A MESSAGE FROM SOUND TRANSIT
June 2, 2020
Hello,
We are writing to provide a brief update on how Sound Transit will be working to manage the impacts of the pandemic on the agency’s finances. In this unprecedented time, every level of government faces pressing and immediate challenges to protect citizens’ health and address major long-term economic impacts and uncertainties. Sound Transit is no different; we depend on tax revenues that have declined rapidly, particularly the sales tax.
None of us know how long this is going to last or how damaging it will be over the long term. But all economists seem to agree that we are in for a profound recession. With greatly depleted financial capacity, Sound Transit will not be able to deliver many expansion projects on their original timelines.
The Sound Transit Board is launching a realignment process to determine the extent to which the plans and timelines for voter-approved projects will need to be changed due to lower revenue projections, absent receiving additional alternative revenue. Board discussions will be available to the public through virtual meetings, and we encourage you to watch the live or archived conversations at https://www.soundtransit.org/get-to-know-us/board-directors.
As the realignment moves forward updates and documents will be posted at soundtransit.org/realignment. Attached is a presentation that outlines some of the challenges facing the agency.
While economic impacts of COVID-19 will be significant, Sound Transit has the potential to play a key role in our region’s recovery from the recession, just as transit construction fueled our recovery from the Great Recession. When most of construction had gone dormant a decade ago, Sound Transit was one of the few entities hiring tradespeople off the bench. The agency has prioritized construction that is currently underway and under contract. After a pause in construction to ensure the health and safety of the construction workforce, we are pleased that construction is under way once again. Today, we are working to open 28 new light rail stations in the next five years.
Family-wage jobs offered by construction of Sound Transit’s projects will help thousands return to the workforce, and in turn, support even more retail and service jobs in the community. As the economy recovers, investments in transit infrastructure will support our region’s economic health by delivering tens of thousands of daily riders to work.
Infrastructure investments are one of the most potent forms of economic stimulus due to both their shortterm and long-term benefits. As we begin the realignment, Sound Transit will join other agencies and allies in urging that federal and state recovery efforts help keep our projects on track and maintain our place at the center of our economic recovery.
These are challenging times for all of us, in every sector and in every aspect of our lives. On behalf of Sound Transit, we look forward to working together with you across the region for a strong and stable future.
Sincerely,
Kent D. Keel
Chair, Sound Transit Board
Peter M. Rogoff
Chief Executive Officer
