Government Impacts on Budget Projects


Abstract
This paper describes a government’s project and the effects on the operating budget. It will describe the agency and the type of government project and the implementation process. The paper will address the advantages and disadvantages of the project on the agency’s operating budget. The authors will summarize findings and make recommendations about the effects of capital projects on operating budgets.
Government Project Impact on Budget
An operating budget is the annual budget that contains estimates of the total value of resources required for the operation including reimbursable work or services for others. The operating budget itemizes income and expenses that a business generates following start up. Operating budgets are significant in that they enable one to assess personal finances one year at a time. Operating budgets include sales costs, commissions, overhead, utilities, taxes, labor costs, salaries, etc.

Overview of the Agency

TDOT is a multimodal agency with statewide accountabilities in roads, air, public transportation, waterways, and railways. The Tennessee Department of Transportation utilizes roughly 3400 employees with four statewide facilities in Jackson, Nashville, Chattanooga, and Knoxville. TDOT implemented a calculated administration methodology to business development by mixing tactical planning with operational management practices. Organizational strategic management calls for constant procedures where assets, outcomes, crucial issues, developments, and citizen needs are intermittently reviewed to help gauge and establish significances (TDOT, 2019).
U.S 27 reconstruction in downtown Chattanooga is a construction that began in 2015 with a starting budget of $126 million dollars. This is a budget that has been projected to update a freeway and a bridge. This is a much-needed change that will serve close to 70,000 traveling vehicles daily. The freeway was originally built in the 1950s and 1960s that spans over 2.3 miles. This project will not only provide updates to the freeway, but it will also widen the Olgiati Bridge that stretches across the Tennessee River. The updates will add consist of traveling lanes and ramp lanes in each go in each direction. By also adding collector-distributor roads, it provides access to other roads. Overall, the roadway will run along 1.623 miles and the bridge will be a total of 0.665 miles, for a total project length of 2.288 miles. This project is projected to have some road blockage and lane closures for the safety of motorist travelers (TDOT, 2019).

Type of Government & Implementation Process

The state of Tennessee began a $2.2 million highway safety project proceeded July 26, 2019. Jennifer Flynn, TDOT Community Relations Officer explained that the project will make State Route 293 intersections into a J-turn. The first phase will see workers operating in the median. Traffic will close Highway 111 to one lane and the speed limit will drop from 65 mph to 55 mph (Cleary, 2019). 
According to Overton County News (2019), the project is for safety enhancements on SR-111 at SR-293 in Overton County, Tennessee. The project affects Tennessee’s operating budget at a cost of $2, 183,248.71. TDOT explains that a J-turn is an alternate to conventional intersections on a four-lane highway. Drivers will turn right (instead of left) in the same direction of traffic, merging into a left lane, then into the J-turn where drivers will then be going in the desired direction. Using J-turns, drivers experience less time than pausing for a safer and suitable space to cross traffic. The point of J-turns is to significantly lessen and cease crashes common when drivers must cross over hectic highways to get to another road. Basically, J-turns reduce the need for drivers to cross over high-speed lanes to get to opposite lanes.
The second phase will position new drainage formations, including catch basins and storm drainage pipes followed by forming extensive asphalt shoulders along SR-111. Traffic will remain one lane until conclusion of the project (Overton County, 2019). The operating budget is impacted positively and negatively with the implementation of J-turn intersections. J-turns can replace signal lights which decreases maintenance expenses significantly, no retaining walls or special gradings are required. However, additional pavement width or reinforced shoulders are common in J-turn designs, therefore, extra resources should be budgeted.
More road signage is required, along with temporary signage, to provide illumination to foreign drivers. These may create substantial added costs. Citizen involvement and media costs can be a significant factor of the operating budget and should not be ignored (MDOT, 2010).
References
Cleary, R. (2019). TDOT begins $2.2m highway 111 safety project. Stonecom Cookeville LLC. News Talk 94.1. Retrieved from newstalk941.com/tdot-begins-2-2m-highway-111-safety-project/
MDOT. (2010). Synthesis of J-turn design standards and criteria. Mississippi Department of Transportation. Retrieved from http://sp.mdot.ms.gov/Roadway%20Design/documents/FINAL%20Synthesis%20of%20J-Turn.pdf
Overton County News. (2019). State installing J-turn on highway 111. Retrieved from https://www.overtoncountynews.com/news/state-installing-j-turn-on-hwy/article_aa617daa-b30a-11e9-8cff-b78b2ed31fa8.html 
TDOT. (2019). Transportation projects. Tennessee Department of Transportation. Retrieved from https://www.tn.gov/tdot/projects/region-2/us-27-reconstruction-in-downtown-chattanooga.html


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