Today, IDOT Secretary Randy Blankenhorn briefed industry representatives on the impact of no FY2018 budget for IDOT. Following is a summary:
- Without a budget for FY2018, all IDOT engineering and construction contracts (including those administered by local agencies) will be suspended as of June 30.
- Local let projects funded with MFT funds are not impacted by this suspension. However, local agencies may not receive future MFT distributions until IDOT operational budget is implemented. Each local agency will need to determine if projects will proceed.
- Local let state/federal funded projects may also be impacted since IDOT will not be able to reimburse local agencies until the budget is passed.
- Contractors and Engineering Companies should receive an e-mail tomorrow from IDOT implementing the shutdown process. Hard copy letters will also be mailed. You are encouraged to work with the Resident Engineer throughout the shutdown process to ensure any costs incurred by the Contractor will be reimbursed.
- Contractors will still be responsible for maintenance of work zones and erosion & sediment control. Contractors will eventually be compensated for this effort.
- The June letting will still proceed on Friday, June 16. However, awards will be delayed until a budget is passed. If this occurs after the 45-day award period, the Contractor reserves the right to reject the award.
- At this time, IDOT employees are expected to continue to work past the June 30 since their salaries are covered by a court order.
More information will be sent once/if available. Please reach out to your legislators and let them know the impact this shutdown will have on your company. IAPA will share outreach documents being developed by the Transportation for Illinois Coalition.
The shutdown does not impact to normal end of year pay estimate delay. Contractors should continue to submit pay estimates as work is completed. On June 15, the Department will stop processing pay estimates to allow the Comptroller and IDOT to perform the end of fiscal year accounting procedures. This suspension of payments will last approximately 3 - 4 weeks.