Introduction Background: Networks and NAFTA The Trans-Texas
Corridor TTC-35 and TTC-69 Financing Trade Corridors, Inland Ports,
and Texas Conspiracy? Conspiracy! Discussion
Slide 7
Trans-Texas Corridor: Background and History NAFTA is working,
working for you and working for the American people. --- President
Bill Clinton May 7, 1997
Slide 8
East-West Pattern Canadian Pacific Railway It was Canada's
first transcontinental railway, now primarily a freight railway.
The railway was originally built between eastern Canada and British
Columbia between 1881 and 1885 Source: Canadian Pacific Railroad
Factbook 2006
Slide 9
Canadian National Railway Spanning Canada from the Atlantic
coast in Nova Scotia to the Pacific coast in British Columbia
TransCanada Highway The system was approved by the Trans-Canada
Highway Act of 1948 and officially opened in 1962.
Slide 10
East-West Pattern 1916 Federal Highway Act & 1956 Defense
Interstate Highway Act Interstate Highway System
Slide 11
North-South Pattern Mexican-American War of 1848 Mexico ignored
the northern border states to limit its contact and interaction
with the US. National railway system in late 19 th century Highway
system in 20 th century enhanced the pattern
Slide 12
The North American Free Trade Agreement eliminated the majority
of tariffs between products traded among the United States, Canada
and Mexico, and gradually phases out other tariffs over a 15- year
period. North American Agreement on Environmental Cooperation and
the North American Agreement of Labor Cooperation
Slide 13
Freight transportation between the U.S., Canada, and Mexico
grew at a strong pace 8 percent annual growth in both current and
inflation adjusted terms During the past decade, U.S. trade with
Canada and Mexico has increased at a faster rate than U.S. GDP.
(U.S. Department of Transportation, 2006) Higher levels of
international freight movement and a demand for expanded freight
transportation services
Slide 14
In 2005, land modes of transportation carried the great
majority (88 percent) of goods traded with Canada and Mexico In
2006, land modes of transportation (truck, rail, and pipeline)
carried the bulk, $760 billion worth of U.S. freight with Canada
and Mexico. Trucks remain the dominant mode for transporting U.S.-
North American freight, carrying 62 percent of the total value in
2006. Rail accounted for 15 percent and pipeline 7 percent. Value
of Goods Exchanged in U.S. Trade with Canada and Mexico by Mode
U.S. Department of Transportation, Research and Innovative
Technology Administration
Slide 15
In 2005, Texas surpassed Michigan as the top state for value of
NAFTA trade by land modes. Laredo, El Paso, and Hidalgo, in Texas,
accounted for 22 percent of all U.S.-NAFTA land trade
Slide 16
Inadequate Infrastructure Lack of Redundancy
Slide 17
Trans-Texas Corridor: Logistics Our view is, you can run from
the corridor if you want to, but that's eventually what we'll
build. Because that's where the fricking people live! Ric
Williamson, Texas Transportation Commissioner
Slide 18
- Long term 50-year plan for infrastructure expansion - Some
call in a Super Highway - Car lanes, truck lanes, high-speed
passenger and freight railways, and utility distribution channels.
- 4000 miles long and 1200 feet wide with 200-foot wide utility
zone - TTC 35 & I-69 TTC
Slide 19
http://www.kwtx.com/breakingnews/5374096.html
Slide 20
For the past 25 years Texas: - 57% increase in population - 95%
increase use of our roads - 8% increase in Texas road capacity
Source: Russell, 2007
Slide 21
Slide 22
Advances on two separate paths Environmental Study
Comprehensive Development Agreement (CDA) Source: Russell,
2007
Slide 23
In 2005, CDA signed with Cintra-Zachry Fall 2005: Master
Development Plan delivered May 2006: Environmental impact studies
July- August 2006: Public hearings May 18,2007: Governor Perry
vetoed a bill that would have placed significant limitations on
future Trans Texas Corridor June 11, 2007: Governor Rick Perry
signed Senate Bill 792, will provide Texans with many new and
important protections. Source: Russell, 2007
Slide 24
Late 2007: choose a partner and sign (CDA) Late 2007: Public
Hearings continued Beginning 2008: Request for Detailed Proposals
Summer 2008: Selection of Developer Fall 2008: Draft Environmental
Impact Statement (DEIS) Source: Russell, 2007
Slide 25
Public-private partnerships (PPP) refers to contractual
agreements formed between a public agency and private sector entity
that allow for greater private sector participation in the delivery
of transportation projects. www.fhwa.dot.gov/ppp/defined.htm#1
Slide 26
Accelerated completion Project cost savings Improved quality
Improved performance Use of cutting edge technologies Better
management techniques Access to more capital.
Slide 27
Open for Business, TxDOTs plan getting private sector
investments in Texas transportation system. CDA focuses on new ways
of financing Calls for the partnerships between the agency(TxDOT),
local officials and the private sector A CDA may also include,
right of way acquisition, maintenance and/or operation of a
transportation facility
Achieve set deadlines Reviews by independent engineers Observe
federal requirements Provide funding In return developer gets up to
50 years of control over tolls
Slide 30
Texas Turnpike Authority Division,Phillip E. Russell
www.keeptexasmoving.org
Slide 31
No Toll Boots No waiting and traffic congestions Make tolling
compatible with other toll roads in state Use TX Tag Source:
Russell, 2007
Slide 32
The Trans-Texas Corridor in Action: We know the way this
chicken-and-egg works. The chicken is the big industrial area that
lays a lot of highway eggs, not necessarily the other way around.
--- John McCray, Associate Professor of Management University of
Texas at San Antonio
Slide 33
The North American trade corridors are bi- or tri-national
channels for which various cross- border interests have grouped
together in order to develop or consolidate the infrastructures.
The North American corridors are considered multimodal in the sense
that they bring into play different modes of transport in
succession. The infrastructures may include roads, highways,
transit routes, airports, pipelines, railways and train stations,
river canal systems and port facilities, telecommunications
networks and teleports. --North American Forum on Integration
www.fina-nafi.org/eng/integ/corridors.asp graphic from
ciscoportcom
Connects: Denver Amarillo Lubbock Midland/Odessa San Angelo Del
Rio Border Crossing: Laredo, Texas Nuevo Laredo, Tamaulipas
Maritime Port: None Source: Ports to Plains website:
www.portstoplains.com
The Relief Valve Is everyone going to want to go that way? No.
If everybody wanted to go that way could we handle it? No. ---
James Beauchamp, president of the Midland-Odessa Transportation
Alliance
Slide 42
Two kinds: Those by rivers or lakes that can use barges and
such Interior ports: Air, rail, highway All are intermodal Inland
ports are not a new concept Front Royal, Virginia
Slide 43
Two kinds: Those by rivers or lakes that can use barges and
such Interior ports: Air, rail, highway All are intermodal Inland
ports are not a new concept Front Royal, Virginia
Slide 44
Trucks are most cost- effective at distances up to 400 miles:
West Texas to Dallas Trucks are usually most cost- effective at
distances from 400 to 700 miles: El Paso to Houston Distances for
miles: Kansas City to Laredo or Lazaro Cardenas
Slide 45
Hubbing creates an economy of scale, using the same
technologies and capital improvements. Airports Maritime ports
Started as small ports, consolidated to larger ports
Slide 46
Hinterlands: The market region that a port serves. For Kansas
City: No. Dakota So. Dakota Nebraska Iowa Illinois Indiana Michigan
Kansas Missouri Minnesota Wisconsin
Slide 47
1900 acres former air force base 11,500-foot runway Foreign
Trade Zone Two class I railroads Access to I-35, I-10, I-37, TTC-35
On NASCO corridor 90 million people within two days drive Five
major ports easily accessible: Houston Corpus Christi Manzanillo
Veracruz Lazaro Cardenas Source: Ports San Antonio
Slide 48
Top preferences for Iowa: internet website port of
entry/customs transportation center for licensing and compliance
activities an intermodal transport facility information
clearinghouse for transportation and trade publications location
for federal and state trade agencies Suggestion to minimize
financial risk: build non-capital improvements first Biggest
beneficiaries: Those who participate in international trade ?
Slide 49
The Trans-Texas Corridor Conspiracy: When we talk about the
super-corridor, we're basically talking about how do we make best
efforts in terms of the existing infrastructure. We're not part of
any super-plan that's going to have this four-football-field-wide
corridor with no regulatory controls on it. -- Andy Horosko,
Manitoba Deputy Minister of Transportation
Slide 50
China-US (via Texas) trade West coast ports have lost their
lock on Texas trade. Strike in 2002, ability to freeze freight flow
High cost of union dockworkers Congestion at LA/Long Beach
Beneficiary: East Coast ports, and to a lesser extent Gulf ports
West Coast ports are reaching their land-side limits In the early
2000s, East Coast ports began seeing signs of congestion as well
Mexican ports will not have capacity without serious investments
West Coast ports have the ability to retain their dominance through
gains in efficiency, such as flexible scheduling
Slide 51
While it may be the case that increasing competition from
Mexican ports will eventually erode the negotiating power of West
Coast dockworkers, in the near term such a change is very unlikely
because of high and growing Pacific volume. Rather, the current
trend toward internationalization and integration of terminal
operations provides an historic opportunity for unionists on both
sides of the border to collaborate and coordinate their efforts.
Evans and McNichol (2006) from the International Longshore and
Warehouse Union website
Slide 52
not building or encouraging the creation of a NAFTA
Superhighway. I-35, not to mention other interstates that cross it,
exist. Collectively they can approximate a NAFTA Superhighway
because of increased trade activity since NAFTA was passed. NASCO
does not influence immigration policy or advocate for the
elimination of borders. nascocorridor.com
Slide 53
I think the rumor going around was that this map was a
blueprint and it was drawn to scale. -- Tiffany Melvin NASCO
executive director
Slide 54
The loss of whole communities is almost certain, as planners
cannot wind the highway around every quaint town, historic
building, or senior citizen apartment for thousands of miles. ---
U.S. Rep. Ron Paul, R-TX
Slide 55
The loss of whole communities is almost certain, as planners
cannot wind the highway around every quaint town, historic
building, or senior citizen apartment for thousands of miles. ---
U.S. Rep. Ron Paul, R-TX Graphic from rst.gsfc.nasa.gov/
Slide 56
Slide 57
Completely utilize existing rail Texas has the most rail
mileage of any state: 14,192 miles. Rail corridors are being built
Three corridors out of Houston from the seaport Only 179 out of the
752 rail crossings in Houston have separate grades
http://www.texaspolicy.com/index.php Are other possibilities really
being considered?
Slide 58
One thing is for certain: If this is a conspiracy a big if its
now getting plenty of public discourse.
Slide 59
Weighing the costs and benefits and the long-term
transportation needs of Texas, is the Trans-Texas Corridor worth
building? Are tolling and PPPs a good mechanism for financing? Ric
Williamson is quoted in the Everythings Bigger in Texas article as
saying about leaving significant decision to the private sector,
like potential tolls, as: Thats not our business. Its exactly what
government shouldnt be involved in. Do you agree? Do you think the
Trans-Texas Corridor is the 21 st centurys equivalent of the
Interstate system? If not TTC, then what?
Slide 60
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Slide 61
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