For the third time, a representative from the federal government yesterday reiterated to Cincinnati officials that if the $132.8 million streetcar project is canceled, the city would lose $40.9 million in federal funds and another $4 million would be left to the discretion of the state government, which could allocate the money anywhere in Ohio. The repeated reminders are necessary as Mayor-elect John Cranley and the incoming City Council prepare to delay or potentially terminate the project once they take office in December. Federal Transit Administration (FTA) Chief Counsel Dorval Carter said even a mere delay could lead to the federal government restricting or outright terminating the federal grant deals. But Cranley, a long-time opponent of the streetcar project, appeared unfazed by the news at a press conference following Carter's thorough explanation. "If we have to, we’ll give the money back," he said.
Cranley yesterday announced his intent to appoint Councilman-elect David Mann as his vice mayor. Cranley said Mann passed the "bus test," an unfortunate hypothetical scenario in which the mayor dies after being hit by a bus. Cranley also cited Mann's numerous accomplishments, ranging from achievements at Harvard University to previous stints as mayor when top vote-getter in the City Council race automatically assumed the position. Mann promised to work with Cranley to make his administration a success and respectfully disagree but move on when the two men differ.
A Cincinnati Health Department report found life expectancy can vary by 20 years from one part of Cincinnati to another. Black men in particular can expect to live nearly 10 years less than white men. The Health Department said in a press release that it wants to find out why there's such a disparity.
A Quinnipiac University poll shows Republican Gov. John Kasich still ahead of Democratic gubernatorial candidate Ed FitzGerald in a 44 to 37 percent match-up, but FitzGerald is gaining ground. About 71 percent of Ohioans in the poll said they don't know enough about FitzGerald to form an opinion about him, so FitzGerald still has time to build positive name recognition while Kasich has an opportunity to paint his opponent in a negative light before the November 2014 election.
Hamilton County Prosecutor Joe Deters might be investigated by the Hamilton County Board of Elections for improperly voting.
Councilwoman Laure Quinlivan asked the Hamilton County Board of Elections to cancel an automatic recount of the Nov. 5 vote, which Quinlivan was entitled to after she placed 10th place in the City Council race by only 859 votes.
The grand jury for the Steubenville, Ohio, rape investigation indicted four people, including a school superintendent.
Four Ohio corrections officers were fired over the escape of an inmate serving a life sentence for rape, officials announced Monday.
The University of Cincinnati is aiming for an attendance record when it hosts Louisville for a Dec. 5 game at Nippert Stadium.
The deadline to select Medicare coverage is Dec. 7 at midnight.
Scientists could be on the verge of learning how to erase and rewrite memories.
Morning News and Stuff will most likely be out of service until Monday, Dec. 2 as CityBeat staff celebrates the Thanksgiving holiday.
Mayor-elect John Cranley on Monday announced he will appoint Councilman-elect David Mann to act as vice mayor.
“Quite simply, he passes the bus test,” Cranley said at a press conference, suggesting that Mann is capable of doing his job if the mayor were to die after getting hit by a bus. “He’s the one guy who can serve as mayor and preserve the city’s heritage.”
Cranley cited Mann’s numerous accomplishments, including his time with the prestigious Harvard Law Review journal and previous stints as mayor when the top vote-getter in the City Council race automatically assumed the position.
Mann and Cranley promised to work together, even if they don’t agree on every issue.
“Your success will be the city’s success,” Mann said to Cranley. “When we disagree, we’ll disagree with respect and go forward.”
Speaking on priorities he shares with Cranley, Mann
outlined his intentions to structurally balance the budget, cancel the
parking plan, investigate whether the city can afford to terminate the
streetcar project, tackle the city’s high poverty rates and refocus city
funding to benefit all local neighborhoods.
Cranley and Mann will officially take office on Sunday, along with the rest of the new City Council.
Although it has already been explicitly stated in two letters from the federal government, Federal Transit Administration (FTA) Chief Counsel Dorval Carter on Monday reiterated that if Cincinnati were to unravel the $132.8 million streetcar project, the city would lose $40.9 million in federal grants and another $4 million in federal funds would be transferred to the state government, which could appropriate the money to any project in Ohio.
The clarification is necessary because Mayor-elect John Cranley and a majority of the incoming City Council are looking into pausing and potentially canceling the streetcar project once they take office in December. Cranley says he will lobby the federal government to reallocate the federal funds, even though the federal government has repeatedly insisted it’s not going to happen.
Carter joined City Council’s Budget and Finance Committee on the phone on Monday to walk council members through the legal technicalities involved in cancellation and how the federal government would react to such circumstances.
According to Carter, merely delaying the project at this point would break the city’s agreement with the federal government and lead the federal government to restrict the federal funds, ask the city to repay the money it already spent or terminate the deal altogether.
Still, Carter said cancellation might not hurt the city’s chances, at least from a legal perspective, of obtaining federal funds for other projects.
“It will not preclude you from pursuing other projects,” he said. “You would just have to pursue those on their own merits.”
But Carter agreed with Vice Mayor Roxanne Qualls that the city’s credibility could be weakened if the streetcar project were canceled.
President Barack Obama’s administration has prioritized light rail projects like the streetcar, according to Carter, so the reclaimed federal money would likely go to other cities pursuing similarly ambitious transit projects.
At a press conference following the council meeting, Cranley appeared unfazed by the news.
“If we have to, we’ll give the money back,” he said.
Although much noise was made about the council meeting, there wasn’t much news in the way of substance. The federal government already outlined the cancellation costs in separate letters sent to Mayor Mark Mallory in June and earlier in November.
Supporters of the $133 million streetcar project packed Mercantile Library and Fountain Square last night to start a two-week campaign to prevent Mayor-elect John Cranley and the newly elected City Council from halting the ongoing project. The goal is to convince at least five of the nine newly elected council members to support the project. So far, streetcar supporters have at least three pro-streetcar votes: Chris Seelbach, Yvette Simpson and Wendell Young. Now, they’re trying to convince another three — Kevin Flynn, David Mann and P.G. Sittenfeld — to support continuing the project; all three spoke against the streetcar on the campaign trail, but they’ve recently said they want a full accounting of the project’s completion costs, cancellation costs and potential return of investment before making a final decision. CityBeat covered the campaign and the people involved in greater detail here.
Hours before the event began, Mayor Mark Mallory released a letter from the Federal Transit Administration that explicitly stated canceling the project would cost Cincinnati nearly $41 million in federal funds and another $4 million would be left under the discretion of Gov. John Kasich, who could shift the money to other parts of Ohio. Cranley previously stated he could lobby the federal government to re-appropriate the money to other city projects, but the letter makes it quite clear that’s not in the plans right now. On the elevator ride up to the Mercantile Library event, Sittenfeld commented on the letter to CityBeat, “I will say that today's news is a big gain in the pro-streetcar column.”
City Council yesterday accepted the resignation of City Manager Milton Dohoney, just one day after Cranley announced Dohoney’s leave and his support for it. Although council members acknowledged they had to accept the resignation in lieu of the Nov. 5 election results, they said they were unhappy with the behind-the-scenes approach that was taken by Cranley throughout the process. For the year following his resignation, Dohoney will receive $255,000 in severance pay and health benefits through the city, which will cost an already-strained operating budget that’s been structurally imbalanced since 2001.
Flaherty & Collins, the Indianapolis-based developer that’s building a downtown apartment tower at Fourth and Race streets, said it’s interested in the retail space being left vacant by Saks Fifth Avenue.
Northern Kentucky residents last night got a look at a regional strategy to fight the growing heroin problem in the area. The report, put together by substance abuse and medical experts, law enforcement officials, governmental leaders and business representatives, calls for more physicians and long-term treatment options to address the issue. “We cannot arrest or incarcerate our way out of the problem,” said Dr. Lynne Saddler, director of the Northern Kentucky Independent District Health Department. “The success of this plan really hinges on having sufficient treatment options and resources available so that everyone seeking and wanting treatment can easily access it.”
Union Township Rep. John Becker introduced a bill in the Ohio House this week that would ban most public and private health insurers from providing abortion coverage. The bill has yet to be assigned to a committee. Becker describes himself as one of the most conservative members of the Ohio legislature. He’s also supported the Heartbeat Bill, which would ban abortion once a heartbeat is detected; called needle-exchange efforts part of the “liberal media agenda”; and lobbied for the impeachment of a judge who allowed the state to recognize the same-sex marriage of Jim Obergefell and John Arthur, who recently passed away from Lou Gehrig’s disease.
Ohio Secretary of State Jon Husted urged the Ohio Constitutional Modernization Commission to address politicized redistricting. Under the current system, the political party in charge — the last time around, Republicans — can use demographic trends to redraw congressional district boundaries to maximize the votes of supporters and split and dilute the votes of opponents. Although Husted is now calling for reform to make redistricting more representative of the state’s actual political make-up, he opposed a ballot initiative in 2012 that would have placed an independent committee in charge of redistricting.
Speaking at a Cleveland steel mill, President Barack Obama talked up U.S. manufacturing and its potential for economic growth.
The Christmas holiday tree arrives at Fountain Square tomorrow.
Tomorrow is also the day of the One Stop Drop recycling event, where anyone can drop off electronic and other waste — TVs, computers, cellphones and chargers, No. 5 plastics such as butter tubs and yogurt containers, single-use grocery bags and used writing instruments like pencils and pens — from 10 a.m. to 2 p.m. at the Whole Foods Market in Rookwood Commons, 2693 Edmondson Road.
Five crashes in Covington, Ohio, left six horses dead and one injured.
More Ohioans also died on the road in 2012 than the year before.
The world’s oldest animal — a mollusk — missed Christopher Columbus landing in the Americas by 14 years.
Cincinnati could lose up to $45 million in federal funds if it cancels the $133 million streetcar project, according to a new letter from the Federal Transit Administration released on Thursday by Mayor Mark Mallory.
The letter confirms much of what was stated in a previous June 19 letter to Mallory, and it presumably acts as a warning to Mayor-elect John Cranley, who intends to permanently cancel ongoing construction on the streetcar project once he takes office in December.
Cranley previously said he could lobby the federal government to re-appropriate the money to other projects, but the FTA letter unequivocally states the money is only for the streetcar project.
“FTA’s oversight contractor for the Project informs me that the City’s expenditures plus committed costs on the Project as of this date exceed $116 million, which is approximately 88 percent of the total project cost,” wrote FTA administrator Peter Rogoff. “These commitments include many construction activities that cannot be easily reversed — the City has relocated utilities, embedded rail in City streets, and purchased streetcars. Should the City choose to prematurely terminate the Project, all cost associated with closing down the project, including any claims from the contractors, will not be eligible for any federal reimbursement.”
The letter confirms that, as CityBeat originally reported, canceling the streetcar project carries its own costs.
Should the city cancel the project, it would first need to return nearly $41 million in federal grant money. The remaining $4 million in federal funds would fall under the discretion of Gov. John Kasich, who could shift the money to other parts of Ohio.
City spokesperson Meg Olberding previously told CityBeat
the city already spent $2 million of the federal funds. Olberding said the $2 million in repayments would need to come out of the operating budget
that pays for cops, firefighters and human services instead of the
capital budget that’s currently financing the streetcar project.
Since the operating budget has been structurally imbalanced since 2001, adding millions in costs could force the city to cut additional services or raise taxes.
Upon cancellation, the city would also need to pay back some of the $94 million in standing contractual obligations for the streetcar project. In many cases, the obligations reflect supply orders and other expenses contractors and subcontractors already took on but haven’t officially billed to the city. If the project were canceled, city officials say the already-spent money would need to be paid back, along with extra costs to close the project — to repave torn-up streets, for example.
Project executive John Deatrick previously told CityBeat that paying back the contractual obligations could involve litigation, which would also be paid for through the operating budget, as the city tries to minimize cancellation costs and private contractors try to recoup as much as they can from the project.
All of that is on top of the $23 million that’s already been billed to the project as of September, which should grow by $1.5 million each month as contractual obligations are turned into official bills, according to Deatrick.
The final decision on the streetcar project rests on City Council. Cranley told The Cincinnati Enquirer on Thursday that he’ll pursue a 30-to-90-day time-out on the project as the city conducts a full accounting of cancellation costs, completion costs and the potential return on investment of the project, following requests from Councilman P.G. Sittenfeld and incoming council members David Mann and Kevin Flynn — three crucial swing votes in the newly elected council of nine — for more information before placing a final vote on the project.
The talk of cancellation already spurred some Over-the-Rhine residents and businesses to launch a campaign to save the streetcar. Cranley insists it’s too expensive and the wrong priority for the city, but supporters tout independent studies and their own experiences to argue it would spur economic development. The pro-streetcar group will meet on Thursday at 7 p.m. at the Mercantile Library, 414 Walnut St. #1100, downtown Cincinnati.
The full letter:
City Council on Thursday accepted City Manager Milton Dohoney’s resignation, setting the stage for the end of more than seven years of service that fostered Cincinnati’s nationally recognized economic turnaround, the $133 million streetcar project and the controversial parking plan.
The request comes just one day after Mayor-elect John Cranley announced Dohoney’s resignation. Cranley says he will appoint an interim city manager once Dohoney officially steps down on Dec. 1 and then begin a nationwide search for a permanent replacement.
For the year following his resignation, Dohoney will receive $255,000 in severance pay — the same as his current annual salary — and health benefits through the city. The extra costs will go to an already-strained operating budget, which has been structurally imbalanced since 2001.
Although council members acknowledged that they had to accept the resignation in the aftermath of the Nov. 5 election, some said they were unhappy with the behind-the-scenes approach Cranley took to finalize Dohoney’s leave.
“It’s certainly not the process I would have liked,” said Councilman Chris Seelbach.
Others praised Dohoney’s work for the city, which lasted through both the Great Recession and the beginnings of Over-the-Rhine and Cincinnati’s economic revitalization.
“He has served the city very well. He has been a leader in terms of economic development across the city,” said Vice Mayor Roxanne Qualls, who lost in her bid against Cranley for the mayorship.
Cranley and Dohoney differ on both the streetcar project and parking plan, which would have outsourced the city’s parking meters, lots and garages to the Greater Cincinnati Port Authority and private operators. Cranley opposes and plans to do away with both policies, while Dohoney helped establish both.
Cranley announced on Tuesday that he, newly elected council members and the Port Authority agreed to call off the parking plan once the new city government takes office on Dec. 1, but it remains unclear how much it will cost the city to break from the plan and its numerous contractual obligations.
Similarly, Cranley told The Cincinnati Enquirer in a livestreamed interview on Thursday that he will try to put an estimated 30-to-90-day time-out on the streetcar project as the city conducts a full accounting of how much it would take to cancel the project versus continuing with ongoing construction and the potential return on investment of completion.
The talk of cancellation already spurred some Over-the-Rhine residents and businesses to launch a campaign to save the streetcar. Cranley insists it’s too expensive and the wrong priority for the city, but supporters tout independent studies and their own experiences to argue it would spur economic development. The pro-streetcar group will meet on Thursday at 7 p.m. at the Mercantile Library, 414 Walnut St. #1100, downtown Cincinnati.
If the streetcar goes the way of the parking plan, Cranley will effectively unravel two major milestones of Dohoney’s seven years of service.
Supporters of the streetcar project are rallying in a last-stand effort to save the streetcar from an incoming city government that’s threatening to cancel the project. Supporters plan to meet today in a town hall-style meeting at 7 p.m. at the Mercantile Library, 414 Walnut St. #1100, downtown Cincinnati. Some of the supporters of the movement are residents, business owners and realtors in Over-the-Rhine who told CityBeat that canceling the project will set the city’s economic momentum back. Mayor-elect John Cranley disagrees, but the decision is ultimately up to the newly elected City Council to cancel the project, and at least three of nine newly elected council members previously seen as streetcar opponents — P.G. Sittenfeld, David Mann and Kevin Flynn — told CityBeat they’d like to evaluate the costs of canceling the project and the potential return of investment versus the cost of completing construction.
City Manager Milton Dohoney will resign on Dec. 1 and receive one year of severance pay, Cranley announced yesterday. To political watchers, the news comes as very little surprise. Cranley and Dohoney disagreed on two key issues — the streetcar project and parking plan, both of which Cranley opposes and Dohoney supported and helped get off the ground. Once the new mayor and City Council take over in December, Cranley says he will appoint a yet-to-be-named interim city manager and begin looking for a permanent replacement.
Despite Saks Fifth Avenue’s departure, the city intends to move forward with its plans to build a retail corridor downtown, and others have approached the city about taking Saks’ space, according to Kathleen Norris, managing principal of Urban Fast Forward and the city’s retail leasing consultant. Saks announced yesterday that it’s closing down its downtown store and moving to Kenwood Collection. Although the move is a blow to the city, a few city officials were quick to point to other growth in downtown Cincinnati as an example of what will attract new retail outlets in the future.
A deal is nearly set to fund the $107 million interchange project at Interstate 71 and Martin Luther King Drive. As part of the deal, the Ohio Department of Transportation will pay for $52 million, and Cincinnati and the Ohio-Kentucky-Indiana Regional Council of Governments (OKI) will take a loan from the state infrastructure bank to pay for their share. OKI says it will pay for its portion of the loan through $25 million in federal funding, but it’s so far unclear how the city will pay for its share of the project. The outgoing city administration intended to pay for the project through the now-canceled parking plan, which would outsource the city’s parking meters, lots and garages.
Cranley says the city can get out of the parking plan without defaulting on the lease agreement with the Greater Cincinnati Port Authority, but Cranley’s position is at odds with the stated opinion of officials in the outgoing city administration and Port Authority. Cranley announced on Tuesday that the parking plan will be called off once he and the new council take office in December, but it’s unclear how much it will cost to break out of the plan and its various contractual obligations.
The Ohio House held a hearing yesterday for two bills that would increase safeguards for victims of domestic violence, including new housing and employment protections. CityBeat previously covered the story of Andrea Metil, a domestic violence victim who is calling for greater protections.
Only 1,150 Ohioans signed up for Obamacare through the troubled HealthCare.gov portal, the U.S. Department of Health and Human Services announced yesterday. Both the Ohio-wide measure and nationwide number — 106,185 — fell far short of the federal government’s expectations for the first month of enrollment. But many of the troubles are caused by technical problems that have made HealthCare.gov largely unworkable for most Americans. The federal government is working to correct the errors by December, but The Washington Post reports that the website likely won’t be fully functional by then.
Meanwhile, Ohioans will be able to enroll in the now-expanded Medicaid program on Dec. 9. Republican Gov. John Kasich got the federally funded Medicaid expansion for two years through the Controlling Board, a seven-member legislative panel, despite the Republican-controlled legislature’s opposition.
The Ohio House yesterday approved a bill that reforms municipal taxes, which businesses support but cities oppose. Supporters argue it will simplify the tax code so businesses can more easily work around the state and from county to county, but opponents claim it will reduce how much revenue cities receive.
Kasich temporarily delayed convicted child killer Ronald Phillips’s execution so Phillips can donate his non-vital organs to his mother and possibly others.
Cincinnati-based Procter & Gamble is shuffling some of its top positions.
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Mayor-elect John Cranley and the newly elected City Council announced on Tuesday that, upon taking office in December, they will terminate the city’s plan to lease its parking meters, lots and garages to the Greater Cincinnati Port Authority, following an agreement with the Port Authority to hold off on a bond sale that would have financed — and effectively sealed — the deal. But it remains unclear how much it will cost to terminate the plan, default on the lease agreement with the Port Authority and allow the Port to break its contracts with private companies that would have operated the assets under the deal. The current city administration argues the parking plan is necessary to help balance the budget over the next two years, pay for economic development projects around the city and modernize the city’s parking assets so, for example, parking meters can accept credit card payments. Opponents argue the plan gives up too much control over the city’s parking assets by outsourcing their operations to private companies based around the country.
But some business leaders are upset with the death of the parking plan because it leaves no visible alternative for funding major development projects like the interchange at Interstate 71 and Martin Luther King Drive.
Cranley now says he will not allow a referendum on any ordinance undoing the streetcar project and will instead try to work with supporters of the project to find another way to put it on the ballot if they can gather enough petition signatures. Cranley says blocking a referendum is necessary to avoid spending money during a referendum campaign that could last months. But for supporters of the streetcar, Cranley’s decision seems highly hypocritical following his repeated praise for the “people’s sacred right of referendum” on the campaign trail after City Council blocked a referendum on the parking plan. If the project is placed on the ballot, it will essentially be the third time it’s brought to a public vote; opponents of the project in 2009 and 2011 pursued two ballot initiatives that many saw as referendums on the streetcar.
Meanwhile, Over-the-Rhine businesses and residents yesterday officially launched a campaign to save the streetcar project from Cranley and a newly elected City Council that appears poised to cancel the project. Touting the project’s potential return on investment and cancellation costs, the group plans to lobby newly elected officials to vote in favor of keeping the project going. The group invited Cranley and all elected council members to join them at a town hall-style meeting on Nov. 14 at the Mercantile Library, where supporters will discuss their path forward. So far, supporters have publicly discussed a concerted lobbying effort, a ballot initiative if council passes an ordinance undoing the streetcar project and possible legal action against the city.
The Cincinnati Enquirer’s editorial board is apparently unpleasantly surprised that Cranley undid the parking plan, even though the board endorsed Cranley for mayor after he ran in opposition to the parking plan for nearly a year.
An Ohio Senate bill caps the spending ability of the Controlling Board, a seven-member legislative board that previously approved the federally funded Medicaid expansion despite the Ohio legislature’s opposition. Gov. John Kasich angered many Republican legislators when he decided to go through the Controlling Board to get the Medicaid expansion, which is a major part of Obamacare.
Meanwhile, the Ohio legislature is working on changes to Medicaid that would cap future cost increases and employ professional staff for a Joint Medicaid Oversight Committee that would have the ability to review Medicaid programs and agencies. The bill also includes a portion that clarifies its passage “shall not be construed with endorsing, validating or otherwise approving the (Medicaid) expansion.”
Despite attempts from city officials and local business leaders, Saks Fifth Avenue is leaving downtown to open a store at Kenwood Collection.
Kentucky’s state auditor will look at the Cincinnati/Northern Kentucky International Airport board’s spending policies and expenses, following reports from The Enquirer that the board spent exorbitant amounts on travel, dining and counseling.
The Sixth Circuit Court of Appeals denied the Milford-Miami Advertiser’s request to appeal a 2012 ruling that charged the Gannett-owned suburban weekly with defamation and ordered the paper to pay the defamed plaintiff $100,000 in damages. In a story titled “Cop's suspension called best move for city,” the newspaper wrongly implicated a Miami Township police officer who was previously accused but later exonerated of sexual assault.
Attorney General Mike DeWine warns that some typhoon relief requests could be scams.
Not satisfied with the mere wonder of beginning to exist, some stars explode in a rainbow of colors when they’re born.
Mayor-elect John Cranley, the newly elected City Council and the Greater Cincinnati Port Authority on Tuesday agreed to eliminate the city’s plan to lease its parking meters, lots and garages to the Port Authority once newly elected officials take office in December.
But it remains unclear how much it will cost to terminate the plan, default on the lease agreement with the Port Authority and allow the Port to break its contracts with private companies that would have operated the assets under the deal.
The announcement follows the Nov. 5 election of Cranley and a City Council supermajority opposed to the parking plan.
“It is a tremendously positive announcement for the city and its citizens that the current parking deal is now dead,” Councilman P.G. Sittenfeld said in a statement. “I was glad to help sound the alarm on this deal from the beginning, but this victory ultimately belongs to the public, who were instrumental in providing sustained public pressure. This has shown us that the public values its public assets and wants long-term solutions to our financial challenges, not short-term fixes.”
Cranley and Sittenfeld were joined by
Councilman Christopher Smitherman, incoming council members Amy Murray
and David Mann and Port Authority CEO Laura Brunner for the
announcement. They discussed continuing the city’s partnership with the Port Authority, including the possibility of establishing a development fund for the agency.
Cranley also reiterated his intention to
pursue some of the development projects originally tied to the deal,
particularly the interchange at Interstate 71 and Martin Luther King
Drive. He also said the city will try to find other ways to leverage the city’s parking assets, including the possibility of stricter enforcement and better technologies.
From the start, opponents of the parking plan claimed it gave up too much local control over the city’s parking assets. The plan would have leased the assets to the Port Authority — a local, city- and county-funded development agency — but the Port planned to sign off operations to private companies from around the country.
The plan grew particularly controversial in July, after a previously concealed memo critical of the plan was leaked to media outlets and council members.
The city administration originally claimed the parking plan — and the lump-sum payment it would produce — was necessary to balance the city’s operating budget without laying off cops and firefighters.
But when the plan was held up in court following the current City Council’s approval on March 6, council managed to balance the operating budget without layoffs by making cuts elsewhere, including council members’ salaries, and tapping into higher-than-expected revenues.
City Council also managed to use alternative funding sources to finance the development of a downtown grocery store and luxury apartment tower at Fourth and Race streets, which city administration officials originally touted as a major selling point of the parking plan.
Still, city administration officials claimed the plan was necessary to
fund other development projects around the city, help balance the budget for the next two years and modernize the city’s parking assets so, for example, all parking meters would have the ability to accept credit card payments.
City Manager Milton Dohoney, a proponent of the parking plan, also proposed using the lump-sum payment to pay for a parking garage at Seventh and Sycamore streets. Under the original parking plan, the Port Authority was supposed to pay for the garage; after the Port Authority completed its review of the deal on Oct. 9, it backed down from the commitment.
The Port Authority’s review also reduced the lump-sum payment to $85 million from $92 million. Cranley and other critics said the reduction and the new $14-$15 million cost brought on by the parking garage effectively reduced the upfront payment to $70-$71 million.
Without the parking plan, the planned projects will require new sources of funding if they are to proceed. But to critics, the plan’s dissolution is an intangible victory that has been months in the making.
Updated with more details.
Dozens of residents and business owners gathered in Over-the-Rhine on Tuesday to launch a campaign that seeks to persuade Mayor-elect John Cranley and the newly elected City Council to support the $133 million streetcar project.
Attendees included Ryan Messer, who used his life savings to renovate his home in Over-the-Rhine; Derek Bauman, co-chair of Cincinnatians for Progress; Jean-Francois Flechet, owner of the Taste of Belgium; and Derek dos Anjos, owner of The Anchor.
“We’re here today to keep the conversation going outside of political rhetoric and partisan politics,” Messer said. “Simply put, the streetcar is a component of Cincinnati economic development, and it’s a project that grows the whole city — not just an urban core, which, by the way, is an important part of developing this region.”
The group intends to lobby Cranley and the newly elected council, which appear poised to cancel the project when they take office in December.
At least three of nine elected council members — P.G. Sittenfeld, David Mann and Kevin Flynn — have told media outlets that they want a full accounting of the project before making a final decision. Another three — Chris Seelbach, Yvette Simpson and Wendell Young — are on the record as supporting the project. The final three — Christopher Smitherman, Charlie Winburn and Amy Murray — adamantly opposed the project in the past.
Members of the pro-streetcar group invited Cranley and all elected council members to join them at a town hall-style meeting on Nov. 14 at the Mercantile Library, where supporters will discuss their path forward. So far, supporters have publicly discussed a concerted lobbying effort, a referendum if council passes an ordinance undoing the streetcar project and possible legal action.
As CityBeat first uncovered, the costs of canceling the project are currently unknown, and some of the costs could actually fall on the operating budget that pays for police, firefighters and human services instead of the capital budget that is currently financing the streetcar project.
Much of the uncertainty falls on ongoing construction for the streetcar, which has continued despite the newly elected city government’s intent to stop the project. As of September, the city spent $23 million on the project and contractually obligated $94 million, some of which city officials say will need to be paid back even if the project were canceled.
The U.S. Department of Transportation also told city officials in a June 19 letter that nearly $41 million of nearly $45 million in federal grants would need to be returned if the project were terminated.
Supporters also claim Cincinnati would be giving up a 2.7-to-1 return on investment over 35 years if the city abandoned the streetcar now. That estimate is derived from a 2007 study conducted by consulting firm HDR, which was evaluated and supported by the University of Cincinnati.
Project executive John Deatrick says the HDR study is now outdated and the city is working on updating the numbers. Still, Deatrick says the project is intended to spur economic development, not just provide another form of public transportation.
The Nov. 13 issue of CityBeat will give a more in-depth look at the campaign to save the streetcar and some of the people involved in the movement.
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.
City Council on Wednesday officially appointed Scott Stiles as interim city manager, but only after a testy exchange over the compensation package left three of eight present council members as “no” votes.
The package gives Stiles a raise if he returns to his previous role as one of two assistant city managers, which three council members said is unfair to lesser-paid city workers, such as trash collectors, and the other assistant city manager, David Holmes, who won’t get comparable pay increases.
The package appoints Stiles to the city’s top job at a salary of $240,000 a year, less than the previous city manager’s $255,000 salary.
If the city appoints someone other than Stiles as permanent city manager, Stiles will be placed back in the assistant city manager role with a $180,000 salary, roughly $33,500 more than the other assistant city manager.
If a permanent city manager decides to relieve Stiles of the assistant city manager position, the city will be required to make a good faith effort to find Stiles some form of employment within the city until 2018, which would allow Stiles to collect his full pension payment upon retirement.
Council Members David Mann, Charlie Winburn, Amy Murray, Kevin Flynn and Christopher Smitherman voted in favor of the appointment and package, while Chris Seelbach, Yvette Simpson and Wendell Young voted against it. P.G. Sittenfeld was absent.
Simpson and Seelbach said they have no problem giving Stiles a $240,000 salary while he’s in the interim city manager position, but both argued it’s unfair to other city workers to give only Stiles a raise if he’s reappointed as assistant city manager.
Simpson pointed out that the package would also increase the city administration budget if the new permanent city manager decides to keep Stiles and Holmes as assistant city managers at the agreed-upon salaries.
Mayor John Cranley argued Simpson, Seelbach and Young were trying to introduce a new standard that wasn’t present in the previous council, where Simpson, Seelbach and Young were in the majority coalition.
“I would have appreciated long-term thinking when I was saddled with a $255,000 severance payment,” he said, referencing a severance package the previous council gave to former City Manager Milton Dohoney after Cranley announced Dohoney would resign on Dec. 1.
Simpson argued the severance package wouldn’t have been
necessary if Cranley agreed to keep Dohoney on the job until a permanent
replacement was found.
“It’s our job to protect the taxpayer,” Simpson said.
Vice Mayor Mann pointed out that if the city doesn’t fill the assistant city manager role while Stiles presides as interim city manager, the city will actually save money by leaving a salaried administrative position vacant for six months.
Cranley previously said the city will conduct a national search for a permanent city manager. Council members at Wednesday’s meeting estimated the effort should take six months.
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.
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.
Cincinnati Parks Department Director Willie Carden, Mayor John Cranley's choice for city manager, has withdrawn from the nomination process, the mayor's office announced on Friday.
The mayor's office said it will keep Acting City Manager Scott Stiles in his current role while it launches a nationwide search for a permanent replacement.
"After consulting with my family, we have come to the personal, private decision that it is best for me to remain as the director of the Parks Department," Carden said in a statement. "John Cranley is going to be a great mayor and this is a difficult decision for me. But it’s simply about what is best for me and my family. As a personal matter, I would ask that you respect our family's privacy."
Carden's nomination initially drew wide praise from City Council, but it was snared in controversy after Carden said he will continue to live outside Cincinnati — a violation of the city charter. The Cincinnati Enquirer also uncovered an ethics probe that found Carden wrongfully took pay from both the city and the private Parks Foundation.
Councilman Chris Seelbach responded ambivalently to the news, praising both Carden and the decision to go through a national search.
"Although I would have supported Willie Carden as the permanent city manager, I'm glad to see we are now going to undertake the process we should have taken all along," Seelbach posted on Facebook.
When Cranley announced the nomination on Nov. 27, the Charter Committee, Cincinnati's unofficial third political party, criticized Cranley for not undertaking a transparent national search prior to his decision.
City Council's Rules and Audit Committee almost considered Carden's nomination on Tuesday, but the decision was delayed for a week to give council members time to interview Carden one-on-one and evaluate ordinances for the nomination.
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.
City Council on Wednesday allocated $1.25 million to indefinitely pause the $132.8 million streetcar project and study how much it would cost to continue or permanently halt the project.
If the study's continuation and
cancellation estimates aren't persuasive enough to continue the project,
the vote could effectively act as council's final action on the
The motion came as a result of the Haile U.S. Bank Foundation's offer to pay for the $250,000 study. An undisclosed private contributor also offered to pay $35,000 a day for slowed-down construction, which supporters say will keep the project within Federal Transit Administration (FTA) compliance.
During a brief recess, Councilwoman Yvette Simpson pulled Vice Mayor David Mann out of the council chambers to lobby him to support the motion and hold off on pausing the project.
Mann articulated misgivings with the absence of any written commitment for the private contributions. Given the lack of assurances, Mann voted to pause the project.
claimed a proper study will require at least two weeks, not the one
week the motion allocates. But the undisclosed private contributor is
apparently willing to pay for construction for 10 business days if it's
deemed necessary, according to Mann.
The motion could still be taken up by a committee, but the streetcar project is on hold for now.
Council's final decision to pause the project came despite a memo
released earlier in the day by the city administration warning that
pausing the project for one month could cost $2.56-$3.56 million. The memo states the numbers are only estimates and the
true costs won't be fully known until a pause is actually carried out,
which means the final costs could shrink or grow.
Streetcar Project Executive John Deatrick previously put the cost of continuing construction for one month at $3 million, which means the pause costs could actually come in higher than simply continuing with 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 the five council members opposed to the project — Mann, Kevin Flynn, Christopher Smitherman, Amy Murray and Charlie Winburn — voiced distrust toward the estimates and called for further analysis.
Streetcar supporters argue pausing the project could be tantamount to cancellation because it could convince the FTA to permanently pull $44.9 million in federal grants that are funding one-third of the project. The FTA already froze the grants pending a council decision to continue with construction.
Opponents of the project insist the FTA will return the money if the project continues.
hope that the spirit of cooperation that many members of this council
think will come from the federal government is there," said Councilman
P.G. Sittenfeld, a streetcar supporter.
But given the estimates for completion and cancellation, Sittenfeld cautioned whether history will look poorly on council's decision on Wednesday. He asked, "Did we choose waste or did we choose opportunity?"
The council meeting also continued the increasingly adversarial atmosphere in council since Mayor John Cranley and the new City Council took office on Sunday.
Councilman Chris Seelbach, a streetcar supporter, said it has been "the most destructive, divisive three days" since he began working at City Hall.
one point, Cranley attempted to compare problems facing the streetcar
project to the business failures of Blockbuster and other video stores.
Councilman Wendell Young, who supports the project, responded, "This idea that a bookstore or a video store can be compared to what's going to happen to the streetcar is about the most ridiculous comparison I can think of."
Supporters of the streetcar project argue it's necessary to spur development along the 3.6-mile loop in Over-the-Rhine and downtown. The project would generate 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.
Opponents of the project argue
it's far too expensive and the wrong priority for Cincinnati. They're
particularly concerned about the $3.4-$4.5 million it will cost to
operate the streetcar each year, which could hit an already-strained
After the study reviewing the project's costs is completed, council expects to make a final decision on whether to continue or cancel the project.
City Council plans to vote today on 11 ordinances that would indefinitely pause the $132.8 million streetcar project while council members review and weigh the costs of cancellation versus the costs of completion. The measures are expected to pass. Because they each allocate at least $100,000 in funding, the ordinances are not susceptible to referendum. Although Mayor John Cranley repeatedly defended the “people’s sacred right of referendum” in opposition to the parking privatization plan while on the campaign trail, he now says he doesn’t want the city to be forced to continue spending on the streetcar project he adamantly opposes until November 2014, as would be required under a traditional referendum.
If a 1930 Ohio Supreme Court ruling applies, Cincinnati could be responsible for paying to move utility lines to accommodate for streetcar tracks, but the city might be able to charge some of those costs back to utility companies, according to a newly disclosed 2011 memo from a city attorney to former City Manager Milton Dohoney. The memo is the latest twist in the ongoing legal battle between Duke Energy and the city over who has to pay $15 million to move utility lines for the streetcar project. If the city loses the case, the cost of the project could climb from $132.8 million to $147.8 million. But it’s still unclear how much the 1930 case applies, given that the 1930 streetcar system was owned by a private company and the 2016 version would be owned by the city.
Editorial from The Cincinnati Enquirer: “Pausing streetcar same as killing it.”
Mayor Cranley and City Council agreed to delay a vote on Willie Carden’s nomination for city manager to give council members enough time to meet with the candidate one-on-one and “digest” ordinances for his nomination. The nomination of Carden, who currently heads the Parks Department, has been plagued by some controversy because of Carden’s decision to live outside Cincinnati, which violates the rules set by the city charter for the city manager, and recently uncovered ethics issues in which Carden wrongfully took pay from both the private Parks Foundation and city.
City Council also delayed voting on new rules for a week to give council members more time to analyze and discuss the rules. Until then, City Council will operate under the standard Robert's Rules of Order. One possible change to the rules would increase the time given to public speakers during committee meetings from two to three minutes.
Watch Councilman P.G. Sittenfeld outmaneuver Mayor Cranley here.
The Ohio Supreme Court yesterday unanimously dismissed a request to compel JobsOhio to disclose various documents. The court argued that state law passed by Republican legislators largely exempted JobsOhio from public record requests, which means the privatized development agency can keep most of its inner workings secret. Republicans argue the agency’s secretive, privatized nature is necessary to quickly establish business deals around the state, while Democrats claim the anti-transparency measures make it too difficult to hold JobsOhio accountable as it uses taxpayer dollars.
The addition of measures that would create state and county councils to help get people off Medicaid ruined some of the bipartisan efforts behind Medicaid overhaul legislation, but Republican legislators still intend to bring the legislation to an Ohio House vote today. Republicans argue the controversial amendments merely update the “framework” under which counties can streamline efforts to get people off public assistance programs. But Democrats say the last-minute measures might have unintended consequences, including one portion that might give the state council the ability to change — and potentially weaken — Medicaid eligibility requirements.
An Ohio Senate bill would revamp and reduce teacher evaluation requirements to make them less costly and burdensome for school districts. The current standards require an annual evaluation of any Ohio teacher rated below “accomplished” and, according to some school districts, create high costs and administrative burdens that outweigh the benefits.
For the second time in two weeks, Hamilton County Juvenile Court Judge Tracie Hunter left court in an ambulance after supposedly passing out in court. Hunter faces increasing pressure from higher courts to rule on long-stalled cases.
A 9-year-old boy who was abandoned by his adoptive parents in Butler County allegedly threatened to kill his adoptive family.
Here is how bars are using cutting-edge technology to make better drinks.