At a Budget and Finance Committee meeting today, City Council members grilled City Manager Milton Dohoney Jr. on how the city will fix the streetcar project’s $17.4 million budget gap and whether paying for the cost overrun to save the project is worth it. Supporters of the streetcar pushed questions and comments that suggested the streetcar will provide the city with a large return on investment, which was supported by Dohoney’s testimony and previous studies from HDR, a consulting firm, and the University of Cincinnati (“Back on the Ballot,” issue of Jan. 23). Opponents suggested the cost overruns were too much, and the project, which the city manager said now stands at an estimated $132 million to $133 million, is too expensive. In a memo issued April 30, Dohoney recommended various capital funding sources to fix the streetcar budget gap, including a temporary reallocation of Music Hall renovation funds and money that would have otherwise gone to infrastructure projects around the Horseshoe Casino. Dohoney clarified that funding for Music Hall is not being permanently pulled; instead, his recommendations would delay Music Hall funding until 2016, which is when the Music Hall project will need the funds, and use currently allocated funding on the streetcar project. Dohoney added that Otto Budig, president of the Music Hall Revitalization Company, raised no concerns about the streetcar plan after it was explained to him. Dohoney also clarified that his recommendations would not raise taxes. A few council members, particularly Councilman Chris Seelbach, asked whether the streetcar project could face future cost overruns. Dohoney said it’s possible, based on the project’s scope. “For major projects like this … there is usually an anticipation that something other than the exact plan may occur somewhere along the line,” Dohoney said. For the streetcar project, there are a few remaining uncertainties. Dohoney said he doesn’t know for certain whether Messer Construction, which responded to the city’s bid process with the lowest construction bid, is still willing to contract with the city under the terms it previously offered. He said Messer officials have indicated they are still interested, but it remains an uncertainty until a contract is in place. Another uncertainty is exactly how much laying down the tracks will cost. Dohoney said it won’t be possible to gauge the exact cost until Messer or any other company contracts with the city and begins actual work on the project. But for those situations, Dohoney said the streetcar project has a $10 million contingency fund available, as required by the federal government. Councilman Chris Smitherman, who opposes the streetcar project, asked whether there’s a funding ceiling that, if breached, would make Dohoney stop supporting the streetcar project. Dohoney said he could not provide a number without further thought and analysis. When Smitherman later asked if the streetcar should be built at any cost, Dohoney said no. When asked what would happen if the project’s cost overruns were not covered, Dohoney said the project would effectively end. Smitherman asked how the city administration can be pushing forward with the project, given the cost overruns: “How is the administration continuing to move forward with a project that without a vote of council is dead?” Dohoney responded by saying the city administration does not have to stop by law until it is directed to do so by City Council. Ending the project would come with its own costs of about $72 million, according to Dohoney: $19.7 million that was already spent, $14.2 million in close-out costs and $38.1 million in federal grants that would have to be returned to the federal government.Dohoney said stopping would also make the federal government reluctant about working with Cincinnati in the future: “They’ve let us know they would not be pleased if we did it.”The city administration is currently working with the federal government to obtain another $5 million that could be used for contingency or to undo some of the overrun fixes being looked at, but federal officials are waiting to see how the city government reacts to the current cost overrun problems before a decision is made, according to Dohoney. Much of the City Council discussion focused on the streetcar’s merits, particularly whether the first phase of the project, which would run from The Banks to just north of Findlay Market, could be successful on its own. The city plans to eventually expand the route to the University of Cincinnati and hospitals uptown — a route originally part of the first phase of the streetcar project that was cut after Gov. John Kasich pulled $52 million in state-distributed federal funding in 2011. “If the intent of the streetcar would only be to go from The Banks to just north of Findlay Market, then I never would have said it's a project worth doing,” Dohoney said. “The intention has always been to connect the two major employment centers of the city and go beyond that.” But Dohoney later clarified that the first phase of the project would help invigorate hundreds of vacant lots and buildings in Over-the-Rhine, which he said would make that phase of the project a success by itself. Some opponents of the streetcar have incorrectly attempted to tie the streetcar project to the city’s $35 million operating budget deficit, which will likely be closed in part by laying off cops, firefighters and other city employees. But the streetcar project’s funding comes from the capital budget, which can’t be used to balance the operating budget because of limits established in state law.

City Council’s Budget and Finance Committee is set to discuss the plan to close the streetcar budget gap today, which was proposed by City Manager Milton Dohoney Jr. on April 30. The plan borrows funding from various capital funding sources, including a temporary reallocation of Music Hall funds and money from infrastructure projects surrounding the Horseshoe Casino. None of the funding pulled can be used to balance the city’s $35 million operating budget deficit, which is leading to cop and firefighter layoffs, because of limits established in state law between capital budgets and operating budgets. A group of bipartisan Ohio legislators proposed bills in the Ohio House and Ohio Senate that would change the state’s anti-discrimination law to cover gay, lesbian, bisexual and transgender communities. The measures would add “sexual orientation” and “gender identity” to the state’s anti-discrimination law, joining 21 other states and the District of Columbia, which already have similar laws.The bills have to be approved by the Republican-controlled General Assembly and Republican Gov. John Kasich to become law. Cincinnati Public Schools (CPS) is making changes to prevent attendance data scrubbing following an audit in February that criticized CPS for the practice. The school district says internal investigations found no employees intentionally scrubbed data, but the changes being made should help prevent further problems in the future. The state auditor’s February report seemed to blame state policy over individual school districts for the findings. Attendance data scrubbing can make schools look much better in state reports, which could lead to increased funds or less regulatory scrutiny from the state. An audit revealed that the IRS targeted tea party groups that were critical of government and attempted to educate people on the U.S. Constitution. The extra scrutiny originated at a Cincinnati field office. Most Ohio public university presidents are paid more than the nationwide median salary for the job. The two brothers of the Cleveland man accused of holding three women captive for about a decade say they have no sympathy for him. One of them called his brother a “monster.” Ohio gas prices are down this week. A new study found people can better calm themselves down by watching their brains on scanners. Participants learned how to control activity in a certain brain region after just two sessions. Watch a Canadian astronaut perform David Bowie’s “Space Oddity” in space:

The city manager unveiled his budget plan to solve the city’s $35 million operating budget deficit yesterday. The plan includes less layoffs than expected — particularly to cops and firefighters — but it proposes an increase to property taxes. The plan also includes a series of other cuts, including to all arts funding and subsidies that go to parades, and new fees. The release for the budget plan says many of the cuts could have been avoided if the city obtained revenue from the proposed parking plan, which is currently being held up by a referendum effort and court challenges. The operating budget is separate from the streetcar budget, which uses capital funds that can’t be used to balance the operating budget because of limits established in state law. The budget plan still has to be approved by Mayor Mark Mallory and City Council to become law, and City Council will hear the public’s opinion before a vote at three public hearings: May 16 at the Duke Convention Center, May 20 at College Hill Recreation Center and May 22 at Madisonville Recreation Center. All the hearings will begin at 6:30 p.m. Ohio House Speaker William Batchelder says he hopes the Constitutional Modernization Commission will produce a ballot initiative for redistricting reform in 2014. Politicized redistricting — also known as “gerrymandering” — has been traditionally used by politicians in power to redraw congressional district borders in a way that favors the political party in charge, but reform could change that. Gerrymandering was used by national and state Republicans to blunt losses in the 2012 election, as CityBeat detailed here. As Ohio struggles to expand Medicaid, our more conservative neighbor to the south is moving forward. CityBeat covered the Medicaid expansion in Ohio, which the Health Policy Institute of Ohio says would insure nearly half a million people and save millions of dollars by 2022, here. While some Democrats want to attach party labels to Ohio Supreme Court elections, Chief Justice Maureen O’Connor wants to do away with party primaries for judicial elections. Former University of Cincinnati President Joseph Steger, the second longest-serving president at UC, died at 76 yesterday. New York City could soon become the first major city to let non-citizens vote in local elections. The legislation would allow non-citizens to vote if they are lawfully present in the United States, have lived in New York City for six months or more on the date of a given election and meet other requirements necessary to vote in New York state. When one simple question makes a huge difference: “When Did You Choose to Be Straight?” Blood may be the key to seeing how long brain tumor patients have to live and whether their treatment is working. A new study found oil from the Deepwater Horizon spill sickened fish for at least a year. Here is a compilation of adorable animals trying to stay awake.

With a set of initiatives unanimously approved last week, City Council is looking to join the state in combating Cincinnati’s human trafficking problem. The initiatives would evaluate local courts’ practices in human trafficking and prostitution cases and study the need for more surveillance cameras and streetlights at West McMicken Avenue, a notorious prostitution hotspot. Councilwoman Yvette Simpson, who spearheaded the initiatives, says the West McMicken Avenue study will serve as a pilot program that could eventually branch out to other prostitution hotspots in Cincinnati, including Lower Price Hill and Camp Washington. Medicare data released yesterday revealed charges and payments can vary by thousands of dollars depending on the hospital, including in Cincinnati. Health care advocates and experts attribute the price disparity to the lack of transparency in the health care system, which allows hospitals to set prices without worrying about typical market checks. CityBeat previously covered the lack of health care price transparency in Ohio here. Duke Energy is the No. 1 utility company polluter in the nation, according to new rankings from Pear Energy. The rankings looked at carbon dioxide emissions, which directly contribute to global warming. Pear Energy is a solar and wind energy company that competes with utility companies like Duke Energy, but the methodology behind the rankings was fairly transparent and based on U.S. Environmental Protection Agency data. Commentary: “Republicans Continue Voter Suppression Tactics.” City Council approved form-based code yesterday, which Vice Mayor Roxanne Qualls has been working on for years. In a statement, Qualls’ office called form-based code an “innovative alternative to conventional zoning” that will spur development. “Cincinnati now joins hundreds of cities that are using form-based code to build and reinforce walkable places that create value, preserve character and are the bedrock of Cincinnati neighborhoods’ competitive advantage,” Qualls said in the statement. State Sen. Peggy Lehner is looking to amend the Ohio budget bill to add a $100 million voucher program that would cover preschool for three- and four-year-olds. The details of the program are so far unclear, but Lehner said she might put most of the funding on the second year of the biennium budget to give the state time to prepare proper preschool programs. If the amendment proceeded, it would join recent efforts in Cincinnati to open up early education programs to low- and middle-income families. CityBeat covered the local efforts and many benefits of quality preschool here. Gov. John Kasich says he would back a ballot initiative for a mostly federally funded Medicaid expansion, which the Health Policy Institute of Ohio says would insure nearly half a million Ohioans and save the state hundreds of thousands of dollars in the next decade. CityBeat covered the Medicaid expansion in further detail here. Policy Matters Ohio released a lengthy report yesterday detailing how the state could move towards clean energy and electric cars and calling for more state incentives for clean energy. The report praises Cincinnati in particular for using municipal policies to build local clean energy and keep energy jobs in the city. The last tenant at Tower Place Mall is moving out. Scientists are working on a microchip that could be implanted into the brain to restore memories. They also found proof that seafloor bacteria ate radioactive supernova dust.

Convening in packed City Council chambers today, Cincinnati officials discussed the costs and benefits of the streetcar project in light of a $17.4 million budget gap revealed by the city administration on April 16. City Manager Milton Dohoney Jr. said the project could and should be saved, but a minority of public speakers and some City Council members did not seem convinced.To balance the budget gap, Dohoney said the city would have to pull funds from multiple sources. He said he will offer specifics in writing tomorrow, which invoked verbal disappointment from officials who were expecting details at the meeting.“I'm disappointed in this presentation,” said Councilman Chris Smitherman. “We're here today to hear how we're going to pay for it.”The meeting, which was called by Democratic Vice Mayor Roxanne Qualls shortly after the budget shortfall was announced, covered a presentation from Dohoney, comments from public speakers and City Council questions to Dohoney. Despite expectations prior to the meeting, no specifics were given for closing the budget gap even after extensive questioning.Dohoney did reveal the price tag for halting the streetcar project: $72 million. According to Dohoney, the project has already cost the city $19.7 million, and the city would have to spend another $14.2 million in close-out costs. Another $38.1 million in federal grants would have to be returned to the federal government.Dohoney added that terminating the project would also reduce faith in Cincinnati’s competitiveness and ability to take on big development projects.The budget gap was originally $22.7 million, but the city administration identified $5.3 million in potential cuts. Dohoney said further cuts would “alter the scope” of the project and push it into a “danger zone.”The budget gap is a result of construction bids coming in $26 million to $43 million over budget. The lowest bid from Messer Construction, which came in $26 million over budget, has already expired, but Dohoney said the company is still willing to work on the streetcar project.The city could rework the request for proposal for construction bids, but Dohoney said city officials and third-party experts agreed it’s unlikely that would effectively lower costs.Throughout the meeting, streetcar opponents argued that the cost of the project is too high and the budget shortfall is proof the program is unsustainable.Most of Dohoney’s presentation focused on the streetcar’s purpose. He said the streetcar would help drive economic and population growth, which would then bring in more tax revenue to help balance the city’s operating budget. That would represent a turnaround for Cincinnati, which has been steadily losing population since the 1950s during a period that has coincided with disinvestment, urban flight and the dissolution of the city’s old streetcar system.Throughout his presentation, Dohoney cited multiple examples and studies that found streetcars can help grow local economies. He said the city has not pursued the streetcar because “it’s a cool thing to do,” but because it follows the expert advice given to city officials about what’s necessary to compete with other cities.Dohoney’s argument was previously supported by HDR, which the city hired to do an economic impact study in 2007. HDR found major benefits to connecting Over-the-Rhine and the Central Business District, including travel cost savings, increased mobility for low-income individuals and economic development that would spur rising property values. The HDR study was entirely supported and echoed by a follow-up assessment from the University of Cincinnati.Some critics have argued that the study is outdated because it was conducted before Over-the-Rhine’s recent revitalization, but Dohoney said there are still several hundred vacant buildings in the area, particularly north of Liberty Street.The project has faced continued opposition from Democratic mayoral candidate John Cranley, Republicans and the conservative Coalition Opposed to Additional Spending and Taxes (COAST). They say the project is too expensive and they’re skeptical of the economic growth being promised by city officials.Opponents of the streetcar have so far put the project on the ballot twice, but Cincinnati voters rejected the referendum efforts. Still, the streetcar may be on the ballot again this year through the 2013 mayoral race between Democrats Cranley and Qualls (“Back on the Ballot,” issue of Jan. 23). Cranley opposes the streetcar, while Qualls supports it.The streetcar project was originally supposed to receive $52 million in federal funds through the state government, but Republican Gov. John Kasich pulled the funds after he unseated Democratic Gov. Ted Strickland. Beyond the financial cost, Dohoney pointed out Kasich’s decision raised concerns about the project’s feasibility among previous supporters, leading to more hurdles and delays. He said Duke Energy in particular began stalling efforts to move utility lines to accommodate for streetcar tracks because the company grew weary of the project’s prospects.Duke’s reluctance led to a conflict with the city over who has to pay to move utility lines — a conflict Duke and the city agreed to resolve in court. While the court battles play out, the city set aside $15 million from the Blue Ash Airport deal to move utility lines, but city officials say they will get that money back if the courts side with the city.The city originally expected $31 million in private funding for the streetcar project, but those expectations were dampened as a result of the Great Recession, which forced local companies to scale back private donations.John Deatrick, the current project manager for The Banks, previously told CityBeat that it’s normal for large projects to deal with multiple hurdles. Deatrick, who the city wants to hire to manage the streetcar project, said, “Any time you try to build something — even out in the middle of a corn field — you’re going to have unexpected, unanticipated issues. ... These things happen, and that’s what project management is all about.”Dohoney said the current phase of the streetcar project is only a starter line between Over-the-Rhine and Cincinnati’s business district, but city officials are already planning for a second line that would run up to the University of Cincinnati and hospitals in uptown. If Dohoney’s vision for the project were completed, streetcars would run on multiple lines all around the city, ranging from the Cincinnati Zoo to The Banks.The streetcar budget debate comes amid another debate regarding a $35 million deficit in the city’s operating budget. Some streetcar opponents have tried to link the two issues, but the streetcar is funded through the capital budget, which cannot be used to balance the operating budget because of legal and traditional constraints.

Even though some members of Mayor Mark Mallory's staff are getting double-digit raises, the mayor's budget is actually being downsized to rely on less staff members, ultimately shrinking the mayor's office budget by $33,000 between July 1 and Dec. 1.Some of Mallory's staff obtained raises because they will be taking up the former duties of Ryan Adcock, who left earlier in the month to help lead a task force on infant mortality and will not be replaced. The Cincinnati Enquirer reported the raises earlier today, but the story at first did not mention that the budgetary moves will ultimately save the city money. The "Enquirer exclusive" includes a "tell them what you think" section in which citizens can email the mayor's office and copy Enquirer editors. The story was later updated to include the overall savings, though The Enquirer posted a separate blog titled, "Mallory getting an earful on raises," which was a collection of angry emails to the mayor based on the original version of the story.CityBeat acquired a memo written by Mallory that outlines the rest of the plan, which will produce savings: "I will not replace Ryan Adcock on my staff. Instead, I have divided his responsibilities among my remaining staff. In addition, I will not hire the two part-time staffers that I had considered hiring. The additional work in the office will be supplemented by unpaid interns."In addition, I have enacted internal savings in order to return $20,000 from my FY 2013 office budget to be used for the FY 2014 city budget. Finally, in preparation of the Mayor’s Office Budget for FY 2014, I am reducing my office budget by $33,000 for the remaining 5 months of my term."Mallory spokesperson Jason Barron says the mayor will also not be replacing staff that leaves from this point forward, which could produce more savings down the line. As of 6:30 p.m., The Enquirer's homepage still prominently displayed the story out of context, suggesting that the raises will add to the city's $35 million deficit.Shawn Butler, the mayor's director of community affairs, was given an 11-percent raise; Barron, the mayor's director of public affairs, was given a 16-percent raise; and Arlen Herrell, the mayor's director of international affairs, was given a 20-percent raise. Adcock also obtained a 20-percent raise briefly before leaving, which Barron described to CityBeat as a budgetary technicality.Since Mallory is term-limited, Barron says the savings will only apply to Mallory's remaining five months. The mayor who replaces Mallory in December will decide whether to keep or rework Mallory's policies.Last year, Barron was paid $66,144 in regular pay, Butler was paid $71,349, Herrell was paid $59,961 and Adcock was paid $66,049, according to the city's payroll records. But Barron explained that those numbers were higher because last year happened to have an extra payday. Under normal circumstances, Barron is paid $62,740 a year, Butler is paid $67,760, Adcock was paid $62,740 and Herrell is paid $62,031.

An amendment in the Ohio House budget bill last week would make it so universities have to decide between providing voting information to students or retaining millions of dollars in out-of-state tuition money. The amendment would make it so universities have to classify students as in-state — a classification that means lower tuition rates — when providing documents necessary for voting. Republicans claim the measure is “common sense” because anyone voting for Ohio’s elections should be an Ohio resident. But the amendment has provoked criticism from Democrats and universities alike, who say universities are being thrown into the middle of a voter suppression scheme. An analysis from left-leaning Policy Matters Ohio found the tax plan currently working through the Republican-controlled Ohio legislature favors the wealthy. The analysis also claimed there’s little evidence the across-the-board tax cuts suggested would significantly help Ohio’s economy. The plan still needs to be approved by the Republican-controlled Ohio Senate and Republican Gov. John Kasich. Council members are asking Cincinnati Police Chief James Craig to remain in Cincinnati instead of taking a job in Detroit, but City Manager Milton Dohoney Jr. didn’t seem convinced that much can be done. Dohoney said Craig’s hometown is Detroit, a city that has suffered in recent years as the local economy has rapidly declined. Democratic Cuyahoga County Executive Ed FitzGerald is running for governor, and he will make Cincinnati one of his first stops for his campaign kick-off tour. FitzGerald is challenging Republican Gov. John Kasich in 2014, who has held the governor’s office since 2010. A recent poll found Kasich in a comfortable position with a nine-point lead on FitzGerald, but many respondents said they don’t know enough about FitzGerald to have an opinion on him. Greater Cincinnati home sales hit a six-year high in March, with 2,190 homes sold. The strong housing market, which is recovering from a near collapse in 2008, is widely considered by economists to be a good sign for the overall economy. But Ohio’s venture capital investments dropped to a two-year low, according to data from PricewaterhouseCoopers and the National Venture Capital Association. The Ohio EPA and Hamilton County Recycling and Solid Waste District are partnering up to provide a $250,000 grant to help purchase equipment to screen, clean and sort glass — an important part of the recycling industry. Councilman P.G. Sittenfeld is asking Cincinnatians to forgo lunch on April 24 to take part in the Greater Cincinnati Day of Fasting. The event will let participants “experience a small measure of the hunger that is a part of many people’s daily lives,” according to a press release from Sittenfeld’s office. Participants are also being asked to donate money to the Freestore Foodbank. A ceremony for the event will be held on April 24 at noon in Fountain Square. The U.S. Senate is moving toward approving bill that would allow states to better enforce and collect online sales taxes. Mars One is calling all applicants for a mission to colonize Mars in 2023. The sport of the future is here: combat juggling: