Our Failing Infrastructure

The National Governors’ Association met in Washington, DC this week for their winter meeting. The group’s chairman, Gov. Ed Rendell of Pennsylvania presented a new plan, Strengthening Our Infrastructure for a Sustainable Future  that the nation’s governors will push to help improve the nation’s infrastructure.

Gov. Rendell has long been a supporter of infrastructure improvement and joined ASCE for the release of it 2009 Report Card for America’s Infrastructure in January.

As head of The National Governors’ Association, Rendell chose infrastructure to be the group’s signature issue of 2009. Citing rising congestion, concerns over water supply, and public safety, Rendell said at the meeting, “To ensure our nation’s ability to compete in an evolving global economy and respond to crucial energy and environmental challenges, we must not only maintain our infrastructure system but also enhance and improve it.”

Also in his address to the group, Rendell mentioned the 2009 Report Card for America’s infrastructure. He said that the D grade and estimate of $2.2 trillion to update conditions over five years is the best proof he has that the U.S. is falling behind on the needed repairs, maintenance, and investment in its infrastructure.

More on the NGA meeting

President Barack Obama is expected to sign the American Recovery and Reinvestment Act into law this afternoon at a ceremony in Denver, CO. Among the provisions in the $790 billion bill – approximately $100 billion in funds for infrastructure.

While this is a great start to getting Americans back to work and beginning the long path to bringing the nation’s infrastructure up to a good condition, it’s really just the first step. To improve the infrastructure to a point where public health and safety are adequately protected, the natural environment is restored and improved, and commerce can flow freely, large scale reforms must be made.

ASCE’s 2009 Report Card for America’s Infrastructure identifies 5 Key Solutions to improve the nation’s infrastructure. These are:

·        Increase federal leadership in infrastructure to address the crisis.

·        Promote sustainability and resilience in infrastructure to protect the natural environment and withstand natural and man-made hazards.

·        Develop national and regional infrastructure plans that complement a national vision and focus on system-wide results.

·        Address life-cycle costs and ongoing maintenance to meet the needs of current and future users.

·        Increase and Improve infrastructure investment from all stakeholders.

While we are making some progress on these (the stimulus package is a good first effort on the first and last bullets), there is still much to be done. The economic recovery legislation is designed to get us back on track, but it’s taking us back to the status quo- which is what we need right now, but not in the long-term.

After the initial shocks from this recession are overcome, we need to sit back and think about what kind of country we want to become. Do we want to keep doing the same old things that have produced a D level infrastructure? Or do we want real change that will transform the society of our future? How can we design and build an infrastructure that is sustainable for generations to come and that provides essential economic and safety benefits?

Those are some big questions and the answers to them will require much more thought and expertise that I can offer on my one little blog. (But for readers out there- put your thinking caps on!)

In the meantime, we can look to the near-term and the list of policy work we have ahead of us in the 111^th Congress. Among the big ticket items that could mean the beginning of true reform are the surface transportation authorization, the re-authorization of the Federal Aviation Administration, the Water Quality Financing Act, and the Water Resources Development Act – all scheduled for action this year.

Let’s take a moment to congratulate ourselves on the success of infrastructure in the economic recovery package and know we need to get ready for the next fight. Keep checking Our Failing Infrastructure for updates on these additional issues.

Thanks for all your help!

House and Senate conferees have reached agreement on the economic stimulus package, H.R. 1, the American Recovery and Reinvestment Act.  The final agreement puts the cost of the package at $790 billion, less than either the House passed $819 billion version or the $838 billion Senate version. Both houses of Congress are expecting final votes today with a final version ready to present to President Obama next week.

The conference report, released late last night, includes the following spending levels for ASCE priority issues.

Transportation: 

• Roads and Bridges: provides $27.5 billion for modernizing roads and bridges, requires states to obligate at least half of the highway/bridge funding within 120 days;
• Public Transit and Rail: provides $8.4 billion for investments in transit systems, $8 billion for investment in high-speed rail, and $1.3 billion for Amtrak capital needs.  Includes funds for new construction of commuter and light rail, modernizing existing transit systems, and purchasing buses and equipment needed to increase public transportation and improve intermodal and transit facilities. The $8 billion for high-speed rail was not included in either the House or Senate-passed versions;
• Aviation: $1.3 billion to improve the nation’s aviation infrastructure.  Includes $1.1 billion for the Airport Improvement Program; and
• General Transportation:  $1.5 billion for discretionary grants for capital investments in surface transportation infrastructure including roads, bridges, tunnels, rail and ports.
• Failure to maintain effort:  The Department of Transportation portion of the legislation includes a maintenance of effort clause for the states to ensure that states don’t substitute economic recovery funds for current state transportation funds.

Dams:

• Small watershed dams rehabilitation:  $50 million for the Natural Resources Conservation Service
• Economic Development Administration:  $150 million

Water and Environment:

·        Army Corps of Engineers: $4.6 billion to improve the nation’s water resources infrastructure;

·        Drinking Water and Wastewater: $4 billion for Clean Water State Revolving Loan Fund and $2 billion for the Drinking Water State Revolving Loan Fund to finance water infrastructure improvements;

·        Superfund and Brownfields: $900 million for EPA’s nationwide environmental cleanup programs;

·        Waste: $1.28 billion to support $3.8 billion in loans and grants for needed water and waste disposal facilities in rural areas;

·        Bureau of Reclamation: $1 billion to provide clean, reliable drinking water to rural areas and to ensure adequate water supply to western localities impacted by drought; and

·        International Boundary Water Commission:  $220 million for the water quantity program to met immediate repair and rehabilitation requirements.

Science and Technology:

• National Science Foundation: provides $3 billion for basic research in fundamental science and engineering;
• Department of Energy’s Office of Science: provides $1.6 billion for research in such areas as climate science, biofuels, high-energy physics, nuclear physics and fusion energy sciences;
• Department of Energy’s Advanced Research Project Agency-Energy (ARPA-E): provides $400 million to support high-risk, high-payoff research into energy sources and energy efficiency in collaboration with industry; and
• National Institute of Standards and Technology (NIST): provides $580 million including the Technology Innovation Program and the Manufacturing Extension Partnership.

Energy:

·        Electricity delivery and energy reliability:  $4.5 billion to modernize the electric grid to include demand responsive equipment and enhance security and reliability of energy infrastructure.

·        General Services Administration:  $4.5 billion to convert GSA facilities to High Performance Green Buildings.

Education

• $40.6 billion within the State Fiscal Stabilization Fund:  Direct payment to local school districts which can be used for school modernization, preventing cutbacks, preventing layoffs, or other purposes.

Parks and Recreation

·        Bureau of Land Management:  $180 million for constructing, reconstruction, decommissioning and repair of roads, bridges, trails, property and facilities;

·        Fish & Wildlife Service:  $115 million for construction of roads, bridges, trails, property and facilities;

·        National Park Service:  $735 million for deferred maintenance and repair and restoration of roads and construction of facilities;

·        Bureau of Indian Affairs:  $450 million for repair and restoration of roads and replacement of school construction; and

·        Department of Agriculture, Forest Service:  $650 million for priority road, bridge and trail maintenance, including related watershed restoration and ecosystem enhancement projects.

Tax Provisions

• 3% Witholding: The legislation contains a 1-year delay in the implementation of the 3% withholding on contracts for government services.
• Qualified School Construction Bonds. The bill creates a new category of tax credit bonds for the construction, rehabilitation, or repair of public school facilities or for the acquisition of land on which a public school facility will be constructed.
• Tax Credit Bond Option for State and Local Governments (”Build America Bonds”). For 2009 and 2010, the bill would provide State and local governments with the option of issuing a tax credit bond instead of a tax-exempt governmental obligation bond. Because the market for tax credits is currently small given current economic conditions, the bill would allow the State or local government to elect to receive a direct payment from the Federal government equal to the subsidy that would have otherwise been delivered through the Federal tax credit for bonds

As recommended by ASCE’s Principles for Infrastructure Stimulus Investment,  the recovery package contains multiple provisions for oversight to ensure the money is being spent in its intended purpose.

• Funds will be distributed whenever possible through existing formulas and programs;
• Expedited, but effective obligation of funds so that dollars are invested in the economy as quickly as possible.
• The Government Accountability Office and the Inspectors General are provided additional funding for auditing and investigating recovery spending.
• A new Recovery Act Accountability and Transparency Board will coordinate and conduct oversight of recovery spending and provide early warning of problems.
• A special website http://www.recovery.gov will provide transparency by posting information about recovery spending, including grants, contracts, and all oversight activities.
• State and local whistleblowers who report fraud and abuse are protected.
• There are no earmarks in this bill.

If you haven’t yet, please contact your legislators using ASCE’s  “Click and Connect with Congress” advocacy website and ask them to support passage of the conference report.

If you want more information on non-infrastructure provisions of the bill, visit the House Rules Committee.

At a town hall meeting in Fort Myers, Florida today, President Barack Obama gave a “nod” to ASCE’s Report Card for America’s Infrastructure saying that the D grade we released in January “Makes a case for high-speed rail and mass transit” and other infrastructure improvements. To read his full remarks go to the White House blog.

ASCE released its 2009 Report Card early to do just that – make the case for infrastructure in the stimulus package being debated in Congress. And it seems to have worked. The Senate this afternoon passed their version of the package at a vote of 61 to 37. The cost of the bill passed is $838 billion that will have to be reconciled with an $819 billion version in the House.

Keep checking this blog for updates on the progress of the bill.

There is much discussion these days in Washington, D.C. and state capitals about a “shovel ready” projects.  Unfortunately, there does not seem to be any consensus about a definition, and you won’t find on in H.R. 1, the American Recovery and Reinvestment Act.  Of course in the coming weeks, once H.R. 1 becomes law we’ll get a much better idea of what was meant by “shovel ready.”

On Monday morning, February 9, 2009, National Public Radio’s Morning Edition, had a good story discussing “shovel ready” projects.  Click here to listen.

The U.S. Senate voted this evening to cut off debate (or invoke cloture) by a vote of 61 to 36. This is a crucial procedural step that means they will likely vote for final passage of the American Recovery and Reinvestment Act tomorrow.

The compromise hammered out in the last few days now puts the Senate version at around $780 billion. The House-approved version is an $819 billion bill and the two versions will have to be reconciled in a conference before heading to the president for his signature. Read more about this issue  

Since early last week, the Senate has been debating the economic stimulus package. There have been multiple amendments both to increase the spending and decrease it. Right now, those who want to lower the overall cost seem to have won (although infrastructure still continues to fare well) and the package should be heading to the floor for passage tomorrow.

Assuming the majority can garner the 60 votes needed to invoke cloture (or limit debate to begin voting) tonight, the Senate should pass the bill on Tuesday and send it to an immediate conference to work out the differences in the bill from the version passed by the House. The major differences between the House-passed version and the Senate version as it stands now are mainly surrounding aid to state and local governments for non-infrastructure purposes, although the Senate version does not include the $16 billion the House approved for school construction. Overall, it appears the nation’s infrastructure will get a good boost from this recovery package.

But that doesn’t mean that infrastructure advocates should sit back and let the chips fall where they may. We can’t be complacent. Don’t forget to let your Senators know that you support this measure because of the infrastructure spending. Don’t let another constituent who opposes an unrelated provision gets to him or her first. Let your Senator know that the citizens living in your state not only need the jobs, but the long-term economic benefits that infrastructure brings.

Please visit ASCE’s Click and Connect with Congress website to send a message NOW!

As the American Recovery and Reinvestment Act makes its way through the Senate this week, there are a number of proposals to boost infrastructure spending over the amounts approved by the full House and the Senate Committees. While the amendments are expected to be debated today, it is still unsure whether they will be approved.

This morning when I had to climb over a huge hole in the escalator at the Metro station (seriously), all I could think of was: I hope they are approved!

Among the various amendments to increase investment ASCE is monitoring:

• Amendment #205, a proposal by Louisiana Senator Mary Landrieu (D) that would double funds to the Army Corps of Engineers. ASCE supports increased investment in Corps’ projects. Click here to read a letter ASCE and 128 other groups sent in support of increased funding for water resources funding.
• A group of moderate Senators is working to eliminate “non-stimulative” investment from the bill. This does NOT include infrastructure.
• On Tuesday, the Senate voted against an amendment Sens. Patty Murray (D-WA) and Dianne Feinstein (D-CA) offered to increase infrastructure funds. The motion was defeated on a point of order, so there are rumors that a similar amendment will be offered today.

There is also a proposal from Sens. Christopher Bond (R-MO), Barbara Boxer (D-CA), James Inhofe (R-OK), and Max Baucus (D-MT) to eliminate $5.5 billion in the bill passed by the Senate Appropriations committee that would go to a discretionary surface transportation grant program. Amendment #169 proposes to transfer that money to highway formula grants, and removes the requirement that highway and transit funds left unobligated after one year be transferred to the discretionary grant program. ASCE opposes amendment #169.

ASCE supports the original discretionary transportation grant because funds would be awarded for any surface transportation project—highways, transit, rail or port infrastructure—as long as they have a significant impact on the nation, a region, or a metropolitan area.  Priority would be given to projects that can be completed within three years. This concept is similar to the criteria ASCE suggested in our Principles for Infrastructure Stimulus Investment .

Please take this opportunity to visit ASCE’s Click and Connect with Congress website to send your Senators a message in support of increased funding for infrastructure in the stimulus.

Check this blog and ASCE’s Government Relations webpage for the latest developments on these amendments.

It’s been almost a week since we released the 2009 Report Card for America’s Infrastructure  and everyone has had time to digest the news. After the release, we got an immediate burst of publicity, but the hits keep coming!

So here’s another, shorter round-up of the media coverage ASCE’s Report Card has been receiving.

 $819B Makeover: Obama, Dems Promise Stimulus Changes ABC World News

U.S. infrastructure crumbling Scientific American

Society of Civil Engineers gives America’s infrastructure a “D” Idaho Statesman

Letters: Improved infrastructure vital to our well-being Post Crescent, Appleton (WI)

And many, many others too numerous to mention here.

If you see a good story on the Report Card or infrastructure, post a comment and let us know!

Better yet, if you have a blog, write something about this topic, let us know, and we’ll link to it.