ODOT Saves $10 Million in Salt Costs for Upcoming Winter
COLUMBUS (Monday, September 17, 2012) – The Ohio Department of Transportation (ODOT) today announced that state and local governments are projected to save more than $10 million this winter as a result of a change in the way salt contracts are obtained.
In the past, ODOT asked salt companies to bid on contracts on a county-by-county basis. This year, the agency gave salt companies the option to provide bids on entire ODOT districts in addition to individual counties. The result is a statewide savings of $13.11 per ton of salt, which adds up to $10,159,700.
“We never truly know what Mother Nature has in store for us each season, but one thing we do know is that ODOT will be fully prepared and our work this winter will cost Ohio taxpayers less money,” said ODOT Director Jerry Wray. “This is yet another example of how we are demonstrating our success of identifying efficiencies here at ODOT so that we can provide the same great level of service to our customers but do it at a lower cost.”
Last year, the state averaged $54.02 per ton of salt ordered. This year, the statewide average is $40.91 per ton. In addition to lower costs for ODOT, local governments will also realize significant savings because many of them combine their salt needs with ODOT’s in order to improve purchasing power.
In addition to the lower price per ton, ODOT alone expects to purchase 209,000 tons less salt this coming winter. Since last year’s winter was so mild, huge stockpiles of salt already exist.