$1 million in funding for potential litigation costs associated with the proposed Dallas-Fort Worth high speed rail route.
The funding will comprise four $250,000 tranches, with each being approved by the RTC before it is disbursed.
The potential litigation costs arise from a series of letters that NCTCOG has received from attorneys for Hunt Realty Investments and related entities about the potential flaws and adverse impacts of a proposed high-speed rail route.
Hunt Realty Investments is planning a 20-acre $5 billion development in downtown Dallas next to Reunion Tower and near the Kay Bailey Hutchison Convention Center. The development, which is expected to include high-rise residences, a hotel, and retail and office space, could be adversely impacted by an alternate rail route alignment.
Through its attorneys, Akin Gump Strauss Hauer and Feld LLP, the Hunt entities have sent dozens of letters to NCTCOG expressing their concerns, including a formal letter to preserve evidence and documents related to the high-speed rail route.
NCTCOG recognizes that such a spoliation letter could be a “precursor to litigation” and thus requested an allocation of funds for outside legal counsel to help respond to the Hunt letters and conduct preparatory work “in anticipation of litigation.”
A letter dated January 3, 2025 from the Hunt attorney Eric Gambrell provided an updated summary of Hunt’s letters and concerns.
The letter claims that NCTCOG has made “misleading misstatements” regarding the proposed Dallas- Fort Worth high-speed rail route, articulates some of the “fatal flaws” and “severe adverse economic and environmental impacts” of the proposed route, and points to reasons why it believes the current environmental assessment is deficient and “legally void.”
An alternate rail route alignment, referred to as the 2B alignment by NCTCOG, is at the center of the Hunt entities’ concerns.
The Hunt entities argue that the “2B” western alignment is “legally precluded” by a master agreement from 1975 between the City of Dallas and the Hunt entities. Hunt argues that NCTCOG recognizes the enforceability of this agreement because it has taken actions “in express recognition of right of the City of Dallas and Hunt” under the master agreement.
NCTCOG, in its response, claims that the 2B alignment is not legally precluded. “The Master Agreement may have implications on the range of impacts to be evaluated associated with Alignment 2B…and may impact whether an environmental decision is ultimately rendered by the Federal Transit Administration,” wrote Ken Kirkpatrick, general counsel for NCTCOG.
The Hunt entities also claim that NCTCOG misled the Federal Transit Administration (FTA) by omitting from its communications to the FTA disclosure of the master agreement barrier to the 2B alignment.
The letter to the FTA also includes false statements, the Hunt entities claim, about the negative economic and urban impacts and the increased noise and vibration levels in West Dallas neighborhoods.
In reliance on the “misleading” letter, Hunt’s attorney wrote, the FTA allowed the Dallas-to-Fort Worth route to undergo an environment assessment instead of the more rigorous environmental impact statement.
According to the Hunt entities, the 2B alignment would “environmental deface and ruin” Martyrs Park in Dallas. This park and the Shadow Lines sculptures within it were created to honor victims of racially motivated violence, such as lynchings and hangings, from 1853 to 1920.
The 2B alignment would also “threaten” the Trinity River Corridor and bring sight and sound pollution to the Ron Kirk Pedestrian Bridge and the Margaret Hunt Hill and Margaret Mc-Dermott Bridges in Dallas, the Hunt entities argue.
Gambrell also believes that NCTCOG Director of Transportation Michael Morris has withheld key transportation projects from the City of Dallas to “pressure” the Dallas City Council to vote in favor of the high-speed rail route. He also asserts that NCTCOG has shown “improper favoritism and bias” to the Arlington Entertainment District.
In response, Kirkpatrick explained the context of Morris’ statements about Dallas’ projects and added that six projects had been included in the Transportation Improvement Program as of June 13, 2024.
The Dallas-to-Fort Worth route doesn’t even qualify as high-speed rail, according to several cited admissions by Morris. The Hunt entities point to Morris’s statements that show it will not reach the speeds consistent with the definition of “high-speed” rail.
According to the NCTCOG website, high-speed rail travels at least 250 miles per hour. However, the route between Dallas and Fort Worth, with a planned stop in Arlington, will not exceed 160 miles per hour.
The NCTCOG Regional Transportation Council also approved $100,000 in funds to cover a potential shortfall for the Amtrak Heartland Flyer between Fort Worth and Oklahoma City in order to avoid service disruptions.
Amtrak is continuing to move forward with plans to establish a high-speed rail line between Dallas and Houston.
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