Feud Over New Law May Hinder Transit Projects

As Gov. Gray Davis struggles to ease urban gridlock amid a softening California economy, a legislative roadblock has materialized that threatens to slow his efforts.

At issue is the implementation of Proposition 35, a new law approved by voters to make it easier for state and local agencies to contract with private firms to speed up the completion of projects ranging from schools to highways.

The measure’s passage last fall indicated a desire by traffic-weary Californians for immediate relief from clogged roadways.

Behind that effort, however, was a narrower contest of self-interest, a battle in a long war between public and private engineers--the calculator crowd’s version of the Hatfields and the McCoys.

That debate has raged for 20 years, with the two sides duking it out in courtrooms, in the Legislature and at the ballot box in search of a definitive victory, which continues to prove elusive.

Indeed, even though the vote last fall handed a win to the private side of that contest, the dispute never went away. And the feud now threatens to complicate Davis’ efforts to deliver traffic improvement projects to voters on time.

The governor has proposed using the new law to let the California Department of Transportation hire workers from private architectural and engineering firms for 802 new positions. Those firms would do engineering and design work--a key prerequisite before concrete can be poured or tracks laid--on a bevy of transportation projects.

But in a nod to public employees, lawmakers have altered Davis’ plan, which seeks to increase the number of positions contracted out to nearly 2,000. By comparison, Caltrans currently has about 10,000 employees.

The state Senate has proposed that extra work be shared by public and private employees. The upper house’s version of the state’s 2001-02 budget included funding to split the 802 jobs into 487 additional contract positions and 315 for new state employees.

The proposal is one of hundreds in a 400-page agenda for a legislative committee that is scheduled to begin budget negotiations today in Sacramento.

Opponents are quick to note that Caltrans has struggled in recent years to fill job openings created since Davis took office.

The department increased its staff by 3,400 positions between the 1997-98 and 2000-01 fiscal years--a reversal of fortunes for Caltrans compared to its staffing under former Gov. Pete Wilson. Spending on transportation under Davis, according to a Caltrans spokesman, has also risen by 50%.

The increase has put pressure on Davis to get projects completed so he will have something to show voters. The governor has indicated that he does not plan to bolster Caltrans’ ranks beyond existing levels, paving the way for additional work to be contracted out to private firms.

The situation could test a contention by Davis, who has proposed borrowing $2.5 billion in transportation funding to help balance the next two state budgets, that transportation projects currently winding their way through the system will not be delayed.

Caltrans spokesman Dennis Trujillo said his department will continue to push for all 802 positions to be contracted out.

“The bottom line is that we must deliver these projects,” he said. “We will find a way to make sure we deliver them on time.”

Said Gene Erbin, a lobbyist who represents private engineering firms: “This is exactly what the people envisioned when they approved Proposition 35 . . . prudent expenditure of state resources to hire some people as employees and to contract with others.”

But Bruce Blanning, who represents the state engineers union, said his group continues to oppose having the government hire large numbers of private firms and employees to do jobs he believes are better done by state workers.

“We think the state should hire people to do its work,” Blanning said. “Contracting out generally isn’t cost-effective or consistent in quality.”