These questions should be answered before committing Loudoun to construction of Rail to Loudoun and before becoming a Metro stakeholder.
Is Metro to Loudoun a sound investment?
1. Have you calculated the cost benefit ratio of the Metro to Loudoun project?
2. Have you done an actuarial analysis to show the risks and lifecycle costs of bringing the Metro to Loudoun?
3. Do you agree with the RCLCO, Market and Fiscal Impact Analysis of the Phase 2 Metrorail Extension to Loudoun County April 15, 2011, (p. 40 and p.41) which concludes that this "investment" will break even in 30 years only if capital costs and maintenance are ignored?
4. What will the capital cost to Loudoun be including interest for construction of Metro to Loudoun including all related expenses such as parking garages?
5. Has anyone seen any studies supporting Stephen Fuller’s opinions about how Metro will impact Loudoun's economic potential.
Costs
6. How much will county taxes increase to pay for Phase I and Phase II construction and construction overruns?
7. How much would Loudoun County be asked to pay into Metro for rail in the next 5 years?
8. How much would Loudoun County be asked to pay into Metro for rail in the next 10 years?
9. How much will Loudoun County be asked to pay into Metro for rail in the next 30 years?
10. What if any assurance do you have that the mandatory annual Metro assessment to Loudoun that is part of this transaction would remain constant and not be revised to increase Loudoun’s share?
11.What if any incentives will Loudoun need to provide to sell bonds for this project and how will that impact other spending?
12. What transportation and other infrastructure costs would building Metro to Loudoun bring and who would bear the cost burden of those improvements?
13.How much, if any, would Loudoun be obligated to pay into Metro if Loudoun opted out of Phase 2?
Where will the money come from?
14. How much would taxes increase to subsidize operations and maintenance of Metro?
15. Given the expectations set by Supervisors in the recent elections to not increase taxes, what programs and services will be cut to pay for the costs of bringing Metro out into Loudoun County?
Timing
16. Given the current state of the economy and anticipated reduction of federal spending, is this an appropriate time to add significantly to Loudoun’s debt?
Exposure
17. What will be Loudoun County’s exposure if the Dulles Toll road is not able to collect enough Tolls to avoid defaulting on MWAA bonds?
18. Do you know of any specific provisions for how WMATA intends to address the $13.3 Billion CNI for deferred maintenance?
19. What will Loudoun’s exposure be if the ongoing lawsuit in the federal courts which challenges MWAA's ability to toll for metro improvements succeeds? The lawsuit claims the tolls are an implicit tax, and that MWAA has no taxing authority.
20. MWAA is issuing bonds based on projected toll revenues that conclude raising tolls to much greater levels will result in increased revenues. The Reston Citizens Association has challenged the revenue projections. (RCA study is online, author Terry Maynard.) If the revenue projections are overly optimistic or flawed as alleged, there is a risk of default on MWAA's bonds being used to finance 75% of Phase 2. What is Loudoun’s exposure if MWAA loses the ability to cover its 64% of the Phase 1&2 funding?
21. As per the current financial agreement, is Loudoun County going to be a default guarantor of the MWAA's bonds used to pay for Phase 2?
Alternatives
22. Have you explored a financial plan that would shift the costs of this project from the public to the private sector?
23. Is there anything that would prevent Loudoun County from opting out of the proposed financial agreement and negotiating more favorable terms and timing for Loudoun County?
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