A Major Transportation Announcement

The discussion surrounding the next wave of transportation reform has covered many ideas. Today, we are here to talk about just that – reform. We simply cannot continue to invest in the transportation infrastructure network without meaningful, serious reform – the kind of reform that is clear in its goals, comprehensive in its approach, and able to restore confidence that transportation funds are being spent efficiently and effectively for all parts of the Commonwealth.

The one thing we know is that reform is not easy. Changing institutions which seek to maintain the status quo is hard, but necessary, work. The Senate and the Legislature have worked diligently over the years to implement changes in the way we deliver transportation services in the Commonwealth.

In 2004, we redefined the role of the Secretary of Transportation. We believed then, as we do today, that moving toward a unified system was crucial to maximizing efficiency, improving communication, and spending transportation dollars wisely.

The next step was in 2007 when the Governor signed the Mass Mobility Compact, and we made the first move toward reducing waste at the Turnpike Authority by eliminating board compensation, and restructuring the terms of board service and top leadership.

The non-partisan Transportation Finance Commission was also created legislatively. At the time, it was said by many that the commission would simply produce another report that would sit around and collect dust.

Today we know this couldn't be further from the truth.

I believe that without their groundbreaking reports – there would be no consensus around the gravity and seriousness of the problem facing our transportation delivery system. We are all very grateful for the deliberate and innovative work they produced.

And just last year, we undertook a second wave of sweeping transportation reform. Again, we took on issues that were politically unpopular. These reforms were not easy, but we were willing to stand up to the critics and make the necessary changes:

For example -

• We required the use of civilian flaggers on construction projects, and today more than 120 people are trained to assist at public construction sites;
• We enacted changes to MBTA health benefits, requiring members to contribute 10% toward their co-pays – saving the system millions of dollars both now and in the future.
• We initiated "Grey Notebook" reporting requirements, making MassHighway report on activities such as project delivery schedules, cash-flow and studies on the adoption of "best practices" from other states. These efforts have cut project delivery timelines by 40% and have improved Notice-to-Proceed timeframes from four-to-six-months to 60 days.
• We pushed MassHighway to undertake demonstration projects for design-build and project acceleration. Efforts, that if successful, can be replicated across projects to cut costs and make deadlines;
• And we required EOT to address the mess that is the state's prequalification process for horizontal construction. The Commission is currently developing uniform standards for construction bidders, regardless of which agency is sponsoring the project, which will increase project bids and eliminate discretionary decision making.

All of these efforts moved us in the right direction, but our system is still clearly broken. We need to – in a sense – force greater collaboration, cooperation and coordination.

Looking forward, there is still great work to be done. We are facing a 15- to 19-billion-dollar shortfall in transportation funding over 20 years and a system that is virtually crumbling beneath us. However, when we talk about investing in our transportation infrastructure, we must only do so if we are investing in the most efficient system possible – one that will allow for comprehensive planning, the cross leveraging of resources and that ultimately benefits the entire delivery network in all parts of the state.

I share President Murray's commitment to introducing major transportation reform legislation in the Senate by February that will achieve the following:

• Create a unified, independent surface transportation authority, "MassTrans", to streamline operations, share services and reduce costs;
• Adopt and enact all 22 of the remaining recommendations of the Transportation Finance Commission
• Require new employees of existing organizations and MassTrans, once fully implemented, to participate in the GIC and the Commonwealth's pension plan
• Establish legislative benchmarks throughout the transportation system, such as 90 percent of the milestones for each project being achieved on time and on budget;
• Apply existing accountability and performance measures from EOT to MassTrans;
• Reconstitute the Highway Fund as the Surface Transportation Trust Fund managed by MassTrans;
• Ensure that MassTrans maintains parkways and other transportation facilities currently managed by DCR. This will be consistent with the template established by recent agreements between EOT and EEA on the subject of DCR parkways;
• And, preserve the RTA's continued independent existence, while improving central oversight and funding through MassTrans.
• During the transition, we will have forensic accountants examine the finances of all Agencies transitioning to the new Authority so that we assure the public that there are no financial secrets as we go forward
• This team will work with EOT who will help manage this critical transition from multiple agencies to one streamlined authority

This restructuring and reform initiative has the potential to save the Commonwealth up to 6-billion-dollars.

These important reforms will be a major step toward transforming our transportation system. We cannot talk accurately about what revenues we need until we have made the necessary reforms to improve our transportation system for everyone. To do so in today's climate is not only a mistake but also an insult to the taxpayers of the Commonwealth. We have to make sure that we are investing toll and tax-payer money into a system that makes financial sense for today and the future.

Our bill will be the first step in making this a reality.

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