10/15/2013
Transportation Department will use state funds to pay federal contracts if national budget impasse continues
BOISE - Idaho will pay contractors working on federal highway projects and keep funding flowing to transit providers with state funds if the national government shutdown continues beyond Thursday (Oct. 17), the Idaho Transportation Board decided today.
“We want to honor the contracts that have already been awarded and keep people working,” said Idaho Transportation Board Chairman Jerry Whitehead. “If the federal government fails to reach a decision by Thursday, the alternative is to stop approximately $30 million a month in federal highway contracts and another $875,000 a month in transit services.”
The Idaho Transportation Department would make the payments to contractors and transit providers using state funds. When the federal budget crisis is resolved, the department would submit those payments to the federal government for reimbursement based on current contracts.
The transportation board will review its decision monthly if the budget crisis continues, Whitehead said.
“While it appears that Congress might be agreeing on a solution soon, the board decided it was important for the state’s contractors and their employees to know they can report for work after Thursday,” Whitehead said.