Is Outsourcing By NCDOT Costing Local Taxpayers Big Money?

March 1st, 2017

A recent report released by WBTV discusses how a powerful state lawmaker pushed to increase the outsourcing of services within the North Carolina Department of Transportation (NCDOT). In 2016 alone North Carolina taxpayers were collectively billed for more than $111 million by engineering firms for services.With taxpayers having to pay for these services some lawmakers continue to advocate for the outsourcing of more state highway jobs in order to save money and build state roads more efficiently.  But the question remains, does outsourcing for NCDOT projects save money over having NCDOT employees in-house doing these jobs.

State Senator Bill Rabon believes that outsourcing various NCDOT projects is much more economical for taxpayers, than having more NCDOT employees on the payroll.  “It appeared that DOT has quite a number of employees,” Rabon said. “There’s several departments and several layers of just people supervising supervisors. Supervisors with two or three people and then those supervise two or three people. And that’s not efficient.”

Private contracts for NCDOT projects seem to come with inflated costs, and after a review conducted by private engineering firm’s, taxpayers may be paying a premium for outsourced services. But again, this has not been determined, but it is being implied.

It is not clear if projects completed by private firms are more efficient than projects completed by state employees who work for NCDOT. This does seem to be an ongoing issue between local politicians, NCDOT employees with taxpayers in the middle.

Read the full article here.

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