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ODOT plans $100M savings
YOUNGSTOWN
The deputy director for the Ohio Department of Transportation brought his message of public-private partnerships, selling naming rights to infrastructure, leasing the Ohio Turnpike and commercializing highway rest areas to a packed room of local government officials.
Jim Riley was named director of ODOT’s new Division of Innovative Delivery in March. He spoke Wednesday at Eastgate Regional Council of Government’s general-policy board meeting.
Riley addressed the crowd after John R. Getchey, Eastgate’s executive director, outlined budget constraints from the state and federal governments, particularly as Congress continues to negotiate and debate the surface-transportation bill.
The Senate has approved a two-year, $109 billion surface transportation reauthorization bill, while the House has approved a short-term extension.
“We don’t anticipate a lot to happen before the presidential election,” Getchey said.
Against that backdrop, Riley outlined how “ODOT is behaving differently,” considering the state needs $1.6 billion for over- budgeted construction and another $10 billion for projects in development.
ODOT plans to save $100 million over two years through attrition and already has gone from 5,300 employees to 5,000 employees statewide, Riley said.
The antiquated rest areas along Ohio’s highways, about 100 total, cost about $50 million annually to maintain and improve, Riley said, and although the state isn’t permitted to lease the rest areas on interstates, there are 57 rest areas on noninterstate highways, and those could be commercialized by private companies.
The third prong of the immediate plan is to offer sponsoring and naming rights for bridges and interstates, possibly generating up to $25 million annually, he said.
“We would still dedicate and that wouldn’t change. ... But I go to Progressive Field [a Cleveland baseball stadium], why can’t I cross the State Farm Bridge instead of the Innerbelt bridge, for example?” Riley asked.
As Riley discussed the Ohio Turnpike study to possibly lease or sell the road, several people in the crowd shook their heads in apparent disagreement.
“The study under way looks at all options: Do nothing, ODOT operating it, a full concession and everything in between,” Riley said. The turnpike is operated by the Ohio Turnpike Commission.
Struthers Mayor Terry Stocker, chairman of Eastgate’s general policy board, asked about the turnpike’s traffic value. Riley said the numbers hit “rock bottom” in 2008, but are now back up to pre-recession levels. The 241-mile turnpike averages about 22,000 cars and 10,000 trucks daily.
The turnpike study should be done at the end of this year, Riley said.