OCEAN CITY — Resort officials are still exploring the best option for replacing the trams used on the Boardwalk and at Winterfest, for example, but it appears refurbishing isn’t an option.
For the last several months, the Transportation Committee has been exploring alternatives for repairing or replacing the city’s fleet of trams, which are nearing the end of their useful life. Refurbishing the trams to extend their life is one option under consideration, as are replacing them with new gasoline or electric models. Each option comes with its own benefits and, of course, price tags.
During a Transportation Committee meeting on Tuesday, Public Works Director Hal Adkins explained after digging deeper into the refurbishing alternative, it didn’t appear to be a viable option for a lot of reasons. For one, a check with the manufacturer of the existing trams revealed a long list of obsolete parts wouldn’t be available during refurbishing although some of the parts could be found after-market.
In addition, the city’s eight trams would need to be resurfaced and repainted, and there was concern about what rust or other damage might be discovered on the substructures when the bodies were taken off. Also, because the trams are needed for Winterfest of Lights, only two per year could be refurbished and that would likely fall outside the town’s prescribed timeline for replacing them.
“We own eight of them and Winterfest uses six,” he said. “If you’re going to keep the same level of deployment that means two per year with no margin for error.”
Adkins said everything pointed to eliminating refurbishment as an option.
“When all is said and done, will it be cheaper to refurbish them with all of the challenges and inconveniences?” said Adkins. “We are trying to refine that further until we get to a point where you say stop exploring that option. I wouldn’t feel comfortable with two refurbishments per year because I’m not confident we could keep them running.”
That essentially leaves two options on the table including new gasoline-powered trams or new electric-powered trams and each comes with benefits and drawbacks. Replacing the trams with electric engines would cost an estimated $4.4 million, while going the traditional gasoline route would come with an estimated $3 million price tag.
There are long-term advantages to electric trams, however. For example, they would be charged by batteries with a 10-year useful life and an estimated annual cost of charging at around $5,000 each for the eight trams. The electric trams would also result in minimal maintenance and labor costs.
In addition, the electric models under consideration have capacity for 80 passengers, while the gas-powered trams have capacity for 69. From an environmental and visitor experience standpoint, the electric trams would have zero tailpipe emissions and the only noise would be the tires on the boards.
By comparison, the gas-powered option comes in considerably lower in upfront costs, but has higher long-term fuel, maintenance and labor costs. The gas-powered trams would have an estimated five-year average $23,900 cost for fuel. The 10-year estimate for gas-powered trams for fuel, maintenance and parts comes in at $939,000 compared to the estimated $250,000 for electric trams.
No firm recommendation on either option was made on Tuesday, however figuring out how best to pay for the replacement trams was debated. Adkins told the committee he had reached out to Delmarva Power about any grant programs available for electric trams and while he didn’t get a definitive answer, he also didn’t get a “no.”
In addition, there could be opportunities to cash in on state and federal transportation grants to help offset the cost of replacing the trams no matter what option is ultimately chosen. Adkins said there were some grants that could finance as much as 80 percent of the cost. He said the grant application deadlines were quickly approaching and the town could not likely get in on the current funding cycle, but could get in for next year. Mayor Rich Meehan said the availability of grants could impact the town’s decision on which option to choose and the timing.
“That’s significant,” he said. “If it’s an 80-percent grant, would it be worth stretching this out? If we were eligible for a grant like that, it’s a game-changer.”
There was some question if the trams would qualify for grants because they are largely a tourism amenity. Transportation Director Mark Rickards said, however, the trams do serve a useful purpose as bonafide public transportation system.
“A lot of people are just not riding for the views,” he said. “People are using it to get from one place to the other from downtown to 27th Street. That’s public transportation.”
Councilman Tony DeLuca said whatever option is chosen, he hoped the final result would be representative of Ocean City.
“For $2 million to $4 million, we should be able to get something novel,” he said. “We should be able to get something old school cool that represents Ocean City.”
