Monday, July 23, 2007

PAT's costs are over budget already

Pittsburgh PA - The Port Authority of Allegheny County (PAT) is struggling to come up with excuses on the much touted (by PAT at least) North Shore Connector rail project. The project, which just recently started a few weeks ago, is already positioned to go through half of its $9 million dollar contractor contingency fund due to unexpected problems.

The totally unneeded $425 million project, pushed for by former PAT Executive Director, Paul "Captain Scuttles" Skoutelas, will connect Downtown Pittsburgh to the North Shore across the river. That, boys and girls, is less than a mile walk.

Overall, PAT has a $19 million dollar contingency fund for overruns. $9 million of that is for contractor overruns. Considering that the work just started and over $4 million has had to be drawn against the contingency fund already, prepare of one hell of an expensive project.

It is obvious that PAT's contractors, engineering and consultants failed to do their job. Soft ground? Ummm, why didn't you take core samples before you started work. What a bunch of idiots.

What will really make this North Shore Connector a disaster in the making is that no more Federal, state or local money will be pumped into the project. The public and political backlash from the lies of PAT's management have cost them dearly. When the plan was being pushed and even right up until work started, PAT claimed everyone wanted it. Management waved studies and polls around which weren't worth the paper they were printed on as they were totally fabricated. The truth is that only PAT wanted this subway extension. The public didn't want it, politicians were against it but yet the false studies and polls were accepted by the FTA for funding the project. The FTA stated earlier in the year that they wouldn't have approved the project had they known the truth which was that the politicians and public didn't want this project done due to PAT's financial crisis (which PAT officials also lied to the Feds about).

If this project runs through its $19 million contingency fund, work will have to cease regardless of how far along it is. Given that most every transit project out there goes way over budget, I'm projecting that when all is said and done, the North Shore Boondoggle will go from a $425 million project to a minimum of a $600 million dollar project. Where will that additional money come from? You got it, PAT officials will cry and whine about it before punishing the riders once again by slashing existing service and raising fares even though they can't use the money from that to pay off the project due to different funding types (but they'll punish the riders anyway). They must complete it or the Feds will want their money back on the project.

By the time that Steve Bland arrived at PAT in 2007, it was too late to stop the project without losing millions of dollars through having to pay contractors, engineers and consultants for something never delivered. PAT still should have stopped it. It would have been far less costly for the cash strapped agency to cancel it than to go ahead with it.

In the end, Paul "Captain Scuttles" Skoutelas will get his personal legacy line that he pushed so hard for. Ironically it will not be the legacy he wants but a new legacy. One of excessive greed, mismanagement and plain incompetence. Congratulations Paul, you've earned it!

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