that any person biking
             | along them feels a sense of belonging.
        
       | [deleted]
        
       | rceDia wrote:
       | Other than a hospital, schools and big box retail, what is the
       | economic "engine" attracting new homeowners? Big box retail was
       | the place to spend the cash, but what is the source of "earn the
       | cash"? Illinois is a top state for "fleeing" citizens.
        
         | arcbyte wrote:
         | Agrigulture and federally funded/entitled raikroads built the
         | patchwork of dmall towns in the early/mid 1800s. Starting in
         | the 1940s those things began disappearing.
         | 
         | New homeowners are either local kids or retired people bringing
         | their retirement money to lower cost of living areas.
        
         | Cupertino95014 wrote:
         | Forgot about terraforming Mars; we need to terraform Illinois.
         | The weather makes it a great place to be from. The scenery is
         | also seriously lacking, except maybe on the western borders and
         | the southern part, where hardly anyone lives.
         | 
         | Aside from that, you have the permanently toxic politics.
         | 
         | Don't come at me; I used to live there.
        
         | toomuchtodo wrote:
         | Maytag used to have a refrigerator manufacturing facility in
         | Galesburg, which moved to Mexico around the turn of the aughts,
         | and incurred a loss of thousands of jobs. Usual NAFTA hollowing
         | out of middle America story.
         | 
         | Can't be a strong town when you're a dying town.
         | 
         | https://www.peoriamagazines.com/ibi/2015/mar/galesburg-after...
        
         | everybodyknows wrote:
         | A private liberal arts college, 1200 students:
         | 
         | https://www.knox.edu/about-knox/fast-facts
         | 
         | Festivals in the historic district downtown:
         | 
         | https://en.m.wikipedia.org/wiki/Galesburg_Historic_District
         | 
         | Doesn't seem like enough.
         | 
         | And note this:
         | 
         | > Walmart builds their buildings to last only 15-20 years and
         | then builds a new facility. We are in year 15 of our Walmart,
         | so they are exploring their next rebuild. If Walmart leaves its
         | current location ...
        
         | niftich wrote:
         | BNSF Railway has a major classification yard in Galesburg. Just
         | like other railroads, they use their Chicago yard for
         | intermodal traffic (loading containers from the trains onto
         | trucks and vice versa), and use a nearby yard outside of
         | Chicago to manage general traffic.
         | 
         | According to the Knox County Area Partnership [1], the largest
         | employers in Knox County (of which Galesburg is the urban
         | center) are BNSF, the hospital, the schools, Knox College,
         | Blick Art Materials, Gates Corporation, the local government,
         | and the prison.
         | 
         | It's fairly common for small US towns to have the local health
         | system, local school system, and Walmart (or the local grocery
         | store) as the largest employers. Galesburg is more fortunate
         | and is more like a typical midwest town, with a handful of
         | manufacturers and warehousing-type jobs that exceed the
         | standard rural fare, and a college also.
         | 
         | [1] https://www.knoxpartnership.com/top-employers/
        
       | smoyer wrote:
       | " _So, what do we do? Can we just pay 3x the property tax to the
       | city and fund our roads? Our city already has pretty high
       | property tax rates for a city in a state that already has pretty
       | high property taxes. We can't raise our property taxes, and we
       | can't raise any of the other taxes to make up for the difference.
       | What is causing this and what do we do going forward?_ "
       | 
       | I'd love to have property taxes this "high" - I live in a village
       | outside a small rural city in PA and my property taxes are about
       | four times as much as the author's taxes. The author states that
       | they'd need to assess property taxes at 3x in order to fund their
       | infrastructure so we'd (in theory) be ahead of our infrastructure
       | maintenance. (Clearly this comparison isn't apples-to-apples
       | since our properties aren't directly comparable.) I think the
       | real answer is that if we're going to restore communities, we're
       | going to have to pay more than we're accustomed to.
        
         | kansface wrote:
         | My understanding is that Illinois is in a economic death spiral
         | wherein taxes are high enough given the quality of life that
         | people leave the state thereby increasing the burden on those
         | who remain l, perpetuating the cycle. Pensions are the
         | enormous, underfunded obligation that can't be shed outside of
         | bankruptcy. Increasing taxes only accelerates the problem, no?
         | Even if you could stabilize your particular city, the looming
         | crisis for the rest of the state will still destroy you
         | eventually as proportionally more state money goes to paying
         | pensioners who live out of state instead of maintaining infra.
        
       | JohnJamesRambo wrote:
       | What a great deep dive into a fascinating subject I have never
       | seen the actual math on.
       | 
       | > This section of road is approximately 584 feet long and is
       | going to cost around $350,000
       | 
       | This is the cornerstone of the article he uses for all other
       | calculations. Is this number reasonable? It seems ridiculously
       | expensive but maybe that is just how things are.
        
         | bell-cot wrote:
         | Others have said that the $350,000 is reasonable - but let me
         | point out that there can be a _wide_ range of  "2-line roads",
         | even in a small area (so same cost of labor, gravel, concrete
         | or asphalt, etc.).
         | 
         | Some rural "2-lane roads" are two barely-wide-enough lanes for
         | vehicles, with no shoulders, no curbs, and drainage ditches (so
         | no buried storm sewers or anything). Curves can be sharp,
         | grades steep, and blind summits frequent. Bridges may be 1 lane
         | wide, or have weight limits.
         | 
         | Vs. "2-lane road" in even a modest little city often implies
         | pavement wide enough to park on one or both sides of the 2
         | traffic lanes, and a _load_ of other expensive upgrades. I 'd
         | not be a bit surprised if the cost per mile of that was 2x to
         | 5x the cost of a bare-minimum rural 2-lane (paved) road.
        
         | TulliusCicero wrote:
         | This article claims costs of $2-3m for a mile of two-lane road
         | in a rural area. 584 feet is a bit over a tenth of a mile, so
         | that cost would make sense for building a new road. Not sure
         | whether the cost to major repairs or replacements would be
         | higher or lower. Also gotta factor in that this article is from
         | 2016 and right now costs for building anything seem
         | substantially up.
         | 
         | https://blog.midwestind.com/cost-of-building-road/
        
           | silvestrov wrote:
           | And the road is in a really bad shape, ee Google StreetView: 
           | https://www.google.com/maps/@40.9373005,-90.3943558,3a,75y,3.
           | ..
        
         | pyb wrote:
         | I wonder if this is due to the cost of materials, or the cost
         | of local labour.
        
         | cbsmith wrote:
         | Yeah. Fundamentally, roads are really costly. The whole notion
         | of designing a city around cars is horribly expensive and we
         | keep pretending that's not the case.
        
           | rmetzler wrote:
           | I don't know much about American taxes (not even much about
           | German taxes) but I think roads should be funded through some
           | tax which is connected to cars or fuel.
        
             | dugmartin wrote:
             | In America we have state and federal fuel taxes (per
             | gallon) collected at the pump. Almost all of the federal
             | tax is sent back to the states in the form of interstate
             | highway money (and is used as a carrot/whip to impose
             | federal regulations on states). In Illinois' case the fuel
             | tax is supposed to go to maintaining and improving roads
             | but, like any big pot of money, it is frequently diverted
             | to the general fund and/or maintaining Chicago's transit
             | system (much to the chagrin of the rest of the citizens of
             | the state).
             | 
             | At this point unmaintained roads are the least of Illinois'
             | concerns. The state has massively underfunded state
             | pensions combined with a fleeing and aging population that
             | probably means some for of bankruptcy protection in the not
             | so distant future. Before that happens all available money
             | will be used to fund pension payouts due to how politics
             | works in Illinois and the roads will start looking like a
             | set of a Mad Max movie.
             | 
             | Source: I was born and raised in Illinois (~40 miles from
             | Galesburg) and most of my family still lives there.
        
               | pooper wrote:
               | > it is frequently diverted to the general fund and/or
               | maintaining Chicago's transit system (much to the chagrin
               | of the rest of the citizens of the state)
               | 
               | I don't know for sure but if it is anything like New York
               | and upstate, I suspect you will find Chicago pays for you
               | guys much more than you think. I think it is almost
               | guaranteed that overa Chicago pays for you and not the
               | other way around, the only question is magnitude.
               | 
               | In any case, diverting money from road construction to
               | public transit is a good thing.
        
             | acdha wrote:
             | In the United States there is a gas tax but it hasn't been
             | adjusted for a long time and pays less than half of the
             | cost of the roads. EVs are also becoming a factor so what
             | I'd like would be an annual tax based on the combination of
             | vehicle weight & pollution, especially since the comically
             | large vehicles a lot of solo office commuters use take up
             | enough space to prevent many roads from handling two lanes
             | of traffic without someone pulling over to the side.
             | 
             | The other big factor we have is that there's a lot of soft
             | subsidy built in with things like minimum parking
             | requirements, and a lot of both road and parking
             | infrastructure is paid for by developers when first
             | constructed but falls back to the city or private owners
             | for maintenance. That will only make the current imbalance
             | worse over time.
        
               | JohnJamesRambo wrote:
               | A very interesting thing I learned once is that road
               | damage occurs at the 4th power of the weight. Every
               | doubling of weight is 16 times more road damage. This
               | drove home how much the road damage is probably almost
               | all large trucks.
               | 
               | > The math works out that an empty 18-wheeler causes
               | 80,000 times more damage than my plug-in. When it's fully
               | loaded, it causes 208,000 time more damage. Both reports
               | conclude that heavy trucks cause over 99 percent of the
               | road and bridge damage, yet the trucking industry
               | contributes only 35 percent of the road taxes.
               | 
               | https://www.concordmonitor.com/Wear-and-tear-on-the-
               | roads-23...
        
               | eldavido wrote:
               | Buttigieg was pushing a vehicle mileage tax (VMT) based
               | on how much you drive.
               | 
               | Eliminate the gas tax, just charge directly based on the
               | amount of road use.
        
             | mschild wrote:
             | In Germany you have the KFZ Steuer which brings in about
             | EUR9.4b every year. You pay KFZ when you have a car.
             | 
             | [0] https://www.bundesfinanzministerium.de/Content/DE/Downl
             | oads/...
        
               | Xylakant wrote:
               | That's a tax that goes to the federal government only. It
               | pays for federal roads (Autobahn and Bundesstrasse) and
               | badly at that - the latest numbers I could find are for
               | 2018 and there, expenses were above 10 billion euros. (1)
               | State roads and roads in cities are paid from the states
               | and the cities budget, the KFZ-Steuer does nothing to
               | offset those - it's all financed from other taxes and
               | fees.
               | 
               | (1) https://www.deutschlandinzahlen.de/tab/deutschland/in
               | frastru...
        
               | DocTomoe wrote:
               | In Germany, there is no direct link of a tax and where
               | that income is being used to - it all goes into a big tax
               | pot, and everything is being paid out of that. What you
               | mean is a "Gebuhr" (roughly translated to "a fee"), which
               | can be linked to a particular expense, but vehicle taxes
               | and gas taxes are specifically NOT a Gebuhr.
        
               | Xylakant wrote:
               | I very much meant what I said: Taxes do not go into the
               | same huge pot from which they are distributed some taxes
               | go to the federal governments pot, others to the states,
               | yet others to the city/local council (Einkommenssteuer
               | and Gewerbesteuer for example). There is some
               | redistribution happening, but it's pretty specific
               | (Landerfinanzausgleich, the federal government pays for
               | some costs which are handled by the local governments).
               | So while taxes are not bound to a purpose, but they are
               | bound to the part of the government they go to: Federal
               | taxes go to the Bundeshaushalt, which pays for the
               | Bundesstrassen and Bundesautobahnen (hence the name) and
               | since all other roads are not paid by the federal
               | government - this they can't be paid for by federal taxes
               | (among them the KFZ-Steuer)
        
               | sokoloff wrote:
               | > It pays for federal roads (Autobahn and Bundesstrasse)
               | and badly at that
               | 
               | If the tax brings in EUR9.4B and the expenses are EUR10B
               | per year, that seems pretty balanced to me.
        
               | Xylakant wrote:
               | The expenses for federal roads are about 1/2 or 1/3 of
               | all road costs. City roads costs are a bit hard to come
               | by, but are in the same ballpark as the Autobahn, and I
               | could not find a good number for Landstrassen, which
               | would be paid for by the states. It's not balanced at
               | all.
        
               | sva_ wrote:
               | In Germany, landlords have to pay a percentage of the
               | cost of roads built around it. In some cases this might
               | be a huge percentage, depending on how much the road is
               | used by the public.
        
               | Xylakant wrote:
               | Only once, when the road is built, ongoing maintenance is
               | paid from general taxes.
        
               | DocTomoe wrote:
               | Actually, no, when the road is being overhauled, the town
               | can come back with you with another invoice. See
               | "Strassenbaubeitrage" [1]. Sometimes, these are
               | prohibitively expensive, forcing homeowners to abandon
               | their property, often amounting to several 10k Euros [2].
               | 
               | [1] https://de.wikipedia.org/wiki/Stra%C3%9Fenbaubeitrag
               | [2] https://www.youtube.com/watch?v=BPdigJ6dOL8
        
       | ajuc wrote:
       | > The last paragraph sounds like something we've all heard
       | before. Anti-progress and looking at the past with rose colored
       | glasses.
       | 
       | Building cities around cars is not progress, and arguing for
       | making them pedestrian-friendly isn't "anti-progress".
       | Suburbanization is just one possible development path and one
       | that's not particularly smart.
       | 
       | To fight suburbanization the only thing that will work is taxing
       | external costs. So you want to live 30 km away from the city but
       | enjoy all the benefits - work there, have access to culture,
       | entertainment and services on demand? Pay for the infrastructure
       | that city needs to maintain to let you do it. This would make
       | suburban lifestyle very expansive and would stop suburbanization.
       | But people won't vote for this, because they want the profits and
       | someone else to pay for the costs.
        
         | sokoloff wrote:
         | Plenty of people want to live in the suburbs precisely because
         | they want nothing to do with the city center. They live outside
         | it; they work outside it (often on a ring road built
         | specifically to avoid the city); they shop outside it; they
         | view any requirement to go into the city as a schlep.
         | 
         | If the only "new" penalty is they can't go see the pro sports
         | team in person without paying a lot of taxes, that seems like a
         | fair trade. (Or they'll go see the NE Patriots at the stadium a
         | little over 25 miles from the city.)
        
           | ajuc wrote:
           | > often on a ring road built specifically to avoid the city
           | 
           | I wonder who financed the ring road. Curious that we don't
           | build ring roads where there's no cities.
           | 
           | > If the only "new" penalty is they can't go see the pro
           | sports team in person without paying a lot of taxes
           | 
           | The new penalty should be "you want to live in 100 km radius
           | of a city - you chip in for infrastructure it builds the more
           | the further you are". It's no accident that suburbanization
           | doesn't happen in areas where there are no big cities nearby.
           | 
           | > Plenty of people want to live in the suburbs precisely
           | because they want nothing to do with the city center.
           | 
           | Sadly you can't have suburbs without a city center somewhere
           | nearby.
        
             | sokoloff wrote:
             | > I wonder who financed the ring road.
             | 
             | In the US, that's overwhelmingly the federal government,
             | not local property or state sales/income taxes.
             | 
             | > Curious that we don't build ring roads where there's no
             | cities.
             | 
             | Indeed. Perhaps the city residents should chip in more
             | because of the need to build a ring road to avoid them? Or
             | maybe, just maybe, different choices have different cost
             | pros and cons and taking a simple, single-variable view
             | isn't rich enough to capture the whole situation. (pun
             | intended).
             | 
             | > The new penalty should be "you want to live in 100 km
             | radius of a city - you chip in for infrastructure it builds
             | the more the further you are".
             | 
             | I'd wager that suburbs, villages, and small towns 101-125km
             | away would boom under such a plan.
        
               | Macha wrote:
               | > In the US, that's overwhelmingly the federal
               | government, not local property or state sales/income
               | taxes.
               | 
               | With the way internal US wealth transfers work, that's
               | basically a way of saying "dense city livers somewhere
               | else" rather than it being suburbs US-wide paying for
               | each other.
        
           | tclancy wrote:
           | Who wants to actively avoid city centers? The Unabomber? I
           | live on the outskirts of a small city in a small state and
           | happily drive to Boston an hour away for culture, sports,
           | etc. I would love it to be closer. I don't know too many
           | people nowadays who are afraid of or resistant to going to
           | cities.
        
           | ajmurmann wrote:
           | This comment gets to the crux of the issue which the author
           | isn't touching on either. The author points out that we need
           | more downtown area and density because that pays for more
           | than the cost of maintaining infrastructure it consumes. From
           | a city budget perspective it makes sense to then want more
           | density.
           | 
           | However, why do we have one lifestyle finance another one?
           | Why should people who live in a downtown apartment pay for
           | maintaining infrastructure for people who base their choices
           | on getting away from others? This is even more crazy given
           | that the environmental impact per capita is also much lower
           | in denser areas. I'm not even saying that we should have a
           | taxation system encourages density, but let's at least have
           | one that doesn't exploit density to subsidize the suburbs!
        
             | sokoloff wrote:
             | As far as I can tell, the city I live in isn't
             | substantially subsidizing the towns and suburbs nearby,
             | isn't paying for their roads, bridges, and snow removal,
             | and surely isn't doing that for the ones 30 miles away in
             | another state entirely.
        
               | ajmurmann wrote:
               | Within the limits of the same city or town we do see this
               | transfer though, as very clearly laid out in the article.
        
               | sokoloff wrote:
               | You also have people (like GP) advocating for a 100km
               | from the city taxation zone, which is far more than
               | "within the same city/town":
               | https://news.ycombinator.com/item?id=29955707
               | 
               | I trust city voters can address intra-city financing
               | needs, particularly if the more numerous would benefit.
        
               | ajmurmann wrote:
               | "I trust city voters can address intra-city financing
               | needs, particularly if the more numerous would benefit."
               | 
               | Well, I read the article and Strong Towns to say that
               | most cities can't.
        
               | sokoloff wrote:
               | According to the preferences and opinions of the
               | StrongTowns group. If the preferences of the actual
               | voters/taxpayers in the city differ from that group, I'm
               | inclined to go with the city residents over the
               | StrongTowns not-residents.
        
       | TulliusCicero wrote:
       | This is basically what Strong Towns harps on: the infrastructure
       | for super low density development is extremely costly relative to
       | how much 'stuff' you're building the infrastructure for.
       | 
       | Initially it's not so bad, because it takes decades before you
       | need to do replacement-level repairs/maintenance, but eventually
       | it catches up with you. Some cities escape it (at least for a
       | while) by building even more or by simply having a fantastic
       | economy, but the ones that don't...it's not pretty.
        
         | Retric wrote:
         | > Initially it's not so bad
         | 
         | This assumes it's significantly cheaper to build new roads than
         | to rebuild them which seems false on the surface. It could be
         | that replacing more roads at the same time would drive down
         | costs. If replacing ~600' of roads is 600$/foot how about
         | replacing 10 miles of roads?
        
           | burlesona wrote:
           | Actually the cost of initial construction and future
           | reconstruction is about the same. The problem is the initial
           | construction is heavily subsidized either by State or Federal
           | "growth" grants, or by developers who financialize the whole
           | thing through the sale of federally subsidized development
           | loans.
           | 
           | In _theory_ what should happen is the resulting development
           | pays enough taxes to pay for all the infrastructure it
           | depends on to be rebuilt as needed (typically every 15-30
           | years depending on which kind of infra we 're talking about).
           | But in practice the taxes are not actually linked to the cost
           | of infrastructure (they are much too low) and not enough
           | funds are collected to maintain the infra.
           | 
           | This is managed by a shell game where fees from new
           | developments (who just financialized their new infra) are
           | used to pay the maintenance on old projects that are losing
           | money, and where federal subsidies for growth and expansion
           | are contorted to uses like widening a scarcely used road that
           | is falling part (bc. the feds will pay to expand but not to
           | maintain) - which solves the problem for now by making it
           | even worse for the next generation.
        
             | xyzzyz wrote:
             | > The problem is the initial construction is heavily
             | subsidized either by State or Federal "growth" grants, or
             | by developers who financialize the whole thing through the
             | sale of federally subsidized development loans.
             | 
             | Cities also "financialize" the whole thing by selling
             | bonds. The real difference is that when the developers
             | originally build roads at their own expense (recouping it
             | by the sale of the properties they developed), they pay
             | much less than what the city then pays later to repave
             | them. If you frame the question instead "why does the
             | government pay so much more than private companies for the
             | same products and services", it pretty much answers itself.
        
           | dantheman wrote:
           | Most of the time the roads are built with grants from the
           | state or federal government.
        
             | yellowbeard wrote:
             | Or by developers
        
               | acdha wrote:
               | This is also a problem if they don't have good oversight:
               | the developers often cut corners or build something which
               | will look good when they're selling units but costs more
               | to maintain.
        
             | Retric wrote:
             | I was assuming based on the age of the town they where
             | continuously paying for roads, grants make this much
             | easier.
             | 
             | If they didn't have to pay for the roads to begin with they
             | have 30 years to set aside money for the replacement. Even
             | minimal interest would drastically reduce their out of
             | pocket costs. Grants turn this into a question of bad
             | fiscal management, which is definitely an issue but says
             | little about how much infrastructure they have.
        
           | rout39574 wrote:
           | Roads are initially built with the promise of future returns
           | in mind. These estimates of future returns tend to be
           | affected by developers, who are acting to encourage the
           | approval of development projects.
           | 
           | Rebuilding projects are contemplated in the shadow of actual
           | returns, which are harder to lie about.
        
             | pstoll wrote:
             | > Roads are initially built with the promise of future
             | returns in mind.
             | 
             | Roads are like startups! We should get VCs in on the
             | action.
        
               | iratewizard wrote:
               | If a road could get a cut of all attached business's
               | revenue, and revenues shifted back towards small
               | businesses (i.e. away from mega corps), I could see
               | private roads being a boon and lawsuits forcing regular,
               | quality maintenance. In practice, though, I'm sure it
               | would get muddy quick.
        
               | kbenson wrote:
               | > I'm sure it would get muddy quick.
               | 
               | I see what you did there...
        
           | matkoniecz wrote:
           | Maybe it is caused by rising standards and rising human labor
           | costs?
           | 
           | There are many stories where rebuilding or just renovation of
           | a bridge was vastly more expensive than constructing it 50 or
           | 100 years ago (yes, obviously after adjusting for inflation).
        
             | trhway wrote:
             | Also include the "management/administrative tax" - these
             | days mid-management is much thicker and consumes and wastes
             | tremendously more resources.
        
             | m0llusk wrote:
             | No, that is only true when focusing on large infrastructure
             | items like bridges and the really scary numbers only show
             | up when bizarre outliers like the NYC Second Avenue subway
             | are included.
        
           | silvestrov wrote:
           | You get money from the initial sale of the lot. This convers
           | the cost of initial construction.
           | 
           | After the sale, the town only gets tax revenue which is a lot
           | less.
        
             | throwawayboise wrote:
             | Why not do a traffic study and determine what percentage of
             | the traffic on a road is using the road to get to adjacent
             | properties, and what percentage is transiting through the
             | area. Tax those adjacent properties that percentage of
             | maintenance costs of the road. So a large mall presumably
             | would be taxed for a fairly large share of the costs of
             | maintaing roads that feed customers into the mall. In cases
             | where there are roads that don't really go anywhere else,
             | they would pay 100% of the costs of maintaining those
             | roads. If 50% of the traffic enters the mall, they pay 50%
             | of the costs of those roads and the city is responsible for
             | the other 50%.
        
           | pixl97 wrote:
           | Roads aren't just roads. They are sewer pipes, water pipes,
           | gas pipes, telecommunication lines, and power lines. These
           | items age and also need replaced. Not sure how much
           | remodeling you've ever done, but refits are more expensive
           | than having something built in a new structure. It gets even
           | more expensive when this infrastructure is in use while
           | you're upgrading it.
        
         | xyzzyz wrote:
         | Can you name one city that did not escape it, and was drowned
         | in infrastructure costs? Galesburg is certainly not one of
         | them, given how roads constitute a small fraction of its
         | spending.
        
           | TulliusCicero wrote:
           | That's not really how this works. If you don't have enough
           | money to adequately maintain your infrastructure, you'll just
           | inadequately maintain it instead. You won't plow ahead and
           | spend the ideal amount of money anyway, you just let things
           | kind of go to crap.
           | 
           | So the failure state to look for isn't a city going into
           | massive debt as it drastically outspends its revenues year
           | after year, it's a city with infrastructure that's decaying
           | and falling apart because they don't have enough money to
           | take care of it. Then that's the thing that can have ripple
           | effects on the local economy and population.
        
         | KennyBlanken wrote:
         | The problem boils down to this: we've vastly over-paved and in
         | general overbuilt our road network. We've paved all sorts of
         | roads we should have left as dirt/gravel, but they got paved
         | because it's a sign your neighborhood has "made it." It's a
         | pretty high level problem a well; we built a ton of bridges
         | starting around the 50's, without anyone thinking about how we
         | were going to pay for them. Well, those bridges are starting to
         | crumble because repairing or replacing them would mean massive
         | hikes in taxes, and no politician wants to touch that.
         | 
         | Ironically, the vast majority of vehicles purchased are SUVs
         | and trucks to the point that Ford will stop selling sedans
         | entirely. At least everyone is prepared for the coming changes?
         | 
         | If we hadn't allowed the automotive industry to essentially
         | dominate american society, we'd have neighborhoods with
         | dirt/gravel roads or narrow paved paths for walking and
         | bicycles, neighborhood parking lots for those who own cars,
         | functioning bus services, lots of passenger rail, etc.
         | 
         | Instead we have a country where we're slaves to cars.
        
           | mark-r wrote:
           | I'm pretty sure that if a bridge collapses underneath you,
           | you're just as likely to die in a SUV as in a sedan.
        
           | aperson_hello wrote:
           | To be fair, the "SUVs" that are being sold are effectively
           | the same as station wagons of the past (but smaller and with
           | better gas mileage).
           | 
           | Hopefully self-driving cars will get us out of this pit of
           | car-centric infrastructure, but that's a solution that's been
           | a few years out for the past decade.
        
             | plorg wrote:
             | Can you outline how this is supposed to free us from car-
             | centric infrastructure? Unless it's coupled with style kind
             | of Uber-subscription dystopia we would still need room to
             | park all of these vehicles. While downtown parking can be a
             | problem, garages aren't, and neither of these problems is
             | on there scale of the larger infrastructure problems.
             | 
             | The biggest problems with car-centric infrastructure are
             | that they require a huge amount of ever-larger roads to
             | funnel people (in cars) often tens of miles to do anything.
             | Even in the rent-a-taxi scenario you would still need these
             | roads, which would probably need more maintenance, not
             | less. And all of that sprawl has knock-on effects as roads
             | create divisions in communities, and low-density housing,
             | enabled by car infrastructure, means you have and know
             | fewer neighbors.
        
               | mark-r wrote:
               | At least the Uber-style infrastructure doesn't require
               | oversizing everything. Even if my car is used 90% of the
               | time for commuting by myself, it has to be big enough for
               | the other 10% of the time when I'm taking the family and
               | our luggage.
        
           | mitigating wrote:
           | This might be ideal for side roads leading to a few houses
           | but if it's major parts of a town aren't you just move the
           | cost of roads somewhere else?
           | 
           | i.e. "I hope you can afford a truck, SUV, or constant repairs
           | to your suspensions/tires"
        
           | rexreed wrote:
           | Many Roman roads have lasted a long while. Maybe we should
           | move back to cobble stone? Certainly easier to patch and
           | replace and open up for underground utilities.
        
             | m0llusk wrote:
             | Roman roads were built with extremely robust foundations
             | below which required very large amounts of labor to put in
             | place.
        
               | throwawayboise wrote:
               | We have excavators, bulldozers, graders, etc, we don't
               | need to use slaves to hand-dig road foundations.
        
             | Naga wrote:
             | I'm assuming you're speaking tongue in cheek, but I thought
             | about why we have problems that the Romans didn't.
             | 
             | I don't know about ease of maintenance and access to
             | utilities, but Romans did not have trucks that destroyed
             | the roads (the ratio of weight of vehicles to the wear on
             | the road is exponential, not linear), but I have no concept
             | of how cobblestone is affected by trucks. Roman roads are
             | also affected by survivorship bias (we see the roads that
             | survived, not 90% of the roads that haven't) and they were
             | not affected as much by freeze/thaw cycles as North
             | American roads are.
             | 
             | My intutition says that they also probably were not
             | generally as wide as North American roads. Drivers here
             | have an expectation of being able to drive at high speeds
             | without worrying about passing on coming traffic - Pictures
             | I've seen of Roman highways were not two wagons wide. Less
             | road width means less maintenance since there's physically
             | less roads.
        
               | rexreed wrote:
               | Yes, somewhat tongue in cheek, but it's an interesting
               | thought exercise. For the high traffic streets where
               | there is high speed and also lots of heavy traffic, for
               | sure, asphalt dominates for many good reasons.
               | 
               | But for the problems this article discusses for smaller
               | cities where their population has moved to suburbs and
               | exurbs and where the commercial centers have similarly
               | moved out of city core, perhaps the more durable approach
               | to cobbles (or brick) might be an interesting way to
               | address ongoing maintenance challenges. It's mostly a
               | thought exercise, but an interesting one.
        
             | mitigating wrote:
             | Can you really drive on those at high speeds, is it
             | dangerous? There's a few short blocks in NYC that are still
             | cobblestone and even at 30mph it sucks.
        
               | warning26 wrote:
               | Honestly on some roads, I'd argue that's a feature.
               | 
               | It's ridiculous when there is a wide, flat, straight
               | asphalt road surface with a speed limit of 25mph. Build
               | it out of cobblestones, and 25mph suddenly feels a lot
               | faster!
        
               | rexreed wrote:
               | Indeed, that's the core of the argument made in this
               | article here (from 2009) which is arguing for a return to
               | cobbles / bricks for Georgetown:
               | https://georgetownmetropolitan.com/2009/01/16/why-not-
               | allow-...
        
               | mark-r wrote:
               | The problem is that today's cobblestones are pale
               | imitations of the old ones, and won't last nearly as
               | long. There's a parking lot near me built about 5 years
               | ago, and they tried to be decorative with part of it and
               | made it from concrete shaped to look like cobblestones.
               | Because of the grooves and surface treatment it is much
               | weaker than standard concrete, and it's crumbling.
        
             | op00to wrote:
             | The Roman roads that last a long time are outliers. Most
             | Roman roads are long gone.
        
             | occz wrote:
             | The roman roads didn't have to bear the load that modern
             | roads do. Road wear is approximately (weight^4 ), meaning
             | that the only vehicles that even matter in the calculation
             | are trucks.
        
           | TulliusCicero wrote:
           | I think it's fine roads are paved. It's just that said roads
           | are wider and effectively longer to service the same number
           | of people, and this is due to zoning and the way property tax
           | is handled.
        
           | acdha wrote:
           | The other big thing was identifying the ideal as a detached
           | single family house with a large lawn and dense housing as
           | mostly for poor, likely brown, people with a few exceptions
           | for rich people in desirable locations. Even things like
           | condos have something of a "hasn't made it" stigma for a lot
           | of people, and that kind of thinking really locks in a lot of
           | inefficient land use.
           | 
           | Awhile back I read an observation which really stuck with me
           | questioning how much of the nostalgia many people have for
           | college is due to that being the closest many Americans come
           | to living in a walkable, high-density environment. Most
           | people could do a lot better than 1-2 hours a day in solo car
           | travel soaks up.
        
             | subroutine wrote:
             | Galesburg Illinois has a total population of 30k people, so
             | nobody in Galesburg is spending 2 hours in a car unless
             | they're commuting to another state.
             | 
             | I grew up not far from Galesburg, in a town roughly the
             | same size. Many of the rural subdivision roads outside of
             | downtown are paved with chipseal [1] rather than asphalt
             | concrete or portland cement. While chipseal is certainly
             | not as nice as concrete to drive on, it is much cheaper to
             | maintain. I remember the road in front of my house getting
             | re-treated every few years. Meanwhile the paved blvd
             | connecting all these subdivisions hasn't been maintenanced
             | since the 1980s, and is turning to rubble. So I personally
             | think the problem (at least for small-ish midwestern towns)
             | is the bias of state DOTs towards creating new
             | infrastructure (paving new roadways / bridges) over
             | maintaining the infrastructure they've already built
             | (there's no ribbon-cutting ceremony when you're just
             | filling potholes). Of course, this mentality only
             | exacerbates the problem.
             | 
             | [1] https://en.wikipedia.org/wiki/Road_surface#Bituminous_s
             | urfac...
        
               | acdha wrote:
               | > Galesburg Illinois has a total population of 30k
               | people, so nobody in Galesburg is spending 2 hours in a
               | car unless they're commuting to another state.
               | 
               | Yes, that's why that was the upper range. Note also that
               | I did not restrict it to commuting -- designing around
               | car-only transportation means that almost every common
               | activity becomes time spent immobile in a car, and people
               | famously underestimate the amount of time they spend
               | driving, looking for parking, etc. -- usually "a 20
               | minute drive" means "25 minutes if you exceed the speed
               | limit, hit every light, and there's minimal traffic and
               | parking right in front". If you start measuring that, you
               | realize how much time people spend on things like
               | unnecessary (we have relatives who'll spend an hour going
               | shopping for like half a bag of groceries) or single
               | purpose errands in addition to commuting.
               | 
               | > So I personally think the problem (at least for small-
               | ish midwestern towns) is the bias of state DOTs towards
               | creating new infrastructure (paving new roadways /
               | bridges) over maintaining the infrastructure they've
               | already built
               | 
               | Definitely -- and one big factor for this is that single-
               | occupancy vehicles are extremely inefficient so there's
               | always this call to add more lanes or a bypass road to
               | "defeat" traffic, but that reliably encourages more usage
               | so conditions usually only improve for a few months after
               | opening.
        
             | rayiner wrote:
             | "Brown" people love single family detached houses with
             | large lawns. My Bangladeshi family members who immigrated
             | to Queens moved to Long Island as soon as they were able to
             | afford to do so. One of the major demographic shifts in
             | this country is upwardly mobile Black people leaving cities
             | to move to the suburbs:
             | https://calmatters.org/projects/california-black-
             | population-...
             | https://www.politico.com/news/magazine/2021/12/07/chicago-
             | bl...
             | 
             | I like "walkable, high-density environments" myself, but
             | most people who care about that are highly educated white
             | people and white-adjacent minorities. Which is fine!
             | Urbanism is compelling on its own merits. You don't have to
             | "brown wash" it.
        
               | woodruffw wrote:
               | I interpreted the parent's comment as a reference to
               | post-war deurbanization and "white flight," further
               | fueled by openly discriminatory lending and occupation
               | policies (redlining, etc.) at all levels of government
               | and business.
               | 
               | Reurbanization by wealthy whites (and deurbanization by
               | some minority groups) are part and parcel with the
               | earlier trend, and don't entirely subvert it.
        
               | acdha wrote:
               | You'll note that I was talking about how things are
               | popularly portrayed, especially in the past -- think
               | about how "urban" became a popular euphemism when its
               | literal meaning says nothing about about race. It's not a
               | coincidence that those images shifted notably after
               | desegregation became the law of the land and that was
               | enshrined as the way to know you'd made it for decades,
               | and it's certainly not a coincidence that almost everyone
               | picked it up given how pervasive it was in mainstream
               | discourse.
               | 
               | Once that became established, a lot of inefficiency was
               | baked in: single-family rather than shared housing,
               | driving yourself in a car rather than sharing a bus with
               | strangers, not building things like sidewalks or favoring
               | cul de sac designs to discourage non-residents traveling
               | through a neighborhood, etc. You don't need to know or
               | care about the history half a century ago to think of
               | those as the default when they're what a lot of us were
               | raised in and saw on TV/movies.
        
               | rayiner wrote:
               | I still don't understand the point of the race angle.
               | Insofar as "urban" is undesirable because it's a
               | euphemism for "brown," why would "brown" people be
               | striving to move out of urban areas themselves?
               | Bangladeshi immigrants don't mind that Queens is full of
               | other Bangladeshis. They mind that it's crowded, you
               | don't have a big back yard, you have to walk everywhere,
               | etc. The things you mention--shared housing, non-
               | residents traveling though, aren't things that "brown"
               | people like any more than white people.
               | 
               | I think you've got the causality reversed. Most people,
               | regardless of race, find suburban living more pleasant
               | and more convenient. Urban areas tend to be more "brown"
               | because that's often where immigrants start out, because
               | "brown" people tend to be younger and lower income, etc.
               | Thus, whites are more able to attain the goal of suburban
               | living. But it's misleading to make it sound like the
               | suburban preference arises out of white dislike for
               | "brown" people, because the preference seems pretty
               | uniform between races. (If anything, affluent people who
               | prefer urban living are more likely to be white, judging
               | from the demographics of gentrification.)
               | 
               | Urbanists have a good point that the suburban preference
               | might be different if people in the suburbs were forced
               | to bear the externalities of their lifestyle. But that
               | has nothing to do with race.
        
               | relaxing wrote:
               | The point is why there's resistance to dense urban
               | living. You seem intent on having a different argument
               | entirely. It's ok, no one's saying people of color are
               | supposed to inherently dislike the suburbs.
               | 
               | That some hipsters have found renewed value in density
               | (mainly access to "culture") is a separate, parallel
               | development.
        
               | acdha wrote:
               | Do you really think it's a just a random coincidence that
               | suburbanization dramatically accelerated after the key
               | civil rights era cases prevented cities from segregating
               | city services? A ton of the suburbs had racial covenants,
               | there was explicit imagery around who your kids would be
               | going to school with, realtors and mortgages tried hard
               | to steer people into certain areas, police departments
               | were famous for following black or Latino drivers around
               | if they entered a white suburb, etc. That lasted for
               | decades -- Palm Beach police did ID checks on black
               | motorists to learn which resident hired them into the
               | 1980s! -- and one of the big things keeping it alive was
               | this constant narrative that there were lawless hordes
               | ready to leave the inner city and rampage through your
               | neighborhood.
               | 
               | I don't think it's the only factor but I find it very
               | hard to believe that decades of that imagery, often
               | openly embraced by the political candidates those
               | neighborhoods voted for, was coming from nowhere. Absent
               | that, I think there would have been a very different arc
               | for American cities between WWII and the turn of the
               | century.
        
               | woah wrote:
               | > Most people, regardless of race, find suburban living
               | more pleasant and more convenient.
               | 
               | This is very easy to disprove: houses and apartments in
               | urban areas cost more than in the suburbs.
               | 
               | Most people are not able to afford a large enough
               | apartment downtown because there is not enough supply,
               | and so they prefer to pay the same for a larger place in
               | the suburbs, but this is not the same as preferring the
               | suburbs.
        
             | pandaman wrote:
             | Do you mean there is some conspiracy that made people
             | believe that not sharing walls and ceilings with others is
             | somehow better than being always up to date on your
             | neighbors business including their music preferences and
             | substances they like to consume?
             | 
             | I find this very implausible. I grew up in Soviet block and
             | all my friends and relatives grew in very dense small
             | apartments yet all of them who could afford moved to houses
             | as soon as they could.
        
               | acdha wrote:
               | Millions of people make that work and there are many
               | advantages: it's cheaper, more energy efficient, and if
               | you drive less it's healthier and safer for you and your
               | neighbors. If you want to be social, like music, want a
               | variety of healthy local businesses, etc. having
               | considerably more people makes that work better.
               | 
               | My point was that when one style of living was picked as
               | the goal and heavily promoted by policy it locked in a
               | lot of negative outcomes like traffic jams and
               | challenging local government finances.
        
               | pandaman wrote:
               | This style existed since antiquity. Even Roman patricians
               | lived in villas, which were standalone houses.
        
         | trinovantes wrote:
         | Many suburban cities in Canada like Mississauga are also
         | experiencing this. They've finally ran out of land to sell so
         | they started raising property taxes and instituted levies
         | 
         | https://www.theglobeandmail.com/canada/article-mississauga-a...
        
           | defaultname wrote:
           | Mississauga has a density of 2467 people per square
           | kilometer. Mississauga neighbourhoods look like this-
           | 
           | https://www.google.ca/maps/@43.5675623,-79.740886,916m/data=.
           | ..
           | 
           | That isn't apartment building density, but that's about as
           | dense as single family homes can get.
           | 
           | Mississauga had to raise property taxes somewhat -- still
           | extremely competitive -- as a revenue source dried up. But
           | those new neighbourhoods all _easily_ pay for themselves in
           | property taxes. Nonetheless, loads of really silly narrative
           | comes out of Toronto writers, still foreboding this dire
           | scenario that they 've been pitching for well over a decade.
           | It's a bit farcical at this point.
        
             | TulliusCicero wrote:
             | > That isn't apartment building density, but that's about
             | as dense as single family homes can get.
             | 
             | Roughly the equivalent of pointing to IBM as the most high
             | paying and prestigious tech companies can get.
             | 
             | It would be trivial to increase the density there by
             | reducing setback requirements, narrowing the roads,
             | removing minimum parking requirements.
        
             | jcranmer wrote:
             | > That isn't apartment building density, but that's about
             | as dense as single family homes can get.
             | 
             | You can get a little bit denser by going full street grid--
             | Chicago's single family home districts look to mostly be
             | rocking ~6-9k people/km2.
        
               | idiotsecant wrote:
               | I might be the only one but I strongly prefer grid-layout
               | cities to these winding suburb road layouts anyhow. When
               | your city is a grid you can make street names mean
               | something and a person can navigate from place to place
               | easily and have an intuitive idea of how far away
               | something is, both without a cellphone.
        
               | toofy wrote:
               | you're definitely not the only one. grids make much more
               | sense. and not only for ease of navigation.
        
               | AlbertCory wrote:
               | I think you _are_ the only one.
               | 
               | I grew up in Chicago on a perfect grid. Now I live on a
               | street that I picked _precisely_ because you only drive
               | down it if you live there. I don 't like the sound of
               | cars driving past. That's a personal preference that
               | seems pretty generalized, even among people without kids.
               | 
               | And on a street like that, you don't need speed bumps,
               | because people aren't speeding down the street.
        
               | slyall wrote:
               | A big problem is this sort of design makes it hard to
               | walk between places. All travel involves going to the
               | main road, going some distance down that and then
               | following a new branch. Queue route map that requires 10
               | minute drive or get to the "next block".
               | 
               | Not too bad in you car but it means that you can't walk
               | or bike anywhere unless they have put in paths between
               | blocks. Means that if a 15-year-old kids wants an ice-
               | cream their parent has to drive them to the corner store.
        
               | closeparen wrote:
               | But that's the thing. The street's utility is exclusively
               | to the houses that are on it. Those houses are very
               | unlikely to be paying enough property tax to cover its
               | existence. This luxury of yours is paid for by other
               | people's productive activity in the future. Great deal
               | for you! But we the (net) taxpayers ought to think about
               | how many more of these sweetheart deals we offer to cul
               | de sac homeowners in the future, before we bankrupt
               | ourselves.
               | 
               | I'm not a libertarian, I think it's fine for government
               | to tap rich people to provide nice things for everyone,
               | but this particular nice thing (way more roadway than you
               | pay for) has a pretty bad cost:benefit, and its
               | beneficiaries are not exactly the neediest or most
               | deserving of aid.
        
               | asdfasgasdgasdg wrote:
               | He's definitely not the only person who prefers cities to
               | suburbs. What?
               | 
               | Now, I think almost everyone would prefer if their one
               | street were not integrated into the grid. That would be
               | the ideal. You live in a grid, but with none of the
               | downsides. But failing that, _many_ people opt to live in
               | denser areas rather than the burbs, even if the cost is
               | that folks sometimes drive down their street who are
               | going someplace else..
        
             | ricardobeat wrote:
             | > about as dense as single family homes can get
             | 
             | These traditional north american houses are still not very
             | space efficient at all (large unused garden + lawn + double
             | parking spot + garage).
             | 
             | "Suburban" neighborhoods in Europe easily have double or
             | triple the density of this. I also see zero townhouses or
             | anything with 2+ floors in that area.
        
               | randallsquared wrote:
               | > _I also see zero townhouses or anything with 2+ floors
               | in that area._
               | 
               | Maybe you meant 2+ units? 'Cause almost all of them have
               | 2+ floors, and many will have livable basements as well.
        
               | toss1 wrote:
               | >>(large unused garden + lawn + double parking spot +
               | garage)
               | 
               | I don't know about you, but I actively use and enjoy
               | every one of those things.
               | 
               | Perhaps you enjoy apartment living and consider anything
               | not active indoors a waste.
               | 
               | If so, good for you, I wouldn't want to impose a garden
               | or a parking spot on you. By the same token, calling
               | these out as if they could possibly not be useful, simply
               | because you do not think them useful, is at best, a
               | fallacy.
        
         | tomohawk wrote:
         | What Strong Towns hasn't figured out, but which is obvious to
         | everyone else, is that cities have really bad failure modes.
         | Unfixable failure modes.
         | 
         | The people running the cities run them into the ground by
         | applying more and more gold plating to the services they
         | provide, making sure to lard the contracts for their friends
         | who keep them elected, and pursuing their luxury beliefs
         | through unworkable policies. Eventually it all collapses and is
         | irretrievable. Then they whine about being underfunded. If only
         | they had more money, they could make their luxury beliefs work.
         | 
         | People move out of cities because they do not feel safe, and
         | the services suck.
         | 
         | It's really the only option they have, since the people running
         | the cities are completely unaccountable.
        
           | brazzy wrote:
           | I don't know in what kind of fantasy world you live in.
           | 
           | Pretty much everywhere the dominating trend is people moving
           | to cities in droves while the countryside degrades, because
           | it cannot provide the services people want.
           | 
           | Can you name any city that has "irretrievably collapsed" in
           | that way? Just one?
        
             | UIUC_06 wrote:
             | > Pretty much everywhere
             | 
             | Um, no. If you mean "moving to blue cities" no, that is not
             | the trend. Just the opposite, in fact.
             | 
             | As for "can you name any city": Sure. How about Detroit,
             | Cleveland, Newark, Camden, Baltimore, Akron, Hartford,
             | Flint, Cairo, St. Louis, East St. Louis for starters?
        
               | hibikir wrote:
               | I can tell you about St Louis. The metro area keeps
               | growing, albeit slowly. The city isn't, and it's been in
               | trouble for decades. The main secret here, and what makes
               | St Louis top lists of crime, is that the city itself is
               | quite small compared to the metro area itself, which
               | makes comparisons with unified metros be anything but
               | apples to apples. This separation is also key when it
               | comes to the failure of the city's government.
               | 
               | St Louis city was separated from the county in 1876.
               | Describing the full details would take forever, but even
               | back then, the issues were clear: The issue is the city
               | carrying costs, while suburbs get the benefits. This is
               | still true today: The metro area is now made of dozens of
               | municipalities, each of trying to have lower property
               | taxes than their neighbors, while trying to beef up their
               | economics via sales taxes, which are paid by people that
               | are often outside of that municipality. No suburb has
               | property taxes that cover their costs: This is why we
               | have unincorporated land, as absorbing it would be
               | negative to the bottom line. This is also why there's
               | such a high pressure on police as a form of revenue: As
               | highways were built in ways that gave small sections to
               | many municipalities, so they could raise money from
               | people that just pass through.
               | 
               | The city has been badly mismanaged: Its redevelopment,
               | not unlike that of most US cities, has been mostly for
               | the pleasure of suburbanites that might work there. Wide,
               | fast streets that are about as pedestrian unfriendly as
               | you can get, over 30% of downtown space dedicated to
               | surface parking or buildings solely dedicated to parking,
               | green areas that are overly large, and office buildings
               | with no commercial real estate in the first floor,
               | there's really no reason to spend a second walking the
               | streets, barring a few very narrow bar areas. Every
               | single thing that makes the suburbanite worker's life
               | easier also makes living near downtown worse, which is
               | why few people live downtown.
               | 
               | There are a couple of areas, further from downtown but
               | still within the city limits, that are doing relatively
               | well: They are the ones that have narrow, streets,
               | relatively well mixed zoning by US standards, and where
               | real estate prices are moving up. Decent dense urbanism
               | leads to working businesses. Still, everyone needs a car,
               | because outside of said small enclaves, it's really hard
               | to move without one. There's also the schooling problem:
               | In practice the affluent in St louis have abandoned the
               | public school system, and just have private schools for
               | whatever preferences you wish. High academic standards,
               | diversity-focused, aiming at ivy league universities?
               | Yep! Traditional, gender segregated religious schools,
               | teaching "traditional values", no problem. Your school
               | can be 95% white, 70% asian, 99% black... just don't
               | expect a usable public education unless the average house
               | in your district is $400k.
               | 
               | I've lived here for over 20 years, and compared to even
               | declining cities in Europe, what is so amazing is how
               | fragile the economic network is, how little you can
               | access if you walk a mile from your house. Even today, it
               | sure seems that development decisions are made thinking
               | of the people that live in a neighboring municipality,
               | instead of local residents.
               | 
               | So what is killing St Louis City, other than
               | mismanagement? That a small army of little suburbs are
               | doing their best to capture its tax dollars, while taking
               | advantage of its services.
        
               | Daishiman wrote:
               | Newark and the adjacent Jersey City and Kearny have seen
               | _a lot_ of development in the past decade, new high
               | rises, and new shops.
        
               | brazzy wrote:
               | > If you mean "moving to blue cities" no,
               | 
               | I mean "moving to cities", period.
               | 
               | > that is not the trend. Just the opposite, in fact.
               | 
               | Source, please.
               | 
               | > Detroit, Cleveland, Newark, Camden, Baltimore, Akron,
               | Hartford, Flint, Cairo, St. Louis, East St. Louis for
               | starters?
               | 
               | Don't have the time to debunk every single one of those,
               | but the first three are absolutely not examples of the
               | claims "The people running the cities run them into the
               | ground by applying more and more gold plating to the
               | services they provide" or even "People move out of cities
               | because they do not feel safe, and the services suck."
               | 
               | Those cities experienced decline due to
               | deindustrialization: the over-reliance on certain
               | manufacturing industries like steel and automotive to
               | provide jobs, which were lost to international
               | competition. People moved away because they could not
               | find work.
               | 
               | Nor are those cities examples of "it all collapses and is
               | irretrievable" - the population of Newark and Cleveland
               | has plateaued since the 1990s and is now seeing slight
               | increases. And even Detroit has seen a continuous
               | decrease of poverty and crime rates in the last 10 years.
        
           | eldavido wrote:
           | I think this is an insightful comment and I'm sorry to see it
           | get downvoted.
           | 
           | I live in a large condo building. It has its pros and cons.
           | It's great, in theory--750-1000 people pooling their
           | expertise and funds to tackle infrastructure issues. Great
           | recent example: we fixed a sewer lateral (the pipe that
           | connects to the sewer under the building). Three of them,
           | total cost 200k. Sounds a lot until you realize we spread it
           | across ~350 units (600/unit), which is roughly 1/10th what a
           | typical suburban homeowner would pay for the same thing.
           | 
           | The other side of the coin is that, in larger political
           | structures, governance REALLY matters. You can end up with a
           | relatively well-run condo like mine, or a large, wasteful
           | organization that squanders obscene sums on pet projects and
           | outright corruption.
           | 
           | Many people don't even know this, but SF has been under
           | federal investigation for high-level corruption in the public
           | works department for over a year [1]. The thrust of your
           | comment is correct. Large cities attract large amounts of
           | money, much of which gets wasted, or ends up lining pockets
           | in hard, or even "soft" corruption, with jobs and contracts
           | steered to friends (qualified or not) via patronage networks.
           | 
           | What I think you miss though, is that there's a middle
           | ground. You don't have to be either extreme drive-everywhere
           | suburbia, or a giant mega-city like Beijing or New York. My
           | home town, Homewood, IL, is a nice, walkable city of about
           | 20,000, with a nice downtown, plenty to do, and relatively
           | honest (if not always saintly) government.
           | 
           | The mid-size towns and suburbs can do a lot more to encourage
           | the kind of urbanism the author calls for. Getting explicit
           | about cultivating nice, walkable downtowns is a start. Many,
           | including Homewood, don't, because "development" and "jobs"
           | are seen as unqualified goods, without thinking about the
           | cost side of the equation (roads, plumbing, etc required to
           | service this stuff).
           | 
           | I've written for Strong Towns. What they get most right is
           | that (1) LAND is the scare resource in a town, and (2) cities
           | should explicitly encourage uses that lead to the highest
           | taxable value of that land. Big box retail isn't this. Denser
           | housing and retail districts (I own one of these buildings),
           | is. The numbers on this are simple and don't lie.
           | 
           | [1] https://www.sfchronicle.com/sf/article/Mohammed-Nuru-to-
           | sett...
        
           | TulliusCicero wrote:
           | What even are you talking about? The trend for the past
           | several decades is people moving out of rural areas, into
           | urban ones.
        
         | Kye wrote:
         | It's driven by ideology, at least in the US. Ideology rarely
         | cares for a cost:benefit analysis. If you believe cities are
         | dangerous, you'll pay any social or economic price to get away.
         | And you'll explain away all the huge drug and weapon busts on
         | the Sherriff's office page as outliers rather than seeing that
         | it's the same thing that happens in cities. I've witnessed this
         | in real time on the local Sherriff's office page. It's
         | _bizarre_ , but it's reality, and understanding that reality is
         | step 0 to actually changing it.
        
         | refurb wrote:
         | Strongtowns is an internet phenomenon (ask a normal person if
         | they've heard of Strongtowns).
         | 
         | Small towns are shrinking (and large ones, see Detroit). No
         | surprise here.
         | 
         | It's a trend that started 20 years ago and seems to be
         | reversing due to housing prices and WFH. Strongtowns is a day
         | late and a dollar short.
        
           | jackcosgrove wrote:
           | Downstate Illinois has been in decline for fifty years. The
           | climate is harsh, agriculture requires far fewer workers,
           | light industry departed, and like upstate New York the region
           | is given short shrift by a metro-dominated state government.
           | 
           | Urban planning may be a factor but smart planning could not
           | have overcome the headwinds.
        
             | stickfigure wrote:
             | > The climate is harsh
             | 
             | Doesn't this seem like a fatal issue right there? Given
             | that Americans are free to move anywhere in the US, I would
             | expect a general trend towards places that are more
             | comfortable to live. Population growth can cover up a lot
             | emigration, but the era of large families is over. Cities
             | can still draw people with cultural significance, but what
             | is the draw of Galesburg IL? Even for people that like
             | small towns, there are plenty of small towns farther south
             | with better weather.
        
               | analog31 wrote:
               | And farther north. Greetings from wisconsin.
        
               | Kon-Peki wrote:
               | > what is the draw of Galesburg IL?
               | 
               | There are two liberal arts colleges in the Galesburg
               | "metro" area that draw both students and faculty from
               | elsewhere (ps - the big one has a special 5-year 2-campus
               | 2-diploma engineering program gives you a BA from them as
               | well as, for example, a CS degree from UIUC [1]). The
               | student population and their locations support a
               | "downtown" that no city of that size and location would
               | otherwise be able to support and therefore likely draws a
               | lot of the rural population for entertainment.
               | 
               | We pass through there a few times a year on the way to
               | our favorite camping spot. I'd say their biggest problem
               | and much of the cause of the sprawl-style development is
               | that there is a bypass road on the north side of the city
               | built nearly to interstate standards, complete with on-
               | ramps and off-ramps. But it is flagged as both a US
               | highway and a state highway so the chance that Galesburg
               | has any control over it at all is pretty close to 0.
               | 
               | [1] https://www.knox.edu/academics/majors-and-
               | minors/engineering
        
       | iandanforth wrote:
       | There are a couple good ideas in the article my favorite is:
       | 
       | "As a town we are essentially a fixed plot of land cultivating a
       | crop of buildings which we tax to fund our [town]."
       | 
       | But myopic statements like "We can't raise our property taxes,
       | and we can't raise any of the other taxes to make up for the
       | difference." just strike at the heart of American self defeating
       | ideologies.
       | 
       | Also the statement "By being incorporated, our town is
       | essentially a corporation where the citizens are the investors
       | and stakeholders in the business that is Galesburg Inc." is
       | deeply misinformed. It's like saying "We have some strawberry jam
       | so we should us it to hold open this door because it's a jam."
        
       | honkycat wrote:
       | I grew up in Forgottonia, about an hour from here.
       | 
       | I have to say... A lot of the problem is brain drain, lack of
       | nature and recreational activities... And the factories did
       | leave.
       | 
       | Forgottonia gets its name because it missed out on a lot of
       | economic development and was essentially bypasses by the highway
       | system, which lead to factories moving away and the region
       | becoming impoverished.
       | 
       | I am sure there are many beautiful and wonderful small
       | communities out there, but the people have left this area and
       | they are not coming back. The jobs are not coming back, they are
       | not going to build more infrastructure, there is nothing notable
       | except for cornfields and flat forest land to bring people in.
       | 
       | I'm sure the poor infrastructure planning did not help, but my
       | opinion is that the problem with Burlington is that it has
       | nothing to offer anyone anymore.
        
       | siruncledrew wrote:
       | Great, thorough read. As someone that doesn't have any life
       | experience of what towns/suburban development was like prior to
       | the 1990s, what was interesting is the part where the article
       | brought up the types of big changes happening after WWII.
       | Building roads everywhere, zoning houses with big yards, building
       | big new commercial complexes on the outskirts because they needed
       | more land.
       | 
       | It seems like there was a ton of exuberance and pride post-WWII,
       | but terrible investment strategizing. All these "developments of
       | the future" saddle so much cost over time that it makes the
       | financial balancing act to stay long-term sustainable very
       | precarious. (Of course, this is all retrospective looking after
       | the fact).
       | 
       | What seems like a crazy takeaway is: with these towns like
       | Galesburg that have been around over 150 years, it seems like the
       | town planners in the 1870s had better judgement than the ones
       | post-WWII.
       | 
       | Despite the conventional thinking of the last 60 years across
       | these towns being all those bad investment decisions were
       | believed to be the pinnacle of American real estate development
       | and bonafide testaments of greatness.
        
         | masklinn wrote:
         | > It seems like there was a ton of exuberance and pride post-
         | WWII, but terrible investment strategizing. All these
         | "developments of the future" saddle so much cost over time that
         | it makes the financial balancing act to stay long-term
         | sustainable very precarious. (Of course, this is all
         | retrospective looking after the fact).
         | 
         | Do note that it was not just "exuberance and pride", it was
         | also a way to get white families out of inner-city mixed-race
         | neighbourhoods, and to enforce segregation.
         | 
         | This was not a secret either e.g. William Levitt refused to
         | sell levittown homes to racial minorities, and deeds came with
         | a racial covenant.
        
           | throwawayboise wrote:
           | How does this matter to how we tackle the financial problems
           | of cities in 2022?
        
             | masklinn wrote:
             | ...
             | 
             | I was specifically replying to a segment about the
             | reasoning behind the creation of those places, to indicate
             | that financial viability far from the only input into their
             | design.
             | 
             | If these cities were not created with financial viability
             | at the forefront, it's unlikely you can magically make them
             | financially viable.
             | 
             | But I guess you're more of the "ignoring inconvenient
             | history" persuasion. I've had bosses like that, always
             | asking for solutions to the problems they'd created
             | (against advice) and oddly enough never interested in riot
             | cause analysis when there was any chance it would not be
             | favorable to them.
        
       | mcguire wrote:
       | The Kensington looks to be 7 stories, .44 acres; that gives it
       | about 134,000 sq ft. There are 171 1-bed, 1-bath units, (and
       | apparently 2-bed units) so ~800 sq ft per apartment. Its total
       | property tax bill is $82,000, or about $480 per apartment, or
       | about $1.60 per sq ft. (That's a little odd, since apartments.com
       | shows a "similar rentals nearby" 1-bed, 1-bath apartment as $450
       | per mo. (But it's 250 sq ft. (OTOH, The Kensington is unlikely to
       | be entirely devoted to apartments. YMMV.)) In comparison, the
       | author's property (.18 ac, $1693.14 per year) is about 22C/ per
       | sq ft.
       | 
       | So here's my question for the author: Would you be willing to
       | live in an 800 sq ft apartment paying 7 times more property
       | taxes, per sq ft, or roughly 1/4 total?
       | 
       | (Oh, by the way, The Kensington is an assisted living facility,
       | meaning that the residents are likely paying somewhat more than
       | $480 per month (or at least Medicare is), which is likely why
       | they can afford $82,000 per year in property taxes rather the
       | Kensington being an empty building. (Trying to fill downtown with
       | assisted living facilities is an exercise for the reader.)
       | 
       | " _You could build 3 of these 18 foot wide houses and people
       | would want to live in them and they'd be profitable for the city
       | per the infrastructure needed._ "
       | 
       | Here's a collection of 18 foot wide house plans:
       | https://houseplans.co/house-plans/search/results/?q=&am=&ax=...
       | 
       | And here's realtor.com on Galesburg:
       | https://www.realtor.com/realestateandhomes-search/Galesburg_...
       | 
       | * https://www.apartments.com/the-kensington-galesburg-il/qyk39...
       | 
       | * https://thekensington.net/index.htm
        
       | sackofmugs wrote:
       | I don't understand why they divide the appraised value by three,
       | then compute 1.5% property tax from it and say they can't raise
       | it any higher. Where I live, our property tax rate is higher even
       | with a homestead exemption AND we don't divide by three. Simply
       | removing the division would fix the revenue problem according to
       | the article's math.
       | 
       | More specifically, right now I just checked and I pay 1.6% of my
       | home's appraised market value each year as property tax.
       | Galesburg pays 0.5%. So there's an easy fix.
        
         | Dumblydorr wrote:
         | Doesn't Illinois have pretty high taxes to begin with? I'm not
         | a tax expert but I've heard this repeatedly stated while living
         | in Chicago.
        
         | airza wrote:
         | It would let the revenues pay for the cost of the roads in the
         | city, but not the rest.
        
         | r_hoods_ghost wrote:
         | Yeah... I'm in the UK and my council tax (nearest equivalent)
         | is currently about 1.7% of my house's value p/a, although
         | council tax is fairly regressive and has a hard cap. Whenever I
         | hear Americans complaining about how terrible their
         | infrastructure is (and it is compared to every other developed
         | country I've ever been to) I can't help but wonder why you
         | don't do the obvious thing and just pay to fix it.
         | 
         | edit 1.7% not 2.7%!
        
           | [deleted]
        
           | arethuza wrote:
           | Interesting, our council tax here in Fife in Scotland is
           | about 1% of our house valuation and that includes water
           | supply and waste water.
        
             | r_hoods_ghost wrote:
             | Should have been 1.7% not 2.7%! Fat fingers. Combination of
             | being in band C while living in a small flat that's not
             | worth much.
        
           | ajuc wrote:
           | UK has population density of 280 people per km2, most of
           | Europe has over 100, USA has 36. It's ok if you put everybody
           | in densely populated areas, but when you spread them around
           | you either pay 10 times the taxes or get 10 times worse
           | infrastructure. There's no cheating math.
        
             | adrianN wrote:
             | Averaging over a country the size of the US is not
             | particularly useful for variables like population density
             | that most likely follow an exponential distribution.
        
             | ClumsyPilot wrote:
             | Unless you are paving the Nevada Desert, that comparison is
             | basically useless - it includes areas where nobody lives so
             | they need no maintenance.
        
               | ajuc wrote:
               | There are such areas in every country. USA might have
               | more of them but not so much more that it cancels out the
               | low population density entirely. You still have to have a
               | road going through these areas.
        
               | ajmurmann wrote:
               | That road comes out of state or federal taxes though.
               | It's still a coat but not relevant to the math about city
               | budgets. And yes, there is so much more space in the US
               | even without leaving populated areas.
               | 
               | The lower density in urban areas is still real though.
        
               | jcranmer wrote:
               | A substantial fraction of the US's land area is locked up
               | in Alaska, where there _isn 't_ "a road going through
               | [the low-density] areas." What little long-distance
               | infrastructure exists there is almost entirely driven by
               | the existence of extractive industries (notably, but not
               | exclusively, oil) that are lucrative enough to put in
               | that infrastructure.
               | 
               | Rural Europe tends to be as lightly populated as, say,
               | rural eastern US, not rural High Plains, let alone rural
               | Alaska.
        
               | ClumsyPilot wrote:
               | There aren't - look at slovakia, Czechia, Germany,
               | France. In fact, where EU is one such area?
               | 
               | The other post here has done a total length of road
               | network, which is actually a good metric.
        
               | ajuc wrote:
               | Mountains are one example. There are still people living
               | there, but not nearly as much as in the densely populated
               | parts. That's how it looks in Slovakia:
               | https://govisity.com/wp-
               | content/uploads/2018/04/Jahnaci_stit...
               | 
               | North of UK is almost empty. North-Eastern Germany has
               | population density similar to USA which is pretty low
               | compared to the rest of the country. France and Spain
               | especially are sparsely populated outside of the big
               | metro areas.
        
             | vidarh wrote:
             | Most Americans live in areas far more dense, though. Even
             | the least dense US states have far higher density in the
             | areas housing the vast majority of their populations.
        
             | Doctor_Fegg wrote:
             | In the context of this article, the difference is not as
             | much as you'd think. Basically every road in the UK is
             | paved. That isn't true of the sparsely populated parts of
             | the US.
             | 
             | The US has 4.3m km of paved road for a population of 331m.
             | That's $287bn per year upkeep (at the $20/ft rate), so each
             | resident needs to pay $864/year for road upkeep.
             | 
             | The UK has 0.4m km of paved road for a population of 67m.
             | That's $28bn per year, so each resident needs to pay
             | $421/year for road upkeep.
             | 
             | In other words, Americans should only need to pay 2x the
             | tax, not 10x the tax.
        
               | m0llusk wrote:
               | This analysis is worthless. A good place to start would
               | be with comparison of road design standards which would
               | show that American roads are built much wider and with
               | more additional features, which is stuff like curbs and
               | not necessarily sidewalks or bike paths. If Americans
               | started building roads to British standards then there
               | would be an uproar.
        
             | r_hoods_ghost wrote:
             | I suspect it's not as bad as that as it's not like people
             | are spread evenly across the USA, they're concentrated in
             | the coastal States and then further concentrated in urban
             | areas. I agree the USA's low housing density makes some
             | infrastructure more expensive to maintain though. One of
             | the other differences is that in the UK taxation raised by
             | central government pays for services that in the USA are
             | paid for out of local taxation. Education is the most
             | obvious one - schools are paid for largely out of the main
             | pool in the UK rather than being paid for via council tax.
             | There are also various redistribution mechanisms intended
             | to move money from richer to poorer areas, urban to rural
             | and England to the other nations to compensate for
             | geographic inequalities.
        
         | beowulfey wrote:
         | See the pie chart in the post again -- citizens of Galesburg
         | are paying 9.89% property tax on their home, not 0.5%. There
         | are a lot of other taxes that make up the total property tax.
         | Your 1.6% is incredibly low, in my experience.
        
           | sackofmugs wrote:
           | I don't believe their property taxes are 10%. $50,000 per
           | year on a $500,000 home? Come on
        
         | macinjosh wrote:
         | Yeah just charge the working families just scraping by that
         | make up a town like this 3 times more. Jobs done! /s
        
         | PostOnce wrote:
         | The city tax isn't the only tax, they also pay county (and
         | other?) taxes raising the total well beyond 0.5%?
        
           | PeterisP wrote:
           | Yes, but that's also an argument why "tripling the tax" isn't
           | something impossible, since tripling the tax that goes to the
           | city would mean a relatively small increase to the total
           | property tax someone is paying.
        
         | wombatpm wrote:
         | Illinois calculates property taxes off of 1/3 assessed value.
         | Apparently it allows the rates to not have to go out to an
         | insane number of digits.
         | 
         | But it gets weirder. The city/county/ whatever determines their
         | budget and uses property taxes to determine how that cost is
         | allocated across residents. What happens when housing prices
         | fall? Simple! They take a multiplier, and increase all
         | assessments by some factor.
         | 
         | People think property taxes set the budget, when in fact the
         | budget sets properly taxes
        
         | kristjansson wrote:
         | I don't get that part either. OTOH, an effective property tax
         | rate of 3.2% or so seems much more reasonable that the 9.8%
         | percent implied by his table. Assuming people but anywhere
         | close to as much house as they can afford, the city taking 10%
         | per year seems just confiscatory.
        
         | Findeton wrote:
         | Don't people think it's just crazy having to pay the overlords
         | a wealth tax? One thing is to pay for capital gains or new
         | income, but you already paid taxes when you bought the
         | house/property.
        
           | tomschwiha wrote:
           | But isn't it that you also need repair stuff with your house?
           | The same for public property - it's never "finished" and
           | needs repairing, etc.
        
             | charcircuit wrote:
             | Money spent on taxes doesn't go to fix your own property.
        
               | meheleventyone wrote:
               | No it goes to fix the shared infrastructure. People would
               | definitely like it less if they were billed for the
               | infrastructure costs directly. For example it's clear
               | here that the downtown subsidises the sprawl.
        
               | charcircuit wrote:
               | But why take it out of property tax?
        
               | imtringued wrote:
               | Are you going to tax income so landowners become richer
               | at the expense of others?
               | 
               | Do you want landlords to charge for public services that
               | they did not provide?
        
               | charcircuit wrote:
               | I don't know. I don't like paying any tax. Maybe you
               | could have the government start companies to make money
               | instead of taxing others.
               | 
               | >Do you want landlords to charge for public services that
               | they did not provide
               | 
               | I'm not quite sure what you mean by this, but it's not
               | legal to sell an item or service and then not give them
               | that item / service.
        
           | pessimizer wrote:
           | Do you think that it costs the government more to protect a
           | homeless person or a person with a house? Do you think it
           | costs the government more to protect a person with a house,
           | or a person with a mansion?
           | 
           | Piles of wealth require protection. Without government
           | protection, they would be expropriated without considerable
           | expenses on private security.
           | 
           | Income tax is the tax that is hard to justify. Wealth taxes
           | are taxes to protect wealth, and sales/transaction taxes are
           | taxes to enforce sales and transaction agreements.
           | 
           | Libertarians believe those should be the only functions of
           | government. If you don't even believe in those, you're an
           | anarchist, or maybe even a Mad Maxist.
           | 
           | edit: imagine the absurdity of people sharing a rented shed
           | paying as much for fire and police protection as a person in
           | a mansion.
        
             | nivenkos wrote:
             | Yeah, income tax is the real evil.
             | 
             | I live in Scandinavia, and the high income tax (and no
             | property or inheritance tax) keeps the class system intact
             | for generations. You can't work your way up when the
             | government is taking almost 60% of your income.
             | 
             | That said, I'd still prioritise abolishing sales tax on
             | groceries and electricity here. Both are incredibly
             | expensive and make life a struggle for a lot of working
             | people.
        
               | mavhc wrote:
               | Most countries have more of a scaled income tax, but
               | Sweden has 57% if you earn 1.5x the average. Why is that?
        
               | nivenkos wrote:
               | To keep the class system intact. The ultra-wealthy don't
               | pay much more tax (and don't pay property or inheritance
               | tax, and capital gains tax is also lower than income tax
               | (wtf?)). It's a far less progressive country than the
               | marketing would have you believe.
               | 
               | And unfortunately all the political parties are just
               | focussed on giving more money to the boomers or
               | liberalising the housing market, so it won't change any
               | time soon.
        
               | lordnacho wrote:
               | I think inheritance tax differs across Scandinavia, just
               | a small point really not detracting from your message. In
               | Denmark there's definitely one, Sweden it's none or much
               | lower, not sure.
        
               | ptr wrote:
               | You can even chose to pay 0.375% on your assets p/a,
               | instead of the capital gains tax. Pretty good. But you're
               | exaggerating the income tax situation. ~60% is the
               | marginal tax rate, you only pay that for a part of your
               | income over a certain level.
        
               | sokoloff wrote:
               | Can you choose year by year? I'd think most years 37.5bps
               | on assets would be way cheaper than capital gains, but in
               | a down year, you might choose to pay capital gains. (Or
               | you could "bunch" realized gains into every other or
               | every third year and take the wealth tax option only that
               | year.)
        
               | ptr wrote:
               | It's a special kind of account, you can sell everything
               | and withdraw the proceeds, then buy new assets outside
               | that account. So you can choose, but not retroactively
               | (unfortunately!)
        
               | pessimizer wrote:
               | Consumption taxes are regressive and bad, but at least
               | they're justifiable. Without government protection, the
               | poor/weak have no rights that the rich/strong have to
               | respect; they end up enslaved, serfs. So they pay a
               | poverty/weakness tax.
               | 
               | Imagine the effort that a government has to put in to
               | offset racist discrimination, as an example. While we
               | might say that racism is a problem caused _by_ the
               | racist, we can 't say that racism is a problem _for_ the
               | racist. It 's a problem for the race being discriminated
               | against. Levying a tax to pay for that expense makes
               | sense in a purely payment-for-services model of
               | government. Lots of Europe used to charge Jewish taxes,
               | and the Islamic world both Jewish and Christian taxes.
        
               | nivenkos wrote:
               | I see it more as a reasonable way of shaping behaviour.
               | Like taxing diesel, cigarettes, alcohol, etc. is fair
               | enough if it helps create a better society.
               | 
               | Taxing electricity whilst trying to encourage people to
               | switch their homes from gas and their cars from diesel,
               | is just crazy.
        
               | pessimizer wrote:
               | You then run into the question of _whose vision_ of a
               | better society you 're enforcing. But aside from that you
               | can really look at those taxes as something to _offset_
               | the additional costs of commerce in those things. We 've
               | agreed that emissions are a danger, cigarettes raise
               | health care expenditure, and alcohol raises police
               | expenditure. We use those to justify the specific amounts
               | of the taxes.
               | 
               | If this weren't the justification, there's no reason not
               | to just ban the things you don't approve of altogether,
               | rather than just taxing them.
        
               | ClumsyPilot wrote:
               | "Without government protection, the poor/weak have no
               | rights"
               | 
               | Without government protection the poor start cutting off
               | heads, see the French revolution. Every time there is
               | civil unrest, from peasant uprising in medieval Russia,
               | to Occupy Wallstreet to Anonymous DDOSing websites, the
               | government is out in force to out it down.
               | 
               | Having a few limits on power, like "you cant discriminate
               | by race, but discriminating by class is cool" does not
               | mean thay the state is suddenly protecting the poor.
        
             | charcircuit wrote:
             | >Do you think it costs the government more to protect a
             | person with a house, or a person with a mansion?
             | 
             | These are the same. If someone were to trespass onto your
             | property it's going to be up to you to defend it. The
             | police are too far away to come save you. There's no
             | difference from the police's perspective since the size of
             | your property doesn't matter to them. Whatever work they do
             | upstream to protect you does not depend on the size of your
             | property.
        
               | imtringued wrote:
               | If the police were close to you, the value of that plot
               | would be higher, or at least its associated costs would
               | be.
        
             | roenxi wrote:
             | > Do you think that it costs the government more to...
             | 
             | These are trick questions, it costs the same amount. The
             | cost to arrest a criminal is the same no matter who they
             | are robbing. Ditto the fire & police protection - those
             | emergency services protect lives that are equally valuable.
             | 
             | And it is obviously cheaper if wealthy people take on
             | private protection - they already pay the vast bulk of
             | government services which are mostly rich -> poor transfer
             | payments. If it were a reasonable option, the billionaires
             | of a country would take their own private army over a
             | government funded one. It would cost them half as much as
             | the taxes they pay if they live in the US (because transfer
             | payments make up around half of US government spending).
        
               | adrianN wrote:
               | If there is something of higher value to steal, thieves
               | are willing to take larger risks to get it, so you have
               | to expend more effort if you want to prevent that.
        
               | pnut wrote:
               | Plus supervillains. They're notoriously expensive to
               | arrest.
        
               | ClumsyPilot wrote:
               | "If it were a reasonable option, the billionaires of a
               | country would take their own private army over a
               | government funded one"
               | 
               | We already ran this experiment, it was called Feudalism.
               | We don't have Barons and Lords because they got
               | obliterated by unified nation states in wars, every time.
               | 
               | There are people who'd give their life for
               | America/Freedom/ etc, have you ever met anyone who would
               | for Mark Zukerberg?
               | 
               | Under current system police enjoys mahor privilidges -
               | qualified immunity, resisting arrest is a crime, etc.
               | Since such multiple private army/police's might come into
               | conflict, those privilidges have to go. We'll be back at
               | feudal warfare
        
               | roenxi wrote:
               | > We don't have Barons and Lords because they got
               | obliterated by unified nation states in wars, every time.
               | 
               | Arguably the most militarily successful empire in history
               | [0] has Barons and Lords and is nearly contemporary with
               | this conversation (Elizabeth II isn't even dead yet). I
               | agree democracy is better, but "we're better organised
               | and we'll whack you if you don't pay protection money" is
               | a weak justification for taxes. The counterargument is
               | that bullying is a decent tactic but a bad strategy - it
               | is hard to get people to seriously buy in to bullying and
               | relatively unstable when the situation changes.
               | 
               | [0] https://en.wikipedia.org/wiki/British_Empire
        
           | PostOnce wrote:
           | Houses need roads and plumbing and a fire dept and electrical
           | and all kinds of stuff, dog catchers and such.
           | 
           | These things aren't a buy once product, they require
           | maintenance fees.
           | 
           | Civilization costs money, and its worth it.
        
           | TulliusCicero wrote:
           | No, because the services you expect from living there do need
           | to be paid some way or other.
           | 
           | > One thing is to pay for capital gains or new income, but
           | you already paid taxes when you bought the house/property.
           | 
           | Servicing the property obviously costs ongoing money, so why
           | wouldn't the taxes be ongoing?
        
           | pessimizer wrote:
           | > Take for example the taxes I pay on my home. I pay $260.17
           | to the city every year in property taxes. I live on a 60 ft
           | wide lot. If you take the $20/ft/year road maintenance
           | metric, cut it in half because I'm just on one side of the
           | street, and then multiply it by the width of my lot you get
           | $600. I would need to contribute $600 a year through my
           | property taxes to just pay for the maintenance of the portion
           | of the street in front of my house. But I'm not, I'm
           | contributing less than half. Almost no single family houses
           | are contributing enough in property tax to support basic
           | necessary maintenance of the street in front of their house.
           | 
           | > The smallest lot width you can have in Galesburg with the
           | current zoning code is 50ft in R3 districts. With that 50 ft
           | lot you would need a house worth $98,500 just for the city to
           | break even on the maintenance of your portion of the street.
           | If you have a 100ft wide lot you need an assessed value of
           | $197,000 to break even. While wide lots may be nice to have
           | and historically how we've built housing, they have a tough
           | time paying the city back for the services they consume.
           | 
           | > Is every house and building going to pay for all the
           | infrastructure it uses? No. There will be plenty that do not.
           | Does that mean that corner lots have to be twice as valuable
           | to pay for both the streets? Also no. Another way to look at
           | properties in an apples to apples comparison is to use the
           | metric of total property taxes paid per acre. Why is that?
           | The greater the area the further road and water
           | infrastructure needs to extend and the further away police
           | and fire services need to travel. So comparing on a per acre
           | basis is a good proxy for how productive it is for the city.
        
             | ChrisMarshallNY wrote:
             | I pay over $4,000, for a 75-foot-square lot. People marvel
             | at how low my taxes are. The average around here, is three
             | times as much.
             | 
             | It doesn't bother me that much. I live in a fairly affluent
             | area, with good services and infrastructure. The schools
             | are also excellent.
        
           | imtringued wrote:
           | It is crazy to have private ownership over publicly funded
           | services. The government built the infrastructure that made
           | your plot of land valuable so it is only fair to pay a land
           | value tax. If you don't do that then the rich will become
           | your overlord instead and they charge as much as they can get
           | away with.
        
           | barnabee wrote:
           | No, I think property (or better, land value) taxes are
           | probably the _most_ justifiable of all taxes.
           | 
           | You are occupying land, which is scarce. Noone else can use
           | it, but except for some accident of history or geography you
           | have no more right to one there than anyone else. It makes
           | total sense that you compensate society for your use of the
           | land.
           | 
           | There is a lot to like about Georgism.
        
             | Proven wrote:
        
           | igorkraw wrote:
           | There are people (free market people, not communists) who'd
           | argue the idea of owning land as a private person and
           | extracting rent/speculation is folly itself and who'd argue
           | you should either pay much higher taxes (Georgism) or they
           | you should only be able to lease land from the community
           | around you.
           | 
           | Free market capitalism doesn't work well (in terms of social
           | welfare) with natural monopolies, and land could be called
           | the ultimate natural monopoly.
        
             | michaelt wrote:
             | _> There are people (free market people, not communists)
             | who 'd argue [...] you should only be able to lease land
             | from the community around you._
             | 
             | At first this sounded like an extreme point of view to me -
             | then I realised how often I've heard people saying there's
             | nothing wrong or exploitative about being a landlord. We,
             | as a society, see nothing wrong with people spending their
             | entire lives living on rented property.
        
               | imtringued wrote:
               | The landlord can't exploit you, only the land owner can.
               | It just turns out that they are usually the same person.
               | In the case of the homeowner they are not.
               | 
               | Also, if we consider taxation exploitative then we should
               | limit it to resource based taxes like land value tax.
        
             | radu_floricica wrote:
             | Eh, that's an extreme position. Mostly we say that property
             | taxes should be around half the land rent value, i.e.
             | around half the value the property generates without taking
             | into account what's built on it.
             | 
             | This has the rather obvious difficulty of having to
             | estimate the yearly value generated by the land itself,
             | which is a topic too large for me (but solvable), while
             | having a large number of advantages. It aligns incentives
             | very very well, and that's hella important. If a
             | municipality develops an area with proper regulation,
             | infrastructure and various services, the land value grows
             | which gives them extra income. It has a much more direct
             | invest->income dynamic.
             | 
             | It also incentivizes owners to be a lot more aligned to the
             | interests of the community around them. You want to have a
             | home with a large yard in the middle of the city, instead
             | of developing it more in line with the location? You can,
             | but you'll pay for it.
             | 
             | It also forces owners to align to the community around them
             | continuously. If currently you own a piece of land which is
             | way underdeveloped, the only moment when anybody even cares
             | about this is when it's being sold. As opposed to having to
             | adjust each year to current land value and land taxes -
             | you're not forced to do something about it, but it's surely
             | on your mind a lot more when you see taxes grow.
             | 
             | Ah, and it fixes NIMBY, and dramatically lowers rent.
             | Apartment buildings are very efficient, so they'll be
             | favored exactly where they make sense - in crowded, high-
             | value land areas.
        
               | imtringued wrote:
               | Baden Wurtemberg doesn't give a damn about the complexity
               | of the assessment, they already have to assess land value
               | for estate taxes. The assessment argument is actually
               | complete rubbish. The assessment rules for the rest of
               | Germany are significantly more bureaucratic. Assessing
               | building value is an even bigger nightmare because you
               | cannot automate the majority of assessment work. You also
               | don't have to asess every single building. You can asess
               | the value of bigger plots of land spanning multiple
               | properties and allow an appeal process for special
               | circumstances.
        
               | pessimizer wrote:
               | Why half? Is that just an arbitrary number?
        
               | radu_floricica wrote:
               | Theory says 100%, half is just a realistic target.
        
       | tr33house wrote:
       | This is a general statement about smaller towns in general: I
       | also think that the fact that the US birth rate is falling (for a
       | myriad of reasons) is partly to blame. Not that the author can do
       | anything in particular about it but it's a problem we must face
       | as a society
        
         | Dumblydorr wrote:
         | Yeah, the author's video shows a hustling bustling main street
         | with children running around. Today, the children are half as
         | numerous, and they're all inside to be sheltered from the
         | lethal traffic that they could run into.
         | 
         | I have many acquaintances who won't procreate for economic or
         | climate reasons. I totally get that, however if everyone chose
         | that path, there'd be no more human race, other than the
         | occasional accidental child. That would lead to demographic
         | collapse, the aging populace wouldn't have anyone to support
         | their wants and needs. Not a good outcome.
        
       | intrasight wrote:
       | I live in a "strong town". On my modest home, I pay $8000/yr in
       | property taxes. In addition I pay over $10,000 in local income
       | tax to the town. The housing market is strong. Houses sell within
       | days. The schools are excellent. The roads are well-maintained.
       | The community center is awesome. Taxes are too high for sure, but
       | we get outstanding services and facilities for those taxes.
       | 
       | Galesburg is a city not a town. It can't benefit from the wealth
       | effects of a town within 20 minute commuting distance (car and
       | bus and light rail) of a major city. Small cities like Galesburgh
       | can only thrive if they bring in significant outside money -
       | usually in the form of tourism and tourist who decide to stay. I
       | think of Bend OR as an example.
        
       | AndroidKitKat wrote:
       | I don't live there anymore, but it so weird to see my hometown on
       | the front page of Hacker News. Some of my friends still live
       | there and it is depressing to hear them talk about what's going
       | on. When I have gone back and visited, nothing seems to be the
       | same anymore, save for the few restaurants I liked.
        
         | stephaniepier wrote:
         | Small world, it's my hometown too! I had to do a double take
         | when I saw the headline. My parents are still there but they're
         | looking to leave. It's so different there than it was 20-30
         | years ago.
        
       | curious_cat_163 wrote:
       | This will sound off-topic. Not being snarky, but genuinely
       | curious about answers:
       | 
       | How do you ensure equality of opportunity to all students
       | everywhere if the quality of education they receive is tied to
       | how wealthy their town is?
       | 
       | Surely, there can be a better answer for small towns.
        
         | collaborative wrote:
         | Controlling funding for education is extremely tempting for
         | state and national politicians. It's better handled at a local
         | level because this way you give parents a chance at choosing
         | the type of education students receive
         | 
         | The drawback is the inequality in funding
         | 
         | But just to give you an example of what can happen when
         | education is funded at a state level: majority of voters could
         | elect an oppressive regime that targets minorities, and impose
         | a certain type of education that is detrimental to them (i.e.
         | not in their mother tongue)
        
         | lotsofpulp wrote:
         | I do not see how you can replace the benefits of network
         | effects of growing up in and around wealthy and knowledgeable
         | people and their families. It is human nature to trust people
         | more in your own network or close to your own network than
         | outside of it.
        
       | chrisco255 wrote:
       | Retail isn't coming back like it was. Downtowns in the past
       | centered almost entirely around retail businesses. The author
       | spends a lot of time bemoaning Walmart and other big box stores,
       | but even the box stores themselves are facing more pressure than
       | ever from Amazon. A small retail store in a run-down third rate
       | city doesn't stand a chance at success against the economies of
       | scale and expectations of consumers that exist today. If a town
       | can draw in boutique retail and bars and restaurants, it can
       | sometimes be revitalized to an extent, but that seems to be the
       | extent of what's possible with old downtowns.
        
         | mark-r wrote:
         | I read a story in the last couple of years about small towns
         | that shot themselves in the foot by keeping out the big box
         | stores - I wish I could find it again. The theory was that the
         | traditional small downtown couldn't meet 100% of everybody's
         | needs, so they started shopping at places like Amazon. And once
         | you start shopping at Amazon, it just becomes convenient to do
         | more and more of your shopping there. Suddenly instead of your
         | downtown being killed by the big boxes a mile out of town,
         | they're being killed by someone much bigger and farther away
         | and harder to fight back against.
        
           | rdtwo wrote:
           | Yeah small retail is basically done. All that's left if
           | restaurants and services. And those are getting destroyed by
           | Covid.
        
         | ghaff wrote:
         | I live in the country near a couple of small cities about an
         | hour outside of a major city. The small cities are probably
         | best described as "hanging on." I basically frequent businesses
         | that aren't food oriented once in a blue moon--and never walk
         | around the downtowns. I do shop in the city limits but it's
         | mostly either a supermarket or the Walmart. The travel agency
         | downtown sure isn't going to pull in a lot of traffic.
        
       | javitury wrote:
       | > As a town we are essentially a fixed plot of land cultivating a
       | crop of buildings which we tax to fund our corporation
       | 
       | This is a very interesting point of view that I have not seen
       | anywhere else. However it omits side-effects that buildings have
       | on citizens other than taxes, e.g. hospitals improve health,
       | universities improve human capital of citizens, factories create
       | network effects with respect to suppliers and retailers, etc. A
       | healthier and more educated workforce will be more productive and
       | a healthier business network will add more value generating more
       | sales taxes and increasing property value.
        
         | TulliusCicero wrote:
         | The analogy has limits, but it's a useful framing when you're
         | dealing with finances like this.
        
         | asimpletune wrote:
         | Yeah I was just thinking about that. Basically, using business
         | terms, those things you mentioned should be thought of as
         | liabilities. Maybe it's not the perfect analogy, but if
         | everything can somewhat be captured or at least get within the
         | right order of magnitude, I think it could maybe help guide
         | decisions towards creating the optimal density.
        
         | treis wrote:
         | It's a good strategy when you're playing SimCity but the real
         | world doesn't work that way. The major costs of government, as
         | the article's pie chart clearly shows, are services to people.
         | And in the real world dense cities spend more on services per
         | person than rural areas.
         | 
         | It's just the fundamental misconception that underlies all
         | these sorts of articles. Land doesn't pay taxes and land
         | doesn't really consume resources. People do.
        
           | ghaff wrote:
           | And it's usually even simpler than that. Most property taxes
           | go to education, which is usually a higher cost per student
           | in cities (for often worse outcomes). And a decent chunk of
           | the balance is police and fire.
        
         | imtringued wrote:
         | You can charge for the presence of the hospital through a land
         | value tax.
        
       | op00to wrote:
       | Apparently fire codes don't exist in this dudes mind.
        
       | dfadsadsf wrote:
       | I saw a few articles like that on Strongtown. They make for a
       | good story but frankly economically they do not make sense for
       | me. In my surburban town with pretty big lots, school taxes are
       | 2/3 of property tax and things that are more expensive in
       | surburban setting than in the city (roads, sewer, electric, gas
       | hookups) are something like 10% of taxes.
       | 
       | Even in this story, city currently spends 3.2M/year maintaining
       | the roads. City has 15k housing units so city currently spends
       | roughly $200/house on roads. It's $16/month. Author thinks city
       | actually need to spend 4.2M - this is $280/year per house which
       | is only $23/month. That's really not much even if cost need to be
       | doubled. Hardly unaffordable. This is per dwelling - not even per
       | person and does not count that commercial buildings pay more so
       | residential rate is even lower.
       | 
       | Electric/water/sewers generally pay for themselves thru user fee
       | - I think average is $20-60/month/house for sewer/water in US and
       | electric is thru usage fee. School busing in rural setting is
       | probably a bit more expensive but is still rounding error in
       | overall school budget.
       | 
       | Everything else - school, governance, police, fire are probably
       | about the same in rural areas and in the dense city. SF is a shit
       | city with 15k/year spending per person and most rural/suburban
       | areas are much nicer on a fraction of that spending.
       | 
       | Overall rural lifestyle does not cost much more than the city in
       | infrastructure costs - and I did similar calculations for
       | previous strongtown articles. On a feeling level it make sense
       | that dense city should be cheaper but reality is frankly it's
       | not.
       | 
       | US cities has a lot of problems but frankly cost of maintaining
       | roads is not the thing that will bankrupt them.
        
         | burlesona wrote:
         | You are mistaking "what Cities spend on maintenance" for what
         | it would cost to _fully maintain_ the system. The author does a
         | good job spelling this out:
         | 
         | > If we convert 177 miles into feet it's 934,560 feet of road.
         | At $20 per foot per year, we would need to spend on average
         | $18,691,200 a year on road maintenance just to keep all of our
         | roads properly maintained.
         | 
         |  _Note his actual estimate is ~$18.6M not the ~$4M you quoted -
         | that was his hypothetical "even if I'm wrong by 4x too high"
         | number._
         | 
         | > According to the capital improvement plan from earlier we are
         | planning to spend an average of $3,220,000 per year.
         | 
         | Note that the author's cost figure is _just for roads_ and does
         | not include other similarly expensive infrastructure like water
         | lines that _are_ included in the city 's Capital Improvements
         | budget.
         | 
         | The reason for this gap in infra funding is they don't have the
         | money, so they let most of the infrastructure decay, and use
         | the money they have to patch the worst problems as best they
         | can.
         | 
         | Every city in America is doing this. We just so used to it we
         | don't think anything of driving on roads that are full of
         | cracks and potholes and generally falling apart.
         | 
         | This gap is why the American Society of Civil Engineers gives
         | the US a C- on infrastructure.
         | (https://infrastructurereportcard.org)
        
           | fallingknife wrote:
           | I don't buy the $18 million number. If the city has been only
           | doing one sixth of the required maintenance, the roads would
           | already be degraded to a point where it was obvious.
        
             | aqme28 wrote:
             | Did you see the posted photos of that road? It's as obvious
             | as you describe.
        
             | prepend wrote:
             | It's more likely that the authors napkin math is wrong. He
             | says that maybe he's 50% off but it's more likely that he's
             | 10x off.
        
             | ethanbond wrote:
             | How do you know it's not obvious? Road quality is a pretty
             | standard complaint in small town America.
        
               | fallingknife wrote:
               | I mean like undriveable obvious.
        
               | jeffbee wrote:
               | Why do you think this is impossible? My city has been
               | under-funding road repair for fifty years, is now
               | believed to be about $300 million behind, and owns 50
               | centerline miles, 22% of the total streets in the city,
               | with a pavement condition of "failed".
        
               | xyzzyz wrote:
               | Can you tell me which city is that? I'd like to take a
               | stroll using Street View, to see what failed
               | infrastructure looks like.
        
               | jeffbee wrote:
               | Berkeley, California.
               | 
               | For a typical but also amazing example, see the photo at
               | the top of https://mtc.ca.gov/operations/programs-
               | projects/streets-road...
               | 
               | ETA: Street View to get you started https://www.google.co
               | m/maps/@37.8675561,-122.2930415,3a,75y,...
        
             | rdtwo wrote:
             | The number includes replacement cost at end of life. Nobody
             | calculates for that because it's something you kick the can
             | down the road for until you have catastrophic failure then
             | you ask for state and federal funds
        
           | cortesoft wrote:
           | Maybe "fully maintained" is too high a standard for most
           | roads in most towns? Maybe we are ok with doing minimal
           | maintenance on most roads because road quality is just not
           | worth the cost?
        
           | tptacek wrote:
           | Not that I disagree with your sentiment but the comment
           | you're responding to observes that water lines --- the extra
           | infrastructure beyond roads not included in the article's
           | estimate but sort of implied as being significant --- are
           | generally paid for by user fees, not property taxes.
        
             | jeffbee wrote:
             | Water service maintenance is often a different kind of
             | pyramid scheme. In my area, for example, the user fees
             | don't even remotely cover the maintenances, so the utility
             | district relies very heavily on new service surcharges on
             | new construction. These fees are completely outrageous, a
             | minimum of $6000 for a tiny efficiency apartment less than
             | 50 square meters. This obviously raises the prices of new
             | construction. It also has the unfortunate result that the
             | utility district budget waxes and wanes with the local
             | construction market, and is subject to the whims of every
             | local zoning board, so one town that never permits new
             | construction still enjoys the flow of funds from the
             | charges collected in other cities that do build.
        
             | burlesona wrote:
             | I think this varies widely so any generalization needs many
             | caveats... but I don't think you can assume that. What I've
             | usually seen is that water _service_ , ie the cost of
             | filtration and sewage treatment and maintaining pumps, is
             | paid by user fees. Water infrastructure - the actual pipes
             | - are usually considered capital projects and maintained
             | out of different funds. But again the details vary on a
             | subdivision by subdivision level not to mention state to
             | state.
        
               | tptacek wrote:
               | That sounds right to me, too.
        
         | throwaway6734 wrote:
         | >Overall rural lifestyle does not cost much more than the city
         | in infrastructure costs - and I did similar calculations for
         | previous strongtown articles. On a feeling level it make sense
         | that dense city should be cheaper but reality is frankly it's
         | not.
         | 
         | Who pays the cost to connect these rural areas to other
         | regions?
        
         | fredophile wrote:
         | The author thinks the city needs to spend a little over $18M
         | per year just on roads. That would be about $1200 per year per
         | house or $100 per month. Considering that their total property
         | taxes are currently around $1700 per year in total property
         | taxes that's a huge increase.
        
           | [deleted]
        
           | dfadsadsf wrote:
           | To get to 18M number, author approximated that cost of repair
           | 3.5 lane medium use road in industrial area (aka heavy
           | trucks) to all roads in the town which just not make sense.
           | Cost of repair low use residential 2 lane road which is
           | majority of roads in the city is much lower and frankly
           | nobody repaves local roads every 30 years - it just not
           | needed.
           | 
           | In addition $100 per month per house is significant but if
           | it's the only thing that make small town more expensive than
           | dense city it's still does not make city that much
           | attractive.
        
             | ryandrake wrote:
             | I think there is a flaw in the author's analysis: It's
             | based on a fixed cost-per-length model. Not all roads cost
             | the same to maintain. A downtown city street that gets
             | heavy, continuous use will have to be repaired much more
             | frequently than a sidewalk-less rural road that gets ten
             | cars per day on its busiest day. City streets are also more
             | complicated to repair, often having sewer pipes and
             | electrical lines buried in close proximity, so are likely
             | more costly to repair each time, too.
        
               | bradlys wrote:
               | Did you read what they wrote? They clearly outline the
               | flaws and limitations of the analysis. They say it's just
               | an estimate.
        
             | onionisafruit wrote:
             | The author obviously put a lot of thought and effort into
             | this article. I'm surprised he let that rough calculation
             | be the basis for so much of it. I haven't looked, but I
             | suspect it isn't hard to find expected maintenance costs
             | for various types of roads.
        
               | bradlys wrote:
               | I wouldn't be surprised if the calculation is actually
               | hard to come by because no one wants to acknowledge the
               | issue. They all know the number is going to be
               | fantastically large and unable to be voted in. So, they
               | just ignore it and let the town deteriorate slowly like
               | most of the USA.
        
         | wayoutthere wrote:
         | My guess is that you live in a newer suburb where the
         | infrastructure isn't 100-150 years old. When your sewers, water
         | lines, roads, municipal buildings, etc. are over a century old,
         | you can no longer delay maintenance without cutting service
         | levels. This is why older rural areas of the country like
         | Appalachia are dotted with so many ghost towns; it stopped
         | making sense to invest in those places decades ago because the
         | infrastructure was so far gone it was just cheaper to build a
         | new town somewhere else.
         | 
         | Many rust belt towns are going through this right now; my mom
         | grew up in a rural factory town in southern NY that once had a
         | population of nearly 10,000 -- 50 years later, that population
         | is closer to 500. And still dropping because most of the lots
         | in town are unoccupied, rotting homes left behind when previous
         | owners died that would be torn down if there was the money to
         | do so, but there isn't and it drags down property values of
         | everything in the area.
         | 
         | Pittsburgh -- a city big enough to have 3 professional sports
         | teams -- has entire neighborhoods that have been abandoned and
         | fenced off after the population dropped by over 50% since the
         | 1970s. Mostly so that the city doesn't have to maintain power,
         | sewer, water and roads in those areas because there just isn't
         | the money to rebuild them. There is an entire subway system
         | under the city that has simply been abandoned due to lack of
         | upkeep. The city is on an upward trajectory again, but property
         | values in the city are still astonishingly low (10 years ago
         | you could buy a livable-if-dated house in a good location for
         | $50,000) and taxes are high.
        
           | selimthegrim wrote:
           | New Orleans could only afford to start fixing its streets and
           | sewers with the FEMA money after Katrina.
        
           | dougdonohoe wrote:
           | Pittsburgher here. What are you talking about? There is no
           | abandoned subway system under Pittsburgh. What we call the
           | 'T' is alive and well. There are also not "entire
           | neighborhoods that have been abandoned and fenced off".
        
             | jeffbarr wrote:
             | Perhaps they were thinking of Rochester, New York:
             | https://rocwiki.org/abandoned_subway
        
         | 300bps wrote:
         | Yeah I saw his property tax of $1,600 per year and how it was
         | already too high to raise.
         | 
         | Tax rates of $8,000 to $20,000 are common around me.
        
           | milesskorpen wrote:
           | Absolute numbers aren't a tax rate. 1% of $2M home gets you
           | to $20k/year easily. But the article talks about $100-200k
           | homes; there is no way this town can have a 10-20% property
           | tax rate.
        
           | umvi wrote:
           | Start charging $20k property tax and you'll probably
           | accelerate the decline of Galesburg as people scramble to
           | relocate to more affordable areas.
        
           | cortesoft wrote:
           | That $1600 is based a 10% tax rate, if you look at the chart.
           | That means the whole property is only worth $16,000. Are you
           | really suggesting they charge more every year in taxes than
           | the house is worth?
        
             | rdtwo wrote:
             | At the very low end there is a minimum tax regardless of
             | property value. If you fall below a certain value you end
             | up dragging down the community
        
           | gnopgnip wrote:
           | If you live in Galesburg IL, or Jackson MI, Altoona PA, Rome
           | NY or similar places if the property taxes were raised to 10x
           | as much the homes would be worth literally zero. The rental
           | income wouldn't cover the property taxes. And that is the
           | underlying problem, when the costs are so high, collecting a
           | "fair" or actually necessary amount of taxes has a
           | debilitating effect on the economy
        
           | cableshaft wrote:
           | Galesburg is a declining city in the middle of nowhere.
           | People who live there probably drive to work ~50 miles away
           | to Peoria or Davenport/Moline every day if they don't have a
           | (probably) low paying job in town.
           | 
           | And if that's the case, they'd probably be better off moving
           | closer to those cities, there's probably even cheaper homes
           | within a shorter commute.
           | 
           | Also it's in Illinois, which is #2 in the country for highest
           | overall property taxes[1].
           | 
           | Keep in mind he said a reasonable house value just north of
           | their downtown is $75k, where the national average price for
           | a home is $374k (as of Q2 2021), which is 5x the price. $1600
           | * 5 = $8000, which brings it up to what's near you.
           | 
           | And considering Illinois' property tax is higher than every
           | other state other than New Jersey, I'm guessing the homes
           | appraised value near you is likely a lot higher than $374k,
           | even.
           | 
           | That being said, I don't understand why the government
           | wouldn't be able to up just the city's percentage (as opposed
           | to all line items on the property tax bill) by about
           | $100-200/yr per person and use that to help close the gap.
           | The percent going to the city of Galesburg is currently a
           | tiny percentage of the overall tax.
           | 
           | [1]: https://www.illinoispolicy.org/illinois-again-ranks-
           | no-2-in-...
        
             | mitigating wrote:
             | People will fight against any tax raises regardless of the
             | amount.
        
               | cableshaft wrote:
               | Well yes, that's one reason it probably isn't being
               | raised. But if you could let the people know that "hey,
               | this is going directly into fixing the roads, and your
               | property tax will only go up $8 per month to afford it,
               | otherwise your roads will stay shitty", I think most
               | people could be convinced to go along with it.
        
               | dfadsadsf wrote:
               | It's possible that the city is currently in equilibrium
               | between tax rate and quality of roads. You can check the
               | road that it getting fixed on and it's ok [1]. There are
               | potholes here and there but otherwise it's perfectly
               | drivable. There are roads of similar quality in much
               | wealthier places in Bay Area. It's possible that reaction
               | from poor people in town to increased taxes for roads
               | will be - why? it's ok as is now.
               | 
               | I also checked a few random streets in the town and
               | pavement is actually pretty good with few if any
               | potholes. Random street as a point [2]
               | 
               | [1] https://www.google.com/maps/@40.9371624,-90.3942909,3
               | a,75y,2...
               | 
               | [2] https://www.google.com/maps/@40.93875,-90.3599034,3a,
               | 75y,346...
        
               | d3ad1ysp0rk wrote:
               | #1 is pretty rough especially as this is the summer w/o
               | frost heaves. That is also from Aug 2019 and it's now
               | 2022.
               | 
               | Separately, but related, I have always found it
               | interesting that no one tries to calculate the wear on
               | vehicles for things like bad roads, salt use, etc.
               | Bending a wheel, accelerating suspension breakdown, and
               | other issues from bad roads could easily outweigh some
               | arguable savings of waiting longer. I'd rather push for
               | adding less roads, allowing some paved roads to become
               | dirt roads where low traffic weights & #s exist, and
               | better maintenance of the remaining ones.
        
               | bradlys wrote:
               | It's likely hard to quantify and would require an in-
               | depth survey of people over the course of 5-10 years with
               | extreme diligence.
               | 
               | There is another quality that is missed out in these
               | discussions too - which is the quality of life
               | improvement. If you've ever driven on a nice road - you
               | know it and you feel it. It's pure bliss compared to most
               | of the roads out there. Your car might go from feeling
               | cheap and unbearable to luxurious - and if you have a
               | nice car already then it feels sublime.
               | 
               | That aspect is one part where I'd gladly pay more for
               | roads. The other aspect is prevention. I see very little
               | emphasis put on the prevention of deterioration of roads.
               | I think road quality could be improved if there were
               | crews working all the time to keep the roads in shape and
               | if people felt like their city would listen when they
               | issue a complaint about the road. I figure this might
               | save money and improve QOL over the long run.
        
               | mitigating wrote:
               | "The Democrats claim for just the cost of Pizza each
               | month we'll save our roads but we know what's really
               | going on (pause) (dramatic music) and this is just the
               | beginning.
               | 
               | Next it will be a Chinese takeout meal to help a library
               | (show red Chinese flag to increase fear slightly), then
               | the cost of a new refrigerator to pay teachers more
               | (stock footage of a liberal looking nerdy professor),
               | when will it end?
               | 
               | The tax and spend Democrats have an agenda and all they
               | are looking for is an opening. (stock footage of snake
               | slithering into nursery during the night)
               | 
               | We have to be vigilant to protect our families future
               | (stock footage of 60-70 year old man, slightly
               | overweight, wearing a red plaid shirt, jeans, and
               | standing in front of an American flag) vote no on
               | proposition 205 and say no to big government
               | 
               | (paid for by the committee of republicans and their rich
               | supporters who need to convince poor people to vote for
               | them)
        
               | pharke wrote:
               | It would be helpful if you could just go to a website,
               | enter in a code from your property tax bill and see
               | exactly how every dollar of the taxes you paid were used.
               | This is one of the valid uses of a public ledger I can
               | think of. In my opinion, all tax funded spending should
               | be traceable like this with each transfer recorded and
               | reported to the tax payer.
        
               | gruez wrote:
               | Doesn't checking the city's budget do the same thing? The
               | only thing that site would add is multiply the budget
               | amounts by your tax bill.
        
               | pharke wrote:
               | I don't feel like that addresses the part of the comment
               | I was speaking to:
               | 
               | > "hey, this is going directly into fixing the roads, and
               | your property tax will only go up $8 per month to afford
               | it, otherwise your roads will stay shitty", I think most
               | people could be convinced to go along with it.
               | 
               | At a minimum, you could create a system that takes the
               | budget and shows a percent breakdown of where your money
               | goes. If you packaged it nicely so that you could
               | understand it at a glance it would go a long way towards
               | what the comment I was responding to was talking about.
               | After looking at my city's budget, I think there is still
               | a lot of room for improvement. For my municipality at
               | least, it seems to be a mix of specific and extremely
               | nebulous items. I can see that the fire department
               | purchased several new vehicles and even the type of
               | vehicle but the road works department just lists
               | additions to their "fleet" and the sanitation department
               | just lists "new vehicles". I see items for sidewalk and
               | street repairs along with the name of the street but no
               | indication of how much pavement was repaired or what the
               | breakdown of labor vs materials was. I think knowing all
               | of the details would help the public assist their
               | representatives to correct overages and would be a
               | bulwark against corruption. e.g. If I run a business that
               | sells fasteners and I see that the city government is
               | overpaying by 30% for the bolts they use to put up new
               | street signs I could bid on the contract next time around
               | or maybe tip off the newspaper if it's more like 200%
               | over retail.
        
               | ghaff wrote:
               | Money is fungible so it doesn't really make sense to ask
               | where your specific dollars went. But in most if not all
               | places in the US you can see the city or town budget and
               | see where money came from and went in general. (It's
               | mostly to schools in the majority of places with the per
               | student expenditure actually often higher in more urban
               | populations.)
        
               | nine_k wrote:
               | While you cannot trace the money all the way through the
               | economy, you can definitely trace the funds allocation by
               | the articles of the budget, and pro-rate the amounts to
               | the sum of the taxes paid by a person.
               | 
               | It's similar to the way you see amounts that went to
               | taxes, insurance, etc on your payroll.
        
               | pharke wrote:
               | Technically, there are methods that would allow you to
               | trace money all the way through the economy.
        
             | lotsofpulp wrote:
             | > And considering Illinois' property tax is higher than
             | every other state other than New Jersey, I'm guessing the
             | homes appraised value near you is likely a lot higher than
             | $374k, even.
             | 
             | It is the opposite. Illinois homes' sale prices are kept
             | down due to the higher (and always increasing) property
             | taxes.
             | 
             | NJ is also the same outside the regions that get buoyed by
             | the higher incomes of NYC/Philadelphia.
             | 
             | It is the same as any business with a lot of debt that gets
             | valued lower than a comparable business with less debt. And
             | NJ/IL and a few other jurisdictions have debt that is
             | multiple standard deviation from the mean.
        
               | DavidPeiffer wrote:
               | >It is the opposite. Illinois homes' sale prices are kept
               | down due to the higher (and always increasing) property
               | taxes.
               | 
               | So true. I used to live in the Quad Cities, which holds
               | Bettendorf and Davenport in Iowa and Rock Island and
               | Moline in Illinois. When looking at houses, there might
               | be a 25% difference in prices for similar houses in Iowa
               | vs Illinois. Many of my coworkers on the Illinois side
               | were looking to move to Iowa, but were going to walk out
               | with very little equity by the time they took a hit on
               | the sale price and pay transaction costs.
               | 
               | The consensus among locals was "Illinois state government
               | may implode at some point, and pretty well the only way
               | to avoid that is by significantly increasing taxes".
        
       | macinjosh wrote:
       | An easy solution is to just not build roads for new developments.
       | If a private interest wants to establish a new development they
       | should pay for it all. The market will magically include all the
       | costs in the final product (buildings/homes) and no one will be
       | out a dime involuntarily. Things will cost what they actually
       | cost.
       | 
       | Some would counter that this isn't how economic development
       | works. Arguments would be things like businesses need incentives
       | or the city is responsible for common infrastructure.
       | 
       | The problem is that roads just become a form of corporate
       | welfare. If a enterprise or business doesn't want to fully invest
       | in its new location, IMHO, it is not worth it and you need to
       | face the fact that your town just isn't ready for it yet.
        
       | khanan wrote:
       | I listened to their radio station for a while, it was all Jesus
       | and God. This is why they have no money.
        
         | ejb999 wrote:
         | bigoted much?
        
         | [deleted]
        
       | lettergram wrote:
       | I'm glad we're talking about the finances of towns here. Almost
       | every town in America is bankrupt.
       | 
       | I disagree somewhat with the author here around the issues. For
       | instance, he uses the $20/ft/road and points out they need
       | roughly double the tax base to support their current roads.
       | 
       | Sure, that's a way to look at it. Alternatively, they can cut
       | back the roads, fill with gravel and honestly it might be cheaper
       | to just build and maintain a concrete facility. If you can cut
       | the price of laying concrete by 50% thatd also be a solution.
       | Alternatively, pre-purchase X tons per year and reduce costs that
       | way letting the concrete makers in the area expand and reduce
       | overhead.
       | 
       | Regarding city planning, yes totally agree. I'd argue the major
       | issue is that we lost manufacturing here in the United States.
       | Factories paid relatively well, and were running at 20% fewer
       | people per capita in the workforce than in the 60s. This means
       | less wealth generated across the board, less wealth in these
       | towns, etc.
       | 
       | Finally, IMO as a town the best investments are those that
       | attract more jobs and wealth. So make fresh paint available for
       | free to any businesses. Hire better police. Cut back on road
       | quality. Cut back on taxes for businesses that bring net jobs.
       | Invest in community activities, particularly for kids. Advertise.
       | 
       | It's a difficult spot to be in, the reality is that smalls towns
       | across the country were decimated between the 1990s - 2020s. Most
       | of it was policies sending stuff over seas and reducing wealth
       | creation in rural towns (where factories used to run). To fix
       | that will require some national solutions and scaling back the
       | towns which haven't seen growth (and many declined) in 30 years
        
         | mitigating wrote:
         | Imagine you are trying to get businesses to invest in your
         | town, build a factory, whatever. Much of that is about image,
         | right? If you only have gravel roads it gives off the
         | impression that you are failing/backwards.
        
           | lettergram wrote:
           | Businesses will often invest in their own roads. The issue is
           | the town over expanded and then their base shrank.
           | Unfortunately, you have to cut items -- roads to dead
           | businesses are the easiest way.
           | 
           | If manufacturing comes back they will often invest in their
           | own roads anyway. City can then cut a deal to rebuild and
           | maintain roads with company splitting cost
        
         | [deleted]
        
         | acdha wrote:
         | > It's a difficult spot to be in, the reality is that smalls
         | towns across the country were decimated between the 1990s -
         | 2020s. Most of it was policies sending stuff over seas and
         | reducing wealth creation in rural towns (where factories used
         | to run).
         | 
         | I'd put this further back. Manufacturing is part of it but not
         | everyone worked in factories before and the post-WWII white
         | flight was part of the setup. There are two related parts to
         | that:
         | 
         | On the city side, that took on a lot of unfavorable trade offs
         | - reducing tax revenues, converting neighborhoods into
         | unproductive freeways and parking, greater expense and demand
         | for roads, etc.
         | 
         | On the personal side, cars lock in a lot of personal expense
         | both up front and ongoing (how many people are one expensive
         | repair away from potentially losing their job?), and force
         | other choices like needing to live somewhere with storage
         | space, deal with the health impacts, etc.
         | 
         | I think that combination left things quite brittle and a lot of
         | it is time-delayed by a decade or two, at which point it's much
         | harder to reverse. Losing a factory hurts but so did losing
         | most of the workers a generation earlier, and the resulting
         | economic climate from both makes finding replacements harder.
        
         | [deleted]
        
       | Dumblydorr wrote:
       | The damage inflicted onto roads by vehicles goes up by _the
       | fourth power_ of the vehicles weight. So, should average citizens
       | be on the hook for most road repairs, or should those who utilize
       | extremely heavy trucks?
       | 
       | Furthermore, as society progresses, we're not going to need so
       | many roads. Either we'll technologically eclipse them, or
       | sociologically we'll reorient our society towards walking and
       | biking. I don't see us having nearly the amount of road
       | maintenance in future as we do now.
        
         | umvi wrote:
         | > So, should average citizens be on the hook for most road
         | repairs, or should those who utilize extremely heavy trucks?
         | 
         | You can scapegoat the trucks, but average citizens _are_
         | utilizing heavy trucks (indirectly) by buying stuff on Amazon
         | or Walmart (to name a few examples).
        
           | perpetualpatzer wrote:
           | True, but average citizens don't _choose_ to use heavy
           | trucks. I'm not sure of the relative costs of road repair v.
           | fuel, but if you funded roads entirely through a tax on the
           | fourth power of vehicle weight (if that's the right proxy for
           | repair costs incurred), Walmart might find they could reduce
           | total costs in the system by using fewer large trucks and
           | shift their logistics mix.
        
           | notch656a wrote:
           | People who don't drive any vehicle take advantage of that. So
           | it's small vehicle drivers subsidizing [via fuel tax] those
           | who don't drive at all, yet take advantage of shipping via
           | heavy truck.
        
           | trgn wrote:
           | Why preserve the opacity of that relationship? Tax trucks
           | higher, and it will reflect in the prices of the products
           | those trucks are hauling, fairly distributing the cost
           | increase of their operation across the consumers of those
           | products.
           | 
           | We absolutely should tax goods and services based on the
           | negative externalities they impose. Taxing vehicles by weight
           | is a fair tax, much more fair than doing the _exact_ opposite
           | right now, work trucks being taxed less. Heavy vehicles used
           | productively will remain, but spending on heavy vehicles for
           | recreation will be less attractive, since that kind of use
           | consumers balance against other discriminatory spending.
        
         | closeparen wrote:
         | It is pretty easy to exhibit residential streets that do not
         | take truck traffic, and yet are in dire need of repair.
         | 
         | Even an unused or barely used street suffers from a freeze thaw
         | cycle.
        
       | stillsut wrote:
       | "With a crime rate of 40 per one thousand residents, Galesburg
       | has one of the highest crime rates in America compared to all
       | communities of all sizes - from the smallest towns to the very
       | largest cities. One's chance of becoming a victim of either
       | violent or property crime here is one in 25."
       | 
       | Yeah OK, Strongtowns, let's scrutinize the road budgets (~5% of
       | the property taxes). Who wants to live in these hypothetical high
       | density developments when you can't even be safe?
        
       | duxup wrote:
       | This seems to be largely focused on road maintenance and property
       | taxes.
       | 
       | Are those really the only factors in that area?
       | 
       | I know plenty of spread out small towns that do fine with such
       | scattered developments.
       | 
       | I'm also a little skeptical of "our population is shrinking,
       | let's build tiny houses ".
        
       | _keats wrote:
       | > Walmart builds their buildings to last only 15-20 years and
       | then builds a new facility.
       | 
       | I'm really curious about the 15-20 year statistic that the author
       | mentions and I was disappointed not to see a source on that
       | claim. I couldn't find much from official sources after a quick
       | search. That seems like an incredibly short lifespan, especially
       | for buildings so large.
       | 
       | Great article nonetheless.
        
         | eldavido wrote:
         | The claim is correct, but incomplete.
         | 
         | It's true that many commercial real estate developers design
         | buildings to roughly match depreciation lifetimes, reason
         | being, depreciation reduces tax and once your basis hits zero
         | (the item is fully depreciated), you can't use depreciation to
         | shield any more taxable income. The base depreciation lifetime
         | of US commercial real estate is 39 years though, not 15-20.
         | 
         | The other elephant in the room is that building to last is
         | _really_ expensive, at least upfront. So it isn 't, and perhaps
         | shouldn't, be something we do for everything.
         | 
         | Every town has "forever buildings": schools, village halls,
         | religious institutions. Places that cater to basic needs that
         | aren't going to change. Imagine a typical "old" American
         | school: a giant brick building, with a steam boiler, well-made
         | doors, and thick walls. This is what "built to last" looks
         | like. There are often ornamental features like murals on the
         | outside walls. Ditto for churches: thick, heavy buildings with
         | materials like marble or other stone. Old, well-made houses are
         | the same way.
         | 
         | This isn't how big box stores are made. They have way more
         | drywall, polished concrete floors (definitely not tile), cheapo
         | sliding doors, thin walls with stucco or other flimsy
         | materials, standardized designs that don't change based on
         | where they are (vs. something designed specifically for the
         | area), and giant parking lots. The entire mentality is
         | different. These are built to last a couple decades, then get
         | taken down, or demolished. It's actually the same with
         | McMansions, giant 4000 square foot houses in deep suburban
         | areas.
         | 
         | One other thing, read patio11's "Mortgages are a manufactured
         | product" [1] -- CRE (buildings) is also a "manufactured"
         | product for a lot of the same reasons, namely, there are buyers
         | in the economy that structurally desire regular income streams
         | (rental payments) from these buildings, and the fact that
         | they're a Walgreens, or a Wal-Mart, or whatever else, barely
         | even registers. The "customer" of a lot of this stuff is the
         | pension fund / endowment that ends up holding the debt on the
         | property, not the people or businesses that actually, you know,
         | _occupy_ the place day-to-day.
         | 
         | Source: husband of an architect, and commercial real estate
         | owner/manager
         | 
         | [1] https://bam.kalzumeus.com/archive/mortgages-are-a-
         | manufactur...
        
           | _keats wrote:
           | Thanks for the response, that does make more sense!
        
       | otikik wrote:
       | Why American Cities Are Broke - The Growth Ponzi Scheme:
       | 
       | https://www.youtube.com/watch?v=7IsMeKl-Sv0
        
         | qwertox wrote:
         | Thank you. It does have a touch of "Practical Engineering" by
         | Grady Hillhouse, but just focused on Cities and without the
         | Engineering part. In terms of information quality and tone.
        
       | TulliusCicero wrote:
       | It seems like the root problem is that the way property taxes are
       | assessed doesn't actually line up with how much demand a given
       | development puts on the city for services/infrastructure.
       | Property taxes are based on, "how much would someone else pay for
       | this", which isn't the relevant metric from the city's
       | perspective, it should be, "approximately how expensive is this
       | property to service year by year, including eventual replacement
       | of infrastructure?"
       | 
       | If you did it that way, low density developments would pay their
       | true costs, and would become more expensive to the 'end user' and
       | thus less popular. And if they didn't, well, they're paying their
       | true costs anyway, so problem solved.
        
         | macinjosh wrote:
         | In my area all new housing developments have their own "metro
         | tax district" that residents pay. It funds the infrastructure
         | for their neighborhood. Some people don't pay attention to it
         | when budgeting for and buying a new house. I know that has
         | caused many families to lose their homes. Usually those
         | districts have a sunset built in though once they have covered
         | the building costs.
        
         | analog31 wrote:
         | An issue with the present system is that the status quo is
         | virtually immutable. How cities can tax is rigidly constrained
         | by state laws. Attempts to change those laws run into every
         | possible obstacle, especially if it's perceived that someone is
         | getting more goodies, and someone else less. Often, divided
         | along urban / rural lines.
         | 
         | Now, it's not entirely rigid. In my state, each city sets its
         | budget, then your tax bill is simply the budget weighted by the
         | value of your property. Some kinds of extra expenditures such
         | as bond issues can be approved through referendum. Others can
         | be tacked onto the homeowners whose goodies are getting fixed,
         | through special assessments. When the street in front of my
         | house was rebuilt, I got a bill from the city for X amount
         | based on Y feet of frontage.
         | 
         | It's a tiny bit complex because you also live in a county which
         | is doing the same thing.
         | 
         | But the fundamental of assessing real estate and using it as
         | the foundation of your tax bill is practically carved into
         | stone. And it does have the advantage of being relatively
         | straightforward to compute. In a town with a relatively brisk
         | market, your assessment is going to be pretty close to what you
         | paid for the house plus an inflation factor based on your
         | neighborhood. And you know that your neighbor isn't somehow
         | wriggling out of their tax obligation. That's overlooking the
         | exceptions of course, but it captures the gist of it.
        
         | ajmurmann wrote:
         | I've always found it weird and funny that in many parts of
         | Europe taxes used to be based on the width of the front of
         | houses. That's why you'll find extremely narrow houses in some
         | older downtown areas. Cologne is an example of this.
         | 
         | As soon as the author started doing the math on street
         | maintenance per lot, this medieval taxation system made instant
         | sense to me (although I believe there also were taxes on
         | windows...). Maybe something like this would be more
         | beneficial. In general zoning that encourages density rather
         | than discouraged it is definitely more in the interest of
         | cities. Yet, most people get angry with me when I mention this.
        
           | rebuilder wrote:
           | Historic taxes like the window tax etc. were as much a result
           | of the government having very limited access to economic data
           | at the time as anything. You couldn't say how much someone
           | was earning, but the size of their domicile was a pretty good
           | indicator, and one they couldn't hide. Well, until the
           | unexpected consequences, like fake windows, kicked in,
           | anyway.
        
             | ajmurmann wrote:
             | That's an interesting point! I just listened to an
             | interview with the founder of Give Directly on the
             | Rationally Speaking podcast where he explained that they
             | used to look at houses to identify if someone should get
             | the direct cash donations. So again proxy for wealth
        
         | netcan wrote:
         | Partially, but only partially if you take this sentence
         | literally:
         | 
         |  _" our town is essentially a corporation where the citizens
         | are the investors and stakeholders.. We are a real estate
         | development company that also provides services... with
         | holdings totaling $1.29 billion,"_
         | 
         | Apple is essentially the stakeholder in the Apple ecosystem.
         | Some decisions are made as you suggest. Apple price phones and
         | laptops such that costs are covered and profits are made.
         | 
         | Some decisions are "strategic." There's no direct revenue from
         | their photo app, but a photo app helps sell phones and (more
         | importantly) if Apple doesn't provide one then FB or Google
         | will. A lot of Apple's decisions are like this.
         | 
         | Some, currently very important decisions are all about
         | leveraging power to extract revenue. Apple charge Google $15bn
         | to be safari's default search option. They apply similar logic
         | to all activity on iphones. As in-app purchases emerge,
         | subscriptions, digital goods, physical goods or any other
         | category emerges... Apple study that market and determine how
         | much they can charge. It has nothing to do with how much these
         | cost apple to support.
         | 
         | IDK if this applies to Galesburg, but I think most
         | towns/governments/municipalities have the power to generate a
         | lot more revenue than they do... certainly during a building
         | boom. What Apple would be doing in this position is (a)
         | determining where real estate profits are being made (b) moving
         | to claim the majority of those profits as revenue. I'm not
         | saying they should do this, but the point of difference is
         | worth noting.
        
           | sokoloff wrote:
           | Maybe banning the import of anything from the outside and
           | charging a 30% sales tax is the answer?
        
             | netcan wrote:
             | Possibly, depending on what the question is.
             | 
             | My point wasn't that an analogy to commercial businesses
             | should be made, but that since an analogy is being made...
        
           | kristjansson wrote:
           | Tying property tax to market value is a form of this, I
           | think. The town doesn't realize substantially more costs when
           | property values go up, but wants to participate in the growth
           | of 'its' property. So it structures its relationship with its
           | users to capture some of the growth in value.
           | 
           | Unfortunately the leverage of a small town is relatively low,
           | so they don't have much power to capture their users growth
        
           | mark-r wrote:
           | > What Apple would be doing in this position is (a)
           | determining where real estate profits are being made (b)
           | moving to claim the majority of those profits as revenue.
           | 
           | In the real world it's just the opposite. Apple has a
           | monopoly on the Apple ecosystem, but nobody has a monopoly on
           | land. Corporations will play one city against another to see
           | which will give them the biggest subsidies and tax breaks.
        
           | mellavora wrote:
           | Please, this idea that business is universally better at
           | producing value than any other form of social organization
           | has to die.
           | 
           | I'm pro business. I founded my first money-making venture
           | when I was 4 years old (selling "art" to strangers on the
           | street-- the business was quickly closed by the regulators--
           | Mom).
           | 
           | But business is best when the value created by an investment
           | can be (mostly) captured by a single entity, and also
           | generally when the ROI is short term.
           | 
           | Why shouldn't businesses provide i.e. (K-12) education?
           | Because, unless every single student goes to work for the
           | company, then the value they create is lost to them. So you
           | cannot align the interests of the business with providing
           | quality education.
           | 
           | NOTING that the diffuse value created by government is often
           | many orders of magnitude greater than the value which can be
           | captured by a single organization.
           | 
           | Another example: value of the internet vs value of Google.
           | Google is an insanely valuable organization, but a) it
           | wouldn't exist without the internet, and b) the other FANGS
           | also derive their value from the internet. So clearly the
           | internet's value is many times greater than that of any
           | internet-based company.
        
             | acdha wrote:
             | > Why shouldn't businesses provide i.e. (K-12) education?
             | Because, unless every single student goes to work for the
             | company, then the value they create is lost to them. So you
             | cannot align the interests of the business with providing
             | quality education.
             | 
             | The charter school industry is the textbook example of
             | this: what usually happens is that some school will have a
             | good couple of years, and we'll get some Slate piece about
             | how they've discovered the secret of cost-effective
             | education. Unfortunately, over time regression to the mean
             | usually sets in and results start to look statistically
             | similar to public school students of similar socioeconomic
             | status while the few which maintain a performance edge
             | inevitably turn out to have found a way to cherry-pick
             | higher SES students and exclude the most expensive students
             | because that's what they're incentivized to do.
        
               | sokoloff wrote:
               | I think they often skip the first step of even bothering
               | to outperform after correcting for socioeconomic
               | differences. If you can cherry-pick students, education
               | can be both more effective and cheaper for those whom you
               | decide to serve.
        
               | acdha wrote:
               | Often, yes, but sometimes it does happen because they got
               | the most enthusiastic staff (not yet worn down) and
               | attracted the most prepared poor kids with the most
               | motivated parents (the ones who'll take a chance on a new
               | school pledging higher academic standards).
               | 
               | The one I really wish the United States was better at
               | accounting for is assistance for students with special
               | needs. That hammers public school budgets and also means
               | that those kids are discouraged from trying a new school
               | because that'll reset their support plan even if the new
               | school offers services.
        
               | dantheman wrote:
               | It's very simple, just attach the money to the child and
               | then let the parents determine what school they go to.
        
               | analog31 wrote:
               | It's not a market. There's no way for parents to make an
               | informed choice, no way to opt out, no way for the state
               | to opt out of serving as a backup.
               | 
               | Also, massively inefficient in terms of minivan miles per
               | pupil per day.
        
               | acdha wrote:
               | That helps a lot but there are some challenges: e.g. you
               | have therapists at a big school with lots of students and
               | they're all reasonably fully booked but a small charter
               | needs 15% of a person in three different specialties.
        
               | sokoloff wrote:
               | Or worse, the charter school interview and disciplinary
               | practices ensure that these kids are not admitted or are
               | expelled and the small charter school then takes the full
               | payment but needs 0% of a specialist.
        
               | dantheman wrote:
               | The schools, can share a specialist on different days of
               | the week, or if there is an economy of scale then parents
               | will choose it.
               | 
               | Sure there may be schools that handle kids with
               | disciplinary issues, like they do today in the public
               | school system.
        
               | kristjansson wrote:
               | I think the point is that, like a lot of cost problems, a
               | relatively small proportion of users end up accounting
               | for a relatively large share of costs. Just excluding
               | those expensive users (implicitly or explicitly) is a
               | 'neat' way to reduce costs and improve outcomes at a
               | particular school. Unfortunately under a funding-follows-
               | kids system that leaves a small population with $X in
               | funding that costs $10X to serve. Maybe grouping all of
               | those users provides enough economy of scale, but that's
               | not obvious, and sounds a bit like an asylum to boot.
        
             | kaashif wrote:
             | > Why shouldn't businesses provide i.e. (K-12) education?
             | Because, unless every single student goes to work for the
             | company, then the value they create is lost to them. So you
             | cannot align the interests of the business with providing
             | quality education.
             | 
             | But this ignores the fact that private schools do exist and
             | are successful in many countries. The incentives are
             | aligned in some cases - if the education is bad, the
             | parents will take their kids to a different school, or
             | never go to the bad school in the first place. If it's
             | good, they'll be willing to pay higher fees.
             | 
             | I'm not sure what is meant by "unless every single student
             | goes to work for the company, then the value they create is
             | lost to them" - (some of) the value they create is captured
             | by the school by charging fees. Isn't that the whole point
             | of private education? This is the idea of markets in
             | general: when a voluntary transaction takes place, both
             | sides believe they benefit. If fees are $10,000, the parent
             | will only pay this if they value the education at more than
             | $10,000, although they may not think about it in these
             | terms. Some parents will make gigantic sacrifices in the
             | millions of dollars (in lost earning potential if nothing
             | else) for their kids.
             | 
             | You are right that private schools don't always have an
             | incentive to provide good education. The schools have that
             | incentive if and only if the parents care about the child's
             | education and have the ability to choose schools. In many
             | cases they don't care, and the children are the innocent
             | victims in that case. In many cases parents care, but
             | cannot afford to move and the school effectively has a
             | local monopoly on poor people forced to go there. No market
             | system can really work with a monopoly.
             | 
             | Agreed that universal private education wouldn't be the
             | best, but I think it's because the buyer of the service and
             | the beneficiary are different, and there is an element of
             | monopoly. I don't think it's because the schools lack a
             | mechanism to capture value, they can just charge fees.
        
               | TulliusCicero wrote:
               | You're ignoring the possibility that the value of the
               | private school is in network effects via filtering out
               | poorer people. That would be beneficial to the students
               | who attend, but neutral or even negative for society as a
               | whole.
        
             | netcan wrote:
             | This is not the idea that I expressed.
        
               | mellavora wrote:
               | First, apologies, yes, I was clearly over-generalizing
               | from what you wrote.
               | 
               | And to be very clear, I am addressing a deep pet peeve of
               | mine, which is related to the topic but not necessarily a
               | direct descendant.
               | 
               | Your post uses Apple as an example of how a company
               | prioritizes cost/pricing decisions, and suggests that
               | this, if applied to Galesburg, might allow them to fix
               | their budget.
               | 
               | Which is not exactly what I was responding to.
        
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