Tuesday, February 24, 2009

Expect Huge Expenditures in Public Transit - Are you Watching?

Transit authorities are about drooling at the idea of a huge tide of federal dollars coming from the Stimulus Package. We can expect these public entities to be expanding the existing projects they have, and to start new ones to get the money. What is important is that these agencies are not really being watched. Yes they are required to have regular audits and they have reviews by the FTA. But you would be shocked at what audits miss, in many cases, unless the fraud is totally blatant auditors will never see it. Additionally, auditors are not looking examining these entities for good management or efficient management, if they were they would have to look really hard in some cases. As for the FTA, we are talking about the Federal Transit Administration, and if you remember the overpriced toilet seats and overpriced bolts scandals, well, pretty much the same people are in charge of being "watch-dogs" over public transit. Yes, make your own conclusions, but the notion that the federal government has been capable or trustworthy in watching itself is ridiculous to most common sense people. This stated, the responsibility of watching the use of our dollars in transportation and city expenses falls to us. If you are trusting your public servants and managers in these institutions you are mistaken.

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