Gregoire's Power Grab Imperils Key Public Works Fund
By Ralph Nichols | 11/01/08 | 12:10 PM EDT | 0 Comments
Halloween is over, but the Gregoire administration has another trick to play on an unsuspecting public - one that eventually could imperil public safety, community by community, across the state. This power grab by the Department of Community, Trade and Economic Development (CTED) rivals Democrat Gov. Gregoire's projected $3.2 billion budget deficit in its contemptible disregard for responsible government.
As CTED absorbs the Public Works Trust Fund and the nonpartisan, independent Public Works Board, which administers it, the fund will be politicized and this valuable program diluted. The department has provided staff support for the board. Now the election of Dino Rossi as governor appears to be the only thing that can save the fund as it currently exists.
The state's Public Works Trust Fund was established in the mid-1980s following a bridge collapse on the East Coast when a bipartisan group of legislators decided to set up a fund for critical infrastructure projects - roads, bridges, water, sewer, waste water and storm water. Loans by the fund, which have been prioritized and granted solely on the basis of need, have been repaid with an interest below market rate - 0.5 percent - so these necessary projects could get done.
Until Gov. Gregoire took office, the fund operated free from political influence. But in the last three years, as CTED has consolidated state loan and grant programs within the agency, the Legislature has taken money from the Public Works Trust Fund account and appropriated it for other uses. Critics charge that it has taken just three years for the Governor, the Legislature and the Department to undo what Public Works Board has accomplished with this fund over 20 years.
The goal of the Public Works Trust Fund has been to serve communities based on need by getting money to local governments and special taxing districts so infrastructure projects essential for public safety and health can get done without delay. But now they are being forced to compete with other programs for funds once dedicated to these public works.
Critics also note that as CTED gains greater control over the fund, the Public Works Board will lose its autonomy to make decisions on individual projects based on need. Instead, the CTED Director will determine project priorities and funding.
Says one former board member, "This was a phenomenal program. We kept politics out of it.... We looked at what was best for everyone. Our goal was to get money out there so we don't have a huge infrastructure disaster, so our infrastructure would not be lost."
Many past and present members of the Public Works Board maintain that the Legislature created the board as an independent authority. They note that CTED was given the responsibility of supporting board employees in matters such as payroll and other human resource responsibilities, but these CTED staff members were to report to and work for the board. This includes the Executive Director.
Four years ago, the Public Works Board considered moving out of CTED and having another agency manage staff responsibilities, thus breaking completely with that department. But this plan never was carried out because a number of board members were replaced shortly after Gov. Gregoire came into office by her own appointees.
Gov. Gregoire, upon assuming office nearly four years ago, said she was concerned about the number of grant and loan programs spread among 12 state agencies. She called the existing grant and loan application process an "Easter egg hunt" on which local governments and special districts had to go to find funding for their projects. She instructed her staff and state agencies to find ways to make the system work better for local loan and grant applicants.
CTED officials have said the department has no intention of seeking legislative authority to consolidate the states various grant and loan boards into a single board, or to move funds from the Public Works Account. But administrative reorganization proposed in the name of efficiency and cost savings would make it easy for additional changes that many fear to occur.
Now CTED is consolidating these programs as quickly as possible, raising a red flag for the Public Works Board as its members see the department moving toward control of the Public Works Trust Fund, imperil fair and balanced funding for vital local infrastructure projects, and further tighten the Gregoire administration's grip on state government.
That is happening to the Public Works Trust Fund is nothing less than another gross abuse of power, fueled by a radical arrogance of power, that permeates Democrat-dominated Olympia. Only the election of Mr. Rossi, for a change, will reverse this direction and restore sanity and responsibility to state government.
Ralph Nichols writes on public policy and legal issues from the Seattle area. He can be reached at ranichols2@yahoo.com.
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