With the Thanksgiving holiday approaching, the next Washington Newsline will be published December 5. ARTBA Washington Newsline NOVEMBER 21, 2011 Newsline Washington House Proposal Ties Infrastructure Improvement to Drilling Revenue 2012 Market Forecast & Highway/Transit Bill Outlook, Dec. 12 Highway Investment Cut in FY 2012 Appropriations Continued on page 2 Continued on page 4 ADVERTISEMENT House Speaker John Boehner (R-Ohio), and House Transportation and Infrastructure Committee Chairman John Mica (R-Fla.) November 17 unveiled, H.R. 7, the American Energy and Infrastructure Jobs Act, which would expand domestic energy production and use a portion of the generated revenues to support investments in infrastructure. According to descriptions provided by Boehner and Mica, the bill would provide “responsible infrastructure funding for the next five years,” as well as streamline the project approval and delivery processes and make several policy reforms to federal transportation programs. They did not specify the level of transportation investment the measure would provide or how much revenue would be generated from the energy measures. With the reauthorization of the federal highway and public transportation programs more than two years overdue, the announcement by House leaders that they plan to act on H.R. 7 by the end of the year is extremely positive. ARTBA looks forward to reviewing the details of the House proposal. We continue to work with all parties in the House and Senate to move the surface transportation reauthorization bill forward and generate the revenues necessary to, at least, preserve current highway and public transportation investment levels. President Obama November 18 signed legislation, that among other things, would set federal transportation investment levels in FY 2012. The measure would provide $39.14 billion for the core federal highway program—a decrease of nearly $2 billion from FY 2011’s $41.1 billion. The FY 2012 bill would also provide an additional $1.66 billion for federal-aid highways in “emergency relief” funds from the general treasury. ARTBA’s senior economist and top lobbyist will provide a “behind the scenes” look at the political and economic factors that will impact the transportation design and construction market sector in 2012 during a special 90-minute briefing for analysts, investors and construction industry executives, on December 12 from 1:00-2:30 p.m., EST. Making sustainable progress possible & driving positive change on every continent
Transcript
With the Thanksgiving holiday approaching, the next Washington Newsline will be published December 5.
ARTBA Washington Newsline
N O V E M B E R 2 1 , 2 0 1 1
NewslineWashington
House Proposal Ties Infrastructure Improvement to Drilling Revenue
2012 Market Forecast &Highway/Transit Bill Outlook, Dec. 12
Highway Investment Cut in FY 2012 Appropriations
Continued on page 2
Continued on page 4
A D V E R T I S E M E N T
House Speaker John Boehner (R-Ohio), and House Transportation and Infrastructure Committee Chairman John Mica (R-Fla.) November 17 unveiled, H.R. 7, the American Energy and Infrastructure Jobs Act, which would expand domestic energy production and use a portion of the generated revenues to support investments in infrastructure. According to descriptions provided by Boehner and Mica, the bill would provide “responsible
infrastructure funding for the next five years,” as well as streamline the project approval and delivery processes and make several policy reforms to federal transportation programs. They did not specify the level of transportation investment the measure would provide or how much revenue would be generated from the energy measures.
With the reauthorization of the federal highway and public transportation programs more than two years overdue,
the announcement by House leaders that they plan to act on H.R. 7 by the end of the year is extremely positive.
ARTBA looks forward to reviewing the details of the House proposal. We continue to work with all parties in the House and Senate to move the surface transportation reauthorization bill forward and generate the revenues necessary to, at least, preserve current highway and public transportation investment levels.
President Obama November 18 signed legislation, that among other things, would set federal transportation investment levels in FY 2012. The measure would provide $39.14 billion for the core federal highway program—a decrease of nearly $2 billion from FY 2011’s $41.1 billion. The FY 2012 bill would also provide an additional $1.66 billion for federal-aid highways in “emergency relief” funds from the general treasury.
ARTBA’s senior economist and top lobbyist will provide a “behind the scenes” look at the political and economic factors that will impact the transportation design and construction market sector in 2012 during a special 90-minute briefing for analysts, investors and construction industry executives, on December 12 from 1:00-2:30 p.m., EST.
Making sustainable progress possible & driving positive change on every continent
Upcoming EventsVisit our Events Page for more information.
2012Transportation Construction Project Management Academy January 30 - February 3Washington, D.C.
4th Annual Construction Law & Regulatory ForumApril TBDWashington, D.C.
Global Innovations in Work Zone Safety Virtual Conference & ExpositionApril 24–26
Global Safe Roads Virtual Conference & Exposition April 24–26
Federal Issues Program & TCC Fly-InSpring TBDWashington, D.C.
Young Executive Development ProgramSpring TBDWashington, D.C.
TransOvation WorkshopJune TBD
National ConventionSeptember 11–14 Memphis, Tenn.
P3s in Transportation ConferenceOctober 11–12 Washington, D.C.
Webinar on “Construction Manager General Contractors”
Jim McMinimee
2012 Transportation Market ForecastContinued from page 1
Wednesday, December 14 from 1:00 - 4:00 p.m.
Is your firm prepared to work in a procurement environment that includes “Construction Manager General Contractor” (CMGC) as the delivery method? FHWA is actively promoting the use of CMGC by state transportation departments as a way to accelerate project delivery. The highway reauthorization bill now being considered in the U.S. Senate would explicitly enable states to use the CMGC model when they wish. You will need to know what CMGC is all about.
This three-hour educational webinar, presented by CMGC expert and 25-year industry veteran Jim McMinimee, will neither promote nor discourage the use of CMGC. Its purpose is to provide information on this emerging procurement method so that your firm is prepared. The distinctions between “Construction Manager at Risk” (CMAR) and CMGC, as well as many other details about how CMGC is being applied to highway design and construction,will be covered.
Register today! $300 members and $425 non-members.
Contact ARTBA’s Jim Colleton at 202.289.4434 with questions.
ARTBA’s Vice President of Policy & Senior Economist Alison Premo Black and Dave Bauer, senior vice president for government relations, will answer these questions and field yours too: • What are the chances Congress will pass
a multi-year federal highway/transit investment bill soon?
• With the end of the stimulus money and continuing state budget challenges, is the transportation construction market poised to “crash and burn” in 2012?
• Which states offer the best opportunity for market development in 2012?
• What is the long-range market forecast through 2016?
Register today! $325 members; $450 non-members; $600 group rate (more than 5 participants) . Contact ARTBA’s Jim Colleton at 202.289.4434 with questions.
Purchase the ARTBA Highway Construction Salary & Wage Guide
As you plan for your 2012 budgets and consider your personnel needs, you will want to purchase the most comprehensive guide providing salary and wage information for 112 occupations in the transportation design and construction industry, including management, engineering, construction, finance, administrative and safety-related positions.
The “2011 U.S. Highway, Street & Bridge Construction Salary & Hourly Wage Guides” utilize just released U.S. Department of Labor data for national, state, urban and rural areas so that you can benchmark your company’s wages against competitors.
Check out a sample report. Order the national or state guides. Contact ARTBA’s Peter Embrey with questions.
At ARTBA’s upcoming November-December regional meetings, the association’s top staff will provide you with the latest information on the status & timing for the respective House & Senate surface transportation bills. You will also receive expert insights into the current transportation construction
market conditions in your region and the market outlook for 2012, hear about the latest federal and regulatory issues, along with information on public-private partnerships and project delivery methods. Industry leaders will discuss key state, regional and local transportation improvement projects.
Each meeting will include plenty of time for networking and business development opportunities.
To view the agendas, or to register, visit: www.artba.org/regionalmeetings.
Full Agendas Available: Register Now for the Nearest ARTBA Regional Meeting!
Over 250 industry leaders, senior-level local, state and federal officials—including leaders of the Federal Highway Administration, Federal Railroad Administration, and the Federal Transit Administration—attended the 23rd annual ARTBA Public Private Partnerships (P3) in Transportation Conference held last week in the nation’s Capitol.
The program focused on providing industry executives with the latest information on P3 market opportunities in their jurisdiction and advancements in the field of alternative project delivery. Speakers and panelists included P3 program directors or senior executives from Arizona, California, the District of Columbia, Florida, Georgia, Illinois, Ohio, and Virginia as well as the Canadian provinces of British
23rd ARTBA P3 Conference Draws Top Officials and Industry Leaders
Columbia and Ontario. In addition, senior staff members
representing the Senate Environment and Public Works Committee and House Transportation & Infrastructure Committee provided an update on the highway/transit reauthorization bill’s progress in both chambers. ARTBA also recognized Kome Ajise, P3 Program Manager for Caltrans, as the public sector “2011 P3 Entrepreneur Of the Year,” and Jordi Graells, president of Abertis USA, as the “2011 Private Sector Entrepreneur of the Year.” The Denver RTD FasTracks Eagle P3 project and Puerto Rico’s PR-22 and PR-5 projects were honored as the “2011 P3 Projects of the Year.” For more information about the event, please contact Hank Webster, Managing Director of the ARTBA P3 Division.
The Senate had approved legislation maintaining highway investment at the FY 2011 level, while the House proposed bill would have cut highway funding to $27 billion. While the final outcome is disappointing—particularly given the Highway Trust Fund has sufficient resources to support a $41.1 billion investment level—it appears House negotiators were not willing to accept the Senate proposal.
The public transportation program would see an increase of about $400 million in the FY 2012 bill, nearly all of that coming in increased transit capital grants. The Airport Improvement Program—which supports capital projects at airports—would see a decrease of $165 million, down from the $3.5 FY 2011 funding level. Also included in the transportation spending bill is $500 million for the U.S. Department of Transportation’s TIGER (Transportation Infrastructure Generating Economic Recovery) Program, a decrease of $27 million from FY 2011. The TIGER Program doles out discretionary grants for major metropolitan, regional and national projects of all modes. For the second fiscal year in a row, the appropriations bill zeroes out funding for high-speed rail.
“Speaker Boehner’s action today represents a milestone and great step forward in building America’s
infrastructure...By contrast, on June 17, 2009, President Obama undermined the opportunity for a long-term transportation bill, putting on hold jobs and delaying building major infrastructure projects. The results have been devastating, hitting hardest our construction industry, where millions remain unemployed.”
House Transportation and Infrastructure Committee Chairman John L. Mica (R-FL) From a Nov. 17 press release on the GOP’s energy/infrastructure plan.
“It is Speaker Boehner’s birthday today, but it sounds like Big Oil is going to get all of the gifts. While Big Oil is hearing ‘Drill
for Highways, Baby, Drill’ from the Republicans today, states and unemployed construction workers will literally be hearing ‘Wait, Baby, Wait.’”
U.S. Representative Nick J. Rahall (D-W.VA) From a Nov. 17 press release on the GOP’s energy/infrastructure plan.
Overheard
“ ”
TRB Newsletter: November 15, 2011ARTBA is pleased to make available another service for members that highlights new research, technologies, industry best practices and information resources available to the transportation design and construction industry. This material comes from the Transportation Research Board. Read the most recent newsletter.
Fostering Innovation
Legislative & Regulatory News
Continued from page 1
Gridlocked Corridors Identified in New ReportTwo routes in Atlanta—GA 400 SB and I-75 SB—have the dubious distinction of being ranked #1 and #2 as the most “reliably unreliable” corridors in the nation, according to a November 15 report from the Texas Transportation Institute (TTI).
The “2011 Congested Corridors Report” is the first national effort to identify reliability problems at specific stretches of highway responsible for significant traffic congestion at different times and different days, TTI says.
Researchers noted that the corridors included in the report were identified by the data itself. INRIX, a leading provider of traffic data and analytics, originated the corridor approach, using 10 hours of congestion per week to define a starting point for a congested corridor. To be considered a “corridor,” according to the INRIX standard adopted for this report, congestion should impact a freeway segment at least three miles long.
Among the key findings:
• The 328 identified
corridors, while accounting for only 6 percent of the nation’s total freeway lane-miles and 10 percent of the traffic, account for 36 percent of the country’s urban freeway congestion;
• The 328 corridors account for 8 percent of the national truck traffic and 33 percent of urban freeway truck delay; and
• Travel time reliability is more of a problem around bridges, tunnels and toll facilities, both because there are few alternate routes available in such circumstances and because a small incident can have a huge effect on corridor travel times.
TTI identifies a variety of solutions to address congestion, including: adding road and transit capacity; improved traffic management such as aggressive crash removal; increased use of telecommuting and flexible work hours; and establishment of denser development patterns with a mix of jobs, shops and homes so people can walk, bike or take transit to more and closer, destinations.
Download a PDF copy of the digital “Washington Newsline.”
ARTBA, Industry Allies Urge Senators to Halt EPA/Corps GuidanceARTBA, as part of the Waters Advocacy Coalition, wrote the Senate November 14 urging support for an amendment offered by Senators John Barrasso (R-Wyo.) and Dean Heller (R-Nev.) which would prevent the U.S. Army Corps of Engineers from enacting guidance potentially extending federal Clean Water Act jurisdiction to cover roadside ditches, such as those associated with transportation improvements, and other isolated water bodies. The letter warns that allowing the guidance to proceed would “create significant regulatory barriers to economic growth in an already struggling economy.” The amendment and its underlying legislation will be acted by the Senate in December. The letter can be found on the “Regulatory” section of www.artba.org.
EPA Releases New Vehicle Standards The U.S. Environmental Protection Agency (EPA) and the National Highway Traffic Safety Administration (NHTSA) November 16 released their final proposal to increase the fuel efficiency and greenhouse gas (GHG) standards for model year 2017 through 2025 light duty trucks and passenger vehicles. The EPA/NHTSA proposal had been due in late September, but was delayed. ARTBA urged the agencies earlier this year to augment their regulations to compensate for any projected dilution of motor fuel tax revenues resulting from decreased purchases of motor fuel. ARTBA also released a memorandum to congressional
staff in July noting that the increased fuel standards could lead to the loss of more than $65 billion in highway and transit improvements between 2017 and 2025 due to declining fuel tax revenues. ARTBA’s earlier comments on the standards can be found on the Regulatory section of www.artba.org.
House Approves 3% Withholding RepealThe U.S. House November 16 voted 422-0 to pass H.R. 674, legislation to repeal a requirement for governments of all levels to withhold three percent of nearly all payments for goods and services, including construction contracts, beginning January 1, 2013.
ARTBA fought for permanent repeal of the withholding provision since its enactment in 2006, as it represents an unnecessary burden to economic growth and hiring. ARTBA has consistently made permanent repeal of this measure one of its top legislative priorities and undertook a wide range of activities in furtherance of that goal, including: writing all representatives and senators, individually and as part of two coalitions, urging support for H.R. 674; meeting with congressional offices to educate members and staff on the ramifications of the provision; and focusing on repeal as a key issue in the Transportation Construction Coalition’s legislative fly-in.
The president is expected to sign the legislation.
ARTBA News
ARTBA-APTA Transportation Ad Campaign FeaturingPresidents Reagan & Clinton Wins Prestigious International AwardThe TV and radio advertising campaign, “What Would Presidents Reagan and Clinton Do?,” developed by ARTBA and the American Public Transportation Association (APTA) has been honored in two categories in the 2011 “MarCom Awards” by the Association of Marketing & Communication Professionals.
House T&I Leaders Introduce Veterans in Transportation Legislation House Transportation and Infrastructure Committee Ranking Democrat Nick Rahall (D-W. Va.) and Aviation Subcommittee Chairman Tom Petri (R-Wis.) November 18 introduced H.R. 3473, the “Mobilizing Opportunities for Veterans Employment” (MOVE) Act to encourage increased employment for military veterans in transportation. The bill would require state departments of transportation and public transit agencies to ensure the contractors they hire for capital projects give hiring preference to veterans.
The MarCom Awards are an international competition recognizing outstanding creativity and achievement by marketing and communications professionals in the concept, writing, and design of print, visual, audio, and web materials and programs. Entries come from corporate marketing and communications departments, advertising agencies, PR firms, design shops, and production companies. This year, judges selected winners from over 6,000 applications.
The television ad, recognized in the “Platinum” category, and the radio ad, which earned “Gold,” feature excerpts of former Presidents Reagan and Clinton during their respective presidencies talking about the importance of highway and transit investment to the economy. The goal of the ad campaign was to elevate transportation into the ongoing congressional debate about the federal budget and future investment priorities, and to prod Congress to move forward on a long-term infrastructure reauthorization bill.
The ads were produced in partnership with “Something Else Strategies,” a media and communications firm with offices in Washington, D.C., South Carolina and Alabama.
