Saturday, July 01, 2006

Annexation and Tech Park in Tucson

So the UA wants to build a biosciences park in one place and a science and technology park in another place and KB Homes is squawking unfair because the City Council has recognized that groundwater should not be used on golf courses and is balking on the deal. Now KB Homes will kill the deal and not build more homes, if they don’t get the golf course. They already knew there is policy against using drinking water to water golf courses. They are probably just trying to weasel out on the deal because of the housing glut. It is totally unreasonable to demand that a golf course be watered with drinking water.

A golf course? How necessary is that? Not at all. Have a shuttle to another one, for God’s sake, or build one in Louisiana where there’s plenty of grass. How about a desert tree botanical park with a pupfish exhibit using tiny ponds? There must be some alternative.

The article in the Arizona Daily Star said the UA owns the water rights and could install wells and pump merrily away until the water runs dry. I certainly hope our August University would use policy based on research done by their very own faculty. Honchos at the UA should contact the Arizona Department of Water Resources, Tucson Water and the appropriate UA departments who would counsel them as to the proper thing to do, given that water is a public resource. CAP recharge water does not need the added stress of pumping from the UA land.

Possibly more housing is not needed at this time. Some local realtors think Tucson is overbuilt.

Why can’t the UA build the biociences center and the science and technology center at the same location? Use a shuttle to connect the UA with this mega center. Consolidation could save construction costs, which have been hard hit by inflation.

Thursday, June 29, 2006

Taxes and Revenue

OK. So today the Regional Transportation Authority (RTA) will begin collection of .5% sales taxes on all items and services purchased except food and prescriptions. Housing is part of this tax hike, so tack it onto the price of a home, in addition to interest rate hikes and a housing glut that favors lower prices. Not the best time to invest in housing, it looks like. Buy high and sell higher is what some think is the norm and maybe it is because they aren’t making any more land and they sure are making more people. According to a source, housing prices are down 10-15% here in Tucson, as they are nationwide, particularly in Florida. Somebody is going to lose money!

I guess it makes sense to OK a residential high rise downtown during a water shortage and a housing glut. Cheap housing brings people as long as our quality of life remains sustainable in terms of water and food consumption. True, a high rise residential unit uses less water than lot housing development. I just wish you luck selling those residential units at the level you hoped for when you wrote up your proposal. Tucson no longer has cheap housing and cannot compete for the population overflow from the Midwest and California, as if we need any more.

After that brief detour, I return to the implications of the RTA. What if the sales tax projections fall short of the reality? It’s like divvying up the Colorado River during the rainiest period on record. Take your tax projections from a period of growth and inflationary spending, and the actual revenue could diminish if there is a recession.

The wholesale price of gasoline was up to $2.20 today. Add tax and dealer profits and we’re going to be paying $3.20. So goes Wal-Mart, so goes sales tax revenues? Check the figures and see if consumer spending is being diverted into paying for gas. Discretionary income is unknown to many as you should know, or are you a member of the ‘Let them eat cake’ group? Huge amounts of money are being spent to maintain our cars, agriculture and distribution system.

Given the limitations on resources, we cannot expect inflation to conveniently adjust the price of oil for us again. There is a true shortage coming, not just a production slowdown. Inflation now means impoverishment and Mr. Bernanke of the Federal Reserve is right to focus on controlling it.

So connect our rising taxes and petroleum prices, public debt, the RTA, a housing glut and a high rise downtown. Pull out your wallets and pay up.

Tuesday, June 27, 2006

Presidio Terrace Condominium Project

Doesn’t sound like too bad an idea except that this tall building will sure block out views of the mountains even worse than green mesquites close to the ground. Whose views? Whose views will now be more salable? What is a view worth?

Land worth at least $750,000 is now worth $2,000,000 to the city, which is proposed to be paid to Ms. Noonen, which makes the land free plus a nice little $1,250,000 cash bonanza for her! All so city employees get covered parking in perpetuity? When I wanted covered parking, I paid for it. Are city employees paying for their parking? What is the income on the current lot? Will the city get a like payment from Ms. Noonan or will this be a hidden cost in addition to the $1,250,000 paid to Ms. Noonan, so the city can expect a cut in income and maybe even lay somebody off, or as a last resort, pay for their own parking.

This is sure a good deal!

The project sounds OK except for the height. Maybe nobody wants to view your building from their front window. Is it that beautiful? Maybe a smaller project would fit the land better. Any particular style architecture? I hope not recreated Spokane in red brick façade over cardboard and stucco. Foodstores and reasonable eateries included in the project is a wonderful idea.

How about a shuttle bus picking up city employees or subsidized bus passes instead of parking that takes up so much space and money? Pave the world, folks. Who needs to park a personal vehicle that occasionally holds four or even more? Car pooling could cut down on the land use demands of parking so how about 4 persons per parking space?

Lower the height, deny the $2,000,000 to Ms. Noonen and offer instead a payment plan from individual car parkers to pay it to her as they use the space, like everybody else.

Sunday, June 25, 2006

Preserve and Provide

On June 24, the San Juan’s Day festival was held on the meeting place out West Congress by the huge eucalyptus tree. Horse shows, dancers and a superb ranchero band, plus tamales and tacos served while people prayed for rain.

I was pleased to see a Rio Nuevo booth, the portender of change for the ancestral heart of Tucson. Surrounded by Spanish costumes and customs from the 1500’s, I could not help but think that the people need this space and more to hold family style events like festivals and games.

So the city of Tucson will receive $1,100,000,000 to revitalize downtown. Revitalize does not mean the creation of a moribund residential district catering to expensive clients who all demand 200 square feet for their two vehicles per unit, thereby reducing the commercial space accordingly. Perhaps downtown is not the place to build high density housing.

Let’s make a park and a recharge lake downtown and set up low rent business units adjacent to official museum and science center units. Variety is truly the spice of life. Our climate allows for outdoor businesses and sports, so why not take advantage of it? Old downtown could furnish saloons and salons while Rio Nuevo could furnish eclectic shopping and eating and pubs.

Public money equals public facilities.