|

GCN Special Report - A History of Deception
MDOT Will Never Have Enough Money
After having
gotten all of the federal funds mentioned previously; having had
the Vision 21 bill passed in March 2002, which said that the 1987
Four-Lane Program would be finished in approximately four years which
would free up the taxes going into that program for other uses,
including roads in Harrison County and others; and the extension
of the expiration date of the Gaming Road Tax extended to
2024, the following information came out of MDOT:
A SUN HERALD
article dated 5/5/04, titled “Budget worries MDOT director,”
revealed that Butch Brown had reason to be concerned as follows:
Last year, the Legislature took $50 million from MDOT’s budget to fund
other programs. Some Senate leaders have already approached Brown and
his staff about taking an additional $44 million of MDOT’s current budget
to shore up a shortfall in this year’s budget.
Vision 21, a priority list of road projects in the state, is supposed to
ramp up in 2006. MDOT scheduled to spend $200 million on
construction for roads in that plan. If money isn’t restored to MDOT’s
budget, many of those projects will go unfunded, including the
Gulfport Connector road.
The Biloxi connector road, which has been a flashpoint in a rocky
relationship between MDOT and Coast leaders, is not included in any of
the state’s road plans. (Remember this statement for the following
articles)
But it is obvious that the need in East Biloxi is great, Brown said.
“There are nine lanes in and nine lanes out of the Biloxi
peninsula. All of those roads are at capacity. (Remember, this is
before Katrina knocked out two main bridges.)
A SUN HERALD
news article dated 5/21/04, titled, “Biloxi connector road loses
funding source,” reveals the following:
Prospects are dimmer for a new highway in Biloxi to link U.S. 90
and Interstate 10 because the Legislature took road money to
pay for teacher pay raises and cover other budget shortfalls,
Transportation Commissioner Wayne Brown said Thursday.
Last year, the Legislature took $50 million in MDOT funds. This
year, the Legislature, with the approval of Gov. Haley Barbour, took about
$130 million. MDOT’s share of casino revenues…was reallocated to the
state general fund.
“One of the things I had been pushing hard to do is use that to
bond the Biloxi connector…I don’t know of a better place that money
can be invested,” (Wayne) Brown said.
MDOT also did not actively support federal funding for another Biloxi
project. The city asked for Brown’s support in obtaining federal funding
for a new Popp’s Road Bridge as a stop-measure to improve traffic flow
until a new connector highway can be built.
MDOT has
found yet another way to feed the MDOT money machine.
Revenue
Bonds Issued by Counties Helps Fuel MDOT Money Machine
A SUN HERALD
news article dated 1/25/05, titled, “Gulfport to get four-lane
highway,” reveals the following:
Harrison County supervisors will borrow up to $300 million to
provide for construction of a new four-lane highway in Gulfport.
Under an agreement announced Monday, the Mississippi Department of
Transportation will repay county revenue bonds with an 80 percent
match from the federal government and 20 percent from the state.
MDOT can take advantage of federal funding by building the road to
interstate standards, cutting construction time from 16 to six years,
said Wayne Brown…
Money for construction will be borrowed in installments. The first
installment of up to $70 million will be used for design work and
to acquire rights of way.
Supervisor Larry Benefield, who worked with MDOT on the plan, said, This
is truly, truly great for this county.”
A SUN HERALD
editorial dated 1/26/05, titled, “New highway plans sound, well,
too good to be true,” reveals the following:
The highway project announced this week in Gulfport almost has to be
too good to be true…
Can a similar approach be taken to construct a new north-south
roadway between I-10 and the beach in Biloxi: Or was this a once
in a generation opportunity and Gulfport just got lucky?
A SUN HERALD
article dated 1/26/05, Biloxi may get a new highway, too,”
bylined, “Cost could equal Gulfport’s $300 M north-south rout,” reveals
the following:
The Mississippi Department of Transportation plans to request proposals
to begin design work for a north-south connector in Biloxi.
MDOT already is moving ahead with plans to build a north-south
connector in Gulfport to interstate standards. Harrison County
has agreed to borrow up to $300 million in increments for
the project. MDOT will repay the debt with 80 percent federal
and 20 percent state funds.
Butch Brown…and Wayne Brown said Tuesday they are determined to find
funding for the Biloxi connector, too. It is also estimated to cost
roughly $300 million.
“That’s news to me, but it’s good news,” Biloxi Mayor A.J. Holloway
Said….With the growth we have and the growth we’re getting, we’re really
in a bind.”
A SUN HERALD
news article dated 6/29/05, titled, “Connector gets boost from
county bond issue,” reveals:
The Board of Supervisors has voted to move forward with a $160
million bond issue, which they had agreed to do in January….The
state agency (MDOT), which does not have borrowing authority, will
cover the cost of the revenue bonds.
“We’re in the first $160 million of a $300 million project that will carry
us through the first phase, “said Supervisor Larry Benefield. “About $68
million will be for right of way acquisition and engineering.”
Benefield said the bond issue would be repaid at “absolutely no coast to
the local taxpayer…We’re just the vehicle for the state MDOT,” he
said. “It’s a new way of financing for highway construction.”
The above
mentioned SUN HERALD editorial dated 1/26/05, titled, “New
highway plans sound, well, too good to be true,” is apparently, in
reference to the old adage that just about everyone has heard; “If it’s
too good to be true, it probably isn’t. MDOT Commissioner, Dick
Hall spoke about the use of bond funds issued, by local governments
for highway work, in which it appears that the MDOT money machine is
fueled by multiple sources.
MDOT
May Already Have Encumbered Future Federal, State Funds
A SUN HERALD
article dated 8/20/05, titled, “Road chief worried about new
highway funding technique,” bylined, “Debt will fall on state, he
believes,” revealed the following:
Transportation Commissioner Dick Hall says he’s concerned
about an apparent move to let local governments repair or build highways
by issuing bonds that ultimately will have to be repaid by the state.
Hall, who represents the central district, said the commission agreed
to test the funding technique with a single project involving
Tunica County.
“Before the ink was dry, we were facing commitments of up to $600
million in new long-term debt—just since January,” Hall said.
“Frankly, this is nothing but a way to bypass the Legislature.”
The funding technique is being used despite the absence of
enabling legislation and there’s no oversight by the state Bond
Commission, he said.”
“We’ve got to pay that back out of your future fuel taxes
(1987 Four-Lane Program) and the state funding,” Hall said. This doesn’t
only obligate state funding; it also obligates hundreds of millions of
dollars in future federal funds. It’s a concern to me as a fiscal
conservative. We’re seeing no sign of slowing down.”
Rep. Greg Snowden, R-Meridian said he agrees with Hall. “This is
allowing local government to proceed on the state’s nickel,” Snowden
said. “We’ll have to put the brakes on it.”
The above
words of Dick Hall place all of the promises of Wayne Brown and Butch
Brown that they are going to do Coast roads in an entirely
different light. They have repeatedly promised that the Coast roads
and others will be done after the Vision 21 program is complete,
freeing up the state gasoline taxes, and the obtaining of future federal
funds for these roads. Now, it looks like those funds may well
have already been encumbered. One should reflect on all of the
previous promises as set forth in the previous news articles as well as
the promises in the succeeding articles.
A SUN HERALD
article dated 6/29/05, titled, “New road upheaval feared,” reveals
the following in regard to the Biloxi Connector:
Butch Brown…what’s left to do is the engineering of the road, the buying
of the right of way and construction, which could begin 2010.
He said the 6-mile road has a $300 million price tag and 80 percent of the
money will come from the federal government.
Brown said the probable six-lane road is back on the “front burner.”
Brown said, “What I can tell you is we are in the mode to build the
East Harrison Connector, and we can fund it without any new taxes.”
A SUN HERALD
news article dated 8/10/05, titled, “Connector’s path not yet
determined,” bylined, “Neighbors question MDOT,” revealed the
following about the Biloxi Connector:
An anxious overflow crowd packed the lecture hall of Biloxi High School
Tuesday night to hear Transportation Commissioner Wayne Brown answer
questions about a road that would run through the North Bay area.
Brown told the crowd the road’s exact path has not been determined
and will not be set until the engineering is done sometime within the
next three years, and then the Mississippi Department of
Transportation will make the determination on which properties and
businesses will be bought.
A WLOX TV
news article dated 8/10/05, titled, “Biloxi Residents Speak Out
Against North-South Corridor revealed the following:
Hundreds of South Mississippians met Tuesday night to discuss plans
for a controversial North-South connector.
Wayne Brown tried to address residents’ questions and concerns. Many left
the meeting feeling little was accomplished.
“The poor gentleman couldn’t answer the questions because those are
political policy questions. And what’s happened here is our political
structure isn’t addressing the needs of the people. What people are
wanting to know here is how do we stop this?” Dr Greg Garcia asked.
16
NEXT
RETURN TO MAIN DIRECTORY |