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Lee Auspitz submitting further comments re: #202364, the Mayor's proposed Green Line Extension Project Participation Agreement.
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To the Honorable Board:
I have revisited section 21 of the FTA Master Agreement. I notice a provision that would permit GLX to return excess property directly to Somerville, provided it is used for a public purpose approved by FTA. Given that at current interest rates 30% of the value capture from GLX will go to debt service-and this will be more likely in the 40+% range if, as now planned, we lock in 30-year bonding under normal interest rates five years down the road-it is appropriate to explore direct property transfers from the MBTA to the City. This may well take 5-10 years to bring into effect if alert City staff will put the iron in the fire once the T develops, as legally required, its excess property list for GLX.
Here is the wording in Section 21:
Transfer for a Public Purpose
The Recipient may transfer any Project property supported with funds made available or appropriated for 49 U.S.C. chapter 53 to a local governmental authority provided that:
a The Project property will be used for a public purpose,
b The Federal Transit Administrator approves the transfer, and
c The transfer conforms to 49 U.S.C. §5334(h)(1) 5334(h)(3)….
Sincerely,
Josiah Lee Auspitz