Wednesday, May 13, 2026

HCTRA is wonderful! (according to HCTRA) while investigative reporters circle...

Part 2 guest post from Oscar Slotboom documenting the outrageous looting of HCTRA. You can find Part 1 here.

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Before the main content of this post, I want to mention that Channel 2 News did excellent reporting about the Harris County Toll Road Authority (news report, YouTube video) a few days after my May 1 post about HCTRA. Reporter Mario Diaz focused on the $399 million diversion of toll revenue, and asked HCTRA director Robert Trevino in advance to provide examples of projects built with toll money. (Trevino couldn't provide anything.) Diaz also mentioned the lack of improvements to the toll system in spite of high tolls and heavy traffic congestion, but did not provide any details about the long delays for planned projects.

The interview with Trevino is another instance of Trevino appearing clueless about the financials of his agency, similar to his appearance at a Texas Legislature hearing in 2025. When he wasn't claiming to not know an answer, he gives a wrong answer at 3:23 in the video, answering with 2024 revenue ($874 million) instead of 2025 revenue ($1,028 million). This is a convenient wrong answer, giving the appearance that HCTRA is collecting less from the public.
Is Trevino, with his $491,218 annual salary, really as clueless as he appears, or is he playing dumb to avoid answering hard questions? I'm inclined to think he's playing dumb to avoid confirming the ugly truth about toll diversion, agency mismanagement and poor project delivery. He is very highly paid to be a rubber stamp for the agenda of Harris County Commissioners Court, which is to plunder toll money from HCTRA.
Looking at the comments for the YouTube video, the report struck a nerve with viewers, with plenty of anger about HCTRA management.

If you watched the evening local news last year you most likely saw HCTRA's advertising campaign. The six advertisements are available on HCTRA's YouTube page in the "Commercials" section.
The most heavily run ad features retired local anchor personalities Jerome Gray and Lisa Foronda in a simulated news situation, "reporting" to us about the benefits of an EZ Tag.
Another ad uses the newsroom situation to tell us facts about HCTRA. Of course these are the facts HCTRA wants us to know, not the ugly truth.
There are two Spanish language videos, including a newsroom video featuring Beatriz De Alvarado and Claudia Deschamps.
Another ad features a cute girl to promote awareness of emergency assistance.
This campaign continued month after month, and I was soon thinking: how much is HCTRA spending on all this advertising?
Surely HCTRA's financial statement reports its advertising and marketing spending, right? Wrong! There is nothing in the financial statement relating to this type of spending. This is in contrast to Houston Metro's annual financial statement (page 25), which specifically reports marketing expense, $14.2 million in 2025. For HCTRA, advertising must be mostly included in the $283 million "Services and fees" expense, which I call a black hole due to lack of information about this spending.
Looking at the Harris County 2026 budget document (pages 42 and 56), HCTRA has a $17.5 million budget line item for "Communications and Marketing". This is a recent item, with zero funding shown for years prior to 2025. The document says, "The program is responsible for marketing, graphic design, mailing materials, mapping, asset management, and the creation of map/GIS exhibits," but no spending details are provided for specific objectives. "Toll mapping and graphics" appears to be expensive, with a $2.94 million budget increase in 2026. $12 million is probably a reasonable estimate for the cost of the 2025 advertising campaign.
The Harris County procurement portal shows two contracts for "Branding, Marketing and Strategic Communication Services for the Harris County Toll Road Authority", but cost is not shown.
Did the $14 million marketing expense in 2025 pay for itself with increased revenue? It's possible, because toll revenue rose from $874.5 million in 2024 to $1,028 million in 2025. However, population and economic growth is expected to increase traffic on the toll roads, without any advertising needed, and HCTRA's financial statement (page 10) says, "This increase was largely due to HCTRA’s cost recovery efforts associated with the invoicing services provided under the tolling service agreements."
With the public becoming increasingly aware of the huge diversion of toll revenue with poor financial transparency, and the long delays in getting projects done, I think the main purpose of this advertising campaign is public relations to improve HCTRA's image. I've also previously reported on a possible ulterior motive for large public agency advertising budgets, possibly making it less likely that traditional media will do negative reporting. Thankfully, at least Channel 2 has maintained journalistic integrity.
A more accurate news report
Using the HCTRA advertising concept of a simulated news broadcast, here's a better depiction of the reality of HCTRA:
Jerome Gray: Our investigative staff has studied the Harris County Toll Road Authority financial statements and discovered that a large percentage of your toll money is not being used for the toll road system.
Lisa Foronda: In 2025, $399 million of the tolls you paid were transferred to Harris County, and over the last six years 40% of your toll payments, amounting to $1.9 billion, have been diverted to Harris County.
Gray: In spite of our specific requests, neither HCTRA nor Harris County has been able to provide a detailed accounting of how your toll money is being spent by Harris County commissioners.
Foronda: If you drive across the Sam Houston Tollway Ship Channel Bridge, you've surely noticed that the project is taking forever. The bridge was originally scheduled to be completed in 2024, and the current schedule is to finish the bridge by 2030.
Gray: But that's the not only HCTRA project way behind schedule. If you're stuck in traffic on the toll roads, you're probably wondering when HCTRA will build long-promised improvements to remove toll barriers, add connection ramps and build the long-planned Hardy Toll Road downtown extension. These projects are delayed year after year, and HCTRA's web site does not say when they plan to get these much-needed projects done.
Foronda: If you're a longtime user of the toll roads, paying high tolls year after year, you're probably wondering if the older toll roads are paid off and will ever become freeways. In fact, the original three sections of the Sam Houston Tollway, from the Southwest Freeway to the North Freeway, generate $1 billion dollars every three years, enough to pay for the cost of its construction and improvement. Will Houstonians ever get any toll relief?
Gray: The short answer is no, there will never be substantial toll relief. As long as HCTRA has debt, they can charge high tolls on all toll roads and transfer the money out of the toll road system. Even as HCTRA transferred $399 million of your toll money to Harris County commissioners in 2025, HCTRA issued new debt which won't be paid off until 2055.
Cute young girl in the HCTRA commercial: That's right, when I'm a grown-up I'll be paying high tolls to use the toll roads. When I'm as old as grandma, I'll still be paying high tolls to use the toll roads!
If current management of HCTRA continues indefinitely, the young girl featured in the HCTRA commercial will face of lifetime of artificially high tolls.

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Friday, May 01, 2026

2025 HCTRA financial statement: $399 million diverted out, second highest ever

Another excellent but sad guest post from Oscar Slotboom documenting the outrageous looting of HCTRA 😡 Let's hope the next County Judge can turn it around...
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The Harris County Toll Road Authority (HCTRA) fiscal year (FY) 2025 financial statement was posted on their site on April 21.
Harris County diverted $398.6 million of toll revenue out of HCTRA, which is the second highest annual diversion in HCTRA's history. It is a huge increase compared to 2024, which was $193.4 million.
This plot shows HCTRA toll revenue since 2004. 2025 toll revenue was $1.028 billion, a record for actual value. On an inflation-adjusted basis it is slightly below 2015, 2016, 2018 and 2019, with the all-time inflation-adjusted high $1.073 billion in 2019. Collection of tolls was substantially improved, going from an administrative loss of $44.7 million in 2024 to a gain of $5.93 million in 2025 (schedule 5 on page 57). HCTRA's total revenue was $1.125 billion, which includes $95.2 million in investment income. Total traffic count of 667.5 million is also a record, exceeding the previous record 648.3 million in 2024.
This plot shows diversion of toll revenue out of HCTRA, called "Transfers out" in the financial statements. Diversions have been substantially above historical values since Democrat control of Harris County Commissions Court in 2019.
This plot shows the percentage of toll revenue diverted out of HCTRA since 2004. 38.8% of toll revenue was diverted in 2025. The six-year average before Covid, from 2014 to 2019, was 16.8%. The six-year average after 2019 is 40.2%.
Where is the diverted toll revenue going?
Diverted toll revenue goes into the county Mobility Fund. (There was a one-time diversion of $300 million into a separate Infrastructure Fund in 2021.) The Harris County Annual Comprehensive Financial Report (page 290) shows the FY 2025 starting balance of the Mobility Fund was $376.1 million, expenditures were $249.7 million, and transfers in were $401.1 million (slightly above the toll diversion), leaving the fund with a FY 2025 ending balance of $547.0 million.
For the $249 million in expenditures, the comprehensive financial report shows $8.1 million to parks, $190.6 million to roads and bridges, and $51.0 million to "capital outlay", which is an expense which is also depreciated. Transparency and/or details of these large spending amounts has never been readily available, as Bill King (1, 2) and Wayne Dolcefino also discovered when they investigated how this money is spent. Dolcefino calls this fund the county commissioner slush fund (1, 2, 3, 4, 5, 6, 7). In April 2025, in response to legislative scrutiny, Harris County changed the allocation of funds to precincts to better match actual road mileage and needs in each precinct (page 79). The 2026 budget (page 80) recommends $180 million toll money for precincts, which is equal to the budgeted toll diversion (page 24). Actual amounts may differ.
The large balance in the mobility fund generates investment income, and the 2026 Harris County Budget (page 80) states that in 2026 a new accounting fund for "mobility fund interest" will be created. This fund will have the same restrictions as direct toll diversions, including the "related facilities" loophole which enables spending on non-road projects. Eligible uses are "the study, design, construction, maintenance, repair, or operation of roads, streets, highways, or other related facilities."
Harris County might be managing toll diversion amounts for political expediency. HCTRA finances were subject to scrutiny during the 2025 legislative session, so it was probably expedient to show a lower-than-usual diversion of $194.3 million in 2024. This year, with no scrutiny, Harris County diverted $399 million, 39% of record-setting toll revenue. If my suspicion is correct, 2026 will have a lower toll diversion.
It appears that Harris County is keeping the mobility balance very large, and padding it as much as possible, perhaps as insurance for any possible future legislative action to curtail diversions or redirect surplus toll revenue. In the 2025 legislative session, a bill sponsored by Senator Bettencourt to redirect surplus revenue out of HCTRA was passed in the Senate but did not get House support. (more details here)
The $283 million black hole in the financial statement
Separate from "Transfers out", the financial statement reports "Services and fees", which was a record $282.6 million, 27.5% of toll revenue. Page 11 of the financial statement says, "This is an increase of $72,126,093 from the prior year due to processing additional transactions tied to the onboarding of the Toll Services Agreement and additional resources needed for agency growth." This explanation is vague, and also doesn't explain why "services and fees" has been over $200 million for the last 3 years (page 55, excerpt below). As we'll see below, the "growth" is a growing budget, while HCTRA's project delivery remains dreadfully slow.
Where is this "services and fees" money going? The HCTRA financial statement provides no details. The Harris County comprehensive financial statement provides no details. The Harris County Purchasing Department procurement portal has a list of all active and pending contracts, but does not report contract value. I compiled a list of all active and pending contracts which include "toll" or "HCTRA" in the contract name, and others which are likely for HCTRA, which results in 106 items (spreadsheet). Most items appear to be low value (tens to hundreds of thousands per year), such as software licenses. Since this list is probably not comprehensive and it lacks contract values, it is impossible to make any conclusions.
56% Budget increase between 2024 and 2026
The Harris County 2026 budget document (page 42, excerpted below) shows the HCTRA budget has increased from $275.3 million in 2024 (actual) to $429.6 million (adopted) in 2026, a 56% increase. The actual 2026 amount will differ from adopted, and could be lower.
Category "Administration and support" shows the largest increase, from $39.5 million actual in 2024 to $87.6 million budgeted for 2026, a 122% increase, but is partially explained by a shift of $19 million into this category from another program. (page 49)
All these budget increases are happening with only one significant construction project in progress - the ship channel bridge, which is years behind schedule, and four connectors at the bridge and SH 225. Project delivery has been dismal for the last 8 years. Long-planned projects, such as the Hardy downtown extension, toll plaza modernization and connectors at Hardy/Beltway 8, are delayed year after year. This certainly looks like an expanding bureaucracy with a substantial decrease in project delivery productivity.
How much does it cost to collect tolls?
To an economist, the cost of collecting tolls is a "transaction cost". In an efficient economy, transaction costs should be minimized, and we want the cost of toll collection to be as low as possible. Lower transaction cost = higher productivity = higher incomes. Traditional road funding from the gasoline tax is very efficient. Google AI agent states, "The gasoline tax is highly efficient to collect, with administrative costs generally estimated to be less than 1% of the revenue generated."
The cost of collecting tolls is not reported in the HCTRA financial statement. Viewed from the budget perspective, it is likely covered within the $303 million in the 2025 budgeted amounts for administration and support ($54.5 million), customer service ($103.6 million) and tolling solutions ($145.5 million).
In contrast, the 2025 financial statement for the Fort Bend County Toll Road Authority explicitly states the cost of collecting tolls is $11.4 million of $68.5 million in toll revenue, an alarmingly high 16.7%.
What is HCTRA's cost to collect tolls? Is HCTRA becoming more or less efficient? There's no way to answer these questions from the financial statement.
Bond Activity
One item of good news is that there was not a major issuance of new debt in FY 2025.
The financial statement (page 32) reports on activity occuring after the fiscal year. Previously I reported on serious financial mismanagement by Harris County and HCTRA (see section "Commercial paper shenanigans"). In 2020 Harris County diverted $554.1 million out of HCTRA, 99% of toll revenue for that year and the largest ever annual diversion. Soon afterwards HCTRA had insufficient funds for operations and needed to issue the K and K-2 series of commercial paper debt, which carried a 10% interest rate for the first period which cost $25.89 million. The K and K-2 debt was defeased by issuance of $227.44 million in long-term (30 year) debt maturing in 2055.
Instead of defeasing the debt with surplus toll revenue, Harris County diverts $399 million of toll revenue out of the agency and adds $227 in long-term debt to HCTRA.
More transparency, please
As I've stated in previous posts, HCTRA and Harris County need to provide more transparency about the huge costs reported in its financial statement.
  • Harris County needs to provide a detailed accounting of spending of toll revenue diverted into the Harris County Mobility Fund.
  • HCTRA needs to provide an itemized list of spending in the costly "Services and fees" category.
  • The financial statement needs to report on the total cost of toll collection, like the Fort Bend County Toll Road Authority financial statement.
Part 2
HCTRA has saturated local media with advertising. In part 2 I will investigate the cost of the marketing campaign.

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Wednesday, April 15, 2026

Freeway Deck Parks: time for a reality check

Another excellent, deeply analytical guest post from Oscar Slotboom, author of Houston Freeways. Yes, it is long, but it should tell you anything you want to know about potential deck parks in Houston (scroll down to its section if you have a particular one in mind).
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Updated 4/29/2026: at an April 28 public meeting TxDOT officially announced the expansion of the Midtown cap to include the section between Fannin and San Jacinto. This post is updated for the change.

In 2025 Harris County Commissioner Lesley Briones announced she secured funding for a $2.5 million feasibility study for deck park(s) above the depressed section of Interstate 10 in the Heights, between Patterson Street and Washington Avenue. This potential deck park location is in addition to three potential zones of large deck parks in the North Houston Highway Improvement Project (NHHIP): Midtown, Eado and North Main.
Parks on decks above trenched freeways became trendy after the opening of Klyde Warren Park in Dallas in 2012 and its success. In TxDOT lingo, parks above freeways are called caps, and extra wide bridges with amenities along the sidewalks are called stitches.
But there's a harsh reality about freeway caps: they are very, very expensive, and local entities pay most or all of the cost. The minimum cost is around $50 million per acre, and costs rapidly escalate into the hundreds of millions for a single park and over $1 billion for ambitious plans like NHHIP. Cap park sponsors struggle for years, even 10 years or more, to arrange funding, even with phased implementations.
Let's take a look at cap projects in Dallas and plans in Austin to get an understanding of the costs and difficulties involved. Then I'll assess each of the proposed cap park zones in Houston for cost, benefit and feasibility.
Dallas
While freeway caps have been around since the 1970s, with well-known parks in Seattle (1976), Phoenix (1992) and San Diego (2001), the recent interest was sparked by Klyde Warren Park in Dallas, which opened in October 2012. Dallas had long envisioned a park above the Spur 366 Woodall Rodgers Freeway, which opened in 1983 and is situated between the north side of downtown and the booming, upscale "Uptown" district. Downtown interests began efforts to build the park in 2002 and secured $77 million by 2009 when construction began. Dallas was either smart or lucky in its timing, because the 2008 Great Recession lowered construction costs and made stimulus funds available. A 2012 donation from Kelcy Warren, who received naming rights and named the park for his son, helped close the remaining funding gap. The structural deck cost was $44.5 million, and total cost for the 5.2-acre park and all improvements was $110 million, $170 million in 2026 dollars.
The park was a huge success, with their website proclaiming, "From the moment the Park opened in 2012, we have welcomed more guests than we ever thought possible, representing every neighborhood in Dallas and beyond, as well as international visitors from around the world." Plans for phase 2, a small 1.7 acre extension to the west, were prepared in 2018. Then the trouble began.
The entire cost of phase 2 was estimated to be $76 million. In January 2022 bids were opened for the structural deck, and it was a budget-buster. The estimated cost was $47.2 million, but the low bid was $95.0 million, 101% above the estimate. The project could not proceed at that cost and was suspended. After a four-and-a-half year pause, the project is finally poised to receive bids for the structural deck in June. The estimated deck cost is $98.4 million. The overall cost including park amenities is $121 million, $71 million per acre. The elapsed time between the park opening and scheduled completion of phase 2 is 17 years.
This event building is part of Klyde Warren Park phase 2.
This lawn in Klyde Warren Park phase 2 will accommodate events, including an ice rink in winter.
On May 9 Dallas will open phase 1 of its second cap park, Halperin Park above I-35E alongside the Dallas Zoo in south Dallas. Named for the Halperin Foundation which donated $23 million, the park was planned in conjunction with the widening of I-35E south of downtown, which opened in 2022. The Dallas Morning News reports the 2.5-acre phase 1 is estimated to cost $122 million. The estimated total cost for phases 1 and 2 is reported to be $300 million for a total of 5.0 acres, which includes a $10 operating reserve fund.
Halperin Park nearing completion before its May 9, 2026 opening.
Dallas has used a mix of funding sources, with heavy reliance on private, philanthropic funding. Arranging funding has been a long struggle for each project, typically taking years. For the original Klyde Warren park, funding sources included around $27 million from donors, $20 million from the City of Dallas, $20 million from TxDOT and $17 million in stimulus funds. Funding for Halperin Park includes at least $62 million from private donors, $40 million from the North Central Texas Council of Governments (their equivalent to H-GAC) and $8 million from the City of Dallas.

 
Year Cost, millions Acres Cost per acre,
millions
Klyde Warren Park 2012 $110 5.2 $21.2
Klyde Warren Park
2026 dollars
2012 $170 5.2 $32.7
Klyde Warren Park Phase 2 2029 $121 1.7 $71
Halperin Park Phase 1 2026 $122 2.5 $48.8
Halperin Park Ultimate Future $300 5.0 $60
Austin
The $4.5 billion project to modernize Interstate 35 through central Austin will lower the freeway into a trench for 3.7 miles. The City of Austin and the University of Texas at Austin have been developing plans independently to build parks over the freeway. Together, these two programs are probably the most ambitious cap building effort in the country which will start construction in the next few years.
In November 2024 the City of Austin released a vision plan which includes options for up to 26.3 acres of cap parks. Below is a map of potential cap locations.
Artist depiction of proposed cap park in downtown Austin, Cesar Chavez to 4th Street.
This article has a good summary and graphic (shown below) of the seven scenarios which were considered. The cost estimates are between $53 and $56 million per acre, resulting in a $1.395 billion cost for the 26.3-acre full vision plan. For the full vision, the article states "it would cost roughly $900 million for the roadway and cap structures — not including any of the community amenities on top of the highway."
Scenario Cost, millions Acres Cost per acre,
millions
1 $401 7.54 $53.2
2 $569 10.82 $52.6
3 $656 *
4 $666 12.29 $54.2
5 $772 *
6 $1,128 20.32 $55.5
Full vision $1,395 26.3 $53.0
*: acres was not readily determined from data
The full vision is far more than Austin can afford, and in May 2025 City of Austin staff recommended the least expensive scenario #1, estimated at $401 million including two caps, from Cesar Chavez to Fourth Street and between 11th and 12th streets. Austin Council approved a plan for the two caps with the addition of two smaller stitches in north Austin, and committed $104 million to build structural foundations during TxDOT's construction. In March 2026 Austin Council deferred any further financial commitments beyond the necessary structural elements, meaning that the actual decks would not be built as part of the TxDOT project and would be done later.
In March 2026, the cost estimate was $604 million for a total of 13.98 acres of caps and stitches, $43.2 million per acre. Annual operations and maintenance is estimated at $9 million per year. City of Austin staff raised alarms about the cost and urged City Council to pause plans.
Financially, the City of Austin is trying to fund its deck parks single-handedly, and discovering that it is a huge challenge, and perhaps not financially feasible. This is in contrast to Dallas and other cities which get only a small contribution from the city and rely heavily on private funding. In March 2026 the leading cap proponent on Austin City Council recognized the need for private funding participation, "What we’re trying to make sure over the next 4-5 years, is not only can we afford to build it, afford to maintain it, but how can we get the philanthropic, the business community to take a role."
Separately, the University of Texas at Austin will build a 10- to 12-acre cap in the campus area, from the MLK Jr. Blvd. to Dean Keeton. In May 2024 a preliminary estimate of $394 million was provided, subject to change depending on cap size and amenities, with annual operation and maintenance $10 million. In December 2024 UT-Austin committed $106 million for work which must be done in conjunction with construction, including design and (presumably) structural foundations. Information is limited because "UT has largely kept its I-35 plans private".
Houston: around $1.4 billion for all NHHIP caps
So what does this all mean for freeway caps in Houston? Let's apply a $50 million per acre cost to the potential caps in NHHIP. Potential cap areas are shown in NHHIP schematic maps, but acreage is not provided so I made an estimate based on the maps. The area for the caps in Midtown over I-69 (section 3A) was expanded in 2025 and again in April 2026, with the main cap now extending from the Metro tracks near Fannin to Austin Street. For the Midtown cap TxDOT will need to build structural elements to support sharply angled cross streets, which will reduce the locally-covered cost to build a park. A similar situation exists at North Main, where TxDOT may need to build a deck to accommodate the surface frontage roads. For consistency I'll use $50 million per acre for all parks.
Cap Location Approx Acres Approx cost
at $50 million/acre, millions
Midtown approved cap sites (as of April 28, 2026) 6.25 $312*
Eado all potential caps (10 blocks) 17.7** $885
Eado, Rusk to Texas (2 blocks) 3.35 $168
North Main 5.0 $250
All potential caps 28.9 $1,446
* Local cost will likely be lower since TxDOT needs to include structural elements to accommodate sharply angled streets.
** A document on the Downtown Redevelopment Authority site (page 49) reports the cap size at 30 acres. My estimate of 17.7 acres is based on potential cap area indicated in schematics, excluding adjacent land areas, cross streets and cap sections which TxDOT must build, for example east of GRB to accommodate Hamilton Street.
This rough estimate is $1.4 billion for all potential caps in NHHIP. Obviously that's not going to happen in the lifetime of anyone reading this. But only a small percentage of this total cap acreage can be justified from cost-benefit considerations, and two small caps could be all that we need.
For Eado, the potential cap area is 10 blocks from Lamar Street (approximately in the middle of GRB) north to Commerce Street. For each block the cap area varies between 1.5 and 1.8 acres. Using an average of 1.65 acres, each block of cap can be estimated at $83 million.
Eado Caps receive attention from advocates
The Downtown Houston Redevelopment Authority (DHRA) is being proactive and appears to have the maximum possible ambition for the Eado cap. Depictions in board meeting documents in February 2024 (page 54) and March 2025 (page 49) show a cap over the entire 10-block section where a cap can be built, from Lamar to Commerce. Board meeting documents in April (page 24) and May (page 23) 2024 report that Mayor Whitmire initiated efforts to coordinate cap planning among all stakeholders and potential funders. However, I cannot find any mention of this effort on the Mayor's or City of Houston (CoH) web site.
This view is from the DHRA February 2024 board meeting information packet (page 54).
This view is from the DHRA February 2024 board meeting information packet (page 55).
The March 2025 slide mentions a "30-acre area for assembly, destinations, events". I estimate the actual physical cap area suitable for parks to be 17.7 acres, which excludes caps TxDOT must build for Hamilton Street (which will be built over the freeway) and excludes adjacent land areas which would be included in cap parks.
This view is from the DHRA March 2025 board meeting information packet (page 49).
Building Eado caps will likely be a multi-decade effort, but a very important decision deadline will occur soon (perhaps within 3 years) when the Eado freeway design is finalized and construction plans are prepared for the scheduled (project 3D-1) construction between 2031 and 2037. The structural foundations for all future caps need to be incorporated into the design, which means the desired ultimate size of the cap needs to be decided. This decision will also require financial commitments for local project sponsors to start paying incremental additional costs for the cap foundations. In Austin, this deadline has been a big difficulty, because they have struggled to determine the size of cap they can ultimately afford to build, and also struggled to make advance payments required by TxDOT.
While the DHRA depiction is surely very preliminary and will be refined in the future, it suggests that most of the cap area would have minimal amenities, and would instead be open areas. This raises some questions in my mind.
Is there really a need for 30 acres of caps? I don't think so. After all, the area already has Discovery Green. It's better to have a small area of high-quality, highly attended parks, instead of a large area of mediocre, poorly attended parks. There's still an abundance of parking lots in east downtown and Eado which could become parks at a much lower cost than $50-million-per-acre caps.
How do you prevent the homeless sector from compromising such a huge area of cap parks? My view is that caps should be full of amenities including private businesses and family attractions because they will be stakeholders who will be highly motivated to keep the area desirable. Klyde Warren and Halperin Parks are packed with amenities. Building parks with mostly empty space will be cheaper, but could backfire if they are most suitable for the homeless sector. Realistically, it will be difficult to fill 18 acres of caps (or 30 acres of overall parks) with amenities.
How do they plan to pay for this? I estimate a 10-block buildout with full amenities on 18 acres to cost $885 million. Based on data from Austin, where structural caps (without surface improvements) are estimated to cost $900 million for 26.3 acres ($34 million per acre), the structural caps alone for a full 10-block buildout would cost $613 million. DHRA documents list the total area at 30 acres, which would likely be much more expensive than my estimate. The March 2024 meeting document (page 48) has a grant application for $12.0 million "to complete a Planning and Design Study to determine the additional structural support necessary for TxDOT to construct a thirty-acre deck across a below-grade segment of the highway project – The EaDo Cap Connector – sufficient to bear the load of future infrastructure improvements identified by the Downtown District, adjacent communities, and key partners." It appears the application was not selected to receive funding. This funding would be the first step in the process, and it already is quite costly, and all subsequent costs will be much higher.
How do park improvements get done in Houston?
Major park improvements are generally managed and financed by entities separate from CoH, with a heavy reliance on private donors, particularly the Kinder Foundation. For example, the Memorial Park Conservancy was formed in 2000 and absorbed into the Uptown District in 2013. Its web site says its 10-year plan launched in 2018 has a cost over $200 million, with funding sources including a $70 million gift from the Kinder Foundation. The Buffalo Bayou Partership manages improvements to parks along the bayou, relying heavily on gifts from the Kinder Foundation including $30 million in 2010 and $100 million 2022. The Hermann Park Conservancy web site reports that it has completed $121 million in improvements, and its annual reports include a listing of private donors who finance the work.
With its ongoing budget deficits and expensive union contracts, CoH can be expected to provide only a token financial contribution to the cost of freeway cap parks. The financial heavy lifting for cap parks will need to be done by private donors and management districts, with smaller amounts of support coming from various sources such as federal grants and contributions from local agencies like H-GAC, Harris County and CoH. To be successful, cap parks need a private entity managing the park, which is an ongoing expense.
Should cap parks be community parks or regional destinations?
Prior to Klyde Warren Park, freeway caps were community parks that attracted limited attendance from adjacent neighborhoods and were not a regional destination. Seattle's Freeway Park has a brutalist fountain which often doesn't work (think Tranquility Park). Hance Park over I-10 in Phoenix and Terlata Park over I-15 in San Diego are just very expensive community parks. Of course, Klyde Warren park became a regional destination and a model other cities aspired to emulate.
Because of the very high cost of cap parks, my view is that they should be built only if they have the potential to become regional destinations, or enhance existing destinations. Neighborhoods adjacent to freeways can probably receive far more benefit from much less expensive improvements, for example enhancing existing nearby parks, creating new parks on vacant land or improving walkability.
It will be very difficult for Houston, or any city, to duplicate the success of Klyde Warren Park in Dallas. Klyde Warren Park's location is ideal, adjacent to Dallas' performing arts district, in the middle of the museum district, alongside an upscale commercial area (similar to upper Kirby), near American Airlines Center arena, near a tourist area (Dealey Plaza), adjacent to the good side of downtown with attractive skyscrapers and in an area which was previously not served by a park.
None of the potential cap sites in Houston have the intrinsic assets of Klyde Warren's location. Let's analyze the cap park sites in Houston to assess the potential to become a regional destination.
Midtown
Work on the estimated $880 million Midtown section of I-69, between Spur 527 and SH 288 (South Freeway) and designated as section 3A, is scheduled to receive bids in October 2027 and be completed in 2033. It will be the first opportunity for caps in NHHIP. The size of proposed caps was expanded in 2025 (presentation), and at an April 28, 2026, public meeting TxDOT announced an additional expansion between Fannin and San Jacinto. I estimate the approved cap sites to cost around $312 million at $50 million/acre. However, costs covered by local entities are expected to be lower because TxDOT will need to build structural elements to accommodate bridges for the sharply angled street crossings.
This map, captured from a video shown at the April 28, 2026, public meeting, shows the newly-approved expanded size of the Midtown cap, filling a gap between Fannin and San Jacinto. This map shows the previously-approved cap size in 2025.
Site Weaknesses
  • East of Caroline, the area is not suitable for businesses that attract crowds, such as bars, restaurants and concert venues, because it is mostly a neighborhood of homes with minimal parking.
  • It is near the notorious Red Line Wheeler station, a longtime favorite hangout for the homeless community, and the area around Fannin and Main is a local hub for the homeless sector.
  • There is currently negligible non-homeless pedestrian activity
  • No attractions in the immediate area
  • Minimal offices in the area (only the Ion)
  • East of Caroline, the area will be difficult to redevelop with high-value assets because properties are homes on small lots
Strengths
  • The Ion innovation district, backed by Rice University, is immediately adjacent to a potential cap site and is expected to grow in the future.
  • Within walking distance of the Red Line Wheeler station
Other considerations
  • Removing the elevated freeway and replacing it with a below-ground freeway is already a big benefit to the area
  • There is an existing community park, Peggy Park, immediately adjacent to the freeway at Almeda Road. The recently approved cap expansion at Cleburne will effectively extend Peggy Park.
This all suggests the Midtown site has very low potential to become a regional destination and is likely to be a very expensive community park. It will require ongoing vigilance to ensure the homeless sector does not seize control of the park.
But the Ion District has the potential to transform the area, especially considering its affiliation with Rice University. This suggests a starter cap immediately adjacent to the Ion District, between San Jacinto and Caroline, could be a worthwhile investment to spur investment in the area. The TxDOT depiction of this park is around 1.9 acres, but the deck structure would be only 1.3 acres, so this park could potentially be done for $80 million, which is still expensive but in the realm of possible. The image below shows the location and conceptual TxDOT depiction.
This map shows a potential starter cap in Midtown, adjacent to the Ion District (image from a recent TxDOT presentation)
Eado
The Eado section of NHHIP, identified as project 3D-1, is the most difficult and expensive section of NHHIP. The TxDOT schedule shows construction between 2030 and 2037, but delay is likely due to TxDOT funding shortfalls.
As noted above, a cap can be built above the freeway for 10 blocks, from Lamar to Commerce, and downtown interests are attempting to plan for a full buildout. My estimate for a full buildout on around 18 acres of caps is $885 million. Downtown district presentations say the potential area is 30 acres.
Site Strengths
  • Established attractions already exist in the area
  • Stadiums create heavy pedestrian traffic
  • The area is suitable for all types of attractions, including nightlife
  • Redevelopment of adjacent areas is generally easy
  • The area is served by the Purple/Green Line Eado-Stadium station
Weaknesses
  • A large park, Discovery Green, already exists nearby. A cap park could dilute the attraction of Discovery Green.
  • The north area near Commerce Street is a local homeless hub
Other considerations
  • A cap park would be an incremental improvement to the area, not a transformative feature
  • There is plenty of vacant and redevelopable land in the area. At this time, there is no need for a large area of expensive cap space.
Eado is already a destination. A cap park won't transform the area, but offers the potential to strengthen the area and contribute to future growth. A cap park would be an incremental improvement, so an incremental (and affordable) investment seems most justifiable. A reasonable and affordable cap is the two-block section between Rusk and Texas. I estimate this 3.35-acre cap will cost around $168 million.
This map shows the location of a potentially financially feasible cap in Eado.
Longer-term planning is a more difficult decision. If downtown interests want to retain the potential for a full 10-block buildout in the future, structural components must be included during construction in the 2030s. This will be a substantial cost, probably at least $100 million based on estimates for work in Austin. Local interests must arrange this funding soon, but future caps (in addition to Rusk-Texas cap I suggest) would probably occur in the distant future - between 2050 and 2100. It's possible future conditions won't justify all potential caps, so some structural foundations may never be used.
North Main
This part NNHIP is designated as section 2A. A recent TxDOT presentation shows construction between 2031 and 2036. This schedule is almost certain to be delayed, because the project is currently only 17% funded (page 69) and TxDOT funding is in decline.
The North Main potential cap site extends from south of North Main to north of Cottage Street. The area is around 5 acres, and an estimate using $50 million/acre gives a cost of $250 million. However, TxDOT will likely need to build structural cap elements between North Main and Cottage due to the freeway design, which would reduce the locally-covered cost to build a park on this 2.5 acre potential cap area
This is a view of the TxDOT schematic at north main, with the green hatch showing the potential cap.
Weaknesses
  • No attractions, offices or pedestrian traffic in the area. (White Oak Music Hall is 0.4 miles away.)
  • The area is not suitable for businesses which attract crowds, such as bars, restaurants and concert venues, because it is near a neighborhood of homes and has minimal parking.
  • The eastern boundary is a cemetery, which cannot be redeveloped.
  • All adjacent areas have low potential for redevelopment
Other considerations
  • The locally-covered cost for the 2.5-acre section between North Main and Cottage is likely to be less than $50 million per acre.
A North Main cap is virtually certain to be an expensive community park, not a regional destination. Park attendance is likely to be very low because of the low population density in the area. The east side of the freeway has very little housing, and will never have more housing because of the cemetery. This area cannot justify the large expense of a cap park, but political considerations may outweigh economic reality.
Katy Freeway cap - a nonstarter
The Inner Katy Freeway corridor is the subject of the cap study mentioned at the start of this post. The practical limits of the study are from Patterson to Cottage Grove Park, about 1 mile. Any future cap park would be a few hundred feet long in this mile-long section.
A cap park on the 1.8 acre gap between Shepherd and Durham would cost around $90 million. With the freeway trench around 280 feet wide, building a cap park over the Katy Freeway will cost around $32 million per 100 feet, or $160 million for a 500-foot-long (3.2 acre) cap park. (For comparison, the 450-foot-long, 2.5 acre Halperin Park in Dallas has a price tag of $122 million.)
This area is a mix of low-density land use including low-density housing, lower-tier office buildings, strip centers and the usual freeway-facing businesses like fast food and convenience stores with gasoline pumps. A big complication is future plans for the corridor by Metro, which has currently-suspended plans for an elevated bus rapid transit line, and TxDOT, which plans to add four managed lanes, likely on an elevated structure.
Weaknesses
  • Metro has long-term plans to build an elevated bus line between the eastbound frontage road and main lanes. Planning is on hold at this time. This would be incompatible with a cap park.
  • TxDOT has plans to build four managed lanes to connect the existing Katy Freeway managed lanes with the NHHIP managed lanes. The most recent public meeting showed two options, elevated lanes in the middle of the freeway and lanes at freeway level, which require substantial new right-of-way. Elevated lanes in the middle of the freeway would be incompatible with a cap park.
  • There are no attractions, pedestrian traffic or high density developments in the immediate area.
  • There is no obvious location for a park on this long section. Any park location on this 1-mile section is equally weak.
  • Any park on this section is not convenient for most people living in the Heights.
Other considerations
  • There is already a community park, Cottage Grove Park, along the freeway. It could be enhanced at a far lower cost.
  • The White Oak Bayou trails and MKT pedestrian trail already exist nearby.
  • Memorial Park is within walking distance of housing near the west end of this section.
  • While the Katy Freeway is already below ground level, it may not be low enough for a park at ground level. Existing street bridges are thin (cast-in-place, not using usual thick prefabricated beams) because of the shallow depth of the freeway, and also have below-standard vertical clearance (around 15'3"). A cap with thick prefabricated beams, space for ventilation fans and vertical clearance meeting modern TxDOT freight corridor standards (18'6") will likely need to be raised well above ground level. The feasibility study will surely consider this problem.
Any cap park on this section of the Katy Freeway would almost certainly be a minimally-used community park. Available funding to improve the area would surely be much more effectively used for other area improvements.
The $2.5 million feasibility study is good revenue for consultants and scores points with anti-freeway folks. But realistically, an expensive cap park makes no sense and is very unlikely to ever be built. I rate a Katy Freeway cap park as a nonstarter due to high cost, low benefit, existing nearby parks and multiple complications with future plans and technical issues.
Pierce Elevated Park
In January 2023 I posted about a recreation-oriented park on the Pierce Elevated, which becomes a possibility after the Pierce elevated is retired from highway service in the late 2030s. I believe the recreation component will ensure high use from local residents (think Memorial Park Loop), and the cost will be much lower than a cap park because the structure already exists - it just needs to be repurposed.
An acreage comparison between the Pierce Elevated and a cap park is not an apple-to-apple comparison because the the Pierce Elevated is linear. The Pierce structure is 100 feet wide and around 4800 feet long, which is 11 acres, but the full width is not needed for the recreation features. I'm not in a position to provide a cost estimate for Pierce Elevated Park, but a hypothetical cost of $50 to $100 million seems reasonable, and TxDOT would probably pay a large share because it would be responsible for demolition. Pierce Elevated Park has high potential to be transformative and a regional destination, even something unique nationwide. Any consideration of freeway parks should keep Pierce Elevated Park high on the list of options.
The reality check
So here's the reality check. Building cap parks is very expensive and requires a dedicated, long-term effort by a project sponsor, preferably a private foundation, with substantial private funding required. Based on experience in Dallas, securing $120 million in funding over a long time horizon like 5-10 years is difficult to achieve. The idea of building 18 acres of cap parks over NHHIP freeways at a cost of $1.4 billion is both a financial nonstarter and makes no sense, because such a large amount of cap parks would be overkill and mostly underutilized. The idea of building a cap park over the Katy Freeway mainly because there are a lot of anti-freeway folks in the area would also be a big waste of money.
Building a successful destination like Klyde Warren Park requires a unique set of ingredients, and perhaps only two sites in Houston can deliver success at an affordable cost: a two-block cap in Eado and a one-block cap in Midtown. My rough estimate for these two sites is $170 million for Eado and $80 million for Midtown, $250 million total, a cost which should be affordable. Cap advocates and political leadership should think in terms of "How can we afford to build two small caps that have a big impact, and make them regional destinations", not "Let's build a large amount of caps at a huge cost because they cover up freeways and make anti-freeway folks happy."

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