ANTICIPATING AND AVOIDING CRITICAL MISSTEPS IN THE PLANNING, IMPLEMENTATION, AND ACCOUNTING OF A CAPITAL BUDGET ARE CRUCIAL SKILLS WHEN DEVELOPING A BUDGET. IN THIS ASSIGNMENT, YOU WILL EXPLAIN THE IMPORTANCE OF CREATING GUIDELINES TO ENSURE FISCAL RESPONSIBILITY AND DISCIPLINE.
Review the following resources before completing your assignment:
- Watch “When a Bridge Falls,” located in the Week 4 University Library Resources. This video provides a synopsis of the critical errors that may have led to the 2007 collapse of the Interstate 35W bridge in Minneapolis.
- Review the “Minneapolis Interstate 35W Bridge Collapse” resource guide for legislative reports and documents related to the 2007 Minneapolis bridge collapse.
- Review Ch. 7, “Capital Budgeting, Time Value of Money, and Cost-Benefit Analysis: Process, Structure, and Basic Tools,” of Fiscal Administration. This chapter explains concepts related to processes and guidelines for managing capital expenditures in a budget.
- Watch “How to Make a Presentation.” Review the presentation tips provided in this tutorial before completing the assignment.
Imagine that you are a criminal justice employee responsible for managing a budget at your agency. You have been asked to present to the budget planning team errors in budgeting so that your agency can avoid making these errors in your next budget proposal.
Create a 6- to 8-slide presentation on the errors made in the planning and implementation of the capital budget related to the Minneapolis bridge collapse.
Include the following headings and topics in your presentation:
Capital Budget
- Describe key steps that should be followed when developing and managing a capital budget.
Minneapolis Bridge Collapse
- Describe 2–3 budgetary issues that led to the bridge collapsing.
- Explain how these budgetary issues could have been prevented.
Capital Budget Processes in Criminal Justice
- Explain the cost-benefit analysis process that should be followed when determining whether to fund a capital improvement or expenditure.
- Explain how the time value of money concept should be applied to the capital budget process.
Cite at least 2 scholarly sources in addition to the textbook.
Format your citations according to APA guidelines.
Shortly after 6PM on August 1, 2007, the Interstate 35W bridge over the Mississippi River near downtown Minneapolis was loaded with rush hour traffic creeping through an ongoing construction project. Without warning, the bridge collapsed, taking with it 111 vehicles. Thirteen people died and 145 were injured.
The National Transportation Safety Board ultimately determined that the probable cause of the collapse of the I-35W bridge was the inadequate load capacity, due to a design error . . . of the gusset plates at the U10 nodes, which failed under a combination of (1) substantial increases in the weight of the bridge, which resulted from previous bridge modifications, and (2) the traffic and concentrated construction loads on the bridge on the day of the collapse.
A replacement bridge was designed and constructed on an accelerated schedule and opened on September 18, 2008, not long after the first anniversary of the collapse.
The collapse of the I-35W bridge resulted in increased concerns about deficient bridges across the United States. In Minnesota, citizens and government officials alike sought access to MnDOT bridge inspection reports, Federal Highway Administration documents, and other records related to the history, maintenance, and safety of the 35W bridge – and all other bridges in the state. This guide pulls together many of those reports and links to materials that record the State of Minnesota’s response to the tragic collapse and its efforts to quickly replace that vital link over the Mississippi River.
This chronology outlines some of the significant events regarding the I-35W Bridge collapse and the efforts to build a new bridge:
August 1, 2007: Shortly after 6PM, the I-35W Bridge collapses with 111 motor vehicles on it at the time.
August 4, 2007: MnDOT issues a request for qualifications for a Design Build Contract for the I-35W Bridge replacement project. Congress authorizes about $250 million to rebuild the I-35W Bridge.
August 14, 2007: The Minnesota Legislature quickly established a Joint Committee to Investigate the Bridge Collapse comprised of sixteen legislators from both the House and Senate transportation committees. The Committee was charged with conducting a comprehensive review of decisions made by MnDOT pertinent to the collapse.
August 20, 2007: The body of the 13th and final victim of the I-35W Bridge collapse is recovered from the Mississippi River.
August 23, 2007: MnDOT releases the request for proposal for the new bridge over the Mississippi.
September 11, 2007: The Minnesota Legislature holds a one day special session; legislation passed includes several provisions related to the bridge collapse (see Laws of Minnesota 2007, 1st Special Session, chapter 2).
September 14, 2007: MnDOT receives technical proposals from four companies: Ames/Lunda, C.S. McCrossan, Flatiron/Manson, and Walsh Construction/American Bridge.
September 18, 2007: MnDOT receives financial proposals.
October 5, 2007: City of Minneapolis passes resolution that grants approval of MnDOT’s proposed bridge layout.
October 8, 2007: MnDOT awards the new bridge contract to Flatiron/Manson.
October 15, 2007: Transportation Contingent Advisory Group gives MnDOT permission to spend an additional $60 million through February 2008. This amount is short of the $195 million requested.
October 16, 2007: MnDOT is sued over the selection of the winning bidder. The lawsuit alleges that the bidding process unfairly favored Flatiron/Manson. Suit requests that bridge construction be halted. (Sayer and Phillippi vs Minnesota Department of Transportation; Case No. 62-CV-07-3425)
October 31, 2007: Judge rejects restraining order that would halt bridge construction. (Sayer and Phillippi vs Minnesota Department of Transportation; Case No. 62-CV-07-3425)
November 1, 2007: Actual construction of the new bridge begins.
November 29, 2007: Governor Pawlenty and legislators announce the creation of “I-35W Emergency Hardship Relief Fund.” This fund will provide $1 million in financial assistance to the victims of the I-35W Bridge collapse and their families. Victims and their families will be eligible for up to $10,000 in lost wages.
December 19, 2007: Minnesota Legislature’s Joint Committee to Investigate the Bridge Collapse announces it has authorized the spending of up to $500,000 to the law firm Gray Plant Moody for an investigation into MnDOT and the I-35W Bridge collapse. The report is due in May 2008.
January 11, 2008: The National Transportation Safety Board’s (NTSB) on-going investigation uncovers an error in the original design process that resulted in undersized gusset plates on some of the I-35W Bridge 9340’s main trusses. On January 15, 2008, the board issues Safety Recommendation H-08-1, dealing with load capacity calculations for non-load-path-redundant steel truss bridges in the United States. These findings were released in the Federal Highway Administration’s interim report, Adequacy of the U10 and L11 Gusset Plate Designs for the Minnesota Bridge No. 9340 (I-35W Over the Mississippi River).
February 19, 2008: The Office of the Legislative Auditor releases an updated analysis, State Highways and Bridges, of their 1997 report, Highway Spending.
March 5, 2008: The NTSB issues Structural Investigation Group Chairman Factual Report 08-015 (available in print at TG25.M6 S77 2008). On March 17, 2008, a NTSB update states that excess construction weight was placed above the earlier-reported too-thin gusset plates.
May 8, 2008: Governor Pawlenty signs a $38 million package to compensate bridge victims for their injuries and losses.
May 21, 2008: The Joint Committee to Investigate the Bridge Collapse releases their report, Investigative Report to Joint Committee to Investigate the I-35W Bridge Collapse.
September 18, 2008: The new bridge opens.
November 14, 2008: The National Transportation Safety Board (NTSB) issues their report, Collapse of I-35W Highway Bridge Minneapolis, Minnesota, August 1, 2007.
November 18, 2008: MnDOT issues their response to the NTSB report.
August 23, 2010: URS Corporation agrees to pay $52.4 million to I-35W bridge collapse victims.
August 1, 2011: The 35W Bridge Remembrance Garden, located near Gold Medal Park, was unveiled by Governor Mark Dayton and Minneapolis Mayor R.T. Rybak.
Significant Internet Resources
Minnesota Department of Transportation (MnDOT)
- Interstate 35W St. Anthony Falls Bridge
- In-depth information about the I-35W bridge (bridge 9340) and the 2007 collapse is available by contacting MnDOT’s Office of Chief Counsel: 651-366-4799.
Minnesota Legislature
Joint House Transportation Finance Division and Senate
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