Niagara Gazette

October 2, 2008

TOURISM: Funding key issue in people mover plan

By Caitlin Murray<br><a href="mailto:murrayc@gnnewspaper.com">E-mail Caitlin</a>

An open discussion on the proposed “Explore Niagara” transportation system confirmed support is there from residents and business owners, but what isn’t there is funding — yet.

Legislator John Ceretto, R-Lewiston, hosted a public forum Thursday to introduce a planned feasibility study on the transit system that would bring people to tourists attractions throughout Niagara County. Nearly 100 people attended the forum, many proposing ideas for the logistics of such a transit system — including color-coded trolleys to indicate destinations, day passes and stops highlighting places like the North End and Old Fort Niagara — but the biggest question mark was funding.

One resident said although the trolleys will boost business and job growth, they could have fares attached to help pay for the service, rather than being free.

Henry Sloma, commissioner for the Niagara Frontier Transportation Authority, said fares are an option, but would not be enough to cover costs.

“Twenty-five percent of every dollar we spend comes from the fare box,” Sloma said. “Meanwhile, 75 percent comes through some kind of aid. You can’t run a system off a fare box.”

Sloma added that a smaller pilot bus program has been running for three years in the Falls, bringing hotel patrons along Pine Avenue to the American falls. The program is a “roaring success,” but is funded through hotel bed taxes.

Such a funding option isn’t available for a transit system through places like Lewiston, said Richard Soluri, village mayor.

“We explored that issue,” Soluri said, “but according to law, a village or town cannot implement a bed tax.”

Another resident proposed a partnership between private bus operators and public transportation, but Sloma said that could be difficult — the NFTA does not have spare trolleys it could lease to outside operators to run the service.

Another issue with a partnership could be one of competing interests — while public entities like the NFTA seek to break even, a private company would be looking to make a profit, which could undermine efforts to keep the people-mover’s costs low and widely available, Sloma added.

“I don’t see this happening without government intervention,” he said. “I don’t think there’s enough private dollars out there.”

Soluri added the people mover needed a “dedicated source of funding” so it could run long-term and not be abandoned after one year.

Ceretto said the proposed transit system is still in “its infancy,” but the cost to run such a system and the possible government funding to assist it are still unclear.

The first phase of the feasibility study, which will look at a route between Niagara Falls and Lewiston, will be conducted by a management principles class at Niagara University and finished in December. If the results show the people mover is viable, a spring semester class will then explore routes around the county.