seattle press release Full Funding Plan Presented for Alaskan Way Tunnel

Full Funding Plan Presented for Alaskan Way Tunnel
State Expert Review Panel receives funding plan from state and city

SEATTLE - A funding plan released by the City of Seattle today identifies $5 billion in secured and potential funding sources that exceed the $3 billion to $3.6 billion needed to build the Alaskan Way core tunnel project.

“We have identified the funding sources needed to build the tunnel and cover any unexpected costs,” Mayor Greg Nickels said. “I am confident we can do the right thing and build a cut-and-cover tunnel that will open up our waterfront for the people of Seattle. I look forward to working with the Governor’s Expert Review Panel as they analyze this plan.”

More than $2.4 billion has already been secured for replacing the Viaduct, with another $2.6 billion identified as anticipated or potential funding sources. The bulk of the anticipated funding comes from a Regional Transportation Investment District ballot measure, city utility funds needed for the relocation of utilities under the viaduct, a tax on property owners along the waterfront who will benefit from the viaduct being demolished and future tolling charges.

Here is a breakdown of the revenue sources:

Secured funding sources:
$217 million- Federal transportation funding
$2.2 billion- State gas tax
$1.2 million - Regional grants
$15.8 million - City of Seattle

Anticipated and potential revenue sources:
$280 million - Federal (transportation funding sources extending through two federal funding cycles)
$200 million- U.S. Army Corps of Engineers (Seawall)
$60 million - Federal Emergency Relief funds for the earthquake damage and risk to the current viaduct
$800 million - RTID
$150 million - Tolls
$177 million - Sales tax rebate on RTID-funded projects.
$400 to $500 million - Utility relocation
$250 million - Downtown area Local Improvement District for areas near the project
$20 million - City of Seattle transportation funds
$200 million - Port of Seattle

The funding plan was presented to a panel of experts appointed by Governor Christine Gregoire earlier this year to review the Alaskan Way Viaduct and Highway 520 bridge replacement projects. By Sept. 1, 2006, the panel will issue its report analyzing whether the plans to replace the two highways are feasible. The panel was created by the Washington State Legislature this year to help make the replacement decisions.