Claims filed for work lost during shutdown 27 Jan 12

ST. PAUL, Minn. (AP) – Claims against the state for interrupted road work during last summer’s government shutdown are piling up.

So far, 29 claims by highway contractors who lost work have been settled for $2 million. The Star Tribune (http://bit.ly/AwFm7r) reports contractors for 65 additional projects have filed, or may file claims.

The Minnesota Management and Budget’s report last fall said the 20-day shutdown in July cost the state about $60 million in lost revenue and associated expenses, but it saved the state about $65 million in salaries not paid to workers who were temporarily laid-off.

Tim Worke is highway division director for the Associated General Contractors of Minnesota. He told members of the Senate Transportation Committee Thursday that the analysis is misleading because claims against the state are likely to be “in the tens of millions” of dollars.

Information from: Star Tribune, (Copyright 2012 by The Associated Press. All Rights Reserved.)