John Hennessy III,
P.E.
AMERICAN COUNCIL OF ENGINEERING COMPANIES
A big factor behind the jump in CEO sentiment was the passage of the five-year $305 billion surface transportation program. Twelve-month growth expectations for the Transportation market, which has languished for years due to the Federal Government’s failure to provide long-term funding, leaped from 58.4 to 70.1.
Rod Diridon, Sr., served as executive director of the Mineta Transportation Institute from 1995, four years after the Institute’s creation, until 2014 when he moved to Emeritus status. Mr. Diridon has chaired more than 100 international, national, state and local programs, most related to transit and the environment.
“The minimum gas prices around the world are more than double, sometimes triple, the United States…Now the public in America wants a gas tax increase: the polls show it. The polls show that if the gas tax increase will be used for transportation and infrastructure improvements, then the public supports it sometimes as high as 80%…But the U.S. can’t do it because Congress doesn’t have the courage.”
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TRANSPORTATION RESEARCH BOARD
In recent years, the real value of fuel tax revenues has declined significantly as a result of increasing vehicle fuel efficiency, failure to adjust tax rates to keep up with inflation, and fewer miles driven. This decline in the purchasing power of the revenues collected has led to ongoing funding challenges for transportation infrastructure and increased uncertainty about future funding options. The long term sustainability of motor fuel taxes has come into question, in view of increasing fuel efficiency and possible shifts to alternative fuel vehicles. Interest has grown in the potential of replacing the current fuel tax — assessed at the federal level and in many states as a flat fee per gallon — with new road usage charge assessed on all miles traveled. This method is often referred to as a mileage-based user fee (MBUF), road usage charge (RUC), vehicle miles traveled (VMT) fee, or per-mile tax.
AAA
IHS GLOBAL INSIGHT
Travel during the year-end holiday period will top 100 million for the first time, as the 1.4 percent growth will be driven by rising incomes and low prices, boosting consumer spending three percent above year-ago levels.
Once the world leader in infrastructure, the United States has fallen far behind in 16th place. So just how bad are America’s roads?
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“I do believe with a new Congress and a new administration, whatever the configuration of that is…I think we have a chance to get a blue-ribbon, six-month commission to propose ways to make significant investments in the American infrastructure. And I think that would lead to doing something like all of the G20 countries have done, and that’s a long-term infrastructure revitalization program…I think with Presidential and Congressional leadership looking at one of the most significant long-range problems facing this country, I think we have a chance to start anew. If we had such a commission I would love to be part of it or chair it, and I would do it as a labor of love.”
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BROOKINGS INSTITUTION
METROPOLITAN POLICY PROGRAM
There is no question that the Internet is a huge boon to the economy and society, but maximizing its potential is only possible if all individuals are online. As a result, it is critical that policymakers closely track broadband adoption rates: the share of households with a DSL, cable, fiber optic, mobile broadband, satellite, or fixed wireless subscription.
“I think all of those who have been surface transportation advocates have in fact been heard by the Congress, because they are supportive of this program, but that said, many of those same groups who are advocating for transportation investment have also made the point that what we really need is that sustainable source of revenue for the longer term. And the Congress did not address that issue. They chose to use what revenues do flow into the Highway Trust Fund but are insufficient to support today’s program levels and supplement those with general funds.”
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Congress has finally approved a new, long-term surface transportation program – the FAST Act. The $305 billion package will boost investments in highway and transit projects, giving State and local transportation agencies five full years of dedicated federal assistance, unlocking stalled projects and unleashing a new wave of contracting opportunities for engineering firms…To preview how the FAST Act will impact the business outlook for A/E/C firms, The American Council of Engineering Companies (ACEC) presents an exclusive on-line seminar: The New Federal Transportation Program – What It Means for Your Business.
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“…I think unfortunately we’ve come to a point in the U.S. and in Congress that infrastructure writ large is still somewhat a bipartisan issue—and I think this sort of cemented that for at least the next 5 years—but the type of infrastructure is not. So we’d like to see a more performance driven system where you invest in the projects that give you the biggest bang for the buck, and unfortunately I think we’re still going to be stuck in these kinds of 20th century silos for the next 5 years.”
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