Zilker Zephyr to Close over Concession Dispute with Parks Department

“After 22 years of serving the people of Austin the time has come for the Zephyr to say goodbye.” That’s the opening line of a statement today from the family-owned firm that runs the Zilker Zephyr train in Zilker Park. 

The firm explained that it has faced “many unfortunate roadblocks which ultimately led to our closure,” specifically a dispute with the City Parks and Recreation Department.

Rainstorms last year washed out parts of the track, requiring repairs that would cost the company $286,000 to repair. The company hired an engineer and had “countless meetings with parks and recreation staff” in an effort to get the train back on track.

But because the company only had one year left on its contract with the city, it wanted a guarantee that the city would grant a five-year extension to the concession, in order to make the investment worthwhile. 

City staff refused to do so, according to the company. In December the parks director made a “final offer” of a guaranteed three years with two one-year options — an offer the Zephyr management declined. 

The statement says, “…we had to take into consideration that ultimately it would not have been a good business decision for us. Due to the amount of money we had projected we would have to invest for the repair — we understood only a contract with a guaranteed five years would make financial sense for our level of investment.”

“We are sorry we have to say goodbye like this because the Zilker Zephyr has been our family’s love and passion, and we know the people of Austin and around the world loved it as well. Again, thank you for allowing us to serve you the last 22 years.”

The Zephyr could still make a revival if the City puts out the train contract for bid. However, with Spring fast approaching and no such process apparently in the works, it does not look like the Zephyr will be running when the warm weather arrives.

Parks Department Response

UPDATE: The Austin Parks and Recreation Department responded with a statement later on Wednesday. It did not deny the facts asserted by the Zephyr management but instead confirmed most aspects of the story.

The statement says in part, “Unfortunately, the Department was unable to come to an agreement with the vendor for a new professional services contract. Since that time, the Department has been researching public, train amusement attractions to ensure a competitive bidding process for future operations.”

The City plans to release a request for proposals for the operation of the train by late Spring.