Patchwork projects won't cure our freight-mobility problem
A Seattle Port Commissioner argues for comprehensive, strategic, national investments for moving goods and retaining competitiveness. Just look to Canada for an example, and a threat.
Leaders throughout Washington state often remark that one in three Washington jobs depends on international trade. Look to your left and to your right: If those jobs aren’t dependent on trade, yours probably is. And jobs that depend on trade also depend on a national network of roads and rail, a network that moves goods from the Puget Sound to distribution centers in Chicago, Columbus, and Memphis.
The sad and scary facts: Our highway connectors are deteriorating and our rail lines have frequent choke points. Freight shipment is the backbone of our national economy, yet we have no concerted, comprehensive national freight strategy. Freight choke points are usually seen just as a local issue in terms worsening traffic congestion and adding to local air pollution. That's only part of the picture. Solutions must be addressed at the national level if we are going to move beyond the current, broken funding system.
Our conversations about transportation funding tend to focus on the merits of specific projects. That usually leaves out a discussion about whether the project complements a broader regional and national strategy. Does it warrant the dollars it requests, compared to other projects still waiting for funding?
Roads and railways are only as effective as the system they support. If U.S. ports are going to continue to generate the family-wage jobs and economic opportunity they have produced in the past, transportation funding needs this kind of a new framework, one that ranks projects that best support the economy that move goods from farm to market. Moreover, a properly planned, constructed, and maintained freight system — adding capacity and building grade separations where appropriate — also benefits passenger rail, buses, motorists, bicyclists, and pedestrians.
This kind of integrated, big-picture planning is what our competitors are doing, up and down the West Coast. Canadian ports in British Columbia, for instance, have emerged as strong competitors for cargo and jobs. They have moved quickly to become significant players in trans-Pacific trade, and they’ve been able to do so because the Canadian federal and provincial governments view transportation projects as strategic national investments.
As part of a concerted federal freight strategy, the Canadian government has pumped over $3 billion into port infrastructure in British Columbia during the last decade. Transportation dollars are given first to those projects that support the integrated strategy. Make no mistake: These B.C. ports are gunning for the cargo that comes across Puget Sound ports right now, by building strong road and rail networks that move goods to the U.S. Midwest quickly and efficiently.
By contrast, the United States has no national freight strategy. America is faced with crumbling infrastructure at all levels and a funding system older than many of the roads and bridges that are falling apart. As the federal government looks to states to fund transportation, the states have begun looking for other partners who might be able to fill in the gaps. The Port of Seattle has committed $355 million to regional roads projects in the last 10 years, including State Routes 509, 518 and 519, as well as grade separations in the Green River Valley, East Marginal Way in Seattle, and the South Park Bridge. We have also agreed to help fund the Alaskan Way Viaduct Replacement Program, an essential north-south transportation corridor for freight. The Seattle Port Commission has unanimously supported these projects because each has a critical freight element, and because they would not be completed without our financial participation.
But ports are not designed to be transportation agencies. They were established to provide infrastructure at the water’s edge, not roadways, bridges, and commuter thoroughfares throughout the region. The current patchwork of funding transportation infrastructure is not sustainable. That's why we need to find a more viable way to fund strategic national infrastructure over the long run.
How do we move forward? Consider these two possibilities: a Chicago-area model, and newly-created federal legislation that provides dedicated federal funding for freight improvements across the country.
In Chicago, CREATE (the Chicago Region Environmental and Transportation Efficiency program) is an ambitious public-private partnership that will invest $2.5 billion in 71 projects. CREATE is a first-of-its-kind partnership between the federal government, the state of Illinois, the city of Chicago, Metra (the local transit rail authority), Amtrak, and six freight railways.
The projects include new overpasses or underpasses to remove road and rail bottlenecks, separating freight from passenger rail in high-traffic areas, significant safety improvements, and extensive upgrades of tracks, switches, and signal systems. Businesses believe the projects will bring about new jobs and expanded economic opportunity, while Chicago-area residents will see reduced commute time, better air quality because of less congestion, and increased green space along Chicago’s lakefront. (The Port of Seattle will benefit because our cargo will get to markets in the Midwest more efficiently.)
Another model is the U.S. FREIGHT Act introduced by Sen. Frank Lautenberg (D-NJ) and Washington Sens. Patty Murray and Maria Cantwell. (Its acronym: Focusing Resources, Economic Investment, and Guidance to Help Transportation.) The bill calls for the U.S. Department of Transportation to develop a strategic plan for investing in the country’s goods movement infrastructure. It would create a National Infrastructure Investments Grants Program to fund projects based on merit-based criteria that show how a project supports a national goods movement strategy.
Over the last several years, the Seattle Port Commission has pushed for stronger regional collaboration, and under Port CEO Tay Yoshitani’s leadership, six major West Coast ports and two western railroads announced in 2009 their intent to collaborate on common infrastructure and policy issues. Last year, members of the collaboration traveled to Washington, D.C. to carry the message that a national goods movement plan is essential for sustaining America’s role in global trade, and that more federal resources are necessary to maximize the advantages of moving goods from Asia through the U.S. West Coast.
We are also engaging at both the federal and state level in a broader discussion on how we can more sustainably fund transportation infrastructure going forward. Most members of the freight community understand that freight corridors will not be built and properly maintained without some form of user fee in today’s constrained funding environment, whether it be through tolling, a diesel tax surcharge, or national cargo container fee. Yet they also rightly insist that any freight-related user fee not be diverted to other pet projects but benefit those who pay the fee by creating more efficient freight corridors.
One big question is whether we should have separate funding regimes for freight projects on federal and state and local highways, or a unified funding program at the federal level with allocations to state and local roads. The latter is the better choice, in my view. Having a national program provides consistency and predictability for businesses and prevents one jurisdiction from being at a cost-competitive disadvantage from the next. It also would allow for better planning and coordination of freight mobility projects on a national, system-wide basis.
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Comments:
Posted Tue, Aug 17, 1:10 p.m. Inappropriate
I think the plan is to move freight on bicycles. Welcome to SimCity, er, Seattle.
Posted Tue, Aug 17, 2:53 p.m. Inappropriate
Of course freight mobility is a patchwork process. Every city/state is in competition with every other city/state for revenue. So as a national plan it's total grid lock. Never mind that rail corridors were gifts to private corporations by the national government. And that freight mobility is a two way street where the USA is turning back to a colony, ie exporting raw materials and food, and importing manufactured goods. "Lets spend tax dollars exporting your job!" Not exactly a slogan to get tax payers to fund additional revenue.
Posted Tue, Aug 17, 3:16 p.m. Inappropriate
Commissioner Creighton, speaking as a Chicagoan with experience in the area, I suggest you also look to the Alameda Corridor project in California as an alternative model to the CREATE program here. The differences are in scope and particularly in the way the projects are funded. CREATE is essentially the Class I's setting up a structure, primed with a relatively small percentage of their own money, into which the Federal Government is to pour money to upgrade a series of existing grade projects. Improvements but still spotty - not a comprehensive upgrade to throughput in the Chicago Gateway. Alameda, on the other hand, is essentially a grade-separated toll expressway for freight - funded almost entirely by a per-container fee from the ports of LA and Long Beach - with huge improvements in throughput along with major reductions in traffic delays, grade crossing fatalities, etc. While I certainly understand why the Class I's prefer the CREATE approach, as a Commissioner of a public agency you should be aware that the Alameda approach only requires pump-priming by government with the users providing the lion's share, a modest pass-through for a measurable performance upgrade. Alameda was completed ahead of schedule and its funding model allowed for other substantial additional projects to be spun off and funded. CREATE is basically an as-funded approach - certainly way, WAY better than no improvement but nowhere near what's needed here in the national freight rail hub, or what could have been achieved if the Alameda approach was adapted for Chicago. Check out "Critical Cargo" by Metropolis 2020, a plan that includes a version of this.
Posted Tue, Aug 17, 3:17 p.m. Inappropriate
By the way - our family just returned from a Seattle vacation. A spectacular city; anything you can do is improving an already wonderful overall situation there.
Posted Tue, Aug 17, 8:23 p.m. Inappropriate
While I admire your use of the most overworked current cliche of the era ("sustainable"; "sustainability"; etc.), this is pretty thin as a piece of policy analysis.
It's certainly self-serving, coming as it does from the Port of Seattle (which does produce living-wage jobs for guys who drive trucks, operate cranes, and inspect things like drivers' Homeland Security badges and the itty-bitty seals on all those containers) but let's get real, Commish.
When the tide comes in, or goes out, we're really talking about the movement of offshore-generated, value-added, REAL worker-generated, manufactured goods that have very little to do with U.S. productivity and very much to do with U.S. consumption. You're not competing to be the next big enshipment site for U.S.-produced goods (as GaryP notes, we're a colony now, shipping unimproved commodities to value-adding 'sponsor states,' and we already do a pretty efficient job of getting the wheat, fruit, timber, metal ore, and other resources from here to there). You're competing to be the next big container receiving port, with the nickel-dime stevadore jobs associated with it.
What's your national "goods movement" policy all about? Getting products MADE in Taiwan/Korea/Japan/China/Malaysia/Phillipines/Vietnam/Cambodia to SELLERS like Target, WalMart, Home Depot, BestBuy, for CONSUMERS in Spokane, Reno, Salt Lake City, Denver, and so on throughout the northwest region and the rest of the nation.
What you mean by "sustainable" is nothing more or less than the urgently-perceived need to shave a few more dimes or even dollars per ton-mile from the cost of getting consumer goods to market--thereby elbowing Vancouver, Tacoma, Vancouver/Portland, San Francisco, aside in a competition of conduits.
But where are the uncommitted consumer dollars that will, in your magic phrase, produce a "sustainable" economic exchange?
There certainly is value-added for the off-shore manufacturer, the shoreside shipping receiver (you 'n yours), and the pass-through retailer; there is virtually NO value added, and NO long-lasting benefit, for a regional or national economy that has to turn from consumption to efficient production and marketing.
Start from that last element, and go back to the drawing board to develop a real "goods movement" system that creates incentives for production in Topeka, Denver, Salt Lake, and Albuquerque. Then maybe the Port of Seattle will have something to contribute beyond being the most efficient receiver of foreign-made goods.
Posted Wed, Aug 18, 9:04 a.m. Inappropriate
I also want to note that it is important to shippers of wheat, cherries, apples, hay, and asparagus, that their product not sit on the docks waiting to be loaded as they deteriorate over time. And for the rest of us who live here, we don't want our highways clogged with trucks driving containers to freight yards to be loaded onto trains.
But the biggest local issue is that Seattle has run out of room, and Tacoma has not. But both ports are in trouble from the new port in Northern BC which is closer to the Asian markets for inbound shipments to the mid-west. And thus would do well to cooperate. Unfortunately there is plenty of bad blood between the two ports and Tacoma would like to get it's "fair share" instead of being the second sister in revenue sharing.
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