I-205 widening CTC loan swap approved by San Joaquin COG
- Published Friday, October 28, 2005, in the Tracy Press
Loan to expand I-205 finally OK'd
San Joaquin County's transportation planning agency took
the final step Wednesday night in the drive to widen Interstate 205
when it OK'd a complicated loan arrangement to the state.
The San Joaquin Council of Governments voted in favor of a plan to
take out $67 million in low-interest loans, which it will in turn lend
to the California Transportation Commission to get the project off the
ground. The council expects to pay about $7.7 million in interest to
borrow the money. However, officials say they will recoup about $2
million in expected sales taxes when contractors buy materials to
Borrowing the money is expected to be about $2 million cheaper than
just lending the CTC cash outright, treasurer Steve Dial told board
members at their meeting last night in Stockton.
That's because the agency would forfeit interest on $67 million of its
$120 million in investments, Dial said.
"We will save money over drawing down on money we already have
invested," Dial said.
Caltrans is set to open the I-205 project to bids Nov. 14, said Andrew
Chesley, the agency's interim executive director.
Construction on the project should begin in the spring, and commuters
are expected to be able to cruise down a six-lane freeway between
Interstate 5 and 11th Street by late 2007 or early 2008.
"I'm looking forward to Nov. 14,"Chesley said.
The state will contribute $25 million and Tracy will pay $350,000
toward the estimated $96.6 million project. The state will repay the
transportation agency loan over three years, beginning in 2008.
Also at Wednesday's meeting, Chairman Gary Haskin updated the board on
the search for a permanent executive director. He said the executive
committee will meet Nov. 18, at which time Murray & Associates, the
recruitment firm the board hired, will present a between four and six
[BATN can suggest a number of Bay Area CMA directors ripe for export.]
The committee will narrow those down to the best three, who will be
interviewed when the group meets again Dec. 2, and SJCOG hopes to have
a permanent executive director hired by Dec. 18, Haskin said.
[BATN: See also:
Editorial: I-205 widening CTC/San Joaquin County loan deal (30 Sep 2005)
Congestion to be solved forever: I-205 widening deal approved (30 Sep 2005)
CTC approves $158m widening of I-205 to six lanes (30 Sep 2005)