1 AASHTO Internal/External Audit Subcommittee CDOT’s Implementation of the American Recovery and Reinvestment Act (ARRA) Charles Meyer CDOT Recovery Act Coordinator

2 The Recovery Act - Summary Why is ARRA so important Why is ARRA so important Allocation and Planning Allocation and Planning Delivery Delivery Lessons Learned Lessons Learned

What Was at Stake? Reputation and Public Trust Reputation and Public Trust Funding Funding Integrity Integrity Contributing Factors: Contributing Factors: –Increased national scrutiny GAO focus state GAO focus state –Added provisions in ARRA that posed new risks Reporting data Reporting data EDA EDA Timelines Timelines 3

4 Allocation and Planning Planning Planning Allocations Allocations –Highway - $385.3M –Transit - $121.3M ($12.5M CDOT) –Airports - $37M –Discretionary Grant - $900k –Workforce Training - $610k * DRCOG reduced by $18.6M flex to FTA = $37.3M * Statewide total reduced by $18.6M flex to FTA = $385.3

5 Program and Project Requirements Governor Certifications Governor Certifications –MOE, 1511, 1607 Competitive Procedures Competitive Procedures TIP, STIP TIP, STIP Prohibited Uses Prohibited Uses Specifications Specifications –DBE, OJT, ARRA Sign, Buy America, Davis-Bacon, Jobs Reporting

6 Project Selection and Delivery Project Types Project Types –Highway Reconstruction – 33% Reconstruction – 33% Resurfacing - 25% Resurfacing - 25% Bridge construction, replacement, repair – 15% Bridge construction, replacement, repair – 15% Safety – 10% Safety – 10% Pedestrian and Bicycles – 15% Pedestrian and Bicycles – 15% Landscaping, buildings – 2% Landscaping, buildings – 2% Training – 0.2% Training – 0.2% –Transit New construction New construction Upgrades Upgrades New equipment New equipment Operating Operating

7 ARRA Projects – CDOT Examples Rehabilitation, resurfacing, reconstruction, new construction, safety, mobility, enhancement, cable guardrail, bridges, roundabouts, shoulders, passing lanes, bike path, signals, intelligent transportation systems devices, interchanges, intersections Rehabilitation, resurfacing, reconstruction, new construction, safety, mobility, enhancement, cable guardrail, bridges, roundabouts, shoulders, passing lanes, bike path, signals, intelligent transportation systems devices, interchanges, intersections I70 Frisco to Vail Resurfacing ($10M Total / $8M ARRA) I70 Frisco to Vail Resurfacing ($10M Total / $8M ARRA) US 85 / C470 Santa Fe Flyover ($26M / $5M) US 85 / C470 Santa Fe Flyover ($26M / $5M) US 24 Bridge Replacement in Peyton ($3.5M / $3.5M) US 24 Bridge Replacement in Peyton ($3.5M / $3.5M) I70 Exit 116 Interchange congestion relief in Glenwood Springs ($3M / $2.5M) I70 Exit 116 Interchange congestion relief in Glenwood Springs ($3M / $2.5M) SH 34 Brush to Akron Chip Seal ($1.8M / $1.7M) SH 34 Brush to Akron Chip Seal ($1.8M / $1.7M) US 160 Shaw Creek to Del Norte, 2 phases ($9.5M / $9M) US 160 Shaw Creek to Del Norte, 2 phases ($9.5M / $9M) C470 Resurfacing and Bike Path Santa Fe to I25 ($32M / $31.5) C470 Resurfacing and Bike Path Santa Fe to I25 ($32M / $31.5) I70 Median Cable Rail installation ($0.3M / $0.3M) I70 Median Cable Rail installation ($0.3M / $0.3M) SH 340 Fruita Signalization ($1.7M / $1.6M) SH 340 Fruita Signalization ($1.7M / $1.6M)

ARRA Projects – Local Agency Projects CCC Bakerville to Loveland Recreation Trail ($0.9M Total / $0.9M ARRA) CCC Bakerville to Loveland Recreation Trail ($0.9M Total / $0.9M ARRA) Woodmen Road in Colorado Springs ($46.3M / $35.0M) Woodmen Road in Colorado Springs ($46.3M / $35.0M) Pueblo Veteran’s Memorial Bridge ($1.2M / $0.6M) Pueblo Veteran’s Memorial Bridge ($1.2M / $0.6M) Hayden Sidewalk and Safe Route to School ($0.4M / $0.3M) Hayden Sidewalk and Safe Route to School ($0.4M / $0.3M) Loveland Traffic Operations Center Upgrades ($0.1M / $0.1M) Loveland Traffic Operations Center Upgrades ($0.1M / $0.1M) Bayfield US 160 Business Route sidewalks ($0.2M / $0.2M) Bayfield US 160 Business Route sidewalks ($0.2M / $0.2M) Huron Street Concrete Reconstruction ($3.9M / $3.9M) Huron Street Concrete Reconstruction ($3.9M / $3.9M) Hugo Union Pacific RR Roundhouse Restoration ($0.7M / $0.5M) Hugo Union Pacific RR Roundhouse Restoration ($0.7M / $0.5M) Bent County Courthouse Sitework ($0.4M / $0.1M) Bent County Courthouse Sitework ($0.4M / $0.1M) 8

9 ARRA Projects – Transit CDOT Projects CDOT Projects –Summit County Maintenance Garage –Statewide Buses –Funds for operating Local Transit Authorities’ Projects Local Transit Authorities’ Projects –Denver Union Station –Transit centers, facilities, buses, vans, vehicle locators, fare collection, transit stop improvements

How we’ve done … Deadlines Deadlines –Highway June 30 th obligation met May 11 th –Highway 1 year obligation met February 8 th –Transit March 2 deadline met Provisions Provisions –Jobs and economic growth –Expeditious delivery –EDA Reporting Reporting Relationships Relationships 10

ARRA Intent – Jobs Creation Jobs definition – direct, on the project Jobs definition – direct, on the project Highway / Transit through June 30 Highway / Transit through June 30 –People – About 2300 per month –Hours – 1,500,000 –FTE – 710 –Payroll - $42.3M –Paid to contractors - $150M 11

12 ARRA’s Impact FY Construction Program w/o ARRA FY Construction Program w/o ARRA $305M $305M With ARRA With ARRA $690M $690M Historical Construction Program Historical Construction Program

Current Highway Status 13 Currently 99% obligated Currently 99% obligated 111 projects planned 111 projects planned –Awarded 101 contracts 65 projects under construction 65 projects under construction 4 yet to begin 4 yet to begin 32 projects complete 32 projects complete –10 to be advertised by mid-Sept 45% expended 45% expended

14 Transit Status 100% obligated by FTA 100% obligated by FTA CDOT – Rural Transit, $12.5M CDOT – Rural Transit, $12.5M Urbanized Transit Authorities, $108.5M Urbanized Transit Authorities, $108.5M Summary Summary 40 projects or grants planned 40 projects or grants planned Awarded 31 projects worth $78M Awarded 31 projects worth $78M –8 of those complete Expended $35M Expended $35M

Lessons Learned Savings, re-obligation, funds assignment Savings, re-obligation, funds assignment Focus on LA projects Focus on LA projects Deadlines Deadlines Transparency, Accountability Transparency, Accountability ARRA provisions ARRA provisions 15

16 Continued Vigilance Constant risk analysis Constant risk analysis Goal: 100% use of ARRA Goal: 100% use of ARRA

Accountability and Transparency 17 Reporting Process Reporting Process –OMB –House T&I –FHWA Auditing Auditing –GAO –FHWA NRT –CBO –State Auditor Media Requests Media Requests

How Have We Been Successful? Teamwork! Teamwork! –Internal to CDOT HQ Staff and Regions HQ Staff and Regions –Project Support and Delivery –Partnership with Locals with Locals with the Industry with the Industry With FHWA With FHWA –Risk Assessment and Stewardship Agreement With Governor’s Office With Governor’s Office 18

19 Communication and Outreach Weekly CDOT-FHWA Meetings Weekly CDOT-FHWA Meetings Coordination with FTA and transit agencies Coordination with FTA and transit agencies Local Agency Workshops Local Agency Workshops Small Business Outreach Small Business Outreach Governor’s Office Governor’s Office Public and Internal Public and Internal CDOT Website CDOT Website

20 Controls Accounting Accounting SAP SAP Business practices and processes Business practices and processes

Additional Information National: National: Colorado: Colorado: CDOT: CDOT: 21 $141.4 M Required May 5, 2009 $140.4 M

Thank You 22 Charles Meyer CDOT Recovery Act Coordinator