More taxes for RTD?

On Wednesday, several Metro Area mayors tentatively approved a ballot measure that would ask taxpayers in November to double the sales tax to complete FasTracks on schedule. As many of you know, FasTracks has a $2.2 billion construction deficit that might forestall the completion of the transit system

Last Sunday, two columns appeared in the Denver Post one by RTD Director Lee Kemp and the other by Kevin Hoist. The columns were about whether and how RTD's FasTracks system should be implemented. Kevin Hoist argued in part that since RTD has already mismanaged the implementation of the system (not to mention its own services), maybe we need to consider taking FasTracks away from RTD management before we even consider a tax increase. Kemp just blathered on for nine paragraphs about the need for more transit, but did not even try to say why RTD should deserves to manage it or what RTD is going to do to make sure the system is not faced with even more inept planning.

As it stands now, RTD will only be able to build the West Line that is already under construction, the DIA line that has significant federal funding and probably most of the Gold Line to Arvada which is the next closest to being ready as it will travel mostly on rail that is already built. There may not be enough money for the other three lines and the expansions to the current lines. And there may also not be enough money to run the lines once they are finally built.

The reason we are in this situation is mostly because of RTD's ineptitude. When they asked voters to approve the plan, they undercut the price and didn't really study the lines enough to understand the difficulty of getting the land they wanted or that they couldn't build light rail next to major freight lines and so the cost went up. And then it went up again because of international spikes in commodity prices. And now sales taxes are down for the recession and because they didn't expect that, they now have less money coming in than they thought they would, meaning they can't take advantage of the lower materials cost.

And now RTD wants to ask for more taxes in a recession to make up for the cost. It's going to be a tough sell to taxpayers. No tax increases even for worthy causes or even industry taxes passed in the 2008 election despite significant gains by more left-leaning politics. This November there won't be a national election to increase voting, so those who vote will most likely be the ones most passionate about the specific issues involved, and I think there are a lot of people who do not like RTD or how FasTracks is going right now.

I am not really one of those Independence Institute types (I suspect Kevin Hoist may be), who think light rail and other transit is a waste of money. I do think that Denver should make investments in its transit infrastructure to really make us competitive with other cities and of course to help alleviate growth, traffic, pollution and many other ills. But RTD has not really proven itself worthy of the public's trust on this. They continue to cut service, and half-ass construction plans because they have no ability to figure out the trajectory of their ambitious plans. They already broke the promise they made to taxpayers

So maybe we should see a smaller FasTracks, or a longer construction time for FasTracks. Or maybe Kevin Hoist is right and we should put another agency in charge of building FasTracks (but who?) and then maybe give RTD control once the lines are finished.

But by November we are going to have to make some of these decisions as a community. What I want is some real options presented clearly. Let the taxpayers and riders decide what the next step is not government or quasi-government bureaucrats who in many ways have already failed us. Let us decide.

No tolls on Peña

The Denver Post reported on its front page yesterday that RTD, local and state officials were considering adding tolls in Peña Boulevard o pay for the spiraling costs of the RTD FastTracks line to the airport. RTD General Manager Cal Marsella was already foaming at the mouth about the proposal, saying it could generated $500 million for FasTracks.

Of course, most Denverites think this is an awful plan. Nearly 70 percent on the Denver Post's Web poll were against the proposal and its easy to see why when Denver taxpayers already spent billions of our money to build that airport and billions more for the FastTracks plan. To toll on top of taxes just seems like screwing over local taxpayers. This is especially true since there are few good transportation options to DIA except driving there. The RTD SkyRide costs $8 to $12 per person per ride, which is way more than the cost of gasoline and even parking for a one to two day trip. Now, I understand that these tolls would help build a  supposedly better alternative to DIA, but I could see the toll being a slippery slope where after FasTracks is built, we suddenly now need the tolls for something else. I think it is just unfair to expect people to pay simply to visit the airport; to pick up family members or friends. Can you think of another city that charges tolls directly to go to its airport?

Well fortunately, the plan looks to be on hold indefinitely. Denver Mayor John Hickenlooper floated the idea to toll Peña a few months ago, but now the logistics make no sense. The federal government spent a lot of money helping build DIA, and would likely expect a significant portion of any tolls on the road they helped build, meaning any actual money to RTD would be a lot less than expected. And of course pretty much all stake-holders except for greedy RTD are against the toll, including City Councilman Mike Hancock whose district included DIA.

So what about other funds for the FasTracks project that is seeing declining sales tax revenues but also declining construction costs? The transportation bill signed by Governor Ritter allows RTD to levy a sales tax at any rate it wants. We can be sure the RTD board will be quick to charge more taxes on all of us for their purposes. Unfortunately, none of this addresses the real reason why RTD and FasTracks is in such dire financial state: RTD mismanagement and inability to accurately forecast any kind of financial future. Its only when RTD can really address its own problems would I feel comfortable giving the agency any more of my tax dollars. Otherwise it seems it's just being thrown down the drain.