patrick.net

Didn't know this:

An "IZ fee" in California real estate is an "Inclusionary Zoning fee" (in-lieu fee) that developers pay instead of building required affordable housing units on-site.

Patrick says

Didn't know this:

An "IZ fee" in California real estate is an "Inclusionary Zoning fee" (in-lieu fee) that developers pay instead of building required affordable housing units on-site.

It's ALL.fucked up.

I read somewhere that the average fees/permits you have to pay in CA before you do any construction on a spec house is ~$126k.

So where does that "IZ fee" money go?

Pretty sure it's not helping to build more housing.

Patrick says

So where does that "IZ fee" money go?

Pretty sure it's not helping to build more housing.

Local government.

In CA, property tax revenues are split between the school districts and the State. None goes to the local government.

Yet it is the local government that has to pay for roads and street lights and water, fire, police, etc. After a certain population density, those expenses go into the red.

So, they do all they can to a) prevent housing development above a certain density (NIMBYism) and b) jack up permit fees as much as they can.

.CA is really, really fucked up.

Patrick says

Pretty sure it's not helping to build more housing.

It gets laundered and kicked back. The contractors in the pockets of politicians don't mind the fees. Non-corrupt ones hate it.

Basically the corrupt builder and politician have an agreement. Say the IZ fee for no affordable housing is $100k on the four unit (making the numbers up). So the builder gets to charge a premium to buyers because of no low income neighbors.

That fee goes to the government in that area and they take the same corrupt builder and pay him to build a shitty 2 unit in a bad area with builder grade finishes for the poor people.

Thing is the builder still makes money on that affordable housing because the city or county will subsidize the build from the none corrupt builders not connected. Corrupt builder kicks back campaign donations to the politician. Politician then passes through their "political" expenses for personal expenses, like meals, hotels and travel.

Also if the builder is big enough, job opportunities for friends and family are for sure in play for the politician. Or for themselves if they're an attorney or have some other white collar skill they could work in for builders.

I lived it. I was a silent bystander though. https://en.wikipedia.org/wiki/Daniel_Solis

Met the guy with my boss a handful of times. Housing related stuff. I don't want to make accusations online from my experience, but all I'll say is power is power. His sister was Hillary's campaign manager, that worked out... but that's the power circle this guy was in. He destroyed IL power structure in politics. Which was good technically.

Tangent aside on IL, this is what happens in CA with those fees. Your aldermen, board members and other housing related positions all have back door deals with these fees.

First in hiked up, ridiculously taxed gas prices to feed the political laundering.

First in unhralded crime reaching deeper into the previously immune conclaves and uncounted in any crime statistics. Cars are being stripped on owner's driveways and curbs.

So, exactly how widespread is this waking up process, and when can we expect to see Kommie heads on spikes?