Sunday, January 13, 2019

The cost reality for latest government project


If you watch Fox News or CNN you can’t help but wonder why both media outlets are not exactly reporting the “realities” of the construction of “The Wall” on the Mexico/US border.  They both give the impression that the wall will be competed in a timely manner similar to constructing a house.

Whether you are for or against the construction of a steel/concrete, wall/barrier, you need to realize that it is doubtful that it will be completed during President Trump’s reign and certainly not at the cost his administration is proposing.  The fact missing from the entire equation is that most land owners whose property the barrier will traverse don’t want it on their property and are already organizing a cadre of lawyers to fight the government’s desire to invoke the right of eminent  domain to take their land.  Eminent domain is a legal strategy that allows a federal or local government to seize private property for public use. The seizing authority must pay fair market value for the property seized.

The  barrier reality is, the land owners are digging in, vowing to reject buyout offers, and preparing to fight the administration in court.

“You could give me a trillion dollars and I wouldn’t take it,” said several property owners, whose land sits along the Rio Grande, the river separating the U.S. and Mexico in Texas. “It’s not about money.”
Obviously, some may conclude that eventually the Feds will win and take the land, which may or may not be true.  It’s quite possible this entire “land grab” will eventually play out in the Supreme Court.

However, some of these court cases could languish in the legal system for years during which time project over runs will kick in; something for which the U.S. government is famous.  Bet you can’t name a single major U.S. government project that hasn’t resulted in cost overruns three times what its initial estimate was.  Several reach the 200% or more mark.

One recent stellar example of our government’s ineptness with projects was a proposal to build an integrated electronic health records system so that the Pentagon and VA could share health data.  Simple enough project, right?  The project was on track to cost a total of $28 million-seven times the original estimate.  It was recently curtailed due to the absorbent cost overrun.  How about the D.C. parking garage estimated to cost $40 million?  After 16 years it is still not completed and its cost has risen to $120 million.  Need I continue?

Hopefully, the realities of the construction of the Mexico border barrier will move past political posturing and gamesmanship to analyzing the practical realities of the project.  Fooled you,  just a joke; the factual realities of this project will never prevail.  It’s just not the U.S. government’s mode of operation.

However, you can be assured of two things regarding this project.  One, you ain’t going to see it completed anytime soon and, two, it’s going to cost way more than $5.7 million.  Simply put, “The Wall” is yet another ill-conceived government project whose chief advocate wants it to serve as a monument he can point to as glorifying his presidential tenure.  So pathetic!  

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