The MLK/I-71 Interchange project is supposed to be funded through the city’s parking plan, but mayoral candidate John Cranley, who opposes the parking plan and streetcar, says the city should instead use federal funding that was originally intended for the streetcar project.
Between 2010 and 2011, the streetcar project was awarded about $40 million in federal grants — nearly $25 million through
the Urban Circulator Grant, $4 million through the Congestion Mitigation
and Air Quality (CMAQ) Grant and nearly $11 million through TIGER 3.
The grants are highly competitive and allocated to certain
projects. In the case of Cincinnati, the grants were specifically
awarded to the streetcar after it was thoroughly vetted as a transit, not highway, project.
The Department of Transportation (DOT) website explains why the Urban Circulator Grant is only meant for transit projects like the streetcar: “Urban circulator systems such as streetcars and rubber-tire trolley lines provide a transportation option that connects urban destinations and foster the redevelopment of urban spaces into walkable mixed-use, high-density environments.”
The CMAQ Grant’s main goal is to fund projects that curtail congestion and pollution, with an emphasis on transit projects, according to the Federal Highway Administration. The website explains, “Eligible activities include transit improvements, travel demand management strategies, traffic flow improvements and public fleet conversions to cleaner fuels, among others.”
The DOT website says TIGER 3 money could go to a highway project, but one of the program’s goals is promoting “livability,” which is defined as, “Fostering livable communities through place-based policies and investments that increase transportation choices and access to transportation services for people in communities across the United States.” TIGER 3 is also described as highly competitive by the DOT, so only a few programs get a chance at the money.When asked about the grants’ limitations, Cranley said, “I believe … the speaker of the house, the senator, the congressman, the governor and the mayor could petition and get that changed. Just because that may have been the way they set the grants in the first place doesn’t mean they can’t change it.”
The parking plan would lease Cincinnati’s parking assets to the Port of Greater Cincinnati Development Authority and allocate a portion of the raised funds — $20 million — to the MLK/I-71 Interchange project, but the plan is currently being held up by a lawsuit seeking to enable a referendum.
The streetcar is one of the few issues in which Cranley and Vice Mayor Roxanne Qualls, a streetcar supporter who is also running for mayor, are in stark contrast (“Back on the Ballot,” issue of Jan. 23).
Cranley’s opponents recently accused him of originally supporting the streetcar when he was a council member through two 2008 City Council motions, but Cranley says those motions, which he co-sponsored, only asked the city administration to study the merits of a streetcar plan, not approve of it. Cranley voted no on the first streetcar resolution in October 2007 and the motion to actually build the streetcar in April 2008.
“I’ve never said that I’m against the (streetcar) concept in all circumstances,” Cranley says. “I wanted to know if there was a way that they could pay for it in a way that wouldn’t take away from what I thought were more important priorities.”
Bengals wide receiver Jerome Simpson has some explaining to do after being caught yesterday receiving a shipment of 2.5 points of weed to his home. Authorities found another 6 pounds inside the Crestview Hills house, which Simpson owns. Here's how the incident will affect your fantasy football team, should you have made the mistake of drafting Jerome Simpson.
Western & Southern in a press release today announced an agreement with Cincinnati Union Bethel (CUB) that will sell the Anna Louise Inn in Lytle Park to W&S for $4 million, ending years of entanglements between the two entities over what should be done with the property in need of millions of dollars in renovations.As part of the deal, ALI will move to a new location in Mount Auburn at the corner of Reading Road and Kinsey Avenue, in the same vicinity as the United Way of Greater Cincinnati and The Talbert House. The settlement also provides CUB time to construct the new Inn, so none of the current residents will be displaced. CUB will still retain its $13 million in funding to develop the new property.
The Anna Louise Inn, which provides safe and affordable housing for low-income women, has called the Lytle Park location home since 1909. The new agreement will dissolve all ongoing litigation; most recently, W&S accused ALI of potentially discriminating against men.
In 2009, W&S passed up on an opportunity to purchase the Inn for $3 million, before CUB obtained city- and state-distributed federal funding to renovate the building and stay in the neighborhood, a decision Western & Southern admitted it regretted. Since then, the Fortune 500 company has been battling with the ALI in hopes of getting another chance to purchase the property.
According to the CUB website, the settlement came about for several reasons, including concern that ongoing litigation with W&S would have caused it to lose tax credits earned through the Ohio Housing Finance Agency, which were due to expire at the end of 2013 and cannot be used during ongoing litigation.
Now W&S plans to renovate the building into an upscale new hotel, which will essentially give the company a monopoly on real estate in the Lytle Park neighborhood.
It's a bittersweet change for the women and staff at the Inn, explains CUB President and CEO Steve MacConnell, but "ultimately, it's the right decision," he says. MacConnell says CUB learned about the plot of land just three to four weeks ago, when they started seriously considering a move. "After two years of litigation, the women — and us — we were all feeling so much uncertainty," he says, "and ultimately what's best for the women is what we've always had in mind."
A new Census Bureau report reveals that from 2005 to 2009, a segment of Over-the-Rhine had the highest income inequality of more than 61,000 communities nationwide.
The segment — known as Census Tract No. 17 — is the northeast quadrant of Over-the-Rhine. The findings were featured in an article Tuesday by McClatchy Newspapers, which attributes the disparity in the tract partially to gentrification and the influx of young professionals into the predominantly low-income neighborhood.
Cincinnati’s Music Hall will be getting renovations, but the project will be much smaller than anticipated. Instead of the previously estimated $165 million, the project, which involves the city leasing the iconic building to the Music Hall Revitalization Company (MHRC) for 75 years, will only cover approximately $95 million.
At a joint press conference Wednesday, Mayor Mark Mallory and Otto Budig, president of MHRC, officially announced the plan, which City Council will take up early next year.
Not many details or a timeline were announced at the press conference, but some information did come to light. The renovations will include more comfortable seating, extra restroom capacity, heating, air conditioning, improved plumbing and new escalator models. During the renovations, Music Hall, home of the Cincinnati Symphony Orchestra, Cincinnati Opera and Cincinnati Ballet, will be closed for an estimated 17 months.
“We will do this in a manner that carries with it the surety that the project will be complete,” Budig said. “The worst thing we could do is start this project without the natural resources and pledges available.”
On top of the leasing agreement, the city will also help fund the project through tax credits.
The lease continues the trend of public-private partnerships city government has used to revitalize Over-the-Rhine and downtown Cincinnati in recent years. From the Banks to Washington Park, the city of Cincinnati has pushed to be seen as a more attractive, business-friendly environment.
However, that has come with some push back. The Cincinnati Center City Development Corporation (3CDC) and city have previously faced criticisms from homeless advocates for allegedly discriminatory rules at Washington Park, which were later voted down by the Cincinnati Park Board.
Some public officials have also raised concerns about the city giving away too many of its public assets. The 2013 budget currently relies on a proposal that will privatize Cincinnati’s parking assets, a plan that has faced heavy criticism from Councilman P.G. Sittenfeld and mayoral candidate John Cranley. City Manager Milton Dohoney argues the privatization plan is necessary to avoid 344 layoffs.
As part of CityBeat's continuing election coverage, we’ve once again sent a questionnaire to the non-incumbent Cincinnati City Council candidates to get their reactions on a broad range of issues.
Nine of the 14 non-incumbents chose to answer our questions. Others either didn’t respond or couldn’t meet the deadline.
During the next few weeks, we will print the responses from the non-incumbents to a different topic each time.
Today’s question is, “There is a movement afoot to move the Drop Inn Center homeless shelter out of Over-the- Rhine. Do you support or oppose this effort, and why?”
In the past few days, local media outlets have reported heavily on a supposed conflict between Southwest Ohio Regional Transit Authority (SORTA) and the city of Cincinnati. Essentially, SORTA wants the transit fund limited, while the city government says it doesn’t want to “undermine the city charter” with limitations.
At its heart, the argument is a political back-and-forth with little consequence. It’s two government agencies at a small divide over legalese in an intergovernmental agreement about how the streetcar will operate and how it will be funded.
The specific issue is SORTA, which runs the Metro bus
system and will operate the streetcar, wants to include phrasing in its
agreement with the city that makes it so the transit fund can’t be used
for the streetcar. In a 7-6 vote Tuesday, SORTA's board pushed its preferred wording along with an application for an $11 million federal grant that will help fund the streetcar.
But the city government claims the limitation would go against the spirit of the city charter, which says the transit fund can be used for “public transit purposes generally and without limitation.”
UPDATE: City Council on Wednesday passed a resolution promising not to use Metro bus money on the streetcar, although it has no legal standing preventing council from later coming back and using transit funds for the streetcar.
Still, Mayor Mark Mallory’s office has insisted time and time again that funding for the streetcar’s construction and operation is already allocated, so taking any money from the transit fund will be unnecessary. Specifically, the city will tap into casino revenue to operate the streetcar, on top of the $11 million federal grant.
In an op-ed for The Cincinnati Enquirer Monday, Mallory said the real issue goes back to an ongoing lawsuit between SORTA and the city. In 2010, the city diverted money from the transit fund to pay for street lights. That prompted a lawsuit from SORTA, asking the courts to define the limits of the transit fund.
The mayor’s office sees the wording from SORTA as an attempt from the transit agency to score a minor victory in the legal battle. If the city government accepted the wording, it would be agreeing to a limited transit fund, which is essentially what SORTA wants.
SORTA’s wording also makes it so all transit fund money will continue going to the Metro bus system, which is the agency’s sole service today.
But even SORTA says the disagreement is getting blown out of proportion by media outlets and public officials. Sallie Hilvers, spokesperson for SORTA, says the wording in the approved agreement was the board’s attempt to ensure the transit fund isn’t used for the streetcar, but, for the most part, it’s “really just procedures.”
Hilvers insisted the disagreement over wording has plenty
of time to be worked out, and it will not hinder collaboration between
the city of Cincinnati and SORTA.
The agreement will need to be worked out before summer 2013 for the streetcar to stay on track.
A review of the fine print in Ohio law could spell trouble for Duke Energy in its dispute with Cincinnati about who must pay to move utility lines to accommodate the city’s streetcar project.
Readers of CityBeat’s March 6 cover story know that one of the legal arguments made by Duke Energy is that it said the system qualifies as a utility itself under Ohio law. And one utility has no legal obligation to reimburse another utility, Duke added.
City officials disagree with Duke’s interpretation, and the two sides currently are trying to negotiate a compromise to the impasse.
The city is willing to pay $6 million to relocate Duke’s natural gas, chilled water, fiber and electrical infrastructure along the streetcar route, but the firm insists it will cost at least $18.7 million and possibly more.
A close reading of the Ohio Revised Code (ORC), however, reveals it is unlikely that a streetcar system qualifies as a “public utility.”
Under Ohio law, the following items are defined as public utilities:
“A motor transportation company, when engaged in the business of carrying and transporting persons or property or the business of providing or furnishing such transportation service, for hire, in or by motor-propelled vehicles of any kind, including trailers, for the public in general, over any public street, road, or highway in this state.” ORC §4905.03
But motor-propelled vehicles aren’t defined under Ohio law. The ORC does, however, define “motor vehicle” as:
“(B) “Motor vehicle” means any vehicle, including mobile homes and recreational vehicles, that is propelled or drawn by power other
than muscular power or power collected from overhead electric trolley wires.
“Motor vehicle” does not include utility vehicles as defined in division (VV)
of this section, motorized bicycles, road rollers, traction engines, power
shovels, power cranes, and other equipment used in construction work and not
designed for or employed in general highway transportation, well-drilling
machinery, ditch-digging machinery, farm machinery, and trailers that are
designed and used exclusively to transport a boat between a place of storage
and a marina, or in and around a marina, when drawn or towed on a public road
or highway for a distance of no more than ten miles and at a speed of
twenty-five miles per hour or less.” ORC
“(B) “Motor vehicle” means any vehicle, including mobile homes and recreational vehicles, that is propelled or drawn by power other than muscular power or power collected from overhead electric trolley wires. “Motor vehicle” does not include utility vehicles as defined in division (VV) of this section, motorized bicycles, road rollers, traction engines, power shovels, power cranes, and other equipment used in construction work and not designed for or employed in general highway transportation, well-drilling machinery, ditch-digging machinery, farm machinery, and trailers that are designed and used exclusively to transport a boat between a place of storage and a marina, or in and around a marina, when drawn or towed on a public road or highway for a distance of no more than ten miles and at a speed of twenty-five miles per hour or less.” ORC §4501.01(B)
Streetcars operate using overhead trolley wires, thus they aren’t considered motor vehicles under Ohio law. But do they even qualify as vehicles? The ORC defines vehicles as:
“(A) “Vehicles” means everything on wheels or runners, including motorized bicycles, but does not mean electric personal assistive mobility devices, vehicles that are operated exclusively on rails or tracks or from overhead electric trolley wires, and vehicles that belong to any police department, municipal fire department, or volunteer fire department, or that are used by such a department in the discharge of its functions.” ORC §4501.01(A)
Of course, streetcars run on rails and use power from electric
trolley wires. So, they aren’t vehicles either. The conclusion: Either “motor-propelled vehicles” mean the same as “motor
vehicles” (in which case it doesn’t apply to streetcars) or “motor-propelled”
is an adjective to “vehicle” (which also doesn’t apply, as streetcars aren’t
vehicles). In each instance, a streetcar system doesn’t fall into the legal realm of a “motor transportation company” and therefore isn’t a “public utility.”
Of course, streetcars run on rails and use power from electric trolley wires. So, they aren’t vehicles either.
The conclusion: Either “motor-propelled vehicles” mean the same as “motor vehicles” (in which case it doesn’t apply to streetcars) or “motor-propelled” is an adjective to “vehicle” (which also doesn’t apply, as streetcars aren’t vehicles).
In each instance, a streetcar system doesn’t fall into the legal realm of a “motor transportation company” and therefore isn’t a “public utility.”
At first glance, it might seem like a rail line between downtown Cincinnati and the city of Milford would earn support from the same people who back the $132.8 million streetcar project, but streetcar supporters, including advocacy group Cincinnatians for Progress, say they oppose the idea and its execution.
Critics of the overall project, called the Eastern Corridor, recently pointed to a November study from HDR. Despite flowery language promising a maximized investment, HDR found seven of 10 stations on the $230-$322 million Oasis rail line would result in low economic development, five of 10 stations would provide low access to buses and bikes, and the intercity line would achieve only 3,440 daily riders by 2030.
HDR’s findings for the Oasis line stand in sharp contrast to its study of Cincinnati’s streetcar project. The firm found the streetcar line in Over-the-Rhine and downtown would generate major economic development and a 2.7-to-1 return on investment over 35 years.
Given the poor results for the Oasis line, streetcar
supporters say local officials should ditch the Oasis concept and
instead pursue the 2002 MetroMoves plan and an expansion of the
streetcar system through a piecemeal approach that would create a central transit spine through the region.
“To have (the Oasis line) be our first commuter rail piece in Cincinnati … just doesn’t make sense to me,” says Derek Bauman, co-chair of Cincinnatians for Progress.
MetroMoves spans across the entire city and region, with the rail line along I-71 from Cincinnati/Northern Kentucky International Airport to downtown Cincinnati to King’s Island fostering particularly high interest.
Voters rejected the MetroMoves plan and the sales tax hike it involved in 2002, but streetcar supporters say public opinion will shift once the streetcar becomes reality in Cincinnati.
“That’s been proven in other cities, especially ones that have not historically been transit-oriented,” Bauman says, pointing to Houston and Miami as examples of cities that built spines that are now being expanded.
Opposition to the Oasis line is also more deeply rooted in a general movement against the Eastern Corridor project. The unfunded billion-dollar project involves a few parts: relocating Ohio 32 through the East Side, the Oasis rail line and several road improvements from Cincinnati to Milford.
Supporters of the Eastern Corridor claim it would ease congestion, at least in the short term, and provide a cohesiveness in transportation options that’s severely lacking in the East Side.
Opponents argue the few benefits, some of which both sides agree are rooted in legitimate concerns, just aren’t worth the high costs and various risks tied to the project.
“When it comes to widening roads and highways, it’s kind of like loosening your belt at Thanksgiving. Somehow traffic always fills to fit,” Bauman says. “Highway expansion, especially in urban areas, is not the future. It’s not even the present in some areas.”
The big concern is that the relocation of Ohio 32 might do to the East Side and eastern Hamilton County what I-75 did to the West Side, which was partly obliterated and divided by the massive freeway.
“It hurts the cohesiveness of our communities when you create these big divides,” Bauman argues. “You would see that repeat itself.”
Officials are taking feedback for the Eastern Corridor and Oasis rail line at EasternCorridor.org.
This article was updated to use more up-to-date figures for the cost of the Oasis rail line.
The biggest deficit plug will come from privatizing parking services, which the city manager’s office says will bring in $40 million in one-time revenue and additional revenue over 30 years as part of a long-term contract. About $21 million of the initial lump-sum payment will be used to close the 2013 budget deficit.
In the past, Councilman P.G. Sittenfeld voiced concerns about privatizing parking: “I’ll await more details, but it seems penny-wise and pound-foolish to forgo a steady revenue stream for a lump-sum payment. Cincinnati needs a structurally balanced budget and can’t keep relying on one-time sources. Places like Chicago and Indianapolis have seen their parking rates more than double following privatization — that’s a bad deal for citizens, and something we don’t need while we’re experiencing an urban renaissance.”
Another concern is whether the city’s current parking employees will be laid off if parking services are sold. Dohoney said the deal for privatization will require the winning bidder to interview all American Federation of State, County and Municipal Employees (AFSCME) workers. Full-time workers who do not join the winning bidder will be hired in other parts of the city government. “No AFSCME employee will be placed on the street if they are full-time as a result of this effort,” Dohoney claimed.
The rest of the deficit plug will come in cuts, cost shifting, savings, revenue, embedded growth and one-time sources. Among these, notable items include the elimination of the Mounted Patrol for the Cincinnati Police Department (CPD) and a $610,770 reduction in Human Services Funding. A few departments and programs, including the CPD, will face further minor cuts.
The city manager’s office claims the changes in the budget are necessary mostly due to changes at the state level. Specifically, the state government cut the Local Government Fund by 50 percent and eliminated the tangible personal property tax reimbursement and estate tax; altogether, losing these sources of revenue cost Cincinnati $22.2 million in the 2013 budget.
Facing the large deficit, Dohoney said he wanted to avoid across-the-board cuts and other major cuts to growth and investment programs: “You’re not competitive if that’s your approach.”
The budget also includes some spending increases. The Focus 52 Program will focus on redevelopment projects in Cincinnati’s 52 neighborhoods. If it’s successful, the new program will “grow the city’s revenue base, create new jobs and/or increase the population of the city,” according to the city manager’s office.
In other budget news, the city manager will also send out the Tentative Tax Budget proposal, which sets the millage rate for the operating property tax. That proposal seeks to raise the millage rate from 5.9 mills to 6.1 mills, which will provide an estimated $31 million in revenue, up from $23.5 million. For a $100,000 residential property, that means a tax hike of $46.