10.07.09
Texas still on the hook for TTC money
While the GOP candidates bicker over who is more responsible for the neglect of our transpiration infrastructure here in Texas: Perry or Hutchison:
At a news conference Wednesday, Transportation commissioner Ted Houghton — a Perry appointee — jokingly introduced himself as “the most arrogant commissioner of the most arrogant state agency in the history of the state of Texas.”
That brought a sharp rebuke from the Hutchison campaign.
“The Trans-Texas Corridor will not be officially dead until Rick Perry is no longer governor and his political appointees are no longer running TxDOT,” said Hutchison spokesman Joe Pounder. “While TxDOT is touting their arrogance, Texans don’t think Rick Perry’s record of wasting millions is anything to be proud of.”
Perry spokesman Mark Miner complained that Hutchison had done too little to get federal highway funds for Texas while Perry pursues solutions to traffic gridlock.
“Despite the senator’s inaction, Governor Perry will continue to find solutions to meet our state’s growing population and economic needs.”
Democratic candidate for Governor Hank Gilbert points out what a financial mess the transportation issue has become in Texas, Gilbert Warns That State Is Still On Hook For TTC Billions.
Although the Texas Department of Transportation is claiming the controversial Trans Texas Corridor is dead, Democratic Gubernatorial Candidate Hank Gilbert today warned Texans that the state is still likely on the hook for billions for terminating its contract with the company hired to build TTC 35.
Gilbert, who led the charge to kill the Trans Texas Corridor over the last several years and co-founded Texans Uniting for Reform and Freedom, an anti-toll road organization with San Antonio activist Terri Hall, says the TTC will get the most expensive funeral of any project in state history.
“At a time when our state budget is already stretched to the limit, I’d love for Governor Perry to tell us where the money is going to come from to pay off Cintra-Zachry for terminating this contract. They’ve already paid the state $1.2 billion in concessions to develop this giant land grab. You can’t tell me they aren’t going to get that—and more—back from the state and Texas taxpayers,” Gilbert said.
Cintra, a Spanish-owned company, partnered with Texas-based H.B. Zachry Construction to bid on and ultimately win the contract to build TTC 35, which the Texas Department of Transportation today announced was dead. TxDOT made a similar pronouncement in January.
“This is the second time TxDOT has allegedly killed the Trans Texas Corridor. Vampires die quicker than Rick Perry’s transportation policy,” Gilbert said. “I suspect the reason the death has been so slow is because the state has been wondering exactly how it will pay to terminate the agreement,” Gilbert said.
While Ben Wear at the AAS, does Perry’s bidding for him takes issue with the numbers, it’s not clear how much exactly this will ultimately cost the taxpayers of Texas. But anyone can see from this tollroadnews.com link, Cintra/Zachry complete legal work on $1,360m financial close with TxDOT on SH130 5 & 6, and this document at keeptexasmoving.com, overview of CDA agreement [.pdf], that it was going to be quite the boondoggle.
Private investment of $6 billion to fully design, construct and operate a fourlane, 316-mile toll road between Dallas and San Antonio for up to 50 years as the initial segment of TTC-35
Payment to the state of $1.2 billion for the long-term right to build and operate the initial segment as a toll facility, which the state may use to fund road improvements or high-speed and commuter rail projects along I-35 or the TTC-35 corridor.
It’s likely Texans will never know exactly what was in these agreements, and it looks like, at least for now, we will never have to find out. Without a change in the power structure in this state all the work of rural Texans, groups like Texas TURF, and people like Hank Gilbert may be for not. This TTC been diverted, for now, but without a change it can, and likely will be revived, albeit under a different name.