Transportation Secretary Yassmin Gramian told a Senate Transportation Committee meeting Monday, PennDOT will have to stop hundreds of ongoing projects and delay others scheduled to start because it is out of cash. No doubt, you have heard the same from your regional District Executive or ADE.
APC has been in touch with legislators throughout this period and we are learning that efforts are underway to find a temporary measure to keep the Department solvent and projects moving until the General Assembly reconvenes either next week (which is possible but unlikely) or January.
State Treasurer Joe Torsella has indicated he is looking at possible loans or shifting of monies to keep PennDOT operating. We are told that there will be more information about a possible solution as early as Tuesday, December 1. During Monday’s hearing, Secretary Gramian told legislators that progress toward a solution would keep projects moving and that PennDOT doesn’t necessarily need cash in hand.
Yesterday, APC executive vice president, Bob Latham, was interviewed by PennLive and the Allentown Morning Call. Latham reminded the media that the industry was already shutdown in March and this move would be devastating.
APC has also been in touch with the Department to discuss other potential contractual arrangements in lieu of project work stoppages. At this time, these are only preliminary discussions. Any such arrangement would be considered on a project by project basis and only if advantageous to both the Department and the contractor.
We will provide additional updates as necessary and during our next scheduled online membership update on Dec. 2. Go HERE to register for the only webinar update.