Porter and Associates Inc., and outside audit company, has reviewed the city’s financial plan for the Honolulu Rail Project and has stated that ”the city has the financial capacity to construct the project, and to address reasonable risks regarding the project costs and funding.”. The report released by Porter and Associates also noted that the city is in a secure financial position in the event that the project runs 10% over estimates, thanks to a $450 million line of credit that the city agreed to extend to the Honolulu Authority for Rapid Transportation (HART).
Don Horner, the Finance Committee Chairman for HART stated, This independent financial assessment analysis of the project was comprehensive and complete. The bottom-line conclusion was the overall HART financial plan is reasonable when compared to other projects around the U.S. and our city has the expertise and financial capacity to build and operate the system, which would provide a significant improvement to our existing traffic challenges.”
Executive Director and CEO of HART added, ”This external review is a key element of the Federal Transit Administration’s evaluation of Oahu’s rail project for our Full Funding Grant Agreement and reinforces the fact that we are on track to receive our FFGA by the end of the year. This review validates our current financial plan, which includes a total of $1.55 billion in federal funding, $645 million in contingency funds to cover unforeseen expenses and an ending cash surplus of $193 million. It indicates we’re on target.”
Source: Honolulu Star Advertiser, 10-5-2012, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Broker-in-Charge, Realtor®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com
Posted by Jeff Uyemura-Reyes, Broker-in-Charge, Realtor®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com
