RTD could complete 65 percent of the currently unfunded elements of its FasTracks transit project by 2020 if metro Denver voters would approve a 0.2 percent sales-tax hike for the program in November 2011, agency directors were told Tuesday.
With such an increase, the full FasTracks program could be finished by 2027, Regional Transportation District officials added.
RTD General Manager Phil Washington and other officials briefed directors on four tax-increase options for FasTracks — a ballot measure next year that would seek to raise the sales and use tax by 0.1 percent, 0.2 percent, 0.3 percent or 0.4 percent.
FasTracks is one of the nation’s largest transit expansions, but the program has encountered a severe financial shortfall, largely because earlier forecasts relied on overly optimistic sales-tax projections.
The project needs roughly $2.3 billion more to build all transit elements that were promised to area voters when they approved the original 0.4 percent FasTracks tax in 2004.
Without a major infusion of new money, the program will likely devolve into one of winners and losers.
The winners have funding, or are likely to get it, and include the West Corridor light-rail line to Lakewood and Golden that now is under construction, the East Corridor train to Denver International Airport, and the Gold Line commuter train from Union Station to Arvada/Wheat Ridge.
Unfunded FasTracks elements include the North Metro train line to Northglenn/Thornton, the Interstate 225 light-rail line in Aurora, and the full length of the Northwest train line to Boulder/Longmont. Collectively, these projects need more than $2 billion to be realized.
Other unfunded FasTracks projects are extensions of the Southwest light-rail line to Highlands Ranch and the Southeast line to Lone Tree.
In offering directors the tax-hike options, Washington said a 0.3 percent increase next year would yield enough money to construct 75 percent of the unfunded FasTracks elements by 2020 and get the full project finished by 2022.
A 0.1 percent tax increase would get 35 percent of the remaining program built by 2020 and the full project constructed by 2035, he added.
Only if voters approve a 0.4 percent hike — doubling the existing FasTracks tax — can the full program be built by 2018, according to RTD.
The agency’s analysis noted a possible drawback of asking for a 0.2, 0.3 or 0.4 percent hike.
“Local business communities (are) less likely to support an election at this level,” it said of each of the three alternatives.
Last week’s election sent a message locally and nationally that voters seem to prize fiscal restraint these days.
Yet an analysis by the Colorado Municipal League, which represents cities and towns across the state, found that some local tax-increase measures were successful.
“As has been a consistent pattern, even in the down economy municipal voters this election cycle continued to say ‘yes’ more than ‘no’ on tax increases and tax policy issues,” CML said in its Nov. 4 report on the election.
Also on Tuesday, RTD officials gave directors options for spending about $305 million in surplus money that emerged after the agency selected a private consortium to build the DIA train, the Gold Line and other FasTracks transit elements under a public-private partnership, or PPP.
One proposal under consideration is to divvy that money up so all the unfunded projects get some funds. This option — if selected — could extend light-rail in the I-225 corridor from its current terminus at the Nine Mile station north to East Iliff Avenue at a cost of $89 million. It also proposes, for $79 million, to extend the existing Southeast train line south one station stop to serve the Sky Ridge Medical Center in Lone Tree.
RTD noted that the $305 million cannot be spent until the agency wins $1 billion from the Federal Transit Administration for the PPP venture, including the DIA train and Gold Line. RTD expects to win the federal award in the spring.
On Wednesday, RTD plans to post on details of the tax-increase proposal and options for spending the extra $305 million.
The transit agency wants community leaders and area residents to weigh in on the possibility of going back to voters for a tax hike, and the best way to spend the $305 million, Washington said.
RTD said it will collect such “stakeholder input” through the middle of next month and agency staff will offer financial recommendations incorporating a possible tax increase to the board of directors in January.
Jeffrey Leib: 303-954-1645 or jleib@denverpost.com
