AGENDA ITEM 10-D
ACTION ITEM
TO:
CHAIRMAN MILDE AND THE VRE OPERATIONS BOARD
FROM:
DALE ZEHNER
DATE:
NOVEMBER 19, 2010
RE:
AUTHORIZATION TO
AGENDA
APPROVE THE 2011 LEGISLATIVE
RECOMMENDATION:
The VRE Operations Board is being asked to recommend that the Commissions
approve the 2011 VRE Legislative Agenda and authorize the Chief Executive
Officer to actively pursue the elements set forth in the document.
BACKGROUND:
The VRE legislative agenda is formulated to advocate VRE priorities in
coordination with the Commissions and local jurisdictional staff. Additional
advocacy positions related to specific federal and state legislature are also
presented.
FEDERAL
1. Request for Capital Appropriations and Authorization of Transportation
Legislation
Congressional staffers have already begun working on the next Reauthorization
legislation following SAFETEA-LU. However, all indications are that Congress will
not take up the issue until January 2011. Congress has continued to pass
continuing resolutions to fund transportation. However, both the Administration
and Congress have acknowledged that a new authorization bill must be passed in
order to determine the magnitude of future funding and the revenue source for
those funds.
Given the success that VRE has enjoyed over the past decade, work will continue
to secure appropriations in this fiscal year’s budget. This year, efforts will focus
on the acquisition of 50 new bi-level railcars to replace and expand upon the
aging railcars in VRE’s fleet. VRE will continue to pursue funding requests as
follows, listed in priority order:
Priority List of VRE Projects for Inclusion in the Reauthorization Bill
1.
2.
3.
4.
5.
Mid-day Storage of Rail Equipment*
50 new high capacity railcars
Parking Expansion
Platform Extensions/Additions
Expansion of commuter rail service
to Gainesville/Haymarket
6. Acquisition of new fare collection system
TOTAL REQUEST:
$20 Million
$120 Million
$41 Million
$41 Million
$136 Million
$5 Million
$363 MILLION
*Highest priority project with immediate need
VRE, as it has done for the past four years, will also support APTA in their
advocacy efforts to bring awareness to the need for additional, as well as
dedicated, funding for public transportation.
2. Federal Liability Cap
One of the recurring themes on the federal agenda has been to raise awareness
for the need for modified language in the federal code regarding liability insurance
coverage. VRE will continue to advocate for capping liability insurance for
commuter rail operations.
This issue remains a challenge as not all commuter rail agencies face the same
dilemma when it comes to carrying liability insurance (some are self-insured,
some are protected by state law, and yet others carry lower premiums than VRE).
CSX and Norfolk Southern continue to request liability insurance of $500 million
per incident as an element of the access agreements. VRE will promote
amending the current federal liability cap of $200 million to include third party
claims.
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3. Corridor Improvements
VRE will also continue to partner and support the efforts of the Commonwealth
and our host railroads to secure funding to improve railroad capacity. This
includes, but is not limited to, additional high speed rail funding for the Powell’s
Creek to Arkendale project.
In addition, VRE continues to work with Congressman Moran and Senators Webb
and Warner on potential public-private partnerships that could bring
improvements to the rail and public transportation networks at L’Enfant and
Washington Union Terminal. Under both proposals, VRE has been asked to
comment on conceptual ideas but additional involvement could develop into
support for efforts to fund the Maryland Avenue redevelopment and Union Station
redevelopment efforts.
4. Commuter Benefits
The American Reinvestment and Recovery Act (ARRA) contained a provision that
created temporary parity between parking and transit commuter benefits. This
provision raised transit benefits up to the $230 per month threshold allowable for
parking. This provision is set to expire on December 31, 2010. Without an
extension or permanent inclusion in the Internal Revenue Code, transit benefits
will be reduced back to $120 per month. VRE will continue to advocate that
transit benefits remain the same as the parking benefits.
5. Miscellaneous Items
Under the language of the US Rail Safety Improvement Act of 2008, Congress
mandated that the Federal Railroad Administration fully implement Positive Train
Control (PTC) by 2015. VRE continues to work with federal agencies and the host
railroads to ensure compliance by the deadline. VRE’s initial implementation plan
has been approved by FRA and efforts are underway to find funding to help
defray implementation costs.
STATE
1. State Funding
VRE will partner with VTA and the local jurisdictions to advocate for an increase in
the state’s transportation investment, including continued growth of state funding
for transit and for the Commonwealth to meet the statutory goal of funding 95
percent of eligible transit capital and operating costs from the Mass Transit Fund.
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As directed by the Operations Board, VRE will also continue to advocate for its
current share of state allocated funding as well as secure appropriations in the
upcoming budget cycle, all while being mindful of other public transportation
partners. Projects would mirror those listed above in the federal program.
VRE will also continue to advocate for capacity improvements such as
construction of a third main line track from Washington to Fredericksburg and,
more specifically, for a third mainline track from Hamilton to Crossroads in
Spotsylvania County. The project has an estimated cost of $18M and is part of the
contractual agreement between VRE and Spotsylvania County for the provision of
revenue service to Spotsylvania County.
2. Legislative Policy
There are several legislative initiatives or requests that VRE has identified as
important for consideration during the upcoming legislative session of the General
Assembly:
•
Amend the Virginia Code to cap liability for commuter rail operations. The
existing cap enacted in a prior session excludes third party claims. VRE
will also seek exemption for freight railroads and VRE from liability for
terrorism.
•
Seek both short term (offering a budget amendment allowing VRE such
latitude) and long term remedy (amending the Virginia Code) to allow VRE
to, at its discretion, utilize an independent third party or the Virginia Division
of Risk Management (DRM) to manage the liability insurance plan and
oversee the VRE Insurance Trust Fund.
•
Re-examine the merits of offering legislation to amend the Virginia Code to
prohibit pedestrians from crossing public thoroughfares when trains are
present. VRE has been working with CSX and Norfolk Southern to get
legislation in the Code to match the nearly 20 other states who have similar
laws.
•
Amend Chapter 774 of the Virginia Code that would increase the
aggregate awardable liability claim a rail passenger could make per
incident (as requested by the Virginia Trial Lawyers Association in 2006).
The provision is set to begin in January 2011. Under the Code, the current
threshold ($100,000) would be amended upward each year based on the
percentage change in the medical care component of the Consumer Price
Index (as published by the Bureau of Labor Statistics). Were this provision
to remain, it could increase the existing $250 million dollar liability
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insurance threshold imposed by the Class 1 freight railroads. VRE would
advocate for the elimination of this amendment such that there is no annual
index increase.
FISCAL IMPACT:
There is no direct funding impact associated with adopting this agenda. As in the
past, based on the success of federal and/or state appropriations, some local
match may be required to fulfill grants or program money.
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TO:
FROM:
DATE:
RE:
CHAIRMAN MILDE AND THE VRE OPERATIONS BOARD
DALE ZEHNER
NOVEMBER 19, 2010
AUTHORIZATION TO APPROVE THE 2011 LEGISLATIVE
AGENDA
RESOLUTION
10D-11-2010
OF THE
VIRGINIA RAILWAY EXPRESS
OPERATIONS BOARD
WHEREAS, VRE is an essential part of traffic mitigation for the Northern Virginia
and DC Metropolitan region; and,
WHEREAS, VRE has advocated positions with Congress and the Virginia
General Assembly that are supportive of the transportation philosophy of the
Northern Virginia region; and,
WHEREAS, VRE shall seek to promote its legislative positions during the
upcoming calendar year on both the state and federal levels.
NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board
recommends that the Commissions approve the 2011 VRE Legislative Agenda
and authorize the Chief Executive Officer to actively pursue the elements set forth
in the document.
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