Waller Creek Tunnel Project
Waller Creek Tunnel Project
In 1998, Austin citizens approved $25 million of bond funding for the construction of improvements to Waller Creek. Since then, the tunnel project has encountered many design changes and roadblocks, and the cost has increased significantly, with the current estimated cost totaling $127.5 million (in 2006 dollars).
Mayor Pro Tem Betty Dunkerley and Council Member Sheryl Cole worked to bring the Waller Creek tunnel project back to life for its flood protection and economic development benefits. In January, 2007, they made two presentations to Austin's development and neighborhood communities outlining a project to be funded by both the City of Austin and Travis County. The proposed Waller Creek tunnel project is expected to bring 42 commercial and residential structures, 12 roadways, and more than 1,000,000 square feet of land out of the 100-year flood plain.
Under the current proposal, the Waller Creek Tunnel would begin at Waterloo Park and run to Town Lake, totaling 5,880 feet in length. The tunnel would control floodwaters during a storm. Running 60-70 feet below Sabine Street, water from Lady Bird Lake would be pumped into the tunnel, maintaining a constant base flow in Waller Creek at all times.
The proposed funding for the project would be provided by a 20-year Tax Increment Finance (TIF) district that would run along the creek. The TIF would capture additional property tax revenue above the baseline, which would be set once the TIF is put in place. The revenue from the TIF would be used to repay almost $100 million in additional revenue bonds, which will be issued to fund the construction of the tunnel. The City of Austin would commit 100% of its property tax revenue from the TIF, and the County would contribute 50% of its tax revenue. According to projections, the City could receive about $111 million in additional property tax revenues from development along the tunnel in the first 20 years of the TIF.
Travis County would receive about $120 million in additional property tax revenue, half of which would be contributed to the project. The City would contribute the remainder of the cost for construction, operations and maintenance of the tunnel in the first 20 years. After that, the city would take over the cost of maintaining the tunnel. The project will not go forward without the support and financial commitment of the County.
Proponents for the approval of the project say the revitalization of Waller Creek has the potential to benefit the beautification of I-35, connectivity of East and West Austin and spur the development of millions of dollars in tax base previously located in the flood plain.
Waller Creek Tunnel Fact Sheet
Flooding:
- 1915 Flooding along Waller Creek kills 35 people
- 1981 Memorial Day flood
- 100 year flood plain is up to 800 feet wide
- Rampant bank erosions
- Previous trail and creek improvements have been washed away
Pollution:
- The tunnel will reduce the amount of trash, debris, and sediment in Waller Creek.
- Once the tunnel is operational, the creek water will constantly circulate, thereby oxygenating the water. This should have a beneficial effect on creek flora and fauna.
Parks and Trails:
- Presently, sections of existing parks and trails along with the creek are at risk for sever flooding and erosion.
- Waller Creek Trail can become an extension of the Town Lake Trail, providing a pedestrian route from UT to Town Lake.
Economic Development:
- Waller Creek Tunnel Project will remove 42 commercial and residential structures, 12 roadways and over one million square feet of land from the 100-year floodplain.
- The Waller Creek Tunnel Project make it possilbe to link East Austin to Downtown and contribute to the revitalization of 11th and 12th Street, Robertson Hill, and the I-35 makeover.
Tunnel Structure:
- Waller Creek Drainage area is six square miles.
- The tunnel will be 5,880 feet long and will have a varying diameter of 22 to 26 feet.
- Water will flow through the tunnel at 16 ft per second.
- Water will be pumped, via tunnel, from Lady Bird Lake, resulting in a constant base flow in the creek.
City Proposal for Waller Creek Tunnel Funding:
- City would form a TIF before December 31, 2007 to capture as much incremental added value as possible.
- The TIF would stay in place for 20 years.
- The City would contribute 100% of its tax increment, with the County contributing 50% of its tax increment.
- The City would issue debt under its own authority to finance the design and construction of the entire tunnel and would also pay for the maintenance of the tunnel.
- The City takes all the risk that development will not be sufficient to pay for the tunnel – the County has no risk, only contributes 50% of its tax increment in the TIF area and keeps the other 50%.
- The design and construction of the tunnel and maintenance costs starting in 2013 would all be financed through the City of Austin.
On March 8, 2007, the Austin City Council held a public hearing on the proposed construction of the Waller Creek tunnel and approved action to seek the participation of Travis County as a financing partner. Subsequently, on March 27, 2007, Travis County Commissioners unanimously approved their financial partnership with the City of Austin for the construction of the Waller Creek Tunnel project. Prior to the vote, Commissioners had met with Mayor Pro Tem Betty Dunkerley and Council Member Sheryl Cole in February to go over the details of the project and for the City to address County concerns. The successful cooperation between the City and County has finally made a decade of planning for Waller Creek become a reality.
On April 5, 2007, the Austin City Council formally approved a resolution to begin the process of implementing the tax increment financing reinvestment zone and the formation of the inter-local agreement with Travis County. The City of Austin has also approved a resolution to form a citizen advisory committee to oversee the Waller Creek Tunnel project.
On April 12, 2007, the Austin City Council authorized the formation of the Waller Creek Citizen’s Advisory Committee (WCCAC), a group of local citizens dedicated to serve in an advisory and oversight capacity for the construction of the Waller Creek Tunnel project and the master plan process. The WCCAC fulfills an important role by receiving public input and assists in the identification of a vision for the area. WCCAC members include former RECA President Diana Zuniga, Bill Spelman, Dave Anderson, Dave Foster, Sam Archer, Jeb Boyt, George Cofer, Donato Rodriguez, Bill Ikard, Saundra Kirk, Ted Siff, Tracy Atkins, Ron Flores, Shea Cline, and Jean Mather. The Committee held its first meeting on May 16, 2007. The committee elected Bill Spellman as Committee Chair.
The WCCAC is reviewing the construction plans for the Waller Creek Tunnel and trail. Espey Consultants has been hired, in a joint venture with KBR, to the lead the construction of the actual tunnel, focusing on flood control and water quality. The Advisory Committee recommended that the tunnel design and engineering should minimize exclusionary uses, provide a variety of mutually compatible uses along the creek corridor, and promote the establishment of native flora and fauna by using natural materials and native landscaping, while enhancing the potential for economic redevelopment
The conceptual images below are of the tunnel profile (top), Lady Bird Lake outlet (middle, left), Waterloo Park inlet (middle, right) and the TIF area (below).
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RELATED NEWS: The 21c Museum Hotel and 21c Museum Residents have announced that they will locate at East Cesar Chavez and Red River Streets along the banks of the creek and Lady Bird Lake in the Waller Creek District. This $350 million project with a 243-room hotel, contemporary art museum, 49-story condominium tower, and 425,000 square feet of offices and shops is scheduled to begin construction in early 2009, and the hotel and condo towers are expected to open in 2011.
On May 7, 2008, the Austin City Council selected the Roma Design Group/Roma Austin Collaborative Design Studio Joint Venture to lead the creation of the Waller Creek Master Plan for the property on lower Waller Creek between 12th Street and Lady Bird Lake. This group will develop a comprehensive vision for the development of Waller Creek during the next 20 years. Completing the Master Plan will take two years.
On June 5, 2008, the Waller Creek Advisory Committee briefed the Council on the progress of the Waller Creek Tunnel Project. They provided revised schematics of the tunnel outlet and inlets, available on pages 7, 14, and 21 of the presentation.
They also outlined the following next steps.
July 2008 – August 2008: City Council considers park mitigation concerns
January 2009 – January 2010: Design Phase of the Waller Creek Tunnel
January 2010 – June 2010: Bid/Award Project
June 2010 – August 2014: Construction
August 2014 – August 2015: Warranty Phase
During the interim period prior to completion of the Master Plan and to help ensure that future development is in keeping with community spirit, the WCCAC approved a set of interim design principles for the Waller Creek District on September 18, 2008. These guidelines provide direction to property owners planning to develop land along the Creek and apply to land within the boundaries of the Tax Increment Financing Zone, generally bordered by 12th Street to the north, Interstate Highway 35 to the east, Lady Bird Lake to the south, Red River Street, and Trinity Street to the west. The WCCAC does not set or enforce regulation; rather the committee provides community-based guidance to property owners. Property owners are not bound by the design principles, but are strongly encouraged to design projects consistent with the principles.
City Presentation on Waller Creek Tunnel Project
Waller Creek Tunnel Cost Projection
2003 RECA Board Resolution in Support of Waller Creek Tunnel Project
