Immediate, 4/20/10
STACHOWSKI: NYS DEPARTMENT OF TRANSPORTATION WASTED $200M IN
TAXPAYER DOLLARS
Senator Stachowski And Task Force On Government Efficiency Unveil
Millions in Potential State Savings
Senator William T. Stachowski (D-C, Lake View) and members of the
Senate Task Force on Government Efficiency released an
investigative report citing $60 million dollars in potential
cost-savings at the NYS Department of Transportation (DOT), and
more than $200 million in funds the Department has already wasted,
at a press conference in Albany on Tuesday. The report is the third
in a series of investigations into state agency spending by the
Task Force. The Task Force also announced on Tuesday that it will
hold a hearing to probe DOT on its wasteful spending practices on
Wednesday, April 28, 2010.
“We have a responsibility to every taxpaying New Yorker to ensure
that their tax dollars are being used in the absolute most
efficient way possible,” said Senator Stachowski, Chairman of the
Senate Committee on Commerce, Economic Development and Small
Business. “When we find the kind of waste in state agency services
that we are uncovering now in the Department of Transportation, it
is imperative that we address this problem immediately. Every New
Yorker should have the confidence that their tax dollars are
serving a real purpose for the good of our state and of our local
communities. This task force will take swift action and use every
tool at our disposal to reverse these wasteful practices at DOT.”
In its latest report, the Task Force uncovered close to $60 million
in potential cost-saving measures at DOT, ranging from moving some
of its contracted services in-house ($46.5 million) to speeding up
its typical contract close-out time frame ($10 million) to
decreasing overtime spending ($3.5 million) or cutting back on
night work ($360,000).
The Task Force report also outlined more than $210
million in wasted funds that have already been spent, including
$150 million on contract management and further rising contract
costs associated with changes in DOT specifications. In 2006, DOT
revised its specifications for the type of reflective sheeting used
on orange construction signs, requiring full compliance by January
2009. Although DOT claimed this change would come at no cost to the
state, contractors statewide had to pay nearly $27 million to
replace the 2.7 million existing signs, a cost they are now passing
onto the state in the form of higher contract prices.
The report found that DOT has implemented the same wasteful
practice by recently revising specifications for temporary concrete
barriers used at construction sites. In February 2007, DOT released
revised specifications for the manufacturing of these commonplace
barriers, requiring that they be replaced with barriers meeting a
new set of standards by 2015. At an average cost of $36 per foot,
per barrier, it is going to cost the construction industry
statewide an estimated $33.5 million to meet this benchmark, a cost
that once again contractors are passing onto the state in higher
contract prices.
In an effort to stem further wasteful spending and mismanagement of
taxpayer dollars at state agencies, the Senate Task Force announced
the launch of a new webpage on Monday where state employees and
other interested New Yorkers can anonymously submit their ideas,
suggestions and feedback on how the state can conserve resources in
this tough fiscal time, as well as to report any suspected wasteful
government spending or abuse of tax dollars. This page is
accessible via the Task Force’s Senate website:
http://www.nysenate.gov/committee/task-force-government-efficiency.
The Senate Task Force on Government Efficiency was
created with the goal of uncovering inefficient government spending
and developing productive solutions to put taxpayer dollars to
better use. Chaired by State Senator and Deputy Majority Leader
Jeff Klein, this bipartisan Task Force was formally announced in
March of 2010. It is comprised of Senators William Stachowski,
Darrel Aubertine, Brian X. Foley, Craig Johnson, Betty Little,
George Maziarz, Tom Morahan, Jose Peralta, Diane Savino, Jose
Serrano, Andrea Stewart-Cousins and David Valesky.
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