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Moving Freight Forward A National Perspective


Moving Freight Forward A National Perspective Crystal Jones USDOT Federal Highway Administration April 2007 Topical Outline Context National Initiatives (US DOT ... – PowerPoint PPT presentation

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Title: Moving Freight Forward A National Perspective

Moving Freight Forward A National Perspective
  • Crystal Jones
  • Federal Highway Administration
  • April 2007

Topical Outline
  • Context
  • National Initiatives (US DOT)
  • National Freight Policy Framework
  • Congestion Initiative
  • National Initiatives (FHWA)

The Context
  • 25 of the U.S. GDP is related to international
    trade and is predicted to grow to 35 in the next
    20 years.
  • US/Canada/Mexico largest world trading
  • 2.2 Billion in trade/day
  • 2 Million people legally cross/day
  • From 1980 to 2002, truck travel on US highways
    grew by 90 while lane-miles of public roads grew
    by only 5.
  • Between 1998 and 2020, the percentage of urban
    interstates carrying 10,000 or more trucks will
    increase from 27 to 69.
  • U.S. rail traffic is at or near segment capacity
    in intermodal corridors and new tracks are not
    being laid down.
  • Potential investment in capacity expansion and
    operational improvement (including ITS
    applications) will have to compete with existing
    infrastructure maintenance and improvement
  • Congestion impedes timely and reliable freight
    movements and threatens business productivity.

Framework for a national freight policy
Objective 2
Objective 3
Objective 4
Objective 5
Objective 6
Objective 7
Objective 1
Freight policy objectives
  1. Improve the operations of the existing freight
    transportation system
  2. Add physical capacity to the freight
    transportation system in places where investment
    makes economic sense
  3. Use pricing to better align all costs and
    benefits between users and owners of the freight
    system and to encourage deployment of
    productivity-enhancing technologies
  4. Reduce or remove statutory, regulatory,
    institutional barriers to improved freight
    transportation performance
  5. Proactively identify and address emerging
    transportation needs
  6. Maximize the safety and security of the freight
    transportation system
  7. Mitigate and better manage the environmental,
    health, energy, and community impacts of freight

Overarching themes
  • Framework for national, not Federal, freight
  • Importance of investment
  • Value of public-private collaboration
  • Living document
  • Need for accountability

National Strategy to Reduce Congestion on
Americas Transportation Network
  • Mobility is one of our countrys greatest
    freedoms, but congestion across all of our
    transportation modes continues to limit
    predictable, reliable movement of people and
    goods, and poses a serious threat to continued
    economic growth. Congestion no longer affects
    only roads in larger urban areas, but is
    spreading across America.
  • Secretary Mary Peters, October 2006
  • Congestion is not a fact of life. We need a new
    approach and we need it now.
  • - Former Secretary Norman Mineta, May 2006

The Big Picture
  • Cost of highway congestion in 2003
  • 3.7B hours of travel delay, and 2.3B gallons of
    wasted fuel
  • for a total cost of 63B
  • Total costs would be much higher if
    unreliability, inventory and environmental costs
    (among others) were included
  • Cost of aviation congestion
  • Annual commercial airline passenger delays amount
    to 9.4B in U.S. delay costs

Cost of Congestion to U.S. Businesses
National retailer keeps 2.5B merchandise
on-hand, but adds 10 days of buffer stock to
its inventory due to rail delays. Additional
stock costs 2.7M annually. In 2000, congestion
at the Ambassador Bridge between Detroit,
Michigan and Windsor, cost motor carriers between
150M and 200M.
In 2005, congestion at the Otay Mesa and Tecate
crossings, along the California-Mexico border,
cost the U.S. economy 3.7B in output and almost
40,000 jobs. Atlanta area distributor of pet
food with an 11-truck fleet finds it difficult
for one truck to make more than 12 daily
deliveries in 1984, one truck made as many as 20
deliveries each day.
Cost of Congestion in Wasted Time and Fuel in the
Largest Urban Areas
Metro Area Total Cost ( in Millions) Cost Per Peak Traveler
Los Angeles-Long Beach-Santa Ana CA 10,686 1,598
San Francisco-Oakland CA 2,604 1,224
Washington DC-VA-MD 2,465 1,169
Atlanta GA 1,754 1,127
Houston TX 2,283 1,061
Dallas-Fort Worth-Arlington TX 2,545 1,012
Chicago IL-IN 4,274 976
Detroit MI 2,019 955
Miami FL 2,485 869
Boston MA-NH-RI 1,692 853
Phoenix AZ 1,295 831
New York-Newark NY-NJ-CT 6,780 824
Philadelphia PA-NJ-DE-MD 1,885 641
Why Now?
  • Surging public discontent with congestion and
    pork barrel spending
  • New advances in technology that can greatly
    improve system management and pricing
  • Successful congestion reducing demonstrations in
    major cities around the world
  • Strong private sector investment interest in U.S.
  • Growing consensus that traditional financing
    mechanisms for highway and aviation
    infrastructure are unsustainable
  • Economic benefits of trucking, rail and aviation
    deregulation (estimated at 60B/year)
    increasingly threatened

A Six Point Plan
  • Execute Urban Partnership Agreements with 1-5
    major metro areas
  • Encourage States to consider enacting public
    private partnership laws
  • Develop new interstate highway and rail capacity
    through a Corridors of the Future competition
  • Reduce bottlenecks at major freight gateways,
    including Southern California
  • Find and implement solutions to border congestion
  • Accelerate major airport capacity projects,
    reform airport pricing policies and overhaul the
    air traffic control system

FHWA - Office of Freight Management and
Operations Objectives
  • Understand the magnitude and geography of
    freight moving on the nations transportation
    system, including international freight
  • Develop strategies, analytical tools,
    institutional arrangements, and professional
    capacities for all levels of government to
    address freight movement
  • Understand and promote the economic benefits of
    freight transportation
  • Encourage innovative freight technology
  • Enforce commercial vehicle size and weight

Freight Analysis Framework (FAF)
  • Commodity flows by origin and destination for
    truck, rail, and water in 1998, 2010, 2020
  • Planned improvements update base year to 2002
    Economic Census, improve coverage, identify
    hazmat flows, time of day estimates, provisional
    estimates of current year freight activity, etc.
  • Applications policy-sensitive mode split model,
    links to policy models, scenario forecasts
  • Assure continuation of data sources and explore
    new data sources

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Freight Analysis Framework (FAF2)
  • Origin-Destination Database 106 CFS regions plus
    international gateways
  • 2002 benchmark
  • Forecasts for 2010, 2015, , 2035
  • Annual provisional estimates
  • Network Flow Database
  • 2002 benchmark, forecasts, annual provisional
  • Maintain and improve source data and look for new
  • Development of local knowledge encouraged in lieu
    of dependence on default values from national
    surveys and overextended models.

Freight Performance Measurement
  • Strategic Objective - Global Connectivity
  • Facilitate a more efficient domestic and global
    transportation system that enables economic
    growth and development
  • Desired Outcomes
  • Reduce transportation-related barriers to traded
  • More efficient movement of cargo throughout the
    supply chain
  • Goals
  • To reduce travel time in key highway freight
  • To reduce delays of commercial vehicles processed
  • National Highway System border crossings
  • Outcome Measures
  • Travel Time and Reliability on Freight
    Significant Highways
  • Border Crossing Time

Freight Performance Measurement
  • What?
  • Methodology use Trucks as Probes
  • Automatic Vehicle Location(AVL)/Satellite
  • GPS Coordinates (Date and Time Stamped)
  • Unique Carrier ID
  • How?
  • Partnership with American Transportation Research
    Institute, a Satellite Technology Vendor and
  • Data Cleansing techniques allows collection of
    collection data from all/most of the vendors
    carrier subscribers (250,000 vehicles)

Freight Performance Measurement
  • Where?
  • 25 Major US Interstates
  • Land Border Crossings
  • 5 US/Canada Crossings
  • US/Mexico under development
  • Application of Results
  • Provides a quantifiable basis to engage public
    and private sector and investigate and explore
    causes of delay
  • One of several analytical tools that helps get us
    to solutions target resources where greatest
    needs exists

Current Effort - 25 Corridors
FPM Border Component
  • Data Collection Began 7/01/05 for 5 Crossings
  • Blaine (Pacific Highway) Blaine, WA
  • Pembina Pembina, ND
  • Ambassador Bridge Detroit, MI
  • Peace Bridge Buffalo, NY
  • Champlain Champlain, NY
  • Effort looks at crossings as well as
    transportation network that supports the

Freight Professional Development
  • Section 5204 Training and Education
  • (h) Freight Planning and Capacity Building
  • Courses, seminars workshops
  • Congestion Mitigation Strategies for Urban Goods
    Movement (seminar)
  • Freight and the Environment (course)
  • Uses of Multimodal Freight Forecasts in
    Transportation Planning (course)
  • Engaging the Private Sector in Transp. Planning
  • Peer-to-peer exchange
  • Talking Freight
  • Public sector activity in academic curriculum

SAFETEA-LU Freight Provisions
  • Section 1301 Projects of National and Regional
  • Section 1302 National Corridor Infrastructure
    Improvement Program
  • Section 1306 Freight Intermodal Distribution
    Pilot Grant Program
  • Section 5209 National Cooperative Freight
    Transportation Research Program

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Key Take-Aways
  • The national economy is reliant on a functional
    transportation network.
  • Today's intermodal freight system is not equipped
    to handle predicted growth
  • System deficiencies increase operating costs and
    congestion, and decrease safety, economic
    competitiveness, and environmental quality
  • Keeping freight moving requires coordination and
    collaboration among varied private and public
    stakeholders at the international - national
    regional state local levels

  • Additional Information at
  • National Policy Framework
  • http//
  • Congestion Initiative
  • http//
  • FHWA Freight Programs
  • http//