Matier and Ross’s Flawed Look At HSR

Apr 12th, 2010 | Posted by

Over at Wired’s Autopia blog, Chuck Squatriglia has an excellent takedown of Hoover Institution fellow Liam Julian’s HSR denier article that was excerpted in the San Francisco Chronicle earlier this month. This blog offered our own criticism of Julian, but there’s plenty of room on this train for more folks to tear into misinformation, so Squatriglia’s post is most welcome:

Julian seems skeptical of private investment, but it is entirely plausible in California and elsewhere. Oliver Hauck, the CEO of Siemens Mobility USA, wrote in a San Francisco Chronicle op-ed piece that the private sector is eager to invest in HSR. System operators in France and Japan are interested in contributing. The New York Times reports China, through a partnership with General Electric, is eager to help finance and build California’s HSR. Japan, Germany, South Korea, Spain and France also have expressed interest, according to the San Jose Mercury News….

There are legitimate questions to be raised about how high-speed rail will be traveled and how popular it will be, but to suggest it will “waste untold billions” and “the economics of high-speed rail do not work” ignores convincing evidence to the contrary.

Squatriglia was a writer for the San Francisco Chronicle before moving over to Wired. Unfortunately for Bay Area newspaper readers, Squatriglia’s old paper doesn’t seem to have gotten the memo, and continues to peddle HSR misinformation. On the same day Squatriglia posted his article, the Chronicle’s political columnists Phil Matier and Andrew Ross attacked HSR in their daily column:

Is it a high-speed rail ride to the future or a Bay Bridge boondoggle times 10? That’s what lawmakers are wondering as more and more questions arise about the plan to build a multibillion-dollar bullet train between San Francisco and Los Angeles.

The more accurate question is “is there any merit to the claims of those who argue HSR will be a boondoggle? Are they deliberately ignoring the evidence showing HSR will work out just fine or are they just dense?”

Matier and Ross’s column is built around comments from State Senator and former Palo Alto mayor Joe Simitian designed to make it look like he shares the columnists’ skepticism:

“I’m all for high-speed rail, but I want it to be high-speed rail done right,” says state Sen. Joe Simitian.

Simitian has plenty of reasons to be concerned. Not only will the rail line go right through his Peninsula district, but also he chairs the Senate budget subcommittee that oversees the $9 billion in voter-approved bonds for the project.

But if you look at Simitian’s comments, he’s not saying anything different than he’s been saying since at least the January Palo Alto hearing – he wants HSR built, wants it built right, and wants clear answers to some of the outstanding questions.

Besides, “concerned” is such a vague word. Simitian may well have “concerns” but I’ve seen or heard nothing to indicate he is becoming a NIMBY or an HSR denier. He wants to be able to ensure the Authority can effectively and throughly answer the questions that have been raised, and judging by the revisions to the 2009 Business Plan he should be satisfied that the Authority is doing so. It would have been nice had Matier and Ross asked about that updated plan, but they didn’t.

In addition to worries about how many backyards will be torn up for the line, he and other key legislators are asking question’s about the High Speed Rail Authority’s business plan – which remains murky at best.

See, it would have been nice had Matier and Ross heard about the updated plan that was discussed and approved at last week’s board meeting. That would have produced an informative column. Instead we get this:

For example, no sooner had voters approved the bond package than the initial $33.6 billion price estimate jumped to $42.6 billion because the authority had failed to account for inflation. And that cost could climb even higher if the rail goes underground through the Peninsula, as many communities are now requesting.

This is true, but it’s being spun to make HSR look bad. As I’ve said before, there are those who claim any time any government plan’s details change, especially with regard to cost, that it’s somehow a sign of a problem or a boondoggle. Here that isn’t the case. The price estimate is actually exactly the same – it’s just a question of whether you measure it in 2009 dollars or in projected year of expenditure dollars, which are a guess. If inflation soars, it’ll cost a lot more than $42.6 billion. If deflation continues, it could well cost less. But here again, Matier and Ross prefer not to explain those facts, instead wanting to use the fact that the numbers are different to imply that the project really is flawed.

You can see this in their treatment of some other numbers:

Then there is the estimated ticket price for a trip from L.A. to San Francisco, which has jumped to $105 one way – making the line much less competitive with the price of an airline ticket.

Um, no. It would still be 83% of airfare, which is very competitive with the price of a ticket. Besides, as we’ve seen in Europe and Asia, the convenience of rail travel, especially compared to the miseries of air travel, is usually enough to lure travelers away from planes onto trains.

There are also questions being raised about the bullet train’s ridership projections.

For example, San Francisco is expected to have 24,100 bullet riders a day, a realistic number given the business ties between San Francisco and Los Angeles. But does anyone really think that the town of Gilroy will have 4,700 bullet train riders a day? Or that Redwood City will have 3,900, or Merced 5,300?

Yes, we do really believe that. Why do Matier and Ross think those figures are nonsense? Have they looked at the detailed ridership models and the assumptions and projections those models are based on? Do they remember the summer of 2008, or the five years of rising gas prices that preceded it, or the recent rise in gas prices that have some projecting $100/bbl by 2011?

As laid out on page 20 of the revised business plan makes clear, Gilroy and Merced have that projected ridership – for the year 2035 – largely due to “interregional” trips. For Merced that assumes it is the primary transfer point to points north (before Phase II is built). On page 17, dealing with Merced directly, they note that “interregional” trips include going to Fresno, and that when Phase II is built, daily boardings fall to 2,500.

For Gilroy, it assumes that it is the primary transfer point to Santa Cruz and Monterey. As a Monterey resident, I have every reason to believe that a LOT of people will definitely use Gilroy to access the HSR system and the rest of the state to get to/from Monterey. Airfares from Monterey to LA on short notice usually cost around $500 (if that cheap), and with a lot of tourist destinations here, it stands to reason that lots of folks will use Gilroy to get to the Monterey Bay area, especially when Monterey and Santa Cruz counties build out the planned passenger rail connections to Gilroy.

Besides, these projections are for 25 years in the future. If Matier and Ross assume the status quo will last that long, then perhaps they might have a point. But it won’t. 25 years from now, oil is going to be WAY too expensive for most people to afford to drive or fly for intrastate trips. There will likely be more than enough demand to reach the projected ridership numbers.

Matier and Ross move on to the “revenue guarantee” issue:

One of the biggest fears, however, is that the state will not be able to keep the explicit promise made to voters that they would not be on the hook if the finances fall short.

“Private-sector investors are going to want a guarantee,” Simitian said. “It’s hard to imagine how that guarantee will be provided.”

What Simitian is alluding to, but what Matier and Ross did not explain, is that Prop 1A apparently forbids the Authority from offering a revenue guarantee. However, it’s not clear that private sector investors need such a guarantee. Recall what Oliver Hauck of Siemens USA said in the Chronicle earlier this month:

Private companies, including rail technology suppliers like my own, are willing to accept some of the risk inherent in financing this major upgrade to the American transportation system.

Doesn’t sound to me like a revenue guarantee is all that necessary.

Then there is the route itself – which is already raising hackles in the South Bay and Peninsula, where a consortium of leaders from Palo Alto, Belmont, Menlo Park, Atherton and Burlingame is raising protests about a 120-mph bullet train racing past their backyards or on an overhead line that will split the communities.

The towns want the line dropped below street level.

That’s certainly an issue, but it doesn’t mean there’s anything wrong with the HSR project. Instead it’s facing some of the challenges any major infrastructure project faces. The mere existence of NIMBYism, which exists almost any time anything new is proposed in these cities, does not at all reflect on the Authority itself.

Matier and Ross did get a quote from CHSRA board member Richard Katz that would seem to defend the Authority, but they use it to make the project look bad:

Richard Katz, who sits on the High Speed Rail Authority, admits the two business plans submitted so far need work, but said “you have to understand that for years the authority had only a skeletal staff working for voter approval.”

In other words, the authority was more involved with selling the concept of high-speed rail than the nuts and bolts of building it.

That’s not at all true, and that’s their spin on Katz’s quote. The staff was working to produce enough information on the project, and get the planning advanced far enough, for the public to make an informed decision. They did hardly any selling of the concept of HSR to the voters, since they lacked the staff. This blog came into being two years ago to fill that gap. Trust me, if the Authority was doing enough public outreach, I might never have started this site.

But even if the deal doesn’t pencil out for high-speed rail, Katz said the plan is being structured so that the voters’ $9 billion will be used to upgrade existing rail lines and routes. That way, he said, the money will be put to the public’s benefit whatever the outcome.

Simitian, however, isn’t ready to hop on board.

“Their argument is essentially, ‘Don’t worry, you will still get a half dozen improvements to existing rail,’ ” he said. “But the voters were told we are building a statewide system.”

Simitian is right. Californians did indeed vote for a statewide system, and rightly expect one to be built. Any improvements to existing rail are a byproduct of the HSR project, not the end goal in itself. HSR is indeed a rising tide that lifts other passenger trains, but that happens by building out a grade-separated infrastructure where track-sharing is either minimized or happens on HSR’s terms. It would be unfortunate if Katz sees HSR as a way to merely get funds for small-scale upgrades.

And it’s worth noting that here again, Matier and Ross spun Simitian’s quote to make the HSR project look bad, when in fact Simitian “isn’t ready to hop on board” with Katz’s idea that if all we get are smaller upgrades, we should be happy.

Unfortunately, Matier and Ross’s column is widely read around the Bay Area. Too bad it contains more of the same misinformation that is all too common in reporting on the HSR project. Readers deserve better from the Chronicle.

  1. Evan
    Apr 13th, 2010 at 00:15
    #1

    Man, I saw that column today and just started shaking my head. Matier and Ross have such potential, I was really disappointed to see them get sucked into the anti-HSR faction. I think I might email them to tell them that.

  2. Peter
    Apr 13th, 2010 at 08:45
    #2

    Copy post and insert into “Letter to the Editor” to the Chronicle.

  3. Missiondweller
    Apr 13th, 2010 at 09:18
    #3

    I did my best to inform people on a number of issues in the comments section online.

    The story was written more for intrigue than to be informative. It demonstrates though how there needs to be continued advocacy and education about the HSR project.

    Matthew Melzer Reply:

    Thanks for the effort, but a large percentage of the SFGate/Chronicle commentariat are carpetbagger trolls who have no interest in improving civic discourse or the quality of life here. The Chron actually ran a story about them last year; one of the most prolific commenters is some guy from Dallas who gets off on stirring the pot of them dumbocrat libruls! There’s also the factor of opponents being more eager to chime in than proponents. I hope readers are savvy enough to understand these dynamics.

    It’s strange, the highest-rated comments on HSR stories there seem to run hot or cold, either overwhelmingly for or against. The pro-HSR comments I’ve seen skew towards, “I’m tired of SFO and I-5 and I can’t wait to board the train at Transbay. Build it already!” The anti-HSR narratives are demogoguing platitudes or points debunked on this blog long ago (much like some of the stories themselves). There are legitimate specific concerns that can and will be addressed through the planning process, but they don’t gain much prominence in those comments. It’s sad, because as we know, this is not even a partisan issue. This is about helping our society and economy join the 21st Century (or even the 20th Century).

    Spokker Reply:

    “Thanks for the effort, but a large percentage of the SFGate/Chronicle commentariat are carpetbagger trolls who have no interest in improving civic discourse or the quality of life here. ”

    Or maybe they are just people with different opinions than you, no matter where they live? No, that could never be possible. Anyone who disagrees is a denier of course.

    tomh Reply:

    Where they live is the POINT. Matthew’s is saying if someone from outside of California is commenting on the Matier and Ross piece on sfgate.com, it shouldn’t matter regardless of whether or not the person agrees with Matthew. Their opinion is pretty much pointless. It would be like me (a California resident) getting involved in the politics of Florida HSR. Sure I can have an opinion, but my opinion doesn’t matter in Florida HSR politics.

    And, yes, anyone who disagrees with HSR (rightly or wrongly) is an HSR denier. That’s kind of the definition.

    BTW, it would be nice if sites that allowed people to comment (including this blog) were able to capture a person’s ISP address and display that person’s general location.

    Spokker Reply:

    You’re paranoid and insane.

    Sometimes an outside observer can have a more objective and complete view on the matter than someone who is emotionally involved.

    If I live near the future site of ARTIC and I support an HSR station, it may be that I’m looking out for my personal benefit rather than the benefit to the state. An outside observer may not necessarily benefit from ARTIC, so they may be able to see how much of a waste of money it is.

    Brandon from San Diego Reply:

    All the ARTIC concept images I have seen give me no enthusiasm for the project at all. I might just switch to being an opponent of HSR.

    tomh Reply:

    What is paranoid and insane about saying that an outsider’s opinion doesn’t really matter in another group’s local politics? Did you not see that I even said *I* may have an opinion about Florida HSR, but would really have no political impact? Also, name calling has no place in civil discourse.

    Spokker Reply:

    “Sure I can have an opinion, but my opinion doesn’t matter in Florida HSR politics.”

    Of course it matters. High speed rail in Florida, as planned, is a complete mess. You could live in Paraguay and figure that one out.

    tomh Reply:

    I don’t vote in Florida, I don’t finance campaigns in Florida, and I’ve never even been to the parts of Florida where Florida HSR is planned. How in the world does my opinion matter/affect Florida HSR politics? You don’t seem to understand what I’m saying, yet your first reaction is to call me names.

    adirondacker12800 Reply:

    High Speed Rail in California is going to be using a lot of Federal money, Federal taxpayers get to have a say in it.

    tomh Reply:

    Fine. But few have more say or interest in any political issues than the the people most locally affected.

    Matthew Melzer Reply:

    Spokker, I acknowledged that there are legit concerns and that they in fact should be among the more prominent comments on SFGate. But they’re not, and that’s sad. Even sadder is that many folks go out of their way to say outrageous things (the definition of trolling), repelling those of us who might want to debate the facts. That some of these people are from out of state is rubbing salt in the wound.

    Yes, there are also major problems with Florida HSR. Going on the Orlando Sentinel site to call the FHSR folks money-grubbing corrupt gay Muslim illegal immigrant union lackeys would do squat to fix them.

    Matthew Melzer Reply:

    Err, facts aren’t debatable. My soul’s a bit deflated from all the troll comments to even have to clarify that.

    Spokker Reply:

    Oh, get off your high horse. You are the same as your opponents. The second you hear something negative, you want to find out their IP address, where they live, who they are, who’s paying them, and what their ideology is. You’ve got labels. You’ve got insults. Just be honest about it. They are complete assholes, but so are we. Don’t forget that.

    Matthew Melzer Reply:

    I’m probably an a-hole for different reasons, Spokker. Using an avatar on a newspaper site to hurl vicious insults or spread misinformation is not one of them.

    Look, there’s an undeniable phenomenon of eye-melting trollery in many newspaper comment sections (WaPo makes SFGate look like Little Bo Peep). Lamenting those kinds of base reactions (regardless of political angle) is a high horse I’m proud to ride. People should be able to disagree without being disagreeable… and without making stuff up. Check out this recent story about online comments (and, yes, the comments themselves) for some interesting insight.

    Richard Mlynarik Reply:

    The “comment on this story” section of newspapers is one reason God invented adblock.
    Are there really still people who even see, let alone read, that drivel?

    Spokker Reply:

    How ironic.

    Alon Levy Reply:

    Sometimes it’s fun to read the comments on the NY Times blogs. Multi-page threads about how any non-Austrian economics is equivalent to communism = hilarious.

    tomh Reply:

    LOL. What about comment areas of blogs? :-)

    YesonHSR Reply:

    for the most part comments about HSR are very positive on SFgate..it just depends where and what time they post the article…very early items get jummped on by those rightwing types outside of Cali..which of course live to attack SFgate /SF/Pelosi ect ect

    Spokker Reply:

    There are pros and cons to each approach. If anonymity was somehow banished from the Internet, expect few people to share their honest opinions. It would be a gaggle of people posting, “Hey I’m bored how bout u” “what lol yeah im bored goin to concert tonight.”

    No more leaks from people in the know. No more controversy. No more indulging in those fetishes that would make your wife leave you or get you fired if people found out about it (don’t lie, you have at least one sick but otherwise legal fetish. It’s required to be on the Internet, duh). Sure, Matthew, you use your real name here (if that is your real name), but what name do you use to download BDSM videos?

    The worst direction would to be to turn the Internet into this super serious place that actually has an impact on real life.

    Robert Cruickshank Reply:

    “The worst direction would to be to turn the Internet into this super serious place that actually has an impact on real life.”

    That train left the station a LONG time ago…

    tomh Reply:

    I don’t know that anyone is talking about taking away people’s anonymity when downloading BDSM videos. But a great example of the usefulness of at least knowing which state people are in are comments made on sfgate (and other CA newspaper websites) on the Prop 8 debate. CA HSR is another.

    tomh Reply:

    Actually, it was me talking about IP address. I don’t need to see their actual IP address, real name, mother’s maiden name, or social security number. But it would be nice to see if someone commenting on CA HSR, CA statewide propositions, etc. are even in CA. You really see no value in that?

    You seem to be the one keen on name-calling. Stop projecting.

    Spokker Reply:

    I see zero value in that. Things turn into a witch hunt real quick like.

    I am very into name-calling. I’m no hypocrite on that front. I’m just honest about it. Most people are not.

    tomh Reply:

    Right. Witch hunts from online comments. Sure.

    Spokker Reply:

    To add, many people love to label and demonize their opponents. They just don’t think their insults are insults. Denier IS an insult, and I love it.

    Robert Cruickshank Reply:

    It doesn’t matter if someone lives in CA or not. Many of our best commenters live outside the state and I welcome their contributions. This is a high-profile project with national, even global implications, and comments from around the nation and world help bring new perspectives and insights that are useful to us.

    adirondacker12800 Reply:

    yes we can relate stories about how the scary electric trains run on the same tracks as the manly diesel trains that then go to stations where, without using any steps or elevators or anything to change the level you are walking on, get off the train and board another! . . .

    tomh Reply:

    Notice I didn’t say people from out-of-state should be excluded from commenting. But I think there is value in knowing whether or not someone is from California when discussing something that affects Californians the most.

  4. elfling
    Apr 14th, 2010 at 08:34
    #4

    My neighbor, who is a farmer and buys fuel by the tanker, says his suppliers are telling him to expect prices of $4 a gallon again this summer.

    tomh Reply:

    Imagine what gas prices will be in 10 years (approximately when CHSR is operational). Driving or flying between LA and SF would be cost-prohibitive.

Comments are closed.