Railroad Sale Opponents don’t want to say, ‘we told you so.’ (Cincinnati Enquirer 11.17.23) Zinser Op-Ed 002

I thought selling the Cincinnati Southern Railway was a bad idea for many reasons. A big reason in particular was all the compliance and oversight issues that have been created as a result of the sale. They include both the investment of the $1.6 billion as well as how the proceeds of those investments are spent. The point is that from now on, if we want to preserve the Trust Fund and actually tackle the list of “$400 million” in deferred maintenance, we will have to be always vigilent.

Under the annual lease, it was a very simple transaction every year. It was one transfer every year of a lease payment required by contract. Since the sale was approved, we have already had to push back on the creation of a “Rising 15 Railroad Fund.”  The proposal was to divert 10% of the annual trust fund earnings to a special fund for 15 “underserved neighborhoods.” That has not happened – yet.

There was also a push during the 2026/2027 budget formulation process to establish a “Sidewalk Repair Pilot Project.” The project would use railroad money to relieve property owners, in 7 underserved neighborhoods, of the responsibility of repairing the sidewalks.  I requested a copy of any legal analysis that was produced concerning the proposed pilot program, but the city refused to disclose it. They cited “attorney-client privilege,” In the end, the council decided (for now) not to use railroad money for the pilot program.

Anyway, this Op-Ed was submitted soon after the referendum passed. I recommended putting additional controls on the managment of the trust fund and the city’s use of the proceeds.

 

 

Issue 22 passed. Cincinnati must do 5 things for railroad sale to work