Rail Division Update. Presented to Joint Appropriations Subcommittee on Transportation. Paul C. Worley, CPM Rail Division Director February 28, 2013
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1 Rail Division Update Presented to Joint Appropriations Subcommittee on Transportation Paul C. Worley, CPM Rail Division Director February 28,
2 Rail in North Carolina Over 3,500 miles of rail lines. 23 freight railroads operating in 86 counties, including: 13 short lines 2 Class I s 8 switching/terminal railroads 2 railroads owning track in NC, but are not operating NCDOT 14 rail banked corridors, 109 miles Created in 1977 by NCDOT. Created in response to increase in rail line abandonments 1
3 Passenger Rail Services Three daily round trips from Raleigh to Charlotte. Maintenance outsourced to private company. Carolinian began in 1990; service from Charlotte to New York City. Amtrak-owned equipment. Piedmont began in 1995; service from Raleigh to Charlotte. NCDOT owned equipment. Active fleet 6 locomotives, 9 coaches, and 3 lounge cars. 7 additional rail cars currently being refurbished with 100% federal funds. Mid-day Piedmont service added in 2010; service from Raleigh to Charlotte. NCDOT owned equipment. 54% ridership increase with third frequency. 2
4 Farebox Recovery/Revenue Options Consult with Amtrak regarding possible rate increase Decrease expenditures Evaluate on-board staffing and services Public/private partnerships On-board Wi-Fi Consolidation of services within NCDOT Reservations/call center Add stops/stations 3
5 Rail Division Structure and Resources 4
6 Federal Grant Rail Funding 5
7 Rail Division Budget Fiscal Year
8 Rail Division Budget Components Fiscal Year 2013 Funding Resource CHE-Federal Crossing S-130 CHE-Federal Highway Safety Improvement Program Federal CMAQ Congestion Mitigation Air Quality Federal Planning & Research Maintenance of Rail Infrastructure Use Crossing safety projects statewide, signals and closures Safety projects selected on a competitive basis cost-benefit Passenger operations and maintenance for qualified projects Rail modal planning and data collection/management Rail project committed maintenance track and safety Rail Capital & Safety Contracted Services Grants to Short Lines Track, safety and facility improvements Passenger operations and contract maintenance Short Line Infrastructure Assistance Program 7
9 Rail Division Budget Components Fiscal Year 2013 Funding Resource Operations & Facilities Rail Industrial Access Engineering & Safety Environmental & Planning Travel Time Improvements Use Passenger operations, maintenance, facilities and equipment Rail spurs to industry based on jobs created and investment Crossing safety improvements, R&D, studies and diagnostics Development of essential planning documents and studies Track capacity and speed improvements 8
10 Piedmont & Carolinian Services Revenue & Expense by Category FFY
11 Piedmont & Carolinian Services Revenue, Ridership, Operations & Maintenance 10
12 Economic Impact of Passenger Rail Amtrak Direct Spending in North Carolina (in millions) Wages Procurement Total FFY 2009 $10.4 $4.4 $14.8 FFY 2010 $9.5 $21.9 $31.4 FFY 2011 $10.8 $36.7 $47.5 FFY 2012 $11 $65.7 $76.7 Total $41.7 $128.7 $170.4 Source: Amtrak 11
13 Freight Improvements & Economic Development Charlotte CSXT/NS Mainline Grade Separation: $150M Charlotte CSXT Intermodal Facilities: $4.5M Charlotte NS Intermodal Facilities: $16.3M Fayetteville A&R/CSXT/NS Streamlining Freight & Military: $7.6M Fayetteville A&R Track Improvements: $2.9M Gastonia P&N Rail Corridor Restoration/Re-Activation: $5M Greenville CSXT/NS Streamlining & Safety Improvements: $7.3M Kinston Global Trans Park Rail Spur: $23M NCVA RR Rail Replacement(N. Hampton/Bertie/Hertford): $10.7M Pembroke CSXT Connector Track: $13.4M Wallace to Castle Hayne Track Restoration: $188M 12
14 Rail Division State Grant Programs Rail Industrial Access Program RIAP 2013 Program to Date ( ) Grants Awarded 3 82 Total Amount Awarded $285,000 $9,174,723 Industry Jobs Added 147 6,616 Industry Carloads Added 5,360 70,029 Project Costs $4,654,048 $20 Million+ 13
15 Rail Division State Grant Programs Short Line Infrastructure Assistance Program SIAP 2012 Program to Date ( ) Grants Awarded 6 71 Award Amounts $415,190 $12,941,110 Customers Benefited Customer Jobs Impacted 15,507 50,740 Customer Carloads Impacted 25, ,761 Project Costs $927,884 $27,550,422 14
16 Mobility Fund Rail Projects Ranked based on travel time savings, multi-modal connections and value to funds required. Project Charlotte CSXT/NS Mainline Grade Separation Total Cost $ millions Funds Requested/ Awarded Ratio of travel-time savings value Project Rank $150 $ NCVA RR Rail Replacement $13.1 $ Pembroke CSXT Connector $13.8 $ Wallace to Castle Hayne Track Restoration $188 $
17 Capital Projects Prioritization & Funding Prioritization Statewide Strategic Rail Plan Safety Benefits Strategic Corridors and Network Benefits State Ports Intermodal Facilities Population Centers Areas of Economic Development Passenger Service Improvements & Extensions 16
18 SEHSR Planning Financial Obligations Complete Tier II EIS in collaboration with Commonwealth of Virginia. Remaining expense of $4M; NC s share = approx. $.9M. Expected Record of Decision on EIS is expected in
19 Piedmont Improvement Program In January 2010, NCDOT was awarded $545 million to fund a 3 rd and 4 th frequency between Charlotte and Raleigh must be completed September 30, Objectives: Additional capacity & improved operations. Modernization, efficiency, reliability & sustainability. Infrastructure for the future and economic development. Significant safety enhancements. 18
20 Program Components Program Component Total Funding FRA Funds Other Funds Program Development & Administration $13.6 $13.6 $0.0 Equipment $28.0 $27.3 $0.8 Stations & Facilities $49.3 $49.3 $0.0 Track & Structures $336.0 $309.4 $26.6 Mainline Grade Separation $144.7 $120.4 $24.3 Subtotal $571.6 $520 $
21 20
22 Piedmont Improvement Program Financial Obligations: Deliver projects in Cooperative Agreements Utilize the capacity being built up to five round trips (two additional) Raleigh to Charlotte Maintenance of Capital Improvements: $0.7M in 2018 Operation of up to two Additional Round Trips: $7M (two daily round trips) in
23 Raleigh Union Station Partnership USDOT, City of Raleigh, NCDOT and TTA Additional Stakeholders CSXT, NCRR and NS Funding City of Raleigh was awarded $21M for design & construction July 2012 NCDOT committed $9M match Sept 2012 (FY13 through FY17) $15M Un-Programmed FRA funds contingent on availability 22
24 Charlotte Gateway Station NCDOT partnering with: City of Charlotte Mecklenburg County PPP process update: Hines was selected as Master Developer Oct NCDOT & Hines currently negotiating a Pre-Development Agreement. Draft agreement will be presented to NCGA in spring 2013 for review & comment. Master Plan development begins once agreement signed months mitigate State liability recommend level of State investment 23
25 Red Line Regional Rail Proposal Rail line is owned by Norfolk Southern. NCDOT negotiating with Norfolk Southern regarding a potential study. NCDOT financial investment cannot be accurately determined until study complete. Current funding model components: 9 funding partners 7 jurisdictions (50%) CATS (25%) NCDOT (25%) 24
26 Questions? Photo credit to Matt Guerrant. 26
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