Government

SunRail: Next Stop on Gov. Scott's Hit List?

Orlando-area commuter train has political pull, weak financials
By: Kenric Ward | Posted: February 18, 2011 3:55 AM
Tri-Rail 1Taxpayers already subsidize Tri-Rail to the tune ot $34.6 million a year | Credit: Lane Wright
Gov. Rick Scott's rejection of high-speed rail may have laid the groundwork for derailing a Central Florida commuter train.

SunRail, a planned $1.2 billion line running through four counties, doesn't have the sex appeal of a high-speed train, but it has strong political ties to state GOP leaders.

"High-speed rail was President Obama's train. SunRail is the Republicans' train," says Matthew Falconer, an Orlando-based commercial real-estate owner who ran for Orange County mayor last year.

"We're thankful that Scott rejected the high-speed project. If he applies the same logic to SunRail, he'll do the same. It's a black hole," Falconer said.

Scott has not signaled his intentions, saying only that he is "reviewing" SunRail. And if he wants to stop the project in its tracks, he will have to traipse through a field of political land mines.

Central Florida's legislative delegation is solidly behind the 61-mile project. Lawmakers have earmarked state and federal funds for the first phase.

A Scott policy adviser told a Senate subcommittee last week that $269 million was in the governor's transportation budget for SunRail.

But critics say SunRail's financial outlook is even shakier than Obama's train -- and that it's freighted with special interests.

Starting with the $660 million purchase of CSX tracks, SunRail ran into controversy. State Sen. Paula Dockery, R-Lakeland, complained that the price was up to 10 times higher than the going market rate.

Critics also pointed to proximate land holdings by legislators and work that Sen. John Thrasher, former chairman of the Republican Party of Florida, did as a CSX lobbyist.

Going forward on aging CSX tracks -- some sections of which are 100 years old -- SunRail faced a budget crash. With no maintenance budget and bridge replacements costing as much as $50 million a pop, SunRail proponents scrambled for cash.

"The Florida Department of Transportation came up with a new way to cover overruns -- using money from local road budget and diverting gas taxes. That means they know there's going to be more overruns," said Sharon Calvert, who heads the Hillsborough County-based "No Tax for Tracks."

"The money for these rail projects does not exist," she says.

Meantime, federal dollars were coming up short. Washington committed $178 million for the first phase, barely half of its original $300 million pledge.

Undaunted, local and state politicians and business interests keep pushing SunRail forward -- and not necessarily to promote transportation.

"It's about concurrency so downtown builders can build," Falconer says. The existence of a commuter rail line allows developers to "check a box" that enables them to expand in Orlando's downtown, he said.

But Falconer and others question SunRail's viability as a transit service.

"It's a freight train pulling commuter cars at average speed of 17 mph," he says. "With 146 rail crossings and 50 trains that equals 6,000 gate closings a day. That's a traffic buster."

Is SunRail destined to go down the same road as the deficit-ridden Tri-Rail commuter train in South Florida? Despite all the Orlando-area cheerleading, the numbers are not encouraging.

Tri-Rail, which serves the state's most densely populated corridor running through Palm Beach, Broward and Miami-Dade counties, has never turned a profit. The state subsidizes Tri-Rail with $34.6 million a year while passenger revenues cover only $10.4 million of the $64 million annual operating budget.

SunRail, with one-quarter of Tri-Rail's projected ridership, stands to lose $100 million a year, critics say.

SunRail estimates of 3,200 riders a day would amount to a miniscule 0.002 percent of the Central Florida population it presumes to serve.

"Tri-Rail was a bad idea. SunRail is much worse," Falconer concludes.

Comments (21)

Karl
12:56AM FEB 23RD 2011
Instead of cutting this rail line why doesn't this cut his salary and all the other top people in the state house ? I'm sure he and the others don't really need their high salirys especially in times like these.
tim
10:27AM FEB 28TH 2011
You voted democrat huh? Rick Scott doesn't accept a salary and the taxpayers of FL. Have told the boobs in government for 10 years no to thier stupid train.
tim
10:27AM FEB 28TH 2011
You voted democrat huh? Rick Scott doesn't accept a salary and the taxpayers of FL. Have told the boobs in government for 10 years no to thier stupid train.
tim
10:27AM FEB 28TH 2011
You voted democrat huh? Rick Scott doesn't accept a salary and the taxpayers of FL. Have told the boobs in government for 10 years no to thier stupid train.
Harvey Henkelmann
4:16PM FEB 22ND 2011
Hopefully after all these rail projects are eliminated they can raise the price of gasoline back up to the 7$-8$ per gallon where it ought to be. ;)
Andrew
4:40AM FEB 20TH 2011
The problem with saying that public transit doesn't make a profit is that roads and streets do not exist on a profit or loss basis for their existence.

Does this mean that the tea party types want the street in front of their homes closed, because it is pure socialism & doesn't make any money?
Jeffrey S
6:10PM FEB 21ST 2011
You are so right. The criticism passenger rail gets because it actually pay part of it's own way. One of the few government services that do. Roads are much more heavily subsidized per passenger. The true benefit of rail is how much cheaper and more cost effective the development it spurs as compared to roads. Dense development yields more tax revenue and less cost to providing services than the sprawl never ending roads do.
Chris
6:49PM FEB 18TH 2011
Tri-Rail is very successful here in South Florida. The trains are always packed and it would be a disaster if the system shut down. I imagine in 10 years Central Florida will look much like South Florida and hopefully Sun Rail is fully running by then. I think the planners need to add a free shuttle from the Sand Lake Rd station to Orlando International Airport. This is something that Tri-Rail does and is very popular. It seems like nearly half of their passengers are going to or coming from the airport.
Richard Riker
7:06PM FEB 18TH 2011
Governor Scotts' rejection of HSR was a good decision and a win for the citizens of Florida. According to the National Transit Database(Washington: Federal Transit Admin. 2009) Miamis' commuter rail looses $29.16 per passenger per trip or $3,872,448 dollars per week. Not a very impressive investment with our tax dollars and our childrens tax dollars and our grand childrens tax dollars. It never ends, so BRAVO for the Governors decision not to start it in the first place. So, if you have any fact to back up your claim that Tri Rail is very successful lets hear them and don't forget your sources.

The only people who oppose the decision are those who want to make political hay out of it, big money investor who want to make a fortune off the taxpayers of Florida, and the misinformed.
heidelja
8:18AM APR 3RD 2011
"[Tri-]rail looses $29.16 per passenger per trip or $3,872,448 dollars per week"?

Go figure WHY the delusional "informed sources" state that Florida taxpayers are ONLY subsidizing Tri-Rail $35M per year which is only $673,0767 per week. At 10,000 passengers per weekday this is only a susidy of $13.46 per passenger, or less than half your claim!

MAYBE your stats are outdated, and if they are, LOOK how it has IMPROVED over the period since your stats were published!
Chris
9:51PM FEB 18TH 2011
According to the American Public Transportation Association, apprx 10,000 people a day take Tri-Rail. Thats 10,000 people off of a jammed pack I-95 (hey that costs money too but I don't see people complaining about that). Every time I've taken Tri-Rail its been packed. Its also very convenient for people going to the airport since Tri-Rail offers free shuttles and you don't have to pay for parking. No one promised that commuter rail would make money....and you'd be hard pressed to find many in the world that do. It does seems like a better investment than the never ending construction on I-95, which costs millions of dollars too. That how I at least, measure success.

HSR is completely different from commuter rail. The federal government was offering to pay for 80% of the system while the state was expected to cover the rest. There were many companies offering to pay that 20%. As far as HSR making money...the closest thing we have to that in the United States is the Acela Express, which does in fact make a profit.
Richard Riker
4:34PM FEB 19TH 2011
I,m glad you agree that trains loose money. And don't forget only a few people would use the train but everyone one would be paying for it. That's the point. End of story.
heidelja
4:30PM APR 2ND 2011
If your concern that "trains loose money" is to be seen as a legitimate argument, HOW MUCH then does the alternative you advocate MAKE? You can pick the alternative of your choice. I think you end the story much too quickly!
Chris
9:49PM FEB 18TH 2011
According to the American Public Transportation Association, apprx 10,000 people a day take Tri-Rail. Thats 10,000 people off a screwed up I-95 (hey that costs money too but I don't see people complaining about that). Every time I've taken Tri-Rail its been packed. Its also very convenient for people going to the airport since Tri-Rail offers free shuttles and you don't have to pay for parking. No one promised that commuter rail would make money....and you'd be hard pressed to find many in the world that do. It does seems like a better investment than the never ending construction on I-95, which costs millions of dollars too.

HSR is completely different from commuter rail. The federal government was offering to pay for 80% of the system while the state was expected to cover the rest. There were many companies offering to pay that 20%. As far as HSR making money...the closest thing we have to that in the United States is the Acela Express, which does in fact make a profit.
mike
11:59AM FEB 18TH 2011
Too bad he cant put Tri Rail on the list also
Richard Riker
1:14PM FEB 18TH 2011
Amen!!
Richard Riker
8:55AM FEB 18TH 2011
People should do a little reading for themselves, it's really easy on the internet, and they would realize there is no reason for an overpriced train system in Florida. Federal Government stats show they use more energy, are a huge financial burden that never ends, and in the long run get you from point A to point B slower. But the main issue is that of the 10th Amendment. If Senator Nelson and his cronies get their way they will have tossed the Constitution to the proverbial curb. Senator Nelson has sworn several times in careers to defend that Constitution. His efforts speaks volumes about Senator Nelson and his fitness as a public official.
heidelja
8:08AM APR 3RD 2011
"stats show [trains] use more energy"! This is significant NEWS! WHAT is your informative Internet source for this enligtenment?
FL Native
8:41AM FEB 18TH 2011
Did anyone check the credibility the main source of information in this article? Matthew Falconer is a failed candidate who could barely get enough support to break into the teens for Orange County Mayor and a failed strip mall developer. Should he even be allowed outside of the house?
Richard Riker
8:59AM FEB 18TH 2011
FL Native, at least Matthew Falconer did some research and his fact are sound. Why are you so envious of him?
TomTeaParty
12:42AM FEB 19TH 2011
Falconer is a loon.
This battle was being fought by Ax the Tax for two decades and they've won every battle.
The Ax the Rail Tax coalition with the Florida Taxpayers Union, the Liberty Coalition and the Tea party are the leaders here.
SunRail will go down too!