Copyright 2002 eMediaMillWorks, Inc.
(f/k/a Federal
Document Clearing House, Inc.)
Federal Document Clearing House
Congressional Testimony
September 30, 2002 Monday
SECTION: CAPITOL HILL HEARING TESTIMONY
LENGTH: 4240 words
COMMITTEE:
SENATE ENVIRONMENT AND PUBLIC WORKS
SUBCOMMITTEE: TRANSPORTATION, INFRASTRUCTURE AND
NUCLEAR SAFETY
HEADLINE: FEDERAL-AID
HIGHWAY SYSTEM OVERSIGHT
TESTIMONY-BY:
JOSEPH L. PERKINS, COMMISSIONER,
AFFILIATION: ALASKA
DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES
BODY: Statement of Joseph L. Perkins Commissioner,
Alaska Department of Transportation and Public Facilities
Before the
Committee on Senate Environment and Public Works Subcommittee on Transportation,
Infrastructure and Nuclear Safety
September 30, 2002
Mr.
Chairman and Members of the Subcommittee, I am Joe Perkins, Commissioner of the
Alaska Department of Transportation and Chairman of the American Association of
State
Highway and Transportation Officials' (AASHTO) Standing
Committee on
Highways, and am appearing before you today on
behalf of AASHTO's members, which include the transportation agencies
representing the fifty states, the District of Columbia and Puerto Rico. I am
here to report to you on AASHTO's Bottom Line Report which we released jointly
with you on September 26th and which documents the nation's
highway, bridge and transit needs.
First, however, I
want to thank you for your recognition of the needs of our nation's surface
transportation and its vital contribution to preserving the nation's economy and
our quality of life. We appreciate your leadership and efforts to ensure that in
the final year of the Transportation Equity Act for the 21st Century (TEA 21),
funding will be restored to current levels. Key Findings
As Congress begins its deliberations on the reauthorization of federal
highway and transit programs, AASHTO with the assistance of the
U.S. Federal
Highway Administration, the U.S. Federal Transit
Administration and the Transportation Research Board has undertaken a
comprehensive assessment of the investments needed through 2009 to maintain or
improve our nation's surface transportation system.
The results of this
assessment show that:
- An annual capital investment of
$
92 billion by all levels of government for
highways and bridges is necessary to maintain both the physical
condition and performance of the system over twenty years and explicitly during
the next reauthorization cycle. This level of investment holds user cost at less
than a one percent increase; holds pavement roughness and delay constant; and
maintains current levels of system reliability.
- An annual capital
investment of $
125.6 billion by all levels of government for
highways and bridges is necessary to improve both the physical
condition and performance of the system over twenty years and explicitly during
the next reauthorization cycle. With this level of investment, pavement
condition improves by almost 15 percent; delay falls by almost 13 percent
despite expected growth in travel; average speeds increase; and decreased user
costs equate to an approximate $
60 billion per year savings.
From Fiscal Year 1990 to 2000, spending by all levels of government for
capital,
maintenance and operations grew from $
75
billion to $
128.5 billion - a 71 percent increase. In Fiscal
Year 2000, $
64.4 billion from all levels of government was
invested in
highway and bridge capital improvements. Applying
the same rate of growth - 71 percent - would increase capital investment by all
levels of government to $
110 billion, which is comparable to
the results of AASHTO's assessment.
- An annual capital investment of
$
18.9 billion is required between 2004 and 2009 from all levels
of government just to maintain the existing physical condition and service
performance of the nation's transit systems, if ridership only grows modestly at
1.6 percent per year. In Fiscal Year 2000, about $
9.5 billion
was spent by all levels of government on transit capital infrastructure.
- An annual capital investment of $
43.9 billion is
required to improve the current physical condition and service performance of
the nation's transit systems, if ridership continues to grow at 3.5 percent.
AASHTO's assessment of investment needs is based on rigorous,
quantitative evaluation using the same data sets and models as used for the
development of the U.S. Department of Transportation's Conditions and
Performance Report.
Highway data used for this assessment is
provided to the FHWA by the state transportation agencies, which inventory and
analyze 112,000 sample road segments. The source of bridge data is FHWA's
National Bridge Inventory database, and transit system and facility data
supplied to FTA by transit agencies.
While AASHTO and FHWA utilize
virtually the same data and modeling techniques, there are likely to be
differences in the results that are reported. The differences can be attributed
to variations in base years and time spans, and modeling assumptions and
scenarios.
Key Factors Contributing to Needs
The Backlog. Our
nation's repair backlog is a key contributor to our investment needs. Much of
the growth in investment needs results from the aging of the transportation
system. Over time, weather, ear and age take their tolls on roads, bridges and
transit facilities. The repairs, replacements and upgrades needed to bring the
existing system up to standard have created a huge backlog of needed investment.
The good news is that with the expanded
funding under
ISTEA and TEA 21, much progress has been made. The 1999 bridge repair backlog of
$
87 billion has been reduced to $
57 billion
today, and the percentage of bridges rated acceptable has increased from 65
percent to 72 percent. More than 80 percent of all roads are rated good to fair.
Rural roads, which comprise the great majority of roads, but a much smaller
share of travel, have been able to hold their condition relatively stable. Urban
roads, in poorer condition to begin with, have deteriorated further. There is
continuing improvement in the condition of Interstate pavements, both rural and
urban, but despite this progress 18 percent of the Interstate pavements are in
poor or mediocre condition, requiring immediate investment.
While we
currently have no means of statistically monitoring
highway
performance, anecdotal evidence and specialized studies make it clear that
congestion and declining performance is common. For example, according to the
Texas Transportation Institute's most recent Urban Mobility Report, which
examines congestion in 75 metropolitan areas, "All of the size categories show
more severe congestion that lasts a longer period of time and affects more of
the transportation network in 2000 than in 1982. The average annual delay per
peak road traveler climbed from 16 hours in 1982 to 62 hours in 2000. And delay
over the same period more than quadrupled in areas with less than 1 million
people."
With regard to transit, the significant increase in
funding made possible through ISTEA and TEA 21, together with
expanded state and local investment, helped spur a 22 percent transit ridership
increase during the past six years, bringing ridership to its highest level in
40 years. However, 22 percent of the nation's buses and 43 percent of its rail
rolling stock currently exceed their recommended service life. In rural areas,
an estimated 55 percent of the existing fleet has already exceeded their
recommended service life.
While ISTEA and TEA 21 enabled us to make
great strides, much remains to be done.
The Outlook for Demand. A second
factor contributing to needs is demand. The U.S. population grew by 100 million
over the last forty years, and is expected to grow by at least 100 million over
the next forty. Fifty-four percent of this travel takes place on major
highways - Interstates, expressways and major arterials. These
are the very facilities - under the states' jurisdiction - which must serve
interstate, interregional, intercity commercial and passenger traffic while
increasingly serving as the main streets for connecting us with the activities
of our daily lives.
Over the past thirty years, the nation has
experienced extraordinary growth in workers and in their travel. This era has
been characterized by the baby boom generation's arrival in the work force, the
surge of women into the workplace, sharp increases in driver licensing and auto
ownership and a shift in lifestyles. Growth in travel tracks directly with
rising incomes, employment and the economy. Over the last decade, vehicle miles
traveled (VMT) increased from 2.1 trillion miles to 2.7 trillion, and is
expected to grow by another 600 billion by the year 2010.
Since the
mid-1990's, transit ridership has increased more than 22 percent from 7.8
billion trips annually in 1995 to more than 9.5 billion trips in 2001. Transit
ridership has been growing at a rate of 3.5 percent annually over the last six
years. If this rate of growth continues, ridership will double in the next
twenty years.
Over the next twenty years, domestic freight moved by
truck is expected to increase by 70 percent. International trade, which is
expected to increase by more than 3 percent annually - doubling by 2020 - will
strain the nation's
highways, ports and gateways. Growing
volumes of NAFTA trade with Canada and Mexico, and trade with Latin America, the
Pacific Rim and Europe - which is giving Americans and residents of other
nations greater access to a wide variety of goods at lower costs - has brought
significant challenges. The infrastructure at our seaports has grown older and
less efficient. Larger trucks operating on older access routes have to deal with
short traffic signal cycles and deficient roadway designs. Key border crossings
are increasingly congested and our major trade corridors lack the capacity to
accommodate projected freight traffic. Increased investment is needed to fix
bottlenecks, provide capacity and enhance security.
In rural areas, the
competitiveness of the U.S. agricultural sector depends on an efficient,
economic and competitive U.S. domestic transportation system. In urban areas,
businesses increasingly are dependent on reliable, just-in-time delivery.
Managing the System. Over the past 20 years, growth in travel on the
nation's
highways has far exceeded growth in
highway capacity. As a result, congestion is a critical problem
for metro areas nationwide. It is estimated that more than 60 percent of all
delays are the result of non-recurring congestion caused by crashes, weather or
other incidents. Efficient management and operation strategies can reduce delays
and improve reliability, while also providing such benefits as quicker response
by emergency vehicles.
System management and operations covers a wide
array of strategies including: incident detection and response; snow and ice
management; emergency and disaster response; planning construction disruption;
traffic and transit operation and management; and traveler/shipper information.
Both capital and operating investments are needed to achieve the benefits of
system management. Such investments are eligible for TEA-21
funding, and are an important element for reauthorization.
Other
Highway Cost Factors
In addition to the
needs estimates produced through the modeling analysis, there are other cost
factors, which need to be considered. These include estimates for safety and
security, Interstate interchanges, and increasing program delivery costs, which
together may equal as much as $
11 billion annually.
Safety. On a typical day, 114 people lose their lives on the nation's
highways. In the year 2000, a total of 41,821 peoples died and
3.2 million were injured. Studies by the U.S. Department of Transportation show
that this staggering number of deaths and injuries results in over a
$
200 billion per year economic loss to the nation. AASHTO has
developed a Strategic
Highway Safety Plan that identifies 22
key emphasis areas targeted at drivers, vehicles,
highways,
enforcement, emergency medical services and management. We estimate that
implementation of activities in these emphasis areas could save even more that
the goal of 5,000 to 7,000 lives annually. Implementation is estimated at
$
3 billion annually in capital costs and $
1
billion annually in operating costs.
Security. The heightened threat of
terrorism introduces new imperatives to the Nation's
highway
and transit systems. While our
highway and transit network is
robust and redundant, the consequences, direct and indirect, of a large-scale
attack can be significant. Lost links could have long-term significant economic
consequences - not to mention the immediate harm done. It is also critical as a
means through which first responders reach impacted areas and by which the
public is removed from the area in danger.
Protecting the traveling
public and commerce from terrorism will require measures to harden facilities
from attack, improve emergency response capabilities, upgrade traffic management
during crises, and enhance communications among the public, the military, law
enforcement and rescue services. Federal, state and local transportation
agencies have a joint responsibility to minimize vulnerability of critical
transportation infrastructure assets and to prepare for the transportation role
in emergency response and recovery.
Over the past year AASHTO's members
examined the security issue, focusing on defense mobilization, asset protection,
emergency response preparation and motor carrier security activities, including
tracking and credentialing. The cost of enhancing
highway and
transit security is estimated at $
2 billion annually in capital
costs and at least $
1.2 billion annually in operating costs.
The Cost of Interstate Interchanges. The Interstate is an aging system.
Many of the nation's interchanges are coming due for renewal and reconstructing
them can be very costly, in part because these projects often involve safety and
efficiency improvements. There is a sense that these costs may be rising faster
than other forms of
highway costs.
Given the large
number of interchange projects planned for the next ten years, AASHTO in
conjunction with TRB undertook an investigation of the cost of Interstate
interchange projects and the portion of total Interstate spending they
represent. Twelve states surveyed were chosen to provide diversity in terms of
geography and Interstate system extent. The results indicate that over the past
decade approximately 10 percent of national Interstate capital spending went to
interchanges. Based on current programs, this percentage could double to 20
percent during this decade. In a few states, interchanges costs are consuming
one-third to one-half of Interstate capital outlays.
Increasing Program
Delivery Costs. The combination of environmental reviews and mitigation and
right-of-way acquisition is adding time and cost to transportation projects. The
increase nationally is conservatively estimated at $
1 billion
annually.
Transit Needs
The nation's extensive public
transportation network provides access to jobs; mobility for the young, elderly
or disabled and helps reduce congestion, conserve fuel, enhance the efficiency
of
highway transportation, reduce air pollution and support
security and emergency preparedness activities. An efficient, safe and
environmentally sound public transportation system is essential to moving people
in both urban and rural areas.
Transit capital asset needs include:
- Replace of bus and rail vehicles;
- Major rehabilitation of
bus and rail vehicles;
- Elimination of the backlog of vehicle need to
bring the nation's fleet into a state of good repair;
- Replacement or
rehabilitation of bus and rail maintenance and yard facilities, stations and
tracks;
- Fleet expansion to accommodate increased ridership demands;
and
- Expansion of new rail systems to meet demand
If the
nation's urban and rural transit systems only maintain physical conditions and
service performance at the levels that are being observed today, annual capital
investment needs will be about $
19 billion - assuming 1.6
percent annual ridership growth. If the decision is made to improve both the
existing physical conditions and improve service performance at the current
ridership growth rate of 3.5 percent, the annual transit capital need is about
$
44 billion.
Core Capacity Needs. In many of the
nation's largest cities, transit ridership has significantly increased during
the last six years. As a result, existing rail systems are operating near to, or
in excess of, their physical capacity and above a level that provides acceptable
passenger comfort and safety. To meet this demand, upgrades will be necessary,
including for example, new signal systems to allow more throughput of rail
vehicles, double tracking of existing rail lines to provide for additional
system capacity and station platform extensions.
New Starts. Many areas
across the country have recently completed or are seeking major rail transit
capital improvements. Between 1996 and 2001, more than 350 miles of rail transit
service were added in 20 cities. The demand for future rail projects continues
to grow. Currently, 26 states and the District of Columbia have 78 New Start
projects that have moved beyond the study phase and which carry a price tag of
an estimated $
47 billion. In addition, more than 150 studies
are underway around the country.
Rural Public Transportation Needs.
Mobility and access to meet the needs of the 60 million people living in rural
areas must include the availability of safe and reliable public transit service,
especially to meet the needs of the growing elderly population retiring to rural
areas, the disabled and the young - all dependent on alternatives to the
automobile. Rural transit needs consist of two major components - the
maintenance of the existing system and the expansion of the system to address
unmet needs.
The total estimated annual need for rural transit is:
- $
191 million for replacement and rehabilitation of
existing general public vehicles; and
- $
194 million
for replacement and rehabilitation of specialized vehicles
-
$
50 billion for replacement and rehabilitation of intercity
vehicles
- $
81 billion for replacement and expansion of
rural general public and rural specialized maintenance and administrative
facilities
- $
495 billion expansion of rural general
public, rural specialized and rural facilities to improve service
In
total, rural public transportation needs are estimated at $
0.5
billion annually for the maintain condition and performance scenario, and
$
1.0 billion for the improve service performance scenario.
Benefits of the Surface Transportation System
Transportation is
vital to the national economy and to our quality of life. Its benefits extend
from maintaining America's competitiveness in the global economy to providing
access to jobs and education. Here is a sampling of the many ways transportation
contributes value to every aspect of American life:
- Today, 11.3
million Americans - one in 11 - are employed in transportation occupations.
- Every billion dollars of federal
highway investment
generates 47,500 jobs; for every billion in transit investment, job generation
is virtually the same.
- In 1997, the country's roads, railroads,
airways, waterways and pipelines shipped 11 billion tons of freight valued at
$
7 trillion.
- The federal-aid
highway
program creates 2.5 acres of wetlands for every acre it takes for road
construction.
- Since 1970, states have built more than 1,600 miles of
noise barriers at a cost of more than $
1.9 billion.
-
Over the past 11 years, $
4.9 billion in enhancement projects -
such as bike paths and the preservation of historic bridges and train stations -
have been programmed for almost 15,000 communities.
- Today, 28 percent
of U.S. production is based on just-in-time practices, which is dependent on a
healthy transportation system.
Travel, Tourism and Recreation.
Transportation and tourism are vital to our economy. In 2000, 51 million foreign
visitors came to the United States, spending $
100 billion,
generating more than 1.1 million jobs and making tourism America's
fourth-largest export. Travelers to the United States from outside North America
spend an estimated $
220 per visitor on transportation. Although
many use transit or tour buses initially, significant numbers shift to private
automobiles on second and third visits.
Domestic travel and tourism
dwarf international visits. Americans touring America spent
$
481 billion and generated an additional 6.5 million jobs
during 2000. According to the Travel Industry Association of America, 43.9
million adults in the U.S. took some 272 billion business trips during 1998.
Recreation is one of the fastest growing sectors in the U.S. economy,
expanding at 5 percent a year. The American Recreation Coalition estimates that
there are 8.6 million recreation vehicle- owning households now and 10.4 million
expected by 2010. The recreation sector is also heavily dependent on federally
owned lands that comprise 650 million acres, or about 29 percent of the total
land area of the country. National Park Service areas get more than 273 million
visitors annually, who bring more than $
5.5 billion in spending
a year to nearby communities. The use of Forest Service roads, which total over
380,000 miles, has increased 15-fold over the past twenty years.
Business and leisure travelers, whether foreign visitors or next door
neighbors, depend on our nation's infrastructure for access to a variety of
activities and destinations. Transportation investment helps generate greater
tourism earnings by making tourist destinations more accessible. Investments to
relieve congestion, improve road conditions and signage and increase parking
facilities and scenic turnouts help increase tourist volumes, lengths of stay
and spending while reducing tourist transportation costs. Investments in transit
in and around popular tourist destinations create a more attractive and
accessible environment for visitors.
The Bottom Line Series of Needs
Documentation
The Bottom Line Report, which is attached, presents
AASHTO's assessment of the nation's current and projected
highway and transit capital investment needs, and was prepared
as one source of documentation to inform the coming debate on reauthorization of
the federal
highway and transit programs. We recognize,
however, that the all the modes comprising the nation's transportation system
are inextricably linked and we need all parts to function well for the health of
the entire system. Moreover, over the next year Congress may consider
reauthorization of Amtrak, freight rail financing and reauthorization of the
federal airport program as well as reauthorization of the federal
highway and transit programs. Therefore, the
Highway and Transit Bottom Line Report is the first in a series
of Bottom Line Reports that are underway. Others that are recently completed or
currently underway include AASHTO's Freight Rail Bottom Line Report; AASHTO's
Intercity Rail Passenger Report; and AASHTO's Aviation Bottom Line Report, being
prepared with cooperation from the National Association of State Aviation
Officials.
AASHTO's Freight Rail Bottom Line Report concludes that to
simply keep up with freight rail's share of forecasted demand, the freight rail
system needs substantial addition capital investment. Estimates include:
- $
13.8 billion for rail safety, including warning
systems, grade separations, grade crossing eliminations and track relocations
for both freight and passenger systems.
- $
11.8 for
short-line improvements, including upgrading of tracks and bridges to handle the
newer 286,000 pound and 315,00 railcars coming into service.
-
$
80 billion to $
100 billion over 20 years for
Class I infrastructure repair and maintenance.
- $
70
billion over 20 years for Class I infrastructure improvements above and beyond
repair.
The total cost to achieve this "base case"scenario is estimated
at $
175 billion to $
195 billion over the next
20 years. A more aggressive investment strategy to capture a larger portion of
the forecast growth in freight demand would require an additional
$
30 billion.
Intercity Passenger Rail. AASHTO believes
that intercity passenger rail service is a basic element of the nation's
multimodal transportation system. Passenger rail offers opportunities to
supplement
highway and airport capacity in congested and
rapidly growing traffic corridors, offers an essential transportation
alternative and contributes to a more dependable and resilient transportation
system. At least 36 states are involved in the operation and/or planning of
intercity passenger rail corridors. By their estimate, over the next 20 years,
$
60 billion in capital investment is needed for these rail
corridors, which include the federally designated high speed rail corridors.
This level of investment does not include additional capital resources needed
for longer distance train routes nor does it include the costs of operations.
Linked to air, bus and passenger car transportation, these corridors will
expedite travel for short-to-mid-length trips in transportation corridors where
highway travel is increasingly congested and air travel is
increasingly difficult.
Mr. Chairman and Members of the Committee,
AASHTO looks forward to working with you over the coming year as you begin your
deliberations on reauthorization of the federal
highway and
transit programs. I will be pleased to answer any questions now or that you may
have for the record.
LOAD-DATE: October 1, 2002