Wednesday, April 26, 2000Light rail plan would depend on taxpayers in Ohio and Ky.
By Dan Klepal
The Cincinnati EnquirerA light rail system connecting commuters from Covington to Blue Ash also would connect another group in the region — taxpayers.
The estimated $700 million cost for the trains and 18 miles of track would be left to residents of both states, who would be asked by referendum to approve a tax to build the system, under a proposal by transportation planners.
Planners have known that some sort of tax would be necessary to build the system. But attorneys confirmed this week that such a tax is allowable under Ohio and Kentucky laws.
In Ohio, county commissioners have the power to place tax levies on the ballot. But in Kentucky, an amendment to the state Constitution would be required before voters get their say.
Judi Craig, a project manager with the Ohio-Kentucky-Indiana Regional Council of Governments, said no decision has been made about when the referendum would go to voters or what type of tax it would be. Ms. Craig said planners are still about a year away from having a solid cost estimate.
“The $700 million is an estimate in today's dollars,” she said, adding that inflation would cause the number to grow. “The federal government will only pay 50 percent of the costs.
“So it's always been our intent to ask for support from the local community.”
Tax dollars can be spent in an adjacent state as long as there is a direct benefit to those taxpayers where the money is raised, attorneys advised regional government leaders this week.
That news came as a relief to Mark Donaghy, general manager of the Transit Authority of Northern Kentucky. Mr. Donaghy said most of TANK's buses travel into Ohio to serve Kentucky commuters.
Ms. Craig said much of the Ohio tax money raised would be spent on the Ohio portion of the rail. Same thing in Kentucky.
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