Posts Tagged ‘Local Government’

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The Super Light – Can an LED Save A City?

March 19, 2010

With the economic flat tire we’re running on, we like to think our various government agencies use all the tax money they collect in responsible ways.  The daily federal arguments on spending fill the nightly news with examples that prove this wish wrong and always seem stupidly complex.  Local governments face similar problems but scaled down.  Perhaps local governments are the place to start implementing solutions, as there is even more to paying for common services, like traffic lights, than meets the eye.

Unfortunately, something as simple as traffic lights takes on complexity when viewed at a city or county-wide level.  Everything from availability of replacement bulbs to scheduling maintenance with boom-trucks comes into play.  Of course, when we add cost to the mix, the complexity grows by leaps and bounds.  In the end, cost is the part we, the citizens, are really interested in, being that money out of our pockets pays for it.

The prototypical traffic light uses three halogen light bulbs around 150 watts each, with one of the lights on at all times.  At a standard intersection, there are at least four traffic lights, one for each direction, with many intersections having a good number more.  As cost is our primary concern, let’s put some numbers to it.  In South Carolina; our average cost per kilowatt in 2009 was $0.0553 (Source: U.S. Energy Information Administration (Dec 2009)) .  That means a single 150 watt bulb running continually costs about 20 cents a day.  With each intersection having at least four, that’s 80 cents per day per intersection.  Here is a quick table showing various costs:

Lights per
intersection
Daily Monthly Yearly
4 $     0.80 $   23.89 $   290.66
8 $     1.59 $   47.78 $   581.31
12 $     2.39 $   71.67 $   871.97
16 $     3.19 $   95.56 $1,162.63

Extending the figure out for various numbers of intersections:

Number of
Intersections
Daily Monthly Yearly
100 $      79.63 $    2,388.96 $     29,065.68
500 $     597.24 $  17,917.20 $   217,992.60
1000 $  1,592.64 $  47,779.20 $   581,313.60
5000 $11,944.80 $358,344.00 $4,359,852.00

This is only the cost of electricity.  The average life of a halogen bulb is just over 2,000 hours or less than 90 days meaning each light is replace three or four times a year.  Simply to provide traffic lights, city and county governments face substantial costs.  This is where the LED comes in.

LED stands for Light Emitting Diode.  We have all seen the little red lights on various types of electronic equipment.  Most are LEDs.  While the theory of their use has been around for over 100 years, true practical applications were not developed until the 1970s.  Even then, LEDs lack the intensity for use beyond indication lighting (i.e. showing a status as on or off).  Over the last thirty years, changes in LEDs allow for bright lights in every color of the spectrum.

The LED has many advantages over the incandescent, halogen, and Compact Florescent Light (CFL) style systems.  They use only a fraction of the electricity and last for years, if not decades and they do not have the mercury found in CFLs.  Cities across America are in the process of changing their traffic lights to LED based units.  To produce the same amount of light, as a 150 watt halogen traffic light, requires only 15 watts of LED powered lighting.  Using the same data above:

Lights per
intersection

Daily Monthly Yearly
4 $  0.08 $ 2.39 $ 29.07
8 $ 0.16 $ 4.78 $ 58.13
12 $ 0.24 $ 7.17 $ 87.20
16 $ 0.32 $ 9.56 $ 116.26

Again, extending the figures for number of intersections:

Number of Intersections

Daily Monthly Yearly
100 $ 7.96 $ 238.90 $ 2,906.57
500 $ 59.72 $ 1,791.72 $ 21,799.26
1000 $ 159.26 $ 4,777.92 $ 58,131.36
5000 $1,194.48 $ 35,834.40 $ 435,985.20

Producing a savings over halogen bases lighting of:

Number of Intersections

Daily Monthly Yearly
100 $      71.67 $    2,150.06 $     26,159.11
500 $     537.52 $  16,125.48 $   196,193.34
1000 $  1,433.38 $  43,001.28 $   523,182.24
5000 $10,750.32 $322,509.60 $3,923,866.80

These costs only reflect a saving in the electricity.  A halogen light costs around $5.00, for 100 intersections with six lights that works out to $12,000 a year just in bulbs.  Of course, the cost of labor to replace bulbs is saved too.

Thankfully, most cities have all ready replaced or are currently replacing their traffic lights.  The question is what other areas are there to save money.  It must be remembered, when we are talking about a city or county, it is never one light bulb, it’s thousands.  It’s not the 1 cent for a sheet of paper but the $10,000 for a million sheets that becomes an issue.

It is obvious that replacing traffic lights produces savings.  It is one of many examples where savings are found.  Others are less obvious; perhaps reducing the requirements of a procedure or even rethinking the way student report cards are sent to parents will produce savings.  Maybe they won’t, the point is we will not know until we look.  We need to examine everything to ensure the service is in tune with the times and is provided in the most cost-effective manner.

In the end, the LED will not save a city but is simply an example of the type of thinking that will save it.  Every expenditure, to serve the public good, must be questioned.  No one questions the need for traffic lights, but can and do question the cost.  By seeking a less expensive option, local governments are saving real dollars, real tax dollars we do not have to pay.

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Impact Fees, Damned Impact Fees!

January 20, 2010

Anyone dealing with new construction most likely knows the term “impact fee.”   On the surface, they are easy to understand but like most governmental issues, over time the waters become murky.  You need to be a lawyer with doctorates in political science, economics, and mathematics to understand the formulas and wording of these ordinances.

Impact fees first appeared in the 1970s.  Traditionally, they are collected to cover added wear and tear new construction has in the service related areas of local government, roads, parks, and libraries for example.  In that respect, they rather make sense, you pay for the impact you have on the community.  A disturbing trend, related to impact fees, is to cover projected budget gaps for improvement, repair, and upkeep of services.  This practice increases fees exponentially.  Fees vary depending of your location; the national average is around $8,000 per single family home.  That figure is open to debate as an exact number is next to impossible to nail down.

Even with the high cost of the fee, it seems only to affect the individual or business involved in a particular new construction.  That is not true, it affects every member of the community.  Local governments have the greatest influence in our daily lives, the more local, the more influence.  Think of it this way, we interact least with services at the federal level and most with services at the local level.  Allowing local governments a revenue stream outside of sales and property tax we support or oppose by voting, allows for financially irresponsible spending practices that ultimately pass to all tax payers when growth slows and fees are not collected.  Our current economic downturn is a prime example, with limited new construction, where are the counted on fees going to come from.

For the most part, local governments follow state regulations regarding impact fees.  Rather than control the process, it builds in a layer of complexity that prevents understanding of why money is collected and how it is used.  The state claims credit for controlling the practice and the local government claims they are simply following state guidelines.  The only effective controls seem to be keeping the citizens confused and misdirected.

We need to demand accountability from local government.  Impact fees and their uses live in a dark place, away from the light of the voting public.  They allow elected officials and various department heads money for projects that otherwise would not receive funding.  This commits all of us to a debt we are obligated to pay if (when) the revenue stream dries up.  When that happens, property and sales tax will increase.  It is past time to reign in local government and remove from them processes where they are not accountable to voters.

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