Omaha Streetcar Discussion

[ita]

What does the voting need to be, majority?

Majority. From what I can tell, Festersen, Palermo, Harding are yes's. I haven't heard Rowe or Melton yet. Begley has been mum, but looks like a yes.

Sounds like Melton is a yes. From what I have heard, the councilmen are addressing concerns of constituents, but mostly to correct incorrect assumptions being made by their constituents.

[ita]

What does the voting need to be, majority?

Majority. From what I can tell, Festersen, Palermo, Harding are yes's. I haven't heard Rowe or Melton yet. Begley has been mum, but looks like a yes.

Sounds like Melton is a yes. From what I have heard, the councilmen are addressing concerns of constituents, but mostly to correct incorrect assumptions being made by their constituents.

Sorry for all the updates. Begley sees the light. The streetcar project should be a lock at this point!

[ita]

6-1 for the resolutions on the bonds.

[Doctor Fate]

6-1 for the resolutions on the bonds.

[ita]

6-1 for the resolutions on the bonds.

Apparently, the members of council received lots messages saying "I will never ride the streetcar". I think those people will very much ride it if they are still living in Omaha. From what I can tell the council members were well versed on the potential upsides of the streetcar and moved this forward.

[skinzfan23]

GREAT NEWS! I just told my wife today, I have been waiting for this moment for nearly 20 years. So excited to see it happening and happy the city is finding a way to get it done.

[skinzfan23]

6-1 for the resolutions on the bonds.

Those are probably a lot of the same people that said they would never go to concert or event at the arena too.

Apparently, the members of council received lots messages saying "I will never ride the streetcar". I think those people will very much ride it if they are still living in Omaha. From what I can tell the council members were well versed on the potential upsides of the streetcar and moved this forward.

[skinzfan23]

6-1 for the resolutions on the bonds.

Apparently, the members of council received lots messages saying "I will never ride the streetcar". I think those people will very much ride it if they are still living in Omaha. From what I can tell the council members were well versed on the potential upsides of the streetcar and moved this forward.

Those are probably a lot of the same people that said they would never go to concert or event at the arena too.

[Coyote]

Omaha streetcar's impact on gas, water bills

[OmahaFan]

I’m surprised the City of Omaha and the State of Nebraska isn’t moving in the Infrastructure money coming from the Federal Govt into this project. That would offset a lot of the cost.

[OmahaFan]

Not to mention we could also get the State of Iowa and Council Bluffs to pitch in since they are wanting service on the Iowa Side.

[skinzfan23]

I know federal money has been talked about in the past, to fund the streetcar, but it sounds like it’s a lot longer drawn out process so maybe they don’t want to go through all that.

[OmahaFan]

Well they said no new tax increase for the street car if there is even one ounce of a tax increase in Omaha I can almost guarantee you there will be calls to recall Mayor Stothert and the city council members. MUD and OPPD are already jacking up rates like crazy. I sure hope there are people in here from the Mayors office that read these comments. I’m confident some plan will be worked out but if it requires tax payers to pony up that streetcar is dead unfortunately.

[ita]

Well they said no new tax increase for the street car if there is even one ounce of a tax increase in Omaha I can almost guarantee you there will be calls to recall Mayor Stothert and the city council members. MUD and OPPD are already jacking up rates like crazy. I sure hope there are people in here from the Mayors office that read these comments. I’m confident some plan will be worked out but if it requires tax payers to pony up that streetcar is dead unfortunately.

Based on how it was explained during the meeting, the citizens of Omaha would be on the hook on $80M of the budget if absolutely no development occurred within the streetcar district as TIF from new developments would pay that back. MoO is only the tip of the iceberg when it comes to future development in the TIF district, and they estimate a total investment of $1 billion between the new HQ and redevelopment of their old HQ. That doesn't include any potential development of the block east of the new HQ that MoO purportedly has plans for or any developments that will come about because of the UNMC NExT project. Whether you believe the analysis from the report or explanation from the council, it appears highly unlikely the average citizen will pay more taxes because of the project.

[skinzfan23]

Thanks for the info, i appreciate it.

[Omaha Cowboy]

Like I stated last Friday, I’d be shocked if there was a boondoggle halting the streetcar..

With this latest vote- Moving forward as expected…

Ciao..LiO…Peace

[Coyote]

'We will have development': Omaha City Council approves $440 million worth of bonds for streetcar

The City of Omaha is one step closer to building a streetcar. The Omaha City Council approved $440 million worth of bonds on Tuesday with the city aiming to pay those off with new development. $80 million of those bonds are lease-purchase bonds and will be backed by the taxpayers. Omaha Mayor Jean Stothert vowed that the streetcar project will not use taxpayer money.

[Coyote]

Omaha streetcar on track as key players spar
The Omaha City Council on Tuesday okayed millions in bonds for the downtown project

The future of a downtown Omaha streetcar, and relations between two major public players, has taken two steps forward and one step back. The Omaha City Council on Tuesday okayed at least $360 million in bonds, paving the way for what many city leaders insist is a transformative project, long in the making. At the same time the Metropolitan Utilities District and the city continue to spar over who’s paying what. MUD first insisted that ripping up streets was forcing the utility to raise its rates.

[Athomsfere]

Yay!

[skinzfan23]

Omaha streetcar on track as key players spar
The Omaha City Council on Tuesday okayed millions in bonds for the downtown project

The future of a downtown Omaha streetcar, and relations between two major public players, has taken two steps forward and one step back. The Omaha City Council on Tuesday okayed at least $360 million in bonds, paving the way for what many city leaders insist is a transformative project, long in the making. At the same time the Metropolitan Utilities District and the city continue to spar over who’s paying what. MUD first insisted that ripping up streets was forcing the utility to raise its rates.

The transcript on this article is funny.....just what I previously mentioned. The speaker for MUD acts as if they are above the city, when truly they still have pmts that they are making to the city. Maybe they should work internally on finances at MUD before they start mentioning raising rates for work that they already need to do. Some of these companies are out of touch. They are always pointing the finger at someone else wanting them to pick up the tab. Ridiculous. And the worst part, the public that doesn't follow these things, falls for it.

In the end, I just hope that this doesn't derail the streetcar progress (no pun intended)

[Omaha Cowboy]

In the end, I just hope that this doesn't derail the streetcar progress (no pun intended)

This latest City Council vote pretty much seals the deal for the streetcar. These “dust up” antics with MUD are silly fodder. There’s absolutely too much at stake and we’re now past the point of no return..

The Streetcar will happen…

Ciao..LiO…Peace

[S.O.Boy]

The Streetcar will happen…

Whoever's pocket its lining will make sure it happens.

[Omaha Cowboy]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

[Busguy2010]

I've been pretty quiet cause its pretty surreal that its FINALLY happening. Although I still reserve my true excitement for when construction begins.

[ita]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

Maybe I missed it, but when did this project get up over $400 million. Initially it was $306 million for construction with a 35% contingency. Than it jumped to $356 million due to inflation, I think. Now we're at $440 million in bonds? Did I miss something or is this how funding a public project works? We won't know until the design is completed, but is this initial phase longer than what we know about it right now? I posed this question in Nebraska Medicine thread, but depending on what the west end looks like, the price of the project could go up more than initial estimates.

[Garrett]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

Maybe I missed it, but when did this project get up over $400 million. Initially it was $306 million for construction with a 35% contingency. Than it jumped to $356 million due to inflation, I think. Now we're at $440 million in bonds? Did I miss something or is this how funding a public project works? We won't know until the design is completed, but is this initial phase longer than what we know about it right now? I posed this question in Nebraska Medicine thread, but depending on what the west end looks like, the price of the project could go up more than initial estimates.

One of the approved bond ordinances allows for the issuance of up to $360 million in redevelopment bonds. The buyers of these bonds assume any risks with their investment, leaving little or no risk for taxpayers.


The other ordinance allows for the issuance of up to $80 million in lease purchasing bonds — a type of bond backed by the city’s general fund.

Lease purchase bonds were considered in part because they’re likely to come at a much more attractive interest rate, said Steve Curtiss, city finance director. They also can be sold in smaller pieces, meaning the city could maximize their efficiency.

The article still quotes the cost of the project as being $306 so maybe it’s just to give more flexibility if there are overruns?

[Omaha Cowboy]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

Maybe I missed it, but when did this project get up over $400 million. Initially it was $306 million for construction with a 35% contingency. Than it jumped to $356 million due to inflation, I think. Now we're at $440 million in bonds? Did I miss something or is this how funding a public project works? We won't know until the design is completed, but is this initial phase longer than what we know about it right now? I posed this question in Nebraska Medicine thread, but depending on what the west end looks like, the price of the project could go up more than initial estimates.

One of the approved bond ordinances allows for the issuance of up to $360 million in redevelopment bonds. The buyers of these bonds assume any risks with their investment, leaving little or no risk for taxpayers.


The other ordinance allows for the issuance of up to $80 million in lease purchasing bonds — a type of bond backed by the city’s general fund.

Lease purchase bonds were considered in part because they’re likely to come at a much more attractive interest rate, said Steve Curtiss, city finance director. They also can be sold in smaller pieces, meaning the city could maximize their efficiency.

The article still quotes the cost of the project as being $306 so maybe it’s just to give more flexibility if there are overruns?

Yes, I believe Garrett is correct here. My thought is also the $440 million in bonds is a “just in case” number…

Ciao..LiO…Peace

[Omaha Cowboy]

I've been pretty quiet cause its pretty surreal that its FINALLY happening. Although I still reserve my true excitement for when construction begins.

I think most all of us here are sailing in the same boat with you on this one…

Ciao..LiO…Peace

[S.O.Boy]

Part of my trepidation you can blame on news media. They only tell you about the civil work projects in which the price tag balloons.

[ita]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

Maybe I missed it, but when did this project get up over $400 million. Initially it was $306 million for construction with a 35% contingency. Than it jumped to $356 million due to inflation, I think. Now we're at $440 million in bonds? Did I miss something or is this how funding a public project works? We won't know until the design is completed, but is this initial phase longer than what we know about it right now? I posed this question in Nebraska Medicine thread, but depending on what the west end looks like, the price of the project could go up more than initial estimates.

One of the approved bond ordinances allows for the issuance of up to $360 million in redevelopment bonds. The buyers of these bonds assume any risks with their investment, leaving little or no risk for taxpayers.


The other ordinance allows for the issuance of up to $80 million in lease purchasing bonds — a type of bond backed by the city’s general fund.

Lease purchase bonds were considered in part because they’re likely to come at a much more attractive interest rate, said Steve Curtiss, city finance director. They also can be sold in smaller pieces, meaning the city could maximize their efficiency.

The article still quotes the cost of the project as being $306 so maybe it’s just to give more flexibility if there are overruns?

Yes, I believe Garrett is correct here. My thought is also the $440 million in bonds is a “just in case” number…

Ciao..LiO…Peace

I figured that was the case. We don't really know the true extent of this initial phase, how many stops, locations, etc. Hopefully this time next year, we have a clear picture of what this will look like. I went back to the City's website and it states HDR's design contract isn't even going to be voted on until March, along with the construction manager contract.

[Omaha Cowboy]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

Maybe I missed it, but when did this project get up over $400 million. Initially it was $306 million for construction with a 35% contingency. Than it jumped to $356 million due to inflation, I think. Now we're at $440 million in bonds? Did I miss something or is this how funding a public project works? We won't know until the design is completed, but is this initial phase longer than what we know about it right now? I posed this question in Nebraska Medicine thread, but depending on what the west end looks like, the price of the project could go up more than initial estimates.

One of the approved bond ordinances allows for the issuance of up to $360 million in redevelopment bonds. The buyers of these bonds assume any risks with their investment, leaving little or no risk for taxpayers.


The other ordinance allows for the issuance of up to $80 million in lease purchasing bonds — a type of bond backed by the city’s general fund.

Lease purchase bonds were considered in part because they’re likely to come at a much more attractive interest rate, said Steve Curtiss, city finance director. They also can be sold in smaller pieces, meaning the city could maximize their efficiency.

The article still quotes the cost of the project as being $306 so maybe it’s just to give more flexibility if there are overruns?

Yes, I believe Garrett is correct here. My thought is also the $440 million in bonds is a “just in case” number…

Ciao..LiO…Peace

I figured that was the case. We don't really know the true extent of this initial phase, how many stops, locations, etc. Hopefully this time next year, we have a clear picture of what this will look like. I went back to the City's website and it states HDR's design contract isn't even going to be voted on until March, along with the construction manager contract.

Right on …

Ciao..LiO…Peace

[ita]

City of Omaha and MUD debated streetcar costs for months before public showdown

Jessica Wade
Omaha’s streetcar project reached a major milestone last week when the City Council approved $440 million in bonds to pay for its construction.

But that approval came despite an ongoing debate between the City of Omaha and Metropolitan Utilities District over who is on the hook for $20.5 million needed to relocate and reinforce utility lines along the route of Omaha’s planned streetcar.

MUD has raised concerns of significant increases in water and gas rates for customers if the district is left to cover the costs.

The debate between the two is over a label. Is the planned streetcar system an infrastructure project or a development project?

Since 1970, the City of Omaha and MUD have operated under an agreement that states that when utilities are impacted by a public infrastructure project, MUD is responsible for the cost. But when utilities are impacted by a development project, it’s up to the developer to cover the costs.

For all my qualms with OWH, this is good local reporting by Ms. Wade. She presents statements from emails and other messages between the City and MUD representatives since the streetcar was announced. They were really trying to avoid public debate, but could not come to a consensus. She also reports that utility work is scheduled to start around this time next year.

[TransitOriented]

Yes, good reporting. In the end the citizens of Omaha pay for it.

[ita]

Yes, good reporting. In the end the citizens of Omaha pay for it.

From the article:

City administrators propose that MUD spend $4.9 million held in the utilities district’s reserve and that the city would cover $5 million of the cost of the newer lines along the route.

The city also would issue bonds for the remaining project cost that would be repaid by MUD over an agreed-upon period of time, which would not start sooner than 2025.

MUD proposes including the money for utility relocations in the overall streetcar financing plan.

Under the currently discussed options, City (the citizens) is on the hook for $5M. Considering City Council approved $440M in bonds, if worse comes to worse, include it in the overall budget. There is a compromise to be had; while $20M is a lot of money, it will not derail the streetcar project.

[OmahaFan]

Why not use the federal funds Omaha/Douglas county have received? Btw do we have any updates from CB working with Omaha?

[ita]

Why not use the federal funds Omaha/Douglas county have received? Btw do we have any updates from CB working with Omaha?

I believe ARPA funds cannot be used on infrastructure.

From what I've read, CB leaders are talking to state and local officials about getting possible federal funding. I think they are still a few years out, but they are taking steps to pursue a streetcar extension into CB.

[Trips1]

Sharing the W-H piece-

“Omaha’s planned streetcar on Tuesday overcame its last major hurdle on the road to construction.

Omaha City Council members approved the issuance of $440 million in bonds to fund construction of the project and to purchase necessary equipment, including streetcar vehicles.

The 6-1 vote marks the closest Omaha has come to breaking ground on a streetcar system that has been contemplated for decades.”..

The complete W-H story link:

https://omaha.com/news/local/omaha-city ... 8f1c6.html

Ciao..LiO…Peace

Maybe I missed it, but when did this project get up over $400 million. Initially it was $306 million for construction with a 35% contingency. Than it jumped to $356 million due to inflation, I think. Now we're at $440 million in bonds? Did I miss something or is this how funding a public project works? We won't know until the design is completed, but is this initial phase longer than what we know about it right now? I posed this question in Nebraska Medicine thread, but depending on what the west end looks like, the price of the project could go up more than initial estimates.

The cost has doubled since 6-8-22. They also said that TIF would only cover $354 million of it.

"The cost of building and launching the streetcar system is estimated at $225 million, but because federal guidelines call for a 35% contingency in case of unexpected costs, the city would need to raise $306 million."

"Officials have said that the costs of launching the streetcar system and paying back the bonds will be more than covered by an estimated $354 million generated via TIF."

https://omaha.com/news/local/govt-and-p ... 445b9.html

[PotatoeEatsFish]

Let’s name a car after Buffett when he croaks

[skinzfan23]

I understand his comments, especially since he is thrifty, but the comment about the streetcar being in cement was stupid.....that is the whole purpose.

With bus lines, they can pick up and move whenever they want. With rail lines, they aren't going anywhere anytime soon, leading to more development since developers know that it will promote traffic and potentially less risk involved.

[MTO]

He also said the Greta outlet mall would fail..