Meanwhile, In Houston,Tx.a $168 Million METRA Mistake?

[samfp1943]

While still trying to digest the $1.2 Billion plus New Orleans Trolley Car expenditure. The TRAINS Newswire for this date(2/22/11) brings us a story referencing the news that the Metropolitan Transit Authority is going to have to write off some $168 Million for projects it will never complete(?) according to the Houston Chronicle Newspaper. 

The article relates the following; "...George Greanias, Metro’s president and CEO, says the write-offs represent a positive change of direction for the agency..."   I guess they train political appointees to drop big numbers like public relations bombs; like the Air Force can deliver a MOAB {Mother of all Bombs).

By of explain the article quotes further;"...items include $41 million for a light rail/bus station that’s been canceled, and $28 million on an order for railcars that didn’t meet Federal Transit Administration Buy American requirements..."  The article further mentions that a transit critic[parphrased], Paul Magaziner, notes that there coulds be criminal charges, as the Board has failed in it's fiduciary duties [Ya' Recon?] .

This is too good not to follow up on.[linked here is an article that similarly discusses the issues at the MTA;   http://www.chron.com/disp/story.mpl/metropolitan/7258520.html  (From The Houston Chronicle, On-line CHRON)

"...Metro applies brakes to 121 projects"

"Work on hold until feds reinstate $900 million in transit funding..."

By CHRIS MORAN
HOUSTON CHRONICLE

Oct. 21, 2010, 8:37PM

FTA:"...The Metropolitan Transit Authority has put 121 light rail expansion contracts on hold as a result of the Federal Transit Administration's decision last month to withhold a $900 million grant..."

[And more] FTA: "...Board Chairman Gilbert Garcia emphasized that Metro expects the $900 million grant to be restored. The FTA held up the grant after finding that Metro violated "Buy America" procurement rules in the purchase of rail cars from a Spanish firm. Metro can requalify for that money by canceling the $331 million contract and rebidding it. The Spanish firm is eligible to rebid as long as the rail cars are manufactured in the U.S..."

You have to wonder who is advising these folks, on their purchasing of components, to be in-line with Federal Guide lines on foreign purchases that have caused problems in other locales as well.  One is given to wonder who is steering these projects through the regulated purchasing environment of strict purchasing constraints.   It would seem that the loss of $900 M would get somebody's notice in the State Government side.