Texas Central High-Speed Railway Project Update. January 20, 2014
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1 Texas Central High-Speed Railway Project Update January 20,
2 About TCR Overview of Market-Led Approach The Process Next Steps 2
3 About TCR JR Central
4 About TCR TCR is promoting the development and operation of a private, for-profit high-speed passenger rail system connecting the Dallas/Fort Worth Metroplex and Houston in less than 90 minutes. Our approach guided by three fundamental principles 1. Apply the discipline of the market to determine route and station locations, and maximize transit-oriented development opportunities. 2. Utilize Japan Central Railway s state-of-the-art N700-I Bullet System system to deliver a true high-speed rail experience that is exceptionally safe, comfortable and convenient at speeds in excess of 200 mph. 3. Look for opportunities to collaborate with US companies, the State of Texas, and the communities we serve to take advantage of the transformational nature of high-speed rail service. 4
5 TCR Leadership Richard P. Lawless, CEO Robert A. Eckels, President George Bayoud, Senior Advisor Amb. Tom Schieffer, Senior Advisor Kathryn C. Kaufman, EVP Mark M. Walker, Partner Greg H. Moore Financial Advisor Shaun E. McCabe, Program Manager Fred E. Weiderhold, RPA Lead B. Travis Kelly, Director Govt. Relations CONFIDENTIAL
6 The Texas Opportunity: Project Description 6
7 7
8 8
9 Distance & Geography Dallas Houston: 240 miles 72.9% Rural, Flat Ideal Distance Air: 65 mins + 1hr security/gate time Auto: 4.5 hrs High Speed Rail: <90 mins Ideal Geography Straight Flat Rural No tunnels 9
10 Corridor Analysis Optimum Investment Corridor Analysis Evaluated 97 city-pairs in United States Dallas/Fort Worth-to-Houston ranked highest in innate financeability TCR identified & evaluated seven different alignments between Dallas/Fort Worth and Houston,,providing estimated construction and operation costs, as well as projected ridership, for each alternative. 10
11 Using Existing ROW Three primary existing rights of way I-45 UP RR BNSF RR Using existing ROW facilitates Faster environmental review Lower environmental impact Minimal landowner impact Easier access and acquisition 11
12 Texas Central s Market-Led Approach 12
13 Market-Led Approach TCR s Market-Led Approach Promotion led by TCR Route selected based on economic and environmental factors Project led by Private Owners State-Led Approach Procurement led by state/federal government Route selected based on environmental and political factors One size does NOT fit all TCR believes our approach will succeed because of Texas unique business culture and pro-business climate; The unique characteristics of the Houston-to-Dallas/Fort Worth Corridor; The capabilities of JRC s total system approach 13
14 What does Market-Led mean? A market-led approach means that TCR is sensitive to Alignment Development/Construction Delays Station Location Ticket Cost Connectivity with other Modes 14
15 The Process 15
16 The Process Evaluation of potential alignments & station locations Cost vs. Revenue Compatibility with regional plans Convenient access to the most customers Sufficient land for station & development Environmental, social and commercial impact 16
17 Last Tuesday, USDOT Secretary Foxx said: Today I'm proud to say that the Federal Railroad Administration, TXDOT, and the Texas Central Railroad have come to an agreement to prepare two environmental studies that will lay the groundwork for high speed rail between Dallas, Fort Worth, and Houston. Now there is a whole lot of work to be done before any tracks tacscan be bolted down, but we are aethrilled edto see that atour ga grant money is being leveraged with private funding. And it is my hope that with the cooperation of both the public and the private sectors, that we can one day link Texas's major cities with state of the art passenger rail." 17
18 But what did he mean? 18
19 Lay the groundwork TCR, TxDOT and FRA near an agreement on two environmental studies Fort Worth-Arlington-Dallas Corridor Conducted with public funds and lead by TxDOT and FRA Dallas to Houston Corridor TCR is applicant Conducted with private funds FRA and TxDOT are lead agencies 19
20 Next Steps Begin formal environmental review Begin formal technology review and approval Continue close coordination with political and community stakeholders Finalize plan of finance 20
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