Yesterday, Representative Les Gara again asked for a promise from Anchorage and the Port Project that they would not be coming back to the State for funds for future extensions and projects for the Port of Anchorage.
Rep. Gara pointed out the cost overruns that have thus far occurred in the project originally slated to cost $275 million. He said in a statement, “This project started out as a $275 million proposal. Then it was $500 million. Then $700 million. Then the former Port Director said it would be $1 billion more for three needed sections. When does it stop? I’m not comfortable putting unlimited funds into a project until I know it’s been efficiently designed.”
After cost overruns started to draw public attention, Anchorage Mayor Dan Sullivan stated he only wanted funds in the amount of $350 million for the North Phase – but he then called that just a “first phase.” Later he indicated this is all the funding the Port needed, leaving the public to wonder whether the additional $700 million would just be requested after his term expired.
Costs of the port project have more than tripled since the first official estimate made in 2005. A lot of those cost over-runs occurred when it was discovered in 2009 that much of the work already done was damaged beyond repair during installation. Hundreds of damaged u shaped sheets of steel were pulled out and replaced.
Steve Ribuffo, Interim Port Director said in late February, “It is our intent to construct it with $350 million in state funds and not return to the Legislature for further funding.” When asked by Senator Lyman Hoffman D-Bethel then, “What kind of documentation or assurances does this committee have in that regard?” Ribuffo responded by saying SAnchorage Mayor Sullivan was committed to completing the project with $350 million.
The man at the helm during the port project, former Port Director Bill Sheffield, resigned from his position as Director in mid January. He took on an advisory postion at the port. Prior to his resignation, Sheffield pointed out that he was going to ask for the entire billion dollars for the project.