Here is the Metro staff report on new project acceleration plan to be considered by agency’s Board of Directors this month

Metro project acceleration plan

The Metro Board of Directors this month will consider a project acceleration plan that, on average, would lop an average of 10 years off the time it takes to build second and third decade Measure R transit and road projects. It’s a big deal for many reasons — the foremost being that it could allow the taxpaying public to enjoy the investments they’ve made in local transportation a lot sooner than originally planned.

The Metro staff report that explains the plan is above.

In order to best explain the plan being proposed by Metro staff, it helps first to understand two fundamental truths about Measure R, the half-penny sales tax increase approved by Los Angeles County voters in 2008.

The plus side of Measure R was that it provided funding to a long list of transit and road projects, many of which were long sought by the region but lacked funding. Measure R remedied that — and is the reason that five new rail lines will be under construction simultaneously by the middle of this decade along with a host of highway projects, including the widening of the I-5 between the 605 and the Orange County line.

Measure R, however, also posed a challenge. The sales tax would last for 30 years — from July 1, 2009, to June 30, 2039 – and the construction of projects it funded were staggered over that three decade span. The third phase of the Purple Line Extension, for example, is currently scheduled to open in the mid-2030s, meaning the future children of current Bruins may be able take the train to campus. In other words, it’s a long time from now. The is true not just for the Purple Line, but for other lines to the Eastside, the South Bay, Southern L.A. County, the Westside and the San Fernando Valley as well.

It’s precisely for this reason that the Metro Board of Directors adopted a policy in 2010 to accelerate projects if possible under the America Fast Forward plan, which proposed an expansion of low cost federal loans for transportation nationwide. Besides the obvious benefit of getting to ride or drive on projects earlier, acceleration may also allow Metro to save on construction and borrowing costs (recently both have been at historic lows due the Great Recession but may now be starting to rise) and to create much-needed jobs.

I’ll better explain the new acceleration plan in a moment, but first a very important caveat: Approval by the Board doesn’t guarantee that any transit or road project would be accelerated. Ultimately, the plan will depend on Metro’s ability to secure loans and bonds from the federal America Fast Forward program, as well as federal New Starts money. In other words, Congress and President Obama must act to expand the amount of loans and bonds available to transit agencies around the United States and to provide federal New Starts to Los Angeles County.

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Transportation headlines, Thursday, June 6

Here is a look at some of the transportation headlines gathered by us and the Metro Library. The full list of headlines is posted on the Library’s Headlines blog, which you can also access via email subscription or RSS feed.

Grove developer wants to extend trolley beyond shopping center (L.A. Times) 

The trolley at the Grove. Photo by Prayitno, via Flickr creative commons.

The trolley at the Grove. Photo by Prayitno, via Flickr creative commons.

Rick Caruso says he wants the trolley that ferries people around the Grove to possibly run all the way to the Beverly Center, the Los Angeles County Museum of Art and the new movie museum being installed at Wilshire and Fairfax — where there will be a future Purple Line Extension subway station. He also says he’s willing to put some of his money behind such an effort.

Not so fast, says others. One prominent homeowner group says no way, there’s already too much traffic on local streets without streetcars and railroad tracks. And the city of Los Angeles says an environmental review would be needed.

As for Caruso, he wrongly cites the cost of the subway to the sea (his words, not ours) at $1 billion and the Times fails to bother to correct him. The cost is $6.3 billion to build nine miles to Westwood if the project is not accelerated. And he seems to suggest that putting people underground in our balmy climate is somehow inappropriate and that it would be better to move them at street level.

All that said, it is absolutely an interesting idea precisely because of the fact that the new subway station is being built and it would surely help ridership if the subway offers easy connections to businesses and homes along/near Fairfax and Beverly Boulevard (of course, the Metro Rapid 780 bus stops at both Wilshire/Fairfax and Fairfax/3rd). The current forecast is that the first segment of the Purple Line Extension will open in late 2022, so if the city of Los Angeles is serious about anything, the time to get moving is now.

Developer has big plans for Macy Plaza (L.A. Times) 

The fortress-like shopping mall along 7th Street is scheduled for a serious makeover that would open it to the street — i.e. shops would be accessible from the street, not from inside the building. The current glass roof over the atrium would also go.

The reporter also weirdly says that plans are to connect a new plaza to a “planned subway station.” What the what? The existing 7th/Metro Center station is across the street. Yikes. Not a good day for transit facts in the Los Angeles Times!

At DTLA Rising, Brigham Yen elaborates on why this is an exciting proposal — and he’s especially happy about the prospect of an underground connection between the station that serves the Red, Purple, Blue and Expo lines and the mall.

Dodgers owner says it’s trying to bring second sport to Chavez Ravine (Curbed LA, following L.A. Times)

In a court filing related to former team owner Frank McCourt’s divorce, Guggenheim Sports Management says that it’s in sensitive negotiations with a major entity over the use of the land around Dodger Stadium. The Times broke the story and Curbed does a nice job of summing it up. The major entity is likely the National Football League, which has long coveted the site over existing stadiums in the region and other potential sites (next to Staples Center in downtown Los Angeles or the City of Industry, a site that will have 25,000 parking spaces according to its developer).

Here’s what I don’t get. The owners of Dodger Stadium and its acres of parking lots certainly have the right to pursue plans for their property. But it would sure be nice to know what the people of Los Angeles want and to have that solidified in the city’s zoning code. As I’ve written many times, Dodger Stadium and Chavez Ravine are far removed from the core of downtown Los Angeles, separated by topography, the 110 and 101 freeways and the street grid. I’m unaware of anyone having plans at this time to extend rail service to the stadium, a proposition that is both very expensive and somewhat impractical given that the ballpark is only used relatively few hours out of the year.

On a related note, have fun finding the words “City of Industry” on the “Los Angeles Stadium” website.

25 ideas for transforming Los Angeles (Frying Pan News)

Occidental professor Peter Dreier has a robust list of things-to-do for the mayor-elect, including transportation. Excerpt:

Los Angeles outgrew its suburban roots years ago when the freeways became parking lots. Now Los Angeles needs to grow up around transit stops. Making public transit a real possibility for people trapped in their cars means both building up Los Angeles’ bus and rail system and building up the areas within walking distance of that system.

Los Angeles needs to grow up around transit stops.

In recent years, traffic flows have improved, and new rapid bus routes are in place. The city is now in the early stages of a large-scale expansion of public transportation, which will be the largest land-use change in the city since the build-out of the freeway system. Garcetti’s job will be to help manage land-use policies around that expansion so that they create livable, walkable neighborhoods and maximize use of the transit system, thereby reducing traffic congestion, pollution and harmful gas emissions. Such goals require that working families and core transit riders be able to live around the transit stops and do not get displaced or shut out of those areas by rising rents and home prices.

The success of Measure R in 2008, the “30-10” plan to accelerate implementation of our transit revolution and the 66 percent “yes” vote on Measure J in 2012 (just short of the two-third needed for passage) demonstrate that Los Angeles voters are ready to invest in a transportation transformation. Garcetti should build on this voter trust – and on the partnership between elected officials and labor, business, environmental and community groups – to expand our transit system into one that is robust, environmentally sustainable and financially sound, and that contributes to economic prosperity.

 

Hard to argue with that! One note: The 30/10 plan was renamed America Fast Forward a couple of years ago to help build its national appeal. Congress approved part of the plan by expanding a federal loan program known as TIFIA in the most recent multi-year federal transportation bill. Metro is currently lobbying Congress to adopt the other equally important half that would give transit agencies access to interest-free loans in exchange for tax credits for those who invest in the bonds. Here’s a more detailed explanation.

Support for America Fast Forward bonds program is coast-to-coast with a lot in between

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Here’s a new graphic from Metro showing the growing support for the bond part of the America Fast Forward program that Congress will hopefully adopt this year. And here’s the update from Metro’s government relations squad:

Last week, New York City Mayor Michael Bloomberg and Chicago Mayor Rahm Emanuel joined over 100 mayors from across the United States in encouraging the United States Congress to back our agency’s America Fast Forward Transportation Bond initiative. America Fast Forward Transportation Bonds represent a new class of qualified tax credit bonds that would, if enacted into federal law, significantly increase transportation infrastructure investments across the nation. Support for the initiative is bi-partisan in nature, including from Scott Smith, the Vice-President of the Conference of Mayors. Mayor Smith is a Republican who is currently the mayor of Mesa, Arizona. Please find here a map that illustrates the broad array of America’s mayors in support of America Fast Forward Transportation Bonds.

 

Here’s an earlier post that better explains the bond program. The gist of it: these are bonds that would come without interest for transit agencies, a potential savings of millions of dollars on big projects.

Reminder: why Election Day matters in Los Angeles if you care about transportation

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Click above to find your polling place.

As you may have heard, there’s a runoff Tuesday in Los Angeles to elect the next mayor of the second-largest city in the nation — a city with about 3.8 million inhabitants and some well-known transportation challenges.

I ran the following post on March 4, the day before the primary election in Los Angeles. I’m running it again today as a reminder to vote in tomorrow’s mayoral election between Eric Garcetti and Wendy Greuel because whichever succeeds Antonio Villaraigosa will likely have a hand in many important transportation decisions, including project acceleration, the future of congestion pricing projects, the construction of five rail projects and possible changes in Metro’s fare structure in the future.

Look up your polling place here.

Metro is a county agency and is overseen by a 13 member Board of Directors who serve as the deciders on most significant issues. The Mayor of Los Angeles gets a seat on that board and gets to fill three other seats with his appointees.

A majority of the Metro Board — i.e. seven votes — is required to approve most items. Four of those seven votes are controlled by the Los Angeles mayor. That means that the mayor controls more than half the votes needed to approve items that have impacts across Los Angeles County and the region.

Here are some items that are likely to confront the Metro Board in the next four or so years, meaning they’re items likely to confront the lucky soul (if luck is the right word) who becomes the next mayor of the City of Angels and/or Parking Lots:

•There is the not-so-tiny issue of whether to accelerate the building of Measure R projects and, if so, how best to pay for it and which transit and road projects are included. The next mayor may also choose to use their bully pulpit to persuade Congress to adopt the full America Fast Forward program, which would greatly expand funding for transportation projects.

•Although Metro CEO Art Leahy has already said there will be no changes to Metro’s fares in the upcoming fiscal year that begins July 1, he also said it’s an issue that will likely have to be revisited sooner rather than later in order to help Metro keep up with its expenses.

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Mayors across the United States show their support for America Fast Forward bond program to accelerate transportation projects

MayoralLetterAFFBonds4-30-13

The America Fast Forward initiative got a nice boost last week when the U.S. Conference of Mayors issued a letter (above) to Congress supporting Metro’s attempt to create a new class of bonds that could be used to accelerate transportation projects across the country, including Metro’s Measure R highway and transit projects. From Metro’s government relations staff:

A letter sent by well over 100 Mayors from across the United States is encouraging the United States Congress to back our agency’s America Fast Forward Transportation Bond initiative.

America Fast Forward Transportation Bonds represent a new class of qualified tax credit bonds that would, if enacted into federal law, significantly increase transportation infrastructure investments across the nation.

The correspondence was spearheaded by the Immediate Past President of the United States Conference of Mayors, Los Angeles Mayor and Metro Director Antonio Villaraigosa.

The letter secured strong bi-partisan support, including from Scott Smith, the Vice-President of the Conference of Mayors.  Mayor Smith is a Republican who is currently the mayor of Mesa, Arizona.

Please find here a copy of the United States Conference of Mayors letter to Congressional leaders in support of America Fast Forward Transportation Bonds.  For your review, please also find here a brochure that includes details on our innovative transportation bond initiative and an illustration on how the America Fast Forward Transportation Bond process would work.

Here’s a helpful pamphlet from Metro explaining how the bonds would work. Congress last year approved another part of the America Fast Forward initiative that expanded a program that offers federal backing of low-interest loans. The bond program is the other equally important part of America Fast Forward.

AFF Bonds Single Page

President Obama’s proposed budget calls for $130 million for two Metro projects: Purple Line Extension and Regional Connector

This page from the U.S. Dept. of Transportation booklet of budget highlights. Click above for the full document (pdf).

This page from the U.S. Dept. of Transportation booklet of budget highlights. Click above for the full document (pdf).

Some very welcome news via the proposed budget released today by President Barack Obama: the budget includes $130 million to help fund two of Metro’s big rail projects: the Purple Line Extension and the Regional Connector. The budget allocates $65 million to both projects.

This is the first time that both projects will actually receive federal money. The funds are extremely significant because they help supplement Measure R funds for two projects that are both very expensive and need additional funds. Although Congress still must approve the budget, historically these type of funds don’t change much during budget negotiations.

There’s another reason the money is important. The funds are the first payment for more federal dollars that will flow to both projects in future federal budgets via the federal New Starts program that helps local transit agencies pay for big, pricey transit improvements — such as new rail lines.

Formal agreements that detail the New Starts money are expected to be signed between Metro and the Federal Transit Administration later this year. The subway will be asking for $2.3 billion in New Starts money and has a budget of $2.4 billion for its first phase to La Cienega Boulevard. The Regional Connector will be asking for $671 million in New Starts money and has a budget of $1.3 billion.

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Metro Board to consider change to Measure R expenditure plan as part of latest project acceleration effort

UPDATE: The item will be considered at April’s meeting of the Metro Board of Directors.

In 2010, the Metro Board of Directors approved the 30/10 plan, the idea being to build 30 years worth of Measure R projects in the next decade. Although it hasn’t yet worked out, that policy is still very much on the books — and Metro staff are still trying to advance Measure R road and transit projects.

The first part of a new acceleration strategy will come before the Metro Board at its monthly meeting on Thursday. In particular, Metro staff are recommending that the Board approve a public notice of a planned change to the Measure R expenditure plan that would allow second- and third-decade Measure R projects to begin receiving funds this decade.

If approved, the proposal would then be vetted by a three-judge panel that provides oversight for Measure R. After the judges release their findings, the plan is for the Metro Board to vote on the new dates for the expenditure plan and a new acceleration plan at the Board’s May meeting.

And what will the acceleration strategy be this time around? I don’t know the details beyond what’s in the staff report issued last week (the report is below). The report shows that Metro is looking at assembling funds from a variety of sources — Measure R, America Fast Forward loans and bonds (30/10 was renamed America Fast Forward in 2011) and possibly revenues from Prop A and C, the half-cent sales tax increases approved by L.A. County voters in 1980 and 1990, respectively.

So stay tuned. As always there’s a lot of balls in the air, particularly at the federal level, where Metro is trying to lock down New Starts money for the Westside Subway Extension and Regional Connector while also getting getting Congress to fully adopt and fund the America Fast Forward plan.

Report gives America’s infrastructure a scathing D+ but applauds Metro’s America Fast Forward initiative for transit projects

The American Society of Civil Engineers (ASCE) has released its report card on America’s infrastructure and it’s not one we’d be proud to show Mom. “Report Card for America’s Infrastructure” awarded our nation a dismal D+ and was particularly critical of the state of our nation’s roads, transit and aviation facilities. That segment earned a D.

Congressman Nick Rahall (D-WV), ranking Democrat on the House Transportation and Infrastructure Committee, responded by criticizing plans to reduce the federal government’s committee for transportation programs and projects. “It is high time that we move beyond just rhetoric when it comes to the state of our infrastructure and recognize that it is about the money,” Rahall said.

One positive note was applause for Metro’s America Fast Forward initiative. “Los Angeles County’s move from car capital of the world to transit capital of the United States is being driven by $15 billion in transit funds approved by county voters and with the assistance of America Fast Forward, the innovative finance section of MAP-21, America’s new surface transportation law,” the report said.

“America Fast Forward offers over $20 billion in new federal lending power over the next two years. By helping communities leverage their transportation resources and stretch federal dollars further than they have been stretched before, America Fast Forward will reshape our nation’s infrastructure while employing tens of thousands of workers to build a stronger and more mobile America.

“Implementing America Fast Forward in Los Angeles County alone will create over 160,000 highway and transit construction-related jobs, increase ridership by an estimated 77 million trips per year, reduce emissions from vehicles and save an estimated 10.3 million gallons of gasoline annually.”

“Report Card for America’s Infrastructure,” released every four years, was compiled by a committee of about 30 engineers from around the nation, including Metro Deputy CEO Paul Taylor.

Check out the report and let us know what you think. Here’s the link.

Reminder: why Election Day in Los Angeles matters if you care about transportation

Click above to find your polling place if you live in the city of Los Angeles.

Click above to find your polling place if you live in the city of Los Angeles.

As you may have heard, there’s a primary election Tuesday in Los Angeles to elect the next mayor of the second-largest city in the nation — a city with about 3.8 million inhabitants and some well-known transportation challenges.

So even if you get all scratchy and/or break out in hives during campaign season, I’m here to kindly remind you to vote because there’s a lot at stake. Strike that. There’s tons at stake. Look up your polling place here.

Here’s why. Metro is a county agency and is overseen by a 13 member Board of Directors who serve as the deciders on most significant issues. The Mayor of Los Angeles gets a seat on that board and gets to fill three other seats with his appointees.

So let’s do some math! A majority of the Metro Board — i.e. seven votes — is required to approve most items. Four of those seven votes are controlled by the Los Angeles mayor. That means that the mayor controls more than half the votes needed to approve items that have impacts (hopefully always very positive!) across Los Angeles County.

Here are some items that are likely to confront the Metro Board in the next four or so years, meaning they’re items likely to confront the lucky soul (if luck is the right word) who becomes the next mayor of the City of Angels and/or Parking Lots:

•Although there’s nothing currently on the table, there will likely be a discussion in the next four years about Metro’s fare structure — all large transit agencies have to confront the fare issue at regular intervals. If you’re one of the readers who has left countless comments on this blog calling for distance-based fares, then this might interest you.

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Obama Administration endorses America Fast Forward bonds program

 

Some outstanding news today: President Obama has endorsed the America Fast Forward bonds proposal as part of his plan to improve the nation's infrastructure. The White House fact sheet is below and here's the update from Metro's government relations staff:

This morning, the White House released a fact sheet concerning President Obama's “Plan to Make America a Magnet for Jobs by Investing in Infrastructure.” This fact sheet contains a 7-point plan, which includes a provision to enact America Fast Forward Bonds.The document also includes a provision to implement the newly expanded TIFIA program (part of our Board-approved Federal Legislative program), which was included last year in MAP-21's America Fast Forward section. Our Government Relations team will continue to work with the Obama Administration (both at the White House and USDOT) and both Republicans and Democrats in the U.S. Senate and U.S. House of Representatives to advance our Board-approved Federal Legislative Program. Please also find here a brochure on our America Fast Forward Transportation Bond initiative that was previously shared with all Board members.

America Fast Forward (AFF) is an initiative by Metro and Los Angeles Mayor Antonio Villaraigosa to expand transportation funding in order to accelerate projects here in Los Angeles County and around the nation. AFF has two parts: the first is an expanded federal loan program that Congress adopted last year; it features government-backed low-interest loans.

The other part is a bond program that would provide very low-cost bonds to transportation agencies in exchange for tax credits to those who sell the bonds. The above graphic explains it best.

As the White House notes, the AFF bond program is modeled on the Build America Bonds that were part of the stimulus bill in 2009 to help revive the country's economy. The White argues that AFF bonds would attract new capital for transportation projects and would better distribute funds throughout the U.S.

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