J. Howard Fisk
The economic outlook for transportation and other sectors may have changed drastically since the Feb. 17 signing of the American Recovery and Reinvestment Act of 2009. This stimulus plan is intended to invest American taxpayers' dollars in projects that will put unemployed Americans to work while building a wide variety of capital improvements that would ultimately ease economic calamity and benefit communities.
The act is expected to infuse $27.5 billion out of $787 billion in transportation projects nationwide, including $637 million for Missouri transportation needs.
Most of the transportation funding will go directly to MoDOT, although organizations such as City Utilities may receive funds directly.
The bill calls for specific funds to go to designated metropolitan areas such as the Springfield Metropolitan Planning Organization. We expect to receive $7.3 million locally.
Our area will also receive approximately $2.9 million for transit capital assistance.
The caveat to these stimulus funds is that 50 percent must be for projects that can be construction-ready within 120 days and the remaining 50 percent obligated within one year. The Missouri Highways and Transportation Commission anticipates receiving nearly $1 billion to be used for highway, rail, aviation, transit and other transportation-related projects statewide. As the stimulus package takes root, the commission will be meeting in special session to acknowledge the availability of funds and act immediately to put these funds to work for Missourians.
On Feb. 10, the Ozarks Transportation Organization - charged with putting together the Transportation Improvement Plan used by Missouri Department of Transportation to help decide which projects get funded in and around Springfield - received an update from MoDOT.
Some highlights of that update:
• The highway infrastructure portion is only about 4 percent of the entire economic stimulus bill, designed to put people to work quickly.
• According to both the House and Senate versions of the bill, half of the funds must be obligated within three to six months and the remainder by August 2010. If these funds are not obligated, they will be redistributed to another state. Missouri wants to obligate/spend more than 50 percent and lead the U.S. in delivering projects. MoDOT figures show that $969 million in projects will not all get built if additional funds are not reallocated to Missouri under the "use it or lose it" provision that all states must meet under the bill.
The OTO project to widen U.S. Highway 65, however, was included on the original project list of $510 million and will get funded regardless of reallocation.
• All transportation projects to be covered by stimulus funds should have environmental work completed and right-of-way acquired, because it is very unlikely that this work can be completed quickly enough to meet the deadlines.
• Most of the stimulus funding for transportation projects in Missouri will go to MoDOT, though some funding will go directly to urban transit providers such as City Utilities and to commercial passenger airports such as the Springfield-Branson National Airport.
• More accountability is required by the stimulus bill to show that jobs were created.
While these updates were presented prior to the signing of the stimulus package, the potential it holds for transportation is evident.
Missouri expects to be the first state to act on funding from the stimulus package by beginning construction on Highway 65 in Springfield and on a bridge in Tuscumbia, near Lake of the Ozarks.[[In-content Ad]]
J. Howard Fisk is owner of Springfield-based Fisk Limousines Inc. and a member of the Ozarks Transportation Organization's Board of Directors. He may be reached at fisklimo@aol.com.
