Construction & Operations
Realizing that many construction projects of this size go over budget, how much leeway is there for cost overruns?
At this stage of project development, larger contingencies are applied to project costs. A contingency of approximately 20 percent has been applied to the streetcar cost estimates. The contingency percentage will be reduced once engineering details are developed and cost estimates are refined.
When would construction begin and how long will the plan take to implement?
As a shovel-ready project, construction can begin as soon as funding is received. The project has proposed a design-build process to expedite the project construction schedule so that it can be operational in January 2012. The east-west section of the project along Auburn and Edgewood Avenues is expected to begin service by September 2011, and the north-south section along Peachtree Street will be operational in January 2012. Also, because the applicant is the direct recipient of funding as opposed to being received by an intermediary organization, the funds can be put into action immediately by the applicant as soon as they are disbursed.
What is the total capital cost for infrastructure for the proposed streetcar?
The total capital cost for the Atlanta Streetcar is $288.8 million in 2009 base year dollars and $298.3 million in Year of Expenditure (YOE) dollars. (The YOE is assumed as the midpoint of the project’s construction, estimated as June 2011.) The capital cost estimate reflects Federal Transit Administration (FTA) guidelines, which require the following categories be included in the capital cost estimate:
- Guideway and Track Elements
- Stations
- Support Facilities (including a light maintenance facility)
- Sitework and Special Conditions (such as utility coordination, environmental work, pedestrian accommodations and landscaping)
- Systems Requirements (such as signalization upgrades, fare collection components, electrical power/propulsion systems)
- Land Improvements
- Purchase of Streetcar Vehicles and Spare Parts
- Professional Services and Project Management
- Contingency
What is the annual operating cost of the service?
The annual operating costs for the streetcar are $5.83 million in 2012 dollars. This includes the operating costs for the streetcar as well as the establishment of a two-month operating reserve. The O&M costs reflect FTA guidelines, review of existing systems with streetcar operations, and MARTA’s experience providing transit service to the region. Components of the O&M costs will include: operations, maintenance, and administrative staff; benefits; electricity; parts and supplies; station maintenance and general administrative costs.
Is there a green component to the project?
In addition to providing an alternative to driving, the streetcar technology employs electric power, which is a greener alternative to gasoline fuel and creates fewer emissions.
Who will own and operate the streetcar system?
An intergovernmental agreement between the City of Atlanta, MARTA, the Atlanta Downtown Improvement District (ADID), and the Midtown Improvement District (MID) is proposed to address details that will be worked out if a TIGER Discretionary Grant is awarded. The City is the grant applicant and should a grant be awarded, will be the owner of the streetcar assets. MARTA will be the grant recipient and is proposed to play a role in the operation of the system. Agreements for the operation of the streetcar system are still under discussion. Alternative business models for governance, management and operations are under review and will be evaluated by all of the partners involved to determine the best arrangement if a TIGER grant is awarded.
How many one way riders will there be on the system on a typical weekday?
Average one way trips are between 12,000-17,700 daily, depending on route and fare. However, modern streetcar and light rail systems across the nation have seen higher ridership levels than planning models forecast. For example, the 9.6-mile Charlotte LYNX light rail line opened in November 2007. It has easily exceeded its first-year ridership target of 9,100 weekday boardings, consistently recording approximately 15,000 weekday boardings since its opening, a 65% increase. (Source: Charlotte Observer, July 2009).
How many fewer cars will be on the road?
The estimated number of single-occupancy vehicles attracted to transit is about 11-14% of ridership estimates. This estimate does not include the number of people who choose to switch to transit for special events.
