In what could be another chance of survival for the $132.8 million streetcar project, Mayor John Cranley on Thursday announced he's willing to continue the project if private contributors cover annual operating expenses that would hit an already-strained operating budget. Although Cranley gave private-sector leaders and streetcar supporters only one week to get a legally binding plan together, Eric Avner of the Haile Foundation said he is quite confident that private contributors could pull together some assurances for the 30 years in operating expenses in the short time span. The potential operating costs have long been a concern for opponents of the streetcar project, even though supporters insist that they would be more than made up by the economic development spurred by the streetcar.
A constitutional review panel seems to agree on a few key points regarding redistricting reform, which could fix a system that's long been abused by politicians on all sides of the aisle to give their political parties an advantage during elections. The panel agreed to create a seven-member board that would redraw Ohio's congressional and legislative districts after the next census is taken in 2020, but it's undecided how much power the minority party should hold on the board. In the last round of redistricting, Republican leaders redrew Ohio's political maps to deemphasize demographics that typically support Democrats and provide stronger spreads for demographics that typically support Republicans. CityBeat covered the issue and its potential impacts in greater detail here.
House Speaker John Boehner, a Republican, was the only federal legislator from the Cincinnati area to approve a budget deal that will avoid the threat of future government shutdowns. The deal replaces some of the controversial, blunt budget cuts known as "sequestration" with revenue from hiked fees and savings from cuts elsewhere. Reps. Steve Chabot and Brad Wenstrup, both Republicans from Cincinnati, voted against the deal because it makes cuts over a long period of time. But many economists agree long-term cuts are necessary to avoid the negative effects of budget cuts on today's already-weak economy. The Washington Post ran through the budget deal in further detail here.
Weigh in on the Eastern Corridor project here.
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Health Care Access Now, which helps low-income people in Ohio and Kentucky get health care, obtained a $600,000 grant that could reach 4,500 more patients in the Cincinnati area.
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The streetcar project’s chances of survival grew on Thursday after Mayor John Cranley announced he’s willing to allow the $132.8 million project move forward if the annual operating costs for the streetcar are underwritten by private contributors.
But streetcar supporters might have as little as one week to provide assurances to Cranley that the operating costs can be underwritten by the private sector, given the federal government’s Dec. 20 deadline for up to $44.9 million in grants financing roughly one-third of the project.
Still, a representative of the Haile Foundation, a major private contributor to city projects, said private-sector leaders are already working on meeting Cranley’s offer and solving the issue.
The concern for Cranley — and even some streetcar supporters — is that annual operating expenses for the streetcar would hit the city’s already-strained operating budget, especially if the annual operating expenses are higher than the previous estimate of $3.4-$4.5 million.
Although the city wouldn’t need to pay for the full operating costs until the streetcar opens for service in 2016, Cranley and some council members are concerned finishing the project now would force the city to make payments it won't be able to afford in the future.
“We know the streetcar is a very expensive project,” Cranley said. “This community cannot afford a new, ongoing liability that goes on forever.”
Streetcar supporters argue Cranley’s view misses the streetcar’s potential for economic development, which could bring in more city revenues as more people move and work in the city.
The streetcar project would produce a 2.7-to-1 return on investment, according to a 2007 study from consulting firm HDR that was later verified by the University of Cincinnati.
Councilman Kevin Flynn, one of the two potential swing votes on council, said Cranley’s offer could provide “a way forward.” He previously told CityBeat that the operating costs remain a prominent concern for him because they could translate to cuts in the city’s budget, particularly to police and firefighters.
Eric Avner, vice president and senior program manager of community development at the Haile Foundation, called the deal “an olive branch” to streetcar supporters. He said he’s “very, very confident” the private sector will be able to find a solution.
“I don’t think we can solve it in a week. What I heard is he needs assurances,” Avner said.
Cranley said he doesn’t expect someone to come to city leaders next Wednesday with a check paying for 30 years of operating costs, but he said the commitment has to be serious and long lasting for the city to move forward with the streetcar.
Avner discussed bringing together a commission of private-sector leaders with some long-term assurances.
In what he described as an “organic” movement, Avner said he’s heard from various private-sector leaders that they want to keep the project going, but he claimed most of them don’t want to engage in a public “food fight” that could hurt their relations with the mayor and other city officials.
For Avner, it’s a matter of sticking to a project that’s already well into development and construction.
“We don’t have the luxury to waste that kind of money in this town,” he said.
Streetcar Project Executive John Deatrick on Nov. 21 told council members that canceling the streetcar project could save only $7.5-$24.5 million in capital costs after accounting for $32.8 million in estimated sunk costs through November, $30.6-$47.6 million in close-out costs and up to $44.9 million in federal grants that would be lost if the project were stopped.
After Cranley’s announcement, Councilwoman Yvette Simpson questioned Cranley’s motives and said the solicitation might be very difficult to meet in just one week.
Cranley said he’ll reach out to the Federal Transit Administration to try to get an extension, perhaps until the end of the year, on the deadline for federal grants.
“It’s obviously a huge, huge hurdle to try to pull this together in seven days,” Cranley said.
Cranley cautioned he wouldn’t be upset if his offer fell through. Flanked by union representatives for police, firefighters and other city workers, Cranley reiterated that his priorities still lie in basic city services.
Councilman P.G. Sittenfeld previously proposed setting up a special improvement district to pay for the operating costs. But Cranley called the approach unworkable because it would require property owners to opt in — an effort that would presumably take much longer than one week.
Cranley’s announcement came as streetcar supporters move to place a city charter amendment in support of the streetcar project on the ballot. The campaign vowed to gather 12,000 signatures by the end of the week.
Mayor John Cranley, Councilman Kevin Flynn and four union representatives from the Fraternal Order of Police, Firefighters Local 48, AFSCME and CODE will make a “major announcement” regarding the streetcar project today at 9 a.m., according to the mayor’s office. Local 12 reported last night that the announcement will be an offer from a private contributor to underwrite the streetcar’s operating costs for 30 years, but Councilman Chris Seelbach tweeted that the rumor is “not true.” If the report checks out, it could significantly increase the streetcar project’s chances of survival by alleviating a major budget concern. (Update: The announcement wasn’t as expansive as stated by Local 12, but Cranley said he’s open to private contributions. Read more here.)
Flynn and Vice Mayor David Mann could decide the fate of the streetcar project by Dec. 20, a deadline set by the federal government for up to $44.9 million in grants funding roughly one-third of the project. It’s a precarious position for Flynn, who in 2009 and 2011 campaigned in support of the project but completely changed his position during his 2013 campaign. Both Flynn and Mann say they will only support the project if the costs of cancellation are close to the costs of completion, but Flynn says he’s also concerned about the costs to operate the streetcar. Read more about the two council members and their pivotal roles here.
City Council yesterday appointed Scott Stiles as interim city manager, but only after heated debate over Stiles’ compensation package left three council members voting “no.” The package gives Stiles a raise if he isn’t appointed as permanent city manager and returns to his previous position as one of two assistant city managers, which some council members called unfair to other city workers, including the other assistant city manager, who wouldn’t get comparable pay increases. Council members estimated the search for another city manager will take six months.
Former City Manager Milton Dohoney is among five final candidates for the city manager job in Dallas.
The Charter Committee, Cincinnati’s unofficial third political party, yesterday picked Colin Groth as its new leader.
More than 31,000 Ohio students are using private-school vouchers this year, up 4,600 from the year before. Supporters say the vouchers allow more Ohioans to attend otherwise inaccessible schools, but opponents argue the vouchers effectively siphon money away from the public school system.
The new federal budget deal received support from Republican Speaker John Boehner, but Republican Reps. Steve Chabot and Brad Wenstrup, both from Cincinnati, say they’re unsure which way they’ll vote. The deal increases spending levels established after across-the-board cuts known as “sequestration”; the increased spending is balanced out by cuts elsewhere and hiked fees. The Washington Post gave a succinct rundown of the deal here.
Ohio, Kentucky and Indiana are among the least healthy states in the nation, according to a report from the United Health Foundation.
Ohio legislators yesterday approved an expanded “Move Over” law that “requires motorists to slow down and, as conditions permit, shift to an adjacent lane when approaching construction, maintenance and public utilities commission vehicles that are parked on the roadside with flashing, oscillating or rotating lights,” according to the Ohio Department of Transportation. Previous law only requires slowing down and shifting lanes when approaching police and other emergency vehicles, including tow trucks.
The Ohio House approved a bill that could give student trustees voting power on public university boards, which could allow some students to help set tuition levels.
An anonymous $3 million gift created a scholarship fund for University of Cincinnati engineering students.
Here are the nominees for the 2014 Cincinnati Entertainment Awards.
OpenTable ranked Cincinnati restaurant Orchids at Palm Court as the seventh best in the nation for 2013. Cincinnati-based Boca also made the top 100 list.
Miami University and Cincinnati will host the 2016 NCAA hockey tournament.The coldest place on Earth — in Antarctica, obviously — can reach -135.8 degrees Farenheit.
A one-way, manned mission to Mars got closer to reality after Mars One announced a deal with Lockheed Martin and SSTL to develop technology to colonize the planet by 2025.
Work began yesterday on an audit of Cincinnati’s $132.8
million streetcar project, but streetcar supporters are upset the audit
will only look at the costs and not the potential return on investment.
The city hired KPMG, an auditing firm, to review the
streetcar’s completion, cancellation and operating costs by Dec. 19, the day the federal government says it will pull up
to $44.9 million in grants funding roughly one-third of the project.
Losing the federal funding would most likely act as a death blow for the
project, since most local officials — even some streetcar supporters —
say they’re unwilling to allocate a similar amount of funding through local sources. Mayor John Cranley and City Council asked for the audit before they decide whether to continue or permanently cancel the project.
Meanwhile, streetcar supporters yesterday kicked off a petition-gathering campaign to get a city charter amendment on the ballot that would task the city with continuing the streetcar project. But given the federal government’s Dec. 19 deadline, it’s unclear whether the ballot measure, which could go to voters as late as May, stands much of a chance. Streetcar supporters say they’ll lobby the federal government to keep the funding on hold until voters make the final decision on the project.
A City Council committee yesterday voted to rescind council’s support for a supportive housing complex in Avondale that would aid chronically homeless, disabled and low-income Cincinnatians. But because National Church Residence already obtained state tax credits for the project in June, it might be able to continue even without council support. The committee’s decision comes in the middle of of a months-long controversy that has placed neighborhood activists and homeless advocates at odds. The full body of City Council could make the final decision on its support for the project as early as today’s 2 p.m. meeting.
City Council could also move today to repeal a “responsible bidder” ordinance that has locked the city and county in conflict over the jointly owned and operated Metropolitan Sewer District (MSD). The conflict comes at a bad time for MSD, which is under a federal mandate to revamp the city’s sewer system. Councilman Chris Seelbach argues the ordinance, which he spearheaded, improves local job training opportunities, but opponents claim it places too much of a burden on businesses and could open the city to lawsuits. CityBeat covered the issue in greater detail here.
Some City Council members are concerned Interim City Manager Scott Stiles’ compensation package could act as a “golden parachute.”
State Sen. Eric Kearney of Cincinnati yesterday resigned as running mate for Democratic gubernatorial candidate Ed FitzGerald. Kearney’s decision came after media outlets reported that he, his wife and his business had up to $826,000 in unpaid taxes. The controversy grew so thick that Democrats decided Kearney was too much of a distraction in the campaign against Republican Gov. John Kasich.An Ohio House Republican pitched a proposal that would slightly increase the state’s oil and gas severance tax, but the industry isn’t united in support of the measure. When it was first discussed, the House plan was supposed to act as a downscaled but more palatable version of Gov. Kasich’s proposal, which received wide opposition from the oil and gas industry.
Speaking against a bill that would tighten sentences for nonviolent felony offenders, Ohio’s prison chief said the state is on its way to break an inmate record of 51,273 in July. The state in the past few years attempted to pass sentencing reform to reduce the inmate population and bring down prison costs, but the measures only registered short-term gains. The rising prison population is one reason some advocates call for the legalization and decriminalization of drugs, as CityBeat covered in further detail here.
More than one-third of Ohio third-graders could be held back after they failed the state reading test this fall. But the third-graders will get two more chances in the spring and summer to retake the test. Under a new state law dubbed the “Third Grade Reading Guarantee,” Ohio third-graders who fail the reading test must be held back starting this school year.
Only 5,672 Ohioans signed up for new health plans through
the Obamacare marketplace in November. Still, total enrollment in
federal marketplaces was four times higher than it was in October as the
troubled Obamacare website (HealthCare.gov) improved. Reports indicate
the website also vastly improved right before the White House’s
self-imposed December deadline to get the website working better.
William Mallory Sr., prominent local politician and ex-Mayor Mark Mallory’s father, died yesterday morning.
A home kit allows anyone to find antibiotics in leaves, twigs, insects and fungi.
Democratic gubernatorial candidate Ed FitzGerald is
preparing to replace running mate Eric Kearney, according to The Cincinnati Enquirer.
Kearney, a state senator from Cincinnati, has been under increasing
pressure to drop out of the race following multiple media reports that
uncovered he, his wife and his business owe up to $826,000 in unpaid
taxes. FitzGerald is running against Republican Gov. John Kasich in 2014.
Streetcar supporters will seek a city charter amendment that would task Cincinnati with continuing the $132.8 million streetcar project. Supporters say the amendment will act as a
back-up plan if Mayor John Cranley and City Council decide to strike
down the project after completion and cancellation costs are reviewed
through an independent audit. But the Federal Transit Administration
says the city would lose up to $44.9 million in federal funding —
roughly one-third of the streetcar project — if the city government doesn’t agree
to continue with the streetcar before Dec. 19. If the charter amendment gets enough valid signatures to appear on the ballot, voters could decide on the issue as
late as May.
Cincinnati’s winter shelter opened today and will remain open through February, according to the Greater Cincinnati Homeless Coalition. The opening comes after winter storms covered Cincinnati’s streets in ice and snow and sparked a citywide snow emergency over the weekend. The colder conditions will continue into the week, according to the National Weather Service. It was originally unclear whether the shelter would be able to open for its traditional two-to-three months, but a $30,000 contribution from City Council helped pave the way forward.
The woman who was struck by a police cruiser in Over-the-Rhine last month filed a lawsuit alleging the officer deliberately deleted the dashboard camera video of the collision and lied when he claimed his emergency lights and siren were on. The camera stopped recording for about three minutes right before Officer Orlando Smith hit Natalie Cole with his cruiser. Police say the camera malfunctioned. But the incident was the second time Smith’s camera stopped working in the past year; previously, the camera failed to record during a shooting that left one suspect dead and another wounded. CityBeat covered the issues surrounding cruiser cameras in further detail here.
Councilman Charlie Winburn says the city wastefully
purchased and dumped 2,000 tons of road salt. Although other council
members on the Budget and Finance Committee appeared cautious of
Winburn’s accusations, he asked the city administration to
investigate the issue.
Ohioans can now enroll in an expanded Medicaid program, which covers anyone up to 138 percent of the poverty level, or an annual income of $15,856.20 or less. In October, a seven-member legislative panel accepted federal funds to pay for expanded Medicaid eligibility for two years despite resistance from the Republican-controlled Ohio legislature.The Cincinnati USA Regional Chamber named a new president and CEO.
The rover Curiosity found a former lake on Mars.Follow CityBeat on Twitter:
The Federal Transit Administration on Friday gave Cincinnati until Dec. 19 to make a final decision on the $132.8 million streetcar project before it pulls up to $44.9 million in federal grants. The decision gives the city less than two weeks to finish its audit of the project’s completion and cancellation costs, which should be conducted by global auditing firm KPMG. The streetcar project would presumably die without the federal grants, which are covering roughly one-third of the project’s overall costs, even if a majority of council or voters decide to continue with the project.
Mayor John Cranley might veto legislation continuing the streetcar project, even if a majority of council agrees to restart the project after its costs are reviewed through an independent audit, said Jay Kincaid, Cranley’s chief of staff, on Friday. If Cranley vetoes, council would need a supermajority — six of nine votes on council — to continue the project, which could be difficult since there are only two perceived swing votes on council. The veto threat presents a bait-and-switch for many streetcar supporters: Only five council members voted to pause the project on Dec. 4 while the city reviews completion and cancellation costs, but six members might be needed to continue the project if Cranley reviews the audit and decides it is still too expensive.
Cincinnati Parks Department Director Willie Carden, Mayor John Cranley's choice for city manager, withdrew from consideration on Friday. In making the announcement, the mayor’s office said it will keep Acting City Manager Scott Stiles in his current role while the city conducts a national search for a permanent replacement. Carden’s nomination was initially well received by council members, but it grew somewhat controversial after Carden insisted he will continue to live outside Cincinnati — a violation of the city charter — and The Cincinnati Enquirer uncovered an ethics probe that found Carden wrongfully took pay from the city and private Parks Foundation.
The Cincinnati/Northern Kentucky International Airport (CVG) fell short on recommendations from a previously undisclosed 2012 survey of the region’s business needs. In particular, CVG most likely won’t be able to meet the key recommendation to land Southwest Airlines, a discount carrier that could help bring down fares and increase travel destinations.
Cincinnati turns 225 on Dec. 28.
Ohio gas prices spiked to $3.24 for a gallon after briefly dropping to around $3.
Major companies are feeling increasing pressure to move or at least establish alternative facilities in the urban core as young workers flock to cities, according to The Wall Street Journal.
About 99 percent of U.S. exterminators encountered bed bugs over the past year, up from 11 percent a decade ago.
The Federal Transit Administration (FTA) will allow Cincinnati to keep $44.9 million in federal grants for the $132.8 million streetcar project until midnight on Dec. 19 while the city reviews the costs of canceling or completing the project, Mayor John Cranley announced on Facebook on Friday.
The FTA's decision gives the city two weeks to assemble a team and conduct its audit, which a slim majority of City Council agreed to do on Wednesday when it put the streetcar project on pause.
Without the federal grants, the streetcar project would have lost one-third of its funding and presumably died, even if a majority of City Council decided it wants to continue with the project.
The city is currently working to hire KPMG, an audit, tax and advisory firm, for the audit, according to Jay Kincaid, Cranley's chief of staff.
Council members David Mann and Kevin Flynn in particular asked for the review before they make a final decision on the streetcar.
Streetcar Project Executive John Deatrick previously warned the costs of completely canceling the streetcar project could nearly reach the costs of completion after accounting for $32.8 million in estimated sunk costs through November, $30.6-$47.6 million in close-out costs and up to $44.9 million in federal grants.
Mann and Flynn were among a majority of council members who voiced distrust toward Deatrick's estimates, hence the need for an independent review.
But the review might not matter if Cranley decides to veto any ordinance continuing the streetcar project, which Kincaid said Cranley would do if he deems the project too costly following the audit.
A mayoral veto would require both Flynn and Mann to help provide a supermajority — six of nine council votes — to save the streetcar. That could prove a considerably higher hurdle than a simple majority of five council members.
Update: Added who the city plans to hire for the audit.
Mayor John Cranley might veto an ordinance continuing the $132.8 million streetcar project, even if a majority of City Council wants the project to continue after its costs are reviewed through an independent audit, said Jay Kincaid, Cranley’s chief of staff, on Friday.
The decision means six of nine council members — a supermajority — might be required to overturn a mayoral veto and continue the streetcar project. With only two perceived swing votes on council, that could prove a considerably higher hurdle than a simple majority of five council members.
“Of course he reserves the right to veto the legislation,” Kincaid said.
If Cranley reviews the numbers and decides that the project is too costly, he will use the veto powers provided to him through the city charter, Kincaid explained.
Kincaid’s response came after CityBeat confirmed with City Solicitor John Curp that continuing the streetcar project would require a new ordinance that, in theory, could be vetoed by the mayor. City Council can overcome a mayoral veto with a supermajority, or six of nine total council votes.
When CityBeat talked to Kincaid the day before he confirmed Cranley’s willingness to veto, Kincaid speculated that Cranley would not veto legislation continuing the streetcar project.
“I have not talked to (Cranley) about it. I assume that he would let it go forward since he gave (Councilman) David Mann his word that he would give this time to review it, and he gave the same assurance to (Councilman) Kevin Flynn,” Kincaid previously said.
Five of nine council members on Wednesday agreed to allocate $1.25
million to indefinitely pause the streetcar project and pay
for an independent study that will gauge how much it will cost to
continue or permanently cancel the project.
Streetcar Project Executive John Deatrick previously warned the costs of completely canceling the streetcar project could nearly reach the costs of completion after accounting for $32.8 million in estimated sunk costs through November, $30.6-$47.6 million in close-out costs and up to $44.9 million in federal grants that would be lost if the project were terminated.
Almost immediately, a majority of council voiced distrust toward Deatrick’s numbers. In a press conference following Deatrick’s presentation, Cranley called city officials in charge of the streetcar project “incompetent.”
Council members Flynn and Mann vocally opposed the streetcar project on the campaign trail. But both said they’ll make a final decision on the project once the cancellation and completion numbers are evaluated through an independent review.
Mann previously told CityBeat, “If they do hold up, that’s fairly persuasive.”
Flynn wouldn’t speculate on what stance he will take if the numbers stand to scrutiny. He said a pressing concern for him is how the city will pay for $3.4-$4.5 million in annual operating costs for the streetcar, which could hit an already-strained operating budget.
If Cranley vetoes an ordinance continuing the streetcar project, both Flynn and Mann would likely need to agree to continue — or at least overturn a mayoral veto — to keep the streetcar alive.
City officials estimate the review will take at least two weeks. Once the audit is finished, council members are expected to announce their final positions on continuing or canceling the project.
Update: Mayor John Cranley on Friday announced the federal government is giving Cincinnati until Dec. 19 to make a decision on the streetcar project. Read more here.
This story was updated to better explain that Jay Kincaid’s second direct quote came from a separate conversation on Thursday, the day before he announced Mayor John Cranley’s willingness to veto.
Streetcar Project Executive John Deatrick yesterday said only 11 streetcar workers are expected to lose their jobs following City Council’s pause of the $132.8 million project, far below the original estimate of 200 city officials gave on Monday. The remaining workers will be moved by contractors to other jobs or kept under ongoing utility work, which utility companies agreed to continue despite no longer qualifying for reimbursements from the city, according to Deatrick. He also said it’s “a wild guess” whether the number of layoffs will grow in the future.
Cincinnati should expect to return up to $44.9 million in federal grants funding nearly one-third of the streetcar project even though the project is only on “pause” as local officials weigh the costs of cancellation and completion, according to transportation experts who talked to The Cincinnati Enquirer. Without the federal grants, the project is effectively dead. The two swing votes on council — David Mann and Kevin Flynn — say they want to evaluate whether it would make financial sense to cancel the project this far into construction. Deatrick previously estimated the costs of cancellation could nearly reach the costs of completion after accounting for $32.8 million in sunk costs through November, $30.6-$47.6 million in close-out costs and $44.9 million in lost federal grants. But Mann and Flynn voiced distrust over the projections and called for an independent review.
Democrats and voter advocates claim Republican legislators are slowly rebuilding “voter suppression” laws that were the subject of referendum in 2012 before Republicans backed down. Democrats called on Gov. John Kasich to veto the bills. Among other measures, the bills would reduce the amount of in-person early voting days and restrict elected officials’ ability to to mail out unsolicited absentee ballot applications. Democrats claim the bills are meant to suppress voters. Republicans argue the measures help reduce “cheaters,” even though in-person voter fraud is very rare.
Chris Finney, a high-profile lawyer who is critical of local tax breaks for businesses, apologized for denying that he sought tax breaks for his law firm. Finney sought the tax breaks shortly after criticizing Cincinnati for granting a tax incentive package to convince Pure Romance to move from Loveland, Ohio, to downtown Cincinnati. Finney is the top legal crusader for the Coalition Opposed to Additional Spending and Taxes (COAST), a conservative group with a history of anti-gay causes.
Tea party group One Percent for Liberty nominated Mayor John Cranley as a “Defender of Liberty for 2013” for his work against the streetcar project and parking privatization plan. The group previously nominated various conservative politicians and activists from around the region. The award will be presented at COAST’s Christmas party.
Hundreds of schools and businesses in the Cincinnati area today closed in response to the developing winter storm.
St. Elizabeth Healthcare and TriHealth, two of the areas’ largest health systems, yesterday announced they’re teaming up to reduce costs, improve the patient experience and generate better health outcomes.
Attorney General Mike DeWine yesterday announced he will crack down on electronic raffle operations.
Nelson Mandela, a South African icon of peace, died yesterday. Mandela was a peaceful leader of the anti-apartheid movement who went on to become South Africa’s first black president. His consistent devotion to peace inspired similar peaceful protests around the world. The New York Times put together a great interactive featuring several correspondents who witnessed Mandela first-hand here.
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Only 11 streetcar workers are expected to lose their jobs following a City Council-approved pause of the $132.8 million project, according to Streetcar Project Executive John Deatrick.
The final number is far below the original estimate of 200 layoffs that city officials gave on Monday when council members asked about the effects of halting the streetcar project.
The remaining workers will be moved by contractors to
other jobs or kept under ongoing utility work, which utility companies
agreed to continue despite no longer qualifying for reimbursements from
the city, according to Deatrick.
Deatrick says it’s “a wild guess” whether the amount of layoffs will grow in the future.
“Our contractors have real heart,” he says.
The number is good financial news for the city. If 200 workers were laid off, Deatrick previously estimated that unemployment benefits would cost the city $419,000 for the month.
Still, the city administration on Wednesday warned that it could cost $2.56-$3.56 million to pause ongoing construction for the month. In comparison, Deatrick estimates that continuing construction at current speeds would cost $3 million.
A majority of council members dismissed the pause cost estimates as exaggerated when they voted to halt the project on Wednesday.
With the streetcar project on hold, council now plans to review how much it would cost to complete or cancel the project.
Deatrick on Nov. 21 warned the costs of completely canceling the streetcar project could nearly reach the costs of completion after accounting for $32.8 million in estimated sunk costs through November, a potential range of $30.6-$47.6 million in close-out costs and up to $44.9 million in federal grant money that would be lost if the project were terminated.
But a majority of council members voiced distrust toward the estimates and called for an independent review.
Depending on the outcome of the cost analysis, Vice Mayor
David Mann and Councilman Kevin Flynn say they could change their minds
on canceling the streetcar project. Only one of them needs to do so to give streetcar supporters a majority on council.
Though you’ll be waiting a while if you try to catch one any time soon, riders now have an idea of exactly what times they’ll be able to catch the coming streetcar when it starts picking up passengers in September.
Cincinnati City Council’s Major Transportation and Regional Cooperation Committee approved operating hours presented by the Southwest Ohio Regional Transit Authority at its Jan. 5 meeting. That sets up full Council to approve those hours as soon as Jan. 6.
The streetcar will run Monday through Thursday from 6:30 a.m. until midnight and from 6:30 a.m. to 1 a.m. on Friday. On Saturday, the cars will run the 3.6-mile loop through Over-the-Rhine and downtown from 8 a.m. until 1 a.m. On Sundays and holidays, the transit vehicles will run from 9 a.m. to 11 p.m.
The cars will run every 12 minutes during peak operating hours, which SORTA suggests will be Monday through Friday 11 a.m. to 7 p.m. All other times, the cars will run every 15 minutes.
“We tried to build a schedule that would address a lot of concerns” raised at past City Council meetings and in public forums, says SORTA’s director of rail services Paul Grether. Those concerns mostly revolved around consistent start times for the vehicles, hours early enough for commuters to get to work and late operating hours to serve patrons of bars and restaurants in OTR and downtown.
Earlier suggestions for operating hours started later and ended earlier, except on weekends, when it would have run until 2 a.m.
Council members on the committee seemed satisfied with the schedule.
“We’ve had people downtown from the bars and nightlife places who have said how they’d like it to stay open late,” Transportation Committee Chair Amy Murray said at the Jan. 5 meeting. “And we’ve also talked to early-morning businesses to see what time the peak morning time is. I think this really sets it up. It seems like this really captures what people have been asking for.”
SORTA officials say seasonal schedules are possible, if necessary, and that data will be collected to track ridership trends. Three or four times a year, the transit agency will decide whether hours need to be adjusted. Major changes in the schedule would require public hearings, but unless those changes shift the amount of money being spent, no federal approval is needed.
“Our schedule really does depend on how the people of Cincinnati utilize the streetcar,” said Councilman Kevin Flynn, the surprise swing vote who allowed the streetcar to go forward during a dramatic showdown between council and Mayor John Cranley in 2013. “The beauty of the contracts are that there is that flexibility. Once we see what the ridership numbers are, these times can be adjusted within reason.”
One thing riders shouldn’t count on — catching a ride on the streetcar after closing down the bar. Bars’ 2 a.m. closing time was a concern brought up by some in public hearings, but late-night partiers will have to take a cab or use a ride sharing service.
“This is not, for lack of a better word, a drunk bus,” Councilwoman Yvette Simspon said.
The Southwest Ohio Regional Transit Authority today released the dollar amounts for the two lowest bids for the first ten years of streetcar operations. The names of the bidding companies were not released, per SORTA's assertion that it would compromise the competitive bidding process. You can read the bids here.
One bid, called the management scenario, would involve a management company using SORTA employees in the Amalgamated Transit Union to run the streetcar, while another, called the turnkey scenario, would let the management company hire its own employees.
The bids look to be politically tricky for Democratic streetcar supporters, who have pushed hard for a union-friendly contract. The turnkey scenario comes in just under the $47,088,828 the city has said it wants to spend over the first ten years of the streetcar at $46,972,813. The management scenario, however, comes in over that amount at $54,933,160. In the first year, the management contract exceeds the streetcar's $4.2 million budget by $500,000, while the turnkey proposal comes in about $160,000 under budget. The bids give numbers for a five-year contract plus an optional five-year extension.
Mayor John Cranley, who campaigned on opposition to the streetcar, has said he supports cutting frequency of service for the streetcar should it go over budget. However, he and other Democrats on Cincinnati City Council support the management bid because it would utilize unionized employees.
Some of the cost overruns in the management bid are attributable to benefits packages offered to union employees. However, employees under the management scenario wouldn't be eligible for state pensions. The ATU could unionize the turnkey bidder's selected employees after they are hired, however, though they still wouldn't get the state pensions.
Cincinnati City Council looks poised to vote on the two options next week.
An anti-gentrification organization says development in southern Over-the-Rhine and downtown is leaving out low- and middle-income residents. The People’s Coalition for Equality and Justice (TPCEJ) cautions it’s not against development, but it supports policies that would seek to help more people take advantage of the revitalization of Over-the-Rhine and downtown, such as more affordable housing, protections for renters’ rights, rent control and the formation of tenants’ unions. The agency behind much of the development in Over-the-Rhine and downtown, 3CDC (Cincinnati Center City Development Corporation), says “people tend to over-romanticize what this neighborhood was” and points to some examples of 3CDC-developed affordable housing as evidence the agency is trying to keep the neighborhood mixed-income.Related: Some studies found gentrification could benefit longtime residents.
A two-hour streetcar pass could cost $1.75, and a 24-hour pass could cost $3.50, according to a new model unveiled yesterday by Paul Grether, Metro’s rail manager. The same model set streetcar operating hours at Sunday-Thursday 6 a.m.-10 p.m. and Friday-Saturday 6 a.m.-midnight. Under the model, city officials expect 3,000 daily boardings, but Grether cautioned that’s a very conservative estimate and excludes special events, such as Reds and Bengals games.But the City Council-enforced streetcar delay could cost more than expected after the steel company originally contracted for the $132.8 million project took another job while council members decided the fate of the project. Streetcar Project Executive John Deatrick told council the company’s decision could push construction of a maintenance facility by two months if the city doesn’t hire a steel supplier from outside the region.
Democratic gubernatorial candidate Ed FitzGerald yesterday clarified he supports the death penalty, which aligns him with his Republican opponent, incumbent John Kasich, on the issue. FitzGerald’s remark comes after the debate over the death penalty re-ignited in Ohio following the execution of convicted killer and rapist Dennis McGuire, who took 26 minutes to die after state officials used a new cocktail of drugs never tried before in the United States. The Ohio Department of Rehabilitation and Correction told CityBeat it’s reviewing McGuire’s death, as it does following every execution.
Commentary: “Death Penalty Brings More Costs than Benefits.”
After receiving support from family planning services and abortion provider Planned Parenthood, Democrats running for Ohio’s executive offices re-emphasized their support for abortion rights.
Hamilton County Commissioner Todd Portune will announce
today whether he’ll challenge FitzGerald’s gubernatorial campaign in a
Democratic primary. (Update: Despite previously telling The Cincinnati Enquirer he already made up his mind, Portune canceled his announcement and said he has no final decision yet, according to Carl Weiser, politics editor at The Enquirer.)
Hamilton County commissioners showed openness to keeping some early voting downtown even if the county moves its Board of Elections to a Mount Airy facility. Moving the board along with the county’s crime lab would allow commissioners to consolidate government services.Cincinnati’s economy should grow faster than previously expected, one economist says.
Ten major projects worth more than $1.4 billion are in the planning stages or underway in Greater Cincinnati and Northern Kentucky.
Ohio meets voting standards set by President Barack Obama’s bipartisan election commission, with the one exception of online voter registration, according to Republican Secretary of State Jon Husted.
Attorney General Mike DeWine yesterday announced the creation of a statewide taskforce to combat heroin abuse.
Virtual reality could help people see what gender swaps would be like.
Riding the streetcar will cost $1.75 for two hours and $3.50 for 24 hours, according to a model unveiled Wednesday by Paul Grether, Metro’s rail manager.
The model also set streetcar operating hours at Sunday-Thursday 6 a.m.-10 p.m. and Friday-Saturday 6 a.m.-midnight.
Under the model, the streetcar should sustain 3,000 daily boardings, Grether said. But that estimate is very conservative and excludes special events, such as Reds and Bengals games, he cautioned.
Grether presented the projections during a presentation at City Council’s Major Transportation and Regional Cooperation Committee.
Streetcar Project Executive John Deatrick also released numbers that show the project remains on budget and time.
But Deatrick warned council members of one potential hurdle: The originally contracted steel supplier took another job after City Council delayed the streetcar project for three weeks, which could force the city to delay construction of a maintenance facility for two months or hire a steel supplier outside the region.
City officials also said they are looking at potential funding avenues for the next phase of the streetcar project, which would establish a rail line from Findlay Market up the Vine Street hill. The goal, they said, is to clear up any misconceptions about what the next phase of the project would cost.
The latest federal budget allocated $600 million in TIGER grants and $2 billion in Federal Transit Administration New/Small Starts grants that could go to a future phase of the streetcar project.
City Council would need to approve the next phase of the streetcar project before it could move forward.
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.
Ohio's weakening economy could hurt Gov. John Kasich and other Republican incumbents' chances of re-election in 2014, even if they don't deserve the blame for the state of the economy, as some economists claim. For Republican incumbents, the threat is all too real as groups from all sides — left, right and nonpartisan — find the state's economy is failing to live up to the "Ohio miracle" Kasich previously promised. Economists agree state officials often take too much credit for the state of the economy, but political scientists point out that, regardless of who is to blame, the economy is one of the top deciding factors in state elections. For Kasich and other incumbents, it creates a difficult situation: Their influence on the economy might be marginal, but it's all they have to secure re-election.
Despite promising to move on after he failed to permanently halt the $132.8 million streetcar project, Mayor John Cranley continues criticizing the streetcar in interviews and social media. In a Sunday appearance on Local 12, Cranley threatened to replace the Southwest Ohio Regional Transit Authority (SORTA) board, which manages local Metro bus services, in response to its offer to take up streetcar operating costs. (City Council sets SORTA appointments, not the mayor.) The interview, held within weeks of Cranley mocking and arguing with pro-streetcar critics on social media, comes despite Cranley's promises to move on after City Council agreed to continue the project. "As I tell my son when he doesn't get his way, it's time to move on," Cranley said on Dec. 19.
Streetcar track installation will force the busy intersection at Elm and Liberty streets to close between Jan. 16 at 9 a.m. to Jan. 21 at 7 p.m., city officials announced yesterday. One northbound lane will remain open on Elm Street, but traffic heading east and west on Liberty Street will be redirected.
Commentary: "Bengals Loss Reminds of Terrible Stadium Deal."
Police are investigating three homicides in Avondale and Over-the-Rhine this morning.
Construction crews plan to turn the defunct Tower Place mall into Mabley Place, a new parking garage with several retail spaces on the exterior of the first floor. Across Race Street, other developers will turn Pogue's Garage into a 30-story tower with a downtown grocery store, luxury apartments and another garage.
Hamilton County is dedicating a full-time deputy to crack down on semis and other vehicles breaking commercial laws.
Ohio House Republicans' proposal to revamp the state's tax on the oil and gas industry would not produce enough revenue to cut income taxes for most Ohioans, despite previous promises. According to The Columbus Dispatch, the proposal would only allow for a very small 1-percent across-the-board income tax cut.
Ohio's education system received five C's and an A on a private national report card. The state's middle-of-the-pack performance is largely unchanged from last year's score.
The number of underwater residential properties is declining around the nation, but Ohio remains among the top six states worst affected by the housing crisis, according to real estate analysts at RealtyTrac.
The state auditor's new app allows anyone to easily report suspected fraud.
Macy's plans to lay off 2,500 employees and close five stores to cut costs.Cincinnati Children's is reaching out to to 10,000 children left without a health care provider after several clinics closed.
Ohio drivers can expect lower gas prices in 2014, according to AAA and GasBuddy.com.
A new glue that seals heart defects could provide an alternative to stitches.
Despite promising to
move on after he failed to cancel the $132.8 million streetcar
project, Mayor John Cranley continues criticizing the
project in interviews and social media.
Most recently, Cranley appeared on Local 12’s Newsmakers program and threatened
to eventually replace the Southwest Ohio Regional Transit Authority (SORTA)
board, which manages local Metro bus services, in response to board members’
defunct offer to take up streetcar operating costs. (City Council sets SORTA
appointments, not the mayor.)
“The fact is they were
willing to cannibalize bus service,” Cranley said,
contrary to SORTA’s insistence that their offer would not have affected bus
services. “I just felt that was a huge violation of what SORTA is supposed to
be about and what Metro is supposed to be about and what public transportation
is supposed to be about.”
Throughout the 24-minute
interview, Cranley referenced the
streetcar project when discussing the city’s parking meters and other subjects
— a continuation of repetitive anti-streetcar tactics Cranley
deployed on the campaign trail and in mayoral debates against former Vice Mayor
“I think the project is
wasteful and not worth the investment,” Cranley said
when asked about the project. “I think we would have been better off making the
hard decision to cut bait.”
Still, Cranley later added, “Obviously, since the supermajority of
council went against my wishes, I have to respect the process. So I’m not going
to try to sabotage the streetcar.”
The interview also
follows comments on social media. After the former head of the Cincinnati Art
Museum criticized the streetcar, Cranley tweeted on Dec. 27, “(N)ow some Orwellian commentators
will say art director not ‘progressive.’”
The continued anti-streetcar rhetoric comes despite promises to move on that Cranley made after Councilman Kevin Flynn announced he would provide the final vote needed to veto-proof City Council’s decision to continue the streetcar project.
“As I tell my son when he doesn’t get his way, it’s time to move on,” Cranley
said on Dec. 19.
heated rhetoric is nothing new in his campaign against the streetcar project.
After the Nov. 5
election, Cranley told The Cincinnati Enquirer
the streetcar debate “is over.” Cranley’s comments
marked a high level of confidence after voters elected a mayor and council
supermajority that seemingly opposed the streetcar project, but his statement
to The Enquirer proved to be wrong after Council Members Flynn, David
Mann and P.G. Sittenfeld decided to continue the
Cranley also called city officials “incompetent” after
they projected that canceling the streetcar project would cost nearly as much as
completing it. Once again, Cranley’s comments proved
to be wrong — an independent audit found city officials were largely correct in
their assessment — but still showed the level of confident, heated rhetoric
that follows the mayor’s campaign against the streetcar project.
At the very least, Cranley’s rhetoric proves that while the policy debate over the streetcar is over for now, the public discussion is not. The question is whether the messaging will work as the project moves forward and the streetcar becomes a reality of Cincinnati.
Construction on the $132.8 million streetcar project
restarted yesterday, marking an end to the nearly two-month drama
brought on by Mayor John Cranley’s election and his threats of
cancellation. City Council paused the project for a little more than
three weeks to conduct an audit on its costs, but the legislative body
agreed to restart construction last week after receiving a signed
agreement from the Haile Foundation that the philanthropic group will
provide $9 million over 10 years to help pay for $3.13-$3.54 million in annual operating costs.
An automatic increase on Ohio’s minimum wage at the start of the new year will benefit 330,000 Ohioans, according to an analysis from the Economic Policy Institute (EPI). The higher wages should translate to a better economy for all Ohioans: EPI found the automatic increase will generate nearly $39 million in economic impact and 300 full-time jobs. Since a voter-approved measure in 2006, Ohio has been among several states who peg the minimum wage to increases in the cost of living.
More than 36,000 Ohioans will lose emergency unemployment benefits for the long-term unemployed tomorrow following a lack of congressional action, according to left-leaning think tank Policy Matters Ohio. The emergency benefits were passed by Congress at the start of the Great Recession to help those hit worse by the economic downturn, but Congress failed to extend the benefits before it recessed for the holidays despite lingering signs of a weakened economy. Without the extension, Ohioans can tap into just 26 weeks of state-provided jobless aid; federally funded emergency benefits give the unemployed another 37 weeks to find work before losing government assistance.
Here are CityBeat’s top stories of 2013.
The annual review of the two-year state budget could include income tax cuts, said Ohio’s tax chief. The statement follows Gov. John Kasich’s announced push for another income tax cut to help spur Ohio’s slowing economy. The Republican governor signed a state budget that reduced taxes — particularly for the wealthy — earlier in the year, but Ohio’s economy still slowed down in the past few months as the state unemployment rate surpassed the national rate for the first time in years.
With the Ohio Supreme Court’s rejection last week of a
challenge to the state’s federally funded Medicaid expansion,
conservatives are conceding the battle is “over with” for now. Gov.
Kasich pursued the federally funded expansion without approval from the
General Assembly by going through the seven-member Controlling Board,
but Republicans, who largely opposed the expansion of a government-run
health care program from the start, fought against the board’s approval in court.
Gov. Kasich was “stingy” with his clemency powers during his third year in office, according to The Columbus Dispatch.
Even though a review found Cintrifuse is a “Lead Applicant with strong position within SW Ohio entrepreneurial ecosystem,” Ohio Third Frontier denied state tax credits for the local startup incubator because, according to the state review group, Cintrifuse maintains an unrealistic goal to scale to 60 tenants in its first year and lacks strategy or process for the incubator services, graduation focus, an adequate staffing plan and a defined tenant award process.
Delta briefly provided very low air fares following a technical error yesterday.
Much to scientists’ frustration, 2014 could be a bad year for the flu after the adaptive virus evolves.
A federal judge on Monday ordered Ohio authorities to recognize same-sex marriages on death certificates. Although the ruling was narrow, many advocates of gay marriage argue the merits of the judge’s decision indicate a broader problem with Ohio’s marriage laws following the U.S. Supreme Court’s historic ruling against a federal anti-gay marriage law. The judge’s ruling came just three days after another federal court struck down Utah’s same-sex marriage ban on similar constitutional grounds.
Gov. John Kasich’s plan to get Ohio’s economy moving again: more tax cuts. But the policy announcement — unsurprising, coming from a Republican — comes on the same year Ohio’s economy slowed down even after Kasich and the Republican legislature passed tax cuts that heavily favored the state’s wealthiest.
Believe in Cincinnati saved the streetcar, argues The Cincinnati Enquirer. The group was formed shortly after Mayor John Cranley won the November election and threatened to halt the $132.8 million streetcar project for good. But the threats inspired a groundswell of streetcar supporters, ranging from concerned businesses to residents. And before City Council agreed to continue the streetcar project, Believe in Cincinnati in just eight days gathered 11,300 petition signatures for a charter amendment restarting the project. CityBeat covered the group in its infancy here.
Cincinnati ranked No. 2 for highest child poverty out of 76 major U.S. cities in 2012, according to the Children’s Defense Fund (CDF). Cleveland and Toledo also made the unfortunate top five, CDF found.
Overtime pay at the Metropolitan Sewer District exceeded $2 million for the third consecutive year in a row, but the number falls below the accepted standard of less than 10 percent of total payroll. MSD Director Tony Parrott says overtime allows the agency to keep staffing numbers in check but still responsive to unexpected situations. Still, the overtime estimate arrives at a time Hamilton County commissioners are raising sewer and water rates to comply with federal mandates.
Cincinnati will tap into a state program for a major demolition blitz in 2014. The city plans to knock down 240 blighted and condemned buildings next year — far higher than the typical annual rate of 70.
Eight historic buildings in Cincinnati, including Memorial Hall, on Dec. 20 received roughly $6 million in state tax credits for projects totaling $71 million.
Rhinegeist Brewing plans to begin canning its craft beer in January.
Humans were getting the flu as far back as the year 1510, but it’s completely unknown if dinosaurs suffered from similar illnesses.