Wednesday, May 31, 2017

Taxpayers left holding the bag for $45 million in Silver Spring Transit Center fiasco settlement

Is this a thing of beauty, or what?
Montgomery County taxpayers are left holding the bag in the Silver Spring Transit Center debacle settlement agreed to yesterday. County officials attempting to cover-up their failure to conduct their oversight role on the project filed a weak lawsuit in a case where they themselves were mostly to blame.

The result? Realizing they could not win, the County's ultra-expensive legal team reached a chump change settlement worth a paltry $25 million. That leaves you, the taxpayer, holding the bag and paying $42 million for the remainder of the $47 million in cost overruns, $20 million in damages, and $10 million in legal fees. The settlement also requires the County (a.k.a. you, the taxpayer) to pay $3 million to Foulger-Pratt to settle their countersuit, which was directly caused by the incompetence of the County and County Council. You are now on the hook for a total of $45 million.

The surrender settlement, while inevitable given the County's woefully-weak case, was a total betrayal of the promises made by County Executive Ike Leggett and the County Council. Leggett stated he would not leave taxpayers on the hook for even a penny of the cost overruns. Councilmember George Leventhal promised the Brickyard Coalition in 2014 that he would "ensure taxpayers will not be on the hook for the remediation of the transit center." Councilmember Hans Riemer said in April 2013 he would "protect the taxpayers."

Once safely reelected, Leventhal and his colleagues abruptly turned around and made multiple new appropriations of tens of millions of dollars for the transit center. The taxpayers be damned!, was the clear message from the Council.

On Election Day 2018, voters will deliver the overdue "rough, seat of the pants estimate" Leventhal and his colleagues asked for in January 2015 - with a steel-toed boot.

#LockThemUp