subscribe to ENR magazine subscribe
contact us
advertise
careers industry jobs
events events
FAQ
Mcgraw Hill Construction
ENR Logo
SUBSCRIBE TODAY
& receive immediate web access
comment

California Budget Fiasco Endangers $3 Billion Worth of Construction Work

Text size: A A

California Transportation Director Cindy McKim says that if the current budget impasse continues through the end of August, “transportation-fund cash balances may be depleted, resulting in potential suspension of ongoing construction projects.” McKim says that if the logjam extends into September, the department would have to stop or delay the start of $3 billion worth of transportation projects, plus delay contractor payments on $9.5 billion worth of current construction. “The absence of fiscal year 2010-11 budget authority has an immediate result of restricting Caltrans’ ability to initiate construction projects, award contracts and make payments to vendors,” says McKim. The fiscal year 2010-11 began on July 1. In short, no budget means the delay of $1.3 billion in project awards, delay of more than $900 million of projects that were allocated with prior-year budget funds and delay of nearly $650 million of bond-funded projects until the state treasurer’s office can complete the bond sale, which will not happen until a state budget is passed.

----- Advertising -----
----- Advertising -----
  Blogs: ENR Staff   Blogs: Other Voices  
Critical Path: ENR's editors and bloggers deliver their insights, opinions, cool-headed analysis and hot-headed rantings
Project Leads/Pulse

Gives readers a glimpse of who is planning and constructing some of the largest projects throughout the U.S. Much information for pulse is derived from McGraw-Hill Construction Dodge.

For more information on a project in Pulse that has a DR#, or for general information on Dodge products and services, please visit our Website at www.dodge.construction.com.

Information is provided on construction projects in following stages in each issue of ENR: Planning, Contracts/Bids/Proposals and Bid/Proposal Dates.

View all Project Leads/Pulse »

 Reader Comments:

Sign in to Comment

To write a comment about this story, please sign in. If this is your first time commenting on this site, you will be required to fill out a brief registration form. Your public username will be the beginning of the email address that you enter into the form (everything before the @ symbol). Other than that, none of the information that you enter will be publically displayed.

We welcome comments from all points of view. Off-topic or abusive comments, however, will be removed at the editors’ discretion.