Thursday, June 20, 2013
Thursday, June 20, 2013

PennDOT to Turnpike: Pay $118 million or we're taking over

PennDOT invokes Act 44 and demands more money to fix state roads, bridges, transit

22 comments

PennDOT to Turnpike: Pay $118 million or we're taking over

POSTED: Thursday, August 26, 2010, 8:54 AM

The Pennsylvania Department of Transportation has demanded that the Pennsylvania Turnpike Commission pay PennDOT $118 million by Sept. 18, or it will force the commission to require "a unanimous vote of all Commissioners" for any action it takes, which would have the effect of giving PennDOT secretary Allen D. Biehler, an appointee of Gov. Rendell's, veto power over the Turnpike's future decisions.

The letters were disclosed in a supplement, filed yesterday, to the Turnpike Commission's planned $273.5 million bond issue prospectus from last month.

According to the supplement, the turnpike made PennDOT a payment of $112.5 million last month for state road, bridge and transit work, as required by the state's Act 44 transporation subsidy law. But PennDOT, in letters Aug. 4 and Aug. 16, says the Turnpike owes another $118 million, under that same Act 44.

The Turnpike disputes PennDOT's interpretation, but tells potential bondholders that, under the Act 44 funding agreement, PennDOT says it will invoke its veto rights, and also seek additional, unspecified "remedies", if it doesn't get the money by the September 18 deadline.

Turnpike spokesman Carl DeFebo says the Commission doesn't believe it owes what PennDOT demands. PennDOT declined to comment.  UPDATE: Harrisburg Patriot-News says Gov. Rendell doesn't support PennDOT's action. Previous proposals to raise transportation funds by leasing the Turnpike to private owners (Rendell) or raising tolls on I-80 (the Turnpike's idea) have been shot down. So where's road, bridge, and transit-fixing money supposed to come from?
 

22 comments
Comments  (22)
  • 0 like this / 0 don't   •   Posted 9:19 AM, 08/26/2010
    Joe, the Motor Vehicle Fund collected $2.6 BILLION last fiscal year. Where did that money go?????
  • 0 like this / 0 don't   •   Posted 9:26 AM, 08/26/2010
    Why do people even drive anymore, move to a decent commuting location, take mass transit. Stop being fat redneck pigs, its auto-addicted people that are ruining this nation.
    Capsulef
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  • Comment removed.
  • 0 like this / 0 don't   •   Posted 10:13 AM, 08/26/2010
    Bag, my guess is Cap's a student, and poor. He might feel different about public transit in 10 years when he can afford a car and a place with a yard? Tho I've come to like Septa trains. Keeps me off I-95. Mostly.
    distefj
  • 0 like this / 0 don't   •   Posted 10:15 AM, 08/26/2010
    Bubba Capsulef must own a yugo
    chesterfield
  • Comment removed.
  • 0 like this / 0 don't   •   Posted 11:12 AM, 08/26/2010
    Capsule is just the transit version of car lovers who hate transit. taking the train to work is nice, but the city has done a good job making sure there aren't many jobs near train stations making it hard for many. I like driving for fun, but commuting by car is mostly a necessary evil for me, I'd rather be reading on the train.
    dreinterests
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  • 0 like this / 0 don't   •   Posted 11:27 AM, 08/26/2010
    Can gov. Ed blame the Obama government???
  • 0 like this / 0 don't   •   Posted 11:57 AM, 08/26/2010
    5 years ago driving from philly to pitt on the turnpike cost $13... today it costs $25...
  • 0 like this / 0 don't   •   Posted 11:57 AM, 08/26/2010
    118 Mil......How many Cupcakes is that ???
  • 0 like this / 0 don't   •   Posted 12:29 PM, 08/26/2010
    aka.....A reason to raise tolls now
    admin
  • 0 like this / 0 don't   •   Posted 1:33 PM, 08/26/2010
    Here's another patronage cesspool!!!!!!! It's 2010. Do we really need a Turnpike Commission???????
    Marchmadness


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Joseph N. DiStefano blogs about the latest news in the Philadelphia business community and elsewhere. Contact him at 215-854-5194. Reach Joseph N. at JoeD@phillynews.com.

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