City expected to pay 15 per cent of LRT, advocates estimate
February 04, 2009
Rob Faulkner
The Hamilton Spectator
http://www.thespec.com/News/Local/article/506997
Local light-rail advocates have an educated guess on how much Hamilton will be asked to pay for a rapid transit system -- 15 per cent.
McMaster math Prof. Nicholas Kevlahan, co-founder of the citizens group Hamilton Light Rail, says the figure is based on tips and talks with staff at the provincial agency Metrolinx.
"The percentage is obviously not an exact figure, but it's something that we put together from various sources, the most public one when (Metrolinx chair) Rob MacIsaac spoke at the chamber of commerce," he said.
Kevlahan said Metrolinx staff at a fall information session told him 15 to 20 per cent of capital costs would be paid by the city. Or Metrolinx will fund a bare-bones system, and Hamilton will pay the rest.
"They are not looking for 50 per cent or one-third. They are looking for a small contribution from Hamilton and it could come as an upfront contribution to the whole project or Hamilton would pay for the extras," Kevlahan said.
It's the first time the public has had an indication -- even if it is only based on various sources -- of what it will be asked to pay for a rapid transit system resulting from Metrolinx's 25-year transit plan for the region.
In October, the city took a united, symbolic step to show support for light rail transit -- but discussion focused on whether Metrolinx would pay all LRT capital costs.
It came amid concern from several councillors that the city should not pay for LRT, and that city staff must report back if Metrolinx will not be paying all capital costs.
The priority for the city, and one of Metrolinx's top jobs, is to get LRT on an east-west B-line from Eastgate Square to McMaster. City staff estimate it will cost $650 million. So, 15 per cent would be $97.5 million for the B-line, or a total of $150 million for the estimated $1-billion bill for both the east-west B-line and north-south A-line on James and Upper James.
But Jill Stephen, temporary director of strategic and environmental planning, said she had no indication from Metrolinx that 15 per cent is their expectation.
In the past, councillors asked city staff how much LRT will cost.
MacIsaac said his agency has no exact figure, but plans to fund "bare-bones" transit lines and says cities would be "prudent" to put money aside.
Stephen said that Hamilton has not included money for design or construction of LRT in the 2009 budget, but has put $500,000 in for studies. The city is waiting to see what Metrolinx decides on the B-line in July, so it will know what and when to plan for.
MacIsaac said he is in talks with cities across the region on the issue, and says details will appear in funding agreements between Metrolinx and municipalities. This spring, he expects to sign the first deals with York and Toronto.
"My view is that there needs to be some consistency across the region," he said, hoping a general funding template will be developed to cover all Metrolinx projects.
Part of Hamilton's bid for LRT is based on its need for economic revitalization, especially the downtown area.
MacIsaac doesn't expect that any city's lack of funding support will see its rapid transit lines downgraded, for example, from rail to buses. He doesn't want to speculate on what fallout there may be if a city refuses to contribute.
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