Transit chief taking school-construction reins

State Transportation Commissioner Kris Kolluri was approved yesterday to be head of New Jersey's $12.5 billion school construction program.

Kolluri, who has been in charge of the state's $5.6 billion-a-year transportation programs since March 2006, is scheduled to start as chief executive officer of the Schools Development Authority on Dec. 1.

His appointment to the $195,000-a-year schools post won unanimous approval from the authority's board of directors yesterday.

"I'm looking forward to this challenge," said Kolluri. "Infrastructure is going to be a focus under President Obama. From that perspective, I am right in the center."

Kolluri will be taking over a program that has been retooled and replenished with $3.9 billion in new funding after a series of scandals and millions of dollars in waste nearly derailed it three years ago.

He is taking the reins as Gov. Jon Corzine has directed the agency to speed up construction of billions of dollars in pending school projects to help the state buck the global recession.

"That's frankly one of my biggest focuses," he said. "To expedite the construction projects without losing track of the accountability."

Kolluri is scheduled to be replaced at the DOT by his top deputy, Stephen Dilts.

Dilts, who has overseen the DOT's day-to-day operations as deputy commissioner, worked at the New Jersey Turnpike Authority from 2002 to 2006.

"I am truly honored by Governor Corzine's confidence in selecting me to oversee the development and operation of New Jersey's transportation network," Dilts said. "We are entering a critical and exciting time in the state's infrastructure development, and I look forward to the challenge."

At the Schools Development Authority, Kolluri will replace Scott Weiner, a former state DEP commissioner who is stepping down after more than two years overseeing the redesign of the construction program.

Former governor Christie Whitman launched the school building program in 2000, in the wake of a state Supreme Court order that requires the state to rebuild or replace hundreds of decrepit, overcrowded public schools in 31 of New Jersey's neediest communities.

The initiative stalled in 2005, however, after a series of critical audits found the program had wasted tens of millions of dollars in unnecessary professional fees, had purchased millions of dollars worth of homes and property for schools it did not have the funding to build, and had few management controls in place.

Under Corzine, the agency's top management was replaced and new standards for budgeting, oversight and accountability of contractors were put in place.

Since its establishment, the program has expended $7 billion, including $5 billion in construction work in the 31 needy communities and about $2 billion in grants to suburban communities.

Through the program, 85 new schools or school additions have been completed, and hundreds of renovation projects have been carried out.