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.
City Council yesterday voted to allocate $1.25 million to pause the $132.8 million streetcar project and study how much it will cost to continue or cancel the project. The final 5-4 votes to pause came despite offers from private contributors to pay for the $250,000 study and construction for the one or two weeks necessary to carry out the cost analysis. The city administration warned council earlier in the day that pausing the project for one month could cost $2.56-$3.56 million, while previous estimates put continuing construction for the month at $3 million. After the cost study is finished, council members expect to make a final decision on whether to continue or cancel the project.
Meanwhile, Councilwoman Yvette Simpson filed a motion to draw up a city charter amendment that would task the city with completing the current streetcar project. If the charter amendment gets council approval, Cincinnatians would vote on the issue approximately 60 to 120 days afterward. But it’s unclear whether the $44.9 million in federal grants for the streetcar project would survive through the months; the federal government previously warned a delay could be grounds for pulling the money.
Commentary: “Atmosphere at City Hall Changes for the Worse.”
Following various cases of malfunctioning or disabled police cruiser cameras, various groups, including Councilman Chris Seelbach, are asking to get to the bottom of the issue. Police officials say old, deteriorating technology is to blame, but critics claim some officers are purposely tampering with the technology to avoid filming themselves during controversial moments in the line of duty. For both sides, getting the cameras working could be mutually beneficial; functioning cameras would allow police to clear their names but also show when officers make mistakes.
The University of Cincinnati asked Hamilton County judges to crack down on criminals targeting students on or near campus.
State Sen. Eric Kearney of Cincinnati says he won’t give up his Democratic candidacy for lieutenant governor despite $825,000 in unpaid state and federal taxes.
Republican State Sen. Bill Seitz of Cincinnati canceled a vote for a proposal that would greatly weaken Ohio’s renewable energy and efficiency standards. But he vowed to pursue a “three-pronged strategy to reform the current envirosocialist mandates,” including potential litigation. Environmental groups argued Seitz’s proposal would have effectively eliminated the state’s energy standards. According to a study from Ohio State University and the Ohio Advanced Energy Economy coalition, repealing the standards would increase Ohioans’ electricity bills by $3.65 billion over the next 12 years. CityBeat covered Seitz’s proposal in greater detail here.
The Republican-controlled Ohio legislature yesterday approved a bill that establishes a state panel to oversee Medicaid and recommend changes for the costly program. Republicans insist the measure isn’t about reducing benefits or eligibility for Medicaid; instead, they argue it’s about finding ways to cut growing health care costs without making such cuts. Gov. John Kasich must sign the bill for it to become law.
Months after rejecting Kasich’s proposal to do so, Ohio House leaders introduced a scaled-down measure that would slightly raise the oil and gas severance tax and cut income taxes. Unlike the governor’s previous proposal, the House plan seems to have support from the oil and gas industry.
Another Ohio House bill seeks to reintroduce prayer in public schools.
Ohioans are borrowing more to pay for college, but the debt load remains less than the national average.
Headline from The Cincinnati Enquirer: “CVG board votes to hire investigator for butt-dialed call.”
It seems Metropolitan Sewer District rates will increase by 6 percent.
Cincinnati could get three to six inches of snow tomorrow.
Robert Carr, a 49-year-old Cincinnati man, has been going into the homes of strangers and trying to claim them as his own. He’s now being held in the Hamilton County Justice Center on six felony charges for breaking into homes.
Ohio gas prices fell below $3 a gallon.
According to a study from the Library of Congress, 70 percent of America’s silent films are lost and a good portion of the remaining films are in poor condition.
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.
Mayor John Cranley and a majority of City Council appear ready to pause the $132.8 million streetcar project on Wednesday after moving forward yesterday with 11 ordinances that aren’t susceptible to referendum. The bills allocate $1.25 million to stop contracts tied to the project and hire expert consultants to study what it would cost to continue or suspend the project — information a majority of council plans to use to gauge whether the project should continue after the pause. Streetcar supporters planned to hold some sort of referendum on the pause ordinances, but Cranley, who previously spoke in favor of the “people’s sacred right of referendum,” now says that the city shouldn’t be required to continue spending on the project until voters make a final decision in November 2014, as would be required under a traditional referendum.
Meanwhile, the Federal Transit Administration yesterday announced it froze $44.9 million in federal grants for the streetcar until Cincinnati agrees to move ahead with the project. The decision shows Cranley and other opponents of the project were in the wrong when they claimed they could lobby the federal government to reallocate the grant money to other projects. But the decision should also come as little surprise to the new mayor and council, considering federal officials warned of the consequences of canceling the streetcar project on three separate occasions in the past six months.
The Haile U.S. Bank Foundation also joined the fray yesterday with an email to city officials plainly stating that the streetcar project’s cancellation “will definitely cause us to pause and reconsider whether the City can be a trusted partner” and endanger contributions to the carousel in Smale Riverfront Park, the shared-use kitchen at Findlay Market and the renovations of the Globe Building and Music Hall. The email also offered to pay for a study that would evaluate the costs of the streetcar project going forward. But Cranley brushed off the letter as a threat and argued the Haile U.S. Bank Foundation “can’t be a passive-aggressive dictator of legislative process.”
Although his nomination to the city manager spot was initially met with praise, some are beginning to raise questions about Willie Carden’s refusal to live in Cincinnati and his history, including an ethics probe that found he was wrongfully taking pay from both the city and private Parks Foundation. Councilman Chris Seelbach said he’s also worried about the process for Cranley’s pick, which didn’t involve a national search and never put any other candidates in front of council.
Democrats on the Hamilton County Board of Elections have asked state officials to investigate Republican Hamilton County Prosecutor Joe Deters for improperly voting.
Republican State Sen. Bill Seitz of Cincinnati plans to introduce on Wednesday a new version of his overhaul of the state’s renewable energy and efficiency requirements. The new version will dampen a plan that would have allowed Canadian hydroelectric power facilities to satisfy Ohio’s renewable energy requirements, but it will also allow decades-old hydro plants along the Ohio River to fulfill the requirement. Seitz and other supporters of the overhaul argue it’s necessary to make the requirements friendlier to businesses and consumers. But opponents of the bill, including businesses and environmentalists, argue it would effectively ruin Ohio’s energy requirements and, according to a study from the Ohio State University and the Ohio Advanced Energy Economy coalition, cost Ohioans $3.65 billion more on electricity bills over the next 12 years. CityBeat covered the proposal in greater detail here.
Ohio schools can now tap into a $12 million program to make their facilities safer through various new measures, including a radio system directly connected to emergency responders, cameras and intercoms. “Naturally, after Sandy Hook, I think we were all just extremely upset about that, and you want to be able to do something,” Republican State Sen. Gayle Manning told StateImpact Ohio.
A report found staff weren’t at fault for the high-profile prison suicides of Billy Slagle, whose case CityBeat covered in further detail here, and Ariel Castro, who held three women captive in his home for nearly a decade.
Popular Science argues Amazon’s plan for delivery drones isn’t realistic.
Mayor John Cranley and a majority of City Council appear ready to halt Cincinnati’s $132.8 million streetcar project on Wednesday — and voters might not get a final say on whether they approve of the pause.
In front of council are 11 ordinances totaling $1.25 million that would stop contracts tied to the streetcar project while the city hires expert consultants to review the costs of continuing or suspending the project.“I think cancellation is what we should do,” Cranley said at Monday’s council meeting. “But a majority of council wants to pause and ask questions.”
One immediate concern for supporters of the project: Because the ordinances appropriate funds, they are not susceptible to referendum.
Cranley repeatedly touted the “people’s sacred right of referendum” in opposition to the parking privatization plan while on the campaign trail, but he now argues the city shouldn’t be forced to continue spending on the streetcar project until voters make a final decision in November 2014, as would be required under a traditional referendum.
Cranley encouraged streetcar supporters to instead push a ballot initiative that doesn’t require the city to continue funding the project.
Councilman P.G. Sittenfeld, who supported a referendum on the parking plan, argued Cranley’s position was hypocritical.
“I don’t want to have the voters’ voice suppressed,” he said.
Sittenfeld on Nov. 26 announced that he’s voting to continue the streetcar project. He asked, “Are we going to have tens of millions of dollars of wasted money or something to show for it?”
In response to the concerns, Councilwoman Yvette Simpson, a streetcar supporter, said she will have her staff draw up a motion to place the streetcar project on the ballot.
But Councilman Chris Seelbach, who also supports the streetcar, countered that the ballot initiative would not matter if the project is paused and the federal government decides to effectively kill the streetcar by taking back $44.9 million in federal grants that are funding one-third of the project’s costs.
The Federal Transit Administration on Monday stated the grant money is already frozen pending a council decision to advance the project.
Simpson questioned whether the ordinances allocated enough money to pause the project. Messer Construction, Prus Construction and Delta Railroad (MPD) estimate they’ll need $590,000 to suspend work for a month. The ordinance halting MPD’s contract allocates only $100,000.
On top of the $1.25 million — or $1.74 million, if MPD’s estimate is counted — allocated to pause the project, the suspension would also force the city to pay for unemployment insurance as construction companies lay off 200 workers involved in the project. Streetcar Project Executive John Deatrick estimates that will cost $419,000 if workers are kept unemployed for a month.
So the city could pay nearly $2.16 million to pause the project for a month. In comparison, Deatrick says one month of construction would cost the city $3 million.
The pause costs would also come from the contingency fund for the streetcar project, according to Deatrick. The $7.4 million contingency fund is already counted as part of the $132.8 million project, but it could go unspent if the project continues without complications.
Deatrick on Nov. 21 warned the costs of 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.
(The issue of cancellation costs was first reported by CityBeat in October as a follow-up with city officials to a July story that outlined the top 10 misrepresentations surrounding the streetcar project.)Supporters of the streetcar project argue it’s necessary to spur economic development along the planned 3.6-mile loop in Over-the-Rhine and downtown. A 2007 study from consulting firm HDR, which was later validated by the University of Cincinnati, found the project would generate a 2.7-to-1 return on investment over 35 years.
Opponents argue the project is far too expensive and the wrong priority for Cincinnati.“I believe the progress of Cincinnati is going to continue,” Cranley said. “Our future is bullish and bright in downtown and Over-the-Rhine with or without the streetcar.”
A majority of City Council expects to vote in favor of the ordinances at its full meeting on Wednesday at 2 p.m. Council members who oppose the project plan to use the time-out to weigh the costs of cancellation versus the costs of completion.
Federal grants for the $132.8 million streetcar project are on hold
until City Council votes to continue the project, according to a Dec. 2 email from the Federal Transit Administration (FTA) to Cincinnati officials.
The decision means Cincinnati can no longer tap into $44.9 million in federal grants until Mayor John Cranley and a majority of the newly sworn-in City Council, both of which have shown opposition to the streetcar project, agree to continue with ongoing construction.
“As per our telephone conversation, early last week, the Administrator decided to restrict further access to the Federal project funds until the FTA received an affirmative signal from the city’s newly elected officials that the city intends to proceed with the project on the agreed-upon schedule,” wrote Marisol Simon, FTA regional administrator in Chicago. “This measure was taken to protect the taxpayer funds not yet drawn down by the city from being subject to a potential debt collection action.”
The FTA’s decision shows Cranley and other streetcar opponents were in the wrong when they insisted they could lobby the federal government to reallocate the money to other projects, such as the interchange at Interstate 71 and Martin Luther King Drive.
But the consequence should come as little surprise to elected officials. In two letters to former Mayor Mark Mallory and a phone conference with City Council, federal officials warned the city they would pull the funding if the streetcar project were canceled.
The news comes on the same day City Council plans to vote to pause the streetcar project as the costs of cancellation are weighed against the costs of continuing.
It also comes two days after streetcar builder CAF USA warned the city of substantial costs that would be incurred if the streetcar project were canceled.
Even if council only pauses the project, Streetcar Project Executive John Deatrick says the path forward is unknown because it’s unclear how the city will fund costs associated with a pause.
The costs would presumably come out of the project’s contingency
fund, according to Deatrick, but pulling money out of the contingency
fund for a delay or pause changes the scope of the project and could face federal resistance.
On Nov. 21, Deatrick said the costs of canceling the $132.8 million 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.
Mayor John Cranley and the new City Council were sworn in yesterday. Two days prior to the ceremony, Cranley announced his appointments for council committees that play a crucial role in passing legislation through City Hall, but the choices were not without controversy as Cranley, a Democrat, snubbed members of his own party for the two most powerful committees. Councilman Charlie Winburn, a Republican, will head the Budget and Finance Committee, and Councilman Christopher Smitherman, an Independent, will take control of the Law and Public Safety Committee. Democratic council members Chris Seelbach and Wendell Young also didn’t receive any appointments; both supported former Vice Mayor Roxanne Qualls in her bid against Cranley for the mayor’s office. CityBeat covered the new City Council’s priorities in further detail here.
Among the new city government’s first priorities is canceling the $132.8 million streetcar project, but not if supporters of the project have anything to say about it. Hundreds of streetcar supporters yesterday gathered in Washington Park and walked the planned streetcar route to show their solidarity. They’re threatening a referendum on any action council takes to pause or cancel the project, but some are concerned council will attach a funding measure to legislation that would allow a cancellation or pause ordinance to go into effect immediately, even if the project makes it onto the November 2014 ballot.
Meanwhile, the company in charge of building the actual streetcars wrote a letter to former Mayor Mark Mallory on Nov. 30 threatening substantial costs if the project were canceled. The letter explains that, on top of the sunk expenses on design work, cancellation would require CAF USA to pull back on various established deals with subcontractors, which would spur further costs. For streetcar supporters, the letter renews fears that canceling the streetcar could lead to litigation from contractors and subcontractors as they seek their full payday. The legal costs for such lawsuits would fall on an already-strained operating budget that pays for day-to-day services such as cops and firefighters instead of a capital budget that finances capital projects like the streetcar, according to city spokesperson Meg Olberding.
Councilman Smitherman told The Business Courier that he wasn’t aware his brother’s construction company, Jostin Construction, was involved with the streetcar project, but a 2009 press release from the local branch of the NAACP shows Smitherman acknowledging his brother’s ties to the project. Still, a Nov. 21 letter confirms that Jostin pulled out of the project. The connection is important because it presents a potential conflict of interest for Smitherman, a streetcar opponent who will likely act as one of the five necessary votes to pause and potentially cancel the project. It also raises questions about the validity of Smitherman’s anti-streetcar votes in the past few years.
Ohio is one of five states whose economy worsened in the past three months, according to an index from the Federal Reserve of Philadelphia that combines four economic indicators to gauge states’ economic health.
A Republican and Democrat in the Ohio House proposed using the $400 million in savings from the federally funded Medicaid expansion to boost the local government fund, but it seems most of the Republican leadership in the Ohio Senate intends to use the savings on a tax cut. The savings are a result of the Controlling Board’s controversial decision to expand Ohio’s Medicaid program with federal funds, which should shift some Medicaid expenses from the state to the federal level.
More women will get access to maternity leave under Obamacare.
The federally run Obamacare website relaunched in the past week, but it’s unclear if the fixes will make it easier for Ohioans to obtain health insurance.
Coming off the Thanksgiving holiday, gas prices dropped across the state.
Michelle Dillingham, who lost in her bid for City Council, started her own progressive blog: The Cincinnati Forum.
The company in charge of building Cincinnati's streetcars says the city would incur substantial costs if it cancels the streetcar project after it's already gone through some construction and design work.
The Nov. 30 letter from CAF USA Vice President Virginia Verdeja to former Mayor Mark Mallory arrived just one day before Mayor John Cranley, who opposes the streetcar project, and an anti-streetcar majority were sworn in.
"CAF will have to recover all the incurred expenses as well as all the additional cost of cancelling the contract, which would be substantial too," Verdeja writes in the letter.
The letter explains that, on top of the sunk expenses on design work, cancellation would require CAF to pull back on various established deals with subcontractors, which would spur further costs.
For streetcar supporters, the letter renews fears of litigation that could crop up if the project were canceled and contractors decided to pursue their full payday. Those legal costs would fall on the already-strained operating budget that pays for day-to-day services like police and firefighters instead of the capital budget that finances big capital projects like the streetcar, according to city spokesperson Meg Olberding.
On Nov. 21, Streetcar Project Executive John Deatrick warned the costs of canceling the $132.8 million 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.
Earlier on Sunday, hundreds of streetcar supporters rallied in Washington Park and walked the planned streetcar route in support of the project. They're threatening a referendum if the new City Council moves to pause or cancel the project.
City Council plans to vote on pausing the project on Monday. Because of threats from the federal government that a mere delay could lead to the loss of federal grants, streetcar supporters claim a pause would equate to cancellation.
Read the full letter below:
Updated at 6:13 p.m. with the PDF of the letter.
Several hundred people from various local neighborhoods on Sunday gathered at Washington Park and walked along the planned streetcar route to show their support for Cincinnati's $132.8 million streetcar project.
The rally preceded a City Council vote planned for Dec. 2 that would pause the streetcar project as the freshly sworn-in city government reviews the costs of cancellation versus the costs of completion.
On Nov. 21, Streetcar Project Executive John Deatrick announced canceling ongoing construction for the project could nearly reach the cost of completing it 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.
Supporters at the rally vowed to hold a referendum on any council action canceling or pausing the streetcar project. If they do, construction could be forced to continue until voters make the final decision on the project in November 2014.
Councilman P.G. Sittenfeld on Nov. 26 announced his support for continuing the streetcar project, which gave streetcar supporters the four of nine council votes necessary to block an emergency clause that would make a pause or cancellation ordinance effective immediately and insusceptible to referendum.
But Ryan Messer, leader of the "We Believe in Cincinnati" group backing the streetcar project, warned that council could attempt a special legislative maneuver, such as attaching some sort of funding measure to a bill, to immunize a cancellation or pause ordinance from referendum.
Supporters of the streetcar project claim even a pause in the project could effectively act as cancellation. Federal Transit Administration Chief Counsel Dorval Carter on Nov. 25 told council members that the federal government could consider a delay in the project grounds for pulling federal funds.
Streetcar supporters argue the 3.6-mile loop, which will span from The Banks to Findlay Market in Over-the-Rhine, will produce economic development along the route and a 2.7-to-1 return on investment over 35 years — an estimate conceived through a 2007 study from consulting firm HDR that was later validated by the University of Cincinnati.
But opponents of the project, including Mayor John Cranley and at least five of nine council members, say the project is far too costly and the wrong priority for Cincinnati.
Streetcar supporters will hold a press conference the day after council's vote to announce their steps forward.
Mayor John Cranley and the new City Council were officially sworn in on Sunday after nearly a month of contentious political battles that effectively doomed the parking privatization plan and put the $132.8 million streetcar project in danger.
Cranley was joined by three newcomers to City Council — Kevin Flynn, David Mann and Amy Murray — and six re-elected council members — Chris Seelbach, Yvette Simpson, P.G. Sittenfeld, Christopher Smitherman, Charlie Winburn and Wendell Young — as they were sworn in on Dec. 1 at 11 a.m., as required by the city charter.
Already, the new mayor and council plan to move decisively on the streetcar project and parking plan. On Dec. 2, council will hold committee and full meetings to consider pausing the streetcar project as the costs of cancellation are weighed with the costs of continuation.
Streetcar Project Executive John Deatrick on Nov. 21 revealed that cancellation costs could nearly reach the the costs of completion, even before considering the cost of potential litigation from contractors already committed to ongoing construction of the project.
Council is expected to have five of nine votes to pause the project. But with Seelbach, Simpson, Sittenfeld and Young on record in support of the streetcar project, council might not have the six votes for an emergency clause that would make a pause or cancellation ordinance immediately effective and insusceptible to referendum.
If streetcar supporters successfully place a council action on the November 2014 ballot, construction could be forced to continue on the streetcar for nearly a year until voters make a final decision.
Supporters of the streetcar project argue pausing the project would effectively act as cancellation, given the federal government's warnings that any delay in the project could lead the Federal Transit Administration to yank $40.9 million in grants that are funding roughly one-third of the overall project.
A larger majority of council and Cranley also plan to quickly terminate the parking plan, which would outsource the city's parking meters, lots and garages to the Greater Cincinnati Port Authority and private companies. The previous administration pursued the deal to obtain a lump sum payment of $85 million that would have paid for various development projects around the city and helped balance the city's operating budget.
On Friday, Cranley announced his appointments to the committee chair positions that play a crucial role in deciding what legislation comes before the full body of City Council.
The appointments for two of the most powerful council committees became particularly contentious after Cranley, a Democrat, snubbed members of his own political party to build what he calls a bipartisan coalition. Winburn, a Republican, will take the Budget and Finance Committee chair, and Smitherman, an Independent, will take control of the Law and Public Safety Committee.
Mann, a Democrat who will also act as vice mayor, will lead the newly formed Streetcar Committee. He opposes the streetcar project.
Sittenfeld, a Democrat, will lead the Education and Entrepreneurship Committee; Simpson, a Democrat, will run the Human Services, Youth and Arts Committee; Murray, a Republican, will head the Major Transportation and Regional Cooperation Committee; Smitherman will chair the Economic Growth and Infrastructure Committee; and Flynn, an Independent, will preside over the Rules and Audit Committee.
Democrats Seelbach and Young won't be appointed to any committee chair positions. Both publicly supported former Vice Mayor Roxanne Qualls in her bid against Cranley for the mayor's office.
Cranley on Wednesday also unveiled Willie Carden, current director of Cincinnati Parks, as his choice for the next city manager. With council's approval appearing likely, Carden will replace City Manager Milton Dohoney, who, during his more than seven years of service, fostered Cincinnati’s nationally recognized economic turnaround, the streetcar project and the parking plan.
Beyond the streetcar project and parking plan, a majority of the new council is determined to structurally balance the operating budget without raising taxes. Some council members argue that's much easier said than done, especially since specific proposals for budget balance are few and far between.
• A political forecasting group at the University of Virginia Center for Politics has moved the race for U.S. Sen. Rob Portman's seat from "leans Republican" to "a toss-up." The group cites the name recognition held by Portman's Democratic challenger, former Ohio governor Ted Strickland, as well as his strength in Ohio's Appalachian counties, which Strickland once represented in the House of Representatives. While the forecast notes Portman's big fundraising lead over Strickland, it also says that favorable conditions in the state for Democrats' presidential candidate, presumably Hillary Clinton, could give Strickland the extra edge needed to scoot past incumbent Republican Portman in November.
• Finally, Ohio Gov. John Kasich yesterday gave his state of the state speech in Marietta. The address mostly focused on the state’s economic recovery and job growth. But Kasich, who remains a long-shot Republican presidential primary candidate, advanced few new policy proposals, instead playing it safe and touting his record. He did touch on the state’s drug addiction crisis, its looming changes to statehouse redistricting, problems with the state’s educational system and other challenges. Kasich also floated new tax cuts in the next state budget, though lawmakers seem lukewarm about the governor’s proposals.
Cincinnati City Council today changed a rule that stipulates which public employees must live within city limits. The move effectively exempts embattled Director of Water and Sewers Tony Parrott from having to move to the city after he was punished in June for misleading officials about his residency.
Under the new rules, only the city manager, assistant city manager, city solicitor and police chief will need to live in the city. The 6-2 decision came with some argument, however. Councilmen Kevin Flynn and Wendell Young voted against the rule change. Flynn said he felt it wasn’t fair to make concessions for someone who deliberately misled the city. Young had broader qualms with the change, saying he thinks all high-level city administration employees should have to live in the city from which they get their taxpayer-funded salaries.
“I have great difficulty with people who are in the higher part of the administration who help to create the rules and in many cases enforce the rules, and then are not subject to them,” Young said. “I don’t understand how the city of Cincinnati is good enough to work in, good enough to provide your income, but isn’t good enough to live in.”
Councilman Charlie Winburn, however, said the situation was actually the city’s fault. In 2012, the city-run sewer district merged with the water works department, which serves both the city as well as most of Hamilton County and parts of Butler and Warren Counties. Winburn says the residency requirements for Parrott’s job should have been updated at that time, since it is now effectively an agency that serves the greater region.
“Are we going to split Mr. Parrott in two now?” Winburn asked. “Do we have to get Solomon in on this thing?”
Other council members, including Councilwoman Yvette Simspon, voted for the change on legal grounds. Ohio law forbids residency requirements for some city employees, and there are questions about whether the city’s former rules complied with those laws. City solicitor Paula Boggs Muething said she believes council’s change today falls within the state’s laws.
Parrot, who has served as head of the Metropolitan Sewer District and Water Works, had listed his residence as a property on Westwood Avenue that turned out to be an empty lot he owned. Meanwhile, he was actually living in Butler County. City officials found out about the discrepancy in June and disciplined Parrott by docking him 40 hours of pay and requiring him to move into the city within 180 days. That time had elapsed and Parrott still hadn’t moved back. Parrott was granted a 45-day extension at the end of the six-month period as the city decided whether to fire him or change its rules.
Wound up in the questions about Parrott’s residency is the city’s court-ordered, $3.2 billion sewer project, a huge undertaking that will stretch into the next decade. The city was ordered to update its sewer system after a lawsuit by homeowners and environmental groups. Some council members say Parrott is integral to that ongoing process. Others, however, say that doesn’t excuse his actions.
“I understand the desire to keep this person in place,” Flynn said, acknowledging Parrott’s big role. “But I cannot support keeping someone who has been dishonest with the city and has continued to be dishonest with the city. I think that does a disservice to the rest of our city employees and to our citizens.”
Parrott has told City Manager Harry Black that he doesn’t want to live in the city for personal reasons but does want to remain at his job.
Hamilton County Commissioners voted today to axe Music Hall from a proposed sales tax increase designed to pay for renovations to that structure and Union Terminal. Now, only Union Terminal will benefit from the potential tax hike, which county voters will decide on in November. Voters won't get a chance to decide whether a similar hike will pay for Music Hall.
Mayor John Cranley and Cincinnati City Council are not happy about the change-up.
“As mayor of this city, I’m deeply offended when we’re treated as second-class citizens in our own county,” Cranley said during a vote approving the city’s contribution to renovations at today’s council meeting. “We have done our part. We will pay the tax if it is passed. In no other jurisdiction, not even Hamilton County, is being asked to cut its budget … for these institutions.”
Cranley said asking city taxpayers for more money represents a kind of double taxation, since they would also be paying the county sales tax increase.
Ostensibly, council was voting to approve annual payments toward upkeep of both Union Terminal and Music Hall for 25 years. The $200,000 yearly commitment to each building adds up to $10 million. Cranley floated the plan last week as a demonstration of the city’s commitment to the landmark buildings.
Council approved that money unanimously, but that vote is mostly symbolic now that the fragile plan to fund both renovations with a tax hike, first proposed by a cadre of area business leaders called the Cultural Facilities Task Force, has fallen through. Hamilton County Commissioners Greg Hartmann and Chris Monzel said the proposed contributions, which the city already makes, don’t represent a renewed effort to fix the buildings.
The city has also pledged another $10 million toward Music Hall repairs. Those contributions weren’t enough for Hartmann, who had been the swing vote on the three-member commission. He signaled he would not vote for the original 14-year, .25 percent sales tax increase designed to raise much of the $331 million needed to repair the buildings.
Instead, he voted with fellow Republican Monzel today for an alternate tax measure that left Music Hall out of the deal, raising $170 million over five years for renovations to Union Terminal only. Democrat Todd Portune, who supported the original plan, voted against the new deal.
Former P&G CEO Bob McDonald, who led the task force designing the original deal, said the new plan jeopardizes more than $40 million in private donations, as well as historic preservation tax credits.
"The idea that somehow there’s going to be more money falling from space or that this money will be put forward for an alternate plan is a fallacious assumption," McDonald told the Cincinnati Business Courier. "That money has been committed to us personally for this plan.”
Councilman P.G. Sittenfeld called the development “frustrating.”
“I’m not here to add gasoline to the fire, but I think logic is a fair expectation of our elected leaders, and after people have said repeatedly that plans haven’t been vetted, that questions haven’t been answered, they’ve now moved forward with something that has no vetting,” Sittenfeld said, referring to criticisms of the original plan by anti-tax groups like COAST. “I hope people don’t forget what happened eight blocks from City Hall anytime soon.”
Monzel said that the plan's details would
be worked out in the coming weeks, and that he wants to keep the county
from overextending itself.
“Going back through the real-estate records, it’s clear that time and time again the city has stepped forward,” said Councilman Kevin Flynn. He highlighted the city’s rescue of Union Terminal from a failed plan to turn it into a mall in the 1980s. The city bought the building from a developer after the plan crashed and burned. Flynn also said the city has made significant contributions to 136-year-old Music Hall's upkeep since the 1800s.
The organization’s Ridership and Development Director celebrated Metro’s announcement on Thursday that it will provide health and dental benefits to domestic partners of its employees.
Lahman said she has used same-sex partner benefits in the past, when she went back to school.
“[My partner and I] know first-hand what it means to have the flexibility and equality as others do in the workplace,” Lahman said at a press conference at Metro’s office. “This is just a fantastic day and I’m so proud that Metro is able to do the right thing.”
Metro is the first employer to say it will use Cincinnati’s domestic partner registry if the initiative passes next week in City Council. Should it pass, Cincinnati will be the 10th city in Ohio to have a domestic partner registry.
Mayor John Cranley and City Councilman Chris Seelbach attended the press conference and spoke in support of the move.
Cranley called it “symbolically and substantively right” and during the announcement shared a memory in honor of Maya Angelou, her poem “On the Pulse of Morning” at former President Bill Clinton’s inauguration in 1993.
“She ended it with ‘Good morning,’” Cranley said. “I think this is a good morning for Cincinnati, a new day.”
Many of Cincinnati’s major employers, including Procter & Gamble, Kroger and Macy’s offer same-sex and domestic partner benefits.
Seelbach said while those companies already have systems to evaluate domestic partnerships, the registry will give other companies like Metro an easy way to provide those benefits.
“We are now leaders in the nation and the region to make sure everyone is welcome in our city, regardless of who they love,” Seelbach said. “Everyone should bring their full self to their workplace and be able to do that with health benefits for their partners.”
Seelbach said while Metro is the first to say it will use the registry, other companies like Cincinnati Bell have expressed interest.
Metro is a nonprofit tax-funded public service of the Southwestern Ohio Regional Transit Authority (SORTA) with around 850 employees.
One of SORTA’s executive statements says the organization is committed to a work environment that “promotes dignity and respect for all.”
Board Chair Jason Dunn said SORTA’s commitment to inclusion is a great business decision.
“It shows that we value our employees,” Dunn said. “It shows that not only is Metro on the cutting edge of transportation but also making sure we are open to talent and we are open to retaining great talent in our system.”
Same-sex partners with a valid marriage license, same-sex partners registered by a government entity and same-sex partners with a sworn affidavit will be recognized by Metro for domestic partner benefits, which will take effect January 1, 2015.
Flaherty & Collins, the developer that wants to tear down a garage as part of its downtown grocery and apartment tower project, offered to pay for a tenant’s move to keep the deal moving forward. The tenant, Paragon Salon, recently announced its intent to sue the city after Mayor John Cranley’s refusal to pay for the salon business’s move left the development project and Paragon in a limbo of uncertainty. With Flaherty & Collins’ offer, the development deal should be able to advance without extra costs to the city.
But Cranley says he still wants 3CDC to review the downtown development project to set the best path forward.
Federal money will help Cincinnati keep and hire more
firefighters. The Staffing for Adequate Fire and Emergency Response
(SAFER) grant provides nearly $8.1 million — about 2 percent of the
city’s $370 million operating budget — to pay the salaries and benefits
of 50 firefighters for two years. Afterward, the city will need to pick
up the costs, which could worsen an operating budget gap that currently
sits at $22 million for fiscal 2015. The move would increase the
Cincinnati Fire Department’s staffing levels from 841 to 879 and help prevent brownouts, according to the firefighting agency.
The Cincinnati Board of Health defied Mayor Cranley by
unilaterally pursuing a $1.3 million grant that will provide
preventative and primary care services to underserved populations. Rocky
Merz, spokesperson for the board, says the grant application complies
with guidance from the city’s top lawyer. Cranley opposes the grant because the extra services it enables could push up costs for the city down the line.
Hamilton County officials will look for outside legal help in their fight against the city’s job training rules for Metropolitan Sewer District projects. CityBeat covered the rules, known as “responsible bidder,” in further detail here.
Smale Riverfront Park will receive $4.5 million in federal funding from the U.S. Army Corps of Engineers to control erosion and prevent flooding.
Crime around Cincinnati’s Horseshoe Casino never materialized, despite warnings from critics prior to casinos’ legalization in Ohio.
Ohio’s prison re-entry rate declined and sits well below the national average, according to a study from the Ohio Department of Rehabilitation and Correction. The study found 27.1 percent of inmates released in 2010 ended up back up in prison, down from 28.7 percent of individuals released in 2009. In comparison, the national average is 44 percent.
Hundreds of Ohio school districts plan to test out the state’s new online assessments for math, language arts, social studies and science.
The cold winter is pushing up natural gas prices, according to Ohio’s largest natural gas utility.
A second baby might have been cured of HIV, the sexually transmitted disease that causes AIDS. Even with the potential successes, doctors caution it’s still very much unclear whether the treatment provides a definitive cure for the deadly disease.
Meanwhile, a first-of-its-kind intravaginal ring could prevent pregnancy and HIV.email@example.com.
A group of Greenpeace protesters face burglary and vandalism charges after a stunt yesterday on the Procter & Gamble buildings. Protesters apparently teamed up with a helicopter to climb outside the P&G buildings to hang up a large sign criticizing the company for allegedly enabling the destruction of rainforests in Indonesia by working with an irresponsible palm oil supplier. P&G officials say they are looking into the protesters’ claims, but they already committed to changing how they obtain palm oil by 2015.
Cincinnati Center City Development Corp. (3CDC) will step in to resolve the status of a downtown grocery and apartment tower project. The previous city administration pushed the project as a means to bring more residential space downtown, but Mayor John Cranley refuses to pay to move a tenant in the parking garage that needs to be torn down as part of the project. Following Cranley and Councilman Chris Seelbach’s request for 3CDC’s help, the development agency will recommend a path forward and outline costs to the city should it not complete the project.
Meanwhile, the tenants in the dispute announced today that they will sue the city to force action and stop the uncertainty surrounding their salon business.
Cranley insists politics were not involved in an appointment to the Cincinnati Board of Health, contrary to complaints from the board official the mayor opted to replace. Cranley will replace Joyce Kinley, whose term expired at the end of the month, with Herschel Chalk. “Herschel Chalk, who(m) I’m appointing, has been a long-time advocate against prostate cancer, who's somebody I’ve gotten to know,” Cranley told WVXU. “I was impressed by him because of his advocacy on behalf of fighting cancer. I committed to appoint him a long time ago.”
The costs for pausing the streetcar project back in December remain unknown, but city officials are already looking into what the next phase of the project would cost.
Troubled restaurant Mahogany’s must fully pay for rent and fees by March 10 or face eviction.
Through his new project, one scientist intends to “make 100 years old the next 60.”firstname.lastname@example.org.
Mayor John Cranley could dismantle a deal that would produce a grocery store, 300 luxury apartments and a new parking garage downtown. Cranley says he doesn’t want millions put toward the deal, even though the developer involved plans to invest another $60 million. Councilman Chris Seelbach says the deal isn’t dead just because of the mayor’s opposition, and City Council could act to bypass the mayor, just like the legislative body did with the streetcar project and responsible bidder. To Seelbach, the deal is necessary to bring much-needed residential space and an accessible grocery store downtown.
Cincinnati officials and startup executives will try to bring Google Fiber, which provides Internet speeds 100 times faster than normal broadband, to Cincinnati. Google plans to hold a national competition to see which cities are most deserving of its fiber services. “Over the last several years, Cincinnati’s innovation ecosystem has made tremendous strides,” Councilman P.G. Sittenfeld said in a statement. “We’re increasingly becoming a magnet for talented entrepreneurs across the country who want to come here to bring their big ideas to life. We need to ensure that we have the modern technological infrastructure to make Cincinnati nationally competitive.”
Cincinnati’s operating budget gap for fiscal 2015 now stands at $22 million, up from an earlier forecast of $18.5 million, largely because of extra spending on police pushed by Cranley and a majority of City Council. The city must balance its operating budget each year, which means the large gap will likely lead to layoffs and service cuts.
Commentary: “Budget Promises Spur Fears of Cuts.”
Cranley won’t re-appoint the chair of Cincinnati’s Board of Health. When asked why, Chairwoman Joyce Kinley told City Council’s Budget and Finance Committee that Cranley told her “he had to fulfill a campaign promise.” Some city officials say they worry Cranley is putting politics over the city’s needs.
Troubled restaurant Mahogany’s needs to pay back rent or move out, The Banks’ landlord declared Monday. The deciding moment for Mahogany’s comes after months of struggles, which restaurant owner Liz Rogers blames on the slow development of the riverfront.
Kathy Wilson: “Mahogany’s: Turn Out the Lights.”
Cincinnati’s Horseshoe Casino supports 1,700 workers, making it the largest of Ohio's four voter-approved casinos.
At least one airline, Allegiant Air, plans to add flights from Cincinnati/Northern Kentucky International Airport.
Headline: “Man wakes up in body bag at funeral home.”
“A 30,000-year-old giant virus has been revived from the frozen Siberian tundra,” the Los Angeles Times email@example.com.