2017.05.15 ildp econpresentation ablack · $531 $718 $529 888 $303 $435 $271 $385 $775 $566 $389...
TRANSCRIPT
Fundamentals of the U.S. Transportation
Construction MarketAlison Premo Black, PhDARTBA Senior VP, Policy
& Chief Economist
ARTBA 2017 Industry Leaders Development Program
© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
HIGHWAYS & BRIDGESModal Profile
User Tax Revenues &
Tolls38%
Road and Crossing Tolls
7%
Other Imposts and General
Funds11%
Bonds9%
Federal Payments
25%
Local Payments
3%
Misc.7%
State Government - Highway & Bridge Revenues
User Revenues &
Tolls5%
General Funds41%
Taxes & imposts
21%
Bonds7%
Federal & state
payments18%
Misc.8%
Local Government - Highway & Bridge Revenues
What are the major sources of highway and bridge spending?
Source: FHWA Highway Statistics 2015, Tables SF-2 and LGF-1. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Capital Outlay52%
Maintenance and Services
15%
Admin, Police and Safety
12%
Interest6%
Bond Retirement
5%
Grants In Aid10%
State Government – Highway & Bridge Spending
Capital outlays26%
Maintenance & traffic30%
Administration, Police & Safety
17%
Bond retirement &
interest24%
Payments to States
3%
Local Government – Highway & Bridge Spending
Source: FHWA Highway Statistics 2015, Tables SF-2 and LGF-2. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
How are highway and bridge funds spent?
Source: ARTBA analysis of FHWA Highway Statistics data, total ten year average 2005-2014 from tables SF-1 and SF-2. The percent is the ratio of federal aid reimbursements to the state and total state capital outlays and is indicative of the importance of the federal aid program to state capital spending for highways and bridges. Does not include local capital spending. Federal highway reimbursements are primarily used for capital outlays, including construction, right of way and engineering, but are also used for debt service for GARVEE bonds.
* States that have issued GARVEE bonds before 2014.
© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
86%*
35%
50%
61%*
68%*
88%*
72%
56%
59%*
70%*
84%*
65%*
69%
45%
50%
59%*
38%
66%
58%
71%
51%
39%
41%
62%
42%*
67%
65%* 69%*
60%*
52%
44%
68%
48%*
68%*
37%
52%*
61%*
61%*
42%
HI81%
80%
VT80%
CT68%
RI98%*
DE45%*
NJ29%*
MD43%*
DC52%*
NH56%*
50 to 69% of state highway & bridge capital outlays
MA41%
50%
Over 69% of state highway & bridge capital outlays
29 to 49% of state highway & bridge capital outlays
Federal funds, on average, provide 51% of annual state DOT capital outlays for highway & bridge projects
$531
$718
$529
$3,888
$303
$435
$271
$385
$775
$566
$389
$263
$299
$306
$400
$672
$3,656
$691
$521
$1,003
$797
$704
$895
$804
$1,778
$1,738
$1,078
$1,105
$1,368
$
$463
$548
$368
HI$179
$709
VT$215
CT$532
RI$232
DE$179
NJ
MD$637
DC$169
NH$175
$400-600 million
MA$643
$743
Less than $400 million $600 million- $1 billion
Average Annual FAST Act Funding by State (in millions)Over $1 billion
$2,007
$1,506$1,009
$196
$512
$1,420
$1,115
$1,058
Source: ARTBA analysis of FAST Act. Original data from FHWA. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
FAST Act Highway Investment Impact
$46.4
$41.3$40.3
$42.0
$37
$38
$39
$40
$41
$42
$43
$44
$45
$46
$47
2015 2016 2017 2018 2019 2020
Billi
ons o
f dol
lars
Nominal Obligations Adjusted for Project Costs Adjusted for Inflation
Source: ARTBA analysis of FAST Act. Inflation forecast from CBO's August 2015 report "An Update to the Budget and Economic Outlook: 2015 to 2025.“© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
AK
WA
OR
CA
ID
MT
WY
NV
AZ
CO
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
WI
IL
MI
IN
KY
TN
MS AL
OH
NY
PA
VA
NC
GA
FL
ME
WV
AR
UT
HIHI
SC
VT
CTRI
DENJ
MDDC
NH
MA
LA
Status of State Enabling Statutory Authority to use Public-Private Investment Partnerships
for Transportation Infrastructure Projects
Source: National Conference of State Legislatures, Public-Private Partnerships for Transportation: A Toolkit for Legislators http://www.ncsl.org/research/transportation/public-private-partnerships-for-transportation.aspx
Broad enabling legislationLimited or project-specific legislation
No legislation
AK, 1
WA
OR
CA
ID
MT
WY
NV
AZ
CO, 3
NM
ND
SD
NE
KS
OK
TX, 4
MN
IA
MO
WI
IL, 1
MI
IN, 1
KY, 1
TN, 1
MS AL
OH, 1
NY, 1.5
PA, 1
VA, 5
NC, 1
GA
FL, 1
ME
WV
AR
UT
HIHI
SC
VT
CTRI
DENJ, .5
MD, 1DC
NH
MA
LA
Number of Surface Transportation Projects Supported Through Federal Private Activity Bonds (PABs) Since 2005
Source: Federal Highway Administration, includes PABs issued (for 17 projects) and PABs allocated but not yet issued (8 projects).https://www.fhwa.dot.gov/ipd/finance/tools_programs/federal_debt_financing/private_activity_bonds/#qualified
Highway, plus Transit or Airport/Intermodal Projects
Highway Projects Only
No TIFIA Projects
Transit or Airport/Intermodal Projects Only
15 States24 Projects
AK
WA, 3
OR
CA, 9
ID
MT
WY
NV
AZ
CO, 3
NM
ND
SD
NE
KS
OK
TX, 10
MN
IA
MO
WI
IL, 5
MI
IN, 1
KY, 1
TN
MS AL
OH, 1
NY, 1.5
PA
VA, 5
NC, 4
GA, 1
FL, 5
ME
WV
AR
UT
HIHI
SC
VT
CTRI, 1
DE, 1NJ, .5
MD, 2DC
NH, 1
MA
LA, 1
Number of Projects Supported Through the Federal “Transportation Infrastructure Finance and Innovation Act” (TIFIA)
Since 1999
Source: U.S. Department of Transportation, https://www.transportation.gov/tifia/projects-financed
Highway, plus Transit or Airport/Intermodal Projects
Highway Projects Only
No TIFIA Projects
Transit or Airport/Intermodal Projects Only
19 States56 Projects
U.S. Highway & Street Pavement Construction Forecast
$0
$10
$20
$30
$40
$50
$60
$70
$80
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
(e)
2017
(f)
2018
(f)
2019
(f)
2020
(f)
2021
(f)
Billi
ons o
f 201
6$
Real Value of Pavement & Related Construction Work
Source: ARTBA Forecast Model. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
U.S. Bridge & Tunnel Pavement Construction Forecast
$0
$5
$10
$15
$20
$25
$30
$35
$40
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
(e)
2017
(f)
2018
(f)
2019
(f)
2020
(f)
2021
(f)
Billi
ons o
f 201
6$
Real Value of Bridge & Tunnel Construction Work
Source: ARTBA Forecast Model © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State & Local Government Highway Contract Awards
$0
$1
$2
$3
$4
$5
$6
$7
Texa
sCa
lifor
nia
Flor
ida
Geor
gia
Ohi
oN
orth
Car
olin
aPe
nnsy
lvan
iaVi
rgin
iaIll
inoi
sAr
izona
Min
neso
taM
ichi
gan
New
Yor
kSo
uth
Caro
lina
Iow
aW
iscon
sinN
evad
aCo
lora
doIn
dian
aAr
kans
asW
ashi
ngto
nM
ississ
ippi
Okl
ahom
aM
aryl
and
Alab
ama
Tenn
esse
eN
ew Je
rsey
Nor
th D
akot
aKe
ntuc
kyU
tah
Loui
siana
Miss
ouri
Mas
sach
uset
tsKa
nsas
Neb
rask
aO
rego
nN
ew H
amps
hire
New
Mex
ico
Alas
kaW
yom
ing
Sout
h Da
kota
Mon
tana
Mai
neHa
wai
iCo
nnec
ticut
Idah
oDe
law
are
Wes
t Virg
inia
Verm
ont
Rhod
e Is
land
Dist
rict o
f Col
umbi
a
Billi
ons o
f 201
7 $
April 2016 - March 2017 Previous 3 years averageSource: ARTBA analysis of Dodge Data Analytics data. Weighted with the ARTBA Price Index that takes into account material prices, wages and inflation. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State & Local Government Bridge Contract Awards
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5Te
xas
Flor
ida
Penn
sylv
ania
Calif
orni
aN
ew Y
ork
Okl
ahom
aN
orth
Car
olin
aO
hio
Illin
ois
Geor
gia
Virg
inia
Mar
ylan
dM
ichi
gan
New
Jers
eyAr
kans
asIo
wa
Colo
rado
Wisc
onsin
Indi
ana
Miss
ouri
Mas
sach
uset
tsM
inne
sota
Miss
issip
piCo
nnec
ticut
Loui
siana
Neb
rask
aAl
abam
aAr
izona
Sout
h Ca
rolin
aTe
nnes
see
Kans
asKe
ntuc
kyN
evad
aW
ashi
ngto
nO
rego
nW
yom
ing
Alas
kaU
tah
Mai
neN
orth
Dak
ota
Sout
h Da
kota
Rhod
e Is
land
New
Mex
ico
Mon
tana
Idah
oVe
rmon
tHa
wai
iN
ew H
amps
hire
Dela
war
eW
est V
irgin
iaDi
stric
t of C
olum
bia
Billi
ons o
f 201
7 $
April 2016 - March 2017 Previous 3 years averageSource: ARTBA analysis of Dodge Data Analytics data. Weighted with the ARTBA Price Index that takes into account material prices, wages and inflation. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
TRANSITModal Profile
State and Local Transit Agency Revenue Sources
Fares23%
Federal18%
State21%
Local34%
Other4%
Source: National Transit Database 2015 data © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State and Local Transit Agency Revenue Sources
Federal8%
State26%
Local30%
Directly Generated
4%
Fares32%
Federal42%
State14%
Local12%
Directly Generated
24%
Fares8%
Sources of Revenue for Operations
Source of Revenue for Capital Expenditures
Source: National Transit Database 2015 data © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State and Local Transit Agency Expenditures
Operating Expenses
69%
Capital Expenditures
31%Vehicle
Operations35%
Vehicle Maintenance
13%Non-Vehicle Maintenance
8%
General Administration
13%
Rolling Stock8%
Facilities19%
Other Capital Expenditures
4%
Spending by Category Spending by Type of Service
Source: National Transit Database 2015 data © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State and Local Transit Agency Capital Expenditures
$8.14 $8.53 $9.86 $9.93 $10.15 $9.47 $10.77 $10.44 $10.30 $11.75
$3.17 $3.40$4.46 $5.18 $4.43 $4.09
$3.78 $3.95 $4.46$4.85
$1.44 $1.64
$1.77 $1.73 $1.98$2.08
$2.28 $2.76 $2.63$2.65
$12.75 $13.57
$16.09 $16.83 $16.56 $15.72$16.92 $17.25 $17.51
$19.34
$0
$5
$10
$15
$20
$25
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Billi
ons
Facilities Rolling Stock Other
Source: National Transit Database © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior writtenpermission of ARTBA.
Federal Investment in U.S. Transit Construction Market
• FAST Act provides funding for Federal Transit Administration (FTA) grants
• New Starts & Small Starts• Capital purchases like buses and facilities• Impact on urban and rural transit agencies
© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
97%
79%
78%
30%
86%
75%
63%
75%
91%
44%
78%
90%
85%
N/A
91%
79%
81%
76%
86%
92%
96%
90%
85%
92%
94%
84%
93% 100%
79%
80%
63%
81%
69%
97%
59%
80%
82%
84%
87%
HI72%
96%
VT80%
CT99%
RIN/A
DE100%
NJ45%
MD89%
DCN/A
NH82%
50 to 80% of rural transit capital outlays
MA80%
100%
Over 80% of rural transit capital outlays
25 to 50% of rural transit capital outlays
Federal funds, on average, provide 82% of rural transit agency capital outlays
© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
71%
27%
46%
35%
88%
83%
84%
76%
46%
29%
56%
86%
91%
93%
81%
86%
36%
46%
75%
32%
77%
48%
76%
55%
88%
60%
71% 100%
66%
38%
58%
54%
55%
35%
60%
82%
70%
80%
24%
HI43%
82%
VT81%
CT84%
RI97%
DE68%
NJ39%
MD52%
DC50%
NH82%
50 to 80% of urban transit capital outlays
MA45%
94%
Over 80% of urban transit capital outlays
25 to 50% of urban transit capital outlays
Federal funds, on average, provide 64% of urban transit agency capital outlays
© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Upcoming Transit Projects
Source: Federal Transit Administration Fiscal Year 2017 Capital Investment Grant Program (New Starts, Core Capacity and Small Starts) Annual Report on Funding Recommendations © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
ND
SD
WY
ID
MO
IA
MN
WI
NE
KSCO
OKAR
MS AL
SCNM
TN
KYNC
VA
OHPA
NY
ME
UTNV
AZ
OR
WA
MT
TX
Current FTA Capital Investment Grant Projects
AK
HI
MI
IN
WV
LA
CA
IL
Source: Federal Transit Administration
Core Capacity
New Starts
Small Starts
U.S. Subway & Light Rail Construction Forecast
$0
$1
$2
$3
$4
$5
$6
$7
$8
$9
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
(e)
2017
(f)
2018
(f)
2019
(f)
2020
(f)
2021
(f)
Billi
ons o
f 201
6$
Real Value of Subway & Light Rail Transit Construction Work
Source: ARTBA Forecast Model © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Transit Agency Capital Expenditures
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
$5.0Ca
lifor
nia
New
Yor
kDi
stric
t of C
olum
bia
Was
hing
ton
Colo
rado
Mas
sach
uset
tsN
ew Je
rsey
Illin
ois
Texa
sPe
nnsy
lvan
iaHa
wai
iM
aryl
and
Flor
ida
Min
neso
taN
orth
Car
olin
aO
rego
nO
hio
Geor
gia
Arizo
naM
ichi
gan
Virg
inia
Conn
ectic
utM
issou
riIn
dian
aU
tah
Nev
ada
Alas
kaW
iscon
sinTe
nnes
see
Kent
ucky
Iow
aDe
law
are
Wes
t Virg
inia
Kans
asLo
uisia
naAr
kans
asN
ew M
exic
oId
aho
Neb
rask
aM
ississ
ippi
Alab
ama
Sout
h Ca
rolin
aRh
ode
Isla
ndN
orth
Dak
ota
Okl
ahom
aM
aine
Verm
ont
Mon
tana
Sout
h Da
kota
New
Ham
pshi
reW
yom
ing
2015 2012-2014 Average
Billi
ons
Source: National Transit Database © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior writtenpermission of ARTBA.
RAILModal Profile
Class I Freight Railroad Revenue Sources
Sources: AAR, FRA © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
• Class I freight railroads are privately owned, so all spending comes from Class I revenues, which totaled $140.7 billion in 2015.– $69.0 billion in
freight revenues (49%)
– $71.7 billion in operating revenues (51%)
Class I Freight Railroad Expenditures
Run (Operate)
58%Maintain
15%
Grow and Modernize
27%
Source: AAR © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Fuel10%
Wages19%
Track and Property
18%Purchased Services
12%
Equipment and Other
Rentals14%
All Other Taxes11%
Materials and Supplies
4%
Employee Benefits
3%
Payroll Taxes
4%
Other5%
Spending by Category Spending by Type
Class I Railroad Infrastructure and Equipment Expenditures
$19.3 $20.2$21.5
$20.2 $20.7$23.3
$25.5 $25.1$28.0
$30.3
$25.9
$0
$5
$10
$15
$20
$25
$30
$35
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Billi
ons
Source: AAR © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Federal Investment in U.S. Rail Construction Market
• Though Class I railroads are privately owned, the Federal Railroad Administration provides some support to passenger and freight railroads through grant and loan programs:
– Competitive Discretionary Programs• Railroad Safety Infrastructure Improvement Grants• Railroad Safety Technology Grants for Positive Train Control (PTC)• Railroad Safety Grants for the Safe Transportation of Energy Products by Rail Program• Magnetic Levitation Projects – Grant Application Solicitation• FY14 Grant Application Solicitation • FRA-Led Regional Rail Planning• High-Speed Intercity Passenger Rail Program (HSIPR)!• Rail Line Relocation & Improvement Capital Grant Program (RLR)• Railroad Rehabilitation & Repair (Disaster Assistance)• Railroad Safety Technology Grant Program• Transportation Investment Generating Economic Recovery (TIGER)• Railway-Highway Crossing Hazard Elimination• University Grants
– Dedicated Grant Programs• Amtrak Capital Grants• Alaska Railroad• Operation Lifesaver, Inc. (OLI)
– Loan Programs• Railroad Rehabilitation & Improvement Financing (RRIF) Program• Transportation Innovation & Finance (TIFIA)
Source: FRA © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
U.S. Railroad Construction Forecast
$0
$2
$4
$6
$8
$10
$12
$14
$16
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
(e)
2017
(f)
2018
(f)
2019
(f)
2020
(f)
2021
(f)
Billi
ons o
f 201
6$
Real Value of Railroad Construction Work
Source: ARTBA Forecast Model © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
AIRPORTSModal Profile
Airport Revenue Sources
Aeronautical Operations
35%
Non-Aeronautical Operations
30%
Grants6%
Passenger Facility Charges
10%
Bonds19%
Source: FAA Certification Activity Tracking System (CATS) Operating and Financial Summary Report 127, 2016 data © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Airport Expenditures
Operations44%
Debt financing
21%
Capital Investment
35%Operations
44%
Debt financing
21%
Airfields9%
Terminals15%
Parking2%
Roadways, rail and transit
3%
Other Capital
Investment6%
Spending by Category Spending by Type
Source: FAA Certification Activity Tracking System (CATS) Operating and Financial Summary Report 127, 2016 data © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Federal Investment in U.S. Airport Construction Market
• The Airport Improvement Program (AIP)– In FY 2015, 1,765 AIP grants worth $3.2 billion were
awarded – U.S. airports have identified $34.7 billion in unfunded
improvements needed over the next five years that would be eligible for AIP grants.
– Funded through Airport and Airway Trust fund• National Plan of Integrated Airport Systems
(NPIAS)• Passenger Facility Charge (PFC) Program
Sources: FAA, ARTBA Analysis © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
$2,232
$981
$508
$2,769
$265
$378
$265
$500
$724
$913
$291
$361
$296
$373
$357
$422
$2,507
$569
$428
$657
$629
$564
$766
$609
$1,234
$865
$514
$840
$858
$
$246
$419
$480
HI$365
$474
VT$146
CT$204
RI$176
DE$76
NJ
MD$317
DC$279
NH$195
$250-500 million
MA$546
$600
Less than $250 million $500-$750 million
Value of Airport Improvement Program (AIP) Grants by State2006-2015 (in millions)
Over $750 million
$1,669
$1,516$646
$248
$488
$794
$920
$394
Source: ARTBA analysis of AIP Grants © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
U.S. Airport Terminal & Runway Construction Forecast
$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
(e)
2017
(f)
2018
(f)
2019
(f)
2020
(f)
2021
(f)
Billi
ons o
f 201
6$
Real Value of Airport Terminal & Runway Construction Work
Source: ARTBA Forecast Model © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Forecast for U.S. Airport Construction
$4.8 $4.8 $4.9 $5.1 $5.2 $5.4
$8.3 $8.4 $8.6 $8.8 $9.1 $9.4
$13.1 $13.2 $13.5 $13.9 $14.3 $14.8
$0
$2
$4
$6
$8
$10
$12
$14
$16
2016 (e) 2017 (f) 2018 (f) 2019 (f) 2020 (f) 2021 (f)
Billi
ons o
f 201
6$
Runways Terminals
Source: ARTBA Forecast Model © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State & Local Government Airport Runway Contract Awards
$0
$50
$100
$150
$200
$250Fl
orid
aCa
lifor
nia
Illin
ois
Texa
sAl
aska
Mas
sach
uset
tsM
issou
riVi
rgin
iaGe
orgi
aVe
rmon
tRh
ode
Isla
ndCo
lora
doAr
izona
Dist
rict o
f Col
umbi
aW
ashi
ngto
nO
hio
Indi
ana
Ore
gon
Miss
issip
piN
ew Y
ork
Nev
ada
Nor
th C
arol
ina
Wisc
onsin
Penn
sylv
ania
Mon
tana
Kans
asU
tah
Loui
siana
Iow
aTe
nnes
see
Sout
h Ca
rolin
aN
ew M
exic
oDe
law
are
Wyo
min
gSo
uth
Dako
taO
klah
oma
Min
neso
taKe
ntuc
kyN
orth
Dak
ota
Mic
higa
nN
ew Je
rsey
Neb
rask
aHa
wai
iAl
abam
aAr
kans
asM
aryl
and
Wes
t Virg
inia
Mai
neId
aho
New
Ham
pshi
reCo
nnec
ticut
April 2016 - March 2017 Previous 3 years average
Mill
ions
of 2
016
$
Source: ARTBA analysis of Dodge Data Analytics data. Weighted with the ARTBA Price Index that takes into account material prices, wages and inflation. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
PORTS & WATERWAYSModal Profile
Federal Investment in U.S. Inland & Intracoastal Waterways
• The U.S. Army Corps of Engineers regulates activities in waterways and wetlands.– Funds the planning, design, construction, operation
and maintenance of water resources projects – Focus on:
• commercial navigation• flood and storm damage reduction• aquatic ecosystem restoration.
– Harbor Maintenance Trust Fund – Inland Waterways Trust Fund
© 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Army Corps of Engineers Program Revenue Sources
General Fund78%
Harbor Maintenance Trust
Fund20%
Special Recreation User Fees
1%
Inland Waterways Trust Fund
1%
Source: U. S. Army Corps of Engineers Civil Works Budget, from President’s Fiscal 2017 Budget © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Army Corps of Engineers Program Expenditures
Operation and Maintenance
58%
Construction24%
Mississippi River and Tributaries
5%
Regulatory Program
4%
Expenses4%
Formerly Utilized Sites Remedial Action Program
(FUSRAP)2%
Investigations2%
Flood Control and Coastal
Emergencies1% Office of the
Assistant Secretary of the Army for
Civil Works<1%
Source: U. S. Army Corps of Engineers Civil Works Budget, from President’s Fiscal 2017 Budget © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
U.S. Ports Revenue Sources
Ports15%
Private Sector85%
Source: AAPA Port Planned Infrastructure Investment Survey. This reflects projected expenditures between 2016 and 2020. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Federal Investment in U.S. Ports
• U.S. ports and private sector partners plan to spend $154.8 billion in port-related improvements between 2016 and 2020.
• Federal support to aid freight movements through ports could be as high as $24.8 billion during the same period.– FAST Act provisions for which ports are eligible:
• $11 billion over five years in dedicated funds for freight• $500 million in continued USDOT TIGER discretionary grants • $1.4 billion for TIFIA program• Creation of Surface Transportation Block Grant Program
– 25% of potential TIGER grants (up to $625 million)– Projected U.S. Army Corps of Engineers navigation
appropriations (up to $13.2 billion)
Source: AAPA Port Planned Infrastructure Investment Survey. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
U.S. Port Expenditures, by Port Region
Gulf port region82%
South Atlantic port region
6%
South Pacific port region
5%
North Atlantic port region
3%
North Pacific port region
3% Great Lakes port region
1%
Source: AAPA Port Planned Infrastructure Investment Survey. This reflects projected expenditures between 2016 and 2020. © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Outlook for U.S. Port & Waterway Construction
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
(e)
2017
(f)
2018
(f)
2019
(f)
2020
(f)
2021
(f)
Billi
ons o
f 201
6$
Real Value of Port & Waterway Construction Work
Source: ARTBA Forecast Model © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
U.S. Army Corps of Engineers FY 2016 Civil Works Program, by State
$0
$100
$200
$300
$400
$500
$600Ill
inoi
sCa
lifor
nia
Texa
sFl
orid
aW
ashi
ngto
nLo
uisia
naPe
nnsy
lvan
iaGe
orgi
aKe
ntuc
kyVi
rgin
iaAl
abam
aO
rego
nAr
kans
asTe
nnes
see
Miss
ouri
New
Jers
eyM
inne
sota
Wes
t Virg
inia
Mar
ylan
dIo
wa
Okl
ahom
aM
ichi
gan
Ohi
oN
orth
Car
olin
aN
ew Y
ork
Alas
kaSo
uth
Caro
lina
Kans
asN
ew M
exic
oIn
dian
aM
assa
chus
etts
Sout
h Da
kota
Nor
th D
akot
aDe
law
are
Miss
issip
piN
ebra
ska
Wisc
onsin
Idah
oM
onta
naCo
lora
doHa
wai
iCo
nnec
ticut
New
Ham
pshi
reVe
rmon
tN
evad
aAr
izona
Rhod
e Is
land
Mai
neW
yom
ing
Uta
hDi
stric
t of C
olum
bia
Construction, Operation and Maintenance Construction
Mill
ions
Source: U. S. Army Corps of Engineers Fiscal Year 2016 Army Civil Works program Work Plan © 2017 ARTBA. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
State & Local Government Port/Waterway Contract Awards
$0
$50
$100
$150
$200
$250
$300So
uth
Caro
lina
Was
hing
ton
New
Yor
kVi
rgin
iaLo
uisia
naTe
xas
Miss
issip
piCa
lifor
nia
Flor
ida
Mas
sach
uset
tsN
ew Je
rsey
Mai
neHa
wai
iAl
aska
Ohi
oN
orth
Car
olin
aIll
inoi
sM
ichi
gan
Wisc
onsin
Indi
ana
Conn
ectic
utN
ew H
amps
hire
Mar
ylan
dPe
nnsy
lvan
iaU
tah
Wes
t Virg
inia
Idah
oKe
ntuc
kyO
rego
nM
inne
sota
Geor
gia
Alab
ama
Mon
tana
Colo
rado
Wyo
min
gIo
wa
Verm
ont
New
Mex
ico
Sout
h Da
kota
Arizo
naAr
kans
asDe
law
are
Dist
rict o
f Col
umbi
aKa
nsas
Miss
ouri
Neb
rask
aN
evad
aN
orth
Dak
ota
Okl
ahom
aRh
ode
Isla
ndTe
nnes
see
April 2016 - March 2017 Previous 3 years average
Mill
ions
of 2
016
$
Source: ARTBA analysis of Dodge Data Analytics data. Weighted with the ARTBA Price Index that takes into account material prices, wages and inflation. This only reflects state and local contract awards of port and waterway projects. © 2017 ARTBA.All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of ARTBA.
Alison Premo BlackSenior Vice President & Chief Economist
American Road & Transportation Builders [email protected]
@APremoBlack