The Soy Transportation Coalition has released a report entitled “Predictable Funding for Locks and Dams”. The analysis coincides with concerns regarding the deteriorating condition of the nation’s inland waterway system. Soy Transportation Coalition Executive Director Mike Steenhoek says the report indicates one of the main obstacles to upgrading and maintaining the lock and dam system is funding is irregular and comes in a piecemeal fashion.
He says that irregular funding is a recipe for cost overruns and project delays.
Steenhoek says their report looked at a $500 million project over five years and the results under both reliable and unreliable funding scenarios.
Steenhoek says when funding is unpredictable the amount available for construction is eroded from three sources, including inflation, mobilization costs and making incremental purchases versus bulk purchases.
