January-February 2014 • Volume 6, Issue #1 VP BIDEN: “INLAND WATERWAYS ABSOLUTELY CRITICAL” “Inland waterways are the absolutely critical ingredient in our transportation network,” declared U.S. Vice President Joe Biden on February 19 at America’s Central Port in Granite City, Illinois. Speaking to hundreds in the audience inside one of the port’s warehouses, Vice President Biden channeled a President Abraham Lincoln quote, saying, “The best way to predict your future is to create it” when it comes to transportation infrastructure. That’s a familiar sentiment among stakeholder groups in the Upper Mississippi Basin that have been pushing lock modernization. Lock modernization for seven key sites on the Mississippi and Illinois Rivers has been held up by several factors, including the ban on Congressionally-directed spending (earmarks), the current balance in the Inland Waterways Trust Fund and corresponding over-budget, behind schedule completion of Olmsted dam. Additionally, the 2004 Chief’s Report has yet to be transferred to Congress by either the Bush or Obama Administrations. Pre-construction engineering and design (PED) for the seven 1,200-foot locks last received funding in FY 2011. It, along with the ecosystem restoration provisions in the project, collectively known as NESP (Navigation-Ecosystem Sustainability Program), continue to be touted as ‘shovel ready ‘by stakeholders. Yet, due to a provision authorized in the 2007 Water Resources Development Act, NESP would be placed on a list of projects that could be subject to de-authorization if it does not receive funding by FY 2017. The vice president closed with a caution about taking infrastructure for granted, saying, “No single infrastructure project, when finished, says ‘Well, we got it done now.’ It constantly has to be modernized.” The Administration has an opportunity to do just that with the January release of the Consolidated Appropriations Act of 2014, which includes up to four new starts - projects to be selected from inland navigation, flood control and storm damage prevention, and ecosystem restoration programs. One of the projects must be from the ecosystem restoration portfolio, while up to two projects may be selected from the other three categories. The Corps has until approximately March 1 to select projects for these additional funds, and the new starts. The Inland Marine Transportation System Capital Projects Business Model , or capital development plan designed by the U.S. Army Corps of Engineers and the Inland Waterways Users Board, recommends two new immediate starts on the Upper Mississippi River System: at Lock 25 (Winfield, MO) on the Mississippi River and Lagrange Lock (Versailles, IL) on the Illinois. Very specific guidance is provided for using the funds: a project must have received funding in one of the last three years; will reach a significant milestone or produce significant outputs in 2014; or is selected as a new start. The Corps must also develop a project rating system, and consider giving priority to projects benefitting the national economy or enhancing national, regional or local economic development. Job creation, economic impact on the local, regional and national economies if the project is not funded, and ability to obligate funds and complete the project are also listed as factors that will also be taken into account. January-February 2014 • Volume 6, Issue #1 WCI released a media statement on the other provisions of the FY 2014 Appropriations bill, which can be viewed here. We await the Administration’s action on NESP. PUBLIC COMMENTS NEEDED on LOCK CLOSURE Your comments are needed in response to the Great Lakes Mississippi River Interbasin Study (GLMRIS), which presents a range of options and technologies available to fight the spread of invasive species, but also includes several options of “separating” the Chicago Area Waterway System (CAWS) from Lake Michigan, essentially shutting down river navigation. Comments can be made online at this link through March 31. The study team needs to hear your voice! Express your opposition to the study options that include closing or modifying the movement of barges on the CAWS. “Physical separation” should be a nonstarter based on the GLMRIS’ estimated 25-year implementation timeline and its massive cost estimates between $15-$18.4 billion. In reality, there are far too many unknowns impacting final cost, stretching out the timeline implementation, calling into question the benefits achieved vs. the costs to physically separate CAWS from Lake Michigan. A recent study by DePaul University, “Gaining Insight Into GLMRIS,” examines factors not taken into account by GLMRIS and reveals a truer cost of separation to be $13-$34 billion over a 50 horizon. Water quality changes from a separation would require additional treatment facilities to provide a bypass for water from those barriers. That decreased water quality would also require extensive environmental review and regulatory compliances. A physical separation would require extensive land acquisition to accommodate flood risk management, the cost of which is not estimated by GLMRIS. GLMRIS also fails to ascertain the impact to the future growth of commercial passenger, recreational, charter and fishing boats, among other non-cargo users. With so much uncertainty and unknowns as to cost, effectiveness, aptitude, and benefits borne, among others, we should focus on the one thing that is certain – the region should be utilizing river transportation more efficiently to alleviate traffic congestion and its associated social and environmental footprint that impacts everyone. GLMRIS forecasts a 45 percent increase in commercial traffic between CAWS and Lake Michigan through 2020. Closing the CAWS would have devastating negative impacts for operators of barges and towboats, deep draft vessels and the countless shippers and suppliers, manufacturers and producers, and ultimately every member of the population within the region. The CAWS is a transportation corridor that provides the lowest-cost, most environmentally friendly and least socially intrusive mode of moving commodities that are the underpinnings of our nation’s economy. Redirecting that freight to other modes due to full closure or limited use of the CAWS would have unintended negative consequences. January-February 2014 • Volume 6, Issue #1 In addition, the CAWS provides an economic engine for the region and, ultimately, the entire country. The “Economic Impacts of Waterborne Shipping on the Indiana Lakeshore” study of 2008 reveals 17,655 jobs are supported and $1.9 billion in economic activity are attributed to O’Brien lockages by Indiana barge movements alone. No small carp (the size used in the study, 2-4 inches in length, and the size that would be the most likely to be impacted by tow movement) have been found within 131 miles of Lake Michigan. The closest an adult carp has come to the lake is still 55 miles away along the Illinois River. The report indicated the Corps will conduct two more years of testing We have a path forward with the existing electric barriers as a starting point. The Asian carp population front hasn’t advanced since 2007 and remains over 50 miles away from Lake Michigan. No carp has been found to swim through the barrier. The barrier, and other technologies (both current and future) should be examined to control the proliferation of invasives as best as possible. That still does not address the fact that Asian carp have other pathways to Lake Michigan, including the human factor (bait buckets, etc..) from either accident or malicious intent. More recently, the Corps submitted the Great Lakes Mississippi River Interbasin Study (GLMRIS) to Congress on January 6. The report presents a range of options and technologies available to prevent movement of 13 invasives, or “aquatic nuisance species” (ANS) along the Chicago Area Waterway System, between the Great Lakes and Mississippi River Basins. ASIAN CARP STUDY, REPORT RELEASED A new report on Asian carp’s ability to pass through the electric barrier in the Chicago area was released late last year. The findings concluded that no Asian carp have passed through the electric barriers designed to prevent their migration to Lake Michigan, thus entering the Great Lakes. The findings, described as preliminary, revealed testing done on tethered and caged fish to monitor their behavior around the barrier while tows pass over. Simulations with models were also conducted. The report showed that very small fish may be able pass through the barrier, principally through being swept up in a slow-moving tow’s wake. Faster moving tows drive fish the opposite direction. The report is not a decision document, nor does it rank, rate, or make a recommendation among the options presented. It does provide eight alternatives and evaluates their estimated costs, implementation time, and mitigation requirements to control the inter-basin spread of the 13 ANS, including fish (such as Asian carp), algae, virus, crustaceans and plants in all life stages, with a high-or medium-risk for transfer between the two basins. Alternatives range from continuing current activities, to technology concepts, to complete separation of the watersheds to hybrids with a technology concept and physical barriers. The alternatives listed include the following: 1. Continuing current efforts (i.e., the electric barriers) with “No New Federal Action — Sustained Activities”; 2. Nonstructural control technologies (i.e., education, monitoring, herbicides, ballast water management); January-February 2014 • Volume 6, Issue #1 3. A technology concept involving a specialized lock, lock channel, electric barriers and ANS treatment plants at two mid-system locations in the CAWS; 4. A technology concept (CAWS buffer zone) using the same technologies as number 3, preventing downstream passage from Lake Michigan at five points and preventing upstream passage at a single point at Brandon Road Lock and Dam; 5. Lakefront hydrologic separation with physical barriers separating the basins at four locations along the lakefront of Lake Michigan; 6. Mid-system hydrologic separation with physical barriers separating the basins at two mid-system locations; 7. A hybrid of technology and physical barriers at four mid-system locations, leaving the Cal-Sag channel open; 8. A hybrid of technology and physical barriers at four mid-system locations, leaving the Chicago Sanitary and Ship Canal open. Data collection for GLMRIS consisted of three major tasks: (a) identify potential connections where species can transfer between basins, (b) identify species of concern established in one of the basins with the risk for transfer to the other; and (c) identifying potential technologies to prevent the transfer of these species. The goal of GLMRIS was to be adaptable to those potential future technologies. HOUSE T&I ANNOUNCES SPECIAL PANEL LOOKING AT PUBLIC-PRIVATE PARTNERSHIPS House Transportation and Infrastructure Committee Chairman Bill Shuster (R-PA) announced, along with Ranking Member Nick Rahall (D-WV) on January 16 a special panel will be established to focus on the use and opportunities for public-private partnerships across all transportation modes. By the rules of the Committee adopted at the beginning of the Congress, the Chairman can establish special panels to serve for a period of six months. The “Panel on Public-Private Partnerships” will be chaired by Rep. John Duncan (R-TN) with Rep. Michael Capuano (D-MA) as ranking member. According to the T&I website, the panel will The panel will examine the current state of P3s in the United States to identify: (1) the role P3s play in development and delivery of transportation and infrastructure projects in the U.S., and on the U.S. economy; (2) if/how P3s enhance delivery and management of transportation and infrastructure projects beyond the capabilities of government agencies or the private sector acting independently; and (3) how to balance the needs of the public and private sectors when considering, developing, and implementing P3 projects. WRRDA includes a provision to allow up to 15 river navigation projects to be used as a pilot project.