SMART Train project cost up
Officials say quarter-cent sales tax could still cover service
By BOB NORBERG
THE PRESS DEMOCRAT



The cost of building a Sonoma-Marin commuter train and bikeway has increased to $540 million since voters defeated a sales tax measure two years ago, but it still could be financed with a quarter-cent sales tax, transit planners said Friday.

"The big thing is the cost of construction materials over the two-year period," said Lillian Hames, executive director of Sonoma Marin Area Rail Transit. "We are looking at upwards of 10 percent increases, depending on the material types."

A quarter-cent sales tax would bring in $890.7 million over the agency's 20-year life, more than anticipated in previous estimates that used old sales tax projections. By leveraging that money with construction bonds, the system could be up and running by 2014, Hames said.

The commuter train's building cost is estimated now to be $450 million, with an additional $90 million for a bicycle-hiking trail alongside it from Cloverdale to Larkspur.

That is an increase of 11.5 percent from 2006, when SMART's quarter-cent sales tax measure was narrowly defeated.

In addition, operating costs have risen from $441 million over the 20-year life of the sales tax to $462 million, in part because SMART plans to add weekend service, Hames said.

"We know for sure we can finance the cost of building and running the railroad and most of the pedestrian-bicycle path without having to get money from the North Coast Railroad Authority or state grants," said Charles McGlashan, a Marin County supervisor and SMART chairman.

The new cost estimates will be presented Wednesday to the SMART board, which already has indicated its intention to put a new tax measure on the November ballot.

Continual increases in construction and operating costs make the November election critical because at some point they could make a quarter-cent sales tax inadequate, Mike Kerns, a Petaluma board member, said.

"It really points out how important it is we pass this sales tax measure in November," Kerns said. "If we don't, the cost of doing the project just keeps escalating, and it will reach a breaking point where we won't be able to afford to do it. If we have to go back to voters in the future at a half-cent, that is a real hurdle to overcome."

To be able to start rail service by 2014, SMART would use the sales tax to secure $345 million in bonds between 2009 and 2015 to build the project.

The district also would get $23 million from a November 2004 sales tax measure in Sonoma County for design and engineering, $14 million from development on SMART property, $28 million in Proposition 116 funds, $37 million in state Transportation Congestion Relief Program funds and $800,000 a year from the state Transportation Program Assistance.

Opponent Mike Arnold of Citizens Opposed to the SMART Train Tax said he believes the transit agency is still underestimating its construction costs and overstating the amount of money it would receive from a sales tax.

"A quarter-cent sales tax is not sufficient to provide the train services they are proposing," Arnold said. "Along with lots of other organizations, yes, absolutely, we are preparing to defeat the 2008 tax measure."

SMART owns the right of way and tracks along the 70-mile line between Cloverdale and Larkspur, but most of the tracks would have to be replaced, depots rebuilt and platforms constructed.

The proposal is to run lightweight, diesel-powered commuter trains much like those used in Europe.

Ridership is estimated to be 5,050 weekdays, 1,820 to 2,020 Saturdays and 1,160 to 1,260 Sundays.

The cost was estimated at $425 million in 2004, escalating to $484 million in 2006, an increase of 14 percent.

In 2006, a quarter-cent tax measure to finance the train was defeated, gaining 65 percent overall in Sonoma and Marin counties, but needing two-thirds to pass. Sonoma County voters gave it 69 percent support, but it got just 57 percent in Marin County.

You can reach Staff Writer Bob Norberg at 521-5206 or bob.norberg@pressdemocrat.com.