By Marc Joffe : mercurynews – excerpt
Change construction methods after setbacks of Salesforce Center, Bay Bridge, BART to San Jose, high-speed rail
In the Bay Area, we’re witnessing one transportation infrastructure setback after another. Too many projects are late, over budget and provide limited benefits, leaving travelers stuck in traffic.
Local leaders should consider policies to make infrastructure projects less costly and more reliable. Shifting risk onto the private sector and using more standard technologies are two such policies.
The latest setback is the closure of the $2.2 billion Salesforce Transit Center due to construction defects. Besides a rooftop park and an unused high-speed rail terminal, the elaborate structure includes overpasses spanning Fremont and First streets.
The structural integrity of these two overpasses is now in doubt. Since the terminal will only handle about 20,000 riders per day, it could have occupied a much smaller footprint, obviating the need for overpasses…
Whatever technology officials choose for intercity rail and other transportation projects, they should award projects on a Build Operate Transfer (BOT) basis. Under BOT, a private contractor has responsibility to complete the project and establish service for a predetermined cost, eventually turning it over to the government. The contractor gets the opportunity to make extra profits, but the company takes on the risk of losses when construction costs exceeds budget or revenue service is delayed.
While for many Bay Area progressives, public-private partnerships may be a dirty word, the fact is that all our major infrastructure projects involve private contractors. The operative question is not whether companies have a role, but whether they have incentives to get projects done on time and within budget.
Marc Joffe, a Bay Area resident, is a senior policy analyst at the libertarian Reason Foundation... (more)