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New Mexico Gets a GRIP
By Scott Blair
New Mexico is facing an $11 billion list of highway upgrades
and replacements.
It's a state with a growing population increasingly on the
move and swelling interstate truck traffic - and there are
more than 7,000 lane mi. of New Mexico's highway system that
are deficient and in need of replacement, according to the
New Mexico Department of Transportation.
It has taken some innovative solutions to help fund the needed
improvements.
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Approximately $1.2 billion of funding existed through the
Statewide Transportation Improvement Program to help remedy
the crumbling infrastructure. However, to meet the increasing
need for more funding, Gov. Bill Richardson, >> along
with the New Mexico Transportation Commission and the Department
of Transportation, came up with a creative plan last year
to upgrade and improve highways throughout the state.
They created what was dubbed Gov. Richardson's Investment
Partnership, or (GRIP).
"The central part of GRIP is a $1.4 billion funding program
that utilizes bonding, pay-as-you-go and other financing programs
to pay for 41 highway reconstruction projects statewide over
an eight-year period," Richardson said in a statement
issued when the program was unveiled.
The package made it quickly through the Legislature and was
signed into law in November, allowing the state to take advantage
of historically low interest rates. "A one point rise
in interest rates costs us $131 million in lost bonding capacity,"
Richardson said.
The program's goals are not limited to just better roads.
The state hopes to spawn economic growth, create more than
50,000 new jobs over the life of the program, reduce the state's
high roadway accident rate and expand alternate modes of transportation.
The state has identified highways that serve as economic corridors,
both regionally and nationally, and will utilize GRIP to improve
these thoroughfares of commerce to spur economic growth in
virtually every county of the state.
Another goal is to have as many New Mexico companies working
on the construction projects as possible. While the projects
will all be bid out, they are whenever possible being tailored
to the right size for in-state contractors.
"The scope and size of the bid packages will be in the
$10 million to $15 million range for the majority of the projects,
because we don't have many contractors in-state who can perform
mega-projects," said Richard Harris, executive vice president
of the Associated Contractors of New Mexico.
The department of transportation also hopes to utilize alternative
delivery methods such as design-build on some of the projects,
even though under current New Mexico law, legislative approval
would be required on each design-build project.
While some of the projects have been in the planning stages
for years, most of the major ones still need to cross various
hurdles before they get under way, such as securing environmental
studies, setting the scopes of each bid package, and procuring
funding.
"The first six projects are now scheduled for a bid opening
date of June 26," Harris said. "We are pleased to
see these first projects come to fruition."
>New Mexico Gets a GRIP
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