October 4, 2005 

Draft MDOT Capital Budget Maintains Prior Commitment to Red Line, Green Line Though Construction Remains Largely Unfunded

In the draft transportation capital budget being presented this month to local officials by the Maryland Department of Transportation, the Red and Green Line projects remain funded at close to last year's levels which are $230.7 million for the Red Line and $11.9 million for the Green Line. For the Red Line, this includes funding for the planning and engineering phases as well as the first year of construction in 2010. Assuming a normal acceleration of construction activity, the new budget would typically show additional funding for construction in 2011. The fact that it does not, according to Maryland Transportation Secretary Robert Flanagan, is because last year's infusion of capital funding from a revenue increase adopted by the General Assembly has now been allocated. This leaves no additional money for projects proposed for construction at the tail end of the budget. Further, options under study for the Red Line vary in cost from $155 million to $1.7 billion, making it difficult to anticipate the level of funding needed. As the study progresses and a specific alternative is selected the state will be in a better position to allocate construction funding.

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Transit Agencies Across Nation Report Spike in Ridership

As gasoline prices reach record levels in response to supply disruptions from the Gulf Coast hurricanes and overall demand, transit systems are reporting significant ridership increases in recent months. Although consistent data is unavailable, according to the American Public Transportation Association agencies are reporting trends that indicate ridership growth such as increased fare revenue, crowding on buses and trains, and more visits to agency web sites. Agencies reporting growth include Austin, Charlotte, Cincinnati, Cleveland, Dallas, Denver, Houston, Los Angeles, Miami, Milwaukee, Minneapolis, Nashville, New Jersey, New York, Newark, Oklahoma City, Orlando, Phoenix, St. Louis, San Francisco, San Jose, and Washington D.C. (No comparable recent data is available from the MTA.) While high gasoline prices have contributed strongly to ridership growth, numerous transit systems were seeing increases even before prices climbed this summer. Between April and June, national transit ridership was 2.1% more than the same period in 2004. Agencies attribute this growth to higher gas prices, expansion of services, and improved passenger amenities. Many agencies have recently invested in new technologies that have enhanced the riding experience. On-board wireless internet, GPS mapping services, smart fare cards, real time bus arrival information, and on-board television and radio networks are examples of these innovations. In Baltimore, MTA is close to implementation of a regional smart card initiative, but has not yet implemented other technologies that will directly improve the experience for riders.

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State Issues Request for Qualifications for State Center TOD Developer

Following the completion of a development strategy for the 25-acre State Center area in Baltimore City, the state is seeking a master developer through a Request for Qualifications process. The site includes five state office buildings and surface parking, and is well served by transit, include Metro Subway, Light Rail, and bus. The development strategy addressed a much larger area, including McCulloh Homes, a public housing community owned by the Housing Authority of Baltimore City. It called for redevelopment of the site with 3,200 new and replacement housing units, 1.2 million square feet of office space, 570,000 square feet of retail, a 200-room hotel, 5,000 parking spaces, and a four acre park. Development teams are asked to address a number of goals, including private financing, increased transit ridership, transit-oriented land uses and urban design, expansion of the sales and income tax base, and provision of housing for a mix of income levels. Proposals from development teams are due November 30, and the state intends to award exclusive negotiating rights to a team by January 2006.

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