Last week, there was a new development in the ongoing debate over the transportation budget in Wisconsin. The Legislative Audit Bureau (LAB) released its long-awaited audit of the State Highway Program within the Department of Transportation (DOT).
First, it is important to know that the audit is not a comprehensive review of DOT. It looked at specific areas, so there is significantly more to this discussion than the audit; however, it highlighted the need for significant reform within the DOT. A lack of transparency has led to costly overruns on projects, which is unacceptable moving forward. The audit revealed the following key points:
- Cost estimates have more than doubled for 16 major projects, resulting in an unanticipated $3.1 billion in taxpayer costs.
- On 35 projects, expenditures exceeded cost estimates by 111%.
- More than $300 million in savings was missed as a result of DOT missing its own goals and performance metrics.
- The audit did not even examine the potential savings that could be realized through reforms such as prevailing wage and better leveraging private sector solutions.
The audit identified 24 recommendations to rightsize DOT's expenses. To fix the problems outlined in the audit, the Legislature should focus on implementing LAB's recommendations and other major solutions to our spending problem. This, and other significant cost saving opportunities, provide a clear focus for the legislature moving forward.
To view the entire LAB report, click here.
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