American Society of Civil Engineers Monthly Meeting

American Society of Civil Engineers Monthly Meeting
Embassy Suites Hotel
201 Harrison Oaks Blvd.
Cary, N.C.
Thursday, May 19, 2005
Noon

Thank you, Tim, for the kind introduction.

I commend you for your outstanding work in the structure design unit at DOT and for your leadership of this distinguished group of engineering professionals.

Thank you all for inviting me to join you today.

It is always a pleasure to speak with people who are dedicated to elevating transportation progress in our state.

The contribution that each of you make is vital to building an effective and efficient transportation system that our citizens can rely on.

As Secretary of Transportation, I fully support the American Society of Civil Engineers' mission to support today and tomorrow's engineers through education and outreach meetings such as these.

I have made it my personal and professional goal to promote transportation excellence throughout the state, whether delivering key highway projects or improving alternative means of transportation.

I realize that I cannot achieve these goals alone, which is why building on partnerships with organizations like the ASCE is an integral part of my aggressive agenda to create new perspectives and new opportunities that will produce a new DOT.

My agenda for 2005 - which you should have in front of you - reflects this vision.

In fact, many of the ASCE members already know first-hand about the challenges and opportunities within DOT as current employees.

Since I joined the department over four years ago, I have fully supported Governor Easley's vision for One North Carolina by building a transportation system that unites citizens across the state.

I know that you, too, share this vision as you carry out your mission to develop leadership, advance technology and advocate lifelong learning.

CHALLENGE OVERVIEW
I know that you are interested I hearing about the department's current funding situation.

Following the recommendations of a 2001 cash management study commissioned by the General Assembly, we took advantage of available cash balances and invest them in much-needed transportation projects.

With these funds, we created several aggressive transportation programs including Moving Ahead! and Senate Bill 1005.

These two programs together have provided more than $1 billion in additional funds to improve North Carolina's highway system - primarily through resurfacing, bridge replacements and traffic signal upgrades.

We also elevated our TIP lettings so citizens could benefit from transportation improvements sooner.

Doing so enabled us to take advantage of lower construction costs, which have continued to rise in recent years.

In addition, the heavy-hitting wintry weather and unprecedented number of tropical storms that struck our state this past year have resulted in unforeseen repairs on our roadways and bridges.

In the process of trying to meet the increasing needs of citizens, we set our goals high - however, we realized that as any prudent business, we must deliver within our fiscal constraints.

We recently learned that if we did not alter our present, aggressive spending course, we risked reaching a funding crossroads by the end of the year.

Recognizing this, we developed a budget adjustment plan to bring our transportation plans in line with our available revenue.

Some projects have been shifted as a result of the plan, but no projects will be cancelled.

This situation reinforces the need for more transportation funding in general, and the good news is that we are currently pursuing a number of solutions that will help us accomplish this goal.

SOLUTION 1: STATEWIDE TRANSPORTATION PLAN
As you see on the agenda, our first priority is implementing the Statewide Transportation Plan, which was adopted by the Board of Transportation last fall.

The plan identified nearly a $30 billion gap between need and revenue.

The plan also mapped out a long-term strategy that will help us maximize our funds, maintain our existing infrastructure and provide North Carolinians with more transportation options.

By following the plan, the department will be able to meet 35 percent more of the state's highway maintenance and modernization needs over the long term.

Additionally, the plan recommends increased funding for alternative modes of transportation such as public transportation, rail and ferry.

By improving all aspects of our transportation system, we are leading the way for economic growth and increased mobility throughout the state.

SOLUTION 2: N.C. THINKING AHEAD!
One of our newest resources is a special transportation group called N.C. Thinking Ahead!

At the recommendation of Gov. Easley, we pulled together representatives from key organizations across the state to form a working group focused on examining new short and long-term solutions to help meet the state's transportation needs.

The members of the group are also charged with implementing the Statewide Transportation Plan.

The group will hold its next meeting next week on May 26.

SOLUTION 3: ADJUST THE TIP
With great needs all across the state, we want to ensure that all areas of the state receive their fair share of funds.

You all may have heard about our recent adjustments to the upcoming 2006-2012 Statewide Transportation Improvement Program, or TIP, to ensure that all divisions receive their fair share of funds according to the equity formula.

The shift will ensure that we hold true to the 1999 legislative change that guarantees that funds will be equally distributed.

We recently released the 2006-2012 Draft TIP, and we are in the process of meeting with communities across the state to listen to their feedback during a series of public comment meetings.

The readjustments are an important step to balancing the varying needs of our eastern and western parts of the state.

After all, transportation needs should not be about East versus West or urban versus rural.

We are all part of One North Carolina and must do all we can to help our neighbors succeed.

We look forward to sharing the results of this collaborative process once the final TIP is presented to the Board of Transportation for approval in July.

SOLUTION 4: N.C. TURNPIKE AUTHORITY
The N.C. Turnpike Authority is also opening new doors to help meet our transportation needs.

I am proud to serve as Chair of the authority, which was created in 2002 by the General Assembly, the Authority is currently authorized to construct, operate and maintain up to three toll roads in the state and to study three more.

We are in the process, however, of working with the General Assembly to change the language of this legislation to allow us to study up to six potential projects before deciding which three to build.

We've already held several public input meetings across the state to help us determine where these roads are most feasible, and in February we selected four projects for further study - the Gaston East-West Connector, the Monroe Connector, the Cape Fear Skyway and the Triangle Parkway.

Just yesterday, we held another public input session on extending the Triangle Parkway.

In addition, the Authority has recently selected the firm of HNTB to serve as its general consultant, and we are currently in the process of selecting an executive director.

The use of toll financing will help us deliver needed projects to communities sooner, causing less impact to traffic and moreover, providing citizens with more transportation options.

We are excited that this type of financing is becoming a reality in North Carolina.

SOLUTION 5: PUBLIC-PRIVATE PARTNERSHIPS
We are also looking into the possibility of utilizing more public-private partnerships to finance transportation projects.

A recently-published report from the U.S. Department of Transportation to Congress demonstrates a federal commitment to increasing the role of the private sector in transportation services and infrastructure investment and to encouraging the widespread use of public-private partnerships in transportation.

The report also suggests legislative solutions on both the state and federal level that will allow both state and local entities to take full advantage of the benefits these partnerships have to offer.

We will continue to research public-private partnerships and the new opportunities they could provide for North Carolina.

SOLUTION 6: INCREASED FEDERAL FUNDING
We are also diligently working to ensure that we will maintain federal support that is aligned with our state's growing needs.

This includes working with our congressional delegation on the pending federal reauthorization bill.

Currently, the bill would increase our rate of return to an unprecedented 92 percent within the next five years, bringing us one step closer to reaching our desired goal of 95 percent.

In addition, the legislation would increase our average annual apportionment from $778 million to over $1 billion, allowing us to deliver more needed projects.

SOLUTION 7: WORK WITH THE GENERAL ASSEMBLY We are also continuing to maintain a strong relationship with the N.C. General Assembly.

We are working with them on a number of measures that will help us better fund projects and expedite project delivery.

These include increasing the flexibility of our Secondary Road Funds to enable us to use this money to not only fund new construction of secondary roads, but also to maintain those roads that have already been paved as part of the program.

PROVIDE TRANSPORTATION INFRASTRUCTURE TO BOOST ECONOMIC DEVELOPMENT IN ALL PARTS OF THE STATE
While we work through our funding challenges, we remain committed to delivering key highway projects across the state.

We are making progress on several highway projects that should boost economic development in the Triangle and surrounding areas.

Two projects are well underway along the I-540 Outer Loop that will extend the interstate from its current terminus at Capital Boulevard all the way to the U.S. 64 Bypass.
The $67 million portion from Capital Boulevard to the existing U.S. 64 in Knightdale is expected to be complete by April 2006, followed by completion up to the U.S. 64 Bypass in October 2006.
On the western side of I-540, the section between N.C. 55 and I-40 is scheduled to be complete in August 2007.
Once this section opens, the 30-mile Northern Wake Expressway from U.S. 64 westward to N.C. 55 will be complete.
The U.S. 64/264 Bypass near Knightdale is also progressing smoothly and we are looking forward to opening the 12-mile, six-lane road next month, a few months ahead of the expected completion date.
Thanks to the design-build process, citizens will be enjoying the benefits of this new highway at least one year sooner than by traditional methods.
The design-build program has played a tremendous role in helping us finish projects in less time, by allowing us to complete the design and construction of a project as part of a single contract.
The widening of U.S. 1/64 in Cary, another design-build project, is also well underway.
The aggressive $58-million project also utilizes smart work zone technology to inform citizens in advance of travel conditions through the work zone.

We also have several key projects coming up within the next few months.

We just let the highly anticipated U.S. 70 Bypass near Clayton on Tuesday.
The nearly 10-mile bypass will help mitigate congestion through Wake and Johnston counties.
Fayetteville commuters are also looking forward to the construction of another portion of the Fayetteville Outer Loop from U.S. 401 to All-American Freeway.
Funding for this $200 million section is included in the draft TIP, and this project remains a priority for the department.

IMPROVE ALTERNATIVE MEANS OF TRANSPORTATION
We are also expanding transportation choices for citizens.

Wake, Durham and Orange counties are currently working on a regional transportation feasibility plan that will increase mobility throughout the Triangle by enhancing public transportation in rural areas.
We are also improving rail crossings in the Triangle as part of our work to further reduce rail travel time between Raleigh and Charlotte to make the trip more car competitive.
Last month, we celebrated the opening of yet another phase of the nearly five-mile Reedy Creek Greenway here in Raleigh.
The 2.3-mile section features two boardwalks over wetland areas and includes a 70-foot pedestrian bridge over House Creek, as well as the 660-foot pedestrian bridge over I-440.
In addition, concrete for the towers and bridge approaches was poured in the shape of stones, then painted to simulate natural stone to give the bridge an aesthetically pleasing look.
The next and final phase of the greenway is expected to be complete in early connecting Raleigh's greenway system with greenways in Cary and Durham via the 13-mile trail network in Umstead State Park.
I am also pleased to announce that the Board of Transportation also awarded $400,000 in Bicycle and Pedestrian Planning Grants to 18 municipalities at its monthly board meeting earlier this month.
The grants are to help municipalities develop bicycle and pedestrian plans.

PRESERVE, PROTECT AND IMPROVE THE STATE'S NATURAL RESOURCES

As we build and maintain the state's transportation system, I am proud to say that NCDOT is a frontrunner in environmental stewardship.
Just last month, the FHWA awarded the department three Environmental Excellence Awards, including one for the Reedy Creek Greenway and Pedestrian Bridge and for our environmental research programs.
The department has also received 5 national awards for the Ecosystem Enhancement Program (EEP) program.
Formed in partnership with DENR and the U.S. Army Corps of Engineers, the EEP allows us to complete stream and wetland mitigation years in advance of construction, saving time and preserving valuable tracts of land.
Through the EEP, we have yet another resource to maintain a healthy balance between environmental stewardship and transportation progress.

IMPROVE OPERATING EFFICIENCY AND SECURITY THROUGH NEW TECHNOLOGIES

Improving operating efficiency and security through new technologies is another priority on my agenda for the new DOT.
Thanks to the new 511 travel information line, travelers can now dial three numbers for real-time information on the state's highways, ferries, rail and public transportation.
I'm proud to say that since the launch last year, nearly 700,000 travelers have taken advantage of this new technology.
The Division of Motor Vehicles is also making use of new technologies that helps prevent driver license fraud through improved application procedures and the use of facial recognition technology.

IMPROVE CUSTOMER SERVICE AND EXPAND PUBLIC PARTICIPATION

We are also improving customer service through expanded use of our website as an information portal.
At the click of a mouse, citizens can access a variety of information on DOT's key projects and initiatives, as well interactive services, such as the DMV website.

CREATE MORE OPPORTUNITIES FOR EMPLOYEES AND BUSINESS PARTNERS AND EXPAND DIVERSITY ACROSS ALL LEVELS OF THE DEPARTMENT

In all that we do, the participation of all individuals will help us to collectively reach and exceed our goals.
Through the Minority Contractor Expansion Council and other department initiatives, we are working to expand opportunities for all of our partners including small, disadvantaged and minority-owned businesses.
In fact, contracts to minority businesses increased by 7 percent last year as compared to 2003.

CONCLUSION
These are just a few examples of the department's key initiatives.

As you can see, our commitment to expanding transportation options and protecting the environment remains steadfast.

Working together, I know we can face our challenges and find even better ways to meet our state's transportation needs.

The ASCE is part of the backbone that helps us reach our objectives, and we will continue to rely upon your time, talent and dedication to accomplish our goals.

Thank you for all of your support and I ask for your continued cooperation as continue to bring transportation programs to North Carolina.

Thank you.

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