Detroit council approves bond sale for Woodward light rail Darren A. Nichols / The Detroit News l

$100 million in funding Detroit— The City Council today passed about $100 million in funding for the light rail project along Woodward Avenue. The council voted 8-0 to approve $125 million in bonds and a $25 million federal Transit Investment Generating Economic Recovery grant. Officials said passing the money today is a key first step in an effort to finally get a light rail system in Detroit. About $74 million in the bonds will go to the rail project and another $50 million will go to buses and other improvements.

City Council President "Detroit is a world-class city, and we should not be without rapid transit," Council President Charles Pugh said. "The fact we've gotten to this point where we have a real commitment from the federal government (and) leadership in this city. Now we need the next step. "This is something that we need (and) we want. It will improve development along that Woodward corridor. This is exciting. It's a big day for the city."

M – 1 Project The funding passed today will pay for the M-1 project from the Michigan State Fairgrounds to the New Center area. Officials said $100 million has already been pledged from local investors to complete the local match for funds. The entire project will cost $528 million, officials said. The funding passed today will pay for the first leg of the M-1 project, a 3.4 mile, 12-station line from Hart Plaza to the New Center area. Ground breaking is expected to start in 2012 and it should be running by 2015, officials said.

What we have.. What’s needed We have –$100 M from City –$25 M from Feds –$100 M from private investors –This pays for the 3.4 miles from Hart Plaza to New Center. We need $529 M –$100 M from City –$25 M from Feds –$100 M from private investors –$324 M from somewhere –Pays up to 8 Mile –Will almost certainly be more.

The Economics Rail v. Bus –Rail is cool –Rail is VERY capital intensive –Bus uses existing facilities BART Study Cost/passenger trip, $ Peak passengers/hour x 1, Autos and Highways BART and Feeder Bus Integrated Bus

Density You need a lot of density to support Mass Transit NY has $20,480. Detroit is nowhere close. Source: Holtzclaw, J. Using Residential Patterns and Transit to Decrease Auto Dependence and Costs. Washington DC: Natural Resources Defense Council, 1994