Only paying 10% on maintenance and then having perpetually potholed roads or a bridge collapse means the true cost is much higher.
Infrastructure has a lifetime and it needs big capital infusions to replace, of that money isn't being stored away for that date then that's just hiding the spending problem.
The numbers out there suggest that for 50-100% more spending we could fix everything. That means spending 20% or less of the budget instead of 10% or less. Even a worst case scenario is not the apocalypse Strong towns suggests.
And more to the point it ignores the things that are a threat. As an example, today Flint spends half the budget paying pensions for retired workers. Then there's things like Social Security, Health care costs, education costs, and housing costs. We have a lot of large and looming problems that defy a simple solution. Infrastructure is easy by comparuson.
So simple and straight forward.
What are they cutting to do that?
False dichotomy.
You can cover a budget where you double a 10% entry by increasing taxes 10%.
Or increase taxes 5% and cut 5% over the remaining 95% budget.
Or a mix in between.
This isn't rocket science. It's politics. In a democracy it is literally nothing more than a matter of personal will by an elected official. Budgets are drafted every year.
OP said the point-- referenced in the article-- was that they are Ponzi schemes. If that is true then user treis is correct: we should see at least one municipality that went bankrupt from this problem.
But we’re talking roads here, and roads are built with bitumen. The fact is that bitumen is getting scarcer and more expensive. Our cars are getting more fuel efficient and EVs don’t use fuel at all. But the cars still require the same amount of road, the same amount of bitumen, or maybe even more since cars are heavier and faster now.
We can’t extract oil just to make bitumen. That’s not economical. We primarily extract oil to get the fuel we need, and we get a certain amount of bitumen as a by-product.
Our parents generation was lucky that oil was practically pouring out of the ground..
It would have an even smaller effect on road maintenance costs.
This is the most prosperous, generous, and advanced civilisation ever, with the largest number of billionaires.
But most people who are younger than Boomers are poorer than their parents, and public infrastructure and public services have somehow become unaffordable.
Try comparing how many minimum wage paychecks you needed to buy a house then and with how many you need now and what is took to build a house (including permits and land) and what it takes now.
It will be different form country to country and the tech level was lower but the majority of the young ones these days will neven own (paid morgage) a house by the time they are 35.
That could be fixed.
My Grandparents raised 4 children in a 2 bedroom 1 bath 900 square foot home, which was a "standard home" in the 40/50's
Today the standard home is 2x the size with more bathrooms, and larger lots. This is a source of alot of the problems as well. When developers build a subdivision they are not building small homes, they are building 4 bedroom, 3 bath, 2,000 square foot homes
Overall The World Is Becoming a Better Place [1]
Same for electric lines, and those lines have to carry _way_ more power. And Internet cabling, and road surface standards are higher, blah blah forever.
Size and modernity makes this not scale so linearly
The debt of modern development is higher than the debt of the previous cycles.
Home sizes in Paris haven’t changed much over the past 50 years.
Yet, prices have exploded. Heck, they’ve skyrocketed. For the exact same thing. Only a bit older.
New apartments, no bigger but built in the suburbs, far from the subway (and not close to the regional trains) cost the same as the old ones of the same size did in Paris 10 years ago (and they were already priced crazily).
With the same numbers of bathrooms but no job that could enable one to afford such a place less than 45 minutes away.
The 2.000sqft 3 bathrooms home with a lawn appears to be a very American thing.
Other nations have other issue, largely that they are locked in with limited amounts of land that can be repurposed for housing, thus this supply restraint is some of the cause of the price increases there. For example the nation of France is SMALLER in land area than the State of Texas yet has over 2x the number of people occupying that smaller land area
The US has TONS of underused land that is continually being developed for new suburban housing additions
Thank you for that.
Road maintenance must be so much easier today than in the 70s. It feel to me neglect is by choice not necessity.
This is completely false. Even just repaving usually has longer schedule.
Really?
Smallest trim/model 1999 F150 curb weight ~3900lbs
F150 2020 model ~4000lbs
(the F150 apparently can all go up to almost 5000 lbs)
VW Jetta 1991 ~2700 lbs
VW Jetta 2020 ~3200lbs
VW Golf 1992 ~2400lbs
VW Golf 2020 ~3000lbs
Surely, on the risk side the estimated repair and replacement costs for bridges alone could drive a truck through this?
I'm not suggesting that you are wrong, I just want to figure out how you would determine if the spend is too high or too low for any given town.
The federal capital works improvement spending proposed as recovery intervention identifies 100 major bridges nationally, and another 10,000 worth investing in.[1]
Since then 10% can't stop, the likely spend has to be more. It's that simple.
[1] https://www.whitehouse.gov/briefing-room/statements-releases...
Ah, that's a bit of editorializing on my part. "Losing money" is probably more accurate than "going broke".
That said, Strong Towns has plenty of case studies of different places, to varying degrees, losing quite a bit of money this way:
- Spokane: https://www.strongtowns.org/journal/2018/10/24/dispatches-fr...
- Kanas City: https://www.strongtowns.org/journal/2020/5/5/kansas-citys-fa...
- Cobb County: https://www.strongtowns.org/journal/2018/8/3/cobb-county-add...
- Collin County: https://www.strongtowns.org/journal/2018/9/27/a-texas-sized-...
- Baxter: https://www.strongtowns.org/journal/2015/1/18/the-classic-ca...