Dems say Walker’s train rejection could cost state $113 million

Two Democratic state lawmakers says Governor-elect Scott Walker’s rejection of $810 million in federal funds for a high-speed rail line in Wisconsin may leave the state on the hook for more than $100 million in related costs.
State Rep. Mark Pocan (D-Madison) and Sen. Mark Miller (D-Monona), Assembly Joint Finance Committee co-chairs, sent a letter to Walker Wednesday, asking him to explain how he plans to pay for the costs outlined in a Legislative Fiscal Bureau memo.
“Your refusal to accept more than $800 million from the federal government and Thursday’s subsequent announcement from the U.S. DOT means that there are millions that WI taxpayers will now have to pay for projects that otherwise would have been 100 percent supported by the federal grants,” the legislators wrote.
The projects the state may now have to fund include $52 million for a train maintenance facility, $19.4 million to upgrade the downtown Milwaukee station so that it complies with the Americans with Disabilities Act and $29.9 million for freight rail upgrades so freight can be delivered faster than 10 mph on 36 miles of track between Madison and Milwaukee.
“Additionally, questions remain whether or not Thursday’s announcement included Wisconsin losing the 2nd grant of $12.0 million for rail crossovers and platform upgrades at the downtown Milwaukee station for the current Chicago-Milwaukee Hiawatha track … The fact that Wisconsin taxpayers could be potentially on the hook for $113.3 million due to your refusal to welcome Wisconsinites’ federal tax dollars back into our state is of deep concern to us. We feel you should promptly inform the Legislature your plans to pay for these projects after turning away more than $800 million,” the legislators wrote.
Walker, who will take office on Jan. 3, said he would reject the federal funds because the state could not afford the annual costs to operate the train between Milwaukee and Madison. Those annual costs were estimated at $7.5 million, but a federal reimbursement formula could have reduced it to as low as $750,000.
Because of Walker’s opposition, the U.S. Department of Transportation is redirecting nearly all of the $810 million to other states that are welcoming high-speed rail, including California, New York and Illinois.
– BizTimes Milwaukee