Published Friday, October 31, 2003, in the Hollister Pinnacle

Gage worried about transportation projects
Supervisor says BART extension could doom Caltrain improvements

By Sarah Ruby
Pinnacle Staff Writer

The Santa Clara Valley Transportation Authority faces a slew of
choices -- none of them ideal -- as it looks for the right way to
spend its dwindling dollars.

Voters throughout the County still support traffic and transportation
projects despite the recall election and a lagging September economy,
according to a privately funded study by the Silicon Valley
Manufacturing Group and various labor organizations.

The news was delivered to VTA's Ad-Hoc Financial Stability Committee
this week and said that while voters still support 2000 Measure A,
the sales tax increase passed three years ago, they want VTA to make
do with what it has -- $2 billion less than the $6 billion originally
projected.

"You don't collapse and do nothing," said Carl Guardino, CEO of the
Silicon Valley Manufacturing Group, in his presentation to the
committee. "This ship is not sinking."

While support for VTA's proposed projects -- building BART to San
Jose, beefing up Caltrain, extending light rail service and serving
elderly and disabled passengers, among others -- the agency doesn't
have the money for all of them, nor does it have the two-thirds
public support necessary to pass another transportation tax.

Part of that, Guardino said, is that the public doesn't know about
VTA's successes.

"Voters aren't connecting important projects you've delivered, which
are overwhelmingly popular, with you," Guardino said, citing the
widening of Highways 880 and 101 through Morgan Hill as projects that
were completed on time and under budget.

Without a new source of revenue, VTA must choose which projects to
set aside and which to carry forward. Voters overwhelmingly favor
extending BART south to San Jose, but others warn the project is a
money pit that will squeeze out all other projects.

"Polls are one thing but leadership is another," said Margaret
Okuzumi, executive director of BayRail Alliance, who spoke up during
public comment.

She points to the fact that the total cost of extending BART from
Fremont is roughly $4 billion -- the same amount VTA expects to
collect in sales tax over 30 years, beginning in 2006. VTA expects to
pay for half the project, but will have to borrow against future
funds, incurring millions in debt service.

"They can't even maintain their existing operations," she said,
referring to VTA's deficit of roughly $100 million per year. VTA
plans to use a portion of the 2000 Measure A funds to cover it --
heading off a 20 percent cut in current transit services.

BART's detractors also point to the fact that it is a proprietary
train system that is one of the most expensive transit systems in the
world.

South County concerns

Local leaders are concerned that the $425 million Caltrain overhaul,
which calls for more tracks and express electric trains, will be
muscled out by BART and other projects. On the other hand, polls show
BART is more popular, even among South County voters.

"My fear is that we're going to get aced out in South County," said
Supervisor Don Gage, who sits on VTA's board and chairs the Financial
Stability Committee.

At the same time, he said, the voters want BART.

"What do I see when I look at it?" said Gage. "[BART] doesn't do
anything for Gilroy and Morgan Hill."

As it stands VTA [BATN: Caltrain] runs only four daily round trips
between South County and San Jose, in part because it can't afford
more service, and also because Union Pacific owns the track, limiting
when and how many trains can run.

Gilroy Mayor Tom Springer, who holds a rotating position on VTA's
board until January, said he sees the need for both BART and Caltrain.

"If you don't build BART you basically doom the future of Silicon
Valley because you won't have the human resources," he said.

However, he's not pleased with what he sees as bad news for South
County's public transportation. He said the reason he supported 2000
Measure A because it had Caltrain in it.

"I'm very upset with some folks who aren't living up to their
promises," he said. "We are the poor stepchild."

Competing projects beyond BART and CalTrain include rail connections
to San Jose International Airport ($200 million), light rail from San
Jose to East Valley ($500 million), environmental and disability
access overhauls ($170 million), improved bus service ($52 million),
a new transit center ($45 million), new rail corridors ($1.1 billion)
and operating and maintenance costs through 2014 ($1.1 billion).

At the meeting Gage suggested they identify a long and short-term
plan for moving forward. The committee will also consider ways of
improving communication with the public, perhaps advertising its past
successes on VTA buses.