The 2010 Florida Legislative session begins this week. The challenges have never been higher for Florida transportation stakeholders. The budget deficit makes our State Transportation Trust Fund (STTF) an easy target. Lawmakers cannot help but eye the "big pot" of money in the STTF.
Is it really a "big pot" of money? History demonstrates it clearly is not. Let's take a stroll down memory lane. In 1989 the FDOT had a serious cash crisis, leading many to describe it as the time "FDOT went broke". Contracts were cancelled, payments to contractors were delayed, contract lettings came to a grinding halt and massive layoffs occurred. This happened because government leaders felt FDOT had a huge surplus of cash that needed to be spent down. To their credit in 1989 the spending was at least directed to transportation and not General Revenue. In 1989 FDOT had approximately $180 million in the bank before the big spend down. At that same time FDOT had commitments (owed contractors) $744 million. The ratio of cash to commitment was roughly 4 to 1. FDOT always owes more than it has on hand because jobs pay out over months and years, not all at once. The ratio of 4 to 1 was enough to cause financial chaos at FDOT and create a large slowdown in construction.
Let's fast forward to 2010. FDOT has approximately $600 million in the bank but owes $100 million of that to GR before the end of the year as part of last year's budget "sweep" of the trust fund. In effect we have $500 million in the trust fund. FDOT's current commitments exceed $6 Billion. That's cash to commitment ratio of 12 to 1! Do you still think FDOT has a surplus? The answer is clearly no.
I found a hose throw costa rica homes for sale and I can´t wait more time to go there. But I never went before. So is important to me to know about the transportation in the country which is vey beautiful. How ever, I heard the transportations is really good.
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