Infrastructure Construction Work In Fresno Starts
March 2,2015
The California High Speed Rail project got some good news this week on a growing source for future funding even as they began construction work around Fresno.
The state Legislative Analyst Office(LAO) estimates that Cap-and-Trade Revenue would likely be much higher than Governor’s budget assumes in a report released this week. Under legislation signed by the Governor last year the statewide high speed rail project is getting 25 percent of incoming cap and trade monies coming into the state to reduce fossil fuel emissions.
The LAO report says “Beginning January 1, 2015, transportation fuel suppliers are required to obtain allowances for the GHG emissions associated with the combustion of the fuels they provide. In connection with this change, the number of state-auctioned allowances will increase significantly and, as a result, future auctions are expected to raise greater amounts of state revenue than in the past.”
Cap & Trade is a market-based approach used to control pollution by providing economic incentives for achieving reductions in the emissions of pollutants.
The LAO low estimate expects $3.3 billion vs the Governors budget of $1.7 billion for a two year period ending in June 2016. The moderate scenario expects $3.7 billion over these first two years of the program with a high estimate of $7.7 billion ( see chart).
The most likely is the moderate scenario says LAO or $3.7 billion.Supporters say California High Speed Rail could plan on over $500 million a year to perhaps $1 billion annually in revenues to spend on the train over the next five years, money to supplant federal and Prop 1A funding.
This revenue prediction for CHSR is more than double and up to 4X earlier estimates.
Start of First Major Utility Relocation in Downtown Fresno
The California High-Speed Rail Authority (Authority) design-build contractor Tutor-Perini Zachry/Parson (TPZP), in coordination with the City of Fresno, will commence with stormwater utility relocation work on Tuesday, March 3 in downtown Fresno as part of Construction Package 1 (CP 1). Approximately 450 linear feet of reinforced concrete storm drain pipe is being relocated within the footprint of the high-speed rail project in compliance with the Fresno Metropolitan Flood Control District (FMFCD). A storm drain collects rain water and redirects it to FMFCD facilities, primarily to avoid flooding.