Informe Anual Autoridad de Carreteras 1969-1970

Pueito Rico Higliiivay Authoríty

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HIGHWAY AUTHORITY OF PUERTO ANNUALREPORT 1969-1970

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The Honorable Governor Luis A. Ferré, inspects the plans of one of

the projects the Highway Authority is executing.

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THE EXECUTIVE DIRECTOR We at the Highway Authority have reason to feel satisfied ovar the considerable number of new projects we started during the previous fiscal year. These projects are of vital importance to the welfare of the people of Puerto Rico. Our Governor, the Honorable Luis A. Ferré, has requested to us carryout Great Task and this is what we have started to do to overeóme the 15 year backiog in highway construction.

The numerous projects now underway are oniy a sample of the immense job we have pledged ourselves to accomplish to próvida Puerto Rico with a transportaron system in accordance with the progress its people will continua to experience.

I am pleased to announce that the financial condition of the Highway Authority is very solid at the present time. It is fitting to point out that this healthy financial condition is a direct result of a law to which our Governor gave his wholehearted support. In the. course of the last legislativa session a bilí was introduced to authorize that the totality of the eleven cents levied on gasolina be assigned to the Highway

Authority. Under the assumption that heavy motor vehicles have the obligation to contribute more directly to the program of improvements to public roads, the bilí proposed to increase the tax on diesel fuel from 4 to 8 cents a gallón. The House of Representativas approved the bilí during the ordinary session. after which the Senate, was aiso convinced of its soundness, and approved it at the end of the Special Session convened by the Governor last May.

With the signing of this law, Governor Ferré made available to the Highway Authority the additional funds needed to finance an accelerated five-year program, whose advantages will be feit all ovar Puerto Rico,

relieving traffic congestión and opening new roads of progress for our economy. With these funds we will be able to complete vital projects. to start the construction of new roads, and to plan for the construction of new projects.

Last year the Highway Authority adoptad the policy of opening to traffic new facilities as they were partially finished, instead of waiting until they were completad, (n this way the citizen seas his taxes put to work as fast as possible.

One of the outstanding projects in which we are now engaged is the San Juan - Ronce Turnpike. When the present administration took ovar in January of 1969, oniy one stretch was un er construction.

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end of fiscal year 1969-70, eleven (11) segments, in addition to five bridges were in progr«s. Since the entire project comprises seventeen (17) segments it is evident that we have accomplished a S'g"i'":ant

progress in oniy 18 months. This gigantic project was a subject of discussion for many

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making it a reality. This outstanding highway project great impact among the Spanish-speaking countnes

of the hemisphere. This is why we have proposed to ñame it Las Americas Thruway.

We are aware that the solution to traffic congestión in the Metropolitan Area of San Juan will not

depend solely on roads. It is necessary to establish a reliable, attractive, rapid, comfortable, and economic system of public transportation. This is the rapid mass transportation system on whose design the Highway Authority has been working since September of 1969. One of our offices works exclusively on this vital project and we have contracted with the aid of federal funds the best consultants available. For

the Metropolitan Area we have made considerable progress towards the achievement of a well-balanced and integrated transportation system in which the elements of highways, rapid transit, conventional trans portation and parking are integrated.

In the midst of the noise accompanying the construction of roads and bridges, time has to be taken for planning, programming, rigorously administering public funds as well as creating and empioying new concepts. Some of these new ideas can be described as follows:

1. Eievated Urban Express Highways vs. the Chinese Wall - With the construction of elevated expressways expropriation is reduced to a minimum in most cases, affecting the least possible

number of famiiies which have been living for a long time in the neighborhood where these facilities will pass through. Another advantage is the múltiple use of the spaces under the expressway.

2. We believe that the construction of roads should not be limited exclusively to a pavement of cement or asphait but should posess other facilities which will tend to offer safety and comfort as well as attractiveness to the roads in Puerto Rico.

3. We have adopted the principie to levy tolls on special facilities, convinced that this measure will contribute definitely and significantly to shortening the construction time of much needed

projects. On the basis of the 15 year backiog in the construction of roads in Puerto Rico, we cannot allow ourselves the luxury to wait another 10 or 12 years for construction of urgently needed roads. As a result of this decisión, the San Juan to Ponce Turnpike will be constructed m approximately 4 years after it was started. If its construction had depended on the existing resources it would have taken more than ten years to finish it.

4. We have just started, for safety purposes,to use to advantage the construction of concrete median barriers in the main thoroughfares of Puerto Rico. We have already had construction begun on the median barrier of the road between Río Piedras and Caguas. This will be a functional barrier and yet very attractive to the eye.

5. We are trying to provide an efficient illumination system for the greatest number of roads and in so domg mmimize the amount of traffic accidents caused by lack of illumination. In the route

from Rio Piedras to Caguas a project is already underway to complete illumination all along this route.

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6. We have established an Office for the Inspection of Bridges. A number of the bridges in Puerto Rico are near the 70 year-age without undergoing engineering inspection, and the state of their

condition is not known. This office, which is a part of the Highway Authority, will be in charge of the inspection of all the bridges of Puerto Rico and will formúlate the pertinent recommendations.

At the same time we have instituted a series of administrative and managerial improvements. We have created the Scientific Center of Puerto Rico within the Electronic Computer Center of the Highway Authority. We have offered training to our personnel, granted scholarships and formed closer bonds with

the personnel by means of recreational actívities and salary increases, coupled with better working conditions. Our personnel has reacted, showing loyalty and devotion to their work. Since I took office in the Highway Authority, I have always stressed the fact that the most important factor for success in our task is the personnel of the agency; not the machines, ñor the concrete,ñor the asphait: it is our people.

The achievements evident in this report have been possible due to the efforts of each and every one of our employees. I feel proud of them, and I am sure the public will be too.

The Highway Authority will continué building today the roads of tomorrow. ^ J. Raymond Watson Executive Director

GOVERNING BOARD

aaard af Direcors: From ,ef,,o rigM: Eng. Angel R. CeUn. Secreter,, tlie Han. Angel L. Martín Secretar,of the Treasur,. the Han. Antonio Santiago Véanoea, Secreter,of PutrUc Worke and Oielrman of the Boerd, the Han.

Enngue Soler Cloduell, President of the Planning Board, the Han. Lula RIeere Brenea. Secretar, of Agriculture and Doctor Max D. Sánchez, Mayor of Juana Díaz.

OFFICERS

Mr. Angel L. Rodríguez Assistant Executive Director

Eng. Miguel A. Barrera Acting Director

for Administration

Mass Transportation Off'ce

Eng. Justo Becerri!

Mr. Humberto Cuevas

Eng. Angel L. Allende

Consuitant

Assistant Executive Director

Deputy Executive Director

Toll Highway Construction

Finance

Míss Sofía Heyn

Eng. Angel Santiago Matos

Legal Advlsor

Assistant Executive Director

Eng. J. Raymond Watson Executive Director

Eng. José E.RossyValderrama « .

t Fxecutive Director for

for Planning Mr. Homero Rivera Pérez interna! Audit

Mr. Samuel Campos López

Eng. Manuel Febo

Eng. Angel R. Cabán

Assistant Executive Director

Special Assistant to the

for Construction

Executive Director

Public Retations Officer

Eng. Germán Landrau

Mr. Abraham Alvarez

Eng. Daniel Sosa Berríos

Assistant Executive Director

Director

Chief - Office of Safety

for Desígn

Toll Facilities Office

Peat. Marwick. Mitchell & Co. CERTIFIED PUBULC ACCOUNTA.NTS G. P. O. BOX 4089

SAN JUAN, PUERTO RICO 00936

Governing Board Puerto Rico Highway Authority: We have examined the balance sheet of the

Puerto Rico Highway Authority (note 1) as of June 30, 1970 and the related statement of contributed capital for the year then ended.. Our examination was made in accordance with generally

accepted auditing standards, and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances.

In our opiniรณn, the accompanying balance sheet

and statement of contributed capital present fairly the financial position of the Puerto Rico Highway Authority at June 30, 1970 and the changes in contributed capital for the year then ended, in conformity

with

generally

accepted accounting

principies applied on a basis consistent with that of the

preceding year. The

supplementary

data

included in Schedules 1 and 2 have been subjected to the same auditing procedures and, in our opiniรณn,

are stated fairly in all material respects when considered in conjunction with the basic financial statements taken as a whole.

License No. 21

Expires December 1, 1970

August 26, 1970

PUERTO RICO HIGHWAY AUTHORITY 1970

Assets

1969

Opefáting accounts: 10,350,939

7,119,219

Due from the Commonwealth Secretary of the Treasury (notes 1 and 2)

1,173,720

495,918

Federal aid reimbursements (notes 1 and 4)

2,208,200

2,206,514

199,948

490,045

3,581,868

3,192,477

1

76,008

60,019

1

14,008,815

10,371,715

2,138,987

2,200,169

$

Cash (note 2)

Receivables:

Other

Total receivables

i

1 Prepaid expenses Total operating accounts

Advances to the Commonwealth Department of Public Works (note 1)

1 1

1 j

Property and equipment, at cost: Land

1,805,106

Operating equipment

1.454,562

1,069,862

I

3,259,668

1,126,659

1

411,330

246,804

56,797

Leasehold improvements

1

Less accumulated deprecíation and amortization (note 1)

1

2,848,338

879,855

Completad projects

109,010,391

Projects under constructlon

126,211,591

60,849,795 99,811,405

Net property and equipment

Cost of investment in traffic facilities (notes 1 and 6):

673,478

Right of way

Deposits for land under expropriation proceeding

3,224,928

t

Total cost of investment in traffic facilities

Other assets (notes 1 and 3): Bond sinking fund reserve Bond discounts

164.532,058 239,120,388

1,943,323 1,418,242 682,375

Other Total other assets

673,478 3.197,380

606,206 720,176

243,615

"TiéíÓi?

4,043,940 179.553,794 S 262.160.468

See accompanying notes to financiai statements.

BALANCE SHEET June 30,1970 with comparative figures for 1969 Llabiiities and Contríbuted Capital

1970

1969

Operating accounts: Loans.payable to the Commonwealth Secretary of the Treasury (note 4)

Current portion of long-term debt (note 2)

6,882,178

6,584,032

675,000

Accounts payable

4,513,814

4,622,714

Amounts retalned from contractors

7,105,880

3,589,019

Interest (note 2)

2,372,110

1,021,800

660,100

519,418

22,209,082

16,336,983

Bonds payable

79,325,000

40,000,000

Bond anticipation notes

35,500,000

20,000,000

114,825,000

60,000,000

Commonvealth of Puerto Rico

86,749,176

68,840,243

Federal Government

36,519,350

32,826,708

1,857,860

1,549,860

125,126,386

103,216,811

Other

Total operating accounts

Long-term debt (note 5):

Total long-term debt

Contríbuted capital (note 1):

Municipalities and others Total contríbuted capital

Commitments and contingent liability (notes 5 and 6)

$ 262,160,468

179,553,794

PUERTO RICO HIGHWAY AUTHORITY

Year ended June 30,1970 with comparativa figures for 1969

1970

1969

Commonwealth of Puerto Rico (note 1);

Balance at beginning of year

$ 68,840,243

50,711,787

23,709,703 411,519

21,884,733 133,936

24,121,222 6,212,289

22,018,669 3.890,213

17,908,933

18.128,456

$ 86,749,176

68.840,243

$ 32,826,708 3,692,642

27,378,436 5.448,272

$ 36,519,350

32.826,708

Appropríations:

Gasoline excise tax Other Functiona! expenses (Schedule 2) Net appropríations for the

year

Balance at end of year Federal Government (note 1):

Balance at beginning of year Appropríations during the year

Balance at end of year Municipalities and other:

Balance at beginning of year

$

Appropríations during the year

1,549,860

528,128

308,000

1,021,732

Balance at end of year

$

1,857,860

1.549,860

Total contributed capital

$ 125,126,386

103.216,811

See accompanying notes ta financia/ statements.

PUERTO RICO HIGHWAY AÜTHORITY

tement of Receipls aod Disbnrsements Year ended June 30,1970 with comparative figures for 1969

1970

Cash balance at beginning of year

$

1969

7,119,219

5,242,325

23,031,909

21,887,865

Receipts:

Gasoline tax collections

Federal contributlons

Bond anticipation notes

3,933,998

6,765,168

55,500,000

20,000,000

Proceeds from bond ¡ssue,¡ncluding $675,155 of

accrued ¡nterest at date of sale

39,899,155

■ Interim financing from the Government

Development Bank for Puerto Rico

17,000,000

Loans from the Commonwealth Secretary of the

Treasury Sale pf short-term ¡nvestments Contributlons from Municipalities and others Other Total receipts

3,256,468 3,994,453 560,971 440,166

5,522,945 4,190,998 721,732 158,553

147,617,120

59,247,261

67,746,179

43,632,334

Disbursements:

Cost of investment in traffic fácilities

Payment of bond anticipation notes

40,000i000

Interim financing to the Government Development

Bank for Puerto Rico Operating expenses, excluding those capitalized into,the cost of the projects

17,000,000 5,782,734

3,733,472

5,280,902

2,757,798

4,074,520

2,281,243

2,958,323 1,294,020

4,557,509 408,011

Purchase of short-term investments and deposits to sinking fund

I nterest on bond indebtedness and other

Payment of loans to the Commonwealth Department of the Treasury

Purchase of property and equipment

248,722

-

Other

Total disbursements

Cash balance at end of year

144,385,400

57,370,367

$ 10,350,939

7,119,219

PUERTO RICO HIGHWAY AÜTHORITY

Year ended June 30,1970 with cpmparative figures for 1969

1970

1969

10,303,370

8,160,674

464,680

343,955

Office supplies

98,756

91,426"

Advertising and promotion

68,852

52,290

Travel, per diem and representation

621,586

495,246

Professional services

310,989

183,845

Depreciation and amortization

400,433

156,742

4,740,688

2.368,817

320,870

471,150

Salaries and payroil taxes Rent

Interest

Transportaron studies and highway planning research net of federal contributions of

$243,044 ($131,351 in 1969)

23,867

8,384

Repairs and maintenance

100,325

62,450

Telephone and teleít[raph

56,704

34,499

345,860

320,007

Tools and construction supplies

Workmen's compensation

Training of personnel Other

35,489

10,554

220,900

133,757

18,113,369

12,893,796

11,901,080

9,003,583

6,212,289

3,890,213

Less expenses capitalized to projects under construction

$

Notes to FInancial Statements ■ June 30,1970

by Act No. 74 approved on June 23, 1965, as amended by Act No. 112 approved on June 21, 1968.

(1) Operations and Relatad Matters B. Contributed Capital A. Creation

Commonwealth of

Puerto Rico

The Puerto Rico Highway Authority is a

public corporation and instrumentality of

During the year ended June 30, 1970, the

the Gommpnwealth of Puerto Rico created

main source of revenue of the Authority

was six elevenths of the eleven cents per

Part of the construction program of the

gallón of gasolina excise tax collected by the

Authority

Commonwealth Secretary of the Treasury,

coordination

as provided by Act No. 75 approved on

Department of

June 23, 1965. This tax, net of functional

by Act No. 74 approved on June 23, 1965,

expenses (Sea Schedule 2), represents the

and by further agreement between the

contribution

Authority' and

of

the

Commonwealth

is

being with

the

performed

in

Commonwealth

Public Works as provided

the Secretary of the Department of Public Works signed on

of

Puerto Rico for the construction program of the Authority and for other related

September 3, 1965. Periodical advances of

activities. The Authority is exempted from

money are made to the Department of

the payment of any tax on its revenues and

Public Works to carry out their participation

properties.

in the construction program on behalf of the Authority.

Effective July 1, 1970, the Legislatura of the Commonwealth of Puerto Rico approved an

E. Depreciation and Amortization Policy

increase in the share of the Authority to

eight elevenths and aiso assigned to the Authority four eighths of the diesel oil excise tax per gallón. The amendment provides that, effective July 1, 1971, the

The Authority follows the practice of carrying

Authority will receive the total eleven cents

cost of these facilities is not depreciated.

in the balance sheet the accumulated costs

incurred in the construction program as cost of investment in traffic facilities. The

per gallón of gasolina excise tax presently

being collected by the Commonwealth

The operating equipment is being depreciated based on the straight-line method.

Secretary of the Treasury.

C. Contribüted Capital - Federal Government

Bond discount and the deferred financing

expenses are being amortized over the term of the bonds based on the stright-line

The Federal appropriations are recéived method. This amortization and the interest through the Bureau of Public Roads, U.S. expense are capitalized as cost of investment Department of Transportation, under in traffic facilities. provisions of Title 23, U.S.C. The annual contribution provides a period of two years (2) Cash to encumber the funds in approved projects.

Because of this two-year period, part of the appropriations recelved during fiscal year ended June 30, 1970,.are applicable to

The cash balance as of June 30, 1970 and 1969, consists of the following: 1970

prior years' appropriations. The Authority follows

the practice of recording such

appropriations at the time of billing to the Bureau of Public Roads regardiess of the year appropriated.

1969

Certifícate of deposit with the Government

Deveíopment Bank for Puerto Rico

$ 4,000,000

4,000.000

Funds help by the Commonwealth

Secretary of the

D. Construction Program ■ Commonwealth Department of Public Works

Treasury

Construction Funds

1,424,107 1,405,996

1.363,289 661.036

u

3,047,110 237,676

Bond Service account

Regular accounts

1,021,800 73,094

consist- of the following:

236.050

Other

$ 10.350.939

7,119,219

Cash held by the Commonwealth Secretary of

the

Treasury

represents

The bonds payable as of June 30, 1970,

collections

of

gasolina excise tax kept in the ñame of the

Authority. This money is subject to withdrawais upon the request of the

(a) Highway Revenue Bonds (Series A), aggregating $40,000,000, consisting of $20,000,000 serial bonds maturing in varying annual installments on July 1 in each year from 1970 to 1988, and $20,000,000 term bonds maturing on July 1, 1998. The bonds were issued at

Authority. In addition, as of June 30, 1970,

the

amount

of $1,173,720, had

been

varying interest rates from 4.75 per cent to 5.25 per cent.

collected by the Secretary of the Treasury but not yet credited to the funds of the Authority. This amount is shown as a receivable in the financial statements.

(b) Highway Revenue Bonds (Series B), aggregating $40,000,000, consisting of $20,000,000 serial bonds maturing in varying annual installments on July 1 in

The balance in the bond service account is

held by the fiscal agent for the payment of interest on bonds due July 1, 1970, in the amount of $2,372,110 and $675,000, for the payment of Serial Bonds "A"

each

year from 1971 to 1990, and

$20,000,000 term bonds maturing on July 1, 1998. The,bonds were issued at varying interest rates from 6 per cent to 7 per cent.

maturing on the same date.

The bonds are secured by a pledge of the net

(3) Sinking Fund Reserve

receipts of the gasoline excise tax (see note 1), together with the proceeds of any other

At June 30, 1970, the sinking fund reserve consists of cash in banks of $549,358 and

U.S. Treasury Notes, at cost, amounting to $1,393,965.

(4) Loans Payable the Treasury

Commonwealth Secretary of

Federal for each

through the line of credit which will be

current construction program of projects Federal

aid. These

by to

approved project.

(5) Long - term Debt

12

the be

loans

related

received

As of June 30, 1970, the Authority had been

granted a $65,000,000 line of credit, expiring December 31, 1970, with interest rates varying with respect to the going rate at the time of withdrawais thereon. The amount of $35,500,000 has been borrowed

Secretary of the Treasury to carry out its

contributions

Authority for the use of any of its traffic facilities financed by bonds.

withouf interest from the Commonwealth

collateralized

of Puerto Rico may al lócate and authorize the Authority to pledge; and by a pledge of

the proceeds of any tolls or other charges which may hereafter be imposed by the

The Authority Is empowered to obtaín loans

with

taxes, fees or charges which the Legislature

are

repaid by issuance of bonds.

(6) Commitments and Contigent Liability

As of June 30, 1970, the Authority had

The contractbrs are required, under the terms

commitments of approximately $50,000,000

of

relating to construction contract balances of

adequate public llability insurance. AIso,

uncompleted projects.

the contracts provide that the contractors shall

The Authority is defendant or co-defendant in

various lawsuits for alleged damages

aggregating

approximately

$4,000,000.

the construction agreement, to

hoid

harmless the

carry

Authority from

suits or claims brought on account of damages relating to the construction projects.

Therefore, management based on advlce of

in

legal counsel, believes that the liability of

connection with projects under construction.

the Authority, if any, would be immaterial.

Substantially

all

of

the

suits

are

The mosl nunlr.n trchnunÂť; .ve jpphvd m Hu: comrucuun oĂ­ loocls ,iod l)nthjes o! the Isl.ind.

V3

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Hundreds of kilometers have been converted from

swamps to modern highways, thus affecting the people in the ieast possibie way.

miscellaneous studies aiso were completed with a ienght of 8.07 kilometers.

Two hundred projects were being designad.

From this total the geometric design of 64 projects with a length of 149 kilometers, were completed.

During the fiscal year 1969-70, the Office of Structural Design preparad the construction plans of 26 structural works.

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In addition to

this activity 17 works were accomplished, related to structural works of highways.

Estimates, specifications and other contract documents were preparad for 33 construction projects with a length of 71.6 kilometers and with a construction cost of $27,249,160.

Estimates, specifications and other AREA OF DESI6N

contract documents were preparad for 76 reconstrucíion projects with a length of

The Area of Design is one oí the units which make up the operational structure oí the

457.65 kilometers and with a construction

Highway Authority. Within this structure, It has the responsibility to accomplish the functions related to the study, design and

preparation oí the final construction plans and of 3ÍI contract documents of the Highway Authority.

The activities carried out during the fiscal year 1969-70 were as follows:

Surveys were finished for 97 projects with total length of 169.59 kilometers. These

projects are classified in: 27 primarles, 16 secondaries and 46 municipals. Eight (8)

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cost of $9,701,740.

A total of 653 fieid surveys were completed, covering a total ot 1730 kilometers approximately. Answers were preparad to 360 projects submitted for endorsement to the Area of Design.

Thirty seven (37) contracts were carried out with consultanís, with a total of 333.788 kilometers. These are classified as follows; seventeen (17) contracts of primary roads of 244.80 kilometers, eleven (11) contracts of secondary roads of 87.40 kilometers and nine (9) structures of 1,588 kilometers.

In areas with critica! traffic problems we have started to open to traffic

those secrions of the projects that can be puf to use without waiting for thc project to be fuiíy finished.

ADMINISTRATION AREA

This area was created to establish the administrative functions related to house-

keeping, systems and procedures, hiring and perscnnel operations, and the acquisition of materials and equipment, among others.

The Administration Area consists of

the Offices of Personnel, Auxiiiary Services, Purchase and Contracts and Transportaíion.

Each of them has a manager who is responsíble to the Assisíant Executive Director or Administration who in turn answers to the Executive Director.

FiNANCE AREA

The fiscal year 1969-70 was a year of

signiíicaní events in the finance of the Highway Authority. Among the most outstanding achievements obtained during the year we can enumérate the following:

1. Law No. 24 signed on June 20, 1970 transfers to the Highway Authority.

the remaining five cents of the tax levied on gasoline as well as the new increase of four cents, levied on diesel

oit. Said law specifies that effective

on July 1, 1970 a transfer will be made of two cents of the gasoline tax in addition to four cents (from

the total of eight cents) íixed on

1b

the diesel tax. Effective on July 1, 1971 the three remaining cents will be transferred. This strengthens the

financia! position of the Authority considerabiy.

2. On March 31,1970 the second issuing of

installation of the I.B.M. 360/40 and the installation of a Model 360/50.

The computer was operated during a total of 2,655 hours for an average of 221 hours/month. The new IBM 370/155 was ordered in addition to

the 360/50 already installed.

bonds by the Authority took place successfully. This second issue (B Series) of $40 million was soid at a discount of

98.06 per cent and with a net total yieid of 6.97926 per cent.

3. On April 10,1970 a line of credit was negotiated with the Chase Manhattan Bank for $60 million at an annual interest rate of.5 3/8 per cent with a maturity date of December 31,1970.

The amount of this line of credit will be

used to pay $17 million loaned by the Government Development Bank In an interim credit line and to continué the accelerated program of traffic facilities.

4. For the Fiscal year 1969-70 the income corresponding to the gasoline tax

{6/11 parts) was of $23,709,703 which represents an increase of 8 per cent over

the total net collection for the previous

year (1968-69) which was of $21,884,733.

5. The investment in permanent improvements for the fiscal year 1969-70 was of $74,588,070 which represents an increase of $21,868,866 or 41.48 per cent over

the previous fiscal year.

AREA OF PRÜPERTY ACQUISITIGN AND ADMINISTRATiülM

This area was created during the fiscal year 1969-70 and Engineer José E. Rossy

Valderrama was designated to direct it, to initiate its organization and operations.

During this fiscal year a total of 149 projects with a total length of 307

kilometers were visited, in comparison with 103 projects and 164 kilometers last year.

Two-hundred-thirty-seven (237) structures

with a valué of $329,302.93 were appraised, in comparison with one-hundred- sixty-two

(162) structures valued at$172,989.86

last year. ln regard to damages to cultivated lands, 491 cases were appraised amounting to $138,912.10 and last year 167 cases were appraised amounting to $38,264.80.

In projects visited by the Appraisal Office 376 entry contracts were obtained for transfer of ownership of property Gquivalent to 65 per cent of the total of landowners affected. Contracts of entry

and occupation amounted to 188 for 32

per cent as compared to 177 permits and 6. The fiscal year 1969-70 marked the second year of operations since the

16

17 per cent last year. There were 38

expropriations for 3 per cent of the total.

The Bridgc ovor the Martín Peña, Channel, a project where the most advanced engineering concepts are used wHI be a link between the

Santurce Area and Las Americas Expressway.

AREAOFCONSTRUCTION

During the fiscal year 1969-70 the Area of Construction operated with the Offices of the Assistant Executive Director, Federal affairs Construction, Reconstruction, Contract, Liquidations and Testing of Materials. The Regional Offices for the East, South and West and the Office for the Construction of the Turnpikes were established. The organization of the

fourth Regional Office (north) was planned during this fiscal year.

Projects were developed in 72 municipal-

ities of the Island. A total of 165.49 kilometers of construction projects were finished with a total cost of $23,694,324.62 and 485.23 kilometers in reconstruction

projects with a total valué of $15,679,574.12.

At this time 167.56 kilometers are being built in active construction projects and 140.58 kilometers in active reconstruction projects.

During this fiscal year active construction

projects of the San Juan - Ponce Turnpike had a total of 18.98 kilometers. Theyare

underway in the municipalities of Ponce, JuanaDíaz, Santa Isabel and Cayey.

\1

AREA OF PLANNING

tn planning our projects we have taken into consideration the driver as well as the pedestrian. the city as well as the suburban dwellers.

The basic functions of the Area of

Planning are guided toward the planning and programming of roads.lts principal responsibility is the preparation of a

workable, integral and coordinated plan of immediate and far reaching aims effective in providing needed road capacity. Toward these aims it analyzes existing condilions in all aspects of traffíc and transportation, seis

objectives for the future, makes recommendations establishing priorities of projects to be executed taking into account available

resources; it keeps a record of the progress of the projects that have been programmed, it íTy

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reevaluates constantly the objectives set forth in the light of the results as they are

evident. All this work is performed subject to the evaluation and approvai of the Executive Director and the Governing Board.

PUBLIC RELATIONS OFFICE

The Public Relations Office organized the participation of the Highway Authority in a great number of civic activities as well as

inter-agency, and social activities to make

known the work accomplished by this public entity and the functions that have been entrusted to it.

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The personal care given to consultations submitted by citizens who have been affected by our projects or who wish that their communities be included in our programs was achieved with great success.

The personnel of the Public Relations

Office was in charge of the coordination of the inauguration program of a great number of projects that had been finished and were opened to traffic.

In the course of this fiscal year 86 press raleases were written and severa! iiiustrated

news reports were prepared for publisfiing

in diverse local and overseas publications.

We have initiated new iUumination projects which will contribute greatly to prevent mishaps in the highways.

19

The Office was in contlnuous communica-

and seventy-five (175) interviews and

tion with the mayors and legislators to keep them informed about the different projects

related to safety were shown to inspectors

that were put for bids and to send them the

in coordination with talks.

meetingswith contractors. .Ten films

monthly report of projects classified by municipalities.

LEGAL ADVISOR

OFFICE OFSAFETY

The Office of Safety has been assigned to

The Office of the Legal Advisor has the functión of providing legal counsel to the Executive Director and to other officials of the Highway Authority. It prepares contract documents needed for all those

execute the program of safety of the Highway

activities in which the Highway Authority

Authcrlty. It was created to protect the Ufe

appears as one of the parties.

and health of the employees of the Authoríty, the contractors and the public in general. It protects prívate and public property as well.

The Office of Safety elaborates its

program by means of visits to projects,

It revises and approves documents

preparad outside the Authority before they are signad and prepares draft opinions on

legislation on which the Authority is called upon to comment.

conferences, orientation and development of new methods of work for contractors as

well as for the employees of the Authoríty,

It takes care of consultations and gives

opinions in the ¡nterpretation of any legal question which may arise. It attends to

At the end of fiscal year 1969-70 the

Office had made 1,738 visits to the project sites of which 1,267 were inspection trips.

These inspections resulted in the finding of 1,391 risksof which 1,032 were corrected and 359 were pending correction as of this

complaints of a legal natura, orders the corresponding investígations and takes the

necessary steps to obtain a report on them.

OFFICE OF ADMINISTRATIQN AND OPERATION OF TOLL FACILITIES

report.

This Office was created during the The Office of Safety gave 703 talks

fiscal year 1969-70, It plans.organizas and

about safety measures and the use of safety

supervises all administrative and operational matters concerning the facilitíes oí the Toll

equipment to groups of íaborers at their job site.

A total of 480 detonations of explosivas

were supervised. The Office participated in 19 training programs and held one hundred

20

Turnpikes. The Office started its operation of communications, surveillance, concessions, nances, special personnel, selection of

equipment, and maintenance. It ha?

established contact with other government

Las Amaneas TurnplLe now unPer cons.ructĂ­an Pamaen San Juan ana,Ronca, has recaiaea,special ananaion Cus to The present urgent need for this modern highway.

21

agencies related in some way with the Turnpike, namely the Department of Health, the Civil Defense, and the Department of Public Works.

operational as well administrativa. During the fiscal year 1969-70 the Office participated in 342 interventions in projects,6 interventions in contracts, 37 interventions of administrativo character and 18

Among the achievements obtained until

now we can ñame the plant and grass nursery of the Highway Authority located at the

Longo Farm in Caguas; the regulations on the use of the Turnpikes; the organization of the personnel of the Turnpikes, their corresponding positions and description of their duties; the training of its existing personnel; the training program for the

miscellaneous other.

In total, the office participated in 403 interventions.

BOARD OF AWARDS

In fiscal year 1969-70 a total of

personnel to be recruited and the

establishment of the design criteria for the

stations to collect the toll charges.

INTERNAL AUDITING

The Office of Internal Auditing helps the

69 bids were oponed for highway projects.

Sixty six (66) bids were awarded with a total valué of $29,627,581.20 Sixty three (63) contracts were signed

functions that have been assigned to it so it

worth $23,601,599.83. Two contracts remained for signing during the year

may accomplish its task adequately and

1970-71. These have a valué of

achieve the objectives of the Authority.

$6,025,981.37.

management to execute due control over the

The office prepares reports, evaluations, recommendations and pbjective opinions concerning all the areas examinad.

The purchase of tires by bids had a valué of $24,413.29, vehicles of

$88,979.22 and engineering equipment of $30,525.00.

MiHions of cubic feet of dirt are being moved

in different localities of the Is/and to give way to modero highways.

22

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HIGHWAY AUTHORITY

HIGHWAY AUTHORITY "Buílding today the roads of tomorrow'