Sat
Oct 25 2014
11:41 am

Tennessee needs at least $38.8 billion of public infrastructure improvements during the five-year period of 2012-2017 according to a new report by the Tennessee Advisory Commission on Intergovernmental Relations (TACIR).

According to the report, "Local officials are confident in obtaining funding for only $11.6 billion of the $31 billion identified as local needs," leaving $19.3 billion of improvements for which funding is not yet available.

TACIR found that Knox County has $2.6 billion in infrastructure needs, including $710.7 million for transportation, $95.8 million for school renovation and replacement, and $55.7 million for water and wastewater treatment.

Source: TACIR: Building Tennessee's Tomorrow: Anticipating the State's Infrastructure Needs

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jbr's picture

I tend not to question water

I tend not to question water and wastewater treatment projected spending needs. Generally I wonder if it is underestimated. Schools, along the same lines. But transportation claimed needs I typically am suspicious of until I see each project. That area seems susceptible to manipulation by the contractors and their political influence.

fischbobber's picture

Transportation needs

Beyond your excellent insight I would add that it doesn't look like there's much quality control. Unless there was some sort of miracle breakthrough in asphalt technology, the seams in the 640 repaving look like they will show freezing water damage the first season of the repair. I know these things don't last forever, but it would appear we, the taxpayer, aren't getting what we pay for.

And while I'm aware that we have more coal ash than we need or can use, for the life of me I don't understand why we are not using that hazardous waste as a commodity and making asphalt out of it and repaving the roads with a paid for recycled waste product. It just doesn't make sense.

UNLESS, it couldn't be that then we couldn't funnel public funds to the private sector for overpriced paving jobs, could it?

Mike Knapp's picture

This is what we're up against

House Joint Economic Committee Republican staff commentary March 2011 Spend Less, Owe Less, Grow the Economy
SPENDING REDUCTIONS TRUMP TAX INCREASES
HIGH TAXES ARE THE BANE OF ECONOMIC GROWTH

Households’ expectations of higher permanent disposable income create a wealth effect, which stimulates purchases of consumer durables and home buying thus driving up personal consumption expenditures and residential investment in the short term.
Businesses expecting higher after-tax returns boost their investment in non-residential fixed assets in the short term.
WHAT AND HOW TO CUT. Certain kinds of government spending reductions generate significantly larger pro-growth effects than others. For the “non-Keynesian” effects to be significant, government spending reductions must be viewed as large, credible, and politically difficult to reverse once made. Some examples are:
Decreasing the number and compensation of government workers. A smaller government workforce increases the available supply of educated, skilled workers for private firms, thus lowering labor costs.
Eliminating transfer payments to firms. Since government transfer payments entice firms to engage in otherwise unprofitable and unproductive activities, eliminating transfer payments will increase efficiency as firms cease these activities.
Eliminating agencies and programs.
Reforming and reducing transfer payments to households. Making major government programs, such as pension and health insurance benefits for the elderly, sustainably solvent will boost real GDP growth by (a) enhancing the credibility of fiscal consolidation plans, and (b) inducing younger workers to work more, save more, and retire later. This is true even if the reforms exempt current beneficiaries, are phased-in slowly, and any short-term spending reductions are very small.

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