Date:  Tuesday, July 28, 2009

Contact: Melanie Coon, WSDOT Communications 360-705-7078

OLYMPIA – New employment data from state and local highway contractors showed Recovery Act work in Washington state doubled from May to June as more projects get awarded and underway. Work to deliver Washington’s recovery act highway projects is shifting into high gear, as $492 million in stimulus funding makes its way off the balance sheet and onto the road.

With more state and local stimulus projects now under construction, contractors have increased their hours worked with payroll and labor hours doubling from May to June. The employment data shows workers on Recovery Act-funded projects logged nearly 58,000 labor hours in June, compared to just under 29,000 hours in May. At an average salary of $38 per hour, workers are continuing to support their families and the economy.

"The number of orange cones and barrels on the highways is a good indicator that we are delivering on the promise to get our projects moving quickly to get people working this summer,” said Paula Hammond, Washington Transportation Secretary.

As of July 29, three ARRA highway projects in Washington state are substantially complete. The I-90 Yakima River to west Ellensburg Paving project finished ahead of schedule and on budget. Paving projects in the city of Conconully and in Garfield county are also complete. Washington currently has 106 projects that have been awarded to contractors or currently under construction. A total of 159 projects have been advertised to date.

As a whole, WSDOT has obligated $244.5 million (71%) of $344.6 million, with funds now obligated to 33 of 36 individual state projects. Local governments have obligated 84.4% of local funds, or $128.4 million of $152.1 million. Agencies have until March 1, 2010 to obligate the rest.

The Federal Highway Administration provided $492 million for state and local highway projects in Washington state, advancing projects and jobs to address high-priority highway preservation needs and fund low-cost, high-benefit transportation system improvements. According to the American Association of Surface Highway Transportation Officials (AASHTO), every $1 spent to preserve a road enables agencies to avoid spending $6-$14 to rebuild one that has deteriorated.

Washington state will deliver more highway projects with federal American Recovery and Reinvestment Act funds than first envisioned, thanks to the recent trend toward lower construction bids. Between July 1, 2008 and June 30, 2009, WSDOT awarded 172 contracts, 150 of which came in less than the engineers’ estimate. The average amount below the estimate for these 172 contracts was 17 percent. As of July 27, WSDOT has awarded 26 state stimulus projects worth 128.1 million. In total those projects have come in under the engineer’s estimate by 20 percent. Contractor bids on city and county stimulus projects around the state are also coming in lower than expected, allowing local agencies to deliver an additional $20 million in highway construction projects.

Washington state is administering the American Recovery and Reinvestment Act investments with an unprecedented level of transparency and accountability. Gov. Gregoire created a Web site, www.recovery.wa.gov, so every Washingtonian can see where tax dollars are going and hold government accountable for the results. On the federal level, President Obama has appointed Vice President Biden to oversee all states’ recovery efforts and to root out waste and fraud. This combined oversight will ensure taxpayer dollars are put to good use and recharge the economy.

WSDOT keeps people, businesses and the economy moving by operating and improving the state's transportation systems. To learn more about what we're doing, go to www.wsdot.wa.gov/news for pictures, videos, news and blogs. Real time traffic information is available at www.wsdot.wa.gov/traffic or by dialing 5-1-1.

< Go Back