Feds ante $587 million for Valley light rail
Money brings 'robust' scrutiny

Jan. 25, 2005 12:00 AM

Bob Golfen
The Arizona Republic

The federal government formally committed to its portion of the Valley's light-rail system Monday in a funding grant that will pay nearly half of the construction costs of the 20-mile starter line.

The government is funding $587.2 million of the $1.3 billion cost of the project, which has started construction, with Phoenix, Mesa and Tempe paying the remainder for the line that will run through the three cities.

The Valley Metro project is among the top light-rail priorities in the nation, said Federal Transit Administrator Jennifer Dorn, in Phoenix to attend an official signing ceremony attended by dozens of Arizona's political and business leaders.

"In terms of timing, the Phoenix project is uppermost on our list," Dorn said. "It's the most recent one to be approved by the FTA and recommended by the president, so we're moving forward aggressively with that."

The signing is the culmination of about five years of negotiations between local and federal officials, with the success of the massive project hinging on the federal money.

"There's a lot of competition (for federal transit funding)," Dorn said. "The requirements are pretty stringent, and this project met the requirements. We're very comfortable with the investment."

There's also a separate $60 million that will be available from federal Congestion Mitigation and Air Quality funds.

The $587.2 million agreement comes with intensive project oversight by federal agents, she added, to ensure that the rail project comes in within budget and projections for the construction schedule and, eventually, ridership.

"We have a very robust oversight program. Some would say too robust," Dorn said. "The vast majority of our projects have come in on time and on budget, and we want to continue to make it so.

"We have one of the best cost-oversight systems in government."

Former Phoenix Mayor Skip Rimsza, a leading proponent of light rail, said the federal role will be important to the success of light rail.

"The federal government is not only signing on as a partner," Rimsza said. "They'll be auditing the project."

The agreement will provide annual funding through 2011 to help pay for the initial light-rail line, scheduled for completion in December 2008. A 5-mile Metrocenter segment, now under study, is due for construction after the starter line is completed.

"This is the ultimate expression of confidence from the FTA," said Rick Simonetta, chief executive of Valley Metro Rail, which is designing and building the system. "We're now partners. No more worrying about how much, when or if."

If things go as projected, the initial section of light rail will be extended into Glendale, west Phoenix, north Phoenix and farther into Tempe and Mesa under provisions of Proposition 400, a 20-year transportation plan of highways, streets and transit approved by voters in November after a contentious campaign. The light-rail portion of the half-cent transportation tax that funds the plan would provide an estimated $2.3 billion for light-rail extensions.

Among the Valley leaders speaking at the ceremony Monday at the Valley Metro Rail headquarters in central Phoenix were Congressmen Ed Pastor and J.D. Hayworth. Pastor, a Democrat from Tucson, and Hayworth, a Phoenix Republican, were leading proponents of federal funding for light rail.

Valley Mayors Phil Gordon of Phoenix, Hugh Hallman of Tempe, Keno Hawker of Mesa and Elaine Scruggs of Glendale also spoke during the ceremony.

Before the ceremony, Dorn met with Valley real estate, banking and business leaders about the Transit Oriented Development plans for the light-rail corridor, which promotes pedestrian- and transit-friendly urban housing and commercial development.

Transit Oriented Development, which has been created as a zoning overlay along the light-rail system in Phoenix, is an important part of maximizing the investment in light rail, Dorn said.

"We're trying to build a national consensus about the benefits of Transit Oriented Development," she said.