A year ago, critics feared that, if elected, Paul Schell would launch elaborate schemes to enrich his buddies from the Port of Seattle and the development world. Instead, Schell made ostentatious efforts toward an open, inclusive administration. But old habits die hard.

In recent weeks, we've seen an alarming, costly scam at PacMed Tower; yet another expansion of the Convention Center; a re-marketing of Key Tower; and progress on the (ack!) 2012 Olympics, among other, er, developments. But one of the most insidious, and alarming, schemes has gotten very little notice: an initiative, released by Schell August 11 as part of his market- based "solutions" to Seattle's ever-more-urgent housing crisis, that would raise most Seattle property taxes but lower taxes for his developer friends.

Under the plan, the city would give property tax abatements for developers who build in selected, mostly gentrifying areas of town (such as Central Area, Pioneer Square, and the International District). The net effect would be to encourage the tearing down of existing, more affordable housing in the neighborhoods, to be replaced with new, more expensive units. The plan also specifies neighborhoods (e.g., Holly Park, Rainier Vista) where the Seattle Housing Authority has extensive holdings--furthering speculation that the SHA is also intent on using some of its properties for speculative purposes, since the SHA already receives such tax abatements (but buyers of its property would not).

Schell's scheme would be financed by property tax increases, making it a double whammy for lower income and first-time home owners, who are not only being priced out of Seattle's escalating housing market, but who are--if they manage to buy a place--now being asked to subsidize market development of exactly the sorts of expensive rentals that helped drive them into the housing market. The rest of Schell's housing (and, oh yeah, homelessness) initiatives were a disappointment, as well; for instance, there is clearly nowhere near enough money forthcoming to make good on Schell's impossible pledge to get all (or even a large percentage of) homeless families off the streets and into shelters by Christmas. Ain't gonna happen.

From the standpoint of addressing a housing crisis that continues to drive people out of the city in search of an affordable place to live, Schell's proposals don't make a whole lot of sense. (Neither does their endorsement by erstwhile progressive and city council housing chair Peter Steinbrueck.) But if you remember who Paul Schell's buddies are, they make all kinds of sense.