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Capital Metro Terminates Rail Contract with Veolia

Capital Metro terminated its rail operations and maintenance contract with Veolia Transportation today. At this afternoon’s Board of Directors Work Session and Board Meeting, staff will present for approval two new contracts:

1. Herzog Transit Services, Inc. for MetroRail operations and rail maintenance
2. Watco Companies, Inc. for freight rail operations

Herzog Transit Services is prepared to begin work immediately to complete the remaining steps in the MetroRail project. This change will not affect the estimated timeline for beginning passenger service in the first quarter of 2010. Capital Metro made this decision to ensure the timely completion of the MetroRail project and a successful launch of the system, and to meet existing freight obligations.

Herzog currently operates passenger rail systems in Dallas-Fort Worth (Trinity Railway Express), Albuquerque, NM (Rail Runner), Stockton, CA (Altamont Commuter Express), and Oceanside, CA (Coaster), and has been in the railroad industry for 40 years.

Watco has been operating Capital Metro’s freight line since October 2007, and runs a total of 22 short line railroads on more than 3,500 miles of track in the United States.

During recent contract negotiations, Veolia demanded changes to the terms of the existing contract as a condition for completing the remaining work. Capital Metro could not agree to these changes because they would have exposed the Authority and the community to additional costs and risks. Capital Metro immediately took the responsible step of considering other options which included securing agreements with Herzog and Watco.

This action is a responsible business decision in the best interest of not only Capital Metro but the Central Texas community.

[via Cap Metro]

Lone Star Rail District

Tuesday November 10, 2009 – By CityReader

The Lone Star Rail District has changed its name from Austin-San Antonio Intermunicipal Commuter Rail District to the simpler Lone Star Rail District. As the agency behind the LSTAR, a proposed passenger train between Georgetown and San Antonio, it has been authorized by the Legislature since the late ’90s but has yet to make any real headway.

The Statesman’s Ben Wear says,

“the train service is still mostly a line on a map. As agency board chairman Sid Covington says, the main obstacles to creating a commuter line between Austin and San Antonio are now and always have been Union Pacific freights and money.

It’s a matter of too much of the first and not enough of the latter.”

Read more…

[via the Austin Post]

Capital Metro

Capital Metro to Propose Balanced Budget Without January Fare Increase

MEDIA CONTACT INFORMATION::
Adam Shaivitz Erica McKewen
(512) 369-6027 (512) 369-6085
(512) 844-5153 cell (512) 401-7665 cell
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Capital Metro to Propose Balanced Budget Without January Fare Increase
August 28, 2009

Capital Metro staff will present an alternative budget proposal to the Board of Directors on Aug. 31, 2009, that balances the budget without an additional fare increase in January. Based on input from the Board, early customer feedback and additional staff research, Capital Metro is proposing to use approximately $2.6 million in federal economic stimulus funding for operating costs. Due to an expedited CAMPO timeline for the use of federal transportation dollars, Capital Metro will be able to request a redirection of a portion of its funding.

“Federal stimulus funding is a one-time fix that will allow us to avoid passing additional costs on to our riders during this difficult financial stretch,” said Capital Metro President/CEO Fred Gilliam. “Throughout the budget process, Capital Metro staff rigorously examined every line item in the budget to identify efficiencies and address Board priorities.”

Capital Metro Board Chair and Travis County Commissioner Margaret Gomez noted,”Capital Metro staff has been responsive to Board questions over a fare increase and the suggestion to research how stimulus dollars might be used to bridge the gap. This is a big win for our transit riders during these difficult economic times.”

Key FY 2010 budget assumptions:

* $164 million operating budget
* Projected 5% decrease in sales tax revenue, Capital Metro¿s primary source of funding
* Planned bus purchases deferred to FY 2011
* Continued hiring freeze
* Wage freeze for administrative employees
* Elimination of 37 administrative positions through early retirement and other attrition
* Increased health care costs for employees
* Wage increases of 1.5% in Jan. 2010, and 1.5% in July 2010, for bargaining employees per terms of contract between service provider StarTran and Amalgamated Transit Union Local 1091
* Suspension of `Dillo service in Oct. 2009
* Minor route modifications in Jan. 2010
* Select changes to MetroAccess policies
* Fare increase to take effect at fall 2010 service change as previously approved
* Contribution to needs based/low income fare program

Budget timeline:

* Aug. 31: Budget summary presented to Board of Directors
* Sept. 4: Proposed budget posted online at www.capmetro.org for public review
* Sept. 21: Public hearing on proposed budget
* Sept. 28: FY2010 Budget adopted by Board of Directors

ABOUT CAPITAL METRO Capital Metro’s mission is to provide quality public transportation choices for our community that meet the needs of our growing region. With the highest per capita ridership in Texas, Capital Metro serves more than 3,000 bus stops with metro, flyer and express routes, and UT Shuttle service. Capital Metro also provides MetroAccess service for passengers with disabilities, van and carpool coordination, and freight rail service.

Capital MetroRail is a new passenger rail system expected to begin soon between the City of Leander and the Convention Center in Downtown Austin. MetroRail is part of the All Systems Go Long-Range Transit Plan that includes expanded local and express bus service, MetroRapid bus service, and new and improved park and ride lots. For more information, including an online trip planner and a commute cost calculator, visit www.capmetro.org or call (512) 474- 1200.

Capital Metropolitan Transportation Authority
2910 East 5th Street | Austin, Texas 78702 | (512) 389-7400
Specific Route Information | (512) 474-1200

via Cap Metro