REMARKS FOR
THE HONORABLE
NORMAN Y. MINETA
SECRETARY OF
TRANSPORTATION
CALIFORNIA
BUSINESS ROUNDTABLE
LOS ANGELES,
CA
OCTOBER 16,
2002
4:30 PM
Thank you for inviting me to participate in the California Business Roundtable here today, and allowing me to share a few thoughts on the current state of transportation, in my home state of California.
If there was one single message I would like to leave with you today, it is this:
Returning the public's confidence in the safety and security of the Nation's aviation system will also help to return financial solvency to an industry that is absolutely vital to the well-being of the Nation's economy.
We know two things: One, the aviation industry cannot be financially sound without being safe and secure; and, two, we can provide better customer service with no compromise in security. We believe that the two are not mutually exclusive.
We are spending a lot of time and energy to make sure this happens, but rest assured that we have not lost sight of the importance of transportation on land and sea. Intermodalism is the key to America’s future, and we at the Department of Transportation are working hard to see that all of the pieces fit seamlessly.
Having been a business owner, a Mayor, and a Congressman from California, I am very much aware of the impact that transportation has on the economy and the quality of life for the millions of people who call California home. Many of the economic lessons I learned in life were taught right here in California — and in my hometown of San Jose and Silicon Valley.
And through the years, California has been a leader in tackling transportation issues with new and creative thinking, not only in the types of projects, but in the way they are funded.
California's Alameda Corridor project is a model of intermodalism, innovative financing, and determination to tackle problems in new ways.
In that spirit, I am very interested in working with you to develop more creative solutions to our transportation problems, because the key to economic vitality is a vibrant, efficient, and dependable transportation system that is at once, both safe, and secure.
As a result of the Aviation and Transportation Security Act passed by Congress and signed into law by President Bush on Nov. 19, 2001, the Transportation Security Administration is making great strides on the path to superior aviation security. I am proud to say that we are on track.
We have met every deadline to date that Congress has set, and we plan to meet the remaining two — the November 19th deadline for deploying federally employed passenger screeners, and the Dec. 31st deadline for explosives detection screening of checked baggage.
The new federal screeners are a diverse group with 39 percent minorities throughout the United States — a higher percentage than the general workforce.
We've done especially well here in California. Seventy-percent of the screeners hired at Los Angeles International Airport are minorities, as are approximately 55 percent of the screeners hired in each of the airports in San Jose, Oakland, and Burbank.
We also expect to have explosive detection systems in place on time.
Many airports will have the explosive detection machines. A handful of airports will have other explosives detection systems in place, such as trace detection or dogs. We believe that this is an appropriate and secure way to handle the issue in the interim — and no airport will have second-class screening.
I know that many of you are frequent fliers, and I hope that you have experienced the new, white-shirted federal screeners. Despite news reports, the hassle factor we experienced in the immediate aftermath of September 11 is going away.
Customers are moving through the security lines in just a few minutes, less then 15 minutes during peak times in most cases; 4 out of 5 people surveyed are satisfied with aviation security; and they are slowly, but surely, returning to the skies.
According to our own Bureau of Transportation Statistics, passenger traffic is a lot closer to pre-September 11th levels than it was last fall.
In October 2001, we saw a 22 percent drop in passengers from a year earlier, meaning that the airlines had lost more than one passenger of every five they carried in October 2000. Our latest figures, for June, show only an 8 percent drop in passengers from last year, so those passengers are coming back.
In addition, most people are happy with what we’re doing ― a Bureau of Transportation Statistics survey shows more than 80 percent of the passengers were satisfied with our efforts to protect travelers on both domestic and international flights.
Retired Admiral Jim Loy and the staff of the Transportation Security Administration, also known as the TSA, are doing a fantastic job. The airlines and airport staffs are working with us, and they are also doing a great job.
Everyone has been cooperative and has made the safety and security of passengers the number one priority. And it shows.
And yet, I am concerned by the
effect that the congressional calendar is having on the mission of the TSA. As you know, the Congress has passed
only the Appropriations Bills for Defense and Military Construction for fiscal
year 2003, which began on October 1st.
As a result, all federal programs,
including transportation programs, are operating under a continuing resolution
that expired on Friday, October 18.
This temporary funding measure only
allowed us to operate at a spending rate proportionate to last fiscal year's
level of spending.
TSA is especially disadvantaged by
this process because it does not have money to carry over from previous years to
help bridge the gaps between its programmatic needs and the funding it receives
under the continuing resolution.
As a result, we are working
diligently with the Congress and the White House to ensure that TSA has the
resources it needs to carry out its responsibilities.
We all desire the same results: our standard is world-class security balanced with world-class customer service. Our Nation's well-being and economic health depend on meeting that standard.
Now, the air isn’t the only place where our Nation is facing a potential economic crisis. The crisis in the ports in California and throughout the West Coast is also a cause for concern.
Just over a week ago, the President appointed a three-member Board of Inquiry – headed by former Senator Bill Brock, a former U.S. Trade Representative and Secretary of Labor – to investigate. They reported their findings, and the President directed the Attorney General to seek an injunction under the Taft Hartley Act against the lock out by the PMA to order the ports re-opened.
I have always been inclined to let the collective bargaining process work itself out, but I wholeheartedly support the decision the President made here. The West Coast Ports handle more than half of the United States’ containerized trade, and we were already seeing huge disruptions in transportation.
Beyond the embargo on international container shipments imposed by the railroads, and the impact on rail workers and truck drivers, I am frankly concerned about the security situation.
At one point, we had more than 200 container vessels sitting idle both at the docks and at anchor in the West Coast ports. The Coast Guard is responsible for protecting those vessels and they’re doing a great job – but it is a difficult job that was complicated by the ever-increasing number of ships lining our shores.
As these ships and their cargo sat unmoved, somewhere in America, factory workers didn’t have the parts they needed, businesses had no goods to sell, and farmers couldn’t sell their crops. This is a painful way for Americans to learn the importance of intermodalism.
The Administration is going to be using this 80-day cooling off period to continue encouraging both sides to go back to the table and come up with an agreement.
The Federal Mediation and Conciliation Service has been working with both sides, and will continue to be available to the parties.
We, at the Department of Transportation, are also working with Congress and the White House on the reauthorization of TEA-21, which is the underlying legislation that authorizes highway and transit programs and expires Sept. 30, 2003.
We are committed to preserving and building upon the success of ISTEA and TEA-21. We will continue to pursue sustained investment in the Nation's surface transportation system.
For example, the Bush Administration budget for fiscal year 2002 requests almost $1 billion for transit programs in California. This is $103 million more than California received this fiscal year.
As many of you may be aware, the Nation’s highway fund was reduced this year due to a statutory formula in TEA-21 that was based on fuel tax receipts. California’s funding for fiscal year 2003 was set at just under $1.9 billion under that formula.
However, the Bush Administration’s budget request seeks to increase California’s share by 20 percent to just over $2.25 billion.
One of our core principles is to assure adequate and predictable funding for investment in the Nation's transportation system. Therefore, we are diligently reviewing the entire funding formula for possible modifications to prevent dramatic shifts in state highway funding.
I would also like to take a moment to point out that we, at the Department of Transportation, made history recently with TEA-21 reauthorization by setting up a system on our Web site, www.dot.gov, for stakeholders to provide their thoughts on what issues the Department should address during reauthorization.
This is the first time the DOT has solicited and received comments online on a legislative proposal. So far, we have had more than 1,000 submissions.
Anyone can, and in fact, all are encouraged, to go online and provide your comments as well as read any or all of these comments.
We
expect to finish up the draft of TEA-21 by early November and will have it ready
for Congress soon after they return to the Hill in January 2003.
Now let’s touch base on Amtrak and its financial situation: Trust me when I say that I completely understand the importance of intercity passenger rail operations to California. California has stepped up to the plate in passenger rail investment because we know how important it is.
That’s the kind of commitment we need from all the states if our passenger rail system is going to make sense.
California provides 15 percent of Amtrak’s total business. And without intercity passenger rail, California’s highways would be overwhelmed by the extra 265 million vehicle miles that rail passengers would have to drive to do everything from getting to their jobs, to shopping, to visiting with family and friends.
I believe that intercity passenger rail service is an important part of the Nation's transportation system and has a sustainable role to play. The question is, “In what form?”
In tackling that policy question, we first need to get a better sense of how business is conducted at Amtrak. The Bush Administration has been working with Amtrak to bring accountability and transparency to the way they do business.
In the
coming fiscal year, the Bush Administration will oppose any funding over last
year’s appropriation without meaningful reform.
We fully understand that American business depends on a world-class transportation system - in the air, at sea, and on land, and we are totally committed to keeping our system safe, efficient and reliable.
I sincerely appreciate this opportunity to share some thoughts with you today. Travel safely. God bless all of you. God bless America.
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