MnDOT receives no bids for Crosstown highway project
ST. PAUL – No construction companies submitted bids under the unusual terms set by the Minnesota Department of Transportation for a project to ease congestion at the Interstate 35-Highway 62 bottleneck in the Twin Cities.The department’s announcement on Friday means that it is unlikely that ground will be broken on the project this year.
“MnDOT is disappointed that the I-35W/Crosstown project proposal did not receive contractor bids,” said Bob McFarlin, an assistant to MnDOT commissioner Carol Molnau.
Contractors were uneasy with the unorthodox financing plan that would have required them to provide money to keep the work going between state payments.
“There was just too much risk for there to be viable proposals,” said Dave Semerad, chief executive of Associated General Contractors of Minnesota. He said contractors were not sure they would be paid back.
The redo was likely to cost $250 million. The project has been short of money because the federal government has been slow in sending its share of the construction funds to Minnesota.
Companies who bid would have had to front the state $96 million until the full federal funding was available in 2008.
Attorney General Mike Hatch’s office questioned the process and concluded it might be illegal.
The DFL Party, which has endorsed Hatch for governor, reacted swiftly to the lack of bids, saying it raises questions about Pawlenty’s ability to handle the state’s transportation needs.
“Today we learned that no one else is willing to play his games – and it’s already hurting Minnesota,” said DFL Party chairman Brian Melendez in a news release.
Couldn’t someone have bid $750 Million, gotten the bid just by way of being the only bidder, and counted $500 Million as the cost of taking the risk of getting nothing at all?
As one caller to the radio show I heard this on said, for $250 Million, I’ll go out there with a wheel barrow and a shovel!!