When the Republican National Convention comes to town, one of the Tampa images the nation is sure to see will be a classic yellow streetcar full of delegates going to dinner. They'll look like they're having fun, and they will be.
Tampa's historic-looking electric streetcars have become a city icon and a favorite of tourists. Yet they also symbolize a costly government project many people see as non-essential.
The Tampa Port Authority's recent decision not to chip in $150,000 this year to help cover streetcar expenses is another way of saying: "We don't need you."
It was a shortsighted decision that showed a disregard for the port's surroundings, which contribute to the city's appeal to the cruise ship industry. And port officials, you can bet, will proudly display the waterfront during the Republican National Convention, which will attract executives from throughout the nation.
The port's narrow outlook is disappointing.
Unfortunately, that loss forces the streetcar board to dip heavily into reserve funds, which are about to run out. The major investment in tracks and overhead wires, plus the substantial private investment in development along the line, should be enough to dismiss any notions of simply shutting the system down.
As we said three years ago, no one ever planned for the streetcar to make a profit, nor did anyone make crystal clear how to keep the steel wheels rolling after the reserves are gone.
There are some places to find savings, beyond trying to lower the hourly operating costs, which are much higher than for a bus. One is to find a way to reduce the cost of insuring the streetcars against a possible collision with a freight train.
Since 2003, the streetcar board has spent more than $3.5 million meeting the insurance requirements of railroad company CSX, it was pointed out in a recent meeting. The annual price of crossing a CSX track is almost as much as the total fares collected this year from 430,000 riders. That seems exorbitant.
Another challenge for the streetcar has been dwindling revenue from the special tax assessment on businesses in the streetcar district. That tax brought in $639,000 in 2008, but because of the decline in property values that is now down to $445,000.
It will rise as values rebound. And this tax reflects concrete support for the streetcar in the area it serves. The streetcar assessment for one convention hotel will be $27,322 this year.
Residential properties aren't assessed for the streetcar. But once the condo market returns to full steam, consideration should be given to extending the small assessment to all private property in the streetcar district. The case for expanding the tax base would be stronger if the line were extended further into downtown Tampa and if service started at sunup.
People say, "If you go downtown, you have to ride the streetcar." Unfortunately, they don't say it here. They say it in Memphis, which was something of a model for the Tampa system.
In Memphis, streetcars start running at 6 a.m. to take commuters to work. In Tampa, the streetcars don't start until 11.
Fares cover less than 25 percent of the Tampa streetcar's budget, but that doesn't mean fares are too low. The basic, one-way fare in Tampa is $2.50, and $5 buys unlimited, one-day travel. In Memphis, a day pass is only $3.25, and the lunch-hour fare is only 50 cents, half the normal fare. The Memphis streetcar gets more than 1 million riders a year.
In Tampa, ample parking spots in garages, which also are losing money, compete with the streetcar in Ybor City and along the city's eastern waterfront.
Unlike in Memphis, Tampa's streetcar operates at the edge of urban life. The line is well managed, but it is no surprise that it has never enjoyed overwhelming popularity. You might go downtown to visit Tampa City Hall or County Center, handle legal or banking business and never even see a streetcar.
Yet the presence of the streetcar helps attract conventions and serves tourists well. The city should stand firmly behind the streetcar and its volunteer board while looking for new ways to lower costs and maximize the return from this substantial investment.
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