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Project delays may cost taxpayers $150K daily as DART officials and Dallas council members squabble

DART
Disagreements between DART and city officials over excess tax revenue, project additions and a lack of communication has delayed DART projects in Dallas.

Delays in a Dallas area light rail project could cost taxpayers $150,000 a day. That's a rough estimate by a Dallas Area Rapid Transit (DART) official at Tuesday’s joint committee meeting with the Transportation and Infrastructure committee.

This comes as Dallas is trying to secure millions in excess tax revenue from DART by signing an interlocal agreement along with other metroplex cities serviced by DART. By agreeing to the contract, Dallas could receive about $111 million in tax revenue for transportation related projects.

But disagreements over the terms of the agreement and design additions to the DART Silver Line project have created tension between the transportation provider and the city.

Council members expressed concern over the costs associated with the Silver Line project eating away at the millions of revenue DART said it would allocate to the city. Council Member Cara Mendelsohn represents District 12 where some of the transit line would run through. She says these should be two sperate issues.

“The concept of returning excess sales tax to all the cities has nothing to do with any project that’s moving forward,” Mendelsohn said during Tuesday’s meeting.

Silver Line project design additions will cost about $33 million and the delay could cost $50 million.

Council member Council Member Tennell Atkins asked how much the delays were costing taxpayers.

Nadine Lee, DART's president and CEO, estimated the delay costs to be $150,000 per day. She said funding will come from the excess tax revenue.

The Silver Line is planned to be 26-miles and will run from southeast Plano to DFW Airport, seat about 230 passengers and serve Collin, Dallas and Tarrant counties.

She calls the design additions “betterments” and say that they are "above and beyond" what was required for the project. She also claims the city gave her organization an ultimatum about the betterments.

"Often times we we're told if we wanted our permit, we were going to have to do them," Lee said.

She says DART's understanding was that accepting some of the betterments would expedite getting construction permits.

"Shame on us for thinking that," Lee said.

City Manager T.C. Broadnax dismissed the claims and says the city does not "threaten partners" by withholding permits.

The city's transit partner also decided the funding source would be the excess tax revenue, apparently without talking to Dallas policy makers.

Atkins said the Silver Line would still be built, but the City of Dallas is going to lose money in the meantime.

“Get in a room, get this resolved,” Atkins told DART officials and city staff at the committee meeting.

DART board members say a lack of communication with city staffers, late-stage design comments and construction permit delays from the city has caused the project slow down.

Lee says the delays shouldn’t be blamed only on her organization.

“We have been trying to work with city staff to get all of our plans reviewed and approved within the 10-day time period that is required,” Lee said.

“That has not happened, we’ve had some plans that took 290 days to get a response.”

Lee says that even this late in the process, DART is still getting design comments from the city. She says she is not confident they are ready to move forward.

“As a professional engineer, I have never seen a project have to revisit so many issues at this stage in design,” Lee said, “please help us get to resolution so we can get this project done.”

The Silver Line Project was approved in 2006 and was originally slated for operation in 2024. Now the city and DART have to continue working towards approval of betterments on the project and construction permits.

Meanwhile the 17-year-old transit project continues to cost taxpayers money and could impact the original amount of tax revenue money the city could receive.

“Overall this puts a bad taste in my mouth,” Council Member Adam Bazaldua said at Tuesday’s committee meeting.

“We’re supposed to be partners, this isn’t the way I see partnerships.”

Got a tip? Email Nathan Collins at ncollins@kera.org. You can follow Nathan on Twitter @nathannotforyou.

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Nathan Collins is the Dallas Accountability Reporter for KERA. Collins joined the station after receiving his master’s degree in Investigative Journalism from Arizona State University. Prior to becoming a journalist, he was a professional musician.