Post by bennyp81 on Jun 15, 2005 11:37:07 GMT -8
Bart Reed
User ID: 1606604 May 9th 11:35 PM
Oakland Tribune: Wednesday, April 23, 2003
Question mark over extension of transit system
By Sean R. Cabibi
Staff Writer
Talks of possible fare hikes and pulling funds away from BART's San Jose extension, along with rumors of an extension to San Joaquin County have some locals wondering if the transit system will ever find the way to San Jose.
"There has been a huge commitment by the people to get the extension (to San Jose)," Fremont resident Mike Fowler said. "Officials need to
deliver this project. They owe it to everyone in this region."
County funding
The $3.7 billion, 21-mile extension to San Jose is being funded mostly by Santa Clara County, Alameda County and the state, to the tune of $3 billion.
The balance is expected to come from the federal government.
Santa Clara Valley Transportation Authority officials, however, are considering moving away from building expensive new projects in favor
of restoring local transportation services being eliminated because of the current budget crisis.
One way to do that, Santa Clara Supervisor Don Gage said, is to use money from Santa Clara County's Measure A -- a 30-year, half-cent sales tax for transportation improvements approved in November 2000 -- to restore trolley and bus services that were cut on April 14.
Measure A was passed on a platform that included funding the BART extension.
"For us to go forward with new projects and still cut service doesn't make sense to me," Gage said.
The transportation authority faces annual shortages of $160 million and is expected to run out of money in two years, officials said.
Delay of two years
How long that might delay the BART extension is unclear. The project--which officials hoped would be completed by 2012 -- already is expected to be delayed at least two years due to the economy, transportation authority officials said.
"I realize this (economic) downturn is huge and there are serious issues locally (in San Jose), but if extension money is pulled for local buses, I'll personally feel cheated," Fowler said.
It remains unclear if the language in Measure A even allows money to be used to restore services like buses and trolleys, said Suzanne Gifford, general counsel for the transportation authority.
If Measure A funds cannot be used, the matter would have to be taken to the voters, she said.
"I think people can still get where they need to go (on the bus in San Jose), even with the cuts," said Donny Kendell, a Fremont resident who works in San Jose. "We still can't get to San Jose. I
just think (the extension) is a priority."
Fremont resident Denice Van Zant, who also works in San Jose, believes the extension is a priority,
but admits she's biased because she doesn't live in San Jose.
"It's a shame this wasn't done earlier when times were better," she said. "I think we have to accept
that it's going to be a long time before we see anything."
Layoff proposal
Adding to the debate was a proposal by BART managers last week to eliminate 126 jobs -- which would result in layoffs for about 28 people -- and
raise fares 10 percent.
BART's board of directors will consider the proposal in May when they adopt a spending plan for the coming year.
BART's deficit could reach $27 million by 2005 and more than $409 million over the next decade, said Robert Umbreit, budget analyst for BART.
"They just raised fares," said Fremont resident Mark Schoenstein, who works in San Jose. "Now they want to do it again while eliminating any
chance of a BART extension in my lifetime."
It's appalling that officials would suggest a fare hike and defunding of the extension within days of each other, Schoenstein said.
He says BART has managed its money poorly and is taking it out on riders.
He criticized BART for spending more than $479.4 million to renovate 439 cars from 1998 to 2002, saying that paying an average of more than $1 million to renovate a BART car is too much.
"If they were more aware, we may not be in this situation," he said.
BART officials defend the renovation costs, saying the cars were stripped to their frames and completely rebuilt at half the cost of a new car.
"They are basically brand new," BART spokesman Mike Healy said. "It's at least twice that much to purchase a new car."
The Washington D.C. Metro, which operates a sim-ilar system, spent $2 million to buy new cars,
officials said. BART and the D.C. Metro both have cars built by Rohr Industries, metro officials said.
San Joaquin County
Recent rumors of an extension to San Joaquin County also have raised some concerns about prior-ities, but BART officials say it's a nonissue.
"(A San Joaquin extension) and a San Jose exten-sion have nothing to do with each other," Healy said. "If there were ever to be an extension fur-ther east, San Joaquin County would have to pay for it and it would have no affect on funds or resources to San Jose."
The rumor surfaced after BART planners met with Tracy City Manager Fred Diaz in March to discuss the possibility, Healy said.
"I'm not sure if (San Joaquin) county would be willing to pay for it, so I'm not even sure this will ever happen. At least not anytime soon."
Þ-®-Þ-®-Þ
Bart Reed
User ID: 1523284 Aug 15th 3:14 PM
San Jose Mercury News: Friday, August 08, 2003
BART to S.J. plan gets OK
By Gary Richards
Staff Writer
The Valley Transportation Authority on Thursday night approved a controversial $550 million plan to extend BART to San Jose and possibly keep buses
and trains running during the agency's current
financial crisis.
By a 7-5 vote over objections of the county supervisors and numerous transit advocates, the VTA endorsed issuing bonds and tapping into the
transportation sales tax that takes effect in three years.
The strategy will allow the agency to begin preliminary engineering studies for BART and, if the courts give the go-ahead, avoid deep cuts in transit service that are scheduled for January.
The split vote is the most significant in the agency's eight-year history, for it sets a course of action that keeps BART on track at the risk of
eating up money that may be needed for existing transit service.
At best, the vote is a delaying action. Even with a fresh infusion of cash, huge bus and trolley operating deficits will occur within two years unless a new source of revenue is found.
The VTA estimates it needs an additional $100 million annually to sustain service at existing levels.
To make things worse, a county analysis indicates that future sales tax revenue will be nearly $2 billion less over the 30-year life of the tax than
the VTA projected three years ago, unless the economy takes a sudden upward swing.
The vote was a victory for San Jose Mayor Ron Gonzales and BART proponents. They say advancing cash is necessary to meet the expectations of voters, who approved what is known as the BART
tax three years ago by a 71 percent majority, and enabled the VTA to qualify for hundreds of millions of dollars in possible federal aid for the extension from Fremont to downtown San Jose.
``Let's stay the course,'' Gonzales said. ``Let's stay united through these difficult times, and we'll come out with a long-term vision of a
transportation system approved by voters.''
Gonzales was joined in supporting the motion by San Jose City Council members Cindy Chavez, David Cortese, Pat Dando and Forrest Williams along with
Manny Valerio of Sunnyvale and Jane Kennedy of Campbell.
Opposing the vote were Dena Mossar of Palo Alto, John McLemore of Santa Clara, Tom Springer of Gilroy and supervisors Blanca Alvarado and Don Gage.
But what rankles others is the decision to forge ahead on the expensive, $4 billion BART project when funds are also needed to sustain the number of buses and trains now crisscrossing valley roads
each day.
``This approach threatens to decimate the bus and light-rail systems desperately needed by county residents,'' Alvarado said Tuesday when the
supervisors approved a resolution asking the VTA to restrict its use of tax funds to prevent further reductions in transit service.
``If we're wrong with the risk that we are taking,'' Gage said Thursday, ``we will shut down this agency with no means of getting money to keep this thing going.
``You can have all the BARTs you want in the world, but we are not going to solve this problem in this way in this economy. We are only going to
make it worse.''
The supervisors have no direct say in how the VTA allocates its funds. However, their resolution does apply political pressure on the transit
district to maintain focus on existing passengers.
County voters can expect a sales tax proposal on the ballot in November 2004 to rescue transit, but the measure may be a tough sell if it is
entirely earmarked for sustaining service and not building new projects.
But Gage and Supervisor Jim Beall are recommending a different approach. Instead of seeking to increase the sales tax, they want to ask voters to
extend the 2000 Measure A by 10 to 15 years. Its
current life is 30 years.
The bond plan earmarks more than $310 million for BART and other new projects, while an additional $80 million would be spent on operational
expenses for buses and trains.
Bonds would also cover the $65 million cost for low-floor light-rail cars and the $92.5 million in interest on the bonds and other bond-related costs.
But before the VTA gets money to defray current operational expenses, a court will have to rule on whether a tax passed to pay for construction
projects years down the road can be used to keep buses and trolleys running on the street now.
The VTA's attorney has ruled that diverting the $80 million to cover existing transit operations is not legal according to language in the ballot measure.
The VTA could go to Santa Clara County Superior Court as early as today for a ruling, which it hopes will be made within three months.
_____________________
VTA Board Approves Bond Issuance Secured by 2000
Measure A Sales Tax
Release Number: NR08-09
Release Date: August 8, 2003
(San Jose, Calif.) At its August 7, 2003 meeting, the Santa Clara Valley Transportation Authority (VTA) Board of Directors authorized the issuing of
bonds secured by and payable from the 2000 Measure A sales tax.
Up to $550 million in funding would be available through the approved Auction Rates Security (ARS) program. The VTA Board action also authorizes staff to file a validation action in the Santa Clara County Superior Court with respect to the use of some 2000 Measure A bond funds to support existing bus and light rail service.
Ballot language in the Measure specified funding for new projects and increased services. If the court validation is successful, a portion of these funds could be used to defer for two years a sign-
ificant reduction in current bus and light rail service poised for January 2004 implementation.
The VTA FY 2003-04 and FY 2004-05 Adopted Budget assumes the issuance of $147 million to reimburse the organization for the previously approved procurements of low-floor light rail vehicles and right of way for the BART Extension to Milpitas, San Jose and Santa Clara included in 2000 Measure A.
The $550 million total ARS program includes net capitalized interest expense, cost of issuance and potential debt service ($92 million).
The program also provides the flexibility to issue a series of bonds for other projects over time as determined by the VTA Board of Directors.
The 2000 Measure A package of transit improvements was approved by Santa Clara County voters by a 70.3% majority.
Voter approval authorized a 30-year, ½-cent sales tax to begin in 2006. Projects identified in 2000
Measure A are: extend BART from Fremont to Milpitas, San Jose, and Santa Clara; provide rail connections from Norman Y. Mineta San Jose
International Airport to BART, Caltrain, and VTA Light Rail; extend light rail from Downtown San Jose to East Valley; purchase low-floor light rail
vehicles and zero-emissions buses; improve Caltrain (double track to Gilroy, electrify from Palo Alto to Gilroy, and purchase train sets) and connect Caltrain with Dumbarton Rail Corridor; construct a new Palo Alto Intermodal Transit
Center; improve bus service in major bus corridors; upgrade Altamont Commuter Express (ACE); improve Highway 17 Express Bus service; develop new rail corridors; and fund operating and maintenance costs through approximately 2014 for increased bus, rail, and paratransit service.
VTAs ratings on outstanding bonds are AA (Fitch), Aa3 (Moodys), and AA (Standard & Poors).
Þ-®-Þ-®-Þ
User ID: 1606604 May 9th 11:35 PM
Oakland Tribune: Wednesday, April 23, 2003
Question mark over extension of transit system
By Sean R. Cabibi
Staff Writer
Talks of possible fare hikes and pulling funds away from BART's San Jose extension, along with rumors of an extension to San Joaquin County have some locals wondering if the transit system will ever find the way to San Jose.
"There has been a huge commitment by the people to get the extension (to San Jose)," Fremont resident Mike Fowler said. "Officials need to
deliver this project. They owe it to everyone in this region."
County funding
The $3.7 billion, 21-mile extension to San Jose is being funded mostly by Santa Clara County, Alameda County and the state, to the tune of $3 billion.
The balance is expected to come from the federal government.
Santa Clara Valley Transportation Authority officials, however, are considering moving away from building expensive new projects in favor
of restoring local transportation services being eliminated because of the current budget crisis.
One way to do that, Santa Clara Supervisor Don Gage said, is to use money from Santa Clara County's Measure A -- a 30-year, half-cent sales tax for transportation improvements approved in November 2000 -- to restore trolley and bus services that were cut on April 14.
Measure A was passed on a platform that included funding the BART extension.
"For us to go forward with new projects and still cut service doesn't make sense to me," Gage said.
The transportation authority faces annual shortages of $160 million and is expected to run out of money in two years, officials said.
Delay of two years
How long that might delay the BART extension is unclear. The project--which officials hoped would be completed by 2012 -- already is expected to be delayed at least two years due to the economy, transportation authority officials said.
"I realize this (economic) downturn is huge and there are serious issues locally (in San Jose), but if extension money is pulled for local buses, I'll personally feel cheated," Fowler said.
It remains unclear if the language in Measure A even allows money to be used to restore services like buses and trolleys, said Suzanne Gifford, general counsel for the transportation authority.
If Measure A funds cannot be used, the matter would have to be taken to the voters, she said.
"I think people can still get where they need to go (on the bus in San Jose), even with the cuts," said Donny Kendell, a Fremont resident who works in San Jose. "We still can't get to San Jose. I
just think (the extension) is a priority."
Fremont resident Denice Van Zant, who also works in San Jose, believes the extension is a priority,
but admits she's biased because she doesn't live in San Jose.
"It's a shame this wasn't done earlier when times were better," she said. "I think we have to accept
that it's going to be a long time before we see anything."
Layoff proposal
Adding to the debate was a proposal by BART managers last week to eliminate 126 jobs -- which would result in layoffs for about 28 people -- and
raise fares 10 percent.
BART's board of directors will consider the proposal in May when they adopt a spending plan for the coming year.
BART's deficit could reach $27 million by 2005 and more than $409 million over the next decade, said Robert Umbreit, budget analyst for BART.
"They just raised fares," said Fremont resident Mark Schoenstein, who works in San Jose. "Now they want to do it again while eliminating any
chance of a BART extension in my lifetime."
It's appalling that officials would suggest a fare hike and defunding of the extension within days of each other, Schoenstein said.
He says BART has managed its money poorly and is taking it out on riders.
He criticized BART for spending more than $479.4 million to renovate 439 cars from 1998 to 2002, saying that paying an average of more than $1 million to renovate a BART car is too much.
"If they were more aware, we may not be in this situation," he said.
BART officials defend the renovation costs, saying the cars were stripped to their frames and completely rebuilt at half the cost of a new car.
"They are basically brand new," BART spokesman Mike Healy said. "It's at least twice that much to purchase a new car."
The Washington D.C. Metro, which operates a sim-ilar system, spent $2 million to buy new cars,
officials said. BART and the D.C. Metro both have cars built by Rohr Industries, metro officials said.
San Joaquin County
Recent rumors of an extension to San Joaquin County also have raised some concerns about prior-ities, but BART officials say it's a nonissue.
"(A San Joaquin extension) and a San Jose exten-sion have nothing to do with each other," Healy said. "If there were ever to be an extension fur-ther east, San Joaquin County would have to pay for it and it would have no affect on funds or resources to San Jose."
The rumor surfaced after BART planners met with Tracy City Manager Fred Diaz in March to discuss the possibility, Healy said.
"I'm not sure if (San Joaquin) county would be willing to pay for it, so I'm not even sure this will ever happen. At least not anytime soon."
Þ-®-Þ-®-Þ
Bart Reed
User ID: 1523284 Aug 15th 3:14 PM
San Jose Mercury News: Friday, August 08, 2003
BART to S.J. plan gets OK
By Gary Richards
Staff Writer
The Valley Transportation Authority on Thursday night approved a controversial $550 million plan to extend BART to San Jose and possibly keep buses
and trains running during the agency's current
financial crisis.
By a 7-5 vote over objections of the county supervisors and numerous transit advocates, the VTA endorsed issuing bonds and tapping into the
transportation sales tax that takes effect in three years.
The strategy will allow the agency to begin preliminary engineering studies for BART and, if the courts give the go-ahead, avoid deep cuts in transit service that are scheduled for January.
The split vote is the most significant in the agency's eight-year history, for it sets a course of action that keeps BART on track at the risk of
eating up money that may be needed for existing transit service.
At best, the vote is a delaying action. Even with a fresh infusion of cash, huge bus and trolley operating deficits will occur within two years unless a new source of revenue is found.
The VTA estimates it needs an additional $100 million annually to sustain service at existing levels.
To make things worse, a county analysis indicates that future sales tax revenue will be nearly $2 billion less over the 30-year life of the tax than
the VTA projected three years ago, unless the economy takes a sudden upward swing.
The vote was a victory for San Jose Mayor Ron Gonzales and BART proponents. They say advancing cash is necessary to meet the expectations of voters, who approved what is known as the BART
tax three years ago by a 71 percent majority, and enabled the VTA to qualify for hundreds of millions of dollars in possible federal aid for the extension from Fremont to downtown San Jose.
``Let's stay the course,'' Gonzales said. ``Let's stay united through these difficult times, and we'll come out with a long-term vision of a
transportation system approved by voters.''
Gonzales was joined in supporting the motion by San Jose City Council members Cindy Chavez, David Cortese, Pat Dando and Forrest Williams along with
Manny Valerio of Sunnyvale and Jane Kennedy of Campbell.
Opposing the vote were Dena Mossar of Palo Alto, John McLemore of Santa Clara, Tom Springer of Gilroy and supervisors Blanca Alvarado and Don Gage.
But what rankles others is the decision to forge ahead on the expensive, $4 billion BART project when funds are also needed to sustain the number of buses and trains now crisscrossing valley roads
each day.
``This approach threatens to decimate the bus and light-rail systems desperately needed by county residents,'' Alvarado said Tuesday when the
supervisors approved a resolution asking the VTA to restrict its use of tax funds to prevent further reductions in transit service.
``If we're wrong with the risk that we are taking,'' Gage said Thursday, ``we will shut down this agency with no means of getting money to keep this thing going.
``You can have all the BARTs you want in the world, but we are not going to solve this problem in this way in this economy. We are only going to
make it worse.''
The supervisors have no direct say in how the VTA allocates its funds. However, their resolution does apply political pressure on the transit
district to maintain focus on existing passengers.
County voters can expect a sales tax proposal on the ballot in November 2004 to rescue transit, but the measure may be a tough sell if it is
entirely earmarked for sustaining service and not building new projects.
But Gage and Supervisor Jim Beall are recommending a different approach. Instead of seeking to increase the sales tax, they want to ask voters to
extend the 2000 Measure A by 10 to 15 years. Its
current life is 30 years.
The bond plan earmarks more than $310 million for BART and other new projects, while an additional $80 million would be spent on operational
expenses for buses and trains.
Bonds would also cover the $65 million cost for low-floor light-rail cars and the $92.5 million in interest on the bonds and other bond-related costs.
But before the VTA gets money to defray current operational expenses, a court will have to rule on whether a tax passed to pay for construction
projects years down the road can be used to keep buses and trolleys running on the street now.
The VTA's attorney has ruled that diverting the $80 million to cover existing transit operations is not legal according to language in the ballot measure.
The VTA could go to Santa Clara County Superior Court as early as today for a ruling, which it hopes will be made within three months.
_____________________
VTA Board Approves Bond Issuance Secured by 2000
Measure A Sales Tax
Release Number: NR08-09
Release Date: August 8, 2003
(San Jose, Calif.) At its August 7, 2003 meeting, the Santa Clara Valley Transportation Authority (VTA) Board of Directors authorized the issuing of
bonds secured by and payable from the 2000 Measure A sales tax.
Up to $550 million in funding would be available through the approved Auction Rates Security (ARS) program. The VTA Board action also authorizes staff to file a validation action in the Santa Clara County Superior Court with respect to the use of some 2000 Measure A bond funds to support existing bus and light rail service.
Ballot language in the Measure specified funding for new projects and increased services. If the court validation is successful, a portion of these funds could be used to defer for two years a sign-
ificant reduction in current bus and light rail service poised for January 2004 implementation.
The VTA FY 2003-04 and FY 2004-05 Adopted Budget assumes the issuance of $147 million to reimburse the organization for the previously approved procurements of low-floor light rail vehicles and right of way for the BART Extension to Milpitas, San Jose and Santa Clara included in 2000 Measure A.
The $550 million total ARS program includes net capitalized interest expense, cost of issuance and potential debt service ($92 million).
The program also provides the flexibility to issue a series of bonds for other projects over time as determined by the VTA Board of Directors.
The 2000 Measure A package of transit improvements was approved by Santa Clara County voters by a 70.3% majority.
Voter approval authorized a 30-year, ½-cent sales tax to begin in 2006. Projects identified in 2000
Measure A are: extend BART from Fremont to Milpitas, San Jose, and Santa Clara; provide rail connections from Norman Y. Mineta San Jose
International Airport to BART, Caltrain, and VTA Light Rail; extend light rail from Downtown San Jose to East Valley; purchase low-floor light rail
vehicles and zero-emissions buses; improve Caltrain (double track to Gilroy, electrify from Palo Alto to Gilroy, and purchase train sets) and connect Caltrain with Dumbarton Rail Corridor; construct a new Palo Alto Intermodal Transit
Center; improve bus service in major bus corridors; upgrade Altamont Commuter Express (ACE); improve Highway 17 Express Bus service; develop new rail corridors; and fund operating and maintenance costs through approximately 2014 for increased bus, rail, and paratransit service.
VTAs ratings on outstanding bonds are AA (Fitch), Aa3 (Moodys), and AA (Standard & Poors).
Þ-®-Þ-®-Þ