The Devolution Solution

On the campaign trail, Gov. Timothy M. Kaine popularized the disconnect between transportation and land use planning. As I chronicled in “Seventy-five Years” in a previous edition of Bacon’s Rebellion, that disconnect did not occur overnight — it stemmed from the inability of Virginia’s governance system to adapt to changing human settlement patterns over the past few decades.

Although Kaine’s big idea was never cast into law — he would have given local governments more authority to deny rezoning requests where development would overwhelm local road networks — Republican lawmakers picked up the transportation/land use theme. In the short, tumultuous September session on transportation, the House Republican Caucus outlined new roles for local government, the private sector and the Virginia Department of Transportation in building and maintaining state roads.

The House legislative package represented the most radical re-thinking of transportation in Virginia since 1932, when the current system was put into place. Although these bills, too, failed to make it into law, the ideas behind them are very much alive. Indeed, there is widespread recognition among key players in the transportation debate that the House raised legitimate issues, even if the details of its legislation need work.

This edition of Bacon’s Rebellion focuses on one of the centerpiece House initiatives: devolving responsibility for secondary roads from VDOT to local government. While everyone agrees that VDOT should build and maintain primary roads and Interstates, most of the people I interviewed agreed that it often makes sense to turn authority for secondary roads over to local governments, particularly the fast-growth counties. The trick, as I explain in “The Devolution Solution,” is devising a funding formula that assures counties that they won’t be left holding the fiscal bag.

The transportation/land use disconnect manifests itself in at least two ways in the treatment of secondary roads. The incentives of the current system are all wrong. Local governments approve hundreds of miles of subdivision roads every year, knowing that VDOT will get stuck with the cost of maintaining them — about $1.5 million more each year… year after year. Likewise, local officials ignore the issue of subdivision connectivity, approving cul-de-sac subdivions that dump traffic onto collector roads and contribute nothing to an interconnected road network. If the collector roads get congested, who cares, that’s the state’s problem.

The issue of who builds and maintains Virginia’s secondary roads is only one piece of the transportation puzzle, but an important one. Devolution won’t cure our traffic woes — but it will limit the introduction of low-density cul de sacs into the state system, and it will improve the connectivity of new subdivisions. It makes no sense to pump more money into a transportation system as badly broken as Virginia’s is. Reform first, money second.


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9 responses to “The Devolution Solution”

  1. Larry Gross Avatar
    Larry Gross

    I’m a little puzzled by the “devolution” verbage which tends to portray it as something that is new, experimental and fraught with potential harm.

    Let’s take a look at Schools , libraries, water/sewer authorities, jails, oh.. and just for fun.. let’s throw in local law enforcment.. and fire/rescue.

    Theses are ALL devolved functions not only operated locally but primarily funded from local dollars with one very important aspect – Standards are established by the State for all jurisdictions to assure a minimum level of service.

    It does not preclude the localities from paying more for more/better services but more importantly, it does not prevent localities from exercising their own options to reduce costs or better ensure cost-effective operations.

    A good example is localities that now charge for Fire & Rescue services – for (only) those who are covered by insurance – thus reducing costs for everyone while maintaining a higher level of service.

    Ditto for libraries and jails where many localities form regional authorities .. to reduce redundancy and to take advantages of the scale of economics.

    And yet.. we treat the concept of localities dealing with roads in this manner as something … radical… and a “wild card”.

    Or to put this another way – in doing so – we essentially advocate – collecting money from local taxpayers .. sending it to Richmond.. where some guy on the 10th floor of VDOT… will fill in a dollar amount for that locality to evntually receive back from Richmond.

    Why are we advocating that this is the proper default process .. and movement away from it.. threatens a loss of cost-effectiveness?

    I see it as exactly the opposite.

    If the “keep it in Richmond” folks are correct, let’s follow this same process for Schools, libraries, fire/rescue, etc and .. have a State Department of Schools, and a State Department of Libraries, etc and we send all money to Richmond and let each of these entities operate.. essentially like VDOT operates now days.

  2. Ray Hyde Avatar

    The problem with Kaines big idea is that no one ever said who would have the authority to say when roads are overwhelmed, or what the criteria are, or even how far away the overwhelming might take place. Think of it as the collecor road on a larger scale. How much congestion in Mansassas is caused by developments as far away as Bealeton?

    But if you start thinking that way,it leads to regional or statewide planning and we know where that leads. The best thing you can say about Kaine’s big idea is that it was a no-brainer.

    You might be able to regulate some connectivity on future cul-de-sac developments, but the existing ones are mostly a done deal. People pay a lot of extra money to be on a cul-de sac. Buyers and developers love them, and planners hate them.

    You cannot be a free market supporter and propose that government should control the market solely to lower the government’s cost of doing business. If cul-de-sacs raise road costs, and the homes there are worth more, well, they get taxed more and presumably those who live there earn more and that gets taxed as well. It is one way we make those who benefit pay, and it’s one reason we don’t make road funding entirely user based.

    Maybe we could save some money and provide better road service with more connectivity, and maybe this is true only in some cases and not others. So the question again is, who gets the authority to decide, and under what criteria?

    Even if you save some money and provide a convenience benefit to those outside the development, you wind up with homes that are less desirable and worth less. Who is to say which is a better deal for the public, let alone the public coffers? At what point is the market demand so clear and overwhelming that government should simply support it, even over the objections of special interests?

    Isn’t this yet another case of existing residents imposing yet another externality on those who would otherwise pay more not to have it? What happened to your rights stop at your property line?

    You could have those on cul-de-sacs pay more for the extra road upkeep that accompanies their privacy, if you are in favor of more taxes.

    There is an awful lot that needs to be done, and the clock is ticking. Every day left undone costs us money , time and pollution, and the cost of fixes goes up. Even if we knew how to make the reforms, and even if the reforms save substantial money, who knows whether the savings from reform is offset by the cost of waiting?

    Unless we know that, we have no basis to call for reform before money, and even you admit we need money.

  3. Larry Gross Avatar
    Larry Gross

    re: “What happened to your rights stop at your property line?”

    the govmint.. can TAKE your land for public purposes – right?

    VDOT can come along and say.. “we need to expand this road and connect it to another road” and we need 20feet of your land and 20 ft of your neighbors land for this new road – and of course we’ll pay you the “going rate” for it and we truly are sorry that now you’re 20 feet closer to the road than you were before.

    So – how does that play out in your view of property rights?

    Does the government have THAT right?

    If you agree that the government DOES have that right – do you think you’re going to be the one to decide what the criteria is?

    but I would like to hear your answer.. Do you support the government’s right to take your property?

    Your answer would go a long ways towards helping me and others understand the thinking behind the voluminous word contributions on the subject. 🙂

    For the record – I DO. Your turn.

  4. Ray Hyde Avatar

    The constitution says the government can take your property if it is for public use and you are fairly compensated. I’m not about to argue with the constitution.

    Clearly the situation where the road is widened and you are 20 feet closer than before happens, and sometimes you are too close and you lose the house. In my wife’s case, she wound up 600 feet closer. In the other case the family lost the beach house.

    Tough luck.

    Looking at your ordinary cul-de-sac you might generally have a problem putting in a road without tearing down someone’s house. If the government spends a lot of public money doing that, for the sake of connectivity, then I’d expect pretty soon someone would be bellyaching about a waste of public funds. Maybe not.

    The only place we disagree is on what constitutes property, what constitutes taking, what constitutes public use, and what constitutes fair and adequate compensation.

    Then of course there is the matter of process. Clearly the government has the right to take your property for public use and provide you compensation. How that is done can still leave a lot to be desired.

    For example VDOT designates a corridor for a road, which then goes into limbo for thirty years. There is no market in the corridor because no one will buy a house that may be torn down. The owners are screwed and they get no compensation. VDOT got “dibs” on the property for nothing. If the road goes on the other side of the corridor, everything may be great again, but thirty years of waiting for the other shoe to drop is no way to be treated by your government.

  5. Ray Hyde Avatar

    Someone is going to decide the criteria, and if it government there will be public input. The government has a responsibility to be fair, predictable, and transparent, however, some government practitioners are more interested in power.

  6. Larry Gross Avatar
    Larry Gross

    re: “The only place we disagree is on what constitutes property, what constitutes taking, what constitutes public use, and what constitutes fair and adequate compensation.”

    geeze… where exactly DO we agree?

    I think it is pretty clear that VDOT can take your land.. in whole or in part.

    VDOT can also “take” your land .. “constructively” .. as the case is if you keep all of your land but now it is as noisy as having a jet plane running next door.

    Localities can do this also – with cul-de-sacs.

    They can pass ordinances that outlaw them and require ever new road to connect to another road.

    You’re right – they usually won’t go back to “undo” something.. but they can and do make changes as they go forward.

    And again.. the fairness issue or even if in outlawing cul-de-sacs results in perceive value impacts to land – they have this right and they can and do exercise it – in the name of public benefit.

    I’m not advocating this and I’m even a little skeptical of some of it – such as their ability to build a very noisy highway next to where you live without compensating you…

    but what I asking… is do we agree that the government can do this – right now whether it is fair or unfair?

    Because – in the end – it’s not about what’s fair or unfair – it’s about what they can actually do… right?

  7. Jim Regimbal Avatar
    Jim Regimbal

    The issue of devolution of responsibility for maintenance of secondary roads to urbanizing counties is clearly not a panacea for solving our transportation funding problems in Virginia. Cities and large towns in Virginia, plus Arlington and Henrico, are already responsible for 28,000 lane miles of local road maintenance. Most, if not all, spend considerably more money on this task than funds allocated to them from the state for this purpose. That is one reason why tax rates are generally higher in Virginia cities than surrounding counties. It is not clear whether a system of creating more entities responsible for highway maintenance is more efficient or not. Including additional urban and urbanizing counties into this system of responsibility for local road maintenance may improve land use decisions, but it would clearly not solve the main issue of how to fund the growing transportation needs of Virginia. In fact, the evidence suggests that urban counties would have to provide additional funds to improve the existing system of maintenance in their localities. In fiscal year 2007, the state is expected to transfer about $450 million previously earmarked for new transportation construction ($286 million in state funds) to maintenance needs. This transfer of construction funds to maintenance will continue to grow over time until soon no state funds will be available for new construction, including not enough state dollars available to match federal funds. While altering development patterns, and improving public transportation in our localities may help reduce the growth in the highway system, the citizens of Virginia are still going to have to soon pay more, at the local level, and the state level, and through new public-private tolls, to maintain an adequate system of transportation in Virginia.

  8. Larry Gross Avatar
    Larry Gross

    JLARC addressed these issues in fairly good detail.

    For instance, they advocated changing road classifications from the archaic Primary/Secondary to what most modern transportation agencies use – arterials, collectors, etc based on use and function.

    Second JLARC advocated allocating responsibility to 3 entities.

    VDOT for roads of statewide significance

    MPOS for regional roads

    Local – for local jurisdictions.

    Clearly – ALL 3 need to have a share of the gas tax for maintenance of existing roads.

    Then we get on to new construction.

    VDOT does need a way to construct major new roads and PPTA is certainly a viable path for large, limited-access roads

    MPOs need revenue but the GA has already provided them with at least some methods including transportation districts that allow a 2% gas tax that accrues locally.

    Localities will need revenue also.

    But they have existing methods also – Proffers, Impact Fees, CDAs, and HOAs

    I think JLARC laid out a decent roadmap – one that is a good beginning and can be modified because the fundamentals are viable.

    One other thing that JLARC advocated – was the dissolution of the existing VDOT transportation districts which were based, I believe on 1920 Congressional District boundaries.

    I think the problem is that everyone still wants Big Daddy Bucks VDOT and that guy fell down a well some time ago and is not likely to be climbing out anytime soon.

    Localities had a big role in the damage done to VDOT. They paid little attention to the COSTs of dumb land-use decisions – always responding to public concerns by fingering VDOT as the responsible party.

    To a certain extent, VDOT was made into a political animal.. then as things came unglued.. became a whipping boy….

    But no way, shape or form.. should we return to those days when VDOT had such power that even Delegates and Senators in the VA GA feared to cross them.

  9. Anonymous Avatar

    The Byrd machine for roads worked.

    What a disaster if the counties take over. They can hardly handle their school buses.

    I know of very few counties with the infrastructure to really manage this.

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