Fort Worth looks to developers to pay streetcar costs

(The following editorial by Mike Norman appeared in the Ft. Worth Star-Telegram.) Time for a Fort Worth streetcar update -- or, as I call it, the local obsession that won't go away.

The latest: We’ve got cost
and ridership projections from the city’s consultant, HDR Engineering of Omaha,
Neb. On Oct. 5, HDR is scheduled to give an update to the City Council,
including the firm’s recommendation for which of six proposed streetcar routes
would be the best one to start with.

The routes, which HDR has
been studying since April under an $821,000 city contract, all begin downtown.
They are:

• Jennings Avenue to the
medical district, 2 miles.

• North Main Street to the
Trinity River Vision area, 1.4 miles.

• South Main Street to West
Magnolia Avenue and Eighth Avenue, 3.2 miles.

• South Main Street to
Rosedale Street and Evans Avenue, 2.2 miles.

• Trinity Bluff, along
Pecan Street, North Elm Street and Samuels Avenue, 2.2 miles.

• West Seventh Street to
Montgomery Street, 3 miles.

Charles Hales, HDR’s
project manager, says all would have enough ridership to make them viable
routes, but that doesn’t mean they all are equally desirable. If Fort Worth is
to have streetcars — the City Council won’t answer that question until November
— it will have to start with the route that has the greatest chance of drawing
riders and spurring development. Initial success is crucial, and cost is always
a consideration.

HDR says the South
Main/Magnolia route likely would attract the most people, about 3,300 to 3,600
a day at the expected startup in 2015. Next is Jennings Avenue, with 2,700 to
2,950 riders a day. Those two routes stand out in ridership because they run
between the Trinity Railway Express stations downtown and the hospitals in the
Medical District, which are big employment generators.

The West Seventh route
comes in third, with 2,150 to 2,350 riders a day in 2015.

But even though South
Main/Magnolia might have the most riders, it’s also the longest and most
expensive at $138.3 million. That figure is driven up by the expected $4
million cost of needed upgrades to the Main Street underpass at Interstate 30
and the Union Pacific railroad.

The West Seventh route is
the second-longest and next most expensive, $128.8 million. Its cost is driven
up by $1.25 million for both temporary and permanent upgrades to the railroad
crossing just west of the Trinity River.

The South Main/Rosedale
route carries an expected cost of $105.9 million, and the Jennings Avenue route
$98.5 million.

So, do you pick the route
with the most ridership or the one with the lowest cost? Neither, says HDR.
Hales, who has worked on similar projects all over the country, has said that
streetcars are "fundamentally an economic stimulus project."

That means the goal is to
add to the tax rolls. How much real estate development could be expected within
what Hales calls the streetcar "influence zone" extending out a
quarter-mile either side of the tracks (about how far people typically are
willing to walk to catch a ride)? HDR has worked the problem from that angle,
too.

The prize for total value
added within 15 years of startup goes to the West Seventh route, $925 million.
South Main/Magnolia is second at $760 million and dark horse Trinity Bluff hits
$745 million.

Then comes the real bottom
line. Fort Worth doesn’t have the money to build any of these routes. A $25-million
federal grant is still on the table to help with the downtown circulator
portion shared by all, but the city still can’t afford the rest. Enter Hales
again. Between now and November, it’s his job to see if the money can be found.
Rightfully, he’s talking with landowners and developers, the people who stand
to make a lot of money if streetcar lines are built. How much are they willing
to pay to get on board?

And which route would get
the most financial support from deep-pocket individuals should it be chosen as
the starter route? For any of those folks who are interested, it’s time to
contact Hales.