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Business Development News Politics Transportation

Project Executive Estimates Cost to Cancel Streetcar Would Far Exceed $100M

The project executive for the Cincinnati Streetcar project, John Deatrick, gave a presentation to Cincinnati City Council’s Budget & Finance Committee today to outline the anticipated costs, time frame risks associated with cancelling or temporarily stopping work on the $133 million project.

Deatrick emphasized that at this point approximately $32 million has or will be spent prior to December 1. In addition to that, he explained exactly why the city would forfeit approximately $45 million in Federal funds, and be subject to local payment of any funds committed that would have otherwise been paid by those Federal funds. In addition to that, Deatrick and the project team estimate that it would cost $31-48 million to close-out the project.

Streetcar Cancellation and Close-Out Costs


What it means is that the professionals involved with overseeing the project believe the costs to cancel will be between $108 million and $125 million, not including any of the highly anticipated litigation costs.

The presentation also included a breakdown of more intangible numbers like the damage to the reputation the city has with the Federal government, and the future inability to receive Federal funding for any transportation projects as a result.

Cincinnati’s Budget Director, Lea Erickson, then explained how those costs would be paid and that the cancellation of the project would also result in the loss of any realized property and economic gains anticipated due to the streetcar, as outlined by an economic feasibility report done by HDR Economics. That total of lost tax revenue for the City of Cincinnati and Cincinnati Public Schools, she estimates, would $237 million in today’s dollars – or $594 million over the course of the next 35 years.

The 39-page presentation is packed with detailed breakouts and explanations for these figures. It also explains the relationship of the various contractors involved in the project.

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News Opinion Politics

GUEST EDITORIAL: Get Over It, Then Get Ready

Don MooneyStreetcar supporters. Vine Street Taco- Noshers. Urbanistas. Roxanne and Quinlivan dead-enders. I feel your pain. We just had our butts kicked in city elections where only 29% of the electorate bothered to show up.

If you own property or a business in OTR you may be calling a realtor. Maybe you’re checking to see if it’s too late to cancel the granite countertops for that flashy new Main Street kitchen. Or just banging your head against the wall while trolling through Kayak.com for a one-way ticket to Portland.

Before you bail out, listen to a grizzled, cynical political warrior who has been on the losing side of plenty of elections, and won a few too, over 40 years on these mildly mean streets.

First, the election is over. Your team lost. Did you vote last year for 4 year terms? Oops. Get over it. Licking wounds for more than 48 hours is unsanitary.

Give some grudging credit to John Cranley and his handlers. He put together an unlikely coalition: Tea Partiers who just hate the messy melting pots of cities; (some) African American voters led to resent the idea of white urban professionals insisting on rides cushier than smelly Metro buses; and more than a few west siders convinced that “gentrification” in your neighborhood means more “undesirables” in theirs. (See Pete Witte’s twitter feed if you think I’m making that up.)

Mr. Cranley is hardly the first candidate to win an election by whipping up resentment in the “neighborhoods” about spending on development “downtown”. He won’t be the last. Many politicians have built entire political careers in this town on being against stuff.

The mayor-elect could care less if you call him “Can’t Do Cranley”. At 39, he sees this as a launching pad to greener pastures, even if he leaves shoe prints on your backs to prove he keeps his promises.

Advocates of the streetcar – and I’ve been one of them – have allowed their pet project to be painted by COAST and Chris Smitherman as a wasteful contraption designed for Chablis sipping metrosexuals, who think they are too good for the bus or the family mini-van. Can’t these precious young professionals read their iPads on the number 24, or get stuck behind a truck on the viaduct like the rest of us? Don’t take it personally. It’s just politics.

We have not sold the incredible progress downtown and in OTR, despite the great recession, as a model for other neighborhoods with their own aspirations for cool restaurants, modern transportation and rising property values. So in Price Hill and Mt. Washington, your rising neighborhood is seen as a threat to theirs, not as a sign of good things to come to our city.

Those of you with skills and no kids to tie you down can’t be blamed for bailing out now. With Cranley in the Mayor’s office and a hostile Council majority, the streetcar is on life support, and the air soon may start coming out of the downtown/OTR balloon. No doubt there are bright folks at 3CDC, dunnhumby and all those hip new branding firms with OTR addresses already tuning up their resumes.

We are now in an age when public investment will comes in the form of hiring the 200 more cops Mr. Cranley has promised, to protect us from ourselves.

But if you choose to stick around and fight another day, think a little more strategically:

Get to know the neighborhoods and convince them that what is good for the central city is not a threat to Westwood or Oakley. There is life on the other side of I-75 and Mt. Adams. Explore. Collaborate. Cross-Pollinate a little. Try the burgers at Zips and Camp Washington Chili.

Create a vision for a modern transportation system that does not begin and end in downtown and OTR; then sell it. Gas prices aren’t going down. Work with the Uptown institutions to develop a funding model that does not rely on council to come up with more cash. Develop a long-term vision that includes connections to Price Hill, Northside, Avondale and Walnut Hills.

Dig in for a long, hard but constructive fight with the new mayor and right-leaning majority on City Council. Give some credit to COAST and Smitherman for their relentless opposition to the outgoing regime. Now they hold sway with a mayor and council that owe them big time.

Progressives may need their own version of COAST to litigate, referendize and challenge the mayor and council. Look for wiffs of scandal and corruption to expose. And remind the city of their promises: restore 200 cops, fix the pension system, neighborhood development and no new taxes. No problem.

Recruit and bolster the next generation of city leadership. Low turnout says more about the candidates than the voters. Don’t expect voters to show up when the candidates don’t persuade them they have something at stake.

The absence of an African American candidate in the mayor’s election explains a lot about turnout in 2013. For eight years you were fortunate to have an African American mayor who “got” your aspirations. Find the next one: Yvette Simpson? Eric Kearney? Rob Richardson? Work with them or others and prepare them for 2017. You can’t beat somebody with nobody.

Remember that politics is cyclical. The faction that will take over at City Hall come December are political heirs to the crew that ran the city from 1997-2005; and before that in the 1980’s. They had their ups and their downs. But no cycle lasts forever. Be ready and rested when the next wind of change blows.

Don Mooney is a local attorney and longtime Cincinnati political activist. He served for more than 20 years on the Cincinnati Planning Commission and is a former Treasurer of Cincinnatians for Progress. If you would like to submit a guest editorial to UrbanCincy you can do so by contacting our editorial team at editors@urbancincy.com.

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Business Development News Politics

Cincinnati’s New-Found Buzz Helping Attract Retailers to Region

There were many significant achievements and trouble spots for Mayor Mark Mallory (D) over his past eight years as the face for the 2.1 million person Cincinnati region. Perhaps one of his largest accomplishments, however, was changing Cincinnati’s image nation-wide from a city in decline to one that is on the rise and doing innovative things.

For the first time national publications began to look at Cincinnati for its accomplishments in public education, sustainable redevelopment, environmental policy and even transport.

Yard House Cincinnati
Thanks in part to the aggressive marketing of Cincinnati by Mayor Mallory, new national chains like Yard House and Ruth’s Chris have begun filling store fronts throughout the city. Photograph by Randy Simes for UrbanCincy.

Each of these items involved a number of more detailed pursuits in order to make them happen. One of those pursuits was to attract new retail businesses to the region. In order to accomplish this, Mayor Mallory went on a full campaign touting the amenities and demographics Cincinnati has to offer.

After much work, the efforts started to yield fruit.

According to the mayor’s director of public affairs, Jason Barron, Mallory met personally with Potbelly (Downtown), Chipotle (Corryville, Downtown) and Panera Bread (Clifton Heights, Downtown) in an effort to get them to expand their presence inside city limits.

“We’ve been aggressive at national events for about six years now,” Barron explained. “We weren’t able to go this year in May, but Mayor Mallory has met with a number of these businesses over the years.”

The mayor also met directly with a number of other national chains in order to make the case that they open a location in Cincinnati. Those successes include Yard House (Downtown), Ruth’s Chris (Downtown), Orange Leaf (Clifton Heights, Downtown, Oakley, Westwood), Season’s 52 (Norwood), Capital Grill (Norwood), and Save-A-Lot (Roselawn).

For many of these businesses it was not only their first location in Cincinnati, but also their first in Ohio, Kentucky or Indiana. Barron says that it is thanks in part to the efforts made by Mallory on the road at events like the International Council of Shopping Centers (ICSC) annual meeting.

The efforts do require a bit of patience, as Barron says that not only has the administration been courting new businesses for years, they also believe that some of the benefits have yet to be realized.

“One of the things we’re always trying to do is create a buzz about Cincinnati to other leaders, businesses and investors,” said Barron. “The mayor’s making connections now that will pay off down the road.”

While the buzz can often times be attributed to the spirited Mallory, the mayor’s office is quick to point out that much of the heavy lifting has been done by local experts like Mark Fallon at Jeffrey R. Anderson. Most recently Fallon has been responsible for leasing both U Square at The Loop and The Banks.

More national brands appear to be on their way to Cincinnati, but the mayor’s office refuses to speak about the deals before they are finalized. But in addition to new restaurants and bars, Cincinnatians might expect to see other businesses opening up shop in the Queen City over the next one to two years.

Certainly chain restaurants are not the only retailers Cincinnati has been lacking, but the outside investment is certainly welcome. The next step will be to attract more clothing retailers to the city, and to expand the base of independent shops around town.

But luckily, as people close with the mayor might say, the buzz is starting to take shape.

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Arts & Entertainment News Politics

November’s URBANexchange Takes Place Tonight at Moerlein Lager House

We are hosting the November URBANexchange tonight at the Moerlein Lager House. This will be a special event as it comes on the heels of Tuesday’s election and our Urbanist Candidates Forum last week.

As we begin our second year of URBANexchange events, we hope that these can become more engaging. We received lots of positive feedback from the young people that packed the Niehoff Studio last Tuesday for our Urbanist Candidates Forum, and we want to build on that momentum.

Moerlein Lager House

As a result, please join us in the biergarten at the Moerlein Lager House this evening anytime between 5:30pm and 8:30pm, and share with us the policies and issues you would like this new city council and mayor pursue. You can simply jot down your ideas on the back of a business card, sheet of paper, or email it to our area manager and editor at john.yung@urbancincy.com.

As always, the event will be a casual setting where you can meet others interested in what is happening in the city. We will gather in the biergarten so that each person can choose how much or little they buy in terms of food or drink. Although we do encourage our attendees to generously support our kind hosts at the Moerlein Lager House.

Going forward we will continue to gather ideas, from those who attend our URBANexchange events, and occasionally submit them to City Council. We are thinking of it as a sort of as an urbanist wish list.

Our team of researchers and writers will also occasionally dive further into the topics and publish the information and ideas on the website.

URBANexchange is free and open to the public.

We will be situated in the northwest corner of the biergarten (near the Moer To Go window), but you can also ask the host where the UrbanCincy group is located and they will be happy to assist.

The Moerlein Lager House is located on Cincinnati’s central riverfront and is located just one block from a future streetcar stop. Free and ample bike parking is available near our location in the biergarten outside by the Schmidlapp Event Lawn.

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News Politics

It’s Election Day: Get Out There and Vote!

Urbanist Candidates ForumVoting and participating in the democratic process is a fundamental element of our democracy.

This is your chance as a citizen to vote for those people you would like to represent you on Cincinnati City Council and the Cincinnati Board of Education. These are the people that will decide how to spend your tax dollars. These are the people that will chart the course for the city. These are the people that will decide how to represent you to others around the country and world.

This is important.

There are many significant issues on today’s ballot. Issue 1 is asking voters to renew a tax levy for the Cincinnati and Hamilton County Public Library. Issue 2 is requesting a tax levy renewal to provide maintenance funds for the Cincinnati Zoo & Botanical Gardens. And Issue 4 is seeking to majorly overhaul how the City of Cincinnati manages its pension system.

These are important issues.

In terms of representatives, voters in Cincinnati will elect a new mayor for the first time in eight years. They will also elect nine council members who, for the first time, will serve four-year terms.

These decisions are important.

As a result of continued state funding cuts for local governments, a wide array of school levies and other tax levies are on the ballot in communities across the region. Will these resources receive the funding they need, or will they experience trickle-down cuts from the state level?

That is an important question to answer.

There are 381 polling locations (find your voting location) serving Hamilton County’s 545 precincts, and each location is open today from 6:30am to 7:30pm.

Many experts believe that the turnout for today’s election will be less than 40% of registered voters. This and all elections are important. Make sure you get out there today and vote for the candidates you feel will best represent you, and support the issues you feel are important and add value to our community. It is your right and privilege as a citizen to do so. Vote.