What’s wrong with this picture?<\/p>\n
After the Sun reported yesterday that the $725-million budget for the north-south line could balloon to almost $900 million, Munter sent a letter to Mayor Bob Chiarelli, renewing his request that the city hire an independent auditor to look at the books to find the project’s true cost.<\/p>\n
…<\/p>\n
Chiarelli went on the defence yesterday, saying the real cost of the project is not $900 million. He said only portions of projects identified as raising the cost of the north-south line are related to building light-rail transit.<\/p>\n
He said the list of projects reported in the Sun was “good news,” because portions of the $124 million worth of associated light-rail projects clearly identified in the 2006 budget will save the city money in the future. “We are taking advantage of the O-Train and increasing cost efficiencies substantially over the long haul,” he said.<\/p><\/blockquote>\n
The light rail system (O-Train) is going to be the issue which Bob Chiarelli will either be best known for, or live in infamy for. But I give him credit, he is plugging away at making sure it happens as hard as he can. So much so, that he has forgotten his grade 4 math.<\/p>\n
My 9 year old helped me out with this one, sans calculator.<\/p>\n
The O-Train was expected to cost $725 Million dollars.<\/p>\n
The list of expenses is almost $900 Million dollars.<\/p>\n
Mayor Bob says that $124 Million dollars of the $900 is programs which have already been accounted for through other city plans or will create future efficiencies.<\/p>\n
Now for the tough mathematical part.<\/p>\n
$900 Million (in overruns)
\n-$124 Million<\/u> (mayor’s number which is not part of O-Train costs)
\n$776 Million<\/p>\nHmmmmm……$725M has turned into $776M. We haven’t even approved the O-Train and the overrun is already mathematically $51 Million dollars.<\/p>\n