The state transportation agency aiming to create a passenger rail line from Georgetown to San Antonio has asked Kyle to decide by the end of May whether it will join the ranks of cities participating in the rail service.
On May 6, the final Kyle City Council meeting before an election that could see as many as four seats on the council taken by newcomers, the item will be up for possible action, with outgoing Mayor Lucy Johnson saying the council could elect to approve the 36-year agreement, modify the contract, or take no action.
The mayor also floated the possibility of holding a referendum in November, in which Kyle's voting public would be asked whether it approves the proposal.
"This is very, very, very expensive," City Manager Lanny Lambert said. "We need to spend as much time and get as much information as we can before we make this kind of decision."
Kyle City Council held a workshop April 29 in which officials from the Lone Star Rail District were on-hand to present the proposal and answer questions. Prior to the meeting was an open house for community members to find out more about the proposed rail service and the implications it would have on Kyle. Lambert said he hopes for more such meetings before a decision is made.
Lone Star Rail's offer under consideration would entail the creation of a special district from which 50 percent of newly generated sales and property tax revenue would be captured to support the rail service organization. An annual in-kind contribution of $70,000 would be required at the initial phase-in level to maintain and operate the Kyle facility. The latter portion would come out of the city's general operating fund.
Estimates place the total annual costs for the city's participation at at least $224,000. The city's in-kind contribution would increase to as much as $90,000 at later operational phases. For example, the initial phase would see Kyle's station serviced every hour. The base phase calls for service every half-hour; when fully phased in, the train would service the Kyle station every 15 minutes.
The cities of Austin and San Marcos have signed local funding agreements with the rail district. Other municipalities with offers on the table include Georgetown, Round Rock, New Braunfels, Schertz, San Antonio and Buda.
If the city of Kyle puts off the joining the rail district until after it is operational, there could be ramifications, said Joe Lessard, transportation planning director for Knudson and Associates, a third-party contractor on the project.
"It's not a case of joining five years from now, and it's all hunky-dory," Lessard said.
He said economic development could shift toward another area of the city than the proposed transportation infrastructure zone.
The proposal has been recommended for approval by the city's Strategic Planning and Finance Committee, but its Transportation and Mobility Committee has advised against it.
Councilwoman Samantha Bellows-LeMense said committees were presented with inconsistent information because the presentations occurred as the contracts were still evolving. Bellows-LeMense said she would like for all committees to receive the finalized proposal before the council moves forward with a decision.
Oscar Sanchez counts himself among the residents of Kyle who oppose the rail station. Sanchez said the city cannot support such transportation infrastructure at this stage in its growth and would like to see other infrastructural issues prioritized.
"If the city is putting money on this, I think there are a lot of things we can do with our money," he said. "We have a lot of issues in our city."
Johnson, who will preside over council for possibly the final time on May 6, said she is confident that if the council decides to put the rail station proposal up for a vote, it would garner support from 70 percent or more of the community. She said any project as complex as the rail service being proposed is going to entail a steep learning curve for the community.
"I hope that we're able to sort of look beyond the complexities to be able to understand the project and ultimately approve it so that we do have alternate transportation for our residents," she said.