Metro approves $1.46 Billion for 20 miles of light rail

[RedScare]

No, not as of now. As of the end of the third quarter of last year. It takes a surprisingly long time for the State to put out reliable estimates of sales tax revenues at the local level. And that was basically our peak (here in Texas). Since that time, the consumer psychology and the business environment have deteriorated markedly. There was an article in the Chronicle just yesterday that pointed out that we've now shed more jobs in the past twelve months than in any other twelve-month period since the 80's. Sales tax collections have declined rapidly in previous local recessionary environments; there is good cause to believe that the same experience is being had right now.

Hmmm...or maybe not.

http://houston.bizjournals.com/houston/sto...04/daily54.html

Houston received $45.7 million for its allotment, up 1.2 percent from the comparable period a year ago.

Since Houston sale tax receipts went up, it is a fair assumption that so did METRO's.

[713 To 214]

As much as i hate to break up, yet another, cat fight, I'd like to pose a question. . . .Are any of METRORail's expansion projects scheduled to finish "ahead of schedule" due to the federal stimulus money?

[Houston19514]

As much as i hate to break up, yet another, cat fight, I'd like to pose a question. . . .Are any of METRORail's expansion projects scheduled to finish "ahead of schedule" due to the federal stimulus money?

No.

[TheNiche]

Since Houston sale tax receipts went up, it is a fair assumption that so did METRO's.

You brought up a fair counterpoint worthy of discussion (finally!) (and only after you first said that you were bailing out of this thread ).

I misheard what was said in the video, so let's go back over it and clear things up.

From the video: Barton Smith projected a decline of sales tax revenues from sales taxes of 4.6% for Fiscal Year 2009. Actuals reflect a 5% increase in sales tax revenues during the first 8 months of FY 2009. Smith projects that sales tax revenues will be down 4% in the 2010 FY, and METRO is sticking with that projection.

I had heard something about the first eight months of the fiscal year and immediately thought that they were talking about the last calendar year. In actuality, METRO's fiscal year starts in October. And since the Texas Comptroller's web-based resource I've always used for economic research, which reflects final data, is always so out of date, that fit into my CY/FY error. And actually, if you read the footnotes on the validity of sales tax reports, the Comptroller points out that it takes so long to finalize the data because "1. Returns are not due until the 20th of the month following the close of a quarter and we wait about a month after this date to begin compiling data so we will pick up as many late filers as possible. 2. Information from taxpayers' returns goes through a lengthy verification process to ensure the accuracy of the sales tax database." ...which is to say, that the monthly reports are preliminary and prone to a fair bit of error.

From the 6-week-old article you posted: "Ten local transit systems received $120.8 million in April sales tax payments, down 3.8 percent compared with a year ago." I would tend to believe that that's going to get a whole lot worse before it gets better.

[RedScare]

You brought up a fair counterpoint worthy of discussion (finally!) (and only after you first said that you were bailing out of this thread ).

I misheard what was said in the video, so let's go back over it and clear things up.

From the video: Barton Smith projected a decline of sales tax revenues from sales taxes of 4.6% for Fiscal Year 2009. Actuals reflect a 5% increase in sales tax revenues during the first 8 months of FY 2009. Smith projects that sales tax revenues will be down 4% in the 2010 FY, and METRO is sticking with that projection.

I had heard something about the first eight months of the fiscal year and immediately thought that they were talking about the last calendar year. In actuality, METRO's fiscal year starts in October. And since the Texas Comptroller's web-based resource I've always used for economic research, which reflects final data, is always so out of date, that fit into my CY/FY error. And actually, if you read the footnotes on the validity of sales tax reports, the Comptroller points out that it takes so long to finalize the data because "1. Returns are not due until the 20th of the month following the close of a quarter and we wait about a month after this date to begin compiling data so we will pick up as many late filers as possible. 2. Information from taxpayers' returns goes through a lengthy verification process to ensure the accuracy of the sales tax database." ...which is to say, that the monthly reports are preliminary and prone to a fair bit of error.

From the 6-week-old article you posted: "Ten local transit systems received $120.8 million in April sales tax payments, down 3.8 percent compared with a year ago." I would tend to believe that that's going to get a whole lot worse before it gets better.

Actually, I saw more tax totals after I posted that link. Of the 10 transit districts, only 2 had increases. Those were METRO, at about 3.5%, and Corpus Christi, slightly lower. Every other entity was negative. I also found data that suggested that the Houston area tax receipts were still increasing through March. April's preliminary receipts are the first month to go negative. Though the number will increase as late filers are counted, it probably will not go positive. This is actually very much in line with the jobs numbers, which showed Houston adding jobs through February. The negative yearly number is completely the result of the last 3 months.

In comparison, METRO and Houston have fared far better than DART and Dallas, where sales tax revenue has been negative since the 3rd quarter of 2008. I read somewhere that DART is trying to close a $46 million funding gap due to lost revenue. In light of all of these numbers, METRO's 4% figure doesn't seem out of line at all.

[DrLan34]

Check it out.

http://blogs.chron.com/thelist/2009/06/dav...is_the_fut.html

[TheNiche]

Check it out.

http://blogs.chron.com/thelist/2009/06/dav...is_the_fut.html

We've already discussed this elsewhere.

[DrLan34]

We've already discussed this elsewhere.

cool, could be helpful if you said where or when

[lockmat]

cool, could be helpful if you said where or when

here ya go...

http://www.houstonarchitecture.com/haif/index.php?showtopic=18067&view=findpost&p=325354

[ricco67]

Just spotted this on the Metro Website, they are inviting everyone at Minute Maid Park for a kick off of the construction! Link!

I might have to attend this little wingding. Doubt they will have info on the other lines.

[lockmat]

Just spotted this on the Metro Website, they are inviting everyone at Minute Maid Park for a kick off of the construction! Link!

I might have to attend this little wingding. Doubt they will have info on the other lines.

I wish they did these things on the weekend, but I'm sure there's a reason they don't.

Take pictures.

[musicman]

Actually, I saw more tax totals after I posted that link. Of the 10 transit districts, only 2 had increases. Those were METRO, at about 3.5%, and Corpus Christi, slightly lower. Every other entity was negative. I also found data that suggested that the Houston area tax receipts were still increasing through March. April's preliminary receipts are the first month to go negative. Though the number will increase as late filers are counted, it probably will not go positive. This is actually very much in line with the jobs numbers, which showed Houston adding jobs through February. The negative yearly number is completely the result of the last 3 months.

In comparison, METRO and Houston have fared far better than DART and Dallas, where sales tax revenue has been negative since the 3rd quarter of 2008. I read somewhere that DART is trying to close a $46 million funding gap due to lost revenue. In light of all of these numbers, METRO's 4% figure doesn't seem out of line at all.

according to 13 news...sale tax revenues are down approxmately 11% from the same time last year.

[Houston19514]

according to 13 news...sale tax revenues are down approxmately 11% from the same time last year.

I think that was for the whole state for June. Don't think we know the local numbers yet.

[RedScare]

I think that was for the whole state for June. Don't think we know the local numbers yet.

That is correct.

http://abclocal.go.com/ktrk/story?section=news/state&id=6910983

Though, it is worth noting that sales tax revenue for METRO went from positive to -5% in about a month, so it is certainly possible that sales tax has eroded quickly enough to drop 11%.

[JLWM8609]

I wish they did these things on the weekend, but I'm sure there's a reason they don't.

Take pictures.

I thought the groundbreaking or some sort of important dedication for the Southeast line happened about a year or two ago. I remember singing with my church choir at Palm Center and witnessing a ribbon cutting ceremony of a banner for Metro. I was even interviewed by the Chron while I was there. If this is the official ceremony, what was all of that for?

[Houston19514]

I thought the groundbreaking or some sort of important dedication for the Southeast line happened about a year or two ago. I remember singing with my church choir at Palm Center and witnessing a ribbon cutting ceremony of a banner for Metro. I was even interviewed by the Chron while I was there. If this is the official ceremony, what was all of that for?

Maybe the opening of the Southeast Corridor office?

[editor]

CROWDS PACK UNION STATION TO CELEBRATE METRO’S

HISTORIC GROUNDBREAKING OF THE NORTH AND SOUTHEAST LINES

Cheers rang loudly at Union Station this morning as supporters joined METRO in celebrating the start of two momentous light-rail projects that will connect communities like never before – the North and Southeast corridors.

Traveling from the nation’s capital to the Bayou City to participate in the festivities were U.S. Senator Kay Bailey Hutchison (R-TX), Congressman Gene Green (D-TX), Congresswoman Sheila Jackson Lee (D-TX) and Congressman Al Green (D-TX). Joining the delegation were Mayor Bill White and Houston City Council members, as well as METRO Board Chairman David S. Wolff and METRO Board members.

The congressional delegation echoed Chairman Wolff’s comment on the importance of the groundbreaking, indicating it will spur economic growth in the community to the tune of 60,000 direct and indirect jobs under the full $1.46 billion contract. The initial phase of the contract calls for spending $632 million and is expected to create 25,000 jobs.

Small and local businesses are expected to receive $300 million to $385 million in eligible contract work.

The speakers also honed in on the significance of $150 million set aside in President Obama’s FY2010 budget to help build the North and Southeast lines. The two rail lines were among five transit projects in the nation selected to receive funding.

The day of celebration kicked off with two separate ceremonies at the North and Southeast corridors, as well as a reception at the East End corridor. Participants from each corridor event were then transported via METRO buses to the grand finale at Union Station at Minute Maid Park.

At the North Corridor event, Chairman Wolff announced that the first work order for $121 million has officially been signed. That means initial construction on the North and Southeast lines is expected to get underway in the coming days. Activity on the East End line, which is already under construction, will increase.

All three lines – the North, Southeast and East End - are slated to be completed by 2012, and will add approximately 14 miles of light rail to METRO’s existing Main Street Red Line.

METRO’s light-rail expansion project will better connect communities and residents to jobs, health care centers, universities and more. The new light-rail lines will also give people another option to driving vehicles, helping improve the city’s air quality.

[DrLan34]

Well, the fact that it's a separate contract doesn't excuse METRO from being up front with taxpayers about what's happening. I mean, I'm as pro-light rail as they come and I'm steamed about it, so I can only imagine what rail sceptics are thinking when they see METRO acting in this way. I know they have had to do battle with powerful anti-rail interests, but scattering sections of rail all over the city with little apparent thought to how they might best relate to each other in terms of the order in which they are built, is a waste of everyone's time, whether they are for light rail or against it.

Does anyone know if the University and Uptown line is still expected to finish by 2012 as well? On the website, it says all of phase 2 should be finished by 2012 but like some other people said, it's kind of confusing that they didn't at least mention these lines at the ceremony...

[ricco67]

The thing that I noticed is that they brought out a mock-up of the front of the new trains they have! They look rather cool..

[RocketSci]

Does anyone know if the University and Uptown line is still expected to finish by 2012 as well? On the website, it says all of phase 2 should be finished by 2012 but like some other people said, it's kind of confusing that they didn't at least mention these lines at the ceremony...

Channel 11 newscasters said 2013 on University and Uptown lines (the comments occurred after the KHOU video clip online).

[musicman]

Does anyone know if the University and Uptown line is still expected to finish by 2012 as well?

the university line is a different funding mechanism from the north and se lines. i don't believe the fed scrutiny has occurred yet.

[DrLan34]

the university line is a different funding mechanism from the north and se lines. i don't believe the fed scrutiny has occurred yet.

I'm not sure if these lines actually broke ground yet (other than utility work) but if it has, does anyone have any pictures? I've been stuck working in Ft. Worth for that last couple weeks...

[citizen4rmptown]

from the chron

City moves to encourage 'pedestrian realms'

Walker-friendly areas would be near rail stops

The City Council today unanimously approved changes to Houston's development code intended to promote walkable development around train stations as Metro builds out its light rail system.

The new rules will require wider sidewalks — 5 feet wide rather than the current standard of 4 feet — with new development in most of the city. They also will offer incentives for developers in six light rail corridors to include a 15-foot “pedestrian realm” with broad, unobstructed sidewalks and other features intended to create appealing, walkable environments.

Developers who agree to create the pedestrian zone will automatically be exempt from rules requiring buildings to be set back a specified distance from the street, giving them more space to build offices, homes or shops.

http://www.chron.com/disp/story.mpl/metropolitan/6578467.html#none

[Urbannizer]

Great.

[samagon]

I'm not sure if these lines actually broke ground yet (other than utility work) but if it has, does anyone have any pictures? I've been stuck working in Ft. Worth for that last couple weeks...

I don't have any pictures, but I've seen it.

Imagine a huge mess.

multiply x 10.

[DrLan34]

from the chron

City moves to encourage 'pedestrian realms'

Walker-friendly areas would be near rail stops

http://www.chron.com...78467.html#none

This is really awesome. like b white said, it's going to take time to see the effect...

I don't have any pictures, but I've seen it.

Imagine a huge mess.

multiply x 10.

can you tell me the interesection where they have broke ground... i'm curious to check it out

[samagon]

can you tell me the interesection where they have broke ground... i'm curious to check it out

It was a month or two ago that I saw it, but as I recall it was on Harrisburg near Milby, single lanes of traffic, metal covers on holes cut in the street. Enough to make me not want to go back for a while, but I may cruise over that way to see if things are still sucky, and maybe snap some cell phone shots.

[musicman]

Metro light rail tactic raises funding concerns

Metro has not obtained performance or payment bonds to cover all the planned construction of four new light rail lines, and some officials say that could put taxpayer dollars at risk.

Metro President Frank Wilson said the transit agency has not made a final decision, but tentatively plans to use a different form of risk management, called parent guarantees, to make sure the four major companies fulfill their obligations and pay their subcontractors on the $1.46 billion contract.

The four companies are Parsons Transportation Group, Granite Construction Co., Kiewit Texas Construction L.P. and Stacy and Witbeck Inc. They have formed a joint venture known as “Houston Rapid Transit.”

Wilson's announcement at a July board meeting aroused the concern of the national surety industry, which provides the bonds for construction projects by public agencies. Some local officials also questioned the decision.

Texas statute requires public agencies to obtain performance bonds on construction contracts larger than $100,000 and payment bonds on contracts larger than $25,000. Metro did use performance bonds during the construction of the Main Street rail line.

“By Metro not putting these bonds in place the taxpayer is potentially liable,” said Peter Brown, a Houston City Council member and mayoral candidate. “We do these for every major project at the city of Houston. Metro has been planning the light rail project for a long time, and if they needed to find protection for the taxpayers through another means they should have taken that up with the Legislature this past session.”

full article

[samagon]

It was a month or two ago that I saw it, but as I recall it was on Harrisburg near Milby, single lanes of traffic, metal covers on holes cut in the street. Enough to make me not want to go back for a while, but I may cruise over that way to see if things are still sucky, and maybe snap some cell phone shots.

Went on the Critical Mass bike ride on Friday, we rode down Harrisburg, all lanes are open, but the road is patched to hell and back at least as far as Eastwood Park.

[kylejack]

Went on the Critical Mass bike ride on Friday, we rode down Harrisburg, all lanes are open, but the road is patched to hell and back at least as far as Eastwood Park.

Me too. The lightning was awesome.