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HomeMy WebLinkAboutIR 7483 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7483 PIP T E pq 4FO 0 J?7X To the Mayor and Members of the City Council August 14, 1990 0 Subject: Update on the Feasibiliq.,--Study of `°" the Initial Phase of the Ta-r-a­ntula R.ecreafir�rjjj_ zfflroL Attached for the City Council 's information is an interim report on the Feasibility Study of the Tarantula Recreational Railroad. This study is being administered by the City and funded with a federal grant received for the City by the Fort Worth Transportation Authority. The interim report is an Executive Summary of Task 2 (in the seven task study). As such, it is an interim report and should not be viewed as a final report. The interim report of Task 2 assesses the physical , environmental and financial feasibility of what is defined as Phase 1 of the Tarantula Project. Phase 1 would operate steam trains from Tarantula's Eighth Avenue yard to the Stockyards along track already owned b'y Tarantula. It assumes the Stockyards station would be developed by the - Hickman-Hill project. The preliminary conclusion of this report is that the Phase 1 project is feasible in every respect. In fact, there appears to be enough operating revenue to finance estimates of capital improvements for Phase I without any public participation. The overall Tarantula Feasibility Study has been designed to utilize the results of this task to determine how or if to proceed with the remainder of the study. Staff is currently reviewing and verifying the 'estimates in the Task 2 report to decide what direction to give the consultant regarding future tasks. In order to ensure objectivity, Tarantula has been given the opportunity to submit written comments on this report. Their comments will be included in the final document but will in no way modify the conclusions or recommendations of the consultant. Further inf rmation will be provided upon request. David Ivory City Manager -ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS DE. PRELIMINARY CONCLUSIONS The Tarantula proposal to operate an excursion railroad between the Stockyards and the Eighth Avenue Yard has been thoroughly reviewed. The findings of this review are presented below. IEK.A Physical Condition The existing Tarantula track, switches, yards, structures, grade crossings and other facilities have been inspected and generally found to be in good condition and capable of safe passenger operation. Much of the maintenance of the existing facility (including the diesel locomotive) is carried out through contractors, and many improvements have already been made to the facility since the Tarantula took ownership. , Consideration should be given to improving the drainage conditions from south of Park Place to north of Rosedale Street. IX.B Capacity Assuming that a passing siding is constructed in the vicinity of Seventh Street, the railroad has the capacity to easily accommodate significantly more freight traffic as well as the proposed passenger operations. I IX.0 Market Analysis The survey conducted as part of this project supports the feasibility of providing service between the stockyards and the Eighth Avenue Yard. It will be an attractive trip to Stockyard visitors. A ridership estimate of 195,000 annual round trip riders is expected to be achieved by the third year of operation. Dinner trains are expected to accommodate an additional 54,000 riders per year. There is sufficient capacity in the train operation for this level of use. While the plans for the Stockyard Station are still to be completely defined, there appears to be adequate space at the stations. IX.D Financial Feasibility The estimates of costs and revenues suggest that the project will be profitable within five years, providing that the capital expenditure remains under $4.4 million, within 10 years if under $8.1 million. Estimates of the capital required to initiate the project are approximately $5 million, and alternative financial scenarios suggest that the operation has a high probability of being profitable. Tarantula has demonstrated an ability to make physical improvements at extremely low costs. DC.E Legal and Institutional Considerations 00* Phase I of the Tarantula project basically conforms to City plans. There are no known legal obstacles to keep Phase I from operating. The railroad is already subject to federal, state and local regulations regarding noise, safety and air pollution. No opposition is expected based on the historic preservation aspects of the Stockyard plans. IX.F Preliminary Impact Assessment A steam locomotive operation will make less noise than a comparable diesel operation. In the Eighth Avenue Yard area, the noise from train operations will be almost imperceptible due to the existing local traffic noise. While the whistle and bell will be audible, state statutes place control of train whistle and bell noise under city control. Traffic impacts will be minimal due to the fact that the ridership will largely be off-peak and on weekends. Gates should be added to the grade crossings at: 0 White Settlement Road 0 Henderson Road 0 Northside Drive Cantilever flashing lights should replace post-mounted flashing lights at: 0 Commerce Street 0 Park Place Avenue The stockyards area is currently within a 100-year flood plain. If a new bridge is added over Marine Creek, care is needed to assess the drainage impacts of the bridge. IEK.G Contingency Considerations The Tarantula Corporation freight operation is profitable and expected to remain so. Thus, the survival of the company is not dependent upon the passenger operation. This adds to the organization's ability to deal with contingencies. The Stockyard Station as now planned is not on Tarantula-owned property. In the event that this station cannot be built as planned, the Tarantula Corporation could still build a Stockyard Station on its property on the eastern boundary of the stockyards. This would make use of an existing railroad bridge in good condition. While a station on the far east side of the stockyards would not be as desirable as the planned location, it would still be within walking distance of Stockyard visitors and would not be expected to negatively impact the ridership in the near term or the feasibility of Phase I. IX.H Summary 00011 Phase I of the Tarantula project is feasible in every respect. Deshazo, Starek & Tang, Inc. Engineers - Planners