State Highways Could Benefit From Stimulus Packages
Last updated Wednesday, November 19, 2008 8:20 PM CST in News
By Rob Moritz
THE MORNING NEWS
LITTLE ROCK -- Arkansas could receive up to $177.5 million for highway projects under competing economic stimulus packages being considered by Congress, the director of the Arkansas Highway and Transportation Department said Wednesday.
Highway Department Director Dan Flowers updated the Arkansas Highway Commission on the proposed stimulus packages, one in the House and one in the Senate, and said he expects a vote early next year.
Congress is debating whether to allocate money to states for highway and infrastructure projects as a way to boost the ailing U.S. economy. Flowers said the packages being considered range from $12.2 billion to $17.4 billion.
"We're very hopeful the stimulus package will evolve," he said.
Flowers said if the federal stimulus package is approved, the highway department would have to have to have projects ready so bids can be awarded and projects under way within 30 days.
He said the department has 99 projects valued at about $690 million ready, if the federal money does flow to Arkansas.
"They're looking at ready-to-go projects and we've got plenty of projects on the shelf waiting for contracts," Flowers said.
"There are short-term benefits to a stimulus package, quick projects, resurfacing projects, certain repairs that need to be done," he said. "We can let the contracts real quick."
He told commissioners revenue from motor fuel taxes is down about 2 percent so far this fiscal year.
"We continue to see a decrease in gasoline consumption over the last nine months, and over seven months we've seen a decrease in diesel consumption," he said, adding that the recent drop in gasoline prices might help curb the slide.
"Do we need to encourage the motoring public to buy more gas?" asked outgoing commission chairman Jonathan Barnett.
"Absolutely," Flowers responded.
He said permits and penalties are up about 46 percent, and credited new computer software and the natural gas production going in northern and north-central Arkansas for the increase.
"I'm not sure we need to make any more changes right now" to the department's budget, Flowers said.
The department presented its $1.5 billion operating budget for the 2009-2010 fiscal year to lawmakers last month. About $354,000 comes from general revenue and includes funding for three new bridge inspectors and three assistant bridge inspectors.
Reader Comments (No comments posted.)
The following comments are provided by readers and are the sole responsibility of their authors. The Morning News does not review comments before their publication, nor do we guarantee their accuracy. By publishing a comment here you agree to abide by our comment policy. If you see a comment that violates our policy, please notify the web editor.
Not already registered?
