#5 - So how poor is LTD right now?

Well, not very poor, if you can read the budget document. There are many millions laying around in the budget and not expecting to be spent. The Budget Message said:

"Engineering plans for the EmX Franklin Corridor were completed. This corridor is scheduled to be operational in the fall of 2006. (source Hamm 2004-05 budget message)
But the Fiscal Year 04-05 budget suggests that the BRT (I refuse to call it that most ridicules of names EmX) will be built and ready by June 30, 2005. The capital budget shows more than $21 million dollars for the BRT. It also looks like they are hiding the BRT boarding platform costs in the PBI/Facilities capital budget where there is another $2.6 million. Or they are replacing all the bus shelters this year? Ya think? I doubt it. Lest we forget, the LTD Capital Fund is buying a new building for RideSource. Isn’t that nice? Just another $1.2 million, not for LTD services, just nice new stuff for the sub-contractors of the Diamond Express. That adds up to $24.8 million. All added up, probably double the cost of the ATU payroll and benefits for the same period. Ouch!
Well, you and I both know that the damn BRT won’t be built by the end of 2005. They will start whacking away at it, but it will be mostly unfinished, is my bet – delayed by land use lawsuits or other mismanagement. Plus this budget has $1 million for construction of Pioneer Parkway – a leg that has no federal funding and not enough local funds to build it. But what the Parkway looks like to me is a place to park $1,000,000. Out of reach of public services and employee bargaining. That’s nice – lots of shade trees to keep the dough comfortable.
Now let us take a peek at the Operations hidden money. There’s a line in the budget called "Reserves – Working Capital for $5.3 million. Someone needs to explain to employees what the hell this money is for - poor management slop over maybe? Transfer to Accessible Service $1.2 million that we discovered in capital budget for nice new shiny facilities for sub-contractors and $1 million for Self Insurance reserves. What! – but we have insurance? The schedule in the budget document couldn’t use up a million no matter what. So this is at least another $7.5 million.
Now Joe Hill knows, and the rest of you know, that they will spend some of this money the way they plan to, but not all this year. And it is questionable whether they will spend the way they say they will in the long run. But the more important question is should they build the BRT now, or even ever? The District is tying up millions and millions of dollars for the BRT while making service cuts in two consecutive years. The rainy day fund – the operations contingency – now a puny $1.5 million, is still enough to prevent service reductions in regular service. But you have to have some contingency. Well, just bring back some of that capital money and build it up later as the economy improves. That way our primary service need not be cut, and employees can get a fair treatment at the bargaining table.
Could somebody please take Ken Hamm an umbrella and tell him that it raining.
Solidarity forever,
Joe Hill
You can contact Joe Hill by emailing to joehill_1915@hotmail.com