Following the transportation money

In the midst of an unprecedented boom in construction only a few years ago, it seemed like everyday brought news of more cost overruns on another publicly-funded project.

However, with commercial and residential construction all but dried-up due to the struggling economy, Washington State Department of Transportation officials are encountering a much different scenario.

With a steep reduction in the cost of materials and a more competitive bidding environment among builders, recent highway projects are coming in well under budget.

While that may not be great news for the region's hard-hit construction sector, the savings are proving to be a much-needed boon for motorists, highway engineers and Washington state taxpayers alike.

Injected with federal stimulus funding, and in some cases, continuing proceeds stemming from a state nickel-tax on gasoline instituted in 2003, regional transportation planners are finding they are able to stretch taxpayer dollars even further on both maintenance and new highway projects.

"The amplitude of the cost changes have never been this extreme before," said Brian McMullen, Southwest Region program manager for WSDOT.

It was just three years ago that transportation officials were forced to absorb a 30 percent cost escalation caused by a series of destructive Gulf Coast hurricanes, increased development in huge Asian markets such as China and a spike in new-home construction throughout the U.S.

"Because of the cost involved, the painful parts were never addressed," said Bart Gernhart, WSDOT regional engineer. "Now we are going back to that badly-needed maintenance work."

Transportation officials already used the savings from the decreased cost of commodities like oil – a key ingredient in asphalt – along with federal stimulus cash to repair roadways damaged by a series of freeze-thaw cycles during last year's tough winter season, according to Gernhart.

The overall drop in costs may also help ensure vital regional transportation projects, such as the recently green-lighted Salmon Creek Interchange effort funded by the state nickel-tax, remain on time and under budget.

And there may be yet another benefit of the new transportation funding landscape – increased man-hours for construction workers idled by the residential and commercial building slump.

"We are putting more people – flaggers, asphalt pavers – to work," Gernhart said. "So instead of working six months, they are working eight months before getting laid off."

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