Requirement For Minority Contractors Delays MoDot Project

WATCH THE KY3 NEWS @ 10 REPORT HERE

A Springfield transportation project has been delayed because local contractors can't find enough minorities to fulfill a federal mandate.

It's a controversial federal requirement that is holding up work on a new regional transportation center and frustrating local contractors.

According to federal law, women or ethnic minority contractors must make up 10 percent of any project that involves federal dollars. The minority businesses are referred to as "Disadvantaged Business Enterprises," or DBE's -- and the provision is creating some problems for a new $2.2 million dollar City of Springfield/Missouri Department of Transportation Management Center slated to be build on West Chestnut Expressway. (Read more about DBE's HERE).

But some contractors view this mandate as an affirmative action program that just isn't practical in Springfield.

Right now, engineers use a cramped space in downtown Springfield to monitor roadways and coordinate signals to keep traffic flowing. Officials want to build a bigger, upgraded facility. But the initial round of bids to perform the work have been rejected.

"Of the ten bidders, none of them were able to meet that goal, so we're going to go out and solicit for another set of bids," said Kirk Juranas, District Engineer for MoDOT.

Wehr Construction won the initial bid that was thrown out. The company declined comment on the matter because it plans to re-bid for the contract and did not want to offend the city or MoDOT.

Dewitt & Associates was one of the low bid contractors for the project, which includes paving, electrical work and supplying materials.

President Emeritus Jerry Hackleman said it's difficult to find minority subcontractors to make up even five percent of the work, let alone ten percent.

"In order to get some of the firms that we would need to meet their 10 percent goal, we're going to have to go to St. Louis and Kansas City, which is taking away work from local contractors," explained Hackleman.

"I think there's minority contractors available within our state and neighboring states that certainly would be happy to bid on this work if pursued," said Juranas.

But most aren't in the surrounding Springfield metro area.

"I can't just focus on Springfield," said Juranas. "I have to focus on a whole contracting community."

In fact, Hackleman said of the list of around 1300 statewide approved minority contractors, just a little more than a dozen are within 100 miles of Springfield.

"There was one minority electrician that placed a bid, but he was about $40,000 higher," said Hackleman, who noted that pursuing minority contractors could push up the overall cost of the project.

He said the provision makes it harder to compete in a hyper-competitive construction market that rewards the lowest bid with the work.

Continue reading this story at KY3.com.

Highway 60 Stimulus Saves More Jobs Than It Creates

MORE STABILIZING THAN STIMULATIVE

More than $8 million dollars in federal economic stimulus money is being poured into expanding Highway 60 this month, but the contractor says the money is doing more to help save jobs than create new ones.

Journagan Construction says about 40 workers are involved in the first stage of the widening project, which will create alternating passing lanes from Monett to Republic. But calculating the number of new or saved jobs on this single project could involve some fuzzy math.

WATCH THE KY3 NEWS @ 10 REPORT HERE

John View of Journagan Construction acknowledges he has trouble estimating how many actual new jobs this $8.6 million dollar construction project has created.

"That's difficult to say, in how many employees were brought back to work," View said. That's because this project has mostly allowed Journagan to recall workers it had already laid off. "In this particular case, it's not necessarily new jobs being created," View added.

STILL -- Worker Phillip Rousell of Ozark is thankful he's pouring the cement.

"Commercial work's been pretty near to nothing, so the state work has really kept us in our job," Rousell said, when asked about the impact this project has had on his employment.

The Obama White House has been careful to note that the intent of the stimulus is to "save and create" jobs. Last month, amid growing criticism, the White House pledged the stimulus package would save or create 600,000 jobs by early September.

Kinder Calls Nixon Bonding Plan "Another Bailout"

Lieutenant Governor Peter Kinder has come out staunchly against Gov. Jay Nixon's proposed bonding initiative, a plan designed to help finance capital projects around the state.

Nixon's bond proposal is seen as a way to pursue most of the construction projects he cut or withheld from the 2010 budget he signed last week.

"Our nation is facing the greatest economic recession since the Great Depression. The governor’s bonding plan is nothing more than another government bailout that will put our state in debt for nearly a quarter of a century," Kinder said in a statement. "The 2010 balanced budget that was passed by the legislature took into account all the realities of the current recession. The key focus of our past legislative session was job creation, and our budget reflected that priority. This bonding initiative is merely a debt plan that will fail to put any Missourians back to work in the near future. The risk of failure is too great," he added.

"I strongly urge the governor to utilize the one time funds available in the state's bank account and fund the construction projects that legislators authorized just a few months ago. That is a plan that will truly make a difference for hardworking Missourians," Kinder added.

The Kansas City Star's Jason Noble notes that while House Speaker Ron Richard also issued a statement critical of the bonding initiative Tuesday, he supported a similar plan which passed the House earlier this year.

Missouri's Bridge To Nowhere?

SLAY vs. TUSCUMBIA

CNN's Drew Griffin reports that St. Louis' Mayor thinks Missouri is directing its stimulus money to "rural, far-flung projects that have stalled and almost been forgotten -- until now."

Is Tuscumbia's bridge project "in the middle of nowhere and nowhere on the road to recovery?," as Griffin reports.

"This is an insult to the city of St. Louis, a violation of federal law, and I think they're spending this money contrary to the intent of Congress," Mayor Francis Slay said.

***

Also quoted in the CNN Special Investigations Unit piece: A University of Missouri economist who says the stimulus won't net long term growth.

***WATCH THE FULL CNN PIECE ABOVE***

Shovel-Ready Ozarks Projects Waiting For Stimulus Signing

SHOVEL-READY . . . AND WAITING
The wheels are already in motion for several Ozarks transportation projects dependent on Washington's economic stimulus package.

Springfield construction crews say they could get contract and add workers as soon as President Obama signs a bill.

Expansion of Highway 60 and Highway 65 top the list.
MoDOT has identified 34 ready-to-go projects, totaling about $510 million dollars, that can be started in the coming days and weeks. Missouri will most likely get $1 billion for transportation.

MoDOT's Pete Rahn: They'll create 14,000 new jobs.

WATCH THE KY3 NEWS @ 10 REPORT HERE

Officials say a ceremonial signing of a half a billion dollars in "shovel-ready" projects could occur at a bridge in Tuscombia, Mo.

ALSO: Journagan Construction says they'll begin assembling materials at their local quarry minutes after Obama signs the bill.

Meanwhile, some Republican lawmakers are still questioning whether if they should accept the stimulus dollars. Rep. Jim Viebrock of the #134th District is asking constituents in his weekly newsletter if Missouri lawmakers should send the money back.

So when will it get signed???

And will some GOPs really demand the $$$hould be $ent back??

TIME Warns Of Shovel-Ready vs. Shovel-Worthy

THE MUST-READ BEFORE WE PASS A STIMULUS

Missouri transportation officials have already said they are ready to proceed with many "shovel-ready" road projects if some version of President Barack Obama's proposed $825 billion dollar economic stimulus package survives the wrath of Congress.

But in the Jan. 26th edition of TIME magazine, journalist Michael Grunwald brings up the relevant question of "shovel-ready" vs. "shovel-worthy." Grunwald, who pokes holes exposing some possible pitfalls of the stimulus, points out that some road projects that states may want to pursue may not be worthwhile for the longterm.

"Many projects are shovel-ready now only because they failed to clear the spectacularly low bar Congress set for pork in the past," writes Grunwald.

Grunwald also argues that fixing existing roads might be smarter than building new ones. "When you fix a road, you increase your need for future road repairs. When you build a road, you increase your need for future road repairs. Repairs are also quicker to get moving than new construction . . . New construction tends to produce rural or exurban sprawl roads that promote speculative development, overstretch municipal services, lengthen commutes and increase gasoline consumption and emissions," he writes.

Grunwald also makes a passing critique of Missouri's plans for road improvements with the stimulus. "Meanwhile states like Alabama, Kansas and Texas have been releasing lists of shovel-ready transportation projects that are dramatically skewed toward out of the way sprawl roads. Missouri's list was all roads, none of them in St. Louis."

Bond: Don't Overreact to Bridge Collapse

Sen. Kit Bond voted against an amendment Monday to boost federal bridge repair spending by 25 percent above the current year.

The Senate by a vote of 60-33, easily approved an additional $1 billion for bridge repair and maintenance. It's part of ongoing efforts to prevent future bridge collapses like the one last month in Minneapolis.

But Bond opposed the amendment, warning that the already strapped Highway Trust Fund faces significant shortfalls that will limit the committee's ability to provide adequate funds next year. "I do have the feeling we should not overreact" to the bridge collapse, he said.

Read the entire article HERE.

The Looming Transportation Crisis

Governor Matt Blunt signed legislation Wednesday that will pave the way to repairing 800 Missouri bridges by 2012.

But in just two years from now, the state could face a major transportation funding crisis, involving a shortfall of millions of dollars.

The federal government has already said it will be delivering less money to Missouri roads over the next few years. Couple that -- with the end of funding from Amendment 3 -- and transportation officials are calling it "the perfect storm."

Missouri Department of Transportation District Engineer Matthew Seiler said in 2009, new work on roads and bridges will have to be drastically reduced, unless politicians come up with a solution.

That's when MoDot estimates it's annual $1.2 billion dollar budget will be reduced to less than 600 million dollars.

"It virtually gets cut in half," Seiler said.

The reason for the shortfall? 2009-2010 is when the state must begin paying back bonds from Amendment 3, which has provided funding for new projects all around the state since July 2005.

"We've spent it and now it's time to pay it off," Seiler said.

He said an inability to solve the financial shortage would basically take MoDot back to pre-Amendment 3 days, when MoDot focused on maintenance, and "not a lot of new construction."

To remedy the problem, some lawmakers are already talking about the possibility of a tax increase, on sales or gas. But that seems to be a non-starter with Gov. Matt Blunt.

"It's a conversation Missourians need to have," Blunt said at a press conference Wednesday.

"Funding mechanisms all need to be on the table for discussion, but again, I'm opposed to increasing taxes," he said.

Still, some transportation officials are scratching their heads about what political leaders will ultimately decide to do.

"It's an issue the whole state has got to address sooner, or later," Seiler said.

Ironically enough, two lawmakers who accompanied Blunt on his bridge bill signing tour, have come our in favor of a tax hikes to make renovations to Interstate highways.

House Transportation Chairman Neal St. Onge (R-St. Louis County) introduced a bill last session that would raise $4 billion dollars in taxes. Senate Transportation Committee Chairman Bill Stouffer, also a Republican, introduced a similar bill that would increase the tax on gas. Money raised would be used to rebuild Interstate 44 as well as Interstate 70. It would also require a statewide vote for approval.

Blunt deferred questions about how to solve the looming financial crisis for a later date. "I think there's going to be plenty of time to talk to Missourians," he said. "My opposition to tax increases is well known, as I said, that's something Missourians are going to have to look hard at."

Still, St. Onge and Stouffer said they plan to continue the dialogue about a road tax as lawmakers head towards the 2008 session. Expect a push for a ballot initiative of some sort.

Next time you see your state rep, ask him (or her) if he'd support some sort of road tax.

Maybe first, you oughta ask yourself.

Blunt Signs Bridge Bill

Gov. Matt Blunt ceremonially signed legislation on Wednesday that supporters say will allow the state to fix more than 800 bridges within five years. The Governor traveled around the state for photo opportunities before news cameras to sign a law passed in the recent special legislative session. One signing was in the middle of Highway UU at the bridge over Clear Creek between Willard and Bois D'Arc.

Watch our KY3 News @ 5 report HERE.

Blunt Orders Missouri Bridges Be Examined

In the wake of last night's bridge collapse in Minneapolis, Gov. Matt Blunt has directed Missouri transportation officials to immediately inspect all bridges of similar design in Missouri.

In a press release Thursday, Blunt said state officials have been in contact with authorities in Minnesota to evaluate risks and impact to the Mississippi River and shorelines.

For more information on bridges in the Ozarks that are being repaired or replaced, click HERE.

“Missourians’ thoughts and prayers are with the people of Minnesota as they mourn the loss of family and friends and manage the catastrophic collapse,” said Gov. Matt Blunt. “I have asked transportation officials to immediately begin evaluating and inspecting similar bridges across the state.”

As of this morning transportation officials have identified one Missouri bridge similar to the collapsed bridge in Minneapolis. The bridge design is called a deck truss and has not been actively used since the 1960’s. The Missouri bridge holds Highway 5 that spans the Osage Arm at the Lake of the Ozarks. The Highway 5 bridge was built in the 1930’s. Transportation officials have no reason to believe it is unsafe but will inspect the bridge today to confirm it remains safe for travel, according to the Governor's office.

Rt. 266 Plan Delayed; Schoeller Wins Points

A plan to re-locate and widen a portion of Route 266 in northwest Springfield has been delayed, in part because of outcry by the public at a meeting organized by State Rep. Shane Schoeller (R-#139).

The construction plan has become a political hot potato in Springfield because businesses along the current Route 266 worry their property values will plummet if the road is moved.

Watch my KY3 News @ 10 report HERE.

“Too many people had too many concerns that MoDOT officials couldn’t answer,” said Rep. Schoeller. “Delaying these projects is a wise step, one I’m pleased MoDOT has decided to take. Now, it’s my desire that property owners will have a chance to thoroughly voice their concerns, and MoDOT will have the time to adequately address those concerns and make adjustments, if needed, to the current plan.”

Rep. Schoeller called a meeting of residents, state and local officials this past Monday. Residents say that meeting was key in getting the plan delayed.

The plan was set to go to the Highway Commission next week for final approval. MoDot announced yesterday that citizen complaints and concerns caused the state to postpone a formal recommendation to the Commission.

To watch more stories on the Route 266 plan, click HERE . . . and HERE.