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FY2012 House 1 Budget Recommendation:
Issues in Brief
Deval L. Patrick, Governor
Timothy P. Murray, Lt. Governor
Since the enactment of transportation
reform legislation one year ago that creates a single, unified Transportation
Department (MassDOT), MassDOT established the following four new divisions:
Highway, Rail and Transit, Aeronautics and the Registry of Motor Vehicles
(RMV). In addition an Office of Planning and Programming provides shared
services in the areas of finance, human resources, finance, legal, procurement,
real estate management, information technology and planning. Under the reform
act, the MBTA remains a separate legal entity, but is subject to greater levels
of oversight by and coordination with MassDOT.
Transportation Reform Year One Successes
Over the past year employees from
former state transportation agencies, quasi-independent authorities and other
state agencies continue to implement the activities necessary to effect this
historic reform act. The Commonwealth has already realized the following
savings, efficiencies and established programs dedicated to improving the
- The creation of the first-ever strategic plan for the entire Massachusetts transportation system. Each division and department of MassDOT has developed
an operating plan that aligns to the strategic plan with specific objectives
and measures that will achieve the goals of the plan.
- The transfer of employees to the Group Insurance Commission, the
health insurance purchasing group utilized by all other state employees. This
shift will save MassDOT and the MBTA an estimated $30 - $40 million annually.
The first transfer of employees occurred on February 1, 2010 and will continue
over the course of the next year as collective bargaining agreements expire and
pending litigation is resolved.
- The savings of $261 million in cost avoidance associated with
termination payments of interest rate swap agreements for the former Massachusetts
Turnpike Association (MTA) because transportation reform allowed for an upgrade
of the former MTA’s bond rating. $38 million in further savings were generated
with MassDOT’s refinancing of existing debt at lower rates. These additional
savings will be reinvested in capital projects on the Western Turnpike and
Metropolitan Highway System.
- The commencement of the Transportation Round Table, a monthly
open forum dedicated to addressing issues in the work environment and to
changing the culture of transportation in all MassDOT divisions. The Round
Table includes employees from the Highway, Rail and Transit (MBTA), RMV and
Aeronautics divisions to promote a diverse, engaged and inclusive workforce.
- The completion or in process of completion of twenty of the
twenty-two recommendations (90%) of the 2007 Transportation Finance Commission
- The launch of GreenDOT Policy, a
mandate for embedding environmental sustainability into all departmental
initiatives and projects.
- The launch of the MBTA “T Parking Made Simple” program. This
user-friendly, new customer service program for payments at parking lot allows
commuters to easily utilize their mobile phones and an online account to pay
for parking at MBTA lots.
- The realization of $49 million dollars in operating efficiencies.
Reports and details on these savings can be found at http://www.mass.gov/massdot.
Capital Investments in our Transportation Infrastructure
Patrick-Murray Administration significantly increased investments to improve
our roads, bridges, transit and other transportation system assets by
allocating a larger portion of the capital budget to transportation investments,
initiating the Accelerated Bridge Program, and securing additional revenue
dedicated to transportation. Capital Infrastructure spending on transportation
projects, including federal reimbursements for the statewide road and bridge
program, and the “Chapter 90” aid for municipally owned roads and bridges will
show an 89% increase in fiscal year 2012 when compared to fiscal year 2007.
The following chart shows capital
infrastructure spending through the Massachusetts Department of Transportation between
fiscal year 2007 and projected levels for fiscal year 2012
Transportation Reform – Year 2
In fiscal year 2012, MassDOT will continue to focus on
delivering excellent customer service and becoming the nation’s safest and most
reliable transportation system.
- MassDOT will continue to show statewide leadership in developing
“Shared Services”. Shared Services allows divisions to make policy and funding
decisions while implementation of those decisions is managed by secretariat
staff. This creates additional freedom and resources for line level and
division managers to focus on core mission activities.
- At the direction of Governor Patrick, MassDOT, MBTA and the
Executive Office of Health and Human Services will establish a special
commission on paratransit services to explore options to control costs and
maximize efficiencies while still providing consistent, exceptional service to
all residents of the Commonwealth.
- Finally, MassDOT will focus on engaging with our employees and
stakeholders to solicit ideas and further the conversation on how it can work with
other agencies to meet the goal of becoming the nationally recognized as the
best department of transportation.
The MassDOT website, www.mass.gov/massdot, is routinely
updated with progress reports demonstrating the department’s commitment to
safety, becoming the national leader in transportation and regaining the
Prepared by Kelly Driscoll, Executive Office for Administration and Finance ·
For more information contact: firstname.lastname@example.org (617) 727-2040