investing in california’s future through the american...

October 2017 www.hsr.ca.gov

Investing in California’s Future Through the American Recovery and Reinvestment Act

http://www.hsr.ca.gov/

1 C A L I F O R N I A H I G H - S P E E D R A I L AU T H O R I T Y • W W W. H S R . C A . G O V

Foreword

In 2009, the United States was at the height of the worst economic recession – now known as the Great Recession – seen since the Great Depression of the 1930s. Millions of jobs were lost, home prices plummeted and the U.S. stock market declined by almost 50 percent, with devastating effects on the overall American economy. California citizens were profoundly affected with an unemployment rate of 12.4 percent in 2010. The Central Valley fared far worse with an unemployment rate of almost 17 percent.

To address this economic crisis, the president and Congress passed the American Recovery and Reinvestment Act of 2009 (ARRA) to provide economic stimulus to save and create jobs through infrastructure investment. ARRA funds were established to support near-term investments – repairing roads, bridges and airport facilities – and longer-term investments, such as high-speed rail, to spur technological development and build new infrastructure that would support longer-term economic development goals. To achieve that, ARRA required that all ARRA funds be fully expended by September 30, 2017.

California received $2.55 billion in ARRA funds and combined it with other state and federal funds to develop and begin construction of the high-speed rail system that California voters approved in 2008. California has met the goal of investing these funds on schedule, but more importantly, California has fully achieved ARRA’s important policy goals.

` Hundreds of private sector firms have worked on the program – including small and disadvantaged businesses.

` Thousands of good-paying jobs have helped put people back to work – with the Central Valley showing an almost 400 percent growth in jobs supported from 2014 to 2016.

` Billions of dollars have infused the state’s economy – creating $3.5 to $4.1 billion in economic activity.

This report describes the dividends that this critically needed public investment in California’s transportation infrastructure has yielded for the state and for its citizens. It shows that this investment has yielded a range of economic benefits, including job creation, small business contracting opportunities, and economic impacts. It also shines a light on the apprenticeships and job opportunities created for unemployed or disadvantaged workers. In the longer-term, California will reap even greater dividends from developing a new high-speed rail system connecting the state’s economic and population centers, positioning it to stay economically competitive into the 21st Century.

Fernando Madrigal, Jr.: From Security Guard to ElectricianIn the more than two years since the official groundbreaking, the high-speed rail project has created hundreds of well-paying jobs for workers throughout the Central Valley. Fernando Madrigal, Jr. personifies the opportunities associated with high-speed rail.

Madrigal left the Marine Corps after 12 years of service. After working a few security guard jobs, he signed up for a 10-week training program sponsored by PG&E to introduce workers to the various constructions trades. Madrigal settled on a career path as an electrician and worked his way up to a third-year apprentice union electrician with Local 100 of the International Brotherhood of Electrical Workers (IBEW). He is employed by AC Electric Company and has worked on the project for nine months. He helped build a new administration building and a school-bus refueling station for the Kings Canyon Unified School District, and he’s currently part of a crew that’s working near the site of the new Clinton Avenue Bridge, which is being rebuilt as part of the realignment of State Route 99. Madrigal’s crew is identifying underground utility locations and setting up power connections for new traffic signals.

http://www.hsr.ca.gov

2I N V E S T I N G I N C A L I F O R N I A' S F U T U R E T H R O U G H A R R A • O C TO B E R 2017

High-Speed Rail in California is Happening…

Major construction is progressing in the Central Valley with more than a dozen active construction sites over 119 miles.

Workers are building bridges, viaducts and grade separations at multiple locations, and the first complete structures are expected to be finished this year.

Hundreds of businesses – large and small – and thousands of individuals – including disadvantaged workers and disabled veterans – are hard at work.

More than 1,400 craft laborers have been dispatched to work on the three major design-build construction projects.

100 percent of the steel and concrete used is domestic, consistent with federal Buy American provisions, stimulating California and the nation’s economy.

Environmental, engineering and community outreach is advancing on every mile of the Phase 1 system from San Francisco/Merced to Los Angeles/Anaheim.

407 small businesses have worked on the program to date with more to come, including 116 Disadvantaged Business Enterprises (DBE) and 45 Disabled Veteran Business Enterprises (DVBE).

As of June 2016, more than 630 different private sector firms have worked on the program, and companies from 35 different states have contributed to everything from planning and engineering to construction services.

…And Showing That Public Investment in Infrastructure Yields Many Benefits

Some are tangible and quantifiable, such as the number of construction sites, new or expanded job opportunities, or the number of small or disadvantaged businesses working on the project.

Some are less easy to quantify but are no less tangible, such as the transformative effect of putting people back to work or laying the foundation for a new “made in America” high-speed rail manufacturing sector. This report chronicles the positive impact of the federal and state dollars invested – and the dividends accrued thus far.

"High-speed rail along with statewide rail modernization will move the greatest number of people while minimizing impacts to the natural and built environments and encourage pedestrian-friendly land development around high-speed rail stations. High-speed rail is integral to helping manage major pressing issues such as climate change, traffic and airport congestion, and energy independence."

- Dan RichardBoard Chair

Want Jobs for the 'Forgotten Man'? Finish High-Speed Rail Sacramento Bee

Editorial Board

http://www.sacbee.com/opinion/editorials/article153955174.html





Achieving American Recovery and Reinvestment Act Objectives

The key policy objectives established in ARRA were to:

` Create jobs

` Stimulate the economy

` Spur technological development

` Build new transportation infrastructure that provides long-term economic benefits

In awarding ARRA funds to California, the federal government also sought to provide the opportunity to demonstrate America's capacity to design, build, and operate the first world-class high-speed rail system in the United States. For more information see: https://www.congress.gov/bill/111th-congress/house-bill/1/text.

The ARRA funds, matched with state dollars, were used for initial construction in the Central Valley and advancing engineering and environmental reviews along the entire 520-mile Phase 1 system connecting San Francisco/Merced to Los Angeles/Anaheim.

Starting in California’s Central Valley

The Authority and the Federal Railroad Administration (FRA) jointly agreed to start construction in the Central Valley for several reasons:

` The Central Valley suffered from one of the highest unemployment rates in the nation, reaching nearly 17 percent in 2010.

` The region’s population is projected to more than double by 2050 – from 6.1 to 13.2 million people.

` The Central Valley has long experienced the negative effects of some of the worst air quality in the nation.

` The land-use patterns and flat terrain allows for less complex designs and construction.

` The Central Valley provides long stretches of contiguous open space for testing high-speed trains before they are put into passenger service.

Delivering Through Partnerships

From its inception, California high-speed rail was envisioned to be planned, designed, constructed and funded through a series of partnerships between the state, federal, regional and local governments, with key private sector participation.

State – In 2008, California’s voters approved $9 billion through Proposition 1A to connect the state with high-speed rail. In 2014, the California Legislature increased its support by approving a continuous appropriation from the state’s Cap-and-Trade program to help build high-speed rail.

Federal – In 2009, Congress provided $3.48 billion through multiple appropriations, including $2.55 billion in American Recovery and Reinvestment Act (ARRA) funding for environmental planning, design and construction.

Regional and Local – Planning and environmental reviews have involved significant collaboration with regional and local partners. In 2012, the Authority entered into agreements to fund early investments and connectivity projects in regional rail systems to provide early benefits and lay the foundation for high-speed rail.

Private Sector – Since 2011, the Authority has interacted extensively with private sector developers, contractors, operators and equipment providers – both formally and informally. These firms possess global experience designing, building, operating, maintaining and financing high-speed rail systems. Their input has shaped the approach to delivering and operating the system. In late 2017, a private sector Early Train Operator will be brought on board to assist in preparing for future revenue service and will ultimately undertake the operation of passenger high-speed rail service.


https://www.congress.gov/bill/111th-congress/house-bill/1/text


Funding for Initial Planning and Construction

` In 2008, the California Legislature adopted Assembly Bill 3034, expressing the intent to construct a statewide high-speed rail system connecting the state’s major population and employment centers. At that time, California voters passed Proposition 1A, which approved $9 billion in bonds to support construction of the system.

` In 2009, the FRA awarded California $2.553 billion in ARRA funding for the high-speed rail system.

` In 2010, additional federal funding was authorized through a Fiscal Year (FY) 10 Transportation, Housing and Urban Development grant for an additional $929 million for building an initial operating segment of the high-speed rail system.

` In 2012, the California Legislature appropriated Proposition 1A funds through Senate Bill 1029 to match ARRA funds and begin construction in the Central Valley.

` In 2014, the California State Legislature also appropriated 25 percent of the annual proceeds from its Cap-and-Trade Program to support the development and construction of the high-speed rail system through Senate Bill 862, providing an ongoing revenue stream.

` In 2017, the Legislature extended the Cap-and-Trade Program through 2030.

From July 2006 through July 2017, the Authority invested over $3.5 billion in planning and constructing the nation’s first high-speed rail system – $2.553 billion of that was federal ARRA funds.

ARRA funding has also been used to cover project development, preliminary engineering and environmental work for the Phase 1 system from San Francisco/Merced to Los Angeles/Anaheim.

Project Expenditures to Date As of July 30, 2017*

Funding Source Spent to Date

Project Development (in millions)

Federal Trust Fund (ARRA) $478.6

Bond Fund (Prop 1A) – Phase 1 $308.9

Bond Fund (Prop 1A) – Phase 2 $36.3

Cap and Trade $95.3

Subtotal Project Development $919.1

Construction – Central Valley Segment

Federal Trust Fund (ARRA) $2,074.0

Bond Fund (Prop 1A) $101.3

Cap and Trade $444.6

Subtotal Construction $2,619.9

Total $3,539.0*Capital Outlay and Expenditure Report, September 2017


What Has Been Accomplished With ARRA Funds

Defining and Developing High-Speed Rail in AmericaThe first high-speed rail line in the world opened in Japan in October 1964 for service between Tokyo and Osaka – over 50 years ago. Since then, numerous countries, including China, Spain, France, Germany, England, Taiwan, Turkey and Uzbekistan, have developed their own systems. Due to their complex operating conditions, high-speed rail systems must be developed as an entire system, with all elements fully integrated in an efficient, safe and reliable manner – fitting the specific needs of the region, state and country in which it is located.

Because no high-speed rail systems exist in the United States, guidelines for developing high-speed rail in this country are new and are continually developing. Therefore, the Authority has focused on adapting high-speed rail system design approaches from Asia and Europe to guide how the high-speed rail system should be designed to meet applicable and developing federal and state safety regulations.

Safety and reliability standards, specific to the United States and California, will require:

` Positive Train Control (PTC) – a state-of-the-art system that monitors speeds and can slow or stop trains to prevent collisions.

` Grade separations – to eliminate the risk of human, auto, livestock and wildlife collisions.

` Barrier gates and intrusion detection to reduce the risk of people driving on the tracks in blended corridors.

` An early earthquake warning system to detect earthquakes before they happen and to stop the trains in time for safety measures to be taken.

Grade Separation

A grade separation is a roadway that is realigned over or under a railway to eliminate hazards. Benefits of grade separations include:

` Improved safety

`Reduced noise (no train horns)

`Less traffic congestion

`Reduced GHG emissions from idling vehicles

` Improved reliability for train operations



Advancing Planning and Environmental Work With Communities

Using ARRA and state dollars, the Authority has been working closely with station communities to advance planning around stations and to complete environmental reviews. Advancing these reviews expeditiously will provide clarity to local communities, stakeholders and regional partners as to the route and station locations. It will also position the Authority to be shovel ready in order to build out the system and facilitate intermediate improvements as funding becomes available.

Two environmental documents – for the Merced to Fresno and Fresno to Bakersfield project sections – cleared the way for construction to begin in the Central Valley. Work is proceeding on the remaining Phase 1 sections, including the San Jose to Merced section. This will allow construction to begin on the Silicon Valley to Central Valley Line – where the first high-speed passenger rail service will begin.

Preserving Communities and Habitat

The Authority is committed to being a good steward of the environment by integrating environmentally conscious practices into all aspects of construction and operation of the high-speed rail system. Contractors use some of the most environmentally friendly (Tier IV) construction equipment available, dramatically reducing air pollutants released during construction. To date, construction contractors have recycled 100 percent of the steel and concrete generated from demolition and diverted at least 75 percent of all waste from landfills.

As a result of working with contractors to reduce emissions generated during construction, about 13,000 metric tons of greenhouse gas emissions were avoided by recycling 87,100 tons of construction debris in 2016.

CASE STUDY | ERTEC Environmental Systems

Location: Sacramento/Alameda

Business Type: Manufactures erosion, sediment and wildlife control systems

No. of Employees: 20

Vince Morris is the president and CEO of ERTEC Environmental Systems, a certified small business and innovator in wildlife protection barriers. ERTEC delivered wildlife exclusion fencing for use in the construction work underway between Madera and Fresno. The fences, designed and manufactured in Sacramento, protect small endangered or threatened species by preventing them from gaining access to construction areas. This growing company is continually improving its environmentally safe fences to address many types of animal behaviors as well as construction site challenges for high-speed rail.

Photo credit: Pacific Southwest Region from Sacramento, US - Tipton Kangaroo Rat, Public Domain, https://commons.wikimedia.org/w/index.php?curid=32063236

AIR QUALITY IN THE CENTRAL VALLEY

Residents of the Central Valley already experience some of the worst air quality in the United States, according to the American Lung Association. Vehicle exhaust contains pollutants that are linked to asthma and other lung diseases, allergies, heart disease, increased risk of infections, cancer and other health problems. An operating vehicle emits a range of gases from its tailpipe into the atmosphere, including carbon dioxide (CO2) – the principal greenhouse gas that contributes to climate change.


Both public and private organizations are taking notice of the program’s progress and commitment to sustainability. Recently, California’s high-speed rail program was included in the first international assessment of the environmental, social and governance performance of infrastructure assets and real estate portfolios. The assessment was conducted by a range of global infrastructure investors interested in developing a tool to help investors make more informed decisions. The investors represent $1.5 trillion in assets and are evaluating projects or programs that demonstrably contribute to infrastructure that is low-carbon, climate resilient and socially inclusive. The assessment ranked California high-speed rail as number one for all North American infrastructure assets. For more information, see: https://GRESB.com

In 2014, as part of its ongoing program to mitigate environmental impacts, the Authority used ARRA funds to execute a conservation easement in cooperation with the Lazy K Ranch, a working horse and cattle ranch in Chowchilla. This unique 446-acre parcel is contiguous to a much larger site, allowing for expansion and connection between quality habitats and providing seasonal ponds for wildlife.

ARRA funds were also used to obtain a conservation easement on 822 acres along Cross Creek in Kings and Tulare counties which will preserve some of the last remaining intact parcels of pristine vernal pool grasslands along an important wildlife movement corridor. This corridor is valuable habitat for the California tiger salamander, the San Joaquin kit fox and various vernal pool invertebrates.

CASE STUDY | Outback Materials

Location: Oakhurst

Business Type: Concrete Supplier


Curtis Lovett is the owner of Outback Materials, a certified small business headquartered in Madera County. Established in 1968, Outback supplies ready-mixed concrete, rock and sand to customers in the foothill and mountain areas in the central San Joaquin Valley. Outback Materials was awarded a contract to provide concrete for the first high-speed rail design-build construction package. As a result of this contract, Outback has hired 25 new employees, purchased more than a dozen new pieces of equipment and even built a new, state-of-the-art concrete plant in Fresno. Lovett is proud of the new plant, which opened in 2016. It features the only variable speed concrete mixer on the West Coast, and the mixer allows workers to avoid spillage during the loading process. In addition, a recycling system prevents the plant’s water from going down the drain. All the water that is used, including water used to clean concrete trucks, is reclaimed and put into making concrete.Learn more at: https://youtube/QoAlCTP_K8w

Kit fox photo credit: Peterson, B. "Moose"; USFWS


https://GRESB.com


Construction in the Central Valley – What Is Being Built

Currently,119 miles are under construction from Madera to north of Bakersfield. Three design-build construction teams were awarded $3.13 billion in contracts. In addition, Caltrans is managing the realignment of a portion of State Route (SR) 99 in Fresno to make room for high-speed rail. Bridges, viaducts and grade separations are visible at multiple locations, and the first complete structure, the Tuolumne Street Bridge in Fresno, was completed this year.

` Construction Package 1 (CP 1) – Civil Infrastructure – Awarded in 2013 to Tutor Perini/Zachry/Parsons (TPZP), a joint venture, for the construction of 32 miles between Avenue 19 (Madera) and East American Avenue (Fresno).

` State Route (SR) 99 Realignment – Roadway – An agreement executed in February 2013 to realign SR 99 from Clinton Avenue to Ashlan Avenue, through Fresno.

` Construction Package 2-3 (CP 2-3) – Civil Infrastructure – Awarded to the Dragados/Flatiron Joint Venture (DFJV) in June 2015 for 65 miles of civil construction from East American Ave (Fresno) to one mile north of the Tulare/Kern county line.

` Construction Package 4 (CP 4) – Civil Infrastructure – Awarded to California Rail Builders in February 2016 for construction of 22 miles from the Tulare/Kern county line to Poplar Avenue (north of Bakersfield).

All four contracts are working toward completing final design and construction plans. Construction is well underway on SR 99 and on several major structures at key locations in Madera County and through Fresno on the CP 1 contract.

CASE STUDY | Reeve Trucking Company

Location: Stockton

Business Type: Transportation company specializing in long loads and oversize movements


Reeve Trucking Company, founded in 1976 by Donald E. Reeve, now has more than 150 employees and more than 500 pieces of equipment and trailers to move materials. This family-owned company is known for moving giant loads, including concrete vaults, bridge girders and sections, steel cranes, prefab steel buildings and heavy equipment. This busy company trucked 42 steel and concrete girders weighing 83 tons each to the new Tuolumne Street Bridge in Fresno, one of the many high-speed rail construction sites in the Central Valley.

The San Joaquin Viaduct takes shape.


CONSTRUCTION PACKAGE 1

2. Fresno River Viaduct

14. Tuolumne Street Bridge

7. San Joaquin River Viaduct

11. Cedar AvenueViaduct


1 0I N V E S T I N G I N C A L I F O R N I A' S F U T U R E T H R O U G H A R R A • O C TO B E R 2017

ROAD 27 OVERPASS (MADERA) – Construction is currently underway on an overcrossing that will carry traffic over future high-speed and existing BNSF rail lines outside the town of Madera, eliminating an existing at-grade crossing.

FRESNO RIVER VIADUCT (MADERA COUNTY) – The 1,600-foot long structure is located between Raymond Road and Watson Street in Madera County. The viaduct will carry high-speed trains over the Fresno River and State Route 145 outside of the town of Madera.

COTTONWOOD CREEK VIADUCT (MADERA COUNTY) – Located north of Avenue 13 and south of Avenue 15, crossing over Cottonwood Creek in Madera County parallel to the BNSF railroad tracks. The Cottonwood Creek Viaduct is a 250-foot long crossing that will carry high-speed trains over a creek bed.

AVENUE 12 GRADE SEPARATION (MADERA COUNTY) – Construction is currently underway on an overcrossing that will take Avenue 12 traffic over future high-speed and existing BNSF rail lines outside the town of Madera, eliminating the need for the existing at-grade crossing.

AVENUE 11 GRADE SEPARATION (MADERA COUNTY) – Pre-construction clearing has been completed for the start of work on an overcrossing for Avenue 11 traffic.

AVENUE 8 GRADE SEPARATION (MADERA COUNTY) – This will be the site of an overcrossing that will take Avenue 8 traffic over future high-speed rail lines outside the town of Madera.

SAN JOAQUIN RIVER VIADUCT (NORTH FRESNO) – The San Joaquin River Viaduct is an approximately 4,700-foot long structure that will span the San Joaquin River in north Fresno and the Union Pacific tracks parallel to SR 99. It will feature arches representing the northern gateway into Fresno and a pergola structure to allow high-speed trains to cross over the top of the Union Pacific tracks.

GOLDEN STATE BOULEVARD (FRESNO) – Utility relocation work has begun along the side of Golden State Boulevard so that eventually the roadway can be shifted south to make room for the high-speed rail line between the road and existing freight lines.

SR 99 REALIGNMENT (FRESNO) – This project (oversight by Caltrans) will move SR 99 approximately 100 feet to the west between Clinton and Ashlan avenues to make way for the high-speed rail line, which replaces the northbound lanes. Additionally, the realignment will improve traffic operations, reduce congestion and enhance traffic safety.

FRESNO TRENCH AND STATE ROUTE 180 PASSAGEWAY (FRESNO) – The Authority’s contractor is currently constructing a two-mile trench through central Fresno that will allow high-speed trains to travel under State Route 180, a railroad spur and the Dry Creek Canal. This will be the first section of the alignment to go below grade to a depth of approximately 40 feet. The contractors must also construct trench barrier walls that will separate high-speed trains from the adjacent freight trains as part of this project.

CEDAR AVENUE VIADUCT (SOUTH FRESNO) – The 3,700-foot long Cedar Avenue Viaduct will carry high-speed trains over SR 99, North Avenue, Cedar Avenue and Golden State Boulevard. The bridge will serve as a southern gateway to high-speed rail in Fresno County.

MUSCAT AVENUE VIADUCT (SOUTH FRESNO) – This is a smaller structure that will connect with the Cedar Avenue Viaduct and carry high-speed trains to and from ground level.

EAST AMERICAN AVENUE GRADE SEPARATION (FRESNO COUNTY) – Work is underway on a grade separation for East American Avenue which will eliminate the existing at-grade crossing over existing freight lines and future high-speed rail line, replacing it with a grade-separated overcrossing.

1

2

3

4

5

6

7

8

9

10

11

12

13

Tuolumne Street Bridge

The new Tuolumne Street

Bridge opened to traffic in

August 2017, marking the

first completed structure

associated with the high-

speed rail program. The

original Tuolumne Street

Bridge in downtown Fresno

was demolished in January

2016. The new bridge was

rebuilt three feet taller with

the highest point shifted to

the west, creating clearance

for high-speed trains and

Union Pacific Railroad. The

new bridge will accommodate

two-way traffic, support the

revitalization of downtown

Fresno's city core and features

wider pedestrian walkways

and bike paths.

14

1 1 C A L I F O R N I A H I G H - S P E E D R A I L AU T H O R I T Y • W W W. H S R . C A . G O V

CONSTRUCTION PACKAGE 2-3 AND CONSTRUCTION PACKAGE 4



Construction Package 2-3 includes many grade separations, viaducts, underpasses and overpasses, all of which will significantly improve safety and enhance environmental quality due to reduced traffic congestion at existing railroad crossings. The team has been working on alternative technical design concepts and completing contractor-required environmental clearances and permitting since fall 2015.

In support of the design effort, geotechnical exploration started in early 2016. Drill rigs have been obtaining soil samples throughout the alignment at depths of over 100 feet. The design-build contractor Dragados/Flatiron Joint Venture has also been clearing acquired parcels since early 2016. This includes the abatement of any hazardous materials and demolition of minor structures.

In November 2016, crews began constructing a test berm in Fresno County alongside the BNSF railroad tracks near Manning and Cedar avenues for the high-speed rail track foundation. Road improvements in Tulare County have also started with overlay work on two county roads. These road improvements on Road 24 and Road 40 are being made to help accommodate diverted traffic during construction. We expect construction on CP 2-3 to ramp up considerably in 2017 and continue through 2018.

Construction Package 4 includes construction of at-grade, retained fill and aerial sections, including grade separations, removal of two at-grade BNSF rail crossings, and approximately 1.5 miles of a temporary rail tracks to maintain BNSF and Amtrak service through Wasco.

Led by the design-build contractor California Rail Builders, the team is progressing with 60 percent design and currently has completed environmental reviews on two of three alternative technical concepts to the original preliminary designs. Current activities include pre-construction environmental surveys, biological, archaeological and cultural resource monitoring, and securing the remaining necessary permits and third party agreements.

Right-of-way acquisition and pre-construction activities are also underway. The contractor has begun clearing and demolition work at various locations. Geotechnical investigations are taking place to identify underground conditions for structures and to locate utilities.


Right-of-Way Progress to Advance Construction

The Authority is focused on delivering key priority right-of-way parcels to enable construction using right-of-way settlement teams and, partnering with design-build contractors, to prioritize parcels needed to advance construction. Early outreach to property owners has helped to identify and address their questions and concerns. The Authority works closely with businesses and land owners during the relocation process. This coordination has resulted in 84 percent of residential relocations and 98 percent of business relocations remaining in Fresno County – keeping businesses viable and in some cases enabling them to expand. As of mid-August, a total of 1,207 parcels had been secured of the 1,695 necessary for construction. This represents approximately 70 percent of the total parcels necessary for construction of the Central Valley segment.

Preparing for Operations

In April 2016, the Authority used ARRA funds to acquire exclusive rights to the radio spectrum it needs to operate the communication systems for high-speed rail trains.

This spectrum is critical for ensuring secure and reliable communication systems for trains which will travel at speeds of up to 220 miles per hour in some sections. The communication systems include features such as Positive Train Control (PTC), a key federally-mandated, state-of-the art safety mechanism for high-speed train operations. Radio spectrum is also used to monitor train conditions and to operate security systems along the high-speed rail system. Securing these rights can pose a challenge and, with the ARRA funds, the Authority’s ability to secure them early has resulted in reduced overall costs. Watch this video at https://www.youtube.com/watch?v=7JGf-dts_y8 for more information on how PTC works.

MAIN EVENT GRAPHICS

One of the first properties needed for the high-speed rail project belonged to Al Perez, owner of Main Event Graphics in Fresno. When he found out he'd have to move his printing business, Perez said he was nervous. Despite his early fears, Perez said that the agents he worked with were attentive and helpful, and that the Authority offered him fair compensation for his property and the move. Now, just four blocks away from its previous home, business is booming at Main Event Graphics. “My business has grown,” says Perez. “I occupy a larger shop and I’ve been able to take on more clients.” See how his new business is doing here - https://www.youtube.com/

watch?v=pIl_xSh-Irs

How Posititve Train Control Works to Increase Safety


https://www.youtube.com/watch?v=7JGf-dts_y8

https://www.youtube.com/watch?v=pIl_xSh-Irs

https://www.youtube.com/watch?v=pIl_xSh-Irs


Improving Safety With Grade Separations

Because high-speed trains will be travelling through the Central Valley at speeds of up to 220 miles per hour, the system requires full grade separation. The Authority is converting 30 existing at-grade street/rail crossings in the Central Valley to grade-separated interchanges. Another 20 roadways will be rebuilt as grade separations where they cross high-speed rail lines and existing freight lines, for a total of 50 new, fully grade-separated crossings in the Central Valley (10 existing crossings on roadways with low traffic counts will be permanently closed).

These investments will eliminate collisions, improve safety and allow freer-flowing vehicle traffic. It will also improve air quality by reducing vehicle idling while trains traverse intersections. ARRA funds have been used to begin building these grade separations as part of initial Central Valley construction.

In addition, ARRA dollars have funded local road improvements necessary due to construction impacts along the alignment, addressing state of good repair conditions that have languished due to limited local funding.

Early System-Wide Investments Delivering Early Benefits

A fundamental objective is to make early investments throughout the system to deliver early benefits and lay the foundation for high-speed rail service. The Authority is working with state and regional partners to advance significant concurrent investments, providing early improvements to existing regional rail systems that will serve as building blocks for high-speed rail.

In 2012, Senate Bill 1029 appropriated $1.1 billion of Proposition 1A funds for “bookend” investments to improve access and connectivity, modernize existing systems and enhance safety. One example is the Rosecrans-Marquardt Grade Separation Project in Santa Fe Springs in Southern California. The Authority is also providing funding for the Peninsula Corridor Electrification Project (PCEP), part of the Caltrain Modernization Program, to increase capacity and improve safety in the Caltrain commuter rail corridor between San Francisco and the Silicon Valley.

One of many grade separations included in the high-speed rail program.

CALTRAIN CORRIDOR

The Caltrain Modernization Program, scheduled to be implemented by 2021, will electrify and upgrade the performance, operating efficiency, capacity, safety and reliability of Caltrain's commuter rail service between San Francisco and San Jose. High-speed rail’s investment of $713 million towards these improvements will allow the high-speed rail system to create blended services on the corridor with the Caltrain commuter system.


Public Investments Paying Dividends

The investments made in California high-speed rail have already yielded a range of benefits and dividends – stimulating the economy, creating jobs, and building new transportation infrastructure that will provide longer-term economic benefits.

More than 1,400 construction workers in the Central Valley are currently building 119 miles of high-speed rail at more than a dozen construction sites.

As of June 2016, more than 630 different private sector firms were contracted to work on the program throughout California. Most of these firms are located in California. These firms have:

` Hired thousands of workers throughout the state and the nation, as well as international high-speed rail subject matter experts; and

` Purchased supplies and materials including concrete, steel, office equipment, computers and vehicles – further stimulating California’s manufacturing and retail economy.

The people who work for these firms spend their wages on goods and services – housing, groceries, retail, restaurants and recreation – pumping money back into California’s local economies.

Creating Jobs in the Central Valley Hit Hard by the Great Recession

The Central Valley suffered from one of the highest unemployment rates in the nation during the recession – reaching nearly 17 percent in 2010. Based on a combination of economic and environmental conditions, many communities in the Central Valley have been designated as disadvantaged. With high-speed rail investments surging in the Central Valley in the last few years, as construction has ramped up, the region has experienced substantial economic benefits.

According to a recent report by the University of the Pacific’s Center for Business and Policy Research, all Central Valley counties experienced job growth either at or exceeding the state average in 2016, a trend that is forecast to continue through 2017.¹ The impact of the ARRA assisted high-speed rail investment in the region between July 2015 and June 2016 is equivalent to about 11 percent of the 32,000 jobs that were created in Central Valley economy over the same period.

1 http://www.pacific.edu/Documents/school-business/BFC/Forecasts/CA-Metro-Forecast-May2016.pdf

CASE STUDY | Constar Supply Company

Location: Clovis/Bakersfield

Business Type: Construction Supply

No. of Employees: 25 people in Clovis and 7 in Bakersfield with more workers being hired.

A family-owned construction supply company, Constar supplies inventory and non-inventory materials to construction companies. High-speed rail represents a growing portion of Constar's business. Constar currently does business with CP1, CP2-3 and SR 99 relocation contractors. The high-speed rail project facilitates the company's expansion plan: high-speed rail allows the company the opportunity to replace/invest in rental equipment and hire more people. Constar’s new store in Stockton will be opening (same type of products, adapted to the local market). All manufacturers are in the United States with most materials from California.


http://www.pacific.edu/Documents/school-business/BFC/Forecasts/CA-Metro-Forecast-May2016.pdf


Spurring Additional Benefits for Californians

A recent report – The Economic Impact of California High-Speed Rail – evaluated the effect of the $2.3 billion spent on the project over the 10-year period spanning July 2006 to June 2016. Seventy percent of that $2.3 billion investment was funded by ARRA and 52 percent of it occurred in disadvantaged communities.

The report also indicated that the $2.3 billion investment generated about 20,000 job-years of employment from 2006 to 2016. For more information see: https://www.buildhsr.com/hsrinvestment/pdf/California_Economy_2017.pdf.

Stimulating the Economy – The Ripple Effect

The economic benefits (or impact) of the public investment in high-speed rail is much greater than the Authority’s direct spending on payroll, goods, services and construction. This is because the dollars spent directly by the Authority are spent again by its own employees and by the employees of the businesses it contracts with.

` Employees spend their wages on goods and services from other businesses.

` Businesses purchase goods and services and hire employees – who then spend their salaries throughout the economy.

` In economic terms, this direct and indirect spending generates induced impacts – creating a ripple effect throughout the economy.

The Ripple Effect in California

Between 2006 and 2016, about $2.3 billion in public funds was invested in planning and building California high-speed rail yielding jobs, labor income and generating $3.5 to $4.1 billion in economic output.

$2.3 billion invested from July 2006 through June 2016 94% went to California firms and workersMore than 70% was funded by federal funds (ARRA)

$2.3 BillionJULY 2006

JUNE 2016

California Economic ImpactsJuly 2006 – June 2016

$1.38B - $1.68B

ECONOMIC OUTPUT

LABOR INCOME

JOB-YEARS OF EMPLOYMENT

19,000 - 23,000 $3.5B - $4.1B

Indirect Effects

ConcreteSteel

SuppliesTransport

ComputersParts

Office SuppliesAnd more...

HousingGroceries

RetailRecreationAnd more...

Contractors• Construction workers' salaries• Manufacturing, production, construction

Employees• Salaries and other expenses

Direct Effects Induced Effects

https://www.buildhsr.com/hsrinvestment/pdf/California_Economy_2017.pdf


SOUTHERN CALIFORNIA

Job-Years of Employment 2,500

Labor Income $190M

Economic Output $420M

BAY AREA


Labor Income $240M


CENTRAL VALLEY


Labor Income $330M

Economic Output $1,200M

SACRAMENTO


Labor Income $290M


Economic Benefits Have Been Spread Across the State

The figure below breaks out these effects into four regions – Sacramento, the Central Valley, the Bay Area and Southern California.

As construction has expanded in the Central Valley, more than $1.2 billion in economic activity has been generated in that region. The Sacramento, Bay Area and Southern California regions have also experienced significant economic benefits. For more information on the total statewide impacts, see this interactive map at https://www.buildhsr.com/hsrinvestment/.

ECONOMIC BENEFITS BY CALIFORNIA REGION


https://www.buildhsr.com/hsrinvestment/


Regional Benefits

SACRAMENTO REGION

The California High-Speed Rail Authority and its Rail Delivery Partner are headquartered in downtown Sacramento. Together they comprised around 400 staff members as of June 2016. This integrated public-private sector team provides overall guidance and oversight for the program. Architectural, engineering and related services make up 60 percent of the jobs in the region – and state government jobs comprise 35 percent of the direct jobs supported from mid-2006 through mid-2016.

CENTRAL VALLEY REGION

The Central Valley section is considered the “backbone” of the project, with its connections to the Bay Area and the Los Angeles Basin being critical to improving accessibility and mobility options for the Central Valley's growing population.

Historically, the Central Valley economy has lagged behind the rest of the state, but now investment in high-speed rail is helping to close the gap. The Central Valley has experienced the largest economic benefits as high-speed rail investment has poured into the region.

From mid-2006 through mid-2016, the high-speed rail program has created an estimated 6,800 job-years of employment and about $1.2 billion in total economic activity in the Central Valley.

BAY AREA REGION

In the Bay Area, the high-speed rail program efforts have focused on achieving environmental clearance for the San Francisco to San Jose and San Jose to Merced project sections. This work is being undertaken by a team of planners, engineers, environmental scientists, community engagement experts and others who are working across the region to move the program forward. About 97 percent of the Bay Area region’s jobs are in architectural, engineering and related services.

SOUTHERN CALIFORNIA REGION

Similar to the Bay Area, work in Southern California has been focused on advancing the environmental review process for sections of the high-speed rail system in the region (Bakersfield to Palmdale, Palmdale to Burbank, Burbank to Los Angeles, Los Angeles to Anaheim).

About 85 percent of the Southern California jobs from mid-2006 through mid-2016 have been in architecture, engineering and related services. A number of Southern California firms have been involved in Central Valley construction – resulting in the region having the second highest share of construction workers on the program.


GB Placemaking LLC Transit Oriented Development

Eco Districts Advisory Sustainability and Certification

Vertical Mapping Resources Digital Mapping and Color Orthography Services

4421

87

6779

4652 54

4258 85

61 3

164

10119

7359

88

40

97

2

107

78

5781

8 54

13

5026

4818

707492

4368

4753 3332 15

35206938

1614

77

2829

8949

9834

9445

9

95

8241

2276

102

636

31

2393

36391265

24

11

1730

862783

25

5537

91

5196

56. Leon Environmental

57. Madco Electric

58. MARRS Service, Inc

59. Martinez Steel Corp

60. Matson Alarm Company

61. Matt-Chlorr, Inc

62. MGE Engineering

63. Mid Valley Engineering, Inc

64. Middle Earth Geotesting

65. MJ Avila, Inc

66. Moore Twining Associates, Inc

67. Mountain Pacific, Inc

68. Oliveira Fence, Inc

69. OPAC Consulting

70. Outback Materials

71. Parrish Hansen, Inc

72. Pipe Jacking Unlimited Inc

73. Pirhana Pipe & Precast

74. Prime Construction Company, Inc

75. PTS Rentals

76. Rail Pros, Inc

77. Ruperty Construction Supply

78. Safety Striping Services

79. Saf-T-Co Supply

80. Salem Engineering

California Businesses Helping to Deliver High-Speed Rail

1. 2R Drilling, Inc

2. Aardvark Biological Services

3. Ace Fence Company

4. Alert Medical Training

5. Alert-O-Lite

6. American Crane Rental

7. American Refuse

8. Applied Earthworks, Inc

9. Area West Environmental, Inc

10. Associated Traffic Safety

11. BBL Tatum Trucking

12. Bess Testlab

13. Blair, Church & Flynn Consulting Engineers

14. BMA Construction Engineers, Inc

15. Bond and Kennedy, Inc

16. Bradley Tanks, Inc

17. Cal Lowbed Service

18. Canyon Fork Ace Hardware

19. Capo Projects Group

20. CH Bull Company

21. Charter Industrial Supply

22. CHS Consulting

23. CMG Hydroseeding

24. Commercial Exteriors

25. Constar Supply

26. Contect Hoist & Rigging

27. Curtis Electric Construction, Inc

28. Dave’s Trucking

29. Delta One Security

30. DeWalt Corporation

31. Dillard Environmental

32. Direct Safety Solutions

33. Earth Mechanics, Inc

34. ERTEC Environmental Systems

35. EXARO Technologies

36. Fresno Wire Rope & Rigging

37. G&C Equipment

38. Garavalgia Architecture, Inc

39. Hoffman Electronic Systems

40. Hunsaker Safety & Sign

41. I-5 Rentals

42. IDC Engineers

43. Innovative Concrete Solutions

44. IS Architecture

45. James Transportation Group

46. Jet Drilling

47. JMA Civil, Inc

48. Jones Heavy Haul

49. JRP Historical

50. Katch Environmental

51. Kehoe Testing

52. Lalonde Equipment

53. Landavazo Brothers, Inc

54. LCP Tracker

55. Lee Andrews Group

81. Sequoia Equipment Company

82. Shasta Welding Supply

83. She Marine Veteran Supply

84. Sierra Lock and Glass

85. SoCal Drilling

86. Soils Engineering, Inc

87. SPER Contracting Corp.

88. Super Seal & Stripe

89. Taber Drilling

90. Technicon Engineering

91. Terra Environmental

92. The 111th Aerial Photography

93. Touch of Green Landscape

94. UNICO Engineering

95. USC Supply

96. Valverde Construction

97. Ventura Consulting Group

98. Verux

99. Western Traffic Supply

100. Wild Electric

101. WKE, Inc

102. Wreco



Othon Inc Rail Design Services

GCM Consulting Quality Assurance and Quality Control

Applied Foundation Testing Geotechnical Services & Foundation Testing

H. R. Green Co. Environmental and Engineering

H.C. Peck & Associates Right of Way

Cross-Spectrum Acoustics Inc Noise & Vibration

Systra Consulting High-Speed Rail Experts

Phoenix Construction Supply Construction Supplys

Commonwealth Associates Engineering Design

Economic Benefits Have Been Spread Across the Nation

Although most of the spending occurred in California, companies from 35 different states have worked on the program.

Approximately $121 million has been spent outside of California – with 90 percent of that spending staying within the United States. The states with the highest program investment outside of California include Colorado, New Jersey, New York, Oregon, Texas and Washington, as well as Washington DC.

The remaining 10 percent went to specialized services that could only be provided from experts abroad since certain high-speed rail expertise is not available in the United States.

Role on Program

Construction Services

Other Services

Engineering Services

Strategic/Financial Services

Real Estate Services

Outreach Services

Environmental Services

Equipment Suppliers

Media Services

Transportation Services

NATIONAL IMPACT*

No companies working on the program in these states

States with companies working on the program

THE NATIONAL REACH OF CALIFORNIA HIGH-SPEED RAIL

Con-Fab California is a Central Valley manufacturer of structural precast, prestressed concrete located in Lathrop, California. The company is building all of the girders for bridges and overpasses within Construction Package 1, the first 32-miles of the California high-speed rail project. That includes the largest girders ever cast in California, according to Con-Fab.Con-Fab is an excellent example of the national reach of California high-speed rail. Though located in the Central Valley, Con-Fab’s materials come from all over the country, including fly ash from Wyoming, cranes from Wisconsin, steel forms from Oregon, welded wire from Arizona and steel strands from Tennessee.

* The companies shown on the California map represent a sample of businesses working on the project, spurring benefits across the state. The companies shown on the national map have main offices outside of California and have received significant revenues from the project, spreading benefits across the nation. The 35 states shown in blue have received revenues from California high-speed rail (2006 to 2016).


Creating Opportunities for Small Business

Hundreds of California small businesses, disadvantaged businesses and disabled veteran businesses are hard at work planning, designing and constructing the high-speed rail system. Currently:

` 407 small businesses are engaged in the project

` 116 are certified disadvantaged businesses

` 45 are certified disabled veteran businesses

California high-speed rail is meeting its aggressive 30 percent goal for small business participation – and the specific goal of 10 percent for Disadvantaged Business Enterprises (DBE) and 3 percent for Disabled Veteran Business Enterprises (DVBE).

Reaching Out to Businesses, Large and Small

Throughout the last seven years, the Authority held industry forums and conferences where businesses interested in working on the program were invited to learn about contracting opportunities. These forums have generated significant interest and are well-attended.

Although the Authority encourages competition, partnering between larger firms and smaller business by holding pre-proposal meetings is also encouraged. During these meetings, the specifics of pending work is discussed, and large companies are encouraged to network with small businesses as they put together their teams.

"We don’t want to leave anyone behind. High-

speed rail will benefit all the people of Califor-

nia, from the skilled and passionate workers

that build it to the future travelers who will use

it. This program is an economic and sustainable

engine for our present and future."

- Alice Rodriguez

Deputy Director of External Affairs

CASE STUDY | West Pacific Electric Company

Location: Lemoore

Business Type: Utility relocation


Virginia Villa is the owner of West Pacific Electric Company (WPEC), a woman-owned small business. WPEC is playing an important role in the construction of high-speed rail by relocating utilities. Her team is working on underground conduits packed with wires or fibers and enclosing them in concrete or metal cases to protect them from water damage and physical stress. Her company will provide trenching and installation services. To complete this work on high-speed rail, Villa will hire 10 to 12 more workers to help her core group of 8 to 10 employees.



In addition, over the last several years, the Authority has solicited numerous requests for expressions of interest and industry review on various components of the program, including train sets and operations, that have resulted in national and international contractor engagement.

For example, in 2017, a number of international firms representing China, Spain, Italy, Japan and other nations participated in a series of meetings with the Authority in preparing for submitting proposals for the Early Train Operator contract. These meetings also educated international firms on the Authority’s small and disadvantaged business goals and requirements.

52%of project expenditures

occurred in designated

disadvantaged

communities

throughout California,

spurring economic

activity in these areas

CASE STUDY | Small Business Achieves Big Results in Waste Diversion

Through its Small Business Program, the Authority is having a positive impact on small, local businesses while meeting its environmental goals. J. Kroeker, Inc. is a Fresno-based, woman-owned business that won a contract worth $9.5 million to provide all demolition services for Construction Package 1. In 2015, as demolition continued in downtown Fresno to make way for the first segment of high-speed rail, Kroeker recycled, reused or stockpiled 44,000 tons of materials for reuse, including more than 37, 000 tons of concrete. Kroeker's recycling leadership will help the Authority deliver on its waste management commitments.


Supporting Workforce Development and Training People for Living Wage Jobs

The Authority is committed to building a high-speed rail system that keeps jobs in California, especially in the regions where the system is being constructed. Local residents have an opportunity to participate in job training and apprentice programs that will prepare them for working on high-speed rail and other construction projects.

They can also get jobs with the growing number of small businesses that are working on high-speed rail. For example, in Construction Package 1, nearly 735 construction workers have been dispatched accounting for more than 300,000 hours, 36,000 of which have been for apprentice positions. This number includes everything from carpenters and heavy equipment operators to iron workers and laborers. More than 60 percent of these workers are disadvantaged workers from economically and/or extremely economically disadvantaged areas, the majority of which are from Fresno County.

PRE-APPRENTICESHIP PROGRAM

Students continue to flock to classes and training that can lead to jobson California's high-speed rail project and other infrastructure projects

PROFILE | Patrick McCarthy

Patrick McCarthy, currently working on the high-speed rail project, said that the pre-apprenticeship program gave him the chance he needed to make a decent living and support himself and his children. "They check to see if you are on time, how's your work ethic, your attitude. All the things you need to do to succeed in life in general. You have to work hard, but my experience has honestly been life-changing."

PROFILE | Yovani Moreno

Two years ago, Yovani Moreno took pre-apprenticeship training classes at the Construction and General Laborers' Local 294 union hall in Fresno. "I had a felony in my past, so it was hard to maintain a job," explained Moreno. "I worked in landscaping, manufacturing and food packing, but only made minimum wage – $8 an hour." Construction training helped him join the Laborers' Union and make $17.50 per hour as an apprentice on the high-speed rail project. Currently, Yovani is making $24 per hour doing traffic control. His pay will jump to $28 per hour when he becomes a journeyman. The 34-year-old, who has a 5-year-old son and an 8-year-old daughter, calls the job a blessing. "I can pay my bills on time. And when my daughter's birthday comes up, I can throw her a birthday party and buy her a nice gift." Moreno hopes one day to become a job superintendent, foreman or a business owner. "It's hard, but I know if I just keep going, my family will get the benefits."



The Authority has worked alongside numerous organizations in communities throughout California to help train future workers, some of whom are working for contractors on the program. This effort includes the program's Community Benefits Agreement, which is designed to assist small businesses and job seekers in finding or obtaining construction contracts, jobs and training opportunities for residents who live in economically disadvantaged areas along the high-speed rail alignment.

Working on high-speed rail can be a pathway out of poverty for some people. The Community Benefits Agreement supports employment of individuals who reside in disadvantaged areas and those designated as Disadvantaged Workers, including veterans. It also helps removes potential barriers to Small Businesses, Disadvantaged Business Enterprises, Disabled Veteran Business Enterprises, Women-Owned Businesses and Microbusinesses that want to participate in building the high-speed rail system.

CASE STUDY | Mountain Pacific, Inc.

Location: Laguna Beach

Business Type: Concrete forms and bridge falsework

No. of Employees: 6

Tijana and Paul Hamilton launched Mountain Pacific in 1996, special-izing in the design of road and bridge construction projects, transpor-tation planning and studies. Mountain Pacific is designing forming systems and falsework for the high-speed rail bridges. This wife and husband team is creating jobs and balancing company goals with company values. In addition to the forming system and falsework, this company is also providing permanent bridge design on Construction Package 2-3.


Revitalizing Communities

ARRA investments are helping with the revitalization of communities through a station planning program which will connect and reinforce local mobility, build foundations for sustainable growth and create opportunities for the revitalization of downtown cores.

Using ARRA funds combined with state funds, the Authority has worked closely with station communities to advance planning around stations and to complete environmental reviews.

The vision for station planning is to create community hubs and help transform cities. The goals being advanced through this program include:

` Fostering sustainable development and operations

` Reducing greenhouse gas emissions

` Helping maximize system performance

` Creating economic engines for local communities

To date, the Authority has executed planning agreements with the cities of Gilroy, Merced, Fresno, the Tulare County Association of Governments, San Jose, Bakersfield, Palmdale, Burbank and the Santa Clara Valley Transportation Authority. These partner agreements help provide market and financial analyses, development scenarios and implementation planning.

Making Downtown Bakersfield, the Downtown Bakersfield High-Speed

Rail Station Area Plan, will act as a vision document that will:

` Increase population and economic density in the urban core

` Support residential and commercial activity

` Develop under-utilized or vacant properties

` Connect existing activity and cultural centers

` Create an efficient, reliable and effective multi-modal transportation system

` Enhance sustainability, livability and a unique sense of place

` Secure funding for identified implementation actions

ARTIC Station in Anaheim



Future Investments and Benefits Still to Come

California is making significant investments in high-speed rail infrastructure to link San Francisco/Merced to Los Angeles/Anaheim through the Central Valley – and future extensions south to San Diego via the Inland Empire and north to Sacramento.

With the federal and state funds invested to date, viaducts, bridges and grade separations are appearing in the Central Valley, providing living wage jobs, putting people back to work and creating opportunities for small businesses all over the state. Companies are hiring workers, manufacturing parts and equipment, and laying the groundwork for a vital, new high-speed rail industry. Over the coming years, these investments will grow. So, too, will the dividends – economic, environmental and social.

Next - Connecting the Silicon Valley to the Central Valley

The first line slated for high-speed passenger rail service will link the Silicon Valley and the Central Valley. Tying these two vital economies together with fast, convenient and reliable high-speed rail service will foster greater economic development and more new job opportunities in the fast-growing Central Valley. It will also support affordable housing and jobs-housing balance goals in the prosperous but very expensive Silicon Valley.

Developing an Entirely New American Industry

Similar to project investments made to date, it is projected that the majority of future expenditures will go to companies and people in California. However, as the investment grows and evolves, the benefits to the nation as a whole will also spread and multiply.

California is setting the stage for high-speed rail in America – where investment in and the development of new technologies, manufacturing capabilities and innovative business practices will create high-skilled, good paying jobs that will help drive America’s economic competitiveness for decades to come.

One hundred percent of the steel and concrete used in constructing high-speed rail is domestic, and the Authority is committed to working with manufacturers to ensure that the high-speed rail trains are made in America. In addition, the track and the complex, high-tech communications and power systems that will operate the trains will be supplied by diverse industries and manufacturing companies, and their employees from around the country.

Creating a New Commercial Enterprise Through Public/Private Partnerships

A fundamental goal of California high-speed rail is to create a commercially successful privately operated rail system. Over time, the value of the system as a commercial enterprise will be significant for the State of California, creating the opportunity for private investment to support system expansion.

To further this goal, the Authority is bringing on an Early Train Operator, which will initially provide advice on system design and construction, and then will ultimately operate passenger service and help grow the market for high-speed rail service. In September 2017, four world-class international consortia submitted proposals; the Authority intends to award a contract by year end.


California High-Speed Rail Will:

` Connect California’s major economic and population centers

` Become the backbone of an integrated, modern statewide rail network that will transform how people move around California

` Enhance California’s competitiveness in the global economy

` Create new jobs and training opportunities, including for disadvantaged workers and those who are often left behind

` Expand economic benefits throughout the state and national economies by including small and disadvantaged businesses

` Protect the environment and enhance the quality of life as our state grows from 39 to 55 million people and

` Lead the nation in developing a high-speed rail industry, including manufacturing and operations.

www.buildhsr.com


http://www.buildhsr.com


Conclusion

Investment of the federal ARRA funds has yielded a range of benefits and paid economic dividends. Thanks to the investment of ARRA dollars, Californians were put back to work. Small and disadvantaged businesses were given new opportunities to grow and prosper. Peoples’ lives were transformed and improved. The public dollars spent substantially boosted economic output across the state, far outweighing the direct investment.

The foundation of a new transportation system – in the form of new bridges, viaducts and other structures – is taking shape in the Central Valley. Further public investment will yield even greater dividends and seed future economic growth and revitalization in cities and communities across the state.

Over time, California will be connected by a new form of high-speed transportation between and among its economic centers, helping sustain and grow the state economy, generating new opportunities for Californians and driving America’s economic competitiveness in the 21st Century.

“ARRA was to be about economic

development, improved

infrastructure and creating jobs.

The investment in California’s

high-speed rail project delivered

these on all three fronts.”

- Brian KellyCalifornia State Transportation

Agency Secretary

770 L Street, Suite 1160

Sacramento, CA 95814

p: (916) 324-1541

e: face

[email protected]

CALIFORNIA HIGH-SPEED RAILThe California High-Speed Rail Authority (Authority) is responsible for planning, designing, building and operating the first high-speed rail system in the nation. California’s high-speed rail system will connect the mega-re-gions of the state, contribute to economic development and a cleaner environment, create jobs and preserve agricultural and protected lands.

When complete, the Phase 1 system will run from San Francisco to the Los Angeles Basin in under three hours and will be capable of speeds of over 200 miles per hour – with future extensions planned to Sacramento and San Diego. The Authority is working with state and regional partners to implement an integrated state rail network by investing billions of dollars in urban, commuter and intercity rail systems to meet the state’s 21st Century transportation needs.

http://www.facebook.com/CaliforniaHighSpeedRail/

mailto:info%40hsr.ca.gov?subject=