Unfortunately, cost overruns on government projects are hardly a new phenomenon. According to a CATO Institute paper, as far back as 1836, a congressional Ways and Means Committee examination found that 25 out of 25 federal projects suffered a cost overrun. The paper included other interesting items such as the construction of the Erie Canal went 46% over budget, the Healthcare.gov website was 77% over budget and the International Space Station ended up a whopping 335% over projected cost.
. . .None other than former Assembly Speaker and San Francisco mayor Willie Brown confirmed this strategy. In a 2013 column in the San Francisco Chronicle Brown wrote, “In the world of civic projects, the first budget is really just a down payment. If people knew the real cost from the start, nothing would ever be approved. The idea is to get going. Start digging a hole and make it so big, there’s no alternative to coming up with the money to fill it in.”
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