SWLRT special review: Legislative auditor finds over $500M of $2.74B budget is unfunded
ST. PAUL, Minn. -- The Met Council hasn't determined a funding source for more than $500 million needed for the Southwest Light Rail transit line, a project beset by cost overruns and delays, a new report found.
Minnesota's Office of the Legislative Auditor on Friday released its special review of the largest infrastructure project in state history, which has come under fire by state lawmakers and residents who live close to construction. The extension of the Metro Green Line from Minneapolis to Eden Prairie has doubled its total cost projects and delayed the opening date by nine years.
When the project was first given the green light, the cost projection was $1.25 billion. The current estimated price tag is $2.74 billion and $534 million of it remains unfunded, the report revealed.
The Met Council in a statement said "it's working with our project partners to finalize a long-term funding source."
As of April, the Met Council had approved 622 change orders, or amendments to a construction contract that changes the scope of the work, that total $225 million.
The report determined that some of these change orders were expected when the Council opened bidding for the construction contracts, but it didn't include the expected added costs in the project's scope.
Sen. Scott Dibble, DFL-Minneapolis, a leading critic of the handling of this project whose district captures part of the transit line, called this finding a "bombshell."
"This was deceptive. This was misleading. This was hiding important information from the public, from policymakers," he said in an interview Friday. "It's really quite outrageous."
The legislative auditor said the Met Council fully cooperated with its review. In response to the report, the Council said the accounting of costs and timelines confirmed it had been transparent "every step of the way."
"We strongly believe accountability and transparency are critical to ensuring public programs and projects are run and managed efficiently," a spokeswoman said by email.
RELATED: Minnesota Senate Unanimously Approves Southwest Light Rail Audit
Minnesota lawmakers in an overwhelmingly bipartisan vote approved the audit. A more in-depth program evaluation will be released early next year with recommendations to the legislature.
"The OLA review gives me no confidence the Met Council or Hennepin County are properly managing the Southwest Light Rail project," said Sen. Scott Newman, R-Hutchinson, chair of the senate transportation committee. "While some cost overruns and delays can be expected with big projects, a doubling of the cost and nearly a decade of delays are unprecedented."
Investigators determined complicated construction plans along the Kenilworth Corridor in the Cedar Isle-Dean neighborhood was one of the key drivers of cost increases and delays.
Mary Pattock, who sits on the board of the Lakes and Parks Alliance and lives close to this part of the line, is frustrated. She said the report affirms the concerns raised by members of her neighborhood for years.
"We told them everything, but they called us NIMBYs and dismissed us by calling us a name," she said. "Now it's all come home to roost."
Rep. Frank Hornstein, DFL-Minneapolis, vowed to introduced legislation next session that make the Met Council an elected body; right now, its members are appointed by the governor.
"The time has come. If there is anything that this project shows, it's that we need accountable, transparent regional government," he said. "We have taxation without representation when it comes to regional government."
Read the special review here.
