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News Item #661
[Commonwealth of Kentucky]
Transportation Report Says Changed to Transportation Cabinet Could Save Millions
Posted: 7-Feb-2004 9:00AM CST

The report commissioned by General Assembly's Legislative Research Commission has found that changes to the Transportation Cabinet could save the state millions on contracts. Suggested changes include reducing the number of single bid projects; the report found that the state could have saved $54 million on projects over the past two years if there had been competitive bidding.

The report also found that the projects in current plans cost $2 billion more than what the state can afford. The report noted that in 2000, the state legislature rejected a 7-cent increase in the gasoline tax, but approved a six year highway plan that assumed funding from the increased tax. The report suggests that projects be better selected to better fit into a cost-effective overall transportation system.

Among other findings in the report is a claim that the cabinet suffers from a “multiple layers of senior management.”

Republicans in the state senate have suggested adding a new Transportation Cabinet Oversight Subcommittee to the state senate. The subcommittee would have the authority to review all of the cabinets operations and cabinet officials would report to the new subcommittee.

More information: Courier-Journal: Transportation report identifies possible savings (Feb. 4, 2004) [Outside Link], Lexington Herald-Leader: REPORT: STATE OVERPAID FOR TRANSPORTATION JOBS (Feb. 4, 2004) [Outside Link], Associated Press: Senate Republicans want more legislative oversight of Transportation Cabinet (Feb. 4, 2004) [Outside Link], WKYT: Massive Changes Coming To Transportation Cabinet (Feb. 4, 2004) [Outside Link], Associated Press: Lawmakers hear report critical of past management of Transportation Cabinet (Feb. 4, 2004) [Outside Link], Associated Press: GOP wants more road agency oversight (Feb. 5, 2004) [Outside Link], Associated Press: Oversight sought for transit cabinet (Feb. 5, 2004) [Outside Link], Cincinnati Enquirer: Ky. senators seek highway oversight (Feb. 5, 2004) [Outside Link], Bowling Green Daily News: Transportation Cabinet could save millions (Feb. 5, 2004) [Outside Link]

Update (Feb. 8, 2004): More information: Messenger-Inquirer: Bill urges overhaul of Transportation Cabinet (Feb. 8, 2004) [Outside Link]

Update (Feb. 9, 2004): More information: Business First: Opinion: Transportation Cabinet changes long past due (Feb. 9, 2004) [Outside Link]

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Updated: 7-Feb-2004 9:00AM CST

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