At the Metropolitan Transit Commission (MTC) meeting on October 25, 2006, the MTC approved an amendment to the Federal Full Funding Grant Agreement (FFGA) for the South Corridor Light Rail Project (SCLRP) to reflect the new budget estimate of $462.7 million for the project. The new estimate is 8.4% higher than the original $426.8 million budget. Approval of this action allows CATS to continue to advance the region’s first rapid transit line toward implementation and the start of revenue operations. The FFGA is a grant contract between the FTA and the City of Charlotte that provides for the federal government to provide funding for the SCLRP and to establish certain performance requirements for CATS to meet in the implementation of the Project.
Presentation on SCLR Project Budget (PDF)
CATS and the City’s Engineering & Property Management senior staff along with the Construction Management consultant (STV) participated in a work session with the FTA’s Project Management Oversight Consultant (PMOC) last month to discuss the Project’s cost Estimate at Completion (EAC). The team reviewed the project budget on a line item basis and assessed the risk associated with the remaining work to be done. The result of the work session was the identification of potential Project cost estimates at completion for each line item and corresponding contingency amounts with associated Confidence Levels. A total contingency of $16.6 million was established which is believed to be sufficient to cover the remaining work over the next 13 months. The Project schedule was also a topic of the work session. The FFGA requires that the Project be completed by December 31, 2007. The PMOC reviewed the latest Master Schedule and concurs that the November 26, 2007 date is achievable (baring unforeseen problems or events such as severe weather, contractor defaults or delays caused by third parties, i.e. NSRR). CATS and STV will continue to closely monitor the schedule and will alert the MTC and City Council if anything occurs that threatens that projected opening date.
The impact of these changes on the long term financial picture for CATS is relatively minor and does not result in the violation of any of the financial policies adopted by the MTC nor severely impact the ability to pursue future corridor rapid transit projects.
The MTC also received a presentation on several implementation / financing plan scenarios for review and discussion in preparation for adoption of an updated Transit Corridor System Plan for the year 2030. This is an update to the 2025 Transit Corridor System Plan adopted in 2002 and incorporates the Locally Preferred Alternatives for each corridor adopted by the MTC from May to September of 2006. The plan includes a phased implementation in several corridors with some phases completed beyond year 2030.
The information staff presented at the October 25th meeting included:
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a summary of key assumptions and variables used;
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alternative schedules for implementing/phasing the individual corridor LPA’s over the next 25 plus years;
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funding sources assumed for each corridor investment;
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and financial results for each alternative implementation schedule in tabular and graph form.
2030 Transit Corridor System Plan (PDF)
CATS staff did not make a recommendation on the four scenarios at this meeting allowing the MTC to review the alternatives and seek additional information or analysis prior to the November MTC meeting. A Public Hearing has been deferred from the October 25th meeting to the November 15th meeting to allow the public time to review the implementation and financial information.
